How to Monetize Your Side Project

Most side projects start from the same place; a scratch-your-own-itch kind of idea. You build it because you need it. Or because it seemed fun. Or maybe just to learn something new. But once you ship it and people start using it, the question changes: Can this make money?

The short answer is yes. Not everything needs to be a startup, but your side project can definitely cover its own costs. And if you do it right, it can cover a lot more than that. Rent. Food. Maybe even let you quit your job one day. That’s what we call ramen profitability. Not millions, just enough to live, maintain a good lifestyle, and keep building.

This guide is for the in-between builders. Not the VC-backed, but also not the hobbyist tinkering without direction. You’ve built something people like. Now it’s time to figure out how to make it self-sustaining.

Understand What You’ve Actually Built

Before anything else, take a hard look at your project.

• Have they told you it’s valuable?

• If yes, how frequently they use it? Daily/weekly?

• Do you hear “I’d pay for this” in your feedback?

These aren’t hypothetical questions. They’re the foundation for any monetization strategy. If you’re solving a real problem for a specific group of people, you’re already 80% of the way there. Monetization is mostly about aligning the value you're providing with a price someone is willing to pay.

Too many builders skip this step and jump straight to pricing experiments. Don’t do that. Start by understanding your users deeply. Interview them. Watch how they use your product. Read between the lines of their feedback. That’s where the monetization path lives.

You’re not building a unicorn. You’re trying to make your side project cover your basic living expenses. That's ramen profitable. Maybe $500 a month. Maybe $2000. The point is, small wins count.

There’s no single best way to make money. But there are proven models that work for different kinds of side projects.

Pick a Business Model That Matches the Value

Here are the most common ones and when to use them:

Subscription (SaaS)

Best for tools people use regularly to save time, money, or effort.

If your project becomes part of someone’s workflow, they’ll pay to keep it. Charge monthly or annually. Keep it simple. $5, $10, $20 a month. Anchor it against the value you’re providing.

One-time Purchase or Lifetime Deal

Best for single-use tools, templates, resources, or early-stage apps. I will personally start with this!

This is a great way to validate demand and get some cash in the door quickly. Tools like Gumroad, Lemon Squeezy, or Dodo Payments make it easy to set up.

Pay What You Want

Use when you’re unsure of pricing, or when you have an audience that appreciates your work.

This works especially well with open-source tools, personal blogs, design templates, and small dev utilities. You’ll be surprised how often people voluntarily pay when they don’t have to. You can use Buy me a Coffee or GitHub Sponsors.

Affiliate Revenue and Sponsorships

Works well when your project attracts a specific niche audience.

Newsletters, directories, resource sites, and even browser extensions can monetize through partnerships. But don’t start here. This works after you have traction.

Price It Right (And Don’t Be Scared)

The biggest mistake early builders make? Underpricing.

You worry no one will pay, so you charge $1 or give it away for free. But pricing low doesn’t guarantee usage. And it definitely doesn’t validate your product.

Here’s a better way to think about it:

• If no one pays $10, they probably won’t pay $1 either.

• If one person pays $50, ten more will likely pay the same or more.

Start with a price that feels slightly uncomfortable. If you’re confident it delivers value, don’t be afraid to charge what it’s worth.

You can always lower the price later. It’s harder to raise it.

Get Your First Paying Users Manually

Forget scaling for now. Your first goal is not 1000 users. It’s 3. Just start with 3 paying users. Reach out directly to your power users. Ask them:

• What are you using it for?

• What’s the most valuable part?

• Would you pay to keep using it? If yes, how much?

Then, give them a way to pay. Even if it’s a Notion page and a Stripe link. That’s enough.

The first few paying users are everything. They validate the product, the pricing, and the need. They’re also the people who will give you the most honest feedback to improve it. And they're also the people who will promote your product out of good will. Free word-of-mouth marketing, social proof, and organic growth!

Turn Feedback into Revenue

Once people start paying, pay attention. What are they asking for? What do they complain about? What features would they upgrade for?

This is where you shift from side project to small business.

You’re not just building what’s fun anymore. You’re prioritizing what adds value, what makes users stay, and what gets new people to convert.

That doesn’t mean you have to become a full-time support desk. It just means you’re listening closely and shipping deliberately.

Every small improvement should push one of these levers:

• Increase growth (conversion).

• Increase retention.

• Increase monetization (or willingness to pay).

Build in Public (if you're comfortable)

Talking about your project online helps in two ways:

1. It builds trust with potential users.

2. It creates opportunities for partnerships, feedback, and visibility.

Share what you’re building. Talk about pricing decisions. Be honest about wins and struggles. You’ll attract people who believe in what you’re doing — and they’re often the first to pay or spread the word.

Platforms like Twitter, Reddit, Indie Hackers, and even LinkedIn work well. Just be consistent.

Think Beyond Just One Product

Once your side project is making a little money, it becomes a foundation — not just an endpoint.

You now have a few powerful assets:

• An audience

• A validated idea

• A distribution channel

That’s leverage.

You can sell adjacent products. Offer consulting. Launch a newsletter. Turn your learnings into a paid course. The first dollar is hard. The next ten come easier.

What looks like a tiny side project today could become your personal brand, your business, or your full-time freedom.

Closing note

Most people overestimate what it takes to start making money, and underestimate how far small wins can go.

Monetizing a side project is not about chasing viral growth or trying to get rich overnight. It’s about building something valuable enough that people are willing to pay. Then improving it until it pays you enough to keep going.

You don’t need millions of users.
You don’t need to go full-time.
You don’t need permission.

You just need to start treating your project like something real. Because once people start paying, it becomes real. I will highly recommend to read: Why Most Things You Build Die (Project vs Product Mindset)

TL;DR

• Understand your users before you try to monetize.

• Choose a business model that matches how they use your product.

• Don’t be afraid to charge what it’s worth.

• Your first few paying users matter more than your first 100 free ones.

• Iterate based on feedback and aim for ramen profitability, not unicorn scale.

• Build in public, stay consistent, and reinvest what you learn.

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