Goodhart: Colonize generated $20M profit on $30M revenue in year two
Jonah Goodhart · 1468 How Moat Picked $100k ACV, Grew to $50M+ ARR, Exited to Oracle for "$850M" · Aug 1, 2019 · at 20:28
Jonah Goodhart, co-founder of Moat, reflects on financial performance at his first company, Colonize, which he launched in 1998 prior to the dot-com crash.
0:00 / 0:12exact quote · 12.2s
720p mp4 · rendered on demand · StarZero watermark
“Our first full year of business of Colonize, totally different company, we did fifteen million in revenue and ten million in profit. Our second year of business, we did thirty million in revenue, twenty million in profit.”
quote is from the automated transcript, cleaned for reading: filler sounds and stutters are removed, nothing is rephrased. names can be misheard (the analysis reads context, assessments check outside sources). how →
More from Jonah Goodhart
Goodhart: Net revenue retention masks real customer churn in SaaS businesses
“I wouldn't like that. Cause I think it makes it harder to understand what's fundamentally going on with the business. And so the, all that CEO reports in that case is we're net one 30 or we're net one 40. And what you don't understand is that a piece of the bu…”
Goodhart: Moat was profitable when raising its Series C
“It was an interesting spot for the company because we didn't have to raise. And so we were in, we were profitable, which very few SAS companies turned out to be profitable.”
Goodhart: Moat was among the only ad tech firms with recurring annual contracts
“We were actually one of the only companies in sort of focused on the world of advertising that actually priced in that way. So we priced based on an annual contract commitment. We had recurring revenue deals.”
Goodhart: Moat focused solely on new logos and low churn from 2012-2014
“So basically we were really focused actually not on expansion in the beginning, but we were really just for the first, I would say almost two years from 20 12 to 20 14 of just getting new logos. Frankly, we didn't honestly focus on expansion. It was something …”
Goodhart: Moat avoided transparent pricing matrices in favor of custom packages
“We didn't put a matrix on our site. We didn't do a transparent pricing. We said, look, we're going to put together each deal is different. Each client is different. Their needs are different. The support level they want is different. The number of users they'r…”