This is very interesting, and I'm curious about the nature of the risk that you're taking on.
It seems like risk would only become a factor for Lambda School if you're taking 10% of pre-tax income from graduates for the 5 chronological years immediately after they graduate (regardless of employment status).
If you're instead taking 10% of pre-tax income from graduates for the next 5 years in which they're working (non-chronological), then the risk on your side actually seems fairly low, since most software jobs in the US pay >50k a year.
If you're taking 10% of pre-tax income from folks for the next 5 years in which they're employed AND making >50k, then the risk for Lambda School is basically zero. I believe this scenario is what is actually happening.
If the final scenario I laid out is what is happening, then this seems very close to traditional debt (take a loan out for living expenses + tuition, then repay a much larger amount down the line).
It seems like risk would only become a factor for Lambda School if you're taking 10% of pre-tax income from graduates for the 5 chronological years immediately after they graduate (regardless of employment status).
If you're instead taking 10% of pre-tax income from graduates for the next 5 years in which they're working (non-chronological), then the risk on your side actually seems fairly low, since most software jobs in the US pay >50k a year.
If you're taking 10% of pre-tax income from folks for the next 5 years in which they're employed AND making >50k, then the risk for Lambda School is basically zero. I believe this scenario is what is actually happening.
If the final scenario I laid out is what is happening, then this seems very close to traditional debt (take a loan out for living expenses + tuition, then repay a much larger amount down the line).