Learn the way hundreds of persons are incomes as much as $2.5M/month on-line.
Good day! Who’re you and what enterprise did you begin?
My title is Jannik and I’m the co-founder and CEO of FactoFly. FactoFly helps freelancers, side-hustlers, and gig staff to guide administration-free lives by caring for every thing associated to their enterprise when it comes to admin.
Our present product is relatively easy however with a huge impact on the way in which our customers run and give attention to their freelance enterprise. Present customers span full-time freelancers to one-off initiatives that should be invoiced.
In all its easy glory: freelancers ship their invoices by means of our platform, are totally insured and compliant with native regulation. Their cash is then paid out to them as an everyday wage. No want for coping with their very own firm and the executive burdens that comply with.
During the last twelve months, we’ve grown the enterprise from 0 to round €130k month-to-month income.
What’s your backstory and the way did you give you the thought?
I’ve been concerned in six different startups all through my skilled profession with varied levels of success. Entrepreneurship has all the time been in my blood since I first bought watermelons on the seaside after I was 13 years outdated.
Having beforehand been working as a freelancer I skilled the burden of administration first hand, and like so many different entrepreneurs, thought that there should be a better method. If I used to be going through that concern, there was an important chance that others have been in the identical place.
I studied the market by means of A LOT of one-to-one interviews with present and future freelancers and obtained beneath the pores and skin of rivals, direct and oblique. That along with a radical evaluation of macro developments and the way the freelancing market was transferring and growing over the following ten-twenty years fashioned an necessary pillar for the enterprise.
After I made my method round city and talked to freelancers throughout varied industries, every thing all of the sudden got here collectively and the penny dropped. This might be the enterprise to deal with this ache and switch frowns into smiles.
Matching my frustrations within the freelancing area with suggestions from others enabled me to begin engaged on a prototype that tackled this concern head-on. I used to be due to this fact fortunate to onboard a handful of customers at first to completely perceive and validate the product earlier than making a full-fledged answer.
Take us by means of the method of designing, prototyping, and manufacturing your first product.
Since my coding abilities are extraordinarily restricted I went on the hunt for a talented developer to assist construct the primary model of the product. The primary time round I discovered some Portuguese guys off of Fiverr who might get this performed very quickly. I used to be thrilled to begin working with them and get the product prepared sufficient for me to work on getting customers.
As you’ll be able to most likely inform, issues didn’t go in accordance with plan. The Portuguese guys delivered a flawed product, and as quickly because the fee went by means of all I encountered was lifeless air from their facet. It was pricey each when it comes to money and time, however being a lesson wiser I moved on to search out somebody who might ship. For others to not make the identical mistake, my greatest recommendation is to have a really clear contract in place the place the tip fee shouldn’t be due till the ultimate product has been delivered.
The primary model of the platform was performed with the assistance of a neighborhood developer who coded every thing right into a wordpress website. The early person interface – which remains to be reside – is nothing fancy. It has a €10 brand and a few inventory pictures. The positioning is kind of naked and lacks a stronger give attention to design and content material, however every thing is constructed on an excellent product and repair.
Attending to the purpose of getting a product prepared sufficient for launching and a working system most likely value round €50k. This contains the bitter “learning-money” from the primary staff of builders – sadly.
That is what our first (and present as of scripting this) website appears like. The attentive reader can most likely spot the primary ten optimization areas.
Describe the method of launching the enterprise.
Getting clients within the very early days was a query of chasing partnerships. We did a bunch of webinars with varied companions on the right way to entice extra clients as a freelancer and picked up numerous leads right here. Concurrently we obtained arrange with paid search directed in direction of a number of lead magnets that confirmed to work greatest.
Do your due diligence in terms of working with individuals you don’t know. It needs to be apparent, however generally you will get too caught up in different individuals’s good intentions, making you find yourself extra pissed off when issues usually are not being delivered as deliberate”.
I don’t have a advertising or progress background, so it was all a query about being impressed by means of podcasts or completely different articles after which speeding to check out issues alone. It was a touch-and-go course of at first, but it surely obtained us off the bottom with paying clients slowly coming by means of the doorways. We landed the very first clients by means of my community and a “come strive it and provides me some suggestions”-cry. Between a (type of) prepared product and the very first clients it most likely took 2 to three weeks.
From the very starting, the corporate has been bootstrapped and we solely spent cash after making them. That additionally meant conserving prices at a minimal: no wage and dealing from a scorching desk at a coworking area. The largest expense up till this summer season was our €800 month-to-month advertising finances. At present we’ve ramped up barely with a month-to-month spend of round €4.000. I might say 2/3rds are most likely being put into Google Advertisements as that is the place we see the strongest traction. Our greatest failure has most likely been our luck with LinkedIn Advertisements: we merely couldn’t obtain an acquisition value anyplace close to what was being delivered by means of paid search.
Reflecting on the beginning, we might have been in a very completely different place if I had been capable of get a tech lead and a progress man/lady on board early on. It could have meant a giant deal to the product and person base in fact, however we might even have had a stronger staff to land an funding earlier. We’re solely simply now beginning to work methodically with a funnel technique primarily led by my new CMO. Implementing that earlier would have labored wonders.
Since launch, what has labored to draw and retain clients?
We’re nonetheless in the midst of fine-tuning our acquisition mannequin, however since our potential customers carry out searches with excessive intent (e.g. “template for sending an bill”), we’ve seen a major enhance in conversions by specializing in optimizing this channel.
We do see fairly a giant chunk of visitors coming from paid – and to be sincere somewhat an excessive amount of for my style. We’re nonetheless at an early stage although and have a give attention to lifting different key areas as properly on this quarter.
Relating to paid social, we’re in a really fascinating check part nowadays, the place we’ve taken 10 completely different visuals and paired them with 15-20 completely different headlines. We’re anticipating these checks to make us quite a bit wiser when it comes to correct messaging, visible fashion, and goal teams.
We see numerous certified visitors by means of natural, however we haven’t had the sources to place a lot effort into this space till now. For this quarter (This autumn 2021) we put additional work into nailing search engine marketing and plan to place out articles regularly paired with an inside give attention to optimizing present content material. Now we have the ambition to be the go-to place for freelancers with content material that may assist them throughout each step of their journey. Our search engine marketing technique could be very a lot supporting this imaginative and prescient.
Tradition is there whether or not you prefer it or not, so that you higher create an surroundings the place individuals really feel protected and cozy from the very starting, and all objectives and ambitions are aligned.
Now we have new individuals on the staff with intensive expertise inside e-mail advertising, why that is naturally a focus as properly. Given our product, our lively customers come again as soon as a month for invoicing their jobs, so we have to work on staying prime of thoughts and getting in entrance of our viewers with high quality content material of their inboxes.
All in all, we’re nonetheless testing like loopy to see what works the very best and are consistently placing within the work to optimize the funnel.
How are you doing immediately and what does the longer term appear like?
We proceed to develop at a double-digit price and have improved our liquidity considerably over the past six months. Every thing we earn is spat again into the enterprise, as we’re making ready the corporate for a seed spherical: Most necessary to us, it’s about getting on the market so we’re taking numerous conferences, gearing up our tech staff, and transforming the pitch deck fairly a bit. As of proper now we’re solely reside in Denmark however we’re hungry to check out new European areas over the following 12 months.
Our staff remains to be small -with simply 4 individuals the workplace area is totally packed – however have spent numerous time planning organizational enlargement to match the expansion ambitions.
We’re slowly gearing up our advertising spend and are seeing an uptick in new customers. There’s nonetheless numerous foundational work that must be performed, each on the product and advertising facet, so we’re grinding to make that work. Now we have began a mid-ish funnel to optimize our conversion factors (i.e. touchdown pages) and are working prime funnel with paid advertisements (search and social) in addition to the aforementioned weblog focus. Backside funnel we’ve a give attention to fine-tuning our e-mail recreation and testing out a referral program. Each our website and branding are prepared for an overhaul, so these are a few of the necessary issues on the agenda for the close to future. We’re strapped for sources so we’re taking issues little by little. First the brand, then the colours, then the above-the-fold part, and so forth. It’s not ideally suited, however we’ll make it work one step at a time.
By way of beginning the enterprise, have you ever realized something notably useful or advantageous?
Do your due diligence in terms of working with individuals you don’t know. It needs to be apparent, however generally you will get too caught up in different individuals’s good intentions, making you find yourself extra pissed off when issues usually are not being delivered as deliberate.
So, my greatest studying in all of that is most likely to have a pointy give attention to tradition from the very first particular person you rent. We’ve needed to make some adjustments to the staff. Tradition is there whether or not you prefer it or not, so that you higher create an surroundings the place individuals really feel protected and cozy from the very starting, and all objectives and ambitions are aligned.
What platform/instruments do you utilize for your enterprise?
A few of our favourite instruments embrace:
- Notion for coordinating just about every thing
- Slack for speaking
- ActiveCampaign for e-mail advertising
- SemRush for search engine marketing monitoring (we use the free model proper now)
- Google’s merchandise are essential for operating the enterprise: Analytics and Search Console particularly
- Canva for creating stunning visuals very quickly
- AgoraPulse for social media administration. It lets us schedule content material throughout platforms (We’re on a one-person free model right here as properly)
What have been essentially the most influential books, podcasts, or different sources?
There are a ton of books we’ve been impressed by throughout the staff.
For advertising, it’s Traction – actionable insights and a stable framework for breaking by means of to clients. For ideas on scaling it’s Blitzscaling by Reid Hoffman. For basic inspiration and a stable learn on the startup journey we get pleasure from Shoe Canine by Nike founder Phil Knight.
Home favorites in terms of podcasts embrace How I Constructed This for studying about different startups’ highway to glory, The Tim Ferriss Present for getting an inside view on prime performers, My First Million for basic enterprise and startup speak, The Information Undertaking for the recent concept and Freelance Friday for staying near our viewers.
Recommendation for different entrepreneurs who wish to get began or are simply beginning out?
This recommendation shouldn’t be by any means unique, however doing trumps pondering each time. We make tons of errors on a regular basis, however since 99.9% are reversible we study extra when pulling the set off than theorizing and discussing the way it needs to be performed.
This method along with speaking to potential customers and clients will go a good distance. I see many entrepreneurs leaping straight to answer mode, and I’m responsible of it myself, however prioritizing buyer growth will assist create a product your customers will love.
Are you trying to rent for sure positions proper now?
We’re on the lookout for a CTO to affix our staff and take the product to the sky. The candidate will probably be incentivized with a warrant program, however the precise particular person should have the ability to relocate to Copenhagen, Denmark, in the intervening time. Drop us an e-mail if this sounds such as you. A job put up will go up shortly.
The place can we go to study extra?
Be taught extra about us and what we do right here:
In case you have any questions or feedback, drop a remark under!
Jannik Flor Borg
Founding father of Factofly
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