Q2 2016 was another record quarter for Epsilon Eight but I’m nervous headed into Q3. While most of this revenue came from a single contract, several other clients also contributed. Efforts to stockpile more cash didn’t pan out the way Id hoped. And we currently don’t have much work lined up for the next several months. RailsCare sales efforts also didn’t go as well as I’d hoped.
A 3-month consulting gig in Mountain View, CA for a very handsome rate had me optimistic about Q2. The upside, great cash flow. The downside, trading time for money again, something I’ve been actively trying to move away from by selling a productized service. Thankfully the contract was for 30 hours/wk, freeing me up for business operations and other projects. Invoices from this client were slightly delayed (as you’ll see in the next section) as we sorted out some billing issues.
The flexible 30 hours/wk allowed me to secure a small integration contract with my previous employer.
And as always, my long-time client (going on 3 years) had me doing his typical 20 hours/mo. To refresh your memory, this is the client for whom I’ve leveraged an overseas development company, which has worked out great.
Monthly Revenue: $13,977.50
May was the best month in the history of Epsilon Eight. However, as I alluded to above, most of this was because invoices from April closed in May as we sorted out an invoicing/time-tracking process. Several late-Q1 invoices also trickled in. Regardless, I was ecstatic.
The integration work with my previous employer continued, as did the work for the company in Mountain View. These two projects ate up the bulk of my time but I was able to juggle two other small gigs during the month of May.
Again, I’m very pleased with the numbers, but definitely seeing the limitations to selling my own time. The ultimate goal is to build a product or productized serviced that solves real customer pain and we can sell over and over again.
Monthly Revenue: $34,125
June was another strong month for us. I continued doing work in Mountain View and wrapped up the integration work for my previous employer.
Recall in our Q1 report, I mentioned a “done-for-you” Ruby on Rails maintenance service called RailsCare. This month I was able to settle on an email tool (Prospect) and start testing the hypothesis that companies would pay $495/mo for a team of developers to work 5-10 hours/mo on their project doing basic maintenance tasks. During the month of June I sent ~3600 emails, which yielded us one solid lead, with whom we’re still in discussions about future work.
I had hoped that RailsCare was “turnkey” enough that it could be sold like a product, and honestly we might still be able to do this. But the disapointing results motivated me to try a slightly different angle. We’ve since modified the terms slightly to make it more service oriented, starting at 40 hrs/mo and going all the way up the full time. This is more of an engineering retainer service and I’m curious if it performs better. I have plans to solicit more feedback and send another batch of emails. Look for the results in the next report.
Monthly Revenue: $25,187.50
Q2 2016 was our best quarter yet for Epsilon Eight, but Q3 has me mighty anxious. We certainly have some lower rate work I could book but I’m holding out to see if we can sell any development services, rather than my own personal time. With the Mountain View gig ending mid July, we have nothing lined up for the next couple months. I’ll be hitting up my network and attending a ton of events this month in hopes of finding more work for us. If you’re interested in working with us or know any one who might be, get in touch with us via our contact page.
As always, thank you all for your love and support. If you find these useful, or have any questions, don’t hesitate to comment or reach out!