It's hard to get people to pay for software
We've got used to free software. Either we expect it to be free, or (as with Facebook and Gmail) we're happy to use our personal data as currency. There's a ton of interesting thinking already on the web on the psychological shift that's happened in SAAS (Software as a Service) over the past, say, 5 years, but that isn't really my area - I'm much more interested in building software which people are happy to pay for. I thought it would be interesting to go through a very simple model of financing a new software service from conception to 12 months after launch.