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Inform

by Michael OzalpartiLaunched 2018via Nathan Latka Podcast
Growthother
Pricingsubscription
The Spark

Michael Ozalparti spent five years building Sabazo, a professional services and custom software company serving global hospitality firms with employee development tools. The business grew to "upwards of 40%" growth rate and generated just under $1M in ARR through project-based work and licensing. But Michael saw a ceiling: the services model was high-touch, low-leverage, and ultimately not scalable. He realized that the real opportunity wasn't in building one-off custom solutions—it was in productizing what his team had learned from working directly with 20 large enterprise clients across the hospitality space.

Building the First Version

Instead of abandoning Sabazo, Michael made a bold decision: use the cash flow from the agency to fund a new SaaS product called Inform. He bootstrapped the venture with $200,000 saved from Sabazo's revenues—no outside capital. The team split into two: 10 people remained on Sabazo (which would continue generating revenue and insights), while 5 people moved to Inform. The product launched in beta in 2018, positioning itself as an all-in-one LMS for hospitality teams. The key differentiator wasn't just the software—it was bundled content. Michael identified a critical gap: most LMS platforms fail because they lack engaging content. Inform would solve both problems by providing pre-built, professionally produced video and text courses alongside the platform itself.

What Worked (and What Didn't)

Michael's dual-company strategy was counterintuitive but strategic. Rather than going all-in on Inform and burning cash, he kept Sabazo alive as a cash engine and customer research lab. The 20 enterprise clients at Sabazo became the proof-of-concept for Inform's value proposition. This approach allowed him to bootstrap responsibly while gathering real-world intelligence about what hospitality teams actually needed to train employees effectively. The pricing model was straightforward: three tiers, two paid, targeting SMEs in hospitality with a freemium entry point.

Where They Are Now

As of the interview in 2018, Inform was pre-revenue—still in beta, with pricing set to launch by year-end. Michael was clear about the long-term vision: transition fully into the product space over the next five years while maintaining Sabazo client relationships through their contract terms. This wasn't about running two businesses forever; it was about using cash flow and customer knowledge from the legacy business to fund and validate the future one. Michael's philosophy: "You can never buy resourcefulness. What we've achieved in five years working with these customers face to face is a tremendous amount of experience in the space."

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