Example of a great small business

[jack52]

I pay ~£150k per year for some software which I absolutely need to run my business

- they don't negotiate price at all
- increased price by £25k/year in total over the last two years with no changes to their software.
- I never receive any communication other than invoices
- they have no close competitors
- any support / help takes at least 5 business days to respond
- as far as I can tell they do no marketing

Looking at their CH statements they are making £15m/year net with 18 employees

Absolutely incredible money making machine and of course fair play to them.

Any examples in your sector?

 

[ctrlbrk]

Any examples in your sector?

No but, by the sound of it, the example you mentioned sound like they act as they do (price increases, no comms, slow support) because they can afford it.

Perhaps their sector could do with some competiion.

 

[fisicx]

Could you develop something similar for £150k @jack52 ?

 

[Mark T Jones]

The joys of niches

On a related note, my brother spent much of his career selling computer hardware. Late on, jumped over the fence to dedicated software


2 things that amazed him:

1. Everybody tries to negotiate on hardware, what has fairly small margins, nobody negotiates on software which theoretically has 100% margin.

2. Software salesmen are extremely lazy.

 

[jack52]

Could you develop something similar for £150k @jack52 ?

no the value is that everyone uses / provides data to their platform not the platform itself