Things are going well at Friendly. For the first time in our three-year history, we recorded three consecutive months of “profit” and set another revenue record. Welcome to our Open Startup Report for June 2023.
Contents
June at Friendly in numbers
- 💳 MRR: 14 391 CHF (-5%)
- 💵 One-time revenues (consulting): 10 364 CHF (+37%)
- 💸 Costs: 23 557 CHF (+5%)
- 🧾 Profit and Loss: 1 198 CHF (+1 122%)
- 👩 Active customers: 95 (+1%)
- 💔 Monthly customer churn: 2% (+2%)
- 👋 New Trials: 16 (+33%)
- 🔎 Website Visits: 3 515 (-21%)
This is what moved us in June:
Revenue: Software revenue down, consulting revenue explodes
Our monthly recurring revenue (MRR) from software subscriptions decreased by -5% to 14 391 CHF in June. This was mainly due to the fact that we lost a very large customer who alone contributed almost 1 000 CHF to our MRR. We worked with this customer for more than three years. The reason for the termination was that the customer switched to another software group-wide.
Our revenue from consulting increased again by a massive +37% to 10 364 CHF. This is the highest consulting revenue in our history. The largest projects this time were in the Analytics area.
The shutdown of Universal Analytics / GA3 brought us some customers who switched from Google Analytics to Friendly Analytics, and for whom we were able to accompany the migration – including the import of historical data from Google Analytics.
The total of our income was 24 754 CHF – another record.
Costs: significantly increased due to higher salaries, more expenses for freelancers and more advertising
Our costs were again at an all-time high of 23 557 CHF in June. However, at +5%, they rose less sharply than in the previous month.
The main driver was larger freelancer costs in the Analytics area, because we could not cover all the work with our permanent employees. However, as this work contributed to our consulting revenue, these expenses were financially worthwhile for us.
We significantly reduced our spending on advertising. Nevertheless, the number of new trials remained at a high level.
Here are all our costs including salaries for June 2023:
Conclusion
We again generated a positive result in June, making us “profitable”* for three months in a row for the first time in our more than three-year history.
* “Profitability” is deliberately put in quotation marks because I have not yet paid myself a salary for my work and, as a sole founder without investors, I have yet to make up for the loss so far.
Profit climbed to over 1 198 CHF, up from just 98 CHF in May. Even that is still far too low as a margin. Nevertheless, it is a great success for us.
Our goal remains to achieve sustained profitability and to expand the margin to such an extent that I will be able to pay myself a salary this year if possible.
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