Should You Really Become a SaaS Owner?

SaaS is the business model that everyone is talking about. Recurring revenue, automation, and scaling without constantly trading time for money.

It sounds like the perfect next step for agency owners. The idea of moving away from delivering services and into software feels like a natural progression. But here is what most people do not tell you.

Owning a SaaS is not just another revenue stream. It is an entirely new business model.

The mistake many agency owners make is assuming they can bolt on a SaaS product to their existing business, when in reality, it requires an entirely different mindset, structure and approach.

So before you start investing time and money into SaaS, it is worth understanding exactly what you are stepping into.

SaaS Ownership is Not Passive. It is Relentless

The assumption that SaaS is “simple” often comes from a surface-level view. But, be under no illusion that becoming a SaaS owner is not as simple as bolting it on to your existing core offering, it can be like starting a second business, one that demands  updates, technical support, and ongoing maintenance. 

If you’re an existing agency,  where your role is largely client-facing, SaaS makes you the service.

While it’s appealing to think of SaaS as a way to scale without extra hours, the backend commitment don’t under any illusion, it is continuous. You’re responsible for delivering a smooth, secure, and satisfying experience for customers from day one, when they onboard into your software and as demand grows with your user base. SaaS is no “hands-off” stream of income. 

It’s a daily commitment, like any other business.

Overcoming Key Challenges and Roadblocks

Transitioning from an agency model to SaaS brings new pain points. First, customer support expectations shift—SaaS clients demand instant solutions, often requiring 24/7 support, either in-house or outsourced. 

Then, there’s the need for constant updates; unlike a one-time project, SaaS demands ongoing improvements, bug fixes, and feature rollouts to stay competitive. And let’s not overlook security and compliance, where a single breach can impact your reputation. 

For SaaS owners, staying ahead of data laws and keeping infrastructure secure becomes part of the job.

These demands require serious resources. SaaS may hold growth potential, but with it comes a need for heavy investment in technical and support infrastructure.

Building Your SaaS Business: Structure for Success

Launching a SaaS product means setting up your business differently than a typical agency. You’ll need dedicated roles like developers, product managers, UX designers, and QA testers to keep the product optimised and evolving. 

A platform such as HighLevel has a lot of this covered, but the evolution of your offering, the user experience, testing of your workflows and own marketing, will come into pLikewise, a strong support infrastructure is critical from the beginning, whether that’s through live chat, ticketing systems, or an in-depth knowledge base. And remember, SaaS sales often rely on data-driven, automated systems designed for scale—very different from agency-style sales processes.

In other words, SaaS demands a unique operational structure. Attempting to run a SaaS product as a side business to your agency is not realistic without clear roles and systems.

What Skills Does a SaaS Owner Need?

Your agency skills only partially translate to SaaS ownership. You’ll need to understand the basics of software development, even if you’re not coding yourself. This includes familiarity with development cycles, UI/UX, and integration processes. Success in SaaS also relies on retention strategies to keep users engaged and satisfied. Knowing customer success tactics—such as effective onboarding and education strategies—will be critical.

Additionally, SaaS is all about data. Metrics like churn rate, customer acquisition cost, and lifetime value are fundamental. To thrive, you need to consistently analyze and optimize based on these indicators.

Weighing the Pros and Cons: Is SaaS Right for You?

There are clear pros and cons to consider. Yes, a SaaS product can offer the stability of recurring revenue, and it can help differentiate your agency with a unique offering. But it’s also a resource-heavy commitment that demands both time and investment. And keep in mind, the competitive landscape is fierce; unless your SaaS fills a strong niche, you’ll be up against established players with hefty budgets for R&D and marketing.

SaaS Ownership is Not Passive. It is Relentless.

One of the biggest myths about SaaS is that it runs itself. Build a product, get customers, and watch the money roll in every month.

That is not how it works. SaaS demands ongoing attention because you are not just selling software. You are selling an experience that users rely on every day.

That means:

• Customers expect immediate responses. Unlike agency clients, SaaS customers will not wait.
• Development never stops. If you are not improving the product, your competitors will.
• A single security issue can break trust overnight and cost you everything.

If you have built an agency that thrives on high-touch, done-for-you services, shifting to a product-based model is not as simple as it looks. It is a fundamentally different business with its own challenges.

Why Most Agency Owners Struggle with SaaS

It is easy to assume that your agency skills will translate into SaaS success. After all, you already know how to attract and serve clients.

But SaaS is not an extension of an agency. It is a different game entirely.

• Sales is not the same. Selling a high-value service is about relationships and trust. Selling SaaS is about scale and automation. It is a volume-based model where small conversion rate changes make a big impact.
• Support is a full-time operation. In an agency, a client might wait a few hours for a response. In SaaS, if a feature is not working, they expect an answer immediately.
• The product is never finished. Once an agency service is delivered, it is done. With SaaS, every update, bug fix and feature request becomes an expectation.

This is why many agency owners who jump into SaaS either burn out or never see the traction they expected.

How to Approach SaaS Without Wrecking Your Business

So does that mean agency owners should avoid SaaS? Not at all. But it does mean you need to approach it in the right way.

If you are considering SaaS, think about:

• White-labelling before building from scratch. Platforms like HighLevel allow you to offer SaaS services without taking on the development and support burden.
• Finding a technical partner. If you are not technical, bringing in the right expertise early will save you time, money and frustration.
• Validating demand before you build. A SaaS product is worthless if nobody wants it. Test the market before writing a single line of code.

SaaS can be a powerful way to scale, but only if it aligns with your skills, resources and long-term goals.

 

In our experience, too many agency owners jump into SaaS with unrealistic expectations. They believe it will be passive. They assume their existing skills will translate. They underestimate the level of support, development and competition involved.

SaaS can be highly profitable, but only if you are prepared to treat it like the business it is.

So before you invest your time and money, ask yourself:

• Do I fully understand what it takes to run a SaaS business?
• Am I willing to commit to the ongoing demands of product development and customer support?
• Do I have the right strategy in place to make this work without damaging my existing business?

Have you already launched, or are considering launching a SaaS, what is the biggest challenge you have faced? 

I’d love to share our experiences with you.