Startups For the Rest of Us

What would it mean for you to leave 60 or 70% of your company's value on the table when you sell? In this episode, Rob sits down with Einar Vollset, co-founder of TinySeed and founder of Discretion Capital, to talk about his new book, The Definitive Guide to M&A for B2B SaaS between $2 and $20 million ARR. They dig into why private equity now dominates the buyer landscape, why growth and churn are the top two valuation drivers, and how the myth that "startups are bought, not sold" could cost you millions. Einar also explains the danger of running your business past its peak growth rate before selling, why ARR multiples matter more than profit, and how the right M&A advisor can add 30 to 300% to an initial offer. Episode Sponsors: This episode is brought to you by Mercury Mercury is the banking solution I use across all of my businesses, from my personal single-member LLC to MicroConf and TinySeed. Traditional banking is broken, slow wires, clunky interfaces, tools that feel like they were built in 2005.  Mercury is what banking should feel like in 2026. Everything just works. Whether it's daily bill pay or wiring large sums to the dozens of companies we invest in each year, Mercury handles it. Simple when I need simple, robust when I need approvals and controls. Over 300,000 entrepreneurs have made the switch. When founders ask me where to set up their account, I send them to mercury.com.  Free to get started, no in-person visits, no minimum balance. Mercury is a fintech company, not an FDIC-insured bank. Banking services provided through Choice Financial Group and Column N.A., Members FDIC. Everyone's talking about AI in marketing. But AI without strategy just means generating more bad marketing, faster. The founders who win aren't the ones using the most tools, they're the ones with a real system behind their growth. Positioning, persuasion, conversion. That's what moves the needle. That's what Conversion Factory does. They're a SaaS marketing and design agency that has worked with over 100 startups, including several TinySeed companies. Book a call at https://conversionfactory.co/ and mention this podcast for $1,000 off your first month. And if you're at MicroConf US in Portland, grab Corey Haines in the hallway track to see how they can help you. Topics we cover: (3:34) – Why Einar wrote an M&A guide for SaaS founders (5:26) – How founders leave value on the table when selling (8:22) – How private equity moved down market (11:24) – Choosing the right broker or banker (12:55) – Platform acquisitions vs. tuck-ins explained (19:24) – Why "startups are bought, not sold" is wrong (25:48) – Growth and churn as top valuation drivers (30:02) – Why ARR multiples matter more than profit (34:34) – The danger of running past peak growth Links from the show: The Definitive Guide to M&A for B2B SaaS between $2–20M ARR Discretion Capital MicroConf US (Portland) - April 12-14, 2026 MicroConf Mastermind Matching MicroConf Mastermind Playbook TinySeed Exit Strategy...

How do you find someone who thinks like an owner, not just a task-doer? In this episode, Rob digs into a batch of listener questions about task level, project level, and owner level thinkers. He covers how to identify them, what they cost, where to find them, and why building a team of exceptional people creates a virtuous cycle that lifts everyone up. Topics we cover: (4:13) – Defining task, project, and owner level thinkers (7:32) – Are owner level thinkers born or built? (10:16) – Compensation ranges for owner level thinkers (11:53) – W2 vs. contractor for senior hires (15:53) – Do you actually need owner level thinkers? (17:36) – Where to find project and owner level thinkers (20:16) – How long to integrate them into your company (24:40) – How to identify them in job interviews (29:38) – Why you won't always get hires right Links from the show: Rob Walling's Essays Rob Walling’s Newsletter Rob Walling YouTube The SaaS Playbook Remote First Recruiting  MicroConf TinySeed  SaaS Institute Discretion Capital If you have questions about starting or scaling a software business that you'd like for us to cover, please submit your question for an upcoming episode. We'd love to hear from you! Subscribe & Review: iTunes |Spotify

What happens when AI starts competing with your open source business? In this episode, Rob Walling sits down with Adam Wathan, co-founder of Tailwind CSS, for a candid conversation about the dramatic revenue decline that forced Tailwind Labs to lay off most of their team. Adam shares the hard lessons learned from running a business based on one-time purchases, why he didn't see the slowdown coming, and how an honest podcast episode accidentally turned everything around. Then they switch gears entirely to talk about founder fitness: how Adam lost 70 pounds, his 15-minute weighted vest workouts, and why tracking strength gains can be more motivating than watching the scale. Episode Sponsor: Hiring engineers right now is kinda broken. AI resumes, fake profiles, people who look senior on paper but can't ship anything real. G2i cuts through all of that. They've pre-vetted over 8,000 engineers- not "we glanced at their GitHub" vetted, actually tested with live technical interviews. Contract or full-time- just tell them what you need and within days you're reviewing real candidates. And you get a risk-free trial. If it's not a fit, they'll replace the dev in 24 hours. G2i is trusted by companies like Meta, 1Password, and countless bootstrapped founders who need to move fast without making expensive mistakes. Get a 7-day free trial and $1,500 off when you mention Startups for the Rest of Us at https://www.g2i.co/rob  ️ Want to attend their AI Miami in April? Use promo code use Rob50Off Topics we cover: (4:43) – Adam's history with Tailwind CSS (5:17) – Revenue decline and the "boiling frog" problem (8:30) – Making the hard decision to lay off the team (11:39) – The viral podcast episode and unexpected sponsors (13:07) – Should Tailwind have used recurring revenue? (21:20) – Enterprise pricing and team licenses (25:47) – What's next: Ui.sh and swimming downstream with AI (27:40) – Founder fitness: 15-minute weighted vest circuits (33:01) – Tracking strength gains as motivation (39:13) – Did getting fit make Adam a better founder? Links from the show: MicroConf Europe ┃Reykjavik, Iceland · Sept 21–23, 2026 Tailwind CSS Tailwind Labs ui.sh  Adam's Morning Walk Podcast  My Body Tutor  Adam Wathan (@adamwathan)┃X If you have questions about starting or scaling a software business that you'd like for us to cover, please submit your question for an upcoming episode. We'd love to hear from you! Subscribe & Review: iTunes | Spotify

What do you do when a collaborator takes your idea and builds a competing product? In this episode, Rob Walling is joined by fan favorite Jordan Gal to answer listener questions on some of the trickiest challenges founders face. They cover financing decisions like using debt to bridge cash flow gaps, competing in markets flooded with vibe-coded apps, and what to do when a collaborator takes your idea and runs with it. Want to get your question answered? Submit it here for a future episode. Episode Sponsor: This episode is brought to you by Mercury Mercury is the banking solution I use across my businesses, from my personal single-member LLC to MicroConf and TinySeed. Traditional banking forces you to duct-tape tools together and work around slow, clunky processes. Mercury gives me a clean dashboard that shows exactly where each business stands at a glance. The interface is simple enough for daily banking and paying invoices, but powerful enough to handle multi-step approval workflows for large transfers. There's a reason more than 300,000 entrepreneurs have made the switch. It's free to get started with no in-person visits and no minimum balance. Apply online in minutes at mercury.com. Mercury is a fintech company, not an FDIC-insured bank. Banking services provided through Choice Financial Group and Column N.A., Members FDIC. Topics we cover: (3:50) – Jordan Gal on Rosie's multichannel launch (8:01) – Investing cash in slow-moving healthcare markets (10:32) – Using debt or credit against signed contracts (16:48) – Competing in crowded markets with vibe-coded apps (24:34) – Should you offer advisory shares to design partners? (30:38) – Selling to problem-aware but not solution-aware audiences (37:35) – When a collaborator steals your startup idea Links from the show: TinySeed SaaS Institute Stripe Capital The Play Bigger Book The SaaS Playbook Rob Walling's Books Rob Walling's Newsletter Rosie AI Jordan Gal (@JordanGal) | X If you have questions about starting or scaling a software business that you'd like for us to cover, please submit your question for an upcoming episode. We'd love to hear from you! Subscribe & Review: iTunes | Spotify

Is AI really killing B2B SaaS, or is it just subscription software by another name? In this Hot Take Tuesday, Rob Walling, Einar Vollset, and Tracy Osborn dig into the market panic around SaaS stocks, whether AI models are actually getting better, ChatGPT's move into advertising (and Anthropic's spicy response), and the explosion of OpenClaw. They also tackle QSBS and when SaaS acquisitions shift from asset to stock purchases. Episode Sponsors: This episode is brought to you by Mercury Mercury is the banking solution I use across my businesses, from my personal single-member LLC to MicroConf and TinySeed. Traditional banking forces you to duct-tape tools together and work around slow, clunky processes. Mercury gives me a clean dashboard that shows exactly where each business stands at a glance. The interface is simple enough for daily banking and paying invoices, but powerful enough to handle multi-step approval workflows for large transfers. There's a reason more than 300,000 entrepreneurs have made the switch. It's free to get started with no in-person visits and no minimum balance. Apply online in minutes at mercury.com. Mercury is a fintech company, not an FDIC-insured bank. Banking services provided through Choice Financial Group and Column N.A., Members FDIC. If you’ve got a strong vision but no technical partner, you need more than a “vibe-coded” MVP, you need a real foundation. That’s where Designli comes in. Their two-week SolutionLab Prototyping Sprint pairs you with a product owner, designer, and developer to turn your idea into a beautiful, clickable prototype you’ll be proud to show investors or early users. Right now, Startups for the Rest of Us listeners get $3,800 off their sprint. Get started at designli.co/fortherestofus Topics we cover: (3:52) – M&A guide for B2B SaaS founders (6:35) – QSBS and asset vs. stock purchase thresholds (9:25) – Is AI killing B2B SaaS? (16:27) – Are AI models noticeably better than a year ago? (17:27) – ChatGPT vs. Claude: real-world experiences (26:17) – ChatGPT ads and Anthropic's Super Bowl response (29:34) – The opportunity for SaaS founders in new ad networks (32:29) – OpenClaw: hype or substance? Links from the show: MicroConf US April 12-14, 2026 · Portland, Oregon Discretion Capital’s M&A Guide TinySeed SaaS Institute AI is Killing B2B SaaS by Namanyay Goel OpenClaw is What Apple Intelligence Should Have Been by Jake Quist Rob Walling @robwalling | X Einar Vollset @einarvollset | X Tracy Osborn (tracymakes) | Blue Sky If you have questions about starting or scaling a software business that you'd like for us to cover, please submit your question for an upcoming episode. We'd love to hear...