Finding Your First Ten Customers

Your first customers rarely come from advertising. They come from people who already know you, or from people you go out and find. Winning the first ten is slow, personal work, and it teaches you more about your business than any campaign will.

Go and get them

Paul Graham, who helped found Y Combinator, wrote in an essay that the most common unscalable thing founders have to do at the start is recruit users manually. You cannot wait for customers to come to you. He points to the payments company Stripe, whose founders did not send a link to people who agreed to try the product. They set them up on the spot. Graham says the technique is known at Y Combinator as a Collison installation.

The lesson applies to a bakery as much as a software company. Early on, your job is to make it easy for the first person to say yes, and to be there when they do.

Start with people who already trust you

Trust is the main asset of a small local business. In Nielsen‘s 2021 Trust in Advertising Study, which surveyed more than 40,000 consumers, 88 percent of global respondents said they trust recommendations from people they know more than any other channel. A personal introduction carries more weight than an ad.

Build a list of 50 names

Open a spreadsheet and write down 50 people or businesses who might have the problem you solve. Include:

  • Neighbors, former coworkers, and members of your church or club.
  • Local businesses that serve the same customers you want.
  • People you interviewed while researching the problem.
  • Friends of friends you could reach with a short introduction.

Do not judge the list while you write it. You are looking for people who have the problem, not people who will love you.

Keep your reach realistic

The SBA asks founders to consider where their customers live and where their business can reach. In a rural area this decides your first ten. A customer 90 minutes away may be too costly to serve well. Start with the households or businesses you can reach in a day, and expand once the routine is smooth.

Make a specific, small ask

General offers get general answers. Compare these two messages:

  • I started a lawn care business, so let me know if you need anything.
  • I am taking on five customers on the north side this month. Can I mow your yard this Saturday and you tell me how it went?

The second one names a time, a small commitment, and a reason. It is much easier to say yes to.

Offer a founding-customer deal

Your first customers take a risk on something unproven, so reward them. A founding rate, an extra service at no charge, or a lifetime discount for the first ten can all work. Put the terms in writing, set an end date, and be clear about what you expect in return, such as honest feedback and, if they are happy, an introduction to someone else. Never invent testimonials or ask people to say things they did not say.

Treat each customer as a case study

With so few customers you can learn from every one. After each sale, ask what made them say yes, what almost stopped them, and what they would change. Small fixes at this stage are cheap. The same problems are expensive to fix after you have a hundred customers.

Ask for introductions

A happy customer is the best way to reach the next one. Ask a simple question: Who else do you know who has this problem? Then ask if they would be willing to make an introduction or let you mention their name. In small communities, a warm introduction often closes faster than any advertisement.

Track your first ten

Keep a simple table with the customer’s name, how you found them, what they bought, what they said, and what you would do differently. When you have ten, read it as a whole and look for patterns. Which channel worked best? Which customers were happiest? That tells you who your ideal customer is and where to look for more.

When you are ready to turn those lessons into steady marketing, our guide on marketing on a small budget is the next step.

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