🔆  What’s your biggest challenge? Money…. and time

🔆  What’s your biggest challenge? Money…. and time

In one of my calls with a startup CEO last week, I asked: “What’s the biggest challenge you have to overcome to achieve your aspirations?”

Without hesitating, he answered: “Money…. and time…We need funding to accelerate. And time is not on our hands.”

I hear this so often. And so, my next question was: “Do you have enough traction already so that you can leverage that funding to make that little fire a big one?”

He answered: “We have traction – about 100 registered companies, of which 60 are paying.”

“Was this hard to achieve?” I asked.

“No, it wasn’t,” he replied, “but most of them are small, about $50.- a month, where we want to be around $1000 MRR, and ideally into the thousands.”

“What do you think is stopping you from achieving that?” I asked

“Getting noticed,” he replied

Now let me pause here. Cause what we see here is a vicious cycle that’s killing many SaaS businesses.

  1. There’s traction – but with the wrong audience
  2. Not enough money is coming in i.e. runway is running out
  3. This drives the desperation for funding
  4. And then we use that funding to fuel the wrong fire.
  5. Sooner rather than later: Repeat

How to get out of this vicious – super stressful loop?

  1. Stop trying to please everyone – clarify who you are ideally for
  2. Define what’s their most valuable and critical problem to solve
  3. Solve that in a way that exceeds their expectations by a big factor

What will happen is this

  1. The right audience will find you – for the right reasons (not for cool, but value)
  2. They’ll happily pay a premium
  3. They’ll become your fan, come back for more, and bring their peers
  4. That will help build the flywheel to fuel the business

Start small – grow from there.

My question for you to reflect upon

What’s the biggest challenge you have to overcome to achieve your aspirations? What could be wrong at the core if it’s money and time?