FreshBooks is not changing it's name - we are changing the way we describe our services. Why? When we started almost 10 years ago we only offered online invoicing. Since then we have added things like the ability to track expenses and a profit & loss statement. As a result our customers have started calling us cloud accounting, so we are changing the way we describe ourselves to reflect that, and to better signal what they can expect from us going forward.
I wrote a very long letter to our customers about this. I encourage anyone interested in getting more clarity to please read it in its entirety. Here's the link:
Ah, I think the confusing line in your long letter is:
"So here's the news: from this day forward, FreshBooks is Cloud Accounting".
That turn of phrase is normally used when you are rebranding a company, not changing its tagline; the confusion is reinforced by using capital letters for Cloud Accounting.
I think you meant:
"from this day forward, FreshBooks means cloud accounting"
I'm not a customer but you have some confused customers in this HN thread.
Personally, a lot of folks would love to hear more about those early days of getting by on $99 of revenue. You should post more about that for founders of SaaS startups getting off the ground today as it is an inspiring message.
Startups exist in Canada, but there are only a few markets that are starting to develop quickly (Toronto, Montreal and Vancouver) - none of which is as active as San Fran. The Valley is a unique place, but let's not forget, most companies are not started there.
i've been asked to sign on...and honestly I am wrestling hard. In principle - as a Canadian Entrepreneur - I am for it. But, it's hard for me to imagine many scenarios where it works. What kind of non-Canadian entrepreneur still has 30% of the company after raising $150? I wish it were true that it would work this way all the time, but the odds are really slim IMO. If it is, chances are we're talking about someone who has "done it before", and in those cases they likely have more freedom to move around and don't have the same need for VISA. It seems to me a like misdirected energy. And how about a program that incents talent to come home? That's something I'd love to see today.
This is an amazing post. I've been at it for 7 years at FreshBooks...experience tells me patience is more valuable than most people building start ups want to believe.
we've changed prices four times over the years...your learn something new all the time, and we are constantly testing new things. Though...i'll tell you something...we tend to test a million different pricing page designs, and rarely change our whole pricing model. that said, the real lift comes from changing your model - not your design...and I guess this article proves that out as well.
At a risk of harming myself, you guys might be giving too much stuff away for free. I've been using Freshbooks for about a year for my small business, and got most of my business partners to send me invoices through Freshbooks.
We are all still using a free account, and never had a need to switch over. The free account just offers everything I need. I don't even know what would I get with premium account - I never felt a need to check it out.
you are asked to pay a monthly fee. you can use up to three for free for as long as you like, but as soon as you need to manager four at the same time you are prompted to a paying account.
I'd just like to say, posts like this one are why I love reading Fred's blog...somehow he uses his blog to be my mentor...in life and in business...didn't think a blogger would ever do that for me and it's not something I feel about anyone else I read.
Most web based applications will help you manage your accounting through the year (invoices, expenses, etc), but you will still want to hand off your records to an accountant to sort out taxes and generally get counsel.
Xero, Freeagent, Less Accounting and FreshBooks ( <- Disclaimer: I work @freshbooks) are all solid resources that - to the best of my knowledge - will work in India.
> you will still want to hand off your records to an accountant to sort out taxes and generally get counsel.
Ditto. For instance, if I had talked to my accountant soon enough, I could have saved half of my company registration costs - he knew about a special, not too well advertised, local program, which my in-house lawyer did not know of. Also, tax legislation looks like a minefield to me - a competent[1] accountant is a mine-sweeper that may save your bacon.
[1] Horror story from friends: years ago they formed a company, didn't do much business, dissolved (which in itself may be hard, especially if someone moved away). Later had to keep paying fines because of paperwork improperly filed by their accountant.
P.S. The "grumpy editor" at lwn.net occasionally looks at FOSS accounting software, and readers chime in; e.g. at http://lwn.net/Articles/314577/
I am a big fan of data, but there is no substitute for talking with your customers. I had to choose just one, I’d take customer knowledge over data because it will tell you what’s next, and why…data will just tell you what’s better without explaining why, so it won’t show a path to the next breakthrough, or lead you to product market fit.
I wrote a very long letter to our customers about this. I encourage anyone interested in getting more clarity to please read it in its entirety. Here's the link:
http://www.freshbooks.com/cloud-accounting-letter/
Mike McDerment Co-Founder FreshBooks