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The Importance of a SaaS CEO Minding the Gaps


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Sometimes things just fall into place. Like this post. I had nascent inspiration to write it last week, but couldn’t quite find my passion for it. Then I had a couple of clients surface some things that really focused my thoughts on the SaaS CEO role. My personal experience as a tech CEO for 20 years is part of it. But because we were largely bootstrapped, I wasn’t beholden to raise round after round of capital. (Granted, I had a whole different set of responsibilities that filled the fundraising void — like sustainably growing from cash flow.)



SaaS CEO Role: Chief Fundraiser



Many SaaS CEOs have cyclical roles. Chief among those cycles might be the chief fundraiser role. If you’re a startup or growth stage SaaS and dependent on outside capital, this role never goes away. But it does cycle through some pretty acute peaks and valleys. When you’re not actively raising, you’re preparing to raise — managing to metrics to ensure that your next raise is on track. And when you’re actively raising and pitching, you could be spending almost all of your time on that task. So let’s say that a funded (or aspiring to be funded) SaaS CEO spends 15-90% of their time as chief fundraiser.



SaaS CEO Role: Chief Recruiter



Another of the cyclical roles, chief recruiter is largely focused on attracting key leadership talent that aligns with the culture, vision, and needs of the organization. Like fundraising, this one also seldom goes to zero. And in startup mode, chief recruiter may well consume a very high percentage of the CEO’s time. Once the core leadership team is in place, the chief recruiter portion of the SaaS CEO’s role will diminish. But there’s usually someone needed somewhere that’s going to need CEO-level vision and passion to woo them into the company.



SaaS CEO Role: Chief Visionary



This is about leading the company, providing and reinforcing a point of view, and keeping everyone in the boat and rowing together. This is less volatile than fundraising and recruiting. In fact, volatility undermines the very nature of being the chief visionary. The real value in this role lies in consistency, predictability, and quite frankly, repetition (or reinforcement if you prefer). This means reinforcement in every meeting and casual conversation, and it means reinforcement in all-hands and town-hall meetings that take place on a regular and frequent cadence. The hardest part of this role is remembering that everyone is not in your head. The leadership needed may feel too obvious, but it’s not.



SaaS CEO Role: Sales



Sales is a role that doesn’t come with a ‘chief’ for me as a SaaS organization should be building a scalable, predictable sales machine that’s not dependent on the CEO or any other whale of a rainmaker. Yes, a sales-focused CEO is beholden to sell like crazy until the right sales leadership and team are built. But that’s a temporary role of necessity, rather than an intentional and permanent one. So the sales portion of SaaS CEO’s role may be higher at the pre-revenue/startup stage and diminish from there to near zero. Like recruiting, the charismatic CEO’s ability to jump into a big deal and get it closed will never go to zero.



And now the reason for this post…



After 20+ years as a tech entrepreneur, I see the SaaS CEO’s most critical startup or growth-stage role as minding the gaps.



 Aside from the acute needs articulated around fundraising, recruiting, vision, and sales,
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SaaSX — Execute Better. Grow Faster.By SaaS Best Practices