The 2 Biggest Mistakes I Made (Before Reaching $500 MRR)
Published in 2014, this chronicle by @malditojavi details the mechanics of building a profitable, self-funded business without venture backing. Key verified financial milestone: $500 M.
Core Principles for Independent Builders:
Charging customers from day one acts as the ultimate filter for building software that solves genuine, high-urgency problems.
Keeping fixed overhead low and leveraging lean infrastructure allows founders to stay alive until market tailwinds kick in.
Small, repetitive improvements in customer retention and conversion rates yield massive returns over multi-year horizons.
Community Debate Themes:
The community focused on B2B customer acquisition channels, cold email vs SEO distribution, and balancing full-time employment with side-project development.
CATEGORY Bootstrapping & MRR →
HISTORICAL ERA Cloud & Mobile Era (2014–2019)
COMMUNITY SCORE 95 points
TOTAL DISCUSSIONS 38 comments
I'm really interested in starting a SaaS business with 500-1k MRR a year after launch. I'm frugal and the cost of living here is quite small.
I keep hitting a block where I can't find a SaaS idea that could guarantee this revenue that wouldn't require a lot of upfront effort in development. I think I'm better at designing an app and improving its marketing strategy than actually writing the code, but I can't hire a developer.
I read the gospel (ahoyhere's blog, http://unicornfree.com ↗, closer to us mere mortals than 37signals/svn) and understood it as: find a group of people, watch them in their natural habitat, pay attention to the problems they mention having, and if you know a way to solve that problem, turn it into a product.
I still haven't had a solid idea. Every time I identify a group with a problem, the solution is something that would take a lot of upfront work for me on my spare time. I know there's an idea or problem I'm overlooking, but I can't find it.
I have noticed the email/checkbox association at the bottom of the post. After discussing with colleagues about email form to collect interested people emails, I decided to add such a form to the landing page of the small service I am building.
Doing so, because I am afraid of sending emails that people would be angry about, I had the idea of adding checkboxes to let people give me a hint about what they are really interested in. I showed it to a friend, he thought it was a good idea but felt that 4 choices were a bit too much.
Is there some information about best-practices for that kind of email collection ?
Edit: the landing page is https://reesd.com/ ↗
Since a couple of people were frightened about being charged at the end of the trial because they would have forgotten to cancel:
know that if you don't like WiseCash, and forget to close your account before the end of trial (and despite the fact that a reminder is sent 3 days before the end of the trial), I will refund your first month's charge, no question asked.
So go ahead and try it out :-)
EDIT: and this is something I'll mention explicitely on the next redesign of my sign-up form. Thanks all!
How did acquire your first few customers? Was it all from that initial email list of 900 subscribers? What are you doing now as far as finding sources of new customers?
I like stories like this because I definitely feel like it is much harder to go from $0 to $500 MRR than it is to go from $1000 to $5000. Finding those first few customers is the challenging part if you have no previous email list or audience in the industry.
WSmall comment on Wisecash and the trend for video demos, not features outlined in images and text. If one is working around other people, listening to a recording may not be possible. Skimming a featureset may also be a quicker way of assessing if something would be worth then putting in the extra time to watch the video.
Of course, A/B test, and perhaps that's part of the demographic you're targeting ;)