How myHQ CEO Utkarsh Kawatra grew myHQ to $360K revenue and 1K customers in 2023.

guys my HQ dot I am launched in 2016 today they do about 30 000 a month in Revenue up from 10 000 a month just a year ago and they do this by connecting remote workers in India with workspaces that are available through Partners like wework and other restaurants they've converted to co-working spaces they process over twenty five thousand total bookings in June of which 20 000 of those bookings were for a daily seat at one of these spaces the restaurant that we work etc they're growing nicely they were acquired by a larger company and Iraq last year after going to basically zero during Cova they'd raised 1.5 million in capital to date again now growing inside of anarach we'll see what happens next hey folks my guest today is utkarsh kawatra he is a it IIT Delhi graduate started his company myhq in 2016 with a mission to empower today's Workforce with Friedman flexibility to work in any way from anywhere at cars you ready tickets to the top yes absolutely all right all right give me an example just to help people understand what you do tell me a customer Story how do they use you today got it so it's essentially a Marketplace for workspaces what a person does is a lot of people moved hybrid or post covet and uh they're working from home they get tired working from home they need to work out of a co-working space close by they just download the myhq app they can see all the spaces close by book any of the spaces on a per day basis or per hour basis or book meeting rooms all together that's for an individual and similarly for a lot of companies the company admin gets onboarded on the SAS tool and then they can enable their employees to work out of any of the co-working spaces close to their homes or wherever they are okay so so I'm on the site right now myhq.in it says select City so I'm gonna pick uh I'm gonna pick hyper bad right so is this first off is this just for folks doing remote work in India uh yes we're currently yeah okay so I click on so I click on hyper bad and it says the new way to offices it says that flexipass fixed desk and cabins Virtual Office so are you like wework for India oh vivoc is one of our partners so wework would be let's say we are a Marketplace wework is one of the space providers so you can just download them my HQ app just download and you could book any of the v-bucks in India as an example it's as simple as that and then companies what they do is for example bigger companies which are completely hybrid want to enable their employees they're not looking to bring all of them back to office so they have this combination of remote and work from office which is where we kind of help them integrate that seamlessly so just to make this very clear you're a Marketplace a Marketplace has supply and demand your supply is we work or people with physical workspace your demand as a company a company with remote workers and you're matchmaking in between so absolutely yeah how do you make money I don't like to call ourselves a Tinder for this but yes you know you're absolutely right so how do you make money oh we make money on the bookings um it's as simple as that a company uses your platform with a remote work or that remote worker signs up for a hyperbat office which is powered by wework and let's say it's 200 bucks a month how much will you make on that so we make roughly about 60 in that okay so you're you're taking 30 percent yeah 25 30 correct 30 take rate okay interesting and I guess what's the right metric that you measured to understand the health of your Marketplace is it percent of gmv like total gmv or what is it I think it's uh so there are company usually companies measure in the base of number of companies on board it we generally like to measure in terms of usage in terms of occupancy so we want to see the number of Click number of bookings we are getting uh and that's the that's the metric that we try to track in and grow that uh week on week day by day or month by month interesting so so last month in June of 2023 what was the total number of bookings uh we would have gotten about 20 000 bookings 20 000 so again just because that's 20 000 remote workers picking a workspace using your tool all in last uh just in June yes and that I think if you purely ask me that's largely top three cities we've just expanded in the remaining cities in India so we largely Del NCR Bangalore and Bombay interesting uh sorry Bombay Bangalore and what was the last one uh Delhi Delhi is NCR sorry so what like 18 19 000 of those all went through those three cities it's correct yeah wow and what's the average ticket size is it 200 a month or something different the ticket sizes uh uh per booking you're looking at about 300 400 bucks for Naina which is roughly you're looking at about uh eight or dollars five dollars 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 the 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 founder path 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 evaluation 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 so the Opera ticket sorry I don't understand when a remote worker books a place in Bangalore through your platform what's the average price per month going to be uh it's a per day booking right it's a 2020 000 yeah it's a 20 000 per day bookings which you've gotten so that's about five dollars okay that's the gmv and then you're gonna take 20 to 30 of that okay oh I see I see I see okay interesting do any of the per day bookings turn into a per week or per month or per year so we have those as well those are we have about we do over a thousand such bigger transactions there so from that twenty thousand there'll be about thousand who also take up uh uh per month bookings which would be roughly translating to about about a hundred twenty dollars a month I see so my HQ in June of 2023 process 20 000 unique bookings and an average ticket size of five bucks which would be a hundred thousand dollars of gmv of which your take rate is 20 to 30 percent which would mean you're doing between 20 and 30 000 per month in revenue is that all right uh yes you are roughly you fit the hill and if you include the monthly passes that will double the number but yeah yeah someone if you're doing if you're doing 20 to 30 000 per month right now in Revenue where were you exactly one year ago so we can calculate growth rate so one year ago we were roughly add one third of this yeah one-third yeah okay got it got it so you've grown nicely okay so how did you saw take now that we understand the economics let's get the back story here when did you launch the business so we launched quite some quite a time back we launched it on 2016 2017 but then kovid happened we went to zero yeah the the three waves there and then uh last year we also got merged with a bigger real estate entity so we're not part of a a big a sort of an IPC comparable in India...