How early on should I be able to detect scalability problems in a SAAS business?

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Pretty early.

Even today, with much more elastic systems than just a few years ago, I see resource contention, downtime, and other issues start to pop up constantly with hacked apps around $500k – $1m in ARR.

In other words, just as you are finally figuring it out and getting to Initial Traction.

In the beginning, the customers will forgive you when the app is too slow here and there, or unavailable for a bit … you are a new vendor after all.

But they won’t forgive you for that long. You get about 3 chances.

Then they move on, if not literally, then in their hearts and minds. – Read more


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