19 min listen
799: SaaS: How He Grew To $200k MRR, $2m Raised at $7m Cap
799: SaaS: How He Grew To $200k MRR, $2m Raised at $7m Cap
ratings:
Length:
19 minutes
Released:
Oct 1, 2017
Format:
Podcast episode
Description
Olin Hyde. He’s the co-founder and CEO of LeadCrunch.ai, an intelligent demand generation platform that accelerates sales with high precision analytics and content delivery. In less than 10 months since they’ve launched, the company has grown to more than 90 customers and are getting 300% higher sales conversion rates. Famous Five: Favorite Book? – Humans What CEO do you follow? – Elon Musk Favorite online tool? — Salesloft How many hours of sleep do you get?— 8 If you could let your 20-year old self, know one thing, what would it be? – Olin hoped he would have known how important linear algebra is Time Stamped Show Notes: 01:38 – Nathan introduces Olin to the show 02:09 – The last exit of Olin was Auto-Semantics that analyzed social media feeds 02:22 – It was sold to ai-one 02:28 – Olin spent 2 years with ai-one 02:38 – LeadCrunch started with healthcare 02:51 – LeadCrunch has beat IBM Watson 02:59 – LeadCrunch is using their targeting technology to help mid-market companies find their next best customers 03:17 – Olin shares why they’re targeting SMBs 03:34 – Olin likes to work with people who help others make their dreams come true 03:43 – LeadCrunch’s first product was Private Alpha with 1,070 small businesses signups 03:56 – LeadCrunch stays away from the enterprise because they like the idea of democratizing the power of AI to enable everyone to achieve their dreams 04:08 – LeadCrunch’s business model is a combination of subscription and on-demand 04:42 – It is still early for LeadCrunch’s SaaS model, so most of their revenue is from on-demand 04:53 – With on-demand, LeadCrunch got 130 rebooks from customers in just 90 days 05:17 – Average customer pay is $20K 06:05 – Olin won’t call their revenue ARR, but on-demand 06:40 – LeadCrunch has a customer success function 06:50 – LeadCrunch was launched in August 2015 07:27 – Trailing 12 months revenue is around a million dollars 07:36 – Monthly revenue is around $200K in bookings 07:46 – The product was launched in September 2016 08:04 – LeadCrunch was initially bootstrapped and has raised about $2M in capital 08:36 – LeadCrunch has kept the cap of $6M 09:33 – LeadCrunch has around 90 lifetime customers and 55 on their current product line 10:50 – Olin shares the weirdest thing he did to get a customer 11:44 – Gross margin 12:03 – LeadCrunch optimizes for growth and not for margins yet 12:48 – Customer payback period is 2.1 months 13:15 – On-demand customers pay as LeadCrunch delivers 13:36 – LeadCrunch’s CAC decreases as they get more customers 13:57 – Paid spent is around $6500 14:41 – LeadCrunch does A/B tests to discover new funnels 14:58 – LeadCrunch is influenced by Traction of Justin Mires 15:18 – LeadCrunch is conservative and capital efficient 15:35 – Team size is 15 16:04 – “We could get cash flow positive in 60 days if we want to” 17:40 – The Famous Five 3 Key Points: Work with people that you believe in the most. Revenue models vary depending on which model works best for the company. Cash flow positive is great, but you shouldn’t have to sacrifice your people to reach it. Resources Mentioned: Simplero – The easiest way to launch your own membership course like the big influencers do but at 1/10th the cost. The Top Inbox – The site Nathan uses to schedule emails to be sent later, set reminders in inbox, track opens, and follow-up with email sequences GetLatka - Database of all B2B SaaS companies who have been on my show including their revenue, CAC, churn, ARPU and more Klipfolio – Track your business performance across all departments for FREE Hotjar – Nathan uses Hotjar to track what you’re doing on this site. He gets a video of each user visit like where they clicked and scrolled to make the site a better experience Acuity Scheduling – Nathan uses Acuity to schedule his podcast interviews and appointments Host Gator– The site Nathan uses to buy his domain names and hosting for the cheapest price possible Audible– Nathan uses Audible w
Released:
Oct 1, 2017
Format:
Podcast episode
Titles in the series (100)
EP 84: How to Spend $.05 Per Click and Make $2 On that Same Click with Bazi Hassan: Nathan Latka brings you top entrepreneurs daily inspired by Tim Ferriss, Pat Flynn, John Dumas, Entrepreneur on Fire, Chalene Johnson, NPR, HBR, the StartUp podcast, Art of Charm, Dave Ramsey, Planet Money, APM Marketplace, Mixergy, Seth Godin, #AskGaryVe by SaaS Interviews with CEOs, Startups, Founders