Mining, while certainly lucrative in many instances, is a dangerous and expensive business to play in. With large amounts of equipment, powerful explosives, and massive heights involved, any tool that can reduce your risk and improve your bottom line at the same time can have monumental effects on your profitability and peace of mind.
How much is Strayos doing in MRR?
Strayos is a pure-play SaaS product that charges its customers an annual fee in addition to individual licenses on a per seat basis. At this point in time, their average customer pays them around $100k annually for access to their product.
According to CEO Ravi Shau, Strayos is serving 40 enterprises today, including 22 paying customers, and is doing $180k in MRR right now. The company was pre-revenue twelve months ago.
What is Strayos’ churn?
While still in the early stages, Strayos has not lost any customers thus far. One company did leave their platform however, this was due to regulations preventing drone usage at their jobsite.
To this point, most of Strayos’ customers have come from referrals from distributors of which they pay a commission. In a typical referral deal, Strayos will pay distributors 20% of first year ACV and 5% of their contract value in perpetuity. Shau explained that they company spends around $20k in customer acquisition cost right now and receives payback immediately on a cash basis.
How much has Strayos raised?
Launched in beta back in 2016, Strayos has grown to scale with just $650k in total outside capital. Going forward, their leadership team is looking to raise $1.5M in additional capital on a $7M+ pre-money valuation to help fuel customer acquisition efforts.
Strayos’ team of 11 full-time employees is split between St. Louis and India.