As one year concludes and we starting looking in to the next, I think it's always a good idea to sit down and have a think about what has transpired and what is likely to greet us in the new year. This shouldn't be done at the office, but rather a quiet location that brings peace, going for a drive, or even getting out somewhere nice for a run. Whatever floats your boat in this regard, the important thing is to just get away and reflect for a few moments.
This year my wife and I are lucky enough to be able to do this overseas in Italy and France, and while this might seem a bit extreme for some, it'll give us the perfect opportunity to sit down and think and talk about the year just gone and more importantly the upcoming year. Which, by the way is going to be a big one for us. Accompanying the Paycycle launch in March or (at worst) April will be the birth of our first child. A big step in anyone's life no doubt. I figure good to get the big overseas holidays out of the way child free.
This time last year we were in the midst of a global economic crisis. Forecasts of wealth destruction, superannuation obliteration and all kinds of recession and depression predictions were abound. Australia has come out of this situation fairly well, although I do have grave doubts about the debt the Government is incurring to see us through these times. I do remember thinking however that my goal was just to keep our heads above water in the various companies that we operate. We've managed to do that and even thrive in some areas.
What I didn't forecast was the birth of Paycycle.
People ask me how it came about, so here's a quick story about that. For various reasons I haven't had a real job in probably over 10 years. But after a relationship breakdown and financial mess, I found myself in Canberra in late 2005. Contracting at AusAID, (part of Australia's Department of Foreign Affairs and Trade) it struck me that my manager at the time was practically a genius. His ability to comprehend and resolve complex technical issues with ease was astounding. Over time we became good friends and I thought to myself if I ever get back on my feet again then this is someone who I would want to partner with. I wasn't born with the ability to be so technically competent. But now I knew someone who was.
During my contracting experience I fell across what is called contractor management. That is the process of being the middle man between recruitment agencies and contractors, assisting with payroll related matters including novated leases, payroll taxes, professional indemnity and public liability insurances, workers compensation insurance and living away from home allowance where applicable. I'd never seen such an operation, but I started with 1 contractor and now that operation has grown in to a comprehensive operation with turnover heading towards $10m annually.
Having learned small business payroll from the ground up during the operation of this company, I was all of a sudden imminently aware of the appalling state of the payroll software industry for small business in Australia. There were really only two alternatives, both of which were hopelessly inadequate in the least and frustrating at best. While at the time I didn't really appreciate the potential broad customer base that was achievable with such software, I certainly realised the technology gap that existed.
Sitting down over a beer in Canberra in July 2009 with John who I'd maintained a good relationship since I'd left AusAID I put the idea to him of building online payroll software for Australian small business. I'd done a fair bit of research and reached a few conclusions. Firstly there was very little if no competition in Australia. Secondly, Xero was becoming a thorough force in Australian small business accounting software, and deliberately left out a payroll solution. I rang my accountant from the bar and we had a company on the spot.
So from conception to birth in a little under 5 months was an astonishing achievement. Those outside the industry don't realise how hard it is to make software operate just the way people expect it to. And it's a credit to those organisations such as Freshview and Atlassian who manage to achieve such a feat.
Which brings us to today. As I write this I'm 38,000 feet over Northern Australia somewhere heading off for our holiday. The plan for 2010 is vastly different to 2009 and Paycycle is now a huge part of that thinking. My efforts and energies are nearly now all focussed on making Paycycle the number 1 choice for small business payroll. While it's a lofty goal, 2,000 happy customers is not unachievable by this time next year. But first we need to ensure a comprehensive launch in March 2010 and continued feature enhancement throughout the year.
I hope that our passion for the product comes through in everything we do. And while payroll is a particularly boring subject traditionally, it's very necessary. Our goal is to make it as easy and painless for you as possible.
Cheers for now. I'm off to get a beer at the bar on the plane!