The Truth About MRR for Builders
(updated October 15, 2025)
When browsing startup ideas, most founders ask: "What's the revenue potential?" But the better question is: "What kind of business do I want to build?"
MRR isn't just about hitting a number—it's about choosing a path. Each revenue tier requires different skills, resources, and trade-offs. Here's how to think about the four categories:
$1K–$5K MRR: The Solo Path Perfect for solopreneurs and side projects. These are typically micro-SaaS tools or niche products serving small, focused audiences. You'll prioritize simplicity and automation over everything else. Think: low touch, high efficiency, minimal support burden.
Choose this tier if: You want independence, flexibility, and sustainable income without managing a team.
$5K–$20K MRR: The Lifestyle Business This is where sustainable income meets founder freedom. You might have a small team or stay solo with premium positioning. Products here often serve prosumers or small businesses with focused needs—not mass market, not enterprise.
Choose this tier if: You value profitability and control over hypergrowth. You're optimizing for calm, not chaos.
$20K–$100K MRR: The Scaling Zone Now you're building a real company. This requires product-market fit, repeatable acquisition, and team expansion. You're either serving many small customers or fewer mid-market accounts. Growth here demands systems, not just hustle.
Choose this tier if: You're ready to manage people, raise capital (maybe), and commit to building infrastructure that scales.
$100K+ MRR: The Venture Path High-growth, venture-scale businesses. You're targeting large markets with ambitious expansion plans. Expect longer sales cycles, enterprise requirements, and significant capital needs. This is about building something big, not just profitable.
Choose this tier if: You're willing to trade control for scale and can stomach the pressure that comes with it.
The Key Insight
Don't just pick the biggest number. Pick the business model that matches your skills, resources, and life goals. A profitable $10K MRR business you control beats a chaotic $100K MRR treadmill you resent.
As you browse ideas on Startup Heist, ask yourself:
- How much complexity am I ready to manage?
- Do I want a team, or do I want to stay lean?
- Am I optimizing for income, impact, or exit potential?
The right MRR target is all about alignment. Once you align your comfort level and current resources with a clear target, you can always pivot or expand down the road to match your ambition, but not the other way around.