Recurring revenue: what changes when your business doesn't start from zero every month
What recurring revenue is, what MRR and ARR mean without the jargon, and why thinking in recurring terms changes how you run a business.
Leer más →The lean startup method comes down to build, measure, learn. Understanding it is easy. Applying it while you're in love with your idea is the hard part.
The lean startup method can be explained in one sentence.
Living it is the hard part.
It was popularised by Eric Ries in 2011 with his book The Lean Startup. The core idea is simple:
Instead of planning a lot and launching late, launch early, measure what happens and learn.
The loop has three steps:
Then round again. The more loops you do, and the faster, the more you learn.
Because it goes against how we work.
When you have an idea, you want to build it properly. All of it. Nicely. And you want to show it when it's ready.
Lean startup asks the opposite: show it while it's still a little embarrassing.
It isn't a management method. It's an exercise in humility.
Your idea is a hypothesis. Your customer is who validates it.
"Clubs would pay to automate fee collection." That isn't a fact. It's a hypothesis.
Writing it that way changes how you work. You're no longer building a product. You're checking whether something is true.
"I love it" is worth nothing. "I use it every week" is worth a lot. "Here's my card" is worth even more.
Opinions are free. Behaviour isn't.
Pivoting is changing direction while keeping what you've learned. It's what a good company does when the data says something different from what it expected.
Taking the same product into a second industry, for example, is a way of pivoting without throwing anything away.
Here's the good bit: you don't need to be a startup to use it.
An agency can. A restaurant. A consultant. Anyone about to build something without knowing whether it'll work.
In fact, client work gives you an advantage: every project is a paid experiment. You build for someone real, measure whether it works and learn what repeats.
That's how our products were born. Not from a fifty-page business plan, but from seeing which problems came up again and again.
The lean startup method isn't about going fast.
It's about not wasting time building something nobody wants.
P.S. An example of pivoting without starting from scratch: we took the same product into a second niche.