Most tradespeople are really good at what they do – be it plumbing, joinery, construction, or a myriad of other specialist trades. But like most of the rest of us many hate the admin part of the job – keeping track of costs, time, invoices, etc. Every hour spent doing admin is an hour not doing something that you love, like spending time with family in the evenings or weekends.
Tradify provides an app that makes it easy to keep track of time and materials working on client jobs, and integrates with accounting systems like Xero and MYOB so you can spend less time doing paperwork. It also covers employee scheduling, dispatching, and quoting so you can keep the whole team organised.
Born in Auckland, Tradify has many hundreds of customers in over 20 countries, although most are in Australia. They’re getting ready for a big global push.
Founder Curtis Bailey is a software developer by trade, and passionate about solving problems and making stuff work. He worked as a software engineer on a variety of business software, ERP, and mobile apps, but in the late noughties decided that his IT career was really ordinary. “Why am I doing this,” he asked himself, “when I could be extraordinary?”
When you wonder who you’re going to work for next, just look in the mirror.
Around that time, Xero was just gaining momentum. Curtis was blown away by how good the Xero user experience was, and was inspired that it was created by a Kiwi company, with an exceptional product, an exceptional brand, and an exceptional marketing team, going up against the big players and making a success of it. Curtis was inspired to build a business that hit the Xero quality benchmark.
In a previous life, Curtis had worked as an apprentice at an electrical engineering company. This gave him first hand experience of the admin pain tradies experience. He combined this with his ERP experience from previous jobs as a dev, and for the next two years spent nights and weekends building the first version of Tradify. In August 2013, the first version of Tradify went online.
In the first month he managed to attract two customers, and in the second month he got another six, and a year later, after attending some trade shows in Australia and getting great word-of-mouth referrals, he had enough revenue coming in to quit his day job and go full time on Tradify. The company has continued to grow at a good clip since then, and he’s continued bootstrapping by hiring additional people as revenue increased. He’s just recruited employee number eight.
Tradify took on some seed investment early this year, and their investors (ex-MCOM legends Adam Clark, Graeme Ransley and Serge van Dam) have helped them really step up growth. They’ve become fanatically data-driven, and a lot more methodical about marketing – testing hypotheses, measuring results, iterating, doubling down on stuff that works, chucking out stuff that doesn’t. The next phase of the company is all about sales and marketing, stepping up the growth rate, and building Tradify into a massive global business. They’re planning on raising a seed round in the next few months to validate assumptions necessary to attack the North American market, and then go for Series A.
You need to be good at getting good at stuff quickly.
Curtis has found it really interesting making the transition from being a dev to being a CEO. He uses the analogy of making music to describe it:
“In order to write a song, you need to understand the elements of what makes a good song, and take an idea and turn it into reality with composition, orchestration, and conducting. Business is the same thing – a dev is focused on making a good piece of software, and a great entrepreneur is focused on turning an idea into the best possible business. You can’t be a musician if you can’t play an instrument, and you can’t be a dev if you can’t cut code. It’s the same in business – you need to gain the hard yards experience selling, hiring people, managing finances, and a hundred other things. You need to be good at getting good at stuff quickly. You don’t need to be great at it, but you do need to be quick, understand what’s required, and then hire people to do the job properly.”
His bottom line: “Why be ordinary? Let everyone else do that.”
In Other News …
The Project 2016 takes place in Auckland at AUT on 1 September. This year’s theme is creativity in business and beyond. They’ve got a great speaker lineup, and there are still a few tickets left.
The MIT Technology Review’s EmTech Asia Innovators Under 35 Awards nominations close on 9 September. If you know an outstanding young innovator deserving of international recognition, do nominate them.
Payments NZ has announced a Fintech Innovation Challenge. Entries close Monday 12 September 2016.
Andrew Simmonds, Marie-Claire Andrews, and Rod Drury are hatching a conference with the working title Foundercon, by and for founders, “an opportunity for NZ founders to network the heck out of each other”. Watch this space.
The mission of Reyedr (pronounced “Rider”) is to connect motorcyclists with their machines in a way that transforms the experience by delivering crucial info about their bike, route and ride group through their head-up display (HUD) and smartphone app.
If you’ve ever ridden a motorcycle, you can appreciate that you need 110% of your attention on the road, and even looking down momentarily to view your speedo is an unwanted distraction. It’s essential to always keep your eyes on the road, on the lookout for any hazards coming at you. According to the Ministry of Transport, the risk of getting injured or being killed on a motorcycle is 21 times higher than for drivers of cars.
Reyedr is developing a HUD with universal helmet mount, to present critical data such as speed and navigation at eye level, so you can concentrate on the road at the same time as seeing your critical info, just like fighter pilots do. The HUD is powered by their app which optionally lets you stay geo-connected with your ride group, as well as your loved ones at home, so they can know your location, and that you’re safe. In case of emergency situations, Reyedr can also auto detect and send an SOS. Their app also has a social aspect which is designed to connect bikers to their community and discover new routes, through those who have ridden in in the past or to experience with those in your ride group.
Founder and CEO Kal Gwalani has a big vision that HUDs will become as essential and ubiquitous for motorcycle use as smartphones are for the general public.
Kal is equally passionate about motorcycling and entrepreneurship. His love of biking started at age 17 and entrepreneurship followed soon after, and by age 19 he had started his first venture for manufacturing auto accessories. When he moved from India to New Zealand in 2003, he promised himself he would return to motorcycling so he could properly enjoy the scenery. After a 20 year hiatus in motorcycling, he finally got back in the saddle in 2015.
During his 30 year career he’d built up extensive experience in high-tech manufacturing in plastics and composites, distribution of emerging technology products and business development. As soon as he returned to motorcycling, he found that the ride experience was missing a key ingredient, in terms of safety as well as enjoyment. This was the inspiration for the creation of Reyedr, to provide a safer and smarter connected ride experience.
Kal put together a team including a CTO Jens Steinigen, an experienced systems engineer and software developer, Simon Waters and Gary Klapproth, both creative technologists and mechatronic specialists. The team were accepted into Lightning Lab Auckland earlier this year, and used the time to validate their market and build a prototype.
They’ve narrowed their market down to the age 30+ market of leisure riders, that ride on day trips or tour on multiday trips, who are typically well off and techno-savvy. Of the over 30 million such people in the developed countries, Reyedr will is starting off by targeting riders in North America, Australia, and New Zealand.
Reyedr have a prototype now built from off-the-shelf components, but are working towards designing their bespoke miniaturised HUD, which will be contract manufactured. Stage two of product development will include the ability to include communications and other data sources into the HUD, by connecting to external sensors including RPM, tyre pressure, as well as to newer motorcycles for ride settings such as ABS and traction control.
The centrepiece of the system is the Reyedr app, which the team is building as both the “operating system” for the HUD, but also as a standalone app with safety features and for the social aspects of motorcycling.
The app is presently in alpha testing and will soon be released to some testers at Auckland Harley Davidson before the beta goes out to their “Rider Advisory Group” (RAG) of 80 riders in September. They plan to present the Reyedr HUD at the Consumer Electronics Show (CES) in Las Vegas in January 2017, with support from Callaghan Innovation and NZTE who are excited about the prospects of getting more NZ hardware startups out to the world.
Reyedr is at the early stage of a big play and at the cusp of a large opportunity. They are currently raising their first round of capital, mainly to fund further hardware development, and will be raising another round mid-2017. They’re particularly looking for investors with experience in hardware startups, manufacturing and a passion for motorcycling and innovation.
Run your startup like a science experiment – document your assumptions, validate whether or not they’re true, alter your business parameters (pivot) to incorporate your learnings, repeat until you either achieve product-market fit or run out of resources.
It turns out that startups aren’t the only thing that Lean can be applied to. SuchCrowd provides a lean approach to event planning. Not sure whether there’s a market for melodic death metal in Arrowtown? Before you go and book Lamb of God into the Arrowtown Athenaeum Hall and set up a gig you’re not sure will break even, you can use SuchCrowd to validate your market. The SuchCrowd team calls it Lean Events Theory.
SuchCrowd lets you set up a tentative event, and start selling tickets. If you don’t get to the minimum number of tickets sold by a preset deadline, all of the existing ticketholders get a full refund. Once the event reaches the minimum number of tickets, the event is formally scheduled. The platform provides tools to help people passionate about the event share info about the event increasing the chances of getting to critical mass, and building the artists’ fan base.
It’s worked really well for events like the Popup Kitten Cafe and Startup Weekend Dunedin 2016. In the case of Popup Kitten Café, they reached their minimum number of tickets in only 40 minutes. And Startup Weekend Dunedin 2016 reached critical mass three weeks before the event – that’s two weeks ahead of the predecessor 2015 event. Clearly, it’s working.
You can even A/B test parameters around events like venue, time, ticket price, and so on. Get early engagement before pouring money down the drain marketing a product that the market doesn’t want. Lean. Next on the product line up – SuchCrowd is building a promotion engine which helps anyone with any level of tech savviness to promote their events on social networks and media easily and effectively so that event planners can get quick feedback on whether their event will fly.
SuchCrowd has now run 45 events between Dunedin, Christchurch, and Wellington, with one event also one in the US. They’ll be launching their Aussie platform before the end of August, mainly at the request of Australian bands who have toured NZ and loved the service.
Abbe Hyde, Jake Manning, Tin Htoo Aung
I first met the cofounders Abbe Hyde, Jake Manning, and Tin Htoo Aung at Startup Weekend Dunedin 2015, where they were working on a company to handle online marking of university assignments. During the course of the weekend, they found that it was a busy market and not all that attractive, but the team stuck together and decided to do a “real” startup doing something else. Tin is from Myanmar (formerly Burma), where he was the CEO of a software development company that had built a ticketing system for the challenging Burmese market – challenging because they just didn’t have the infrastructure at the time (reliable Internet, payment gateways, etc) that we take for granted in New Zealand. When they started investigating the ticketing market, they discovered the number one problem shared by people running events was fear of not being able to sell enough tickets to break even. This is especially true of people running events with emerging talent. SuchCrowd was developed to solve this problem that remained unaddressed by any of the existing ticketing platforms.
These guys are lean machines. They currently in a sprint where they have a target of testing 10 hypotheses per day. This is a practice they picked up in Lightning Lab Christchurch, which they attended last year. They really loved the Lab, and strive to recreate accelerator culture in their company every day. Since the end of the Lab the team has tripled in size – they’re up to nine people, whose roles outside of work include being a comedian, two dancers, bass guitarist, and an actor.
They’ve just completed a raise of $150K using the Simmonds Stewart Kiwi KISS documentation that’s been hacked to meet SCIF requirements. That’s a real milestone – the first new investment type to be accepted by SCIF in over a decade. This funding will carry them through to the end of the first quarter 2017, when they’ll be raising a seed round.
If you’re running an event of any kind, and you’re not sure how many people you might be able to get to come, by all means check out SuchCrowd, and if you’re interested in following the antics of this creative team, email Abbe and sign up to their newsletter.
Back in August 2014, a standout team won the competition at Startup Weekend Education in Wellington, solving an important societal problem – raising the financial literacy of school children. Over the weekend, they built their Minimum Viable Product (MVP), a gaming platform for kids to earn virtual currency (funny money) at school, and then save, invest, trade, loan, borrow, buy virtual goods, and generally learn how to work with money in a safe environment. They validated the riskiest assumptions in their plan, explored partnerships with banks, and brought on their first customers.
Since then, they’ve gone from strength to strength. They went on to win the BNZ Webstock Startup Alley competition in early 2015, launched in New Zealand schools, and are now used by over 7,000 students in nearly 500 classrooms, mostly in NZ, but with a handful overseas.
Even more remarkable is that this growth has been driven mainly by word of mouth and teacher referrals within the school system. They haven’t needed to take in any investment. Other than the $20K prize they won at Webstock, they’ve had no non-revenue cash inputs. They’re currently profitable, and they continue to grow at a good clip.
Banqer lets students earn virtual money through a number of means. The most common method is to get rewarded for completing tasks, doing good deeds, and exhibiting responsible behaviour. For example, if you’re want to be the classroom rubbish monitor, you might have to apply for the job, and then you’ll get paid in virtual currency. Students can spend their virtual money on privileges, such as selecting a movie to watch in the last week of class, preferential classroom seating, or “owning” virtual goods. Some teachers even let kids buy their way out of doing non-critical homework. Students save their money to earn interest, or invest in their classmates’ virtual businesses. How students can earn or spend their virtual currency is entirely at the discretion of the classroom teacher.
In 2016, one of Banqer’s main focus is building partnerships with players in the financial services and allied industries. As an example, working with their partners in the real estate sector, they recently released a real estate module. Students can buy and invest in virtual properties, for which they might need to take out (virtual) mortgages, and then earn rental income to pay off their borrowings. They might need insurance though, in case of a virtual natural disaster like an earthquake or volcano eruption.
Banqer’s revenue model is simple: after a 30-day free trial, students pay $3.50 per term, which drops to $2 if they sign up for multiple terms. They have a retention rate of over 70%.
Banqer have just announced a partnership with Kiwibank, which will cover the costs of Banqer for students whom the subscription fee would present a financial hardship. Good on you, Kiwibank, for helping uplift the financial literacy of those who might need it most.
Kendall Flutey is the inspiring leader who pitched the idea at Startup Weekend, pulled together an all-star team, drove progress, and went on to bootstrap her startup to widespread adoption, profitability, and international expansion over the last year-and-a-half. She has a fascinating back story, which you can learn more about at inner.kiwi. Kendall is a contemporary hero: she received a BCom in accounting and a Masters in Entrepreneurship from Otago, learned to code in the first cohort at Enspiral Dev Academy, cut her chops as a dev at Abletech, and founded her first startup, all before her 25th birthday.
Overseas expansion is squarely on Banqer’s radar in 2016. Due to similarities in the school systems, it will be straightforward to enter the Australian market.
But the big opportunity is the USA. As part of the Webstock prize, Kendall spent some time based at the Kiwi Landing Pad exploring the US market. She learned that financial literacy is more of a focus in high school in the US, and that group is where the real opportunity lies. As it stands, the current Banqer product is designed for primary school students, and it would be difficult to extend the product in a way that both primary and secondary students would find suitable. So much of the focus in the second half of 2016 will be building a new product from the ground up, suitable for high schools.
The past 18 months has been a huge rollercoaster ride for Kendall. Her advice to entrepreneurs?
Entrepreneurship is not a walk in the park. I question what I’m doing all the time. Taking risks and dealing with uncertainty are daily activities, and go hand-in-hand with sleepless nights, self-doubt, stress, foreign situations, pulling yourself out of your comfort zone, fulfilling the expectations of strange audiences, and laying down the train tracks as you’re driving on them. But it’s all worth it when you can see the positive change you’re making in the people around you.
You can help raise the financial literacy of our tamariki in New Zealand, and help the Banqer team by recommending Banqer to anyone you know in the education system. If people learned how to manage money from an early age, our society might be a much happier place.
Here are the top six pieces of advice I give to startups: Love your problem. Know your market inside-out. Delight your customers. Start by picking one thing, and do it really well. Be global from day one. Don’t settle for less than the best cofounders, employees, investors, and advisors.
Timely never needed this advice – they just went hell for leather from the start.
Timely provides really simple cloud-based appointment booking aimed personal service businesses like hairdressers, massage therapists, and personal trainers. Customers’ clients can book and manage their own appointments online. It surrounds this basic calendar functionality with great features like pre-appointment reminders, point-of-sale billing, and integration with popular accounting systems like Xero and Quickbooks Online.
They make money by charging users a monthly subscription. At $19/month in NZ, it’s great value. Users claim that it pays for itself on the first day of use. Like previous Startup of the Week Debtor Daddy, the key value for users is in freeing up their time to focus on charging clients for doing the work they love, rather than on tedious administration of their businesses.
Timely now has customers in over 70 countries, but they’re concentrating on three key geographies: Australia, New Zealand, and the UK. They have over 4,000 customers and are growing by roughly 10% month-on-month with a very low churn rate. Their growth strategy is based on inbound marketing, working with trade associations and partner networks. But they’re getting a lot of business coming through the door by reputation, social, and SEO/SEM which is great. There’s a lot of competition in this space, but once a customer is in, they’re hooked. What makes Timely stand out is dead-easy user experience.
What’s the secret to success? Know your market inside-out. Delight your customers. Start by picking one thing, and do it really well. Be global from day one. Don’t settle for less than the best cofounders, employees, investors, and advisors.
Ryan, Will, and Andrew
Timely’s CEO Ryan Baker has been round the block a few times with his cofounder Andrew Schofield. Their previous venture, BookIt, provided booking and payment services for the travel industry, and was acquired by TradeMe in 2010. The third cofounder, Will Berger, also worked on BookIt after it was acquired by TradeMe and became TravelBug. Their team is a “who’s who” of the Dunedin entrepreneurial scene, and the stellar lineup is rounded out with directors MOD (the artist formerly known as Michael O’Donnell) and Rowan Simpson, along with legal counsel Sacha Judd. Timely sets the benchmark for team quality.
I asked Ryan what their biggest challenge is as a startup and he told me without hesitation that it is overcoming obscurity. “There’s a big global market out there and we know our customers love us. The challenge is reaching them. If your readers are looking for ways to help NZ startups, get them to recommend us to their friends in NZ and overseas. Next time you’re getting your hair or nails done ask the stylist if they’ve
heard of Timely.”
Although the nucleus of the team is in Dunedin, the rest of the 27-strong team are spread out across New Zealand and around the globe. They don’t have a formal office, but instead all work from home (or anywhere) using a “remote first” philosophy. Great tools like Slack, Hangouts, gdrive, 15Five, Trello, and Help Scout encourage constant communication and team cohesion, but the real trick is creating and maintaining a culture where everyone feels they are playing in a team, and have an impact on the success of their business.
The “remote first” nature of Timely’s business culture resonates with their target market, many of whom are small businesspeople juggling work-life balance. As more New Zealand startups expand globally, and more people generally adopt portfolio careers, I suspect this fully networked business model will become much more common.
Timely are always looking for good people to join their team, and the good news is that you don’t have to be based in Dunedin to join this great group of people making life easier for small business owners around the world.