[HN Gopher] One-click checkout startup Fast is laying off its staff
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       One-click checkout startup Fast is laying off its staff
        
       Author : hubraumhugo
       Score  : 70 points
       Date   : 2022-04-05 18:33 UTC (4 hours ago)
        
 (HTM) web link (airtable.com)
 (TXT) w3m dump (airtable.com)
        
       | throwmeariver1 wrote:
       | Their YouTube account was a guilty pleasure of mine it always
       | looked like straight out of Silicon Valley... the tvshow.
       | Straight cringe inducing marketing bro culture bullshit.
        
         | reducesuffering wrote:
         | Wow, they spent god knows how much on a race car driver
         | sponsorship to get... 100 views.
        
           | throwmeariver1 wrote:
           | They deleted the good stuff like the ceo skydiving to a
           | keynote presentation :(
           | 
           | He still has a nice compilation twitter
           | https://twitter.com/domm/status/1423346248329879554
        
       | hildaman wrote:
       | This is just the beginning. As we see easy money dry up, we are
       | going to see a lot of unprofitable startups go belly up.
        
         | threeseed wrote:
         | I am sure the VCs will be flush from their ponzi scheme
         | investments in the Web3 space.
        
         | kache_ wrote:
         | Exactly. Cheap debt is not so cheap anymore, so VCs are going
         | to stop steam rolling all their asymmetric bets.
        
       | ilrwbwrkhv wrote:
       | So the heavy investment from stripe didn't pan out then? I wonder
       | how much of that thread is true at least when it comes to
       | investments.
        
       | sithlord wrote:
       | for some reason i thought that amazon had a patent on 1 click
       | checkout?
        
         | teraflop wrote:
         | They applied for the patent in 1997, which means it expired in
         | 2017.
        
           | toomuchtodo wrote:
           | https://patents.google.com/patent/US5960411A/en
           | 
           | https://patentimages.storage.googleapis.com/37/e6/81/3ebb1f3.
           | ..
        
         | UglyToad wrote:
         | You're right but how the hell is this patentable!? The patent
         | system is patently nonsense if "make there be as few clicks as
         | possible" is worthy of a couple of decades of protection.
         | Probably more context in the patent doc which I'm not going to
         | read because any energy expended on the whole stupid system
         | (other than ranting) is wasted.
        
       | stainforth wrote:
       | Whats the secret sauce here to Fast or Bolt or whatever? 1000
       | integrations, a plugin for WooCommerce or Shopify that points at
       | your profile that has loaded your Paypal or Visa or merchant
       | processor(another set of integrations)?
        
       | simonsarris wrote:
       | Half? This says they are finished:
       | 
       | https://twitter.com/fast/status/1511399486836334592
        
         | neya wrote:
         | They over did that one with that last sentence - an obligatory
         | reference to some abstract quote about failure.
        
         | mkl95 wrote:
         | That was fast. They should explore the niche of one-click mass
         | layoffs next.
        
           | j_walter wrote:
           | Pretty sure better.com tried that already...
        
           | Cockbrand wrote:
           | > That was fast.
           | 
           | I see what you did there.
        
         | paxys wrote:
         | It's not quite clear whether they are shutting the company down
         | entirely or shutting the product and pivoting to something else
         | with a smaller team.
        
           | parkingrift wrote:
           | Their website indicates they are shutting down for good.
           | 
           | https://www.fast.co
        
             | [deleted]
        
       | snowman-yelling wrote:
       | It's interesting to me that Stripe funded Fast because Stripe has
       | built their own one click checkout solution.
        
       | vincentmarle wrote:
       | Just for perspective on the startups who are trying to compete
       | with Apple and Google:
       | 
       | Apple Pay - 1,621,494 customers
       | 
       | Google Pay - 1,107,759 customers
       | 
       | Bold - 7,593 customers
       | 
       | Fast - 1,203 customers
       | 
       | Bolt - 581 customers
       | 
       | Bolt is next?
        
         | mtoddsmith wrote:
         | If Bolt captures half of the Fast customers they can have 100%
         | growth!
        
           | rsstack wrote:
           | https://xkcd.com/1102/
        
         | threeseed wrote:
         | The company that is missing there is Shopify.
         | 
         | They somewhat quietly released ShopPay which at least based on
         | our store is doing well.
        
       | hizxy wrote:
       | Wow. I almost took a job there but something felt very off.
        
       | czbond wrote:
       | How did they blow through $102M in ~14 months?
        
         | x0x0 wrote:
         | LinkedIn says they had north of 600 employees -- 666 oddly
         | enough. 456 in the US.
         | 
         | If your average payroll cost is $100k for 600 employees, that
         | costs the business $135k, so payroll alone is $76m/year, or
         | $6.5m/mo. If average payroll were closer to $200k, double that
         | obviously. You can blow through $100m in no time.
         | 
         | On, unbelievably, $600k in revenue in 2021 per The Information.
         | https://www.theinformation.com/articles/why-stripes-fast-hor...
        
           | czbond wrote:
           | Great contextualization.... I can see the payroll now. But on
           | $600k revenue?? That is super nuts. There are sites selling
           | on 'empire flippers / flippa' that make equal to that revenue
           | for a WHOLE lot less valuation. nuts...
        
             | reducesuffering wrote:
             | Pieter Levels is a 1 man PHP shop doing more revenue than
             | that and at 95% margin.
        
         | [deleted]
        
         | coldpie wrote:
         | Welcome to the tech startup world, baby.
        
         | ptudan wrote:
         | Seems like they have a bunch of highly expensive sports
         | sponsorships. This seems to happen often when you have a bro-y
         | CEO who wants to rub elbows with that kind of crowd. I can't
         | imagine that moved the needle much for them - but it sure costs
         | a lot
        
         | CyberRabbi wrote:
         | It might be hard to believe but that is closer to the norm than
         | not. Unicorn-bound tech startups tend to operate by spending
         | all their cash to grow the business as fast as possible,
         | intending to raise another round once the previous round dries
         | up. An annual cycle is about right.
         | 
         | What happened here isn't necessarily poor management of
         | finances, instead they failed to grow the business and thus
         | couldn't attract more investors for a second round.
        
           | czbond wrote:
           | >Unicorn-bound tech startups tend to operate by spending all
           | their cash to grow the business as fast as possible That
           | seems slow and risky. I come from the world of B2B slow and
           | steady startups - painful both ways I guess.
        
           | doctor_eval wrote:
           | IMO "failure to grow the business" is totally the same as
           | poor management of finances, when the financial health of the
           | business demands growth.
           | 
           | If you keep your burn rate high while you fail to reach your
           | sales targets then you need to pivot well before you run out
           | of cash.
           | 
           | I'm continually astounded by the acceptance of businesses
           | which fly themselves into the ground. Repeatedly failing to
           | meet targets requires change, not just charging ahead and
           | damn the torpedoes.
        
             | CyberRabbi wrote:
             | I don't necessarily disagree with you, just wanted to draw
             | a distinction between a blatant failure to manage finances
             | and an excessively aggressive growth strategy that fails to
             | pan out.
        
         | sillysaurusx wrote:
         | http://www.paulgraham.com/pinch.html
         | 
         | It's only a difference of scale, not of kind.
        
           | czbond wrote:
           | Thanks for the link!
        
       | causi wrote:
       | _One-click checkout_
       | 
       | Under what circumstances is this not a foolish thing to want? I
       | thought it was cool on Amazon until I realized it was just a tool
       | for generating unwanted orders that you then have to cancel.
        
         | Sohcahtoa82 wrote:
         | I've never thought one-click checkout was a good idea. I buy
         | stuff on Amazon on a semi-regular basis and I've never used it.
         | 
         | Just seems like a great way to accidentally order the wrong
         | thing occasionally.
        
         | ghostly_s wrote:
         | I thought Amazon held a patent on this?
        
           | feifan wrote:
           | It expired a few years ago, hence the startups chasing the
           | space.
        
             | [deleted]
        
         | TrueGeek wrote:
         | I love one click checkout. Amazon is okay, and I've used it a
         | few times on sites that support it. But if a site has one click
         | Apple checkout it makes it so much easier. I don't have to
         | worry about them having my credit card info, and it takes 1
         | second to check out.
        
         | threeseed wrote:
         | B2B. My partner runs a Shopify store where companies come back
         | each month to stock up.
         | 
         | Apple Pay, Shop Pay etc. have made a big difference in
         | conversions and customers seem to like it as it skips a few
         | steps for them.
        
       | wonderwonder wrote:
       | What websites was the 1 click checkout on? Honestly with Amazon
       | dominating so much of online retail can a company like this even
       | land enough customers to make a profit?
        
         | [deleted]
        
       | [deleted]
        
       | cyrux004 wrote:
       | Yesterday they launched a re-designed website. Today they closed
       | doors. https://www.fast.co/
       | 
       | Yikes
        
         | 1270018080 wrote:
         | Talk about engineers having an existential crisis on making
         | things no one will ever use.
        
           | ramesh31 wrote:
           | And I'm sure they all knew it was happening as they were
           | working on it. Things like that are why I gave up on caring
           | about anything in this industry and just do the bare minimum
           | to earn my paycheck.
        
       | danso wrote:
       | The Information broke the news[0] (both the earlier mass layoff
       | report and today's closure), but TechCrunch has a non-paywall
       | full article [1]
       | 
       | [0] https://news.ycombinator.com/item?id=30922051
       | 
       | [1] https://news.ycombinator.com/item?id=30923032
        
       | atestu wrote:
       | This guy was sounding the alarm a few days ago
       | https://twitter.com/GergelyOrosz/status/1509854025746898946
       | 
       | Apparently the founder has a shady past
       | https://www.npr.org/2022/02/17/1081201040/domm-holland-fast-...
        
       | idontknowifican wrote:
       | a dude of mine was hired there a few months ago and given:
       | 
       | 30k sign 220k base
       | 
       | 4 yoe as a react developer
       | 
       | he told me he didn't understand the business bit it seemed cool.
       | at least i can steal him away now but damn
        
         | paxys wrote:
         | That's a crazy salary for someone 4 years in the industry,
         | _way_ above average. When you get offered that, the company is
         | either truly hiring the best of the best and doing
         | revolutionary work, or throwing away cash and about to go bust.
         | Seems we found out which one this was.
        
         | toomuchtodo wrote:
         | 84k for 3 months of work ain't bad, on to the next gig in a
         | stupid hot job market. Maybe apply for unemployment too until
         | landing the next gig.
        
           | altdataseller wrote:
           | And I presume he got severance?
        
             | evan_ wrote:
             | if the company is folding as it sounds like, severance
             | might just be whatever you can steal from the supply closet
        
               | clpm4j wrote:
               | From what I've heard so far, no severance - just
               | pay/benefits through Friday of this week.
        
         | fndomoraes wrote:
         | sorry, but what does "30k sign 220k base" mean?
        
           | etimberg wrote:
           | $220,000 base compensation per year. $30,000 signing bonus
        
           | tebbers wrote:
           | 30k signing bonus, 220k normal base salary
        
       | danso wrote:
       | Can the link for this thread be changed to the official
       | announcement: https://www.fast.co/
       | 
       | Whatever was at the Airtable link submitted is now private
        
         | jmu1234567890 wrote:
         | The Airtable was a list of Fast employees looking for work
        
       | sbmthakur wrote:
       | The page appears to be private. How to get the access?
        
       | ceasesurthinko wrote:
       | This is the mentioned startup from that "Stripe & YC are the Mobs
       | of Silicon Valley" tweet thread:
       | 
       | https://twitter.com/theryanking/status/1485784884681474048
       | 
       | In the tweet: Ryan Breslow, CEO of Bolt, talks about how Stripe
       | funded Fast which is a competitor of Bolt, and for the same
       | valuation despite Fast having no traction and being relatively
       | new.
       | 
       | (I do not condone or condemn the opinion of this person, just
       | thought it would be relevant to this post)
        
         | [deleted]
        
         | ajkjk wrote:
         | The page isn't loading, but anyway it's pretty clear that what
         | makes a mob a mob is its use of violence to get its way, so...
         | that doesn't sound right.
        
           | ceasesurthinko wrote:
           | Updated the link to the proper one
        
         | yunohn wrote:
         | That's Bolt, this is Fast.
        
           | danappelxx wrote:
           | It's the founder of Bolt talking about Fast raising funding.
        
         | axutio wrote:
         | Got curious about this so I found the original HN discussion
         | [0], which is a definite must-read for context/response if you
         | read the tweet thread.
         | 
         | [0] https://news.ycombinator.com/item?id=30066969
        
         | _fat_santa wrote:
         | That's gotta be cathartic for the founder of Bolt. Seeing the
         | company that made a deal with "the Mob" go belly up.
        
           | nighthawk454 wrote:
           | Maybe, maybe not. That thread makes it sounds like Fast was
           | cannon fodder to prevent Bolt and others from growing.
        
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       (page generated 2022-04-05 23:02 UTC)