
Ask HN:Why did Gigster become so huge despite being another dev shop? - googlycooly
And why other dev shops stay small and don&#x27;t scale beyond a point? I&#x27;m trying to figure out the &quot;secret sauce&quot; here.<p>Everyone says services based agency business won&#x27;t scale. And here is Gigster. Got into YC, raised $30M and growing!<p>Did anyone of you figure out the &quot;secret sauce&quot; behind the success of Gigster?
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anandnair
As far as I read about them, their model is not similar to a typical dev shop.

The main constrain that hinders the exponential growth of a dev shop is it's
revenue - operational cost ratio. As your revenue increases, operational cost
increases linearly. That is not something loved by VCs.

But Gigster executes projects using their freelance talent network. So they
don't have to keep them in their payroll when there is no work for them.

This information is based on what I read about them. I'm not sure how smooth
it will be to execute a software development with a team of freelancers
though.

But if it works, then I think Gigster's model can achieve exponential growth.

