How Indicio Technologies CEO Frans Andersen grew Indicio Technologies to $672.2K revenue and 12 customers in 2024.

guys in diseo.com he raised 130 000 bucks early on in the company back in 2018 2017 selling 10 of the business that investor didn't want to become CEO took him in the wrong direction and then he at front to do the hard work of raising 400 000 of more Capital at a two million evaluation spending 50 percent of that next round effectively buyout the first investor then he started cranking he got a partnership lined up they're now doing about 200 000 a year in revenue or 17 grand a month up from six thousand a month a year ago and they just closed a series well last year they closed a series they have 400 000 bucks at a 7.5 million valuation on the back of the excitement from his new partnership hey folks my guest today is Franz Anderson six years ago he worked at an oem evaluating their forecast accuracy and he realized that a simple statistical model could outperform not only the internal forecast but also forecast from International experts by at least 50 percent later on he tried to find software that applied these models suited for non-statisticians he found nothing that's when he teamed up with his friends to build the best forecasting platform for non-statisticians today his technology is applied with an automotive construction and finance companies and it's called indicio.com Franz ready to take us to the top yeah pleasure to be here you bet so why Automotive construction and finance to start and describe how they use you yep so it all started in an automotive company uh so that that's why and it creates a lot of value for them because with more accurate market and sales forecasts they can use this information to to control the whole company to adapt their Global Production prior to for example a recession so forecast it makes this better I mean I think when people think about sales and forecasting they you know things see around they think Salesforce I mean help us understand how you're different so um there's a lot of forecasting going on in in the big Enterprises today uh the majority of the forecasting is done in a planning software or in a CRM and the problem with those forecasts is that they do not consider what is happening in the market or the economy and this was really visual during the pandemic for example where a lot of the older volumes were dropping really quick while the forecasts were still pointing upwards so that that's kind of the problem with the current forecasting that yeah you price the technology right is this a flat fee and if so what's the average company paying you per month to use attack so it's yeah we're a source company so it's a subscription based uh we're charging for for the Indus industrial companies 4 000 Euros per site and all for the first site and for additional sites it's a 3 000 Euros per month um and for the financial sector it's based the pricing is based upon number of users so it's roughly to 200 000 US dollars per user per year 200 000 uh per per user per year to sorry twenty thousand yeah I'm trying to convert that okay twenty twenty thousand dollars per seat per year for the financial sector uh and and it's in our finance and Automotive those are your two biggest ones are industrial and finance yep that's that's the two biggest ones okay interesting and I guess what's the breakdown so if you look at total revenue last year what percent was Finance versus Industrial so Finance they were selling through a partnership so we signed a partnership agreement for roughly a year ago we spent the the spring to to teach their whole sales organization as well as their support and customer success and during the summer they started to hold webinars upon our technology and during August they were converting the first paying client so this is the segment that is I mean increasing exponentially because this partner has a a large Global sales organization and so I think that we're going to be a 50 50 split between finance and Industrial in a couple of months from now oh what's going on there YouTube good to see you guys now imagine this you love watching these interviews with SAS Founders but imagine if we took all of the valuation data out from over 2807 interviews I've done manually saves you a lot of time well we've done this we've built it into the beautiful interface inside of founder path check this out I'll show you how you can access this in a second but you log in you connect your stripe account you see your valuation real time you can see what it changed over the past 88 days and even set goals for evaluation this year now the secret evaluation is there's many different ways to value a SAS business so the reason you're going to see three or four different valuations inside of your frownerpath dashboard this is all free by the way is because depending on who's doing the buying of your SAS company you're going to get a different valuation a VC is going to pay a different valuation private Equity Firm is different if you're going to do a minority sale that's different and if you sell the whole business that's a different valuation you can see all those when I hover over here here right so the teal is what a VC would pay yellow is what private equity and red is if you sold the whole thing outright now what's cool about this is this is not built off random data again you guys hear these interviews on YouTube all these datas are built from Real Time valuation data points Founders share with us on the show so traction 1.2 million seed round 3.7 raise they sold 22 percent of their business go in here and filter by the event maybe you only want to see companies that have sold the whole business well here are a bunch that have been acquired the valuation and the multiple maybe you're going out right now and you're raising your seed round well go in here and look at all this recent seed deals that went down what they raised what valuation they raised at and what percent that they sold there's never been a larger data set of SAS valuation than what you can get now inside of founder path and we're thrilled to bring it to you all right we're gonna go back to the YouTube video here in a second but if you want to check this tool out if you want to jump in and sign up you can check it out for free to get your valuation at this link this link founderpath.com forward slash products forward slash evaluations or if you go to founderpath.com and hover over products click on get your valuation here and go ahead and sign up to give it a whirl again all that valuation data live right inside the platform I hope to see you there all right let's jump back into the interview and why go through a partnership model I mean and what's the sort of Kickback you've got to incentivize their sales reps to actually sell your tool do you split at 50 50 or what's the rough range of how you split the revenue yeah so we split it 50 50 which is giving a lot away but they're also taking the whole distribution so they're taking the sales uh the customer success the onboarding and the support so they have bills the customer though are you do you own the customer relationship once they sell the customer no uh they they own a customer interesting and so I mean how do you this is like you know uh you want to ride the whale until the whale sort of like bites back right how do you make sure that they keep using you long term versus someone else comes and says hey we'll give you 60 you know cancel cancel your partnership Within dco um that that's a good one our technology is so Cutting Edge so the technology actually helps them to sell their own product and services to to reach a completely new target audience so um I I think it's kind of the the opposite we are sitting with kind of the the power we've gave them an exclusive exclusivity or for one year and which is renewed on a yearly basis so we can find if you look at the total customer base today let's just look at the Industrials the customers that you own directly how many customers are paying you on the industrial side today uh there's a handful I would say so it's still early stage like a dozen yeah yeah okay something like 12 and then on the partnership side is it also like a dozen or about how many have signed up on the finance side it's it's half of that so I think roughly six clients but it's growing they're adding I don't know so you have 18 total customers six are financed 12 hour Industrials that's correct okay interesting so I guess now that we understand sort of how many customers you have and what the product does put this all in a timeline for us when did you write the first line of code for the platform um that was back in 2000 and 17. 2017. okay and um I guess walk me through how you got your first customer do you remember yeah so that was a bank and he I don't know if you read the crossing the Chatham the book of course Jeffrey Moore yep yeah talking about the Visionary people uh that you should attract in the beginning and he was a truly a Visionary he he shared our vision and he he gave us so much good feedback upon how to to create a lot of value for the end user and is he still paying today and no come on what happened he was getting a new manager uh with budget restriction um and we didn't have the partnership with the financial data vendor back then and that was he really needed that one to to get the data integrated into the platform in a smooth way so that dialogue is actually up and running now again uh to to get him as you send them and so your first user was Financial going back to Industrials for a...