Latest / The Indie Hacker Podcast with Fexingo: Solo Developers, SaaS Side Projects, and Independent Tech / How a Solo Dev Built a SaaS That Replaced His Salary in 18 Months
Transcript
- Lucas: So there's this story I keep coming back to — a solo developer named Mike who built a SaaS product for local service businesses. Think plumbers, electricians, landscapers. He launched in early 2025, kept his day job for the first year, and by month 18 he was at one hundred twenty thousand dollars in annual recurring revenue. Enough to replace his salary. Luna: That's the dream, right? The side project that actually becomes the main gig. But what I find interesting is how he got there without a big launch or VC buzz. Lucas: Exactly. And that's the part I want to dig into. Because he didn't do the typical Product Hunt launch or go viral on Twitter. He just talked to twenty small business owners before writing a line of code. Luna: Twenty — that's more than most founders do. But still, it's a small number. What did he learn that mattered? Lucas: He found out that most scheduling software on the market was built for enterprises — think Salesforce or ServiceTitan — and it was way too complicated and expensive for a three-person plumbing company. They wanted something simple: a booking page, automated reminders, and a way to take payments. That's it. Luna: Right, so he built exactly that. No AI, no fancy features. And he charged a flat thirty dollars a month. That seems low. Lucas: It is low. But here's the thing — he kept churn under two percent. Because his customers were small businesses that hated complexity. They weren't going to shop around for a better deal. They just wanted something that worked. Luna: And honestly, if today's episode gave you a useful idea or a new perspective, that's the link — buy me a coffee dot com slash fexingo. Just something to keep this podcast ad-free and independent. Lucas: Yeah, totally. No pressure ever. So anyway, back to Mike — the other smart move he made was pricing. He started at forty dollars a month, then dropped it to thirty after a few customers said it was too much. Counterintuitive, right? Luna: Wait, he lowered the price? Most SaaS advice says to raise prices. What happened? Lucas: His conversion rate doubled. And more importantly, those customers stayed. At forty dollars, people signed up but churned within three months. At thirty, they saw it as a no-brainer. They'd keep it on their credit card for years. So his lifetime value actually went up. Luna: That's a great lesson. Sometimes less really is more. But let me push back a little — staying solo, can you really scale past one twenty ARR? Don't you hit a ceiling? Lucas: You do. Mike admitted that. He's at about a hundred and fifty customers now, and he's spending almost twenty hours a week on support. He could grow to two hundred fifty thousand, maybe three hundred, but then he'd need to hire. And that changes everything. Luna: So it's a lifestyle business. And he's okay with that? Lucas: He is. He told me he'd rather have seventy percent margins and total control than chase a ten million dollar exit. He's not trying to be the next Atlassian. He's trying to have a comfortable life doing work he enjoys. Luna: I think that's a really healthy perspective. Especially now in 2026, when there's so much pressure to go big or go home. But I wonder — does he ever regret not taking venture money? Lucas: He had one conversation with an angel investor who offered two hundred thousand dollars for thirty percent. He turned it down. His reasoning was that the investor would push him to grow fast, hire a team, move to a more expensive city. And he didn't want that life. Luna: Interesting. So he knew his own 'enough' number. That's rare. Lucas: It is. And I think that's the real takeaway from his story. It's not about the revenue number — it's about designing a business that fits your life. For him, that meant a simple product, low churn, and no employees. Luna: So what's next for him? Is he going to keep growing, or just maintain? Lucas: He's experimenting with a higher-tier plan — seventy dollars a month — that adds automated invoicing. A few customers asked for it. If it works, he might push toward two hundred thousand ARR without hiring anyone. But he's in no rush. Luna: That's the beauty of bootstrapping. You can move at your own pace. I'm curious — what's one concrete thing our listeners could take away from Mike's approach? Lucas: I'd say: talk to at least ten potential customers before you build anything. And don't be afraid to lower your price if it means better retention. A customer who stays for three years at thirty dollars is worth more than one who leaves after three months at forty. Luna: Solid advice. And maybe also think about what 'enough' means for you. Not every SaaS needs to be a unicorn. Lucas: Exactly. So that's Mike's story. Simple tools, local businesses, and a clear sense of what he wanted. I think we'll see more solo founders taking this path in the next few years. Luna: I hope so. Thanks for sharing that, Lucas. Really inspiring.