# Recommended Approach: 3-Phase Bootstrap Plan

## Overview

**Motto**: "Slow is smooth, smooth is fast"

**Philosophy**: Bootstrap with minimal capital, use customer revenue to fund platform development, transition to recurring revenue model.

---

## Phase 1: Integration Consulting (Months 1-3)

### Objective
Generate cash flow, validate market demand, build network of relationships.

### Timeline
**Week 1-2**: Setup  
**Week 3-4**: Outreach  
**Week 5-8**: First pilot project  
**Week 9-12**: Complete pilot, land second project

### Services Offered
- OT/IT integration consulting
- PLC programming for data export
- Edge gateway setup (on customer hardware)
- MQTT/OPC UA configuration
- Grafana dashboard deployment
- Training and documentation

### Revenue Model
- **Hourly**: $150-200/hour
- **Project**: $15k-40k (100-200 hours)
- **Retainer**: $2k-5k/month (optional support)

### Infrastructure
**NONE** - Deploy on customer hardware:
- Raspberry Pi 4 or old industrial PC (customer buys)
- Ubuntu Server + Docker/LXC (free)
- Mosquitto MQTT + InfluxDB + Grafana (free, open source)
- Node-RED for PLC integration (free)

### Capital Requirements
**Total**: $500
- LLC filing: $100-300
- Basic website (Carrd/WordPress): $0-200
- Business cards: $50
- LinkedIn Premium: $0 (optional)

### Activities

#### Week 1-2: Foundation
- [ ] Register LLC (1-2 hours, $100-300)
- [ ] Set up website (4-6 hours, $0-200)
  - Service description
  - Case study section (empty initially)
  - Contact form
  - Bio highlighting OT + cloud expertise
- [ ] Update LinkedIn profile (1 hour)
  - "OT/IT Integration Consultant"
  - Headline: "I help manufacturers bridge PLC data to dashboards"
- [ ] Create contact list (20+ from controls engineering days)

#### Week 3-4: Outreach
- [ ] Email/call 20 contacts (5 per week)
- [ ] Message template:
  > "Hey [Name], after 13 years programming PLCs, I spent the last 4 years learning cloud engineering. Now I'm helping manufacturers get visibility into production data without expensive cloud platforms. Know anyone struggling with this?"
- [ ] Target: 3-5 discovery calls
- [ ] Join local ISA chapter (optional)

#### Week 5-8: First Pilot
- [ ] Land pilot project: $5k-10k (discounted)
- [ ] Scope: Single production line, basic monitoring
  - PLC data collection (Modbus/OPC UA)
  - MQTT broker on Raspberry Pi
  - Grafana dashboards (3-5 views)
  - Alert configuration
- [ ] Document EVERYTHING
  - Before/after metrics
  - Technical architecture
  - Customer testimonial
- [ ] Deliverables:
  - Working edge gateway
  - 3-5 Grafana dashboards
  - Alert rules configured
  - 2-4 hours of training
  - Documentation for maintenance

#### Week 9-12: Validate & Scale
- [ ] Complete pilot project
- [ ] Get written testimonial
- [ ] Take photos/screenshots
- [ ] Write case study
- [ ] Publish to LinkedIn + website
- [ ] Ask pilot customer for 2-3 referrals
- [ ] Land second project at full price ($20k-40k)
- [ ] Begin prospecting for Phase 2 recurring customers

### Success Metrics (Phase 1)
- [ ] 2-3 completed consulting projects
- [ ] $20k-45k revenue generated
- [ ] 5+ discovery calls completed
- [ ] 1-2 case studies published
- [ ] 10+ new LinkedIn connections
- [ ] 3-5 warm prospects for Phase 2

### Expected Outcomes
- **Revenue**: $20k-45k in 90 days
- **Profit**: ~$19k-43k (95% margin)
- **Network**: 20+ new manufacturing contacts
- **Validation**: Proven demand for services
- **Foundation**: Customer base for Phase 2 transition

---

## Phase 2: Edge Monitoring Platform (Months 4-9)

### Objective
Transition from project-based to recurring revenue, deploy multi-tenant infrastructure.

### Timeline
**Month 4-6**: Build platform, convert 2-3 consulting clients  
**Month 7-9**: Add 3-5 new monitoring customers, refine product

### Services Offered
**Consulting** (continued, reduced):
- 1-2 projects/month for cash flow
- Integration work for monitoring customers

**New - Monitoring Platform**:
- Edge monitoring as a service
- Setup + monthly subscription
- Remote management
- Alert management
- Data backup and retention

### Revenue Model
**Hybrid**:
- Consulting: $10k-20k/month (declining)
- Monitoring setup fees: $5k-10k per customer
- Monitoring recurring: $0 → $10k/month (growing)

### Infrastructure
**GTHost Dedicated Server #1:**
```
Configuration:
├── 8 cores, 32GB RAM, 1TB SSD
├── Estimated cost: $100-150/month
├── Capacity: 8-10 customers
└── Revenue potential: $12k-30k/month
```

**Tech Stack:**
- Ubuntu Server 24 LTS
- LXC for container isolation (per customer)
- MQTT broker per container
- InfluxDB per container (or shared with DB per customer)
- Grafana (shared with customer-specific dashboards)
- Automated backup system
- Monitoring and alerting (UptimeRobot, Prometheus)

### Capital Requirements
**Total**: ~$1,000
- GTHost server: $100-150/month × 2 months
- Development time: Nights/weekends (sweat equity)
- Funded from Phase 1 consulting revenue

### Activities

#### Month 4-5: Platform Development
- [ ] Provision GTHost server ($5/day trial first)
- [ ] Build LXC container template
  - MQTT broker (Mosquitto)
  - InfluxDB instance
  - Grafana user + dashboards
  - Backup scripts
- [ ] Create provisioning automation
  - New customer onboarding script
  - Container creation
  - Credential generation
  - DNS/subdomain setup
- [ ] Build simple web portal
  - Customer login
  - Dashboard links
  - Support ticket system
  - Billing integration (Stripe)
- [ ] Set up monitoring
  - Server health monitoring
  - Customer container monitoring
  - Alert system for failures
- [ ] Documentation
  - Customer onboarding guide
  - Internal runbook
  - Support procedures

#### Month 5-6: First Customers
- [ ] Approach 2-3 existing consulting clients
- [ ] Pitch: "I've built a monitoring platform. Want to be a pilot customer for $1k/month?"
- [ ] Deploy for first 2 customers
- [ ] Gather feedback, iterate
- [ ] Test backup/restore procedures
- [ ] Validate multi-tenant isolation
- [ ] Begin marketing monitoring service

#### Month 7-9: Growth & Refinement
- [ ] Add 3-5 new monitoring customers
- [ ] Continue 1-2 consulting projects/month (cash flow)
- [ ] Refine platform based on feedback
- [ ] Build case studies (monitoring-specific)
- [ ] Automate more operations
- [ ] Document standard procedures
- [ ] Plan for second server (if needed)

### Success Metrics (Phase 2)
- [ ] GTHost server deployed and stable
- [ ] 5-8 monitoring customers live
- [ ] $10k-15k MRR achieved
- [ ] Multi-tenant architecture proven
- [ ] 99.5%+ uptime maintained
- [ ] Customer churn <10%
- [ ] 3+ new case studies published

### Expected Outcomes
- **Month 6 Revenue**: $17k ($15k consulting + $2k MRR)
- **Month 9 Revenue**: $20k ($10k consulting + $10k MRR)
- **Infrastructure Cost**: $150/month
- **Profit Margin**: 85-90%
- **Platform**: Production-ready, scalable
- **Foundation**: Ready for Phase 3 premium features

---

## Phase 3: GPU-Powered AI Features (Months 10-18)

### Objective
Add premium AI-powered features for differentiation and margin expansion.

### Timeline
**Month 10-12**: Build AI infrastructure, launch premium tier  
**Month 13-18**: Convert customers, add new premium customers

### Services Offered
**Basic Tier** (existing):
- Edge monitoring
- Dashboards and alerts
- $1.5k-2k/month

**Premium AI Tier** (new):
- Predictive maintenance
- Anomaly detection
- Computer vision quality inspection
- Advanced analytics
- $4k-8k/month

### Revenue Model
**Fully Recurring**:
- Basic customers: $1.5k × 8-10 = $12k-15k/month
- Premium customers: $5k × 4-5 = $20k-25k/month
- Consulting (occasional): $5k/month
- **Total**: $37k-45k/month

### Infrastructure
**Server #1** (Basic tier):
- 8 cores, 32GB, 1TB
- 8-10 customers
- $100-150/month

**Server #2** (Premium AI tier):
```
Configuration:
├── 16 cores, 64GB RAM
├── NVIDIA Tesla P4 8GB GPU
├── 2TB NVMe SSD
├── Estimated cost: $350-450/month
├── Capacity: 3-5 premium customers
└── Revenue potential: $15k-40k/month
```

### Capital Requirements
**Total**: ~$3,000
- GPU server: $400/month × 3 months
- ML model development time
- Funded from Phase 2 profits

### Activities

#### Month 10-11: AI Infrastructure
- [ ] Provision GTHost server with Tesla P4 GPU
- [ ] Install ML frameworks
  - TensorFlow or PyTorch
  - Scikit-learn
  - ONNX Runtime (optimized inference)
- [ ] Build predictive maintenance models
  - Anomaly detection (vibration, temperature)
  - Failure prediction
  - Remaining useful life (RUL)
- [ ] Computer vision setup (if pursued)
  - Object detection
  - Quality inspection
  - Defect classification
- [ ] Test GPU inference performance
- [ ] Create premium tier documentation

#### Month 12: Premium Launch
- [ ] Select 2 customers to upgrade (beta pricing)
- [ ] Deploy AI features
- [ ] Gather data for model training
- [ ] Refine models based on customer data
- [ ] Measure ROI for customers
- [ ] Create case studies showing value

#### Month 13-18: Scale Premium
- [ ] Convert 2-3 more customers to premium
- [ ] Market premium tier to prospects
- [ ] Hire first contractor ($3k-5k/month)
  - Customer support
  - Deployment assistance
  - Basic troubleshooting
- [ ] Formalize processes
- [ ] Build sales pipeline
- [ ] Plan for additional servers if needed

### Success Metrics (Phase 3)
- [ ] GPU server operational
- [ ] 4-6 premium tier customers
- [ ] $35k+ MRR total
- [ ] First employee/contractor hired
- [ ] 95%+ customer satisfaction
- [ ] 3+ AI-specific case studies
- [ ] ROI demonstrated for customers

### Expected Outcomes
- **Month 18 Revenue**: $40k-50k/month
- **Infrastructure Cost**: $500-600/month (2 servers)
- **Contractor Cost**: $5k/month
- **Net Profit**: $34k-44k/month
- **Annual Run Rate**: $480k-600k
- **Positioning**: Premium AI-powered industrial IoT platform

---

## Transition Strategy Between Phases

### Phase 1 → Phase 2
**Trigger**: When you have:
- 2-3 completed consulting projects
- $20k+ in the bank
- 2-3 customers willing to pilot monitoring

**Transition**:
- Reduce consulting to 50% time
- Invest 50% time in platform development
- Use consulting cash to fund infrastructure
- Convert consulting customers to monitoring

### Phase 2 → Phase 3
**Trigger**: When you have:
- 5+ monitoring customers ($10k+ MRR)
- Consistent $20k+/month total revenue
- Stable platform with <5% churn
- Cash reserves to fund GPU server for 3 months

**Transition**:
- Add GPU server (funded from Phase 2 profits)
- Build AI features
- Beta test with 2 willing customers
- Launch premium tier
- Hire first contractor to handle growth

---

## Risk Mitigation

### Phase 1 Risks
**Risk**: Can't find customers  
**Mitigation**: 13 years of network, LinkedIn outreach, local ISA chapter

**Risk**: Projects take too long  
**Mitigation**: Scope small (40-80 hours max), resist feature creep

**Risk**: Customers don't pay  
**Mitigation**: 50% deposit upfront, milestone payments

### Phase 2 Risks
**Risk**: Platform technical failures  
**Mitigation**: Start with 2-3 customers, test thoroughly, backup systems

**Risk**: Can't transition consulting customers  
**Mitigation**: Offer discounted pilot pricing, add value not available before

**Risk**: Infrastructure costs escalate  
**Mitigation**: Multi-tenant architecture, start with basic GTHost config

### Phase 3 Risks
**Risk**: AI features don't deliver value  
**Mitigation**: Beta test with willing customers, measure ROI, iterate

**Risk**: GPU costs too high  
**Mitigation**: Start with 2-3 premium customers to fund server

**Risk**: Can't hire good contractor  
**Mitigation**: Use Upwork/Fiverr first, hire part-time before full-time

---

## Key Success Factors

1. **Start Small**: $500 capital, basic consulting
2. **Customer-Funded**: Use their money to build platform
3. **Validate First**: Consulting proves demand before platform build
4. **Recurring Focus**: Always transition to subscriptions when possible
5. **Edge-First**: Maintains AWS non-compete compliance
6. **Iterative**: Build → Test → Refine, don't try to be perfect
7. **Network Effects**: Each customer = 2-3 referrals
8. **Documentation**: Case studies critical for next phase

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## Timeline Summary

| Month | Phase | Focus | Revenue | Profit |
|-------|-------|-------|---------|--------|
| 1-2 | 1 | Setup, first project | $5k | $4.5k |
| 3 | 1 | Second project | $20k | $19k |
| 4-5 | 2 | Platform dev | $17k | $16k |
| 6 | 2 | First monitoring customers | $20k | $19k |
| 9 | 2 | Growing MRR | $20k | $19k |
| 12 | 3 | Premium launch | $25k | $23k |
| 18 | 3 | Full premium | $40k | $34k |

**Cumulative 18 months**: ~$350k revenue, ~$300k profit

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## Next Steps

See `go-to-market.md` for detailed 90-day action plan.

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*Last Updated: December 2025*