What it takes for your startup to
GROW
and become a
GENERATIONAL
company?
The scale itself is a powerful moat because of the brand, customers, and profits.
Yes, when you start, you are a small fish, but,
the goal is to be the big dog in the category you operate.
When you are less than $5M ARR, do everything possible to maintain at least 6.5% MRR growth.
At 6.5% MRR growth, you double your MRR in a year.
You can triple if you grow at 11.5%.
Whatever works, you make it repeatable and grow it until it doesn’t scale.
You need relentless repeatability in G2M, product-delivery, and customer success.
Exceptions have to be truly an exception.
Fine-tuning is necessary to continue to keep up with the growth rate and if possible increase also.
Without predictability, you can’t scale your MRR.
To scale, you need to invest in people and tools, which require $$s.
Predictability of MRR helps you allocate your $$s in people, marketing, and all other investments
You need to instrument your overall flow so that you can see your metrics on a daily basis.
This helps you understand what percentage of your customers are profitable and where to squeeze your costs.
If existing players in the market happen to be slow and old school, it is an extraordinary opportunity.
If it is the case, just gobble up customers and cut through the competition.
Once you have a product-market fit, make it repeatable, predictable with positive unit economics and do everything possible in increasing the growth