Money, pricing & model

How do I start a SaaS business?

Pick one painful workflow you know from your own work, sell it before you build it, and ship the smallest version that does that one job. In order: talk to people who have the problem until you can describe it in their words; get a few to commit as design partners or pre-pay; build the thin version (an AI app builder or no-code tool is enough to start); and charge from the first customer, pricing on the value you create. To get paid in India, Razorpay's standard plan takes 2% a transaction. To sell abroad, Stripe India charges 3% on cards issued outside India and opens by invitation, or Paddle acts as merchant of record and handles foreign sales tax for 5% plus 50 cents. Exported software services are zero-rated under GST; file a Letter of Undertaking at the start of each financial year so you do not pay IGST upfront and wait for a refund. Then track the few SaaS metrics that matter (churn, CAC, payback) and keep costs low until revenue carries you.

Part of SaaS on eChai Explore.

Go deeper

9 resources, 9 link-checked.

📖 Book
✓ Link checked Paid Intermediate

Walling's whole case is that a niche too small for big competitors is precisely where a focused founder has room to win. He is practical about validating demand before building and marketing to a defined audience. If your worry is that your market looks unglamorous, this book argues that is a feature, not a flaw.

Start Small, Stay Small

From Rob Walling (robwalling.com) by Rob Walling

  • A niche too small for giants is your breathing room
  • Validate demand before you build
  • Marketing to a defined audience beats chasing everyone
Open robwalling.com →
📄 Article
✓ Link checked India Free Intermediate

Most GST explainers stop at the 40 lakh / 20 lakh threshold. This one is written for founders who need to decide whether to register voluntarily before they are forced to, and it makes the B2B case concretely: a registered vendor can issue tax invoices so buyers claim input tax credit, and you recover GST paid on AWS, SaaS, and rent. It also covers the 2025 GSTR-2B mismatch reality, so you register with your eyes open on the filing burden.

GST Compliance for Startups: ITC, IMS, Registration, Deadlines

From Treelife by Treelife 15 min read

  • Mandatory registration is 40 lakh turnover for goods and 20 lakh for services in most states, but interstate supply and e-commerce force registration regardless of turnover.
  • Register voluntarily early if you sell B2B: unregistered vendors force buyers to eat the tax, and you cannot reclaim input credit on tools, ads, or rent without registration.
  • GST is an ongoing filing commitment, not a one-time step: ITC now depends on GSTR-2B auto-matching, so supplier compliance directly affects the credit you can claim.
Open treelife.in →
📄 Article
✓ Link checked Free Intermediate

Patrick Campbell built ProfitWell on pricing data from thousands of companies, and this is the single best free deep-dive on SaaS pricing strategy. It's the canonical starting point for value metrics, segments, and packaging.

Pricing Your SaaS Product

From lennysnewsletter.com by Patrick Campbell (ProfitWell), via Lenny's Newsletter long-form guide

  • Get your value metric right and you can afford to get other things wrong
  • Pricing is built on quantified buyer personas and willingness to pay
  • Optimize pricing quarterly, it's an ongoing process, not a one-time decision
Open lennysnewsletter.com →
📄 Article
✓ Link checked Free Advanced

David Skok's For Entrepreneurs work is the foundational, near-universally cited source on SaaS unit economics and modeling. It's where the LTV:CAC and CAC-payback conventions were popularized.

SaaS Metrics 2.0, Detailed Definitions

From forentrepreneurs.com by David Skok long-form reference

  • Unit economics (LTV:CAC and months to recover CAC) reveal long-term profitability
  • Simple LTV formulas break when revenue expands over a customer's lifetime
  • Build financial models from real drivers, not top-down market-share guesses
Open forentrepreneurs.com →
📄 Article
✓ Link checked India Free Beginner

Freshworks sold its first customer (a school in Australia) four days after launch and grew to a NASDAQ IPO without a US sales team in the early days, making it the definitive proof that Indian founders can sell globally from day one. This is the founder's own distilled playbook, not secondhand analysis.

7 Lessons from Building an India-Based Global SaaS Business

From Freshworks, The Works by Girish Mathrubootham (Freshworks) via The Works ~12 min read

  • Act like a global company from inception even as a tiny Chennai team targeting the world
  • Find a live market pain (Zendesk's price hikes) and be there when the door opens
  • Hire for hunger and drive over pedigree in your early sales and product team
  • Authenticity and founder story can resonate globally even without a known brand
Open freshworks.com →
🛠️ Tool
✓ Link checked India Paid Beginner

India's most used payment gateway for small businesses, taking UPI, cards and netbanking. The pricing page lists a standard fee of 2% plus GST per transaction, with no gateway fee for the first 90 days on its current offer and custom pricing above ₹5 lakh a month.

Razorpay pricing

From razorpay.com by Razorpay

Razorpay Payment Gateway on eChai Explore

  • Payment Pages give you a payment link without any coding.
  • Budget 2% plus GST of every online sale as the cost of collecting it.
Open razorpay.com →
🛠️ Tool
✓ Link checked India Paid Beginner

Stripe's India pricing: 2% for cards issued in India and 3% for cards issued outside India, with no setup or monthly fees; Stripe India is by invite.

Stripe India pricing

From stripe.com by Stripe Pricing page

Stripe on eChai Explore

  • International cards cost 3% per transaction.
  • There are no setup or monthly fees.
  • Stripe India accounts are by invitation, so apply early.
Open stripe.com →
🛠️ Tool
✓ Link checked Paid Beginner

Paddle acts as merchant of record for SaaS and apps, handling global sales tax and compliance, for 5% plus 50 cents per checkout transaction.

Paddle pricing

From paddle.com by Paddle Pricing page

  • 5% plus 50 cents per transaction, with no monthly fee.
  • Paddle is the seller of record, so it collects and remits sales tax abroad.
  • Worth it when you sell to many countries and do not want to register for their taxes.
Open paddle.com →
🛠️ Tool
✓ Link checked India Free Intermediate

The founder-led community of Indian SaaS builders, now growing into AIBoomi, with its Playbook, annual conference, roundtables and city chapters on building a global software company from India.

SaaSBOOMi

From saasboomi.org by SaaSBOOMi Community

  • Read its Playbook material before pricing and selling abroad.
  • Find your city chapter to meet Indian SaaS founders who have done it.
  • Its programmes and roundtables connect early founders with operators.
Open saasboomi.org →

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