In this episode, Dave, Co-founder & CEO of Hubstaff, joined us. Dave has been an entrepreneur for almost two decades and has now grown hubstaff into a $6 million ARR business.Hubstaff is a 100% globally distributed company with over 50 remote workers. Uniquely, the company consists of all contract workers.
035: How to Manage Your Virtual Staff, Pay Them, and Understand their Productivity Levels (w/ Dave Nevogt)
The Business Generals Podcast | Helping You Maximize Your Entrepreneurial Dreams - Every Single Week
Dave Nevogt is the co-founder of hubstaff.com which helps businesses easily manage virtual and remote teams through SaaS time tracking, project management, and employee development. He has founded several multi-million dollar internet businesses since the he was 22, and has been working on them since 2003. His start was in online golf instruction in 2003 which he grew to $1.5Million by 2005. He sold those businesses in 2009, and then purchased and ran a larger search engine optimization software company that focused on link building. While building and managing these companies he’s managed over 100 virtual employees/contractors concurrently. He also writes a popular blog series that teaches what his team has done to grow Hubstaff to where it is today. Current Revenue streams Hubstaff has been generating enough money to pay out the founders, pay employees’ salaries and sustain operations but it doesn’t have one sole revenue stream. The business is currently generating $6 Million in annual revenues from selling its software through a SaaS subscription model. Starting out in business Worked for 18 months in a large pharmaceutical company in Chicago. After that he only worked on his own businesses. His first business was a golf instruction e-commerce platform which taught people how to swing a golf club better through videos, eBooks and training aids. Within a year, the business was generating $1.5 Million in revenues and had customers globally. The business taught him his first skills in running an online business. Scaling up the first business quickly Dave believes it was a right place, right time scenario because he picked the right business and the right market. The business was very unique because there were only a few people doing what he was doing. The business’s quick growth was made possible by the high conversion rates the site was getting because he was using very cheap and unsaturated advertising channels like email marketing. Dave then sold off half of the business. Transition to the next business In the course of selling his business, Dave met one buyer in particular who used to buy underperforming ecommerce businesses, turn them around and sell them for a profit. Dave and the buyer bought a software related company together. With Dave managing its operations, the business started generating $2 Million in revenues from selling content. That gave him hands-on experience in running a software related company. They eventually sold off the business. He also started Hubstaff while still running the software company. He currently runs the marketing and operations side of Hubstaff while his partner runs the technical (development) side of the company with each of them working with a team of 10 and 12 employees respectively. The Hubstaff idea While running the golf business, Dave was in dire need of software that would help him manage his technical staff since he had no technical knowledge and therefore needed to make sure he was effectively tracking their performance to ensure projects were being done on time and in the expected way. That need gave Dave the initial idea of developing Hubstaff. He was also inspired by the need to develop a product that would give value to people, that they would use every day in their businesses. Hubstaff uses time tracking to enable business owners manage their virtual and remote employees by ensuring they are doing what they are expected to do at the right time. The software also acts like an activity tool. Once he came up with the idea for Hubstaff, Dave looked for a local co-founder. They both invested $26,000 each into the start-up and started the development of the first applications which cost about $40,000. They invested the remainder of the capital into advertising and building traffic for the app. They initially launched the app on free trial basis in order to test the market and once they discovered that it was a highly viable product they launched it in August 2013. Immediately after the launch they were making $2,000 a month in recurring revenues and kept growing to reach $15,000 a month in recurring revenues within 15 months. At the end of 2015, the business was generating $70,000 a month in recurring revenues which has so far grown to the current $130,000 a month. Growth strategy at the beginning Dave and his partner first employed free trials in order to leverage on word of mouth as a marketing tool. In the long run, that method didn’t work very well in generating solid referrals so they had to devise a better strategy. They started developing landing pages and applying search engine optimization while also posting ads on popular websites and directories which paid off on in the long-term. Growth strategy now They currently use their extensive blog (drives 15% to 20% of users to Hubstaff), multiple landing pages, on-page search, minimal advertising, word of mouth, and podcasts. They do not have a sales team and don’t use techniques like cold calling and email marketing. Importance of a team Dave doesn’t believe in having an assistant because he believes in doing his work himself. Fear of failure He does not have any fear of failure. He always goes for it and does what he feels is right from his business point of view. He has had several businesses and products in the past that failed which taught him to always analyze the pros and cons of an idea to determine its worthiness before going into it. Biggest breakthrough in business “Realising we were onto something with Hubstaff and people would pay for it; and getting to a point where Hubstaff would run itself.” Faith, Fun, Family, Family and Friendships Faith, family and friends are at the top for Dave, then finances and fun. A day in life before Hubstaff Vs. a day in life now When he started out he was trying out a lot of ideas to try and come up with a viable business that would work in the long-term. It was more about surviving at that time. Today, he focuses on one business and applying his experience into making sure the business continues to grow. He still gets up as early as he used to since early morning are when he does his best work. He also works normal hours. Mentors He doesn’t have mentors but deeply believes in the importance of having mentors especially when one doesn’t know exactly what they want to do. Book recommendation for entrepreneurs: Scale: Seven Proven Principles to Grow Your Business and Get Your Life Back – Verne Harnish The 80/20 Principle: The Secret to Achieving More with Less – Perry Marshall Legacy: To provide for his kids, raise them the right way, and try to help the world as much as he can through his technology products – Dave. Best way to connect: firstname.lastname@example.org – Dave’s Email @dnevogt – Dave’s Twitter Handle blog.hubstaff.com/grow – Dave’s Blog Get Your Hopes Up and Maximize Your Dreams [Symbol] Cheers, Davis!
JLDC 0126 – Interview with Dave Nevogt, Co-founder of Hubstaff
Dave Nevogt is the Co-founder of Hubstaff. Hubstaff was started by Dave Nevogt and Jared Brown in 2012, two entrepreneurs from Indianapolis, Indiana. From its humble beginnings, Hubstaff is now actively used by over 8,000 agencies, freelancers, website owners and virtual teams all over the world.Topics discussed during this podcast episode include; What inspired Dave to start Hubstaff Importance of transparency in business How Hubstaff gets new clients And much more!You can play this podcast episode here:Your browser does not support the audio element.Websites referenced during the podcast:Hubstaff.comHubstaff TalentHere's a timeline of the topics discussed during the podcast:0:00 - Short bio and intro1:30 - Dave Nevogt's education and first jobs and businesses5:30 - How Hubstaff got started because of a need that Dave had9:15 - Has the vision of Hubstaff changed since its inception?10:45 - Hubstaff success stories12:45 - How did you come up with the name 'Hubstaff'?13:30 - What obstacles/mistakes did you make along the way that you had to overcome?17:40 - What marketing strategies work well for you in acquiring new customers?20:45 - Transparency within Hubstaff21:30 - Dave's final thoughtsLike this podcast?If you're enjoying the podcast, it's safe to assume there are others out there like you who would also enjoy the podcast.Help them find it!I've created a short video below that will show you how to quickly and easily rate and review the podcast in iTunes and/or Stitcher. Those people will appreciate it, and you'll feel great about yourself...
081: Lessons from Thousands of Employee Observation Hours with Dave Nevogt
Dave Nevogt’s company Hubstaff earns its revenue from observing how people work. Here’s what he has learned about workers’ best practices along the way. You'll Learn: Two questions to ask yourself before handing over your deliverables One quick trick to get 1,000 LinkedIn connections in 60 minutes An improved approach to initiating tasks that delights managers and stretches employees About Dave Dave Nevogt is the co-founder of Hubstaff.com which helps virtual teams communicate better through automatic time tracking and activity tracking. He’s been running online businesses since he was 23, and now manages a team of 30 remote employees. Dave has been honored as one of Indi
BOP022: Giving Your Audience what they Want with Dave Nevogt from Hubstaff
The PodcastMotor Show
[podcast_motor_player url=”http://traffic.libsyn.com/podcastonomics/BOP022__Giving_Your_Audience_what_they_Want_with_Dave_Nevogt_from_Hubstaff.mp3″ title=”BOP022: Giving Your Audience what they Want with Dave Nevogt from Hubstaff” playtime_seconds=”1560.8061″ playtime=”26:01″] On today’s episode I’m happy to be talking with Dave Nevogt from Hubstaff, a time tracking and employee management software company. Hubstaff’s podcast, The Agency Advantage Podcast, is a relatively new show connected to Hubstaff’s well-established blog. The core […]
Free People Move - episode 15: Dave Nevogt and the hub for everything remote
Free People Move
Episode 15 of Free People Move is a special treat for everyone interested in remote work, because we had a chat with Dave Nevogt, co-founder of Hubstaff. Dave, who is pretty much a remote work veteran, told us about what Hubstaff does and who's in the team, how they manage Hubstaff and communicate effectively, we discuss tools to try out, and the perks and challenges that come with being a remote worker. Have fun!
He's 36 Year Old SaaS Dad of 2, Gets 8+ Hours of Sleep, Business Did $640k in 2015, EP 312: Dave Nevogt
SaaS Interviews with CEOs, Startups, Founders
Dave Nevogt is the co-founder of Hubstaff, has three kids, and gets more than 8 hours of sleep every night. Hubstaff is a SaaS company that helps virtual teams communicate better through online time tracking. They’ve just broken $1 million in annual revenue. Tune in to hear how Dave’s managing disagreements with his co-founder, a tight breakdown of his unit economics, and why you should be taking more risks. Famous 5: Favorite Book? – The 80/20 Principle What CEO do you follow? — Hiten Shah Favourite online tool? —Google Docs Do you get 8 hours of sleep?— More If you could let your 20 year old self know one thing, what would it be?— That taking risks is okay. Even if it doesn’t work out, you’ll learn from it. Time Stamped Show Notes: 01:03 – Nathan’s introduction 01:28 – Welcoming Dave to the show 01:40 – Hubstaff is a SaaS business that helps track time and invoice clients 01:50 – Launched in 2013 - the business is entirely bootstrapped 02:20 – Split the original investment 50/50 with his partner 02:50 – What will Dave and his partner do if they disagree on something big? 03:15 – If there’s a disagreement, one person can buy the other one out 04:22 – Currently have 2600 paying customers 04:50 – Services track time and record activity, screenshots, what software is being used 05:35 – Average customer is paying $35 per month 06:22 – MRR in March 2016 was just under $88k 07:26 – 20 employees, with a head-count cost each month of around $46k 08:15 – Adding about 270 new customers each month 08:45 – Customer churn is 3.9% 09:12 – Lifetime value is around $660 09:55 – Founders based in Indianapolis, with a global team 10:50 – Paying around $90 on per-customer acquisition 11:14 – Spread through company to contractor to company 12:30 – Blog gets around 40k unique visitors per month 13:00 – Around a 7% conversion rate to free trial at the Hubstaff homepage 14:20 – Connect with Dave via email or through the Hubstaff website 16:25 – “We just want to build the business up to a healthy annual revenue and then live our lives” 16:55 – The Famous Five 3 Key Points: Always take risks. Even if things don’t work, you’ll learn. Find a partner who’s on the same page as you. And even then, make sure you’re prepared for disagreements. Have your numbers at your fingertips Resources Mentioned: Host Gator – The site Nathan uses to buy his domain names and hosting for cheapest price possible. Freshbooks - The site Nathan uses to manage his invoices and accounts. Leadpages – The drag and drop tool Nathan uses to quickly create his webinar landing pages which convert at 35%+ Audible – Nathan uses Audible when he's driving from Austin to San Antonio (1.5 hour drive) to listen to audio books. Show Notes provided by Mallard Creatives
On this episode, I speak with Dave Nevogt. Dave is the co-founder of Hubstaff and we chat about what it’s like to pivot from one entrepreneurial venture to another and how he is especially adept at eliminating distractions and dealing with disruptions.Priority plays a role in how Dave handles his tasks and he shares how he keeps himself moving on the right path along the way. We also dive into what he does to help infuse some of his own strategic way of dealing with distractions and disruptions within Hubstaff. Dave also shares his thoughts on striking a balance between quantitative and qualitative productivity.Relevant Links DaveNevogt.com Hubstaff The Definitive Guide to Building a Remote Team | Hubstaff Everything we’ve learned to grow our time tracking startup | Hubstaff Hubstaff (@hubstaff) | Twitter Dave Nevogt (@dnevogt) | Twitter If you enjoy The Productivityist Podcast I'd appreciate a rating and review in iTunes or your podcasting platform of choice. It helps people find the show easier and will help me make improvements on the show by seeing what you have to say.Want to discover some of the books mentioned on the podcast? Check out Scribd, my reading app of choice.If you enjoyed the episode, please leave a rating and/or review wherever you listened to the episode. Also, don't forget to check out all of our podcast sponsors found on our podcast sponsors page.If you enjoyed the episode, please leave a rating and/or review wherever you listened to the episode. And if you want to have easy access to the archives of the show and ensure you don't miss the new episodes to come then subscribe to the podcast in the app you're using.