15 May 2026 · 5 min read
What is a SaaS product, and should your business build one?
What makes a product SaaS, when recurring software fits the problem, and when a custom internal tool is the simpler choice.
SaaS is software that customers use through the internet and usually pay for each month or year. The same product serves many customer accounts, and updates are released from one codebase.
What makes something SaaS
- Customers sign in and use the product without installing it
- Payment repeats monthly or yearly
- One codebase serves many customer accounts
- Updates become available to all customers
Good signs your idea fits SaaS
The problem should happen often enough that customers return to the product. There should also be a clear group willing to pay for software instead of repeating the work by hand or hiring someone each time.
When it's not the right shape
A tool for one company or one unusual process may be better as custom internal software. Turning it into SaaS adds account management, billing, support, permissions, and product decisions for many customers.
Start smaller than you think
Start with one problem for one customer group. A smaller product is easier to explain, test, support, and change after people begin using it.
Email [email protected] with the user, problem, and payment idea. We can help test whether the idea needs a SaaS product or a smaller tool.