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Dear SaaStr: What’s The Number One Challenge for Scale-Up Stage Founders?

SaaStr

In SaaS, once you have even a few million in ARR, the #1 challenge is recruiting top-tier VPs and building a truly top-tier management team: SaaS products mostly don’t sell themselves. You can hack managing and finding 1–3 reps yourself, but after that, you really need a VP of Sales. She can be your CTO forever.

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5 Interesting Learnings from Okta at $2.5 Billion in ARR

SaaStr

Founder CEO Todd McKinnon was VP of Engineering at Salesforce and left to start Okta in the depths of the last downturn. Seat Contractions Have Brought NRR Down From 120% to 111% While 111% NRR is still quite an engine at this scale, the drop in NRR from seat contractions explains a good chunk of the headwinds Okta has seen. #2.

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Everything is Sort of the Same at a Given ACV (Annual Contract Value)

SaaStr

But there’s one thing I can tell you in SaaS, at least: Almost Everything Except the Product Itself is Sort of the Same at a Given ACV (Annual Contract Value) Level. You may need solutions architects, more sales engineers, more support. Your engineers can build complex features that only a handful of customers use.

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What’s The #1 Challenge After $1m-$2m ARR?

SaaStr

In SaaS, it is recruiting your VPs and management team : SaaS products mostly don’t sell themselves. You can hack managing and finding 1–3 reps yourself, but after that, you really need a VP of Sales. Or churn will increase, NPS will stagnate and decline, and upsell and revenue retention will be a fraction of what it could be.

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Meet the SaaStr Europa 2022 Speakers!

SaaStr

Dave Kellogg, Principal @ Dave Kellogg Consulting. Michael Manapat, Head of Engineering @ Notion. Krista Moroder, Director of Engineering @ Checkr. Pierre Alain Bouchard, VP of Engineering @ Zendesk. Pierre Alain Bouchard, VP of Engineering @ Zendesk. Giorgos Ampavis, VP of Engineering @ Tide.

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The Founder’s Guide to Developer-led Growth with WorkOS (Video)

SaaStr

They’re able to actually swipe a credit card, and what starts off similar to a freemium self-serve product can turn into a six-figure contract in just a few months. Bottom-up sales. It might even be months later that a VP of Engineering or a CTO or CFO realizes that they’re built on a new platform.

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How to Hire A Great VP Sales: The Full Video and Transcript

SaaStr

One of the first what How to Hire a Great VP of Sales at the New York Enterprise Tech Meet-Up (thank you to John Lehr and Work-Bench for setting this up). The Number One Thing You Can Do to Accelerate Your Business Post-Initial Traction is Hiring a Great VP of Sales. I don’t know anything about sales.