I am not surprised anymore. I was when I first saw their card reader at the tiny smoothie shop next door. And then again when the old guy with the hot dog cart also got one. But now if I hear Square is making $100b/yr I'll just think of those tiny business and say: Obviously.
If my math is correct: 2.75% of $10B/yr = $275M/yr. Although they may not be charging 2.75% across whole $10B. I don't think Starbucks would pay 2.75%.
They have to give most of that to the credit card companies. I am not sure how much of the 2.75% they get to keep but I would guess less then half, maybe even only a quarter?
Paypal's Merchant Services net Total Payment Volume was $28 billion in Q4 2012, up 28 percent year over year. PayPal revenues for Q4 2012 were $1.54 billion, growing 24 percent year over year.
Pretty shocking. Although Square is well on its way, I think there is still a lot of good COO work to do. But I am definitely looking forward to what's up next for Keith (who clearly had a tremendous run at Square).
Rabois seems moderately connected to Sequoia- they've shared in a ton of deals, given he's a prolific / selective angel & he and Sequoia partner Roelof Boetha both worked at PayPal.
Don't think there's a formal connection between him and McAdoo.
