Compass

Take it out of the proceeds: removing the out-of-pocket friction

Shaan describes how Compass funds his home-staging improvements as a no-interest loan deducted from the eventual sale proceeds. The same logic powers taxes-out-of-refund, Affirm, and Afterpay, pointing to a broad opportunity wherever people don't want to pay out of pocket up front.

“it's like, take it out of the— take it out of the thing. Like, taxes is another good one where it's like, oh yeah, I don't want to pay for you to do my taxes, just take it out of my refund or put it up, add it to my bill later, you know? And so where are there other opportunities to reduce the money out of pocket up front?”

Steal thisRemove the out-of-pocket moment: let customers pay out of future proceeds (sale, refund, salary) instead of fronting cash, even if the cost is identical.