This is what most SaaS founders miss

Another steady week in the books.

I brought on a new client for the firm and have two more in conversation. The pipeline feels healthy. But more than that - there’s something else clicking into place.

The brand-building finally feels like it’s compounding.

LinkedIn has been pulling its weight. And even DMs, which used to feel like cold starts, now feel more like warm intros. It’s subtle, but the shift is real.

The one thing that’s still a bit tough? Podcasting.

Finding aligned, engaged guests takes time. Much more than I expected. But the process has its own value - it forces me to be thoughtful and intentional. No shortcuts.

And maybe that’s the theme this week: showing up. Because showing up isn’t the same as closing. And that applies to SaaS just as much as brand-building.

You Closed the Deal. But Did You Actually Keep the Money?

A SaaS founder messaged me recently.

He’d just landed a big annual plan - ₹15 lakhs upfront (about $17K USD). The deal was clean. Big invoice. Paid in full.

He celebrated it. As he should. But three months later, the client churned. And that’s when things got messy.

What Happened?

The client’s reasons were vague but sharp:

• “Onboarding was delayed.”

• “Didn’t see the value.”

• “The demo felt better than the product.”

And then the kicker: “We’d like a partial refund.”

The founder pulled up the agreement, hoping to shut down the request quickly. But there was nothing helpful in it.

No clause on refunds. No definition of value. No onboarding milestones. Just a number, a signature, and a lot of optimism.

What followed was a slow, painful back-and-forth. Eventually, the founder refunded 70% of the amount.

Not because he had to. But because the contract left enough ambiguity to make a fight look worse than a refund.

Here’s the Hard Truth

Just because the money hits your account doesn’t mean it’s yours to keep. Until you’ve defined value and delivered on it, you’re just holding a deposit.

Even full invoices can come with an asterisk if your contract is vague.

So, How Do You Lock It In?

Here’s what I recommend to every SaaS founder running annual plans or prepaid models:

1. Add a Clear Refund Policy

Spell it out in plain terms:

“All annual plans are non-refundable after 30 days.”

Or: “Refunds allowed within the first 60 days, less onboarding fees.”

2. Anchor Value to Time or Usage

Make it clear when money is considered earned:

“Fees are earned monthly regardless of usage.”

Or: “After onboarding is complete, fees are non-refundable.”

3. Include Onboarding as a Milestone

Document when onboarding is “done”:

“Onboarding is deemed complete once [milestone] is achieved.”

That becomes your line in the sand.

4. Define Success Objectively

Add a “value definition” clause:

What will the client consider success? What do you commit to delivering by when?

Be specific. Be measurable. Avoid ambiguity.

TL;DR

A paid invoice doesn’t always mean secured revenue.

If your contract doesn’t clearly define value, timelines, and refund boundaries, you’re holding a liability - not income.

Get ahead of refund requests by:

• Setting refund windows

• Anchoring value to events

• Defining onboarding success

• Locking down objective delivery criteria

Final Word

Big upfront deals feel like wins. But if the paperwork is soft, those wins can turn into painful renegotiations.

Lock in the money with language.

Because no one wants to be in refund talks three months into what was supposed to be a 12-month partnership.

And no founder wants to learn the hard way that celebration ≠ security. Get paid not just once but for good.