4 ms·

Depends. $100k arr low hassle would be preferable to me to $1M but hiring lots of people.

all2 3y ago
100k arr works out to - 8334 per month - 1923 per week - 385 per business day Lat's assume SaaS or similar subscription service. If I sell a subscription product with a few price tiers, say free, 10$/mo, 50$/mo, and 500$/mo (and maybe a hidden tier for corporate customers that amounts to 1000$/mo on average). Let's assume most of my customers are in the free tier, 95%. The remaining 5% are stratified across 10, 50, 500, and 1000 (maybe following an inverse logarithmic curve because people are allergic to spending money -- -ln(x/1000) + 1). The following scale factors apply to each price tier: - 1 x 1000/mo - 2 x 500/mo - 4 x 50/mo - 6 x 10/mo 13 customers gets me to 2260/mo, so I'd need about 4 times that many customers to hit ~8000/mo. This comes to about 50 paying customers to hit 100k arr. And now I need to sort out what I have that 50 people would be willing to pay those various amounts for protracted periods of time. But what do I have that people want to buy? I can sell my time as a developer working on someone else's product and make about 100k arr. I can build a product -- and I assume most folks on this board are here in this camp, that they want to build something and own it. I could sell information products (ugh) or other kinds of information. What else can I do? I'm curious how people with multiple launched products that make money managed to discover their original product. Was it an accident? Copious amounts of market research? Cross-industry experience that allowed them to build for non-engineers?
- quickthrower2 3y ago
  Looking at a lot of stories that people publish who “build in the open” I think yes people try different things until something sticks but they also often do some talking to prospective customers or some other way to understand the need.

all2 3y ago

100k arr works out to - 8334 per month - 1923 per week - 385 per business day Lat's assume SaaS or similar subscription service. If I sell a subscription product with a few price tiers, say free, 10$/mo, 50$/mo, and 500$/mo (and maybe a hidden tier for corporate customers that amounts to 1000$/mo on average). Let's assume most of my customers are in the free tier, 95%. The remaining 5% are stratified across 10, 50, 500, and 1000 (maybe following an inverse logarithmic curve because people are allergic to spending money -- -ln(x/1000) + 1). The following scale factors apply to each price tier: - 1 x 1000/mo - 2 x 500/mo - 4 x 50/mo - 6 x 10/mo 13 customers gets me to 2260/mo, so I'd need about 4 times that many customers to hit ~8000/mo. This comes to about 50 paying customers to hit 100k arr. And now I need to sort out what I have that 50 people would be willing to pay those various amounts for protracted periods of time. But what do I have that people want to buy? I can sell my time as a developer working on someone else's product and make about 100k arr. I can build a product -- and I assume most folks on this board are here in this camp, that they want to build something and own it. I could sell information products (ugh) or other kinds of information. What else can I do? I'm curious how people with multiple launched products that make money managed to discover their original product. Was it an accident? Copious amounts of market research? Cross-industry experience that allowed them to build for non-engineers?

quickthrower2 3y ago
Looking at a lot of stories that people publish who “build in the open” I think yes people try different things until something sticks but they also often do some talking to prospective customers or some other way to understand the need.