1 person company

I am in the creator/influencer business and on a daily basis, come across creators who run a one person army and are raking in more revenue than many of the funded startups.

Some are running courses, some are selling premium content, many are working on brand deals and few are trying to monetize from their audiences directly. The model is simple, gather attention via content and then monetize that attention.

As a creator, these folks manage their entire operation end to end, often with little to no external support. Content creation, editing, distribution, finances, logistics etc. Over time as they can afford support, creators start focusing on their core product (content) whereas the rest of the functions/activities get outsourced.

MKBHD, a popular tech YouTuber with 14.3 million subscribers and an estimated revenue of $3 – $5 million, currently has just five team members to support him, with some of them working part time. With a per employee revenue of $600,000 to $1 million, this puts him in comparison to some of the the top tech companies like Microsoft and Twitter.

Something very fundamental about the internet is the distribution of power from corporations to individuals, with crypto accelerating this even further. Over time (a few tens of years maybe?), I think large corporations will cease to exist.

The Top 20 Tech Companies by Revenue Per Employee

As shown in the above infographic, in any industry, newer companies tend to have higher revenue per employee. One of the primary reasons why companies are large is because apart from their core functions, there are other departments which are required to run the core operation.

For example, a technology company like Google needs finance, legal, operations, sales etc., to generate revenues. As time progresses, I think companies will focus more on their core functions and outsource the rest, very similar to creators. With smart contracts, NFT’s, currency and other use cases that crypto enables, trust becomes a commodity and outsourcing becomes a lot easier.

When outsourcing functions becomes the norm, company sizes will start tending towards 1.

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