Rob Walling

Someone wrote into this podcast, I believe, and said, I heard that most bootstrap SaaS companies plateau at 20 or 30K. Why is that? And the answer is, that's not true. It's not that most do. I see SaaS companies plateauing early because they don't have product market fit.

Someone wrote into this podcast, I believe, and said, I heard that most bootstrap SaaS companies plateau at 20 or 30K. Why is that? And the answer is, that's not true. It's not that most do. I see SaaS companies plateauing early because they don't have product market fit.

I see them plateauing at 20 or 30K because they only have one marketing approach and the top of funnel is their churn is too high. And I see them plateauing at a million ARR because their churn is too high or they've tapped out the market. There's all these reasons, right? And then they can plateau at three million because competitors, blah, blah, blah.

I see them plateauing at 20 or 30K because they only have one marketing approach and the top of funnel is their churn is too high. And I see them plateauing at a million ARR because their churn is too high or they've tapped out the market. There's all these reasons, right? And then they can plateau at three million because competitors, blah, blah, blah.

So lots of different reasons for plateauing and it is a very common topic of conversation. The third one, unfortunately, is co-founder disputes.

So lots of different reasons for plateauing and it is a very common topic of conversation. The third one, unfortunately, is co-founder disputes.

where one co-founder is leaving wants to leave thinks the other should leave is asking for advice about a buyout or should they just walk away should they give some equity back there's it gets really complicated it is like a divorce because folks have worked together have been friends have built and started something that is valuable sometimes not valuable enough you know if it was worth 20 million dollars then maybe you sell it and split the money but if it's worth

where one co-founder is leaving wants to leave thinks the other should leave is asking for advice about a buyout or should they just walk away should they give some equity back there's it gets really complicated it is like a divorce because folks have worked together have been friends have built and started something that is valuable sometimes not valuable enough you know if it was worth 20 million dollars then maybe you sell it and split the money but if it's worth

half a million or a million and you've spent years working on it, do you really want to liquidate that to the, you know, what's going to be the lowest bidder? Because you're not going to get a great price for it and distribute a few hundred thousand dollars to each person that they get taxed on. You know, it's just, it's tough. So I don't mediate co-founder disputes 100%. I'm not a mediator.

half a million or a million and you've spent years working on it, do you really want to liquidate that to the, you know, what's going to be the lowest bidder? Because you're not going to get a great price for it and distribute a few hundred thousand dollars to each person that they get taxed on. You know, it's just, it's tough. So I don't mediate co-founder disputes 100%. I'm not a mediator.

We do have folks that we recommend our founders talk to if they need that. But I definitely am someone that people talk to about advice. Hey, here's what's going on. How should I think about it? What are my options? That's usually the big one is, what are my or our options in this case? And of course, now I have a whole laundry list of options when these things come up.

We do have folks that we recommend our founders talk to if they need that. But I definitely am someone that people talk to about advice. Hey, here's what's going on. How should I think about it? What are my options? That's usually the big one is, what are my or our options in this case? And of course, now I have a whole laundry list of options when these things come up.

And the fourth one that folks get my advice on is raising funding or selling a company. And usually it's not like, how do I raise funding? It's... How should I think about this? Should I raise funding or sell the company? There are questions then about what are next steps and how should I think about it? What are typical valuations? All of that.

And the fourth one that folks get my advice on is raising funding or selling a company. And usually it's not like, how do I raise funding? It's... How should I think about this? Should I raise funding or sell the company? There are questions then about what are next steps and how should I think about it? What are typical valuations? All of that.

But as you can see, I get brought in at big strategic points. Now I also get brought in, I got brought in for some great just nitpicky questions the other day of like per seat licensing, advice on how to optimize a marketing channel, what marketing, let's brainstorm marketing channels to go after next. But if I'm grouping them, it really is those four that I mentioned.

But as you can see, I get brought in at big strategic points. Now I also get brought in, I got brought in for some great just nitpicky questions the other day of like per seat licensing, advice on how to optimize a marketing channel, what marketing, let's brainstorm marketing channels to go after next. But if I'm grouping them, it really is those four that I mentioned.

As a reminder, I have six more learnings that I did not mention in this episode that I mentioned over on the YouTube channel. You can click the link in the show notes or go to microconf.com slash YouTube and look for a video with approximately the same title as this episode. And another reminder, if you are a SaaS founder,

As a reminder, I have six more learnings that I did not mention in this episode that I mentioned over on the YouTube channel. You can click the link in the show notes or go to microconf.com slash YouTube and look for a video with approximately the same title as this episode. And another reminder, if you are a SaaS founder,

And you want the right amount of funding, advice, mentorship, community, tinyc.com slash apply. Applications are open now. And if you are an accredited investor and you're interested in investing in companies like this, the Tiny C Millionaire rate is 43% on companies no longer in operation. So obviously we're having some success. Head over to tinyc.com slash invest. You can fill out a form there.

And you want the right amount of funding, advice, mentorship, community, tinyc.com slash apply. Applications are open now. And if you are an accredited investor and you're interested in investing in companies like this, the Tiny C Millionaire rate is 43% on companies no longer in operation. So obviously we're having some success. Head over to tinyc.com slash invest. You can fill out a form there.