The Truth Behind $100k Enterprise Pricing
February 3, 2025
Many early-stage founders are hesitant to charge a 6 figure amount, but if you’re selling to Enterprise customers, $100k a year is the minimum price.
Lots of founders want their first sales to be with large, Enterprise companies like Google or Uber. This is usually quite tough, and it’s often a lot easier to begin with the mid-market and then move up to Enterprise sales. Here’s why:
Even if a large company really wants your product, they will likely have some significant compliance requirements that are often very hard for a small startup to fulfill. Mid market customers can usually work around these issues.
Mid-market customers can pay real money and close in a matter of weeks, sometimes days. Even excited enterprise customers will have to contend with their internal bureaucracy so you can’t expect less than 60 days.
If you start with small businesses, their needs are very different from enterprise customers, and you will be pulled to serving smaller company requests. However, mid-market customer needs aren’t usually so different from the enterprise, so helping them won’t distract you from your future, larger customers.
Best of luck out there.