Due diligence

[ShaunWhite]

Peter ?
I'm sure I'm not the first to have wondered this, but I can't find an answer on the forums.

Any business plan that relies on the continued existence of one piece of software, or unique features therein, is fundamentally flawed. Do the BetAngel team have any framework in place for what will happen to the product, in the event of key members moving on (either to other interests or due to illness, or worse)? And if the product is sold at some point in the future, are there any commitments to current users that would be a red line for any potential buyer (although time and money obviously tend to erode confidence around this issue).

I realise these are very difficult questions to answer with any significant degree of guarantee, and I may have to settle for the right noise if not the right words. But until competitors provide equivalent functionality, a certain amount of faith in your continued existence is obviously required.

Of course the only way to get cast iron certainty is to wait for the BetAngel IPO and get my cheque book out.

[gazuty]

Peter ?
I'm sure I'm not the first to have wondered this, but I can't find an answer on the forums.

Any business plan that relies on the continued existence of one piece of software, or unique features therein, is fundamentally flawed. Do the BetAngel team have any framework in place for what will happen to the product, in the event of key members moving on (either to other interests or due to illness, or worse)? And if the product is sold at some point in the future, are there any commitments to current users that would be a red line for any potential buyer (although time and money obviously tend to erode confidence around this issue).

I realise these are very difficult questions to answer with any significant degree of guarantee, and I may have to settle for the right noise if not the right words. But until competitors provide equivalent functionality, a certain amount of faith in your continued existence is obviously required.

Of course the only way to get cast iron certainty is to wait for the BetAngel IPO and get my cheque book out.

A few observations from me (I'm not speaking for Peter or any other forum member).

I didn't really understand your question. Are you saying that users of Bet Angel should be wary because Peter might fold the tent one day? Or was your question about Peter's business model (if so, I would observe he has successfully monetised his idea into a great business).

The business model of Bet Angel is a subscription model. So "a few key members" moving on doesn't really impact. What any subscription model relies on either steady growth for a given period ie (new members + retained members > exiting members). Of course, things would be different if Peter

Continued development of the software keeps existing members and reduces exiting members.

If Peter ever sells, then the new owners will be the new owners. They may or may not be as committed as Peter. They will be motivated to retain and grow customers. If the new owners do a bad job people will move on.

[ShaunWhite]

Thanks for your input but...
I would never question Peter's business model, his integrity or his wisdom. I was simply refering to my own.

'Members' relates to member of the BA management team, not to the software subscribers.

And your final paragraph.....I say the same myself, but I disagree that all buyers of companies intend to grow the companies they buy. Many aquisitions are done in order to remove competition and a superior product is not always the end result.

At the end of the day gazuty I have no critical concerns. But my internal programming means I can't help thinking about a backup strategy for every situation.

[JollyGreen]

Hi Shaun

Having worked with Peter for many years I can give you some insight into things.

To be part of the team you must be able to trade and prove this to Peter. No, you don't sit a test lol, but it becomes obvious when you sit with someone and spend time in their company, if they can trade or not. The admin staff are not expected to do this but they must have an appreciation of what we do. If you have the potential then very often, guidance will be offered to help you improve. Some people do not progress despite this help but we all know you need a certain mindset to be a trader.

HTH

JG