$30M/year ($150M valuation)Dec 17, 2024

The Underdog: He Turned His Last $1,000 Into $150M

Guillaume MoubecheLemlist

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The Story

Guillaume Moubeche grew up in Paris with parents who came from a farm in southwest France with no money. They sacrificed everything so he could get a good education. During university, he worked shitty job after shitty job to pay for life - he even got rejected from McDonald's when all his friends got accepted.

That rejection lit a fire in him. He decided he needed to be his own boss, live by his own rules, and prove everyone wrong.

His first venture was a t-shirt business with his dad. After months of work creating the website and building a community, they sold exactly 6 t-shirts. The failure was so painful that Guillaume and his dad didn't speak for a year and a half.

Next, he joined a friend's lead generation agency where he became an expert at sales prospecting. But he wanted something scalable - his own software. He moved to Russia with his last $4-5K to hire junior developers for a LinkedIn visitor tracking tool. Then LinkedIn changed one line of code and the entire project went to trash.

Back in France with only $1,000 left, his girlfriend was paying rent and asking him to get a job. His friends would invite him to restaurants and he'd lie, saying he was busy - the "plans" were cooking pasta alone because it was cheap.

But Guillaume had a voice inside that wanted to prove everyone wrong. He pivoted from "blue ocean" ideas to "red ocean" - if competitors exist and make money, there's product-market fit. All you have to do is be better. He built Lemlist, focusing on one key differentiator: making sales more human through personalization that no other platform offered.

Key Insights

The Red Ocean Strategy

  • Blue ocean (no competitors) = too complex, risky
  • Red ocean (many competitors) = proven product-market fit
  • "These guys are making shit tons of money. All you have to do is be better."
  • Focus on ONE key differentiator tied to customer ROI

The Growth Loop

  • Use your own product daily
  • Help customers with their campaigns
  • Create success stories and content
  • Push content into community
  • Get insights from complaints
  • Improve the product
  • Repeat with new templates and improvements

The Risky Pivot

  • Activation rate was only 15% (people signing up but not launching campaigns)
  • Decided to rebuild the entire product from scratch
  • Half of customers publicly said "Yesterday I loved Lemlist, today I fucking hate it"
  • Instead of reverting, Guillaume got on Zoom calls with every unhappy user until 4am
  • Fixed issues based on feedback
  • Growth dropped from 40% to 0% that month
  • But activation rate jumped from 15% to 35%
  • Next month grew 60% because new users converted at much higher rates

The Magnet Persona

  • When growth plateaued at $10M ARR, Guillaume discovered the "magnet persona"
  • Find the persona that never churns and attracts other customers
  • Apple's magnet persona was designers (designers are cool)
  • Lemlist's magnet persona was sales reps (they drive revenue)
  • Becoming "the sales tool for sales teams" was a game changer

The Journey Timeline

  • Year 1: $0 to $250K ARR
  • Year 2: $250K to $1M ARR
  • Year 3: $1M to $8M ARR
  • Year 3.5: $10M ARR (plateau)
  • After rebuilding: $30M ARR, $10M EBITDA

Business Numbers

  • $30M ARR (annual recurring revenue)
  • $10M EBITDA (profit)
  • ~100 employees
  • Customers in 100+ countries
  • $150M+ valuation
  • First MVP built in 2 weeks
  • First 100 customers closed through live demos and outbound

The Unfair Advantage

  • Be among the target audience of what you're building
  • If you use your product daily and bugs drive you crazy, you'll improve it 100x faster
  • Guillaume personally wrote campaigns for early customers in exchange for success stories

What Product-Market Fit Feels Like

  • "It's like poetry. It's like magic."
  • "Everything you do works"
  • "You're in a state of bliss"
  • "You feel like a superhero"
  • Growing 15-25% month over month for 6-8 months straight
  • "It becomes the norm for you"

Key Advice

  • "Be patient with results, but impatient with action"
  • Always optimize for learning, not outcomes
  • Work on yourself harder than anything else
  • Document your journey, never give up
  • The outcome you can never control - only how you work on yourself
  • "It's an overnight success story that took 10 years"

Resources