Founder stories
Low-code platform that lets developers build internal tools 10x faster using drag-and-drop components connected to any database or API.
How David acquired customers
Tools used to build Retool
With 60 days of runway left, David Hsu pivoted from a UK Venmo competitor to Retool - and had a $1.5M pilot signed by Y Combinator Demo Day.
A few weeks before YC Demo Day 2017, we were burning $1000 a day trying to build a UK-based Venmo competitor. Less than 60 days of runway. Time to pivot.
Building our fintech, we'd created tons of internal tools - fraud detection, KYC verification, withdrawal approval. Then it hit us: all internal tools look the same. Tables, buttons, forms. What if there was a drag-and-drop way to build these faster?
Within days, we had a working prototype. A few weeks later at Demo Day, we announced we'd signed a $1.5M enterprise pilot. The pivot worked.
For the first 18 months, growth was purely outbound. We used Crunchbase to find 10,000 target companies, hired freelancers on Upwork to find leads ($0.10 each), and A/B tested email copy relentlessly. 8% reply rate - right at the SaaS benchmark.
August 2018: we posted on Hacker News and everything changed. Business immediately shifted to inbound. 5, 10, 20 companies signing up daily.
We built tools to watch customers in real-time. When a large account was using Retool at 3:30pm, we'd get a Slack alert. When they hit an error, we knew before they did. We'd proactively reach out: "Hey, saw your query timed out. Want to debug together?" This saved 80% of customers who would have churned.
Pivot when you need to - dont ride a sinking ship
Outbound sales can work if you iterate relentlessly on messaging
Proactive customer success at scale can save 80% of potential churn
Failed launches are just learning - try again with different messaging
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David achieved 4 milestones on the path to $100K ARR
The journey, decisions, and context behind this milestone
See the complete breakdown: launch strategy, validation methods, startup costs, expert analysis, replication playbook, and more actionable insights.
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