So are you making money now? I think you are missing the point, a lot of startups in SV are not necessary started to "make money" in the traditional sense. There is a huge amount of startups who just try to build something cool (technology wise), and either hope to find out how to monetize, or hope a larger company will buy them, and figure out how to monetize their technology.

SV is the best place to be, if what you are building doesn't have a clear market, or the market requires larger company's muscles.