Glossary
B2B
Meaning and details
B2B means your customer is an organization rather than an individual. Buying involves several people, a user, a payer, sometimes security review; sales cycles run weeks to months; pricing is per seat or usage-based with...
B2B meaning
Business to business: products sold to companies and teams, with multi-stakeholder buying, per-seat pricing and contracts.
What is B2B?
B2B means your customer is an organization rather than an individual. Buying involves several people, a user, a payer, sometimes security review; sales cycles run weeks to months; pricing is per seat or usage-based with annual contracts; and features like SSO, role management and audit logs are entry requirements rather than upsells.
Why it matters to an indie builder: the revenue math is the friendliest in software for small teams. One fifty-seat customer at twenty dollars per seat is a thousand dollars of monthly recurring revenue from a single sale, and business churn runs far below consumer churn, so the revenue compounds instead of leaking. The trade is a different roadmap: compliance, integrations and admin tooling beat virality and delight.
A concrete example: a form-builder side project at a fork. Consumer path at five dollars a month needs two thousand active subscribers to reach ten thousand MRR, and at eight percent monthly churn you re-acquire a sixth of the base every month just to stand still. B2B path at fifteen dollars per seat needs seven ten-seat teams to pass the same number, with churn closer to one and a half percent. The B2B build costs more: team workspaces, an admin console, SSO. But that effort accumulates instead of evaporating.
Common mistakes: pricing purely per seat with no value anchor (seat counts cap revenue at company size; add usage tiers), designing for a single user when B2B products are multiplayer from day one (sharing, roles, history), avoiding the vertical (HR-onboarding forms beats forms), refusing sales conversations, which in B2B teach more per hour than analytics, and pre-building enterprise features nobody has asked for yet. The billing blocks on IndieBoot, especially the merchant-of-record options, exist because B2B payments have their own learning curve.