

Square COO Keith Rabois Departs Company - tuhin
http://allthingsd.com/20130124/square-coo-keith-rabois-departs-company/?mod=tweet

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rdl
Wow, I had no idea they were processing $10b/yr (I thought it was <$1b/yr).

That's getting to the point where they make real money (maybe $50mm/yr?) and
have a serious shot at profitability.

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gsharma
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%.

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prbuckley
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?

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almost_usual
I remember reading somewhere the average swipe fee is 1.6% for cards. Don't
know how accurate that is but I'm assuming it's not far off.

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Firehed
You're pretty close to the mark - at least for a company doing that much
payment volume. Maybe closer to 1.8% or so. There's dozens of variables (debit
vs credit, issuing bank, network, international, chargeback rates, etc...) so
it's hard to say with any reasonable degree of certainty.

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kul
There's a higher fee for "Card not present" transactions.

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jonknee
Square is card present though.

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pbreit
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).

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pclark
didn't Sequoia just lose a partner?

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kunle
Greg McAdoo - whats the connection?

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kapilkale
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.

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siong1987
And, Sequoia invested in Square too.

