When to Graduate
Build Stage | $0-1M ARR | 1-10 headcount
Main challenge: Proving the business works. Founder-led everything.
Graduation Readiness
These are the signs that it's time to graduate from Build stage:
- Repeatable sales motion (not just founder magic)
- 3-5+ customers paying full price (not design partners)
- Clear ICP definition validated by data
- Product stable enough to onboard without heavy founder involvement
- Revenue approaching $1M ARR threshold
- Ready to hire first GTM role
What Breaks If Too Early
- Hire a rep who can't sell because ICP isn't clear
- Build process for a motion that isn't repeatable
- Spend on tools before understanding what's needed