$360k June 2016 MRR, $4M ARR, 5000 customers paying $72/mo on average with DaPulse founder Roy Man

Roy Man

In Episode #404, Nathan interviews Roy Man, CEO of Dapulse. Dapulse is a tool designed to solve “inherently problematic” management strategies in businesses. The company has a philosophy of being transparent with their revenue and numbers, all of which you can find on their Instagram page.

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Famous Five:

Time Stamped Show Notes:

  • 01:20 – Nathan introduces Roy Man
  • 01:50 – What is Dapulse?
    • 01:55 – A management tool for your company
    • 02:20 – Solving something that was “inherently problematic”
  • 02:30 – A SaaS business launched in February 2014
  • 03:00 – Currently over 5000 customers
  • 03:20 – Each company, or customer, pays a certain amount, depending on their team size
  • 03:50 – Total MRR in June was $360k
  • 04:15 – See screenshots of their numbers on Instagram
  • 04:50 – They have raised $9 million
  • 05:00 – They started with raising $1.5 million
    • 05:40 – The startup mentality
    • 06:20 – Their valuation was 3.53 million
  • 07:00 – A solid product with a good market
  • 07:15 – A year of product marketing and finding what people were using for management
  • 07:50 – “People think in tables.”
  • 08:25 – The product market fit
  • 08:45 – They started to launch and scale and did a convertible note
  • 09:10 – Their last round of funding was $5 million, with a post valuation of $28.5 million
  • 09:45 – First year revenue was less than a million
  • 10:20 – Customer acquisition cost varies
    • 11:10 – Average is about $600
  • 11:55 – Monthly customer churn is 2%
    • 12:20 – Negative revenue churn
  • 13:30 – Lifetime value is great
  • 14:20 – Churn is not relative in terms of money
    • 14:40 – As you scale, some customers will leave
    • 15:10 – Expand your customer circle as much as you can
  • 15:25 – Team size is about 35
  • 15:40 – Total 2015 revenue was about 3 million
  • 16:35 – Connect with Roy at roy@dapulse.com
  • 17:05 – Roy’s Blog on Medium
  • 19:30 – The Famous Five

3 Key Points:

  1. Create a product that has strong market potential.
  2. Spend time getting to know what your customers will want out of your product or service.
  3. Expand your customer circle as much as you can.

Resources Mentioned:

  • Host Gator – The site Nathan uses to buy his domain names and hosting for cheapest price possible.
  • Freshbooks – The site Nathan uses to manage his invoices and accounts.
  • Leadpages  – The drag and drop tool Nathan uses to quickly create his webinar landing pages which convert at 35%+
  • Audible – Nathan uses Audible when he’s driving from Austin to San Antonio (1.5 hour drive) to listen to audio books.
  • FullStory – Roy’s favorite online tool
  • The Hard Thing About Hard Things – Roy’s business book recommendation
  • Toptal – Great for people to get access to software developers
  • Show Notes provided by Mallard Creatives