"And that is without any growth at all. But you need to grow enough to keep up with cancellations at minimum, so that consumes the last notion of profitability."
Growth to keep up with cancellations is covered by the $1.5R acquisition cost.
Although to disagree with you slightly I would say that Admin at least would be partially proportional to the number of staff (which is likely to be related to the number of customers) although improving the system so that less support was required (better documentation, easier to use software) should have a knock on effect here. Some parts would be fixed costs though.
"And that is without any growth at all. But you need to grow enough to keep up with cancellations at minimum, so that consumes the last notion of profitability."
Growth to keep up with cancellations is covered by the $1.5R acquisition cost.
Although to disagree with you slightly I would say that Admin at least would be partially proportional to the number of staff (which is likely to be related to the number of customers) although improving the system so that less support was required (better documentation, easier to use software) should have a knock on effect here. Some parts would be fixed costs though.