How I Used AI to Grow My SaaS Business to $1 Million and Beyond
Last year, my SaaS business generated more than $1 million in total revenue, and it's on track to do at least 1.5 times more in 2025. But that's not even the most exciting part. During last year, I managed to increase our profit margin to almost 90%.
The journey to tightening profit margins and achieving massive growth with the help of AI
The way I achieved this was to reduce the size of my team. In 2024, we were nine people in total, but today we only have four people left, including myself. The reason I could pull this off is pretty simple: I replaced my team members with AI.
The Power of AI in Business Operations
For a typical SaaS business, you need to cover four areas of work: operations, customer support, content creation, and product development. Let's get started with the first area: operations.
Breaking down the areas of a SaaS business and how AI can be applied
First of all, we need an AI tool that we can chat with directly. For a long time, the only real option was Chat GPT from Open AI, but now we have quite a few different alternatives, and they're all becoming really good. We have Claud, which is now the preferred AI chat for many founders, DeepSeek, which recently came out and is giving really impressive results, Gemini, which is Google's version of Chat GPT, and Llama, which is open-source.
Choosing the Right AI Chat Tool
The chat tool I find the most useful overall is still Open AI Chat GPT, though Gemini is actually working really well when it comes to anything related to Maps.
Exploring the various AI chat tools available and their unique strengths
However, the most disappointing tool for me has been Claud. I subscribed to Claud two times in the last year, and both times it was a very underwhelming experience, both for coding content and just overall quality of outputs.
Using AI for Automation
The next tool on my list is n8n. I discovered this tool recently, and it is an absolute blast. It's an automation tool in the same category as Zapier and Make, but much better.
Unlocking the power of automation with n8n
You can use n8n to set up very advanced automation, just like you can do with Zapier and Make, but n8n allows you to jump into code whenever you need it. So, if you're a programmer, you're getting much more flexibility here.
AI-Powered Customer Support
For customer support, you can definitely set up a custom AI agent using a tool like n8n, but if you want something you can set up much faster, take a look at 8base. 8base is an AI-powered support system that comes with everything included.
Streamlining customer support with 8base
You can train an AI model on your own data, such as your website, PDF files, and even YouTube videos, and then place a customer support chat directly on your website.
Content Creation with AI
For all things related to image and video generation, I use Replicate. Replicate is a platform where you can run and fine-tune open-source AI models like Stable Diffusion, Flux, and much more.
Creating stunning content with Replicate
One of the models I use the most is Fox, which is considered the best image generation model at this moment. It's much better than Mid Journey and Dolly.
AI-Powered Social Media Management
The next tool I want to talk about is FeedHive, which is an AI-powered social media management tool. I use FeedHive to manage and schedule all my content for social media.
Simplifying social media management with FeedHive
FeedHive covers all the major platforms like LinkedIn, YouTube, Instagram, TikTok, and many more. It has a lot of useful AI tools built into the platform, such as an AI assistant that is fine-tuned for content directly where you write your posts.
Product Development with AI
Finally, let's talk about product development. One tool I use a lot is Cursor. Cursor is a code editor similar to VS Code, and it ships with a lot of AI tooling built into the software.
Accelerating product development with Cursor
You can use Cursor to autocomplete code, not only will it finish your sentences, but it also predicts where the next change in the code should be and enables you to jump directly to the edit.
In conclusion, AI is here to stay, and it will help you run your business in 10x mode if you let it. By leveraging the power of AI tools like n8n, 8base, Replicate, FeedHive, and Cursor, you can streamline your operations, customer support, content creation, and product development, leading to massive growth and increased profit margins.
Embracing the future of business with AI