Consulting Work to Fund Product Development

One of the more common entrepreneur strategies is to use consulting work to generate cash to then fund product development. In fact, the most successful fast-growing software company in Atlanta, MailChimp, is actually owned by The Rocket Science Group, which for many years was a web design firm. The Rocket Science Group built MailChimp after…

Gall’s Law and Startups

Business of Software has a great video up by Des Traynor, co-founder of Intercom, where he talks about why Product Strategy is About Saying No. A couple minutes into the video, he cites Gall’s Law, which is critical for anyone in the startup field: Gall’s Law A complex system that works is invariably found to…

Custom Work to Win SaaS Deals

As a follow-up to Balancing Desire for Full Paying Customers with the Need for Discounting, I was asked about doing custom work to win a deal. For example, statements like “I’m very interested in your product but it has to do X before I’d buy it” are common from prospects. For Software-as-a-Service (SaaS), this is even…

The Cold Start Problem for Products

Recently I was talking to an entrepreneur about his Software-as-a-Service company and he was excited that this new company didn’t suffer from the cold start problem he had previously. Not having heard this term before, I asked him to explain it to me. The cold start problem is when someone tries out a new product,…