How We built a $1M ARR open source SaaS (plausible.io)

Article summary

The article describes how Plausible Analytics, a simple and privacy-friendly alternative to Google Analytics, reached $1 million in annual recurring revenue (ARR) as an open-source SaaS. The company is self-funded, bootstrapped, and has a team of four. The founders attribute their growth to word-of-mouth, content marketing, and transparency. They share their journey, from the first line of code to reaching the $1 million ARR milestone, highlighting key events and decisions that contributed to their success.

Main themes

• open-source SaaS
• bootstrapped business
• privacy-friendly analytics
• content marketing
• transparency
• lean structure
• customer support
• scaling
• sustainable business model
• lifestyle business
• mittelstand
• execution and focus

What commenters say

• The cost of running the company, including server and marketing costs, is important to consider when evaluating the company's revenue.
• The company's lean structure and lack of sales team keep costs low, allowing for a high profit margin.
• Some commenters believe that the company's revenue is not impressive, given the number of employees and the cost of living in certain areas.
• Others argue that the company's sustainable income, lack of worry about layoffs, and potential for passive income make their business model attractive.
• The open-core model used by Plausible and other companies, where the core product is open-source but additional features are paid, is seen as a viable way to make money from open-source software.
• Some commenters express concern about the potential for other companies to take advantage of open-source projects and sell hosted versions, highlighting the need for non-permissive licenses or other protective measures.
• The importance of execution and focusing on a specific niche or vertical is highlighted as a key factor in the company's success.
• Scaling customer support is seen as a potential challenge for the company's growth, but some commenters argue that it can be managed with extensive FAQs, self-help options, and targeted support.
• The company's bootstrapped and sustainable business model is seen as a positive example of a 'lifestyle business' or 'mittelstand' that can grow slowly and organically without being beholden to VC investors.
• The simplicity of the product and the focus on doing one thing well are seen as key factors in the company's success, allowing them to compete with larger and more complex alternatives.