Magnitude assists real estate agents in attracting property owners for sales by providing them with customized content to share on social media.
Magnitude is actively raising additional capital to accelerate its growth and expand its customer base.
Deep dives
Helping real estate agents become a marketing channel
Magnitude assists real estate agents in attracting property owners for sales by providing them with customized content to share on social media. This content is tailored to their personality, company goals, and tone of voice. Magnitude's platform allows marketing departments to track the traction and engagement generated by the shared content. The service is offered on a per-seat basis, with prices ranging from $24 to $99 per month. Currently, Magnitude works with 11 companies, averaging 15 seats per customer, generating around $3,000 in monthly revenue.
Lean beginnings and early growth
Magnitude was launched in May 2022, with the first paying customer acquired in October of the same year. During the MVP phase, Magnitude spent only $200, mainly on platform and design-related expenses. The company's equity is divided among the three co-founders and an investor, with the founders owning around 30 to 40% each, and the investor holding 10%. Since its official launch, Magnitude has been steadily growing, averaging a 20% monthly growth rate, reaching $3,000 in monthly revenue.
Current financial status and future plans
Magnitude has $120,000 in the bank, with an additional $70,000 expected from an upcoming funding round. The company is currently burning $7,000 per month, considering its team of eight members. While there are no immediate funding needs, Magnitude is actively raising additional capital to accelerate its growth. The company aims to expand its customer base and increase its average deal size, targeting 50 to 100 seats per deal in the next year.
They have $125k cash left in bank, burning $7k/mo and revenues just hit $3k MRR. Will this team of 8 have enough runway to hit $1m ARR by helping customers turn their employees into marketing machines?
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