LOL This is what I figured, I don't run it this way. I don't have a house full of girls running around naked and drunk. "probably the way most people think it's done"

I believe the concept used:
"The house full of girls crap" would have never worked because of all the comments you mentioned and then some. Boyfriends, drama, drugs, drunks, and all those things will destroy this environment for a cam business.
And this is where almost all the so-called studio operators failed.
If you run independent girls who just run a 1 or 2 girl studio per they're own homes. and have them spread out all offer the city works great
Maybe if they'd stopped treating them as employees, and treat them like independent contractors might be where most studios have fail.
P.S forgot to mention, No Overhead either this way