Startup Economics 101, or, How Long Until We’re Dead?
nice post, unfortunately SF payroll tax is 1.5% over $150,000 in payroll, not $250k in payroll as mentioned in your article :(  It's a racket and is one of the reasons Twitter and Zynga are threatening to leave SF if the city doesn't give them a break on the tax.  But it hurts the little guys more.  If you have 4 employees making $40k each you have to pay 1.5% of 160k, which is $2400 (that amounts to almost 2 months of office rent or 75% of one employees monthly salary).