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Practice by Numbers

by Rohit GargLaunched 2015via Nathan Latka Podcast
See all SaaS companies using word of mouth
ARR$16.5M
Growthword of mouth
Pricingsubscription
The Spark

Rohit Garg's journey into dental software wasn't strategic—it was personal. His wife is a dentist, and Rohit found himself constantly running SQL queries to answer basic business questions about her practice. There had to be a better way. In 2015, he decided to build one. The twist: he built the entire platform as a side project while maintaining a full-time job at Philips Healthcare, fueled entirely by sweat equity.

Building the First Version

Rohit didn't have external funding to fall back on, nor did he pursue it. Instead, he bootstrapped Practice by Numbers from day one, building it nights and weekends around his day job. This constraint forced ruthless prioritization—every feature had to matter because there was no capital to waste on distractions.

Finding the First Customers

The first customer was obvious: his wife's practice. But from there, growth came entirely through word-of-mouth. By serving his wife's practice exceptionally well, Rohit created a template for what the product could become. Dentists talking to other dentists became the engine of growth.

What Worked (and What Didn't)

Zero paid acquisition and zero outside funding might sound like a limitation, but it became a competitive advantage. While larger competitors like Henry Schein and Patterson moved slowly, constrained by legacy systems and institutional inertia, Practice by Numbers moved fast. The company weathered a severe blow during COVID in 2020, which "cut the company at its knees," but Rohit relaunched and managed to 8x revenue over the following five years. The magic wasn't in marketing spend—it was in building a product so good that customers became evangelists. Practices using Practice by Numbers generate almost 2x the national average in dental practice revenue, creating a flywheel of retention and referrals without needing a loyalty program.

Where They Are Now

By 2026, Practice by Numbers had grown to $16.5M in ARR across 1,300 customers operating 2,000 locations. The company maintains 24% EBITDA margins—remarkable for a bootstrapped SaaS company—and has accumulated $2B in untouched payment GMV from its existing customer base, a massive opportunity waiting to be monetized. Rohit's vision is to reach $100M in revenue within 10 years, and given the trajectory and the untapped revenue sitting in the system, the timeline may prove conservative.

Why It Worked
  • Solving a real, recurring pain point for a specific vertical (dentists generating 2x national average revenue) created natural retention and word-of-mouth momentum without paid acquisition.
  • Building the entire product during nights and weekends at a day job forced obsessive prioritization and ruthless feature discipline, preventing scope creep that kills bootstrapped startups.
  • Zero outside funding meant no pressure to chase growth metrics over profitability, allowing the company to optimize for unit economics and sustainable margins (24% EBITDA) rather than burn rates.
  • The product itself became the customer acquisition engine—when users see their practices outperform national averages by 2x, they naturally tell their peers, creating compounding word-of-mouth.
  • Competing against slow-moving incumbents (Henry Schein, Patterson) meant Practice by Numbers could move faster, ship features more frequently, and build the AI/agentic roadmap competitors cannot replicate at their scale.
How to Replicate
  • 1.Start with a specific vertical where you have embedded knowledge or personal pain (Rohit had direct access via his wife), then obsess over making that vertical wildly successful before expanding.
  • 2.Build your MVP and first version as a side project while maintaining full-time income; this forces you to ship only what matters and eliminates the pressure to raise capital prematurely.
  • 3.Design your product to generate measurable, material improvements in your customers' core metrics (revenue, efficiency); when customers are visibly winning, word-of-mouth happens without prompting.
  • 4.Resist paid acquisition early; instead, instrument your product to understand which customers are happiest and ask them for referrals or case studies—this seeds word-of-mouth and creates a repeatable loop.
  • 5.Track and monetize second-order flows in your product (like the $2B in payment GMV) as a separate revenue stream later; this gives you optionality and a growth path without cannibilizing the core business.

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