I think one of the most interesting things here is that this investment comes "as part of a new fund they’ve created for businesses on Stripe." This certainly sends a different signal to third-party applications than the signal Twitter was sending. If I had an idea to build on top of Stripe, I'd feel pretty good about that right now. Smart move.
I think I like this model of investment a lot for a company like Stripe. Rather than trying to copy or buy Baremetrics and add that to the list of things Stripe would need to focus on, invest in someone who spend all day every day worrying about only how to make that thing the best it can be. Keeps all of the incentives nicely aligned for both Stripe and Baremetrics.
I would think Baremetrics probably should grow to include other payment system integrations. However, I think as long as Stripe continues focusing on being the best option available for what they provide, choosing to invest in the eco system around them like this seems like a great way to grow the business as a whole vs. spending the same money on making their own product bigger.
I also like it from Baremetrics point of view that Stripe is now invested in them for the obvious and already stated reasons.
I think he's mainly trying to weed out people with one-off transactional sales, like online stores. Josh has mentioned a few times that occasionally they'll sign up and end up churning out because the model just doesn't work for them. But yeah, it could definitely work if you ran like a membership site off of Stripe. Not exactly a SaaS, but same sorta rules apply.
Really any "recurring subscription" business will work just fine as long as you're using subscriptions/plans within Stripe. "SaaS" is indeed infinitely easier to market to and in reality is the lions share of "recurring billing businesses that actually make money" :)
Congratulations Josh! I'm excited by the prospect of a dedicated VC fund specifically for Stripe ecosystem companies. That sets a fantastic tone for future products built on Stripe's APIs.
Any reason why Stripe can't offer analytics themselves ?
Its nice way to fool customers. First create own product , then ask few friends to create another product based on own product , create environment showing yeah we are investing then acquire friends product increasing valuation and creating false hype. Do the IPO and then Profit.
What a nasty way to gain attention.
Also, congrats Josh!