[not_that_noob]

Excellent high-quality analysis. Not having a solid grasp of marginal costs is unfortunately quite a common affliction of many startups. I would go so far as to say having a good grasp is a source of strategic advantage. That is to say, if you can deliver the same service at significantly less that your competition, then you increase the chances of owning the market. Ask Walmart.

And I completely agree with your analysis of personnel costs. It was bloated. In this day and age, with fractional cost labor, it was unforgivable.