devdocs/pricing.md

@@ -2,11 +2,14 @@
 
 Worksheet for all business stuff related to pricing licensing activation models.
 
+## sept 2022 Subscription worksheet pricing
+
+This is based on basic 6 dollar droplet if users need more then they pay for more, it costs us 4% for anything we charge for so we need to add that to any costs digitalocean charges us, plus a 2.95 transaction fee.
+
+### SUBSCRIPTION
 
-## Subscription worksheet pricing
-SUBSCRIPTION
 cost:
-Droplet 
+Droplet
 $6 month 1gb / 1cpu/ 1tb xfer/ 25gb total (5GB is taken by installed apps on new setup, so 20gb is free here and available to users)
 $12/month 2gb/ 1cpu/ 2tb xfer/ 50gb total storage
 100gb for attachments / backups (NOT DB) $10.00 month
@@ -21,12 +24,11 @@ DigitalOcean: 7% PST not refundable (gst is refundable)
 So a server costs us 6+7%=$6.42/month or $77.04 per year currently
 Each payment made costs us 4% + 2.95
 
-So yearly fixed costs for any scenario or 
+So yearly fixed costs for any scenario or
 server rental 77.04
 Shareit flat fee (assuming monthly) 35.40
 so a customer costs us $112.44 per year plus 4% of sales
 
-
 V7 REAL NET SALES FOR COMPARISON ONLY COUNTING SUBSCRIPTION SUBSEQUENT YEARS (what we're actually making now)
 
 1 user $55.65-4%=53.42-2.95=50.47
@@ -35,55 +37,78 @@ V7 REAL NET SALES FOR COMPARISON ONLY COUNTING SUBSCRIPTION SUBSEQUENT YEARS (wh
 15 user $577 =550net
 20 user $693=662 net
 
-
+V8 SUBSCRIPTION
-V8 SUBSCRIPTION 
 Hypothetical license fees and profits Always assuming monthly payment schedule
 
-$12 dollar per single user minimum 2 licenses 
+$12 dollar per logon user
-1-2 user= $24.00 month 24-4%=23.04-2.95=20.09-6.42=13.67net/month * 12 = 164.00/year net sales for up to two user 
+1 user= $12.00 month 30.84/yr net profit / charges 120/yr
-5 User = 578.76/year net profit per year
+5 User = 578.76/year net profit per year | charges 720 yr
-10 user = $1269.96 / net profit for year
+10 user = $1269.96 / net profit for year | charges 1440 /yr
-15 user = $1961.16 / net profit for a year
+15 user = $1961.16 / net profit for a year | charges 2160 yr
-20 user = $2652.36 / net per year
+20 user = $2652.36 / net per year | charges 2880 / yr
-
+50 user = charges 7200 / yr
-
-
-
-
-
-
-
 
+### PERPETUAL
 
+V7 REAL CHARGES FOR SUBSCRIPTION FOR COMPARISON ONLY (what customers are paying year to year after the first year which is our only real revenue right now)
+1 tech $55.65
+5 tech $243.25
+10 tech $416.50
+15 tech $577.50
+20 tech $693.00
+50 tech $1382.5
 
+POTENTIAL NEW PERPETUAL V8 PRICING AND SYSTEM
+Subscription only, no different up front cost, you pay per year for a years worth of support and updates and can stop before the next year renewal and be fixed at that release version.
+$2/user per month or 24 per user per year, minimum 3 users??
 
+Proposed v8 Perpetual pricing:
+$24/year per **active login user** minimum 3 users
+1-3 **users** = $72.00 charge to customer / $66.17 net profit
+5 users = $120 charge / $112.25 net profit
+10 users = $240 charge / $227.45 net profit
+15 users = $360 charge / $342.65 net profit
+20 users = $480 charge / $457.85 net profit
+50 users = $1200.00 charge / $1122.50 net profit
 
+#### New software so new changes to perpetual?
 
+1. we don't sell any new v7 licenses
+   Not perceived as value for money spent / too expensive?
+   Too old and outdated?
+   No one wants to install self-installed software anymore?
+   marketing, maybe not enough marketing or effort in it?
+2. It costs more time to support perpetual but it's not a lot in the big scheme of things
+3. licensing by scheduleable resource is clunky to market, hard to word, confusing for end users, can we simplify for per active login user like subscription
+   Existing customers need to be treated fairly:
+   what is a fair price, sb less than subscription as there are no costs to us except for processing (not counting development costs at all in any of this)
+   to calculate fair price, how many non scheduleable users on average per sched user per office in terms of existing customers? (e.g. for every 3 techs are there 1 office staff that needs to login or...?)
+4. better to have more customers at lower price point than less at higher - volume?
 
 # NOTHING BELOW HERE IS CURRENT
------------------------------------------------------------------------------------------------------------
 
+---
 
 ###################### TODO: revisit subscription pricing, too high, set to much lower but minimum 100/month effectively by x minimum licenses to purchase
 
 ## NOT Actual OLD SHIT
 
-Sample email outlining pricing until get on web page: 
+Sample email outlining pricing until get on web page:
 
 Good morning Rich, I have just been given the new pricing.
 
-There is no web page to send you to yet, but I can just relay it below.  Note that I'm typing this out from notes, it's not in official form but it will give you the pricing.
+There is no web page to send you to yet, but I can just relay it below. Note that I'm typing this out from notes, it's not in official form but it will give you the pricing.
 
 There are two options coming - "Perpetual" license where customer self installs on their own hardware and "Subscription" license where we host AyaNova for you as a subscription service.
 
 All prices in US dollars.
 
-AYANOVA PERPETUAL LICENSE
+# AYANOVA PERPETUAL LICENSE
-=========================
+
 AyaNova self-installed on own hardware / network
 
 $135.00 per scheduled technician User
-$0.00 for any other Users that are not scheduled or booked on work orders or have their labor tracked etc (i.e. office staff, Inventory people, Sales, Accounting,  Customer User logins etc)
+$0.00 for any other Users that are not scheduled or booked on work orders or have their labor tracked etc (i.e. office staff, Inventory people, Sales, Accounting, Customer User logins etc)
 
 Includes 30 days Maintenance plan (technical support and any updates released in that time period).
 
@@ -93,10 +118,8 @@ Includes at no extra cost our QBI QuickBooks (Desktop edition) integration (Onli
 
 Backup data is compatible with Subscription version (below) if you want to switch and save the costs of supporting your own hardware, ISP and I.T. etc.
 
+# AYANOVA SUBSCRIPTION LICENSE
 
-
-AYANOVA SUBSCRIPTION LICENSE
-===========================
 AyaNova hosted by us on our servers in your choice of data center
 (US West, US East, Toronto Canada, Amsterdam Netherlands, Frankfurt Germany, Singapore, Bangalore India)
 
@@ -106,7 +129,7 @@ We maintain AyaNova for you, always the latest release version.
 
 $50.00 per month per active User
 
-Any User account who is set to Active in AyaNova, not by scheduled technician as in the Perpetual license. 
+Any User account who is set to Active in AyaNova, not by scheduled technician as in the Perpetual license.
 Customers can also be set to optionally login to AyaNova for the Customer self service features; 100 Customer Contact Users (set to active) are included and blocks of 100 can be added on for $10/mo
 
 Can use the provided subdomain name or bring your own domain for no extra charge.
@@ -120,16 +143,10 @@ You have access to your own data to download backups any time that are compatibl
 
 More details on optional add-on's for Subscriptions to come as it's getting finalized but that's the main price.
 
-
+-   John
-- John
 
 www.ayanova.com
 
-
-
-
-
-
 ## ACTIVATION
 
 The method by which a user starts using your product is called the activation model. i.e. evaluation, trialing etc
@@ -232,7 +249,7 @@ We need a formal declaration of how to switch from one to the other models.
 
 #### PERPETUAL
 
-###  IN PROGRESS price
+### IN PROGRESS price
 
 **US$135.00 / tech up front perpetual license**
 No volume discounts - same price for any size company
@@ -408,10 +425,9 @@ two user 70/mo-7=63\*12=756/year, that should be less than 1 hour of my time ave
 
 **WHAT IF 50/user/mo** $50/mo per user based on yearly or 56.00/mo based on monthly
 
-
 5 user would be 250/mo*12=*3000/yr
 
-10 user would be 500/mo*12=5000/yr
+10 user would be 500/mo\*12=5000/yr
 
 **WHAT If quadruple maint (TOO HIGH)?** I have to do a lot of coding to keep retaining so it needs to be worth our while so 4 times the maint rate? (66.66, round to 65) 75/mo
 1 user 65-7=58\*12=696/year