This organisation is not going to make me rich. We are interested in becoming a non-profit organisation ourselves in the future.
My learnings so far:
- The elephants of the industry are perfectly organised to win the public tenders
- The product they deliver checks all the boxes, but is poorly exectuted. Leaving schools with expensive, restricted contracts for 5 years
- They earn money by asking an amount per student per year. A simple synchronisation tool (to sync agendas between 2 sytems) costs them EUR 2 per student per year. (We built that in 2 weeks and give it away for free these days)
- We work for 65 schools. At least 12 of them bought software for 100-150k per year that they do not use (bugs, bad UI).
- We are cheap compared to the market, but we charge fair. Our profit is very low (10% or less) but we cover all costs and pay 3 fulltime developers. We have work for years.
I don’t know why more industries do this, set up a trade association where they build the software tools they need to solve their common problems. I’ve pitched this idea a few times and the usual objection is “what if it helps the competition?”.
It’s certainly possible to gain a competitive edge by selecting a better vendor and negotiate a better licensing fee for some proprietary solution, which you would lose with the Apache model. But it may be fairly marginal. An engineering firm might choose SolidWorks or AutoCAD, and I’m sure one is better than the other, but I suspect that the quality of the engineers play a much bigger part in how much money they make than which CAD package they choose.
They primarily serve left leaning causes though. I think there is a conservative equivalent but I can't remember what it's called.