Neoteric Revenue (2024)

hello everybody my guest today is matt crolido he's a serial entrepreneur had a strategy at acceleration program grew the tech team from one to 70 people in six years he started five companies raised over two million bucks in four rounds and advised on over 40 projects for vcs he helps with business strategy fundraising and software development now building neoterric.eu matt you ready to take us to the top yeah sure i think that's pretty much it all right never heard myself introduced so fast that's awesome well i love hearing that what it so what does neotaric do and what's your revenue model how do you make money okay so uh neoteric is a basically a service company we partner up with uh business founders and help them move forward with product development uh kind of trading it end to end through the process uh so this is uh basically what we do and we span of a few world projects just to go through the same process with oil product and gave us a much better perspective and uh so basically most of our revenue come from come from services our teams working with our customers on their products so on on average what are people paying you to build out the prototype and build out their mvp so uh how we approach ls uh we usually start with a kind of like google design sprint uh process it's a one-week workshop where we actually decide together with the customer what really is needed to be built we encourage them to get out to their users earlier verify some assumptions like make sure that they're spending the effort of development on the right stuff and then we can assess how much it is we we had the an experience of working with different sizes of projects where bringing them vp to the market sorry matt my question my question specifically is on average like i see on your profile page you've got companies like appointly you've got skill case or skill hunt rapid sos sas manager on average i mean are these like ten thousand dollar projects or fifty thousand dollar projects or cheaper what's your average contract uh between fifty thousand and one hundred okay so this is i mean this is fairly expensive i would expect people would use you because they expected cheaper development costs because you're based in poland but you're not i mean that's not that cheap this is not enough what you're trying to say here uh there are different companies in poland and uh all around here that are basically helping you get a cheaper team working for you what we do is we we help you build the product uh so our expertise goes much further than just uh programming what you say is needed that's why we work mostly with business founders and that understand what they're trying to solve very well and can rely on us on choosing and developing the right tech to help them get to the next step with their business so so let me understand let's dive into one of these maybe we'll pick one like like a pointless how many people like how many developers would you put on this project and how many months or weeks did it take to develop that's actually our own product and we brought that mvp to the market in around uh i think 10 weeks okay and so this is just to be clear this is your this is your own product you own it personally yeah this the product the product is owned by our company by neoteric together with a a vc fund that funded it i see okay um which vc fund uh it's a local vc fund named invented the foundation okay and are you so do you spend your time trying to get new customers for a pointley or trying to land new agency customers for neotaric me myself you you're the founder right yes and i'm right now i'm responsible for uh division so our long-term three to five years goals and the strategy meaning how are we going to get there step by step and all the as the execution part is in the hands of my associates uh and the basically the early goals in the hand of our co and i'm focused on developing long-term partnerships and keeping our company culture intact uh preparing us to grow because we're we're most probably get to 120 people this year okay so how many people are you right now uh 75 75 people and how many projects did you do last year alone around 20. okay 20 and they each cost north of 50 grand [Music] mom whoa so you did more than you did more than a million dollars last year in revenue yeah we did more than matt you cut out are you back yeah so you did yeah i said you have 75 people you did more than a million revenue last year your building is more than two yeah okay and you're basically you're generating this revenue by working with companies that raise from vc funds and need help building their mvp that's true that and developing projects further uh either with startups or with enterprise customers for instance we've worked with buying when they were building uh some new product uh yeah so talk to me about a point lee how long when did you launch the company it was in uh i think 2016. okay 2016. and how walk me through like on average what do people pay per month for that uh the plan is 10 us dollars per user okay 10 per month and then and then you launched in 2016. so what did you do to get your first 100 customers on that tool uh we are around 400 yeah we are around for our first 100 customers you have 100 right now 120 something like that okay how did you get them so we haven't invested in any outbound campaign or or paid advertisement basically what we did is we started by generating some content on quora and uh and promoting it mostly through that channel adding up to to some lists of good tools recommended tools and yeah we started measuring how things are going and keeping things from there so mainly quora yeah and so 120 customers paying 10 bucks a month that tool right now is doing about 1200 per month in revenue yeah so what what a pointley though is unique in that it's one of the things you've done where you actually own it i mean would you ever sell that since it's not part of your core strategy um well saying it's not a part of the course strategy is not that much true we see along some long-term synergies the fact is that uh running four businesses at the same time is kind of distracting distracting so we had to reform our strategy and focus one thing at a time and when things align uh a point you will be an important part of that business okay how so though i thought your model is to work with other people to build their prototypes not build prototypes for yourself to run so like the long-term strategy is to become a venture builder working end-to-end from a business concept to the product launch and having also our own investments so in three to five years we expect ourselves to launch our own startups and to start doing it as a end-to-end service for enterprises would you if someone came to you today and offered you call it 30 000 to buy appointee would you sell it i don't think so and let them let them focus on growing it excuse me and let them focus on growing it you mean like sell it totally for 30 grand not really well the reason i'm asking is because there's a lot of companies in the appointment scheduling space that are growing very fast like acuity scheduling calendly uh i mean there's there's a ton of these companies as you know you can book me uh how do you think about i mean it's hard for you to compete with them because you're not solely focused on appointee you're running the agency with 75 people that's true so that's what i'm saying is wouldn't it be more valuable for you to sell it to somebody else keep a little portion of the equity and let someone go all in on it and drive growth oh so it didn't mean sell it you mean to partner up with someone and well but let's say let's say let's say they bought the majority of it let's say they bought 80 of it for you know 30 or 40 000 bucks and you kept 20 i mean would you do a deal like that i would have to consider yeah um talk to me more about how you're growing the team so did you found uh the company yourself or do you have co-founders i found no terry myself that was uh like a very small business for since 2005 during my capacity in 2012 i hired a first person full-time 2016 my associates came in we raised rounds for our three products and right now we are 75. very good all right matt let's wrap up here with the famous five number one what's your favorite business book uh hard thing about things number two is there a ceo you're following or studying right now is what a ceo you're following uh not really number three what's your favorite online tool for building your company right now mostly used probably google docs number four how many hours of sleep to get every night eight and what's your situation married single kids married no kids all right and how old are you 34. 34 congrats last question what do you wish your 20 year old self knew oh thanks pick one pick one i don't know i pretty much liked what happened no it's not it's not a regret it's not something you would change just something you wish you knew that people minored more than i thought people matter more than he thought guys launched this company neotaric basically launching sas applications one of which they own uh called appointly which is scaled to about 120 customers paying 10 bucks a month 1200 bucks a month they're in revenue got their first customers there via core the agency now they're scaling up working with venture firms to help launch mvps and even working with enterprise customers to develop additional products there's 75 people right now looking to scale that matt thanks so much for taking us to the top thank you