Frrole which helps brands amplify engagement with fans over social media has gone totally transparent and has shared founders’ equity structure, valuation etc.

Amarpreet Kalkat (Frrole) @UnPluggd
Amarpreet Kalkat (Frrole) @UnPluggd

Founders Equity.
“The founder equity before the seed round raise was divided as 60:20:20 between the three cofounders – Amarpreet, Nishith and Abhishek (Amarpreet had started, Nishith and Abhishek joined in later). 2.5% of it was issued to Rishab Malik, our lone advisor + part-time team member, before the seed round raise.” [via]
The company raised $245K at a post money valuation of $1.065 million.

It took us 4 months to get the money into the account (around end of March 2014) post the verbal agreement on the investment.

Sidenote : This is precisely why we at NextBigWhat DO NOT do any exclusive on angel funding. There is a huge gap between signing a term sheet and getting money in the bank account. Founders are in a shit-state during this period.
Post the seed round, investor own 23% of the equity, 10% of it lies in an Options Pool, and the founders (+ Rishab) own the rest, in equivalent proportions.
Founders are taking salary of INR 12 Lakhs/ year.
– Frrole Revenues:

Our Jan-March quarter revenue was ~ $8k, putting us at an ARR of ~ $30K. Our April-June quarter revenue was ~ $19k, putting us at an ARR of ~ $75K. Our July-Sept quarter revenue was ~ $21k, putting us at an ARR of ~ $85K. We had a bad quarter there, visibly, although it was largely expected (on account of the end of Indian General Elections)…Looking at guaranteed revenues of ~ $60k for the quarter putting us at a worst case ARR of $240k, with half of the quarter remaining. Our goal for the quarter is to get really close to an ARR of $500k.

Building a global product company from India is NOT that easy and you should watch Amarpreeet (Frrole founder) sharing it all at the last edition of UnPluggd, India’s biggest startup conference.

How Frrole Got Lucky (After 3 Years)


» What Makes A SaaS Product’s Customer Service Extraordinary? The Case of Buffer

Add comment

Subscribe to Newsletter