Comments on: 37signals is one hell of a profitable business

By: paulbjaylee

paulbjaylee — Mon, 06 Jul 2009 09:31:32 +0000

Maybe in Beyoncé’s world, it’s the good fortune of all classy ladies not just to receive what they desire, but to be granted wish fulfillment by virtue of an entitlement that is causally fidelity 401k linked to that desire itself. The sadness is the alienating imperative of a belief so isolating by virtue of its infantile narcissism. No significant relationship with such a narcissist is possible anyways, so loneliness within the relationship is guaranteed. Hogwash with her threats to the contrary.

By: sharoncfejes

sharoncfejes — Wed, 15 Apr 2009 06:48:02 +0000

Hi scott

Let me make it clear that I’m both a big fan of 37signals and a user of their applications. I did this partly for my own edification and partly to better understand the industry of SaaS. (I’m working fidelity 401k on an app of my own, but since I’m not a professional developer it’s taking quite me a while.)

Clearly 37signals has be incredibly successful, and I’m very happy for them. They clearly give back, through Ruby on Rails, thoughtful blogging, etc. And if they’re making $5 million a year, it’s no wonder why Jeff Bezos wanted to invest!

By: jedc

jedc — Wed, 25 Feb 2009 15:26:43 +0000

Hi, Scott. Thanks for your note, and I'm glad our respective analyses are similar. I've updated mine a bit, and think that 37signals is doing a better job than I posted here. The new link is here:

http://blog.jedchristiansen.com/2008/12/04/esti...

By: Scott Sehlhorst

Scott Sehlhorst — Wed, 25 Feb 2009 05:16:21 +0000

Thanks for the great analysis! I approached the same analysis from a couple different directions (citing other people's work & interviews with 37signals) and estimated that both of those, plus your analysis puts things in the ~ 1% of users are paid users range. Granted, there is not enough data to do an analysis of 37signal's profitability, it is useful anecdotal data to think about economic models, generally, for saas products with freemium models.

By: jano

jano — Sat, 07 Feb 2009 17:05:10 +0000

In fact, I checked first http://www.einforma.com/ (probabaly the most comprehensive bussiness information database in Spain).

einforma.com queries the D&B database for USA based business,

http://www.einforma.com/servlet/app/portal/ENTP...

so I thought more options would be available searching the source directly.

I wouldn't mind donating some $ for the Company Profile Report.

By: jedc

jedc — Sat, 07 Feb 2009 13:27:10 +0000

Hmmm… I didn't know this was centralized anywhere. (It is in the UK, but I didn't know anyone went state-to-state in the US to get this information.)

By: jano

jano — Fri, 06 Feb 2009 14:46:08 +0000

Wouldn't this data be available as the Annual Sales (sales, not profits) figure of the D&B Company Profile Report?

https://smallbusiness.dnb.com/webapp/wcs/stores...

This report is available for $19.99. However, it's only available for US cutomers (that's not my case).

According to the example report, the Annual Sales figure is a required field for producing a Company Profile Report.

https://smallbusiness.dnb.com/webapp/wcs/stores...

By: Nikhil Kulkarni

Nikhil Kulkarni — Thu, 08 Jan 2009 07:19:02 +0000

I have taken the liberty of uploading this sheet on google docs … find it here

http://spreadsheets.google.com/ccc?key=pAVZB7af...

By: blog.jedchristiansen.com » Blog Archive » Estimating 37signals revenue and general profitability

Thu, 04 Dec 2008 17:37:53 +0000

[...] of the all-time most popular posts on my blog is my original post where I showed how I modelled the revenue and revenue growth of 37signals. It showed a business that has made quite a bit of money in the past few years; I originally [...]

By: ed

ed — Sun, 31 Aug 2008 23:18:55 +0000

Uhh….thanks for your great post. Absolutely very useful for me. Very Excellent. Thanks.