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Aug 1, 2017 · 21m · top-founders

738: Is He The Future of Design Collaboartion? 1200 Customers and $3m in Revenues Say Yes!

Mariano Suarez-Battan · 12m spoken Nathan Latka · 6m spoken
0:00 / 0:00

gold bands on the timeline = statements, start to end. Hover to read, click to jump. CC turns on captions

Host Nathan Latka interviews Mural co-founder and CEO Mariano Suarez-Battan to explore how the visual collaboration platform reached $280,000 in monthly recurring revenue and 45,000 active users across 1,200 organizations. The discussion details Mural's transition from an IDEO-incubated startup to a capital-efficient enterprise SaaS powerhouse anchored by large-scale enterprise deployments like IBM.

How this conversation actually went

Every chapter scored 0–10 on four independent dynamics. Hover any point for the reasoning behind the score. Nathan holds 35.7% of the talking time here. How this is scored →

Nathan as informed peer 5.4 Guest teaching 3.3 Guest disagreement 1.3 Nathan pushing back 2.9
05100:0010:0020:002:04–4:36 · Nathan as informed peer 6/10 Previous Exit and Three Melons Acquisition Latka methodically interrogates the financial mechanics of the Three Melons acquisition. He presses on the cash versus equity split and investor payout details, which Suarez-Battan answers transparently.4:36–6:59 · Nathan as informed peer 5/10 IDEO Startup in Residence and Go-to-Market Strategy Suarez-Battan clarifies that Mural did not join IDEO as an employee or acquisition, but rather entered as a funded startup in residence. He explains how this relationship catalyzed relationships with anchor enterprise clients like IBM.6:59–9:46 · Nathan as informed peer 6/10 Business Model, User Base, and Enterprise Scale Latka brings up the self-serve pricing page, prompting Suarez-Battan to reveal that self-serve represents only a quarter of revenue while enterprise deals dominate. Latka probes into the paid user base across the 1,200 company accounts.9:46–11:57 · Nathan as informed peer 7/10 Monthly Recurring Revenue and Cohort Breakdown When Latka asks for average customer spend, Suarez-Battan explains that a pure mathematical average is misleading due to extreme power-law distribution. Latka quickly pivots to annualize their $280k MRR to roughly $3.5M ARR.11:58–15:35 · Nathan as informed peer 5/10 Funding and Distributed Team Structure Suarez-Battan provides a breakdown of enterprise expansion dynamics and zero churn in higher cohorts. He educates Latka on the friction of cross-departmental SaaS budget allocation when viral collaboration touches non-design VPs.15:37–18:42 · Nathan as informed peer 6/10 Customer Acquisition and Gross Margins Latka pushes for clear customer acquisition cost figures, but Suarez-Battan explains why multi-touch attribution and event sponsorships make a single CAC figure misleading. Latka confirms their gross margins sit comfortably above 85 percent.18:42–21:04 · Nathan as informed peer 3/10 The Famous Five Rapid-Fire Questions Latka moves through his standard Famous Five rapid-fire format. Suarez-Battan answers collaboratively regarding favorite books, CEO influences, and trusting gut instinct.2:04–4:36 · Guest teaching 2/10 Previous Exit and Three Melons Acquisition Latka methodically interrogates the financial mechanics of the Three Melons acquisition. He presses on the cash versus equity split and investor payout details, which Suarez-Battan answers transparently.4:36–6:59 · Guest teaching 4/10 IDEO Startup in Residence and Go-to-Market Strategy Suarez-Battan clarifies that Mural did not join IDEO as an employee or acquisition, but rather entered as a funded startup in residence. He explains how this relationship catalyzed relationships with anchor enterprise clients like IBM.6:59–9:46 · Guest teaching 3/10 Business Model, User Base, and Enterprise Scale Latka brings up the self-serve pricing page, prompting Suarez-Battan to reveal that self-serve represents only a quarter of revenue while enterprise deals dominate. Latka probes into the paid user base across the 1,200 company accounts.9:46–11:57 · Guest teaching 4/10 Monthly Recurring Revenue and Cohort Breakdown When Latka asks for average customer spend, Suarez-Battan explains that a pure mathematical average is misleading due to extreme power-law distribution. Latka quickly pivots to annualize their $280k MRR to roughly $3.5M ARR.11:58–15:35 · Guest teaching 5/10 Funding and Distributed Team Structure Suarez-Battan provides a breakdown of enterprise expansion dynamics and zero churn in higher cohorts. He educates Latka on the friction of cross-departmental SaaS budget allocation when viral collaboration touches non-design VPs.15:37–18:42 · Guest teaching 4/10 Customer Acquisition and Gross Margins Latka pushes for clear customer acquisition cost figures, but Suarez-Battan explains why multi-touch attribution and event sponsorships make a single CAC figure misleading. Latka confirms their gross margins sit comfortably above 85 percent.18:42–21:04 · Guest teaching 1/10 The Famous Five Rapid-Fire Questions Latka moves through his standard Famous Five rapid-fire format. Suarez-Battan answers collaboratively regarding favorite books, CEO influences, and trusting gut instinct.2:04–4:36 · Guest disagreement 1/10 Previous Exit and Three Melons Acquisition Latka methodically interrogates the financial mechanics of the Three Melons acquisition. He presses on the cash versus equity split and investor payout details, which Suarez-Battan answers transparently.4:36–6:59 · Guest disagreement 2/10 IDEO Startup in Residence and Go-to-Market Strategy Suarez-Battan clarifies that Mural did not join IDEO as an employee or acquisition, but rather entered as a funded startup in residence. He explains how this relationship catalyzed relationships with anchor enterprise clients like IBM.6:59–9:46 · Guest disagreement 1/10 Business Model, User Base, and Enterprise Scale Latka brings up the self-serve pricing page, prompting Suarez-Battan to reveal that self-serve represents only a quarter of revenue while enterprise deals dominate. Latka probes into the paid user base across the 1,200 company accounts.9:46–11:57 · Guest disagreement 2/10 Monthly Recurring Revenue and Cohort Breakdown When Latka asks for average customer spend, Suarez-Battan explains that a pure mathematical average is misleading due to extreme power-law distribution. Latka quickly pivots to annualize their $280k MRR to roughly $3.5M ARR.11:58–15:35 · Guest disagreement 1/10 Funding and Distributed Team Structure Suarez-Battan provides a breakdown of enterprise expansion dynamics and zero churn in higher cohorts. He educates Latka on the friction of cross-departmental SaaS budget allocation when viral collaboration touches non-design VPs.15:37–18:42 · Guest disagreement 2/10 Customer Acquisition and Gross Margins Latka pushes for clear customer acquisition cost figures, but Suarez-Battan explains why multi-touch attribution and event sponsorships make a single CAC figure misleading. Latka confirms their gross margins sit comfortably above 85 percent.18:42–21:04 · Guest disagreement 0/10 The Famous Five Rapid-Fire Questions Latka moves through his standard Famous Five rapid-fire format. Suarez-Battan answers collaboratively regarding favorite books, CEO influences, and trusting gut instinct.2:04–4:36 · Nathan pushing back 4/10 Previous Exit and Three Melons Acquisition Latka methodically interrogates the financial mechanics of the Three Melons acquisition. He presses on the cash versus equity split and investor payout details, which Suarez-Battan answers transparently.4:36–6:59 · Nathan pushing back 3/10 IDEO Startup in Residence and Go-to-Market Strategy Suarez-Battan clarifies that Mural did not join IDEO as an employee or acquisition, but rather entered as a funded startup in residence. He explains how this relationship catalyzed relationships with anchor enterprise clients like IBM.6:59–9:46 · Nathan pushing back 3/10 Business Model, User Base, and Enterprise Scale Latka brings up the self-serve pricing page, prompting Suarez-Battan to reveal that self-serve represents only a quarter of revenue while enterprise deals dominate. Latka probes into the paid user base across the 1,200 company accounts.9:46–11:57 · Nathan pushing back 3/10 Monthly Recurring Revenue and Cohort Breakdown When Latka asks for average customer spend, Suarez-Battan explains that a pure mathematical average is misleading due to extreme power-law distribution. Latka quickly pivots to annualize their $280k MRR to roughly $3.5M ARR.11:58–15:35 · Nathan pushing back 2/10 Funding and Distributed Team Structure Suarez-Battan provides a breakdown of enterprise expansion dynamics and zero churn in higher cohorts. He educates Latka on the friction of cross-departmental SaaS budget allocation when viral collaboration touches non-design VPs.15:37–18:42 · Nathan pushing back 4/10 Customer Acquisition and Gross Margins Latka pushes for clear customer acquisition cost figures, but Suarez-Battan explains why multi-touch attribution and event sponsorships make a single CAC figure misleading. Latka confirms their gross margins sit comfortably above 85 percent.18:42–21:04 · Nathan pushing back 1/10 The Famous Five Rapid-Fire Questions Latka moves through his standard Famous Five rapid-fire format. Suarez-Battan answers collaboratively regarding favorite books, CEO influences, and trusting gut instinct.

speaking balance: gold is Nathan, purple is the guest (3 minute bins)

0:00 · Nathan 69.5% · guest 30.5%0:00 · Nathan 69.5% · guest 30.5%3:00 · Nathan 25.2% · guest 74.8%3:00 · Nathan 25.2% · guest 74.8%6:00 · Nathan 15.4% · guest 84.6%6:00 · Nathan 15.4% · guest 84.6%9:00 · Nathan 24.6% · guest 75.4%9:00 · Nathan 24.6% · guest 75.4%12:00 · Nathan 10.6% · guest 89.4%12:00 · Nathan 10.6% · guest 89.4%15:00 · Nathan 48.1% · guest 51.9%15:00 · Nathan 48.1% · guest 51.9%18:00 · Nathan 44.1% · guest 55.9%18:00 · Nathan 44.1% · guest 55.9%21:00 · Nathan 89% · guest 11%21:00 · Nathan 89% · guest 11%
Sharpest disagreement ▶ 4:36 Correcting host on IDEO affiliation

Suarez-Battan rejects the host's premise that they joined IDEO, firmly correcting that they entered as an independent startup in residence.

 Hardest push from Nathan ▶ 3:22 Drilling into acquisition deal structure

Latka refuses to accept a vague eleven million valuation, pushing to uncover the true cash upfront versus contingent equity components.

 Biggest teaching moment ▶ 14:06 Departmental budget allocation dynamics

Suarez-Battan delivers an in-depth explanation of how bottom-up collaboration tools encounter friction when adoption spreads beyond the initial buyer's budget.

 Nathan holds their own ▶ 10:57 Instant ARR and cohort calculation

Latka immediately calculates the 3.5 million dollar ARR run rate from monthly figures and articulates the 80/20 cohort dynamics of the business.
the scores for every segment, with the reasoning behind each
ChapterTopicNathan as informed peerGuest teachingGuest disagreementNathan pushing backWhy
Previous Exit and Three Melons Acquisition 6214 Latka methodically interrogates the financial mechanics of the Three Melons acquisition. He presses on the cash versus equity split and investor payout details, which Suarez-Battan answers transparently.
IDEO Startup in Residence and Go-to-Market Strategy 5423 Suarez-Battan clarifies that Mural did not join IDEO as an employee or acquisition, but rather entered as a funded startup in residence. He explains how this relationship catalyzed relationships with anchor enterprise clients like IBM.
Business Model, User Base, and Enterprise Scale 6313 Latka brings up the self-serve pricing page, prompting Suarez-Battan to reveal that self-serve represents only a quarter of revenue while enterprise deals dominate. Latka probes into the paid user base across the 1,200 company accounts.
Monthly Recurring Revenue and Cohort Breakdown 7423 When Latka asks for average customer spend, Suarez-Battan explains that a pure mathematical average is misleading due to extreme power-law distribution. Latka quickly pivots to annualize their $280k MRR to roughly $3.5M ARR.
Funding and Distributed Team Structure 5512 Suarez-Battan provides a breakdown of enterprise expansion dynamics and zero churn in higher cohorts. He educates Latka on the friction of cross-departmental SaaS budget allocation when viral collaboration touches non-design VPs.
Customer Acquisition and Gross Margins 6424 Latka pushes for clear customer acquisition cost figures, but Suarez-Battan explains why multi-touch attribution and event sponsorships make a single CAC figure misleading. Latka confirms their gross margins sit comfortably above 85 percent.
The Famous Five Rapid-Fire Questions 3101 Latka moves through his standard Famous Five rapid-fire format. Suarez-Battan answers collaboratively regarding favorite books, CEO influences, and trusting gut instinct.

Statements from this episode (15)

Assertion Not checkable as stated
Playdom Acquired Three Melons for Approximately $11 Million
“It was a combination of stock and equity. So, I mean, it's blurry, but somewhere around, like, it ended up being eleven million dollars.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 3:25
Assertion Not checkable as stated
Three Melons Angel Investors Saw a 10x Return on Acquisition
“Engine investors got around 10 X, I mean, yeah.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 4:32
Assertion Partly supported
Mural Raised Close to $1 Million Before IDEO Residency
“I think it was like close to a million bucks by that time.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 5:49
Assertion Supported
An IDEO Intro Turned IBM Into Mural's Biggest Client
“Like, I mean, they connected us with IBM, and that, and IBM became our biggest client.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 6:14
Insight
Mural Found Product-Market Fit Through IDEO's Enterprise Clients
“So clients of IDO that wanted to work like IDO ended up being the sweet spot for a go to market.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 6:51
Disclosure
Mural Generates 25% of Revenue Online and 75% From Enterprise
“I'd say, probably one-fourth of our revenue comes from online, the rest come from enterprise deals, right?”
Mariano Suarez-Battan Aug 1, 2017 ▶ 7:11
Disclosure
Mural Reaches 45,000 Monthly Active Users Across 1,200 Companies
“So right now we have 45,000 monthly active users. And this is around a 1200 companies.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 8:21
Disclosure
IBM Accounts For 26,000 of Mural's 45,000 Monthly Active Users
“With IBM we have 26,000 monthly active users, so you can see the ratio of IBMers in there.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 8:43
Disclosure
Mural Abolished Its Freemium Model to Ensure All Users Pay
“We don't have a freemium model. We used to have it, then we switched to a free trial, and we can go and discuss that if you want to, but everybody that's using the product is using it paying.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 8:56
Disclosure
IBM Pays Mural Millions While 10 Other Companies Pay $100k+
“IBM pays us quite, quite a bit, as you can imagine, and then we have, so, millions of, multiple millions of dollars, then we jump into, like, a hundred, between a 100,000 and a 150, and we have, like, probably, you know, 10 companies in that range”
Mariano Suarez-Battan Aug 1, 2017 ▶ 9:58
Disclosure
Mural Generates Approximately $280,000 in Monthly Recurring Revenue
“So our recurring revenue per month is, right now, we are making like two, 280.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 11:01
Disclosure
Mural Has Raised $2.4 Million in Total Capital to Date
“We raised, so far, we took in 2.4 million dollars.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 12:06
Assertion Not checkable as stated
Mural Experiences Zero Churn Across Its Enterprise Customer Tiers
“In bucket three and four, we have zero churn so far. I mean, and it's negative, of course.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 13:57
Assertion Not checkable as stated
Mural Experiences 5% Monthly Churn in Its Self-Serve Online Cohort
“No, no, it's five. It's high. And we have cyclicality of the user product in terms of.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 15:22
Assertion Not checkable as stated
Mural Maintains Gross Margins North of 85%
“I mean, we're very optimal in that regard, of course, like, when it comes to the larger firms, we assign people to that, but yeah, it's north of 85%.”
Mariano Suarez-Battan Aug 1, 2017 ▶ 17:06
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