Stair Step Bootstrapping
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A framework for bootstrapping software businesses by starting small and progressively moving to more complex products.
Core Philosophy
- Start with simpler, easier-to-maintain products before complex SaaS apps
- Build experience and revenue gradually
- Focus on sustainable growth through proven steps
The Stair Step Approach
- First Step: Simple Products
- Build WordPress plugins, Hubspot add-ons, or Salesforce extensions
- Benefits:
- Less expensive to develop
- Easier to maintain
- Lower technical complexity
- Faster path to revenue
- Second Step: Revenue Growth
- Grow revenue to $8-10k per month
- Use this income to:
- Buy out your day job
- Gain independence
- Build experience in running a software business
- Final Step: Complex Products
- Only move to SaaS products after gaining:
- Experience running software businesses
- Stable revenue stream
- Understanding of market dynamics
SaaS Development Considerations
- MVP Costs:
- Budget: $10-30k for initial development
- Requires ongoing maintenance budget
- Non-Technical Founders Should:
- Pre-sell before building
- Secure enough revenue to justify development costs
- Have funding source (side job or investors)
- Maintain relationship with development agency for ongoing support
Key Success Factors
- Start small and validate before scaling
- Build experience before attempting complex products
- Ensure sustainable revenue at each step
- Maintain focus on manageable technical complexity
- Consider long-term maintenance requirements
25:44 - 26:10
Full video: 01:18:14RW
Rob Walling
Serial entrepreneur with six startups and multiple successful exits under his belt. Co-founder of MicroConf and General Partner of TinySeed, a B2B SaaS accelerator investing in over 170 startups.
Host of "Startups For the Rest of Us" podcast and author of "The SaaS Playbook," empowering bootstrappers worldwide.