Interview: How FreshBooks And Mike McDerment Created It’s Own Product Category (And Then Dominated It)

From the FreshBooks website:

“The FreshBooks story begins back in January 2003, when Mike was running a four person design agency.

When it came to billing clients, Word was frustrating to use and wasn’t built to create good looking invoices. Then one day something happened that makes every record-keeper cringe: he accidentally saved over an old invoice. Knowing there had to be a better way, he created it himself. Over the next two weeks he coded up a solution that became the foundation of what is now FreshBooks.

The road hasn’t been easy. It took over a year to bring the product to market. After 24 months, there were only 10 paying customers and revenues of $99 per month.

The company moved into Mike’s parents’ basement and for the next 3.5 years, despite all the evidence pointing to failure, they carried on. Why? They discovered a passion for serving our customers, our company and working together.

Since these humble beginnings, over 5 million people have used FreshBooks to send, receive, print and pay invoices.”

Here’s part of the story of how that happened . . .