Reading Time: < 1 minute

E188: Where and When to Reinvest in Your B2B SaaS as it Grows

by Sean Boyce

In this episode, Sean advises B2B SaaS businesses to focus on profitability as their products grow. Once companies validate their ability to attract users and paying customers, they should calculate their gross margin to determine profitability and break down revenue and variable costs. Sean believes that profits should be invested in support or growth, specifically in low-touch products. By building processes and delegating tasks, businesses can measure their performance against outcomes to ensure return on investment.

Get our awesome product content delivered daily-ish to your inbox

Sign up for my free email course on how to build a profitable AI-powered B2B SaaS for less than $750

Key Points

  • Validate ability to attract users and paying customers
  • Calculate gross margin to determine profitability
  • Invest in support or growth
  • Build processes and delegate tasks
  • Measure performance against outcomes
  • Focus on return on investment
  • Optimize for SEO and content creation
  • “Online sources, your website and marketing can really do a lot of the heavy lifting when it comes to bringing you new customers.”
  • “I like to build the process, I like to test it myself and verify that works.”
  • “Set output goals in terms of how much output that I want to produce.”
  • “This episode is really about A, how to make sure that you are performing well enough financially as your product continues to grow, and then B, what you might do with some of that budget once you’ve achieved that milestone.”