The HostiFi Story: How Reilly Chase Built a $1M ARR SaaS
Reilly Chase took a leap and gave birth to HostiFi, a cloud hosting platform for managing Ubiquiti UniFi devices. Reilly's idea was simple—help IT professionals manage their clients' networks remotely and efficiently. Bootstrapped from day one, he hit his goal of $10,000 in monthly recurring revenue (MRR) within just eight months. Today, HostiFi generates over $3 million in annual revenue, serving over 3,000 customers globally. Reilly's journey proves that turning a setback into an opportunity with relentless focus can result in building a thriving business from the ground up(CloudFi)(SaaS Club).
Reilly Chase
Founder, HostiFi
The Idea
Hostifi was born out of necessity. It is a cloud hosting platform that helps IT professionals and Managed Service Providers (MSPs) remotely manage UniFi networks for their clients. By offering centralized management through the cloud, Reilly aimed to save IT pros time, reduce hassle, and provide seamless support for Ubiquiti’s UniFi products.
Challenge
Building HostiFi wasn’t easy at all. Chase set a goal to build the product in 30 days, but it took him 60, due to the following challenges:
- Limited skills and budget: Chase had limited coding skills, knowing just enough Python to script some parts of the platform. Working with a budget of only $500, he hacked together a platform using Python scripts on cron jobs for server management and WordPress for payments and the customer dashboard.
- Acquisition and operations: The technical challenges were only part of the equation. Chase also had to learn how to market a SaaS product, find his first customers, and develop an operational framework—while maintaining his day job as a Security Analyst.
The final product wasn’t polished, but it worked.
Industry
HostiFi entered the niche industry of UniFi cloud hosting, focusing on network management for IT professionals who used Ubiquiti equipment. Unlike broader cloud-hosting providers, HostiFi catered to a specific segment. Although other companies offered hosting solutions, none were as targeted in their approach as HostiFi. Chase focused on creating a sticky product that would encourage long-term customer retention, a key aspect of successful SaaS businesses.
Founder
Reilly Chase had always been entrepreneurial, running an IT services business before launching HostiFi. However, the challenge of maintaining a traditional business while constantly relocating pushed him to explore online business models. His lack of coding experience and limited network in the SaaS space didn’t stop him. Chase’s grit and resourcefulness—building a product from scratch with minimal budget—became core to HostiFi’s early success.
Product
HostiFi provides a cloud-hosting solution specifically for UniFi controllers, allowing IT professionals to manage networking equipment remotely. The platform automates the hosting process. This removes the need for users to handle the technical complexities themselves. It’s a service that solves a real problem in the IT community, especially for those who rely on UniFi equipment but don’t want the headache of managing their hosting.
USP
The unique selling point of HostiFi is its focused offering. Rather than being a broad hosting platform, it caters exclusively to UniFi users. This laser-focused niche made it easier for Chase to market the product, and the platform’s simplicity and ease of use resonated well with customers.
Competitors
When HostiFi launched, no direct competitors were offering specialized UniFi cloud hosting solutions. While larger cloud providers existed, they did not target the UniFi niche as HostiFi did. This allowed the company to stand out and gain a loyal customer base relatively quickly.
Build
Chase initially set out to build HostiFi in 30 days, but the process stretched to 60. He relied on Python scripts to manage server automation and used WordPress for customer billing and dashboards. The initial product was basic, but, it worked well enough to get HostiFi off the ground. Over time, he improved the platform’s code and features. The core technology from those early days, however, remains in use.
If you’re looking for guidance on how to build a basic product with minimal funds, here’s “How to Build a Minimum Viable Product (MVP) on a Budget”.
Implementation and Execution
HostiFi launched after two months of development. Chase initially focused on promoting the platform within the Ubiquiti community by engaging in forums and on Twitter. His strategy was simple: interact with potential customers where they already hung out. This combined grassroots marketing effort with a free plan that Chase launched to attract users, helping the company gain traction. However, while successfully driving traffic, the free plan wasn’t sustainable. Chase ultimately discontinued it, but not before it helped establish HostiFi as a leader in UniFi hosting.
Growth
HostiFi’s growth was largely organic, driven by word-of-mouth and strong SEO (search engine optimization) performance. The free plan brought in 2,500 users, contributing to the site’s rising Google rankings. Eventually, the platform ranked #1 for search terms like “UniFi cloud hosting.” Once that happened, customers began coming to HostiFi themselves, and Chase no longer needed to engage in cold outreach. The business scaled quickly, reaching $100K ARR in its first year, and growing to $1M ARR within three and a half years. Today, HostiFi serves over 1,728 paying customers.
Pricing
Hostifi’s pricing is tiered based on the number of UniFi devices, ranging from plans catering to 25 devices up to 1,000 devices. Custom plans are available for enterprises needing more than 1,000 devices(CloudFi).
Key Takeaways
- Niche focus: HostiFi’s specialization in UniFi cloud hosting allowed it to stand out and grow rapidly.
- Founder’s adaptability: Reilly Chase’s willingness to learn new skills was crucial for overcoming initial challenges.
- Marketing strategy: A combination of strong SEO and community engagement drove HostiFi’s growth.
- Freemium model: The initial free plan helped acquire customers and then HostiFi’s pivoted to make the brand profitable.
HostiFi’s journey from a bootstrapped startup to a successful SaaS company is a testament to Reilly Chase’s perseverance and strategic thinking. By identifying a niche market, developing a targeted solution, and leveraging smart marketing tactics, Chase was able to grow HostiFi into a million-dollar business.
If you need help identifying niche problems that could result in high revenue-generating solutions, here’s “How to Find Niche Markets with High Growth Potential”.
HostiFi’s company’s success story highlights the importance of solving specific problems, understanding your target audience, and being willing to adapt your strategies as you grow. As HostiFi continues to evolve, it serves as an inspiring example for aspiring entrepreneurs in the SaaS space, demonstrating that with the right approach, it’s possible to build a thriving business even in a competitive and rapidly changing industry.