Bootstrapping a side project into a profitable seven-figure business

https://projectionlab.com/blog/we-reached-1m-arr-with-zero-funding

Discussion

bruce511
It's so, so , so hard to walk the line between persistence (which leads to glory) and stubbornness (which leads to more time following already wasted time.)

Congratulations for walking this line correctly.

I agree that some sort of market validation is necessary to at least pretend you are on the former not the latter. Those early usage spikes are helpful reminders that there is a business here somewhere.

I'll also make a note that you spent time on marketing from the early days. Writing blog posts, promoting said posts, having a Discord server, committing to answer emails, all of this is marketing and its likely lead to success more than the code.

I notice whenever there was a dip in revenue, marketing (in the form of more blog posts) was the response. I suspect that was intentional, and definitely a better approach than "let me go away and silently code more features."

So there are valuable lessons to others here. Congratulations not just on the current success but also on sharing the path that leads to success. Ultimately you can show the way, but you can't make people learn from it.

Oh, and I like the bootstrapping approach. I did the same, and I'm not sorry. It's longer and harder but also skips an enormous amount of extra work.

scubakid
Thanks. For a while there, it wasn't clear to me which side of the line I was walking.

Something that stuck with me from Poor Charlie’s Almanack is that low expectations are a cornerstone of a happy life. I built this for myself first, so when people actually signed up and paid, it was incredibly motivating. I was thrilled to spend my free time treating those early customers like royalty and building more of what they wanted.

If I had instead come into this with the expectation of quick success, I doubt I would have made it through those early years.

And cheers from one bootstrapper to another. It's not easy, but I can't imagine a more rewarding way to build.

chatmasta
Another lesson here: you built for a specific community who is passionate, money-motivated, and concentrates in specific social spaces (forums, reddit, etc.) where you can promote your business. This isn't always a recipe for success, but it's a damn good starting point. You need to adjust to the sensitivities of the community to avoid overly self-promotional content, but you always have a clear channel to promote your very specific product that meets their needs.
katzgrau
+1 from someone who also bootstrapped a side project into a 7 figure business, and just happens to be absorbing some lessons from Poor Charlie’s Almanac on Audible recently.
scubakid
ha I listened on Audible too. great audiobook for a walk after dinner. Charlie's advice really holds up. which part have you gotten the most out of so far?

also, congrats!

teiferer
> It's so, so , so hard to walk the line between persistence (which leads to glory) and stubbornness (which leads to more time following already wasted time.)

> Congratulations for walking this line correctly.

As much as I like to agree with this message ... isn't there a big portion of luck involved here that makes the difference between the two sides of this line? In other words, aren't we seeing huge survivorship bias at play here?

That's what makes the line so hard to walk. Surely skill helps, but more than most like to admit it's the unpredictability of outside forces that makes the line really hard to walk.

k1t
What I'd really appreciate is a demo/sandbox version where I can try out the functionality without having to enter anything personal.

I appreciate that you have a (generous looking) free tier and various screenshots - but it just seems like something I'd want to play around with before taking the time to create an account and start entering personal data into.

bentocorp
Great post and congratulations.

Similar approach and story to myself, in that I started a side project for my own use and interest, and then released it to great feedback as a side hustle, went part-time and over the last 2.5 years managed to go full time.

I've yet to reach your $1M ARR though.. but hopefully getting there one day!

Recently wrote up a Year in Review which touches on similar learnings as you've written over the last year:

https://www.magiclasso.co/insights/ad-blocker-year-in-review...

Have also had a keen interest in FIRE over the years and hadn't heard of your product... personally I've just kept my own spreadsheet which runs through scenarios, progress etc.

scubakid
Congrats on 350k downloads, sounds like you had a good year! You mentioned SEO finally kicking in. Do you attribute that to anything in particular? Any strategic changes you made? Also curious how you incorporate AI tools into your workflow, if at all.
bentocorp
> You mentioned SEO finally kicking in. Do you attribute that to anything in particular? Any strategic changes you made?

I attribute the search traffic growth to:

1. A critical mass of content, after a number of years of writing - without a lot of search traffic for the first few years

2. Re-wrote and polished some of my earlier articles so that they were improved

3. Wrote more guides related to my app which were helpful to users; such as:

Safari Extensions Guide - https://www.magiclasso.co/insights/safari-extensions-guide/

Best Web Browser - https://www.magiclasso.co/insights/best-web-browser-2025/

> Also curious how you incorporate AI tools into your workflow, if at all.

Not a lot myself, except for sometimes helping with polishing and checking of writing and sometimes coming up with options etc.

In my experience AI tools are like having a junior assistant – they can be helpful but you always need to check and polish everything they do.

scubakid
In terms of scale/footprint, roughly how many articles did it take to achieve that critical mass of content?

And yeah, with the state of AI tooling, I think junior engineers, assistants, new grads, etc, may currently have the most to worry about.

bentocorp
It's not a lot of articles in total - only 35, with the first being published over 7 years ago.

You can see the full list here: https://www.magiclasso.co/insights/

Perhaps the age of the content helps, though I haven't done a deep dive into SEO practices myself. In the last year, when search traffic increased, I've increased the output to almost 1 article per month.

bigiain
Not the OP, but a quick look at the /sitemap.xml shows about 55 pages, the oldest of which seem to be dated 2018.
Ozzie_osman
Co-founder of a somewhat complementary and somewhat competitive product. Just dropping in to say what Kyle has done with Projection Lab is nothing short of phenomenal. This is a tough space to build in, and he's built an amazing product.
scubakid
Thanks Ozzie, that means a lot coming from you. Building successfully in this space requires a passion for it, and that really comes through with the work you and your team are doing too.
bz_bz_bz
I like to think a portion of your success came from having such great OMSCS SDP group project partners ;)

Congrats on what you’ve accomplished. Always fun to read the updates.

scubakid
haha yep it all traces back to designing that android app for solving cryptograms XD
rorylaitila
It's an impressive accomplishment. I've always struggled to get through the valley of despair in a new project. I've decided that I can only build and sell things that I regularly use. Otherwise the signal is just too weak, and I eventually get burned out. But if I'm always a user of one, then at least it's validated for me.
scubakid
Caring is kind of a superpower. And not just in terms of signal, but also the quality of work. I don't think this would have gone anywhere if I hadn't cared deeply about solving the problem in an elegant way.

Earlier in my career, I worked on some things as a corporate engineer that were hard to care about, and there's just no comparison.

fuzzfactor
>The willingness to doggedly show up every single day can take you to some really suprising and amazing places.

>Caring is kind of a superpower.

>the quality of work.

>I was thrilled to spend my free time treating those early customers like royalty

Well, the secret's out, thanks for that, now anybody can do it ;)

eastbound
On my million-dollars project (now 10 employees) I hired someone for the support. She wasn’t in the startup ecosystem. What she was most surprised of / had to train most for was our requirement of benevolence: Always help the customer, even when it’s not in our scope.

She thinks I’m a superboss, but I keep repeating her: We have to be nice to customers, we also have to give benefits to employees, otherwise both would leave us. It’s not a choice, it’s market pressure.

scubakid
What ecosystem was she in before?
mkatx
Aw shit.

*drawing-board

matesz
I really like the ability to skip setup and go for sandbox presets with premium features paywalled - this seems like an obvious choice.

Most SaaS products like these require you to go through their complicated setup just to see what they are about.

Also, highly recommend "The Mom Test" by Rob Fitzpatrick - https://www.momtestbook.com.

It is so revealing, especially to people like me who naturally tend to think that just automation of processes is going to make something people want. This book is, by far, the best resource I found to get out of that mindset and learn how to get real feedback.

dvt
Amazing story and huge congrats! It's funny how the tool itself seems quite niche-y, but bootstrapping to 1M ARR in 4 years definitely proves that hypothesis wrong; fantastic job :)
fishtoaster
It's niche, but I wasn't really able to find anything else like it. I wanted to project our some retirement scenarios and my options seemed to be:

- Any of a few dozen "retirement calculators," each consisting of 6 fields and very simple outputs

- Building out a series of buggy spreadsheets

- Projection Lab

After messing around for it a bit, it was a "shut up and take my money" situation. It was cheap, it was powerful, it was nice to use, and it has been the foundation for my personal financial strategy for the last few years!

scubakid
Thanks! Initially I had been looking around for an existing tool to use myself, so I knew there was at least one person out there willing to pay for something like this. And r/financialindependence has 2.3m members, so I hoped there might turn out to be more than one.
yesimahuman
Congrats! I'm a customer. Haven't used it too much but so far I like having it to check in periodically. One wish list item: live securities prices to avoid having to copy/paste values all the time. For example, with that you can have a live snapshot of the values in most brokerages
scubakid
Account linking for automated balance updates is our most upvoted and most controversial feature request.

I agree it would be really nice if it worked well, but my understanding from other founders is that aggregator reliability still leaves a lot to be desired in 2025, and is always a huge expense and support burden. As a small, bootstrapped team building a long-term planning tool where current balances are only a small piece of the picture, we need to be really careful about what we choose to take on. Currently there are still dozens of other high-priority feature requests that will also deliver real value but without those downsides.

I do go back-and-forth on this though. And I think eventually there will come a time for it.

Glad to hear you're enjoying the tool, and thanks so much for your support!

p.s. also might be worth noting that there is a plugin system, and community members have built integrations that can pull in balance updates automatically from some of the popular budgeting tools.

pixelmonkey
To provide a data point from a long-time ProjectionLab user, I don't really need account linking. I use Monarch Money to link cash and CC accounts to track spending.

I use a custom Google Sheet to track retirement portfolio performance. If =GOOGLEFINANCE isn't enough, there is a nice paid extension called WiseSheets, which adds a =WISE function that fills all the gaps.

My monthly ProjectionLab process is to update the "Current Finances" values on the first of the month, using the values from the other tools. Works well enough for me!

scubakid
I'm glad to hear you have a workflow for updating current finances that's already serving you well. I do plan to add a lot more automation/integration options, it's just always a question of where to invest my time to deliver the most value to the community efficiently.

Something people don't always realize instantly is that with a long-term planning tool, the point is to spend the bulk of your time focused on the future, not fixating on all the latest daily stock price fluctuations... in fact, those can sometimes be a source of noise/distraction.

adventured
Live is overkill, all they'd need is an every 30-60 minute update on equity prices, which is not an overly expensive thing to acquire. With a 65% profit margin in their business, this is a dead-obvious feature they should be automating away to save their users a sizable headache.
CalRobert
I saw this, thought "wow this is great, I sure miss living in the US where good tools like this are available, everything in Europe is crap" but lo and behold, there's the Netherlands tax preset. Fantastic.
scubakid
I think there may be a few wrinkles in the nl tax code that are tricky to capture with the current framework, but it has been a goal from the beginning to be as inclusive as possible for international scenario modeling. I'm continually making refinements there, and always open to ideas and suggestions if you have some.
CalRobert
They’re complex, especially with the thirty ruling and constant box three changes, but it’s still better than some US only tool
mdorazio
Congratulations! But I’m disappointed with no mention of profit level in this post or another one linked. My last business I scaled to 500K ARR in less than two years, with $20K in total annual profit including the $0 my cofounder and I paid ourselves for many hours of work. I shut it down a year later and strongly regret the amount of work I put into it.

There’s an ARR metric trap in the founder community where people focus on revenue rather than on reaching a level of take-home income comparable to what they could make at a normal job. The former is a lot easier than the latter (especially in the US for people who can take home $250K fairly easily working in tech) - as the saying goes, you can make infinite revenue by selling dollars for 99 cents.

scubakid
Profit margin started out around 90% in the early years, but is looking more like 65% this year now that we're making a concerted effort to reinvest into growth, building a team, etc.
FredPret
If ARR grows enough, there should be plenty of room in there to pay the founders.

For extreme examples of ARR growth at 0% profit paying off, look at Uber, Amazon, and ServiceNow. I know these are very much outliers. All three had rapid revenue growth but profits at (or far below) zero. But for all three, the founders are sitting pretty today.

https://valustox.com/NOW

https://valustox.com/UBER

https://valustox.com/AMZN

aledalgrande
> For extreme examples of ARR growth at 0% profit paying off

Pretty sure parent was referring to gross profit, because that's what you'd look at to pay your salary. These examples are not relevant.

chrisweekly
I don't think I'd call earning $250k "easy". Yes a significant % of us on HN are there, but we're still in the minority.
hermitcrab
I share your frustration with the endless focus on revenue, rather than profit (looking at you, indiehackers.com). I suspect in many cases it is because they are embarassed to disclose their profit.

But congrats to the OP. It is impressive growth for a bootstrapped business.

Crisco
Congrats! I’ve been a customer and have used it monthly since April 2021 when I first saw it here. It has been essential in planning out major life financial decisions as I’ve changed jobs, gotten married, and now as we consider children and purchasing a home.

I’ve appreciated the addition of new features over time and have recommended the tool to many friends and relatives. Hope to see another post in a couple years when you’ve hit $10M/yr!

scubakid
I'm grateful to hear it's made such a difference for you, and that early support back in 2021 means more than you know. In the down months and challenging times, it's the encouragement from early adopters like you that kept me going.
mNovak
I remember seeing this on HN years ago. Congrats on the growth! I think this is still an underserved field (shockingly, considering how many people it impacts).

I really wish just saving a basic plan to refer back to didn't cost $100/yr. The one-off 'Basic' plans never made sense to me, considering it takes hours to set up a relatively complete model -- might not even have time to do it all in one sitting.

jonkuipers
Thanks! Supporting Basic users comes at a real cost, but we want planning to stay accessible for everyone. To us, one-off planning feels like a better alternative than stripping down the product or selling user data.
dvrp
Congratulations man, it makes me so happy to read this and I can relate to that dopamine rollercoaster phenomenon you are talking about.
scubakid
aww thanks, glad to hear it resonates.

it seems like every founder has their own version of that rollercoaster.

which moments from yours do you feel you learned the most from?

ggap
Congratulations! It always helps if you start with solving it for yourself. A marketer like Jon is every side project strength
jonkuipers
Thanks! Kyle solved it for me too, which is how I found him. He lit the fire and I'm just tossing on more logs.
nico
Great success story. Congratulations

Also, thank you for sharing the ups and downs. Seeing the details of the monthly bars chart was super enlightening. I usually only see the nice looking overall positive growth chart without any nuance, so I really appreciate the transparency

Hope you keep going and growing

scubakid
Thanks! Seeing indie hackers building in public transparently about the ups and downs like pieter levels, danny postma, jon yongfook, etc, really inspired me early on. So I decided to try to emulate that. (Well, partly: idk how some of those guys post 100x a day)
ipaddr
The validation piece I don't understand. From first sale to first dip to each peak and fall when was the validation reached? First sale, 1k revenue?

You can find 5 users who will pay but that doesn't validate a million a month.

What does product validation mean here.

scubakid
I think it can vary from person to person depending on your goals. For me, an important signal was that complete strangers were willing to pay. That first Show HN post made all the difference. Without that, this could have ended up in my side project graveyard with 100 other projects.
vladmk
Curious to how many projects you launched you personally resonated with before this one
scubakid
I've only published a small handful of things with a buy button, and all of them were things I used myself. I got into coding in middle school learning how to make simple 2D games to play with friends, and the vast majority of my personal projects over the years have just been for fun.
pan69
Maybe validation isn't one big moment, but maybe validation could be many small moments. So, those first 5 users: small validation. First 1K MRR: small validation. Etc. I think the point of the article is to be persistent and if you're getting small validations along the way, then those are indicators to keep going. At least, that's my take.
xyzzy9563
I only have a product that makes $6k per month, but from my point of view, the validation is how many paying users sign up per day. Even one per day can add up. Hope this helps.
growbell_social
If you can make 6k per month. You can probably get to 60k per month.
wayoverthecloud
Could you share what worked for you? Is it B2B/b2c? I guess that matters too for the type of marketing to focus on?
plentysun
Amazing, this is super cool!
AstroBen
Congrats!

Wondering if you have any tips for what worked well with marketing?

scubakid
after that first Show HN back in 2021, the majority of our growth has been product-led and word-of-mouth.

some bloggers and thought leaders in the financial independence space also found the tool and shared it in the early years, which helped get some momentum going.

we're finally starting to make a little headway now with SEO, and we're beginning to reinvest/experiment with some paid channels for the first time this year.

ilamont
During the first few years, I was approached by dozens of potential “partners.” Several wanted an outsize equity stake to essentially just make suggestions.

A warning to others starting new ventures: once you get a whiff of traction, and sometimes even before then, the parasites will ooze out of various nooks and crannies, attempting to latch onto a fresh new host.

HN loves to pound on MBAs weaseling their way into startups, but opportunists may come from unexpected quarters.

I experienced a classmate sidling up to offer "translation services" for 2% of outstanding shares. Then there was a startup that proposed a "merger" which would basically allow them to walk away from failure in exchange for equity.

montakaoh
Congrats!! I can definitely relate to that roller coaster feeling of first internet money -> "its so over feeling" though definitely not as successful as you yet :D
scubakid
I hope the roller coaster takes you to a similar destination in the end :)

What's your journey been like so far?

noisy_boy
To OP, does this focus on US customers or covers the context for international customers too?
jonkuipers
We noticed a lot of tools neglect international use cases, so from the beginning we've focused on building with global flexibility in mind. About 80% of our customers are US-based, but we have users all over the world and offer international tax presets and account types.
braden-lk
Nice! How did you go about finding a growth marketer that was a good fit with your business?
jonkuipers
I found him and he originally told me to get lost ;)
noisy_boy
The first sign of a good marketer :)
davidw
Congratulations!

> Back in 2021, I was inspired by the financial independence movement and wanted a better way to plan my own life. I couldn’t find the right tool, so I started building.

That sounds a bit like selling shovels to the miners. Which is not a, uh, dig at the project, just an observation.

suriya-ganesh
Everything can be modeled as selling shovels to the miners.

We're all building tools for other people. As long the users like a product, I think it's moot to call it shovel selling.

davidw
I think it depends on what the people are hoping to accomplish with the shovels and how realistic it is.

In this case it seems legit.

artur_makly
great timing. In fact, I was just looking for somethin like this. Was going to vibe-code this into life, but your price point is spot on and frankly I prefer supporting other fellow entrepreneurs.

The struggle is real, thank you for being a positive light to all who are on this path. Best to you!

scubakid
thanks, that means a lot. wishing you the best on your journey too!
feizhuzheng
it is like some bias where everyone is talking about it but no one actually did it except for very few people
pinkmuffinere
Congrats! Great to see you succeed through perseverance and just-not-giving-up!
neom
Kyle and I talked when he wasn't full time on this yet, I wanted to invest in it, well, anyway we talked about it a lot. Sufficed to say: I am SOOO proud of him! Genuinely awesome and brilliant dude. :)
scubakid
Those conversations got me thinking about a lot of the right things early on. Really appreciate your encouragement and belief back then!
combyn8tor
How has your experience been running a discord server? I imagine it's useful for feedback but time consuming to manage? I'm reluctant to start one as I'm concerned about the time consumption.

Also, how did you find Jon and what was their skillset when you met? Did they come on as a contractor in the beginning?

scubakid
I think managing any community is time consuming, but I like that discord feels real-time and efficient, with fun emojis, easy media sharing, and a mix of text channels and forum channels.

For the first few years, I was up at all hours answering questions. It feels amazing to offload some of that now that we have more of a team.

Like he mentioned in another comment here, Jon actually found me.

johncole
Wow congratulations!
vladmk
And now he’s definitely gonna break 100k in MRR with this viral post keep going! :-)

Wonder what the equity split ended up being with the growth partner probable 60/40 at best for Jon

malpani12
Congratulations!!
akomtu
It would be just as interesting to hear what mistakes you have made and what you would do differently.
scubakid
One thing I'd do differently is quit my day job earlier. It shouldn't have taken 2.5 years to work up the courage to do that.

Partly I was scared of putting my own projections at risk. But eventually I realized I'd have way more regret if I passed up the opportunity to go all-in on something I loved.

rvz
> Bootstrapping a side project into a profitable seven-figure business in four years.

Good. But I think this is the most important piece of advice that one should follow:

> Actually show up every day.

It is the easiest thing anyone can do, however, it is the hardest for anyone to do every. single. day. nonstop.

fuzzfactor
>I’m still processing that this is real.

>that only counts recurring revenue.

>monthly revenue has consistently been 20 to 50 percent higher.

That's the way to do it.

Where you virtually have to go back and figure how much earlier you had actually reached a major milestone.

danr4
kudos!
DidYaWipe
Wow, that whole thing was completely devoid of useful content. Does it even say what the product or service is?

"We’ve also added a few contractors to the team. And these guys are legends. They come straight from the ProjectionLab user community"

So... the product was obviously built, because it had a "user community;" so now they've added contractors? Whoop dee doo.

Is there some advice or playbook we're supposed to take away from this? Or is it self-congratulatory spam?

dvt
Why are you being such a stick-in-the-mud? It's an interesting and inspiration post on HN about a successfull bootstrapped indie startup. HN is primarily a startup & tech-driven community, so obviously we're all interested in stories like this. In fact, I miss the days where HN was almost solely startup post-mortems or success stories. How is the post even remotely self-congratulatory spam?
joak
Survivor bias

Failures don't get on HN front page

Hey, btw congrats :-)

tomhow
People do post their failure stories, or "post mortems", on HN and elsewhere. We should be able to make space for both as both offer valuable lessons.
cyral
https://news.ycombinator.com/item?id=37903489
hermitcrab
Not true. This post made the front page (in the distant past):

https://successfulsoftware.net/2010/05/27/learning-lessons-f...

owebmaster
failure posts are way less interesting than the authors think they are.
lelanthran
> failure posts are way less interesting than the authors think they are.

It depends; you can learn a lot more from a failure than from a success. Every success has some element of good luck in it but that element is difficult to identify.

Every failure has a number of non-luck related reasons for failing, which are usually easily identified.