How to find a $1M SaaS idea

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Building a $1M saas is not as hard as it looks.

I’ve done it 5 times. Tweet Hunter, Taplio, Revid.ai, Outrank.so, SuperX.so

Here’s how you can find YOUR $1M idea 👇🏼

Let me break it down:

A $1M valuation at a 2.5x yearly multiple (pretty normal for a saas) means $400k ARR.

That's $35k MRR.

$35k MRR means 350 customers at $100/month. Or 700 customers at $50/month.

That's it. That's the whole math.

Your idea doesn't need to change the world.

It just needs to find 350 to 700 people who will pay you consistently every month.

The process problem

Here's what most builders get wrong before they even start.

If you have the same process as everyone else, you'll have the same ideas as everyone else.

Scrolling X, seeing a trending problem, and starting to build it means you're competing with everyone who saw the same thing at the same time.

There are really only two types of founders when it comes to finding ideas.

The first type has spent years in a specific industry.

They know the pain better than anyone.

Existing companies have deep incentives not to fix those problems because it disrupts their workflows or management structures.

2 classic examples:

Elon saw that rocket parts cost a fraction of what NASA was paying for finished rockets. The math made no sense. SpaceX was born.

The Loom founders were frustrated explaining bugs over email at their jobs. Screen recording existed, but nobody had made it seamless. They fixed it.

Your industry knowledge makes you see something obviously broken that everyone else has accepted as normal.

This is the ideal scenario. But most people aren't there. Most people, including me in 2021, start with no deep industry knowledge and no obvious idea.

And there's a specific process that works from that position:

The 10% rule

Your success rate when creating new products will probably be 10% at best. This is the case for Levelsio, Marc Lou, probably me too.

Which means going all in on one idea is the worst thing you can do.

Build more instead.

10% success rate across 10 ideas means something works.

This is why the "one product per week until something sticks" process exists.

I did it back in 2021. Others have done it. It works because it forces you to ship instead of plan, get real feedback fast, and move past the 80% that will be garbage before it costs you a year of your life.

What a good idea actually looks like

Not every idea that could work will work for you specifically.

The idea needs to fit:

Your skill set

What you enjoy doing

It needs to be something you can work on for a long time without getting bored

And it needs to fit the marketing style you're naturally good at, whether that's SEO, content, ads, or 1-1 sales.

Tools like Outrank handle SEO on autopilot, and SuperX handles content distribution. But if you hate writing and hate SEO, building a product that lives or dies on those channels will drain you fast.

You can't know all of this from day zero. The more you build, the more you understand what fits.

The validation

Timeframe your work. Always. 2 weeks maximum per idea.

At the end of that time, ask four questions:

1 - Are people signing up without you chasing them?

2 - Are they coming back on their own?

3 - Are they paying without heavy convincing?

4 - Am I even getting feedback?

Yes to all four: keep going.

No to any of them: kill it and move to the next one (unless there’s an obvious fix)

At the end of the day, you have to understand this:

A $1M SaaS idea isn't a flash of inspiration. It's what survives this process.

And everything starts with building more.

Build more. Validate faster. Kill quicker.

Reply and tell me:

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Tweet of the week

Make it a rule: 2 hours of building for every 1 hour of content consumption.

Thank me later.

Until next week,

Keep building

Tibo 💻

P.S. If you can't find 700 people who'd pay $50/month for your product, the market is too small. Start there before you write a single line of code.