Entrepreneur Stories 4⃣ Inspiration 141: How FreshBooks became a Successful SaSS Business... with Mike McDerment of FreshBooks
Jan 1, 2021
Mike McDerment, co-founder and CEO of FreshBooks, built a cloud accounting empire from an accidental invoice mishap in his parents' basement. He shares his inspiring journey, shedding light on the transformation from a struggling designer to a SaaS leader. Topics include strategic pricing, customer loyalty, and the tough early days of startup life. McDerment also discusses the emotional challenges of entrepreneurship and the importance of self-care, illustrating how inspiration and resilience are vital on the road to success.
AI Snips
Chapters
Transcript
Episode notes
Humble Beginnings in Basement
- Mike accidentally saved over an invoice and started building FreshBooks to solve his billing frustrations.
- They worked from his parents' basement for 3.5 years with a small team, building their customer base slowly.
Price Based on Customer Value
- Understand the true value your product provides by asking customers what's its biggest benefit.
- Price your product as a fraction of that value and communicate that clearly to customers.
Smart Pricing Questions
- Avoid directly asking customers how much you should charge; it often leads to conflicted answers.
- Instead, ask how much they think the product is worth and listen carefully to gauge true value.