> building a $1mil/yr business ($7/mo * 12 mo/yr * 12,000 subscribers) ...
Much easier to do if you sell to businesses. At $100/mo instead of $7/mo you only need 833 customers. I'm nearly there just by adding 1-2 customers a day, which is eminently doable without a team.
Not to derail the original discussion, but I'm curious too - what methods are you using to gain 1-2 users (paying $100/mo) per day? I'm building out a product that I'm marketing to businesses, but am struggling to find ways to actually get the name / brand in front of enough people.
One man writes a novel. One man writes a symphony. One man can write a $1MM ARR SaaS.
One man million dollar software business is very doable if your focus has commercial intent. What marketplace services do people crave, but don’t have ?
and yet business customers might expect more individual attention, where as a consumer product has less of such expectation. you might end up with a lot of support overhead with such a small number of customers. They can start to be demanding, as they know you are beholden to them for revenue....
I haven't found that to be the case. I used to run some retail and consumer services as well. People that spent $2 expected unending support. None of my B2B SaaS subscribers have needed much hand-holding. I get maybe half a dozen support e-mails a day, which often take just a minute or two to type out a reply to with some guidance. Mostly it's new users who just need some help with getting started, after which there is no support burden at all.
If you have 833 customers paying $100/mo, any one of them is just 0.1% of your revenue; you're not beholden to them individually. If they expect unreasonable things of you, then you might not be a good fit for them and can part ways. Sometimes firing a customer is the right thing to do. https://www.groovehq.com/support/how-to-fire-a-bad-customer
Yev from Backblaze here -> Definitely! We charge $5/month and have a support team that's inundated with folks expecting $100/month worth of support. There is something weirdly psychological about it, for example, if you're having a problem with Google, you don't really expect to call them up and complain, same with Facebook. But as soon as you're paying $2/month or $5/month you start expecting a lot of care, whereas if you're an "enterprise" customer, you most likely know the level of care that $100 buys you, so you're more reasonable. It's fascinating!
Much easier to do if you sell to businesses. At $100/mo instead of $7/mo you only need 833 customers. I'm nearly there just by adding 1-2 customers a day, which is eminently doable without a team.