Starting A SaaS Business In 2021
Software as a Service (SaaS) has emerged as one of the most exciting areas of business in recent years. This refers to any type of software that is accessed via a web browser or a web-based app. SaaS products are sometimes referred to as a “hosted solution”, cloud-based solutions or “web-based solution” because the software maker hosts their product on their own servers.
A desktop-based approach on the other hand, is one in which an individual or corporation installs software on their desktops and runs it on their own servers. Generally, it uses a subscription model to charge users, making it more cost-effective and user friendly (in the majority of cases). If you plan on starting your own SaaS business, you’ll need to be able to explain this benefit. Elevate it with the value proposition of your own solution, for your own SaaS startup or business.
Before starting your SaaS business, think about logo ideas that will make your brand stand out. As well as what sort of niche your business is going to fill and whether or not you personally will be developing the software. While technical expertise in software development is a good skill to have, it’s not actually necessary. There have been many cases of successful SaaS businesses being founded by people who are unable to code themselves.
Develop A SaaS Solution For A Common Problem
The best software developed is designed with a key goal – to make people’s lives easier. Solving a common problem that people or other businesses face, improves efficiency and makes a task easier or more productive. This doesn’t have to be a completely unique solution to a problem that no one has ever solved. It could simply be a more efficient or effective solution to an existing problem.
Ideally, it should be a problem that you can personally relate to, as this will help you to understand the needs of potential consumers. In addition, it also helps if it’s a problem that faces a particular industry you have experience in. For example, if you’ve worked in the hospitality industry and you come up with a software-based solution to make it easier for guests to book rooms at a hotel.
Write Up Your SaaS Business Plan
No matter what kind of business you develop, you’re going to need to write up a business plan. You don’t have to start with a giant document that goes into a lot of detail. You can simply use one sheet of paper to get started, focusing on the main points. This is normally the quickest way to get your concept down on paper, and it’s the first stage in the lean planning process.
It’s also generally better for SaaS companies that are more likely to be clear on the plan, as they often involve innovative ideas. Ideally, the business plan should include a pitch that addresses what the business is going to do, how it’s going to do it and how it will generate income. In addition, it should include a timeline of who is doing what and when.
Validate Your SaaS Business Idea
You might think your idea is incredible and truly life-changing, but if your target market doesn’t feel the same way, the company will never get off the ground. That’s why it’s important to validate your idea before you get started. In this phase, you’ll determine whether the assumptions you made in your plan are correct. Then make changes to your plan to reflect what you’ve learnt. You’ll do so by attempting to answer the following question: “Can my idea generate revenue?”
Rather than diving right into your first and favourite concept, this stage serves as a check. It will assist you in determining whether you have a decent idea that can be developed into a successful business. Speak to the people your product will be targeting and use surveys to get their opinion on the features of the SaaS and how it can benefit them.
Analyse SaaS Business Competition
While your idea might be unique, the chances are that you’ll already have some competition from other software. Aside from knowing your customers, it also pays to know the competition inside and out. You can find out what they’re doing that you’re not and what specific advantages your SaaS product offers over theirs. It’s beneficial to have competition in your market. It indicates that an issue has been identified.
The goal is to figure out which aspect of your competitors’ solution is lacking. What do customers desire that they aren’t getting right now? Keep in mind that your competitors might not be visible at first. It’s possible that the business you’re entering has a lot of different companies supplying services. Make sure you spend time learning about and understanding how customers and competitors solve the problem you’re trying to solve and then look for a route from there.
