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Cloud Forecast's first hires: onboarding, expansion revenue, and the summer slowdown
Executive overview
Hiring your first employees is only half the job — how you onboard them determines whether they succeed. Cloud Forecast co-founders Tony and Francois invested heavily in a structured onboarding process for their first full-time engineer, and it paid off immediately. A part-time SDR experiment quickly revealed that outbound sales can't be done effectively at 10 hours a week.
Deliberate onboarding and genuine expansion revenue are the two foundations Cloud Forecast is building on.
Engineering hire: onboarding done right
- Francois built a comprehensive wiki covering everything a new hire would need before Katya started.
- The team spent one to two weeks getting her oriented, including deploying a project to production in her first week.
- Katya expressed feeling heard and supported — the intentional onboarding directly caused that outcome.
- She surfaced hidden skills: Figma mockups and front-end work that exceeded what Tony and Francois could do themselves.
- One month in, she is fixing bugs, owning features, and joining customer calls.
- Finding unexpected skills in a new hire is a signal of a strong hire, not luck.
Part-time SDR: why 10 hours a week isn't enough
- The part-time SDR role was a three-month test to learn what a full-time sales hire would need.
- At 10 hours a week, the SDR could only cover two or three steps of the full outbound process: hunting, HubSpot management, sequencing, and booking meetings all require more capacity.
- The test confirmed they need someone full-time who can own the entire process end to end.
- Rob notes this is a common mistake: assuming that because a role only consumes a few hours now, a part-time hire is sufficient.
- Cloud Forecast wants to hire for ownership and growth, not a contract "hitman" for outbound.
- A full-time SDR candidate was already in interviews at the time of recording.
Expansion revenue and approaching escape velocity
- 100% renewal rate on their first cohort of customers.
- Existing customers are expanding MRR — genuine expansion revenue, not theoretical pricing tiers.
- Net negative churn is the result: the business grows even without new logos.
- Expansion targets include Kubernetes and Snowflake cost management, where customers already trust Cloud Forecast from their AWS work.
- Rob frames this as approaching escape velocity: strong retention, expansion revenue, and product-market fit — the missing piece is a reliable inbound or outbound channel.
- Tony's caution: "escape velocity" still feels like a lot of work; PMF is a journey, not a destination.
Summer slowdown and the emotional toll
- Signups dropped to half of normal; no net new deals closed over the summer.
- A large prospect trialing for 30–45 days did not convert — a gut punch that briefly obscured the path to $200K ARR.
- Out-of-office replies stalled the SDR's outbound work, a factor outside their control.
- Tony's coping approach: count smaller wins (Katya's success, expansion revenue) rather than fixating on flat top-line metrics.
- Shortly after the low point, a new enterprise customer closed and a top customer signalled a 30–40% MRR expansion — restoring a clear path to $200K ARR.
Mental wellness and founder support structures
- Tony and Francois lean on each other, their spouses, Rob as an advisor, and the TinySeed mentor network.
- They proactively ask for help when feeling helpless, using outside perspectives to challenge false assumptions.
- Rob's advice: relying solely on a spouse for emotional support creates long-term strain; build a broader network of founders who can empathize.
- Francois has disc golf; Tony has volleyball — deliberate off-work outlets as part of mental wellness.
Fears and what's next
- Fear 1: slow summer persists into September–October–November (though prior-year data suggests it won't).
- Fear 2: Francois going on six-to-eight weeks of paternity leave, leaving Tony primarily responsible for the business.
- Mitigation: a Notion doc with boundaries and parameters, pre-planned projects Katya and Tony can execute independently.
- Goal: hit $200K ARR, a milestone that has felt close but elusive since July.
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