Niche Vertical Software Tool
Small AI software tool built for one type of business, sold monthly
Video published Oct 30, 2026 by Richard Yu
Startup cost: Low startup cost (AI app-building tools, hosting) (our estimate; the video doesn’t give figures)
Source video
Richard Yu · 10 Digital Assets That Pay You Forever - Even If You Stop Working ↗
One of 2 gigs covered in this video
What It Is
Build one narrow tool that fixes one annoying problem for one kind of business and charge a monthly fee, such as a scheduling system made only for driving instructors. The creator says AI app builders now let non-coders create a workable app from a plain-English description, so building is no longer the barrier. It scores well on his checklist because serving 100 customers costs about the same as serving one, you own it outright, and customers rarely cancel once it's part of their routine.
The Pitch
The creator ranks it as the strongest business model on his list for leverage, ownership and repeat revenue, since people don't want to relearn how to do their own job.
Who It’s Best For
Problem-solvers who know a specific trade or profession well and are willing to support a product for years.
The Truth (as we see it)
Vertical software is a proven model, and AI tools do lower the cost of a first version. The creator himself flags the real cost: software breaks, updates from other services break it for you, and customers need help at inconvenient hours, which is why he ranks it second. Selling to small businesses still takes outreach. His list is a ranking video, and he sells his own programs and coaching, promoted in a free workshop at the end.
Our assessment, based on the video and what’s typical across similar videos. We don’t independently verify income claims or prices.
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