Owning your SaaS company seems more inviting when considering these numbers. But how do you start a SaaS company without money and technical skills? What are the main things you need to know before starting a SaaS company? This, we have prepared for you is everything you need to know on how to start a SaaS company without money and technical skills.
In today’s world, tech startups are the big deal bringing in a lot of money. The utilization of programs, codes, and a user interface to solve a problem and get customers is quite popular. Software as a service in particular, which involves providing a service using software on the internet, is taking the world by storm.
In 2017, SaaS businesses were said to have generated a revenue of about $58.8 billion and by 2019, the value skyrocketed to $85.1 billion. As it is, the 2022 prediction for the value of SaaS in the tech industry is at $143.7 billion. This billion-dollar industry is making it big and driving economies.
Where Do I Begin When Starting a SaaS Company?
Starting a SaaS company without funds or technical skills is a skill on its own. Where to begin and how to go about it needs clear understanding.
The following steps are synchronous in their methodology and require you to follow each step judiciously. Creating your SaaS business from scratch is where to begin and it involves the following;
1. Start With An Idea
If you want to start a tech company, such as on specific to Software as a service, you begin with an idea! The idea behind a software service is the foundation it is built upon. Your idea could be an innovation or a reinvented one. However, beginning with an idea that could solve a problem is where to begin.
Most Software as a Service product always aims to solve a problem. What problem are you now looking to solve?
What will your service bring to the table? Is the app going to be a task-based or a social app? Who do I want to create this product for? These are questions you need to ask yourself.
The idea you should come up with should be to able to solve a problem. No one would want to get involved with a software service that does not do anything in terms of functionality. The solution you are trying to show the world should be able to solve a problem.
2. Determine the Measure of Your Market Value
Once you have come up with a projection of where a simple thought could go, you need to determine the measure of your business. Any business projection should carry always along with the potential customers and once there is a target projection for customers, you have to measure your market value.
If you are trying to solve a problem, then your service will have a value that could be reimbursed with money. But how do you determine if your business is marketable?
Take a pen and paper, write down every detail of the software service. Put this into a question and answer format and do a mini-survey to prospective clients to get input if this is marketable.
A software service or product is only guaranteed to sell if you get input from prospective clients. The survey should be given to friends, families, neighbors, and coworkers.
If the funds are available, use an online survey service for more detailed output. Get explicit full detailed advice from these potential customers. Understand their reservation, if they have any.
Check out this article on Saas valuations that I found informative.
Try to ask if they will pay for such a service and their reasons for not paying. This first initial survey is you discovering your market value. It is pitching the idea of a potential SaaS business to the general public to understand opinions and the true feasibility of the success of your internet-based software service in the global market.
3. Develop Your MVP
When the question of if your software service is marketable is settled, you can move on to developing an MVP, minimum viable product.
What is an MVP?
The MVP is the basic design and the skeletal prototype of your SaaS product. It will contain all the features and functionality that you have to visualize and conceptualize. The MVP is turning a concept into a full action prototype.
This is what makes it different from the survey. The survey is a guide that will teach you what will work and why people feel it won’t work. You are taking those feedbacks to guide you in building and creating the MVP.
Pitch this design to the customers again to get additional feedback. The feedbacks this time are undoubtedly more structured, in comparison to the initial survey done. This feedbacks are the actual response from direct users of your skeletal product.
Any positive or negative response is used to fine-tune the MVP. Adjustments made to the MVP is inputted in the final software product model, which could be a pen and paper drawn model containing all the features and functionality that you want in your SaaS product.
4. UX Design
Now that a full-fleshed design model is available, hire the services of a UX designer to create a wireframe. The purpose of the wireframe and prototype is to bring your MVP to life. It is a physical depiction of the plans that you have worked so hard to build.
A wireframe will contain all the user experience and interface information in a nonfunctional way. It is the design of your website that a developer will base the development of your application software upon.
Web designers are not a cheap service to find. They cost a lot if you are hiring on your team. To find a cheaper UIX designer, doing a thorough search on sites and platforms like Fiver, Freelancer, and Upwork is the way to go.
There you get the services of good designers at a reasonable price, where you do not have to spend funds to acquire services.
Tips to Help in Choosing A Good UX Designer
These sites might be foreign to you if you do not have any technical work that has required a freelancer before. So, you may need some direction to aid you in your pick.
- Check for Verification
If you do not want to fall victim to a scammer or a fake account, check the verification status of the potential designer. This will reduce the chances of hiring a fake account.
- Check for Reviews
The beauty of freelance platforms is the reviews present. You can check for reviews from previous jobs the freelancer has done. The previous reviewers should be about 3 or 4. If they are great reviews then it is safe to choose the freelancer.
If they are negative reviews, going for another is more advisable. Although, no review is not necessarily a bad thing, to remain on the safer side, choosing a freelancer with good reviews is necessary.
- Price Range
You do not have a lot to spend. Pick a Freelancer in your budget range. Whatever little you are spending must be utilized to the best of its potential. But if you have the time and no money to waste on a freelance UIX designer and you have no friend or family that can help out, Figma, Mock plus, and Wireframe.cc are sites where you can get free wireframe templates.
Some of these sites have a free trial attached to signing up. The cost of choosing freelancers is cut drastically this way.
5. Web Development
Once there is a wireframe and design prototype, a web developer handles the business from here on. The web developer creates your product and inputs every functionality to create a working system.
The cost of hiring a web developer will vary according to your location. In a location like the US, the cost of web developers is higher compared to Africa, India, and the Philippines.
If you cannot find a service company within the cheaper range locations to fit into your budget, online platforms like Fiver, Guru, and Upwork will have verified professionals that will handle your business at a low cost. Follow the tips for choosing a UIX designer to aid you in choosing a web developer.
6. Testing and Quality Assurance
Although you will feel like your web application is complete after the creation, it is not. Test run the service yourself before paying your web developer. Check for possible bugs and beta tests on several devices. Make sure nothing is wrong, and everything is up and running.
The very minute your website is complete, your SaaS company is established and done without a large sum of money and technical skills. From here on, marketing and management take charge, and continual progression is only imminent.
Starting a SaaS Company Without Building from Scratch
What happens if you do not have the time or resources to start from scratch? How then can you start a SaaS business without money and skills? Is this even possible?
Yes! I can guarantee you that owning a SaaS company without money and skills is possible without starting from scratch. These are the following ways and options available for you;
Become A White Label Partner
Building a SaaS startup is hard and has a very high risk. Time and management capacity may not be something that you can afford. If you are someone like this, being a white label partner is perfect. White Label refers to purchasing a product or service created by someone else and reselling it as yours.
Therefore, becoming a white label partner will aid you in avoiding all the excesses involved in creating a SaaS business from scratch.
Buying the SaaS license gives you the leeway to customize the SaaS business into your brand and build on an already existing customer base. With practically no technical abilities, you can own a SaaS business and drive in the revenue you want.
A lot of startups are businesses that will need to gather in any form of investment possible. So, if you want to take a more relaxed route, investing your savings into an existing SaaS business is perfect. This way, you only get to monitor the activities and the status of your investment.
If possible, partner with the company team and join in the operation. All of these would not require you to own hone any technical skills.
The completion of your SaaS company does not always mean business is over. It means the SaaS business has just begun. There are intrinsic things you have to do to maintain the business. Core and rigorous marketing are the first steps.
Remember the initial market value survey and test you did with the MVP use that to build a marketing strategy. Of course, marketing is not cheap. This is why you will need investors. A fully-functional working SaaS business is easier to pitch to an investor than a blank canvas.
If you have enough funds to run your business upon creation, build your official team. If you built your SaaS business from scratch, finding an investor will be difficult, so instead, a white label partner is more suitable and feasible.
In marketing try to avoid giving out free trials for a long period. Avoid pricing too low or too high. Your pricing model should be according to your marketing strategy and your financial standings. Paid acquisitions should be paired with influencers and affiliate marketers to boost the presence and relevance of your SaaS business.
Use good quality content for your website and take advantage of your blog to push your service agenda. Do not focus on competitors and their activities but develop a plan that works for you and your company.
Starting a SaaS company from scratch is hard. It is difficult to work. But there are steps defined that will guide you. If you have no money or technical skills at all, joining in as a white label partner is suitable and perfect.
Deciding to start something new might be hard but, consider every step and start your SaaS business today.