Road to $1M ARR day 5/60: lost $25k ARR today

told you I'd share the good. the bad. and the ugly...

Day 5 of the $1M ARR sprint.

Lost $25K in ARR today. And I’m surprisingly fine with it.

One of our first clients signed at $60K/year and wanted to downsize. Could’ve held him to the contract but this client had a pattern. Stop, go, stop, go. Always something.

And while he signed for the big package, forcing someone to stay when they want out? That’s how you create a year-long headache.

I don’t have the energy for that. Not during this sprint. Not ever, really.

So we downsized the deal. Custom offering. Everyone’s happier.

I can get back to work.

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As i mentioned few days ago, it’s all about selection criteria.

Not everyone operates with the same fairness and honesty we try to bring to every engagement. Some people will always be transactional. Some will always push boundaries.
One business lesson a mentor taught me is saying no to the wrong $50K deal creates space for the right $500K deal.

(my business mentor is Mr Crab for the curious)

What’s great is last 90 days we just proved our model for finding those deals.

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Two VCs made intros to portfolio companies. We over-delivered for both startups (seed stage).

Now those startups are our best advocates. When their VCs will ask “how was working with Earleads?” they’ll be hearing “amazing, they over-delivered.”

That’s how you become the default partner for an entire portfolio, and i am heavily investing in that GTM channel for Earleads.

I mean think about it for just a second, the VC referral engine can be crazy. One happy founder tells their investor. That investor has 30+ other portfolio companies.

The math writes itself. Could build a $10m ARR company just with 10 VCs relationships.

I know this is right. I’ll keep you posted on how this goes.

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On a side note today, this sprint is teaching me something about intensity.

High highs and low lows. That’s the game I am playing.

Today was both. Lost revenue but gained clarity.

The next 15 days are critical. Then the full month of November. That’s what makes or breaks this challenge.

I need to be more anarchic with my decisions. Have frameworks, yes. But move faster. Trust the gut more (except if i have food poisoning).

This downsized deal free resources going toward clients who actually want to grow.

Who respect the work.

Who understand what partnership means.

That’s worth more than $25K.

ARR: $522K → Target: $1M | Days remaining: 55

See you tomorrow 👊

O.

PS: if any VCs are reading this and want to intro me to portfolio companies, my calendar is suspiciously open. just saying.

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accidentally built a million ARR GTM agency by refusing to spray & pray. now racing to $1M just to prove cold emails gurus wrong.

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