Before we begin, let’s explain what SaaS stands for. SaaS stands for “Software as a Service.” It’s a way of delivering software over the internet, usually through a subscription. Think of services like Dropbox, Slack, or Google Workspace, which are all examples of SaaS.
You might think you need a lot of money to start a SaaS business, but that’s not always true. Rob Walling, one of my best friends who has started and sold several successful startups, shares some tips on how to do it even if you don’t have much cash.
What Usually Costs Money in SaaS?
1. Making the Software
If you know how to write code, you can make the software for free (except for your time). But this part can be tricky and expensive if you’re not a programmer.
If you are not a programmer, the good news is that you can easily build AI micro saas without coding.
2. Getting Customers
This is often the hardest part of starting a business. You need to find people who want to use your software and are willing to pay for it. While it can be cheaper than building the software, it still takes a lot of effort.
3. Advertising and Selling
Paying for ads can get expensive quickly. Selling your product also takes time and energy, which can be costly if you need to hire someone to do it.
You can advertise your SAAS product on Facebook free of cost.
How to Start Saas with Little to No Money?
Don’t Rush to Make Your Business Official
In most places, you don’t need to officially register your business immediately. You can start as a “sole proprietorship.” This means you’re just an individual doing business without creating a separate company entity.
Use Free Tools and Learn for Free
There are lots of free tools out there to help you get started. For example, you can use Stripe to accept payments without paying anything upfront. You can also learn a lot about starting a business from free videos and online articles.
Team Up with Someone
If you’re not a programmer, you might want to find someone who is to be your business partner (also called a co-founder). But remember, they’ll be bringing valuable skills to the table, so you need to contribute equally in other ways.
Try No-Code Tools
Some tools let you create simple software without knowing how to code. Some examples are Zapier, Google Sheets, Bubble, and Airtable. These can help you create a basic version of your idea to test if people like it.
How to Market Your SaaS Without Spending Much
When you don’t have money for ads, try these free marketing methods:
1. Make your website show up in Google searches (this is called SEO)
2. Create helpful content like blog posts or videos
3. Partner with other businesses
4. Reach out to potential customers directly
5. Go to events where your potential customers might be
These methods are free, but they take time and effort.
The Step-by-Step Approach
Rob suggests a method he calls the “Stair Step Approach.” Here’s how it works:
1. Start with something small and simple. This could be writing an e-book, creating an online course, or offering consulting services.
2. Build this small business until it’s making steady money.
3. Use the money and experience from this first step to create something bigger or more complex.
4. Keep repeating this process, creating a slightly more ambitious business each time.
5. Eventually, you’ll have enough money, time, and experience to start your SaaS business.
This approach helps you learn important skills like finding customers, marketing your product, and managing a business. It also lets you earn money that you can use to fund your SaaS idea.
Wrapping Up
Starting a SaaS business without money isn’t easy, but it is possible. It takes a lot of hard work, some skills (which you can learn), and a bit of luck. The key is to start small, learn as you go, and slowly build your way up to your SaaS dream.
Remember, many successful businesses started in someone’s garage or spare bedroom. The most important thing is to get started and keep learning and improving. You can turn your SaaS idea into a real business with patience and determination, even starting from zero.