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• 5 Best Business Plan Software and Tools in 2023 for Your Small Business

Data as of 3 /13/23 . Offers and availability may vary by location and are subject to change.

We are committed to sharing unbiased reviews. Some of the links on our site are from our partners who compensate us. Read our editorial guidelines and advertising disclosure .

A business plan can do a lot for your business. It can help you secure investors or other funding. It can give your company direction. It can keep your finances healthy. But, if we’re being honest, it can also be a pain to write.

Luckily, you don’t have to start from scratch or go it alone. Business plan software and services can help you craft a professional business plan, like our top choice LivePlan , which provides templates, guidance, and more.

You’ve got quite a few choices for business plan help, so we’re here to help you narrow things down. Let’s talk about the best business plan tools out there.

• LivePlan : Best overall
• BizPlanBuilder : Most user-friendly
• Wise Business Plans : Best professional service
• Business Sorter : Best for internal plans
• GoSmallBiz.com : Most extra features
• Honorable mentions

Business plan software 101

The takeaway, business plan software faq, compare the best business plan software.

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LivePlan: Best overall business plan software

Data as of 3 /13/23 . Offers and availability may vary by location and are subject to change. *With annual billing

LivePlan has been our favorite business plan software for a while now, despite the stiff competition.

There’s a lot to like about LivePlan. It has pretty much all the features you could want from your business plan software. LivePlan gives you step-by-step instructions for writing your plan, helps you create financial reports, lets you compare your business’s actual financials to your plan’s goals, and much more. And if you ever need inspiration, it includes hundreds of sample business plans that can guide your writing.

LivePlan software pricing

But the best part? You get all that (and more) at a very competitive price. (You can choose from annual, six-month, or monthly billing.) While LivePlan isn’t quite the cheapest business plan builder out there, it’s not too far off either. And if comes with a 60-day money back guarantee. So there’s no risk in trying LivePlan out for yourself.

With a great balance of features and cost, LivePlan offers the best business plan solution for most businesses.

BizPlanBuilder: Most user-friendly

Need something easy to use? BizPlanBuilder fits the bill.

BizPlanBuilder doesn’t have a flashy, modern user interface―but it does have a very clear, intuitive one. You’ll be able to see your plan’s overall structure at a glance, so you can quickly navigate from your title page to your market trend section to that paragraph on your core values. And as you write, you’ll use a text editor that looks a whole lot like the word processing programs you’re already familiar with.

BizPlanBuilder software pricing

Data effective 3/13/23. At publishing time, amounts, rates, and requirements are current but are subject to change. Offers may not be available in all areas.

BizPlanBuilder also offers lots of helpful guidance for actually writing your plan. It gives you pre-written text, in which you just have to fill in relevant details. It offers explanations for what information you need to include in each section of your plan and way. It even gives you helpful tips from experts, so you’ll have all the information you need to plan like a pro.

So if you want planning software with almost no learning curve, you’ll like BizPlanBuilder.

Wise Business Plans: Best professional service

• Custom quote

Unlike all the other companies on this list, Wise Business Plans doesn’t offer software. Instead, it offers professional business plan writing services―meaning someone does all the hard work for you.

Now, you might think that sounds expensive―and you’re probably right (you have to request a custom quote for your plan). But there’s a lot to be said for expertise, and Wise Business Plans has plenty of that. Your business plan will get written by an experienced writer (with an MBA, no less). They’ll get information from you, do their own research, and then write your plan. You get one free revision, and you can always pay for more.  

Wise Business Plans service pricing

Your end result will be a polished, entirely original business plan. (You can even get printed copies.) And best of all, you won’t have to spend your precious time working on the plan yourself. Wise Business Plans takes care of all the hard parts, and makes your business look good while doing it. Sounds like a service worth paying for, right?

Put simply, if you want the most professional business plan possible, we recommend using Wise Business Plans’s writing service.

Business Sorter: Best for internal plans

Many businesses need plans to show to people outside the company (to get financing, for example). But what if you just need a plan for internal use? In that case, we suggest Business Sorter.

Business Sorter uses a unique card-based method to help you craft the perfect business plan. (You can watch a demo video to see how it works.) You’ll plan some of the usual things, like finances and marketing. But Business Sorter also lets you make plans for specific teams and team members. It also emphasizes more internal matters, like operations, that might get overlooked in a business plan for outsiders.

Business Sorter software pricing

After you’ve made your business plan, Business Sorter also helps you stay accountable to it. You can create tasks, give them deadlines, and assign them to team members―giving you basic project management tools to make sure your business plans become business actions. (Oh, and did we mention that Business Sorter has the lowest starting prices of any software on this list?)

It all adds up to a business plan software that works great for internal planning.

GoSmallBiz: Most extra features

Want to get way more than just business planning software? Then you probably want GoSmallBiz.

See, GoSmallBiz offers business plan software as part of its service―but it’s just one part of a much bigger whole. You also get everything from discounts on legal services to a website builder to a CRM (customer relationship manager) to business document templates. And more. In other words, you get just about everything you need to get your startup off the ground.

GoSmallBiz software pricing

Don’t worry though―you still get all the business planning help you need. GoSmallBiz gives you business plan templates, step-by-step instructions, and the ability to create financial projections. And if you get stuck, GoSmallBiz will put you in touch with experts who can offer advice.

If you want business planning and much, much more, give GoSmallBiz a try.

• PlanGuru : Best financial forecasting
• EnLoop : Cheapest tool for startups

We recommend the software above for most business planning needs. Some businesses, though, might be interested in these more specialized planning software.

Honorable mention software pricing

Planguru: best financial forecasting features.

PlanGuru is pretty pricey compared to our other picks, but you might find its forecasting features worth paying for. It has more forecasting methods than other software (over 20) plus it lets you forecast up to 10 years.

EnLoop: Cheapest tool for startups

EnLoop doesn’t have our favorite features or interface, but it does have really, really low pricing plus a seven-day free trial. It's the most affordable software for startup business planning and still provides all the essential features like financial analysis, team collaboration, charting, and more.

Data as of 3 /13/23 . Offers and availability may vary by location and are subject to change. * With annual billing

Several of our previous favorite planning software, including BusinessPlanPro and StratPad, seem to have gone out of business.

A business plan is a written, living document that tells the story of your business and what you plan to do with it. It serves as the source of truth for you—the business owner—as well as potential partners, employees, and investors, but it also serves as a roadmap of what you want your business to be.

Why you need a business plan

While some small-business owners don’t see the point of creating a formal business plan, it can have some concrete benefits for your business. For example, one 2016 study found that business owners with written plans are more successful than those that don’t. 1

Still too vague? Then let’s get specific.

If you ever seek business funding (from, say, banks, angel investors , or venture capitalists ), you’ll have to prove that your business deserves the money you want. A formal business plan―complete with financial data and projections―gives you a professional document you can use to make your case. (In fact, most potential investors will expect you to have a business plan ready.)

Even if you’re not seeking funding right now, a business plan can help your business. A formal plan can guide your business’s direction and decision making. It can keep your business accountable (by, for example, seeing if your business meets the financial projections you included). And a formal plan offers a great way to make sure your team stays on the same page.

What to include in your business plan

Not all business plans are created equal. To make a really useful business plan, you’ll want to include a number of elements:

• Basic information about your business
• Your products/services
• Market and industry analysis
• What makes your business competitive
• Strategies and upcoming plans
• Your team (and your team’s background)
• Current financial status
• Financial and market projections
• Executive summary

Of course, you can include more or fewer elements―whatever makes sense for your business. Just make sure your business plan is comprehensive (but not overwhelming).

How business plan software can help

With so many elements to include, business plan creation can take a while. Business plan software tries to speed things up.

Most business plan software will include prompts for each section. In some cases, you can just fill in your business’s specific information, and the software will write the text for you. In other cases, the software will give you specific guidance and examples, helping you write the text yourself.

Plus, business plan software can help you stay organized. You’ll usually get intuitive menus that let you quickly flip through sections. So rather than endlessly scrolling through a long document in a word processor, you can quickly find your way around your plan. Some software even lets you drag and drop sections to reorganize your plan.

Sounds way easier than just staring at a blank page and trying to start from scratch, right?

Choosing business plan software

To find the right business plan builder for your business, you’ll want to compare features. For example, would you rather write your own text, getting prompts and advice from your software? Or would you rather go with a fill-in-the-blank method?

Likewise, think about the elements you need. If your plan will have a heavy focus on finances, you’ll want to choose business plan software with robust financial projection features. If you care more about market and competitor analysis, look for software that can help with that research.

You may also want to find business plan software that integrates with your business accounting software . Some plan builders will import data from Xero, QuickBooks, etc. to quickly generate your financial data and projections.

And of course, you’ll want to compare prices. After all, you always want to end up with software that fits your business budget.

The right business plan software can make your life easier. With LivePlan ’s wide breadth of features and online learning tools, you can’t go wrong. Plus, BizPlanBuilder 's one-time pricing makes it easy to invest while Business Sorter has a low starting cost. And if you're business is looking to grow, GoSmallBiz and Wise Business Plans will scale with you.

But of course, different companies have different needs. So shop around until you find the software that’s best for you and your business.

Now that you've got a business plan, take a look at our checklist for starting a small business.  It can help you make sure you have everything else you need to get your startup off to a good start!

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Creating a business plan can take anywhere from a couple hours to several weeks. Your timeline will depend on things like the elements you choose to include, whether you use software or hire a writing service, and how much research goes into your plan.

That said, much of the business plan software out there brags that it can help you create a fairly detailed plan in a few hours. So if you’re going the software route, that can help you set your expectations.

If you want to get the most out of your business plan, you should update it on a regular basis―at least annually. That way, you can continually refer to it to inform your company’s strategies and direction.  

At the very least, you should update your business plan before you start looking for a new round of funding (whether that’s with investors or lenders).

Thanks to business plan software, you can easily write your own business plan rather than pay someone to do it for you. And in most cases, software will cost you less than a professional business plan service.

There are some times you might want to go with a service though. If time is tight, you might find that it’s worth the cost of a service. Or if you’ve got big investor meetings on the horizon, you might want the expertise and polish that a professional service can offer.

Ultimately, you’ll have to decide for yourself whether business plan software or a business plan service will work better for your company.

Methodology

We ranked business plan software and tools based on features, pricing and plans, and connections to project management and other services. The value of each plan and service, along with what it offers, was a big consideration in our rankings, and we looked to see if what was offered was useful to small businesses or just extra. The final thing we looked at was the ease of use of the software to see if it's too complex for small businesses.

At Business.org, our research is meant to offer general product and service recommendations. We don't guarantee that our suggestions will work best for each individual or business, so consider your unique needs when choosing products and services.

Sources 1. Harvard Business Review, “ Research: Writing a Business Plan Makes Your Startup More Likely to Succeed .” Accessed March 13, 2023.

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Disclaimer: The information featured in this article is based on our best estimates of pricing, package details, contract stipulations, and service available at the time of writing. All information is subject to change. Pricing will vary based on various factors, including, but not limited to, the customer’s location, package chosen, added features and equipment, the purchaser’s credit score, etc. For the most accurate information, please ask your customer service representative. Clarify all fees and contract details before signing a contract or finalizing your purchase.

Our mission is to help consumers make informed purchase decisions. While we strive to keep our reviews as unbiased as possible, we do receive affiliate compensation through some of our links. This can affect which services appear on our site and where we rank them. Our affiliate compensation allows us to maintain an ad-free website and provide a free service to our readers. For more information, please see our  Privacy Policy Page . |

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Free Business Plan Generator

Do you still spend hours writing and creating a business plan? Not after today. Upmetrics’ free business plan generator simplifies writing a business plan and helps you create a comprehensive and compelling lean plan in seconds.

Sounds exciting? Let’s learn more about getting started with our free business plan generator and using it to draft your plan.

Using Upmetrics’ Free Business Plan Generator

Need help using the free business plan generator? Follow these step-by-step instructions to create a business plan using the free generator in no time.

Creating a business plan requires filling in 4 critical fields—company overview, marketing details, competitor information, and financial overview. Let’s start with the first.

1. Enter the Company Overview

Provide a company overview in approximately 3-4 sentences, including your business’s name, service offerings, USPs, mission, goals, and target market. Here’s an example for you:

2. Add Marketing Details

The next step—provide marketing details. Start by answering how your business plans to attract new customers and what you want to achieve with your business.

You may also include details about your marketing budget and preferred marketing channels. Here’s an example for your reference:

“i.e. We will attract customers through a strong online presence, social media marketing, and in-store promotions. Offering loyalty programs and hosting community biking events will help build a loyal customer base.”

3. Enter Competitor Information

After adding the marketing details, provide the name of your primary competitor(s) and explain how you are distinct from your competitors.

Describe whether your offerings have any competitive advantages or differentiators. Here’s how it can be done:

“i.e. Our primary competitor is ‘Wheels & Gears,’ but what sets us apart is our personalized customer service and expert bike repair services. We also differentiate ourselves by focusing on eco-friendly and sustainable products.”

4. Provide Financial Overview

Finally,—provide an overview of your business financials. Include what your startup costs are, what your financial strategy would be, and your first-year sales.

We are creating a lean business plan, so it may not require a detailed description of your business financials. Here’s an example for your understanding:

“i.e. Our expected business costs are $87,000 and that includes rent, inventory, equipment, and staff salaries. Our financial strategy is to minimize overhead costs and optimize inventory turnover. We project annual sales to reach $500,000 in the first year.”

5. Click on Generate a Business Plan

You’ve filled in all the necessary fields. It’s time to click “Generate a Business Plan” and see it yourself.

Your lean business plan is ready; you may make a few changes and go ahead with it or choose an AI business plan generator for comprehensive planning.

Make detailed business & financial plans in minutes with

Upmetrics’ AI Business Plan Generator

Plans starting from $7/month

Business Plan Example that will Inspire You

We created this sample CycleWave business plan using Upmetrics’ free generator. Remember, it’s your first draft—you can always go back and re-generate or edit it later.

CycleWave Business Plan

Introduction

Welcome to the business plan for CycleWave, a bicycle retail and repair shop dedicated to providing high-quality bikes and expert maintenance services. Our mission is to promote a healthier and more sustainable lifestyle through cycling while offering exceptional customer service.

Market Overview

The cycling industry is experiencing significant growth, driven by increasing interest in health, sustainability, and alternative transportation methods.

The target market includes cycling enthusiasts, commuters, and local community members.

Strong market potential due to growing awareness of the need for eco-friendly and sustainable products.

Competitive Analysis

Primary competitor: Wheels & Gears.

Differentiation factors

• Personalized customer service
• Expertise in bike repair services
• Focus on eco-friendly and sustainable products.

Highlight the advantages of our unique offerings to attract customers away from competitors.

Marketing Plan

Utilize a solid online presence through a professional website to showcase our products, services, and promotions. Implement social media marketing strategies to engage with customers and build brand awareness.

Host community biking events to foster a sense of belonging and attract potential customers. Offer loyalty programs to incentivize repeat business and build a loyal customer base.

Operational Plan

Secure a suitable retail location with ample space for displaying bicycles and providing repair services. Employ knowledgeable staff with expertise in bike repair and customer service.

Create efficient processes for inventory management and maintenance repairs to ensure fast turnaround times. Maintain an attractive and organized store layout to enhance the customer experience.

Financial Plan

Our expected business costs are $87,000, allocated as follows:

• Rent: $30,000
• Inventory: $40,000
• Equipment: $10,000
• Staff Salaries: $7,000

We project annual sales to reach $500,000 in the first year, allowing us to gradually cover expenses and increase profitability.

Conclusion and Call to Action

In conclusion, CycleWave aims to thrive in the bicycle retail and repair industry by offering high-quality bikes, expert maintenance services, personalized customer care, and eco-friendly products. Join us in promoting a healthier and more sustainable lifestyle through cycling.

If you want to support our mission and become part of our cycling community, please contact us or visit our store today!

Upgrade to Make Comprehensive Plans in Minutes

Upmetrics’ free business plan generator is undoubtedly a better way to business plan. However, you may need an upgrade to create a comprehensive, investment-ready plan.

AI business plan builder like Upmetrics make business plan creation a breeze with their modern AI-powered features.

AI writing assistant helps you write, rewrite, edit, or translate sections of your plan, while the forecasting assistant provides revenue and expense stream suggestions for accurate projections.

You also get to access the massive library of 400+ sample business plans . So, all you need to do is export a template into the editor and start preparing your plan with AI .

What are you waiting for? Business planning starts @ $7 per month.

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Frequently Asked Questions

What is a free business plan generator.

The free business plan generator is a free-to-use version of Upmetrics’ business plan software. It uses AI-powered features to help users create a business plan. Since it can only create a lean business plan, you need Upmetrics’ advanced features for detailed planning.

Is it really free to use?

Yes, Upmetrics’ free business plan generator is 100% free to use, but the features that come with it are also limited. So, you may consider getting a premium subscription for advanced business planning features.

What information will I need to provide to use the tool?

You must fill in the necessary details to create a business plan using the free generator. The information required may include a company overview, marketing details, competitor information, and a financial overview.

What type of businesses should use your free business plan tool?

Startups and small businesses starting up or operating on tight budgets should consider getting a free business planning tool to create a lean business plan.

Is there a limit to how many plans I can create with your software?

No. As of now, there’s no limit to the number of business plans you can create using Upmetrics’ free business plan generator.

Is a sample plan as useful as creating my own custom version?

Using a sample business plan or template is one of the easiest ways to create your business plan. All you need to do is export a template into the editor and start preparing your plan with AI.

The Quickest Way to turn a Business Idea into a Business Plan

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How To Write a Business Plan for Open-Source Software in 9 Steps: Checklist

By henry sheykin, resources on open-source software.

• Financial Model
• Business Plan
• Value Proposition
• One-Page Business Plan

Open-source software has revolutionized the way businesses operate, providing free access to powerful software solutions. But how can a company generate revenue while still offering the software for free? Enter the service-based model for open-source software, a popular business model in the US.

In fact, according to recent statistics, the open-source software market is expected to reach a value of $66.50 billion by 2025, experiencing a compound annual growth rate (CAGR) of 16.5% from 2019 to 2025. This remarkable growth reflects the increasing demand for flexible and customizable software solutions.

So, how can you tap into this thriving market and create a successful business plan for your open-source software venture? Let's explore nine essential steps to guide you along the way:

• Conduct market research to understand the demand and potential of your software solution.
• Identify your target market and customer needs, ensuring that your software addresses specific pain points.
• Research potential competitors to analyze their offerings, strengths, and weaknesses.
• Define your unique value proposition, clearly articulating how your expertise and services add value to the open-source software.
• Develop a business model that aligns with your target market and revenue goals.
• Determine the financial requirements to start and sustain your open-source software business.
• Create a comprehensive marketing strategy to promote your services and attract customers.
• Establish a skilled team and beneficial partnerships to support your business operations.
• Outline clear and measurable goals and objectives for your business plan, providing a roadmap for success.

By following these nine steps, you can build a solid business plan for your open-source software venture, leveraging the service-based model to generate revenue while still providing free access to the software itself. So, are you ready to dive into the exciting world of open-source software and take advantage of its immense growth potential?

Conduct Market Research

Before embarking on any business venture, it is crucial to conduct market research to gain a comprehensive understanding of the market landscape in which your open-source software will operate. This crucial step will provide valuable insights that will shape your business plan and set a solid foundation for success.

During market research, it is essential to identify the target market for your open-source software. This involves determining the industries, sectors, or specific niche that will benefit most from your product. By understanding the specific needs and pain points of your target market, you can tailor your software and services accordingly.

Analysis of the customer needs is another crucial aspect of market research. By understanding the challenges and requirements your potential customers face, you can develop a solution that addresses their needs effectively. This will not only differentiate your open-source software but also position it as an invaluable tool in their day-to-day operations.

Additionally, it is important to thoroughly research potential competitors to gauge their presence, offerings, and impact on the market. This will help you identify any gaps in the market that your open-source software can fill. Moreover, by understanding your competitors' strengths and weaknesses, you can strategize to position your software as a superior solution.

Tips for conducting market research:

• Utilize online resources, industry reports, and publications to gather information about your target market.
• Engage with potential customers, industry experts, and existing open-source software users to gain insights and understand their requirements.
• Attend industry conferences, forums, and trade shows to network with key players and stay updated on industry trends.
• Consider leveraging tools and platforms to collect and analyze data, such as surveys, focus groups, and online analytics tools.

By conducting thorough market research, you can develop a deeper understanding of your target market, identify opportunities and challenges, and position your open-source software for success. This knowledge will serve as a solid foundation for the subsequent steps of writing a business plan.

Identify Target Market and Customer Needs

One of the most crucial steps in creating a business plan for open-source software is identifying your target market and understanding your customers' needs. This essential step will help you tailor your software and services to meet their specific requirements, ultimately leading to business success.

Identify your target market: Begin by clearly defining the industry or industries in which your open-source software will provide the most value. Consider factors such as market size, growth potential, and competition. By focusing on a specific target market, you can better understand the unique challenges and opportunities that exist.

• Research industry reports and trends to gain insights into potential target markets.
• Consider conducting surveys or interviews with industry professionals to gather firsthand information.
• Pay attention to emerging industries that may benefit from open-source software solutions.

Identify customer needs: Once you have identified your target market, delve deeper to understand the specific needs and pain points your customers are experiencing. This information will guide the development of your software and help you provide the most valuable solutions.

• Conduct market research to uncover common challenges faced by potential customers.
• Engage with industry experts and professionals to gain insights into their specific requirements.
• Consider offering surveys or feedback mechanisms to gather direct feedback from potential customers.

By clearly identifying your target market and understanding the needs of your customers, you can position your open-source software as a valuable solution that addresses critical pain points. This knowledge will enable you to develop a comprehensive business plan that effectively communicates your value proposition and sets you apart from competitors.

Research Potential Competitors

One crucial step in writing a business plan for open-source software is conducting thorough research on potential competitors. This research will help you understand the current market landscape and identify key players in the industry. By studying your competitors, you can gain insights into their strengths, weaknesses, and strategies, which will enable you to position your software and services in a unique and valuable way.

Here are some important aspects to consider when researching potential competitors:

• Identify direct and indirect competitors: Look for companies or organizations that offer similar open-source software solutions or services. Direct competitors directly compete with your offerings, while indirect competitors may have a different primary product or service but still cater to similar customer needs. Understanding both types of competitors will help you assess the market saturation and level of competition.
• Analyze their product offerings: Study your competitors' software features, functionality, and any additional services they provide. This analysis will help you identify any gaps or opportunities in the market that you can leverage with your own software solution.
• Assess their target market: Determine who your competitors are targeting and understand their approach to serving their customers. This information will assist you in refining your own target market and developing strategies to differentiate your software and services.
• Evaluate pricing structures: Examine how your competitors price their software and services. This analysis will help you determine competitive pricing strategies that align with the value you offer and the target market you aim to serve.
• Examine marketing and promotion strategies: Research how your competitors market their open-source software and services. Analyze their online presence, content marketing efforts, social media strategies, and any partnerships or collaborations they have established. By understanding their marketing tactics, you can develop effective strategies to reach and engage your target audience.
• Utilize online tools and platforms to gather competitive intelligence, such as conducting keyword research, analyzing website traffic, and monitoring social media activities of your competitors.
• Engage with users and customers of your potential competitors to gain insights into their experiences, pain points, and areas where they seek better solutions.
• Regularly revisit your competitive analysis to stay updated on market trends, new entrants, and evolving strategies by your competitors.

Define The Unique Value Proposition

Defining the unique value proposition of your open-source software is crucial for creating a strong business plan. Your value proposition is what sets your software apart from competitors and convinces customers why they should choose your product. Here are some key steps to help you define your unique value proposition:

• Understand your target market: Research and identify the specific needs and pain points of your target market. What problems does your software solve? What benefits does it offer? This understanding will provide insights into the unique value your software brings to the market.
• Identify your software's key features: Determine what features and functionalities make your software stand out. Identify the aspects of your software that provide a competitive edge and address the needs of your target market.
• Highlight the benefits: Clearly articulate the benefits customers will gain by using your open-source software. Emphasize the value it brings, such as increased efficiency, cost savings, scalability, or improved productivity.
• Showcase innovation: If your software incorporates innovative technologies or approaches, highlight them as part of your unique value proposition. Demonstrate how your software pushes boundaries, disrupts traditional methods, or introduces new solutions.
• Address pain points: Identify pain points or frustrations commonly experienced by customers in your target market. Position your software as a solution to these challenges and explain how it addresses these pain points more effectively than other options available in the market.
• Consider conducting surveys, interviews, or focus groups to gather feedback from potential customers. This can help you understand their needs and expectations, which can be incorporated into your unique value proposition.
• Take the time to analyze and assess your competitors' value propositions. This will allow you to identify gaps in the market that your software can address and differentiate itself from the competition.
• Regularly revisit and refine your value proposition as market conditions and customer needs evolve over time. Stay agile to ensure your software remains relevant and competitive.

Develop A Business Model

Developing a strong business model is crucial for the success of your open-source software venture. This is where you outline how your company will create, deliver, and capture value. Here are some important steps to consider:

• Identify your revenue streams: Determine how your company will generate income from your open-source software. In the service-based model, common revenue streams include consulting, customization, and support services. Consider offering different packages or tiers to cater to various customer needs and budgets.
• Understand your cost structure: Analyze your expenses and determine the costs associated with providing your services. This will help you set competitive pricing and ensure your business is financially viable.
• Define your target customers: Clearly define who your ideal customers are and understand their needs and pain points. This will enable you to tailor your services and marketing efforts to attract and retain these customers.
• Consider your value proposition: Articulate the unique value your open-source software provides compared to competitors. Highlight the specific benefits your software offers and the problems it solves for customers.
• Explore partnerships and collaborations: Look for potential strategic partnerships and collaborations with other organizations that can enhance your business model. This could involve working with other software vendors, industry associations, or complementary service providers.
• Regularly assess and adapt your business model as market conditions and customer needs evolve.
• Ensure your pricing strategy aligns with the value you provide. Consider offering both one-time payment options and recurring subscription models.
• Stay up-to-date with industry trends and innovations to identify new opportunities for revenue generation.

Determine The Financial Requirements

Once you have identified your target market, customer needs, and potential competitors, it is crucial to determine the financial requirements for your open-source software business. This step will help you understand the resources and funding you will need to launch and sustain your venture.

First and foremost, calculate the initial costs of developing the open-source software. This includes expenses for acquiring necessary hardware, software tools, and licenses. Additionally, consider any costs associated with hiring developers, designers, or other professionals who will contribute to the software's development.

Next, assess the ongoing operational costs, such as hosting, maintenance, and security. These costs will vary depending on the size and complexity of your software, as well as the number of users and the level of support you plan to provide. It is essential to accurately estimate these expenses to ensure sufficient funding to sustain your business.

Apart from the development and operational costs, consider any marketing and sales expenses that you may incur. This can include market research, advertising, attending industry conferences, and other promotional activities aimed at attracting customers and generating revenue.

Furthermore, evaluate potential revenue streams and determine their feasibility. In the service-based model, revenue is typically generated through consulting, customization, and support services. Estimate the pricing structure for these services and project the potential income based on anticipated demand and market competition.

• Tip 1: Consider creating different pricing tiers based on the level of service and expertise provided. This can cater to different types of customers and maximize revenue potential.
• Tip 2: Explore alternative funding options such as venture capital, crowdfunding, or grants specific to open-source software projects. These sources can provide the necessary financial support to accelerate growth and expansion.
• Tip 3: Regularly review and update your financial requirements as your business evolves. This will ensure that you have a realistic understanding of your financial needs and can make informed decisions to optimize revenue and manage expenses.

By determining the financial requirements, you can develop a clear understanding of the resources and funding needed to successfully launch and sustain your open-source software business. It will enable you to make informed decisions and develop a robust financial strategy that supports your growth and profitability.

Create A Marketing Strategy

A well-crafted marketing strategy plays a crucial role in the success of any business, including those operating in the realm of open-source software. It helps you understand your target market, identify the most effective channels to reach them, and define a compelling message that resonates with potential customers.

When creating a marketing strategy for your open-source software business, keep the following key points in mind:

• Identify your target audience: Start by clearly defining your target market and understanding their needs and pain points. This will enable you to tailor your marketing efforts and messages accordingly.
• Define your messaging: Develop a compelling value proposition that differentiates your open-source software offering from your competitors. Highlight the unique benefits and advantages of your solution, emphasizing how it addresses the specific needs of your target market.
• Select appropriate marketing channels: Determine the most effective channels to reach your target audience. This could include online platforms, social media networks, industry-specific forums, or traditional marketing avenues. Prioritize the channels that align with the preferences of your target market.
• Create engaging content: Develop high-quality content that educates and informs your target audience about the benefits and capabilities of your open-source software. This could be in the form of blog posts, whitepapers, videos, or case studies.
• Implement SEO and keywords: Optimize your website and content with relevant keywords to improve visibility in search engine results. This will help potential customers find your open-source software more easily.

Tips for creating an effective marketing strategy:

• Regularly analyze and review your marketing strategy to ensure it aligns with evolving market trends and customer preferences.
• Consider leveraging partnerships or collaborations with influential players in your industry to expand your reach and enhance your credibility.
• Monitor and track the effectiveness of your marketing campaigns using tools like Google Analytics to optimize your efforts and make data-driven decisions.
• Engage with your target audience through social media channels, actively responding to inquiries, providing support, and sharing valuable insights.

Remember, a well-executed marketing strategy not only helps drive awareness and interest in your open-source software but also establishes your brand as a trusted and reliable solution provider in the industry.

Establish A Team And Partnerships

Building a strong and capable team is crucial for the success of your open-source software business. When establishing your team, consider the expertise and skills required to develop, maintain, and support the software. Look for individuals with a strong background in software development, as well as those with experience in the specific industry or market you are targeting.

Additionally, seeking partnerships with other companies and organizations can help enhance your business's credibility and expand your reach. Identify potential partners who share similar values and goals and can complement your expertise. Collaborating with established companies or organizations in your target market can also provide valuable insights and connections.

Tips for Establishing a Team and Partnerships:

• Clearly define the roles and responsibilities of each team member to ensure efficient collaboration and avoid duplication of efforts.
• Consider hiring individuals who are passionate about open-source software and share the same vision for the project.
• When seeking partnerships, focus on companies or organizations that can bring added value to your business and align with your principles.
• Establish open lines of communication with your team and partners to foster collaboration and address any challenges or concerns.
• Regularly evaluate the performance of your team members and the progress of your partnerships to ensure they align with your business objectives.

By establishing a strong team and cultivating partnerships, you can leverage the combined expertise and resources to drive the success and growth of your open-source software business.

Outline The Goals And Objectives Of The Business Plan

As you near the end of writing your business plan for open-source software, it is essential to outline the goals and objectives that you aim to achieve. This section provides clarity and direction for your business, ensuring that you have a clear roadmap for success.

• Define your long-term vision: Start by clearly articulating the overall vision for your open-source software business. What impact do you hope to make in the industry? What are your long-term aspirations?
• Set specific, measurable goals: Next, break down your long-term vision into specific goals that can be measured. These goals can be related to revenue targets, user acquisition, market share, or any other relevant metrics that align with your business model.
• Establish objectives to achieve goals: Once you have defined your goals, outline the specific objectives that will help you accomplish them. Objectives should be actionable, time-bound, and realistic, serving as stepping stones towards your goals.
• Determine key milestones: Identify the key milestones that need to be achieved at different stages of your business's growth. These can include launching a minimum viable product, securing partnerships, expanding into new markets, or reaching a certain number of users.
• Ensure that your goals and objectives are aligned with your overall business model and the needs of your target market.
• Regularly review and update your goals and objectives as your business evolves. Flexibility is key in the dynamic world of open-source software.
• Break down your goals and objectives into smaller, manageable tasks to make them more achievable and track progress effectively.

By outlining the goals and objectives of your business plan, you provide a clear direction for your open-source software business and enhance your chances of success. Regularly revisit this section, adjust as needed, and celebrate milestones accomplished along your journey.

In conclusion, developing a business plan for open-source software requires careful consideration of various factors. By conducting market research, identifying the target market, and understanding customer needs, businesses can create a unique value proposition. Researching potential competitors, determining financial requirements, and developing a business model are also crucial steps. Additionally, creating a marketing strategy, establishing a team and partnerships, and outlining the goals and objectives of the business plan are essential for success in this industry. With a well-thought-out business plan, businesses can thrive in the service-based model of open-source software, providing customized solutions while generating revenue through consulting and support services.

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The 3 Ultimate Free Business Plan Software

Andrew Marder

Free business plan software options, non-software options for business plan creation, final thoughts.

A new business generally needs two things. First, it needs a reason to exist. What are you going to bring to the marketplace that no one else is providing or how are you going to provide an existing product in a “better” fashion? Second, you’re going to need some cash. Even if you’re just going to be making websites in your bedroom, you’ll need some money for internet access, food, and some software or hosting.

These two problems can both be addressed through a solid business plan.

A business plan tells you – and anyone you decide to share it with – what your core function is. It helps you focus in on the things that you do best and it gives you metrics to determine what your success looks like. I say, “It gives you,” but really it’s just a template for managing your own thoughts.

In the same way that a blueprint is the physical manifestation of a building plan, a business plan is the physical manifestation of your business goals. Could you build a house without drawing up a blueprint? Sure. Is it a super good idea that we’re all about to adopt? Not even close.

In addition to putting your own thoughts on paper and making the organization process more structured, a good business plan is also your pitch. When you go into the bank, you’re going in with a clear message about what you do, who buys it, and how much you’re expecting them to spend with you over time.

The forecasting and economic consolidation that happens in your business plan makes talking to the bank – or VC or neighbor or rich uncle – that much easier.

To help you pull a plan together, there are – of course – plenty of software solutions. These range from the simple to the complex. You can opt for a solution that basically just lays the material you create out or one that helps you with every step of the process.

Today, we’ll look a few free business plan software options to help get you started. I’ll also give you a few non-software solutions, just in case you want to get your hands a bit dirty.

This article looks at three free business plan software options. See the full list of free business plan software solutions here .

Note: Your hands may not get dirty, except in a metaphorical sense. Much depends on the type of pen you employ.

1. StratPad

StratPad is a cloud-based business plan software solution. There are a few different versions, depending on how many business plans you want to make, but for one plan, you can get a free account. As an additional little bonus, if you happen to teach business at a high school or university, StratCloud has a free version of its Unlimited offering. Interested in products with similar features? These StratPad alternatives could be what you are looking for.

That little bonus points to what StratCoud is really all about. The company provides workshops, videos, and educational blogs for entrepreneurs. It makes the bulk of its revenue not through subscriptions, but through the introductions it provides via StratPad Connect.

There, business coaches, accountants, and other professionals can connect with new businesses. Those leads generate a small fee from the professional, paid to StratPad. You’re not paying, so you’re the product – but it’s a pretty tame version of the old adage.

StratPad comes with follow along instructions and ends up generating a very clean and classic looking business plan. I like the layout of the system and I’m apparently not the only one. StratPad claims over 100,000 businesses are currently using its service.

Enloop is another free option for those seeking a single business plan. The company attempts to bring a little bit of credibility with its offering by scoring your business plan. Once it’s been scored, bankers or investors can look to see how well you did.

The score encompasses some basics like cash flow and growth. It updates as you update the document, so you can see what metrics are having the biggest – in Enloop’s mind – impact on your business’s viability. Sharing the actual score is only available to paid users.

Enloop also makes it easy to collaborate on plans, and the free version of the service gives you one additional user. You’ll be able to forecast up to 36 months out for financials, and all of it can be dropped into a PDF. Want to find software solutions with comparable features? These Enloop alternatives are a good place to start.

3. Plan Cruncher

This is my wildcard entry into the mix. Plan Cruncher isn’t really a business plan software. Instead, it takes the information you give it and generates a sort of elevator pitch/cover letter for your business plan.

When you’ve input all the details, you’ll end up with a one-page overview of the business, including what you’re going to do, who’s involved in the project, where you are in the funding process, and what you’re looking for next.

I like this for two reasons. First, it’s kinda fun. The final product is covered in these little logos that Plan Cruncher has come up with, so you get a nice visual view of the business. Second, it makes you summarize the whole thing. You’ll be entering details in 140 character boxes and chopping your offering down into small consumable chunks. This is a great way to determine what the core parts of your business really are.

Plan Cruncher has just the one version. It’s free and you end up with a nice PDF when it’s all said and done. That being said, it is 100 percent focused on tech startups looking for cash from investors. If you roll into the bank with this thing, it better be because you’re the founder of Plan Cruncher and you brought it along to demonstrate what the service does. No banker is going to care about this.

Software doesn’t always have to be the solution. I mean, sure, you’ll need some software to make any business plan, but we’re talking about Microsoft Office style programs. These resources are excellent alternatives to software.

The Small Business Administration (SBA)

The SBA wants you to succeed in business and it’s got a whole host of resources to help you generate your own business plan on its website. One of the things you’ll miss out on by using software is a solid education.

By building your own plan, you’ll be forced to learn how the whole thing works, what investors are looking for, and what all the terms means. You’ll be forecasting and analyzing before you know it. The SBA has a great set of instructions on how to get up to speed before you head down to your bank.

Speaking of which…

Your bank [Wells Fargo as an example]

Many major banks have free business planning tools to help you get started. On the Wells Fargo site, for instance, you can learn about how business plans work, use some tools to bring the whole thing together, and even do some competitive analysis.

As a major benefit, you’ll be working with the company that you’re going to be asking for money, right out of the gates. If you don’t like your bank’s offering, you can always find another bank that has better tools. Most of them are available without an account.

The SCORE network

Another SBA shout out. The SCORE network hooks successful business folk up with the next crop of winners. You can reach out to knowledgeable, local, mentors who can help you craft a business plan. These people are there to help and to make business better.

That means 1) there’s not a cost associated with reaching out and 2) they’re not going to do your homework. If you show up with all your research and a good start, a mentor can help you put some finishing touches on or send you in search of more details. If you show up with nothing, expect to get nothing in return.

That’s probably a little unfair. I’m sure you can get help finding your way if you haven’t kicked things off yet. Just don’t expect to drop off your bank records and walk out with a plan that they’ve drawn up for you.

The Business Model Canvas (BMC)

We’ll end on another quirky one. The BMC was developed by Swiss business consultant Alexander Osterwalder. The BMC breaks a business into nine basic building blocks and then has you fill out all those blocks. The result is a sort of brainstorm of business planning that fits on a single page.

This is a popular framework for lean start-ups, as you can present the entirety of the plan in a single slide – with more detail than Plan Cruncher provides. If that sounds intriguing,  check out Alexander Cowan’s overview of the BMC for more details on how it actually works.

A business plan can help you understand and champion the growth of your business. Thinking through your business’s core functions and challenges can give you a better understanding of where you should be spending your time.

You’ll also be in a better position to get the funding you need, when you need it. Business planning may be the least exciting part of starting your business, but it’s one of the most important. If you’ve got any other tools or software options that you’ve used and loved, let me know in the comments.

Was this article helpful?

About the author.

Andrew Marder is a former Capterra analyst.

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550+ Business Plan Samples To Inspire Your Plan

Inspire your own plan with 550+ business plan samples

Use real business plan examples to jump-start your own plan!

Don’t start from scratch — get a headstart with 550 real business plan examples

How do you know what elements to include in your business plan, if you’ve never written one before? Looking at real business plan samples can help you visualize what a successful plan looks like, so you know what you’re aiming for before you get started. With LivePlan you’ll have access to over 550 free example business plans to use as a starting point.

Access our full library and browse real sample content for a broad range of businesses. You’ll see how others have written effective executive summaries, planned marketing activities, created financial forecasts , and more. Plus we’ll be right there to walk you through it .

Whether you run a dentist office or dog walking service, you’ll find examples of a business plan for every type of business.

Whether you’re a small- or mid-sized business, freelancer, nonprofit, or still figuring that out, we’ve got you covered.

LivePlan’s library of business plan samples has real business plans from 150 industries and growing. You can see the complete list here .

It’s OK if you can’t find an exact match to your business. You don’t need an exact match for a sample plan to be helpful. Instead, look for a plan that’s closely related to the type of business you’re starting. For example, if you want to start a vegetarian restaurant, a plan for a steakhouse will still be a great match.

While the specifics of your actual business will differ, the elements you’ll want to include in your restaurant’s business plan are similar—and they’re all included in LivePlan .

Real business plan examples to save you time

Read through as many sample business plans as you like to see how it’s done and get inspired. And if you really want to, you can even copy and paste sections to use in your own plan.

We’ve collected sample plans over more than 20 years, most through generous donations from happy customers who used our software and wanted to share their successful business plan samples with others.

Get LivePlan in your classroom

Are you an educator looking for real–world business plan examples for your students? With LivePlan, you give your students access to industry–best business plan samples, and help them set goals and track metrics with spreadsheet–free financial forecasts. All of this within a single tool that includes additional instructional resources to work seamlessly alongside your current classroom setup.

With LivePlan, it’s not just a classroom project. It’s your students planning for their futures. Click here to learn more about business planning for students.

Built-in examples and step-by-step help so you won’t get stuck

In addition to complete sample plans, LivePlan includes specific examples for each part of your business plan. Browse through a few examples to get an idea of how other businesses have worded their executive summary, for instance, or other key sections of the business plan. Find an example that works for you and personalize it to fit your business.

You’ll be confident that your numbers are right

In addition to sample business plans, LivePlan includes current industry benchmarks so you can see what the numbers look like for businesses just like yours. Knowing your industry standards helps ensure that your plan is both competitive and realistic.

Download a free sample business plan

Download a free business plan today. You can use it as a template for your own business plan and to see an example of what you’ll find in LivePlan. Download my free business plan .

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Open source tools for running a small business in 2022

Opensource.com

This year, Opensource.com ran several great articles focusing on open source in business. These articles show the power of open source in business as tools, platforms, or integration points. Let's review some of the top open source business stories from 2021:

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My favorite open source project management tools

If you've managed projects in an office environment, the odds are you've probably used Microsoft Project to track tasks and assignments. However, the open source community has created many options for tracking projects. For your project management needs, Frank Bergmann wrote about using Redmine, ]project-open[, ProjectLibre, GanttProject, TaskJuggler, and ProjeQtOr.

Use Apache Superset for open source business intelligence reporting

With business intelligence, you can get a better view of your information by sorting data, arranging results, and displaying contextual information. Business Intelligence (BI) is a key technology for any organization that wants to make "data-driven" decisions. Maxime Beauchemin article discusses Apache Superset and how it has matured into a leading open source BI solution.

6 WordPress plugins for restaurants and retailers

The pandemic changed how many people prefer to do business—probably permanently. Restaurants and other local retail establishments can no longer rely on walk-in trade, as they once had. Online ordering of food and other items has become the norm and the expectation. It is unlikely consumers will turn their backs on the convenience of e-commerce once the pandemic is over. Don Watkins wrote about six open source plugins to help you create a WordPress site that meets your customers' preferences for online shopping, curbside pickup, and delivery. It also builds your brand and your customer base.

Try Chatwoot, an open source customer relationship platform

In any business with a customer-facing component, it's critical to keep on top of customer interaction. When did we last contact this customer, or when did they last contact us? Who responded from our organization? What service level agreements govern the relationship? These and other questions are best managed in a customer relationship management system (CRM). Nitish Tiwari wrote about Chatwoot, an open source customer relationship platform built with Ruby and Vue.js. Chatwoot was written from scratch to allow customer-relations teams to build end-to-end ticket management and support platforms. This article looks at Chatwoot's architecture, installation, and key features.

Try Dolibarr, an open source customer relationship management platform

Whether you run a retail store, restaurant, pub, supermarket, gym, or any other business, you need a reliable way to keep in touch with your customers. After all, they're customers because they like what you do, and if they've shared their contact information with you, they want to hear more about what you have to offer. Pradeep Vijayakumar wrote about the Dolibarr project, an open source enterprise resource planning (ERP) and customer relationship management (CRM) software. Dolibarr provides a whole range of ERP features, including point-of-sale (POS), invoicing, stock and inventory management, sales orders, purchase orders, and human resources management.

An open source alternative to Microsoft Exchange

Microsoft Exchange has for many years been nearly unavoidable as a platform for groupware environments. Late in 2020, however, an Austrian open source software developer introduced grommunio, a groupware server and client with a look and feel familiar to Exchange and Outlook users. Markus Feilner wrote about how grommunio can replace Exchange in the enterprise as a robust and fully functional choice for groupware.

A guide to simplifying invoicing with this open source tool

Many IT projects are late, over budget, and subject to dramatic changes during development. These issues make invoicing one of the most taxing activities in IT. Frank Bergmann wrote about how ]project-open[ simplifies the process of invoicing. Frank's article can also serve as a guide to handling financial tasks if you decide to become self-employed or set up a startup.

Open source is good business

Open source software isn't just for developers. Businesses can leverage the power of open source software, as well. In fact, open source is a major driver in many business areas. The tool you're using today might itself be open source software or using open source as part of the stack.

5 open source alternatives to Microsoft Exchange

There is no need to settle for a proprietary solution. Try one of these Linux-based email and groupware services.

5 ways open source software transformed business in 2021

This collection of articles shows how businesses connect with open source software.

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Business Model Generation: Value proposition development

• Open Source

A collection of business models that will help you understand the key drivers of business model success. The card deck will be ready for purchase in the end of 2023 and is now undergoing rigorous testing.

Open Source refers to a development model in which products are created and maintained by a public community, rather than by a single company. The source code for these products is publicly accessible, enabling anyone with the appropriate skills and interest to contribute to the development and improvement of the software. As a result, the solutions developed through this process belong to the public at large, rather than to any single organization. Open Source products are also typically freely available for anyone to use, modify, and distribute.

The Open Source development model also provides a number of advantages for companies that choose to adopt it. One key benefit is that it eliminates the need for significant upfront investment in the development of new products. The community-driven nature of Open Source development means that much of the work is carried out voluntarily by passionate individuals, rather than by paid developers. As a result, companies can leverage the collective brainpower of the community to create better solutions than might be possible through proprietary development models. Furthermore, Open Source development is free from dependencies on suppliers, giving companies greater flexibility and control over their technology stack.

Where did the Open Source business model pattern originate from?

Open Source development has its roots in the software industry, with its earliest known use dating back to the 1950s at IBM. Following the introduction of the first IBM computers, a user group known as Share was formed to facilitate the exchange of technical information among programmers, operating system developers, and database experts. This early form of community-driven development laid the foundation for the modern Open Source movement.

The Emergence of Open Source in the Browser Market

In the 1990s, Open Source development experienced a resurgence with the Netscape Communications Corporation’s efforts to develop an alternative browser to compete with Microsoft’s Internet Explorer. This marked the beginning of the Mozilla Open Source project, which ultimately led to the development of the popular Firefox browser. This experience demonstrated the potential of Open Source to create value in the software industry and paved the way for its continued growth and adoption.

The Growth of Open Source and the Emergence of Profitable Business Models

Over the years, Open Source Software (OSS) has become an integral part of the software industry. One of the first companies to establish a profitable business model based on Open Source was Red Hat, which generated most of its revenues through the sale of service agreements and complementary software applications for the Linux operating system. Red Hat’s success helped to pave the way for other companies to generate significant revenues from Open Source products, and serves as a testimony of the viability of open source business model.

Applying the Open Source business model

Open Source development has found wide application in the realm of software design. By embracing an Open Source development model, organizations can relinquish a significant degree of control over a given project, but in return gain a competitive advantage through the setting of standards, the sharing of resources and risks, and the creation of a community of users to whom they can later sell additional commercial products or services.

Despite the availability of Open Source software at no cost, there are opportunities for income generation through business models that build upon an Open Source foundation. Rather than earning revenues directly from the software, companies may offer paid support, consulting services, or additional products or services that leverage the functionality of the Open Source software. This allows organizations to derive indirect returns while still maintaining the freedom and accessibility of the underlying software.

The biggest challenge with Open Source as a business model is not creating value, but capturing it. When designing an Open Source business model, it is important to ensure that at least some of the created value remains with the originating company.

There are a number of different opportunities for income generation using the Open Source model, including:

• Selling support and consulting services . Companies can offer paid support and consulting services to help customers troubleshoot and optimize their use of the Open Source software.
• Developing and selling additional products . Companies can develop and sell additional products that build upon or integrate with the functionality of the Open Source software.
• Offering hosted or managed services . Companies can provide hosted or managed versions of the Open Source software, which can be especially appealing for customers who want the convenience of having someone else handle the technical details.
• Selling training and education . Companies can offer training and education to help customers become more proficient in the use of the Open Source software.
• Creating proprietary add-ons . Companies can create proprietary add-ons or plug-ins that extend the functionality of the Open Source software, and sell access to them.

Opportunities for income generation can vary depending on the specific open source software, the industry and use-case as well as the legal and economic climate. However, the main idea behind all this is to monetize the open source software without limiting its accessibility and freedom, which is the main principle of the open source movement.

The future of Open Source

As the Open Source becomes more prevalent across industries, it continues to gain acceptance as a viable approach to software development, delivering an array of benefits such as cost-effectiveness, collaboration and community, and flexibility. The wide range of uses and the increasing number of projects and companies adopting Open Source, have made it a fundamental part of software industry.

Trigger Questions

• Is our strategic direction in line with community goals?
• How can we capture value while still sharing our research and development efforts?
• Is the technology amenable to an Open Source approach?
• Would open collaboration on our research and development endeavors yield a strategic advantage?
• Does the Open Source business model promise the potential to generate and capitalize on value?

Automatic & Wordpress

The free-to-install content management system software is also available as a paid subscription service on Wordpress.com.

Google & Android

Google Open Sourced its Android mobile operating system for free, earning revenue from its Play Store and mobile searches.

The online encyclopedia, launched in 2001, has become the world’s most widely used reference work. Articles are written and edited by a global community of users and the platform is sustained through donations. Through its Open Source model, Wikipedia has disrupted the traditional encyclopedia market and forced established publishers to adapt their business models.

mondoBIOTECH

The Swiss company operates as the world’s first Open Source biotechnology firm. Its mission is to identify compounds for the treatment of rare diseases, known as ‘orphan diseases’. Instead of laboratory research, the company screens existing research results and information for potential compounds, which is a more efficient and cost-effective method. Just 11 years after launch, the company has developed a pipeline of over 300 active substances, 6 of which have achieved orphan drug status.

Local Motors

Launnched in 2008, it is the first Open Source car maker. It operates on an open design network, allowing engineers worldwide to contribute ideas and collaborate on car development on its online platform. Their first car, the Rally Fighter, was developed and produced using this model, and while only 150 units have been sold, Local Motors reached its break-even point barely two years after launch.

Related plays

• Crowdsourcing
• Business Model Navigator by Karolin Frankenberger and Oliver Gassmann
• Business models for open-source software by Wikipedia
• 6 motivations for consuming or publishing Open Source software by Ben Balter
• 35 Top Open Source Companies by Cynthia Harvey

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Validation Patterns

Validate the problem.

Is your problem worth solving?

• Closed-Ended Surveys
• Cold Calling
• Comprehension Test
• Contextual Inquiry
• Crowdfunding
• Customer Service Logs
• Fake door testing
• Family Tree
• Find the Watering Hole
• Five People Who Are In
• Five Second Test
• Focus Group
• Industry Forums
• Move in With the Customer
• Read App Reviews
• Remote User Testing
• Sell the Future
• Write Down Your Concept

Validate the market

Don't build something that nobody wants

• Classified Posting
• Collect Pre-orders
• Conjoint Analysis
• Data Mining
• Feature Stub
• High Hurdle
• Offer a Sample
• One Night Stand
• Physical Before Digital
• Product-Market Fit Survey
• Run Test Ads
• Sales Pitch
• Single-Feature Product
• Spoof Landing Pages
• Trends and Keyword Analysis
• Wizard of Oz

Validate the product

Does your product solve the problem?

• A/B Testing
• Beta Launch
• Clickable Prototype
• First Click Testing
• Guerilla User Testing
• Impersonator
• LEGO prototype
• Micro Surveys
• Minimum Marketable Product
• Multivariate Testing
• Net Promoter Score (NPS)
• Paper Prototype
• Pretend to Own
• Takeaway Test
• Try it Yourself
• Working Prototype

Validate willingness to pay

Are people willing to reach into their wallets?

Business Model Patterns

Customer segment.

Meeting the unique needs of each and every customer

• Bottom of the Pyramid
• Customer Loyalty Program
• Ultimate Luxury

Pricing Model

Innovative pricing strategies for sustainable growth

• Access over Ownership
• Bait and Hook
• Cash Machine
• Dynamic Pricing
• Pay What You Want
• Reversed Bait and Hook

Revenue Streams

Explore different revenue streams to maximize potential

• Fractional Ownership
• Franchising
• Hidden Revenue
• Microfinance
• Pay Per Use
• Performance-Based Contracting
• Subscription
• Virtual Economy

Value Network

Sharing resources and risks for mutual benefit in the network

• Affiliation
• Brands Consortium
• Joint Venture
• Layer Player
• Multi-Sided Market
• No Middle Man
• Omnichannel
• Orchestrator
• Peer-to-Peer
• Platform as a Service
• Revenue Sharing
• Self-Service
• Shop in Shop
• Virtualization

Value Proposition

Value proposition strategies for long-term success

• Blended Value
• Cross Selling
• Experience Selling
• Guaranteed Availability
• Ingredient Branding
• Make More of It
• Mass Customization
• One-stop-Shop
• Product as Point of Sale
• Product Self-Service
• Reverse Innovation
• Sensor as a Service
• Solution Provider
• White Label

Value Proposition Development

Unlocking growth through value proposition design

• Digitization
• From Push to Pull
• Leverage Customer Data
• Open Business Model
• Reverse Engineering
• Trash-to-Cash
• User Designed

Workshop Patterns

Convert empathy to clarity by refining insights into problem definitions

• Dependency Mapping
• Future-Back Planning
• Future Press Release
• Objectives and Key Results

Uncover insights and drive problem-solving through deep analysis

• Assumptions Collection
• Business Model Mapping
• Circles of Influence
• Empathy Mapping
• Fishbone Diagram
• Force Field Analysis
• Force Field Network
• Hopes and Fears
• Impact Mapping
• Journey Mapping
• Market of Skills
• Opportunity Solution Tree Mapping
• Prototype Persona
• Service Blueprint
• Six Thinking Hats
• Skills Star Mapping
• Stakeholder Mapping
• Starbursting
• Touchpoint Mapping
• User Story Mapping
• Value Proposition Mapping
• Why-How Laddering
• 20-Year Brand Roadmap
• Competitive Landscape
• Design Principles
• Golden Circle
• Golden Path
• Personality Sliders
• Product Box
• Top Audiences
• Top Brand Values

Clarify the problem or experiment to facilitate discussion and collaboration

• Figure Storming
• Forced Analogy
• How Might We
• Hypothesis Statement
• Job Stories
• Powers of Ten
• Problem Statement
• Storyboarding
• The Anti-Problem
• Value Proposition Statement

Unleash creativity to collaboratively discover fresh solutions

• 3-12-3 Brainstorm
• Bad Idea Brainstorming
• Competitor Demos
• Crazy Eights
• Design Charrette
• Mind Mapping
• Perfection Game
• Plus / Delta
• Reverse Brainstorming
• Round Robin
• Yes, And! Brainstorm
• Head / Heart / Hand
• PEST Analysis
• Rose / Thorn / Bud
• Start / Stop / Continue
• SWOT Analysis

Prioritize ideas or challenges to determine where to direct your attention and efforts

• Assumptions Mapping
• Blind Voting
• Decider Vote
• Fist to Five
• Five-Fingered Consensus
• Heatmap Voting
• Letter to Myself
• Note and Vote
• Priority Mapping
• Project Plan
• Prune the Product Tree
• RACI Matrix Mapping
• Red:Green Cards
• Roles and Responsibilities
• Roman Voting
• Stack Ranking
• Trade-off Sliders
• Who / What / When Matrix

Build a shared understanding to reach your goals together

• Fishbowl Discussion
• Lean Coffee
• Mad / Sad / Glad
• Three Little Pigs

Core techniques used to plan and lead effective workshops

• Affinity Mapping
• Card Sorting
• Parking Lot
• Poster Session
• Return on Time Invested
• Safety Check
• Silent Storming
• Talking stick

Ice Breakers

Relieve initial group awkwardness and establish a safe space

• Personal Histories

Community events Product Loop

Product Loop provides an opportunity for Product professionals and their peers to exchange ideas and experiences about Product Design, Development and Management, Business Modelling, Metrics, User Experience and all the other things that get us excited.

• Become a mentee
• Become a mentor
• Product Management glossary
• User Experience glossary
• Product playbooks
• Product & UX video library
• Privacy Policy
• Terms and Conditions
• Code of Ethics

Made with in Copenhagen, Denmark

Want to learn more about about good product development, then browse our product playbooks .

5 Best Free Business Plan Software in 2021

It’s a long journey from having a start-up idea to creating a plan, raising funds, and finally getting the business started. It takes extensive effort to create a business plan that would lure in capital support from investors. A business plan software is the best tool available in the market to help you with that. 

A  business plan software  offers built-in templates to create business proposals in no time. Users can search the business plan template based on their needs and write up a plan using its step-by-step guide. A business plan software allows users to identify and analyze the strengths, weaknesses, opportunities, and challenges that are anticipated in the respective business field. This has led to the rapid growth of business planning tools. According to a report, the global market value of business plan software is expected to reach  USD 1,37,871.4 thousand  by 2027. 

There are multiple free and paid options for business plan software available in the market today. So it can be a little tricky to choose the best-suited software from the pool. If you are a beginner, it is better to start by exploring the free tools and understand them before purchasing a paid plan. To help you make an informed decision, we have listed the 5 best  free business plan software  in 2021.

Table of Contents

What should users look for in business plan software?

Following are the top features of a business plan software that one can use to reap its maximum benefit –

• Pre-designed business plan templates
• Collaborative tools
• Social sharing features
• Investor management
• Fundraising management
• Step-by-step template guide
• Performance dashboards
• Import/export functionality
• Multi-device support
• Data security
• Intuitive UI

Which are the 5 best free business plan software in 2021?

Following are the 5 best business plan software available in the market for free. These tools can be used for businesses of all sizes –

1. LivePlan

LivePlan is one of the  best business plan software in 2021 . It offers a comprehensive solution with a complete set of business planning tools. LivePlan provides more than 500 sample templates that help users to create appealing business proposals in no time. It also provides step-by-step instructions to guide users to make the best use of the software. These instructions explain the key components that users should add to different sections of their business plan. In addition, LivePlan also offers video tutorials on business planning.

LivePlan follows an SBA-approved format for drafting business proposals. It is a cloud-based platform with an easy-to-use interface. Users can create balance sheets, charts, graphs, cash flow diagrams, and profit/loss figures using LivePlan and add them to their business plan. It also enables users to keep track of their financial data with real-time updates. 

Key features

• Performance dashboard
• Milestone scheduler
• Third-party integration with Xero and QuickBooks
• Cost-effective
• Financial projections
• Financial forecasting
• Step-by-step instructions
• Online customer support
• Export file format compatibility with MS Word and PDF

LivePlan offers a free trial on its subscription plans that start at  $11.66/month . 

Enloop is an online  free business plan software  with a real-time performance score tracker. It can be used to automate business planning tasks. Enloop can automatically draft business proposals online that are ready-to-use. 

Enloop has a fairly easy-to-use platform with an intuitive UI. Users can create graphs, figures, and balance sheets to make their business plans appealing to investors. Enloop also supports a multi-user login that allows teams to work simultaneously on a project . 

Enloop creates regular financial reports that allow users to keep track of monetary transactions and distribution. It also provides in-built templates for users to create effective business proposals in no time. It also offers video tutorials that guide users through the proposal template and help them draft different sections of the business plan.

Enloop offers a freemium plan that is available for public use without any subscription charges. Advanced plans are also available that start at  $11/month . Paid plans also come with a free trial option.

3. Upmetrics

Upmetrics offer  free business plan software  with great financial modeling features. Users can utilize its business plan editor tool to create a refined business proposal in no time. It also allows users to create profit/loss charts, graphs, and figures to add additional value to the business proposal.   

Upmetrics has an in-built pinboard that can be used to organize business and financial data. It offers a free trial for its subscription plans where users can create multiple projects for free before finally implementing the paid version. It also allows multi-user login that supports team collaboration. In addition, Upmetrics offers a permission control feature that provides online data protection against any unauthorized action. 

• Permission control
• Multi-user login
• In-built business templates

Upmetrics offers a free trial on its subscription plan that starts at  $15/month .

4. IdeaBuddy

IdeaBuddy is a business planning platform that allows users to create a single-page business plan pitch. It offers financial tools for creating business plans and promote them in the market. IdeaBuddy utilizes financial forecasting feature to predict the opportunities and challenges of a business idea. 

IdeaBuddy supports cash flow projections for efficient financial planning. Its proprietary algorithm also calculates the performance score of a business idea beforehand so that users can make appropriate modifications to overcome the issues. 

A complete business model can be designed with this software. Being a cloud-based application, it supports multi-user login and remote accessibility as well. The key features of IdeaBuddy as a business planning software is as follows –

• Intuitive dashboard
• Step-by-step guide
• Pitch presentation
• Financial projection

IdeaBuddy offers a free trial on its subscription plans that start at  $6/month .

5. BizPlanBuilder

BizPlanBuilder helps entrepreneurs build professional business plans. It offers in-built templates with an easy-to-use drag-and-drop functionality that allows users to add content with just a few clicks. BizPlanBuilder is a cloud-based software that supports remote accessibility . So, it is one of the best options for companies with a distributed workforce.

BIzPlanBuilder follows a two-way authentication protocol to protect data from potential malware. In addition, it offers free start-up courses for users where they can learn tips and tricks for creating an appealing landing page for their business. Users can export their business plans in a PDF format and share them with clients. BizPlanBuilder currently works in integration with Xero and QuickBooks.

• Collaborative features
• Remote accessibility
• Two-way authentication
• User-friendly dashboard
• In-built business plan templates

BizPlanBuilder offers a free trial on all its subscription plans that start at  $97/year .

Most of the time having a business idea is not enough. It has to be backed up with a solid plan of execution, marketing, finances, and much more. Drafting a business proposal that will stand out in this highly competitive market takes time and can sometimes be tiring. Business plan software is just the right solution if you are stuck in something like this.

But again, choosing the right software can be tricky. It is recommended to start with options that are available for free. This way you can understand the process and filter the required features based on your needs. Once you are there, you can go ahead and purchase advanced paid plans. 

In this article, we have listed the 5 best  free business plan software  that can be used by both professionals and non-professionals. And in case, you wish to explore more options, do visit us at  SaaSworthy .

• 5 Top Plagiarism Checker Software to Use in 2021

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51 best open source business software in 2022 (Updated)

Pos for ecommerce platforms.

Streamline in-store checkout with a specialized POS interface. Efficiently handle orders across multiple POS locations. Easily locate products using barcodes. Enhance sales with an advanced loyalty program and more.

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Open source business software keeps your costs down and stays on top of your online business with a fair budget. In addition, they are generally more transparent and more secure than proprietary alternatives. So, this article suggests the 51 best open source business software to run a small business and take it to the next level in 2022. They belong to 11 essential business management functions.

Overall, the 11 best open source software for each function are:

• Open Cart : Best for eCommerce
• Calligra : Best for Office suites
• ADempiere : Best for ERP
• WSDesk from ELEX : Best for CRM
• phpList : Best for Email management
• GnuCash : Best for Accounting
• Drupal : Best for Content management
• Taiga : Best for Project management
• Draw.io : Best for Visualization
• GIMP : Best for Photo and video editing
• Kimai : Best for Time tracking

Read on to find out!

What is open source software?

Open source software is non-proprietary software available to users with its source code. So you can change or enhance it according to your unique needs. Open source code originated in 1983 with the belief that programmers should have access to the software to modify it to understand, learn, and improve it. Therefore, the first open source license was called the GNU Public License . Today, open source software (OSS) includes a digital license of its original rights to limit and control the scope of software distribution.

Benefits of open source software to small businesses

Open source software authors don’t consider their creations to be proprietary. Instead, they release the software under a license that allows its code to be copied, learned, changed, and shared. Therefore, it brings the following benefits to small and medium enterprises.

Affordable price

According to TechRepublic , more than 30% of a retailer’s IT budget is spent on software licensing, but they often waste 50% on redundant or unnecessary software. In addition, time-consuming software development delays are a factor in wasted $85 billion . Meanwhile, open source small business software is affordable or even free.

Better technology control

You can easily change the parts for any purpose, even in a way that the competitors haven’t thought of yet. Open source software helps retailers get the right software solution for maximum productivity, cost-effectiveness, business consistency, and reach their full potential.

Reliable security

Contrary to security concerns, open source software is extremely safe. It’s continuously tested and modified by thousands of developers. Programmers can work on open source software without asking permission from the original author and repair, update, and upgrade open source software faster than proprietary software.

Top 51 open source business software

If you’re looking to expand your retail store online, you’ll need an eCommerce software package for online product display, shopping cart, payment processing, checkout, order fulfillment, sales, customers, and inventory management. Here are the 5 best open source business software for eCommerce in 2022:

1. OpenCart

OpenCart is designed for small and medium-sized retailers to manage orders, provide multiple payment gateways, and manage multiple stores from one platform. In addition, it allows customers to leave product reviews and ratings. Most importantly, OpenCart offers free lifetime community support through an international network of partners. In addition to the native features, OpenCart offers extensions that meet the unique needs of each website.

2. Magestore

POS Open by Magestore is the best open source software specially built for small businesses with one warehouse. It’s packed full of features to serve your store operations, connecting online to offline, order management, and omnichannel inventory. However, you may have more than one warehouse and want an offshore dedicated development team to launch your online store in the shortest time. In that case, you can consider upgrading to the Magento POS Commerce — a paid version for growing business and unlimited access to advanced features.

3. PrestaShop

PrestaShop has native features for product management, payments, orders, shipping, and manufacturer management. In addition, PrestaShop offers many add-on modules to add new features and customize your store. PrestaShop is an easy-to-use platform. It offers translation, product display, localization, marketing, tax services, and export products to eBay. However, you’ll need to pay a service fee for support and training.

4. WooCommerce

WooCommerce is the most used WordPress eCommerce plugin with over 3 million active installs. In addition, you’ll benefit from the many plugins available from WooThemes and third-party vendor extensions on the marketplace.

5. Zen Cart

Zen Cart is an eCommerce platform forked from osCommerce. It’s geared towards advanced users and developers. Outstanding features of Zen Cart include gift certificates, coupons, and multiple payment options.

Office suites

Most people only use a fraction of the available features of Microsoft Office. So using an open source alternative would make good financial sense. In addition, they’re compatible with Microsoft Office file formats such as .xls and .doc.

6. Calligra

Calligra Suite is a graphic art platform and open source office suite from KDE. It can run on many devices such as smartphones, tablet computers, and desktop PCs. In addition, Calligra is compatible with many small business operating systems such as Linux, macOS, Windows, and FreeBSD.

7. LibreOffice

LibreOffice was forked from OpenOffice in 2010. It supports the Open Document file type and popular office file types like Microsoft Office by default. You can use it on Linux, macOS, and Windows.

8. NeoOffice

NeoOffice is another fork of OpenOffice based on Java. This application is specific to macOS, and you can run OpenOffice natively on Mac OS X. In addition, it can securely edit documents in your Dropbox or iCloud Drive.

9. Apache OpenOffice

OpenOffice is one of the first and best comprehensive open source office suites to replace Microsoft small business software. It was rebranded in 2012 and is compatible with Linux, macOS, and Windows.

Enterprise resource planning (ERP) software can be costly and very complex. Here are three open source ERP software systems that can replace Microsoft small business software, or even Microsoft Dynamics and SAP.

10. ADempiere

ADempiere is a popular and comprehensive open source ERP package compatible with Linux, macOS, Windows, and Unix. It provides production management, materials management, project management, accounting, finance, human resources, and maintenance management features.

Odoo is a full suite of applications, including production resource management, purchasing management, sales management, recruitment, accounting, and finance. Odoo’s free version helps you track sales easily, providing detailed invoices and reports. In addition, the paid version costs $25—30 per user per month with additional benefits such as unlimited support, bug fixes, and automatic updates. Odoo is compatible with both Windows and Linux.

OFBiz is an open source Java-based ERP package from the Apache Foundation. It includes accounting, manufacturing resource management, supply chain management, CRM, and small business asset management functions.

If you want to manage customer information but can’t invest an enormous budget in service providers like Salesforce or Oracle, here are three open source CRM software options to replace:

13. WSDesk – ELEX WordPress HelpDesk & Customer Ticketing System

WSDesk, the free ELEX WordPress HelpDesk & Customer Ticketing System Plugin, offers ticket generation and management, email piping, unlimited support agents, unlimited support tickets, personalized email replies, detailed ticket records, document attachments to tickets, and more. It is a simple and user-friendly WordPress Support Ticket System Plugin that will assist you in resolving your customer issues easily. All of your user complaints are converted into actionable support tickets by this plugin, making your work easier and faster. It is lightweight and AJAX-based, therefore it will not slow down your website’s loading time. 

14. SugarCRM Community Edition

This free small business management software includes automating customer support, sales, and marketing campaigns. You can use SugarCRM on Linux, macOS, Windows, and UNIX.

15. Fat Free CRM

Fat Free CRM is a CRM platform written on Ruby on Rails. It features lead and campaign management, opportunity tracking, team collaboration, and contact lists.

16. SuiteCRM

It’s an alternative to SugarCRM with many features similar to the paid version of SugarCRM. What’s more, it offers Joomla integration.

OroCRM is open source CRM software with an intuitive and easy-to-use interface. It provides marketing tools for omnichannel businesses and prioritizes personalized customer experiences.

Email management

If you need to reach customers or subscribers, you’ll probably need one of the following open source software to manage your email list:

18. phpList

phpList can migrate to your own Virtual Private Server (VPS) as your list grows to scale with your retailer. In addition, it offers extensible amenities like MailChimp or AWeber exclusive options.

19. eM Clients

If you need to manage several email accounts of different providers in one place, eM Client is for you. In addition, it allows running a standalone email client instead of a browser-based solution.

20. Thunderbird

Thunderbird is an email manager from Mozilla. It allows managing multiple accounts with typical applications such as autoresponders, signatures, and import of address books from text file exports or other email clients.

21. Claws Mail

Claws Mail has easy configuration and is extensible with plugins. The most popular plugins by users include the calendar tool, anti-spam, and archive engine.

Geary is the perfect choice if you’re after simplicity. It sends and receives plain text messages or text messages, so it excels in speed. In addition, Geary is compatible with Yahoo!, Gmail, and many other popular email services.

The following open source options are partial replacements for commercial packages such as QuickBooks, Sage, or Quicken:

23. GnuCash

GNUCash is a powerful accounting application for small businesses. It allows you to track bank accounts, income, send invoices, and create visual reports applying professional accounting principles. GnuCash is compatible with Linux, macOS, and Windows.

24. TurboCASH

TurboCASH has more than 100,000 users, mainly small and medium businesses. It integrates directly with open source eCommerce platforms like Zen Cart and OSCommerce. You can use TurboCASH to post transactions to accounts on a public ledger and generate financial statements. In addition, TurboCASH supports 80 tax regimes, including those of the U.K. and U.S. It’s compatible with Windows.

xTuple is a free business management software for medium and larger companies. It’s compatible with Linux, macOS and Windows, and BSD. It includes full functionality for sales, inventory, distribution, CRM, and accounting (banking reconciliation, financial statements, general ledger, accounts receivable, and payable).

26. OpenBravo

OpenBravo doesn’t just stop at accounting. It’s an enterprise resource planning system that helps you integrate store operations from sales, inventory to invoicing and quotes.

Project management

Project management tools help you collaborate with your team, assign tasks, and track progress toward goals and tasks.

Taiga has a beautiful and minimalistic interface. If you want a tool to monitor your website design and development project, Taiga will be the best choice.

28. OpenProject

OpenProject is a cloud-based hosting solution. In free community edition, it provides a fully-featured open source business management software. Team members can achieve desired goals and track deadlines for optimal productivity. It’s available in 30 languages ​​, so you can seamlessly connect your teams worldwide.

29. MyCollab

Amazon Cloud Services power MyCollab. Thus, it offers powerful collaboration tools protected with SSL encryption and is compatible with popular and small business operating systems.

30. GanttProject

GanttProject performs simple project management tasks quickly and efficiently. However, the feature set of this tool is quite limited for complex projects.

Time tracking

Here is the top 5 free open source software for time tracking:

Kimai is a free and open source time tracking software. It’s effortless to use. You can manage projects for each client by budget, number of orders, tasks for each project, and current status. From there, you can calculate wages automatically based on monthly, weekly, and hourly rates. You can run Kimai in your browser and on many platforms and mobile devices with unlimited users. Kimai is developed using the latest web frameworks and technologies such as Webpack, Symfony 4, PHP7, Bootstrap, Doctrine, and Flex.

eHour is the best open source software for time tracker as it has a web-based interface or install a hosted version and use it on your infrastructure. It helps you analyze the time your employees spend on different projects. eHour is available in multiple languages ​​and supports multiple currencies so that retailers can deploy it to different locations globally. In addition, you can create multiple projects per client and assign multiple people to a project.

33. Clockify

Clockify launched in 2017 and is a free time tracking software suitable for many company sizes. It’s also an advanced timesheet management tool for you to calculate project-related work hours and track employee engagement in real time. Clockify stands out from the competition because it allows adding unlimited users. You can install the app on either a smartphone, tablet, or desktop and sync data. Clockify uses Business Intelligence technology for opportunity analysis and performance improvement management. In addition, you can integrate it with other tools such as project management software and other accounting solutions.

34. Redmine

Redmine is a free open source software and web-based time tracking and project management tool. It’s incredibly user-friendly and visually presents timesheets, managing multiple projects, tasks, and deadlines with Gantt charts and calendars. In addition, Redmine is very flexible software and allows you to decentralize access control based on roles. Redmine is written using the Ruby on Rails framework, supports 34 different languages, and provides a REST API.

Content management

When creating a website, you must curate the content and power it. Many world-famous retailers use open source cross-platform CMS as follows:

The Economist, The White House, and Examiner.com all use Drupal. Its outstanding features include system administration, menu management, RSS feeds, user account registration and maintenance, and page layout customization. In addition, Drupal is the most secure and user-friendly CMS option of the choices, so many governments use it.

36. WordPress

WordPress started as a blogging system and has grown into a popular CMS in the eCommerce world with over 50,000 theme plugins, widgets, and plugins. It’s the most famous platform and accounts for about 20% of the top 10 million websites on the internet.

Joomla is second only to WordPress in terms of users and deployment. It’s used by institutions such as Citibank and Harvard University. In addition, Joomla allows instant UI editing. You don’t need to access the admin panel to make simple changes. It’s the right choice for decentralized multi-member sites because of its excellent access control features.

38. OpenCms

OpenCms is open source software based on Java. It provides a browser-based workspace and a WYSIWYG editor for managing workflows, users, and assets. Apart from us, OpenCms is one of the few CMSs that offers a native and complex version of the content. It ensures that you can keep track of what changes were made to your content, who made them, and when.

Django is built on Python. It gives high speed to use when taking on many web administration tasks. Plus, you can create sitemaps instantly with Django.

Visualization

Visualization tools help you visualize and share data for your clients and your team.

40. Draw.io

Draw.io is a simple diagramming tool. It allows you to save diagrams directly to Google Drive, OneDrive, Dropbox, GitHub, and optionally a storage device.

41. Charted

Charted is a free open source software. It can automatically generate simple line and stacked column charts from Google spreadsheets or .csv files.

42. Highcharts

Facebook and Twitter use HighCharts. It provides JavaScript-based interactive charts on your website.

43. Datawrapper

Datawrapper allows you to create data visualizations right on your mobile device. It supports different types of tables, charts, and maps.

XMind is a mind mapping tool. It’s a cloud-based application compatible with Windows, Mac, and iOS sync. After creating the map, you can export it to Office or PDF.

45. TiddlyMap

TiddlyMap is a plugin for Google Chrome. It helps you to draw browser-based mind maps.

46. Wireframe.cc

Wireframe.cc has a simple interface. You can drag and click online. In addition, Wireframe.cc has many templates available to design websites for many platforms.

Photo and video editing

The following open source tools help you edit photos and videos for your website, Youtube, and other platforms.

GIMP can edit and manage multi-layered image documents. Therefore, GIMP is the best open source software for business with image editor features. It’s an essential tool for many graphic designers and photographers.

48. Blender

Blender is a powerful 3D generator. It can animate, model, track motion, and edit videos.

49. ImageMagick

ImageMagick can convert images and can write and read about 200 file formats. You can use ImageMagick to convert, display, and edit vector image files.

50. Inkscape

Most people use Inkscape to create and edit SVGs. In addition, it can import, convert, and create many other image formats.

51. digiKam

digiKam helps you edit and publish photos directly to social networks. In addition, it allows you to manage large image libraries.

Is it possible to run a business entirely on free open source software? Indeed, with the best open source business software in this article. Open source software can provide free options for small businesses that don’t budget for large enterprise applications. Even if you want to stick with closed source software, your retailer can still take advantage of the many compelling benefits of open source small business software: it’s available free to download and set up without effort. However, technical support isn’t available for the free version of open source software. Still, you can hire a third-party agency or choose to upgrade to the commercial version at a low cost for genuine live support and get frequent updates.

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Thanks for sharing a good article, it solved my current needs. keep posting

Very interesting post. Thanks for the post. This is my first-time visiting here. I found so much interesting stuff in your blog.

What a great article! Your information is very helpful for becoming a better blogger. Keep sharing.

Thanks for this list. Maybe other companies do also need a free low code solution.

This is an informative and comprehensive list of open source business software that can be useful for companies looking to save on costs while still maintaining high-quality solutions. It’s great to see the variety of options available, from project management tools to customer relationship management systems, all of which are free to use and customizable according to individual needs. This post is a valuable resource for businesses seeking cost-effective alternatives to traditional software solutions.

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What is Magento POS?

A Magento POS (point of sale) system can be seamlessly integrated with your Magento website(s) to synchronize data between your online and offline stores, streamlining retail operations.

Magestore is a web-based and Magento-native POS, so it requires at least one Magento website to work. One of the key advantages of Magestore is its lifetime license , which means you won’t be burdened with recurring fees.

1. Who needs a Magento POS system?

A Magento POS system is designed for retailers who operate both Magento eCommerce website(s) and physical stores. It allows them to centralize all sales data and serve customers both online and offline.

2. Some features of Magento POS system

A basic Magento POS system functions as a cash register, allowing you to create orders, apply discounts and taxes, print receipts, and manage sales.

On the other hand, a complete Magento POS system offers more advanced capabilities, including inventory control, supplier management, loyalty programs, and more.

3. Why use Magento POS?

• Magento POS such as Magestore is often native to Magento and is installed directly on your Magento backend without third-party plugins, to inherit all of Magento’s power.
• With our Magento POS, you can enjoy the flexibility of using it on multiple devices and web browsers.
• All data stays safely on your server, and your POS system doesn’t have to rely on third-party servers like cloud POS.
• With its lifetime license, you only have to pay once, enabling you to create unlimited accounts and locations with no recurring fees.

How to check if your website is on Magento?

To determine the framework of your website, you have two methods to choose from:

• Method 1: Use BuiltWith, a popular web service that provides valuable insights into your website’s technology stack, including the framework it is built on. To access BuiltWith, click to visit their website .
• Method 2: Log in to the backend (admin panel) of your website. If you see the Magento logo displayed at the top of the left sidebar, there is a strong indication that your website is built on the Magento framework.

About the Magento platform

1. what is magento.

Magento is an open-source platform that helps retailers create eCommerce websites, released on March 31, 2008, by Varien and developed on Zend Framework. In 2018, Adobe acquired Magento with a price of $1.68 billion. There are currently about 270,000 eCommerce websites running on Magento in 2022.

2. Why eCommerce retailers choose Magento?

Most of our customers say Magento is speedy and more customizable than others; it is suitable for medium and large enterprises or fast-growing businesses with complex requirements/customizations.

Not sure if you’re using Magento, check your website here!

3. What to do next?

• If you are new to Magento or searching for eCommerce platforms, you can explore more about Magento in this article .
• If you are looking for Magento website development services , please reach our dedicated service team here .
• If you’ve already had a Magento website and are searching for a retail POS or inventory management system , please close this pop-up and continue exploring.

It’s worth noting that Magestore POS for other platforms like WooCommerce and Shopify is currently unavailable, but Magestore POS for Shopify is estimated to release in late 2023.

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Building Profitable Open Source Business Models

The world is moving towards deploying more open source solutions, but are there any proven business models that can help open source companies sustain themselves? Should new companies venture into the world of open source? This article tries to answer these questions.

Open source software, about a decade back, was looked upon as something solely meant for geeks, programmers and educational institutions. But a few years ago, it started gaining recognition as software that every organisation could leverage. Today, even large proprietary organisations like Microsoft are openly talking about it, and investing in the same as well!

“A lot has happened and evolved in open source. The top view shows it is free. However, even if it is being made freely available, there are billions of dollars riding on the ecosystem. Not only are there open source companies valued at more than a billion dollars, industry giants like Google and Microsoft are investing millions of dollars in it,” says Mukul Mahajan, MD, Tetra Information Services Pvt Ltd.

Most of these investments focus on hiring manpower for the open source ecosystem. Business models like professional services and cloud hosting are evolving, but the big question is: what are the opportunities available to organisations that aim to, or are already working on, being an open source player? And what are the business models they can pursue for profits?

“I think the key aspect is to have a business model. But here’s the thing — the vast majority of people or organisations who are investing in open source are not investing for the sake of it. I don’t think there is something directly attracting them to invest in open source,” says Hadi Hariri, VP, developer advocacy, JetBrains.

He adds, “They are not investing to make a better world using open source. There are key indicators that force them to use open source, which is good. But they need a sustainable business model, which unfortunately many do not have.”

Cue: Microsoft’shere! We have all used software developed by Microsoft, and the biggest cue that open source is indeed the future, can be derived from what this organisation is doing on the open source front. But why is Microsoft in open source?

“Satya (Nadella) was very clear when he took over Microsoft that it has to be more open than it ever was. This actually goes back to our core thinking of wanting to do more for every person and organisation, which cannot be achieved by being closed source,” says Sanjeev Sharma, director, new ISV partnerships, Microsoft.

He adds, “Today, 40 per cent of CIOs have Linux as one of their prime strategies, 60 per cent of developers want to see cloud providers working with open source, and 90 per cent of enterprises deploy Linux in some shape and form. This indicates an absolutely clear market decision.”

Sharma feels there are tremendous opportunities around open source, and affirms that Microsoft is committed to staying open in the future. Fifty per cent of Azure’s VM cores and 60 per cent of the images on it are Linux based. In fact, more than half of the ecosystem at Microsoft is based on Linux. SaaS and various other applications are leveraging open source too.

He says, “Any new offering coming to the market can continue to leverage its core DNA while also getting exposed to the larger market worldwide. This gives an opportunity to experience the full might of larger cloud providers.”

Solving a problem using open source can help solve many other problems. For example, a normal customer service app has to touch different platforms, and be compatible with different types of devices. It may also have to browse through multiple databases. The idea, says Sharma, is to slowly and steadily multiply what is being offered to clients.

“You begin by offering one solution to one type of customer base and then you can pivot to a larger market. Today’s cloud provides you that opportunity to experiment,” he adds. Microsoft had acquired GitHub for US$ 7.5 billion back in 2018. Then, in March 2021, it announced a grant of Rs 10 million to fund India’s developers who are building software using open source tools.

Subsidise and maximise It is pretty clear that the open source business model of tech giants like Microsoft, Amazon and Google is subsidised by the cloud services they sell. Facebook, as per Hariri, is subsidised by data analytics and advertising. Organisations like JetBrains subsidise the business of open source by selling tools.

“I don’t think there are any key parameters. You should look at how you are going to sustain your open source contributions. The best example that can be thought of here is Red Hat,” explains Hariri.

The Red Hat business model, as most industry gurus will agree, is complicated yet successful enough to require consulting, which is provided by the company team as part of the model. This business model may become less sustainable if the consulting is taken care of by a third party.

Open source, as Mahajan points out, might be more of an enabler that helps get traction and build newer business models. What helps new business models based on open source to sustain is the demand they get from different business verticals.

“When running a business, sometimes you need to subsidise what you are doing for the greater good,” says Kabir Chandhoke, COO, SourceFuse Technologies.

Marketplace, enterprise and community software; and the role of the cloud Most open source business models in use today are offered as enterprise and community editions. The community edition provides free usage of open source with limited capabilities, whereas the enterprise edition offers a lot more features at a cost. “These two models are becoming very popular. On top of these, you can also offer complimentary services such as certification, development services and support contracts,” says Samir Doshi, co-founder and director at iNextrix Technologies.

But it’s open source marketplace software that joins all the dots together. “Marketplace is definitely a brilliant business model, as it adds a lot of value to all the open source products. You have brilliant brains coming up with add-ons and applications,” says Doshi.

It is critical to understand the relationship between open source and the cloud in order to understand business models better. The debate around whether the cloud is making open source popular, or vice-versa, is something that experts still lock horns on.

“Open source is what actually drove the cloud in the first place. Can you imagine the public clouds we have today and companies paying licence fees for their operating systems?” asks Chandhoke. “We would never have achieved the scale of, say, AWS, if licence fees for millions and millions of servers had to be rolled out.”

He adds, “The reverse is also true as the public cloud is responsible for making open source projects popular. Another way public cloud has accelerated the monetisation of open source is through the SaaS route.”

Cloud and open source can enjoy a mutually beneficial relationship as long as the former does not start eating into the latter’s business model. This happens when an open source product becomes tremendously popular. “I definitely see the partnership between the cloud and open source evolving. It will be interesting to see how this happens,” says Chandhoke. Elasticsearch needs no introduction. This search engine, based on the Lucene library, has been the go-to favourite of many open source developers. But, in early 2021, the company came out with the groundbreaking Elastic License 2.0.

The licence allows users the right to use, modify, create derivative works, and redistribute software. However, there are ‘three limitations’:

1. Users may not provide products to others as a managed service. 2. Users may not circumvent the licence key functionality or remove/obscure features protected by licence keys. 3. Users may not remove or obscure any licensing, copyright or other notices (as published by Elastic.co).

This means that both Elastic License 2.0 and SSPL have not been approved by the OSI. Hence, neither Elasticsearch nor Kibana are now considered open source. This is an example of how fast the world of open source is evolving, and how quickly existing business models are shrinking while new ones are making their way!

“This has impacted the community in two ways. The first is that contributors were suddenly told that what they have worked for is no longer truly open source. The second is that the solutions big and small players are developing cannot be made public now, keeping in mind the announcements made by Elasticsearch,” says Chandhoke.

Partnerships with big players The last decade has been all about collaborations and mergers in the world of technology, and the open source vertical is not an exception. To partner with a big player like Microsoft can be a big opportunity for startups and organisations already operating in the domain of open source.

Sharma says, “If you are a services provider, there are opportunities available with Microsoft as the company has a specialisation in Linux and Kubernetes.”

There are many opportunities for ISVs too. Sharma gives an example of an assessment engine based on open source notes. “It scaled up very easily. However, the problem was finding customers beyond India. So they leveraged the 60+ data centres that Microsoft has.” Whether the solutions are for education, health, finance or any other industry, big players can not only help scale the offerings across geographies but can also help make these solutions more secure.

“The core of the solutions that Microsoft offers is actually coming via partners. We are only providing them the platform. The solutions are coming through organisations that are based around the world,” explains Sharma. More than 60 per cent of the solutions being offered are based on open source!

Why do open source companies have high valuations? Partnering with big names also brings forth a question: Why is the value of open source companies so high? The answer lies in the consumer base that many of these organisations have, and how brilliantly they are handling the complex layers of architecture.

“The conflict between Amazon and other companies is also one of the reasons for the high valuation. There still exist companies that believe in hosting everything on their own server rather than on the cloud,” says Doshi.

Then, why do developers work for free? Doshi says, “Because you are using that tech for yourself. For example, if I am working on a project, I will want to use that work for myself as well. I may want to build my UI using React and many such things. Once you start doing that and notice a missing feature, or find a bug, you end up fixing it. And that creates a solution for the greater good.”

“The same also allows young and experienced developers to polish their skills. It’s the best CV you can have, and probably serves better than most internships. Where else will you have the opportunity to have your code checked by some of the best and brightest in the world,” he adds.

Big players (the one’s providing cloud services) have now also started facilitating open source stacks. Going by the trend, it looks as if every big company will soon join this race, which could lead to big changes in the open source ecosystem. But according to Doshi, “I don’t think there is space for any major changes. The community will always be there, whether it is from the cloud provider or open source companies. I do not think there will be any threat to communities or business models as such.”

Note: This article is based on a panel discussion held at Open Source India 2021.

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Building a Business on Open Source

Jul 1, 2021 | Insights , Open Source , Startup

What is open source software?

For the sake of unambiguity: Open source software (OSS) primarily means that the source code of the software is accessible and users are free to use the code as they please. Depending on the license, you might be expected to attribute the source code to the authors and / or commit code enhancements back. Note: It’s “free” as in “freedom” not as in “free beer”. 

Open Source and Commercialisation?

T he origins of open source did not entail commercialization thoughts. However, in the last 20 years a lot of things have changed, and open source pro jects have seen commercial successes – though not always by the creators and maintainers… Open source is in its core tied to a philosophy and value set for many people. Simplified: For the developer community by and large open source is considered to be “good”  versus proprietory source code is considered to be “evil”.

In any case, open source is one way to keep up an active vibrant developer ecosystem that empowers individual developers as well as startup s and smaller players. Open Source is actually one piece of the IT ecosystem that helps balance the Big Tech and drive overall innovation . However, we also believe the open source ecosystem needs more balance to be successful longterm. If widely used open source repos cannot even sustain the half or full developer resource needed to maintain them, then there might well be a flaw in the system . If startups cannot build a business around their widely used open source code to sustain it longterm, it is to the disadvantage of the community, especially for the individual developers and SMEs. And likely, the learning at some point will be to keep the source closed instead.

In the following we will share, why we believe now is the unique opportunity to add fairness and balance for the value creators to the open source ecosystem to keep that ecosystem thriving and successful longterm.

What do we mean with “building a business on open source”?

In many talks with many people, we found there’s at least two diametric conceptions of building a business on open source:

1) using open source software for free and building something around it to earn money 2) developing a solution and open sourcing it or parts of it as part of the business model

In this article, we mean the latter and it inherently entails contributing a useful part of a solution to open source . For some open source enthusiasts a company needs to open source everything to be an open source company, and that’s ok. It is just our definition for this article.

A look at the market – the struggle of open source businesses

The open source gold rush: success stories.

In the last years there have been many open source success stories, e.g. MongoDB, elastic, Cloudera all IPOd very successfully. There seemingly is a lot of money in open source businesses, e.g. a study by Fraunhofer concluded that “the EU economy is hugely benefiting from global OSS.” [1] Also, companies and big corporations are way more open to work with open source software, indeed 2020 was the first year where open source databases were on par with closed-source databases with regards to corporate adoption (see chart). [ 2]

And a recent (2021) report showed that across 17 industries, from 1,546 codebases 98% contained open source code. [3] There even is a bit of a hype that open source is the path to success. Now that it’s clear that it is possible to build a business with open source software, VCs also are more open to funding open source businesses. An Andreessen Horowitz report reveals that OSS companies have raised over $10B in capital with a trend towards bigger and bigger deals. [4] Annual invested capital in open-source and related dev tools has increased at around 10% CAGR over the last 5 years. [5] In the years 2018 and 2019 acquisitions, mergers, and IPOs from open-source companies generated over 80USD billion liquidity value according to Bessemer Venture Partners. [6]

The struggle of turning Open Source into a Business

As Mike Volpi from Index Ventures noted at the Index Open Source Summit (2021): “It took Mongo DB 10 years to derive the business model they run now and monetize successfully…” Wow, 10 years to somewhat successful monetization – and that is one of the major open source success stories.

Open sourcing your main technology as a strategy

In this article, we take a deeper look at open source as a pro-active business strategy.

Open Source to Build Traction

Tra ction is the most obvious reason to open source your product. It works like Freemium in the Mobile Games market – or more generally the Mobile Apps market. It’s a great way to evaluate product-market-fit and build traction. When you have that, you can think about monetization.

However, there is a big difference between giving something away for free and open sourcing it . If we stay in the mobile app world: Would open sourcing the app help with traction? Would it jeopardize the business model? Unless the main target users are developers, at least in the beginning likely not – less than making the app / game available for free in any case. However, once the app grows at amazing pace, open source availability could become a challenge in several respects.  

The most obvious would be fast followers entering with that same game and potentially much bigger marketing budgets and better customer access (e.g. on the apps store). Think what would have happened if WhatsApp would have open sourced all its code from day 1 on top of giving the app away for free? It is a legit hyothesis that a fast follower could have scraped some of the market, changing the whole story. On the other hand, if they would open source all their code base now, how much would it harm them? At some point, it beame all about the traction, brand, customer access, so, I would think, it wouldn’t harm them at all at this point. So, driving traction with open source is probably only a viable idea if you address developers or engineers. It’s clearly a phenomenon of the developer-led landscape , and acts as a developer distribution channel. This being said, the price of open source traction is commercialization. It’s a straight forward trade-off: The more open and free your license is, the harder it is to monetize later on. 

Open Source to Build Trust

Trust is something that is likely more important for certain software types (e.g. B2B and core tech).

ObjectBox is a database and with that it is a data-centric “core technology” / software infrastructure, sitting at the heart of a company’s solution. Anything that gets used at the heart of other companies or their solutions needs a lot of trust . Trust is easier to come by with size, “no one was ever fired for choosing SAP.” Being a small startup lies at the opposite on that spectrum for many decision makers. Open Source can be a way to overcome this specific challenge and build  trust in three ways:

• Transparency: The freedom to verify what the code enables; the internal developer team can check the code and vouch for the solution 
• Risk-reduction: The freedom to change and maintain the code oneself gives independence from the authors and the success of the solution
• Quality: If an open source solution is actively used by a large number of developers quality inevitably goes up 

So, if you are looking for adoption from big players in heavily regulated or security-concerned industries, e.g. medical, manufacturing, automotive, anything with mission-critical networks, open source can help you overcome many of the adoption hurdles you are facing.

Open Source as an IP Strategy

Seems counter-intuitive, right? Well, if you are not aiming to patent your technology, you still might not want someone else (who has been working on the same problem) to patent the same technology harming your freedom to operate. You can protect yourself from that risk by open sourcing it. This can come in the form of a copyleft license, designed to encourage further innovation advancements to the benefit of all, but also limiting the commercial exploitation opportunities for everyone. Or, you can choose a more permissive license, allowing people with commercial interests to keep any advancements they make to themselves. 

Note: Open source code is not a blueprint with exact instructions; there are no obligations to provide clear docs or explanations. While a majority of open source projects strive to deliver a code base that is readable by others, it is not controlled. So, while open sourcing a technology harms patenting it, unfortunately, a way to still protect it, is making it hard to understand. On the other hand, a patent must have an extensive explanation. This makes it easily repeatable by others in the future, after the end of the patent protection, or as a basis for further research (and ways to tweak it in a novel enough way). 

Although it often feels like open source is on the other spectrum of patents, a patent has a limited timeframe and people can learn from it even before it expires. The deal is basically an exchange of knowledge (to be used in the future) for protection (for commercially exploiting it). Keeping it a trade secret has other risks, but could mean that an invention wouldn’t be shared with others for a truly long time. And of course the protection encourages big companies to invest big budgets in R&D too. Delayed open source actually has many similarities with a patent, in both cases the tech is only made available for advancements and unrestricted use after a certain time frame has ended. 

Open Source for the sake of it

There are a lot of ideas floating around open source, and some pressure from the developer community to open source everything. Among developers, open sourcing is considered to be good, social, fair, transparent, and worthy. While there are many advantages in open source, it has turned into a kind of “political tool”, and that’s a downside – and probably the opposite of the original idea. 

Consideration 1: How is a great software supposed to be maintained and advanced without anyone providing funds? When MMOGs (Massive Multiplayer Online Games) became a thing, people understood that there was a constant cost associated with it and were willing to switch from a one-off fee to monthly payments.  Software typically needs to be maintained too. So, there are ongoing development costs associated with a piece of software, even if it is not hosted. So, who benefits from open source in the end, if the original creators cannot keep up their work (assuming they need to eat and sleep)? Before pushing everyone to open source, maybe read here , here , here , or here about open source maintainers struggling under the pressure and dealing with burnout.  On the flip side, if a company markets itself heavily as an “open source company”, they should give considerable parts of their own value creating solution back to the community . Using open source tools and building on top of open source code (and even committing back to these solutions) does not mean you are an open source company: If you want to reap the marketing benefits of calling yourself an “open source company” then you should truly be one and commit your value back to open source.

Consideration 2: Who benefits if another company pulls the repo, adds “sparkles”, maybe even some “missing features”, or merely a big “brand name”, or the “marketing budget” and makes a ton of money selling the solution? This is of course assuming a permissive license was used. Well, from an open source perspective that is perfectly fine, and part of the intention of open source. So, it’s great, right? We think, it is easy to understand that some authors who have put all their “free time” / unpaid time into that code struggle to accept when this happens, especially if they have a hard time supporting themselves. But we also understand that big companies with investors (stakeholders…) that have invested heavily in R&D and might or might not yet have reached profitability, don’t really like to see this happen. Unless you are really in it for the fun and driven by altruism and will be in perfect harmony with other people using your code to make money, you should look closely if and how you want to open source your code.

Open Source to save development costs

There is the idea floating around that you can develop your project for free using the open source community. We doubt it works out for many. Of course, if Google maintains a repo that is a base technology used by many developers, developers might want to commit something (anything really) for fame, to be part of it, maybe to get noticed. However, the “anything really” is already a problem: Someone needs to review the submission, respond, potentially rework it and so on… Most other repos will probably not get too many commit requests (let alone from the best tech talent around). Even then, onboarding a large community of unknown developers and letting them commit to your code has its challenges – especially if you are quality-conscious and / or trying to build a business. It creates a lot of work to review commits and reject / merge them. And on top of that from a legal perspective you need to have a waterproof contributors license signed by anyone committing. There clearly is some work involved in the process, maybe more than what it is worth sometimes. 

Also consider this: Most successful open source projects that turned into a business success have limited contributors and / or only internal (contracted) contributors. For example, SQLite 99% of the code was done by Richard Hipp (author and founder of SQLite), and MongoDB stated that about 98-99% of the code was done internally. Redis was almost exclusively coded by Salvatore Sanfilippo. In a presentation from Index Ventures (one of the most renowned open source VCs), one criteria for potentially successful open source businesses was that at least 90% of the code base was developed internally – and of course that the team owned all the IP. If you are after cheap development and external help with your project, maybe take a closer look if open source is the right path.

What open source business models exist? 

The following open source business models are common, but typically used in combination and not as pure models, e.g. most open source companies offer paid support, but rarely only paid support. Note: With time the examples may become wrong/outdated, because once you look into it, you will notice that companies adapt / change their model regularly. If you need to understand one specific company’s model you need to dig into it individually at that time.

There are three basic open source licenses to be distinguished: permissive, weak copyleft and copyleft.

A quick high-level note on the major license effects

Copyleft – major point is that derived works must be open sourced with a compatible copyleft license, meaning any advancements and changes to the work will be contributed back to the community and freely available for unrestricted use.

Weak Copyleft – the weaker copyleft refers to licenses where not all derived works inherit the just described copyleft effect; typically used in software libraries, e.g. a database library used in app development, so the library can be used in a mobile app without needing to contribute the whole app to open source; only changes to the database library itself would carry the copyleft effect.

Permissive – a permissive open source license allows you to do anything with the source code including keeping derived works to yourself and commercialising on it . 

A look at the open source market

Building an open source business exec summary – tl; dr.

• There is a lot of evidence that open source companies struggle with open source models and licenses – this is also true for successful companies
• There is no “Red Hat Model” – just selling services has rarely worked
• The donation model typically hasn’t worked for open source companies, e.g. GitLab and MariaDB, so it is not astonishing that GitHub sponsorships don’t work out great for most maintainers. Also note: GitHub sponsorships may put you in a bad legal position depending on where you are based
• There is a trend from successful open source companies towards Source Available licenses instead of “official Open Source licenses”, e.g. MongoDB, elastic, CockroachDB, …
• There is an indication that successful open source companies are US-based (even if founded / started in Europe), which we believe is due to the funding opportunities provided in the US: 1) the US provides generally more funding (more and bigger funding opportunities; there is lots of market research on that), 2) US VCs and Silicon Valley have the reputation to also fund at earlier stages, e.g. idea stage, and companies with traction (instead of revenue), investing in a longterm perspective. Traditionally, European investors don’t.
• Public domain is strictly speaking also not considered to be an open source license 😮 (at least not if it needs OSI-approval; does it? 🤔) 
• While Open and Closed SaaS seem at this moment to have been the most successful models, it is no holy grail and definetely does not work for everyone, e.g. it didn’t work as the sole business model for GitLab

The open source market lacks flexibility and transparency from a licencing / legal perspective, and ever more Source Available licenses don’t help: A “license stack” with building blocks like the Creative Commons would be helpful to mark software easily and clearly with regards to the main terms, e.g. “source available”, “free for commercial use”, “attribution necessary” etc. It would help maintainers and users alike, but needs bigger entities to drive this (like an OSI).

The open source market also needs more balance, at the very least more understanding and “love” towards maintainers. More finanical support as well as other ways of giving back to demonstrate the appreciation of well-maintained repos and great free software, will keep the ecosystem healthy and thriving. That’s a community effort; everyone can contribute.

1. https://openforumeurope.org/event/accelerating-the-eu-economy/ 2. https://db-engines.com/en/ranking_osvsc 3. https://www.synopsys.com/blogs/software-security/open-source-trends-ossra-report/ 4. https://agcpartners.com/wp-content/uploads/2021/03/AGC-Open-Source-Mar-2021.pdf 5. https://agcpartners.com/wp-content/uploads/2021/03/AGC-Open-Source-Mar-2021.pdf 6. https://www.bvp.com/atlas/roadmap-open-source 7. https://www.bvp.com/atlas/roadmap-open-source 8.  Index Open Source Summit (2021)

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A Business Plan for Your Open Source Project

• Who is this project geared towards?
• Why would someone want to use this code, let alone, contribute to it?
• What core problem am I trying to solve?

When we set out to create CloudSlang , a flow-based orchestration tool for managing deployed applications, we were faced with these questions. We wanted to find a framework that could help us create such a plan and provide the conceptual tools to measure whether we were achieving what we set out to do in the first place. We decided to look to the world of startups and see whether we could adapt these startup management frameworks to an open source project.

The result of our research was the creation of a new template for managing the creation of open source projects. We call it the Open Source Canvas .

We started our process by looking at one popular methodology.

The Lean Startup for open source

The Lean Startup has become the core methodology for many entrepreneurs. It is a framework for effectively creating new business ventures with an emphasis on eliminating uncertainty through rapid experimentation and learning cycles. Although this model is usually applied to commercial initiatives (it actually originated in manufacturing), it can really be applied to any project in any domain, such as writing a book, managing an event, or creating an open source project.

Creating a business plan is the first step in applying this methodology. Traditional business plans can contain tens or even hundreds of pages of theoretical (and often useless) information. We like to refer to this type of document as write-only—you write it once, and nobody reads it. The Lean Startup business plan, referred to as "the canvas," is a living breathing document confined to one single page. The Business Model Canvas and the Lean Canvas are leading examples of widely-used business plan templates that help you apply Lean Startup principles into a one-page business plan.

• Open Source Canvas

We have taken these canvas models one step further and developed a unique canvas for managing open source projects. Like other canvases, each section tackles a different aspect of your business plan.

Download the Open Source Canvas .

What problem are you trying to solve? Even if you have a wonderful solution to a problem, it has to address your potential users' pain points, needs, or desires. This is the critical question that any new venture has to ask itself.

Furthermore, that you've made your project open source introduces additional questions beyond the actual problem your code addresses. For example, you should have good answers for why you have chosen to open source your code in the first place. Are you trying to build up a community of users? Are you trying to enrich the source code with outside contributions?

Who is your target audience? What does a typical user of your solution look like?

In the open source world, you need to identify the user types who are most likely to contribute to your project and become active super-users. These are the people who will be the cornerstone of your community.

Unique value proposition

If you bump into someone in the elevator and they ask you what your project is about, you need to have a one-line answer that you can easily articulate. This is the promise of your project and it's critical for any new venture. You need to present how the open source nature of your offering adds to its appeal.

What solution am I providing to the problem? The solution should include the top three capabilities that actually that solve the problem you have articulated.

When your solution is open source, you need to consider additional aspects. How are you going to license your open source code? The license has a lot of practical ramifications for the future of your project. Another consideration is whether you want to attach yourself to an open source foundation or be independent.

Community relationships

To build up an active community, you need to identify the strategic relationships that you need to foster. Who are the thought leaders in this space? Who can you count on to evangelize the project? In our project, for example, we found that the pre-sales engineers for our enterprise product were very enthusiastic to adopt and promote our project.

People don't just find your project. You need to attract their attention through a series of targeted activities. What kind of activities can you carry out to engage project users? Blog posts? Social media? Attending conferences?

Cost and resources

Early in the process you should outline the main costs and resources required to get your project off the ground. In open source, most of the costs will stem from head count (engineers, community managers, etc.)

Adoption criteria

How will you measure the success of your project? What kind of metrics indicate that you are on the right track? The number of contributors? The size of the project? Overall usage? We used an adaptation of the Pirate Metrics model for measuring the success of our project.

After you've identified your target users, you need to figure out the channels through which you will get your message to the users. For example, in the world of open source, you're likely to find open source enthusiasts hanging out at relevant meetups or conferences. Integrations are also a very strong channel. We developed an integration with StackStorm that generated a lot of interest.

Getting started and feedback

Creating a canvas is not a one-time activity. The canvas will serve as live document that you will revisit often as you progress with your project. Based on the Lean Startup principles of "Build-Measure-Learn," you will be validating your assumptions constantly, measuring your success and refining and pivoting your ideas based on what you have learned.

We hope that you have found this beneficial. The Open Source Canvas is a work in progress and we want to hear your feedback to make it even better.

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5 Tips for Building a High-Performance Open Source Program

The open source movement, which began as an effort to ensure programmers had the freedom to modify and redistribute source code to support and learn from each other, is now a catalyst of innovation and business success. It’s in every corner of the tech stack, from computing and storage to powering web, mobile, generative AI, and blockchain experiences. For example, 68 percent of survey respondents report that open source is a “very important” or “mission critical” enabler of digital transformation initiatives, according to Forrester.

In the financial services industry, 78 percent of companies in a recent survey report increased value from open source, according to the Fintech Open Source Foundation (FINOS).

“Open source is critical,” says Tim Klever, vice president of developer experience at American Express, where it’s an integral part of mobile, web, cloud, database, and machine learning applications. “We use it anywhere, everywhere, all the time, and every day, safely and responsibly. In every layer, open source is there.”

Stronger, Faster, Less Expensive

The open source ethos is one of collaboration and continuous improvement. Code is freely shared, studied, and modified. That approach may have panicked an earlier generation of business builders who kept proprietary programs in a vice grip. But many now see the ability to pull in field-tested software for specific needs as a path to flexibility, cost savings, and quicker innovation.

Open source has proven to be an efficient vehicle that’s able to rapidly respond to new business opportunities—such as the enthusiasm around artificial intelligence—by often producing faster, cleaner, and more solid code in short order. A strong user community can provide support and solutions to common issues that lead to quicker bug identification and feature enhancements.

A thriving open source program office (OSPO)—a hub where open source is managed, grown, and supported inside a company—also attracts tech talent . Many believe the ongoing tech talent shortage is the most significant barrier to the adoption of emerging technologies. “Developers are an essential but limited resource,” Klever said. “With our OSPO, we are building a place where developers want to be.”

Building an Open Source Program Office

Because of this rising popularity, many organizations want to create an OSPO. According to research from the Linux Foundation, 66 percent of organizations have an OSPO, a 32 percent increase over 2022. Moreover, 72 percent of companies that are planning an OSPO or open source software initiative plan to implement it within the next 12 months.

While the need to create an OSPO is clear, how companies should do it is not.

The experience at American Express provides valuable lessons. What started as a small summer project seven years ago has grown into a flourishing community of open source users and developers —the company now has more than 500 developers who regularly contribute code to the larger open source community, and in aggregate average six submissions a day.

Along the way, American Express identified five key ways to responsibly grow open source work and usage.

1. Start With a Purpose

Amex began organizing its open source activities in 2017, led by a small group of passionate developers. Over the next year, they formulated a simple goal to rally people. The emphasis was on making “socially responsible” contributions, which are contributions to third-party projects that can be used internally, but also provide value to the open source community as a whole. They defined these social contributions and set up parameters on where and how each developer would contribute. A well-defined and attainable goal of achieving one socially responsible contribution per year enabled the company to build mutually beneficial relationships with open source communities. “It’s a way of both showing off our talent, as well as giving back,” said Klever. In 2023, Amex developers made 2,288 socially responsible contributions to 520 open source projects, up from 1,252 contributions to 471 projects the previous year.

2. Create a Great Developer Experience

Build the infrastructure and atmosphere to support an inclusive developer community where it’s easy, productive, and safe to consume and contribute. “Create an experience that’s enjoyable,” Klever said. Videos, in-person presentations, internal developer conferences, and an online toolbox, for instance, show how easy it can be to contribute. The OSPO also culled data from GitHub APIs to quickly display projects that have good first issues for new developers to contribute to, such as documentation or enhancements. An internal website provides easily viewable visual representations of where developers are focusing their energy. American Express also runs “open source days,” giving developers a break from their regular workday to contribute to open source.

3. Contribute Securely and Responsibly

Open source spans many facets of an organization, so it’s important to build internal alignment. The OSPO within American Express unites the internal developer community with security and legal representatives. Together, they hammer out policies and procedures around the safe use and management of open source projects and appropriate interaction with open source communities. Legal oversight seeks to protect the company’s intellectual property and manages obligations imposed by open source licenses. Security team members take steps to help ensure that open source integration doesn’t expose the company to exploitable vulnerabilities. Automated scanning tools are leveraged to proactively block vulnerable components and code with license violations, while open source contributions are also manually scanned for internal or sensitive information. A software bill of materials (SBOM) is generated for open source components during a build to allow further visibility and mitigation of software supply chain security risks.

4. Build a Supportive Culture

Celebrate high-five wins to create a culture of shared experience and momentum. American Express gamified the OSPO with an internal website that features a leaderboard detailing contributions, including the top 25 contributors. The chief information officer and the chief technology officer give shout-outs to standout performers, and the OSPO regularly tags and recognizes contributors and their teams on an internal blog. An internal annual report further showcases the work of open source contributors. In addition, the company supports a technical career path that elevates open source specialists and other distinguished engineers who work in strategic areas. The OSPO’s most popular ritual is rewarding developers with a series of custom coins for making socially responsible contributions. In 2020, they started minting and distributing coins, which developers love and proudly display. In 2023, they created streak coins for recognizing socially responsible contributions for developers who contribute for three, five, and seven consecutive years—and the leading developer is on a 12-year streak.

5. Engage the Wider Open Source Community

As open source efforts matured in the company, American Express joined various industry organizations. Today it supports community pillars such as the Linux Foundation, the Hyperledger Foundation, the OpenJS Foundation, the Cloud Native Computing Foundation, and FINOS. These memberships help the Amex OSPO stay on the cutting edge of the technology. They also give developers opportunities to take on leadership roles and steer the community in a positive direction. As another way of supporting the community, Amex funds top projects that align with its strategic objectives by sponsoring developers who maintain code repositories.

Creating an Ecosystem of Innovation

Open source technology has made the world a better and more productive place. A well-run OSPO offers organizations an on-ramp to capture the open source advantage, providing a fast-track to business innovation, while also nurturing the wider community. “The companies that quickly turn developer creativity into business success are going to be the companies that win,” said Klever.

This content was paid for by American Express and produced in collaboration with WIRED Brand Lab.

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Benj Edwards, Ars Technica

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MacKenzie Scott donates $640 million, more than doubling her planned gifts to nonprofit applicants

FILE - Billionaire philanthropist MacKenzie Scott arrives at the Vanity Fair Oscar Party, March 4, 2018, in Beverly Hills, Calif. Scott announced Tuesday, March 19, 2024 she would give $640 million to more than 360 organizations in response to an application process she launched last year. The award is more than double the amount that she initially promised in an “open call” for applications. (Photo by Evan Agostini/Invision/AP, File)

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Billionaire philanthropist and author MacKenzie Scott announced Tuesday she is giving $640 million to 361 small nonprofits that responded to an open call for applications.

Yield Giving’s first round of donations is more than double what Scott had initially pledged to give away through the application process. Since she began giving away billions in 2019 , Scott and her team have researched and selected organizations without an application process and provided them with large, unrestricted gifts.

In a brief note on her website, Scott wrote she was grateful to Lever for Change, the organization that managed the open call, and the evaluators for “their roles in creating this pathway to support for people working to improve access to foundational resources in their communities. They are vital agents of change.”

The increase in both the award amount and the number of organizations who were selected is “a pleasant surprise,” said Elisha Smith Arrillaga, vice president at The Center for Effective Philanthropy. She is interested to learn more about the applicants’ experience of the process and whether Scott continues to use this process going forward.

Some 6,353 nonprofits applied to the $1 million grants when applications opened.

“The donor team decided to expand the awardee pool and the award amount,” said Lever for Change, which specializes in running philanthropic prize awards.

The 279 nonprofits that received top scores from an external review panel were awarded $2 million, while 82 organizations in a second tier received $1 million each.

Competitions like Scott’s open call can help organizations who do not have connections with a specific funder get considered, said Renee Karibi-Whyte, senior vice president, Rockefeller Philanthropy Advisors.

“One of the best things about prize philanthropy is that it surfaces people and organizations and institutions that otherwise wouldn’t have access to the people in the power centers and the funding,” she said. Her organization also advises funders who run competitive grants or philanthropic prize competitions to phase the application to diminish the burden of applying on any organization that is eliminated early.

Megan Peterson, executive director of the Minnesota-based nonprofit, Gender Justice, said the application was a rare opportunity to get noticed by Scott.

“Having seen the types of work that she has supported in the past, we did feel like, ‘Oh, if only she knew that we were out here racking up wins,’” said Peterson.

Her organization has won lawsuits recently around access to emergency contraception and the rights of trans youth to play sports. They plan to use the funds to expand their work into North Dakota. Peterson said the funds must be used for tax exempt purposes but otherwise come with no restrictions or reporting requirements — just like Scott’s previous grants.

“I think she’s really helping to set a new path for philanthropy broadly, which is with that philosophy of: Find people doing good work and give them resources and then get out of the way,” Peterson said of Scott. “I am grateful for not just the support individually, but the way in which I think she is having an impact on philanthropy broadly.”

The open call asked for applications from nonprofits who are community-led with missions “to advance the voices and opportunities of individuals and families of meager or modest means,” Yield Giving said on its website. Only nonprofits with annual budgets between $1 and $5 million were eligible to apply.

The awardees were selected through a multilayer process, where applicants scored fellow applicants and then the top organizations were reviewed by a panel of outside experts.

Scott has given away $16.5 billion from the fortune she came into after divorcing Amazon founder Jeff Bezos. Initially, she publicized the gifts in online blog posts, sometimes naming the organizations and sometimes not. She launched a database of her giving in December 2022, under the name Yield Giving.

In an essay reflecting on the website , she wrote, “Information from other people – other givers, my team, the nonprofit teams I’ve been giving to – has been enormously helpful to me. If more information about these gifts can be helpful to anyone, I want to share it.”

Smith Arrillaga, of CEP, said it was important that Scott is, “continuing to honor her commitment in terms of giving away her wealth, even though she’s thinking, changing and tweaking the ‘how’ of how it’s done and she’s still trying to go with the spirit of what she committed to.”

Associated Press coverage of philanthropy and nonprofits receives support through the AP’s collaboration with The Conversation US, with funding from Lilly Endowment Inc. The AP is solely responsible for this content. For all of AP’s philanthropy coverage, visit https://apnews.com/hub/philanthropy .

Time, money, lost business are part of hefty price tag to rebuild critical Baltimore bridge

The Francis Scott Key Bridge - and more importantly its capability to support traffic of 33,000 vehicles a day - could take years to rebuild after a cargo ship slammed into it and sent the 1.6 mile roadway tumbling into the Patapsco River .

While state officials have not released timelines on bridge repairs, experts say it could take several months or even up to four years until the bridge can make a comeback.

When the bridge opened in 1977, it cost $60.3 million , which is equivalent to $316 million today. The bridge took five years to complete, but experts say reopening it could take less time depending on several factors, including the condition of the bridge's foundational pieces underwater, design plans, and funding. President Joe Biden has said he expects the federal government to cover all rebuilding costs.

The Army Corps of Engineers has activated its emergency operations center following the collapse, authorizing more than 1,100 personnel to support recovery efforts and clear the busy shipping channel of debris, the Army announced Tuesday. The Corps, supporting local, state and federal agencies, is providing an underwater drone, structural engineers, urban search and rescue specialists, and the Reynolds, a vessel that collects debris that could pose hazardous to navigation.

In the meantime, experts warn the downed bridge could have major implications for East Coast shipping as companies scramble to find other ports and residents are diverted to detours. About 12.4 million vehicles crossed the bridge in 2023.

Assessing the damage

Illinois Institute of Technology engineering professor Gongkang Fu said the first step to rebuilding will be to assess the foundational pieces of the bridge underwater. 

“The pieces we don't see...are more expensive than the pieces we see, normally,” Fu said.

Building the underwater part can account for as much as half of the construction time, Fu said, so the condition of those pieces will greatly determine how long rebuilding will take. 

How fast funds come in will also determine when the bridge can reopen, Fu said, noting that expediting construction raises costs.

The target bridge lifespan in current national guidelines is 75 years, Fu said.

Hota GangaRao, the director of the Constructed Facilities Center at West Virginia University’s Department of Civil and Environmental Engineering, said several bridge piers could be damaged by the collapse. But engineers would need to assess the underwater structure to see the extent.

Based on the size of the bridge, GangaRao estimated rebuilding the structure will cost at least $350 million, and take two to four years to complete.

Sameh Badie, engineering professor at George Washington University, said the cost of rebuilding the bridge will also depend on the new design. More technologies are available now than when the bridge was originally built nearly five decades ago. Engineers may also take Tuesday’s collision into consideration when deciding on the new structure as more information is released.

David Turner, spokesperson for Maryland Gov. Wes Moore, told USA TODAY timelines and cost estimates on bridge repairs were not yet available but the process will be “long and expensive.”

Detours, other ports take Baltimore load

Moody’s Analytics senior economist Adam Kamins said the bridge collapse could have a significant impact on the Maryland economy, along with broader national and potentially global implications. Kamins noted the Port of Baltimore suspended some operations after the collapse, and an extended closure could strain car and truck prices as it is the nation’s busiest port for cars and light trucks in the nation.

Mitch Merriam, a longtime U.S. Customs and Border Protection leader, said some other ports are already accepting cargoes destined for Baltimore. Merriam, the former area port director at Los Angeles International Airport and now vice president of borders and maritime security at Maryland-based K2 Security Screening Group, said he's seen estimates that it may take three months to clear the bridge wreckage from the channel and reopen it to shipping.

"My guess is that initially you're going to see anything that was supposed to go to Baltimore will divert to Philadelphia or Norfolk, depending on the size of the vessel," he said. "Initially you're going to see ports helping one another out, taking in cargo destined for Baltimore. But they are going to have to look for longer-term solutions."

GangaRao said building a temporary bridge over the existing piers would be unlikely, as several of them may have suffered damage under the weight of the collapse.

The Interstate 35W bridge in Minneapolis, an eight-lane bridge across the Mississippi River, collapsed on Aug. 1, 2007. Congress approved $250 million to rebuild it and President George W. Bush signed it into law within a week.

The bridge reopened Sept. 18, 2008. But the Minneapolis bridge was about one-third of a mile long, much shorter than the 1.6-mile bridge in Baltimore. And experts said the Minneapolis bridge was a significantly different type of bridge and collapse.

“This is a unique circumstance. I do not know of a bridge that has been constructed to withstand a direct impact from a vessel of this size,” Transportation Secretary Pete Buttigieg said. “Let me emphasize that was a very different circumstance with very different causes.”

Contributing: Bart Jansen, Trevor Hughes and Tom Vanden Brook, USA TODAY

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Ronna McDaniel, TV News and the Trump Problem

The former republican national committee chairwoman was hired by nbc and then let go after an outcry..

This transcript was created using speech recognition software. While it has been reviewed by human transcribers, it may contain errors. Please review the episode audio before quoting from this transcript and email [email protected] with any questions.

From “The New York Times,” I’m Michael Barbaro. This is “The Daily.”

[MUSIC PLAYING]

Today, the saga of Ronna McDaniel and NBC and what it reveals about the state of television news headed into the 2024 presidential race. Jim Rutenberg, a “Times” writer at large, is our guest.

It’s Monday, April 1.

Jim, NBC News just went through a very public, a very searing drama over the past week, that we wanted you to make sense of in your unique capacity as a longtime media and political reporter at “The Times.” This is your sweet spot. You were, I believe, born to dissect this story for us.

Oh, brother.

Well, on the one hand, this is a very small moment for a major network like NBC. They hire, as a contributor, not an anchor, not a correspondent, as a contributor, Ronna McDaniel, the former RNC chairwoman. It blows up in a mini scandal at the network.

But to me, it represents a much larger issue that’s been there since that moment Donald J. Trump took his shiny gold escalator down to announce his presidential run in 2015. This struggle by the news media to figure out, especially on television, how do we capture him, cover him for all of his lies, all the challenges he poses to Democratic norms, yet not alienate some 74, 75 million American voters who still follow him, still believe in him, and still want to hear his reality reflected in the news that they’re listening to?

Right. Which is about as gnarly a conundrum as anyone has ever dealt with in the news media.

Well, it’s proven so far unsolvable.

Well, let’s use the story of what actually happened with Ronna McDaniel and NBC to illustrate your point. And I think that means describing precisely what happened in this situation.

The story starts out so simply. It’s such a basic thing that television networks do. As elections get underway, they want people who will reflect the two parties.

They want talking heads. They want insiders. They want them on their payroll so they can rely on them whenever they need them. And they want them to be high level so they can speak with great knowledge about the two major candidates.

Right. And rather than needing to beg these people to come on their show at 6 o’clock, when they might be busy and it’s not their full-time job, they go off and they basically put them on retainer for a bunch of money.

Yeah. And in this case, here’s this perfect scenario because quite recently, Ronna McDaniel, the chairwoman of the Republican National Committee through the Trump era, most of it, is now out on the market. She’s actually recently been forced out of the party. And all the networks are interested because here’s the consummate insider from Trump world ready to get snatched up under contract for the next election and can really represent this movement that they’ve been trying to capture.

So NBC’S key news executives move pretty aggressively, pretty swiftly, and they sign her up for a $300,000 a year contributor’s contract.

Nice money if you can get it.

Not at millions of dollars that they pay their anchors, but a very nice contract. I’ll take it. You’ll take it. In the eyes of NBC execs she was perfect because she can be on “Meet the Press” as a panelist. She can help as they figure out some of their coverage. They have 24 hours a day to fill and here’s an official from the RNC. You can almost imagine the question that would be asked to her. It’s 10:00 PM on election night. Ronna, what are the Trump people thinking right now? They’re looking at the same numbers you are.

That was good, but that’s exactly it. And we all know it, right? This is television in our current era.

So last Friday, NBC makes what should be a routine announcement, but one they’re very proud of, that they’ve hired Ronna McDaniel. And in a statement, they say it couldn’t be a more important moment to have a voice like Ronna’s on the team. So all’s good, right? Except for there’s a fly in the ointment.

Because it turns out that Ronna McDaniel has been slated to appear on “Meet the Press,” not as a paid NBC contributor, but as a former recently ousted RNC chair with the “Meet The Press” host, Kristen Welker, who’s preparing to have a real tough interview with Ronna McDaniel. Because of course, Ronna McDaniel was chair of the party and at Trump’s side as he tried to refuse his election loss. So this was supposed to be a showdown interview.

From NBC News in Washington, the longest-running show in television history. This is “Meet The Press” with Kristen Welker.

And here, all of a sudden, Kristin Welker is thrown for a loop.

In full disclosure to our viewers, this interview was scheduled weeks before it was announced that McDaniel would become a paid NBC News contributor.

Because now, she’s actually interviewing a member of the family who’s on the same payroll.

Right. Suddenly, she’s interviewing a colleague.

This will be a news interview, and I was not involved in her hiring.

So what happens during the interview?

So Welker is prepared for a tough interview, and that’s exactly what she does.

Can you say, as you sit here today, did Joe Biden win the election fair and square?

He won. He’s the legitimate president.

Did he win fair and square?

Fair and square, he won. It’s certified. It’s done.

She presses her on the key question that a lot of Republicans get asked these days — do you accept Joe Biden was the winner of the election?

But, I do think, Kristen —

Ronna, why has it taken you until now to say that? Why has it taken you until now to be able to say that?

I’m going to push back a little.

McDaniel gets defensive at times.

Because I do think it’s fair to say there were problems in 2020. And to say that does not mean he’s not the legitimate president.

But, Ronna, when you say that, it suggests that there was something wrong with the election. And you know that the election was the most heavily scrutinized. Chris Krebs —

It’s a really combative interview.

I want to turn now to your actions in the aftermath of the 2020 election.

And Welker actually really does go deeply into McDaniel’s record in those weeks before January 6.

On November 17, you and Donald Trump were recorded pushing two Republican Michigan election officials not to certify the results of the election. And on the call —

For instance, she presses McDaniel on McDaniel’s role in an attempt to convince a couple county commissioner level canvassers in Michigan to not certify Biden’s victory.

Our call that night was to say, are you OK? Vote your conscience. Not pushing them to do anything.

McDaniel says, look, I was just telling them to vote their conscience. They should do whatever they think is right.

But you said, do not sign it. If you can go home tonight, do not sign it. How can people read that as anything other than a pressure campaign?

And Welker’s not going to just let her off the hook. Welker presses her on Trump’s own comments about January 6 and Trump’s efforts recently to gloss over some of the violence, and to say that those who have been arrested, he’ll free them.

Do you support that?

I want to be very clear. The violence that happened on January 6 is unacceptable.

And this is a frankly fascinating moment because you can hear McDaniel starting to, if not quite reverse some of her positions, though in some cases she does that, at least really soften her language. It’s almost as if she’s switching uniforms from the RNC one to an NBC one or almost like breaking from a role she was playing.

Ronna, why not speak out earlier? Why just speak out about that now?

When you’re the RNC chair, you kind of take one for the whole team, right? Now, I get to be a little bit more myself.

She says, hey, you know what? Sometimes as RNC chair, you just have to take it for the team sometimes.

Right. What she’s really saying is I did things as chairwoman of the Republican National committee that now that I no longer have that job, I can candidly say, I wished I hadn’t done, which is very honest. But it’s also another way of saying I’m two faced, or I was playing a part.

Ronna McDaniel, thank you very much for being here this morning.

Then something extraordinary happens. And I have to say, I’ve never seen a moment like this in decades of watching television news and covering television news.

Welcome back. The panel is here. Chuck Todd, NBC News chief political analyst.

Welker brings her regular panel on, including Chuck Todd, now the senior NBC political analyst.

Chuck, let’s dive right in. What were your takeaways?

And he launches right into what he calls —

Look, let me deal with the elephant in the room.

The elephant being this hiring of McDaniel.

I think our bosses owe you an apology for putting you in this situation.

And he proceeds, on NBC’S air, to lace into management for, as he describes it, putting Welker in this crazy awkward position.

Because I don’t know what to believe. She is now a paid contributor by NBC News. I have no idea whether any answer she gave to you was because she didn’t want to mess up her contract.

And Todd is very hung up on this idea that when she was speaking for the party, she would say one thing. And now that she’s on the payroll at NBC, she’s saying another thing.

She has credibility issues that she still has to deal with. Is she speaking for herself, or is she speaking on behalf of who’s paying her?

Todd is basically saying, how are we supposed to know which one to believe.

What can we believe?

It is important for this network and for always to have a wide aperture. Having ideological diversity on this panel is something I prided myself on.

And what he’s effectively saying is that his bosses should have never hired her in this capacity.

I understand the motivation, but this execution, I think, was poor.

Someone said to me last night we live in complicated times. Thank you guys for being here. I really appreciate it.

Now, let’s just note here, this isn’t just any player at NBC. Chuck Todd is obviously a major news name at the network. And him doing this appears to just open the floodgates across the entire NBC News brand, especially on its sister cable network, MSNBC.

And where I said I’d never seen anything like what I saw on “Meet the Press” that morning, I’d never seen anything like this either. Because now, the entire MSNBC lineup is in open rebellion. I mean, from the minute that the sun comes up. There is Joe Scarborough and Mika Brzezinski.

We weren’t asked our opinion of the hiring. But if we were, we would have strongly objected to it.

They’re on fire over this.

believe NBC News should seek out conservative Republican voices, but it should be conservative Republicans, not a person who used her position of power to be an anti-democracy election denier.

But it rolls out across the entire schedule.

Because Ronna McDaniel has been a major peddler of the big lie.

The fact that Ms. McDaniel is on the payroll at NBC News, to me that is inexplicable. I mean, you wouldn’t hire a mobster to work at a DA’s office.

Rachel Maddow devotes an entire half hour.

It’s not about just being associated with Donald Trump and his time in the Republican Party. It’s not even about lying or not lying. It’s about our system of government.

Thumbing their noses at our bosses and basically accusing them of abetting a traitorous figure in American history. I mean, just extraordinary stuff. It’s television history.

And let’s face it, we journalists, our bosses, we can be seen as crybabies, and we’re paid complaining. Yeah, that’s what we’re paid to do. But in this case, the NBC executives cannot ignore this, because in the outcry, there’s a very clear point that they’re all making. Ronna McDaniel is not just a voice from the other side. She was a fundamental part of Trump’s efforts to deny his election loss.

This is not inviting the other side. This is someone who’s on the wrong side —

Of history.

Of history, of these moments that we’ve covered and are still covering.

And I think it’s fair to say that at this point, everyone understands that Ronna McDaniel’s time at NBC News is going to be very short lived. Yeah, basically, after all this, the executives at NBC have to face facts it’s over. And on Tuesday night, they release a statement to the staff saying as much.

They don’t cite the questions about red lines or what Ronna McDaniel represented or didn’t represent. They just say we need to have a unified newsroom. We want cohesion. This isn’t working.

I think in the end, she was a paid contributor for four days.

Yeah, one of the shortest tenures in television news history. And look, in one respect, by their standards, this is kind of a pretty small contract, a few hundred thousand dollars they may have to pay out. But it was way more costly because they hired her. They brought her on board because they wanted to appeal to these tens of millions of Americans who still love Donald J. Trump.

And what happens now is that this entire thing is blown up in their face, and those very same people now see a network that, in their view, in the view of Republicans across the country, this network will not accept any Republicans. So it becomes more about that. And Fox News, NBC’S longtime rival, goes wall to wall with this.

Now, NBC News just caved to the breathless demands from their far left, frankly, emotionally unhinged host.

I mean, I had it on my desk all day. And every minute I looked at that screen, it was pounding on these liberals at NBC News driving this Republican out.

It’s the shortest tenure in TV history, I think. But why? Well, because she supports Donald Trump, period.

So in a way, this leaves NBC worse off with that Trump Republican audience they had wanted to court than maybe even they were before. It’s like a boomerang with a grenade on it.

Yeah, it completely explodes in their face. And that’s why to me, the whole episode is so representative of this eight-year conundrum for the news media, especially on television. They still haven’t been able to crack the code for how to handle the Trump movement, the Trump candidacy, and what it has wrought on the American political system and American journalism.

We’ll be right back.

Jim, put into context this painful episode of NBC into that larger conundrum you just diagnosed that the media has faced when it comes to Trump.

Well, Michael, it’s been there from the very beginning, from the very beginning of his political rise. The media was on this kind of seesaw. They go back and forth over how to cover him. Sometimes they want to cover him quite aggressively because he’s such a challenging candidate. He was bursting so many norms.

But at other times, there was this instinct to understand his appeal, for the same reason. He’s such an unusual candidate. So there was a great desire to really understand his voters. And frankly, to speak to his voters, because they’re part of the audience. And we all lived it, right?

But just let me take you back anyway because everything’s fresh again with perspective. And so if you go back, let’s look at when he first ran. The networks, if you recall, saw him as almost like a novelty candidate.

He was going to spice up what was expected to be a boring campaign between the usual suspects. And he was a ratings magnet. And the networks, they just couldn’t get enough of it. And they allowed him, at times, to really shatter their own norms.

Welcome back to “Meet the Press,” sir.

Good morning, Chuck.

Good morning. Let me start —

He was able to just call into the studio and riff with the likes of George Stephanopoulos and Chuck Todd.

What does it have to do with Hillary?

She can’t talk about me because nobody respects women more than Donald Trump.

And CNN gave him a lot of unmitigated airtime, if you recall during the campaign. They would run the press conferences.

It’s the largest winery on the East Coast. I own it 100 percent.

And let him promote his Trump steaks and his Trump wine.

Trump steaks. Where are the steaks? Do we have steaks?

I mean, it got that crazy. But again, the ratings were huge. And then he wins. And because they had previously given him all that airtime, they’ve, in retrospect, sort of given him a political gift, and more than that now have a journalistic imperative to really address him in a different way, to cover him as they would have covered any other candidate, which, let’s face it, they weren’t doing initially. So there’s this extra motivation to make up for lost ground and maybe for some journalistic omissions.

Right. Kind of correct for the lack of a rigorous journalistic filter in the campaign.

Exactly. And the big thing that this will be remembered for is we’re going to call a lie a lie.

I don’t want to sugarcoat this because facts matter, and the fact is President Trump lies.

Trump lies. We’re going to say it’s a lie.

And I think we can’t just mince around it because they are lies. And so we need to call them what they are.

We’re no longer going to use euphemisms or looser language we’re. Going to call it for what it is.

Trump lies in tweets. He spreads false information at rallies. He lies when he doesn’t need to. He lies when the truth is more than enough for him.

CNN was running chyrons. They would fact check Trump and call lies lies on the screen while Trump is talking. They were challenging Trump to his face —

One of the statements that you made in the tail end of the campaign in the midterms that —

Here we go.

That — well, if you don’t mind, Mr. President, that this caravan was an invasion.

— in these crazy press conferences —

They’re are hundreds of miles away, though. They’re hundreds and hundreds of miles away. That’s not an invasion.

Honestly, I think you should let me run the country. You run CNN. And if you did it well, your ratings —

Well, let me ask — if I may ask one other question. Mr. President, if I may ask another question. Are you worried —

That’s enough. That’s enough.

And Trump is giving it right back.

I tell you what, CNN should be ashamed of itself having you working for them. You are a rude, terrible person. You shouldn’t be working for CNN.

Very combative.

So this was this incredibly fraught moment for the American press. You’ve got tens of millions of Trump supporters seeing what’s really basic fact checking. These look like attacks to Trump supporters. Trump, in turn, is calling the press, the reporters are enemies of the people. So it’s a terrible dynamic.

And when January 6 happens, it’s so obviously out of control. And what the traditional press that follows, traditional journalistic rules has to do is make it clear that the claims that Trump is making about a stolen election are just so abjectly false that they don’t warrant a single minute of real consideration once the reporting has been done to show how false they are. And I think that American journalism really emerged from that feeling strongly about its own values and its own place in society.

But then there’s still tens of millions of Trump voters, and they don’t feel so good about the coverage. And they don’t agree that January 6 was an insurrection. And so we enter yet another period, where the press is going to have to now maybe rethink some things.

In what way?

Well, there’s a kind of quiet period after January 6. Trump is off of social media. The smoke is literally dissipating from the air in Washington. And news executives are kind of standing there on the proverbial battlefield, taking a new look at their situation.

And they’re seeing that in this clearer light, they’ve got some new problems, perhaps none more important for their entire business models than that their ratings are quickly crashing. And part of that diminishment is that a huge part of the country, that Trump-loving part of the audience, is really now severed from him from their coverage.

They see the press as actually, in some cases, being complicit in stealing an election. And so these news executives, again, especially on television, which is so ratings dependent, they’ve got a problem. So after presumably learning all these lessons about journalism and how to confront power, there’s a first subtle and then much less subtle rethinking.

Maybe we need to pull back from that approach. And maybe we need to take some new lessons and switch it up a little bit and reverse some of what we did. And one of the best examples of this is none other than CNN.

It had come under new management, was being led by a guy named Chris Licht, a veteran of cable news, but also Stephen Colbert’s late night show in his last job. And his new job under this new management is we’re going to recalibrate a little bit. So Chris Licht proceeds to try to bring the network back to the center.

And how does he do that?

Well, we see some key personalities who represented the Trump combat era start losing air time and some of them lose their jobs. There’s talk of, we want more Republicans on the air. There was a famous magazine article about Chris Licht’s balancing act here.

And Chris Licht says to a reporter, Tim Alberta of the “Atlantic” magazine, look, a lot in the media, including at his own network, quote unquote, “put on a jersey, took a side.” They took a side. And he says, I think we understand that jersey cannot go back on him. Because he says in the end of the day, by the way, it didn’t even work. We didn’t change anyone’s mind.

He’s saying that confrontational approach that defined the four years Trump was in office, that was a reaction to the feeling that TV news had failed to properly treat Trump with sufficient skepticism, that that actually was a failure both of journalism and of the TV news business. Is that what he’s saying?

Yeah. On the business side, it’s easier call, right? You want a bigger audience, and you’re not getting the bigger audience. But he’s making a journalistic argument as well that if the job is to convey the truth and take it to the people, and they take that into account as they make their own voting decisions and formulate their own opinions about American politics, if tens of millions of people who do believe that election was stolen are completely tuning you out because now they see you as a political combatant, you’re not achieving your ultimate goal as a journalist.

And what does Licht’s “don’t put a jersey back on” approach look like on CNN for its viewers?

Well, It didn’t look good. People might remember this, but the most glaring example —

Please welcome, the front runner for the Republican nomination for president, Donald Trump.

— was when he held a town hall meeting featuring Donald J. Trump, now candidate Trump, before an audience packed with Trump’s fans.

You look at what happened during that election. Unless you’re a very stupid person, you see what happens. A lot of the people —

Trump let loose a string of falsehoods.

Most people understand what happened. It was a rigged election.

The audience is pro-Trump audience, was cheering him on.

Are you ready? Are you ready? Can I talk?

Yeah, what’s your answer?

Can I? Do you mind?

I would like for you to answer the question.

OK. It’s very simple to answer.

That’s why I asked it.

It’s very simple. You’re a nasty person, I’ll tell you that.

And during, the CNN anchor hosting this, Kaitlan Collins, on CNN’s own air, it was a disaster.

It felt like a callback to the unlearned lessons of 2016.

Yeah. And in this case, CNN’s staff was up in arms.

Big shakeup in the cable news industry as CNN makes another change at the top.

Chris Licht is officially out at CNN after a chaotic run as chairman and CEO.

And Chris Licht didn’t survive it.

The chief executive’s departure comes as he faced criticism in recent weeks after the network hosted a town hall with Donald Trump and the network’s ratings started to drop.

But I want to say that the CNN leadership still, even after that, as they brought new leadership in, said, this is still the path we’re going to go on. Maybe that didn’t work out, but we’re still here. This is still what we have to do.

Right. And this idea is very much in the water of TV news, that this is the right overall direction.

Yeah. This is, by no means, isolated to CNN. This is throughout the traditional news business. These conversations are happening everywhere. But CNN was living it at that point.

And this, of course, is how we get to NBC deciding to hire Ronna McDaniel.

Right. Because they’re picking up — right where that conversation leaves off, they’re having the same conversation. But for NBC, you could argue this tension between journalistic values and audience. It’s even more pressing. Because even though MSNBC is a niche cable network, NBC News is part of an old-fashioned broadcast network. It’s on television stations throughout the country.

And in fact, those networks, they still have 6:30 newscasts. And believe it or not, millions of people still watch those every night. Maybe not as many as they used to, but there’s still some six or seven million people tuning in to nightly news. That’s important.

Right. We should say that kind of number is sometimes double or triple that of the cable news prime time shows that get all the attention.

On their best nights. So this is big business still. And that business is based on broad — it’s called broadcast for a reason. That’s based on broad audiences. So NBC had a business imperative, and they argue they had a journalistic imperative.

So given all of that, Jim, I think the big messy question here is, when it comes to NBC, did they make a tactical error around hiring the wrong Republican which blew up? Or did they make an even larger error in thinking that the way you handle Trump and his supporters is to work this hard to reach them, when they might not even be reachable?

The best way to answer that question is to tell you what they’re saying right now, NBC management. What the management saying is, yes, this was a tactical error. This was clearly the wrong Republican. We get it.

But they’re saying, we are going to — and they said this in their statement, announcing that they were severing ties with McDaniel. They said, we’re going to redouble our efforts to represent a broad spectrum of the American votership. And that’s what they meant was that we’re going to still try to reach these Trump voters with people who can relate to them and they can relate to.

But the question is, how do you even do that when so many of his supporters believe a lie? How is NBC, how is CNN, how are any of these TV networks, if they have decided that this is their mission, how are they supposed to speak to people who believe something fundamentally untrue as a core part of their political identity?

That’s the catch-22. How do you get that Trump movement person who’s also an insider, when the litmus test to be an insider in the Trump movement is to believe in the denialism or at least say you do? So that’s a real journalistic problem. And the thing that we haven’t really touched here is, what are these networks doing day in and day out?

They’re not producing reported pieces, which I think it’s a little easier. You just report the news. You go out into the world. You talk to people, and then you present it to the world as a nuanced portrait of the country. This thing is true. This thing is false. Again, in many cases, pretty straightforward. But their bread and butter is talking heads. It’s live. It’s not edited. It’s not that much reported.

So their whole business model especially, again, on cable, which has 24 hours to fill, is talking heads. And if you want the perspective from the Trump movement, journalistically, especially when it comes to denialism, but when it comes to some other major subjects in American life, you’re walking into a place where they’re going to say things that aren’t true, that don’t pass your journalistic standards, the most basic standards of journalism.

Right. So you’re saying if TV sticks with this model, the kind of low cost, lots of talk approach to news, then they are going to have to solve the riddle of who to bring on, who represents Trump’s America if they want that audience. And now they’ve got this red line that they’ve established, that that person can’t be someone who denies the 2020 election reality. But like you just said, that’s the litmus test for being in Trump’s orbit.

So this doesn’t really look like a conundrum. This looks like a bit of a crisis for TV news because it may end up meaning that they can’t hire that person that they need for this model, which means that perhaps a network like NBC does need to wave goodbye to a big segment of these viewers and these eyeballs who support Trump.

I mean, on the one hand, they are not ready to do that, and they would never concede that that’s something they’re ready to do. The problem is barring some kind of change in their news model, there’s no solution to this.

But why bar changes to their news model, I guess, is the question. Because over the years, it’s gotten more and more expensive to produce news, the news that I’m talking about, like recorded packages and what we refer to as reporting. Just go out and report the news.

Don’t gab about it. Just what’s going on, what’s true, what’s false. That’s actually very expensive in television. And they don’t have the kind of money they used to have. So the talking heads is their way to do programming at a level where they can afford it.

They do some packages. “60 Minutes” still does incredible work. NBC does packages, but the lion’s share of what they do is what we’re talking about. And that’s not going to change because the economics aren’t there.

So then a final option, of course, to borrow something Chris Licht said, is that a network like NBC perhaps doesn’t put a jersey on, but accepts the reality that a lot of the world sees them wearing a jersey.

Yeah. I mean, nobody wants to be seen as wearing a jersey in our business. No one wants to be wearing a jersey on our business. But maybe what they really have to accept is that we’re just sticking to the true facts, and that may look like we’re wearing a jersey, but we’re not. And that may, at times, look like it’s lining up more with the Democrats, but we’re not.

If Trump is lying about a stolen election, that’s not siding against him. That’s siding for the truth, and that’s what we’re doing. Easier said than done. And I don’t think any of these concepts are new.

I think there have been attempts to do that, but it’s the world they’re in. And it’s the only option they really have. We’re going to tell you the truth, even if it means that we’re going to lose a big part of the country.

Well, Jim, thank you very much.

Thank you, Michael.

Here’s what else you need to know today.

[PROTESTERS CHANTING]

Over the weekend, thousands of protesters took to the streets of Tel Aviv and Jerusalem in some of the largest domestic demonstrations against the government of Prime Minister Benjamin Netanyahu since Israel invaded Gaza in the fall.

[NON-ENGLISH SPEECH]

Some of the protesters called on Netanyahu to reach a cease fire deal that would free the hostages taken by Hamas on October 7. Others called for early elections that would remove Netanyahu from office.

During a news conference on Sunday, Netanyahu rejected calls for early elections, saying they would paralyze his government at a crucial moment in the war.

Today’s episode was produced by Rob Szypko, Rikki Novetsky, and Alex Stern, with help from Stella Tan.

It was edited by Brendan Klinkenberg with help from Rachel Quester and Paige Cowett. Contains original music by Marion Lozano, Dan Powell, and Rowan Niemisto and was engineered by Chris Wood. Our theme music is by Jim Brunberg and Ben Landsverk of Wonderly.

That’s it for “The Daily.” I’m Michael Barbaro. See you tomorrow.

• April 2, 2024   •   29:32 Kids Are Missing School at an Alarming Rate
• April 1, 2024   •   36:14 Ronna McDaniel, TV News and the Trump Problem
• March 29, 2024   •   48:42 Hamas Took Her, and Still Has Her Husband
• March 28, 2024   •   33:40 The Newest Tech Start-Up Billionaire? Donald Trump.
• March 27, 2024   •   28:06 Democrats’ Plan to Save the Republican House Speaker
• March 26, 2024   •   29:13 The United States vs. the iPhone
• March 25, 2024   •   25:59 A Terrorist Attack in Russia
• March 24, 2024   •   21:39 The Sunday Read: ‘My Goldendoodle Spent a Week at Some Luxury Dog ‘Hotels.’ I Tagged Along.’
• March 22, 2024   •   35:30 Chuck Schumer on His Campaign to Oust Israel’s Leader
• March 21, 2024   •   27:18 The Caitlin Clark Phenomenon
• March 20, 2024   •   25:58 The Bombshell Case That Will Transform the Housing Market
• March 19, 2024   •   27:29 Trump’s Plan to Take Away Biden’s Biggest Advantage

Hosted by Michael Barbaro

Featuring Jim Rutenberg

Produced by Rob Szypko ,  Rikki Novetsky and Alex Stern

With Stella Tan

Edited by Brendan Klinkenberg ,  Rachel Quester and Paige Cowett

Original music by Marion Lozano ,  Dan Powell and Rowan Niemisto

Engineered by Chris Wood

Listen and follow The Daily Apple Podcasts | Spotify | Amazon Music

Ronna McDaniel’s time at NBC was short. The former Republican National Committee chairwoman was hired as an on-air political commentator but released just days later after an on-air revolt by the network’s leading stars.

Jim Rutenberg, a writer at large for The Times, discusses the saga and what it might reveal about the state of television news heading into the 2024 presidential race.

On today’s episode

Jim Rutenberg , a writer at large for The New York Times.

Background reading

Ms. McDaniel’s appointment had been immediately criticized by reporters at the network and by viewers on social media.

The former Republican Party leader tried to downplay her role in efforts to overturn the 2020 election. A review of the record shows she was involved in some key episodes .

There are a lot of ways to listen to The Daily. Here’s how.

We aim to make transcripts available the next workday after an episode’s publication. You can find them at the top of the page.

The Daily is made by Rachel Quester, Lynsea Garrison, Clare Toeniskoetter, Paige Cowett, Michael Simon Johnson, Brad Fisher, Chris Wood, Jessica Cheung, Stella Tan, Alexandra Leigh Young, Lisa Chow, Eric Krupke, Marc Georges, Luke Vander Ploeg, M.J. Davis Lin, Dan Powell, Sydney Harper, Mike Benoist, Liz O. Baylen, Asthaa Chaturvedi, Rachelle Bonja, Diana Nguyen, Marion Lozano, Corey Schreppel, Rob Szypko, Elisheba Ittoop, Mooj Zadie, Patricia Willens, Rowan Niemisto, Jody Becker, Rikki Novetsky, John Ketchum, Nina Feldman, Will Reid, Carlos Prieto, Ben Calhoun, Susan Lee, Lexie Diao, Mary Wilson, Alex Stern, Dan Farrell, Sophia Lanman, Shannon Lin, Diane Wong, Devon Taylor, Alyssa Moxley, Summer Thomad, Olivia Natt, Daniel Ramirez and Brendan Klinkenberg.

Our theme music is by Jim Brunberg and Ben Landsverk of Wonderly. Special thanks to Sam Dolnick, Paula Szuchman, Lisa Tobin, Larissa Anderson, Julia Simon, Sofia Milan, Mahima Chablani, Elizabeth Davis-Moorer, Jeffrey Miranda, Renan Borelli, Maddy Masiello, Isabella Anderson and Nina Lassam.

Jim Rutenberg is a writer at large for The Times and The New York Times Magazine and writes most often about media and politics. More about Jim Rutenberg

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I thought having my own office meant I'd 'arrived,' but it was depressing. Here's why open-plan office layouts are best.

• Jennifer Moore has worked in financial services, tech, and SaaS for 20 years. 
• During that time, she's worked in cubicles, open plan offices, and has had her own office spaces.
• The open plan concept is her winner due to the natural light and varying spaces for work. 

This as-told-to essay is based on a transcribed conversation with Jennifer Moore, 43, from Salt Lake City, about her experience working in different office spaces. The following has been edited for length and clarity.

I was a summer intern with a small desk in a hallway when my career began in 2003.

There was another intern who had her own cubicle with high walls that kind of looked like a mini office. I really loved my makeshift workspace, but I'll be honest — I was jealous. It was like I was an afterthought.

I've spent 10 years in financial services , where I worked in everything from high-walled cubicles to open office floor plans to eventually having my very own office. I also spent 10 years in B2B tech and software-as-a-service companies , where there's nothing but open office plans.

Cubicles are good for deep work and privacy, but they can be isolating

I've found that the true cube farm — with four high walls and a doorway — can be really helpful for deep work and conducting short one-on-ones.

I think privacy is another pro. In 2006, when I was working at Wells Fargo , I received an email telling me someone I was very close to in high school had died. I remember having a very loud reaction. My co-workers heard me but didn't necessarily see me burst into tears. It was a blessing to have a bit more privacy at that moment.

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The cons of cubicles is that they were somewhat isolating. There was no sunlight. The executives and leaders all got these fantastic offices that had windows, so you could tell immediately who the head honchos were.

Having my own office was depressing and soul-crushing

Having your own office is associated with prestige and privacy, but my first experience of this was horrible.

In 2015, I thought I had arrived. I had officially made it into product management at a financial services company and was given my very own office with a door. I had a furniture budget and everything, but I was absolutely miserable.

There was no natural light, only dim fluorescent lights, so I'd try to get out in the sunlight every day. There wasn't any foot traffic passing by my area because it was in a weird corner. It was isolating — I could go an entire day and not see or talk to a soul if I wanted to.

It was really depressing and soul-crushing.

One thing I would say is, at the time, I was doing some physical therapy, and it was really nice to be able to shut the door and close the shade on my tiny window so I could do stretches in complete privacy.

I learned that the overall workplace environment is more important to me than whether I had achieved having my own office.

You can say you believe in teamwork and collaboration but if you haven't designed an office space that encourages this, people are going to struggle to embrace it daily.

I think open-office plans are the clear winner, as they allow for different types of work

After I left my previous company in December 2023, I decided to focus full-time on my own consulting business.

I work in a coworking space for a company I consult for. It has an open floor plan with several conference rooms, telephone booths, and seating areas.

I think open office plans are the clear winner in a modern workplace, but their weaknesses should be augmented by using aspects of cubicle design that allow for areas of privacy and for different types of work.

Managers still need privacy. In a place where I worked recently, an executive would regularly conduct all their one-on-ones in the open seating area, and several people commented how awkward it was to hear highly personal information being discussed on a daily basis.

In open-floor plans, you can find spaces for deep work, collaboration, and large and small meetings. They can have soundproof booths in a hallway for privacy. Cubicles take up so much real estate, making it hard to create these options.

Another pro of open floor plans is natural light. I've noticed that in newer buildings, everyone has access to sunlight, rather than just the senior and executive leaders in their offices.

Watch: How a 'hoarder's house' is deep cleaned

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