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Hype and plunder: Domo a new low for self-indulgent IPOs

latimes.com

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Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#11

Post by foobarbazetc »

at-fates-hands wrote: post #6

I've been apart of two companies who did similar things DOMO is doing and neither ended well. Both had millions of VC money and the CEO burned through it all on executive boxes at several pro teams, remodeling an office that didn't need it, travel expenses, and paying himself exorbitantly. Because of their spending, both companies slashed their runway in half, and within months, both companies went under before being…

The only difference here is they do have a product.

And apparently it’s pretty good?

But yeah this isn’t going to end well.

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#13

Post by fjsolwmv »

yazr wrote: post #12

> $3,276 per flight hour [for a leased private jet] I am no expert. But this seems cheap to me ? Can you really cross the USA in a private jet for less than $20K ? Edit: i am assuming this is not a new fancy Drone ..

Per web search, that's a normal price. The question is if that's a good use of investor funds for a low value xompany.

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#14

Post by randyzwitch »

fjsolwmv wrote: post #13
yazr wrote: post #12

> $3,276 per flight hour [for a leased private jet] I am no expert. But this seems cheap to me ? Can you really cross the USA in a private jet for less than $20K ? Edit: i am assuming this is not a new fancy Drone ..

Per web search, that's a normal price. The question is if that's a good use of investor funds for a low value xompany.

Especially when the company has ties to the founder/CEO.

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#15

Post by vinceguidry »

soVeryTired wrote: post #10
deft wrote: post #7

Reading this whole article and it isn't until the end you find out what Domo even does. Can't believe they've built an 800million deficit this quickly. Besides the wasteful expenditures described in the article, where is the money going? This isn't like Uber where they have to spend to grow. They are a software-only company.

>where is the money going? $1.8m leasing a jet from the CEO and $300k on catering from a restaurant owned by the CEO and his brother is part of it, according to FT Alphaville (free, but registration required): https://ftalphaville.ft.com/2018/06/05/1528193040000/What-is...

Did you even look at those numbers? That's a drop in the bucket compared to $800MM. Very curious myself as to how that breaks down.

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#16

Post by sologoub »

thisisit wrote: post #9

I first heard of Domo last year when we were trying to find a better alternative our BI system. And boy, we were in for a ride. The first warning sign was that their pitch was full of cool sounding words. They kept referring to the product as a "cloud based operating system", whatever that meant. When we asked them to demo, their presales consultant struggled to create anything other than a canned demo. Personally, I…

> When we asked them to demo, their presales consultant struggled to create anything other than a canned demo.

The opposite experience is what sold me on Looker - super competent team and very clear in how “the magic works”. All logic and queries are right there to copy/paste into your own editor to fiddle with if you so choose, or use the built-in SQL runner. At the same time, non-tech users need not worry about such stuff.

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#17

Post by gadders »

Amateurs.

"Unfortunately, our website is currently unavailable in most European countries. We are engaged on the issue and committed to looking at options that support our full range of digital offerings to the EU market. We continue to identify technical compliance solutions that will provide all readers with our award-winning journalism."

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#18

Post by toomuchtodo »

vinceguidry wrote: post #15
soVeryTired wrote: post #10

Earlier quoted context omitted.

>where is the money going? $1.8m leasing a jet from the CEO and $300k on catering from a restaurant owned by the CEO and his brother is part of it, according to FT Alphaville (free, but registration required): https://ftalphaville.ft.com/2018/06/05/1528193040000/What-is...

Did you even look at those numbers? That's a drop in the bucket compared to $800MM. Very curious myself as to how that breaks down.

The issue is not the amounts, but the flagrant self-dealing.

Re: Hype and plunder: Domo a new low for self-indulgent IPOs

#20

Post by soVeryTired »

vinceguidry wrote: post #15
soVeryTired wrote: post #10

Earlier quoted context omitted.

>where is the money going? $1.8m leasing a jet from the CEO and $300k on catering from a restaurant owned by the CEO and his brother is part of it, according to FT Alphaville (free, but registration required): https://ftalphaville.ft.com/2018/06/05/1528193040000/What-is...

Did you even look at those numbers? That's a drop in the bucket compared to $800MM. Very curious myself as to how that breaks down.

> Did you even look at those numbers?

Please give me the benefit of the doubt as per the forum guidelines.

$1.8 million dollars on a private jet isn't exactly a standard expense for a tech startup. The profligacy is compounded by the fact that the CEO also apparently owns the jet, which suggests a conflict of interest in the lease.

Smells like plundering and bad governance to me.

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