Let's Get Real.
Handy Home cleaning is an on-demand, New York City home cleaning business. Their founders Oisin Hanrahan and Umang Dua wanted to make sure that their company survived where start ups fail. Profit is only one aspect of the business. If the operations were bleeding profits, then the business would fail. Hanrahan wanted to try online on boarding as a way to grow the company. This process meant that new cleaners would complete their new hire paperwork and orientation process online. Computers were more efficient than humans and could save the company money. Duang was not thrilled about this idea, but in true partner fashion, they decided to give it a try.
The process did not go smoothly at first. Efficient online on boarding was down and the company began to lose jobs due to a lack of cleaners. Handy had sacrificed their profits for growth in the company. The process needed to be worked on, and they needed to fix it quickly. Luckily, other cleaning start ups started to go out of business. Handy became more in demand and the customer dense populations served their business well. As the bugs and issues became fixed, they began to hire and retain more cleaners. The decision worked long term.
Start ups fail because they choose quick profits over long term sustainability. Handy chose to work on their business model, which helped them in the future. The human resources department became more profitable and they were able to grow their company and assets.