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SaaS Interviews with CEOs, Startups, Founders

From $5K to $10M ARR: The ArcAds Founder's Playbook

SaaS Interviews with CEOs, Startups, Founders

Nathan Latka

Entrepreneurship, Business

4.6683 Ratings

🗓️ 10 December 2025

⏱️ 36 minutes

🧾️ Download transcript

Summary

Romain Torres is the founder of ArcAds.ai, an AI-powered video ad platform that helps marketers create and scale ad creatives with zero production overhead. In just 20 months, he scaled the company from $5K to over $10M in ARR—completely bootstrapped.

In this episode, Romain shares how he validated demand without even having a dashboard, the growth playbook that drove viral traction, and the three channels fueling ArcAds' revenue engine today: paid ads, sales, and influencer marketing. He also dives into usage-based pricing, churn recovery, and what's next for the company.

 


Notes:

  • Growth Levers

    • Reached $10M ARR in under 2 years

    • From $5K to $64K MRR in 1 month after a viral tweet

    • Paid ads, influencer virality, and enterprise sales are main levers

  • GTM Strategy

    • Started with direct outreach and manual fulfillment

    • Product-led motion with a transition into high-touch enterprise sales

    • Events and conferences (Affiliate World, App Growth Summit) for pipeline

  • Revenue & Pricing

    • Usage-based pricing (number of generated ads, actors, etc.)

    • Highest ACV in the six figures

    • Profitably bootstrapped despite heavy infrastructure/API costs

  • Churn & Retention

    • Early churn spike due to product breaking after viral growth

    • Rebuilt platform in one month post-refunds

    • Retention improved with onboarding and product stability

  • Scaling Operations

    • 8-person lean team managing 210+ live ads

    • Internal use of ArcAds platform to generate their own creatives

    • Strong rev-per-employee metrics

  • Data & Tech Stack

    • Sits on top of GenAI models from OpenAI, Google, ByteDance

    • Auto-selects best model per prompt based on use case

    • Internal feedback loops using ad performance data to improve UX and features

  • Founder Insight

    • Tested market fit without a product UI

    • Hired sales after passing $5M ARR

    • SEO and enterprise sales are next big focus areas

 

 

What you'll learn:

Founder Story

  • How Romain validated the idea with no product

  • Why ArcAds went viral and what broke

  • Bootstrapping vs VC-backed strategy

 

Pricing & Revenue

  • Usage-based monetization and six-figure ACVs

  • Profit margins despite high API costs

  • Leveraging viral growth to fund product rebuild

 

GTM & Outbound

  • Transition from product-led to outbound sales

  • Scaling via events, outreach, and Twitter content

  • Building a two-person sales team to close big brands

 

SEO & AEO

  • Organic strategy and plans for future growth

  • Why they've done no SEO so far—and why that's changing

  • How content virality and influencer posts fueled spikes

 

Acquisition & Scaling

  • Managing churn during hypergrowth

  • Operating a multi-million ARR business with 8 people

  • Systems for testing, tracking, and scaling 200+ ad creatives

 

Transcript

Click on a timestamp to play from that location

0:00.0

We just reached 10 million in annual recurring revenue,

0:04.0

10 million dollars, and it's growing super fast.

0:07.0

January, 2024 to right here,

0:10.0

where we're making something like $5,000 in revenue.

0:13.0

Basically, you will type of script,

0:15.0

select an actor in our library of AI actors.

0:18.0

We have hundreds of AI actors now, even more than a thousand in the platform.

0:22.3

And you'll be able to select the perfect AI avatar for your use case. Use the gender to find

0:28.0

the right ones. Hey folks. My guest today is Romaine Torres. He has launched and is building arcads.

0:34.7

Dot AI. He helps you generate ads easy without paying 30 grand a month on an agency to go do it for you. He's scaling very quickly over $5 million of revenue, but we have an update today in terms of revenue we're going to jump into and then jump into all the growth tactics he's using to scale nicely and bootstrapped. So, Romaine, are you ready to take us to the top? Yeah, let's do it.

0:56.0

All right. Well, kick us off. I don't want to bury the lead. What's revenue today? We're

0:59.7

recording this on November 14th, 2025. Yeah, we just reached 10 million in annual recurring revenue,

1:07.1

$10 million. And it's growing super fast.

1:13.7

Can I push you on that?

1:14.6

Like we see so many fake revenue screenshots and people say, Nathan, people just come on

1:18.2

your show and they make up revenue numbers.

1:19.8

Are you open to like screen sharing and maybe showing your Stripe account or something?

1:22.8

Yeah, let's do it.

1:24.2

So this is the revenue in euros, which is going to be a little bit lower because it's

1:29.6

euros, but look at this graph. Look at it. It's almost vertical. Oh, wow, wow. Okay, so you,

1:36.8

your first dollar revenue, if you hover over that where the line starts, it was like,

1:40.0

what is that January 1st, 2024? Yeah. Yeah, yeah, yeah.

...

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