Universal Problem Products

Shaan and Sam discuss how companies solving universal business problems have massive potential for growth, using examples like Rippling and comparing valuations of similar companies in the space.

• Universal Problem Companies Have Massive Potential

  • Every company needs to onboard employees
  • Every company needs to set up computers
  • Every company needs to connect systems

• Valuation Comparisons Show Growth Potential

  • Rippling valued at $1.3B
  • Workday worth $67B
  • Paychex worth $40B
  • Current valuations suggest significant room for growth

• Growth Potential Analysis

  • Shaan believes Rippling could 50x from current valuation
  • Compares to Square's growth post-IPO (30-40x)
  • Considers Rippling "number one candidate" for massive growth among discussed companies

• Product Market Fit Indicators

  • Solving fundamental business problems
  • Creating their own category
  • Still room for improvement (described as "clunky")
  • Wide range of hiring needs (product, design, customer support, sales)

• Similar Pattern Seen in Other Companies

  • Figma vs Adobe ($315B market cap)
  • Airtable vs traditional spreadsheet tools
  • Pattern of new companies disrupting established players in universal business problems

The speakers emphasize that companies solving "every-company problems" have the highest potential for growth because their total addressable market includes virtually every business, and the existing players in these spaces command massive valuations.