Wednesday, August 14, 2013

Memo to Fred Wilson Venture Capitalist about due diligence. regarding Hallo

I think you might have fallen into a trap.with Hailo, Mr. Wilson. The taxi business is not so simple that you can throw 30 million dollars on something that "sounds good to me" without real due diligence and I think you might have skipped that,

First of all you bought into the hype that Hailo is the current big thing in London and of course London cabbies have this great reputation so 23000 London cabbies  can't be wrong, right? So we are told that there are 23000 Hailo London cabbies. Maybe, in consideration for discounts to restaurants  and so forth. But Fred, do they actually use the app? Are there hard numbers about that? I read a Hailo aim that world wide Hailo Is used to create less than 9000 daily taxi rides. Even allowing that the 23000 paid off London cabbies got every last one of these fares that's roughly one per cabbie every three days, which is bupkis, Fred.

As for the New York launch, did you have a trusted aide get a hack license, go to Master Cabbie, or HANAC, or one of the Community Colleges and pass the test, then download the DRIVER APP? Then take Hailo.calls and report back to you? I sort of doubt that and now you need to consider how to get the money.back.

The Driver app.and the whole Hailo driver procedure are nightmarish accidents waiting to happen. And you're not in for a penny, are you Fred?

I intend to campaign hard against the app. Google Guardian Hailo and peruse this blog to see what sort of morsel you've bitten off.