Handy (see, https://www.handy.com/) is a cleaning company that was started by Umang Dua and Oisin Hanrahan in 2012. These are two individuals that are both European born, and they wanted to be able to start an international cleaning company. Their goal was to be able to connect qualified professionals with individuals that needed their service.
Recently, INC.com did an article about Handy’s difficult path to profitability. The cofounders of Handy had a difficult task, because they wanted to build a profitable company while keeping their investors happy with their companies capital. Handy employs many professionals, and the company aims to keep their clients happy with the professionals that they are able to hire out. In 2015, the company decided to move all of its customers onto a recurring service plan, but they did not give their customers a way to easily opt out of that service plan. At the same time, the company shut down their telephone complaint lines. Because of that, customer dissatisfaction went up and Handy received tons of complaints.
The two founders of the company initially did not agree on the best way to do cut down on expenses for the company, but they decided that they were going to implement an on boarding strategy when it came to hiring their professionals. Even though it probably would mean that the success level of this project initially would not be great, it was something that would be very beneficial for the company in the future. This move would help the company save millions of dollars each year by hiring people online. Unfortunately, the prediction was correct to some degree, and handy lost about 40% of onboarding because of this new initiative. In the end, things have started to level out and Handy’s sacrifice led to continued growth for the company.