SaaS platform that wants to use blockchain, AI, and loT to improve the transparency of supply chains of global commodities. Seems like it has a lot of moving parts on technology. Has large customers like Gucci, Calvin Klein, Nespresso, on board.
- Uncertain who the customer is
- Even if the problem exists, uncertain that it’s sale-able
- Very concerned this is solving a virtue-signal problem
The 6 Calacanis Characteristics (91 161 18)
|1. A startup that is based in SV||Fail: Probably headquartered in CO or WA where the accountants/various documents infer.|
|2. Has at least 2 founders||Pass (2)|
|3. Has product in the market||Pass|
|4. 6 months of continuous user growth or 6 months of revenue.||Pass (sort of): 2018 revenue was $85k, 2019 revenue was $335k.|
|5. Notable investors?||Fail: No one I recognize. TechStars but just an accelerator, not a notable individual.|
|6. Post-funding, will have 18 months of runway||Pass: Raising $1MM at $463k yearly burn means ~26 months, though obviously burn increases once the money comes in.|
The 7 Thiel Questions (ETMPDDS)
- The Engineering question:
- Good Enough: The technology here is pretty boring. Use React and other modern technologies to build a web/mobile/native app suite for startups. Boring in this case is good though.
- The Timing question:
- Eh: While it’s true that consumers want more ethically sourced goods, I’m not sure this time in 2020 is the reason that companies would start spending money here more than they have been.
- The monopoly question:
- Sure: though I imagine it’s an expensive monopoly to build between sensors, crypto apps, and “artificial intelligence.”
- The people question:
- Not Bad, Not Great: I don’t doubt that the two know about this problem space, but I do doubt whether these founders can 1) scale a product, 2) consistently identify the key decision makers at large enterprise, and 3) scale a big business.
- The distribution question:
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