I have had SaaS on my mind for quite awhile.  I have been slow to write my thoughts here, but after some recent conversations I thought I would pick things back up again.  You see, in going through my “sandbox projects” it was interesting to see that I have tried a few different business models in the past; consulting/development (Dogsly/TodaysKicks), advertising on DoBlu.com and Multiplayergames.comconsulting, and of course subscription (SubscribeToIt.com).  Yes the last one was a joke, but I still learned a lot!

For those that do not know, SaaS stands for Software As A Service – which is another way of saying a subscription web service.  Typically these services present some kind of utility via a web app or online software that is provided in a freemium model.  Many SaaS offerings have a monthly subscription plan behind them.

Since the early days of the Internet, charging a monthly subscription fee to users is a way to ensure revenue for a product or offering from the start.  Its also a way of quickly quantifying the value of a customer.  Some early stage companies shy away from charging, at least at first in favor of growing their network.

For me the appeal of these types of businesses are  very simple; you are either a customer or you are not.  

This is a binary outcome for every person.  The idea that someone can sign up for a trial, see if the service provides value, then decide if they want to pay a monthly subscription rate is a very clean way to measure the effectiveness of the product.  It is also a great way to quantify the value of customers you can send to the top of the conversion funnel (those that sign up for the trial).

Trying out a business model is of course not a reason to build something, but when I came across a recent problem that was being experienced by companies both big and small, I recognized a solution that I could provide that just happened to by in the form of a software as a service web app.  I became so passionate about solving this pain for early stage companies that I have spent the past few months figuring out the best solution.

Any project I have launched to date has been a challenge for me and allowed me to learn new things, and this one is definitely the most ambitious yet.  Exciting things ahead!