Leadership1 publisher2 min readPublished
Dow Janes collected $40,000 from customers nine months before its course existed
The founders set a threshold of 20 sign-ups before they would build anything and got 40 at $1,000 each. Their own $2,000 went in after the customer money landed, and the company says it is on track for $30 million this year.
The Board Room · Leadership desk
What happened
- Britt Baker and Laurie-Anne King agreed to build a financial-education program only if 20 women signed up, and 40 enrolled at a founder's price of $1,000 each, double the threshold they had set.
- Only after that customer money landed did the pair each contribute $1,000 of their own savings, to incorporate the business and cover initial website costs.
- They spent the following nine months building The Million Dollar Year, a 12-step financial-literacy course developed in real time with the founding cohort.
- Nearly seven years on, Dow Janes is on track to generate $30 million in revenue in 2026, according to a profit-and-loss statement provided by the company's CFO.
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Why it matters
- decision Baker and King set the bar at 20 sign-ups in advance, which turned a warm room into a go/no-go, and set it low enough that a refusal would have cost them nothing.
- exposure Presale funding moves development risk onto buyers, so 40 paying members held a claim on a course that took nine months to exist.
- constraint The pattern funds only businesses whose delivery cost is the founders' own time; premises, stock or payroll would have consumed the $40,000 before anything shipped.
Baker and King put the bar at 20 sign-ups before they would build anything, and failing that test would have cost them nothing. The test ran at meetups the two were already hosting in people's living rooms, "kind of like book clubs for money," Baker said [9]. Twenty sign-ups would have justified building it, at a founder's price of $1,000 [3]. "That whole idea of sell it before you build it really worked for us," Baker told Business Insider [2].
The customer cash came first, and the founders' own $2,000 went in afterwards, to incorporate the business and cover initial website costs [5][19]. That makes the presale twenty times the equity the two of them ever put in, and they have never taken outside money [20][8]. Across the nine months of building The Million Dollar Year, the $40,000 worked out to roughly $4,400 a month [4][21].
Forty women had paid for a 12-step course that was then built in real time with them [3][6]. The development risk sat with the buyers. Baker and King ran about 20 customer interviews before writing a sales page [10], and Baker said the course has changed relatively little in the seven years since [11].
The $30 million for 2026 is the company's own projection, taken from a profit-and-loss statement its CFO provided to Business Insider [7]. And delivering a course costs little more than the founders' time; a business that needs premises or stock before it can serve anyone will not turn a $1,000 deposit into nine months of runway.
Baker's calendar is sorted the same way. Her split is roughly 70% on green-light work, which she defines as sales calls, webinars, promotions and optimising the funnel; 25% on yellow-light work such as product updates, tech maintenance and legal or operational tasks; and about 5% on red-light work [17][14][15]. Red-light is branding, logos, email and social media, which Baker said are "the most tempting to work on" [16]. "We didn't have a website at that time. We didn't have social media. We just went straight to the green-light activities to see if this was a viable business," she said [18].
Growth now runs on paid media. Advertising on Meta and YouTube routes people to a free webinar, where they hear the company's approach before deciding whether to enroll [13]. Business Insider did not report the ad spend. "A product doesn't sell itself," Baker said. "Just because it exists and is for sale on your website doesn't mean anyone is going to buy it." [12]
What to watch
- Whether the $30 million projection for 2026 is met, given the figure comes from the company's own profit-and-loss statement.
- Whether a second Dow Janes product can be presold to a stated threshold, or whether the founding cohort was a one-off source of build capital.
- Whether acquisition costs on Meta and YouTube rise enough to require funding from something other than cash flow.