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  "documentTitle": "Lightspeed Commerce, Inc. (LSPD)",
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  "authorName": "Spruce Point Capital Management",
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  "sourceTypeLabel": "Short seller",
  "presentationDate": "2021-09-29 00:00:00",
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      "text": "In 2016, Vend’s founder stepped aside from the CEO role and made a claim that it could grow from $20 to $100 million in sales in the next two to three years.",
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      "text": "valuation: $370m",
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      "text": "In 2016, Vend's founder stepped aside from the CEO role and made a claim that it could grow from $20 to $100 million in sales in the next two to three years. For reference, if these figures are in NZ$ the US$ equivalent would be US$14 to $70 million. Either way, it's clear that Vend fell wildly short of these projections, since LSPD reported Vend's sales were US$34 million through LTM Dec 31, 2020.(1) CEO Fala also proclaimed in 2019 that Vend was expected to achieve a $1 billion valuation, yet decided to sell out to LSPD at a $370m value, or 63% below his boastful claim. As an additional data point of Vend's struggles, we see it retracted its geographic claims from having customers across 160 countries, to now just 140 countries.",
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      "text": "Fala is also coy of discussing milestones, but does say he expects to hit is $1 billion valuation within five years (the company was valued somewhere north of US$100m for its last raise).",
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      "text": "Vend's software enables businesses to process payments, manage their inventory and track customers, as well as providing loyalty incentives and running business analytics. The company's software is now used in more than 10,000 stores across more than 160 countries.",
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      "text": "The privately-held company won't share detailed financials, but Fala says there are now more than 25,000 retailers worldwide who pay to use its product, which allows a traditional cash register to be replaced by an iPad, and also helps small-to-medium businesses manage sales and inventory. Vend costs $129 to $179 per month, indicating the Kiwi startup's annual revenue is in the $39 million to $54m bracket.",
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      "text": "So we've got Alex [Fala] who is our FO. He's been with me for just on a year now and he's stepping into the role as acting CEO to free myself up to go out and find that global CE that we're looking for; someone who's got that been-there-done-that experience; who knows how to grow a business from that $20 million of revenue to over $100 million of revenue, and in quick order. Our aspirations are to do that in the next two to three years, so we want to have someone who has had at least one lap around the track.",
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      "text": "\"So we’ve got Alex [Fala] who is our FO. He’s been with me for just on a year now and he’s stepping into the role as acting CEO to free myself up to go out and find that global CE that we’re looking for; who knows how to grow a business from that $20 million of revenue to over $100 million of revenue, and in quick order.\" — Vaughan Rowsell, Exit Interview: Vaughan Rowsell steps down as CEO of Vend, Idealog, 2016",
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      "text": "Source: “Exit Interview: Vaughan Rowsell steps down as CEO of Vend”, Idealog, 2016",
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      "kind": "source-note",
      "text": "Source: “Vend flying with new tech”, NZ Herald, July 2014 and today via Vend's website says 140 countries",
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      "kind": "source-note",
      "text": "Source: “Kiwi tech star Vend on hiring spree, targets $1b valuation”, NZ Herald, May 2019",
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      "text": "Evidence Vend Fell Miserably Short of its Growth Plans",
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