The 10K Rule: Spot Profitable AI Opportunities in Seconds

I recently became obsessed with the number 10K for AI projects, and I hope you will too after reading this newsletter.

You see, as everyone rushes to identify more and more AI use cases, they're missing a critical filter that could save them from wasting resources on projects that will never deliver meaningful impact. That filter is what I call the "10K Rule" – a simple but powerful core part of my AI 10K Framework that allows you to separate AI opportunities worth pursuing from those that will only drain your resources.

Today, I'll show you how this rule works and why it's transforming how my clients think about AI projects.

Let's dive in!

Why We Need a Value Filter for AI Projects

Here's something that most organizations get wrong about AI projects: They think about them like traditional IT projects. Build something once, deploy it, maybe do some maintenance, and you're done.

The reality is completely different.

AI projects come with significant ongoing costs that never go away.

Every time your AI solution runs, you're paying for compute resources, API calls, or cloud services. But the real hidden cost is in ongoing model maintenance—as data changes, AI models require constant retraining, fine-tuning, and compliance updates.

Unlike traditional IT projects, where you build something once and it just runs, AI solutions demand continuous oversight. Your models will drift, your business environment will evolve, and regulatory requirements may change. This means AI is never truly "set and forget"—and that's why your investment must generate recurring value to justify itself.

In other words: You're signing up for recurring costs, so you better make sure you're getting recurring value.

Think about it this way: Would you hire a full-time employee to solve a problem that only generates value once? Of course not. So why would you implement an AI solution that does the same?

That's where the 10K rule comes in.

The 10K Rule Explained

10K is what your AI solution should drive in net added value (profit) – after the AI solution was deployed. Recurringly. But why 10K? The number isn't arbitrary—it breaks down to something very tangible:

1. 10K is a great proxy for human labor costs.

   • In many regions, $10K per month is roughly what it costs to employ someone, including salary, benefits, and overhead. That breaks down to about $500 per business day, roughly $60 per hour, or $1 per minute.

2. 10K forces a recurring mindset.

   • The biggest mistake companies make with AI is focusing on one-time benefits. Maybe an AI tool saves $100K once—but then what? The real impact of AI comes from solutions that generate ongoing value:

     • $10K per year → A minimal impact, but still net positive.

     • $10K per quarter → Achievable for most AI-driven process improvements.

     • $10K per month → Starts to make a real business case for AI adoption.

     • $10K per week or per day → Transformational AI projects with enterprise-scale impact.

3. 10K helps you prioritize AI projects that actually matter.

   • Instead of chasing every AI trend, you focus on solving business problems that truly move the needle. AI should generate measurable cost savings, revenue increases, or efficiency gains that exceed the threshold you set.

Applying the 10K Rule to AI Opportunities

Once you've set your 10K threshold (e.g., $10K per month), the next step is to analyze each problem you're considering solving with AI through a brutally honest filter:

1. Can this AI solution generate 10K in recurring revenue?

• Will it bring in new customers worth at least $10K?

• Will it increase conversion rates enough to justify the investment?

• Can it accelerate deal closures and improve cash flow by at least that amount?

2. Can this AI solution reduce costs by 10K+?

• Will it eliminate $10K in wasted labor (e.g., manual data entry, repetitive work)?

• Will it reduce outsourcing or temporary staff expenses?

• Can it prevent $10K+ in compliance fines, rework, or inefficiencies?

3. Can this AI solution unlock 10K+ in missed opportunities?

• Could it free up resources to generate additional value?

• Could it optimize operations to increase throughput?

• Would it remove barriers to scaling your business?

4. Will ignoring this problem cost you 10K+ in risk?

• Will downtime or inefficiencies lead to $10K+ in lost revenue?

• Is your company at risk of non-compliance penalties exceeding $10K?

• Are your competitors gaining an edge worth $10K+ while you hesitate?

By forcing yourself to answer these questions, you'll nuke the fluff, crush AI for AI's sake, and zero in on projects that actually benefit your bottom line.

Many AI ideas sound exciting but fail the 10K test.

A project might improve internal reporting, generate insights, or enhance productivity—but if it doesn't translate to measurable financial gains or cost reductions, it's not a priority.

If a project barely clears your 10K threshold, ask yourself: Is this really the best AI opportunity I could be focusing on? Filtering early saves time and resources, allowing you to double down on high-impact areas.

Real-World 10K Rule Examples

To put this into perspective, let's look at some real-world AI opportunities and how they pass (or fail) the 10K rule.

✅ Good AI Opportunities (Pass the 10K Rule)

🔹 Sales Augmentation:

• AI-driven lead scoring and personalized outreach could increase conversions by 15%, resulting in $10K+ in additional revenue per month.

🔹 AI-Powered Content Repurposing:

• Consultants waste hours adapting presentations for different platforms. Augmenting this saves them 10+ hours per week, allowing them to focus on higher-value client work worth at least $10K per quarter.

🔹 AI Chatbots for Customer Support:

• By handling 50% of customer inquiries, AI reduces customer support labor costs by $10K per month while improving response times.

❌ Bad AI Opportunities (Fail the 10K Rule)

🚫 "Cool" AI Features with No Clear ROI:

• Implementing AI just because it's trendy, without a measurable financial benefit.

🚫 AI-Powered Productivity Gains Without Business Impact:

• A company claims AI makes employees 20% more productive—but if that doesn't translate into more revenue or cost savings, it's just theoretical.

🚫 One-Time AI Wins That Don't Scale:

• If an AI tool saves $100K once, but costs $50K/year to maintain, it's not a sustainable investment unless it generates ongoing value.

What's Your 10K Threshold?

The beauty of the 10K rule is that it's flexible—every business has a different minimum threshold for AI investments.

• A small business might be thrilled with $10K per year in extra profit.

• A mid-sized company may require $10K per quarter to justify AI adoption.

• A large enterprise might not even consider AI projects unless they promise $10K per day ($3.6M per year).

If you're unsure where to start, begin with $10K per quarter. It's an achievable and meaningful target that helps you prioritize the right AI initiatives.

The 10K Rule in Action

Now that you understand the 10K rule, take a look at your business.

🔍 Step 1: Identify your pain points and bottlenecks.
🔍 Step 2: Estimate the financial impact of solving them.
🔍 Step 3: Apply the 10K filter—does this problem exceed your threshold?

If yes, congratulations—you've found an AI-worthy problem! If not, move on and focus on something bigger.

Remember: AI isn't magic. The key is knowing which problems are worth solving with AI— and which ones aren't.

So, next time someone pitches you an AI solution, just ask: "Does this have the potential to add at least $10K in recurring profit?" If the answer is no, walk away. If it's yes, dig deeper.

That's how you filter out the noise and focus on AI projects that truly matter.

See you next Friday!
Tobias