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Would you like to inspect the original subtitles? These are the user uploaded subtitles that are being translated: 1 00:09:16,800 --> 00:09:19,279 All right, 2 00:09:19,279 --> 00:09:20,800 everyone rocking and rolling. Everyone 3 00:09:20,800 --> 00:09:23,360 excited? Um hopefully you're as excited 4 00:09:23,360 --> 00:09:27,760 as I am uh to get to get going. Um I 5 00:09:27,760 --> 00:09:29,680 want to warn you first first and 6 00:09:29,680 --> 00:09:32,160 foremost up front. Um today will be 7 00:09:32,160 --> 00:09:35,440 conceptually significantly denser um 8 00:09:35,440 --> 00:09:39,360 than the last time you saw me talk. Uh, 9 00:09:39,360 --> 00:09:41,040 and so I just want to kind of have you 10 00:09:41,040 --> 00:09:42,880 mentally prepared for that. 11 00:09:42,880 --> 00:09:45,279 Additionally, I would consider having 12 00:09:45,279 --> 00:09:46,800 something up from a note-taking 13 00:09:46,800 --> 00:09:48,399 perspective. You guys all have access to 14 00:09:48,399 --> 00:09:50,880 the recordings here um, when we're done 15 00:09:50,880 --> 00:09:54,160 today, but uh, we have a lot to go over 16 00:09:54,160 --> 00:09:55,920 and I'm going to try and pack it in as a 17 00:09:55,920 --> 00:09:58,160 short period of time as possible. And so 18 00:09:58,160 --> 00:09:59,600 with each of the concepts that I'm going 19 00:09:59,600 --> 00:10:02,399 to outline around scaling, I'm going to 20 00:10:02,399 --> 00:10:03,920 try and provide as many examples as I 21 00:10:03,920 --> 00:10:05,760 can so that it can hopefully be relevant 22 00:10:05,760 --> 00:10:08,480 to you. And so that's kind of the 23 00:10:08,480 --> 00:10:11,600 general gist. And so we'll have kind of 24 00:10:11,600 --> 00:10:13,680 four portions of today. The first is 25 00:10:13,680 --> 00:10:15,040 kind of setting the frame for how to 26 00:10:15,040 --> 00:10:17,600 think through the rest of the day. Uh 27 00:10:17,600 --> 00:10:19,200 the second is going to be walking 28 00:10:19,200 --> 00:10:21,279 through basically the constraint 29 00:10:21,279 --> 00:10:23,279 framework that I have never shared yet. 30 00:10:23,279 --> 00:10:25,360 Um and part of that was in developing 31 00:10:25,360 --> 00:10:28,240 this workshop. I had to think through 32 00:10:28,240 --> 00:10:30,640 how do I actually approach a lot of 33 00:10:30,640 --> 00:10:31,920 different businesses to deconstrain 34 00:10:31,920 --> 00:10:34,240 them. And it turned out it was a very 35 00:10:34,240 --> 00:10:36,480 very large decision tree. But I was able 36 00:10:36,480 --> 00:10:38,640 to break it into um chunks that are 37 00:10:38,640 --> 00:10:40,640 really manageable. Uh and so that'll be 38 00:10:40,640 --> 00:10:43,040 kind of the second portion. The third 39 00:10:43,040 --> 00:10:44,959 portion will be taking those constraints 40 00:10:44,959 --> 00:10:46,720 and then applying them in a supply 41 00:10:46,720 --> 00:10:48,399 constraint dynamic. So some of you guys 42 00:10:48,399 --> 00:10:49,519 are demand constraint, some of you guys 43 00:10:49,519 --> 00:10:51,200 are supply constrained, meaning demand 44 00:10:51,200 --> 00:10:52,480 constraint means you don't you know 45 00:10:52,480 --> 00:10:54,160 you've got capacity but you need you 46 00:10:54,160 --> 00:10:55,680 need more customers. Supply constraint 47 00:10:55,680 --> 00:10:57,360 is you wish you could take on more 48 00:10:57,360 --> 00:10:59,440 customers but you can't because you've 49 00:10:59,440 --> 00:11:00,800 got other issues. And so we'll talk 50 00:11:00,800 --> 00:11:03,120 about that as kind of the third portion. 51 00:11:03,120 --> 00:11:04,800 Um, the fourth portion is going to be 52 00:11:04,800 --> 00:11:06,079 all around the implementation with the 53 00:11:06,079 --> 00:11:08,160 AI and the tools. And so I'll give you a 54 00:11:08,160 --> 00:11:09,519 handful of what I would consider like 55 00:11:09,519 --> 00:11:11,839 pre-anned 56 00:11:11,839 --> 00:11:14,560 stacks of playbooks and solutions that I 57 00:11:14,560 --> 00:11:16,800 see as very typical combinations of 58 00:11:16,800 --> 00:11:19,200 things that have to happen in specific 59 00:11:19,200 --> 00:11:21,760 types of businesses. Um, and then after 60 00:11:21,760 --> 00:11:23,200 that, we're just going to do some live 61 00:11:23,200 --> 00:11:25,360 ones uh to just walk through the exact 62 00:11:25,360 --> 00:11:26,560 same framework over and over and over 63 00:11:26,560 --> 00:11:28,160 again so I can give you ideally as many 64 00:11:28,160 --> 00:11:30,320 examples as I can. Uh, so you can be 65 00:11:30,320 --> 00:11:32,480 like, that's what I need to do. This is 66 00:11:32,480 --> 00:11:33,760 the order I'm going to do in and I'm 67 00:11:33,760 --> 00:11:36,640 good to go. Rock and roll. And yes, that 68 00:11:36,640 --> 00:11:40,000 is the Iron Man cave in the background. 69 00:11:40,000 --> 00:11:43,920 All right, so uh let's rock. Also, um 70 00:11:43,920 --> 00:11:46,480 I'm going to be using these a lot more 71 00:11:46,480 --> 00:11:48,640 today. And so this will be a little bit 72 00:11:48,640 --> 00:11:50,000 more of a hybrid because I think that'll 73 00:11:50,000 --> 00:11:52,480 be engaging. So I'll kind of alternate 74 00:11:52,480 --> 00:11:54,000 between the slides and the whiteboards 75 00:11:54,000 --> 00:11:56,959 back and forth. Um and I think hopefully 76 00:11:56,959 --> 00:11:58,800 it should be awesome. And if it isn't, 77 00:11:58,800 --> 00:12:01,519 then you can tell me it's awesome. So I 78 00:12:01,519 --> 00:12:03,279 feel you know good on the inside. All 79 00:12:03,279 --> 00:12:05,600 right. So without further ado uh the 80 00:12:05,600 --> 00:12:06,880 scaling implementation workshop 81 00:12:06,880 --> 00:12:08,880 constraints leverage and playbooks. All 82 00:12:08,880 --> 00:12:11,760 right. And so if I think about what 83 00:12:11,760 --> 00:12:13,200 we're trying to accomplish if I see 84 00:12:13,200 --> 00:12:14,639 learning as a change of behavior then 85 00:12:14,639 --> 00:12:15,920 there's really three core behavior 86 00:12:15,920 --> 00:12:17,279 changes that we're we're looking to do 87 00:12:17,279 --> 00:12:20,079 today. So number one is uh change your 88 00:12:20,079 --> 00:12:22,800 behavior in one way which is maximizing 89 00:12:22,800 --> 00:12:25,279 leverage. Uh that's number one. So, if I 90 00:12:25,279 --> 00:12:27,760 can just get everyone here to allocate 91 00:12:27,760 --> 00:12:28,720 your attention to the things that 92 00:12:28,720 --> 00:12:30,320 maximize leverage, you will get the 93 00:12:30,320 --> 00:12:32,800 highest return possible. Number two is I 94 00:12:32,800 --> 00:12:36,160 want to increase your odds of success of 95 00:12:36,160 --> 00:12:37,519 utilizing leverage by selecting the 96 00:12:37,519 --> 00:12:38,959 correct playbook and executing what's 97 00:12:38,959 --> 00:12:42,320 inside. And then goal number three is to 98 00:12:42,320 --> 00:12:43,839 increase your conviction around your 99 00:12:43,839 --> 00:12:46,079 selection and then use the AI tools uh 100 00:12:46,079 --> 00:12:48,720 by showing proof uh and use of outcomes. 101 00:12:48,720 --> 00:12:50,079 me actually demonstrating in front of 102 00:12:50,079 --> 00:12:51,600 you so you can feel really confident 103 00:12:51,600 --> 00:12:53,120 that this isn't some complex thing that 104 00:12:53,120 --> 00:12:54,800 you can actually just use this stuff. 105 00:12:54,800 --> 00:12:56,160 All right, so that's that's it. Like if 106 00:12:56,160 --> 00:13:00,079 we accomplish this, I'm stoked. Okay, so 107 00:13:00,079 --> 00:13:01,760 part one is around constraints, 108 00:13:01,760 --> 00:13:03,200 leverage, and compounding. And I see 109 00:13:03,200 --> 00:13:05,839 these as the core elements of business, 110 00:13:05,839 --> 00:13:07,920 right? Every business has a constraint. 111 00:13:07,920 --> 00:13:09,760 Uh we need to deconstrain it. In order 112 00:13:09,760 --> 00:13:11,200 to deconstrain it more effectively, we 113 00:13:11,200 --> 00:13:13,120 use leverage. If we do that uh 114 00:13:13,120 --> 00:13:14,480 successfully from a model perspective, 115 00:13:14,480 --> 00:13:16,320 we achieve compounding. If we do those 116 00:13:16,320 --> 00:13:17,519 three things, we have a business that 117 00:13:17,519 --> 00:13:19,760 will continue to grow. All right? And 118 00:13:19,760 --> 00:13:21,680 so, um, obviously some of you guys have 119 00:13:21,680 --> 00:13:23,200 consumed most of my stuff, but I almost 120 00:13:23,200 --> 00:13:24,959 always start with this because I like to 121 00:13:24,959 --> 00:13:27,279 set the precedent that 122 00:13:27,279 --> 00:13:29,920 it's very easy to get entertained by 123 00:13:29,920 --> 00:13:32,639 business content, right? And the 124 00:13:32,639 --> 00:13:33,600 difference between people who are 125 00:13:33,600 --> 00:13:34,880 entertained by business content and 126 00:13:34,880 --> 00:13:36,560 people who do business is that they 127 00:13:36,560 --> 00:13:38,160 actually change your behavior. And so, 128 00:13:38,160 --> 00:13:39,680 if after this you go back to the same 129 00:13:39,680 --> 00:13:42,639 conditions of wherever you're at and you 130 00:13:42,639 --> 00:13:44,000 don't change your behavior, you learned 131 00:13:44,000 --> 00:13:45,760 nothing. this was functionally just 132 00:13:45,760 --> 00:13:47,200 entertainment for you, which is fine if 133 00:13:47,200 --> 00:13:48,000 that's what you're, you know, that's 134 00:13:48,000 --> 00:13:50,720 what you signed up for. But, um, I think 135 00:13:50,720 --> 00:13:52,800 there are more effective ways, you know, 136 00:13:52,800 --> 00:13:55,680 to be entertained. Um, and so that being 137 00:13:55,680 --> 00:13:57,920 said, same conditions, new behavior, you 138 00:13:57,920 --> 00:13:59,440 turn off the computer, you look back, 139 00:13:59,440 --> 00:14:00,800 you're at home, you're at your 140 00:14:00,800 --> 00:14:03,040 workplace, whatever. If nothing changes, 141 00:14:03,040 --> 00:14:04,639 you learned nothing. So, I would 142 00:14:04,639 --> 00:14:06,000 encourage you to be very clear about the 143 00:14:06,000 --> 00:14:08,240 actions you plan to take after this uh, 144 00:14:08,240 --> 00:14:10,800 and even during today. All right. So my 145 00:14:10,800 --> 00:14:14,240 classic example of this is phone rings 146 00:14:14,240 --> 00:14:17,360 and you do you pick up and you say XYZ. 147 00:14:17,360 --> 00:14:19,760 If I say hey here's a script and then 148 00:14:19,760 --> 00:14:21,600 the phone rings and then you say XYZ 149 00:14:21,600 --> 00:14:23,120 again it means you learned nothing. If 150 00:14:23,120 --> 00:14:25,199 you now say the script then you learned 151 00:14:25,199 --> 00:14:26,880 something and specifically the script 152 00:14:26,880 --> 00:14:31,360 itself right and so that is a behavior 153 00:14:31,360 --> 00:14:33,839 change. So if we're talking about the 154 00:14:33,839 --> 00:14:36,240 skills of business right skills are 155 00:14:36,240 --> 00:14:38,560 actually a chain of adaptive behaviors. 156 00:14:38,560 --> 00:14:40,720 And so that is one behavior that I just 157 00:14:40,720 --> 00:14:42,160 mentioned. But if you chain multiple 158 00:14:42,160 --> 00:14:44,000 behaviors together, then you get a 159 00:14:44,000 --> 00:14:46,000 skill. All right? And so skills are 160 00:14:46,000 --> 00:14:48,639 chunked. And so this is why I think it's 161 00:14:48,639 --> 00:14:50,240 so difficult for sometimes for people to 162 00:14:50,240 --> 00:14:52,480 grasp uh or why they they can't get 163 00:14:52,480 --> 00:14:53,680 their employees to do something is 164 00:14:53,680 --> 00:14:55,519 because they talk in terms that are too 165 00:14:55,519 --> 00:14:57,199 chunked up. And I think the reason that 166 00:14:57,199 --> 00:14:58,720 the content that I've had has done, I 167 00:14:58,720 --> 00:15:00,880 would say, disproportionately well um 168 00:15:00,880 --> 00:15:02,639 has been because I try to put a lot of 169 00:15:02,639 --> 00:15:04,480 effort into chunking and breaking down 170 00:15:04,480 --> 00:15:06,240 concepts. And so here's a couple 171 00:15:06,240 --> 00:15:08,639 examples. So if someone's good at 172 00:15:08,639 --> 00:15:09,760 basketball, it's like no one can 173 00:15:09,760 --> 00:15:11,440 actually be good at basketball. What it 174 00:15:11,440 --> 00:15:13,360 is is they're good at a series of 175 00:15:13,360 --> 00:15:15,519 chunked up skills. So like underneath of 176 00:15:15,519 --> 00:15:16,560 basketball, you've got dribbling, 177 00:15:16,560 --> 00:15:18,320 shooting, and passing. And each of in 178 00:15:18,320 --> 00:15:20,000 within those, you've got free throws, 179 00:15:20,000 --> 00:15:21,600 you've got uh you know, three-pointers, 180 00:15:21,600 --> 00:15:22,880 you've got jump shots, you got bank 181 00:15:22,880 --> 00:15:24,000 shots, you've got hooks, you got all 182 00:15:24,000 --> 00:15:25,519 these different types of things. And so 183 00:15:25,519 --> 00:15:26,639 you have to keep breaking these down 184 00:15:26,639 --> 00:15:27,839 until you finally get to the most 185 00:15:27,839 --> 00:15:30,560 rudimentary level. But business works 186 00:15:30,560 --> 00:15:32,240 the same way, right? So it's like this 187 00:15:32,240 --> 00:15:33,519 guy's good at business. Every I think 188 00:15:33,519 --> 00:15:34,639 all of us want to be good at quote 189 00:15:34,639 --> 00:15:35,839 business. But if I were to direct 190 00:15:35,839 --> 00:15:38,079 someone, hey, learn business, it's like 191 00:15:38,079 --> 00:15:39,519 what does that mean? Right? And so 192 00:15:39,519 --> 00:15:40,639 within business, you've got marketing, 193 00:15:40,639 --> 00:15:41,600 you got sales, you got product, you got 194 00:15:41,600 --> 00:15:45,120 hiring, etc. And so what we what we seek 195 00:15:45,120 --> 00:15:46,639 to do is create the meta skills that 196 00:15:46,639 --> 00:15:48,800 then generalize across functions. All 197 00:15:48,800 --> 00:15:50,639 right? So like reading, writing, and 198 00:15:50,639 --> 00:15:52,320 speaking then allow you to learn stuff 199 00:15:52,320 --> 00:15:54,320 which allow you to figure stuff out, 200 00:15:54,320 --> 00:15:57,440 right? And in a sports context, hand eye 201 00:15:57,440 --> 00:15:58,720 coordination allows you to be pretty 202 00:15:58,720 --> 00:15:59,839 good at most sports which then 203 00:15:59,839 --> 00:16:01,920 generalize into basketball. And so what 204 00:16:01,920 --> 00:16:03,199 makes one person more successful than 205 00:16:03,199 --> 00:16:06,560 another given the same same directives? 206 00:16:06,560 --> 00:16:07,920 And this my whole goal here is to 207 00:16:07,920 --> 00:16:09,120 maximize likelihood of your success 208 00:16:09,120 --> 00:16:11,040 here. If you have the same directives 209 00:16:11,040 --> 00:16:12,240 and one person wins and one person 210 00:16:12,240 --> 00:16:13,440 doesn't, it's because they typically 211 00:16:13,440 --> 00:16:15,519 have other skills that were not taught 212 00:16:15,519 --> 00:16:17,839 by whatever the implementation was. And 213 00:16:17,839 --> 00:16:19,360 so this is fundamentally why results 214 00:16:19,360 --> 00:16:21,680 vary. All right? And so success, so if 215 00:16:21,680 --> 00:16:23,519 you want to write something down, 216 00:16:23,519 --> 00:16:25,839 success stops where you don't know how 217 00:16:25,839 --> 00:16:28,639 to do something. That is where it stops. 218 00:16:28,639 --> 00:16:29,519 Right? All right. So, if you imagine 219 00:16:29,519 --> 00:16:30,720 you've got, you know, you on one side 220 00:16:30,720 --> 00:16:31,759 and where you want to be on the other 221 00:16:31,759 --> 00:16:33,360 side, you've got these kind of logs that 222 00:16:33,360 --> 00:16:34,880 you have to jump from from thing to 223 00:16:34,880 --> 00:16:36,800 thing to thing to get across. But if you 224 00:16:36,800 --> 00:16:38,160 finally get to a spot where there's no 225 00:16:38,160 --> 00:16:39,839 log, which is functionally like you 226 00:16:39,839 --> 00:16:41,680 don't know what to do there, then you 227 00:16:41,680 --> 00:16:43,519 fall or you just stop and say, I don't 228 00:16:43,519 --> 00:16:46,880 want to die, right? And so, um, the goal 229 00:16:46,880 --> 00:16:48,720 is to basically try and fill up as many 230 00:16:48,720 --> 00:16:51,120 of those holes as humanly possible. And 231 00:16:51,120 --> 00:16:52,720 so, 232 00:16:52,720 --> 00:16:54,399 it's foundational. I like to state this 233 00:16:54,399 --> 00:16:56,000 obvious point because many of you also 234 00:16:56,000 --> 00:16:57,199 are in the space where you have to 235 00:16:57,199 --> 00:16:58,720 educate your customers. you have to 236 00:16:58,720 --> 00:17:00,560 educate an audience whether it's you 237 00:17:00,560 --> 00:17:01,680 know in your marketing you have to 238 00:17:01,680 --> 00:17:04,000 educate uh your employees so we we are 239 00:17:04,000 --> 00:17:06,000 all fundamentally educators in some some 240 00:17:06,000 --> 00:17:08,480 degree to or another right and so it's 241 00:17:08,480 --> 00:17:10,880 like why do two people come in and some 242 00:17:10,880 --> 00:17:13,199 people succeed and some people don't and 243 00:17:13,199 --> 00:17:16,079 so like in the example I'm using here 244 00:17:16,079 --> 00:17:17,760 because we only have a limited amount of 245 00:17:17,760 --> 00:17:20,160 time in general with any individual 246 00:17:20,160 --> 00:17:23,199 audience etc right and so if some people 247 00:17:23,199 --> 00:17:24,880 get results and some people see no 248 00:17:24,880 --> 00:17:26,400 results 249 00:17:26,400 --> 00:17:28,559 then the issue is that there is going to 250 00:17:28,559 --> 00:17:30,799 be a gap in their knowledge base, right? 251 00:17:30,799 --> 00:17:32,880 And so if we wanted to get 100% and I 252 00:17:32,880 --> 00:17:35,600 mean truly 100% of people results, which 253 00:17:35,600 --> 00:17:37,360 is possible, I I fundamentally believe 254 00:17:37,360 --> 00:17:39,919 that's possible. The thing is is it 255 00:17:39,919 --> 00:17:42,240 worth it? Because if I were to try if I 256 00:17:42,240 --> 00:17:43,760 were to try to approximate that, I would 257 00:17:43,760 --> 00:17:45,600 need to re-educate everyone from K to 258 00:17:45,600 --> 00:17:47,280 12, right, from kindergarten all the way 259 00:17:47,280 --> 00:17:48,960 to 12th grade, get everyone the 260 00:17:48,960 --> 00:17:50,480 foundations first of like here's how you 261 00:17:50,480 --> 00:17:51,760 read, here's how you do math, here's how 262 00:17:51,760 --> 00:17:52,880 you speak, here's how you think, here's 263 00:17:52,880 --> 00:17:54,960 how you make make decisions, right? And 264 00:17:54,960 --> 00:17:56,640 so 265 00:17:56,640 --> 00:17:58,400 almost none of us can say that it is 266 00:17:58,400 --> 00:18:00,000 worth it for us to do that for like 267 00:18:00,000 --> 00:18:01,600 let's say an employee who comes in. You 268 00:18:01,600 --> 00:18:02,799 expect they know how to turn on a 269 00:18:02,799 --> 00:18:03,919 computer. You expect they know how to 270 00:18:03,919 --> 00:18:05,200 use an iPhone. You expect that they know 271 00:18:05,200 --> 00:18:07,120 how to use the internet. Expect how to 272 00:18:07,120 --> 00:18:09,440 send an email. And so at some level we 273 00:18:09,440 --> 00:18:10,799 have to cut off and say these are the 274 00:18:10,799 --> 00:18:12,480 requisites in order to be an employee. 275 00:18:12,480 --> 00:18:14,400 These are the requisites in order to be 276 00:18:14,400 --> 00:18:17,440 a customer. Right? And so um I use this 277 00:18:17,440 --> 00:18:19,039 as an extreme example here but if you 278 00:18:19,039 --> 00:18:20,480 can't read it doesn't matter how good my 279 00:18:20,480 --> 00:18:22,400 books are. Right? If you can't stay 280 00:18:22,400 --> 00:18:23,679 focused, it doesn't matter what the 281 00:18:23,679 --> 00:18:24,720 tactics are because you're not going to 282 00:18:24,720 --> 00:18:26,080 stick with it long enough, which is a 283 00:18:26,080 --> 00:18:28,320 whole other basket of skills. If no one 284 00:18:28,320 --> 00:18:29,440 likes you, it's going to be very 285 00:18:29,440 --> 00:18:32,720 difficult for you to attract key talent. 286 00:18:32,720 --> 00:18:34,400 And so, the reality is that results vary 287 00:18:34,400 --> 00:18:35,679 based on your background, education, 288 00:18:35,679 --> 00:18:36,880 experience, and application. And this is 289 00:18:36,880 --> 00:18:38,400 not an FTC compliance thing. This is me 290 00:18:38,400 --> 00:18:40,799 just like being like upfront about why 291 00:18:40,799 --> 00:18:42,559 results vary between people. And I think 292 00:18:42,559 --> 00:18:44,160 it's worth understanding this because 293 00:18:44,160 --> 00:18:45,520 the thing is is that this allows you to 294 00:18:45,520 --> 00:18:47,200 take ownership. I'm very proud of the 295 00:18:47,200 --> 00:18:48,320 fact that I've been pretty much every 296 00:18:48,320 --> 00:18:50,000 single thing I've ever bought's biggest 297 00:18:50,000 --> 00:18:52,320 success story. And the reality is that 298 00:18:52,320 --> 00:18:53,760 it's not because and like this is 299 00:18:53,760 --> 00:18:56,160 hopefully not in a self agrandizing way, 300 00:18:56,160 --> 00:18:59,520 but if they work with 20 people and I 301 00:18:59,520 --> 00:19:01,280 have the best results, then it means 302 00:19:01,280 --> 00:19:03,280 that I have other skills that the other 303 00:19:03,280 --> 00:19:05,520 19 people didn't have. And as a result, 304 00:19:05,520 --> 00:19:07,360 those additional skills 305 00:19:07,360 --> 00:19:09,120 disproportionately contributed to the 306 00:19:09,120 --> 00:19:13,600 outcome. That's the difference. 307 00:19:13,600 --> 00:19:15,039 And so if we think about learning as a 308 00:19:15,039 --> 00:19:17,840 bridge, every step is needed, right? 309 00:19:17,840 --> 00:19:19,280 Like you can't skip a step to get 310 00:19:19,280 --> 00:19:20,640 across. Like you have to have every 311 00:19:20,640 --> 00:19:22,640 single foundational piece and so the 312 00:19:22,640 --> 00:19:24,559 more general skills you have the more 313 00:19:24,559 --> 00:19:26,480 gaps you can fill when someone provides 314 00:19:26,480 --> 00:19:28,559 incomplete information which is the vast 315 00:19:28,559 --> 00:19:30,480 all of us provide incomplete information 316 00:19:30,480 --> 00:19:31,840 right otherwise we literally have to 317 00:19:31,840 --> 00:19:34,000 start at zero and start at goooo gaga 318 00:19:34,000 --> 00:19:36,720 and then go all the way to coding AI 319 00:19:36,720 --> 00:19:38,080 right it's just we don't have the time 320 00:19:38,080 --> 00:19:40,240 to do it so if you're going to do any 321 00:19:40,240 --> 00:19:41,520 kind of implementation I like to 322 00:19:41,520 --> 00:19:43,039 approach it from the perspective of what 323 00:19:43,039 --> 00:19:45,039 skills do I lack or what things do I 324 00:19:45,039 --> 00:19:46,880 need to fill in the gaps for in order to 325 00:19:46,880 --> 00:19:48,480 be successful and the moment where I get 326 00:19:48,480 --> 00:19:50,000 stuck is oh there's something I don't 327 00:19:50,000 --> 00:19:51,760 know how to do and therefore my ability 328 00:19:51,760 --> 00:19:54,400 to figure it out becomes very important 329 00:19:54,400 --> 00:19:57,760 and so your results will be proportional 330 00:19:57,760 --> 00:20:01,679 to your existing domain skill period and 331 00:20:01,679 --> 00:20:03,440 so that makes the ability to figure out 332 00:20:03,440 --> 00:20:05,280 one of the most important skills to have 333 00:20:05,280 --> 00:20:08,720 it's a meta skill right and so um what's 334 00:20:08,720 --> 00:20:10,000 interesting about this is that if you 335 00:20:10,000 --> 00:20:12,320 say hey um hey Alex can you build a 336 00:20:12,320 --> 00:20:14,559 business I could say okay that's a very 337 00:20:14,559 --> 00:20:18,720 general uh request right but then I just 338 00:20:18,720 --> 00:20:20,480 have a big background of other skills, a 339 00:20:20,480 --> 00:20:22,480 big bucket of skills behind me. Now, to 340 00:20:22,480 --> 00:20:23,440 the same degree, if you go to Michael 341 00:20:23,440 --> 00:20:24,880 Jordan and say, "Hey, just win." He 342 00:20:24,880 --> 00:20:27,520 could, right? But you tell that to a 343 00:20:27,520 --> 00:20:28,880 5-year-old and you're like, "Just win." 344 00:20:28,880 --> 00:20:30,080 And they're like, "But how do I tie my 345 00:20:30,080 --> 00:20:32,480 shoes?" Right? It's like we have to 346 00:20:32,480 --> 00:20:34,240 start where the person's at. And again, 347 00:20:34,240 --> 00:20:36,960 I put this as a preframe for today just 348 00:20:36,960 --> 00:20:41,200 to set the context. And so, as an aside, 349 00:20:41,200 --> 00:20:42,799 um, a really good framework. So, this is 350 00:20:42,799 --> 00:20:44,799 a first of of a few frameworks that I'll 351 00:20:44,799 --> 00:20:46,320 share with you just kind of ad hoc as we 352 00:20:46,320 --> 00:20:48,799 go through this, but let's say that 353 00:20:48,799 --> 00:20:50,799 you're looking at, uh, you know, two 354 00:20:50,799 --> 00:20:52,640 potential people. Uh, you've got, you 355 00:20:52,640 --> 00:20:54,640 know, hire one 356 00:20:54,640 --> 00:20:57,360 and you've got hire two. 357 00:20:57,360 --> 00:20:58,960 And this is super important for many of 358 00:20:58,960 --> 00:21:00,960 you who have employees, uh, or would 359 00:21:00,960 --> 00:21:02,240 like to have employees at some point in 360 00:21:02,240 --> 00:21:05,520 the future. So let's say this person is 361 00:21:05,520 --> 00:21:08,960 uh I just this is the classic attitude 362 00:21:08,960 --> 00:21:13,039 attitude. There we go. Uh aptitude uh 363 00:21:13,039 --> 00:21:14,480 dynamic. I'm sure you guys have probably 364 00:21:14,480 --> 00:21:18,799 heard the statement um hire for attitude 365 00:21:18,799 --> 00:21:21,200 and then train aptitude something to 366 00:21:21,200 --> 00:21:23,520 that degree, right? And then this one 367 00:21:23,520 --> 00:21:24,960 let's just say this guy has great 368 00:21:24,960 --> 00:21:26,480 attitude and doesn't have the best 369 00:21:26,480 --> 00:21:29,200 skills and this guy has uh you know 370 00:21:29,200 --> 00:21:30,960 doesn't have the best attitude but has 371 00:21:30,960 --> 00:21:34,480 the skills. Okay. So if you're looking 372 00:21:34,480 --> 00:21:37,440 at this, which would you hire? Now 373 00:21:37,440 --> 00:21:41,039 depending on the uh the answer, the 374 00:21:41,039 --> 00:21:42,480 actual answer here is that it depends on 375 00:21:42,480 --> 00:21:46,159 the nature of the role. But the the the 376 00:21:46,159 --> 00:21:51,840 single golden truth is that you hire 377 00:21:51,840 --> 00:21:56,200 for the smallest skill deficiency. 378 00:21:57,760 --> 00:22:00,400 And so what that means is 379 00:22:00,400 --> 00:22:03,120 if I have hire one and hire two, right? 380 00:22:03,120 --> 00:22:04,960 If I have something that the aptitude 381 00:22:04,960 --> 00:22:07,600 that I'm trying to teach takes, 382 00:22:07,600 --> 00:22:10,080 you know, a day, I'm for sure going to 383 00:22:10,080 --> 00:22:11,760 hire for attitude. Because for me to 384 00:22:11,760 --> 00:22:13,760 teach someone to like be kind, be 385 00:22:13,760 --> 00:22:15,919 respectful, smile, be nice, all that 386 00:22:15,919 --> 00:22:17,760 kind of stuff, which are all chunked up 387 00:22:17,760 --> 00:22:19,039 terms that have many, many skills 388 00:22:19,039 --> 00:22:21,280 underneath of them, then for sure I'm 389 00:22:21,280 --> 00:22:23,039 gonna say, well, I could teach this in a 390 00:22:23,039 --> 00:22:25,760 day. This would take me years. So I I 391 00:22:25,760 --> 00:22:27,440 don't want to do that. So, I'm going to 392 00:22:27,440 --> 00:22:29,840 hire for the small skilled efficiency. 393 00:22:29,840 --> 00:22:32,000 Now, let's flip it over. If I'm trying 394 00:22:32,000 --> 00:22:36,400 to hire the foremost AI researcher, 395 00:22:36,400 --> 00:22:37,919 and I'm saying, okay, well, this guy's, 396 00:22:37,919 --> 00:22:40,159 you know, a bit weird, you know, I mean, 397 00:22:40,159 --> 00:22:42,240 keeps to himself, bit in the closet. 398 00:22:42,240 --> 00:22:43,600 That sounds a bit weird. Not like that. 399 00:22:43,600 --> 00:22:45,760 Calm down. Okay. You know, we've got 400 00:22:45,760 --> 00:22:47,600 this attitude uh bit of an attitude 401 00:22:47,600 --> 00:22:50,000 issue, but man, the guy really knows. 402 00:22:50,000 --> 00:22:51,600 Well, if I had another guy who's there 403 00:22:51,600 --> 00:22:52,880 who's like, well, he doesn't really know 404 00:22:52,880 --> 00:22:55,760 the AI that well, um, but he's a really 405 00:22:55,760 --> 00:22:58,400 great guy, who do you hire? Well, it 406 00:22:58,400 --> 00:23:00,400 depends on the role. And specifically 407 00:23:00,400 --> 00:23:02,320 with this one, it would cost me way more 408 00:23:02,320 --> 00:23:04,080 time to to teach somebody who's a nice 409 00:23:04,080 --> 00:23:06,480 person who who works hard how to do AI 410 00:23:06,480 --> 00:23:08,559 research versus trying to get this guy 411 00:23:08,559 --> 00:23:10,559 who really knows AI how to just smile 412 00:23:10,559 --> 00:23:11,919 every once in a while and not call 413 00:23:11,919 --> 00:23:14,559 everyone a dick or an idiot, right? And 414 00:23:14,559 --> 00:23:16,640 so this is fundamentally how I like to 415 00:23:16,640 --> 00:23:18,880 approach hiring when I'm thinking about 416 00:23:18,880 --> 00:23:20,880 specific roles. If you deal with what I 417 00:23:20,880 --> 00:23:22,640 would consider to be lowkilled roles, 418 00:23:22,640 --> 00:23:24,159 then it's absolutely true that attitude 419 00:23:24,159 --> 00:23:25,919 over aptitude for sure because there's 420 00:23:25,919 --> 00:23:28,240 so many more skills here, right? The 421 00:23:28,240 --> 00:23:29,840 more high-skilled, the more high 422 00:23:29,840 --> 00:23:33,039 aptitude you require for a role, then 423 00:23:33,039 --> 00:23:34,880 the more uh the more that will matter 424 00:23:34,880 --> 00:23:37,600 more than trying to and the thing is is 425 00:23:37,600 --> 00:23:39,200 you'll start to learn how to train 426 00:23:39,200 --> 00:23:41,200 attitude, right? because you'll see 427 00:23:41,200 --> 00:23:43,679 attitude as just a bucket of behaviors 428 00:23:43,679 --> 00:23:45,360 of like, okay, what are the things that 429 00:23:45,360 --> 00:23:46,400 increase the likelihood that people 430 00:23:46,400 --> 00:23:48,000 don't complain about you? What are the 431 00:23:48,000 --> 00:23:49,039 things that increase the likelihood that 432 00:23:49,039 --> 00:23:50,080 people like you? Okay, well, it turns 433 00:23:50,080 --> 00:23:51,120 out there's only like, you know, six or 434 00:23:51,120 --> 00:23:52,559 seven things that you have to do on a 435 00:23:52,559 --> 00:23:54,080 consistent basis within a work setting 436 00:23:54,080 --> 00:23:55,520 to decrease the likelihood people 437 00:23:55,520 --> 00:23:56,960 complain about you, right? So, let's 438 00:23:56,960 --> 00:23:58,080 just learn how to train those 439 00:23:58,080 --> 00:23:59,520 consistently. And then all of a sudden, 440 00:23:59,520 --> 00:24:01,120 we open up our aperture, the amount of 441 00:24:01,120 --> 00:24:04,320 people that we can take in um who are 442 00:24:04,320 --> 00:24:05,840 really good but aren't that really good 443 00:24:05,840 --> 00:24:09,280 with people. All right. Now, the reason 444 00:24:09,280 --> 00:24:12,159 I see this is important is that 445 00:24:12,159 --> 00:24:14,400 for many of you, believe it or not, one 446 00:24:14,400 --> 00:24:16,000 of the big issues you have is that you 447 00:24:16,000 --> 00:24:18,400 sell to everybody. Meaning, you allow 448 00:24:18,400 --> 00:24:19,919 anyone to walk in the door and then 449 00:24:19,919 --> 00:24:22,000 you're surprised by the fact that your 450 00:24:22,000 --> 00:24:23,600 results vary so widely. And sometimes 451 00:24:23,600 --> 00:24:24,960 you're like, oh, you know, some people 452 00:24:24,960 --> 00:24:26,480 are amazing and I've got all these other 453 00:24:26,480 --> 00:24:27,760 people just they don't do anything. It's 454 00:24:27,760 --> 00:24:28,640 like, yeah, it's because you let 455 00:24:28,640 --> 00:24:30,159 toddlers in and you try to teach them to 456 00:24:30,159 --> 00:24:32,960 code. Of course not. Right? Which is why 457 00:24:32,960 --> 00:24:35,120 there are standards, which is why having 458 00:24:35,120 --> 00:24:37,039 requisites becomes incredibly important. 459 00:24:37,039 --> 00:24:38,559 There's a reason that Spanish one is 460 00:24:38,559 --> 00:24:41,760 required to do Spanish 2. And so for 461 00:24:41,760 --> 00:24:43,120 many of you, one of the big things you 462 00:24:43,120 --> 00:24:44,799 can probably write down today is like 463 00:24:44,799 --> 00:24:47,760 what are what if I if I had to pick what 464 00:24:47,760 --> 00:24:50,799 requirements would must exist for my 465 00:24:50,799 --> 00:24:52,960 customers to maximize the likelihood 466 00:24:52,960 --> 00:24:54,799 that they would they would win, right? 467 00:24:54,799 --> 00:24:57,039 We can probably tell or you probably 468 00:24:57,039 --> 00:24:58,880 already know if you looked at your whole 469 00:24:58,880 --> 00:25:01,919 customer base like on the phone call or 470 00:25:01,919 --> 00:25:03,440 on the on the sales consultation or 471 00:25:03,440 --> 00:25:04,960 whatever way you sell, right? You 472 00:25:04,960 --> 00:25:06,480 probably know some specific way that 473 00:25:06,480 --> 00:25:08,080 you're like, "Oh, this guy's going to 474 00:25:08,080 --> 00:25:10,400 crush it." Well, then if you know the 475 00:25:10,400 --> 00:25:11,279 difference between somebody's going to 476 00:25:11,279 --> 00:25:12,880 crush it and one that you're like, well, 477 00:25:12,880 --> 00:25:15,120 you probably shouldn't let the in. And 478 00:25:15,120 --> 00:25:16,559 then you should say, okay, well, if 479 00:25:16,559 --> 00:25:18,000 everybody crushed it, how much more 480 00:25:18,000 --> 00:25:19,760 could I charge? Probably orders of 481 00:25:19,760 --> 00:25:21,840 magnitude more. And then maybe that's 482 00:25:21,840 --> 00:25:23,760 the right avatar and we have to get 483 00:25:23,760 --> 00:25:25,679 narrower with who we select for, which 484 00:25:25,679 --> 00:25:27,440 means we've increased our standards. 485 00:25:27,440 --> 00:25:28,960 This is a huge issue with service 486 00:25:28,960 --> 00:25:30,559 businesses, which based on the surveys 487 00:25:30,559 --> 00:25:32,960 that I saw from you guys, it's like 75% 488 00:25:32,960 --> 00:25:34,880 of you, which is why I bring this up. 489 00:25:34,880 --> 00:25:37,840 Okay. Um, 490 00:25:37,840 --> 00:25:39,679 and so yeah, and so if we look at these 491 00:25:39,679 --> 00:25:41,200 two uh these two images I have here, 492 00:25:41,200 --> 00:25:42,559 like the big jack guy and the and the 493 00:25:42,559 --> 00:25:44,480 wobbly knees person, if we have to get 494 00:25:44,480 --> 00:25:46,320 them across this bridge, right, of all 495 00:25:46,320 --> 00:25:48,320 these different logs, which of them are 496 00:25:48,320 --> 00:25:49,760 we going to have higher confidence is 497 00:25:49,760 --> 00:25:50,799 going to get across? Well, obviously 498 00:25:50,799 --> 00:25:52,640 the, you know, the gymnastic dude, 499 00:25:52,640 --> 00:25:54,080 right? But the thing is is that our 500 00:25:54,080 --> 00:25:57,279 bridge is our product, is our customer 501 00:25:57,279 --> 00:25:59,600 experience. And so if two people can 502 00:25:59,600 --> 00:26:01,440 come in and we get to be the gatekeeper 503 00:26:01,440 --> 00:26:04,320 of who we choose to let in, then we're 504 00:26:04,320 --> 00:26:05,840 the ones who are at fault when someone 505 00:26:05,840 --> 00:26:09,200 doesn't succeed to a large degree. But 506 00:26:09,200 --> 00:26:10,400 it doesn't mean, oh, I now have to 507 00:26:10,400 --> 00:26:12,159 educate everyone through K2 because that 508 00:26:12,159 --> 00:26:13,840 might not be worth it. You're just 509 00:26:13,840 --> 00:26:15,360 saying, no, you have to graduate high 510 00:26:15,360 --> 00:26:17,039 school in order to do this thing, right? 511 00:26:17,039 --> 00:26:18,320 You have to be able to make you have to 512 00:26:18,320 --> 00:26:19,600 be making $10,000 a month in your 513 00:26:19,600 --> 00:26:21,279 e-commerce store, whatever. Right? 514 00:26:21,279 --> 00:26:22,720 There's a couple things that must happen 515 00:26:22,720 --> 00:26:25,279 in order if you get the outcome. 516 00:26:25,279 --> 00:26:27,520 That's why prerequisites matter. And so 517 00:26:27,520 --> 00:26:29,279 fundamentally, this is why I define 518 00:26:29,279 --> 00:26:31,200 terms so many times throughout 519 00:26:31,200 --> 00:26:33,440 presentations. And it's because I 520 00:26:33,440 --> 00:26:34,960 understand that some percentage of 521 00:26:34,960 --> 00:26:37,279 people might not understand this term. 522 00:26:37,279 --> 00:26:39,360 And as a result, that's where they stop. 523 00:26:39,360 --> 00:26:41,360 Right? Success stops the moment you 524 00:26:41,360 --> 00:26:43,440 don't know how to do something. And so 525 00:26:43,440 --> 00:26:45,520 if I am describing something, I try to 526 00:26:45,520 --> 00:26:47,200 describe it in multiple ways so that we 527 00:26:47,200 --> 00:26:49,279 can keep the the mental conversation 528 00:26:49,279 --> 00:26:50,880 going so I can pull as many people along 529 00:26:50,880 --> 00:26:52,400 as possible. And I and I translate this 530 00:26:52,400 --> 00:26:53,919 for you so they understand why I do what 531 00:26:53,919 --> 00:26:56,240 I do. So that hopefully whatever modum 532 00:26:56,240 --> 00:26:57,760 of success I've had, I can hopefully 533 00:26:57,760 --> 00:27:00,159 transfer over. All right? And I actually 534 00:27:00,159 --> 00:27:01,520 I believe that there's an ethical 535 00:27:01,520 --> 00:27:03,039 responsibility to set prerequisites to 536 00:27:03,039 --> 00:27:04,960 the highest degree possible. Um 537 00:27:04,960 --> 00:27:07,360 especially in services uh more than 538 00:27:07,360 --> 00:27:08,799 anything else. self-s serve is a little 539 00:27:08,799 --> 00:27:11,600 bit different but services especially um 540 00:27:11,600 --> 00:27:12,880 I think we have an ethical 541 00:27:12,880 --> 00:27:14,640 responsibility not to just say hey I can 542 00:27:14,640 --> 00:27:16,559 sell these people but more so who should 543 00:27:16,559 --> 00:27:20,799 I be selling to all right now 544 00:27:20,799 --> 00:27:22,960 that we got that out of the way uh your 545 00:27:22,960 --> 00:27:25,679 first behavior change 546 00:27:25,679 --> 00:27:27,279 my goal is for you to focus on your 547 00:27:27,279 --> 00:27:29,039 highest return activity which we refer 548 00:27:29,039 --> 00:27:30,799 to as the constraint the constraint of 549 00:27:30,799 --> 00:27:32,640 the business so this is uh this is a 550 00:27:32,640 --> 00:27:34,960 drawing I have of before and after so if 551 00:27:34,960 --> 00:27:36,720 you've got a four-lane highway and then 552 00:27:36,720 --> 00:27:38,480 you've got a one lane That's where the 553 00:27:38,480 --> 00:27:39,520 money is at and you're only going to 554 00:27:39,520 --> 00:27:43,200 flow at a one money pace. Right now, if 555 00:27:43,200 --> 00:27:44,240 we're if you're work if you're looking 556 00:27:44,240 --> 00:27:45,919 at this left to right, so start at the 557 00:27:45,919 --> 00:27:47,919 bottom left, that one at the halfway 558 00:27:47,919 --> 00:27:50,159 point there, you've got potential, which 559 00:27:50,159 --> 00:27:53,679 means many times we work to add 560 00:27:53,679 --> 00:27:55,440 potential to the system. If you go from 561 00:27:55,440 --> 00:27:57,600 four lanes to five lanes there, did you 562 00:27:57,600 --> 00:28:00,000 do nothing? No, you didn't increase 563 00:28:00,000 --> 00:28:01,120 throughput, meaning you're not going to 564 00:28:01,120 --> 00:28:03,039 get more dollars out the other side. But 565 00:28:03,039 --> 00:28:04,799 you did do something. you added 566 00:28:04,799 --> 00:28:07,360 potential, meaning once the constraint 567 00:28:07,360 --> 00:28:09,120 is resolved, you'll be able to grow that 568 00:28:09,120 --> 00:28:11,360 much more that much faster. But until 569 00:28:11,360 --> 00:28:12,880 the constraint is resolved, you will 570 00:28:12,880 --> 00:28:15,679 stay the same. And so where we allocate 571 00:28:15,679 --> 00:28:16,799 effort is where we're going to get the 572 00:28:16,799 --> 00:28:19,120 highest return. And so my first and most 573 00:28:19,120 --> 00:28:20,559 important behavior change today is to 574 00:28:20,559 --> 00:28:22,559 get you to focus on the constraint and 575 00:28:22,559 --> 00:28:23,760 stop doing whatever it is that you're 576 00:28:23,760 --> 00:28:25,840 doing that's not growing the business. 577 00:28:25,840 --> 00:28:27,440 And one of the key points around this is 578 00:28:27,440 --> 00:28:29,919 that there's only one constraint. 579 00:28:29,919 --> 00:28:32,799 There's only one. There's one today and 580 00:28:32,799 --> 00:28:34,000 there's going to be one in six months 581 00:28:34,000 --> 00:28:36,000 and there's gonna be one in two years. 582 00:28:36,000 --> 00:28:38,320 There's always only one. That's how 583 00:28:38,320 --> 00:28:41,360 constraints work. You can always keep 584 00:28:41,360 --> 00:28:43,520 tracing it back until there's one point 585 00:28:43,520 --> 00:28:45,360 of focus. And this is the thing that I 586 00:28:45,360 --> 00:28:46,799 think most people fail to do. And I 587 00:28:46,799 --> 00:28:48,240 think the reason is because it takes 588 00:28:48,240 --> 00:28:50,559 multiple orders of thinking. What 589 00:28:50,559 --> 00:28:52,720 happens after that? What happens after 590 00:28:52,720 --> 00:28:54,720 that? What's stopping us from this? And 591 00:28:54,720 --> 00:28:55,919 we're going to do a ton of examples 592 00:28:55,919 --> 00:28:58,320 today, but I just I want to set this as 593 00:28:58,320 --> 00:29:00,399 the frame of this is what this is the 594 00:29:00,399 --> 00:29:02,080 highest leverage thing. This is the most 595 00:29:02,080 --> 00:29:03,600 important thing is that if you don't 596 00:29:03,600 --> 00:29:05,520 know what the one thing you should be 597 00:29:05,520 --> 00:29:08,159 working on is, it's your fault. That is 598 00:29:08,159 --> 00:29:10,799 the job of the entrepreneur. We're chief 599 00:29:10,799 --> 00:29:13,600 allocators of resources. 600 00:29:13,600 --> 00:29:15,600 And so businesses grow until they're 601 00:29:15,600 --> 00:29:17,760 constrained and then they stop. That's 602 00:29:17,760 --> 00:29:19,679 it. And I kind of see them that way. 603 00:29:19,679 --> 00:29:20,880 It's like you will just continue to grow 604 00:29:20,880 --> 00:29:21,919 until you hit a constraint and then you 605 00:29:21,919 --> 00:29:23,279 stop there and you stay there and you 606 00:29:23,279 --> 00:29:25,279 will stay there for months, weeks, 607 00:29:25,279 --> 00:29:27,919 years, decades until you figure out the 608 00:29:27,919 --> 00:29:30,399 constraint. All right? And so the thing 609 00:29:30,399 --> 00:29:31,840 that's stopping the growth is the 610 00:29:31,840 --> 00:29:34,720 constraint. Now, one of the famous 611 00:29:34,720 --> 00:29:36,080 probably heard this, which is a chain is 612 00:29:36,080 --> 00:29:38,240 only as strong as its weakest link. And 613 00:29:38,240 --> 00:29:40,399 so in a lot of ways, we've got kind of 614 00:29:40,399 --> 00:29:41,919 like our goals on one side and us on the 615 00:29:41,919 --> 00:29:43,440 other and we're pulling. We can only 616 00:29:43,440 --> 00:29:46,159 pull a goal that's as as heavy as our 617 00:29:46,159 --> 00:29:49,520 chain can hold, right? And so if you 618 00:29:49,520 --> 00:29:51,279 have, let's say, a weak link and you 619 00:29:51,279 --> 00:29:52,960 keep adding, you know, either adding 620 00:29:52,960 --> 00:29:54,640 links or strengthening the other links 621 00:29:54,640 --> 00:29:56,559 in the chain, it just changes nothing. 622 00:29:56,559 --> 00:29:58,399 And this is why if you've been stuck for 623 00:29:58,399 --> 00:30:00,159 a while, you're not growing as fast as 624 00:30:00,159 --> 00:30:03,039 you want, this may be the issue. Or my 625 00:30:03,039 --> 00:30:06,159 argument is it is the issue. 626 00:30:06,159 --> 00:30:08,240 So I'll give you a different example. So 627 00:30:08,240 --> 00:30:09,919 I obviously come from the fitness world. 628 00:30:09,919 --> 00:30:12,000 If you deadlift, which is just you just 629 00:30:12,000 --> 00:30:13,919 pick up a bar off the ground, right? So, 630 00:30:13,919 --> 00:30:15,760 if you pick a bar off the ground and 631 00:30:15,760 --> 00:30:17,919 let's say that your grip, right, can 632 00:30:17,919 --> 00:30:21,760 hold 500 lb, but your back can take 700 633 00:30:21,760 --> 00:30:25,279 lb. Okay, great. If I get my back from a 634 00:30:25,279 --> 00:30:27,840 700 lb back to an 800lb deadlift back, 635 00:30:27,840 --> 00:30:31,120 I'm still only pulling 500 lb, right? 636 00:30:31,120 --> 00:30:32,640 And so, we have to keep working on the 637 00:30:32,640 --> 00:30:34,720 grip. And until we work on the grip, 638 00:30:34,720 --> 00:30:36,080 nothing's going to change about our 639 00:30:36,080 --> 00:30:38,720 deadlift. 640 00:30:38,720 --> 00:30:41,520 And so working on the non-week link is a 641 00:30:41,520 --> 00:30:44,240 waste for immediate growth. Again, we 642 00:30:44,240 --> 00:30:47,360 have potential but not throughput 643 00:30:47,360 --> 00:30:50,399 which I just gave. Okay. 644 00:30:50,399 --> 00:30:52,880 Now that is fundamentally the constraint 645 00:30:52,880 --> 00:30:54,720 we seek to work on the constraint. So 646 00:30:54,720 --> 00:30:57,039 how does leverage play a role in this? 647 00:30:57,039 --> 00:30:58,399 So leverage is the difference between 648 00:30:58,399 --> 00:31:00,640 what you put in and what you get out. 649 00:31:00,640 --> 00:31:02,720 Right? And ideally we want high leverage 650 00:31:02,720 --> 00:31:05,520 so we get more for what we put in. Now, 651 00:31:05,520 --> 00:31:07,360 within the context of speed, because I 652 00:31:07,360 --> 00:31:09,200 don't know about you guys, but maybe uh 653 00:31:09,200 --> 00:31:11,120 you'd want to grow faster. I don't know 654 00:31:11,120 --> 00:31:13,120 about you, I like to grow faster, right? 655 00:31:13,120 --> 00:31:16,320 And so, if we want more output per unit 656 00:31:16,320 --> 00:31:17,919 of time, then it means we're exercising 657 00:31:17,919 --> 00:31:20,559 or using more leverage. 658 00:31:20,559 --> 00:31:22,960 And so, there are only two types of core 659 00:31:22,960 --> 00:31:24,480 leverage. So, I've shifted my my 660 00:31:24,480 --> 00:31:27,200 thinking process around this um and I 661 00:31:27,200 --> 00:31:29,200 think that it will it will help, which 662 00:31:29,200 --> 00:31:31,360 is there's really only two and then 663 00:31:31,360 --> 00:31:33,120 there's outputs of those things that can 664 00:31:33,120 --> 00:31:36,399 get reput. All right. 665 00:31:36,399 --> 00:31:38,880 So leverage itself exists on a 666 00:31:38,880 --> 00:31:40,640 continuum. It's not is there leverage or 667 00:31:40,640 --> 00:31:41,919 is there not leverage, but how much 668 00:31:41,919 --> 00:31:43,360 leverage is there? There's always a 669 00:31:43,360 --> 00:31:44,399 certain amount of leverage. It could be 670 00:31:44,399 --> 00:31:45,279 low leverage, it could be middle 671 00:31:45,279 --> 00:31:46,320 leverage, it could be high leverage, 672 00:31:46,320 --> 00:31:48,080 right? So it's not whether there's 673 00:31:48,080 --> 00:31:49,600 leverage, but how much leverage is 674 00:31:49,600 --> 00:31:53,279 there? And so the two are technology and 675 00:31:53,279 --> 00:31:55,279 skills. These are the two types of 676 00:31:55,279 --> 00:31:56,799 leverage that get you more for what you 677 00:31:56,799 --> 00:31:58,960 put in. And so at the most basic level, 678 00:31:58,960 --> 00:32:00,559 if I wanted to dig a hole, I could use 679 00:32:00,559 --> 00:32:04,080 my hands, right? Zero zero technology. I 680 00:32:04,080 --> 00:32:05,600 could use a shovel, which you know, 681 00:32:05,600 --> 00:32:06,960 ancient humans figured that one out. And 682 00:32:06,960 --> 00:32:08,559 so they got way more efficient using a 683 00:32:08,559 --> 00:32:10,720 shovel than using their hands. And then 684 00:32:10,720 --> 00:32:11,840 I could eventually, you know, more 685 00:32:11,840 --> 00:32:13,600 modern human, I could use a bulldozer, 686 00:32:13,600 --> 00:32:15,600 right? All of these are different 687 00:32:15,600 --> 00:32:16,799 technologies, different levels of 688 00:32:16,799 --> 00:32:18,399 technology, different levels of leverage 689 00:32:18,399 --> 00:32:21,760 that we get to increase our output. A 690 00:32:21,760 --> 00:32:23,279 different example, right? I could use 691 00:32:23,279 --> 00:32:24,720 pen and paper if I wanted to write 692 00:32:24,720 --> 00:32:27,120 stuff. I could use software to write it 693 00:32:27,120 --> 00:32:28,799 faster. And I could probably use AI to 694 00:32:28,799 --> 00:32:30,799 do it even faster, right? Different 695 00:32:30,799 --> 00:32:32,559 types of leverage all through 696 00:32:32,559 --> 00:32:33,919 technology. 697 00:32:33,919 --> 00:32:35,600 Now on the other side we've got skills. 698 00:32:35,600 --> 00:32:38,000 What what we learn to do rather than 699 00:32:38,000 --> 00:32:40,640 tools we use. So on the skills continuum 700 00:32:40,640 --> 00:32:42,240 I'll just give a basic one for a service 701 00:32:42,240 --> 00:32:43,600 business. If you've got a hundred leads 702 00:32:43,600 --> 00:32:45,519 and two sales people in one script you 703 00:32:45,519 --> 00:32:47,279 might have a 5x difference between the 704 00:32:47,279 --> 00:32:49,519 two sales people based on what based on 705 00:32:49,519 --> 00:32:52,720 skill. Same leads same script two 706 00:32:52,720 --> 00:32:54,320 people. One has five times the 707 00:32:54,320 --> 00:32:56,000 throughput. So they get more for what 708 00:32:56,000 --> 00:32:58,320 they put in skills 709 00:32:58,320 --> 00:33:00,640 right? And to use a media example, if I 710 00:33:00,640 --> 00:33:02,240 give two creators and I say, "Hey, go 711 00:33:02,240 --> 00:33:04,880 make me one short reel." I might have 712 00:33:04,880 --> 00:33:06,799 one guy who has literally a 100x the 713 00:33:06,799 --> 00:33:11,039 difference, high leverage on that skill. 714 00:33:11,039 --> 00:33:13,120 And so these are how you can know uh 715 00:33:13,120 --> 00:33:15,279 these are the two forms of leverage. And 716 00:33:15,279 --> 00:33:17,039 this is like I like to I always like to 717 00:33:17,039 --> 00:33:18,320 chunk things all the way up to say like 718 00:33:18,320 --> 00:33:19,760 how do how can I validate that this 719 00:33:19,760 --> 00:33:22,240 hypothesis is true. If you look at 720 00:33:22,240 --> 00:33:24,640 economics at the broadest level, what 721 00:33:24,640 --> 00:33:27,360 increases GDP per capita right within an 722 00:33:27,360 --> 00:33:28,559 economy? That's how we can measure 723 00:33:28,559 --> 00:33:30,399 output of a whole country. What are the 724 00:33:30,399 --> 00:33:31,600 two biggest variables that increase 725 00:33:31,600 --> 00:33:34,799 output output for a country? Technology 726 00:33:34,799 --> 00:33:39,200 and education, skills and tools. 727 00:33:39,200 --> 00:33:42,640 Okay. Now, when we use skills and tools, 728 00:33:42,640 --> 00:33:44,559 we then create other outputs. Money 729 00:33:44,559 --> 00:33:45,919 being one of them and being maybe the 730 00:33:45,919 --> 00:33:47,039 reason that some of you guys want to 731 00:33:47,039 --> 00:33:49,760 want to do it, right? Uh other people's 732 00:33:49,760 --> 00:33:51,919 skills and time. Okay. If we have that 733 00:33:51,919 --> 00:33:53,200 money, we can get other people to do 734 00:33:53,200 --> 00:33:54,720 stuff. If we have other skills, even 735 00:33:54,720 --> 00:33:55,679 without money, you can get other people 736 00:33:55,679 --> 00:33:57,519 to do stuff, right? You start to develop 737 00:33:57,519 --> 00:33:59,919 a brand or reputation that comes as a 738 00:33:59,919 --> 00:34:01,200 result of using tools and skills 739 00:34:01,200 --> 00:34:03,840 repeatedly. You get distribution. For 740 00:34:03,840 --> 00:34:05,679 example, 5,000 different stores carrier 741 00:34:05,679 --> 00:34:07,279 stuff because you use skills and tech in 742 00:34:07,279 --> 00:34:08,480 order to get them and build that 743 00:34:08,480 --> 00:34:10,720 distribution. But that becomes leverage 744 00:34:10,720 --> 00:34:13,359 for later. And then one of the more I 745 00:34:13,359 --> 00:34:14,960 would say tactical ones that that that 746 00:34:14,960 --> 00:34:16,000 we'll probably hit on a little bit 747 00:34:16,000 --> 00:34:18,800 harder today later is something I'll 748 00:34:18,800 --> 00:34:20,800 call single input multiple outputs. So 749 00:34:20,800 --> 00:34:22,240 this is one of my personal favorite ways 750 00:34:22,240 --> 00:34:24,079 of kind of creating leverage in in a 751 00:34:24,079 --> 00:34:26,079 business which is how can I double dip, 752 00:34:26,079 --> 00:34:27,200 how can I triple dip, how can I 753 00:34:27,200 --> 00:34:30,159 quintuple dip, right? And so an example 754 00:34:30,159 --> 00:34:32,000 of this is that we started running uh 755 00:34:32,000 --> 00:34:34,000 workshops for our advisory practice. 756 00:34:34,000 --> 00:34:36,560 Well the workshops is like a a quad dip 757 00:34:36,560 --> 00:34:38,079 for us. It's like we get deal flow. So, 758 00:34:38,079 --> 00:34:39,679 we get businesses that come in, we get 759 00:34:39,679 --> 00:34:42,240 cash flow, they're profitable, we get 760 00:34:42,240 --> 00:34:43,679 media because we capture a whole bunch 761 00:34:43,679 --> 00:34:45,359 of, you know, clips and all that stuff 762 00:34:45,359 --> 00:34:46,960 that further pushes through the 763 00:34:46,960 --> 00:34:48,480 flywheel. And then we also have all the 764 00:34:48,480 --> 00:34:49,839 data that we trained our AI on, which 765 00:34:49,839 --> 00:34:50,960 some of you guys have already tried. 766 00:34:50,960 --> 00:34:52,560 Pretty sweet, right? But we were only 767 00:34:52,560 --> 00:34:54,879 able to do that because that thing like 768 00:34:54,879 --> 00:34:56,560 imagine if I had to do one specific 769 00:34:56,560 --> 00:34:58,400 thing to collect media, another thing to 770 00:34:58,400 --> 00:35:00,000 collect data, another thing to create 771 00:35:00,000 --> 00:35:01,280 cash flow, another thing to create deal 772 00:35:01,280 --> 00:35:03,200 flow. I would have way less leverage. 773 00:35:03,200 --> 00:35:04,960 And so, always thinking like what's the 774 00:35:04,960 --> 00:35:07,040 sawdust? What other outputs can we can 775 00:35:07,040 --> 00:35:09,760 we extract from the ex existing behavior 776 00:35:09,760 --> 00:35:12,400 set or activity typically benefits big 777 00:35:12,400 --> 00:35:14,880 time. All right. And so once we have all 778 00:35:14,880 --> 00:35:17,359 these new leveraged outputs, we put them 779 00:35:17,359 --> 00:35:19,760 back in and try to attack the constraint 780 00:35:19,760 --> 00:35:21,359 again. And so if our first level of 781 00:35:21,359 --> 00:35:22,560 attacking the constraint is we have 782 00:35:22,560 --> 00:35:25,200 skills and tools, great. Then we get 783 00:35:25,200 --> 00:35:26,880 money, other people's skills and time, 784 00:35:26,880 --> 00:35:28,880 brand distribution, uh, and then 785 00:35:28,880 --> 00:35:30,720 basically how can we slice it, slice and 786 00:35:30,720 --> 00:35:32,480 dice it multiple times. We take this 787 00:35:32,480 --> 00:35:34,400 again and then reattack the constraint 788 00:35:34,400 --> 00:35:36,960 with even more leverage. 789 00:35:36,960 --> 00:35:39,359 And so fundamentally the constraint is 790 00:35:39,359 --> 00:35:41,920 the priority. Like right now our whole 791 00:35:41,920 --> 00:35:43,440 job is chief allocator of resources. 792 00:35:43,440 --> 00:35:45,280 That's what we are as the entrepreneur. 793 00:35:45,280 --> 00:35:47,440 And so priority unfortunately like in 794 00:35:47,440 --> 00:35:49,440 the modern era became a a term that 795 00:35:49,440 --> 00:35:52,240 people use and have priorities plural 796 00:35:52,240 --> 00:35:53,839 right but if you look at the Latin it 797 00:35:53,839 --> 00:35:55,440 comes from I think a priority which 798 00:35:55,440 --> 00:35:58,640 means first. All right. Or before which 799 00:35:58,640 --> 00:36:00,400 means you do this first. means when you 800 00:36:00,400 --> 00:36:01,920 wake up in the morning, this is what you 801 00:36:01,920 --> 00:36:03,920 attack because everything that's not 802 00:36:03,920 --> 00:36:09,079 this is not growing the business. 803 00:36:09,119 --> 00:36:11,359 And so, and this is a this is a harder 804 00:36:11,359 --> 00:36:12,880 pill to swallow, but if you have more 805 00:36:12,880 --> 00:36:16,400 than one, you are the problem. And so, 806 00:36:16,400 --> 00:36:18,480 it's like, how can we expect our teams 807 00:36:18,480 --> 00:36:21,280 to prioritize their time when you 808 00:36:21,280 --> 00:36:25,440 haven't prioritized theirs, 809 00:36:25,440 --> 00:36:27,440 right? Like, we're the ones who are 810 00:36:27,440 --> 00:36:29,760 responsible for this. And so if like you 811 00:36:29,760 --> 00:36:31,760 can't decide what your priority is, like 812 00:36:31,760 --> 00:36:34,640 it's your fault. 813 00:36:34,640 --> 00:36:36,640 And so this is why we are the chief 814 00:36:36,640 --> 00:36:38,400 allocator of resources. We are the chief 815 00:36:38,400 --> 00:36:41,440 prioritization officer. And so I I bring 816 00:36:41,440 --> 00:36:43,200 this up because there's a lot of people 817 00:36:43,200 --> 00:36:44,960 who, you know, say they throw this word 818 00:36:44,960 --> 00:36:47,599 strategy around and I think strategy has 819 00:36:47,599 --> 00:36:49,760 become this big amorphous thing. But 820 00:36:49,760 --> 00:36:51,680 strategy is just allocating limited 821 00:36:51,680 --> 00:36:53,119 resources. All of us have limited 822 00:36:53,119 --> 00:36:55,119 resources, time, money, etc., right? 823 00:36:55,119 --> 00:36:58,640 Against unlimited potential uses. And so 824 00:36:58,640 --> 00:37:00,079 the simple way of saying this is it's 825 00:37:00,079 --> 00:37:01,599 prioritizing. That's what strategy is. 826 00:37:01,599 --> 00:37:02,960 It's all it is. It's just prioritizing. 827 00:37:02,960 --> 00:37:04,000 What are we going to what are we going 828 00:37:04,000 --> 00:37:05,680 to attack with the limited stuff we've 829 00:37:05,680 --> 00:37:06,880 got? We got a million things we could 830 00:37:06,880 --> 00:37:09,119 do. What's the one we are going to do, 831 00:37:09,119 --> 00:37:12,160 right? And so the best strategy is that 832 00:37:12,160 --> 00:37:15,280 you use the limited resources you have 833 00:37:15,280 --> 00:37:16,960 to get the greatest increase in 834 00:37:16,960 --> 00:37:18,960 throughput. That is the best strategy 835 00:37:18,960 --> 00:37:20,640 objectively. The question is you won't 836 00:37:20,640 --> 00:37:21,920 be able to know which one it is until 837 00:37:21,920 --> 00:37:24,000 after, right? That's the tough part. But 838 00:37:24,000 --> 00:37:25,760 objectively that is the best strategy. 839 00:37:25,760 --> 00:37:27,359 the thing that gets you the most bang 840 00:37:27,359 --> 00:37:30,480 for your buck. A good strategy would be 841 00:37:30,480 --> 00:37:32,320 that you re you allocate the resources 842 00:37:32,320 --> 00:37:35,119 to get an improvement. Great. We grew. 843 00:37:35,119 --> 00:37:37,200 Did we grow as much as you know God 844 00:37:37,200 --> 00:37:39,599 telling us what to do? Probably not. But 845 00:37:39,599 --> 00:37:42,000 did we grow more than we were before? 846 00:37:42,000 --> 00:37:44,000 Yeah, we allocated resources. Well, good 847 00:37:44,000 --> 00:37:46,480 strategy. What's a poor strategy? And 848 00:37:46,480 --> 00:37:47,839 there's two levels of poor strategy. It 849 00:37:47,839 --> 00:37:49,599 go it goes there's two on the negative 850 00:37:49,599 --> 00:37:52,320 side, too. All right. So if you allocate 851 00:37:52,320 --> 00:37:55,440 resources to no improvement, 852 00:37:55,440 --> 00:37:57,839 for example, if you are stagnating right 853 00:37:57,839 --> 00:37:59,200 now, then it means you're actually 854 00:37:59,200 --> 00:38:01,520 wasting resources. It means you're using 855 00:38:01,520 --> 00:38:03,440 the stuff you got and you're not seeing 856 00:38:03,440 --> 00:38:05,760 any increase. So you have one level of 857 00:38:05,760 --> 00:38:07,440 waste. The resources you have are 858 00:38:07,440 --> 00:38:09,680 getting wasted. 859 00:38:09,680 --> 00:38:11,280 Then there's two levels of w I'll give 860 00:38:11,280 --> 00:38:14,240 you an example here. So um buddy of mine 861 00:38:14,240 --> 00:38:16,160 uh owns a big business and he was really 862 00:38:16,160 --> 00:38:17,760 confident that his marketing was like 863 00:38:17,760 --> 00:38:19,920 not good. uh and he had a CMO in there 864 00:38:19,920 --> 00:38:21,119 or whatever and he said, "Hey man, I 865 00:38:21,119 --> 00:38:22,160 don't think these ads are good. I don't 866 00:38:22,160 --> 00:38:23,119 think they're working." And they were 867 00:38:23,119 --> 00:38:24,400 like, "No, like we're really confident 868 00:38:24,400 --> 00:38:26,240 that this stuff's like making a huge 869 00:38:26,240 --> 00:38:28,320 impact." And so it took them six months 870 00:38:28,320 --> 00:38:29,680 and he finally was like, "Just cut the 871 00:38:29,680 --> 00:38:32,720 damn ads." So they cut the ads and sales 872 00:38:32,720 --> 00:38:34,960 remained the same. So they were 873 00:38:34,960 --> 00:38:37,280 basically burning $2 million a month in 874 00:38:37,280 --> 00:38:39,280 this specific campaign that did 875 00:38:39,280 --> 00:38:41,359 literally nothing. And so it was $12 876 00:38:41,359 --> 00:38:42,800 million that got flushed down the 877 00:38:42,800 --> 00:38:45,040 toilet. Now, it didn't hurt the 878 00:38:45,040 --> 00:38:46,480 business, but I mean, they wasted 879 00:38:46,480 --> 00:38:48,880 resources, which then kind of leads to 880 00:38:48,880 --> 00:38:51,040 the next one, which is you can also 881 00:38:51,040 --> 00:38:52,960 double waste, which is like you could 882 00:38:52,960 --> 00:38:55,440 spend $2 million a month on stuff that 883 00:38:55,440 --> 00:38:56,960 not only doesn't make the business 884 00:38:56,960 --> 00:38:59,359 better, but actively makes it worse. So, 885 00:38:59,359 --> 00:39:01,040 not only do you waste the resources, you 886 00:39:01,040 --> 00:39:03,839 actually decrease throughput. 887 00:39:03,839 --> 00:39:05,920 And I bring these up because I like to I 888 00:39:05,920 --> 00:39:08,320 just want to be real. Like if if the 889 00:39:08,320 --> 00:39:09,760 businesses are growing as fast as you 890 00:39:09,760 --> 00:39:11,839 want, you might have a strategy issue, 891 00:39:11,839 --> 00:39:13,280 meaning you're not allocating resources 892 00:39:13,280 --> 00:39:14,960 to the greatest potential improvement. 893 00:39:14,960 --> 00:39:16,400 If you're stagnating right now, it means 894 00:39:16,400 --> 00:39:17,599 that there's somewhere else you should 895 00:39:17,599 --> 00:39:19,520 be allocating your resources to get a 896 00:39:19,520 --> 00:39:22,760 better return. 897 00:39:24,079 --> 00:39:27,040 All right, I'll tell I'll give you a fun 898 00:39:27,040 --> 00:39:28,480 example of a double way so it's not so 899 00:39:28,480 --> 00:39:29,839 you don't feel like uh I'm I'm beating 900 00:39:29,839 --> 00:39:33,359 on you. So, my gym got to full capacity 901 00:39:33,359 --> 00:39:34,880 um you know, different different times 902 00:39:34,880 --> 00:39:36,880 in my career, but when I just had one 903 00:39:36,880 --> 00:39:39,440 gym, um everyone was loving it. I had 904 00:39:39,440 --> 00:39:40,960 these two kind of parallel sessions that 905 00:39:40,960 --> 00:39:43,119 worked and like my gym was packed. And 906 00:39:43,119 --> 00:39:45,040 so, I couldn't fit any more people in my 907 00:39:45,040 --> 00:39:47,280 gym and but I wasn't making as much 908 00:39:47,280 --> 00:39:48,640 money as I wanted. And so, what I did 909 00:39:48,640 --> 00:39:51,119 was I attacked the incorrect constraint. 910 00:39:51,119 --> 00:39:52,560 So, what I did is I took this really 911 00:39:52,560 --> 00:39:54,320 working product that everyone loved, 912 00:39:54,320 --> 00:39:55,839 which is these 45minute sessions. I had 913 00:39:55,839 --> 00:39:56,960 these strength sessions and I had these 914 00:39:56,960 --> 00:39:58,560 cardio sessions. And so I had them 915 00:39:58,560 --> 00:40:00,480 running in parallel and because I 916 00:40:00,480 --> 00:40:02,320 couldn't fit as many people in, I 917 00:40:02,320 --> 00:40:04,240 decided to one combine them and then two 918 00:40:04,240 --> 00:40:06,560 make them 30 minute sessions. By doing 919 00:40:06,560 --> 00:40:08,880 that I increased my capacity but no one 920 00:40:08,880 --> 00:40:10,320 liked the product and I ended up having 921 00:40:10,320 --> 00:40:12,720 this massive spike in churn. Whereas the 922 00:40:12,720 --> 00:40:14,800 intelligent thing would have been oh 923 00:40:14,800 --> 00:40:16,160 everyone loves it. You're at full 924 00:40:16,160 --> 00:40:19,200 capacity raise your prices and then I 925 00:40:19,200 --> 00:40:20,320 would have been able to have an amazing 926 00:40:20,320 --> 00:40:22,000 product and had more profit. It would 927 00:40:22,000 --> 00:40:23,440 have been such a simpler solution than 928 00:40:23,440 --> 00:40:25,119 trying to reorganize my whole thing. But 929 00:40:25,119 --> 00:40:26,240 I was young and I didn't know any 930 00:40:26,240 --> 00:40:28,560 better. And so I I used all these 931 00:40:28,560 --> 00:40:30,960 resources to remarket it, tell you know, 932 00:40:30,960 --> 00:40:32,560 communicate it, retrain my staff on this 933 00:40:32,560 --> 00:40:34,240 new way of doing things. And not only 934 00:40:34,240 --> 00:40:36,480 did I waste all that effort, I also hurt 935 00:40:36,480 --> 00:40:40,560 my business. Bad strategy. 936 00:40:40,560 --> 00:40:42,640 I also, just so it's like I've done this 937 00:40:42,640 --> 00:40:45,119 more than once. Um, in gym launch, one 938 00:40:45,119 --> 00:40:46,640 of the biggest mistakes I made, I made a 939 00:40:46,640 --> 00:40:48,000 couple big ones, but this is one of the 940 00:40:48,000 --> 00:40:51,280 biggest ones. Um I was it was the first 941 00:40:51,280 --> 00:40:52,720 and last time that I look in 942 00:40:52,720 --> 00:40:54,240 competitors, but there was somebody else 943 00:40:54,240 --> 00:40:56,400 in the marketplace that um basically 944 00:40:56,400 --> 00:40:58,000 advert you know they they took a bunch 945 00:40:58,000 --> 00:41:00,560 of my my top you know customers and they 946 00:41:00,560 --> 00:41:02,000 tried to partner with them to basically 947 00:41:02,000 --> 00:41:03,599 just make a Mickey Mouse copycat version 948 00:41:03,599 --> 00:41:06,160 of my stuff. And so I then got really 949 00:41:06,160 --> 00:41:07,760 and they were like we're going to give 950 00:41:07,760 --> 00:41:09,760 you know one-on-one help and I didn't do 951 00:41:09,760 --> 00:41:13,359 one-on-one um at the time. And so they 952 00:41:13,359 --> 00:41:15,200 they make this offer that was less than 953 00:41:15,200 --> 00:41:18,240 mine and had one-on-one support. And so 954 00:41:18,240 --> 00:41:19,920 I go through this whole rigomeroll and 955 00:41:19,920 --> 00:41:21,760 then I do this launch to my existing 956 00:41:21,760 --> 00:41:23,200 customer base and I say, "Hey, here's 957 00:41:23,200 --> 00:41:25,119 this amazing thing. We're just going to 958 00:41:25,119 --> 00:41:28,720 charge all of you less money by 25%. And 959 00:41:28,720 --> 00:41:30,400 give you more and you don't have to do 960 00:41:30,400 --> 00:41:32,240 anything." And I want to tell you a 961 00:41:32,240 --> 00:41:33,280 couple really interesting things that 962 00:41:33,280 --> 00:41:35,760 happened from that. Number one, many 963 00:41:35,760 --> 00:41:37,520 people complained. So think about how 964 00:41:37,520 --> 00:41:40,400 crazy this is. I lowered the price and 965 00:41:40,400 --> 00:41:42,400 added services and people complained 966 00:41:42,400 --> 00:41:44,160 because they're like, I've been paying 967 00:41:44,160 --> 00:41:46,800 this whole time and you didn't give me 968 00:41:46,800 --> 00:41:48,319 this 969 00:41:48,319 --> 00:41:50,400 like and it was a great lesson for me to 970 00:41:50,400 --> 00:41:51,839 tell you that people just hate change no 971 00:41:51,839 --> 00:41:55,200 matter what it is. So, thing one, the 972 00:41:55,200 --> 00:41:57,040 second thing um that happened is that 973 00:41:57,040 --> 00:41:59,760 when you cut 25% of topline and add 974 00:41:59,760 --> 00:42:01,920 costs, guess what that does to your 975 00:42:01,920 --> 00:42:05,040 profit? It kills your profit. And so I 976 00:42:05,040 --> 00:42:07,040 lost about $5 million a year in profit 977 00:42:07,040 --> 00:42:08,560 from that one move, which we never 978 00:42:08,560 --> 00:42:10,880 recovered. And considering we sold the 979 00:42:10,880 --> 00:42:13,200 business, I guess 24-ish months later, 980 00:42:13,200 --> 00:42:16,400 it probably cost me realistically $40 to 981 00:42:16,400 --> 00:42:19,200 $50 million. Like a real true like not 982 00:42:19,200 --> 00:42:21,760 like oh hypothetical like I I did sell 983 00:42:21,760 --> 00:42:23,440 the company and it was based on profit 984 00:42:23,440 --> 00:42:25,599 and I probably lost another four 40 to 985 00:42:25,599 --> 00:42:27,760 50. That's not an extrapolation of of 986 00:42:27,760 --> 00:42:29,839 the the multiple, but I'm just saying 987 00:42:29,839 --> 00:42:32,480 round numbers. So, when I say this, I'm 988 00:42:32,480 --> 00:42:33,680 not trying to be heavy-handed because I 989 00:42:33,680 --> 00:42:34,880 want you to feel bad. I'm saying because 990 00:42:34,880 --> 00:42:36,640 I've done this and made horrible 991 00:42:36,640 --> 00:42:38,160 mistakes before and ideally would like 992 00:42:38,160 --> 00:42:42,160 you to avoid them. So, as we as we we 993 00:42:42,160 --> 00:42:44,319 kind of wrap or get close to wrapping 994 00:42:44,319 --> 00:42:46,240 this particular part one for framing 995 00:42:46,240 --> 00:42:48,800 today, um, one of the things that I 996 00:42:48,800 --> 00:42:50,240 think is really important is to 997 00:42:50,240 --> 00:42:52,000 understand the paradox of solutions, 998 00:42:52,000 --> 00:42:54,319 meaning that there are multiple paths 999 00:42:54,319 --> 00:42:57,200 that can lead you up the mountain. So, 1000 00:42:57,200 --> 00:43:01,000 let me explain what I mean. 1001 00:43:07,839 --> 00:43:11,400 So, let's say 1002 00:43:12,640 --> 00:43:14,319 I have a leads issue and we're going to 1003 00:43:14,319 --> 00:43:16,800 cover this really heavy back half of the 1004 00:43:16,800 --> 00:43:19,119 day. Let's say I've got a really heavy 1005 00:43:19,119 --> 00:43:20,960 leads problem, right? And we're going 1006 00:43:20,960 --> 00:43:22,480 from clouds all the way to dirt, but I 1007 00:43:22,480 --> 00:43:23,680 have to frame it this way so that I can 1008 00:43:23,680 --> 00:43:26,079 bring everyone else along. Okay, so I 1009 00:43:26,079 --> 00:43:29,480 need more leads. 1010 00:43:30,319 --> 00:43:32,880 I could 1011 00:43:32,880 --> 00:43:34,880 increase my ad spend, right? That could 1012 00:43:34,880 --> 00:43:36,480 be one thing that I do. I increase my ad 1013 00:43:36,480 --> 00:43:38,720 spend. I could just make more ads 1014 00:43:38,720 --> 00:43:40,319 overall, more creative or make better 1015 00:43:40,319 --> 00:43:42,319 creative. That would do it. I could also 1016 00:43:42,319 --> 00:43:44,800 do some conversion rate optimization uh 1017 00:43:44,800 --> 00:43:47,680 on my pages. I could also improve my 1018 00:43:47,680 --> 00:43:50,079 lead magnet. Right? All of these things 1019 00:43:50,079 --> 00:43:51,520 would be things that I could do. And 1020 00:43:51,520 --> 00:43:52,800 this is like there's a hundred things I 1021 00:43:52,800 --> 00:43:54,640 could do, but that's five or four, 1022 00:43:54,640 --> 00:43:57,520 right? And so consider each of these as 1023 00:43:57,520 --> 00:43:59,440 these paths 1024 00:43:59,440 --> 00:44:03,440 up the mountain, right? 1025 00:44:03,440 --> 00:44:04,880 All of these are different paths up the 1026 00:44:04,880 --> 00:44:07,520 mountain. And so what's important to 1027 00:44:07,520 --> 00:44:11,119 realize is that it the difficulty is 1028 00:44:11,119 --> 00:44:13,599 properly identifying the constraint. 1029 00:44:13,599 --> 00:44:15,200 Once you identify the constraint 1030 00:44:15,200 --> 00:44:17,119 properly, you absolutely should hit it 1031 00:44:17,119 --> 00:44:19,359 with an atomic bomb to make sure that 1032 00:44:19,359 --> 00:44:22,400 you abs you destroy it, right? And so if 1033 00:44:22,400 --> 00:44:24,319 that was my issue, I could just do this, 1034 00:44:24,319 --> 00:44:26,560 but maybe I'll do all four, right? And 1035 00:44:26,560 --> 00:44:29,520 so this is the strategic priority. This 1036 00:44:29,520 --> 00:44:31,760 is the constraint. And so I bring this 1037 00:44:31,760 --> 00:44:32,960 up because some of you guys are going to 1038 00:44:32,960 --> 00:44:34,720 be like, well, which should I do? I'm 1039 00:44:34,720 --> 00:44:36,240 like, do them all or do the one that you 1040 00:44:36,240 --> 00:44:37,839 think you're most likely to succeed with 1041 00:44:37,839 --> 00:44:38,960 first and then you can start working 1042 00:44:38,960 --> 00:44:40,400 your way down. And if it resolves the 1043 00:44:40,400 --> 00:44:44,800 constraint, awesome. Rock and roll. 1044 00:44:44,800 --> 00:44:46,800 And so solving constraints happens in 1045 00:44:46,800 --> 00:44:48,560 unlimited ways. There's many flavors of 1046 00:44:48,560 --> 00:44:50,319 business. multiple ways to solve a 1047 00:44:50,319 --> 00:44:51,440 constraint, but identifying the 1048 00:44:51,440 --> 00:44:54,160 constraint is key. Going up the mountain 1049 00:44:54,160 --> 00:44:56,400 uh is singular. So solving the 1050 00:44:56,400 --> 00:44:58,000 constraint, getting to this altitude is 1051 00:44:58,000 --> 00:44:59,920 a singular goal. The paths can be 1052 00:44:59,920 --> 00:45:01,599 varied. 1053 00:45:01,599 --> 00:45:03,680 And so, right, your C's too high. You 1054 00:45:03,680 --> 00:45:05,440 can change your offer ad sales motion. 1055 00:45:05,440 --> 00:45:07,920 You can fix the problem. All right. Then 1056 00:45:07,920 --> 00:45:11,040 you need the next one. Right? And I I'll 1057 00:45:11,040 --> 00:45:12,880 talk about this more later, but the way 1058 00:45:12,880 --> 00:45:14,160 that you're like, okay, well, if I'm 1059 00:45:14,160 --> 00:45:16,160 going to talk to you, Alex, you tend to 1060 00:45:16,160 --> 00:45:18,079 give a specific directive. not only say 1061 00:45:18,079 --> 00:45:19,680 okay this is the problem how are we 1062 00:45:19,680 --> 00:45:22,400 going to fix it so I operate from the 1063 00:45:22,400 --> 00:45:23,920 position of what are the resources that 1064 00:45:23,920 --> 00:45:25,359 you have available to you so what are 1065 00:45:25,359 --> 00:45:28,400 the skills what are the um what are the 1066 00:45:28,400 --> 00:45:29,680 what are the assets that you have 1067 00:45:29,680 --> 00:45:31,920 currently and then I'm going to look at 1068 00:45:31,920 --> 00:45:33,440 all the different potentialities and say 1069 00:45:33,440 --> 00:45:35,119 okay well this one this person has more 1070 00:45:35,119 --> 00:45:36,720 experience with and so I think this is 1071 00:45:36,720 --> 00:45:38,800 the highest likelihood path for them if 1072 00:45:38,800 --> 00:45:40,240 this guy knows how to climb and this guy 1073 00:45:40,240 --> 00:45:41,520 doesn't well I'm not gonna have the guy 1074 00:45:41,520 --> 00:45:42,640 who doesn't know how to climb go on a 1075 00:45:42,640 --> 00:45:44,480 path that has some jagged rocks that 1076 00:45:44,480 --> 00:45:46,319 he'll have to climb up right so the path 1077 00:45:46,319 --> 00:45:47,920 could get them there, but which one's 1078 00:45:47,920 --> 00:45:49,680 the highest likelihood bet? And so this 1079 00:45:49,680 --> 00:45:50,960 is how I think through it. And with the 1080 00:45:50,960 --> 00:45:53,680 more skills you have, the more all of 1081 00:45:53,680 --> 00:45:55,119 these paths will work. Because if you're 1082 00:45:55,119 --> 00:45:57,760 a master climber and a master hiker and 1083 00:45:57,760 --> 00:46:00,160 an endurance runner, then you're like, 1084 00:46:00,160 --> 00:46:02,000 I'm pretty much good on all these paths. 1085 00:46:02,000 --> 00:46:03,280 Great. Then it means you have more ways 1086 00:46:03,280 --> 00:46:05,040 to win. 1087 00:46:05,040 --> 00:46:07,599 And so I want to bring this up though 1088 00:46:07,599 --> 00:46:09,119 from a from a different perspective when 1089 00:46:09,119 --> 00:46:11,040 it comes to well, how big of a peak can 1090 00:46:11,040 --> 00:46:13,520 I get up to with my existing skill set? 1091 00:46:13,520 --> 00:46:15,280 And so 1092 00:46:15,280 --> 00:46:16,720 one of the number one things that comes 1093 00:46:16,720 --> 00:46:18,800 up when I have like chromosy hotline or 1094 00:46:18,800 --> 00:46:20,240 I meet people in person at the workshops 1095 00:46:20,240 --> 00:46:23,119 and whatnot is like I don't know if my 1096 00:46:23,119 --> 00:46:26,160 vehicle the business that I'm in is is 1097 00:46:26,160 --> 00:46:27,760 sufficient for the goal that I'm trying 1098 00:46:27,760 --> 00:46:29,920 to accomplish, right? And so let's say 1099 00:46:29,920 --> 00:46:31,119 that you're like I want to get to a 1100 00:46:31,119 --> 00:46:33,280 million dollars a year hypothetically. 1101 00:46:33,280 --> 00:46:34,800 There's basically unlimited paths to 1102 00:46:34,800 --> 00:46:36,480 getting to a million dollars a year. And 1103 00:46:36,480 --> 00:46:39,040 so I'll give you a an easy visual for 1104 00:46:39,040 --> 00:46:40,990 this. So, 1105 00:46:40,990 --> 00:46:43,680 [Applause] 1106 00:46:43,680 --> 00:46:46,480 if you want to get up a foothill, right, 1107 00:46:46,480 --> 00:46:48,880 there's literally unlimited ways that 1108 00:46:48,880 --> 00:46:50,960 you can get up a foothill. If you want 1109 00:46:50,960 --> 00:46:52,880 to get up a larger hill, there's going 1110 00:46:52,880 --> 00:46:54,960 to be depending on how jagged the, you 1111 00:46:54,960 --> 00:46:56,000 know, the hill is, right? There's going 1112 00:46:56,000 --> 00:46:58,240 to be fewer ways potentially. If you 1113 00:46:58,240 --> 00:47:01,359 want to get up to Mount Everest, 1114 00:47:01,359 --> 00:47:02,319 I don't know if I don't know if that's 1115 00:47:02,319 --> 00:47:03,599 what Everest looks like. I'm going to be 1116 00:47:03,599 --> 00:47:06,400 real. Um, but there's probably I don't 1117 00:47:06,400 --> 00:47:07,680 know about Everest, but I'm sure there's 1118 00:47:07,680 --> 00:47:09,119 probably one or two paths that actually 1119 00:47:09,119 --> 00:47:12,079 get you to the summit, right? And so if 1120 00:47:12,079 --> 00:47:13,839 you have a $1 million year goal, then 1121 00:47:13,839 --> 00:47:15,520 you can get there whatever way you want. 1122 00:47:15,520 --> 00:47:17,359 $10 million still pretty unlimited. 1123 00:47:17,359 --> 00:47:18,960 Almost every business can get to $10 1124 00:47:18,960 --> 00:47:22,079 million a year. $100 million. 1125 00:47:22,079 --> 00:47:25,520 If it's enterprise value, yes, slightly 1126 00:47:25,520 --> 00:47:27,920 less so, but still like there's usually 1127 00:47:27,920 --> 00:47:29,359 an adjacent version of your business. 1128 00:47:29,359 --> 00:47:30,560 I'll give you an example. So if you're 1129 00:47:30,560 --> 00:47:31,920 if you're a brickandmortar store, you're 1130 00:47:31,920 --> 00:47:33,119 like, I can't get to $100 million 1131 00:47:33,119 --> 00:47:34,160 business. It's like, yeah, with one 1132 00:47:34,160 --> 00:47:36,640 store, no, but with 20 it could, right? 1133 00:47:36,640 --> 00:47:38,160 And so that's the idea is like it's 1134 00:47:38,160 --> 00:47:39,839 probably just like a tiny permutation 1135 00:47:39,839 --> 00:47:41,200 from the existing business could get you 1136 00:47:41,200 --> 00:47:42,800 there. 1137 00:47:42,800 --> 00:47:45,760 If your goal is to uh is to get to a a 1138 00:47:45,760 --> 00:47:48,480 trillion dollar company, right? Well, 1139 00:47:48,480 --> 00:47:49,839 then you pretty much exclude if you want 1140 00:47:49,839 --> 00:47:51,599 to get to Everest, you pretty much would 1141 00:47:51,599 --> 00:47:53,359 have to just do a global technology 1142 00:47:53,359 --> 00:47:55,280 product. There's just like there's 1143 00:47:55,280 --> 00:47:57,760 really no other way. And so depending on 1144 00:47:57,760 --> 00:48:00,160 the size of your goal, uh the path can 1145 00:48:00,160 --> 00:48:03,040 vary, but most people's goals are not a 1146 00:48:03,040 --> 00:48:04,720 trillion dollars. Most people goals are 1147 00:48:04,720 --> 00:48:06,319 like, I would like to have enough to be 1148 00:48:06,319 --> 00:48:07,520 free, enough to have the time that I 1149 00:48:07,520 --> 00:48:11,280 want, etc. Right? And so, um, I bring 1150 00:48:11,280 --> 00:48:12,560 this up because you've got your hill, 1151 00:48:12,560 --> 00:48:13,520 you've got your mountain, and you've got 1152 00:48:13,520 --> 00:48:16,480 Mount Everest. And, uh, unless your goal 1153 00:48:16,480 --> 00:48:18,720 is the trillion, then almost all of 1154 00:48:18,720 --> 00:48:19,760 these things that I'm about to share 1155 00:48:19,760 --> 00:48:21,680 with you will work in your existing 1156 00:48:21,680 --> 00:48:24,319 vehicle. Because so many um business 1157 00:48:24,319 --> 00:48:26,800 owners have this idea that they're like 1158 00:48:26,800 --> 00:48:28,960 you waste years on the existing business 1159 00:48:28,960 --> 00:48:30,160 you're in because you just don't commit 1160 00:48:30,160 --> 00:48:31,599 to it. It's like you're kind of like 1161 00:48:31,599 --> 00:48:33,440 have it as a side chick, right? Where 1162 00:48:33,440 --> 00:48:34,880 you're like you're like kind of dating. 1163 00:48:34,880 --> 00:48:36,640 You're half in half out rather than just 1164 00:48:36,640 --> 00:48:38,079 going all in. And if you just went all 1165 00:48:38,079 --> 00:48:39,280 in, you'd get to where you want to go 1166 00:48:39,280 --> 00:48:41,440 way faster. But you spend years not 1167 00:48:41,440 --> 00:48:42,960 going all in. And if you just gone all 1168 00:48:42,960 --> 00:48:47,160 in from day one, you'd already be there. 1169 00:48:47,599 --> 00:48:50,240 So if the constraint is the first thing 1170 00:48:50,240 --> 00:48:52,160 that we're trying to to figure out, 1171 00:48:52,160 --> 00:48:55,359 right? Thing one. Thing two is we want 1172 00:48:55,359 --> 00:48:56,720 to apply leverage to the constraint. So 1173 00:48:56,720 --> 00:48:58,319 we want to get more for what we put in 1174 00:48:58,319 --> 00:48:59,920 so that we can move through it. We can 1175 00:48:59,920 --> 00:49:01,839 break through that constraint faster. 1176 00:49:01,839 --> 00:49:03,040 The third thing that we're looking to 1177 00:49:03,040 --> 00:49:04,720 accomplish is compounding. We want a 1178 00:49:04,720 --> 00:49:08,079 business that grows on its own by just 1179 00:49:08,079 --> 00:49:09,280 continuing to do the same level of 1180 00:49:09,280 --> 00:49:10,880 activity. So fundamentally that is what 1181 00:49:10,880 --> 00:49:12,240 compounding is. You have the same input 1182 00:49:12,240 --> 00:49:15,200 and then increasing outputs over time. 1183 00:49:15,200 --> 00:49:18,240 same input increasing outputs. 1184 00:49:18,240 --> 00:49:19,920 Leverage is one time you get more for 1185 00:49:19,920 --> 00:49:22,160 what you put in. Compounding itself is a 1186 00:49:22,160 --> 00:49:24,640 form of leverage, right? But also in 1187 00:49:24,640 --> 00:49:27,119 that if I do one push-up and then I get 1188 00:49:27,119 --> 00:49:28,559 two push-ups back and I do one push-up 1189 00:49:28,559 --> 00:49:29,920 and I get three push-ups back, I do one 1190 00:49:29,920 --> 00:49:32,000 push-up and I get six push-ups back. 1191 00:49:32,000 --> 00:49:33,680 That is the compounding happening, 1192 00:49:33,680 --> 00:49:35,599 right? And so almost all businesses 1193 00:49:35,599 --> 00:49:37,280 should take a compounding vehicle of 1194 00:49:37,280 --> 00:49:39,119 some kind. So think of these as 1195 00:49:39,119 --> 00:49:42,240 flywheels or virtuous cycles. So an 1196 00:49:42,240 --> 00:49:45,040 example for real world, your reputation 1197 00:49:45,040 --> 00:49:47,280 is a flywheel. The more you do, the 1198 00:49:47,280 --> 00:49:48,559 better you get. The better you get, the 1199 00:49:48,559 --> 00:49:49,599 more people talk, the more people talk, 1200 00:49:49,599 --> 00:49:50,640 the better you do, the better you get, 1201 00:49:50,640 --> 00:49:52,079 the more people do. And it goes around 1202 00:49:52,079 --> 00:49:54,480 and around and around. Structural 1203 00:49:54,480 --> 00:49:56,480 virality is an example of a compounding 1204 00:49:56,480 --> 00:49:58,559 vehicle. So school, the whole platform 1205 00:49:58,559 --> 00:50:00,800 is built on you start you start a 1206 00:50:00,800 --> 00:50:02,400 community, you invite 200 people. Of 1207 00:50:02,400 --> 00:50:04,319 those 200 people, they invite they, you 1208 00:50:04,319 --> 00:50:05,280 know, one or two or three of those 1209 00:50:05,280 --> 00:50:06,559 people is going to start their own 1210 00:50:06,559 --> 00:50:08,000 community and then they invite 200 1211 00:50:08,000 --> 00:50:09,440 people, right? And so it has a 1212 00:50:09,440 --> 00:50:11,040 compounding has a structural virality 1213 00:50:11,040 --> 00:50:13,359 built into it. So it compounds, right? 1214 00:50:13,359 --> 00:50:16,559 Long-term stick is a is is a compounding 1215 00:50:16,559 --> 00:50:18,559 vehicle. Meaning if I sell 100 customers 1216 00:50:18,559 --> 00:50:20,319 this year and I sell 100 customers next 1217 00:50:20,319 --> 00:50:21,680 year and I sell 100 customers the third 1218 00:50:21,680 --> 00:50:23,760 year, if I kept 100% of customers, my 1219 00:50:23,760 --> 00:50:24,880 business would be three times bigger 1220 00:50:24,880 --> 00:50:27,119 year three than it is today. And many of 1221 00:50:27,119 --> 00:50:29,760 you um operate from the position that in 1222 00:50:29,760 --> 00:50:31,760 order to grow, you have to grow sales. 1223 00:50:31,760 --> 00:50:33,839 And that is a way to grow. It is also 1224 00:50:33,839 --> 00:50:35,760 the hardest way to grow. It is 1225 00:50:35,760 --> 00:50:37,680 significantly more valuable to find a 1226 00:50:37,680 --> 00:50:39,359 product or service that people don't 1227 00:50:39,359 --> 00:50:41,119 cancel. And then you could literally 1228 00:50:41,119 --> 00:50:42,400 stay the same level of marketing and 1229 00:50:42,400 --> 00:50:44,559 sales and just keep getting bigger every 1230 00:50:44,559 --> 00:50:47,119 year by default. 1231 00:50:47,119 --> 00:50:49,040 Network effects like an actual network. 1232 00:50:49,040 --> 00:50:51,520 Like if you have 100 people and they're 1233 00:50:51,520 --> 00:50:53,920 all cool, if you add 101st person who's 1234 00:50:53,920 --> 00:50:55,920 also cool, the whole network gets 1235 00:50:55,920 --> 00:50:58,000 better. That is a true network effect. 1236 00:50:58,000 --> 00:50:59,359 Different than adding more people to a 1237 00:50:59,359 --> 00:51:01,359 services business. To be clear, a 1238 00:51:01,359 --> 00:51:02,559 service of business that adds more 1239 00:51:02,559 --> 00:51:04,160 people in general will dilute the 1240 00:51:04,160 --> 00:51:06,160 service quality in a network, it 1241 00:51:06,160 --> 00:51:07,440 enhances the value of the network. 1242 00:51:07,440 --> 00:51:08,880 Facebook has a network effect. The more 1243 00:51:08,880 --> 00:51:10,480 people go on Facebook, the more valuable 1244 00:51:10,480 --> 00:51:13,200 Facebook becomes, right? You can also 1245 00:51:13,200 --> 00:51:14,319 have this from an integrations 1246 00:51:14,319 --> 00:51:15,599 perspective. The more things you work 1247 00:51:15,599 --> 00:51:16,960 with, if you work with a lot of 1248 00:51:16,960 --> 00:51:18,240 different vendors and that becomes a 1249 00:51:18,240 --> 00:51:20,960 value ad to a customer base like Zapier 1250 00:51:20,960 --> 00:51:22,319 for example, it becomes a compounding 1251 00:51:22,319 --> 00:51:25,200 vehicle. Sales networks are also 1252 00:51:25,200 --> 00:51:26,720 compounding vehicles. So, real 1253 00:51:26,720 --> 00:51:28,480 brokerage, Chiron, um, who's our 1254 00:51:28,480 --> 00:51:31,040 president, he came because you can have 1255 00:51:31,040 --> 00:51:32,960 a product where people never stop buying 1256 00:51:32,960 --> 00:51:35,440 it, which is long-term stick. Or you can 1257 00:51:35,440 --> 00:51:37,119 have a product where, and, this is a lot 1258 00:51:37,119 --> 00:51:38,880 of you guys, by the way, um, where 1259 00:51:38,880 --> 00:51:40,079 people don't stick for a long term 1260 00:51:40,079 --> 00:51:41,440 because the nature of the product you 1261 00:51:41,440 --> 00:51:43,119 you sell. Like selling houses isn't like 1262 00:51:43,119 --> 00:51:45,280 a long term. Like maybe over many many 1263 00:51:45,280 --> 00:51:46,720 years you buy or sell houses the same 1264 00:51:46,720 --> 00:51:48,240 person multiple times, but from a 1265 00:51:48,240 --> 00:51:49,839 business perspective, the node of 1266 00:51:49,839 --> 00:51:52,079 production is the agent, not the 1267 00:51:52,079 --> 00:51:54,160 individual houses. And so then you 1268 00:51:54,160 --> 00:51:55,599 think, oh, okay, I just need to get 1269 00:51:55,599 --> 00:51:58,079 these nodes in and the stickiness occurs 1270 00:51:58,079 --> 00:52:00,800 with how well I'm able to attract and 1271 00:52:00,800 --> 00:52:03,839 recruit brokers or agents and then what 1272 00:52:03,839 --> 00:52:05,280 each of them is going to represent for 1273 00:52:05,280 --> 00:52:08,480 me. Mortgages work the same way. 1274 00:52:08,480 --> 00:52:10,480 And so I want to give you a quick 1275 00:52:10,480 --> 00:52:11,680 warning, which is the compounding 1276 00:52:11,680 --> 00:52:14,800 reality, which is that everything that I 1277 00:52:14,800 --> 00:52:16,000 just said is how you build a really big 1278 00:52:16,000 --> 00:52:17,599 business. 1279 00:52:17,599 --> 00:52:18,559 Everything I'm going to show you the 1280 00:52:18,559 --> 00:52:19,680 rest of the day is just going to help 1281 00:52:19,680 --> 00:52:20,960 you build whatever you have to be 1282 00:52:20,960 --> 00:52:23,359 bigger. So, you can become wealthy 1283 00:52:23,359 --> 00:52:26,240 without any of that. You're just not 1284 00:52:26,240 --> 00:52:28,640 going to become the best. And so, I 1285 00:52:28,640 --> 00:52:30,640 share that because I want to talk to 1286 00:52:30,640 --> 00:52:32,160 younger me in the audience or older me 1287 00:52:32,160 --> 00:52:34,640 in the audience, whatever. Um, because I 1288 00:52:34,640 --> 00:52:35,839 would want to know that stuff. I would 1289 00:52:35,839 --> 00:52:37,359 want to be like, how do I how do I how 1290 00:52:37,359 --> 00:52:38,960 do I win in my market? How do I win in 1291 00:52:38,960 --> 00:52:40,960 my category? Those things are how you 1292 00:52:40,960 --> 00:52:43,359 win in your category. 1293 00:52:43,359 --> 00:52:46,160 But if you just want to get rich, right? 1294 00:52:46,160 --> 00:52:47,440 If you just want to become wealthy or 1295 00:52:47,440 --> 00:52:49,280 independently wealthy, you don't have to 1296 00:52:49,280 --> 00:52:50,960 really be the best. You just have to 1297 00:52:50,960 --> 00:52:52,480 like make more than it cost you to make 1298 00:52:52,480 --> 00:52:54,079 it and do it for a long enough time, 1299 00:52:54,079 --> 00:52:57,359 right? And so there are two very basic 1300 00:52:57,359 --> 00:52:58,800 compounding wheels that every business 1301 00:52:58,800 --> 00:53:00,240 can build into it with basically no 1302 00:53:00,240 --> 00:53:02,480 extra thought. So the first, so there's 1303 00:53:02,480 --> 00:53:04,079 three, sorry. First is just reputation 1304 00:53:04,079 --> 00:53:05,119 and referrals. We talked about that 1305 00:53:05,119 --> 00:53:06,319 earlier. If you do a good job, if you do 1306 00:53:06,319 --> 00:53:07,359 that long enough, you'll just keep 1307 00:53:07,359 --> 00:53:09,200 making more. That's a great thing to 1308 00:53:09,200 --> 00:53:11,280 focus on. The second is just trying to 1309 00:53:11,280 --> 00:53:13,359 get people to keep buying. Like every 1310 00:53:13,359 --> 00:53:15,280 business can do this. And the third is 1311 00:53:15,280 --> 00:53:16,559 to get people to never stop selling for 1312 00:53:16,559 --> 00:53:18,000 you. These are the three most basic 1313 00:53:18,000 --> 00:53:19,760 compounding wheels that require no tech, 1314 00:53:19,760 --> 00:53:21,839 no fancy thinking, no fancy strategy. 1315 00:53:21,839 --> 00:53:25,359 Like anyone can do these three 1316 00:53:25,359 --> 00:53:26,800 and I think I covered this one already. 1317 00:53:26,800 --> 00:53:29,520 Okay, so here's the TLDDR uh what it 1318 00:53:29,520 --> 00:53:30,880 looks like when it's right. There's 1319 00:53:30,880 --> 00:53:32,319 three elements here. We've got 1320 00:53:32,319 --> 00:53:34,720 constraint, we apply leverage, and then 1321 00:53:34,720 --> 00:53:36,480 if we design our business properly, we 1322 00:53:36,480 --> 00:53:38,319 unlock compounding. That is what it 1323 00:53:38,319 --> 00:53:40,800 looks like when it's right. 1324 00:53:40,800 --> 00:53:43,359 That is what we're hoping to accomplish. 1325 00:53:43,359 --> 00:53:46,640 This is how you scale. 1326 00:53:46,640 --> 00:53:48,319 So 1327 00:53:48,319 --> 00:53:52,400 hopefully that sets a decent groundwork 1328 00:53:52,400 --> 00:53:54,160 for today. So that was a little bit 1329 00:53:54,160 --> 00:53:56,480 clouds. Now we're going to get really 1330 00:53:56,480 --> 00:53:58,640 tactical. Okay, you're like that's 1331 00:53:58,640 --> 00:54:01,440 awesome. Um but uh I have trouble 1332 00:54:01,440 --> 00:54:03,520 getting leads. So what do I do now? That 1333 00:54:03,520 --> 00:54:04,960 is what we're going to cover now. All 1334 00:54:04,960 --> 00:54:08,000 right. So our objective right now is to 1335 00:54:08,000 --> 00:54:11,200 find your specific solution path. And so 1336 00:54:11,200 --> 00:54:12,800 what I'm going to do is walk you through 1337 00:54:12,800 --> 00:54:14,640 the decision tree for your specific 1338 00:54:14,640 --> 00:54:16,240 problem. All right? And so we'll start 1339 00:54:16,240 --> 00:54:18,160 with the obvious, match the constraint 1340 00:54:18,160 --> 00:54:20,000 to the solution, and then we'll take the 1341 00:54:20,000 --> 00:54:21,680 highest likelihood path based on your 1342 00:54:21,680 --> 00:54:24,240 assets, skills, and resources. This 1343 00:54:24,240 --> 00:54:26,319 fundamentally is what you know separates 1344 00:54:26,319 --> 00:54:27,680 individual attention. So like when 1345 00:54:27,680 --> 00:54:29,520 people come out here, the main thing is 1346 00:54:29,520 --> 00:54:31,200 that we can really pick, okay, based on 1347 00:54:31,200 --> 00:54:32,559 everything we've seen in patterns across 1348 00:54:32,559 --> 00:54:34,480 your industry, this bet seems to work 1349 00:54:34,480 --> 00:54:36,160 the best for most people and given your 1350 00:54:36,160 --> 00:54:37,920 background, I'd tweak it like this. 1351 00:54:37,920 --> 00:54:40,000 That's the value. There might be six 1352 00:54:40,000 --> 00:54:41,599 paths up that mountain, but we think 1353 00:54:41,599 --> 00:54:43,040 this path is the highest likelihood for 1354 00:54:43,040 --> 00:54:45,680 you. Okay, 1355 00:54:45,680 --> 00:54:48,240 so um some of you guys saw this, you 1356 00:54:48,240 --> 00:54:50,800 know, 20 hours of me taking uh Hermosi 1357 00:54:50,800 --> 00:54:53,760 hotline calls, um which was actually a 1358 00:54:53,760 --> 00:54:56,800 ton of fun for me. Um and some of the 1359 00:54:56,800 --> 00:54:58,559 feedback that I got was like, "Dude, you 1360 00:54:58,559 --> 00:55:00,160 went from like commercial refrigerating 1361 00:55:00,160 --> 00:55:04,880 to insurance to a restaurant to a B2B 1362 00:55:04,880 --> 00:55:07,920 SAS platform." like and then still was 1363 00:55:07,920 --> 00:55:10,319 able to drill deep on that. And so I 1364 00:55:10,319 --> 00:55:11,440 want to share with you kind of the 1365 00:55:11,440 --> 00:55:13,440 framework for doing this because what I 1366 00:55:13,440 --> 00:55:14,720 was doing was just working through a 1367 00:55:14,720 --> 00:55:15,760 mental checklist that I've just 1368 00:55:15,760 --> 00:55:17,040 developed over the years having just 1369 00:55:17,040 --> 00:55:19,040 done this with a lot of businesses. And 1370 00:55:19,040 --> 00:55:20,800 so uh if you're going to write something 1371 00:55:20,800 --> 00:55:22,880 down, this would be this would be the 1372 00:55:22,880 --> 00:55:25,119 thing to write down. So this is a linear 1373 00:55:25,119 --> 00:55:27,280 approach to constraints. I will call 1374 00:55:27,280 --> 00:55:30,079 these the mosy six. Okay. So the first 1375 00:55:30,079 --> 00:55:31,680 question that you probably heard me ask 1376 00:55:31,680 --> 00:55:34,319 many times if you listen to that was why 1377 00:55:34,319 --> 00:55:37,440 can't we do more? Like what stops us 1378 00:55:37,440 --> 00:55:39,599 from just doing more? Because if we 1379 00:55:39,599 --> 00:55:43,280 think about what 1380 00:55:43,280 --> 00:55:45,280 what it takes 1381 00:55:45,280 --> 00:55:48,000 to make more money, this is going to be 1382 00:55:48,000 --> 00:55:49,200 some this is going to be some some high 1383 00:55:49,200 --> 00:55:52,720 flutin math right here. Okay. 1384 00:55:52,720 --> 00:55:56,000 Sell more, 1385 00:55:56,000 --> 00:55:59,319 worth more. 1386 00:56:03,599 --> 00:56:07,599 That's it. Sell more units, 1387 00:56:07,599 --> 00:56:10,240 make them worth more. 1388 00:56:10,240 --> 00:56:12,480 That's it. And so then we just start 1389 00:56:12,480 --> 00:56:13,760 with the question which is like why 1390 00:56:13,760 --> 00:56:16,000 can't we sell more? Now sometimes the 1391 00:56:16,000 --> 00:56:17,040 reason you can't sell more is because 1392 00:56:17,040 --> 00:56:18,400 they're not worth enough. And that's one 1393 00:56:18,400 --> 00:56:19,680 of the problems and we'll get to that. 1394 00:56:19,680 --> 00:56:21,440 But fundamentally starting with this as 1395 00:56:21,440 --> 00:56:23,119 the question 1396 00:56:23,119 --> 00:56:25,520 allows us to massively simplify our 1397 00:56:25,520 --> 00:56:27,040 scope in terms of what we're trying to 1398 00:56:27,040 --> 00:56:31,960 think about um to grow the business. 1399 00:56:32,160 --> 00:56:35,200 The next is the next five basically 1400 00:56:35,200 --> 00:56:36,880 answer the question why can't we do 1401 00:56:36,880 --> 00:56:38,480 more? Because if the answer the first 1402 00:56:38,480 --> 00:56:40,480 question is well we could then stop 1403 00:56:40,480 --> 00:56:43,760 there go do more right? But you've got 1404 00:56:43,760 --> 00:56:46,240 metrics, you've got market, you've got 1405 00:56:46,240 --> 00:56:48,400 model, you've got money, and you've got 1406 00:56:48,400 --> 00:56:50,640 manpower. 1407 00:56:50,640 --> 00:56:52,640 And those very conveniently were M's. I 1408 00:56:52,640 --> 00:56:54,240 was I was not actually really trying for 1409 00:56:54,240 --> 00:56:57,920 that. Um I had five of the six were M's 1410 00:56:57,920 --> 00:57:00,079 by by default and I switched data to 1411 00:57:00,079 --> 00:57:02,160 metrics and then they're all all M. So 1412 00:57:02,160 --> 00:57:04,960 little little cute ism for you. Um but 1413 00:57:04,960 --> 00:57:06,880 this is it. Like this is the decision 1414 00:57:06,880 --> 00:57:08,799 tree. I'm actually very proud of this 1415 00:57:08,799 --> 00:57:10,640 because this took like an enormous 1416 00:57:10,640 --> 00:57:12,960 amount of time to narrow down and do in 1417 00:57:12,960 --> 00:57:14,799 this sequence. So when I'm asking 1418 00:57:14,799 --> 00:57:16,160 questions, I'm actually trying to check 1419 00:57:16,160 --> 00:57:17,920 through this list as fast as I can so I 1420 00:57:17,920 --> 00:57:19,359 can drill down to what the constraint is 1421 00:57:19,359 --> 00:57:20,799 so we can grow the business or 1422 00:57:20,799 --> 00:57:24,480 debottleneck it. And so again, the goal 1423 00:57:24,480 --> 00:57:26,240 here is that you want to get off at the 1424 00:57:26,240 --> 00:57:27,760 first exit. The point isn't like I'm 1425 00:57:27,760 --> 00:57:28,960 going to go through all six of these. 1426 00:57:28,960 --> 00:57:30,319 No, the goal is if you can just do more 1427 00:57:30,319 --> 00:57:31,920 today, then just do more today. Get off. 1428 00:57:31,920 --> 00:57:33,680 Like there's nothing else you need, 1429 00:57:33,680 --> 00:57:36,160 right? And so I will say this in all 1430 00:57:36,160 --> 00:57:38,559 bold. If you can double your company 1431 00:57:38,559 --> 00:57:41,760 doing one thing, why do three? 1432 00:57:41,760 --> 00:57:44,400 And it usually is one thing. It's just 1433 00:57:44,400 --> 00:57:46,400 harder because you don't know how to do 1434 00:57:46,400 --> 00:57:48,799 it or it takes longer than you want. So 1435 00:57:48,799 --> 00:57:50,880 you distract yourself with things you do 1436 00:57:50,880 --> 00:57:53,280 know how to do that take less time. So 1437 00:57:53,280 --> 00:57:56,599 you don't grow. 1438 00:57:57,920 --> 00:58:00,960 That's real. 1439 00:58:00,960 --> 00:58:02,960 It's hard. You just don't know how. 1440 00:58:02,960 --> 00:58:04,000 Everything that you don't know how to do 1441 00:58:04,000 --> 00:58:06,240 is hard. So if you can just reframe hard 1442 00:58:06,240 --> 00:58:08,000 to I don't know how to do it yet. And 1443 00:58:08,000 --> 00:58:09,280 the good news is you've got a brain in 1444 00:58:09,280 --> 00:58:11,040 two hands. You can figure it out. All of 1445 00:58:11,040 --> 00:58:14,240 a sudden you can attack things. And so I 1446 00:58:14,240 --> 00:58:16,319 will reframe this key point which is 1447 00:58:16,319 --> 00:58:19,760 that you should seek hard. And you 1448 00:58:19,760 --> 00:58:22,079 should seek hard because the things that 1449 00:58:22,079 --> 00:58:23,359 are difficult are things that other 1450 00:58:23,359 --> 00:58:24,720 people also have to figure out. If you 1451 00:58:24,720 --> 00:58:26,079 have an opportunity that literally has 1452 00:58:26,079 --> 00:58:28,160 nothing hard about it and it's not hard 1453 00:58:28,160 --> 00:58:29,280 at all for you, then it's going to be 1454 00:58:29,280 --> 00:58:30,319 not hard at all for everyone else and 1455 00:58:30,319 --> 00:58:31,200 it's going to very quickly become 1456 00:58:31,200 --> 00:58:32,559 saturated and then eventually not be an 1457 00:58:32,559 --> 00:58:34,400 opportunity anymore. Now, you can take 1458 00:58:34,400 --> 00:58:35,920 the the position of like, I just jump 1459 00:58:35,920 --> 00:58:37,280 from thing to thing to thing, which many 1460 00:58:37,280 --> 00:58:39,040 people do, and they never really see 1461 00:58:39,040 --> 00:58:40,559 long-term success because they just jump 1462 00:58:40,559 --> 00:58:42,240 to the easiest path and they just 1463 00:58:42,240 --> 00:58:43,520 restart over and over again. They never 1464 00:58:43,520 --> 00:58:45,440 unlock compounding. And compounding is 1465 00:58:45,440 --> 00:58:47,920 where all the money is made. 1466 00:58:47,920 --> 00:58:50,240 So when you hit that wall where you're 1467 00:58:50,240 --> 00:58:51,839 like, I just don't know what to do, it 1468 00:58:51,839 --> 00:58:53,680 usually means there's a skill that I 1469 00:58:53,680 --> 00:58:55,839 need to learn. When you do that, then 1470 00:58:55,839 --> 00:58:59,599 you can unlock it. Okay, so let's start 1471 00:58:59,599 --> 00:59:02,640 with the Bosey 6, right? The six M's. 1472 00:59:02,640 --> 00:59:06,000 Why not more? Like why can't we do more? 1473 00:59:06,000 --> 00:59:07,440 And I asked this as the first question 1474 00:59:07,440 --> 00:59:09,440 because right now if if you're going 1475 00:59:09,440 --> 00:59:12,000 through this, if you can do more, you 1476 00:59:12,000 --> 00:59:14,079 should do more for the following 1477 00:59:14,079 --> 00:59:15,839 reasons. 1478 00:59:15,839 --> 00:59:18,400 more is the highest risk adjusted return 1479 00:59:18,400 --> 00:59:20,640 move. If something has already worked, 1480 00:59:20,640 --> 00:59:22,400 more of it has a very high likelihood of 1481 00:59:22,400 --> 00:59:25,520 working again, right? Like repeat 1482 00:59:25,520 --> 00:59:27,520 successful actions. If it worked, do it 1483 00:59:27,520 --> 00:59:30,079 again. And do it until it stops working. 1484 00:59:30,079 --> 00:59:32,240 But many so many times when I say, "Hey, 1485 00:59:32,240 --> 00:59:34,079 why can't we double our ad spend?" It's 1486 00:59:34,079 --> 00:59:35,119 like, "Well, I mean, we could." It's 1487 00:59:35,119 --> 00:59:37,440 like, "All right, get off the phone. Go 1488 00:59:37,440 --> 00:59:38,880 double your ad spend. Why can't we do 1489 00:59:38,880 --> 00:59:40,240 twice the reachout? I mean, I guess we 1490 00:59:40,240 --> 00:59:42,480 could go do that." It's like, "Well, I 1491 00:59:42,480 --> 00:59:44,079 was thinking about starting a a personal 1492 00:59:44,079 --> 00:59:47,520 podcast. Why just do more? Do that when 1493 00:59:47,520 --> 00:59:49,920 more stops working. More is by far the 1494 00:59:49,920 --> 00:59:52,240 easiest bet. And I have become this this 1495 00:59:52,240 --> 00:59:54,079 broken record on more because more takes 1496 00:59:54,079 --> 00:59:55,359 work. And I think that's why people 1497 00:59:55,359 --> 00:59:57,200 don't want to do it. More it just takes 1498 00:59:57,200 --> 01:00:00,400 a unbelievable amount of work. And so 1499 01:00:00,400 --> 01:00:01,760 the thing that people I think also miss 1500 01:00:01,760 --> 01:00:03,520 out on is this is that diminishing 1501 01:00:03,520 --> 01:00:05,040 returns are still returns. You're still 1502 01:00:05,040 --> 01:00:06,160 making progress. You're still getting 1503 01:00:06,160 --> 01:00:08,079 better. you not you might not be getting 1504 01:00:08,079 --> 01:00:10,400 better at the same rate. If your first, 1505 01:00:10,400 --> 01:00:12,559 you know, $100,000 of ad spend gets you 1506 01:00:12,559 --> 01:00:14,960 10x return and your next $100,000 of ad 1507 01:00:14,960 --> 01:00:17,359 spend gets you a 3x return, you still 1508 01:00:17,359 --> 01:00:19,359 get a return. It's still better than the 1509 01:00:19,359 --> 01:00:21,599 stock market, right? And so I think to 1510 01:00:21,599 --> 01:00:24,160 myself in those is like, do I have an 1511 01:00:24,160 --> 01:00:25,839 absolute return? And is there something 1512 01:00:25,839 --> 01:00:27,200 else that has an absolute return that's 1513 01:00:27,200 --> 01:00:28,400 higher? Then yeah, then maybe you would 1514 01:00:28,400 --> 01:00:30,000 allocate the resources there. But for 1515 01:00:30,000 --> 01:00:32,720 me, because of risk, I'll max out a path 1516 01:00:32,720 --> 01:00:34,000 before I'm ever going to consider doing 1517 01:00:34,000 --> 01:00:36,559 other stuff because I know this works. 1518 01:00:36,559 --> 01:00:38,720 Why would I take the shot? And if the 1519 01:00:38,720 --> 01:00:40,079 hard is, oh, I have to figure out how to 1520 01:00:40,079 --> 01:00:41,200 do more of this thing that I already 1521 01:00:41,200 --> 01:00:42,799 know works, then that's a a hard I'm 1522 01:00:42,799 --> 01:00:47,440 very confident, very happy to to attack. 1523 01:00:47,440 --> 01:00:49,520 And so, this is a really interesting uh 1524 01:00:49,520 --> 01:00:52,319 perspective that has only come this like 1525 01:00:52,319 --> 01:00:54,240 this took me so long to figure out. And 1526 01:00:54,240 --> 01:00:56,000 so for those of you who come to the uh 1527 01:00:56,000 --> 01:00:57,680 come in person you might have seen this 1528 01:00:57,680 --> 01:00:59,760 but for those of you who haven't then uh 1529 01:00:59,760 --> 01:01:01,280 then this will be new for you. All right 1530 01:01:01,280 --> 01:01:03,599 so if we imagine this line as the 1531 01:01:03,599 --> 01:01:04,960 revenue of the business let's just say 1532 01:01:04,960 --> 01:01:08,319 this is normal normal business activity. 1533 01:01:08,319 --> 01:01:10,640 What I've observed in my businesses is 1534 01:01:10,640 --> 01:01:13,760 that when I make a change I have about a 1535 01:01:13,760 --> 01:01:16,960 20% decrease in performance a decrement 1536 01:01:16,960 --> 01:01:18,799 in performance. So, whatever we were 1537 01:01:18,799 --> 01:01:19,920 doing, if I say we're going to implement 1538 01:01:19,920 --> 01:01:21,280 this new customer success process, this 1539 01:01:21,280 --> 01:01:22,640 new sales motion, this new pricing, 1540 01:01:22,640 --> 01:01:24,240 whatever it's going to be, right? I 1541 01:01:24,240 --> 01:01:25,839 typically expect, especially if there's 1542 01:01:25,839 --> 01:01:28,160 people involved, I'm going to have a 20% 1543 01:01:28,160 --> 01:01:30,799 decrease. Now, if I believe this to be 1544 01:01:30,799 --> 01:01:32,559 true, which I do in general, again, this 1545 01:01:32,559 --> 01:01:34,079 isn't, you know, rule of law. This is 1546 01:01:34,079 --> 01:01:36,559 just rule of thumb. If I have a 20% 1547 01:01:36,559 --> 01:01:37,920 decrease that's going to that I have a 1548 01:01:37,920 --> 01:01:39,520 fixed and absolute like I know it's 1549 01:01:39,520 --> 01:01:42,000 going to happen, right? 1550 01:01:42,000 --> 01:01:43,680 What kind of bets am I willing to take 1551 01:01:43,680 --> 01:01:45,359 if I know I'm going to guarantee to have 1552 01:01:45,359 --> 01:01:47,839 a 20% cost? Well, if I've got this idea 1553 01:01:47,839 --> 01:01:49,280 that I'm like, I think this could give 1554 01:01:49,280 --> 01:01:52,559 us a 5% lift. Am I willing to stomach a 1555 01:01:52,559 --> 01:01:55,680 20% cost for the chance at a 5% lift? 1556 01:01:55,680 --> 01:01:58,400 Guaranteed negative 20 possible plus 1557 01:01:58,400 --> 01:02:03,280 five. No, I'll just keep living my life. 1558 01:02:03,280 --> 01:02:06,079 And so what ends up happening is I have 1559 01:02:06,079 --> 01:02:08,240 kind of like a rule of 20% as a minimum, 1560 01:02:08,240 --> 01:02:10,240 which is that if I'm going to guarantee 1561 01:02:10,240 --> 01:02:13,040 20, I got to have at least a 20% 1562 01:02:13,040 --> 01:02:15,440 increase for whatever thing I'm going to 1563 01:02:15,440 --> 01:02:17,440 implement in a business for it to be 1564 01:02:17,440 --> 01:02:19,359 worth the risk, for it to be worth the 1565 01:02:19,359 --> 01:02:21,920 work. Now, some of you might be like, 1566 01:02:21,920 --> 01:02:23,760 well, hey, if I still did that 20%, you 1567 01:02:23,760 --> 01:02:25,200 know, if I get that 5% improvement, it 1568 01:02:25,200 --> 01:02:26,079 would take me four or five months, and 1569 01:02:26,079 --> 01:02:27,680 then I'll finally be at 5% above 1570 01:02:27,680 --> 01:02:29,599 baseline. But let's also look at how 1571 01:02:29,599 --> 01:02:31,599 this works in reality. 1572 01:02:31,599 --> 01:02:32,640 you're going to start seeing this 1573 01:02:32,640 --> 01:02:35,200 improvement, right, over time, but the 1574 01:02:35,200 --> 01:02:36,000 thing is is that you're going to get 1575 01:02:36,000 --> 01:02:38,240 this really great idea over here and 1576 01:02:38,240 --> 01:02:39,440 then you're be like, "Oh yeah, well, 1577 01:02:39,440 --> 01:02:40,799 let's change this other thing about the 1578 01:02:40,799 --> 01:02:42,480 business and then you're going to get 1579 01:02:42,480 --> 01:02:44,480 another 20% decrease." And so the 1580 01:02:44,480 --> 01:02:46,160 business is almost always operating 1581 01:02:46,160 --> 01:02:47,760 below 1582 01:02:47,760 --> 01:02:49,599 its hypothetical capacity because you're 1583 01:02:49,599 --> 01:02:51,680 constantly changing things. And so I 1584 01:02:51,680 --> 01:02:52,559 would say one of the biggest things 1585 01:02:52,559 --> 01:02:53,440 that's changed about me as an 1586 01:02:53,440 --> 01:02:54,640 entrepreneur as I've gotten, you know, 1587 01:02:54,640 --> 01:02:56,480 developed more is that I just change 1588 01:02:56,480 --> 01:02:58,319 fewer things. And if something's going 1589 01:02:58,319 --> 01:03:00,400 to change, it better be worth it because 1590 01:03:00,400 --> 01:03:01,680 we're going to disrupt a ton of 1591 01:03:01,680 --> 01:03:02,799 different process flows, a ton of 1592 01:03:02,799 --> 01:03:04,240 different teammates. And one of the 1593 01:03:04,240 --> 01:03:06,880 things that you will find in general, 1594 01:03:06,880 --> 01:03:08,160 and this is kind of a fun one that again 1595 01:03:08,160 --> 01:03:10,000 you can extrapolate out, if you change 1596 01:03:10,000 --> 01:03:11,440 nothing about a business, it'll usually 1597 01:03:11,440 --> 01:03:14,319 improve by like 3% a year. If you change 1598 01:03:14,319 --> 01:03:16,400 nothing, right? That's why GDP in 1599 01:03:16,400 --> 01:03:17,839 general just grows by that amount. And 1600 01:03:17,839 --> 01:03:19,359 it's not because of population growth, 1601 01:03:19,359 --> 01:03:21,520 right? And so when we see this, I'm 1602 01:03:21,520 --> 01:03:23,599 like, okay, well, there's some degree of 1603 01:03:23,599 --> 01:03:24,880 population growth. But the point is this 1604 01:03:24,880 --> 01:03:26,559 is that if you just leave people alone, 1605 01:03:26,559 --> 01:03:27,760 they tend to get better at their jobs. 1606 01:03:27,760 --> 01:03:28,880 They just tend to get more efficient. 1607 01:03:28,880 --> 01:03:30,000 They develop the skills. They do more 1608 01:03:30,000 --> 01:03:31,599 repetitions, they get good. And when 1609 01:03:31,599 --> 01:03:32,720 that happens, the business just 1610 01:03:32,720 --> 01:03:35,359 improves, which is pretty sweet. And so 1611 01:03:35,359 --> 01:03:36,640 I've seen some of the biggest gains in 1612 01:03:36,640 --> 01:03:37,760 businesses sometimes when I just like 1613 01:03:37,760 --> 01:03:39,039 make my change and I just leave it 1614 01:03:39,039 --> 01:03:41,599 alone. And that's why lay some be like 1615 01:03:41,599 --> 01:03:43,119 just go away, go find a project, go 1616 01:03:43,119 --> 01:03:46,160 write another book, right? Um and so I 1617 01:03:46,160 --> 01:03:47,599 bring this up because I think many of 1618 01:03:47,599 --> 01:03:49,920 you may be guilty of this like I was for 1619 01:03:49,920 --> 01:03:51,359 I mean I still this is like an 1620 01:03:51,359 --> 01:03:52,960 addiction. you have to like, you know, I 1621 01:03:52,960 --> 01:03:56,480 fight it every day, right? But me 1622 01:03:56,480 --> 01:03:58,160 understanding that there is a fixed cost 1623 01:03:58,160 --> 01:04:01,920 of change with a variable upside has 1624 01:04:01,920 --> 01:04:03,359 dramatically reduced the number of 1625 01:04:03,359 --> 01:04:04,559 things that I'm willing to take the bet 1626 01:04:04,559 --> 01:04:07,559 on. 1627 01:04:08,160 --> 01:04:09,920 So, 1628 01:04:09,920 --> 01:04:14,640 that's my 20% minimum gain rule. Now, 1629 01:04:14,640 --> 01:04:15,920 this should look familiar to some of you 1630 01:04:15,920 --> 01:04:18,079 guys. Are you guys digging this, by the 1631 01:04:18,079 --> 01:04:21,359 way? that would uh I need to I need the 1632 01:04:21,359 --> 01:04:23,599 the approval of others in order to fill 1633 01:04:23,599 --> 01:04:26,559 the hole in my soul. Uh 1634 01:04:26,559 --> 01:04:29,760 I'm kidding. Um so if we're still back 1635 01:04:29,760 --> 01:04:34,680 on uh why not more, right? 1636 01:04:34,720 --> 01:04:36,960 Why aren't we doing 1637 01:04:36,960 --> 01:04:39,119 spending more money on ads? Why aren't 1638 01:04:39,119 --> 01:04:41,599 we making more creative? Why aren't we 1639 01:04:41,599 --> 01:04:45,039 adding more platforms? Right? More is 1640 01:04:45,039 --> 01:04:46,799 going to immediately make us more of the 1641 01:04:46,799 --> 01:04:49,440 core four, right? 1642 01:04:49,440 --> 01:04:50,640 And hopefully this should be familiar 1643 01:04:50,640 --> 01:04:52,880 with you guys and appreciate I just I 1644 01:04:52,880 --> 01:04:54,559 have a five-second delay. So I'm like I 1645 01:04:54,559 --> 01:04:55,599 make a point and be like I thought this 1646 01:04:55,599 --> 01:04:56,720 was a good point and I'll see nothing in 1647 01:04:56,720 --> 01:04:58,720 the chat and then I I see it. So I 1648 01:04:58,720 --> 01:05:01,280 appreciate you guys. Okay. So if we're 1649 01:05:01,280 --> 01:05:03,039 saying why can't we do more? Why can't 1650 01:05:03,039 --> 01:05:04,240 we spend more money on ads? Why can't we 1651 01:05:04,240 --> 01:05:05,440 make more creative? Why can't we make 1652 01:05:05,440 --> 01:05:07,839 more uh post across Instagram and Tik 1653 01:05:07,839 --> 01:05:10,880 Tok, right? All this stuff. Content 1654 01:05:10,880 --> 01:05:13,039 same. Can we spend more make more 1655 01:05:13,039 --> 01:05:15,039 creative? Can we also add in tech? Can 1656 01:05:15,039 --> 01:05:16,880 we do we need to recruit more people on 1657 01:05:16,880 --> 01:05:18,720 our media team in order to produce more 1658 01:05:18,720 --> 01:05:21,359 content? Okay, then let's do that. If we 1659 01:05:21,359 --> 01:05:22,799 have outreach as our primary way of 1660 01:05:22,799 --> 01:05:24,559 getting customers or getting affiliates, 1661 01:05:24,559 --> 01:05:26,160 right? We can spend more money on it. We 1662 01:05:26,160 --> 01:05:27,680 can put more messages out there. We can 1663 01:05:27,680 --> 01:05:29,119 do outreach on more platforms. We can 1664 01:05:29,119 --> 01:05:30,559 add more technology and we can add more 1665 01:05:30,559 --> 01:05:33,119 people. All of those things are very low 1666 01:05:33,119 --> 01:05:35,200 riskadjusted moors. And right now, if 1667 01:05:35,200 --> 01:05:37,440 you have that opportunity, you should do 1668 01:05:37,440 --> 01:05:40,079 it. 1669 01:05:40,079 --> 01:05:42,400 More works for astonishingly longer than 1670 01:05:42,400 --> 01:05:45,599 you expect. 1671 01:05:45,760 --> 01:05:47,680 So, I'll give you a couple reframes on 1672 01:05:47,680 --> 01:05:48,640 this because I think this is so 1673 01:05:48,640 --> 01:05:50,240 powerful. And if if you just got this in 1674 01:05:50,240 --> 01:05:53,200 terms of like if if I just if I just got 1675 01:05:53,200 --> 01:05:56,240 this through to 20% of you, I would see 1676 01:05:56,240 --> 01:05:58,240 today as a massive win. But you guys 1677 01:05:58,240 --> 01:05:59,200 have probably heard the story of the 1678 01:05:59,200 --> 01:06:01,599 pottery class. Teacher has two classes, 1679 01:06:01,599 --> 01:06:03,039 tells class one, we're going to grade 1680 01:06:03,039 --> 01:06:04,480 you on the person who makes the best 1681 01:06:04,480 --> 01:06:06,720 pot. Class two, he says, "Hey, I'm gonna 1682 01:06:06,720 --> 01:06:08,079 grade you on the number of pots you 1683 01:06:08,079 --> 01:06:10,240 make." At the end of the semester, 1684 01:06:10,240 --> 01:06:11,760 what's interesting about this little 1685 01:06:11,760 --> 01:06:15,839 story is that the class that did the 1686 01:06:15,839 --> 01:06:19,839 most pots not only made more pots, but 1687 01:06:19,839 --> 01:06:22,000 also their pots were better than the 1688 01:06:22,000 --> 01:06:23,520 ones that obsessed on trying to make the 1689 01:06:23,520 --> 01:06:27,359 best pot. Because quantity begets 1690 01:06:27,359 --> 01:06:30,319 quality. Doing more of stuff makes you 1691 01:06:30,319 --> 01:06:32,960 better at doing the stuff, which is why 1692 01:06:32,960 --> 01:06:34,559 I try to count in hundreds, right? 1693 01:06:34,559 --> 01:06:35,599 Right. I'll see someone say like, you 1694 01:06:35,599 --> 01:06:37,200 know, I had a couple of the Hormosi 1695 01:06:37,200 --> 01:06:38,960 hotlines that you guys probably heard. 1696 01:06:38,960 --> 01:06:41,599 Hey, uh, you know, I' I I've got seven 1697 01:06:41,599 --> 01:06:43,520 customers. Okay, fine. Got seven 1698 01:06:43,520 --> 01:06:45,200 customers. And I'm like, okay, how'd you 1699 01:06:45,200 --> 01:06:46,400 get the customers? Well, you know, I got 1700 01:06:46,400 --> 01:06:48,240 three of them from cold outreach and I 1701 01:06:48,240 --> 01:06:50,000 got one from attending an event and I 1702 01:06:50,000 --> 01:06:51,440 got, you know, one from a referral, 1703 01:06:51,440 --> 01:06:53,440 whatever. And it's like, okay, so of 1704 01:06:53,440 --> 01:06:54,880 those, there's clear input outputs, you 1705 01:06:54,880 --> 01:06:55,839 can go to more events. There's clear 1706 01:06:55,839 --> 01:06:57,680 input outputs, you can do more outreach. 1707 01:06:57,680 --> 01:07:00,799 Why aren't you doing more? 1708 01:07:00,799 --> 01:07:02,480 Well, I didn't have the data. Metrics 1709 01:07:02,480 --> 01:07:03,839 number one, right? It's the next it's 1710 01:07:03,839 --> 01:07:05,760 the next M, right? But this is why we 1711 01:07:05,760 --> 01:07:07,599 count in hundreds. So like I don't even 1712 01:07:07,599 --> 01:07:09,200 I can't even accept that we've done a 1713 01:07:09,200 --> 01:07:10,559 sufficient amount of anything until 1714 01:07:10,559 --> 01:07:12,880 we've done it a 100 times. Like a 1715 01:07:12,880 --> 01:07:14,880 hundred becomes your measuring stick. 1716 01:07:14,880 --> 01:07:17,680 You want to make content, do a hundred. 1717 01:07:17,680 --> 01:07:19,119 You want to you want to you want to do 1718 01:07:19,119 --> 01:07:22,240 outreach 100 a day. Like it just it just 1719 01:07:22,240 --> 01:07:24,400 it takes so much more volume. Like 1720 01:07:24,400 --> 01:07:26,720 that's what I want to translate. And so 1721 01:07:26,720 --> 01:07:29,440 right now the symptom of this if you 1722 01:07:29,440 --> 01:07:30,480 know if you're suffering from 1723 01:07:30,480 --> 01:07:32,079 insufficient volume is because things 1724 01:07:32,079 --> 01:07:34,880 are volatile. Things are erratic. Some 1725 01:07:34,880 --> 01:07:36,240 months you have two sales, some months 1726 01:07:36,240 --> 01:07:39,680 you have four. What's going on? The the 1727 01:07:39,680 --> 01:07:42,000 problem is you're not doing enough. And 1728 01:07:42,000 --> 01:07:44,079 so if we think about the problem of the 1729 01:07:44,079 --> 01:07:46,079 business as insufficient advertising. We 1730 01:07:46,079 --> 01:07:48,799 have not advertised enough. Then two 1731 01:07:48,799 --> 01:07:51,119 sales let's say over a month means that 1732 01:07:51,119 --> 01:07:52,960 you do x amount of advertising to get 1733 01:07:52,960 --> 01:07:54,799 two sales. And so if we want to get to 1734 01:07:54,799 --> 01:07:57,200 two sales a day, we have to do 30 times 1735 01:07:57,200 --> 01:07:59,440 that level of advertising 1736 01:07:59,440 --> 01:08:01,440 per day 1737 01:08:01,440 --> 01:08:03,680 to get the goal. And that takes us from 1738 01:08:03,680 --> 01:08:06,799 two a month to two a day. That's it. And 1739 01:08:06,799 --> 01:08:08,240 you're like, there's no way I could do 1740 01:08:08,240 --> 01:08:10,559 that kind of volume. Of course, you can. 1741 01:08:10,559 --> 01:08:12,400 It just takes time. But at least if 1742 01:08:12,400 --> 01:08:14,480 you're attacking from that perspective, 1743 01:08:14,480 --> 01:08:17,040 you're far more likely to achieve it. 1744 01:08:17,040 --> 01:08:19,040 And so, um, some of you guys have heard 1745 01:08:19,040 --> 01:08:20,560 this one. I think it's I'm not sure. I 1746 01:08:20,560 --> 01:08:21,600 can't remember if this is the story I 1747 01:08:21,600 --> 01:08:24,719 use in the book. Um, but old mentor of 1748 01:08:24,719 --> 01:08:26,640 mine, I start my gym up. Uh, don't have 1749 01:08:26,640 --> 01:08:28,400 enough customers. He crushed it with 1750 01:08:28,400 --> 01:08:30,400 flyers. He said, "Hey, put a flyer out." 1751 01:08:30,400 --> 01:08:32,719 I say, "Okay." I put 300 flyers out on 1752 01:08:32,719 --> 01:08:35,120 cars. I wait for the the phone to ring. 1753 01:08:35,120 --> 01:08:36,640 Phone only rings one time. It's a guy 1754 01:08:36,640 --> 01:08:38,000 who tells me that I dinged his Mercedes. 1755 01:08:38,000 --> 01:08:38,960 I immediately hung up because I was 1756 01:08:38,960 --> 01:08:39,839 like, "I don't have the money to fix 1757 01:08:39,839 --> 01:08:42,400 this." And so, I call my my my mentor 1758 01:08:42,400 --> 01:08:43,759 back like a couple weeks later and I 1759 01:08:43,759 --> 01:08:45,839 say, "Hey, put the flyers out." And he's 1760 01:08:45,839 --> 01:08:47,120 like, "Oh, yeah. How'd those work?" and 1761 01:08:47,120 --> 01:08:48,560 he's like, you know, excited and upbeat 1762 01:08:48,560 --> 01:08:50,159 and I was like ready to give him like a 1763 01:08:50,159 --> 01:08:52,239 verbal lashing of like, I did it and 1764 01:08:52,239 --> 01:08:54,239 your idea didn't work, right? And he 1765 01:08:54,239 --> 01:08:56,480 said, uh, and so I was like, yeah, I I 1766 01:08:56,480 --> 01:08:58,239 put out the the flyers and I didn't get 1767 01:08:58,239 --> 01:08:59,920 anything back. And he said, well, what 1768 01:08:59,920 --> 01:09:01,839 was your test size? First question he 1769 01:09:01,839 --> 01:09:03,920 asked. And I was like, what do you mean? 1770 01:09:03,920 --> 01:09:05,520 He was like, what was your test size? I 1771 01:09:05,520 --> 01:09:08,799 was like, why I put 300 out? And I said 1772 01:09:08,799 --> 01:09:10,480 it so like I was like, I put 300 out. 1773 01:09:10,480 --> 01:09:12,159 What are you talking about? He's like, 1774 01:09:12,159 --> 01:09:13,520 oh, he's like, hard to know if anything 1775 01:09:13,520 --> 01:09:16,000 works at 300. He's like, "We test with 1776 01:09:16,000 --> 01:09:17,520 5,000." And he's like, "And then once it 1777 01:09:17,520 --> 01:09:21,120 works, we'll do 5,000 flyers a day." 1778 01:09:21,120 --> 01:09:26,960 Oh, got it. 150,000 flyers a month, 1779 01:09:26,960 --> 01:09:31,120 not 300 one time. 1780 01:09:31,120 --> 01:09:33,120 And so I say this because like you you 1781 01:09:33,120 --> 01:09:34,880 can't imagine that someone's doing three 1782 01:09:34,880 --> 01:09:37,359 times your volume or five times like 1783 01:09:37,359 --> 01:09:38,799 there's no way. It's like in that 1784 01:09:38,799 --> 01:09:40,480 instance he was doing 500 times my 1785 01:09:40,480 --> 01:09:44,239 volume like real or 5,000 whatever the 1786 01:09:44,239 --> 01:09:47,120 math is there a lot right people can do 1787 01:09:47,120 --> 01:09:49,759 that much more volume right like we make 1788 01:09:49,759 --> 01:09:51,120 I don't know what the number is shy's 1789 01:09:51,120 --> 01:09:53,520 behind the camera I'm guessing 500 450 1790 01:09:53,520 --> 01:09:56,800 pieces of content a week it's a lot it's 1791 01:09:56,800 --> 01:09:59,760 a lot for like my content why isn't my 1792 01:09:59,760 --> 01:10:01,199 content work it's like dude I literally 1793 01:10:01,199 --> 01:10:05,600 do 20 times more 50 times more but not 1794 01:10:05,600 --> 01:10:07,280 only do I do 50 times more I've done it 1795 01:10:07,280 --> 01:10:11,360 for five years, 50 times more. 1796 01:10:11,360 --> 01:10:12,880 And so that is it's almost like I made 1797 01:10:12,880 --> 01:10:14,640 these slides. So AC that's that's our 1798 01:10:14,640 --> 01:10:17,920 current volume, right? And so if you're 1799 01:10:17,920 --> 01:10:19,840 and this is a special call out, if 1800 01:10:19,840 --> 01:10:20,960 you're at less than a million dollars a 1801 01:10:20,960 --> 01:10:22,880 year, almost guaranteed you're just not 1802 01:10:22,880 --> 01:10:25,360 doing enough. Like nine times out of 10, 1803 01:10:25,360 --> 01:10:27,120 like I I could just hang up the phone. 1804 01:10:27,120 --> 01:10:28,080 This is what you're just not doing 1805 01:10:28,080 --> 01:10:29,360 enough. You're just not doing enough. 1806 01:10:29,360 --> 01:10:30,880 Not even close. Sometimes there's 1807 01:10:30,880 --> 01:10:32,159 strategy issues. We'll get to that in a 1808 01:10:32,159 --> 01:10:34,000 second. But like more times than not, 1809 01:10:34,000 --> 01:10:35,120 you just need to do more because you 1810 01:10:35,120 --> 01:10:36,080 don't even know if anything's working 1811 01:10:36,080 --> 01:10:38,080 because you're not doing enough. 1812 01:10:38,080 --> 01:10:39,679 And so one of the difficulties of this 1813 01:10:39,679 --> 01:10:41,520 is it's not only doing like the only way 1814 01:10:41,520 --> 01:10:43,280 to do a tremendous amount is to do it 1815 01:10:43,280 --> 01:10:44,719 for a long period of time, right? 1816 01:10:44,719 --> 01:10:46,560 Because like if I did 450 for one week, 1817 01:10:46,560 --> 01:10:47,840 it wouldn't do that much. It would do 1818 01:10:47,840 --> 01:10:50,080 more than doing nothing, right? But if I 1819 01:10:50,080 --> 01:10:51,920 want to do 35,000 pieces of content, the 1820 01:10:51,920 --> 01:10:53,040 likelihood I can do that in a week is 1821 01:10:53,040 --> 01:10:54,560 low. Like it's just a lot of work, 1822 01:10:54,560 --> 01:10:56,800 right? Which is like why time unlocks 1823 01:10:56,800 --> 01:10:59,199 increasing amounts of volume. And what's 1824 01:10:59,199 --> 01:11:00,640 difficult about consistency, it's very 1825 01:11:00,640 --> 01:11:02,480 hard to observe. Which is why like when 1826 01:11:02,480 --> 01:11:03,600 people come and start working at 1827 01:11:03,600 --> 01:11:05,920 acquisition.com, you can only observe 1828 01:11:05,920 --> 01:11:09,040 consistency by consistently observing, 1829 01:11:09,040 --> 01:11:11,440 right? Like if you want to see me show 1830 01:11:11,440 --> 01:11:13,440 up every day at 4:00 or 5, you know, in 1831 01:11:13,440 --> 01:11:15,199 the morning, you've got to be here at 1832 01:11:15,199 --> 01:11:16,960 4:00 or 5 in the morning every day to 1833 01:11:16,960 --> 01:11:18,640 see that. And if you do it for a week, 1834 01:11:18,640 --> 01:11:20,000 you still haven't observed the 1835 01:11:20,000 --> 01:11:22,159 consistency of a year of years of doing 1836 01:11:22,159 --> 01:11:24,000 something like that. And so I bring this 1837 01:11:24,000 --> 01:11:25,920 up because like consistency is the 1838 01:11:25,920 --> 01:11:29,199 secret and it's so hard to see and you 1839 01:11:29,199 --> 01:11:33,960 have to be consistent to observe it. 1840 01:11:36,320 --> 01:11:39,840 And so if we have uh a business, which 1841 01:11:39,840 --> 01:11:42,239 we all do, so great. Hold on. Let me 1842 01:11:42,239 --> 01:11:44,960 show you what this uh what this looks 1843 01:11:44,960 --> 01:11:47,960 like. 1844 01:11:48,239 --> 01:11:53,480 So, let's say we've got this black box. 1845 01:12:10,800 --> 01:12:12,960 Okay. 1846 01:12:12,960 --> 01:12:14,560 If you think about a business in in the 1847 01:12:14,560 --> 01:12:17,040 simplest sense possible, you've got 1848 01:12:17,040 --> 01:12:19,440 advertising which is the inputs. You've 1849 01:12:19,440 --> 01:12:21,760 got some money-making box and then money 1850 01:12:21,760 --> 01:12:23,920 comes out. You turn raw attention into 1851 01:12:23,920 --> 01:12:26,719 money. That's the that's the machine. 1852 01:12:26,719 --> 01:12:28,960 Okay. 1853 01:12:28,960 --> 01:12:31,520 So, it would follow that the first thing 1854 01:12:31,520 --> 01:12:33,360 to do to make more dollars come out of 1855 01:12:33,360 --> 01:12:37,360 this side is just jam more here. 1856 01:12:37,360 --> 01:12:38,880 And people just don't do that. They're 1857 01:12:38,880 --> 01:12:40,239 like, "No, I would rather mess with my 1858 01:12:40,239 --> 01:12:41,520 black box." It's like, dude, we could 1859 01:12:41,520 --> 01:12:44,560 just jam more in. Just jam. Like, why 1860 01:12:44,560 --> 01:12:47,840 not more? Tell me. Why not more? For the 1861 01:12:47,840 --> 01:12:51,440 love of Pete. More. Okay. Hopefully I 1862 01:12:51,440 --> 01:12:54,000 hopefully I ran that one in. Um, and 1863 01:12:54,000 --> 01:12:55,280 what's interesting about this too is 1864 01:12:55,280 --> 01:12:56,800 that some of you guys are like crushing 1865 01:12:56,800 --> 01:12:58,560 it and don't even know it. Like I I'll 1866 01:12:58,560 --> 01:12:59,600 have a call where someone say like, 1867 01:12:59,600 --> 01:13:01,120 "Hey, you know, I'm getting I'm getting 1868 01:13:01,120 --> 01:13:02,719 20 to1 on my advertising and I'm 1869 01:13:02,719 --> 01:13:03,920 spending $1,000 a month." I'm like, 1870 01:13:03,920 --> 01:13:05,280 "Dude, imagine if you spent, you know, a 1871 01:13:05,280 --> 01:13:08,560 hundred, right?" Um, because when it 1872 01:13:08,560 --> 01:13:09,840 gets easy is when you go hard. What's 1873 01:13:09,840 --> 01:13:10,880 interesting is that it's usually the 1874 01:13:10,880 --> 01:13:12,320 opposite for most people. When something 1875 01:13:12,320 --> 01:13:13,679 really starts working, they let off the 1876 01:13:13,679 --> 01:13:15,199 gas. They're like, "Well, it's working." 1877 01:13:15,199 --> 01:13:16,719 It's like, "Dude, like you don't know 1878 01:13:16,719 --> 01:13:18,560 how long it's going to work for, like 1879 01:13:18,560 --> 01:13:20,080 this is when you lean in. This is when 1880 01:13:20,080 --> 01:13:22,000 you go hard." 1881 01:13:22,000 --> 01:13:24,159 And so my reminder here is that if the 1882 01:13:24,159 --> 01:13:27,040 answer uh is nothing is stopping you 1883 01:13:27,040 --> 01:13:29,360 from doing more, then that's it. Go do 1884 01:13:29,360 --> 01:13:30,880 more of what works. The goal is to get 1885 01:13:30,880 --> 01:13:33,120 off at the first and earliest exit here. 1886 01:13:33,120 --> 01:13:34,719 All right. 1887 01:13:34,719 --> 01:13:38,800 So, that was the first M of the Mosy 6. 1888 01:13:38,800 --> 01:13:41,679 Now, let's cover the second. 1889 01:13:41,679 --> 01:13:43,679 Yeah, Jordan French, you're getting 7x 1890 01:13:43,679 --> 01:13:45,360 row ads, uh, but you're only spending 1891 01:13:45,360 --> 01:13:49,360 2,000 a month. Why not more? 1892 01:13:49,360 --> 01:13:51,760 So, here are some reasons. Uh, more 1893 01:13:51,760 --> 01:13:53,280 isn't the answer. So, the first most 1894 01:13:53,280 --> 01:13:54,960 common, like these are not necessarily 1895 01:13:54,960 --> 01:13:56,719 the most common, but I did these in 1896 01:13:56,719 --> 01:13:58,719 order of like how I think through it. 1897 01:13:58,719 --> 01:14:00,239 So, it might be like I don't know what 1898 01:14:00,239 --> 01:14:01,520 my ads I don't know what I'm spending 1899 01:14:01,520 --> 01:14:02,480 and I don't know what I'm making. It's 1900 01:14:02,480 --> 01:14:05,600 like we'll do we can't do anything. like 1901 01:14:05,600 --> 01:14:06,960 we can't do more because you don't know 1902 01:14:06,960 --> 01:14:08,880 if more is work if any is working right 1903 01:14:08,880 --> 01:14:10,239 so it's like let's get our numbers this 1904 01:14:10,239 --> 01:14:13,199 where the metrics comes in right uh and 1905 01:14:13,199 --> 01:14:15,920 so this is where data knowing becomes 1906 01:14:15,920 --> 01:14:17,280 the priorities that means you stop what 1907 01:14:17,280 --> 01:14:18,960 you're doing you maintain the you know 1908 01:14:18,960 --> 01:14:20,800 obviously keep making the sausage but 1909 01:14:20,800 --> 01:14:22,800 the rest of your resources go towards we 1910 01:14:22,800 --> 01:14:24,320 have to track we have to know how many 1911 01:14:24,320 --> 01:14:25,520 people are walking in the door we have 1912 01:14:25,520 --> 01:14:26,640 to know how many phone calls are coming 1913 01:14:26,640 --> 01:14:27,679 in we have to know how many people are 1914 01:14:27,679 --> 01:14:29,199 buying we have to start tracking the 1915 01:14:29,199 --> 01:14:32,960 basic metrics of the business 1916 01:14:32,960 --> 01:14:35,360 and I I say this so heavy-handedly right 1917 01:14:35,360 --> 01:14:36,880 but I also want to balance it with a 1918 01:14:36,880 --> 01:14:38,159 very important point which is that you 1919 01:14:38,159 --> 01:14:41,520 have to balance it with your gut meaning 1920 01:14:41,520 --> 01:14:44,239 you will never have complete data like 1921 01:14:44,239 --> 01:14:46,320 this is a like not never like you will 1922 01:14:46,320 --> 01:14:47,760 have okay you will never have complete 1923 01:14:47,760 --> 01:14:50,239 data on everything in your business but 1924 01:14:50,239 --> 01:14:53,280 you will have some data and so the game 1925 01:14:53,280 --> 01:14:55,280 of entrepreneurship is oftentimes making 1926 01:14:55,280 --> 01:14:57,760 decisions with incomplete data but at 1927 01:14:57,760 --> 01:15:00,640 least you can get directional well when 1928 01:15:00,640 --> 01:15:02,480 we spend more money on ads we make more 1929 01:15:02,480 --> 01:15:03,679 money every month and when we don't 1930 01:15:03,679 --> 01:15:05,280 spend money on ads we don't make. I 1931 01:15:05,280 --> 01:15:06,719 didn't track anything. I don't know what 1932 01:15:06,719 --> 01:15:08,640 the rorowaz is, right? Like the more 1933 01:15:08,640 --> 01:15:10,719 specific we can be, the more surgical we 1934 01:15:10,719 --> 01:15:12,239 can be in terms of juicing the hell out 1935 01:15:12,239 --> 01:15:14,640 of it. But the at the simplest level, if 1936 01:15:14,640 --> 01:15:16,719 we spend money on ads, then we make 1937 01:15:16,719 --> 01:15:18,640 more. Great. Let's try and do more of 1938 01:15:18,640 --> 01:15:22,400 that. It's a decent bet, right? And so 1939 01:15:22,400 --> 01:15:24,239 the next framework is, okay, I think if 1940 01:15:24,239 --> 01:15:26,320 this is directionally correct, is it 1941 01:15:26,320 --> 01:15:28,400 reversible or irreversible? Is me 1942 01:15:28,400 --> 01:15:29,679 spending money on ads going to be a 1943 01:15:29,679 --> 01:15:30,960 reversible decision? Yeah, I could just 1944 01:15:30,960 --> 01:15:32,080 stop spending money on ads. It's not a 1945 01:15:32,080 --> 01:15:33,920 big deal. Now if I spend my life savings 1946 01:15:33,920 --> 01:15:35,360 on it and I have no backup that would be 1947 01:15:35,360 --> 01:15:37,360 an irreversible decision, right? So this 1948 01:15:37,360 --> 01:15:41,679 is how we think through bets, right? 1949 01:15:41,679 --> 01:15:43,840 And so I think this is super important 1950 01:15:43,840 --> 01:15:46,400 because many many businesses are 1951 01:15:46,400 --> 01:15:48,159 actually not limited by anything but the 1952 01:15:48,159 --> 01:15:51,360 entrepreneurs's ability to decide 1953 01:15:51,360 --> 01:15:53,760 like really want you to take this in and 1954 01:15:53,760 --> 01:15:55,760 again this took me like not just like a 1955 01:15:55,760 --> 01:15:57,280 couple years but like probably over a 1956 01:15:57,280 --> 01:15:59,760 decade to figure out which is the speed 1957 01:15:59,760 --> 01:16:01,760 of my business is proportional to my 1958 01:16:01,760 --> 01:16:03,760 speed of my ability to make decisions. 1959 01:16:03,760 --> 01:16:05,120 And so fundamentally well then what is a 1960 01:16:05,120 --> 01:16:06,880 decision? Well, once we make a decision, 1961 01:16:06,880 --> 01:16:09,199 we begin to allocate a resource. And so 1962 01:16:09,199 --> 01:16:10,640 the speed of the business is based on 1963 01:16:10,640 --> 01:16:12,320 your speed of your ability to allocate 1964 01:16:12,320 --> 01:16:14,400 resources, which is going to reverse 1965 01:16:14,400 --> 01:16:17,679 back into your ability to decide, right? 1966 01:16:17,679 --> 01:16:20,480 And so that decision-m 1967 01:16:20,480 --> 01:16:22,800 your ability to be definitive, like you 1968 01:16:22,800 --> 01:16:24,159 should decide very quickly on things 1969 01:16:24,159 --> 01:16:25,679 that are reversible. It's not the end of 1970 01:16:25,679 --> 01:16:27,440 the world. And I think what happens, 1971 01:16:27,440 --> 01:16:28,560 especially as a business gets a little 1972 01:16:28,560 --> 01:16:29,520 bit bigger, you have more decision 1973 01:16:29,520 --> 01:16:31,520 makers, people start to treat all 1974 01:16:31,520 --> 01:16:32,640 decisions as though they are 1975 01:16:32,640 --> 01:16:35,600 irreversible because people hold other 1976 01:16:35,600 --> 01:16:38,080 people accountable for mistakes. And I 1977 01:16:38,080 --> 01:16:39,520 think this is what creates a culture of 1978 01:16:39,520 --> 01:16:41,440 fear. And so it's like you have I mean 1979 01:16:41,440 --> 01:16:42,719 there's a very long time that Facebook, 1980 01:16:42,719 --> 01:16:44,400 one of Facebook's core values was uh 1981 01:16:44,400 --> 01:16:46,400 move fast and break stuff. is that that 1982 01:16:46,400 --> 01:16:47,840 was a value of theirs. Like we have to 1983 01:16:47,840 --> 01:16:49,520 be willing to just ship it and see what 1984 01:16:49,520 --> 01:16:51,520 happens and if it if it breaks we can we 1985 01:16:51,520 --> 01:16:54,800 can roll it back. And 1986 01:16:54,800 --> 01:16:56,880 the speed of decisions and here's where 1987 01:16:56,880 --> 01:16:59,120 it gets here's where it gets nasty is 1988 01:16:59,120 --> 01:17:01,360 typically proportional to the quality 1989 01:17:01,360 --> 01:17:03,280 and quantity of data because when you 1990 01:17:03,280 --> 01:17:05,520 have very clear data speed of decision 1991 01:17:05,520 --> 01:17:07,280 goes up because the data is very clear. 1992 01:17:07,280 --> 01:17:08,880 It paints a clear picture. If you had 1993 01:17:08,880 --> 01:17:10,480 all the data you could make the decision 1994 01:17:10,480 --> 01:17:12,480 immediately with high confidence. And so 1995 01:17:12,480 --> 01:17:14,159 this is where data although it feels 1996 01:17:14,159 --> 01:17:16,880 like a very boring subject allows you to 1997 01:17:16,880 --> 01:17:18,159 move the business faster because it 1998 01:17:18,159 --> 01:17:19,360 allows you to decide faster which allows 1999 01:17:19,360 --> 01:17:20,719 you to allocate resources faster which 2000 01:17:20,719 --> 01:17:22,880 allows you to get returns faster. That's 2001 01:17:22,880 --> 01:17:24,800 the cycle. 2002 01:17:24,800 --> 01:17:26,719 And so if you can't do more because you 2003 01:17:26,719 --> 01:17:28,320 don't know your numbers then knowing 2004 01:17:28,320 --> 01:17:29,520 your numbers becomes priority number 2005 01:17:29,520 --> 01:17:31,440 one. 2006 01:17:31,440 --> 01:17:32,880 And so one of the things that I I like 2007 01:17:32,880 --> 01:17:34,880 to frame for like when the you know the 2008 01:17:34,880 --> 01:17:36,159 big baller business owners come out and 2009 01:17:36,159 --> 01:17:38,560 they spend $135,000 to to to to hang out 2010 01:17:38,560 --> 01:17:40,080 with me for a day. This is kind of 2011 01:17:40,080 --> 01:17:42,480 light. I do a lot of work but is that 2012 01:17:42,480 --> 01:17:44,000 it's like I provide decisions as a 2013 01:17:44,000 --> 01:17:46,080 service like what are the big juicy 2014 01:17:46,080 --> 01:17:47,440 decisions that we need to make and let's 2015 01:17:47,440 --> 01:17:48,719 make them so that you can feel confident 2016 01:17:48,719 --> 01:17:52,080 in allocating the resources and going. 2017 01:17:52,080 --> 01:17:54,960 So think about that like your job the 2018 01:17:54,960 --> 01:17:56,400 job to be done the job you're hired to 2019 01:17:56,400 --> 01:17:58,000 do as the entrepreneur is that you 2020 01:17:58,000 --> 01:17:59,440 provide decisions as a service to the 2021 01:17:59,440 --> 01:18:01,440 business. The higher up you go it's 2022 01:18:01,440 --> 01:18:03,840 almost entirely your job is just to make 2023 01:18:03,840 --> 01:18:06,080 good decisions. 2024 01:18:06,080 --> 01:18:08,239 So, at the at the most tactical level 2025 01:18:08,239 --> 01:18:10,080 here, make sure you have the basics 2026 01:18:10,080 --> 01:18:13,360 down. So, lead, scheduled, show, sales, 2027 01:18:13,360 --> 01:18:15,679 and then the math ones, like those are 2028 01:18:15,679 --> 01:18:16,719 all like if you don't know how to do 2029 01:18:16,719 --> 01:18:19,440 those, like those you can Google those. 2030 01:18:19,440 --> 01:18:21,040 They're not hard to figure out. And then 2031 01:18:21,040 --> 01:18:24,239 CAC, lifetime gross profit, revenue, uh, 2032 01:18:24,239 --> 01:18:26,400 profit, and then cash flow, right? These 2033 01:18:26,400 --> 01:18:27,520 are the things that you should know how 2034 01:18:27,520 --> 01:18:30,719 to do. Now if you should have the lost 2035 01:18:30,719 --> 01:18:33,120 chapters. Um 2036 01:18:33,120 --> 01:18:34,800 these are the back of nacket methods for 2037 01:18:34,800 --> 01:18:36,560 these are just leads is you just count 2038 01:18:36,560 --> 01:18:39,520 in your CRM right schedules you can 2039 01:18:39,520 --> 01:18:41,679 literally just count shows you can also 2040 01:18:41,679 --> 01:18:44,000 count and then just do a percentages you 2041 01:18:44,000 --> 01:18:46,159 know scheduled over leads gives you how 2042 01:18:46,159 --> 01:18:47,679 many people what your schedule rate is 2043 01:18:47,679 --> 01:18:48,880 your shows over scheduled gives you your 2044 01:18:48,880 --> 01:18:50,560 show rate your sales over your shows 2045 01:18:50,560 --> 01:18:52,960 gives you your close rate right um very 2046 01:18:52,960 --> 01:18:54,560 straightforward your cost to car 2047 01:18:54,560 --> 01:18:57,199 customer I have entire chapters on CAC 2048 01:18:57,199 --> 01:19:00,000 lifetime gross profit and payback period 2049 01:19:00,000 --> 01:19:02,080 inside of the lost chapter book. They're 2050 01:19:02,080 --> 01:19:03,679 also inside the money models course. 2051 01:19:03,679 --> 01:19:05,920 Okay, so uh which is if those of you who 2052 01:19:05,920 --> 01:19:08,800 are in the um in the school group, uh 2053 01:19:08,800 --> 01:19:11,360 it's there and you can also see it on my 2054 01:19:11,360 --> 01:19:12,880 site. Okay, so it's it's free. All 2055 01:19:12,880 --> 01:19:17,440 right, just it's in there. Okay, so we 2056 01:19:17,440 --> 01:19:19,760 want to do more and if we can do more, 2057 01:19:19,760 --> 01:19:22,239 we do more. If we can't do more, the 2058 01:19:22,239 --> 01:19:23,440 first reason that we might not do more 2059 01:19:23,440 --> 01:19:24,480 is because we just don't have the 2060 01:19:24,480 --> 01:19:25,600 metrics. If you don't have the metrics, 2061 01:19:25,600 --> 01:19:26,719 then go get the metrics. That's your 2062 01:19:26,719 --> 01:19:29,840 that's your exit exit ramp. Okay, the 2063 01:19:29,840 --> 01:19:31,920 next one is gonna be market. So, this 2064 01:19:31,920 --> 01:19:33,840 one's interesting. 2065 01:19:33,840 --> 01:19:35,679 So, we say, "Hey, I can't do more 2066 01:19:35,679 --> 01:19:37,280 because my market is too small." And 2067 01:19:37,280 --> 01:19:39,280 that may be true. It's probably not, but 2068 01:19:39,280 --> 01:19:42,480 it may be true. So, if you're a local 2069 01:19:42,480 --> 01:19:45,600 business, it's possible. Uh, I talked to 2070 01:19:45,600 --> 01:19:47,679 somebody on the Rosie hotline during the 2071 01:19:47,679 --> 01:19:48,640 live. I don't know if you guys remember 2072 01:19:48,640 --> 01:19:49,760 this, or some of you guys might have 2073 01:19:49,760 --> 01:19:53,760 been there. Um he had I think it was 140 2074 01:19:53,760 --> 01:19:56,080 people in his town and he had a local 2075 01:19:56,080 --> 01:19:59,120 business that was a lounge. 2076 01:19:59,120 --> 01:20:00,640 Yeah. Like you're not like you're not 2077 01:20:00,640 --> 01:20:01,600 going to scale that to a billion 2078 01:20:01,600 --> 01:20:02,640 dollars. Like there's just there's 2079 01:20:02,640 --> 01:20:04,239 literally no way. I mean literally the 2080 01:20:04,239 --> 01:20:06,719 aggregate economy of the local area is 2081 01:20:06,719 --> 01:20:09,360 140 people's salary times their salary 2082 01:20:09,360 --> 01:20:10,960 or like people times the salary. That's 2083 01:20:10,960 --> 01:20:13,040 it. That's if you that's if 100% of 2084 01:20:13,040 --> 01:20:14,400 people will give you 100% of their 2085 01:20:14,400 --> 01:20:17,679 money. That's it. There's no more. You 2086 01:20:17,679 --> 01:20:18,880 can't do anything else. Just like the 2087 01:20:18,880 --> 01:20:21,040 GDP of the world is limited by 8 point 2088 01:20:21,040 --> 01:20:22,640 whatever billion people that that exists 2089 01:20:22,640 --> 01:20:24,159 like you can't you can't sell more than 2090 01:20:24,159 --> 01:20:29,760 that that's it right um so uh also kind 2091 01:20:29,760 --> 01:20:31,199 of fun fact like you can you can fact 2092 01:20:31,199 --> 01:20:32,480 check because I heard somebody the other 2093 01:20:32,480 --> 01:20:33,760 day one of these tech founders who was 2094 01:20:33,760 --> 01:20:36,239 like you know uh attention on is 2095 01:20:36,239 --> 01:20:38,400 compounding at an exponential rate and I 2096 01:20:38,400 --> 01:20:40,640 thought about that and I was like that's 2097 01:20:40,640 --> 01:20:42,960 not true there's eight billion people 2098 01:20:42,960 --> 01:20:44,320 there's 24 hours that's it that's max 2099 01:20:44,320 --> 01:20:46,159 attention that's all there is like it 2100 01:20:46,159 --> 01:20:47,280 can't compound an exponential rate 2101 01:20:47,280 --> 01:20:48,080 there's eight billion of us there's 2102 01:20:48,080 --> 01:20:48,880 There's only so many eyeballs and 2103 01:20:48,880 --> 01:20:51,120 earballs. That's it. And so there are 2104 01:20:51,120 --> 01:20:53,600 there are real maximums. However, 2105 01:20:53,600 --> 01:20:56,880 they're typically so much higher than 2106 01:20:56,880 --> 01:20:59,360 you think they are. And so if you were 2107 01:20:59,360 --> 01:21:01,280 local, it's possible. If you're anything 2108 01:21:01,280 --> 01:21:03,679 else, if you sell nationally, you sell 2109 01:21:03,679 --> 01:21:06,159 internationally, you sell online, it's 2110 01:21:06,159 --> 01:21:07,679 super unlikely that you've saturated 2111 01:21:07,679 --> 01:21:09,760 your quote market. 2112 01:21:09,760 --> 01:21:11,120 And also to the same degree, if you are 2113 01:21:11,120 --> 01:21:12,320 in a local business, you could just go 2114 01:21:12,320 --> 01:21:14,159 to another market, which is fine. But if 2115 01:21:14,159 --> 01:21:16,880 you're like, I've maxed out. I I'm in, 2116 01:21:16,880 --> 01:21:18,480 you know, a town of 400 people in 2117 01:21:18,480 --> 01:21:20,960 Kentucky and I have I have a gym. Yeah. 2118 01:21:20,960 --> 01:21:22,480 Well, you know, you if you have all 400 2119 01:21:22,480 --> 01:21:24,000 people, like you you got it, you know, 2120 01:21:24,000 --> 01:21:25,199 like now we got to do another one, 2121 01:21:25,199 --> 01:21:28,000 right? And so I I would encourage you to 2122 01:21:28,000 --> 01:21:30,560 Google industry revenue because it's a 2123 01:21:30,560 --> 01:21:32,239 great way to humble yourself when you're 2124 01:21:32,239 --> 01:21:33,600 like, you know what, uh I think I've 2125 01:21:33,600 --> 01:21:34,960 got, you know, we're doing $2 million a 2126 01:21:34,960 --> 01:21:36,159 year and I think I've saturated the 2127 01:21:36,159 --> 01:21:38,880 niche of of uh chiropractor agencies, 2128 01:21:38,880 --> 01:21:42,159 right? It's like, no, you haven't. And 2129 01:21:42,159 --> 01:21:43,520 what's crazy about this is that this is 2130 01:21:43,520 --> 01:21:46,000 one of the most commonly stated reasons 2131 01:21:46,000 --> 01:21:47,920 that I get for why someone can't grow. 2132 01:21:47,920 --> 01:21:49,840 And it's also one of the least correct 2133 01:21:49,840 --> 01:21:52,000 and least commonly true, right? Like if 2134 01:21:52,000 --> 01:21:53,040 you're actually, you know what's funny 2135 01:21:53,040 --> 01:21:55,920 is that the business this happens so 2136 01:21:55,920 --> 01:21:57,760 frequently. It's kind of funny. The the 2137 01:21:57,760 --> 01:21:59,520 businesses that are at the like I have 2138 01:21:59,520 --> 01:22:01,840 140 people in my market, I they almost 2139 01:22:01,840 --> 01:22:03,360 never say that they're the ones that 2140 01:22:03,360 --> 01:22:05,120 have a market that's too small. It's the 2141 01:22:05,120 --> 01:22:06,320 people are like, I'm going after weight 2142 01:22:06,320 --> 01:22:07,920 loss and I'm making $5 million a year 2143 01:22:07,920 --> 01:22:09,199 and I think I've capped it. I'm like, I 2144 01:22:09,199 --> 01:22:10,639 don't know. It's a 70 billion dollar 2145 01:22:10,639 --> 01:22:14,239 industry like probably haven't right and 2146 01:22:14,239 --> 01:22:15,679 so I'll tell you a little story about I 2147 01:22:15,679 --> 01:22:17,360 had this belief broken for me too which 2148 01:22:17,360 --> 01:22:18,960 was um that's why it's so nefarious 2149 01:22:18,960 --> 01:22:21,120 because it's so easy it just like it 2150 01:22:21,120 --> 01:22:22,800 just protects your ego so well just 2151 01:22:22,800 --> 01:22:24,080 gives you this big warm hug and it's 2152 01:22:24,080 --> 01:22:25,600 like dude it's just the market's too 2153 01:22:25,600 --> 01:22:27,360 small you're already winner like you've 2154 01:22:27,360 --> 01:22:29,360 got it all man you've got it all like no 2155 01:22:29,360 --> 01:22:30,960 you can't make anymore because you just 2156 01:22:30,960 --> 01:22:33,840 outside circumstances it's not you right 2157 01:22:33,840 --> 01:22:36,400 so uh you know Jim Mo was capped at I 2158 01:22:36,400 --> 01:22:37,520 can't remember what it was but we were 2159 01:22:37,520 --> 01:22:41,280 at 30ish And um I had somebody reach out 2160 01:22:41,280 --> 01:22:43,520 who was a sales guy um and he was 2161 01:22:43,520 --> 01:22:45,520 telling me that he worked at a different 2162 01:22:45,520 --> 01:22:46,800 gym company that I'd never heard of 2163 01:22:46,800 --> 01:22:48,639 before. And I was like never even heard 2164 01:22:48,639 --> 01:22:50,400 of these guys. And so I said, "Well, you 2165 01:22:50,400 --> 01:22:51,760 know, how big's your, you know, outbound 2166 01:22:51,760 --> 01:22:52,880 team that you work on?" And I think he 2167 01:22:52,880 --> 01:22:54,880 said 40 or 50 guys, whatever it was, a 2168 01:22:54,880 --> 01:22:56,639 decent amount at the time. And I was 2169 01:22:56,639 --> 01:22:58,560 like, "Whoa, 40 or 50 guys doing 2170 01:22:58,560 --> 01:22:59,920 outbound?" I was like, "Well, what's 2171 01:22:59,920 --> 01:23:00,960 revenue for you guys?" And he said, 2172 01:23:00,960 --> 01:23:03,679 "About 10 million a month." And I was I 2173 01:23:03,679 --> 01:23:05,440 was like floored. Like I if I had 2174 01:23:05,440 --> 01:23:06,560 glasses, I would have taken the glasses 2175 01:23:06,560 --> 01:23:08,000 and thrown on, but I don't wear glasses. 2176 01:23:08,000 --> 01:23:09,360 But if I did, I would have thrown them 2177 01:23:09,360 --> 01:23:11,040 on the floor. And so the thing is is 2178 01:23:11,040 --> 01:23:13,199 that that that story though completely 2179 01:23:13,199 --> 01:23:14,880 shifted my perspective of how many more 2180 01:23:14,880 --> 01:23:16,800 gyms there were available out there that 2181 01:23:16,800 --> 01:23:19,040 I was just only reaching on one channel. 2182 01:23:19,040 --> 01:23:22,080 I maybe maybe I tapped a channel, maybe 2183 01:23:22,080 --> 01:23:24,719 probably not, but maybe one element of 2184 01:23:24,719 --> 01:23:26,400 one channel, but there's so many other 2185 01:23:26,400 --> 01:23:29,360 channels, right? And so if you've been 2186 01:23:29,360 --> 01:23:30,400 following my stuff for a while, you've 2187 01:23:30,400 --> 01:23:31,440 seen this before, but it's, you know, 2188 01:23:31,440 --> 01:23:32,480 sometimes we need to be reminded more 2189 01:23:32,480 --> 01:23:33,920 than we need to be taught. All right? Is 2190 01:23:33,920 --> 01:23:35,920 that like people think it's the thing on 2191 01:23:35,920 --> 01:23:37,679 the left, right? I'm the only one 2192 01:23:37,679 --> 01:23:39,520 marketing to, you know, vegan 2193 01:23:39,520 --> 01:23:42,239 powerlifters on on on on Facebook, 2194 01:23:42,239 --> 01:23:44,000 right? And then somebody else comes in 2195 01:23:44,000 --> 01:23:45,280 and says, I also help vegan 2196 01:23:45,280 --> 01:23:46,320 powerlifters. You're like, what the 2197 01:23:46,320 --> 01:23:48,320 hell? Now we're splitting this pie in 2198 01:23:48,320 --> 01:23:49,920 half. And then two other people come in 2199 01:23:49,920 --> 01:23:51,760 and you're like, oh, what the heck, man? 2200 01:23:51,760 --> 01:23:53,280 Now it's I've got a quarter of the 2201 01:23:53,280 --> 01:23:55,360 market. When the reality is that it 2202 01:23:55,360 --> 01:23:57,120 looks much more like the image on the 2203 01:23:57,120 --> 01:23:59,920 right, which is most people think uh, 2204 01:23:59,920 --> 01:24:01,120 you know, they've got their one method, 2205 01:24:01,120 --> 01:24:02,639 one platform, one medium, which is fine 2206 01:24:02,639 --> 01:24:03,600 when you're starting out, but you 2207 01:24:03,600 --> 01:24:05,120 haven't capped you haven't capped your 2208 01:24:05,120 --> 01:24:07,600 market. You might have kept one platform 2209 01:24:07,600 --> 01:24:09,360 maybe, probably not. Maybe, probably 2210 01:24:09,360 --> 01:24:11,840 not, right? But to the right, right, is 2211 01:24:11,840 --> 01:24:13,520 what it really is. Is that you've only 2212 01:24:13,520 --> 01:24:15,120 got one method of doing this, which is 2213 01:24:15,120 --> 01:24:16,800 you post content. You're only doing on 2214 01:24:16,800 --> 01:24:18,639 one platform, okay? And you've only got 2215 01:24:18,639 --> 01:24:20,239 one medium on that platform. So, you've 2216 01:24:20,239 --> 01:24:22,000 got this tiny itty bitty bitty slice of 2217 01:24:22,000 --> 01:24:24,719 of a tiny of even bigger pie of another 2218 01:24:24,719 --> 01:24:27,120 of a table full of pies, right? There's 2219 01:24:27,120 --> 01:24:29,199 so much traffic. And this is something 2220 01:24:29,199 --> 01:24:30,719 that took me a very because it's a 2221 01:24:30,719 --> 01:24:33,120 belief thing. It's a it's a declarative 2222 01:24:33,120 --> 01:24:34,960 view of the world. Like if you if you 2223 01:24:34,960 --> 01:24:36,560 limit your view of how much traffic you 2224 01:24:36,560 --> 01:24:39,120 think there is, there just isn't. Like 2225 01:24:39,120 --> 01:24:41,199 some of you guys saw a clip that I had 2226 01:24:41,199 --> 01:24:45,040 of me walking um on the strip and some 2227 01:24:45,040 --> 01:24:46,400 guys comes up and says, "Hey, you know, 2228 01:24:46,400 --> 01:24:47,760 I love your stuff, whatever." And I was 2229 01:24:47,760 --> 01:24:49,040 like, "Oh, thanks, man. Come to the book 2230 01:24:49,040 --> 01:24:51,679 launch." And he was like, "What's that?" 2231 01:24:51,679 --> 01:24:52,800 I was like, "The book launch, the book 2232 01:24:52,800 --> 01:24:53,760 that I'm holding, all these green guys 2233 01:24:53,760 --> 01:24:55,920 behind me holding all these these green 2234 01:24:55,920 --> 01:24:57,840 madness." He's like, "Oh, sorry. I'm not 2235 01:24:57,840 --> 01:24:59,600 going to be in town." I was like, "It's 2236 01:24:59,600 --> 01:25:01,280 virtual. Like, it's all good." And he's 2237 01:25:01,280 --> 01:25:02,400 like, "Okay, I'll check it out." Right? 2238 01:25:02,400 --> 01:25:04,080 And then he he walks off. And so it's 2239 01:25:04,080 --> 01:25:06,000 just this this this great reminder. And 2240 01:25:06,000 --> 01:25:07,280 while I was on the trip, I probably had 2241 01:25:07,280 --> 01:25:08,800 like five or six people who like had 2242 01:25:08,800 --> 01:25:11,280 seen my stuff while I was walking there. 2243 01:25:11,280 --> 01:25:13,760 I think one of them knew the book launch 2244 01:25:13,760 --> 01:25:16,800 was coming, maybe. And so again, it's 2245 01:25:16,800 --> 01:25:20,800 like no one knows you exist. No one. No 2246 01:25:20,800 --> 01:25:23,120 one knows you exist. There's so much 2247 01:25:23,120 --> 01:25:24,800 traffic. There's so many people. It's 2248 01:25:24,800 --> 01:25:27,280 hard to comprehend what 8 billion is. 2249 01:25:27,280 --> 01:25:29,040 It's a lot. 2250 01:25:29,040 --> 01:25:30,639 So, 2251 01:25:30,639 --> 01:25:32,159 here's some actions for smaller business 2252 01:25:32,159 --> 01:25:33,520 or local businesses because you're 2253 01:25:33,520 --> 01:25:34,560 probably the only ones that could 2254 01:25:34,560 --> 01:25:36,320 potentially be affected by this. One is 2255 01:25:36,320 --> 01:25:37,840 you can consider expanding your existing 2256 01:25:37,840 --> 01:25:39,280 location. Knock down a wall, see if you 2257 01:25:39,280 --> 01:25:40,800 can lease the place next door. You can 2258 01:25:40,800 --> 01:25:42,800 also make it more efficient. So, within 2259 01:25:42,800 --> 01:25:44,400 your four walls, increase the delivery 2260 01:25:44,400 --> 01:25:46,239 ratio. I'll talk more about that uh a 2261 01:25:46,239 --> 01:25:47,920 little later. Um, but you can increase 2262 01:25:47,920 --> 01:25:49,120 the ratio. If you had a restaurant, you 2263 01:25:49,120 --> 01:25:50,400 could tighten the tables up. You could 2264 01:25:50,400 --> 01:25:52,080 add more chairs. Like, you could 2265 01:25:52,080 --> 01:25:53,840 experiment with times. Like, these are 2266 01:25:53,840 --> 01:25:54,800 things that can increase how much 2267 01:25:54,800 --> 01:25:56,800 throughput you get. Um, you can expand 2268 01:25:56,800 --> 01:25:58,400 channels. So, the only exception that 2269 01:25:58,400 --> 01:26:00,960 I've made to my one platform, one avatar 2270 01:26:00,960 --> 01:26:04,800 um one offer uh rule is for local 2271 01:26:04,800 --> 01:26:06,239 businesses. It's the only exception that 2272 01:26:06,239 --> 01:26:07,679 I'll give. And the main reason there is 2273 01:26:07,679 --> 01:26:10,000 just because like if you are in a local 2274 01:26:10,000 --> 01:26:11,280 market and you are, you know, you've got 2275 01:26:11,280 --> 01:26:13,280 10,000 people, they're not all going to 2276 01:26:13,280 --> 01:26:14,960 be on Meta. They're not all going to be 2277 01:26:14,960 --> 01:26:16,880 on, you know, Google. So, you might have 2278 01:26:16,880 --> 01:26:19,760 to do some direct mail and some Google 2279 01:26:19,760 --> 01:26:22,000 ads and some radio ads and some, etc., 2280 01:26:22,000 --> 01:26:24,719 etc. And so in a local market, it's one 2281 01:26:24,719 --> 01:26:26,159 of the only times I'm like, it's okay to 2282 01:26:26,159 --> 01:26:28,960 have more than one advertising method. 2283 01:26:28,960 --> 01:26:30,159 You could also just do the obvious, 2284 01:26:30,159 --> 01:26:31,920 which is like, you're right, that market 2285 01:26:31,920 --> 01:26:33,360 is too small, and so we need to save up 2286 01:26:33,360 --> 01:26:34,480 our shekels and open up another 2287 01:26:34,480 --> 01:26:37,679 location, which is fine, right? Now, 2288 01:26:37,679 --> 01:26:38,880 another way you can do it is you can 2289 01:26:38,880 --> 01:26:41,280 expand uh market segment. So, we were 2290 01:26:41,280 --> 01:26:42,880 only doing moms, but now we do moms and 2291 01:26:42,880 --> 01:26:45,920 dads. Okay? Again, these are for local 2292 01:26:45,920 --> 01:26:48,080 businesses. The last one I would say is 2293 01:26:48,080 --> 01:26:50,960 a uh I would hardcore reserve because 2294 01:26:50,960 --> 01:26:52,639 that's a significant change in strategy. 2295 01:26:52,639 --> 01:26:54,159 And if the business is working and this 2296 01:26:54,159 --> 01:26:55,679 is actually the true limiter, the true 2297 01:26:55,679 --> 01:26:57,040 constraint, then I'd rather just say, 2298 01:26:57,040 --> 01:26:58,080 "Cool, this thing's working. It's 2299 01:26:58,080 --> 01:27:00,719 profitable. Let's just repeat it." 2300 01:27:00,719 --> 01:27:02,239 So, 2301 01:27:02,239 --> 01:27:03,679 why can't we do more? If you can do 2302 01:27:03,679 --> 01:27:05,120 more, do it. If you can't do more 2303 01:27:05,120 --> 01:27:06,080 because you don't know your metrics, 2304 01:27:06,080 --> 01:27:07,920 then go get your metrics. If you have 2305 01:27:07,920 --> 01:27:09,760 your metrics and you're like, I just 2306 01:27:09,760 --> 01:27:11,520 think that based on these metrics, uh, 2307 01:27:11,520 --> 01:27:13,520 the market's the issue. uh super super 2308 01:27:13,520 --> 01:27:14,719 super super super super super super 2309 01:27:14,719 --> 01:27:16,880 super unlikely, 2310 01:27:16,880 --> 01:27:18,639 but if you're in a tiny tiny tiny local 2311 01:27:18,639 --> 01:27:20,560 market, possible. 2312 01:27:20,560 --> 01:27:22,400 So then we get to model. Okay, so I've 2313 01:27:22,400 --> 01:27:23,679 got all these things. So my market's not 2314 01:27:23,679 --> 01:27:25,040 too small. I do have my numbers and I 2315 01:27:25,040 --> 01:27:27,360 can't do more. Why not? 2316 01:27:27,360 --> 01:27:28,880 And this actually happens a fair amount, 2317 01:27:28,880 --> 01:27:31,199 which is uh someone says, "I'm just not 2318 01:27:31,199 --> 01:27:32,480 sure if it's worth it. I'm not sure if 2319 01:27:32,480 --> 01:27:33,920 this is going to help me hit my 2320 01:27:33,920 --> 01:27:35,360 overarching goals. Like I started this 2321 01:27:35,360 --> 01:27:37,360 business a few years ago and like you 2322 01:27:37,360 --> 01:27:38,480 know, it's just not what I thought it 2323 01:27:38,480 --> 01:27:41,719 was going to be. 2324 01:27:42,800 --> 01:27:45,199 I'm not in love with it anymore. 2325 01:27:45,199 --> 01:27:47,520 You know the words. 2326 01:27:47,520 --> 01:27:49,440 So, I'll tell you a couple stories here 2327 01:27:49,440 --> 01:27:53,280 to to reframe this. So, Kale, who's GM 2328 01:27:53,280 --> 01:27:56,400 of or CEO, excuse me, of Gym Launch, now 2329 01:27:56,400 --> 01:27:59,280 it's been four years since we sold. Um, 2330 01:27:59,280 --> 01:28:00,880 he was actually like the f one of the 2331 01:28:00,880 --> 01:28:02,560 first 10 people that actually got sold 2332 01:28:02,560 --> 01:28:04,880 as a client into into the business. And 2333 01:28:04,880 --> 01:28:06,080 I remember having this conversation with 2334 01:28:06,080 --> 01:28:07,840 him where I think at the time, I don't 2335 01:28:07,840 --> 01:28:08,880 remember. I think it was it was like 2336 01:28:08,880 --> 01:28:12,719 $10,000 or something to start. And he 2337 01:28:12,719 --> 01:28:14,639 said, "I would totally do this, but I 2338 01:28:14,639 --> 01:28:16,320 just paid $10,000 to this other guy to 2339 01:28:16,320 --> 01:28:17,760 help me start an online fitness 2340 01:28:17,760 --> 01:28:20,320 business." And his gym was doing $4,000 2341 01:28:20,320 --> 01:28:21,440 a month. They were losing money every 2342 01:28:21,440 --> 01:28:23,520 month. And he had a one-year-old and a 2343 01:28:23,520 --> 01:28:25,199 kid on the way or two-year-old and kid 2344 01:28:25,199 --> 01:28:28,400 on the way. Uh, and he's working a job 5 2345 01:28:28,400 --> 01:28:30,560 to nine, sorry, 9 to5 during the day and 2346 01:28:30,560 --> 01:28:32,639 then working at the gym 5 am to 9 and 2347 01:28:32,639 --> 01:28:36,159 then uh um 5:00 pm to 900 pm. So, he's 2348 01:28:36,159 --> 01:28:37,440 just literally working all hours. He's 2349 01:28:37,440 --> 01:28:41,440 awake. And so, I said, "Hey, man. Um, 2350 01:28:41,440 --> 01:28:44,560 if this thing that I'm going to show you 2351 01:28:44,560 --> 01:28:45,760 made you the amount of money that you 2352 01:28:45,760 --> 01:28:47,280 want, would you even do this fit online 2353 01:28:47,280 --> 01:28:48,560 fitness thing?" And he was like, "No, I 2354 01:28:48,560 --> 01:28:50,400 would quit it in a second." And so, the 2355 01:28:50,400 --> 01:28:52,080 thing is is like sometimes there's 2356 01:28:52,080 --> 01:28:53,440 nothing wrong with the model at all. 2357 01:28:53,440 --> 01:28:55,840 It's like you just need to like like 2358 01:28:55,840 --> 01:28:58,000 like sorry, when I say model, I mean 2359 01:28:58,000 --> 01:28:59,600 like, "Oh, I want to go from insurance 2360 01:28:59,600 --> 01:29:01,679 into into you know, wealth management. I 2361 01:29:01,679 --> 01:29:04,239 want to go from uh you know making 2362 01:29:04,239 --> 01:29:05,440 content to starting a social media 2363 01:29:05,440 --> 01:29:07,760 marketing agency. Changing the business 2364 01:29:07,760 --> 01:29:10,000 you're in is just a gigantic risk and 2365 01:29:10,000 --> 01:29:11,520 it's extremely likely that you'll just 2366 01:29:11,520 --> 01:29:12,960 plateau at the exact same spot you 2367 01:29:12,960 --> 01:29:14,719 currently are with your current skill 2368 01:29:14,719 --> 01:29:17,520 level. And so 2369 01:29:17,520 --> 01:29:18,800 if we could just get your current 2370 01:29:18,800 --> 01:29:19,920 business to make the amount of money you 2371 01:29:19,920 --> 01:29:21,840 want, would you would you like it more? 2372 01:29:21,840 --> 01:29:23,040 And a lot of times the answer to that 2373 01:29:23,040 --> 01:29:25,760 question is yes. And so let's solve 2374 01:29:25,760 --> 01:29:28,159 that. Right? And so, um, I gave the 2375 01:29:28,159 --> 01:29:30,000 example earlier about like $1 million, 2376 01:29:30,000 --> 01:29:33,120 $10 million, $100 million, like there 2377 01:29:33,120 --> 01:29:35,520 for sure will be limits to, uh, how big 2378 01:29:35,520 --> 01:29:37,520 one specific business. And I typically 2379 01:29:37,520 --> 01:29:39,120 use these local businesses as the 2380 01:29:39,120 --> 01:29:40,400 example because anything that's online 2381 01:29:40,400 --> 01:29:41,920 can pretty much just reach so much more. 2382 01:29:41,920 --> 01:29:43,679 There's more complexity. There's more 2383 01:29:43,679 --> 01:29:44,800 there's more skills that you have to 2384 01:29:44,800 --> 01:29:47,040 learn, but proportionally, you also just 2385 01:29:47,040 --> 01:29:48,320 you can just you have the whole 2386 01:29:48,320 --> 01:29:49,440 internet. You have the whole world, 2387 01:29:49,440 --> 01:29:51,440 right? Um, but if you build a 2388 01:29:51,440 --> 01:29:53,360 restaurant, you will not be able to make 2389 01:29:53,360 --> 01:29:55,520 as much money as if you have a global AI 2390 01:29:55,520 --> 01:29:57,120 company. you're just not, right? If 2391 01:29:57,120 --> 01:29:57,840 you're like, well, I want to be a 2392 01:29:57,840 --> 01:29:58,800 trillionaire, a restaurant's not going 2393 01:29:58,800 --> 01:29:59,760 to be the path. And so, in that 2394 01:29:59,760 --> 01:30:01,600 instance, you should probably, if you're 2395 01:30:01,600 --> 01:30:03,120 like, I will do like, if I don't do 2396 01:30:03,120 --> 01:30:05,199 this, I will be really sad and and die, 2397 01:30:05,199 --> 01:30:07,040 then might as well just not be really 2398 01:30:07,040 --> 01:30:08,320 sad and die and just be really happy and 2399 01:30:08,320 --> 01:30:12,320 then die. right now. Um, that being 2400 01:30:12,320 --> 01:30:14,080 said, there's a really good perspective 2401 01:30:14,080 --> 01:30:16,320 on this that I'd like to offer for some 2402 01:30:16,320 --> 01:30:19,639 of you guys, 2403 01:30:19,920 --> 01:30:22,719 which is that sometimes the reason the 2404 01:30:22,719 --> 01:30:24,880 business you have can't grow is because 2405 01:30:24,880 --> 01:30:26,639 you built it wrong. But there's nothing 2406 01:30:26,639 --> 01:30:28,320 inherently wrong with like the industry 2407 01:30:28,320 --> 01:30:33,320 that you're in, per se. And so, 2408 01:30:33,520 --> 01:30:36,080 we do this little exercise. Uh, it's 2409 01:30:36,080 --> 01:30:37,920 like this pasta exercise. Basically, you 2410 01:30:37,920 --> 01:30:39,679 build a building as fast as you can. I 2411 01:30:39,679 --> 01:30:41,520 think you got 10 minutes, whatever. And 2412 01:30:41,520 --> 01:30:42,719 so once you finish building the 2413 01:30:42,719 --> 01:30:44,000 building, everybody kind of teams up and 2414 01:30:44,000 --> 01:30:45,360 then they they have, you know, different 2415 01:30:45,360 --> 01:30:47,040 level things, right? Different level 2416 01:30:47,040 --> 01:30:49,199 pasta towers. And so once they build the 2417 01:30:49,199 --> 01:30:51,040 pasta towers, the next natural question 2418 01:30:51,040 --> 01:30:52,960 is, okay, if you'd had a full day, would 2419 01:30:52,960 --> 01:30:54,080 you build it differently? And the answer 2420 01:30:54,080 --> 01:30:56,000 is usually yes. If you had a full day, 2421 01:30:56,000 --> 01:30:57,040 do you think you could build a build a 2422 01:30:57,040 --> 01:30:59,440 bigger building? The answer is yes. Now 2423 01:30:59,440 --> 01:31:01,600 you have your 10 minute 10-minute tall 2424 01:31:01,600 --> 01:31:04,639 tower. If I need you to triple it, could 2425 01:31:04,639 --> 01:31:07,760 you? And the answer is usually no. 2426 01:31:07,760 --> 01:31:10,320 Because when you build things 2427 01:31:10,320 --> 01:31:12,800 fast in the beginning, it doesn't mean 2428 01:31:12,800 --> 01:31:15,760 you built them for scale. And so you 2429 01:31:15,760 --> 01:31:16,960 have to build things differently. You 2430 01:31:16,960 --> 01:31:18,320 have to just like if you want to have a 2431 01:31:18,320 --> 01:31:20,239 hundredstory building, you have to drill 2432 01:31:20,239 --> 01:31:22,480 down stories to build the foundation, 2433 01:31:22,480 --> 01:31:24,000 right? So like the deeper the foundation 2434 01:31:24,000 --> 01:31:26,000 is, the higher the the building can go. 2435 01:31:26,000 --> 01:31:27,679 But if you compared a a two-story house 2436 01:31:27,679 --> 01:31:29,679 to a 100 store building, you would get 2437 01:31:29,679 --> 01:31:31,360 two stories above the ground before they 2438 01:31:31,360 --> 01:31:32,800 even finish the foundation when they're 2439 01:31:32,800 --> 01:31:34,880 down five stories right in the big 2440 01:31:34,880 --> 01:31:37,280 building. But the thing is is that in 2441 01:31:37,280 --> 01:31:38,880 the beginning, this guy out the gate is 2442 01:31:38,880 --> 01:31:40,480 bragging to the guy who's down in the 2443 01:31:40,480 --> 01:31:42,639 pit going negative to try and build the 2444 01:31:42,639 --> 01:31:43,760 foundation for this business, saying 2445 01:31:43,760 --> 01:31:45,440 like look how much faster I grew. But 2446 01:31:45,440 --> 01:31:47,600 then this guy just blows past them. And 2447 01:31:47,600 --> 01:31:49,760 so it it doesn't take into account how 2448 01:31:49,760 --> 01:31:51,120 much time it takes to build something 2449 01:31:51,120 --> 01:31:52,960 big. Because the fastest way, and you'll 2450 01:31:52,960 --> 01:31:55,040 write this down, the fastest way to get 2451 01:31:55,040 --> 01:31:57,040 to $10 million a year is not the fastest 2452 01:31:57,040 --> 01:31:59,360 way to get to a hundred. 2453 01:31:59,360 --> 01:32:01,280 Like this is why like I kept I hit this 2454 01:32:01,280 --> 01:32:03,679 wall with gym launch at 30 to $40 2455 01:32:03,679 --> 01:32:05,760 million a year. Like I built I didn't 2456 01:32:05,760 --> 01:32:07,360 build it to get to 100. I just built it 2457 01:32:07,360 --> 01:32:09,280 to not be poor. Like that was you know 2458 01:32:09,280 --> 01:32:10,639 what I mean? Like that like it was just 2459 01:32:10,639 --> 01:32:12,960 like oh this worked for me, right? Um 2460 01:32:12,960 --> 01:32:14,719 but I wasn't like strategic about how I 2461 01:32:14,719 --> 01:32:16,719 was building it. And if I said oh I have 2462 01:32:16,719 --> 01:32:18,159 to build this thing into a $100 million 2463 01:32:18,159 --> 01:32:19,440 business, I would have built it 2464 01:32:19,440 --> 01:32:20,880 differently. But I didn't know that when 2465 01:32:20,880 --> 01:32:24,040 I started. 2466 01:32:24,800 --> 01:32:27,920 And so to take the the absolute extreme 2467 01:32:27,920 --> 01:32:29,440 example on this with the building 2468 01:32:29,440 --> 01:32:31,520 analogy, sorry, with the uh with the 2469 01:32:31,520 --> 01:32:32,639 restaurant analogy I had earlier, 2470 01:32:32,639 --> 01:32:34,719 restaurants versus AI. The man who owns 2471 01:32:34,719 --> 01:32:36,239 my building, Mr. Panda, as I refer to 2472 01:32:36,239 --> 01:32:38,000 him, he owns Panda Express. He owns all 2473 01:32:38,000 --> 01:32:40,560 2600 locations. He owns the real estate 2474 01:32:40,560 --> 01:32:42,320 in the dirt for many of them. And he's 2475 01:32:42,320 --> 01:32:44,320 been selling Kungpow chicken for 45 2476 01:32:44,320 --> 01:32:45,679 years. 2477 01:32:45,679 --> 01:32:47,280 Most people would look at that and said, 2478 01:32:47,280 --> 01:32:49,199 "Hey, I own a I own a Chinese, you know, 2479 01:32:49,199 --> 01:32:51,600 fast casual restaurant." Most people 2480 01:32:51,600 --> 01:32:53,679 would say, "I don't know if that's the 2481 01:32:53,679 --> 01:32:55,679 best opportunity vehicle." Well, if you 2482 01:32:55,679 --> 01:32:58,080 do anything long enough, you get pretty 2483 01:32:58,080 --> 01:33:00,080 good. And he's gotten pretty darn good. 2484 01:33:00,080 --> 01:33:01,920 One of the best in the world at Kungpow 2485 01:33:01,920 --> 01:33:04,880 and General S's chicken, right? Little 2486 01:33:04,880 --> 01:33:06,639 uh little What's the one? Steak and 2487 01:33:06,639 --> 01:33:10,480 broccoli, right? Um little spicy spicy 2488 01:33:10,480 --> 01:33:12,719 pineapple. Anyways, uh I think it's 2489 01:33:12,719 --> 01:33:14,000 called Sweet Fire. Anyway, they've got 2490 01:33:14,000 --> 01:33:15,520 some good stuff. But the point is this 2491 01:33:15,520 --> 01:33:17,840 is that most of the times you can reach 2492 01:33:17,840 --> 01:33:19,360 the goals you have if you just expand 2493 01:33:19,360 --> 01:33:21,679 the timeline. And people wildly 2494 01:33:21,679 --> 01:33:23,199 underestimate the value of consistently 2495 01:33:23,199 --> 01:33:24,480 making progress towards a goal by 2496 01:33:24,480 --> 01:33:26,159 building the correct foundation. That is 2497 01:33:26,159 --> 01:33:27,360 the point I'm trying to make is that 2498 01:33:27,360 --> 01:33:28,719 your business might not have anything 2499 01:33:28,719 --> 01:33:30,000 flawed except for your timelines and 2500 01:33:30,000 --> 01:33:31,760 your expectations. 2501 01:33:31,760 --> 01:33:33,040 Because most of us aren't trying to 2502 01:33:33,040 --> 01:33:34,400 build the next trillion dollar AI 2503 01:33:34,400 --> 01:33:36,320 company. Most of us would be okay with a 2504 01:33:36,320 --> 01:33:38,080 $10 million business or a $100 million 2505 01:33:38,080 --> 01:33:40,239 business. Most people. And if that is 2506 01:33:40,239 --> 01:33:41,600 you, then all the things that I'm going 2507 01:33:41,600 --> 01:33:42,880 to share would apply to you and work for 2508 01:33:42,880 --> 01:33:43,760 you. You just need to change the 2509 01:33:43,760 --> 01:33:45,280 expectations around it. You can have 2510 01:33:45,280 --> 01:33:47,600 arguably the the hardest business to 2511 01:33:47,600 --> 01:33:50,480 scale, a brick-and-mortar restaurant, 2512 01:33:50,480 --> 01:33:52,000 and still become a decad billionaire 2513 01:33:52,000 --> 01:33:54,159 like Mr. Panda. 2514 01:33:54,159 --> 01:33:57,920 It just took him 45 years. 2515 01:33:57,920 --> 01:33:59,920 And so, how do you do something like 2516 01:33:59,920 --> 01:34:01,280 this? Like, how do you actually take 2517 01:34:01,280 --> 01:34:02,960 that little restaurant and build it into 2518 01:34:02,960 --> 01:34:05,520 Mr. Panda? Right? So, this is an 2519 01:34:05,520 --> 01:34:07,520 exercise that I do uh with some of the 2520 01:34:07,520 --> 01:34:08,800 folks that that that have come out in 2521 01:34:08,800 --> 01:34:10,480 person, but I like I like envisioning it 2522 01:34:10,480 --> 01:34:12,320 like this. So, let's say you've got 2523 01:34:12,320 --> 01:34:14,880 company A and then you've got company B. 2524 01:34:14,880 --> 01:34:17,840 Okay? And let's say year one, company A 2525 01:34:17,840 --> 01:34:20,400 sells 100 customers. Okay? But then they 2526 01:34:20,400 --> 01:34:23,120 lose 100 customers. 2527 01:34:23,120 --> 01:34:25,760 Year two, they sell 200 customers and 2528 01:34:25,760 --> 01:34:29,719 then they lose 200 customers. 2529 01:34:31,440 --> 01:34:33,040 Okay, 2530 01:34:33,040 --> 01:34:34,480 this should say year one, but you get 2531 01:34:34,480 --> 01:34:36,960 the idea. Okay, then year three, we've 2532 01:34:36,960 --> 01:34:39,199 got 300 customers and then they lose 300 2533 01:34:39,199 --> 01:34:40,800 customers. 2534 01:34:40,800 --> 01:34:42,880 So, if we were to look at this company, 2535 01:34:42,880 --> 01:34:44,400 we' be like, "Oh man, they're, you know, 2536 01:34:44,400 --> 01:34:46,560 they tripled in that same period of 2537 01:34:46,560 --> 01:34:49,040 time. Not bad." Now, company B, let's 2538 01:34:49,040 --> 01:34:51,199 say they sell 100 customers year one, 2539 01:34:51,199 --> 01:34:54,000 but then they lose zero. And then year 2540 01:34:54,000 --> 01:34:56,320 two, 2541 01:34:56,320 --> 01:34:59,120 they sell a 100 again, but then they 2542 01:34:59,120 --> 01:35:01,040 lose zero. But they still have the other 2543 01:35:01,040 --> 01:35:04,000 hundred from year one. So add this 2544 01:35:04,000 --> 01:35:06,320 together, right? They lose zero. So now 2545 01:35:06,320 --> 01:35:08,800 they have 200 customers. And then year 2546 01:35:08,800 --> 01:35:10,320 three, 2547 01:35:10,320 --> 01:35:13,920 they sell 100 again. 2548 01:35:13,920 --> 01:35:16,320 We add these together, they lose zero 2549 01:35:16,320 --> 01:35:19,040 again, and now they have 300 customers. 2550 01:35:19,040 --> 01:35:22,000 So both of these businesses have 300 2551 01:35:22,000 --> 01:35:25,360 customers. sold in revenue that year. 2552 01:35:25,360 --> 01:35:26,800 But which business would you rather 2553 01:35:26,800 --> 01:35:28,480 have? 2554 01:35:28,480 --> 01:35:31,280 Obviously, this one, this lower one, the 2555 01:35:31,280 --> 01:35:32,800 one that doesn't lose customers and has 2556 01:35:32,800 --> 01:35:34,880 lower sales velocity, sold us third as 2557 01:35:34,880 --> 01:35:37,040 many customers as the other one did. 2558 01:35:37,040 --> 01:35:38,239 Many of you are trying to build your 2559 01:35:38,239 --> 01:35:40,159 business like this, which is if I just 2560 01:35:40,159 --> 01:35:42,400 learn how to market better, I'll make 2561 01:35:42,400 --> 01:35:43,920 more money. And the answer is what I 2562 01:35:43,920 --> 01:35:45,600 originally said. If you just learn how 2563 01:35:45,600 --> 01:35:47,040 to market and sell, you can for sure 2564 01:35:47,040 --> 01:35:48,239 make money. You can for sure feed 2565 01:35:48,239 --> 01:35:49,520 yourself. You can become independently 2566 01:35:49,520 --> 01:35:51,520 wealthy. You can. you're just not going 2567 01:35:51,520 --> 01:35:54,480 to build big stuff. 2568 01:35:54,480 --> 01:35:56,000 I'm just being real. This took me a long 2569 01:35:56,000 --> 01:35:57,280 time to learn as somebody who's pretty 2570 01:35:57,280 --> 01:35:59,600 good at marketing and sales. All right? 2571 01:35:59,600 --> 01:36:01,520 Instead, we have to ask the question, 2572 01:36:01,520 --> 01:36:02,400 how do we build something that 2573 01:36:02,400 --> 01:36:04,239 compounds? Right? And one of the key 2574 01:36:04,239 --> 01:36:05,760 ways of compounding is reputation and 2575 01:36:05,760 --> 01:36:07,760 not losing customers, 2576 01:36:07,760 --> 01:36:10,800 right? And so here we have our get 100, 2577 01:36:10,800 --> 01:36:12,400 lose none. Get a 100, lose none, now we 2578 01:36:12,400 --> 01:36:14,000 have 200. Get 100, lose none, now we 2579 01:36:14,000 --> 01:36:16,560 have 300. And this company, this 300, 2580 01:36:16,560 --> 01:36:18,320 both these make the same revenue. This 2581 01:36:18,320 --> 01:36:19,840 one, not only is it a better business to 2582 01:36:19,840 --> 01:36:21,120 own because if you didn't sell any 2583 01:36:21,120 --> 01:36:22,080 customers for the rest of your life, 2584 01:36:22,080 --> 01:36:24,400 you'd still make money. Great. But the 2585 01:36:24,400 --> 01:36:27,120 other portion of this is that this one's 2586 01:36:27,120 --> 01:36:29,280 significantly more profitable because I 2587 01:36:29,280 --> 01:36:31,040 can promise you to acquire the first 100 2588 01:36:31,040 --> 01:36:32,639 customers compared to acquiring 300 2589 01:36:32,639 --> 01:36:34,960 customers is going to cost less. But not 2590 01:36:34,960 --> 01:36:37,520 only that, this business needed to 2591 01:36:37,520 --> 01:36:40,639 acquire 600 customers over that same 2592 01:36:40,639 --> 01:36:42,320 three-year period. So they had to 2593 01:36:42,320 --> 01:36:44,239 acquire twice as many customers. And 2594 01:36:44,239 --> 01:36:46,080 that additional cost of customers is 2595 01:36:46,080 --> 01:36:49,679 just scooped out of the bottom line. 2596 01:36:49,679 --> 01:36:52,239 And these incremental 300 are just 2597 01:36:52,239 --> 01:36:54,080 dropping probably disproportionately to 2598 01:36:54,080 --> 01:36:55,199 the bottom line because the cost of 2599 01:36:55,199 --> 01:36:56,639 delivery on existing customers is almost 2600 01:36:56,639 --> 01:36:58,719 always significantly lower. And this one 2601 01:36:58,719 --> 01:36:59,920 because they probably do a good job 2602 01:36:59,920 --> 01:37:01,040 probably has a decent amount of these 2603 01:37:01,040 --> 01:37:02,239 hundred that are probably word of mouth 2604 01:37:02,239 --> 01:37:04,080 or free. And so maybe their cost to 2605 01:37:04,080 --> 01:37:06,000 acquire might be only 50 of these 2606 01:37:06,000 --> 01:37:08,239 hundred or 25 of these hundred. And so 2607 01:37:08,239 --> 01:37:10,960 now we're comparing 300 uh customers 2608 01:37:10,960 --> 01:37:13,199 that have to get paid to acquire versus 2609 01:37:13,199 --> 01:37:15,440 maybe 25 2610 01:37:15,440 --> 01:37:17,679 a tenth and all of that extra drops 2611 01:37:17,679 --> 01:37:19,280 straight to the bottom line. This is how 2612 01:37:19,280 --> 01:37:20,400 you can really build a compounding 2613 01:37:20,400 --> 01:37:22,480 vehicle. This is how when Mr. Panda gets 2614 01:37:22,480 --> 01:37:23,679 interviewed on the rarity videos he 2615 01:37:23,679 --> 01:37:25,600 does. He says your customers absolutely 2616 01:37:25,600 --> 01:37:28,800 love your product. And if they do then 2617 01:37:28,800 --> 01:37:31,119 they will come back and buy again. 2618 01:37:31,119 --> 01:37:34,080 So we covered more. We covered metrics. 2619 01:37:34,080 --> 01:37:35,600 We covered market. We covered model. All 2620 01:37:35,600 --> 01:37:36,960 right. Why can't we do more? because I 2621 01:37:36,960 --> 01:37:38,320 don't have the numbers, because my 2622 01:37:38,320 --> 01:37:39,760 market's too small, because I'm not sure 2623 01:37:39,760 --> 01:37:42,560 if it's worth it. Okay, now we get into 2624 01:37:42,560 --> 01:37:45,360 the tactical We can't market more 2625 01:37:45,360 --> 01:37:47,440 because we don't have the money, right? 2626 01:37:47,440 --> 01:37:50,480 We can't afford to. All right, fair 2627 01:37:50,480 --> 01:37:52,880 enough. So, let me actually write these. 2628 01:37:52,880 --> 01:37:54,320 Actually, I brought this over here so 2629 01:37:54,320 --> 01:37:55,760 that we could keep track of it. So, 2630 01:37:55,760 --> 01:37:58,960 we've got more, 2631 01:37:58,960 --> 01:38:02,360 we've got metrics, 2632 01:38:10,880 --> 01:38:12,639 Now, this one's got four kind of like 2633 01:38:12,639 --> 01:38:14,639 subportions here. So, I'm gonna I'm 2634 01:38:14,639 --> 01:38:17,119 gonna make this look hopefully it'll 2635 01:38:17,119 --> 01:38:19,280 make sense. Okay. 2636 01:38:19,280 --> 01:38:22,080 All right. Is it because leads cost too 2637 01:38:22,080 --> 01:38:23,840 much? 2638 01:38:23,840 --> 01:38:24,800 In which case, we need better 2639 01:38:24,800 --> 01:38:26,639 advertising. But how do you know it's 2640 01:38:26,639 --> 01:38:27,920 that leads cost too much or that you 2641 01:38:27,920 --> 01:38:29,199 don't make enough from them? We'll get 2642 01:38:29,199 --> 01:38:31,199 to that in a second. But when I'm asking 2643 01:38:31,199 --> 01:38:32,159 the questions of like trying to 2644 01:38:32,159 --> 01:38:33,360 deconstrain the business, I'm running 2645 01:38:33,360 --> 01:38:34,480 through this. I'm like, "Why can't you 2646 01:38:34,480 --> 01:38:36,000 do more? I don't have my metrics. Go do 2647 01:38:36,000 --> 01:38:37,679 that. Call me later." Okay. Uh, my 2648 01:38:37,679 --> 01:38:38,719 market is too small. Is it really too 2649 01:38:38,719 --> 01:38:39,840 small? Is it actually too small? Oh, 2650 01:38:39,840 --> 01:38:41,199 you're just need to reframe. Okay, cool. 2651 01:38:41,199 --> 01:38:42,800 Let's keep going. Great. Your model. 2652 01:38:42,800 --> 01:38:43,840 Well, have you expanded your time 2653 01:38:43,840 --> 01:38:45,040 horizon? Is there another version of the 2654 01:38:45,040 --> 01:38:46,880 business that looks like yours that is 2655 01:38:46,880 --> 01:38:48,400 20 times as big? Yes. Okay, then it's 2656 01:38:48,400 --> 01:38:49,920 your mindset. It's not the model. Great. 2657 01:38:49,920 --> 01:38:51,760 Okay, now we're into the money stuff. 2658 01:38:51,760 --> 01:38:53,440 So, is it because your leads cost too 2659 01:38:53,440 --> 01:38:55,119 much or you don't make enough from them? 2660 01:38:55,119 --> 01:38:56,560 If the leads cost too much, you need 2661 01:38:56,560 --> 01:38:58,960 better advertising, right? Or do you 2662 01:38:58,960 --> 01:39:00,800 close too few of them, which would mean 2663 01:39:00,800 --> 01:39:04,080 that you need better sales? 2664 01:39:04,080 --> 01:39:05,760 or do you not make enough per customer 2665 01:39:05,760 --> 01:39:07,119 which means you increase lifetime gross 2666 01:39:07,119 --> 01:39:08,880 profit 2667 01:39:08,880 --> 01:39:11,040 or you make enough but you make it too 2668 01:39:11,040 --> 01:39:14,320 slowly. That's a cash flow issue. 2669 01:39:14,320 --> 01:39:16,960 So you'll also notice hopefully that 2670 01:39:16,960 --> 01:39:19,840 these correspond to leads, the lead 2671 01:39:19,840 --> 01:39:21,360 systems, right? Maybe you guys can point 2672 01:39:21,360 --> 01:39:24,159 over here. Um ads, hooks, branding, 2673 01:39:24,159 --> 01:39:25,760 marketing machine. All of this is to 2674 01:39:25,760 --> 01:39:27,119 help with people who need better 2675 01:39:27,119 --> 01:39:29,840 advertising. You need cheaper leads. If 2676 01:39:29,840 --> 01:39:31,040 you're like, you know, it's a it's a 2677 01:39:31,040 --> 01:39:32,400 sales issue. It's like, okay, we need to 2678 01:39:32,400 --> 01:39:33,600 nurture better. We need to close better. 2679 01:39:33,600 --> 01:39:34,960 We need to add more proof into our 2680 01:39:34,960 --> 01:39:37,440 process. If it's delivery, then it's 2681 01:39:37,440 --> 01:39:38,880 like, okay, that means we have to 2682 01:39:38,880 --> 01:39:40,159 increase lifetime gross profit per 2683 01:39:40,159 --> 01:39:41,440 person, right? Which is why we have 2684 01:39:41,440 --> 01:39:43,679 these playbooks. If it's, oh, I need to 2685 01:39:43,679 --> 01:39:45,600 accelerate profit or cash flow in the 2686 01:39:45,600 --> 01:39:48,320 business, then we have uh the the profit 2687 01:39:48,320 --> 01:39:51,600 playbooks. Okay? So, the question now 2688 01:39:51,600 --> 01:39:53,360 comes down to, and to be fair for 2689 01:39:53,360 --> 01:39:54,719 everybody who's watching this, I bet you 2690 01:39:54,719 --> 01:39:56,800 80% of you are in this bucket, but I 2691 01:39:56,800 --> 01:39:58,639 have to still cover these. actually 2692 01:39:58,639 --> 01:40:01,679 probably 30% of you maybe 30 30ish% are 2693 01:40:01,679 --> 01:40:03,440 probably here probably got like 10 to 2694 01:40:03,440 --> 01:40:05,600 15ish here and then this is probably the 2695 01:40:05,600 --> 01:40:07,920 rest or many many of the rest of you 2696 01:40:07,920 --> 01:40:11,360 there's still one more after this but 2697 01:40:11,360 --> 01:40:12,960 I made all those numbers up but that's a 2698 01:40:12,960 --> 01:40:15,360 rough estimation okay 2699 01:40:15,360 --> 01:40:18,239 so the way to know is that you start 2700 01:40:18,239 --> 01:40:20,480 with CAC all right so CAC cost you a 2701 01:40:20,480 --> 01:40:22,639 customer is it around the industry 2702 01:40:22,639 --> 01:40:25,040 average and so I I'll give you an an 2703 01:40:25,040 --> 01:40:27,040 observation that I had from Allen uh 2704 01:40:27,040 --> 01:40:29,760 which is our software company um across 2705 01:40:29,760 --> 01:40:32,400 different agencies. And so two 2706 01:40:32,400 --> 01:40:34,960 interesting tidbits. One is that the 2707 01:40:34,960 --> 01:40:36,320 cost to acquire customers between 2708 01:40:36,320 --> 01:40:37,440 different agencies with different 2709 01:40:37,440 --> 01:40:40,080 methods honestly typically pretty 2710 01:40:40,080 --> 01:40:41,840 similar, right? I mean maybe within one 2711 01:40:41,840 --> 01:40:44,480 or two of each other, but like not a 10x 2712 01:40:44,480 --> 01:40:45,760 difference, right? Unless you have a 2713 01:40:45,760 --> 01:40:47,360 brand, but for anybody who just had like 2714 01:40:47,360 --> 01:40:48,320 didn't have a brand, it was just 2715 01:40:48,320 --> 01:40:49,600 generically acquire customers via 2716 01:40:49,600 --> 01:40:51,920 outreach or via, you know, paid ads or 2717 01:40:51,920 --> 01:40:54,320 something like that, like that like 2718 01:40:54,320 --> 01:40:55,600 their cost to acquire customer was not 2719 01:40:55,600 --> 01:40:56,719 that different. And it was cool for me 2720 01:40:56,719 --> 01:40:57,760 to see and I was like, "Wow, it was 2721 01:40:57,760 --> 01:40:58,880 actually a big relief breaker." So I'll 2722 01:40:58,880 --> 01:41:00,480 hopefully try and translate that to you. 2723 01:41:00,480 --> 01:41:02,239 So 2724 01:41:02,239 --> 01:41:04,480 how far off industry average are we? 2725 01:41:04,480 --> 01:41:06,000 Because the difference between the the 2726 01:41:06,000 --> 01:41:07,840 the the agencies that were doing, you 2727 01:41:07,840 --> 01:41:10,159 know, 20x another agency was typically 2728 01:41:10,159 --> 01:41:13,280 never their CAC. It was typically other 2729 01:41:13,280 --> 01:41:15,440 stuff. Meaning they kept their customers 2730 01:41:15,440 --> 01:41:17,440 longer. Their lifetime value stacked. 2731 01:41:17,440 --> 01:41:19,840 They had a better model so people didn't 2732 01:41:19,840 --> 01:41:23,080 churn out. 2733 01:41:24,000 --> 01:41:26,159 All right. 2734 01:41:26,159 --> 01:41:30,000 And so if CAC is industry average, so we 2735 01:41:30,000 --> 01:41:33,119 start there, start with CAC 2736 01:41:33,119 --> 01:41:35,679 and you can't afford leads. So if you're 2737 01:41:35,679 --> 01:41:37,920 average and you can't afford leads, you 2738 01:41:37,920 --> 01:41:39,679 have an LTV problem, right? So if it 2739 01:41:39,679 --> 01:41:40,880 cost you the same amount as everybody 2740 01:41:40,880 --> 01:41:42,960 else, but you can't afford to do it, 2741 01:41:42,960 --> 01:41:44,159 it's because they make more money than 2742 01:41:44,159 --> 01:41:45,440 you. So they can bid you out of the 2743 01:41:45,440 --> 01:41:48,880 marketplace. So if CAC average and 2744 01:41:48,880 --> 01:41:51,119 you're not making money, your LTV is too 2745 01:41:51,119 --> 01:41:52,719 low. Hopefully this answers the question 2746 01:41:52,719 --> 01:41:54,960 for some of you guys. That might be your 2747 01:41:54,960 --> 01:41:56,080 issue. I'm going to give you tacticals 2748 01:41:56,080 --> 01:41:57,280 on how to solve it in a second, but 2749 01:41:57,280 --> 01:42:00,639 that's how it works. Okay, so you don't 2750 01:42:00,639 --> 01:42:02,480 make enough on customers. We'll solve 2751 01:42:02,480 --> 01:42:03,679 this in a second, but I want you to at 2752 01:42:03,679 --> 01:42:05,760 least know which which constraint you're 2753 01:42:05,760 --> 01:42:09,760 dealing with. Now, if CAC is average and 2754 01:42:09,760 --> 01:42:12,880 profit is good, but you can't spend more 2755 01:42:12,880 --> 01:42:15,760 because of cash flow, meaning this is 2756 01:42:15,760 --> 01:42:17,199 super common in like home services where 2757 01:42:17,199 --> 01:42:18,800 it's like, oh, we get paid on net 90. 2758 01:42:18,800 --> 01:42:20,800 So, it's like our profit is good. It's 2759 01:42:20,800 --> 01:42:22,080 just that we have to wait for the the 2760 01:42:22,080 --> 01:42:24,000 cash to come in. So, we have we're cash 2761 01:42:24,000 --> 01:42:25,360 flow constrained even though we have 2762 01:42:25,360 --> 01:42:27,520 profit as a business. All right? We get 2763 01:42:27,520 --> 01:42:29,920 paid net 90 or we get, you know, $100 a 2764 01:42:29,920 --> 01:42:31,760 month for years, but it cost us $1,000 2765 01:42:31,760 --> 01:42:33,199 to get a customer. That's a cash flow 2766 01:42:33,199 --> 01:42:34,239 constraint. This is super common with 2767 01:42:34,239 --> 01:42:37,040 software companies, too, right? So, you 2768 01:42:37,040 --> 01:42:39,760 make a profit, but it's too slow. So, 2769 01:42:39,760 --> 01:42:42,560 the solutions are we need to accelerate 2770 01:42:42,560 --> 01:42:43,440 cash flow. And I'll show you how to do 2771 01:42:43,440 --> 01:42:44,400 that in a second. All right. I just want 2772 01:42:44,400 --> 01:42:45,360 to make sure that we're picking the 2773 01:42:45,360 --> 01:42:48,639 right problem. 2774 01:42:48,639 --> 01:42:52,639 So the next is CAC is too high. 2775 01:42:52,639 --> 01:42:54,480 So if CAC is too high, it's one of two 2776 01:42:54,480 --> 01:42:55,360 different problems because they're 2777 01:42:55,360 --> 01:42:57,199 multiplicative. All right? So it's 2778 01:42:57,199 --> 01:42:59,920 either your sales your leads cost too 2779 01:42:59,920 --> 01:43:05,280 much or your sales sucks or both. So if 2780 01:43:05,280 --> 01:43:06,800 CAC is too high, it cost you too much to 2781 01:43:06,800 --> 01:43:08,239 get customers. Either your advertising 2782 01:43:08,239 --> 01:43:11,840 blows or you suck at sales or both. 2783 01:43:11,840 --> 01:43:13,520 Okay? 2784 01:43:13,520 --> 01:43:15,679 So improvements to either of those 2785 01:43:15,679 --> 01:43:17,360 because they're multiplicative could 2786 01:43:17,360 --> 01:43:19,520 solve the problem. But we want to work 2787 01:43:19,520 --> 01:43:21,440 on the one with the weakest link, aka 2788 01:43:21,440 --> 01:43:24,239 the biggest bang for the buck. And so 2789 01:43:24,239 --> 01:43:25,440 let's say we're looking at this. Let's 2790 01:43:25,440 --> 01:43:27,520 say you're closing 25% of sales, you 2791 01:43:27,520 --> 01:43:29,840 know, 25% of conversations. You've got a 2792 01:43:29,840 --> 01:43:33,679 very low opt-in rate. Well, likely the 2793 01:43:33,679 --> 01:43:35,600 opt-in rate would be the constraint, 2794 01:43:35,600 --> 01:43:38,320 which would mean leads are costing too 2795 01:43:38,320 --> 01:43:40,000 much. So we can fix that one with better 2796 01:43:40,000 --> 01:43:42,400 advertising, conversion optimization, 2797 01:43:42,400 --> 01:43:43,440 etc. 2798 01:43:43,440 --> 01:43:44,880 Now, let's say that our sales you're 2799 01:43:44,880 --> 01:43:46,400 closing 5% of people get on the phone 2800 01:43:46,400 --> 01:43:48,480 with. Well, then you probably have a 2801 01:43:48,480 --> 01:43:51,280 sales issue, not necessarily a leads 2802 01:43:51,280 --> 01:43:53,119 issue. 2803 01:43:53,119 --> 01:43:54,719 And so, then you're closing too few. So, 2804 01:43:54,719 --> 01:43:57,119 you would be this one, number two. And 2805 01:43:57,119 --> 01:43:59,360 so, I I I walk through these so that you 2806 01:43:59,360 --> 01:44:01,360 can get is it a leads issue, is it a 2807 01:44:01,360 --> 01:44:03,679 sales issue, is it an LTV issue, or is 2808 01:44:03,679 --> 01:44:07,679 it a uh cash flow profit issue? 2809 01:44:07,679 --> 01:44:09,440 And so this is where pattern matching 2810 01:44:09,440 --> 01:44:11,360 transparently becomes valuable because 2811 01:44:11,360 --> 01:44:12,480 like this is the difference between me 2812 01:44:12,480 --> 01:44:13,840 like just saying this one to many to you 2813 01:44:13,840 --> 01:44:15,280 guys versus me being on the phone or you 2814 01:44:15,280 --> 01:44:16,480 know me talking to you in person or 2815 01:44:16,480 --> 01:44:17,840 answering the question you know in the 2816 01:44:17,840 --> 01:44:20,960 scale advisory group is that like that's 2817 01:44:20,960 --> 01:44:22,400 where pattern matching is important. 2818 01:44:22,400 --> 01:44:23,920 Like I could be like well I know 2819 01:44:23,920 --> 01:44:25,440 plumbing should never cost more than 2820 01:44:25,440 --> 01:44:27,840 this so you're missing all of it here 2821 01:44:27,840 --> 01:44:29,600 right like I can just tell that quickly. 2822 01:44:29,600 --> 01:44:31,040 Um but this at least should give you the 2823 01:44:31,040 --> 01:44:32,320 decision-making variables of how to 2824 01:44:32,320 --> 01:44:34,639 think through it. All right. Now, if 2825 01:44:34,639 --> 01:44:36,000 you're like, "Okay, Alex, well, I 2826 01:44:36,000 --> 01:44:37,440 understand where my specific constraint 2827 01:44:37,440 --> 01:44:40,159 is. Um, then we have these four 2828 01:44:40,159 --> 01:44:41,760 potentialities. Lead, sales, profit, 2829 01:44:41,760 --> 01:44:43,360 cash flow." Okay. And by profit, it's 2830 01:44:43,360 --> 01:44:44,800 LTV, but I named it profit for this 2831 01:44:44,800 --> 01:44:45,840 because you're not making enough per 2832 01:44:45,840 --> 01:44:48,719 customer. Um, let's actually solve them. 2833 01:44:48,719 --> 01:44:51,040 Okay? So, let's say that we we have CAC 2834 01:44:51,040 --> 01:44:53,760 is too high because our sales are fine, 2835 01:44:53,760 --> 01:44:55,760 but leads is the constraint, right? So, 2836 01:44:55,760 --> 01:44:56,960 you close sales, but you can't get 2837 01:44:56,960 --> 01:44:59,920 enough leads. So, how do we solve this? 2838 01:44:59,920 --> 01:45:02,639 So, you need better ads. And remember 2839 01:45:02,639 --> 01:45:04,320 the the multiple paths up the mountain. 2840 01:45:04,320 --> 01:45:05,920 This is an exact example of multiple 2841 01:45:05,920 --> 01:45:07,520 paths up the mountain. What I'm about to 2842 01:45:07,520 --> 01:45:09,600 go through. See if I can find my 2843 01:45:09,600 --> 01:45:11,920 multiple paths up the mountain. I think 2844 01:45:11,920 --> 01:45:14,560 this is it. Well, that was my Everest 2845 01:45:14,560 --> 01:45:16,239 one. There's still multiple paths 2846 01:45:16,239 --> 01:45:18,000 though. 2847 01:45:18,000 --> 01:45:20,560 Is this it? Yeah, here we go. 2848 01:45:20,560 --> 01:45:22,400 Okay, this is actually this exact 2849 01:45:22,400 --> 01:45:24,320 example, right? So leads is what we need 2850 01:45:24,320 --> 01:45:27,760 to solve. And so we can have better ads, 2851 01:45:27,760 --> 01:45:29,119 right? Which we would do with the go to 2852 01:45:29,119 --> 01:45:32,080 ads playbook. Or for those of you who 2853 01:45:32,080 --> 01:45:33,360 picked up the ads handbook, you can have 2854 01:45:33,360 --> 01:45:35,280 that too, right? Hooks would also 2855 01:45:35,280 --> 01:45:37,600 improve this as well. You can make 2856 01:45:37,600 --> 01:45:39,760 better content using hooks and branding. 2857 01:45:39,760 --> 01:45:40,880 You could do that too. That would 2858 01:45:40,880 --> 01:45:42,480 cheapen the amount of leads you get. If 2859 01:45:42,480 --> 01:45:43,840 if you're currently not making content, 2860 01:45:43,840 --> 01:45:44,960 you started making content, you'd get 2861 01:45:44,960 --> 01:45:46,159 cheaper leads, especially if you're 2862 01:45:46,159 --> 01:45:48,159 already running ads. Uh better 2863 01:45:48,159 --> 01:45:49,199 messaging. So this would be the 2864 01:45:49,199 --> 01:45:50,639 branding, like what is contained inside 2865 01:45:50,639 --> 01:45:52,239 of the advertising. What are the 2866 01:45:52,239 --> 01:45:53,679 associations and the pairings that you 2867 01:45:53,679 --> 01:45:55,520 want to make? 2868 01:45:55,520 --> 01:45:57,119 You could improve the offer, which is 2869 01:45:57,119 --> 01:45:58,400 the offer, the entire premise of the 2870 01:45:58,400 --> 01:46:01,199 offer's book, right? You could add in a 2871 01:46:01,199 --> 01:46:02,239 money model mechanism. You could take 2872 01:46:02,239 --> 01:46:04,239 your existing offer and then make it a 2873 01:46:04,239 --> 01:46:05,760 giveaway. You could make it a win your 2874 01:46:05,760 --> 01:46:07,199 money back. You could make it a decoy 2875 01:46:07,199 --> 01:46:08,800 offer. You could make it a pay less now 2876 01:46:08,800 --> 01:46:10,560 or pay more later offer, right? You 2877 01:46:10,560 --> 01:46:12,320 could make any of those with your 2878 01:46:12,320 --> 01:46:13,920 existing thing and you would get more 2879 01:46:13,920 --> 01:46:16,480 leads. 2880 01:46:16,480 --> 01:46:18,000 And this one's a bit of a strategy one 2881 01:46:18,000 --> 01:46:20,320 that's kind of between sales and LTV. 2882 01:46:20,320 --> 01:46:22,159 It's it's a little bit more strategic, 2883 01:46:22,159 --> 01:46:26,000 which is like maybe you have a you don't 2884 01:46:26,000 --> 01:46:27,679 have enough leads because you're going 2885 01:46:27,679 --> 01:46:30,400 after the wrong people. And if you were 2886 01:46:30,400 --> 01:46:31,920 clearer on the avatar that you're going 2887 01:46:31,920 --> 01:46:33,199 for, you would increase the quality of 2888 01:46:33,199 --> 01:46:34,560 your leads and then by extension, you 2889 01:46:34,560 --> 01:46:36,560 end up making more. So, let me tell you 2890 01:46:36,560 --> 01:46:40,080 guys a fun little fact. So, at this 2891 01:46:40,080 --> 01:46:43,840 launch that just happened, uh we had 2892 01:46:43,840 --> 01:46:45,760 different campaign objectives for ads. 2893 01:46:45,760 --> 01:46:47,760 So, it' be like this is a campaign 2894 01:46:47,760 --> 01:46:49,679 that's optimized for leads. This is a 2895 01:46:49,679 --> 01:46:52,080 campaign that's optimized for uh return 2896 01:46:52,080 --> 01:46:53,520 on ad spend, meaning it's going to 2897 01:46:53,520 --> 01:46:54,400 optimize for people who are going to 2898 01:46:54,400 --> 01:46:56,880 pre-order the book. Okay, really 2899 01:46:56,880 --> 01:46:59,760 interesting. So, our cost per lead on 2900 01:46:59,760 --> 01:47:01,679 our our rorowaz driven campaigns, 2901 01:47:01,679 --> 01:47:02,960 basically the ones that are optimizing 2902 01:47:02,960 --> 01:47:05,840 to get more book buyers, 2903 01:47:05,840 --> 01:47:07,920 the cost per lead was like two or three 2904 01:47:07,920 --> 01:47:09,920 times higher than the campaigns that 2905 01:47:09,920 --> 01:47:12,159 were optimized for leads. That sound 2906 01:47:12,159 --> 01:47:13,360 that kind of makes sense. Okay, well, 2907 01:47:13,360 --> 01:47:14,480 this is optimized to get the most leads. 2908 01:47:14,480 --> 01:47:15,840 This is optimized to get the most sales. 2909 01:47:15,840 --> 01:47:17,199 But when you get sales, you also get 2910 01:47:17,199 --> 01:47:18,639 leads. But the lead cost on those leads 2911 01:47:18,639 --> 01:47:20,400 was like three times higher. But here's 2912 01:47:20,400 --> 01:47:22,480 where it gets really interesting. 2913 01:47:22,480 --> 01:47:25,520 The actual return on our rorowaz driven 2914 01:47:25,520 --> 01:47:28,239 campaigns, even though they cost the 2915 01:47:28,239 --> 01:47:29,840 leads cost three times higher or more 2916 01:47:29,840 --> 01:47:32,480 for those campaigns, we still had four 2917 01:47:32,480 --> 01:47:34,480 times the return from that campaign 2918 01:47:34,480 --> 01:47:35,600 compared to the lead generating 2919 01:47:35,600 --> 01:47:37,199 campaign. And so the reason I bring this 2920 01:47:37,199 --> 01:47:39,119 up is because 2921 01:47:39,119 --> 01:47:41,280 sometimes you have this this option 2922 01:47:41,280 --> 01:47:42,880 where it's like, well, I've got my 2923 01:47:42,880 --> 01:47:44,800 existing customer base that, you know, I 2924 01:47:44,800 --> 01:47:47,840 I can get uh, you know, cost me $100 to 2925 01:47:47,840 --> 01:47:50,320 get a customer and I make uh, you know, 2926 01:47:50,320 --> 01:47:53,920 $500 from the customer. Or there's an 2927 01:47:53,920 --> 01:47:57,840 avatar that costs you $500 to get that 2928 01:47:57,840 --> 01:48:02,480 you make $10,000 from. 2929 01:48:02,480 --> 01:48:05,040 Five times more expensive, right? from 2930 01:48:05,040 --> 01:48:07,920 here to here, five times the price. 2931 01:48:07,920 --> 01:48:10,320 But 2932 01:48:10,320 --> 01:48:13,760 this is a 20x and this is a 5x. So you 2933 01:48:13,760 --> 01:48:17,920 have a 4x difference in relative return. 2934 01:48:17,920 --> 01:48:19,679 And so sometime the most valuable thing 2935 01:48:19,679 --> 01:48:21,440 you can do is just decide to not sell to 2936 01:48:21,440 --> 01:48:23,440 a specific customer base and then go up 2937 01:48:23,440 --> 01:48:25,760 market to better avatars. So, I have a 2938 01:48:25,760 --> 01:48:29,040 great chapter in um lost chapters, your 2939 01:48:29,040 --> 01:48:31,199 first avatar, which is really good. Um 2940 01:48:31,199 --> 01:48:32,719 that covers this and also the entire 2941 01:48:32,719 --> 01:48:35,440 lifetime value playbook. 2942 01:48:35,440 --> 01:48:38,159 So, those are the those are the ways up 2943 01:48:38,159 --> 01:48:40,560 the mountain. Now, if I'm talking to you 2944 01:48:40,560 --> 01:48:41,920 and you're like, well, which one should 2945 01:48:41,920 --> 01:48:44,480 I do? We do the one that we believe we 2946 01:48:44,480 --> 01:48:45,600 have the highest likelihood of 2947 01:48:45,600 --> 01:48:47,040 succeeding with given our existing 2948 01:48:47,040 --> 01:48:48,800 resources and skills. So, if we're 2949 01:48:48,800 --> 01:48:49,920 looking back at this list, if you're 2950 01:48:49,920 --> 01:48:51,760 somebody who's run ads before but never 2951 01:48:51,760 --> 01:48:53,280 made content, then I probably say like, 2952 01:48:53,280 --> 01:48:55,199 let's just stick with ads. If you're 2953 01:48:55,199 --> 01:48:56,560 really good at content, I wouldn't be 2954 01:48:56,560 --> 01:48:58,159 like, "Oh, let's necessarily do ads as 2955 01:48:58,159 --> 01:49:00,400 our first bet. Can we make more or 2956 01:49:00,400 --> 01:49:03,199 better content in order to do it?" Um, 2957 01:49:03,199 --> 01:49:04,960 you know, offers. Now, the existing 2958 01:49:04,960 --> 01:49:06,320 thing there, I'd be like, "Okay, well, 2959 01:49:06,320 --> 01:49:07,600 is there a way that we don't have to 2960 01:49:07,600 --> 01:49:09,360 change your services, but just recombine 2961 01:49:09,360 --> 01:49:10,800 it in a way that makes it more 2962 01:49:10,800 --> 01:49:11,840 appetizing?" That's where the money 2963 01:49:11,840 --> 01:49:13,520 models come in and the mechanisms that 2964 01:49:13,520 --> 01:49:14,560 just make whatever you're currently 2965 01:49:14,560 --> 01:49:17,440 doing just better or more sexy. 2966 01:49:17,440 --> 01:49:19,840 Okay. 2967 01:49:19,840 --> 01:49:21,600 So that's 2968 01:49:21,600 --> 01:49:25,920 that's if leads cost uh too much. We 2969 01:49:25,920 --> 01:49:27,360 solve that. Great. So now we have lead 2970 01:49:27,360 --> 01:49:29,360 flow coming in. And so you deal with the 2971 01:49:29,360 --> 01:49:32,480 issue of well, I've got all this junk, 2972 01:49:32,480 --> 01:49:33,679 right? I got all these leads coming in, 2973 01:49:33,679 --> 01:49:36,000 but we can't close them, right? And so 2974 01:49:36,000 --> 01:49:37,280 the ways that we think through solving 2975 01:49:37,280 --> 01:49:38,960 this is like number one, better 2976 01:49:38,960 --> 01:49:41,119 conversion optimization on the page. So 2977 01:49:41,119 --> 01:49:42,400 look at the page flows, look at the 2978 01:49:42,400 --> 01:49:43,840 headlines, look at the sub headlines, 2979 01:49:43,840 --> 01:49:45,600 the lead magnet itself. if you don't 2980 01:49:45,600 --> 01:49:47,199 have a lead magnet. Sometimes that like 2981 01:49:47,199 --> 01:49:49,360 I would say probably 10% of the time I I 2982 01:49:49,360 --> 01:49:52,320 I go do a page takedown or tear down and 2983 01:49:52,320 --> 01:49:54,560 I find out that their entire page says 2984 01:49:54,560 --> 01:49:58,320 request invoice or request a quote or 2985 01:49:58,320 --> 01:50:00,159 just like book a strategy call. 2986 01:50:00,159 --> 01:50:02,400 Typically not a very compelling thing, 2987 01:50:02,400 --> 01:50:04,800 right? It'll increase the lead quality, 2988 01:50:04,800 --> 01:50:06,239 but you're missing out on a lot of sales 2989 01:50:06,239 --> 01:50:07,920 by not making the thing beforehand 2990 01:50:07,920 --> 01:50:09,520 better, right? Like why do I have the 2991 01:50:09,520 --> 01:50:11,520 scaling road map? Because it's a much 2992 01:50:11,520 --> 01:50:13,119 broader lead magnet. People who are 2993 01:50:13,119 --> 01:50:14,320 interested in scaling their business are 2994 01:50:14,320 --> 01:50:15,360 probably going to get a scaling road 2995 01:50:15,360 --> 01:50:16,480 map. If you're interested in getting a 2996 01:50:16,480 --> 01:50:17,840 scaling road map, you're likely to want 2997 01:50:17,840 --> 01:50:20,480 to come to a scaling workshop, right? 2998 01:50:20,480 --> 01:50:22,400 And then we can also grade them based on 2999 01:50:22,400 --> 01:50:24,000 the level that they select for the 3000 01:50:24,000 --> 01:50:25,360 scaling road map. So it also qualifies 3001 01:50:25,360 --> 01:50:28,880 leads for me. Right? Now the next thing 3002 01:50:28,880 --> 01:50:30,320 we can do is we can improve the sales 3003 01:50:30,320 --> 01:50:33,119 process. So I uh so obviously we have 3004 01:50:33,119 --> 01:50:35,840 lead nurture here. We have proof which 3005 01:50:35,840 --> 01:50:37,920 you can uh basically embed throughout 3006 01:50:37,920 --> 01:50:40,560 the process and you can build a VSSL. 3007 01:50:40,560 --> 01:50:41,600 So, some of you are like, "What's a 3008 01:50:41,600 --> 01:50:45,360 VSSL?" So, VSSL is something that so 3009 01:50:45,360 --> 01:50:46,719 many of you probably need to install 3010 01:50:46,719 --> 01:50:48,480 inside of your businesses. If I have 3011 01:50:48,480 --> 01:50:50,480 time later today, maybe I'll go over it. 3012 01:50:50,480 --> 01:50:52,239 But 3013 01:50:52,239 --> 01:50:55,500 should I do it now? 3014 01:50:55,500 --> 01:50:57,119 [Music] 3015 01:50:57,119 --> 01:50:58,080 All right. I'm going to give you the 3016 01:50:58,080 --> 01:51:00,800 8020 of this. All right. So, before you 3017 01:51:00,800 --> 01:51:03,679 have a sales call, any call you have, 3018 01:51:03,679 --> 01:51:04,719 there should always be a video that 3019 01:51:04,719 --> 01:51:06,159 precedes it. If you have a two call 3020 01:51:06,159 --> 01:51:08,320 close, there'll be two videos. If you 3021 01:51:08,320 --> 01:51:09,440 have a three call closer, there' be 3022 01:51:09,440 --> 01:51:11,119 three videos. All right, this is what a 3023 01:51:11,119 --> 01:51:14,239 VSSL does. The function of a VSSL is to 3024 01:51:14,239 --> 01:51:16,080 take all of the stuff that your sales 3025 01:51:16,080 --> 01:51:17,760 team would repeat over and over again on 3026 01:51:17,760 --> 01:51:20,239 a call and then just preload that with 3027 01:51:20,239 --> 01:51:22,800 the customer so that when you talk to 3028 01:51:22,800 --> 01:51:24,960 the customer, they already have all the 3029 01:51:24,960 --> 01:51:26,159 information. And then what the 3030 01:51:26,159 --> 01:51:28,320 salesperson is doing is actually just 3031 01:51:28,320 --> 01:51:30,960 making sure that they can make the 3032 01:51:30,960 --> 01:51:32,000 decision. They're helping them 3033 01:51:32,000 --> 01:51:33,600 personalize it to get them to close. All 3034 01:51:33,600 --> 01:51:36,400 right, so let's do it over here. Let's 3035 01:51:36,400 --> 01:51:39,880 do it over here. 3036 01:51:40,239 --> 01:51:42,159 Okay. 3037 01:51:42,159 --> 01:51:47,440 Your wish is my command. All right. So, 3038 01:51:47,440 --> 01:51:49,760 so you go proof, 3039 01:51:49,760 --> 01:51:52,560 promise. This is not in order. Sorry. 3040 01:51:52,560 --> 01:51:54,800 Pain, 3041 01:51:54,800 --> 01:51:57,800 plan, 3042 01:51:58,000 --> 01:52:00,000 picture. Okay. So, we have our five Ps. 3043 01:52:00,000 --> 01:52:01,040 Now, you're like, that's really similar 3044 01:52:01,040 --> 01:52:02,960 to what a YouTube video is. Yep. That's 3045 01:52:02,960 --> 01:52:04,159 because that's what gets attention and 3046 01:52:04,159 --> 01:52:07,199 gets people to stay. So, hey, uh, you 3047 01:52:07,199 --> 01:52:09,599 know, I can help you get appointments 3048 01:52:09,599 --> 01:52:12,880 using LinkedIn. If you're tired of 3049 01:52:12,880 --> 01:52:14,560 having people who are lowquality and 3050 01:52:14,560 --> 01:52:15,679 having them not show up and having to 3051 01:52:15,679 --> 01:52:16,719 come up with new creative and be the 3052 01:52:16,719 --> 01:52:19,520 face of your brand, um, I can help you 3053 01:52:19,520 --> 01:52:22,480 out and here's proof of 10 other 3054 01:52:22,480 --> 01:52:23,599 companies that are just like yours that 3055 01:52:23,599 --> 01:52:25,360 I've helped do it. And so, this is the 3056 01:52:25,360 --> 01:52:26,880 one, two, three-step process I'm going 3057 01:52:26,880 --> 01:52:28,560 to walk you through in this video and I 3058 01:52:28,560 --> 01:52:29,840 give you a nice visual that tells you 3059 01:52:29,840 --> 01:52:31,520 where you're at. So, that's how I would 3060 01:52:31,520 --> 01:52:34,159 intro this thing, right? And so then for 3061 01:52:34,159 --> 01:52:36,159 each of these, we're basically just 3062 01:52:36,159 --> 01:52:38,239 going to have a a belief breaking 3063 01:52:38,239 --> 01:52:39,199 framework. So it's going to be like 3064 01:52:39,199 --> 01:52:41,599 their FAQ number one. So consider this 3065 01:52:41,599 --> 01:52:43,920 as like the the biggest objections, 3066 01:52:43,920 --> 01:52:46,400 right? You're going to have number one, 3067 01:52:46,400 --> 01:52:48,560 number two, 3068 01:52:48,560 --> 01:52:51,440 number three, whatever, number four. You 3069 01:52:51,440 --> 01:52:52,960 can even go up to number five, right? 3070 01:52:52,960 --> 01:52:54,560 Whatever. I don't I don't usually go 3071 01:52:54,560 --> 01:52:56,480 over five. Try to stick to, you know, 3072 01:52:56,480 --> 01:52:58,480 three to five in terms of my my things, 3073 01:52:58,480 --> 01:53:00,880 right? And so for each of these, we want 3074 01:53:00,880 --> 01:53:05,960 to say uh what they think, 3075 01:53:09,920 --> 01:53:13,480 why it's wrong, 3076 01:53:13,920 --> 01:53:17,239 what's right, 3077 01:53:18,320 --> 01:53:21,320 proof. 3078 01:53:22,080 --> 01:53:23,440 So, a lot of people don't want to travel 3079 01:53:23,440 --> 01:53:25,599 to Vegas, but actually traveling to 3080 01:53:25,599 --> 01:53:27,199 Vegas is an awesome thing because when 3081 01:53:27,199 --> 01:53:28,320 you get in the sky, you actually get 3082 01:53:28,320 --> 01:53:29,679 some perspective literally physically on 3083 01:53:29,679 --> 01:53:31,119 the business. And you need to have that 3084 01:53:31,119 --> 01:53:33,280 time and that separation in order to 3085 01:53:33,280 --> 01:53:35,280 understand like let the dust settle in 3086 01:53:35,280 --> 01:53:36,239 your mind and so you can get really 3087 01:53:36,239 --> 01:53:37,199 strategic about what you're going to 3088 01:53:37,199 --> 01:53:38,800 implement. So, that's me saying what's 3089 01:53:38,800 --> 01:53:40,639 wrong, what's right in one line. And 3090 01:53:40,639 --> 01:53:42,480 here's proof. Here's John, Mary, and 3091 01:53:42,480 --> 01:53:45,280 Jacob who all said that actually getting 3092 01:53:45,280 --> 01:53:46,560 space away from their business was good 3093 01:53:46,560 --> 01:53:48,080 because they got away from the chaos. 3094 01:53:48,080 --> 01:53:49,520 They literally got physical space. They 3095 01:53:49,520 --> 01:53:50,880 could take their notes. They come with 3096 01:53:50,880 --> 01:53:51,920 intention. they could leave with 3097 01:53:51,920 --> 01:53:53,360 intention and end up being one of the 3098 01:53:53,360 --> 01:53:54,639 most valuable things they did and they 3099 01:53:54,639 --> 01:53:57,040 loved the city. Great. And they got a 3100 01:53:57,040 --> 01:53:58,080 memory for it that if they had just 3101 01:53:58,080 --> 01:53:58,960 gotten the memory it would have been 3102 01:53:58,960 --> 01:54:00,480 worth it on its own. So we take 3103 01:54:00,480 --> 01:54:01,679 something that they thought was going to 3104 01:54:01,679 --> 01:54:03,440 be I don't want to travel and turn it 3105 01:54:03,440 --> 01:54:05,040 into a actually this is a really good 3106 01:54:05,040 --> 01:54:06,639 thing. And so we just go through each of 3107 01:54:06,639 --> 01:54:08,800 the things that we would have and then 3108 01:54:08,800 --> 01:54:09,840 those are going to be the things that 3109 01:54:09,840 --> 01:54:11,599 most people object to. Why don't why 3110 01:54:11,599 --> 01:54:14,000 don't I want to buy, right? And then 3111 01:54:14,000 --> 01:54:16,960 we're going to have our CTA that has 3112 01:54:16,960 --> 01:54:19,520 some sort of the offer installed. Now, 3113 01:54:19,520 --> 01:54:21,199 sometimes you can do you can embed the 3114 01:54:21,199 --> 01:54:22,639 offer into each of these pieces like 3115 01:54:22,639 --> 01:54:24,159 each component of the offer can overcome 3116 01:54:24,159 --> 01:54:26,320 one of the obstacles. That works too. 3117 01:54:26,320 --> 01:54:27,920 Um, but if you're CTA offer and say, 3118 01:54:27,920 --> 01:54:29,840 "Hey, go book a call, go take the next 3119 01:54:29,840 --> 01:54:32,000 action, whatever." Now, if you have like 3120 01:54:32,000 --> 01:54:33,760 an in-person meeting, if you're for the 3121 01:54:33,760 --> 01:54:35,040 those you're in person, which is like I 3122 01:54:35,040 --> 01:54:37,679 think like 30% of you guys, um you can 3123 01:54:37,679 --> 01:54:39,280 just send this before they actually meet 3124 01:54:39,280 --> 01:54:41,440 with the sales person in person and you 3125 01:54:41,440 --> 01:54:43,679 can tell inside of the video, give a 3126 01:54:43,679 --> 01:54:46,400 keyword that's like um say what color 3127 01:54:46,400 --> 01:54:48,159 shirt you want, say what size shirt you 3128 01:54:48,159 --> 01:54:50,719 want, say tell me the dynamics of your 3129 01:54:50,719 --> 01:54:52,880 deck, tell me how many years old the 3130 01:54:52,880 --> 01:54:54,719 business, your your house is, whatever, 3131 01:54:54,719 --> 01:54:56,400 right? And the reason you have them send 3132 01:54:56,400 --> 01:54:57,679 that back is that way you actually know 3133 01:54:57,679 --> 01:55:00,639 they watch the video. Right now, if 3134 01:55:00,639 --> 01:55:01,760 you're in that kind of lead nurture 3135 01:55:01,760 --> 01:55:02,800 setting, let me give you the scripting 3136 01:55:02,800 --> 01:55:04,719 for this. You would say something like, 3137 01:55:04,719 --> 01:55:06,719 uh, hey, we like to send this video so 3138 01:55:06,719 --> 01:55:08,560 that uh, it has all the graphs and the 3139 01:55:08,560 --> 01:55:10,080 charts and the stats. And honestly, it's 3140 01:55:10,080 --> 01:55:11,199 way better than us trying to just like 3141 01:55:11,199 --> 01:55:13,599 do it offhand. Um, would you rather 3142 01:55:13,599 --> 01:55:16,800 watch that with us or on your own? Now, 3143 01:55:16,800 --> 01:55:17,920 no one's like, I don't want to watch 3144 01:55:17,920 --> 01:55:19,040 this with you, right? They're like, I'll 3145 01:55:19,040 --> 01:55:20,560 watch it on my own. So, then they told 3146 01:55:20,560 --> 01:55:21,679 you they want to watch it on their own, 3147 01:55:21,679 --> 01:55:23,119 which is what you want them to do, too. 3148 01:55:23,119 --> 01:55:24,960 But now, that way you set the precedent 3149 01:55:24,960 --> 01:55:26,400 so that if they don't watch it, you be 3150 01:55:26,400 --> 01:55:28,960 like, "Oh, I didn't get your text. Um, 3151 01:55:28,960 --> 01:55:30,639 you want to go pop it up and I'll uh 3152 01:55:30,639 --> 01:55:32,239 I'll be right back and I'll grab a cup 3153 01:55:32,239 --> 01:55:33,599 of coffee, whatever, and then uh we can 3154 01:55:33,599 --> 01:55:34,960 rock and roll." That way you have full 3155 01:55:34,960 --> 01:55:36,560 context on this so that you have the 3156 01:55:36,560 --> 01:55:37,840 visuals and things like that that I 3157 01:55:37,840 --> 01:55:38,960 could probably not do with my hands, 3158 01:55:38,960 --> 01:55:41,440 right? Whatever. So, you have your CTA 3159 01:55:41,440 --> 01:55:43,440 and offer, and then we just do a proof 3160 01:55:43,440 --> 01:55:46,440 roll, 3161 01:55:46,800 --> 01:55:48,320 which is basically I just have proof 3162 01:55:48,320 --> 01:55:49,599 going for the rest of it of just people 3163 01:55:49,599 --> 01:55:50,880 or experiences who've gone through 3164 01:55:50,880 --> 01:55:53,040 whatever the thing is. This is your 3165 01:55:53,040 --> 01:55:55,840 quick and dirty VSSL. 3166 01:55:55,840 --> 01:55:57,840 Five to seven minutes. Just hit it. One, 3167 01:55:57,840 --> 01:56:00,719 two, three, four. Um, super super 3168 01:56:00,719 --> 01:56:02,960 simple. Okay, so this is a VSSL 3169 01:56:02,960 --> 01:56:04,800 framework. And the thing is is that you 3170 01:56:04,800 --> 01:56:06,159 want this to be between every 3171 01:56:06,159 --> 01:56:08,480 conversation. And if the sale is moving 3172 01:56:08,480 --> 01:56:09,679 along, then they might have different 3173 01:56:09,679 --> 01:56:11,360 objections at different stages in the 3174 01:56:11,360 --> 01:56:12,880 conversation. You make the VSSL to do 3175 01:56:12,880 --> 01:56:14,400 that. And if you're like, wait a second, 3176 01:56:14,400 --> 01:56:15,599 but that means that sometimes I might 3177 01:56:15,599 --> 01:56:17,520 have someone watch two VSSLs that are 3178 01:56:17,520 --> 01:56:18,800 just different but still sell the same 3179 01:56:18,800 --> 01:56:21,679 thing. Yes, totally fine. Selling 3180 01:56:21,679 --> 01:56:22,719 someone more does not decrease the 3181 01:56:22,719 --> 01:56:25,520 likelihood that they buy. Okay. So, that 3182 01:56:25,520 --> 01:56:26,880 was a little segue, a little side quest, 3183 01:56:26,880 --> 01:56:28,560 but hopefully you guys are good with it. 3184 01:56:28,560 --> 01:56:30,159 So, hope you guys are happy with that. 3185 01:56:30,159 --> 01:56:32,880 Uh, okay. So, this is because we're 3186 01:56:32,880 --> 01:56:35,040 we're trying to solve the uh I've got 3187 01:56:35,040 --> 01:56:36,560 leads, but we're not closing as many, 3188 01:56:36,560 --> 01:56:38,239 right? So, we do CRO and the page. 3189 01:56:38,239 --> 01:56:39,840 Great. We have better sales process. 3190 01:56:39,840 --> 01:56:41,599 Great. Now, we do better sales training. 3191 01:56:41,599 --> 01:56:43,440 So, it's like, can we train the guys or 3192 01:56:43,440 --> 01:56:45,040 the gals to say the words they need to 3193 01:56:45,040 --> 01:56:47,599 say in the right way? The HQ handbook, 3194 01:56:47,599 --> 01:56:48,800 the closer handbook for those you guys 3195 01:56:48,800 --> 01:56:50,239 picked it up, also great. obviously is 3196 01:56:50,239 --> 01:56:51,199 our training and our cadence and our 3197 01:56:51,199 --> 01:56:52,800 onboarding all that stuff inside of it. 3198 01:56:52,800 --> 01:56:56,719 Um, better reputation. So maybe people 3199 01:56:56,719 --> 01:56:57,920 aren't closing because they see online 3200 01:56:57,920 --> 01:56:59,679 that you got terrible reviews, right? So 3201 01:56:59,679 --> 01:57:01,199 this is where this is where some of the 3202 01:57:01,199 --> 01:57:03,199 stuff comes a little full circle where 3203 01:57:03,199 --> 01:57:04,239 you can do whatever you want from 3204 01:57:04,239 --> 01:57:05,440 marketing side branding, but you also 3205 01:57:05,440 --> 01:57:07,440 have the product, right? Like are we 3206 01:57:07,440 --> 01:57:10,000 retaining customers? Um, are we picking 3207 01:57:10,000 --> 01:57:11,199 the right customers, which is what I 3208 01:57:11,199 --> 01:57:12,560 started today with like if you're 3209 01:57:12,560 --> 01:57:13,679 getting people who can't speak English 3210 01:57:13,679 --> 01:57:14,960 and you're trying to teach them Spanish 3211 01:57:14,960 --> 01:57:16,960 and they can't speak English, probably 3212 01:57:16,960 --> 01:57:18,719 not going to be successful, right? and 3213 01:57:18,719 --> 01:57:20,000 maybe you have an amazing Spanish 3214 01:57:20,000 --> 01:57:21,119 program, but if they can't speak 3215 01:57:21,119 --> 01:57:22,960 English, you're selling the wrong people 3216 01:57:22,960 --> 01:57:24,080 and it is your fault because you're 3217 01:57:24,080 --> 01:57:26,000 you're taking the money. So, you want to 3218 01:57:26,000 --> 01:57:27,360 make sure that you actually install 3219 01:57:27,360 --> 01:57:28,719 prerequisites. Like, what is actually 3220 01:57:28,719 --> 01:57:30,560 required to be successful? And for 3221 01:57:30,560 --> 01:57:34,080 everyone here, strongly encourage you to 3222 01:57:34,080 --> 01:57:35,599 at least set some requisites. Like, if 3223 01:57:35,599 --> 01:57:36,800 you want to come to one of the workshops 3224 01:57:36,800 --> 01:57:38,480 here, you have to be making I think it's 3225 01:57:38,480 --> 01:57:40,560 $500,000 a year, right? Like that's the 3226 01:57:40,560 --> 01:57:41,920 bar, right? It's just because it's going 3227 01:57:41,920 --> 01:57:43,040 to be it's going to be more valuable. 3228 01:57:43,040 --> 01:57:44,400 It's better. Like the the leads sort 3229 01:57:44,400 --> 01:57:45,520 automatically. Like you can't even get 3230 01:57:45,520 --> 01:57:47,199 on the calendar otherwise, right? It's 3231 01:57:47,199 --> 01:57:48,400 just it's just because like if 3232 01:57:48,400 --> 01:57:50,639 somebody's at $100,000 a year, there's 3233 01:57:50,639 --> 01:57:51,840 nothing wrong with that. They just need 3234 01:57:51,840 --> 01:57:54,239 more tactics, right? And we obviously 3235 01:57:54,239 --> 01:57:57,040 have these tactics. Um but most people 3236 01:57:57,040 --> 01:57:58,320 are like at 500, they're like, "How do I 3237 01:57:58,320 --> 01:57:59,760 get to and that's the minimum, right? 3238 01:57:59,760 --> 01:58:01,520 The average I think is like between one 3239 01:58:01,520 --> 01:58:02,560 and four million depending on the 3240 01:58:02,560 --> 01:58:04,239 workshop." Um but anyways, just to give 3241 01:58:04,239 --> 01:58:06,880 you guys an idea. Okay, so uh the next 3242 01:58:06,880 --> 01:58:08,159 thing is better lead quality. So I just 3243 01:58:08,159 --> 01:58:09,840 touched on this, but you might have the 3244 01:58:09,840 --> 01:58:10,960 issue where you're like, "We have so 3245 01:58:10,960 --> 01:58:12,960 many leads with so much junk, right? So 3246 01:58:12,960 --> 01:58:15,040 we have to add friction to the process, 3247 01:58:15,040 --> 01:58:17,280 right? Also, the ads themselves, you 3248 01:58:17,280 --> 01:58:19,199 might be not calling out the right 3249 01:58:19,199 --> 01:58:21,679 people. Right? If I'm giving away, I'll 3250 01:58:21,679 --> 01:58:23,599 give you an extreme example. If I give 3251 01:58:23,599 --> 01:58:27,040 away a free vacation for my IT services, 3252 01:58:27,040 --> 01:58:28,800 that's probably not a good lead magnet. 3253 01:58:28,800 --> 01:58:30,000 That's probably not a good mechanism 3254 01:58:30,000 --> 01:58:30,960 because I'm going to get everybody who 3255 01:58:30,960 --> 01:58:32,239 wants to go on a free vacation, not 3256 01:58:32,239 --> 01:58:34,239 people want IT services. Now, if the big 3257 01:58:34,239 --> 01:58:36,159 giveaway that I'm giving is like IT 3258 01:58:36,159 --> 01:58:37,599 services that are fully managed for a 3259 01:58:37,599 --> 01:58:39,280 year, that's probably going to be a way 3260 01:58:39,280 --> 01:58:42,239 better clientele base than me trying to 3261 01:58:42,239 --> 01:58:43,679 get uh people who want a vacation. Now 3262 01:58:43,679 --> 01:58:46,000 I'm going to get way cheaper leads, but 3263 01:58:46,000 --> 01:58:47,760 I'm not going to make more. Right? And 3264 01:58:47,760 --> 01:58:49,760 so introducing friction in the funnel, 3265 01:58:49,760 --> 01:58:51,840 adding a VSSL, adding proof, making sure 3266 01:58:51,840 --> 01:58:53,360 the ads call out the correct avatar. 3267 01:58:53,360 --> 01:58:55,040 That's this higher quality avatar. And 3268 01:58:55,040 --> 01:58:56,800 then if you want, you can add in Bant. 3269 01:58:56,800 --> 01:58:57,760 And some of you guys don't know what 3270 01:58:57,760 --> 01:58:58,960 Bant is, so I'll tell you what that is 3271 01:58:58,960 --> 01:59:02,119 right now. 3272 01:59:18,560 --> 01:59:20,560 budget, authority, need, timing. Do you 3273 01:59:20,560 --> 01:59:22,080 got the money to spend, the ability to 3274 01:59:22,080 --> 01:59:23,599 say yes? Do you need the thing right 3275 01:59:23,599 --> 01:59:25,360 now? Or do you need the thing? Is now 3276 01:59:25,360 --> 01:59:28,639 the right time? And so when you ask like 3277 01:59:28,639 --> 01:59:30,000 these are the four things you need to 3278 01:59:30,000 --> 01:59:31,520 ask a prospect if you have any kind of 3279 01:59:31,520 --> 01:59:33,199 application process for whatever service 3280 01:59:33,199 --> 01:59:35,599 you sell. This is what you want to ask. 3281 01:59:35,599 --> 01:59:37,599 And this is me kind of like opening up 3282 01:59:37,599 --> 01:59:39,760 the kimono for you. 3283 01:59:39,760 --> 01:59:43,280 I have I have I have just been in charge 3284 01:59:43,280 --> 01:59:44,800 of creating sales processes for 3285 01:59:44,800 --> 01:59:47,599 everything from you know I just from so 3286 01:59:47,599 --> 01:59:48,480 many different things from teeth 3287 01:59:48,480 --> 01:59:51,199 whitening to to marketing agencies to 3288 01:59:51,199 --> 01:59:55,480 plumbing to whatever right 3289 01:59:55,760 --> 01:59:59,199 I I so rarely I c I can't actually 3290 01:59:59,199 --> 02:00:02,560 recall a time where I I made less money 3291 02:00:02,560 --> 02:00:04,560 by adding friction and what's 3292 02:00:04,560 --> 02:00:05,840 interesting about it is it's the thing 3293 02:00:05,840 --> 02:00:07,920 that people are afraid to do. People are 3294 02:00:07,920 --> 02:00:10,080 afraid to raise prices. People are 3295 02:00:10,080 --> 02:00:13,040 afraid to narrow their avatar. People 3296 02:00:13,040 --> 02:00:15,520 are afraid to add friction to a sales 3297 02:00:15,520 --> 02:00:19,119 process. But almost always when you do, 3298 02:00:19,119 --> 02:00:20,800 when you focus on quality because no one 3299 02:00:20,800 --> 02:00:22,800 else will do it, is where the alpha is. 3300 02:00:22,800 --> 02:00:25,280 It's where the arbitrage exists. And so 3301 02:00:25,280 --> 02:00:27,760 I would encourage you to like be bold 3302 02:00:27,760 --> 02:00:30,080 here and be willing to to do things that 3303 02:00:30,080 --> 02:00:31,199 other people don't do so you can get 3304 02:00:31,199 --> 02:00:32,960 things other people don't get. Like most 3305 02:00:32,960 --> 02:00:35,119 business owners are mediocre at best. 3306 02:00:35,119 --> 02:00:36,560 Well, most business owner are mediocre. 3307 02:00:36,560 --> 02:00:38,159 I also say that most business own are 3308 02:00:38,159 --> 02:00:40,400 average and average people don't venture 3309 02:00:40,400 --> 02:00:43,280 off. They don't take bets, right? And so 3310 02:00:43,280 --> 02:00:44,560 be willing to do the thing that's going 3311 02:00:44,560 --> 02:00:46,639 to increase your lead cost. Do the thing 3312 02:00:46,639 --> 02:00:48,080 that's going to that's going to give you 3313 02:00:48,080 --> 02:00:50,880 a $500 lead that's worth $10,000 rather 3314 02:00:50,880 --> 02:00:52,400 than 3315 02:00:52,400 --> 02:00:55,760 a uh $100 lead that's worth 500. Like 3316 02:00:55,760 --> 02:00:59,280 you will spend more and you could make 3317 02:00:59,280 --> 02:01:01,440 more as a result. And oftentimes for me, 3318 02:01:01,440 --> 02:01:03,280 I have found that to be true more times 3319 02:01:03,280 --> 02:01:05,840 than not by a lot. So these are the 3320 02:01:05,840 --> 02:01:07,040 things that we that these are the 3321 02:01:07,040 --> 02:01:08,719 playbooks that we use that we that we 3322 02:01:08,719 --> 02:01:10,719 implement to fix sales related issues 3323 02:01:10,719 --> 02:01:14,000 when you can't afford uh leads. Okay. 3324 02:01:14,000 --> 02:01:15,599 Additionally, you can do uh uh payment 3325 02:01:15,599 --> 02:01:19,119 options if you don't have that. So um uh 3326 02:01:19,119 --> 02:01:20,800 payment plan downells is is a great way 3327 02:01:20,800 --> 02:01:22,000 if you don't already have payment plans 3328 02:01:22,000 --> 02:01:23,119 installed. I would just install that 3329 02:01:23,119 --> 02:01:24,320 system straight up which is inside of 3330 02:01:24,320 --> 02:01:26,480 the money models book. Okay. So you're 3331 02:01:26,480 --> 02:01:27,679 closing too few of them. All right. So, 3332 02:01:27,679 --> 02:01:29,599 we've got enough leads and they're the 3333 02:01:29,599 --> 02:01:30,960 right price and we're closing enough of 3334 02:01:30,960 --> 02:01:33,599 them, but we can't do more because if we 3335 02:01:33,599 --> 02:01:34,719 do that, we're still not making enough 3336 02:01:34,719 --> 02:01:36,080 per customer. So, that's a backend 3337 02:01:36,080 --> 02:01:40,000 issue. So, you can increase the price or 3338 02:01:40,000 --> 02:01:41,440 implement a price raise. What's 3339 02:01:41,440 --> 02:01:42,960 difficult about me saying this to you is 3340 02:01:42,960 --> 02:01:44,480 that some of you require me to literally 3341 02:01:44,480 --> 02:01:46,320 say to you on the phone and walk through 3342 02:01:46,320 --> 02:01:49,040 this logic tree with you, but I can't 3343 02:01:49,040 --> 02:01:50,400 physically do that. And so, this is me 3344 02:01:50,400 --> 02:01:51,360 trying to say it. If you walk through 3345 02:01:51,360 --> 02:01:53,199 this logic tree and you're like, well, 3346 02:01:53,199 --> 02:01:54,639 this is where I'm at, then this is what 3347 02:01:54,639 --> 02:01:57,040 you need to do, right? Alternatively, 3348 02:01:57,040 --> 02:01:59,599 you could decrease your costs. How can 3349 02:01:59,599 --> 02:02:04,880 we spend less to deliver on customers? 3350 02:02:04,880 --> 02:02:06,239 And I'll get I'll get you a couple more 3351 02:02:06,239 --> 02:02:08,639 taxes on this in the in the latter half. 3352 02:02:08,639 --> 02:02:10,639 Okay. Can we increase frequency? Can we 3353 02:02:10,639 --> 02:02:13,199 get them to buy more often? 3354 02:02:13,199 --> 02:02:15,040 Can we get them to buy again at the most 3355 02:02:15,040 --> 02:02:17,520 basic level? Can we ascend like upsells 3356 02:02:17,520 --> 02:02:20,000 and crossells? So, I'll give you guys a 3357 02:02:20,000 --> 02:02:24,040 little tactic around this. 3358 02:02:24,719 --> 02:02:26,480 You guys want it tactical. So hopefully 3359 02:02:26,480 --> 02:02:27,760 I know the first part started with 3360 02:02:27,760 --> 02:02:29,199 clouds. Hopefully you guys are good with 3361 02:02:29,199 --> 02:02:32,400 the the dirt the dirt the tactics of 3362 02:02:32,400 --> 02:02:36,480 what makes this work. Okay. So if you're 3363 02:02:36,480 --> 02:02:38,239 let's say a customer relationship starts 3364 02:02:38,239 --> 02:02:40,400 here 3365 02:02:40,400 --> 02:02:42,000 and this is kind of like your duration. 3366 02:02:42,000 --> 02:02:44,719 You sell you know 12 a 12-week thing 3367 02:02:44,719 --> 02:02:48,480 whatever. Okay. So the first time like 3368 02:02:48,480 --> 02:02:49,920 there are different specific areas that 3369 02:02:49,920 --> 02:02:51,199 you can do ascensions where you sell 3370 02:02:51,199 --> 02:02:53,360 someone more stuff, right? Num one of 3371 02:02:53,360 --> 02:02:56,159 them is just immediately. The next one I 3372 02:02:56,159 --> 02:02:58,639 usually like is like 24 to 48 hours. 3373 02:02:58,639 --> 02:03:00,560 They kind of realize that they they now 3374 02:03:00,560 --> 02:03:03,280 need something immediately. I also have 3375 02:03:03,280 --> 02:03:06,280 milestone. 3376 02:03:08,880 --> 02:03:12,080 We have halfway 3377 02:03:12,080 --> 02:03:15,719 and then last chance. 3378 02:03:15,840 --> 02:03:19,360 Let me give you a very important note. 3379 02:03:19,360 --> 02:03:21,520 We've got four opportunities to upsell 3380 02:03:21,520 --> 02:03:25,199 in the first half here. 3381 02:03:25,199 --> 02:03:27,280 Four. 3382 02:03:27,280 --> 02:03:30,239 Four. Okay. 3383 02:03:30,239 --> 02:03:32,320 And then one at the end. And so right 3384 02:03:32,320 --> 02:03:33,679 now, if you're somebody who waits till 3385 02:03:33,679 --> 02:03:35,840 here, which many of you are, you're 3386 02:03:35,840 --> 02:03:37,679 usually losing out two to 3x on your 3387 02:03:37,679 --> 02:03:39,679 sales. So, if you're like industry 3388 02:03:39,679 --> 02:03:42,480 average on this is you'll get between 10 3389 02:03:42,480 --> 02:03:45,679 and 30% of what you could get if you 3390 02:03:45,679 --> 02:03:48,400 only upsell here. 3391 02:03:48,400 --> 02:03:50,239 Crazy. And so, if you're like, man, I'm 3392 02:03:50,239 --> 02:03:51,199 not getting people to get into my 3393 02:03:51,199 --> 02:03:52,239 continuity. I'm not getting people to 3394 02:03:52,239 --> 02:03:53,280 take my ascensions. It's because you're 3395 02:03:53,280 --> 02:03:55,119 doing it at the wrong time. You got to 3396 02:03:55,119 --> 02:03:58,520 offer it earlier. 3397 02:03:58,880 --> 02:04:00,400 Hopefully, that was cool for you guys. 3398 02:04:00,400 --> 02:04:01,920 Okay. 3399 02:04:01,920 --> 02:04:04,080 So, that's how we solve I've I've got 3400 02:04:04,080 --> 02:04:05,760 the leads. I'm making the sales, but I'm 3401 02:04:05,760 --> 02:04:07,599 not making enough money per customer. 3402 02:04:07,599 --> 02:04:09,840 Those are the solutions. So then 3403 02:04:09,840 --> 02:04:11,119 finally, you're like, "Okay, I've got 3404 02:04:11,119 --> 02:04:12,719 all that stuff. I'm making profit, but 3405 02:04:12,719 --> 02:04:14,400 I'm not making the profit fast enough." 3406 02:04:14,400 --> 02:04:16,639 This is cash flow problems. So these 3407 02:04:16,639 --> 02:04:18,880 this is all dirt. Super tactical. Number 3408 02:04:18,880 --> 02:04:20,480 one is you can push out vendor terms, 3409 02:04:20,480 --> 02:04:21,920 especially if you're a bigger business. 3410 02:04:21,920 --> 02:04:24,000 You can say, "Hey, uh the the the status 3411 02:04:24,000 --> 02:04:25,679 quo here is that we pay everything net 3412 02:04:25,679 --> 02:04:27,760 30, meaning you deliver services and 3413 02:04:27,760 --> 02:04:28,800 then we pay you at the end of the month. 3414 02:04:28,800 --> 02:04:31,119 That's how we do things, right?" Also 3415 02:04:31,119 --> 02:04:32,480 tends to work better once you've already 3416 02:04:32,480 --> 02:04:34,080 gotten relationships with with with 3417 02:04:34,080 --> 02:04:35,520 businesses. they're typically not 3418 02:04:35,520 --> 02:04:37,679 willing to lose you as a customer. But 3419 02:04:37,679 --> 02:04:39,840 when you do that to all vendors, you 3420 02:04:39,840 --> 02:04:41,119 literally accelerate your cash flow in 3421 02:04:41,119 --> 02:04:43,760 the entire business by 30 days. Number 3422 02:04:43,760 --> 02:04:48,159 one. Number two, uh payment terms. So 3423 02:04:48,159 --> 02:04:49,520 I'll give you three or four different 3424 02:04:49,520 --> 02:04:51,280 tactics here. So number one is that 3425 02:04:51,280 --> 02:04:52,560 instead of starting with like a 3426 02:04:52,560 --> 02:04:54,639 monthtomonth or some sort of uh for 3427 02:04:54,639 --> 02:04:57,119 those you have recurring stuff, um and 3428 02:04:57,119 --> 02:04:58,320 typically people who have cash flow 3429 02:04:58,320 --> 02:04:59,840 issues tend to be recurring or more 3430 02:04:59,840 --> 02:05:01,360 long-term in nature versus onetime 3431 02:05:01,360 --> 02:05:03,520 transactions. So this applies to you. 3432 02:05:03,520 --> 02:05:05,520 Um, instead of having month-to-month be 3433 02:05:05,520 --> 02:05:07,920 the the core offer, just shift it so 3434 02:05:07,920 --> 02:05:10,800 that the primary offer is quarterly and 3435 02:05:10,800 --> 02:05:12,719 annual gets a discount and 3436 02:05:12,719 --> 02:05:14,800 month-to-month is more expensive. That's 3437 02:05:14,800 --> 02:05:17,199 just that one shift can accelerate cash 3438 02:05:17,199 --> 02:05:18,239 because now you're getting paid three 3439 02:05:18,239 --> 02:05:19,760 months at a time instead of one month at 3440 02:05:19,760 --> 02:05:21,599 a time. 3441 02:05:21,599 --> 02:05:24,560 That's one. Another tactic is that you 3442 02:05:24,560 --> 02:05:27,599 can always present high to low. So I if 3443 02:05:27,599 --> 02:05:29,360 whenever I present stuff I prefer to say 3444 02:05:29,360 --> 02:05:31,119 like what the total price is with 3445 02:05:31,119 --> 02:05:33,599 interest with whatever and then say hey 3446 02:05:33,599 --> 02:05:36,639 want to save money. Yes. Save money by 3447 02:05:36,639 --> 02:05:38,960 prepaying more of it. So if I have like 3448 02:05:38,960 --> 02:05:40,560 a year of service I'm going to sell the 3449 02:05:40,560 --> 02:05:42,960 month-to-month price with installments 3450 02:05:42,960 --> 02:05:45,360 and interest as the price I want to 3451 02:05:45,360 --> 02:05:48,239 anchor there and then say hey want to 3452 02:05:48,239 --> 02:05:50,800 save some money cool prepay for less and 3453 02:05:50,800 --> 02:05:54,080 then we can start doing step downs. 3454 02:05:54,080 --> 02:05:55,920 And then third is layaway. So, I think 3455 02:05:55,920 --> 02:05:57,679 this is still one of my like one of 3456 02:05:57,679 --> 02:05:59,760 those wildly underrated methods. I don't 3457 02:05:59,760 --> 02:06:01,119 know why people don't do it. Like, I 3458 02:06:01,119 --> 02:06:02,159 still have no idea why people don't do 3459 02:06:02,159 --> 02:06:05,280 it, but layaway rocks. Layaway is you 3460 02:06:05,280 --> 02:06:06,480 can start paying now and when you're 3461 02:06:06,480 --> 02:06:08,560 finished paying or when you pay you pay 3462 02:06:08,560 --> 02:06:10,639 half of what you need to pay will start 3463 02:06:10,639 --> 02:06:13,679 working. That's it. It's so simple, 3464 02:06:13,679 --> 02:06:15,360 right? Like that's that's all it is. You 3465 02:06:15,360 --> 02:06:17,760 pay and then you get rather than getting 3466 02:06:17,760 --> 02:06:19,920 or giving and then getting paid. like 3467 02:06:19,920 --> 02:06:22,480 the where you get paid relative to how 3468 02:06:22,480 --> 02:06:23,920 you deliver service dictates the 3469 02:06:23,920 --> 02:06:25,440 leverage you have in the relationship. 3470 02:06:25,440 --> 02:06:28,480 So imagine where you go to a surgeon and 3471 02:06:28,480 --> 02:06:30,800 they go perform surgery on you and then 3472 02:06:30,800 --> 02:06:32,000 you're like, "Okay, I'll pay you after 3473 02:06:32,000 --> 02:06:33,760 the surgery." It doesn't work that way, 3474 02:06:33,760 --> 02:06:35,440 right? Now, it does work that way for 3475 02:06:35,440 --> 02:06:36,639 the insurance companies to pay the 3476 02:06:36,639 --> 02:06:38,000 doctors because they have leverage over 3477 02:06:38,000 --> 02:06:39,760 the doctors. But if you're paying a 3478 02:06:39,760 --> 02:06:41,119 doctor, you pay the doctor first because 3479 02:06:41,119 --> 02:06:43,199 they have leverage over you. It's like a 3480 02:06:43,199 --> 02:06:44,639 food chain. It's the money chain. All 3481 02:06:44,639 --> 02:06:45,520 right? Right? And so if you want to go 3482 02:06:45,520 --> 02:06:46,800 up the money chain, you got to act like 3483 02:06:46,800 --> 02:06:51,119 a up the money chain uh business, right? 3484 02:06:51,119 --> 02:06:53,119 Another one is prepay incentives. So I 3485 02:06:53,119 --> 02:06:54,239 think a lot of you guys are missing out 3486 02:06:54,239 --> 02:06:56,480 on this. Um how do you incentivize 3487 02:06:56,480 --> 02:06:59,360 people? Um one, give them more good 3488 02:06:59,360 --> 02:07:01,599 stuff, take away bad stuff. So sometimes 3489 02:07:01,599 --> 02:07:02,719 it's like we really need to accelerate 3490 02:07:02,719 --> 02:07:03,679 cash flow. And then I ask the next 3491 02:07:03,679 --> 02:07:04,800 question like, well, what's the prepaid 3492 02:07:04,800 --> 02:07:05,679 incentive? They're like, well, I don't 3493 02:07:05,679 --> 02:07:07,280 have one. It's like, well, duh. There's 3494 02:07:07,280 --> 02:07:09,679 no incentive to prepay. So why why would 3495 02:07:09,679 --> 02:07:11,520 we be surprised that they're not doing 3496 02:07:11,520 --> 02:07:13,440 it, right? So we have to incentivize the 3497 02:07:13,440 --> 02:07:15,840 prepaid if we want accelerate cash flow. 3498 02:07:15,840 --> 02:07:17,840 This is just a specific pull out uh 3499 02:07:17,840 --> 02:07:19,360 guarantee with prepaid. I think this is 3500 02:07:19,360 --> 02:07:20,960 in the money models feature downell 3501 02:07:20,960 --> 02:07:23,360 section. Um this is one of the first 3502 02:07:23,360 --> 02:07:26,320 like super super strong uh prepayment 3503 02:07:26,320 --> 02:07:27,840 that you could uh structure that you can 3504 02:07:27,840 --> 02:07:29,760 offer. So if you offer a guarantee, not 3505 02:07:29,760 --> 02:07:31,119 all of you do, but if you do offer a 3506 02:07:31,119 --> 02:07:33,119 guarantee, you can say I'll give you the 3507 02:07:33,119 --> 02:07:36,239 guarantee if you prepay. And if they 3508 02:07:36,239 --> 02:07:38,639 don't prepay, you remove the guarantee. 3509 02:07:38,639 --> 02:07:42,880 Very compelling. Super compelling. Um, 3510 02:07:42,880 --> 02:07:44,480 so I recommend like really really 3511 02:07:44,480 --> 02:07:46,159 strong. If you're like, "How do I 3512 02:07:46,159 --> 02:07:49,199 accelerate it?" Pop that in. Um, upfront 3513 02:07:49,199 --> 02:07:51,199 fees. Obviously, this is where setup, 3514 02:07:51,199 --> 02:07:52,880 onboarding, onetime fees, all that kind 3515 02:07:52,880 --> 02:07:54,239 of stuff. You can just load it up. And 3516 02:07:54,239 --> 02:07:55,360 if you're like, "Do I need a reason to 3517 02:07:55,360 --> 02:07:57,119 have a onetime fee?" You just need 3518 02:07:57,119 --> 02:07:58,960 permission. You have you have the 3519 02:07:58,960 --> 02:08:00,880 world's permission to do it. You like 3520 02:08:00,880 --> 02:08:02,000 it's your business. You can make up your 3521 02:08:02,000 --> 02:08:04,639 own rules. Um, also, if you can get, you 3522 02:08:04,639 --> 02:08:06,159 know, third party uh, buy now pay later, 3523 02:08:06,159 --> 02:08:08,800 BNPL's. So, I had a firm at our last at 3524 02:08:08,800 --> 02:08:12,800 our at our event. Um, and so like you 3525 02:08:12,800 --> 02:08:14,719 will get typically you'll get about a 3526 02:08:14,719 --> 02:08:16,800 35% increase. That's that's based on a 3527 02:08:16,800 --> 02:08:17,840 firm stats. That's not what we got 3528 02:08:17,840 --> 02:08:19,280 because we have a more affluent 3529 02:08:19,280 --> 02:08:21,440 customer. Um, but a typical business 3530 02:08:21,440 --> 02:08:24,480 will get like a 35% boost in sales from 3531 02:08:24,480 --> 02:08:27,679 uh implementing some sort of BNPL. 3532 02:08:27,679 --> 02:08:29,280 And then this is the last I kind of did 3533 02:08:29,280 --> 02:08:32,480 these in order of complexity. Um, AR 3534 02:08:32,480 --> 02:08:34,400 financing. So I think Trent who's in the 3535 02:08:34,400 --> 02:08:36,639 scale advisory we we were you I called 3536 02:08:36,639 --> 02:08:39,840 you on Herozi hotline and uh you're in a 3537 02:08:39,840 --> 02:08:40,719 business like if you're in a 3538 02:08:40,719 --> 02:08:41,840 construction business you're in a 3539 02:08:41,840 --> 02:08:43,119 business that's very well understood by 3540 02:08:43,119 --> 02:08:45,119 a bank like a normal business if you 3541 02:08:45,119 --> 02:08:47,679 will um where you have like clear you 3542 02:08:47,679 --> 02:08:49,280 know outflows and the reliability of 3543 02:08:49,280 --> 02:08:50,480 payment like the likelihood that someone 3544 02:08:50,480 --> 02:08:52,560 pays you is super high then there 3545 02:08:52,560 --> 02:08:54,239 there's a whole divisions of banks that 3546 02:08:54,239 --> 02:08:55,599 do AR financing which is accounts 3547 02:08:55,599 --> 02:08:57,520 receivable financing and so I'll tell 3548 02:08:57,520 --> 02:08:59,280 you a story about this so there's a 3549 02:08:59,280 --> 02:09:00,800 company that um that I was looking at 3550 02:09:00,800 --> 02:09:04,320 investing in that was stuck at like I 3551 02:09:04,320 --> 02:09:05,599 want to say like two or three million 3552 02:09:05,599 --> 02:09:07,280 bucks a year and they had a bunch of 3553 02:09:07,280 --> 02:09:10,079 debt and they were really struggling and 3554 02:09:10,079 --> 02:09:13,440 I reached back out to the founder like 3555 02:09:13,440 --> 02:09:15,119 18 months later so a few months a few 3556 02:09:15,119 --> 02:09:16,880 months ago and I said hey man how's 3557 02:09:16,880 --> 02:09:18,480 business and he u he was like dude we're 3558 02:09:18,480 --> 02:09:19,840 killing it we're doing 5 million a month 3559 02:09:19,840 --> 02:09:21,440 so mind you this is like 18 months goes 3560 02:09:21,440 --> 02:09:22,960 from like two or three million bucks a 3561 02:09:22,960 --> 02:09:25,760 year to five million a month crazy and I 3562 02:09:25,760 --> 02:09:27,280 was like well what was the unlock he's 3563 02:09:27,280 --> 02:09:28,800 like honestly we got one of our vendors 3564 02:09:28,800 --> 02:09:31,760 to give us net 90 terms that was it 3565 02:09:31,760 --> 02:09:33,679 which function works exactly the same as 3566 02:09:33,679 --> 02:09:35,520 AR financing just done from a vendor 3567 02:09:35,520 --> 02:09:37,119 rather than a bank. But both of those 3568 02:09:37,119 --> 02:09:39,040 are things that you can negotiate. And 3569 02:09:39,040 --> 02:09:40,320 so I just I want to show you the 3570 02:09:40,320 --> 02:09:41,599 different pieces on the board. If you're 3571 02:09:41,599 --> 02:09:43,119 like, man, I've got the I've you know, 3572 02:09:43,119 --> 02:09:44,480 we got leads, we got sales, we got 3573 02:09:44,480 --> 02:09:45,599 profit. We just need to pull the cash 3574 02:09:45,599 --> 02:09:46,960 flow forward. If we had the cash flow, 3575 02:09:46,960 --> 02:09:48,480 we could scale. It's like, well, here's 3576 02:09:48,480 --> 02:09:51,360 seven different ways you can do it or 3577 02:09:51,360 --> 02:09:53,280 nine instead of Yeah, the second point 3578 02:09:53,280 --> 02:09:56,960 had three points. So more. All right. So 3579 02:09:56,960 --> 02:09:59,040 finally, you got the cash flow. You make 3580 02:09:59,040 --> 02:10:01,040 enough, but you slowly. We solve that. 3581 02:10:01,040 --> 02:10:03,760 Okay, so if money was the issue, right, 3582 02:10:03,760 --> 02:10:06,239 why can't you do more? Uh, if you can do 3583 02:10:06,239 --> 02:10:07,440 it. Can't do more because you don't have 3584 02:10:07,440 --> 02:10:08,560 your numbers. Well, now go get your 3585 02:10:08,560 --> 02:10:09,599 numbers. If you got your numbers, then 3586 02:10:09,599 --> 02:10:11,119 it's like, okay, my market's too small. 3587 02:10:11,119 --> 02:10:12,880 No, it's not. Okay, it's my model's the 3588 02:10:12,880 --> 02:10:14,159 issue. It's not worth it. The timeline, 3589 02:10:14,159 --> 02:10:15,520 my expectations. No, it is. I just need 3590 02:10:15,520 --> 02:10:17,440 to be more patient. Okay, cool. Money. 3591 02:10:17,440 --> 02:10:18,719 It's like, okay, leads are too 3592 02:10:18,719 --> 02:10:20,480 expensive. Sales aren't happening 3593 02:10:20,480 --> 02:10:22,079 enough. I don't have profit. I'm not 3594 02:10:22,079 --> 02:10:23,840 making enough per customer or cash flow 3595 02:10:23,840 --> 02:10:26,800 is my problem. Okay, 3596 02:10:26,800 --> 02:10:29,199 just solved all those. And so then 3597 02:10:29,199 --> 02:10:31,760 finally that leaves us with manpower. 3598 02:10:31,760 --> 02:10:33,599 Okay. 3599 02:10:33,599 --> 02:10:35,360 So that was that cool for part two. I 3600 02:10:35,360 --> 02:10:37,119 knew that one was like a little heavier. 3601 02:10:37,119 --> 02:10:40,960 I just don't want people to think uh um 3602 02:10:40,960 --> 02:10:42,239 I want to make sure that you guys feel 3603 02:10:42,239 --> 02:10:44,480 like I'm I'm delivering on on the value 3604 02:10:44,480 --> 02:10:47,520 promised. Um I want you to be very clear 3605 02:10:47,520 --> 02:10:50,639 on on your constraints. 3606 02:10:50,639 --> 02:10:53,199 And yeah, shout out to to Meg. Yeah. For 3607 02:10:53,199 --> 02:10:56,520 crushing it. 3608 02:11:00,079 --> 02:11:02,320 little I think time for a fresh a fresh 3609 02:11:02,320 --> 02:11:04,480 nicotine. Feels like it's that time, 3610 02:11:04,480 --> 02:11:07,599 doesn't it? Feels like it's that time. 3611 02:11:07,599 --> 02:11:11,480 No, I appreciate you guys. 3612 02:11:11,840 --> 02:11:14,719 Good. Yeah, I know. I was uh I was 3613 02:11:14,719 --> 02:11:18,320 talking fast. Um but I want to just cram 3614 02:11:18,320 --> 02:11:20,639 a lot in. You know, got a lot to cover 3615 02:11:20,639 --> 02:11:22,320 and I want you guys to get what you 3616 02:11:22,320 --> 02:11:26,480 want. All right. So, 3617 02:11:26,480 --> 02:11:28,719 part three, 3618 02:11:28,719 --> 02:11:30,639 supply based constraints. So, everything 3619 02:11:30,639 --> 02:11:31,840 up to this point is like, how do we get 3620 02:11:31,840 --> 02:11:35,800 more leads in the door? How do we 3621 02:11:37,440 --> 02:11:41,840 Let me find my big big black box. BBB. 3622 02:11:41,840 --> 02:11:44,639 My BBB. There's my big BB. All right. 3623 02:11:44,639 --> 02:11:47,599 Here we go. So, everything up to this 3624 02:11:47,599 --> 02:11:49,920 point has been this. How do we jam more 3625 02:11:49,920 --> 02:11:53,040 in the front end? Now, 3626 02:11:53,040 --> 02:11:54,480 sometimes you got to work on this stuff, 3627 02:11:54,480 --> 02:11:56,480 which is what some of these these mama 3628 02:11:56,480 --> 02:11:57,920 jambas are. But some of the other parts 3629 02:11:57,920 --> 02:11:59,440 in that black box are going to be supply 3630 02:11:59,440 --> 02:12:03,520 based constraints. Okay? So, 3631 02:12:03,520 --> 02:12:04,880 just from observing a lot of different 3632 02:12:04,880 --> 02:12:07,040 businesses, where do supply constraints 3633 02:12:07,040 --> 02:12:09,840 hit the hardest? So, uh, high volume, 3634 02:12:09,840 --> 02:12:12,320 low-wage roles. So, think like staffing, 3635 02:12:12,320 --> 02:12:14,079 social workers, like I would say 3636 02:12:14,079 --> 02:12:16,079 therapists, but just like people who 3637 02:12:16,079 --> 02:12:18,639 talk to elderly, um, you know, care 3638 02:12:18,639 --> 02:12:20,000 providers, like that kind of stuff 3639 02:12:20,000 --> 02:12:22,239 happens a lot in healthcare. Um, that's 3640 02:12:22,239 --> 02:12:23,360 where, you know, supply based 3641 02:12:23,360 --> 02:12:24,719 constraints, talent based constraints, 3642 02:12:24,719 --> 02:12:26,320 people based constraints hit hard. 3643 02:12:26,320 --> 02:12:28,800 Another kind of category is trades. So, 3644 02:12:28,800 --> 02:12:31,199 HVAC, plumbers, electricians, you know, 3645 02:12:31,199 --> 02:12:33,520 specific types of, you know, niche uh, 3646 02:12:33,520 --> 02:12:35,679 you know, welders, whatever, like a lot 3647 02:12:35,679 --> 02:12:37,920 of trades have this issue. uh where they 3648 02:12:37,920 --> 02:12:39,199 have supply constraints. They got the 3649 02:12:39,199 --> 02:12:40,320 business, they just can't they can't 3650 02:12:40,320 --> 02:12:42,719 service it. Um I got a buddy of mine 3651 02:12:42,719 --> 02:12:44,320 who's in the machine business. He just 3652 02:12:44,320 --> 02:12:46,800 builds machines. Kind of cool. Um he 3653 02:12:46,800 --> 02:12:48,400 just takes roles at like factories and 3654 02:12:48,400 --> 02:12:49,599 manufacturing and he just automates the 3655 02:12:49,599 --> 02:12:51,360 whole thing with big machines, but 3656 02:12:51,360 --> 02:12:53,199 that's a super specialized skill set. 3657 02:12:53,199 --> 02:12:54,719 Like I had dinner with him the other day 3658 02:12:54,719 --> 02:12:56,639 and he's like, I I had to turn down $13 3659 02:12:56,639 --> 02:12:58,000 million in projects because I just don't 3660 02:12:58,000 --> 02:12:59,440 have the people. And I was like, I'm 3661 02:12:59,440 --> 02:13:01,360 sorry. Uh and then we talk through the 3662 02:13:01,360 --> 02:13:03,440 framework I'm about to show you. Um 3663 02:13:03,440 --> 02:13:04,719 another one is high-end services, 3664 02:13:04,719 --> 02:13:07,440 high-end white collar services. So, um I 3665 02:13:07,440 --> 02:13:09,040 mean I'm in a business that has this 3666 02:13:09,040 --> 02:13:10,960 like high-end consulting which is what 3667 02:13:10,960 --> 02:13:14,000 we do. Uh accounting, legal, investing, 3668 02:13:14,000 --> 02:13:16,719 like these are super super hard to find, 3669 02:13:16,719 --> 02:13:19,440 very skilled people, right? So, these 3670 02:13:19,440 --> 02:13:20,719 are industries. So, if this is you, 3671 02:13:20,719 --> 02:13:22,079 you'll probably be nodding your head up 3672 02:13:22,079 --> 02:13:23,599 and down. And if you're not, you will 3673 02:13:23,599 --> 02:13:24,960 come up against this constraint. This is 3674 02:13:24,960 --> 02:13:26,560 just more commonly in the industries 3675 02:13:26,560 --> 02:13:28,800 that have it. Okay. So, this leads us to 3676 02:13:28,800 --> 02:13:30,000 question 10. Now, some of you guys might 3677 02:13:30,000 --> 02:13:31,599 have noticed that the dots across the 3678 02:13:31,599 --> 02:13:32,880 top did not fill in. And that's just 3679 02:13:32,880 --> 02:13:34,480 because I forgot to and I just realized 3680 02:13:34,480 --> 02:13:37,599 that. But we're making progress. All 3681 02:13:37,599 --> 02:13:40,320 right? And so we answer the question, 3682 02:13:40,320 --> 02:13:43,440 why can't we do more? It's because you 3683 02:13:43,440 --> 02:13:45,920 can't handle the volume, which is most 3684 02:13:45,920 --> 02:13:47,280 of the time manpower, sometimes 3685 02:13:47,280 --> 02:13:48,480 structural, and I'll cover that right 3686 02:13:48,480 --> 02:13:50,560 now. So here's some of the flavors of 3687 02:13:50,560 --> 02:13:52,880 manpower constraints. It's really hard 3688 02:13:52,880 --> 02:13:55,679 to find talent. I don't know how to do 3689 02:13:55,679 --> 02:13:58,960 it. Uh talent wants more than I can 3690 02:13:58,960 --> 02:14:01,440 afford. Like they want more money. uh 3691 02:14:01,440 --> 02:14:03,119 you don't have the money or the time to 3692 02:14:03,119 --> 02:14:04,560 find the talent which is sometimes a 3693 02:14:04,560 --> 02:14:06,560 little bit different. Um talent doesn't 3694 02:14:06,560 --> 02:14:08,639 solve my problem which I'll explain that 3695 02:14:08,639 --> 02:14:10,400 one um actually first and then I'll do 3696 02:14:10,400 --> 02:14:13,119 the rest. Okay, so uh this is what this 3697 02:14:13,119 --> 02:14:15,119 looks like. These are like symptoms of 3698 02:14:15,119 --> 02:14:17,199 manpower or supply constraints. So 3699 02:14:17,199 --> 02:14:19,119 weight list for services, you know, 3700 02:14:19,119 --> 02:14:20,639 maybe you're working 70 plus hours a 3701 02:14:20,639 --> 02:14:24,000 week personally in the business um and 3702 02:14:24,000 --> 02:14:25,760 you can't get any relief. Uh you're 3703 02:14:25,760 --> 02:14:27,119 turning away qualified customers like 3704 02:14:27,119 --> 02:14:28,320 the machine shop I was just talking 3705 02:14:28,320 --> 02:14:30,960 about. Uh this one this one's super big. 3706 02:14:30,960 --> 02:14:33,440 Uh quality declining due to volume. So 3707 02:14:33,440 --> 02:14:34,880 this happens a ton in like marketing 3708 02:14:34,880 --> 02:14:37,440 agencies and stuff. It's like uh they'll 3709 02:14:37,440 --> 02:14:38,719 just like you know they'll get really 3710 02:14:38,719 --> 02:14:40,400 good at selling and then they just like 3711 02:14:40,400 --> 02:14:42,079 hire bodies on the back end and then all 3712 02:14:42,079 --> 02:14:43,360 of a sudden people turn out the back 3713 02:14:43,360 --> 02:14:45,199 because the quality suffers because they 3714 02:14:45,199 --> 02:14:46,800 don't have good enough people. Right? So 3715 02:14:46,800 --> 02:14:49,679 what what appears to be a oh we you know 3716 02:14:49,679 --> 02:14:50,880 we can't spend more to get customers 3717 02:14:50,880 --> 02:14:51,840 actually we're not making enough money 3718 02:14:51,840 --> 02:14:53,040 from customers which is actually a 3719 02:14:53,040 --> 02:14:54,560 manpower issue. Right? And so this is 3720 02:14:54,560 --> 02:14:56,400 why I'm saying like it's usually it's 3721 02:14:56,400 --> 02:14:58,159 not like the big obvious problems most 3722 02:14:58,159 --> 02:15:00,159 people identify. It's the second and 3723 02:15:00,159 --> 02:15:02,159 third and fourth order problems that 3724 02:15:02,159 --> 02:15:03,520 people kind of get lost in which is why 3725 02:15:03,520 --> 02:15:04,719 I'm trying to walk as many of these 3726 02:15:04,719 --> 02:15:07,920 examples out as we do this live. Okay. 3727 02:15:07,920 --> 02:15:11,360 Uh the last one is uh uh your your staff 3728 02:15:11,360 --> 02:15:13,760 is fully utilized but uh you still can't 3729 02:15:13,760 --> 02:15:15,040 keep up. All right. So let me explain 3730 02:15:15,040 --> 02:15:18,800 what that one is. And so this is like a 3731 02:15:18,800 --> 02:15:21,360 huge epiphany I had that I want to share 3732 02:15:21,360 --> 02:15:23,119 with you and I like I've never seen 3733 02:15:23,119 --> 02:15:24,719 anyone else talk about this so I feel 3734 02:15:24,719 --> 02:15:27,520 very confident saying like nothing I 3735 02:15:27,520 --> 02:15:28,800 don't know it doesn't matter what who 3736 02:15:28,800 --> 02:15:30,800 cares I'll die no one no one people like 3737 02:15:30,800 --> 02:15:34,560 he had slideshows anyways uh so so since 3738 02:15:34,560 --> 02:15:37,280 manpower means employees it just means a 3739 02:15:37,280 --> 02:15:39,119 different type of customer becomes the 3740 02:15:39,119 --> 02:15:42,560 target so if you are supply constrained 3741 02:15:42,560 --> 02:15:44,480 it means you're just demand constrained 3742 02:15:44,480 --> 02:15:46,320 for employees think about what that 3743 02:15:46,320 --> 02:15:48,000 shift means. You're either demand 3744 02:15:48,000 --> 02:15:49,599 constrained for customers or demand 3745 02:15:49,599 --> 02:15:52,320 constrained for employees. 3746 02:15:52,320 --> 02:15:54,000 And so every business is demand 3747 02:15:54,000 --> 02:15:56,159 constrained in one way or another. And 3748 02:15:56,159 --> 02:15:57,760 so getting you to see this is basically 3749 02:15:57,760 --> 02:16:00,079 the entire point of this section. But I 3750 02:16:00,079 --> 02:16:02,719 really want to drive this home. Okay? So 3751 02:16:02,719 --> 02:16:06,159 instead of LTV to CAC ratios, you need 3752 02:16:06,159 --> 02:16:09,119 to learn something that I call LTGP 3753 02:16:09,119 --> 02:16:11,840 to CAT ratios, which is lifetime gross 3754 02:16:11,840 --> 02:16:14,800 profit per employee to cost of acquiring 3755 02:16:14,800 --> 02:16:16,560 talent. So many guys know what your 3756 02:16:16,560 --> 02:16:18,639 rorowes is, your LTV to CAC ratio is, 3757 02:16:18,639 --> 02:16:19,760 which you should if you watch any of my 3758 02:16:19,760 --> 02:16:21,199 stuff for the love of God. Please know 3759 02:16:21,199 --> 02:16:23,520 what those numbers are. But a leveled up 3760 02:16:23,520 --> 02:16:25,360 version of this is what does it cost me 3761 02:16:25,360 --> 02:16:27,599 to get talent and what do I make on that 3762 02:16:27,599 --> 02:16:30,599 talent? 3763 02:16:31,199 --> 02:16:34,160 So let me tell you a little story. So um 3764 02:16:34,160 --> 02:16:37,359 mentor, old old guy had an insurance 3765 02:16:37,359 --> 02:16:39,359 company, sold it for a zillion dollars, 3766 02:16:39,359 --> 02:16:42,399 doesn't matter. And he told me that he'd 3767 02:16:42,399 --> 02:16:43,840 been stuck at like $10 million a year 3768 02:16:43,840 --> 02:16:46,000 for like many years. And he said, 'You 3769 02:16:46,000 --> 02:16:47,120 want to know what broke me out of it? 3770 02:16:47,120 --> 02:16:48,639 And I was like,"Well, yeah, obviously I 3771 02:16:48,639 --> 02:16:50,319 want to know." He said, "So what 3772 02:16:50,319 --> 02:16:52,240 happened was I used to have this," 3773 02:16:52,240 --> 02:16:54,080 because he had this uh it was insurance. 3774 02:16:54,080 --> 02:16:55,679 So he has a a bunch of agents, right, 3775 02:16:55,679 --> 02:16:57,439 that work work selling insurance 3776 02:16:57,439 --> 02:17:00,800 products. And so he said, "So what I did 3777 02:17:00,800 --> 02:17:02,479 was uh we used to have this referral 3778 02:17:02,479 --> 02:17:05,439 bonus. So agents could get $500 if they 3779 02:17:05,439 --> 02:17:06,880 referred another agent. That makes 3780 02:17:06,880 --> 02:17:10,479 sense. That's cool. but it wasn't really 3781 02:17:10,479 --> 02:17:12,080 driving anything. And some of you guys 3782 02:17:12,080 --> 02:17:13,439 have the same thing. You probably give 3783 02:17:13,439 --> 02:17:16,240 some sort of, you know, bonus for, you 3784 02:17:16,240 --> 02:17:17,679 know, or hopefully you give some sort of 3785 02:17:17,679 --> 02:17:19,280 bonus if if someone in your team refers 3786 02:17:19,280 --> 02:17:20,719 you somebody else. By the way, so much 3787 02:17:20,719 --> 02:17:22,639 more valuable than getting a customer 3788 02:17:22,639 --> 02:17:24,399 referral. 3789 02:17:24,399 --> 02:17:27,679 So, he did the math and I think I showed 3790 02:17:27,679 --> 02:17:29,120 the next slide. Did I show the next? 3791 02:17:29,120 --> 02:17:31,679 Let's see here. Do I show it here? Yeah. 3792 02:17:31,679 --> 02:17:34,399 So he figured out that he said, "I make 3793 02:17:34,399 --> 02:17:37,519 250,000 a year in gross profit per uh 3794 02:17:37,519 --> 02:17:39,519 not technician but per per insurance 3795 02:17:39,519 --> 02:17:42,800 agent, right?" And so that was per 3796 02:17:42,800 --> 02:17:44,960 activated insurance agent. And so he was 3797 02:17:44,960 --> 02:17:46,240 like, I was trying to get people 3798 02:17:46,240 --> 02:17:49,840 incentivized to send me agents for 500 3799 02:17:49,840 --> 02:17:52,960 bucks. And so then he took his $500 3800 02:17:52,960 --> 02:17:55,599 commission and made it 25,000 3801 02:17:55,599 --> 02:17:57,280 and said, "If you bring me an agent, 3802 02:17:57,280 --> 02:18:00,319 I'll give you 25 grand." And guess what 3803 02:18:00,319 --> 02:18:02,960 happened? it worked and he sold his 3804 02:18:02,960 --> 02:18:04,399 company for hundreds of zillions of 3805 02:18:04,399 --> 02:18:06,479 dollars many years later because he was 3806 02:18:06,479 --> 02:18:10,160 able to compound his supply base. And so 3807 02:18:10,160 --> 02:18:12,000 taking that into account, I had a 3808 02:18:12,000 --> 02:18:13,519 conversation with my team and I was 3809 02:18:13,519 --> 02:18:16,880 like, "Hey man, we need more um we need 3810 02:18:16,880 --> 02:18:19,840 more media people, right?" And so the 3811 02:18:19,840 --> 02:18:21,760 the fastest and easiest thing I did was 3812 02:18:21,760 --> 02:18:22,800 I was like, "Well, how much do we make 3813 02:18:22,800 --> 02:18:25,200 on a media person?" Okay, well, am I 3814 02:18:25,200 --> 02:18:27,519 willing to pay a tenth of that in order 3815 02:18:27,519 --> 02:18:30,000 to to go get them? And it's like, well, 3816 02:18:30,000 --> 02:18:31,439 yeah. Well, if we think about it from 3817 02:18:31,439 --> 02:18:33,519 like a stock market perspective, like 3818 02:18:33,519 --> 02:18:35,840 would I be willing to get a 10x return 3819 02:18:35,840 --> 02:18:39,280 on money? Of course. Yeah, I'm in. So, 3820 02:18:39,280 --> 02:18:41,679 we just have to think about the talent 3821 02:18:41,679 --> 02:18:43,599 as a return that we're going to get on. 3822 02:18:43,599 --> 02:18:46,479 But the caveat is you just have to put 3823 02:18:46,479 --> 02:18:48,319 milestones. And so, I'd say it's not go 3824 02:18:48,319 --> 02:18:49,760 refer me a friend and I'll just give you 3825 02:18:49,760 --> 02:18:52,479 25 grand. It's I'll give you 25 grand at 3826 02:18:52,479 --> 02:18:54,479 month six once they're activated. And 3827 02:18:54,479 --> 02:18:55,920 what's cool about that is that at that 3828 02:18:55,920 --> 02:18:58,000 point, you actually get both people who 3829 02:18:58,000 --> 02:19:00,160 are invested in being successful. So now 3830 02:19:00,160 --> 02:19:01,599 you've got this person who's taking a 3831 02:19:01,599 --> 02:19:03,679 lot of interest, the person who referred 3832 02:19:03,679 --> 02:19:06,160 the referer rather than the referee, 3833 02:19:06,160 --> 02:19:08,000 right? The referer takes a lot of 3834 02:19:08,000 --> 02:19:09,280 interest in the referee getting 3835 02:19:09,280 --> 02:19:10,880 onboarded and they kind of provide that 3836 02:19:10,880 --> 02:19:12,240 additional training, additional context 3837 02:19:12,240 --> 02:19:13,280 and they increase the likelihood of 3838 02:19:13,280 --> 02:19:15,200 success. So not only do you get this 3839 02:19:15,200 --> 02:19:17,359 amazing return, you also get that person 3840 02:19:17,359 --> 02:19:18,639 integrated better. They get trained 3841 02:19:18,639 --> 02:19:20,080 better and so it's just a win overall. 3842 02:19:20,080 --> 02:19:22,000 And so this is a huge place of returns 3843 02:19:22,000 --> 02:19:24,319 that I think is wildly underlooked. Um, 3844 02:19:24,319 --> 02:19:25,760 and if you are a supply constraint 3845 02:19:25,760 --> 02:19:26,960 business, this is where your capital 3846 02:19:26,960 --> 02:19:30,080 should be going. 3847 02:19:30,080 --> 02:19:33,760 So, this is a this is a huge point that 3848 02:19:33,760 --> 02:19:35,439 again, I think it's like 75% of y'all 3849 02:19:35,439 --> 02:19:37,599 are service businesses to some degree. 3850 02:19:37,599 --> 02:19:38,960 Um, and that's normal because that's 3851 02:19:38,960 --> 02:19:40,240 just what what it is, at least in the US 3852 02:19:40,240 --> 02:19:43,760 economy. Um, 3853 02:19:43,760 --> 02:19:46,080 service businesses have have a they're 3854 02:19:46,080 --> 02:19:48,720 double-edged sword. So, they're really 3855 02:19:48,720 --> 02:19:52,560 easy to start, more difficult to scale, 3856 02:19:52,560 --> 02:19:54,240 and they require almost no capital to 3857 02:19:54,240 --> 02:19:55,920 start. And they tend to produce decent 3858 02:19:55,920 --> 02:19:57,280 amounts of cash flow. If you like our 3859 02:19:57,280 --> 02:19:58,960 decent business and the economics and 3860 02:19:58,960 --> 02:20:00,319 you follow the stuff that we talk about 3861 02:20:00,319 --> 02:20:01,680 like you should produce a lot of cash 3862 02:20:01,680 --> 02:20:03,920 flow in a service business. Now the 3863 02:20:03,920 --> 02:20:06,399 question is how do you reinvest in a 3864 02:20:06,399 --> 02:20:08,960 service business right like in a in an 3865 02:20:08,960 --> 02:20:10,160 e-commerce business physical product 3866 02:20:10,160 --> 02:20:11,439 business you have inventory really clear 3867 02:20:11,439 --> 02:20:12,560 right you have raw materials really 3868 02:20:12,560 --> 02:20:14,240 clear if you were in a technology 3869 02:20:14,240 --> 02:20:15,600 business it's like okay I'm going to go 3870 02:20:15,600 --> 02:20:17,439 we got to go reinvest by hiring more 3871 02:20:17,439 --> 02:20:20,720 developers etc right so what do you do 3872 02:20:20,720 --> 02:20:25,720 in a service business to reinvest 3873 02:20:26,560 --> 02:20:31,040 two things brand and talent 3874 02:20:31,040 --> 02:20:32,479 which means what are the associations 3875 02:20:32,479 --> 02:20:33,680 we're going to make today. How are we 3876 02:20:33,680 --> 02:20:35,520 going to pair our business with 3877 02:20:35,520 --> 02:20:38,080 aspirational outcomes that our avatar 3878 02:20:38,080 --> 02:20:43,040 finds meaningful brand and how are we 3879 02:20:43,040 --> 02:20:44,720 going to spend money on training our 3880 02:20:44,720 --> 02:20:47,200 existing talent and recruiting new 3881 02:20:47,200 --> 02:20:49,040 talent so we can get the highest returns 3882 02:20:49,040 --> 02:20:51,280 possible on our core asset? Because if 3883 02:20:51,280 --> 02:20:52,800 you're a service business, you 3884 02:20:52,800 --> 02:20:55,359 fundamentally sell people at a profit. 3885 02:20:55,359 --> 02:20:57,439 It's what it is, right? You sell labor 3886 02:20:57,439 --> 02:20:59,680 and you have a markup. That's service. 3887 02:20:59,680 --> 02:21:01,840 And so what we want to do is have more 3888 02:21:01,840 --> 02:21:03,920 of those nodes and we want those nodes 3889 02:21:03,920 --> 02:21:06,080 to be able to expand what you can charge 3890 02:21:06,080 --> 02:21:07,840 for them. And you can expand what you 3891 02:21:07,840 --> 02:21:09,359 can charge for them by having more 3892 02:21:09,359 --> 02:21:13,200 skilled talent. That's the idea. And the 3893 02:21:13,200 --> 02:21:14,800 biggest arbitrage comes from being able 3894 02:21:14,800 --> 02:21:17,200 to take lowkilled talent, train them 3895 02:21:17,200 --> 02:21:20,000 well, continue to pay them at old talent 3896 02:21:20,000 --> 02:21:21,680 numbers, and then because of the 3897 02:21:21,680 --> 02:21:23,760 training, capture the arbitrage in 3898 02:21:23,760 --> 02:21:25,439 value. 3899 02:21:25,439 --> 02:21:27,840 That is how you reinvest in a 3900 02:21:27,840 --> 02:21:28,960 service-based business. So, if you're 3901 02:21:28,960 --> 02:21:30,479 like, "What do I do with this extra 3902 02:21:30,479 --> 02:21:31,840 money at the end of the year?" Well, if 3903 02:21:31,840 --> 02:21:33,200 you don't want to pay taxes on some of 3904 02:21:33,200 --> 02:21:34,800 it, you can choose to reinvest in the 3905 02:21:34,800 --> 02:21:37,359 business by doing this. 3906 02:21:37,359 --> 02:21:39,680 And so, the moral of this is that maybe 3907 02:21:39,680 --> 02:21:42,080 you can't afford not to get better 3908 02:21:42,080 --> 02:21:44,640 talent for your business. And that's 3909 02:21:44,640 --> 02:21:46,720 what you need to focus on. That's your 3910 02:21:46,720 --> 02:21:48,880 demand constraint. 3911 02:21:48,880 --> 02:21:51,120 And so, this just took me a very long 3912 02:21:51,120 --> 02:21:52,399 time to piece together, which is that 3913 02:21:52,399 --> 02:21:54,640 manpower means every business is demand 3914 02:21:54,640 --> 02:21:56,800 constrained. All right. Now, let me just 3915 02:21:56,800 --> 02:21:58,560 show you how crazy this is and how deep 3916 02:21:58,560 --> 02:22:01,280 this goes. Okay, 3917 02:22:01,280 --> 02:22:03,840 so we have our external ways of 3918 02:22:03,840 --> 02:22:05,120 advertising, right? You got the core 3919 02:22:05,120 --> 02:22:06,479 four, you got lead getters on the left, 3920 02:22:06,479 --> 02:22:07,520 right? You got warm outreach, cold 3921 02:22:07,520 --> 02:22:08,880 outreach, post free content, run paid 3922 02:22:08,880 --> 02:22:10,479 ads, you got customer referrals, 3923 02:22:10,479 --> 02:22:12,240 affiliates, employees, agencies, all 3924 02:22:12,240 --> 02:22:13,280 that stuff. You guys should already know 3925 02:22:13,280 --> 02:22:15,600 that's inside the leads book. Then you 3926 02:22:15,600 --> 02:22:17,120 have your internal version of these, 3927 02:22:17,120 --> 02:22:18,560 which is you ask your network, you do 3928 02:22:18,560 --> 02:22:20,640 cold outreach, you post to your network, 3929 02:22:20,640 --> 02:22:22,800 you promote job postings, right? You get 3930 02:22:22,800 --> 02:22:24,800 employee referrals. You go to community 3931 02:22:24,800 --> 02:22:27,280 owners who have like HR professionals or 3932 02:22:27,280 --> 02:22:30,160 SDRs or sales professionals, right? You 3933 02:22:30,160 --> 02:22:31,920 have an in-house recruiter or you go to 3934 02:22:31,920 --> 02:22:33,840 out ofhouse head hunters and staffing 3935 02:22:33,840 --> 02:22:36,800 firms. It's the same concept, just 3936 02:22:36,800 --> 02:22:38,720 different names. All right? Because 3937 02:22:38,720 --> 02:22:40,479 you're either demand constrained for 3938 02:22:40,479 --> 02:22:42,479 customers or your demand constraint for 3939 02:22:42,479 --> 02:22:44,560 talent. And the good news is you solve 3940 02:22:44,560 --> 02:22:47,200 both with advertising. 3941 02:22:47,200 --> 02:22:48,960 And better yet, the processes are 3942 02:22:48,960 --> 02:22:50,720 literally parallel. All right, we're 3943 02:22:50,720 --> 02:22:51,840 talking dirt here. We're getting 3944 02:22:51,840 --> 02:22:54,479 tactical. All right. So, you should all 3945 02:22:54,479 --> 02:22:56,000 be familiar with this, which is a 3946 02:22:56,000 --> 02:22:57,520 marketing customer acquisition funnel. 3947 02:22:57,520 --> 02:22:59,040 You've got some sort of lead generation. 3948 02:22:59,040 --> 02:23:00,479 You got some sort of lead nurture. You 3949 02:23:00,479 --> 02:23:01,760 got some sort of sales. You got some 3950 02:23:01,760 --> 02:23:03,280 sort of onboarding. And you got some 3951 02:23:03,280 --> 02:23:04,800 sort of retention and ascension, right? 3952 02:23:04,800 --> 02:23:06,399 Try to get a keep them to buy again or 3953 02:23:06,399 --> 02:23:08,399 to buy more expensive stuff, right? All 3954 02:23:08,399 --> 02:23:10,720 this should should should make sense. 3955 02:23:10,720 --> 02:23:12,640 Next, 3956 02:23:12,640 --> 02:23:14,880 you have your application generation. 3957 02:23:14,880 --> 02:23:17,120 Think about the words change here. Lead 3958 02:23:17,120 --> 02:23:20,319 gen application generation. 3959 02:23:20,319 --> 02:23:22,240 You've got applicant nurture, so 3960 02:23:22,240 --> 02:23:23,920 different than lead nurture. You've got 3961 02:23:23,920 --> 02:23:26,160 interviews, not sales. You've got 3962 02:23:26,160 --> 02:23:28,240 onboarding, wait, that's the same word. 3963 02:23:28,240 --> 02:23:29,760 You've got retention and ascension. 3964 02:23:29,760 --> 02:23:32,160 Wait, those are the same words. It's the 3965 02:23:32,160 --> 02:23:34,080 same thing because you have people going 3966 02:23:34,080 --> 02:23:36,880 through the process on either side. This 3967 02:23:36,880 --> 02:23:39,920 took me a very long time to figure out. 3968 02:23:39,920 --> 02:23:41,520 And what's crazy is that if you can do 3969 02:23:41,520 --> 02:23:43,280 one of these well, you can do both of 3970 02:23:43,280 --> 02:23:44,800 them well. So if you have a way of 3971 02:23:44,800 --> 02:23:46,880 getting customers, you also already have 3972 02:23:46,880 --> 02:23:48,560 the skills to get the talent you need if 3973 02:23:48,560 --> 02:23:50,880 you are supply constrainted. 3974 02:23:50,880 --> 02:23:53,280 So like before we started with the Mosy 3975 02:23:53,280 --> 02:23:54,640 6, right? You got more. Why can't we do 3976 02:23:54,640 --> 02:23:56,240 more? And we got metrics, market, model, 3977 02:23:56,240 --> 02:23:58,000 money, and manpower. All we do is we 3978 02:23:58,000 --> 02:23:59,439 take manpower, put it at the front of 3979 02:23:59,439 --> 02:24:00,880 this thing, and we just run it through 3980 02:24:00,880 --> 02:24:03,200 again. Okay, so it's the exact same 3981 02:24:03,200 --> 02:24:04,880 path. 3982 02:24:04,880 --> 02:24:06,880 So 3983 02:24:06,880 --> 02:24:08,720 why can't we do more warm outreach, 3984 02:24:08,720 --> 02:24:10,240 which is how you currently were getting, 3985 02:24:10,240 --> 02:24:12,080 you know, people? Can we do more? Why 3986 02:24:12,080 --> 02:24:14,080 can't we do more cold outreach aka 3987 02:24:14,080 --> 02:24:15,920 recruiting? Why can't we do more posting 3988 02:24:15,920 --> 02:24:17,359 content? Can we post more on job 3989 02:24:17,359 --> 02:24:19,200 postings? Can we post more places or 3990 02:24:19,200 --> 02:24:20,800 spend more on it? Right? Which is then 3991 02:24:20,800 --> 02:24:22,479 promoting those job postings, right? 3992 02:24:22,479 --> 02:24:23,760 Which is the paid ads version for 3993 02:24:23,760 --> 02:24:25,680 recruiting. Can we get more employee 3994 02:24:25,680 --> 02:24:28,000 referrals? Can we get more affiliates 3995 02:24:28,000 --> 02:24:30,240 aka associations, guilds, list serves, 3996 02:24:30,240 --> 02:24:32,160 community owners, right? Can we get 3997 02:24:32,160 --> 02:24:34,080 agencies aka recruiters and staffing 3998 02:24:34,080 --> 02:24:36,000 firms? Can we get employees aka this 3999 02:24:36,000 --> 02:24:37,280 one's unchanged, right? Your your team 4000 02:24:37,280 --> 02:24:39,280 would do this for you, right? And so all 4001 02:24:39,280 --> 02:24:41,680 eight of these, can we do more of this 4002 02:24:41,680 --> 02:24:44,319 before we do anything else? 4003 02:24:44,319 --> 02:24:47,359 If so, let's do that. 4004 02:24:47,359 --> 02:24:49,600 If not, we go down the metrics again, 4005 02:24:49,600 --> 02:24:51,280 which is okay, we can't do more because 4006 02:24:51,280 --> 02:24:52,560 we don't know our numbers or people 4007 02:24:52,560 --> 02:24:53,680 aren't the limiting metrics. I'll give 4008 02:24:53,680 --> 02:24:55,439 you an example of of the second part. 4009 02:24:55,439 --> 02:24:57,200 So, uh, there was a restaurant that we 4010 02:24:57,200 --> 02:24:58,720 looked at that had two-hour wait times. 4011 02:24:58,720 --> 02:25:00,720 We did a cash cows episode with them. 4012 02:25:00,720 --> 02:25:03,120 Um, and so they literally had limited 4013 02:25:03,120 --> 02:25:04,240 their four walls. So, what do you do? 4014 02:25:04,240 --> 02:25:05,760 They're they're supply constrained. 4015 02:25:05,760 --> 02:25:07,520 Well, you can expand your seating. You 4016 02:25:07,520 --> 02:25:09,120 can optimize your operations turntables 4017 02:25:09,120 --> 02:25:10,960 faster. You can change your hours, 4018 02:25:10,960 --> 02:25:13,200 expand your hours, or you can do a 4019 02:25:13,200 --> 02:25:14,479 combination of that where you just raise 4020 02:25:14,479 --> 02:25:16,800 prices during peaks, 4021 02:25:16,800 --> 02:25:19,280 right? And so pricing is going to be a 4022 02:25:19,280 --> 02:25:20,399 big lever that you can pull if you're 4023 02:25:20,399 --> 02:25:21,520 supply constrained. If you have more 4024 02:25:21,520 --> 02:25:23,439 business you can handle, raise price. 4025 02:25:23,439 --> 02:25:24,880 Very simple. And I'll talk I'll talk 4026 02:25:24,880 --> 02:25:27,120 about kind of like solution stacks in a 4027 02:25:27,120 --> 02:25:29,920 second, but this is an example of either 4028 02:25:29,920 --> 02:25:31,359 uh you don't know your numbers or people 4029 02:25:31,359 --> 02:25:32,960 aren't the limiting metric. Then do 4030 02:25:32,960 --> 02:25:34,720 this, change the other variables, change 4031 02:25:34,720 --> 02:25:36,880 the walls. 4032 02:25:36,880 --> 02:25:39,200 The next one's market. Same as before, 4033 02:25:39,200 --> 02:25:40,800 right? Because there's not enough people 4034 02:25:40,800 --> 02:25:43,120 in Kentucky, you know, where I live that 4035 02:25:43,120 --> 02:25:45,520 are, you know, grade three welders. I 4036 02:25:45,520 --> 02:25:47,040 don't know. Is there a way that they can 4037 02:25:47,040 --> 02:25:49,200 do this job remotely? Uh, is it 4038 02:25:49,200 --> 02:25:50,800 impossible to get these people or is it 4039 02:25:50,800 --> 02:25:53,040 expensive or can we add an incentive 4040 02:25:53,040 --> 02:25:55,520 like a moving bonus? Right? So, we had a 4041 02:25:55,520 --> 02:25:57,040 a roofing company owner that was 4042 02:25:57,040 --> 02:25:58,160 talking. He was expanding new locations 4043 02:25:58,160 --> 02:25:59,600 and he couldn't get a manager for the 4044 02:25:59,600 --> 02:26:01,600 new location. And he was like, "Man, you 4045 02:26:01,600 --> 02:26:02,800 know, it's really hard to find people 4046 02:26:02,800 --> 02:26:04,800 out there. And I was like, "Well, do you 4047 02:26:04,800 --> 02:26:06,240 have like multiple managers in your 4048 02:26:06,240 --> 02:26:08,319 current staff?" He said, "Yeah, but you 4049 02:26:08,319 --> 02:26:09,439 know, they don't want to move." I was 4050 02:26:09,439 --> 02:26:11,680 like, "Will they move for 20 grand?" 4051 02:26:11,680 --> 02:26:13,120 He's like, "I never really thought of 4052 02:26:13,120 --> 02:26:13,920 that." And I was like, "Well, how much 4053 02:26:13,920 --> 02:26:14,960 you going to make on the location?" He 4054 02:26:14,960 --> 02:26:16,240 was like, "Well, we probably make 500 4055 02:26:16,240 --> 02:26:17,359 grand a year in profit." And I was like, 4056 02:26:17,359 --> 02:26:19,520 "So, do you think 20 grand's worth it?" 4057 02:26:19,520 --> 02:26:21,680 He's like, "Yeah, I guess so. Is it 4058 02:26:21,680 --> 02:26:27,000 impossible or is it expensive?" Right? 4059 02:26:27,120 --> 02:26:29,280 I'll give you a different one. So, this 4060 02:26:29,280 --> 02:26:31,120 was a cash episode. Not cash, excuse me, 4061 02:26:31,120 --> 02:26:33,280 a hero hotline I did. a month or two 4062 02:26:33,280 --> 02:26:35,200 ago. So, there's a martial arts guy 4063 02:26:35,200 --> 02:26:38,319 who's got three martial arts gyms and he 4064 02:26:38,319 --> 02:26:39,840 says, "Hey, it's really hard to find 4065 02:26:39,840 --> 02:26:42,399 salespeople with black belts." 4066 02:26:42,399 --> 02:26:44,800 And so, I was like, "Yeah, I I believe 4067 02:26:44,800 --> 02:26:47,439 you." And so, remember at the very 4068 02:26:47,439 --> 02:26:48,960 beginning I said, "You can you want to 4069 02:26:48,960 --> 02:26:51,680 hire for the lowest skill aptitude?" So 4070 02:26:51,680 --> 02:26:53,520 all we did was I said, 'Hey, why don't 4071 02:26:53,520 --> 02:26:55,439 you just find black belts and teach them 4072 02:26:55,439 --> 02:26:57,280 how to sell because it's going to take 4073 02:26:57,280 --> 02:26:59,520 way less time to teach them how to sell 4074 02:26:59,520 --> 02:27:00,720 who's got a black belt than teach 4075 02:27:00,720 --> 02:27:02,960 someone how to how to black belt who can 4076 02:27:02,960 --> 02:27:05,600 sell, right? And so that was the issue. 4077 02:27:05,600 --> 02:27:07,280 So we had to solve for the small skill 4078 02:27:07,280 --> 02:27:08,800 discrepancy and then all of a sudden it 4079 02:27:08,800 --> 02:27:10,640 was like boom, he opened up his uh his 4080 02:27:10,640 --> 02:27:11,920 whole funnel for doing this for his 4081 02:27:11,920 --> 02:27:13,680 business and expanding, right? So we 4082 02:27:13,680 --> 02:27:14,960 sometimes you're actually just looking 4083 02:27:14,960 --> 02:27:16,720 for the wrong avatar. It's really hard 4084 02:27:16,720 --> 02:27:18,880 to find sales people that you can then 4085 02:27:18,880 --> 02:27:20,800 teach the black belt thing or finding 4086 02:27:20,800 --> 02:27:21,920 sales people who are already black 4087 02:27:21,920 --> 02:27:24,160 belts. Might be hard to find both. We 4088 02:27:24,160 --> 02:27:25,840 have to then say, "Okay, let's get 80% 4089 02:27:25,840 --> 02:27:27,120 of the way there and then we can train 4090 02:27:27,120 --> 02:27:28,960 the other 20." 4091 02:27:28,960 --> 02:27:31,680 So, that's a market issue. 4092 02:27:31,680 --> 02:27:33,200 Now, if you're like, "Okay, I can't get 4093 02:27:33,200 --> 02:27:36,240 more talent in my business because um 4094 02:27:36,240 --> 02:27:37,600 the basically you probably wouldn't say 4095 02:27:37,600 --> 02:27:38,880 this, but basically you're not getting 4096 02:27:38,880 --> 02:27:41,520 responses, right? like uh the offer is 4097 02:27:41,520 --> 02:27:43,920 wrong. Even if I basically this is gets 4098 02:27:43,920 --> 02:27:45,120 a little bit more to model, which is why 4099 02:27:45,120 --> 02:27:46,720 it's model. Uh but I'll get an example 4100 02:27:46,720 --> 02:27:48,560 to drive this home. So I had a physical 4101 02:27:48,560 --> 02:27:51,120 therapy business who um who came in 4102 02:27:51,120 --> 02:27:54,240 really nice lady and uh they were fully 4103 02:27:54,240 --> 02:27:56,080 like all four walls are booked out, all 4104 02:27:56,080 --> 02:27:57,760 the beds are taken, but they weren't 4105 02:27:57,760 --> 02:27:58,880 making any money. But I was like, "Wait 4106 02:27:58,880 --> 02:28:00,240 a second. So you're like you're selling 4107 02:28:00,240 --> 02:28:02,160 fine, you know, you're the leads are 4108 02:28:02,160 --> 02:28:03,359 good, all all this stuff's good." I was 4109 02:28:03,359 --> 02:28:04,160 like, "But you're not making money and 4110 02:28:04,160 --> 02:28:04,960 you're fully staffed." She's like, 4111 02:28:04,960 --> 02:28:06,720 "Yeah." And I kept diving and diving. I 4112 02:28:06,720 --> 02:28:08,160 had to go through all of this stuff 4113 02:28:08,160 --> 02:28:10,240 until I finally got all the way into 4114 02:28:10,240 --> 02:28:12,880 manpower and it was oh yeah well we give 4115 02:28:12,880 --> 02:28:15,840 50% of revenue to our therapists. I was 4116 02:28:15,840 --> 02:28:19,359 like 50 dude like yeah of course you're 4117 02:28:19,359 --> 02:28:20,800 not making anything that makes I was 4118 02:28:20,800 --> 02:28:22,000 like are they like marketing for 4119 02:28:22,000 --> 02:28:23,680 themselves and and like you know paying 4120 02:28:23,680 --> 02:28:25,200 for their own you know products and 4121 02:28:25,200 --> 02:28:26,880 stuff. She was like no we do all that. I 4122 02:28:26,880 --> 02:28:28,000 was like well are they doing the sales? 4123 02:28:28,000 --> 02:28:29,280 She's like no no we do that. I was like 4124 02:28:29,280 --> 02:28:30,960 wait so you literally do everything and 4125 02:28:30,960 --> 02:28:32,479 then just give them half. She's like 4126 02:28:32,479 --> 02:28:33,840 yeah. I was like well yeah so you have a 4127 02:28:33,840 --> 02:28:35,760 structural issue right? like the model 4128 02:28:35,760 --> 02:28:38,319 will never work. The model is broken, 4129 02:28:38,319 --> 02:28:40,399 right? And so she would then have the 4130 02:28:40,399 --> 02:28:42,399 impossible choice. Either you could 4131 02:28:42,399 --> 02:28:44,800 raise your prices, which would have to 4132 02:28:44,800 --> 02:28:45,840 be an absurd amount if you always have 4133 02:28:45,840 --> 02:28:49,840 to give half away, or you lower wages, 4134 02:28:49,840 --> 02:28:51,520 or you change it to not being percentage 4135 02:28:51,520 --> 02:28:54,160 based, right? But the thing here is like 4136 02:28:54,160 --> 02:28:55,680 we had to change something structural 4137 02:28:55,680 --> 02:28:57,760 about the role so we could then recruit 4138 02:28:57,760 --> 02:28:58,880 more people in and actually make the 4139 02:28:58,880 --> 02:29:01,439 business profitable. So then finally, we 4140 02:29:01,439 --> 02:29:03,439 get to the money one of like, well, I 4141 02:29:03,439 --> 02:29:05,439 just simply can't afford to hire more 4142 02:29:05,439 --> 02:29:07,280 people, but I need to hire more people. 4143 02:29:07,280 --> 02:29:09,840 Okay, so these are the same four 4144 02:29:09,840 --> 02:29:11,920 concepts just applied to the supply 4145 02:29:11,920 --> 02:29:13,359 side. So we don't get enough 4146 02:29:13,359 --> 02:29:14,960 applications. That's a lead problem, 4147 02:29:14,960 --> 02:29:16,399 right? So again, it's we're going to run 4148 02:29:16,399 --> 02:29:17,680 through the same ones. You got to have 4149 02:29:17,680 --> 02:29:19,439 better ads, of course. Like you think 4150 02:29:19,439 --> 02:29:21,760 these ads don't matter, headlines, copy, 4151 02:29:21,760 --> 02:29:24,319 the whole thing. It matters, right? 4152 02:29:24,319 --> 02:29:26,720 Better content. If you have a brand, 4153 02:29:26,720 --> 02:29:28,000 more people are willing to work for you. 4154 02:29:28,000 --> 02:29:29,920 When they when they go check out your 4155 02:29:29,920 --> 02:29:31,760 content or your site, they're going to 4156 02:29:31,760 --> 02:29:33,200 be like, "Oh, like they make a decision 4157 02:29:33,200 --> 02:29:35,359 there." That increases your conversions. 4158 02:29:35,359 --> 02:29:37,920 Uh the brand itself, right? The offers, 4159 02:29:37,920 --> 02:29:39,600 quite literally, the offer that you have 4160 02:29:39,600 --> 02:29:41,840 for them will increase the likelihood 4161 02:29:41,840 --> 02:29:43,439 that they actually, you know, opt in to 4162 02:29:43,439 --> 02:29:47,040 become, you know, applicant. Um add a 4163 02:29:47,040 --> 02:29:48,319 money model mechanisms. You could do a 4164 02:29:48,319 --> 02:29:50,319 giveaway if you want. By the way, we did 4165 02:29:50,319 --> 02:29:53,600 uh for when we do our um when we when we 4166 02:29:53,600 --> 02:29:56,160 hire for media, we'll do contests. We'll 4167 02:29:56,160 --> 02:29:58,240 just do contests for for people who want 4168 02:29:58,240 --> 02:30:00,319 to cut videos for us and we'll get like 4169 02:30:00,319 --> 02:30:02,319 a thousand people who will apply and 4170 02:30:02,319 --> 02:30:03,760 then we just walk them through the 4171 02:30:03,760 --> 02:30:05,200 process. We get like 50 people who 4172 02:30:05,200 --> 02:30:06,319 actually like do all the work and then 4173 02:30:06,319 --> 02:30:08,399 from the 50 we pick five, right? So, you 4174 02:30:08,399 --> 02:30:09,359 absolutely can add a money model 4175 02:30:09,359 --> 02:30:10,399 mechanism depending on the role. 4176 02:30:10,399 --> 02:30:11,600 Obviously, you're not going to get a CEO 4177 02:30:11,600 --> 02:30:14,080 that way, but like front line, midline 4178 02:30:14,080 --> 02:30:15,840 for sure. 4179 02:30:15,840 --> 02:30:18,720 Um or better avatar, right? level up 4180 02:30:18,720 --> 02:30:21,520 your target or you can level down and 4181 02:30:21,520 --> 02:30:22,800 add training. I'll give you an example 4182 02:30:22,800 --> 02:30:26,319 of this in a second. Um so for us with 4183 02:30:26,319 --> 02:30:29,120 uh with Allen when we were looking for 4184 02:30:29,120 --> 02:30:30,880 true customer success, people could do 4185 02:30:30,880 --> 02:30:32,640 B2B higher ticket onboarding like 4186 02:30:32,640 --> 02:30:34,479 concierge if you will, we were 4187 02:30:34,479 --> 02:30:35,840 advertising at first for customer 4188 02:30:35,840 --> 02:30:37,840 support and we were getting tons of 4189 02:30:37,840 --> 02:30:39,439 low-level people that just were not 4190 02:30:39,439 --> 02:30:40,720 going to be good for like highlevel 4191 02:30:40,720 --> 02:30:42,080 business owners, right? These were 4192 02:30:42,080 --> 02:30:44,240 business owners that were paying a 4193 02:30:44,240 --> 02:30:46,160 $25,000 setup and white label fee. like 4194 02:30:46,160 --> 02:30:47,520 this is a different caliber just to just 4195 02:30:47,520 --> 02:30:50,080 to use the platform, different level and 4196 02:30:50,080 --> 02:30:52,319 so we had to have customer success. So 4197 02:30:52,319 --> 02:30:53,439 we had to change the title and all of a 4198 02:30:53,439 --> 02:30:55,040 sudden we got the right people, right? 4199 02:30:55,040 --> 02:30:57,439 So like this matters. 4200 02:30:57,439 --> 02:30:58,560 So you have to write it like it's ad 4201 02:30:58,560 --> 02:31:01,439 copy. So all the things that you do to 4202 02:31:01,439 --> 02:31:03,120 change the leads on your front end, you 4203 02:31:03,120 --> 02:31:04,800 do the same things. You still have to 4204 02:31:04,800 --> 02:31:05,840 look at it like a funnel. Like if you 4205 02:31:05,840 --> 02:31:08,319 don't know your conversion metrics for 4206 02:31:08,319 --> 02:31:11,840 your lead or application flow, 4207 02:31:11,840 --> 02:31:13,600 don't be surprised, right? Like that's 4208 02:31:13,600 --> 02:31:15,359 that's like of course you're not you 4209 02:31:15,359 --> 02:31:16,399 don't you don't you don't have metrics. 4210 02:31:16,399 --> 02:31:18,160 You don't even know why where your where 4211 02:31:18,160 --> 02:31:19,600 your stopping point is. And this is if 4212 02:31:19,600 --> 02:31:20,960 this is the constraint of the business. 4213 02:31:20,960 --> 02:31:22,479 Then what else are you doing that's not 4214 02:31:22,479 --> 02:31:24,720 this, right? That's more important. So 4215 02:31:24,720 --> 02:31:26,560 okay, we've got we've got we've got lead 4216 02:31:26,560 --> 02:31:28,319 flow, but we're getting a lot of junk, 4217 02:31:28,319 --> 02:31:31,120 right? Okay. So this is a this is 4218 02:31:31,120 --> 02:31:33,439 conversion rate thing. Same as before. 4219 02:31:33,439 --> 02:31:35,760 Page flow, headline, job description, 4220 02:31:35,760 --> 02:31:37,680 better application process. Do you think 4221 02:31:37,680 --> 02:31:39,600 you put proof in there? I love my job. 4222 02:31:39,600 --> 02:31:41,280 Yep. Do you think you put a VSSL in 4223 02:31:41,280 --> 02:31:43,520 there? Yep. Right? Do you think you work 4224 02:31:43,520 --> 02:31:45,520 the leads through lead nurture? Yep. 4225 02:31:45,520 --> 02:31:46,960 Well, if they need me to remind them, 4226 02:31:46,960 --> 02:31:48,160 no, it doesn't work that way. No one 4227 02:31:48,160 --> 02:31:49,120 cares. You're not the center of the 4228 02:31:49,120 --> 02:31:51,040 universe. You got to work it. I've got a 4229 02:31:51,040 --> 02:31:54,720 brand. We work our leads. Right. 4230 02:31:54,720 --> 02:31:56,880 Better interview training. Like if you 4231 02:31:56,880 --> 02:31:58,319 It's funny like if especially if you get 4232 02:31:58,319 --> 02:32:00,240 a bigger business, like if you listen to 4233 02:32:00,240 --> 02:32:02,640 somebody who's like in HR recruiting do 4234 02:32:02,640 --> 02:32:04,000 do some interviews, you're going to like 4235 02:32:04,000 --> 02:32:05,040 it's going to make your stomach turn. 4236 02:32:05,040 --> 02:32:06,319 The same way as if you've never listened 4237 02:32:06,319 --> 02:32:07,920 to your own sales guys do sales calls, 4238 02:32:07,920 --> 02:32:09,040 you're going to want to kill yourself. 4239 02:32:09,040 --> 02:32:10,080 If you've never done it before, I 4240 02:32:10,080 --> 02:32:11,200 promise you, you're gonna you're gonna 4241 02:32:11,200 --> 02:32:14,479 want to end your life early. So, 4242 02:32:14,479 --> 02:32:16,399 training is how you overcome that. Same 4243 02:32:16,399 --> 02:32:17,920 with better reputation. That's the 4244 02:32:17,920 --> 02:32:20,160 brand. Um, better lead quality. So, this 4245 02:32:20,160 --> 02:32:21,280 is where you can add more friction. If 4246 02:32:21,280 --> 02:32:22,479 you're getting too much junk, you've got 4247 02:32:22,479 --> 02:32:24,319 like, you know, uh, healthcare workers 4248 02:32:24,319 --> 02:32:25,280 or something like that or something. 4249 02:32:25,280 --> 02:32:27,359 You've got a lot of volume for it is low 4250 02:32:27,359 --> 02:32:29,439 skill labor, tons of applications, add 4251 02:32:29,439 --> 02:32:31,120 friction. Add VSLs. It's a sales 4252 02:32:31,120 --> 02:32:33,200 process. 4253 02:32:33,200 --> 02:32:35,600 Um, so I'll give you two examples of 4254 02:32:35,600 --> 02:32:37,840 this. So, I had a um a mental health 4255 02:32:37,840 --> 02:32:39,280 business. So they had a business would 4256 02:32:39,280 --> 02:32:42,000 basically like um did therapy. It was 4257 02:32:42,000 --> 02:32:43,040 covered by the government or some 4258 02:32:43,040 --> 02:32:45,200 government program. Anyways, so they 4259 02:32:45,200 --> 02:32:46,720 would get like 200 bucks or something 4260 02:32:46,720 --> 02:32:47,920 like that per session from the 4261 02:32:47,920 --> 02:32:50,160 government and they could pay like 25. 4262 02:32:50,160 --> 02:32:52,160 Uh so they had a good I mean the the 4263 02:32:52,160 --> 02:32:53,920 money made sense, right? The issue is 4264 02:32:53,920 --> 02:32:55,680 that they just couldn't find therapists 4265 02:32:55,680 --> 02:32:58,560 uh good therapists, excuse me. And so 4266 02:32:58,560 --> 02:32:59,920 the issue was they literally couldn't 4267 02:32:59,920 --> 02:33:01,040 interview enough, right? And they were 4268 02:33:01,040 --> 02:33:01,920 the thing is that they were doing 4269 02:33:01,920 --> 02:33:03,120 one-on- ones because that's how they 4270 02:33:03,120 --> 02:33:06,000 started. But all I did was say, "Hey, 4271 02:33:06,000 --> 02:33:07,600 this is the big crux point of your 4272 02:33:07,600 --> 02:33:10,080 business. Your first interview, we 4273 02:33:10,080 --> 02:33:11,920 should just have it be one to many. Have 4274 02:33:11,920 --> 02:33:13,840 it be 20 people at a time and just have 4275 02:33:13,840 --> 02:33:15,359 everyone do 60 seconds and then you can 4276 02:33:15,359 --> 02:33:16,960 just pick the winners and then you can 4277 02:33:16,960 --> 02:33:18,800 follow up with those people one-on-one." 4278 02:33:18,800 --> 02:33:20,240 And so all we did is we truncated the 4279 02:33:20,240 --> 02:33:22,319 process by two steps and then that 4280 02:33:22,319 --> 02:33:23,840 dramatically opened up the amount of 4281 02:33:23,840 --> 02:33:24,880 interviews and people they could 4282 02:33:24,880 --> 02:33:25,520 actually touch because he was like, 4283 02:33:25,520 --> 02:33:26,720 "Yeah, I'm getting a thousand interviews 4284 02:33:26,720 --> 02:33:28,240 and and we're basically getting one 4285 02:33:28,240 --> 02:33:29,439 person picked for every thousand." I was 4286 02:33:29,439 --> 02:33:31,600 like, there's no way on earth that out 4287 02:33:31,600 --> 02:33:33,520 of a thousand people, you can't find 4288 02:33:33,520 --> 02:33:36,560 more than one lowkilled label person who 4289 02:33:36,560 --> 02:33:38,160 just like basically not a lot of 4290 02:33:38,160 --> 02:33:39,840 aptitude, just needed attitude. I was 4291 02:33:39,840 --> 02:33:41,760 like 4292 02:33:41,760 --> 02:33:43,840 more than, you know, 0.1 out of a 4293 02:33:43,840 --> 02:33:46,640 hundred people is a decent person, 4294 02:33:46,640 --> 02:33:48,640 right? And so all we had to do was 4295 02:33:48,640 --> 02:33:50,319 change the process and boom, 4296 02:33:50,319 --> 02:33:51,600 debottleneck the business and the 4297 02:33:51,600 --> 02:33:53,359 thing's off, right? We had the same 4298 02:33:53,359 --> 02:33:56,080 issue at Gym Launch. And if you recruit 4299 02:33:56,080 --> 02:33:57,920 outbound, this may be like I' I've seen 4300 02:33:57,920 --> 02:33:59,040 it happen so many times specifically 4301 02:33:59,040 --> 02:34:00,720 with outbound because there's churn in 4302 02:34:00,720 --> 02:34:01,840 the position as well. If you do like 4303 02:34:01,840 --> 02:34:04,000 SDRs or BDRs, people who do outbound uh 4304 02:34:04,000 --> 02:34:05,600 emails or cold calls, anything like 4305 02:34:05,600 --> 02:34:08,720 that, uh DMs, if you're in that 4306 02:34:08,720 --> 02:34:10,800 position, 4307 02:34:10,800 --> 02:34:12,640 doing group interviews is almost what's 4308 02:34:12,640 --> 02:34:14,800 required in order to maintain the the 4309 02:34:14,800 --> 02:34:17,439 volume and scale of an enterprise that's 4310 02:34:17,439 --> 02:34:18,640 that size. When you have, you know, 4311 02:34:18,640 --> 02:34:19,760 three, four, five, you're not going to 4312 02:34:19,760 --> 02:34:22,240 notice it. When you have like 20 or 50, 4313 02:34:22,240 --> 02:34:24,160 you need that. You need to have have a a 4314 02:34:24,160 --> 02:34:26,880 more efficient way of acquiring talent. 4315 02:34:26,880 --> 02:34:28,319 And the same concept of like if I could 4316 02:34:28,319 --> 02:34:29,840 sell 50 customers at once, I would. 4317 02:34:29,840 --> 02:34:31,600 Well, then you do a webinar, right? You 4318 02:34:31,600 --> 02:34:32,880 do a webinar to a bunch of job 4319 02:34:32,880 --> 02:34:33,840 applications, then you push them 4320 02:34:33,840 --> 02:34:37,120 through. It's how it works. Um, we don't 4321 02:34:37,120 --> 02:34:38,800 make enough to pay what they want. So, 4322 02:34:38,800 --> 02:34:40,800 this is now we're getting into like they 4323 02:34:40,800 --> 02:34:43,439 are not worthy enough to us to pay the 4324 02:34:43,439 --> 02:34:45,680 market rate, right? Means that other 4325 02:34:45,680 --> 02:34:47,040 businesses are making more off them than 4326 02:34:47,040 --> 02:34:50,560 you are. So, this does backlatter into 4327 02:34:50,560 --> 02:34:52,720 having to improve the business. So you 4328 02:34:52,720 --> 02:34:55,439 raise prices to increase pay. So an 4329 02:34:55,439 --> 02:34:57,120 example of this would be like an HVAC. 4330 02:34:57,120 --> 02:34:59,840 So I had an HVAC company uh who came out 4331 02:34:59,840 --> 02:35:01,680 and technicians are in very low supply. 4332 02:35:01,680 --> 02:35:04,319 Very common for trades right now. And so 4333 02:35:04,319 --> 02:35:06,160 what we did was rather than say hey you 4334 02:35:06,160 --> 02:35:07,840 don't have the cash flow go blow your 4335 02:35:07,840 --> 02:35:09,359 profit. That wasn't the directive. This 4336 02:35:09,359 --> 02:35:10,560 is when I talk about like solution 4337 02:35:10,560 --> 02:35:12,960 stacks. So what we did is say hey 4338 02:35:12,960 --> 02:35:14,880 install the sales motion. So put proof 4339 02:35:14,880 --> 02:35:17,680 put a VSSL in. Put uh you know start 4340 02:35:17,680 --> 02:35:20,640 training on closing. Okay good. Do that 4341 02:35:20,640 --> 02:35:22,720 first. What that'll do when paired with 4342 02:35:22,720 --> 02:35:24,399 pricing, so we're going to have a better 4343 02:35:24,399 --> 02:35:26,160 sales process. We're going to raise the 4344 02:35:26,160 --> 02:35:27,680 price with our better sales process and 4345 02:35:27,680 --> 02:35:29,520 convert more customers. With both those 4346 02:35:29,520 --> 02:35:31,760 things going up, that'll then unlock 4347 02:35:31,760 --> 02:35:35,760 cash flow so that we can pay more people 4348 02:35:35,760 --> 02:35:39,120 or give big ass referral bonuses or go 4349 02:35:39,120 --> 02:35:40,880 to a head hunter. So now with that extra 4350 02:35:40,880 --> 02:35:42,319 cash flow, we can bring the extra 4351 02:35:42,319 --> 02:35:44,240 technicians in and outspend our 4352 02:35:44,240 --> 02:35:46,240 competition competing for the same class 4353 02:35:46,240 --> 02:35:48,960 of people. Make sense? So again, 4354 02:35:48,960 --> 02:35:51,200 sometimes they're multi-step solutions 4355 02:35:51,200 --> 02:35:53,439 in order to resolve the constraint, but 4356 02:35:53,439 --> 02:35:54,880 the thing that you have to focus on is 4357 02:35:54,880 --> 02:35:56,319 the one that's in front of you. So it's 4358 02:35:56,319 --> 02:35:58,240 like I'm I'm, you know, I can't even 4359 02:35:58,240 --> 02:36:00,240 take more jobs. Why would I resolve the 4360 02:36:00,240 --> 02:36:01,760 why would I try and fix my sales? I'm 4361 02:36:01,760 --> 02:36:03,040 just going to take on more deals. It's 4362 02:36:03,040 --> 02:36:05,280 like, no, but we got to do that with 4363 02:36:05,280 --> 02:36:07,680 pairing a raise in price so that we 4364 02:36:07,680 --> 02:36:10,080 unlock the cash flow so that it's like 4365 02:36:10,080 --> 02:36:12,960 so that so that so that we can then go 4366 02:36:12,960 --> 02:36:15,439 recruit the people we need to. Okay. Um, 4367 02:36:15,439 --> 02:36:17,040 another way of doing this is that you 4368 02:36:17,040 --> 02:36:18,800 can basically force your way to getting 4369 02:36:18,800 --> 02:36:21,120 more out of each person, which is, uh, 4370 02:36:21,120 --> 02:36:22,640 you can change your delivery ratio from, 4371 02:36:22,640 --> 02:36:23,840 let's say you've got five clients per 4372 02:36:23,840 --> 02:36:25,520 rep to 10 clients per rep. You can 4373 02:36:25,520 --> 02:36:27,359 switch from a, you know, done for you to 4374 02:36:27,359 --> 02:36:29,760 a done with you. Same same concept. Uh, 4375 02:36:29,760 --> 02:36:32,000 you can cap usage. You can say, hey, we 4376 02:36:32,000 --> 02:36:33,760 only work this many hours or only work 4377 02:36:33,760 --> 02:36:34,880 this much on accounts. That way, your 4378 02:36:34,880 --> 02:36:37,520 costs don't get um, blown out. Just a 4379 02:36:37,520 --> 02:36:38,800 different way of thinking about it. You 4380 02:36:38,800 --> 02:36:41,359 can also time block uh, when each of 4381 02:36:41,359 --> 02:36:42,800 your, you know, teammates is going to be 4382 02:36:42,800 --> 02:36:44,800 working on specific projects. sometimes 4383 02:36:44,800 --> 02:36:46,319 like it takes just direct management of 4384 02:36:46,319 --> 02:36:48,160 their time that like more times than not 4385 02:36:48,160 --> 02:36:49,040 you can double or triple the 4386 02:36:49,040 --> 02:36:50,319 effectiveness of a team by just simply 4387 02:36:50,319 --> 02:36:52,399 managing their time um or you can just 4388 02:36:52,399 --> 02:36:54,160 offshore or nearshore right you just go 4389 02:36:54,160 --> 02:36:56,479 from a different pool 4390 02:36:56,479 --> 02:36:57,920 and I mentioned this earlier with the 4391 02:36:57,920 --> 02:36:59,920 high the high-end service is like if you 4392 02:36:59,920 --> 02:37:02,479 if you really want to dominate one this 4393 02:37:02,479 --> 02:37:04,800 is a strategic bet but you say instead 4394 02:37:04,800 --> 02:37:08,240 of trying to find third-year legal 4395 02:37:08,240 --> 02:37:10,399 whatevers we're gonna take these guys 4396 02:37:10,399 --> 02:37:11,920 out of college but we're going to 4397 02:37:11,920 --> 02:37:13,840 develop an exceptional training process 4398 02:37:13,840 --> 02:37:15,760 us so that we can get them upskilled so 4399 02:37:15,760 --> 02:37:16,960 that they're just as good as the three 4400 02:37:16,960 --> 02:37:18,160 years, but we only have to pay them like 4401 02:37:18,160 --> 02:37:20,160 a one year and it only takes us six 4402 02:37:20,160 --> 02:37:22,160 months to get that arbitrage. It's a 4403 02:37:22,160 --> 02:37:23,840 strategic decision. Like if you look at 4404 02:37:23,840 --> 02:37:25,359 some of the biggest investment banks, 4405 02:37:25,359 --> 02:37:26,160 you look at some of the biggest 4406 02:37:26,160 --> 02:37:27,840 management consultants, they did the 4407 02:37:27,840 --> 02:37:29,600 same thing. Like you go to Mckenzie, you 4408 02:37:29,600 --> 02:37:30,880 go to Bin, you go to BCG, you go to 4409 02:37:30,880 --> 02:37:33,040 Goldman, you go to JP Morgan, they have 4410 02:37:33,040 --> 02:37:34,399 just they take people right out of 4411 02:37:34,399 --> 02:37:35,840 college, they pay them six figures, 4412 02:37:35,840 --> 02:37:37,040 right? And they do that because they 4413 02:37:37,040 --> 02:37:38,479 have exceptional training because it's 4414 02:37:38,479 --> 02:37:42,760 so hard to find the people above that. 4415 02:37:43,840 --> 02:37:46,479 And so um similar example lifetime gross 4416 02:37:46,479 --> 02:37:48,479 profit so high-end uh consultant book 4417 02:37:48,479 --> 02:37:49,760 solid for six months. All right. So I 4418 02:37:49,760 --> 02:37:51,280 think this was like a tax strategist I 4419 02:37:51,280 --> 02:37:53,920 think but it was like a it was half 4420 02:37:53,920 --> 02:37:56,319 accountant half consultant right? So 4421 02:37:56,319 --> 02:37:57,840 it's like you're book solid for six 4422 02:37:57,840 --> 02:37:59,760 months jack the prices change the 4423 02:37:59,760 --> 02:38:02,080 delivery ratio hire associates and then 4424 02:38:02,080 --> 02:38:04,000 backfill by by scaling the training and 4425 02:38:04,000 --> 02:38:07,280 your recruiting ability. 4426 02:38:07,280 --> 02:38:10,240 So why can't you know why don't we make 4427 02:38:10,240 --> 02:38:11,760 enough to pay what they want? Well, we 4428 02:38:11,760 --> 02:38:12,800 had to fix the leads. We had to fix 4429 02:38:12,800 --> 02:38:14,560 sales. We had to fix delivery. And so 4430 02:38:14,560 --> 02:38:17,120 why can't we do more to get the talent? 4431 02:38:17,120 --> 02:38:18,960 We go through more metrics, market model 4432 02:38:18,960 --> 02:38:20,800 money, 4433 02:38:20,800 --> 02:38:23,359 which resolve all of the original Mosy 4434 02:38:23,359 --> 02:38:26,160 6. 4435 02:38:26,160 --> 02:38:27,920 Huzzah. 4436 02:38:27,920 --> 02:38:29,120 So, I want to do a quick little 4437 02:38:29,120 --> 02:38:31,359 dangerous middle, 4438 02:38:31,359 --> 02:38:33,600 which is right now if your revenue feels 4439 02:38:33,600 --> 02:38:36,080 steady or you're working hard but you're 4440 02:38:36,080 --> 02:38:37,840 not growing, 4441 02:38:37,840 --> 02:38:39,680 uh, or you kind of need more leads but 4442 02:38:39,680 --> 02:38:41,680 you can't really handle that much more. 4443 02:38:41,680 --> 02:38:42,720 If you're nodding your head and being 4444 02:38:42,720 --> 02:38:44,080 like, "This sounds a lot like me right 4445 02:38:44,080 --> 02:38:46,479 now." Typically, this is just my 4446 02:38:46,479 --> 02:38:48,319 analysis of businesses that feel like 4447 02:38:48,319 --> 02:38:49,920 they're at capacity but they're still 4448 02:38:49,920 --> 02:38:52,080 like they're like kind of in that 4449 02:38:52,080 --> 02:38:53,920 balance. You're actually demand 4450 02:38:53,920 --> 02:38:56,720 constrained. 4451 02:38:56,720 --> 02:38:58,560 So you need to break the business with 4452 02:38:58,560 --> 02:39:00,560 demand and increase cash flow and then 4453 02:39:00,560 --> 02:39:02,960 stretch capacity. So if you're in 4454 02:39:02,960 --> 02:39:06,000 equilibrium, it's almost it's like I 4455 02:39:06,000 --> 02:39:08,800 can't guarantee anything of course, but 4456 02:39:08,800 --> 02:39:10,960 it's super likely that if you had to, 4457 02:39:10,960 --> 02:39:13,680 you could do 30% more. Like almost 4458 02:39:13,680 --> 02:39:16,160 always like people can gas it for 8 4459 02:39:16,160 --> 02:39:18,880 weeks, 12 weeks if they have to. And so 4460 02:39:18,880 --> 02:39:20,319 sometimes you have to break through 4461 02:39:20,319 --> 02:39:23,359 those those those periods of stagnation 4462 02:39:23,359 --> 02:39:25,840 so that you can generate the extra cash 4463 02:39:25,840 --> 02:39:27,680 flow you need to then bring more people 4464 02:39:27,680 --> 02:39:29,120 in, right? So you can expand your 4465 02:39:29,120 --> 02:39:30,800 capacity. So sometimes you have to 4466 02:39:30,800 --> 02:39:33,040 redline. And so if you're like I'm not 4467 02:39:33,040 --> 02:39:34,880 sure which one I am, you can pretty much 4468 02:39:34,880 --> 02:39:36,399 like I would recommend you start with 4469 02:39:36,399 --> 02:39:38,880 making more money and then dealing with 4470 02:39:38,880 --> 02:39:41,040 the supply constraint with the extra 4471 02:39:41,040 --> 02:39:44,560 resources because the alternative 4472 02:39:44,560 --> 02:39:46,880 you expand your supply, right? But then 4473 02:39:46,880 --> 02:39:48,160 what if you don't have the demand? Now 4474 02:39:48,160 --> 02:39:49,840 you're just you're really underwater, 4475 02:39:49,840 --> 02:39:52,479 right? And so I would rather generate 4476 02:39:52,479 --> 02:39:55,840 the cash if I need to extend terms than 4477 02:39:55,840 --> 02:39:58,800 bring in the supply. 4478 02:39:58,800 --> 02:40:01,200 So with that being said, we're on part 4479 02:40:01,200 --> 02:40:02,479 four. You guys digging this? Is this 4480 02:40:02,479 --> 02:40:05,920 fun? Is this exciting? Yay. Burping the 4481 02:40:05,920 --> 02:40:07,760 green egg. I don't know what that was. 4482 02:40:07,760 --> 02:40:11,840 Um where is the watermark behind every I 4483 02:40:11,840 --> 02:40:15,280 don't know. Anyways, so part four tools 4484 02:40:15,280 --> 02:40:17,359 and implementation. So this is the this 4485 02:40:17,359 --> 02:40:19,520 is the next little section. So some of 4486 02:40:19,520 --> 02:40:20,800 you guys might still be wondering what 4487 02:40:20,800 --> 02:40:22,720 if I don't know my constraint or I'm not 4488 02:40:22,720 --> 02:40:25,439 sure or I know my constraint and I'm 4489 02:40:25,439 --> 02:40:28,720 just not sure I can figure it out or I 4490 02:40:28,720 --> 02:40:30,800 know my constraint, I just want support 4491 02:40:30,800 --> 02:40:32,399 and the ability to ask questions for the 4492 02:40:32,399 --> 02:40:34,080 next six months uh to make sure it's 4493 02:40:34,080 --> 02:40:36,319 implemented correctly. Okay. And so it's 4494 02:40:36,319 --> 02:40:38,880 what I made the scale advisory for. And 4495 02:40:38,880 --> 02:40:40,640 so we had a lot of people ask for the 4496 02:40:40,640 --> 02:40:42,240 scale advisory after the deadline closed 4497 02:40:42,240 --> 02:40:44,160 on Monday night uh because they missed 4498 02:40:44,160 --> 02:40:45,520 it when they were checking out or they 4499 02:40:45,520 --> 02:40:46,479 didn't want, you know, they didn't watch 4500 02:40:46,479 --> 02:40:47,840 the video because I was live and they're 4501 02:40:47,840 --> 02:40:49,520 like, I didn't know which one to do or 4502 02:40:49,520 --> 02:40:50,720 they didn't understand that it was six 4503 02:40:50,720 --> 02:40:52,080 months of support, not just six 4504 02:40:52,080 --> 02:40:54,800 workshops, whatever. And so out of 4505 02:40:54,800 --> 02:40:56,479 integrity and legally, I can't make the 4506 02:40:56,479 --> 02:40:59,040 same offer again. But I actually asked 4507 02:40:59,040 --> 02:41:01,680 this morning um everybody who was in the 4508 02:41:01,680 --> 02:41:02,880 scale advisory what they thought. And 4509 02:41:02,880 --> 02:41:04,880 this is what they said. I said, "Hey, 4510 02:41:04,880 --> 02:41:06,800 um, this group kicks off September 1st, 4511 02:41:06,800 --> 02:41:08,720 which is when it does kick off. Uh, we 4512 02:41:08,720 --> 02:41:10,000 gave everybody who, you know, obviously 4513 02:41:10,000 --> 02:41:11,280 donated books during the book launch 4514 02:41:11,280 --> 02:41:12,800 extra, you know, a few extra weeks to 4515 02:41:12,800 --> 02:41:14,800 let the dust settle, but our official 4516 02:41:14,800 --> 02:41:16,960 six month begins September 1, uh, 4517 02:41:16,960 --> 02:41:18,800 through end of end of February." So, 4518 02:41:18,800 --> 02:41:19,920 that being said, we got a bunch of 4519 02:41:19,920 --> 02:41:21,359 messages from very solid businesses 4520 02:41:21,359 --> 02:41:22,560 saying that they missed it or didn't see 4521 02:41:22,560 --> 02:41:24,080 the video. And I'd like to open the door 4522 02:41:24,080 --> 02:41:25,280 for them for a short period, but I want 4523 02:41:25,280 --> 02:41:27,200 to ask them. So, I actually asked our uh 4524 02:41:27,200 --> 02:41:29,120 the group this morning and I said, "So, 4525 02:41:29,120 --> 02:41:30,240 should I mention the ability to get in 4526 02:41:30,240 --> 02:41:32,399 the group today and leave the option for 4527 02:41:32,399 --> 02:41:35,280 24 hours, give them until September 1st, 4528 02:41:35,280 --> 02:41:37,040 or just not let them in?" And so, you 4529 02:41:37,040 --> 02:41:39,040 can see the responses right there. And 4530 02:41:39,040 --> 02:41:42,399 so, 83% um last time I checked and 4531 02:41:42,399 --> 02:41:45,359 screenshotted it, uh said to uh open the 4532 02:41:45,359 --> 02:41:47,920 door for 24 hours for you guys. So, um 4533 02:41:47,920 --> 02:41:49,359 that's what I'm going to do really 4534 02:41:49,359 --> 02:41:51,439 quickly. And so VUX populate VUX day 4535 02:41:51,439 --> 02:41:52,720 which is the voice of the people is the 4536 02:41:52,720 --> 02:41:54,319 voice of God or the voice of people is 4537 02:41:54,319 --> 02:41:57,760 the divine. Um so if you missed it and 4538 02:41:57,760 --> 02:41:59,200 uh would like me to help you for the 4539 02:41:59,200 --> 02:42:00,960 next six months just to get some of the 4540 02:42:00,960 --> 02:42:02,560 stuff implemented so you can kick off 4541 02:42:02,560 --> 02:42:04,880 2026 to hopefully break records. This is 4542 02:42:04,880 --> 02:42:07,040 just a quick recap of the scale advisory 4543 02:42:07,040 --> 02:42:09,120 entails. So this will be very very fast. 4544 02:42:09,120 --> 02:42:11,439 So um it's inside is the school 4545 02:42:11,439 --> 02:42:13,600 community. It's a scale advisory. Um you 4546 02:42:13,600 --> 02:42:15,280 get access to me and the directors. So 4547 02:42:15,280 --> 02:42:17,520 this is all the people from my team um 4548 02:42:17,520 --> 02:42:20,000 that are involved. What's actually crazy 4549 02:42:20,000 --> 02:42:23,040 as a side note is that I thought so like 4550 02:42:23,040 --> 02:42:24,399 I had a lot of different guesses of what 4551 02:42:24,399 --> 02:42:25,600 was going to what was going to happen at 4552 02:42:25,600 --> 02:42:27,840 the launch. This one surprised me the 4553 02:42:27,840 --> 02:42:31,760 most because we offer zero access to me 4554 02:42:31,760 --> 02:42:34,160 or the team ever anywhere. So there's 4555 02:42:34,160 --> 02:42:35,920 nothing ongoing ever and it's just 4556 02:42:35,920 --> 02:42:38,080 because I don't like ongoing commitments 4557 02:42:38,080 --> 02:42:39,359 um because I take them really serious 4558 02:42:39,359 --> 02:42:42,160 and hopefully up to my commitment 4559 02:42:42,160 --> 02:42:45,040 seriously. Um, and so none of these 4560 02:42:45,040 --> 02:42:46,319 people have anyone who has access to 4561 02:42:46,319 --> 02:42:47,520 them except for people in the scale 4562 02:42:47,520 --> 02:42:51,120 advisory. And so, uh, normally one day 4563 02:42:51,120 --> 02:42:53,280 we charge for just one person on the 4564 02:42:53,280 --> 02:42:55,680 team is $35,000. You get access to all 4565 02:42:55,680 --> 02:42:56,560 of them. So, if you're like, man, I need 4566 02:42:56,560 --> 02:42:57,600 help on marketing, you can talk to Louis 4567 02:42:57,600 --> 02:42:58,880 or Preston. If you're like, man, I need 4568 02:42:58,880 --> 02:43:00,160 help with like my kind of model and my 4569 02:43:00,160 --> 02:43:01,200 strategy. You can talk to Ed. You can 4570 02:43:01,200 --> 02:43:03,120 talk to Ned. Actually, that's kind of 4571 02:43:03,120 --> 02:43:05,520 funny name wise. Um, if you're like, how 4572 02:43:05,520 --> 02:43:06,880 do I talk about um, you know, 4573 02:43:06,880 --> 02:43:08,960 recruiting? We got Frank. If you've 4574 02:43:08,960 --> 02:43:10,240 like, how do I do more fulfillment? You 4575 02:43:10,240 --> 02:43:11,680 got Lindsay. We got more strategy, you 4576 02:43:11,680 --> 02:43:13,359 got Neil. you got more sales, you got 4577 02:43:13,359 --> 02:43:15,680 hop uh Jacob, right? And so all these 4578 02:43:15,680 --> 02:43:17,200 people are who do this for us. And so 4579 02:43:17,200 --> 02:43:19,600 they do this at a very high level. Um 4580 02:43:19,600 --> 02:43:20,960 and so that's the first thing you get 4581 02:43:20,960 --> 02:43:22,720 inside. Um we're also going to do a 4582 02:43:22,720 --> 02:43:24,080 leads workshop. So if you enjoyed this 4583 02:43:24,080 --> 02:43:26,000 workshop, this is just going to be even 4584 02:43:26,000 --> 02:43:28,560 more dirt, even more tactics just on 4585 02:43:28,560 --> 02:43:30,080 solving leads. So if we went through 4586 02:43:30,080 --> 02:43:31,359 this whole thing and you were like, 4587 02:43:31,359 --> 02:43:33,520 "Okay, I think I have a leads issue, 4588 02:43:33,520 --> 02:43:35,040 like they're costing too much. Like I 4589 02:43:35,040 --> 02:43:36,479 just need to solve that." We have a 4590 02:43:36,479 --> 02:43:38,240 whole workshop on that. Um if you're 4591 02:43:38,240 --> 02:43:39,280 like, you know what, I have a sales 4592 02:43:39,280 --> 02:43:42,399 issue. Um, so we'll basically go super 4593 02:43:42,399 --> 02:43:44,319 deep on the dirt of like let's solve the 4594 02:43:44,319 --> 02:43:46,080 sales constraint for good. Uh, if you 4595 02:43:46,080 --> 02:43:47,840 have a delivery issue, an LTV workshop, 4596 02:43:47,840 --> 02:43:49,040 so it's like, okay, let's make sure that 4597 02:43:49,040 --> 02:43:50,880 we can solve like basically make them 4598 02:43:50,880 --> 02:43:52,319 worth more so that you can afford to out 4599 02:43:52,319 --> 02:43:54,640 compete your competition. Um, the profit 4600 02:43:54,640 --> 02:43:56,240 workshop. So that's going to be like how 4601 02:43:56,240 --> 02:43:57,359 do we change pricing, how do we 4602 02:43:57,359 --> 02:43:58,560 repackage things, how do we build 4603 02:43:58,560 --> 02:44:00,080 differently, how do we accelerate cash 4604 02:44:00,080 --> 02:44:02,000 flow, um, all the things that we know 4605 02:44:02,000 --> 02:44:03,520 that we've done in all the different 4606 02:44:03,520 --> 02:44:04,880 spaces that have just dramatically 4607 02:44:04,880 --> 02:44:07,920 driven up uh, profit in the businesses. 4608 02:44:07,920 --> 02:44:10,160 Um, on top of that, Leila is running a 4609 02:44:10,160 --> 02:44:11,840 people and AI workshop. So, if you are 4610 02:44:11,840 --> 02:44:13,359 supply constrained that we're just going 4611 02:44:13,359 --> 02:44:14,800 to be doing that on steroids, plus we're 4612 02:44:14,800 --> 02:44:16,160 gonna talk about how we're implementing 4613 02:44:16,160 --> 02:44:18,560 AI into our service-based business. Um, 4614 02:44:18,560 --> 02:44:20,880 and how you can too. Um, I think that 4615 02:44:20,880 --> 02:44:22,560 like right now it's the best time to be 4616 02:44:22,560 --> 02:44:24,160 an entrepreneur. Um, there's just a 4617 02:44:24,160 --> 02:44:25,279 gigantic amount of opportunity in the 4618 02:44:25,279 --> 02:44:27,840 next 36 months. Uh, and then Shiron, who 4619 02:44:27,840 --> 02:44:30,479 some of you guys don't know, um, Shiron 4620 02:44:30,479 --> 02:44:32,880 was a super early mentor of mine. Uh, he 4621 02:44:32,880 --> 02:44:35,600 exited Tely's first and they, uh, they 4622 02:44:35,600 --> 02:44:37,120 went from like 50 million in volume to 4623 02:44:37,120 --> 02:44:39,600 3.4 4 billion. Uh, and then he did 4624 02:44:39,600 --> 02:44:41,279 nothing for like six years. Then he 4625 02:44:41,279 --> 02:44:42,880 started Swillo Capital, sorry, Swill 4626 02:44:42,880 --> 02:44:44,560 Ventures, which was basically just his 4627 02:44:44,560 --> 02:44:46,000 family office where he was investing the 4628 02:44:46,000 --> 02:44:48,240 money. Um, did that and then I convinced 4629 02:44:48,240 --> 02:44:50,000 him to go back, get back in the game. 4630 02:44:50,000 --> 02:44:52,000 And so he uh went to real brokerage and 4631 02:44:52,000 --> 02:44:53,680 they took them from 200 million to 1.2 4632 02:44:53,680 --> 02:44:55,840 billion. Um, and then after doing that, 4633 02:44:55,840 --> 02:44:57,040 I was like, "Hey man, you want to come 4634 02:44:57,040 --> 02:44:59,600 hang with us?" And he said yes. So um, 4635 02:44:59,600 --> 02:45:02,720 Chiron's actually president of ACQ. Um, 4636 02:45:02,720 --> 02:45:04,240 and so he's going to share all the stuff 4637 02:45:04,240 --> 02:45:05,920 that we like a lot of stuff he taught me 4638 02:45:05,920 --> 02:45:08,560 on wealth, tax, finance, operations. So 4639 02:45:08,560 --> 02:45:10,479 like if you're anyone who makes any 4640 02:45:10,479 --> 02:45:11,840 decent amount of money in your business, 4641 02:45:11,840 --> 02:45:12,720 the amount of things that we especially 4642 02:45:12,720 --> 02:45:14,479 if you're in the US, um, the amount of 4643 02:45:14,479 --> 02:45:16,160 things that I've learned from a tax tax 4644 02:45:16,160 --> 02:45:19,439 perspective, it's an insane like I feel 4645 02:45:19,439 --> 02:45:21,840 very confident. Um, that's why I was so 4646 02:45:21,840 --> 02:45:22,880 I was so surprised with this one because 4647 02:45:22,880 --> 02:45:24,240 I was like we have never offered any 4648 02:45:24,240 --> 02:45:26,319 kind of access and this is le like this 4649 02:45:26,319 --> 02:45:28,479 is half of what people pay for one day 4650 02:45:28,479 --> 02:45:30,319 in six months. I was like like this was 4651 02:45:30,319 --> 02:45:31,520 the one that I was like blown away. I 4652 02:45:31,520 --> 02:45:32,560 was like, maybe people didn't hear it 4653 02:45:32,560 --> 02:45:35,520 that well. Um, and so on top of that, 4654 02:45:35,520 --> 02:45:37,120 you'll get the school group uh that 4655 02:45:37,120 --> 02:45:38,479 houses everybody else. And so this is 4656 02:45:38,479 --> 02:45:40,880 actually kind of cool. So inside of the 4657 02:45:40,880 --> 02:45:42,080 school group, so I just pulled up Las 4658 02:45:42,080 --> 02:45:43,120 Vegas this morning and took a 4659 02:45:43,120 --> 02:45:45,200 screenshot. There's 32 people just like 4660 02:45:45,200 --> 02:45:48,319 in the Vegas area. Um, and so I bring 4661 02:45:48,319 --> 02:45:49,200 that up because like I think 4662 02:45:49,200 --> 02:45:50,479 entrepreneurship's lonely and being able 4663 02:45:50,479 --> 02:45:51,359 to connect with other high level 4664 02:45:51,359 --> 02:45:52,560 business owners I think is the coolest 4665 02:45:52,560 --> 02:45:54,720 thing. So are all 32 people you're going 4666 02:45:54,720 --> 02:45:56,240 to get along with? No. But there's like 4667 02:45:56,240 --> 02:45:59,200 two probably. Uh, and so like I think 4668 02:45:59,200 --> 02:46:00,880 that like for me the things that have 4669 02:46:00,880 --> 02:46:02,240 paid the most life dividends have been 4670 02:46:02,240 --> 02:46:03,840 the people that have come into my life. 4671 02:46:03,840 --> 02:46:05,680 And so um I wanted to create an 4672 02:46:05,680 --> 02:46:07,279 opportunity uh for those of you who want 4673 02:46:07,279 --> 02:46:10,000 that. And so I that is in total like 4674 02:46:10,000 --> 02:46:13,120 $65,000 of true actual value like real 4675 02:46:13,120 --> 02:46:14,720 value and I can't even price what six 4676 02:46:14,720 --> 02:46:17,120 months is because we don't do access. Um 4677 02:46:17,120 --> 02:46:18,319 but if you're like I would really like 4678 02:46:18,319 --> 02:46:19,359 help over the next six months 4679 02:46:19,359 --> 02:46:20,479 implementing these things into the 4680 02:46:20,479 --> 02:46:22,319 business um and be able to like directly 4681 02:46:22,319 --> 02:46:24,399 reach out then that's what I did this 4682 02:46:24,399 --> 02:46:27,760 for. Okay. So, it's um it's $3,000 times 4683 02:46:27,760 --> 02:46:30,160 six. We're doing it for 24 hours. Um 4684 02:46:30,160 --> 02:46:31,359 thank all the people who are in the 4685 02:46:31,359 --> 02:46:34,000 group if those you are in there. Um you 4686 02:46:34,000 --> 02:46:35,120 can let them know if you think it's 4687 02:46:35,120 --> 02:46:37,760 good. Um but we kick everything off 4688 02:46:37,760 --> 02:46:39,040 September 1st, so you're not like 4689 02:46:39,040 --> 02:46:41,279 missing anything by by coming in today. 4690 02:46:41,279 --> 02:46:43,279 Um but you can go to scale.acq.com, 4691 02:46:43,279 --> 02:46:45,680 which is at the bottom there. And so 4692 02:46:45,680 --> 02:46:48,000 this is just uh it's just if you want to 4693 02:46:48,000 --> 02:46:49,120 keep the party going, you want to set 4694 02:46:49,120 --> 02:46:52,319 yourself up for Q1 next year. Um we've 4695 02:46:52,319 --> 02:46:54,160 dedicated tremendous resources to doing 4696 02:46:54,160 --> 02:46:55,600 this because I want to do this super 4697 02:46:55,600 --> 02:46:57,760 well and just have like a crazy amount 4698 02:46:57,760 --> 02:47:00,720 of growth stories that I can tell. Um 4699 02:47:00,720 --> 02:47:02,080 and so I'll just give you a couple 4700 02:47:02,080 --> 02:47:03,359 things that I just saw from inside just 4701 02:47:03,359 --> 02:47:04,960 from the last like four or five days. 4702 02:47:04,960 --> 02:47:07,520 It's like Lance, you know, from one out 4703 02:47:07,520 --> 02:47:10,560 of 400 to a 40% close rate. Uh Hamza, he 4704 02:47:10,560 --> 02:47:11,600 talked about how his show rates 4705 02:47:11,600 --> 02:47:13,040 improved. You'll probably also notice 4706 02:47:13,040 --> 02:47:15,120 that I don't talk about income claims. 4707 02:47:15,120 --> 02:47:17,040 That is not by that is not by mistake. 4708 02:47:17,040 --> 02:47:19,040 Like I don't have them. Um I just don't 4709 02:47:19,040 --> 02:47:20,240 make them because I don't think they set 4710 02:47:20,240 --> 02:47:22,479 proper expectations and also it's tends 4711 02:47:22,479 --> 02:47:25,600 to be frowned upon. Um Preston, you 4712 02:47:25,600 --> 02:47:26,640 know, Preston is brilliant. I know 4713 02:47:26,640 --> 02:47:28,000 you're very busy. Respect for your time. 4714 02:47:28,000 --> 02:47:29,359 I followed your advice and spent all 4715 02:47:29,359 --> 02:47:32,399 night creating your blackbook. Um just, 4716 02:47:32,399 --> 02:47:33,840 you know, awesome. And like Ed Turner, 4717 02:47:33,840 --> 02:47:35,359 that's incredible value. Crystal, like 4718 02:47:35,359 --> 02:47:38,000 wow, so much value. Um Kevin, thanks for 4719 02:47:38,000 --> 02:47:39,439 putting such an awesome group together. 4720 02:47:39,439 --> 02:47:41,120 your team is really solid from Adam 4721 02:47:41,120 --> 02:47:42,880 Jacobs. Already adding so much value. 4722 02:47:42,880 --> 02:47:44,560 Mike Robinson, I can't believe so much 4723 02:47:44,560 --> 02:47:46,399 value has been shared. Uh any of these 4724 02:47:46,399 --> 02:47:48,080 are incredible. 4725 02:47:48,080 --> 02:47:50,240 Uh like we can keep going. Let's see. 4726 02:47:50,240 --> 02:47:52,479 Paul said, uh some of these I wanted to 4727 02:47:52,479 --> 02:47:53,520 bring up because people are actually 4728 02:47:53,520 --> 02:47:54,880 just sharing their biggest tactics. One 4729 02:47:54,880 --> 02:47:55,920 of the things I asked everybody in the 4730 02:47:55,920 --> 02:47:57,680 scale advisory is like introduce 4731 02:47:57,680 --> 02:47:59,279 yourself and then share the most 4732 02:47:59,279 --> 02:48:00,720 valuable tactic that you have in your 4733 02:48:00,720 --> 02:48:01,680 business. Like what is one of the things 4734 02:48:01,680 --> 02:48:02,560 that made the biggest difference 4735 02:48:02,560 --> 02:48:04,160 tactically? And so it's like Paul is 4736 02:48:04,160 --> 02:48:05,600 like, "Hey, we basically had no Google 4737 02:48:05,600 --> 02:48:07,760 reviews and then got 650 with one script 4738 02:48:07,760 --> 02:48:09,120 and he shared the script and this is you 4739 02:48:09,120 --> 02:48:12,080 know Chris Williams um how ACQAI made me 4740 02:48:12,080 --> 02:48:13,920 again I don't want to put income there 4741 02:48:13,920 --> 02:48:15,279 uh in four hours and he just explained 4742 02:48:15,279 --> 02:48:16,560 how the whole play worked right and he 4743 02:48:16,560 --> 02:48:18,800 just documented it and then Anton was 4744 02:48:18,800 --> 02:48:21,040 like hey I generated 84 leads with money 4745 02:48:21,040 --> 02:48:22,720 models books by just giving them away." 4746 02:48:22,720 --> 02:48:25,359 Uh and so he got like 84 leads 12 sales 4747 02:48:25,359 --> 02:48:26,800 calls booked six of them were ideal 4748 02:48:26,800 --> 02:48:28,880 clients just by giving the books away. 4749 02:48:28,880 --> 02:48:30,319 Um I'm not saying it's going to happen 4750 02:48:30,319 --> 02:48:32,560 for you. That's not the point. Um, but 4751 02:48:32,560 --> 02:48:36,080 this is like I like this is the mo like 4752 02:48:36,080 --> 02:48:37,760 I actually think this is an absurd 4753 02:48:37,760 --> 02:48:40,560 offer. Um, and so I'll give you guys 15 4754 02:48:40,560 --> 02:48:41,760 minutes to enroll and take a break 4755 02:48:41,760 --> 02:48:44,080 because I need to drink some water. Um, 4756 02:48:44,080 --> 02:48:45,359 you know, bathroom break. If you want to 4757 02:48:45,359 --> 02:48:47,200 enroll, go there now. Uh, so 4758 02:48:47,200 --> 02:48:49,120 scale.acq.com. You can go grab it. And 4759 02:48:49,120 --> 02:48:51,040 then we're going to do uh case studies 4760 02:48:51,040 --> 02:48:54,240 in the AI implementation uh second half. 4761 02:48:54,240 --> 02:48:57,840 All right, rock and roll. Do that 4762 02:48:57,840 --> 02:49:02,800 15. Start the timer, somebody. Okay. 4763 02:49:03,200 --> 02:49:06,000 and 4764 02:49:06,000 --> 02:49:08,160 with the uh the offer today and that's 4765 02:49:08,160 --> 02:49:09,760 because I legally cannot make the same 4766 02:49:09,760 --> 02:49:10,960 offer and say something has gone away 4767 02:49:10,960 --> 02:49:12,720 forever. So, the offer does not come 4768 02:49:12,720 --> 02:49:16,000 with the the 800 bucks. 4769 03:04:04,080 --> 03:04:06,080 All 4770 03:04:19,600 --> 03:04:22,000 right, I uh stuffed my face as fast I 4771 03:04:22,000 --> 03:04:24,560 possibly could uh for lunch. For those 4772 03:04:24,560 --> 03:04:26,640 of you guys who um who join us for the 4773 03:04:26,640 --> 03:04:28,240 next six months, super pumped to to have 4774 03:04:28,240 --> 03:04:31,680 you. The community is awesome. Um and 4775 03:04:31,680 --> 03:04:34,880 yeah, we uh we just wanted to uh tell 4776 03:04:34,880 --> 03:04:36,240 those of you who like are like you know 4777 03:04:36,240 --> 03:04:38,160 what I would love to have deeper dive on 4778 03:04:38,160 --> 03:04:40,560 all this stuff wanted to help and I uh 4779 03:04:40,560 --> 03:04:42,240 am giving you access to my actual team 4780 03:04:42,240 --> 03:04:43,840 so that you can get questions answered 4781 03:04:43,840 --> 03:04:45,520 which it's the most viable thing I can 4782 03:04:45,520 --> 03:04:48,319 do. All right. Um, 4783 03:04:48,319 --> 03:04:52,200 can you pull up my presentation? 4784 03:04:57,600 --> 03:04:59,680 Also, to the obvious answer to everyone 4785 03:04:59,680 --> 03:05:01,040 who's s I'm seeing in the chat like 4786 03:05:01,040 --> 03:05:03,279 start a 200 book school community. Well, 4787 03:05:03,279 --> 03:05:05,040 that would kind of defy the purpose. And 4788 03:05:05,040 --> 03:05:06,880 also just very transparently like I 4789 03:05:06,880 --> 03:05:08,319 can't afford to pay the people that I 4790 03:05:08,319 --> 03:05:10,479 pay. Just like just being really like 4791 03:05:10,479 --> 03:05:14,399 straight up with you guys. um like and 4792 03:05:14,399 --> 03:05:15,439 we did it that way so that we could 4793 03:05:15,439 --> 03:05:16,880 incentivize people who wanted to donate 4794 03:05:16,880 --> 03:05:18,399 more. So I have to keep it that way. I'm 4795 03:05:18,399 --> 03:05:19,920 not going to have a a group for one and 4796 03:05:19,920 --> 03:05:21,120 then a group for another. It doesn't 4797 03:05:21,120 --> 03:05:23,279 make sense. Um hopefully that should be 4798 03:05:23,279 --> 03:05:27,439 obvious. Um otherwise I appreciate you 4799 03:05:27,439 --> 03:05:29,200 guys and it's just it's a it's a huge 4800 03:05:29,200 --> 03:05:32,080 amount of work. Um like I'll say it 4801 03:05:32,080 --> 03:05:34,240 differently. If I wanted to have 4802 03:05:34,240 --> 03:05:35,680 something where just like everyone just 4803 03:05:35,680 --> 03:05:38,000 goes in then like 4804 03:05:38,000 --> 03:05:39,520 there's like you could have a zillion 4805 03:05:39,520 --> 03:05:43,359 people you know somewhere. Um, we I you 4806 03:05:43,359 --> 03:05:44,960 saw the amount of staffing I put into 4807 03:05:44,960 --> 03:05:47,439 this was because like I want to deliver. 4808 03:05:47,439 --> 03:05:49,680 Um, and transparently I think for that 4809 03:05:49,680 --> 03:05:51,840 level of access I probably could charge 4810 03:05:51,840 --> 03:05:53,760 $100,000. 4811 03:05:53,760 --> 03:05:55,600 The only reason this is priced at 4812 03:05:55,600 --> 03:05:58,800 $18,000 and $3,000 down is because at 4813 03:05:58,800 --> 03:06:01,439 the launch I couldn't facilitate 4814 03:06:01,439 --> 03:06:02,960 uh phone like I couldn't facilitate that 4815 03:06:02,960 --> 03:06:04,000 many phone sales, right? I mean 4816 03:06:04,000 --> 03:06:05,120 obviously we had as many people as we 4817 03:06:05,120 --> 03:06:06,399 could but like we couldn't we couldn't 4818 03:06:06,399 --> 03:06:08,399 take the take the volume. And so I had 4819 03:06:08,399 --> 03:06:09,840 to have it be at a price point that 4820 03:06:09,840 --> 03:06:11,200 people could just immediately say yes if 4821 03:06:11,200 --> 03:06:12,319 you guys would have like some behind the 4822 03:06:12,319 --> 03:06:15,520 curtain. Um but this is like this is 4823 03:06:15,520 --> 03:06:17,120 something that I would normally like we 4824 03:06:17,120 --> 03:06:20,000 charge $35,000 for one day 4825 03:06:20,000 --> 03:06:21,840 and it's not because it's about one day. 4826 03:06:21,840 --> 03:06:23,200 It's about how much is solving your 4827 03:06:23,200 --> 03:06:24,720 constraint worth. So if you're at 4828 03:06:24,720 --> 03:06:25,840 $500,000 a year and you know you could 4829 03:06:25,840 --> 03:06:27,040 be at a million dollar a year and 4830 03:06:27,040 --> 03:06:28,160 solving the constraints the difference 4831 03:06:28,160 --> 03:06:30,080 then $35,000 is nothing. I'm not saying 4832 03:06:30,080 --> 03:06:31,200 that's going to happen for you. I'm just 4833 03:06:31,200 --> 03:06:32,240 saying like that's how we think about 4834 03:06:32,240 --> 03:06:35,359 it. And so the question is less like 18 4835 03:06:35,359 --> 03:06:38,800 35 65 100,000. It's just what is the 4836 03:06:38,800 --> 03:06:39,840 likelihood that this thing can help me 4837 03:06:39,840 --> 03:06:42,000 solve my constraint. And so this gives 4838 03:06:42,000 --> 03:06:43,600 the most in-depth version of that I 4839 03:06:43,600 --> 03:06:45,600 possibly can, which is there are six 4840 03:06:45,600 --> 03:06:47,279 levels of constraints here. We do deep 4841 03:06:47,279 --> 03:06:48,560 dives on all of them using the stuff 4842 03:06:48,560 --> 03:06:51,359 that we know. And then in between you 4843 03:06:51,359 --> 03:06:53,279 can have access to me and the directors 4844 03:06:53,279 --> 03:06:56,240 are actually doing this in real time. Um 4845 03:06:56,240 --> 03:06:58,240 and obviously if you like are making any 4846 03:06:58,240 --> 03:07:01,359 amount of money the wealth workshop like 4847 03:07:01,359 --> 03:07:02,640 what are we talking about? What are we 4848 03:07:02,640 --> 03:07:04,479 even talking about? And so um that's 4849 03:07:04,479 --> 03:07:06,800 what we have that way. Okay. So with 4850 03:07:06,800 --> 03:07:09,359 that being said, uh there's 24 hours or 4851 03:07:09,359 --> 03:07:12,000 now whatever 23 and a half hours. Um 4852 03:07:12,000 --> 03:07:13,600 special thanks to everybody who's in uh 4853 03:07:13,600 --> 03:07:15,840 the ACQ scale advisory. Uh they're the 4854 03:07:15,840 --> 03:07:17,600 only reason. So that that little slide 4855 03:07:17,600 --> 03:07:19,200 thing that I just did I did this morning 4856 03:07:19,200 --> 03:07:22,000 in like 30 minutes because I just asked 4857 03:07:22,000 --> 03:07:23,520 them and I honestly was like I don't 4858 03:07:23,520 --> 03:07:25,120 know because some people might be like I 4859 03:07:25,120 --> 03:07:26,240 don't want them in and I've been like 4860 03:07:26,240 --> 03:07:28,399 okay. So I just kind of listen to um to 4861 03:07:28,399 --> 03:07:29,760 them. The reason it's 24 hours is 4862 03:07:29,760 --> 03:07:31,359 because I had 24 hours in September 1st 4863 03:07:31,359 --> 03:07:32,800 and they all the most of them selected 4864 03:07:32,800 --> 03:07:35,279 24 hours and so that's why it is. All 4865 03:07:35,279 --> 03:07:36,479 right. All right, with that being said, 4866 03:07:36,479 --> 03:07:38,000 uh let's rock and roll. Cool. I also got 4867 03:07:38,000 --> 03:07:39,920 a text from Cameron saying that you 4868 03:07:39,920 --> 03:07:41,680 figured out your constraint. So, thank 4869 03:07:41,680 --> 03:07:43,120 you Cameron. Appreciate it. Little 4870 03:07:43,120 --> 03:07:45,600 little boost. Um but yeah, so what I 4871 03:07:45,600 --> 03:07:48,080 want to do for this part four is we're 4872 03:07:48,080 --> 03:07:49,279 going to talk about playbooks by 4873 03:07:49,279 --> 03:07:51,040 business type number one. And then we're 4874 03:07:51,040 --> 03:07:52,880 just going to do real just 4875 03:07:52,880 --> 03:07:55,520 deconstrainings. Okay. 4876 03:07:55,520 --> 03:07:58,240 So, I want to start by kind of like 4877 03:07:58,240 --> 03:07:59,600 highlighting this point which is that 4878 03:07:59,600 --> 03:08:01,760 the thing that you need to do is hard, 4879 03:08:01,760 --> 03:08:03,920 right? Because if it were easy, you 4880 03:08:03,920 --> 03:08:05,200 would have already done it. Like we're 4881 03:08:05,200 --> 03:08:06,479 only constrained by the things that we 4882 03:08:06,479 --> 03:08:08,479 do not already know how to do. And so it 4883 03:08:08,479 --> 03:08:10,319 should seem obvious that if you don't 4884 03:08:10,319 --> 03:08:12,640 know how to do it, then it will feel 4885 03:08:12,640 --> 03:08:14,960 hard. But like if you think about when 4886 03:08:14,960 --> 03:08:16,399 you played a video game way back in the 4887 03:08:16,399 --> 03:08:18,319 past, right? When you get to a new level 4888 03:08:18,319 --> 03:08:19,520 you've never beaten before, you die a 4889 03:08:19,520 --> 03:08:20,399 bunch of times. You die a bunch of 4890 03:08:20,399 --> 03:08:21,920 times, then you figure it out. Now the 4891 03:08:21,920 --> 03:08:23,120 next time after you figure it out, you 4892 03:08:23,120 --> 03:08:24,160 play it, you don't even think about it. 4893 03:08:24,160 --> 03:08:25,359 You just go in the door, make a left, 4894 03:08:25,359 --> 03:08:26,640 fire two times at the guy, and keep 4895 03:08:26,640 --> 03:08:28,319 going, right? And it's because you have 4896 03:08:28,319 --> 03:08:30,319 no decisions to make. You know how to 4897 03:08:30,319 --> 03:08:33,120 beat the boss of that level, right? 4898 03:08:33,120 --> 03:08:36,800 And so it's the choice between two 4899 03:08:36,800 --> 03:08:38,240 apparently hard decisions, which is why 4900 03:08:38,240 --> 03:08:40,640 I think so many people get stuck, right? 4901 03:08:40,640 --> 03:08:43,520 It's between hard now or hard now and 4902 03:08:43,520 --> 03:08:46,399 later, right? And so when I frame it 4903 03:08:46,399 --> 03:08:47,680 that way, it makes it easier for me to 4904 03:08:47,680 --> 03:08:49,359 do the hard now thing because the other 4905 03:08:49,359 --> 03:08:51,120 thing is also still hard now and also 4906 03:08:51,120 --> 03:08:54,399 hard later. And so these um this will 4907 03:08:54,399 --> 03:08:55,920 seem familiar to some of the people 4908 03:08:55,920 --> 03:08:57,600 who've come to the the workshops in 4909 03:08:57,600 --> 03:08:59,359 person, but I think it's worth I think 4910 03:08:59,359 --> 03:09:03,279 it's worth highlighting this point. 4911 03:09:03,279 --> 03:09:05,840 So, 4912 03:09:05,840 --> 03:09:07,760 some of you guys have may have seen this 4913 03:09:07,760 --> 03:09:10,080 and if you have then this will just be a 4914 03:09:10,080 --> 03:09:13,840 reminder. Um, 4915 03:09:13,840 --> 03:09:17,120 and so this is a moniker of like common 4916 03:09:17,120 --> 03:09:19,680 um common sticking points that people 4917 03:09:19,680 --> 03:09:20,960 get into these kind of rock and hard 4918 03:09:20,960 --> 03:09:23,840 place scenarios. And so there are seven 4919 03:09:23,840 --> 03:09:25,600 of them that I have consistently seen 4920 03:09:25,600 --> 03:09:28,160 across businesses. The and I use ad 4921 03:09:28,160 --> 03:09:29,840 focus as like my own moniker. But the 4922 03:09:29,840 --> 03:09:31,760 first is avatar. And this is super 4923 03:09:31,760 --> 03:09:33,760 common in like the 1 to3 million range. 4924 03:09:33,760 --> 03:09:34,720 Sometimes a little bit earlier, 4925 03:09:34,720 --> 03:09:36,000 sometimes later, but 1 to three million, 4926 03:09:36,000 --> 03:09:37,279 it's like ripe for that. So if that's 4927 03:09:37,279 --> 03:09:40,319 you, this is pay attention. Um, but an 4928 03:09:40,319 --> 03:09:42,240 avatar issue is you're unclear on who 4929 03:09:42,240 --> 03:09:43,600 you want to serve. You've got some 4930 03:09:43,600 --> 03:09:45,439 customers that are lower, some customers 4931 03:09:45,439 --> 03:09:47,040 that are higher. You usually like the 4932 03:09:47,040 --> 03:09:48,479 ones that are higher and don't like the 4933 03:09:48,479 --> 03:09:49,760 ones that are lower as much, but if you 4934 03:09:49,760 --> 03:09:50,800 stop selling the ones that are lower, 4935 03:09:50,800 --> 03:09:52,399 you won't be able to payroll. So you're 4936 03:09:52,399 --> 03:09:54,160 not sure what to do, right? But the 4937 03:09:54,160 --> 03:09:56,000 strategic decision is which of these 4938 03:09:56,000 --> 03:09:57,040 customers do I think I can provide the 4939 03:09:57,040 --> 03:09:59,840 most value to? and how should I price 4940 03:09:59,840 --> 03:10:01,680 exclusively for this new avatar? Because 4941 03:10:01,680 --> 03:10:03,439 what typically happens is you've got a 4942 03:10:03,439 --> 03:10:05,120 high avatar and you've got a low avatar 4943 03:10:05,120 --> 03:10:06,880 and then you end up pricing if this were 4944 03:10:06,880 --> 03:10:08,319 like a line here, you end up pricing 4945 03:10:08,319 --> 03:10:10,720 somewhere around here. And that's the 4946 03:10:10,720 --> 03:10:12,640 issue because if you only serve this 4947 03:10:12,640 --> 03:10:14,080 high avatar, you could be pricing here. 4948 03:10:14,080 --> 03:10:16,000 So even if you had this drop in volume, 4949 03:10:16,000 --> 03:10:17,359 you'd be able to make up for it in 4950 03:10:17,359 --> 03:10:20,080 pricing power and then as by by 4951 03:10:20,080 --> 03:10:21,439 extension be able to make up your 4952 03:10:21,439 --> 03:10:23,840 profit. And so this is just one of the 4953 03:10:23,840 --> 03:10:25,520 seven issues. So right now, if you're 4954 03:10:25,520 --> 03:10:27,040 somebody who's like, I'm not sure which 4955 03:10:27,040 --> 03:10:28,880 customer I should go after, you're going 4956 03:10:28,880 --> 03:10:30,399 to look at this and you're going to want 4957 03:10:30,399 --> 03:10:31,760 to look at this next piece, which is 4958 03:10:31,760 --> 03:10:34,160 your LTV to CAC. 4959 03:10:34,160 --> 03:10:36,240 So I look at LTV to CAC for the cheaper 4960 03:10:36,240 --> 03:10:37,680 customer, LTV to CAC for the higher 4961 03:10:37,680 --> 03:10:39,200 customer. If LTV to CAC for the higher 4962 03:10:39,200 --> 03:10:40,720 customer is better, I then ask the 4963 03:10:40,720 --> 03:10:43,120 question, how can I do more of this so 4964 03:10:43,120 --> 03:10:45,520 that I can make up for my loss in in 4965 03:10:45,520 --> 03:10:47,920 low, right? And by doing that, I can 4966 03:10:47,920 --> 03:10:51,520 then re uh recolor or reshift the 4967 03:10:51,520 --> 03:10:52,880 percentage of customers I have in the 4968 03:10:52,880 --> 03:10:56,080 base to be these high high caliber 4969 03:10:56,080 --> 03:10:58,240 people. So that's number one. The next 4970 03:10:58,240 --> 03:10:59,760 is data which we talked about earlier, 4971 03:10:59,760 --> 03:11:01,359 right? These are the metrics. If you 4972 03:11:01,359 --> 03:11:02,560 don't have the metrics in your business, 4973 03:11:02,560 --> 03:11:04,640 you're like, well, I can't afford to go, 4974 03:11:04,640 --> 03:11:06,080 you know, get the metrics or make this 4975 03:11:06,080 --> 03:11:08,000 decision, but I can't afford not to make 4976 03:11:08,000 --> 03:11:09,920 this decision. So one, you have to be 4977 03:11:09,920 --> 03:11:11,359 able to operate on incomplete data. Two, 4978 03:11:11,359 --> 03:11:12,319 you want to think about directional 4979 03:11:12,319 --> 03:11:14,720 rather than absolute. And then three, if 4980 03:11:14,720 --> 03:11:16,240 you have a way of getting the data, then 4981 03:11:16,240 --> 03:11:17,840 that becomes your priority. Maybe that 4982 03:11:17,840 --> 03:11:19,279 means that you don't grow for a quarter, 4983 03:11:19,279 --> 03:11:20,560 but you have the data so you can grow 4984 03:11:20,560 --> 03:11:22,960 for the next three. 4985 03:11:22,960 --> 03:11:25,200 The next is focus. Now, this one I have 4986 03:11:25,200 --> 03:11:27,200 not mentioned at all at this point, but 4987 03:11:27,200 --> 03:11:29,680 is one of the the biggest ones. All 4988 03:11:29,680 --> 03:11:31,600 right, which is it's super common when 4989 03:11:31,600 --> 03:11:32,720 you're an entrepreneur. In the 4990 03:11:32,720 --> 03:11:34,000 beginning, you quit your job, you quit 4991 03:11:34,000 --> 03:11:34,960 your whatever, and then you start 4992 03:11:34,960 --> 03:11:36,000 something on your own. You take that one 4993 03:11:36,000 --> 03:11:37,680 big jump, and it's so rewarding because 4994 03:11:37,680 --> 03:11:38,800 you're still here. You're still in the 4995 03:11:38,800 --> 03:11:40,399 game. And so, if you've made that jump, 4996 03:11:40,399 --> 03:11:41,600 then what happens? you get this really 4997 03:11:41,600 --> 03:11:43,120 good reinforcement loop on a bad 4998 03:11:43,120 --> 03:11:44,800 behavior, which is jumping ship and 4999 03:11:44,800 --> 03:11:46,160 starting something new. That's what it 5000 03:11:46,160 --> 03:11:48,000 reinforces. Which is why it's my belief 5001 03:11:48,000 --> 03:11:49,200 that so many entrepreneurs are so 5002 03:11:49,200 --> 03:11:51,200 addicted to starting new things. You've 5003 03:11:51,200 --> 03:11:54,680 probably seen 5004 03:11:57,600 --> 03:12:03,479 this outline of mine. Oops. One more. 5005 03:12:03,840 --> 03:12:05,279 Okay. So, you've probably seen this 5006 03:12:05,279 --> 03:12:09,040 outline of mine that looks like this. 5007 03:12:09,040 --> 03:12:14,120 So you've got your uninformed optimism 5008 03:12:15,279 --> 03:12:18,720 and then you've got your 5009 03:12:18,720 --> 03:12:22,279 informed pessimism. 5010 03:12:23,840 --> 03:12:27,960 You've got your valley of despair. 5011 03:12:32,560 --> 03:12:34,720 Then you've got informed 5012 03:12:34,720 --> 03:12:36,560 optimism. 5013 03:12:36,560 --> 03:12:41,479 And then you've got achievement. 5014 03:12:43,840 --> 03:12:46,080 All right. So these are kind of like the 5015 03:12:46,080 --> 03:12:47,920 five stages that that happen in 5016 03:12:47,920 --> 03:12:50,160 entrepreneurship. But the problem is so 5017 03:12:50,160 --> 03:12:52,560 many people just repeat one, you know, 5018 03:12:52,560 --> 03:12:56,240 one, two, three over and over and over 5019 03:12:56,240 --> 03:12:57,600 again. They get to the value to spare 5020 03:12:57,600 --> 03:12:58,720 and then they say, you know what, 5021 03:12:58,720 --> 03:12:59,920 there's this other thing that looks 5022 03:12:59,920 --> 03:13:01,680 interesting. Let me ride that ride 5023 03:13:01,680 --> 03:13:03,279 again. And so they keep going over and 5024 03:13:03,279 --> 03:13:05,040 over again. And so what happens is right 5025 03:13:05,040 --> 03:13:06,880 now, I remember I had a lady who came 5026 03:13:06,880 --> 03:13:09,520 who was uh who had a yoga studio and a 5027 03:13:09,520 --> 03:13:12,920 chocolate factory. 5028 03:13:13,200 --> 03:13:14,880 If you're on here, I love you. I I don't 5029 03:13:14,880 --> 03:13:15,920 I don't want to I don't want you to feel 5030 03:13:15,920 --> 03:13:18,080 bad. Um but like it was one of the most 5031 03:13:18,080 --> 03:13:20,240 hilarious like I'm building a platform. 5032 03:13:20,240 --> 03:13:22,560 It's like I love you and I believe you. 5033 03:13:22,560 --> 03:13:26,399 Um but the thing is this is that you 5034 03:13:26,399 --> 03:13:28,800 have some crazy reason why you think 5035 03:13:28,800 --> 03:13:30,160 that you should have two completely 5036 03:13:30,160 --> 03:13:33,399 different businesses. 5037 03:13:33,600 --> 03:13:36,399 You probably shouldn't because it's hard 5038 03:13:36,399 --> 03:13:38,720 enough to do one and try to make two win 5039 03:13:38,720 --> 03:13:40,399 is near impossible because you're 5040 03:13:40,399 --> 03:13:41,359 basically just taking all the 5041 03:13:41,359 --> 03:13:43,520 horsepower, all your mental brain power, 5042 03:13:43,520 --> 03:13:45,680 all your spare time, all your talent 5043 03:13:45,680 --> 03:13:48,640 between both companies and splitting it. 5044 03:13:48,640 --> 03:13:50,640 When what happens is if you concentrate 5045 03:13:50,640 --> 03:13:52,399 all of that attention, all of those 5046 03:13:52,399 --> 03:13:54,080 resources, all of that talent, all of 5047 03:13:54,080 --> 03:13:56,960 your money on one opportunity, like I 5048 03:13:56,960 --> 03:13:58,319 talked about earlier, 1 million, 10 5049 03:13:58,319 --> 03:13:59,520 million, 100 million, almost all 5050 03:13:59,520 --> 03:14:01,120 opportunities can get to 100 million. 5051 03:14:01,120 --> 03:14:02,960 And so if you're not there, it's not 5052 03:14:02,960 --> 03:14:04,080 moving fast enough, it's usually because 5053 03:14:04,080 --> 03:14:05,439 you have too much going on. You can't go 5054 03:14:05,439 --> 03:14:07,120 deep enough with anything. Right? If 5055 03:14:07,120 --> 03:14:09,520 you've ever done this, if you've ever 5056 03:14:09,520 --> 03:14:10,640 cut things out of your life and you're 5057 03:14:10,640 --> 03:14:12,319 like, "Wow, I feel so much better. Man, 5058 03:14:12,319 --> 03:14:13,840 I feel so much smarter. I feel like I 5059 03:14:13,840 --> 03:14:15,439 can solve these problems that were once 5060 03:14:15,439 --> 03:14:17,120 seemingly impossible. I can now solve 5061 03:14:17,120 --> 03:14:18,319 them really easily." It's because you 5062 03:14:18,319 --> 03:14:20,000 have bandwidth, right? You literally can 5063 03:14:20,000 --> 03:14:21,760 just think through the second and third 5064 03:14:21,760 --> 03:14:23,439 order consequences deeper on each 5065 03:14:23,439 --> 03:14:26,239 business. And so right now, one of the 5066 03:14:26,239 --> 03:14:27,600 big strategic issues that comes up is 5067 03:14:27,600 --> 03:14:29,120 that you simply have too many things 5068 03:14:29,120 --> 03:14:30,880 that you're pursuing. 5069 03:14:30,880 --> 03:14:33,359 So, what's the hard hard now versus hard 5070 03:14:33,359 --> 03:14:34,880 later? You're going to have to make the 5071 03:14:34,880 --> 03:14:36,800 hard call and pick the baby that you 5072 03:14:36,800 --> 03:14:39,680 want to keep. Little Sophie's choice. It 5073 03:14:39,680 --> 03:14:41,840 sucks. And I only say this to somebody 5074 03:14:41,840 --> 03:14:43,439 who has struggled with this one more 5075 03:14:43,439 --> 03:14:46,479 than any of the others of the seven. And 5076 03:14:46,479 --> 03:14:49,040 it's so painstakingly difficult. Um, 5077 03:14:49,040 --> 03:14:50,960 I'll tell you a little Well, we're all 5078 03:14:50,960 --> 03:14:52,319 here. We're all hanging out. Let's just 5079 03:14:52,319 --> 03:14:54,160 do it. So, I'll tell you how to get over 5080 03:14:54,160 --> 03:14:56,720 this because I think entrepreneurs more 5081 03:14:56,720 --> 03:14:59,200 than just about anyone are super add. 5082 03:14:59,200 --> 03:15:01,040 And so if you have this creative mojo, 5083 03:15:01,040 --> 03:15:02,239 you've got this juice that you want to 5084 03:15:02,239 --> 03:15:04,319 get out, there's a reason that I write 5085 03:15:04,319 --> 03:15:08,080 books, it's not the best use of my time, 5086 03:15:08,080 --> 03:15:10,000 but there is a reason I do it. And the 5087 03:15:10,000 --> 03:15:12,800 main reason is because it gets out this 5088 03:15:12,800 --> 03:15:14,399 energy that I would otherwise be using 5089 03:15:14,399 --> 03:15:17,120 to break my business. The business runs 5090 03:15:17,120 --> 03:15:19,439 exceptionally well when it has this much 5091 03:15:19,439 --> 03:15:21,439 of me. If I'm there all the time, I 5092 03:15:21,439 --> 03:15:23,600 break too much stuff. So, which is why 5093 03:15:23,600 --> 03:15:24,720 it works well for me to like work with 5094 03:15:24,720 --> 03:15:26,399 companies like once a year because like 5095 03:15:26,399 --> 03:15:27,520 it's like here's all the stuff that'll 5096 03:15:27,520 --> 03:15:30,080 give you 12 months of work, right? Um, 5097 03:15:30,080 --> 03:15:31,680 but what are the divisions? If we think 5098 03:15:31,680 --> 03:15:33,920 about the divisions of a business, what 5099 03:15:33,920 --> 03:15:37,760 divisions benefit from 5100 03:15:37,760 --> 03:15:40,479 somebody who has lots of innovation, 5101 03:15:40,479 --> 03:15:42,640 right? Like, let's think about it. Which 5102 03:15:42,640 --> 03:15:45,680 one benefits the most? I'll give you a 5103 03:15:45,680 --> 03:15:48,880 hint. It rhymes with marketing. 5104 03:15:48,880 --> 03:15:51,200 And so, if you're like, man, I have 5105 03:15:51,200 --> 03:15:52,640 trouble focusing. I like doing lots of 5106 03:15:52,640 --> 03:15:54,080 different things. Then what I would 5107 03:15:54,080 --> 03:15:55,520 encourage you to do, and this is what 5108 03:15:55,520 --> 03:16:00,760 took me way too long to figure out, 5109 03:16:07,680 --> 03:16:09,600 one front door that leads to money, 5110 03:16:09,600 --> 03:16:11,680 which is your business. But if you want 5111 03:16:11,680 --> 03:16:14,399 to have lead magnet number one, lead, 5112 03:16:14,399 --> 03:16:16,800 you know, lead magnet number two, lead 5113 03:16:16,800 --> 03:16:19,200 magnet number three, uh, you know, 5114 03:16:19,200 --> 03:16:20,720 media, 5115 03:16:20,720 --> 03:16:25,359 um, you know, uh, content, 5116 03:16:25,359 --> 03:16:27,040 ads, 5117 03:16:27,040 --> 03:16:29,439 scaling, roadmap. I don't know if you 5118 03:16:29,439 --> 03:16:32,560 guys paid attention during the uh during 5119 03:16:32,560 --> 03:16:34,239 the the the money models uh, 5120 03:16:34,239 --> 03:16:36,319 presentation. Uh I was like if you guys 5121 03:16:36,319 --> 03:16:39,680 have gotten value from my free podcast, 5122 03:16:39,680 --> 03:16:43,120 free course, free event, free keynotes, 5123 03:16:43,120 --> 03:16:46,000 um free scaling roadmap, free books, 5124 03:16:46,000 --> 03:16:47,760 free audio book, like I had all the all 5125 03:16:47,760 --> 03:16:49,040 the different things and I free 5126 03:16:49,040 --> 03:16:51,439 newsletter. I was like my god, I do so 5127 03:16:51,439 --> 03:16:53,439 much stuff. And so the thing is it's 5128 03:16:53,439 --> 03:16:55,920 like I have so much juice that if I 5129 03:16:55,920 --> 03:16:58,479 don't squeeze the hell out of it, but I 5130 03:16:58,479 --> 03:17:00,239 have to squeeze it in a way that doesn't 5131 03:17:00,239 --> 03:17:02,560 break the business. Imagine all of that 5132 03:17:02,560 --> 03:17:04,239 horsepower. And this is what the earlier 5133 03:17:04,239 --> 03:17:05,600 part of my career was like. I would 5134 03:17:05,600 --> 03:17:07,520 literally take all of this and I'd be 5135 03:17:07,520 --> 03:17:09,279 like, "All right, we got a new sales 5136 03:17:09,279 --> 03:17:10,479 script. All right, we got we're building 5137 03:17:10,479 --> 03:17:11,840 another landing page. Hey, we're also 5138 03:17:11,840 --> 03:17:13,040 going to, you know, change this about 5139 03:17:13,040 --> 03:17:14,239 our delivery. Hey, we're also going to 5140 03:17:14,239 --> 03:17:16,000 be, you know, changing this on on the 5141 03:17:16,000 --> 03:17:17,439 back end over here. Oh, by the way, 5142 03:17:17,439 --> 03:17:18,960 finance, if you can redo, you know, the 5143 03:17:18,960 --> 03:17:20,399 way that you're reporting this stuff, 5144 03:17:20,399 --> 03:17:21,760 that'll be awesome." And I would just go 5145 03:17:21,760 --> 03:17:23,680 around like a Tasmanian bed devil just 5146 03:17:23,680 --> 03:17:26,160 breaking things, right? And so, no one 5147 03:17:26,160 --> 03:17:27,520 ever could breathe because I had 5148 03:17:27,520 --> 03:17:29,040 everyone buried underwater because it 5149 03:17:29,040 --> 03:17:30,160 takes two seconds for me to make a 5150 03:17:30,160 --> 03:17:31,359 directive. it takes two weeks for them 5151 03:17:31,359 --> 03:17:32,960 to to actually deliver on it. And I 5152 03:17:32,960 --> 03:17:34,640 could make commands and make directives 5153 03:17:34,640 --> 03:17:36,080 fast than people could do them, right? 5154 03:17:36,080 --> 03:17:38,239 And so you have to you have to pull back 5155 03:17:38,239 --> 03:17:39,760 and realize and I had that cost of 5156 03:17:39,760 --> 03:17:41,520 change thing was that like you have to 5157 03:17:41,520 --> 03:17:44,319 realize that some things will stay 5158 03:17:44,319 --> 03:17:46,160 imperfect. 5159 03:17:46,160 --> 03:17:49,680 But striving to constantly change things 5160 03:17:49,680 --> 03:17:52,080 does not make them more perfect. It 5161 03:17:52,080 --> 03:17:54,160 actually makes them more imperfect. And 5162 03:17:54,160 --> 03:17:55,680 took me a very long time to realize 5163 03:17:55,680 --> 03:17:57,840 that. And then eventually as Leila and I 5164 03:17:57,840 --> 03:17:59,200 learned to work together better and 5165 03:17:59,200 --> 03:18:01,200 better, it's like I just kept naturally 5166 03:18:01,200 --> 03:18:02,479 gravitating more and more to the front 5167 03:18:02,479 --> 03:18:03,920 of the business because I didn't hurt 5168 03:18:03,920 --> 03:18:06,560 the business when I made 17, believe it 5169 03:18:06,560 --> 03:18:08,560 or not, one of my first uh lead magnets 5170 03:18:08,560 --> 03:18:11,120 for gym launch was 17 money models uh 5171 03:18:11,120 --> 03:18:13,040 for for making gyms wly profitable. And 5172 03:18:13,040 --> 03:18:14,239 so it's just like these are the models 5173 03:18:14,239 --> 03:18:15,359 that we use to build, you know, 5174 03:18:15,359 --> 03:18:18,319 profitable gyms. I had nine profitable 5175 03:18:18,319 --> 03:18:19,359 frameworks. I had all these different, 5176 03:18:19,359 --> 03:18:20,560 you know, frameworks that I would use to 5177 03:18:20,560 --> 03:18:21,680 build gyms. And I'd write these 5178 03:18:21,680 --> 03:18:24,000 basically just full books. I mean like 5179 03:18:24,000 --> 03:18:26,640 my my lead magnets were like 120 pages. 5180 03:18:26,640 --> 03:18:29,760 Like they were full books. Um and I 5181 03:18:29,760 --> 03:18:31,200 would do these and that's why like 5182 03:18:31,200 --> 03:18:32,560 people would come in after consuming and 5183 03:18:32,560 --> 03:18:34,000 be like my god this isn't because I 5184 03:18:34,000 --> 03:18:35,680 would just pour my heart into it because 5185 03:18:35,680 --> 03:18:39,680 I have an overactive mind probably like 5186 03:18:39,680 --> 03:18:42,640 you do. And so I this might be one of 5187 03:18:42,640 --> 03:18:44,000 the bigger like for the right person 5188 03:18:44,000 --> 03:18:45,920 maybe like 5% of you this might change 5189 03:18:45,920 --> 03:18:47,920 your life. Like just realizing that you 5190 03:18:47,920 --> 03:18:50,239 take all your ADD and don't apply it to 5191 03:18:50,239 --> 03:18:51,439 your business apply it to your 5192 03:18:51,439 --> 03:18:54,160 marketing. Okay. 5193 03:18:54,160 --> 03:18:55,520 Oh, I didn't finish this. See, there's 5194 03:18:55,520 --> 03:18:57,920 my there's my example of ad. Okay. So, 5195 03:18:57,920 --> 03:18:59,439 so you got to pick your avatar. You got 5196 03:18:59,439 --> 03:19:00,319 to pick you got to make sure you're 5197 03:19:00,319 --> 03:19:02,000 getting your data. You have to focus and 5198 03:19:02,000 --> 03:19:03,760 kill kill the babies that sounds 5199 03:19:03,760 --> 03:19:05,200 aggressive. Kill kill kill the the 5200 03:19:05,200 --> 03:19:07,040 businesses that you uh that that are not 5201 03:19:07,040 --> 03:19:09,680 the main thing. Um, 5202 03:19:09,680 --> 03:19:11,359 by the way, the new business, the second 5203 03:19:11,359 --> 03:19:13,520 one, the one you started afterwards, 5204 03:19:13,520 --> 03:19:15,200 always seems like it's the one that has 5205 03:19:15,200 --> 03:19:17,439 more opportunity in it. That's why you 5206 03:19:17,439 --> 03:19:20,000 decided to do it. But that's also 5207 03:19:20,000 --> 03:19:23,520 probably not true because um the people 5208 03:19:23,520 --> 03:19:25,840 who are in there also know that there's 5209 03:19:25,840 --> 03:19:27,600 crap in that business too. You just 5210 03:19:27,600 --> 03:19:28,720 haven't figured it out yet because 5211 03:19:28,720 --> 03:19:31,279 you're on my little optimism trail. 5212 03:19:31,279 --> 03:19:33,680 You're like up here. Okay, the next one 5213 03:19:33,680 --> 03:19:38,120 is over uh overexpansion 5214 03:19:38,399 --> 03:19:40,080 which really just means undertalented. 5215 03:19:40,080 --> 03:19:44,279 So this is the uh supply constraint. 5216 03:19:45,120 --> 03:19:47,600 So, if you have one location and you 5217 03:19:47,600 --> 03:19:49,520 opened a second location and you're 5218 03:19:49,520 --> 03:19:51,359 like, "Okay, but now my two locations, 5219 03:19:51,359 --> 03:19:53,040 like I had one location that was here, I 5220 03:19:53,040 --> 03:19:55,279 opened a second one, both went down." 5221 03:19:55,279 --> 03:19:56,479 Then you say, "Okay, well, I cut my 5222 03:19:56,479 --> 03:19:58,080 profit in half between two, but now 5223 03:19:58,080 --> 03:19:59,760 what's the best decision? I should open 5224 03:19:59,760 --> 03:20:02,080 a third location, right? And it goes to 5225 03:20:02,080 --> 03:20:03,680 crap. Now you have three times the 5226 03:20:03,680 --> 03:20:05,359 liability and even less profit. No 5227 03:20:05,359 --> 03:20:07,120 bueno." So, it's not to say that you 5228 03:20:07,120 --> 03:20:08,399 shouldn't open locations, you shouldn't 5229 03:20:08,399 --> 03:20:09,520 expand. Of course, you should expand. 5230 03:20:09,520 --> 03:20:10,560 That's the goal if you're doing a good 5231 03:20:10,560 --> 03:20:11,520 job, right? You should expand the 5232 03:20:11,520 --> 03:20:13,439 business. But if you expand too fast, 5233 03:20:13,439 --> 03:20:14,880 it's not that you expand too fast, it's 5234 03:20:14,880 --> 03:20:16,319 that you had too little talent to 5235 03:20:16,319 --> 03:20:18,880 support you. And that's the thing is 5236 03:20:18,880 --> 03:20:20,640 that with one business, one location, 5237 03:20:20,640 --> 03:20:22,000 one smaller thing, you have more 5238 03:20:22,000 --> 03:20:23,840 coverage. As soon as you expand beyond 5239 03:20:23,840 --> 03:20:25,120 your purview, if you don't have other 5240 03:20:25,120 --> 03:20:28,080 people have good decision-making power 5241 03:20:28,080 --> 03:20:30,640 and ability, competence, 5242 03:20:30,640 --> 03:20:31,760 things will start falling through the 5243 03:20:31,760 --> 03:20:33,920 cracks. And so it's a people issue. And 5244 03:20:33,920 --> 03:20:35,520 so overexpansion just means that you 5245 03:20:35,520 --> 03:20:36,720 don't have enough good people. Now, this 5246 03:20:36,720 --> 03:20:38,160 is can be tough though because you're 5247 03:20:38,160 --> 03:20:39,439 like, "Well, now that I'm I've got these 5248 03:20:39,439 --> 03:20:40,720 two locations, I can't afford to bring 5249 03:20:40,720 --> 03:20:41,840 anyone else in because the performance 5250 03:20:41,840 --> 03:20:43,520 has dropped." So, you basically have one 5251 03:20:43,520 --> 03:20:45,600 of two options. Option one is that you 5252 03:20:45,600 --> 03:20:47,040 essentially just kill yourself. That 5253 03:20:47,040 --> 03:20:48,319 sounded aggressive. I mean, like kill 5254 03:20:48,319 --> 03:20:49,920 yourself working-wise. Like, you just 5255 03:20:49,920 --> 03:20:52,880 bury yourself to try and like, you know, 5256 03:20:52,880 --> 03:20:54,560 breathe life into this thing again and 5257 03:20:54,560 --> 03:20:56,399 work overtime at both to get them above 5258 03:20:56,399 --> 03:20:58,399 so that you can get the cash flow or you 5259 03:20:58,399 --> 03:20:59,840 just realize that you made a boo boo and 5260 03:20:59,840 --> 03:21:00,880 you might have to give up your profit 5261 03:21:00,880 --> 03:21:02,080 for six months to get somebody else in 5262 03:21:02,080 --> 03:21:03,279 who can manage it and then hopefully 5263 03:21:03,279 --> 03:21:05,359 they turn it up. But like this is why 5264 03:21:05,359 --> 03:21:06,960 business owners are paid more. We take 5265 03:21:06,960 --> 03:21:09,279 on more risk. Like that's like that's 5266 03:21:09,279 --> 03:21:10,399 why we get that's why we get the 5267 03:21:10,399 --> 03:21:12,160 paycheck when it works out, right? We 5268 03:21:12,160 --> 03:21:13,279 take on more risk than other people 5269 03:21:13,279 --> 03:21:15,920 other people do. So overexpansion, you 5270 03:21:15,920 --> 03:21:18,880 solve that by cutting losses, by 5271 03:21:18,880 --> 03:21:20,880 overworking yourself or by bringing 5272 03:21:20,880 --> 03:21:23,120 someone in and underprofiting. Those are 5273 03:21:23,120 --> 03:21:25,359 your options. 5274 03:21:25,359 --> 03:21:26,960 But if you don't do anything, you will 5275 03:21:26,960 --> 03:21:28,479 just stay there and eventually just like 5276 03:21:28,479 --> 03:21:29,840 burn out because you will make no money 5277 03:21:29,840 --> 03:21:30,960 and then you'll work like you'll be 5278 03:21:30,960 --> 03:21:32,000 working all the hours of the day and 5279 03:21:32,000 --> 03:21:33,840 literally just not make anything. I only 5280 03:21:33,840 --> 03:21:36,160 know that because I've done it. The next 5281 03:21:36,160 --> 03:21:40,080 one is um compensation. 5282 03:21:40,080 --> 03:21:41,840 So this one sometimes happens. I would 5283 03:21:41,840 --> 03:21:43,200 say this is the rarest of the list, but 5284 03:21:43,200 --> 03:21:44,640 if you're in this category, this applies 5285 03:21:44,640 --> 03:21:47,040 to you. Um 5286 03:21:47,040 --> 03:21:49,040 this can be over or under compensation. 5287 03:21:49,040 --> 03:21:50,399 So the HVAC, you know, thing that I was 5288 03:21:50,399 --> 03:21:51,920 telling saying earlier, if it's like, 5289 03:21:51,920 --> 03:21:53,680 man, you know, we can't we can't find 5290 03:21:53,680 --> 03:21:54,640 good talent. It's like, have you 5291 03:21:54,640 --> 03:21:57,120 considered paying more? like some of the 5292 03:21:57,120 --> 03:21:59,279 best returns I gotten by far is taking 5293 03:21:59,279 --> 03:22:01,120 whatever the market rate is and then 5294 03:22:01,120 --> 03:22:03,439 always paying top 10 percentile, top 5295 03:22:03,439 --> 03:22:07,040 eight, 15th percentile of uh of of roles 5296 03:22:07,040 --> 03:22:09,520 that are key lever points within the 5297 03:22:09,520 --> 03:22:11,840 business. And so to this day, I still 5298 03:22:11,840 --> 03:22:13,200 think some of the best value arbitrage 5299 03:22:13,200 --> 03:22:14,960 that exists is on talent always. I mean, 5300 03:22:14,960 --> 03:22:17,120 think about the reason that Zuck would 5301 03:22:17,120 --> 03:22:18,720 pay a hundred million signing bonuses 5302 03:22:18,720 --> 03:22:20,479 for AI because he believes the return is 5303 03:22:20,479 --> 03:22:22,080 there, right? And obviously the return 5304 03:22:22,080 --> 03:22:23,359 is there and he's done this a lot of 5305 03:22:23,359 --> 03:22:25,680 times, right? Now, on the flip side, uh, 5306 03:22:25,680 --> 03:22:26,800 so that's when you're not paying people 5307 03:22:26,800 --> 03:22:28,239 enough. On the other hand, you can also 5308 03:22:28,239 --> 03:22:29,680 pay people too much. If you have a 5309 03:22:29,680 --> 03:22:30,800 frozen yogurt store, you're not going to 5310 03:22:30,800 --> 03:22:32,080 be able to do profit shares to the front 5311 03:22:32,080 --> 03:22:33,279 front desk people. It's not going to 5312 03:22:33,279 --> 03:22:36,160 work, right? Um, and so we want to make 5313 03:22:36,160 --> 03:22:37,760 sure if you're like, okay, but if I were 5314 03:22:37,760 --> 03:22:39,760 to change this rockin hardplay scenario 5315 03:22:39,760 --> 03:22:41,279 if I'm going to change this compensation 5316 03:22:41,279 --> 03:22:44,080 structure, then I'm going to lose I'm 5317 03:22:44,080 --> 03:22:45,680 going to lose people, right? I might I 5318 03:22:45,680 --> 03:22:46,960 might lose some talent. So, I'll tell 5319 03:22:46,960 --> 03:22:49,359 you how to do this. So, the price raise 5320 03:22:49,359 --> 03:22:51,439 letter, 5321 03:22:51,439 --> 03:22:54,560 this guy, you guys all have it. Um, by 5322 03:22:54,560 --> 03:22:57,279 the way, banger, so good. But you can 5323 03:22:57,279 --> 03:22:59,439 use that same concept and apply it to 5324 03:22:59,439 --> 03:23:01,680 compensation. And so the way you do that 5325 03:23:01,680 --> 03:23:05,200 is you say, "Hey Sarah, uh, I know that 5326 03:23:05,200 --> 03:23:06,560 you came in and I said I would give you 5327 03:23:06,560 --> 03:23:08,000 50% of revenue that you're that you were 5328 03:23:08,000 --> 03:23:11,040 generating. So I owe it to you one to 5329 03:23:11,040 --> 03:23:12,720 apologize and I want to tell you why." 5330 03:23:12,720 --> 03:23:14,160 So, I told you that I was going to have 5331 03:23:14,160 --> 03:23:15,600 this big vision for how you could grow 5332 03:23:15,600 --> 03:23:17,600 your career here, have more opportunity. 5333 03:23:17,600 --> 03:23:19,040 But based on the current compensation 5334 03:23:19,040 --> 03:23:20,960 structure, this business will never grow 5335 03:23:20,960 --> 03:23:22,319 because there's just not enough capital 5336 03:23:22,319 --> 03:23:25,120 in order to to expand. And so, I owe it 5337 03:23:25,120 --> 03:23:26,640 to you and I owe it to everybody else in 5338 03:23:26,640 --> 03:23:28,319 this business to give this business and 5339 03:23:28,319 --> 03:23:30,319 our customers a shot so we can help more 5340 03:23:30,319 --> 03:23:32,479 people. And so, this is what we have to 5341 03:23:32,479 --> 03:23:34,319 do. The decisions already been made. I 5342 03:23:34,319 --> 03:23:35,600 have to change compensation and it has 5343 03:23:35,600 --> 03:23:37,359 to be like this. That being said, that 5344 03:23:37,359 --> 03:23:39,439 wasn't our original agreement. And so I 5345 03:23:39,439 --> 03:23:41,680 want to give you um you know three 5346 03:23:41,680 --> 03:23:44,479 months to think about it. Um or you 5347 03:23:44,479 --> 03:23:45,840 could say I want to give you you know a 5348 03:23:45,840 --> 03:23:47,520 week to think about it. This is what the 5349 03:23:47,520 --> 03:23:49,279 compensation would be going forward. Um 5350 03:23:49,279 --> 03:23:52,560 but then what we do is we say hey your 5351 03:23:52,560 --> 03:23:55,200 your uh price your compensation is going 5352 03:23:55,200 --> 03:23:57,760 to change in 90 days. All right. That 5353 03:23:57,760 --> 03:23:59,359 way they have a three-month runway and 5354 03:23:59,359 --> 03:24:00,880 then you also if they tell you the next 5355 03:24:00,880 --> 03:24:02,080 morning or two days later that they 5356 03:24:02,080 --> 03:24:03,920 don't want to do it, you also have three 5357 03:24:03,920 --> 03:24:05,760 months to go back fill them with 5358 03:24:05,760 --> 03:24:07,359 somebody that's cheaper. And if you do 5359 03:24:07,359 --> 03:24:08,880 it earlier, you can obviously, you know, 5360 03:24:08,880 --> 03:24:10,800 excuse them earlier if you want, or they 5361 03:24:10,800 --> 03:24:12,160 might just say, "It's okay." And I'll 5362 03:24:12,160 --> 03:24:14,000 say this, of the times I've had to do 5363 03:24:14,000 --> 03:24:16,720 it, I really have not lost many people 5364 03:24:16,720 --> 03:24:18,160 because most people are like, "I get it. 5365 03:24:18,160 --> 03:24:19,680 I did think it was a little bit rich." 5366 03:24:19,680 --> 03:24:20,640 You know what I mean? And they they kind 5367 03:24:20,640 --> 03:24:21,600 of get it. They're like, "This is a 5368 03:24:21,600 --> 03:24:22,640 little above market." Like, I'm not 5369 03:24:22,640 --> 03:24:23,600 going to say anything because I'll take 5370 03:24:23,600 --> 03:24:25,600 the money, but like I don't know when 5371 03:24:25,600 --> 03:24:28,000 the when the music's going to end. So 5372 03:24:28,000 --> 03:24:32,160 the next one is underpriced. Okay. 5373 03:24:32,160 --> 03:24:34,399 So underpriced 5374 03:24:34,399 --> 03:24:37,279 is god it's so like if I'm looking I'm 5375 03:24:37,279 --> 03:24:40,960 looking I'm looking at you guys right 5376 03:24:40,960 --> 03:24:43,359 I want to say at least 40% of you are 5377 03:24:43,359 --> 03:24:45,200 underpriced 5378 03:24:45,200 --> 03:24:47,200 and so taking to the natural extreme so 5379 03:24:47,200 --> 03:24:48,560 think about what a service business does 5380 03:24:48,560 --> 03:24:50,319 when it's when it's super super old and 5381 03:24:50,319 --> 03:24:53,200 has done well you can you can pretty 5382 03:24:53,200 --> 03:24:55,439 much draw a straight line between the 5383 03:24:55,439 --> 03:24:57,920 price of services this is with humans 5384 03:24:57,920 --> 03:25:00,800 right price of services um and the 5385 03:25:00,800 --> 03:25:02,080 experience and skill of the service 5386 03:25:02,080 --> 03:25:04,720 provider. So if you want to demonstrate 5387 03:25:04,720 --> 03:25:07,279 that you have more skill, you can know 5388 03:25:07,279 --> 03:25:10,000 by how much you charge because taking 5389 03:25:10,000 --> 03:25:11,279 the other natural extreme, if you did 5390 03:25:11,279 --> 03:25:12,640 everything you do for a dollar, you 5391 03:25:12,640 --> 03:25:14,319 would have pro hopefully you would have 5392 03:25:14,319 --> 03:25:15,840 a lot of people who take you up on it, 5393 03:25:15,840 --> 03:25:17,520 right? And then as you slowly keep doing 5394 03:25:17,520 --> 03:25:18,880 that, you'd be supply constraint, supply 5395 03:25:18,880 --> 03:25:20,000 constraint, supply constraint, 5396 03:25:20,000 --> 03:25:21,279 eventually you'd reach some point where 5397 03:25:21,279 --> 03:25:22,960 you'd be right at the equilibrium. 5398 03:25:22,960 --> 03:25:24,560 That's not the most profitable point in 5399 03:25:24,560 --> 03:25:27,279 the business because ideally you keep 5400 03:25:27,279 --> 03:25:28,960 having more demand and you keep being 5401 03:25:28,960 --> 03:25:31,200 able to keep driving that price up. And 5402 03:25:31,200 --> 03:25:33,279 so that is where the brand loop of you 5403 03:25:33,279 --> 03:25:35,520 doing a good job, people telling people, 5404 03:25:35,520 --> 03:25:38,319 continues to spin. And so you want to be 5405 03:25:38,319 --> 03:25:40,560 always driving price up because it means 5406 03:25:40,560 --> 03:25:41,840 you're doing a good job. It's an 5407 03:25:41,840 --> 03:25:44,319 indicator that that quality has 5408 03:25:44,319 --> 03:25:47,040 sustained at each at each increment in 5409 03:25:47,040 --> 03:25:49,120 in value creation. And so most of you, 5410 03:25:49,120 --> 03:25:51,600 that's why pricing is such a big one. 5411 03:25:51,600 --> 03:25:52,960 I'll actually I'll read you what what 5412 03:25:52,960 --> 03:25:54,800 Cameron texted me. He's my friend from 5413 03:25:54,800 --> 03:25:57,680 from elementary school. And uh he we 5414 03:25:57,680 --> 03:26:00,239 called up on him on um uh during the 5415 03:26:00,239 --> 03:26:02,080 live. So he said uh this is such an 5416 03:26:02,080 --> 03:26:03,439 amazing workshop already helped me so 5417 03:26:03,439 --> 03:26:04,880 much in actually understanding my 5418 03:26:04,880 --> 03:26:06,479 constraints. I was sitting here thinking 5419 03:26:06,479 --> 03:26:08,800 I have a manpower constraint but really 5420 03:26:08,800 --> 03:26:10,319 my current biggest constraint is cash 5421 03:26:10,319 --> 03:26:12,880 flow. If I fix that then I'll have the 5422 03:26:12,880 --> 03:26:15,200 cash to better attract top talent. 5423 03:26:15,200 --> 03:26:16,720 Right? And that's the point is that like 5424 03:26:16,720 --> 03:26:19,040 it's sometimes it's several orders or 5425 03:26:19,040 --> 03:26:20,960 several steps they have to reverse 5426 03:26:20,960 --> 03:26:22,319 engineer to get to how you actually 5427 03:26:22,319 --> 03:26:24,319 solve the problem rather than what the 5428 03:26:24,319 --> 03:26:26,720 problem is. Right? And so the the profit 5429 03:26:26,720 --> 03:26:28,560 playbooks will help you with that. Um, 5430 03:26:28,560 --> 03:26:30,479 and that's why like it's there's three 5431 03:26:30,479 --> 03:26:32,000 playbooks just around pricing because 5432 03:26:32,000 --> 03:26:34,319 it's such a powerful lever. Um, and then 5433 03:26:34,319 --> 03:26:36,160 this one 5434 03:26:36,160 --> 03:26:39,520 is single product. So, this basically 5435 03:26:39,520 --> 03:26:40,800 just means that you have insufficient 5436 03:26:40,800 --> 03:26:44,880 LTV, but you're unwilling um to add an 5437 03:26:44,880 --> 03:26:46,720 additional upsell or additional thing. 5438 03:26:46,720 --> 03:26:47,840 So, it's like, hey, we're, you know, 5439 03:26:47,840 --> 03:26:50,880 we're selling customers um and but our 5440 03:26:50,880 --> 03:26:52,560 our margins continue to compress 5441 03:26:52,560 --> 03:26:54,160 compress compress compress compress 5442 03:26:54,160 --> 03:26:55,920 right now. And so it means that you have 5443 03:26:55,920 --> 03:26:58,000 to have an increase in LTV, right? 5444 03:26:58,000 --> 03:26:59,920 Because the cost of leads will always 5445 03:26:59,920 --> 03:27:01,439 only go one direction, which is up. So 5446 03:27:01,439 --> 03:27:04,560 think about this. 5447 03:27:04,560 --> 03:27:06,640 If you're making content, the first 5448 03:27:06,640 --> 03:27:08,399 people that ever join your world when 5449 03:27:08,399 --> 03:27:09,920 you're an early content creator are 5450 03:27:09,920 --> 03:27:11,120 going to be the people who are the most 5451 03:27:11,120 --> 03:27:12,800 interested in this stuff, right? Because 5452 03:27:12,800 --> 03:27:14,560 you aren't that good at making content 5453 03:27:14,560 --> 03:27:16,319 and it's super early in the algorithm 5454 03:27:16,319 --> 03:27:17,920 for their, you know, displaying your 5455 03:27:17,920 --> 03:27:20,000 stuff and they bought in, right? If 5456 03:27:20,000 --> 03:27:22,080 you're running ads, the first people 5457 03:27:22,080 --> 03:27:23,680 that a ad platform is going to show your 5458 03:27:23,680 --> 03:27:25,520 ads to are the most likely to convert 5459 03:27:25,520 --> 03:27:27,359 because that they can only do it at that 5460 03:27:27,359 --> 03:27:29,120 level of spend. And the higher up your 5461 03:27:29,120 --> 03:27:30,640 spend goes, the colder and colder the 5462 03:27:30,640 --> 03:27:32,319 audiences are, the lower and lower the 5463 03:27:32,319 --> 03:27:34,399 conversion is, right? Which is why you 5464 03:27:34,399 --> 03:27:37,680 can only achieve tremendous scale with 5465 03:27:37,680 --> 03:27:40,239 spend. when you have a tremendous money 5466 03:27:40,239 --> 03:27:43,120 model that can still monetize a much 5467 03:27:43,120 --> 03:27:46,560 broader and colder base or you have a 5468 03:27:46,560 --> 03:27:48,880 brand that just has a massive warm 5469 03:27:48,880 --> 03:27:50,800 audience you've already provided value 5470 03:27:50,800 --> 03:27:52,640 to, right? So, you either expand your 5471 03:27:52,640 --> 03:27:54,399 warm audience or you find a way to 5472 03:27:54,399 --> 03:27:56,960 monetize warm cold audience better. But 5473 03:27:56,960 --> 03:27:59,520 in either of those scenarios, typically 5474 03:27:59,520 --> 03:28:01,200 what happens is your margins continue to 5475 03:28:01,200 --> 03:28:02,800 impress and you keep trying to hope that 5476 03:28:02,800 --> 03:28:04,000 you could go back to your old customer 5477 03:28:04,000 --> 03:28:05,680 acquisition cost, but you can't because 5478 03:28:05,680 --> 03:28:07,760 cost of acquisition only goes up. it 5479 03:28:07,760 --> 03:28:09,760 literally only goes up. So the best 5480 03:28:09,760 --> 03:28:11,040 deals you're ever going to get on 5481 03:28:11,040 --> 03:28:12,560 getting customers, unless you know, 5482 03:28:12,560 --> 03:28:14,000 barring you have some major issues with 5483 03:28:14,000 --> 03:28:15,680 how you acquire customers, is going to 5484 03:28:15,680 --> 03:28:18,319 be now. So really think about that. And 5485 03:28:18,319 --> 03:28:20,239 so if you have a single product, 5486 03:28:20,239 --> 03:28:21,680 sometimes it's time to just create the 5487 03:28:21,680 --> 03:28:23,920 upsell. And when you're like, what is my 5488 03:28:23,920 --> 03:28:25,359 upsell going to be? I'll give you a rule 5489 03:28:25,359 --> 03:28:28,880 of thumb for my upsells, but typically 5490 03:28:28,880 --> 03:28:31,200 so this this launch was an exception to 5491 03:28:31,200 --> 03:28:33,680 that mostly because uh logistics of of 5492 03:28:33,680 --> 03:28:35,359 doing payment was difficult with the 5493 03:28:35,359 --> 03:28:39,520 volume. But typically I I go 5x 5494 03:28:39,520 --> 03:28:40,960 and the reason for that so the 5495 03:28:40,960 --> 03:28:42,800 appropriate price for like scale 5496 03:28:42,800 --> 03:28:45,200 advisory should be like if I were to 5497 03:28:45,200 --> 03:28:46,960 just do normal pricing should be between 5498 03:28:46,960 --> 03:28:49,120 30 and 36,000. That would be the correct 5499 03:28:49,120 --> 03:28:51,920 price for it. It's 18. the correct price 5500 03:28:51,920 --> 03:28:54,080 for it is because typically 20% of 5501 03:28:54,080 --> 03:28:55,760 customers 5502 03:28:55,760 --> 03:28:57,840 will take something that's five times as 5503 03:28:57,840 --> 03:29:00,160 expensive because customers tend to be 5504 03:29:00,160 --> 03:29:02,800 fractal 8020. And so if 20% of your 5505 03:29:02,800 --> 03:29:04,080 customers are willing and able to spend 5506 03:29:04,080 --> 03:29:05,920 five times more, then it means that with 5507 03:29:05,920 --> 03:29:08,399 each additional upsell or service that 5508 03:29:08,399 --> 03:29:11,040 you add to a continuum, then you double 5509 03:29:11,040 --> 03:29:12,560 revenue with each of them. All right, so 5510 03:29:12,560 --> 03:29:14,160 I'll do the math real quick. Is this 5511 03:29:14,160 --> 03:29:15,760 cool? I like this stuff I like geek out 5512 03:29:15,760 --> 03:29:17,120 on. 5513 03:29:17,120 --> 03:29:20,120 Okay. 5514 03:29:20,160 --> 03:29:24,479 So, let's say you sell um 100 people 5515 03:29:24,479 --> 03:29:27,040 at $100. 5516 03:29:27,040 --> 03:29:30,920 Cool. So, you've got $10,000. 5517 03:29:32,000 --> 03:29:37,319 Okay. Now, we have an upsell that 20% 5518 03:29:37,600 --> 03:29:40,720 take. So, we got 20 people and we're 5519 03:29:40,720 --> 03:29:44,920 doing five times the price. Remember 5520 03:29:49,439 --> 03:29:51,120 And here we could say, you know what, we 5521 03:29:51,120 --> 03:29:55,359 also have another thing that's 5522 03:29:55,359 --> 03:29:58,640 $2,500 that we expect 20%. So four 5523 03:29:58,640 --> 03:30:02,279 people are going to take that. 5524 03:30:06,000 --> 03:30:09,800 So we go from $10,000, 5525 03:30:10,399 --> 03:30:12,960 here's the cool part, to $30,000 in 5526 03:30:12,960 --> 03:30:14,800 revenue. 5527 03:30:14,800 --> 03:30:16,960 But this is the sexiest part of all. 5528 03:30:16,960 --> 03:30:20,560 This is for servicing a 100 customers. 5529 03:30:20,560 --> 03:30:24,760 This is for servicing 5530 03:30:25,120 --> 03:30:28,080 124 customers because all we do is we 5531 03:30:28,080 --> 03:30:32,160 add this 20 and this four. We triple the 5532 03:30:32,160 --> 03:30:34,640 business. 5533 03:30:34,640 --> 03:30:38,399 So that's how you solve one of these. 5534 03:30:38,399 --> 03:30:40,800 Okay. Is that cool? I think it's I think 5535 03:30:40,800 --> 03:30:42,720 this stuff's cool. like this stuff like 5536 03:30:42,720 --> 03:30:44,319 when I understood this part of like this 5537 03:30:44,319 --> 03:30:46,239 is how pricing to like this is how I do 5538 03:30:46,239 --> 03:30:49,120 pricing um is you reverse engineer to 5539 03:30:49,120 --> 03:30:52,080 the willingness to pay of the avatar you 5540 03:30:52,080 --> 03:30:54,160 have rather than trying to say well it 5541 03:30:54,160 --> 03:30:56,080 cost me this much like it's cost plus 5542 03:30:56,080 --> 03:30:57,520 pricing is not how you price things you 5543 03:30:57,520 --> 03:31:00,720 price things by willingness to pay. 5544 03:31:00,720 --> 03:31:02,960 Okay, so let's get really tactical. 5545 03:31:02,960 --> 03:31:05,760 Hopefully that was good. Um ad focus is 5546 03:31:05,760 --> 03:31:06,960 these are seven of the most common 5547 03:31:06,960 --> 03:31:09,439 things that people get stuck on. Um, if 5548 03:31:09,439 --> 03:31:10,880 any of those, I'm sure more than one of 5549 03:31:10,880 --> 03:31:12,319 you guys, you know, resonated with one 5550 03:31:12,319 --> 03:31:14,080 of those things. Make the hard call, 5551 03:31:14,080 --> 03:31:16,080 make the decision, debottleneck the 5552 03:31:16,080 --> 03:31:18,800 business. Okay. Now, I want to talk 5553 03:31:18,800 --> 03:31:21,600 about a couple of the more common kind 5554 03:31:21,600 --> 03:31:24,239 of playbooks. Okay. So, this is more 5555 03:31:24,239 --> 03:31:26,720 just like me observing a lot of 5556 03:31:26,720 --> 03:31:29,520 different businesses over the years. And 5557 03:31:29,520 --> 03:31:33,279 so, um, like people behave in patterns 5558 03:31:33,279 --> 03:31:34,800 and they typically come in with similar 5559 03:31:34,800 --> 03:31:36,479 skill sets and similar personalities. So 5560 03:31:36,479 --> 03:31:38,399 like there's people who are good at you 5561 03:31:38,399 --> 03:31:40,399 know like Instagram which typically have 5562 03:31:40,399 --> 03:31:41,600 a little bit of a different personality 5563 03:31:41,600 --> 03:31:42,479 than people who are like really good 5564 03:31:42,479 --> 03:31:43,600 YouTubers which are different than like 5565 03:31:43,600 --> 03:31:44,720 the big live streamers. Now of course 5566 03:31:44,720 --> 03:31:45,760 there's people who just like learn how 5567 03:31:45,760 --> 03:31:47,120 to do everything but people who are 5568 03:31:47,120 --> 03:31:48,800 attracted to one or the other tend to 5569 03:31:48,800 --> 03:31:50,720 have different kind of like psychoraphs 5570 03:31:50,720 --> 03:31:52,479 and as a result they approach problems 5571 03:31:52,479 --> 03:31:53,920 in similar ways which means they 5572 03:31:53,920 --> 03:31:55,680 typically have similar problems and are 5573 03:31:55,680 --> 03:31:58,000 constrained by the same things. And so I 5574 03:31:58,000 --> 03:31:59,359 want to give you a couple of examples 5575 03:31:59,359 --> 03:32:01,040 that I think represent kind of like with 5576 03:32:01,040 --> 03:32:03,600 broad brush strokes many of you. Um and 5577 03:32:03,600 --> 03:32:05,840 so let's talk about the influencer 5578 03:32:05,840 --> 03:32:07,920 playbook. So if you can can we do a 5579 03:32:07,920 --> 03:32:10,399 poll? Is that possible? 5580 03:32:10,399 --> 03:32:12,560 Can we do a poll? 5581 03:32:12,560 --> 03:32:14,399 If we can't do a poll, you can just say 5582 03:32:14,399 --> 03:32:17,359 it in the chat. Oh, do I need to talk a 5583 03:32:17,359 --> 03:32:20,520 little faster? 5584 03:32:20,800 --> 03:32:22,239 I can talk faster if you want me to talk 5585 03:32:22,239 --> 03:32:24,399 faster. Okay. 5586 03:32:24,399 --> 03:32:25,760 So, part of the reason, by the way, that 5587 03:32:25,760 --> 03:32:28,239 I um that I that I put words on the 5588 03:32:28,239 --> 03:32:32,160 slides for uh my presentations um as 5589 03:32:32,160 --> 03:32:34,560 much as I can is because it it slows 5590 03:32:34,560 --> 03:32:39,600 down my cadence. Um which is better, but 5591 03:32:39,600 --> 03:32:42,160 I'm flawed. Okay, so influencer 5592 03:32:42,160 --> 03:32:45,600 playbook. Um let's let's rock here. I 5593 03:32:45,600 --> 03:32:46,720 wanted So, I'll tell you what the poll 5594 03:32:46,720 --> 03:32:47,760 was going to be. The poll is just going 5595 03:32:47,760 --> 03:32:51,840 to be uh how how many of you guys use 5596 03:32:51,840 --> 03:32:54,560 organic as your method for getting 5597 03:32:54,560 --> 03:32:57,200 customers? So, how many of you guys I 5598 03:32:57,200 --> 03:32:59,120 know she's joking. How many of you guys 5599 03:32:59,120 --> 03:33:02,239 just just put a one in the chat. Um if 5600 03:33:02,239 --> 03:33:03,920 you 5601 03:33:03,920 --> 03:33:06,239 if you use organic as your primary means 5602 03:33:06,239 --> 03:33:09,720 of getting customers. 5603 03:33:10,399 --> 03:33:13,120 Yes. Okay. 5604 03:33:13,120 --> 03:33:15,040 Give me some ones. We got some ones. 5605 03:33:15,040 --> 03:33:20,960 Okay. Great. So if you're an influencer, 5606 03:33:20,960 --> 03:33:22,160 I think this is really important to 5607 03:33:22,160 --> 03:33:24,239 understand. 5608 03:33:24,239 --> 03:33:26,800 Okay? So pay attention. So right now, 5609 03:33:26,800 --> 03:33:28,800 let's say that you're doing $1 million 5610 03:33:28,800 --> 03:33:30,399 per year. It doesn't really matter. Just 5611 03:33:30,399 --> 03:33:34,000 like just say this is your current. 5612 03:33:34,000 --> 03:33:36,239 All right? You're currently doing a 5613 03:33:36,239 --> 03:33:38,640 million dollar a year. Now, I want you 5614 03:33:38,640 --> 03:33:41,120 to imagine you've got a hundred,000 5615 03:33:41,120 --> 03:33:44,120 followers 5616 03:33:45,040 --> 03:33:46,720 that are following you right now, and 5617 03:33:46,720 --> 03:33:49,040 that's what's generating 5618 03:33:49,040 --> 03:33:51,040 this million dollars a year. Now, when 5619 03:33:51,040 --> 03:33:52,800 you post, 5620 03:33:52,800 --> 03:33:54,239 you normally are getting, let's say, 5621 03:33:54,239 --> 03:33:58,080 like, you know, one to two% of your 5622 03:33:58,080 --> 03:34:01,520 traffic of that of that 100K is actually 5623 03:34:01,520 --> 03:34:04,399 seeing your posts. Right? 5624 03:34:04,399 --> 03:34:07,200 Now, when you make a call to action, 5625 03:34:07,200 --> 03:34:10,479 it's more like 0.1%. It's a little dot 5626 03:34:10,479 --> 03:34:13,200 inside of there. 5627 03:34:13,200 --> 03:34:15,200 The reason that there's typically a huge 5628 03:34:15,200 --> 03:34:16,960 amount that you can increase with a 5629 03:34:16,960 --> 03:34:18,640 business that has organic when they run 5630 03:34:18,640 --> 03:34:21,520 ads is that 5631 03:34:21,520 --> 03:34:25,399 if you think about it like this, 5632 03:34:25,520 --> 03:34:27,840 you're currently monetizing this 1 to 5633 03:34:27,840 --> 03:34:33,120 2%. Okay? When you run ads, 5634 03:34:33,120 --> 03:34:36,000 you basically reach down below there and 5635 03:34:36,000 --> 03:34:38,160 just monetize a larger slice because 5636 03:34:38,160 --> 03:34:40,960 you're able to reach a way broader 5637 03:34:40,960 --> 03:34:42,880 amount of the audience that you have 5638 03:34:42,880 --> 03:34:46,399 with your paid ads. 5639 03:34:46,399 --> 03:34:48,399 It's not necessarily expanding your 5640 03:34:48,399 --> 03:34:50,880 audience. It's simply t it's just 5641 03:34:50,880 --> 03:34:52,479 reaching a higher percentage of them on 5642 03:34:52,479 --> 03:34:54,319 a consistent basis. So, there's 5643 03:34:54,319 --> 03:34:56,560 something else that does this too, which 5644 03:34:56,560 --> 03:35:00,359 is a sales team. 5645 03:35:01,600 --> 03:35:04,160 Both of these things don't expand, not 5646 03:35:04,160 --> 03:35:06,319 really your capacity because most people 5647 03:35:06,319 --> 03:35:08,319 who are influencers who then start 5648 03:35:08,319 --> 03:35:10,239 running ads or do organic and then start 5649 03:35:10,239 --> 03:35:11,680 running ads. You're not running like 5650 03:35:11,680 --> 03:35:13,439 branding and value based ads. If you did 5651 03:35:13,439 --> 03:35:15,439 that, you could actually expand the pie. 5652 03:35:15,439 --> 03:35:16,960 But most people run kind of right hook 5653 03:35:16,960 --> 03:35:19,040 direct response ads, which is fine. And 5654 03:35:19,040 --> 03:35:21,040 use your your free content as your way 5655 03:35:21,040 --> 03:35:22,640 of kind of top of funnel of letting 5656 03:35:22,640 --> 03:35:24,239 people know you're they're aware of you 5657 03:35:24,239 --> 03:35:25,840 and providing value. And then you kind 5658 03:35:25,840 --> 03:35:28,000 of scoop back up with ads and sales 5659 03:35:28,000 --> 03:35:29,520 teams. Both these things kind of reach 5660 03:35:29,520 --> 03:35:31,120 further down. But the thing is is that 5661 03:35:31,120 --> 03:35:32,720 each of these levers you can only pull 5662 03:35:32,720 --> 03:35:35,760 once. So you'll get an instant 2x, 3x, 5663 03:35:35,760 --> 03:35:37,040 5x, which sometimes can be really 5664 03:35:37,040 --> 03:35:38,239 material. So I don't want to downplay 5665 03:35:38,239 --> 03:35:39,359 that. It can be really big for a 5666 03:35:39,359 --> 03:35:41,040 business. But once you do that, that 5667 03:35:41,040 --> 03:35:42,479 lever is pulled. There's nothing else 5668 03:35:42,479 --> 03:35:44,560 you can do. And so then you go back to 5669 03:35:44,560 --> 03:35:46,880 what's the constraint. And so in those 5670 03:35:46,880 --> 03:35:49,680 businesses, you want to make the I'm 5671 03:35:49,680 --> 03:35:50,960 going to go off the off the page here, 5672 03:35:50,960 --> 03:35:54,160 but you want to expand the pyramid so 5673 03:35:54,160 --> 03:35:56,800 that ideally this one to 2% or wherever 5674 03:35:56,800 --> 03:35:58,960 your ads drawn is that now that same 5675 03:35:58,960 --> 03:36:04,399 percentage captures even more. Okay. So 5676 03:36:04,399 --> 03:36:05,600 if you were an influence and you're 5677 03:36:05,600 --> 03:36:07,600 like, I want to grow my business. What 5678 03:36:07,600 --> 03:36:10,720 should I do? Well, there's a number of 5679 03:36:10,720 --> 03:36:12,560 things kind of like many many roads lead 5680 03:36:12,560 --> 03:36:14,000 to Rome or many many paths up the 5681 03:36:14,000 --> 03:36:16,640 mountain. You could just start running 5682 03:36:16,640 --> 03:36:18,800 paid ads. And if you did that, you would 5683 03:36:18,800 --> 03:36:20,800 probably make more. And by the way, 5684 03:36:20,800 --> 03:36:22,960 running paid ads so much easier than 5685 03:36:22,960 --> 03:36:24,160 making content if you just didn't know 5686 03:36:24,160 --> 03:36:25,279 that. You just like don't know how to 5687 03:36:25,279 --> 03:36:26,640 click the buttons. It takes like an 5688 03:36:26,640 --> 03:36:28,239 afternoon. Like it's really not hard to 5689 03:36:28,239 --> 03:36:30,560 learn. Making content that's good, much 5690 03:36:30,560 --> 03:36:32,160 harder. So, just take your best 5691 03:36:32,160 --> 03:36:34,239 performing content, slice a CTA at the 5692 03:36:34,239 --> 03:36:36,960 end, CTA being call to action of like uh 5693 03:36:36,960 --> 03:36:38,399 literally take your top 10 from the 5694 03:36:38,399 --> 03:36:40,080 year, highest performing pieces of 5695 03:36:40,080 --> 03:36:41,920 content that are not like meme stuff, 5696 03:36:41,920 --> 03:36:43,760 but stuff that's like specific to your 5697 03:36:43,760 --> 03:36:45,200 avatar, the stuff that you actually like 5698 03:36:45,200 --> 03:36:46,399 the type of people you actually want to 5699 03:36:46,399 --> 03:36:48,399 help, and then say, "Hey, by the way, 5700 03:36:48,399 --> 03:36:50,880 like um like let's say I had a, you 5701 03:36:50,880 --> 03:36:52,080 know, something about businesses and 5702 03:36:52,080 --> 03:36:53,200 making money, whatever." I would say, 5703 03:36:53,200 --> 03:36:55,200 "Hey, uh by the way, I have seven other 5704 03:36:55,200 --> 03:36:56,640 things that are just like that that I 5705 03:36:56,640 --> 03:36:58,080 want to give to you for free if you opt 5706 03:36:58,080 --> 03:36:59,920 in over here. Let me show you a visual 5707 03:36:59,920 --> 03:37:01,840 of it." Awesome. And if you're the right 5708 03:37:01,840 --> 03:37:03,040 type of person, I'd love to book a call 5709 03:37:03,040 --> 03:37:03,920 with you. Or if you have something 5710 03:37:03,920 --> 03:37:04,960 that's a straight checkout, it's like 5711 03:37:04,960 --> 03:37:06,319 and if you want, you get the whole 5712 03:37:06,319 --> 03:37:07,520 complete thing on the next page, 5713 03:37:07,520 --> 03:37:10,160 whatever. Right? And so the idea here is 5714 03:37:10,160 --> 03:37:12,080 that you can go ads as one way, one 5715 03:37:12,080 --> 03:37:14,319 lever you can pull. You can do sales 5716 03:37:14,319 --> 03:37:15,680 teams as another way because that's just 5717 03:37:15,680 --> 03:37:16,640 going to convert a higher percentage of 5718 03:37:16,640 --> 03:37:19,760 the audience. Um, this expanding the 5719 03:37:19,760 --> 03:37:21,520 triangle this way is going to be more 5720 03:37:21,520 --> 03:37:24,239 versus better content. So how when do 5721 03:37:24,239 --> 03:37:25,200 you decide to do more? When do you 5722 03:37:25,200 --> 03:37:27,760 decide to do better? I always do more 5723 03:37:27,760 --> 03:37:30,319 first and then typically after a certain 5724 03:37:30,319 --> 03:37:32,720 amount of more it accordians. So I'll 5725 03:37:32,720 --> 03:37:34,319 give you kind of like a a verbal 5726 03:37:34,319 --> 03:37:37,040 example. So if I go I make one YouTube 5727 03:37:37,040 --> 03:37:39,040 video a week at some point I say you 5728 03:37:39,040 --> 03:37:40,239 know what I'll bet you I could get to 5729 03:37:40,239 --> 03:37:41,920 like three three YouTube videos a week. 5730 03:37:41,920 --> 03:37:44,000 So then I expand my my three YouTube 5731 03:37:44,000 --> 03:37:45,840 videos a week and then all of a sudden I 5732 03:37:45,840 --> 03:37:47,840 look at you know I look at my last month 5733 03:37:47,840 --> 03:37:49,439 or two months and I'm like man you know 5734 03:37:49,439 --> 03:37:51,359 80% of my views came from three videos 5735 03:37:51,359 --> 03:37:53,279 that happened over the last you know 12 5736 03:37:53,279 --> 03:37:55,600 weeks. I'll bet you if I spent more time 5737 03:37:55,600 --> 03:37:57,359 on just making the videos better, I 5738 03:37:57,359 --> 03:37:58,720 would get even more out of it. So then 5739 03:37:58,720 --> 03:38:00,800 it cordians back down. And then I say 5740 03:38:00,800 --> 03:38:01,920 and then I learn all the things that 5741 03:38:01,920 --> 03:38:02,960 make something good. And then I say, 5742 03:38:02,960 --> 03:38:04,880 okay, can I do that repeatedly and do 5743 03:38:04,880 --> 03:38:06,399 more of them? And so it's very natural 5744 03:38:06,399 --> 03:38:08,160 to have this better versus more, better 5745 03:38:08,160 --> 03:38:10,080 versus more that happens with content. 5746 03:38:10,080 --> 03:38:11,600 So I don't think there's a right answer. 5747 03:38:11,600 --> 03:38:12,800 But typically, if you've been stuck for 5748 03:38:12,800 --> 03:38:14,000 a while, you're going to have to do one 5749 03:38:14,000 --> 03:38:15,359 or the other. And if I have to bias, 5750 03:38:15,359 --> 03:38:18,560 I'll typically do more first. 5751 03:38:18,560 --> 03:38:21,600 Now, for anyone who who tends to 5752 03:38:21,600 --> 03:38:23,439 monetize, I I'll give you a couple 5753 03:38:23,439 --> 03:38:26,640 couple platforms. So, if you monetize on 5754 03:38:26,640 --> 03:38:28,720 if you have a YouTube uh audience, if 5755 03:38:28,720 --> 03:38:29,920 you have an Instagram audience or even a 5756 03:38:29,920 --> 03:38:31,359 Tik Tok audience. So, something that we 5757 03:38:31,359 --> 03:38:32,560 have found that's worked exceptionally 5758 03:38:32,560 --> 03:38:34,560 well for a lot of companies is they 5759 03:38:34,560 --> 03:38:36,160 actually direct almost all of their 5760 03:38:36,160 --> 03:38:38,399 traffic towards Instagram. So even 5761 03:38:38,399 --> 03:38:39,600 though they have a YouTube, they could 5762 03:38:39,600 --> 03:38:40,800 have they could obviously go straight to 5763 03:38:40,800 --> 03:38:42,080 checkout or have a link there, which is 5764 03:38:42,080 --> 03:38:44,239 fine, but you can also have people just 5765 03:38:44,239 --> 03:38:46,880 like DM me on Instagram and Tik Tok. 5766 03:38:46,880 --> 03:38:48,319 Like Tik Tok's been notoriously 5767 03:38:48,319 --> 03:38:49,600 difficult to monetize for anything 5768 03:38:49,600 --> 03:38:52,160 expensive. So Tik Tok shop and low 5769 03:38:52,160 --> 03:38:53,840 ticket, you know, consumerbased products 5770 03:38:53,840 --> 03:38:55,680 tend to do really well with Tik Tok. But 5771 03:38:55,680 --> 03:38:58,080 anything that's in the thousands or B2B, 5772 03:38:58,080 --> 03:39:00,239 much harder time. The only people I've 5773 03:39:00,239 --> 03:39:02,319 seen succeed with that is that they say 5774 03:39:02,319 --> 03:39:04,399 their call to action on their Tik Tok is 5775 03:39:04,399 --> 03:39:06,399 DM me on Instagram and then they have a 5776 03:39:06,399 --> 03:39:08,800 DM funnel. So, what's a DM funnel? So, 5777 03:39:08,800 --> 03:39:12,000 if you guys saw um on the launch, we had 5778 03:39:12,000 --> 03:39:14,720 like book or comment book or DM book or 5779 03:39:14,720 --> 03:39:16,800 whatever as a call to action on some of 5780 03:39:16,800 --> 03:39:17,920 the posts, especially the green man 5781 03:39:17,920 --> 03:39:20,720 posts. And so, um if you look at like 5782 03:39:20,720 --> 03:39:24,080 the Guinness record uh video on my 5783 03:39:24,080 --> 03:39:25,279 Instagram, it should be in the first 5784 03:39:25,279 --> 03:39:27,520 like 12 or so, you'll see it has like 5785 03:39:27,520 --> 03:39:30,080 20,000 comments on it. And it's because 5786 03:39:30,080 --> 03:39:31,520 the CTA in there was like, "Hey, if you 5787 03:39:31,520 --> 03:39:33,600 want the free stuff uh from the launch, 5788 03:39:33,600 --> 03:39:35,680 comment, I think it was book." And so 5789 03:39:35,680 --> 03:39:37,439 they commented book and then because of 5790 03:39:37,439 --> 03:39:39,040 that there's many chat automation that 5791 03:39:39,040 --> 03:39:40,720 just fires and then sends them the thing 5792 03:39:40,720 --> 03:39:42,560 they say yes and then it sent them the 5793 03:39:42,560 --> 03:39:44,319 link. But by doing that you build a 5794 03:39:44,319 --> 03:39:45,920 whole another list and you'll be able to 5795 03:39:45,920 --> 03:39:48,720 actually turn views into leads and leads 5796 03:39:48,720 --> 03:39:50,000 into conversations because the 5797 03:39:50,000 --> 03:39:51,200 conversions will happen in the 5798 03:39:51,200 --> 03:39:55,040 conversations. So you're like okay that 5799 03:39:55,040 --> 03:39:56,640 would be like an influencer playbook if 5800 03:39:56,640 --> 03:39:58,160 we're like how do I grow the influencer 5801 03:39:58,160 --> 03:40:01,120 team provided sorry influencers revenue 5802 03:40:01,120 --> 03:40:03,200 provided they don't have a supply 5803 03:40:03,200 --> 03:40:04,560 constraint. So that's what I'm going to 5804 03:40:04,560 --> 03:40:05,760 go deep on these because I want to solve 5805 03:40:05,760 --> 03:40:06,640 as many of these problems for you guys 5806 03:40:06,640 --> 03:40:08,479 as you can. All right. So it would be 5807 03:40:08,479 --> 03:40:10,640 combination of ads versus sales teams. 5808 03:40:10,640 --> 03:40:12,640 Pick one. More content versus better 5809 03:40:12,640 --> 03:40:14,880 content. Pick one. And then I would add 5810 03:40:14,880 --> 03:40:17,680 in a CTA with many chat um as the 5811 03:40:17,680 --> 03:40:20,080 mechanism behind making that that work. 5812 03:40:20,080 --> 03:40:21,520 Doing that with an influencer business 5813 03:40:21,520 --> 03:40:25,359 can like immediately grow the company. 5814 03:40:25,359 --> 03:40:27,920 Okay. So, 5815 03:40:27,920 --> 03:40:31,120 so, so I was putting the, uh, putting 5816 03:40:31,120 --> 03:40:32,720 icons in and putting visuals in for this 5817 03:40:32,720 --> 03:40:35,600 presentation. Um, and I accidentally 5818 03:40:35,600 --> 03:40:38,319 said, uh, give me a icon for Homer 5819 03:40:38,319 --> 03:40:41,279 services instead of home services. And 5820 03:40:41,279 --> 03:40:44,239 so, and so gave me this, which I thought 5821 03:40:44,239 --> 03:40:47,040 was hilarious, and so I left it in. Um, 5822 03:40:47,040 --> 03:40:48,560 but if you're a home service business, 5823 03:40:48,560 --> 03:40:49,840 right, so you're brickandmortar, you've 5824 03:40:49,840 --> 03:40:51,439 got trucks, you've got routes, you've 5825 03:40:51,439 --> 03:40:53,120 got technicians, uh, you've got 5826 03:40:53,120 --> 03:40:56,800 tradesmen. um really common couple 5827 03:40:56,800 --> 03:40:59,520 things. So number one, if you're not 5828 03:40:59,520 --> 03:41:00,880 running any ads and it's all word of 5829 03:41:00,880 --> 03:41:03,439 mouth, if you run ads, it's like ads in 5830 03:41:03,439 --> 03:41:05,760 home services for whatever reason, it's 5831 03:41:05,760 --> 03:41:07,040 just like the competition is just not 5832 03:41:07,040 --> 03:41:09,040 that sophisticated. Like if you just run 5833 03:41:09,040 --> 03:41:11,279 like simple lead ads and call them, you 5834 03:41:11,279 --> 03:41:13,760 do exceptionally well. Um I've also 5835 03:41:13,760 --> 03:41:15,920 found that home services in general tend 5836 03:41:15,920 --> 03:41:18,160 to have really really terrible websites. 5837 03:41:18,160 --> 03:41:20,319 So, they'll have like a hidden button 5838 03:41:20,319 --> 03:41:22,880 that no one can ever find that says like 5839 03:41:22,880 --> 03:41:24,880 talk to a rep or it says, you know, 5840 03:41:24,880 --> 03:41:27,200 request a quote or request an invoice. 5841 03:41:27,200 --> 03:41:29,040 Horrendous, right? No one wants to opt 5842 03:41:29,040 --> 03:41:30,720 in for that and they still get traffic, 5843 03:41:30,720 --> 03:41:32,399 right? Because the whole industry is so 5844 03:41:32,399 --> 03:41:34,960 supply constrained. But if we fix that 5845 03:41:34,960 --> 03:41:37,760 by adding a sales motion, adding a 5846 03:41:37,760 --> 03:41:40,640 nurture rep, jacking up the prices so 5847 03:41:40,640 --> 03:41:42,800 that we actually meet like it's okay 5848 03:41:42,800 --> 03:41:44,319 that we sell fewer. That's fine. We 5849 03:41:44,319 --> 03:41:45,600 can't even handle the volume we have. we 5850 03:41:45,600 --> 03:41:46,640 might as well make more cash flow so 5851 03:41:46,640 --> 03:41:48,640 that we can hire more people, right? But 5852 03:41:48,640 --> 03:41:50,239 page optimization. So, this is this is 5853 03:41:50,239 --> 03:41:51,840 just having done so many home services 5854 03:41:51,840 --> 03:41:53,920 businesses, these are the common things 5855 03:41:53,920 --> 03:41:55,920 that you probably need to be looking at. 5856 03:41:55,920 --> 03:41:58,640 Um, and I think the reason home services 5857 03:41:58,640 --> 03:42:01,040 typically suck at sales is because they 5858 03:42:01,040 --> 03:42:02,399 don't have to be good and they can still 5859 03:42:02,399 --> 03:42:04,160 get business. They also typically suck 5860 03:42:04,160 --> 03:42:05,520 at marketing because they don't have to 5861 03:42:05,520 --> 03:42:07,439 be good and they can still get business, 5862 03:42:07,439 --> 03:42:09,439 which is why they tend to be price 5863 03:42:09,439 --> 03:42:10,880 constrained. Now, part of the reason 5864 03:42:10,880 --> 03:42:12,160 they have price constraints for those 5865 03:42:12,160 --> 03:42:14,479 who are in home services 5866 03:42:14,479 --> 03:42:17,279 um is because they believe that they 5867 03:42:17,279 --> 03:42:19,840 sell a commodity, which maybe you do, 5868 03:42:19,840 --> 03:42:23,439 but that's your choice. So, if you're in 5869 03:42:23,439 --> 03:42:25,760 home services, as a reminder again, 5870 03:42:25,760 --> 03:42:29,279 because there's common themes here, 5871 03:42:29,279 --> 03:42:32,399 you can win on speed, 5872 03:42:32,399 --> 03:42:34,880 you can win on risk, 5873 03:42:34,880 --> 03:42:38,520 you can win on ease. 5874 03:42:38,560 --> 03:42:42,840 These are your three vectors of value. 5875 03:42:44,560 --> 03:42:46,160 And so we have to think what are the big 5876 03:42:46,160 --> 03:42:47,920 fears of a customer. They think it's 5877 03:42:47,920 --> 03:42:51,239 going to be overbudget. 5878 03:42:52,479 --> 03:42:55,680 They think it's going to be 5879 03:42:55,680 --> 03:42:59,800 uh overbudget overtime 5880 03:43:02,319 --> 03:43:04,479 and headache, 5881 03:43:04,479 --> 03:43:07,680 right? And so we want to guarantee 5882 03:43:07,680 --> 03:43:10,399 around these things. And so I would say 5883 03:43:10,399 --> 03:43:12,000 pick one of these that you think you 5884 03:43:12,000 --> 03:43:14,399 absolutely can win on and then lean into 5885 03:43:14,399 --> 03:43:16,319 it. Speed is an excellent vector to beat 5886 03:43:16,319 --> 03:43:18,000 people on. And then the natural thing 5887 03:43:18,000 --> 03:43:19,359 that comes back is like, well, I've got 5888 03:43:19,359 --> 03:43:20,720 subcontractors. I've got these other 5889 03:43:20,720 --> 03:43:22,399 tradesmen that are subs underneath of me 5890 03:43:22,399 --> 03:43:24,640 that I can't control. You can if you 5891 03:43:24,640 --> 03:43:26,000 choose to pay them more to do things 5892 03:43:26,000 --> 03:43:28,160 faster. So all of these things is like, 5893 03:43:28,160 --> 03:43:30,239 is it impossible or just more expensive? 5894 03:43:30,239 --> 03:43:31,760 And if it's more expensive, can I price 5895 03:43:31,760 --> 03:43:33,600 that in? If I price that in, can I make 5896 03:43:33,600 --> 03:43:35,840 more than it is expensive on my price? 5897 03:43:35,840 --> 03:43:38,000 Probably. And especially when you're 5898 03:43:38,000 --> 03:43:40,000 somebody who's supply constrained, like 5899 03:43:40,000 --> 03:43:41,920 the first your first gut reaction to 5900 03:43:41,920 --> 03:43:43,359 like, I can't handle the amount of 5901 03:43:43,359 --> 03:43:46,319 demand that I have is raise your price. 5902 03:43:46,319 --> 03:43:47,600 But everyone's afraid of raising their 5903 03:43:47,600 --> 03:43:48,479 price because they're like, we closed 5904 03:43:48,479 --> 03:43:50,160 80% but we can't handle anymore. It's 5905 03:43:50,160 --> 03:43:53,520 like then close 40 and triple the price. 5906 03:43:53,520 --> 03:43:54,880 And you're like, there's no way we could 5907 03:43:54,880 --> 03:43:55,920 do that. It's like, well, you should get 5908 03:43:55,920 --> 03:43:57,920 that looks at, right? Of course you can 5909 03:43:57,920 --> 03:43:59,920 do that. Done it a zillion times. That's 5910 03:43:59,920 --> 03:44:00,960 why we wrote the whole price rates 5911 03:44:00,960 --> 03:44:02,000 letter. That's why we have the pricing 5912 03:44:02,000 --> 03:44:06,080 playbook. You can totally do it. Now, 5913 03:44:06,080 --> 03:44:09,120 I like to pair the solutions in the 5914 03:44:09,120 --> 03:44:11,199 following sequence. 5915 03:44:11,199 --> 03:44:14,239 So, this is how we do it. I go sales 5916 03:44:14,239 --> 03:44:16,160 motion. So, this is where we install the 5917 03:44:16,160 --> 03:44:17,920 VSSL that I referenced earlier. So, we 5918 03:44:17,920 --> 03:44:21,600 put a sales motion in place, right? 5919 03:44:21,600 --> 03:44:23,680 Which is going to be a VSSL. We're also 5920 03:44:23,680 --> 03:44:25,600 going to have lead nurture so that we 5921 03:44:25,600 --> 03:44:29,640 get to a higher percentage of our leads. 5922 03:44:30,000 --> 03:44:32,720 We then follow the closer 5923 03:44:32,720 --> 03:44:35,359 the closing book 5924 03:44:35,359 --> 03:44:36,800 which then gets us even more. So think 5925 03:44:36,800 --> 03:44:38,720 about all of this is squeezing even more 5926 03:44:38,720 --> 03:44:40,560 demand in and you're like I can't even 5927 03:44:40,560 --> 03:44:42,560 handle demand. So now we got to drop put 5928 03:44:42,560 --> 03:44:44,880 some put some brakes on it. So this is 5929 03:44:44,880 --> 03:44:47,359 why we jack the price 5930 03:44:47,359 --> 03:44:49,920 and then with this jacked price and this 5931 03:44:49,920 --> 03:44:52,239 way more demand we might be able to 5932 03:44:52,239 --> 03:44:54,640 double price and keep sales volume the 5933 03:44:54,640 --> 03:44:56,080 same. We might even double price and 5934 03:44:56,080 --> 03:44:58,560 sales volume goes up. Oh no. Right. But 5935 03:44:58,560 --> 03:45:01,359 then what happens is cash flow goes 5936 03:45:01,359 --> 03:45:03,439 through the roof. And so let me show you 5937 03:45:03,439 --> 03:45:05,120 how because this is super common yet 5938 03:45:05,120 --> 03:45:08,960 again for home services businesses. 5939 03:45:08,960 --> 03:45:10,800 And I'm covering these each of these is 5940 03:45:10,800 --> 03:45:12,479 like one out of five of you is each of 5941 03:45:12,479 --> 03:45:13,840 these big categories that I'm doing 5942 03:45:13,840 --> 03:45:17,199 right now. Um so most home services 5943 03:45:17,199 --> 03:45:18,960 businesses and I and I hear this a lot 5944 03:45:18,960 --> 03:45:20,960 and this I want to like erase this from 5945 03:45:20,960 --> 03:45:23,279 your mind. If you've ever like I get 5946 03:45:23,279 --> 03:45:27,199 this this this retort which is hey I you 5947 03:45:27,199 --> 03:45:29,920 know we run you know 15% margins but 5948 03:45:29,920 --> 03:45:31,600 that's that's industry average. That's 5949 03:45:31,600 --> 03:45:32,880 that's kind of what it is in our 5950 03:45:32,880 --> 03:45:37,040 industry. Why on earth would you compare 5951 03:45:37,040 --> 03:45:40,080 yourself to anybody else? They're all 5952 03:45:40,080 --> 03:45:42,560 broke. Don't look at what they do. They 5953 03:45:42,560 --> 03:45:43,520 have no idea what they're doing. I 5954 03:45:43,520 --> 03:45:44,319 promise you they have no idea what 5955 03:45:44,319 --> 03:45:47,279 they're doing. Zero. No idea. 5956 03:45:47,279 --> 03:45:48,960 So you have this quote industry average, 5957 03:45:48,960 --> 03:45:50,880 but like the American average is 5958 03:45:50,880 --> 03:45:53,680 overweight, divorced twice, like can't 5959 03:45:53,680 --> 03:45:55,120 hold down a job, can't focus, scrolling 5960 03:45:55,120 --> 03:45:56,800 TikTok eight hours a day. Why would we 5961 03:45:56,800 --> 03:45:59,359 compare ourselves to that average? 5962 03:45:59,359 --> 03:46:01,439 Completely irrelevant. Just do it down 5963 03:46:01,439 --> 03:46:03,120 to physics. If we have more demand than 5964 03:46:03,120 --> 03:46:05,359 we have supply, uh then we should raise 5965 03:46:05,359 --> 03:46:08,560 our prices. Now, back to this. So if you 5966 03:46:08,560 --> 03:46:10,319 have 5967 03:46:10,319 --> 03:46:12,399 a normal home services business, you 5968 03:46:12,399 --> 03:46:15,680 might be running 15% margins. Okay? 5969 03:46:15,680 --> 03:46:18,000 Well, if we let's say we incre let's 5970 03:46:18,000 --> 03:46:20,080 just let's go crazy. Let's go crazy. And 5971 03:46:20,080 --> 03:46:21,680 by crazy, I mean not crazy at all. And 5972 03:46:21,680 --> 03:46:25,040 let's just say we do a 50% price raise. 5973 03:46:25,040 --> 03:46:27,439 If we pair that with an improvement in 5974 03:46:27,439 --> 03:46:29,120 the sales motion out of VSSL, we 5975 03:46:29,120 --> 03:46:30,560 actually work our leads and we follow a 5976 03:46:30,560 --> 03:46:32,720 closing process and we got our price 5977 03:46:32,720 --> 03:46:38,080 raise. What did we do to our profit? 5978 03:46:38,080 --> 03:46:41,920 We 4x the profit of the business. 5979 03:46:41,920 --> 03:46:44,960 Dudes, we do this all the time, day in 5980 03:46:44,960 --> 03:46:47,040 and day out, every week to home service 5981 03:46:47,040 --> 03:46:49,040 businesses. There is so much opportunity 5982 03:46:49,040 --> 03:46:52,960 here if you just know where to look. 5983 03:46:52,960 --> 03:46:55,120 So, this is a stack of solutions and I'm 5984 03:46:55,120 --> 03:46:56,720 giving you guys more stacks of solutions 5985 03:46:56,720 --> 03:46:58,880 here um so that you can actually 5986 03:46:58,880 --> 03:47:01,040 implement these and and win because now 5987 03:47:01,040 --> 03:47:02,479 of course like let's play it out. You 5988 03:47:02,479 --> 03:47:03,680 increase the cash flow, what happens? 5989 03:47:03,680 --> 03:47:06,800 But I'm supply constrained. Great. 5990 03:47:06,800 --> 03:47:10,000 Pay more. 5991 03:47:10,000 --> 03:47:14,439 pay more referral bonuses, 5992 03:47:16,960 --> 03:47:18,800 more 5993 03:47:18,800 --> 03:47:22,680 recruiting and ads. 5994 03:47:23,040 --> 03:47:24,479 So, you have to follow it through the 5995 03:47:24,479 --> 03:47:25,520 natural sequence. And if you're like, 5996 03:47:25,520 --> 03:47:26,800 well, that's going to take me like the 5997 03:47:26,800 --> 03:47:30,239 thing is is like this, this, this, this, 5998 03:47:30,239 --> 03:47:33,920 this, all those lots of words, two 5999 03:47:33,920 --> 03:47:35,600 weeks, it doesn't take a ton of time to 6000 03:47:35,600 --> 03:47:37,359 do that. This one will take more time. 6001 03:47:37,359 --> 03:47:41,279 This is decisions onetime asset process 6002 03:47:41,279 --> 03:47:43,680 training process training process 6003 03:47:43,680 --> 03:47:46,239 training couple weeks price change 6004 03:47:46,239 --> 03:47:47,760 decision 6005 03:47:47,760 --> 03:47:50,720 cash flow output 6006 03:47:50,720 --> 03:47:52,239 okay 6007 03:47:52,239 --> 03:47:54,080 and I have that the last the last bullet 6008 03:47:54,080 --> 03:47:55,439 there because I think it's worth saying 6009 03:47:55,439 --> 03:47:57,199 I see a lot of home services businesses 6010 03:47:57,199 --> 03:48:00,080 do a do an absolutely atrocious job at 6011 03:48:00,080 --> 03:48:01,760 uh sales and specifically uh lead 6012 03:48:01,760 --> 03:48:04,880 nurture. um one of the highest 6013 03:48:04,880 --> 03:48:06,080 converting and there's been a bunch of 6014 03:48:06,080 --> 03:48:07,439 shorts about this but like there was a 6015 03:48:07,439 --> 03:48:09,279 guy who came in he was closing 55% of 6016 03:48:09,279 --> 03:48:11,439 his leads and he was able to close 55% 6017 03:48:11,439 --> 03:48:12,479 of his leads that he was only getting 6018 03:48:12,479 --> 03:48:13,840 two to three leads a day and I think he 6019 03:48:13,840 --> 03:48:17,199 was in I think it was in roofing um 6020 03:48:17,199 --> 03:48:19,840 because he hired his aunt to only have 6021 03:48:19,840 --> 03:48:21,359 one job which was that she called the 6022 03:48:21,359 --> 03:48:22,640 leads the moment they came in. That was 6023 03:48:22,640 --> 03:48:24,239 it. That was her only job. She she had 6024 03:48:24,239 --> 03:48:25,439 literally no other responsibilities. He 6025 03:48:25,439 --> 03:48:27,040 only got two to three leads a day. But 6026 03:48:27,040 --> 03:48:28,160 he knew that if he could call them 6027 03:48:28,160 --> 03:48:30,239 within 15 seconds, the likelihood that 6028 03:48:30,239 --> 03:48:32,000 he would close them doubles, triples, 6029 03:48:32,000 --> 03:48:33,920 quadruples, right? And so some of you 6030 03:48:33,920 --> 03:48:35,760 are like, "Man, I can't afford to hire a 6031 03:48:35,760 --> 03:48:36,960 lead ner." It's like, "Dude, you can't 6032 03:48:36,960 --> 03:48:38,399 afford not to." It's like you're 6033 03:48:38,399 --> 03:48:39,840 converting 5% of your leads. It's like 6034 03:48:39,840 --> 03:48:41,840 you convert 20% of your leads, you 4x 6035 03:48:41,840 --> 03:48:44,880 revenue. Could you with 4x revenue pay 6036 03:48:44,880 --> 03:48:49,640 for a new a lead nurture rep? Probably. 6037 03:48:50,000 --> 03:48:52,399 All right. So, that was home services. 6038 03:48:52,399 --> 03:48:54,960 You guys digging this? Okay. 6039 03:48:54,960 --> 03:48:57,760 So uh this is B2B services and SAS. So 6040 03:48:57,760 --> 03:48:59,600 this you know I I book both these 6041 03:48:59,600 --> 03:49:01,920 together despite the fact that um you 6042 03:49:01,920 --> 03:49:04,239 might be like how does a B2B service and 6043 03:49:04,239 --> 03:49:06,560 software as a service similar? Well they 6044 03:49:06,560 --> 03:49:08,239 actually say that they actually 6045 03:49:08,239 --> 03:49:09,760 fundamentally sell the same thing. They 6046 03:49:09,760 --> 03:49:11,920 deliver differently. So B2B service and 6047 03:49:11,920 --> 03:49:14,560 a B2B SAS is software as a service and 6048 03:49:14,560 --> 03:49:16,560 B2B service is just service as a 6049 03:49:16,560 --> 03:49:19,279 service. Right? So they're both SAS 6050 03:49:19,279 --> 03:49:20,479 service as a service software as a 6051 03:49:20,479 --> 03:49:22,319 service but they sell the same thing. 6052 03:49:22,319 --> 03:49:23,520 They just have a different delivery 6053 03:49:23,520 --> 03:49:25,600 mechanism. And the idea behind B2B SAS 6054 03:49:25,600 --> 03:49:27,040 is that it should be more consistent 6055 03:49:27,040 --> 03:49:28,399 because it's software. It's technology 6056 03:49:28,399 --> 03:49:30,479 that's doing it. And it should in theory 6057 03:49:30,479 --> 03:49:32,000 have higher gross margins. Doesn't 6058 03:49:32,000 --> 03:49:34,479 always, but it should in theory. So 6059 03:49:34,479 --> 03:49:36,160 you'll notice that the sales motions for 6060 03:49:36,160 --> 03:49:38,239 a B2B service and a B2B SAS are almost 6061 03:49:38,239 --> 03:49:40,239 identical. So the sales motion that we 6062 03:49:40,239 --> 03:49:42,479 had for Allen, for example, uh the 6063 03:49:42,479 --> 03:49:44,479 agency software was identical to Gym 6064 03:49:44,479 --> 03:49:46,160 Launch. Like literally just like line 6065 03:49:46,160 --> 03:49:49,680 for line was the exact same thing. Um, 6066 03:49:49,680 --> 03:49:52,319 and so the the the common issue with 6067 03:49:52,319 --> 03:49:53,760 these types of businesses, especially if 6068 03:49:53,760 --> 03:49:55,359 you are more ads driven on this. So I 6069 03:49:55,359 --> 03:49:57,840 I'll I'll give you two examples. Um, if 6070 03:49:57,840 --> 03:50:00,399 you are more ads driven, then you're 6071 03:50:00,399 --> 03:50:01,760 noticing that your cost to acquire 6072 03:50:01,760 --> 03:50:02,960 customers is continuing to get more and 6073 03:50:02,960 --> 03:50:04,800 more expensive. Uh, your margins are 6074 03:50:04,800 --> 03:50:06,560 compressing and compressing. Churn is 6075 03:50:06,560 --> 03:50:09,600 likely going up uh because your delivery 6076 03:50:09,600 --> 03:50:11,760 on the back end has continued to uh 6077 03:50:11,760 --> 03:50:13,359 dilute because you're not as good at 6078 03:50:13,359 --> 03:50:14,800 training and recruiting as you are at 6079 03:50:14,800 --> 03:50:16,960 marketing and sales. Um that's like 6080 03:50:16,960 --> 03:50:20,399 archetype one. Archetype two is the 6081 03:50:20,399 --> 03:50:23,520 entire uh B2B uh referral driven 6082 03:50:23,520 --> 03:50:25,199 business that has almost no marketing in 6083 03:50:25,199 --> 03:50:26,560 general. And so they have different kind 6084 03:50:26,560 --> 03:50:29,199 of playbook stacks uh to solve those. 6085 03:50:29,199 --> 03:50:31,439 All right. So let's say the ads driven 6086 03:50:31,439 --> 03:50:34,439 B2B. 6087 03:50:36,160 --> 03:50:39,439 So this may seem counterintuitive but 6088 03:50:39,439 --> 03:50:41,279 number one is going to be content. And I 6089 03:50:41,279 --> 03:50:42,399 know that sounds crazy because you're 6090 03:50:42,399 --> 03:50:43,439 like wait how's that going to fix? The 6091 03:50:43,439 --> 03:50:45,520 thing is is you have a brand issue. is 6092 03:50:45,520 --> 03:50:47,359 that no one trusts you and they're right 6093 03:50:47,359 --> 03:50:49,680 to not trust you because you're diluting 6094 03:50:49,680 --> 03:50:51,120 like your your reviews, your word of 6095 03:50:51,120 --> 03:50:52,720 mouth continue to trickle down to almost 6096 03:50:52,720 --> 03:50:54,640 nothing and so you have to reestablish 6097 03:50:54,640 --> 03:50:56,479 the brand and start providing more value 6098 03:50:56,479 --> 03:50:59,040 upfront. This will in the short term 6099 03:50:59,040 --> 03:51:00,720 increase your conversion percentage. In 6100 03:51:00,720 --> 03:51:01,920 the long term, it'll start actually 6101 03:51:01,920 --> 03:51:04,000 generating deals and lead flow for you. 6102 03:51:04,000 --> 03:51:05,199 So that's the first thing that you'll 6103 03:51:05,199 --> 03:51:07,920 have to do. The next thing is that again 6104 03:51:07,920 --> 03:51:09,840 most most businesses here could benefit 6105 03:51:09,840 --> 03:51:12,960 from multiple VSSLs. 6106 03:51:12,960 --> 03:51:15,040 So if you have two calls or three calls 6107 03:51:15,040 --> 03:51:16,640 then you should probably have two VSSLs 6108 03:51:16,640 --> 03:51:19,920 or three VSSLs not just one. 6109 03:51:19,920 --> 03:51:21,680 The next here and this is super common 6110 03:51:21,680 --> 03:51:24,640 again is going to be avatar is they are 6111 03:51:24,640 --> 03:51:26,720 unclear on the person that they provide 6112 03:51:26,720 --> 03:51:28,319 the absolute most value to. So you have 6113 03:51:28,319 --> 03:51:30,160 to get clear on which customer segment 6114 03:51:30,160 --> 03:51:32,880 you're deciding to to serve. And because 6115 03:51:32,880 --> 03:51:34,960 of that because you're doing too many 6116 03:51:34,960 --> 03:51:36,080 things to too many different types of 6117 03:51:36,080 --> 03:51:38,319 people you can't price appropriately. 6118 03:51:38,319 --> 03:51:40,239 Your CAC is too high. Your margins are 6119 03:51:40,239 --> 03:51:42,080 compressing. you dilute down your 6120 03:51:42,080 --> 03:51:44,319 ability to service those customers um 6121 03:51:44,319 --> 03:51:47,040 because 6122 03:51:47,040 --> 03:51:48,720 you have too many people you're serving 6123 03:51:48,720 --> 03:51:50,399 and so you have to do so much custom 6124 03:51:50,399 --> 03:51:52,479 stuff it's impossible to be good and so 6125 03:51:52,479 --> 03:51:53,840 you have to narrow it so that you can 6126 03:51:53,840 --> 03:51:55,040 templatize it and get consistent 6127 03:51:55,040 --> 03:51:56,640 outcomes. When you have a consistent 6128 03:51:56,640 --> 03:51:58,080 avatar, you have consistent messaging, 6129 03:51:58,080 --> 03:52:00,000 consistent outcomes, then the whole 6130 03:52:00,000 --> 03:52:01,520 thing becomes more productized and it 6131 03:52:01,520 --> 03:52:03,680 ultimately drives more value, right? And 6132 03:52:03,680 --> 03:52:05,279 you can also now price appropriately to 6133 03:52:05,279 --> 03:52:07,199 that significantly higher value avatar. 6134 03:52:07,199 --> 03:52:09,359 So, it's not uncommon to see doubles, 6135 03:52:09,359 --> 03:52:11,199 triples, quadruples in pricing when we 6136 03:52:11,199 --> 03:52:13,279 get really clear on this 20% slice or 6137 03:52:13,279 --> 03:52:14,880 30% slice of your existing customer 6138 03:52:14,880 --> 03:52:17,120 base. That is the ideal customer base 6139 03:52:17,120 --> 03:52:19,199 for you. 6140 03:52:19,199 --> 03:52:22,479 So, content sales motion, making sure 6141 03:52:22,479 --> 03:52:23,840 that we're picking the right avatar, 6142 03:52:23,840 --> 03:52:25,680 which then 6143 03:52:25,680 --> 03:52:28,399 goes into pricing. 6144 03:52:28,399 --> 03:52:30,399 So, I'm trying to do like kind of white 6145 03:52:30,399 --> 03:52:33,760 whitewashed uh consulting with like 6146 03:52:33,760 --> 03:52:36,640 whole like tranches of you at a time. Um 6147 03:52:36,640 --> 03:52:39,279 but this is this is like the stack of 6148 03:52:39,279 --> 03:52:40,880 what I would be going through. So the 6149 03:52:40,880 --> 03:52:43,520 content here is going to be um marketing 6150 03:52:43,520 --> 03:52:47,680 machine plus branding 6151 03:52:47,680 --> 03:52:50,319 plus hooks. 6152 03:52:50,319 --> 03:52:53,520 This is proof. 6153 03:52:53,520 --> 03:52:57,359 This is uh your first avatar in the lost 6154 03:52:57,359 --> 03:52:59,199 chapters book. And then this is the 6155 03:52:59,199 --> 03:53:02,239 pricing um pricing playbook which is 6156 03:53:02,239 --> 03:53:03,199 right there. You already know what it 6157 03:53:03,199 --> 03:53:05,279 is. And so that's like the stack of 6158 03:53:05,279 --> 03:53:07,600 playbooks to go through. Okay. Now, if 6159 03:53:07,600 --> 03:53:09,040 you're the other side, so you're you're 6160 03:53:09,040 --> 03:53:10,720 a legal a legal firm or you're an 6161 03:53:10,720 --> 03:53:13,040 accounting firm and uh you you've been 6162 03:53:13,040 --> 03:53:14,399 doing this for a while and you have 6163 03:53:14,399 --> 03:53:17,199 people who are coming in. Um typically, 6164 03:53:17,199 --> 03:53:19,920 more so than anything, you guys suck at 6165 03:53:19,920 --> 03:53:22,319 sales. So, it's going to be sales 6166 03:53:22,319 --> 03:53:24,720 motion. 6167 03:53:24,720 --> 03:53:26,640 You don't need to do content. You need 6168 03:53:26,640 --> 03:53:29,279 to do sales motion. Typically, uh 6169 03:53:29,279 --> 03:53:31,680 pricing change 6170 03:53:31,680 --> 03:53:35,120 is almost 6171 03:53:35,120 --> 03:53:36,720 certainly the two things that you'll end 6172 03:53:36,720 --> 03:53:39,199 up having to do and kind of like I said 6173 03:53:39,199 --> 03:53:41,760 earlier with 6174 03:53:41,760 --> 03:53:44,880 the multi-step VSSL with these types of 6175 03:53:44,880 --> 03:53:47,520 changes um we approach it with something 6176 03:53:47,520 --> 03:53:49,760 called a calculator close which is if 6177 03:53:49,760 --> 03:53:52,399 you're the type of business that can um 6178 03:53:52,399 --> 03:53:54,880 demonstrate a savings. So this is super 6179 03:53:54,880 --> 03:53:56,319 common in accounting, super common in 6180 03:53:56,319 --> 03:53:59,760 tax, um it can be for different types of 6181 03:53:59,760 --> 03:54:03,120 restoration work, um different type of 6182 03:54:03,120 --> 03:54:06,479 commercial services, uh different IT, uh 6183 03:54:06,479 --> 03:54:08,239 security, there's a bunch of different 6184 03:54:08,239 --> 03:54:10,160 ones where like you save businesses or 6185 03:54:10,160 --> 03:54:11,760 make them money or combination of those 6186 03:54:11,760 --> 03:54:13,680 things. And so what we want to do is we 6187 03:54:13,680 --> 03:54:15,520 have to create a sales motion that 6188 03:54:15,520 --> 03:54:18,000 anchors our pricing with a calculator 6189 03:54:18,000 --> 03:54:20,479 around the savings around the earnings 6190 03:54:20,479 --> 03:54:22,160 as long as we can demonstrate it and 6191 03:54:22,160 --> 03:54:23,600 prove it after the fact which if you're 6192 03:54:23,600 --> 03:54:25,359 in that type of business you can. You 6193 03:54:25,359 --> 03:54:26,800 want to get completely get rid of this 6194 03:54:26,800 --> 03:54:28,399 whole cost. Like everyone here who does 6195 03:54:28,399 --> 03:54:29,840 cost plus pricing and if you're like 6196 03:54:29,840 --> 03:54:31,520 what's cost plus? You look at how much 6197 03:54:31,520 --> 03:54:33,279 it cost you and then you add something 6198 03:54:33,279 --> 03:54:34,880 that is cost plus pricing. It is a 6199 03:54:34,880 --> 03:54:36,000 terrible way to price. It's the worst 6200 03:54:36,000 --> 03:54:37,120 way to price. Please stop doing that 6201 03:54:37,120 --> 03:54:39,359 now. All right. Value based pricing is 6202 03:54:39,359 --> 03:54:40,560 the only type of pricing that matters 6203 03:54:40,560 --> 03:54:42,239 which is what is someone willing to pay. 6204 03:54:42,239 --> 03:54:44,720 Now what it costs you to do and deliver 6205 03:54:44,720 --> 03:54:47,760 is entirely not their problem. It's just 6206 03:54:47,760 --> 03:54:49,439 about what they're willing to pay and 6207 03:54:49,439 --> 03:54:50,720 how many people are willing to pay it. 6208 03:54:50,720 --> 03:54:52,479 And then you just do your math, right? 6209 03:54:52,479 --> 03:54:54,960 These are not up for negotiation. Now 6210 03:54:54,960 --> 03:54:56,160 you might think this and say, "Well, 6211 03:54:56,160 --> 03:54:57,279 wait, that would mean that we'd have 6212 03:54:57,279 --> 03:54:58,800 different prices for everyone." That's 6213 03:54:58,800 --> 03:55:00,640 okay as long as you have a method behind 6214 03:55:00,640 --> 03:55:03,520 doing it and as long as the margin still 6215 03:55:03,520 --> 03:55:05,120 works out great for what you're doing, 6216 03:55:05,120 --> 03:55:06,239 which if you're pricing it the right 6217 03:55:06,239 --> 03:55:09,279 way, you should. As long as the delivery 6218 03:55:09,279 --> 03:55:11,600 is still more or less the same thing in 6219 03:55:11,600 --> 03:55:14,960 terms of um the doingness of each of 6220 03:55:14,960 --> 03:55:16,880 your teammates, totally fine. I'll give 6221 03:55:16,880 --> 03:55:19,439 you a totally different example. So, one 6222 03:55:19,439 --> 03:55:20,960 of the best ways to sell, it's a little 6223 03:55:20,960 --> 03:55:23,439 bit more advanced for like a weight loss 6224 03:55:23,439 --> 03:55:26,000 uh business like a gym. Like the easiest 6225 03:55:26,000 --> 03:55:27,680 way to sell is to sell a program six 6226 03:55:27,680 --> 03:55:29,279 weeks defined end like here's a 6227 03:55:29,279 --> 03:55:30,640 challenge or whatever detox 6228 03:55:30,640 --> 03:55:32,960 transformation. If you get a little bit 6229 03:55:32,960 --> 03:55:34,560 more advanced, then you want to sell to 6230 03:55:34,560 --> 03:55:35,920 goal. And that's exactly what this is. 6231 03:55:35,920 --> 03:55:37,279 is a calculator close is selling to 6232 03:55:37,279 --> 03:55:39,120 goal. It's a diagnostic sale. And so 6233 03:55:39,120 --> 03:55:41,199 what happens the person comes in and you 6234 03:55:41,199 --> 03:55:44,960 say, "Okay, you want to lose 50 pounds, 6235 03:55:44,960 --> 03:55:46,720 50 pounds. We find that it takes 6236 03:55:46,720 --> 03:55:48,720 reasonably we want to do 2 pounds a 6237 03:55:48,720 --> 03:55:50,160 week. It's going to take 25 weeks for us 6238 03:55:50,160 --> 03:55:51,600 to get there. Then we're going to have a 6239 03:55:51,600 --> 03:55:52,960 maintenance period of, you know, half 6240 03:55:52,960 --> 03:55:53,920 that time, which is going to be 12 6241 03:55:53,920 --> 03:55:55,760 weeks. So 37 in total. And then we're 6242 03:55:55,760 --> 03:55:57,199 going to do a recalibration phase after 6243 03:55:57,199 --> 03:55:58,640 that, which is another 12 weeks. All 6244 03:55:58,640 --> 03:56:01,120 right. So all in all, we're looking at 6245 03:56:01,120 --> 03:56:03,439 whatever that is, 49 weeks. Okay. Now, 6246 03:56:03,439 --> 03:56:05,600 we charge 200 bucks a week. How do you 6247 03:56:05,600 --> 03:56:07,279 want to pay? Right? And all of a sudden 6248 03:56:07,279 --> 03:56:11,120 that becomes a $9,800 sale. Right? Now, 6249 03:56:11,120 --> 03:56:12,640 somebody else comes in later and they 6250 03:56:12,640 --> 03:56:14,399 only need to lose 30 pounds. Then that 6251 03:56:14,399 --> 03:56:15,600 means that you can just decrease the 6252 03:56:15,600 --> 03:56:17,760 amount of time. That's fine because your 6253 03:56:17,760 --> 03:56:19,279 revenue per person per month is the 6254 03:56:19,279 --> 03:56:20,960 same. You just have different durations. 6255 03:56:20,960 --> 03:56:22,560 And the doingness of each of your team 6256 03:56:22,560 --> 03:56:24,800 is still going to be stop eating crap, 6257 03:56:24,800 --> 03:56:27,520 move more, jump to the gym. Right? You 6258 03:56:27,520 --> 03:56:28,880 get what I'm saying here? So like even 6259 03:56:28,880 --> 03:56:31,359 though the the price can accordion 6260 03:56:31,359 --> 03:56:33,199 um the revenue per customer is going to 6261 03:56:33,199 --> 03:56:34,399 be the same and then you just renew them 6262 03:56:34,399 --> 03:56:37,279 at different times. Okay, hopefully that 6263 03:56:37,279 --> 03:56:39,520 was um if you were in either of those 6264 03:56:39,520 --> 03:56:41,680 scenarios either the uh kind of referral 6265 03:56:41,680 --> 03:56:43,840 driven or ads driven you have some 6266 03:56:43,840 --> 03:56:47,199 playbooks that you can follow. Okay, so 6267 03:56:47,199 --> 03:56:50,800 quick reminder here um one constraint at 6268 03:56:50,800 --> 03:56:52,479 a time. So even though I do these stacks 6269 03:56:52,479 --> 03:56:54,960 here, every business has one constraint, 6270 03:56:54,960 --> 03:56:57,279 but we focus on solving that constraint 6271 03:56:57,279 --> 03:56:59,680 by reverse engineering it. So if the 6272 03:56:59,680 --> 03:57:02,479 issue with this business for example is 6273 03:57:02,479 --> 03:57:04,960 that we need to be able to price better, 6274 03:57:04,960 --> 03:57:07,199 right? Well, then we have to start here 6275 03:57:07,199 --> 03:57:09,920 and then move on as we move through it 6276 03:57:09,920 --> 03:57:12,720 so that we can price better. 6277 03:57:12,720 --> 03:57:15,120 the the Instagram the Instagram the 6278 03:57:15,120 --> 03:57:16,239 influencer business that I was 6279 03:57:16,239 --> 03:57:19,560 referencing earlier. 6280 03:57:21,520 --> 03:57:23,199 This business not wants to convert a 6281 03:57:23,199 --> 03:57:24,399 higher percentage of the audience. Let's 6282 03:57:24,399 --> 03:57:25,439 say that that was the constraint of the 6283 03:57:25,439 --> 03:57:26,640 business. They just need to sell more. 6284 03:57:26,640 --> 03:57:28,720 So, can we do more? Well, we could do 6285 03:57:28,720 --> 03:57:30,560 more content. That would work. We could 6286 03:57:30,560 --> 03:57:31,520 do more ads. That would work. We could 6287 03:57:31,520 --> 03:57:32,800 do more sales. That would work. All of 6288 03:57:32,800 --> 03:57:34,479 those things work. And so, that's why in 6289 03:57:34,479 --> 03:57:36,560 the beginning, there's multiple multiple 6290 03:57:36,560 --> 03:57:38,000 paths of the mountain, but they're still 6291 03:57:38,000 --> 03:57:39,760 solving the main issue, which is we need 6292 03:57:39,760 --> 03:57:41,040 to get more leads so we can get more 6293 03:57:41,040 --> 03:57:43,359 sales, right? it was a conversion issue. 6294 03:57:43,359 --> 03:57:44,560 We have the leads. We're not converting 6295 03:57:44,560 --> 03:57:46,560 as many of them as we need to. And so 6296 03:57:46,560 --> 03:57:48,560 each of these processes will drive that 6297 03:57:48,560 --> 03:57:50,319 conversion mechanism. And so you can hit 6298 03:57:50,319 --> 03:57:52,160 it with multiple angles. That's fine. 6299 03:57:52,160 --> 03:57:54,960 But the constraint remains the same. 6300 03:57:54,960 --> 03:57:56,239 And once you hit it from all three 6301 03:57:56,239 --> 03:57:57,760 angles, eventually you get to a point 6302 03:57:57,760 --> 03:57:58,880 where like, oh my god, we don't have 6303 03:57:58,880 --> 03:58:00,399 more leads. And then you say, great, we 6304 03:58:00,399 --> 03:58:01,520 need to make more better content. That 6305 03:58:01,520 --> 03:58:02,960 becomes the next constraint, right? It 6306 03:58:02,960 --> 03:58:04,640 always the constraint will move. If 6307 03:58:04,640 --> 03:58:06,560 you're doing a good job, your constraint 6308 03:58:06,560 --> 03:58:07,920 will move regularly. If you're doing a 6309 03:58:07,920 --> 03:58:09,120 bad job, you'll have the same constraint 6310 03:58:09,120 --> 03:58:11,600 for years. 6311 03:58:11,600 --> 03:58:14,160 So many ways to solve it but you want to 6312 03:58:14,160 --> 03:58:17,439 identify them correctly. 6313 03:58:17,439 --> 03:58:19,600 Okay. So final reminders uh your 6314 03:58:19,600 --> 03:58:21,199 constraint is your priority. It means it 6315 03:58:21,199 --> 03:58:23,359 comes before everything else. You want 6316 03:58:23,359 --> 03:58:24,800 to leverage all of your resources 6317 03:58:24,800 --> 03:58:26,560 against the constraint and you want to 6318 03:58:26,560 --> 03:58:28,160 build compounding vehicles for long-term 6319 03:58:28,160 --> 03:58:31,960 success. So 6320 03:58:32,000 --> 03:58:33,840 and then we're going to do AI stuff. All 6321 03:58:33,840 --> 03:58:36,840 right. 6322 03:58:39,199 --> 03:58:41,359 So we have all these different things. 6323 03:58:41,359 --> 03:58:45,080 We find our constraint. 6324 03:58:46,000 --> 03:58:49,279 We then want to apply leverage 6325 03:58:49,279 --> 03:58:51,279 to our constraint. See if we can hit it 6326 03:58:51,279 --> 03:58:53,199 from a bunch of different angles. And if 6327 03:58:53,199 --> 03:58:55,279 we succeed at this, we create a 6328 03:58:55,279 --> 03:58:58,760 compounding vehicle. 6329 03:58:59,840 --> 03:59:01,600 Because fundamentally you want to have a 6330 03:59:01,600 --> 03:59:04,600 way 6331 03:59:07,680 --> 03:59:11,399 where you put effort 6332 03:59:11,920 --> 03:59:15,120 plus money plus brand all of your 6333 03:59:15,120 --> 03:59:17,279 inputs, right? You want to put all the 6334 03:59:17,279 --> 03:59:20,640 stuff you've got into your machine 6335 03:59:20,640 --> 03:59:23,199 into your black box. And you want this 6336 03:59:23,199 --> 03:59:26,080 thing 6337 03:59:26,080 --> 03:59:28,080 to self-compound. 6338 03:59:28,080 --> 03:59:30,319 And so this is the flywheel. So if 6339 03:59:30,319 --> 03:59:31,680 you're a brick-and-mortar business, it's 6340 03:59:31,680 --> 03:59:32,880 like you eventually just want to get to 6341 03:59:32,880 --> 03:59:34,640 the point where once you fill up a store 6342 03:59:34,640 --> 03:59:36,640 or a shop, you don't need to spend money 6343 03:59:36,640 --> 03:59:38,319 on marketing again because that shop 6344 03:59:38,319 --> 03:59:40,239 stays at full capacity and then the only 6345 03:59:40,239 --> 03:59:41,600 lever you have there is pricing. You 6346 03:59:41,600 --> 03:59:42,960 just keep jacking price and you stay 6347 03:59:42,960 --> 03:59:44,479 there and then you open up another 6348 03:59:44,479 --> 03:59:45,840 location and you repeat it and you do it 6349 03:59:45,840 --> 03:59:49,279 again. Um, if you have a a brokerage or 6350 03:59:49,279 --> 03:59:50,800 something that's like sales driven, it's 6351 03:59:50,800 --> 03:59:52,000 like the whole point is you're going to 6352 03:59:52,000 --> 03:59:53,840 have to get into a business that you can 6353 03:59:53,840 --> 03:59:55,680 continue to recruit, onboard train, 6354 03:59:55,680 --> 03:59:56,960 recruit, onboard, train, and then 6355 03:59:56,960 --> 03:59:58,479 consistently activate new sales reps. 6356 03:59:58,479 --> 04:00:00,479 And then as long as those sales reps are 6357 04:00:00,479 --> 04:00:02,800 uh produce, you just keep stacking year 6358 04:00:02,800 --> 04:00:05,520 over year over year, right? Um, you need 6359 04:00:05,520 --> 04:00:06,960 to have some sort of compounding in the 6360 04:00:06,960 --> 04:00:08,399 business. Otherwise, you will run into 6361 04:00:08,399 --> 04:00:09,840 an issue where you're just kind of 6362 04:00:09,840 --> 04:00:10,960 flooding people in and they're just 6363 04:00:10,960 --> 04:00:12,640 falling out the back door. And then you 6364 04:00:12,640 --> 04:00:13,920 think the solution is I just need to 6365 04:00:13,920 --> 04:00:15,520 sell more people. But then your margins 6366 04:00:15,520 --> 04:00:17,279 are going to continue to compress. So 6367 04:00:17,279 --> 04:00:18,640 you want to learn enough marketing and 6368 04:00:18,640 --> 04:00:20,560 sales to get going and then you focus 6369 04:00:20,560 --> 04:00:22,640 all of your effort on making sure people 6370 04:00:22,640 --> 04:00:24,319 never leave and you have to stay there. 6371 04:00:24,319 --> 04:00:25,600 And sometimes it takes years to solve 6372 04:00:25,600 --> 04:00:27,279 that one problem. But once you solve 6373 04:00:27,279 --> 04:00:28,960 that problem, your business will grow by 6374 04:00:28,960 --> 04:00:30,479 default. And then you could keep the 6375 04:00:30,479 --> 04:00:31,680 same level of sales kind of like company 6376 04:00:31,680 --> 04:00:33,439 A and company B and you'd want to be 6377 04:00:33,439 --> 04:00:35,120 company B because that's the one that 6378 04:00:35,120 --> 04:00:36,399 just keeps growing no matter what 6379 04:00:36,399 --> 04:00:37,600 because even if you sell the same amount 6380 04:00:37,600 --> 04:00:39,040 or even if you don't sell, you still 6381 04:00:39,040 --> 04:00:41,359 make money. All right. So, with that 6382 04:00:41,359 --> 04:00:43,120 being said, 6383 04:00:43,120 --> 04:00:46,000 I'm going to call up a handful of the uh 6384 04:00:46,000 --> 04:00:48,640 the scale advisory folks who uh entered 6385 04:00:48,640 --> 04:00:50,319 their their data. Hopefully, you guys 6386 04:00:50,319 --> 04:00:52,560 can see my screen. If you guys haven't 6387 04:00:52,560 --> 04:00:55,600 done this already, like 6388 04:00:55,600 --> 04:00:58,000 do do it. If you haven't onboarded 6389 04:00:58,000 --> 04:01:00,319 yourself, uh we spent so much and we 6390 04:01:00,319 --> 04:01:02,239 still are spending a lot of time on 6391 04:01:02,239 --> 04:01:07,880 making this exceptional. Um, and so, 6392 04:01:12,160 --> 04:01:14,080 okay, 6393 04:01:14,080 --> 04:01:17,279 now your first time going through here, 6394 04:01:17,279 --> 04:01:18,319 you're going to have to take go through 6395 04:01:18,319 --> 04:01:21,359 the onboarding flow. All right. Now, the 6396 04:01:21,359 --> 04:01:22,720 onboarding flow, you're going to answer 6397 04:01:22,720 --> 04:01:25,199 these questions about your business. And 6398 04:01:25,199 --> 04:01:28,319 so, let's say 6399 04:01:28,319 --> 04:01:29,600 I'm actually going to call one up. So, 6400 04:01:29,600 --> 04:01:30,800 we're just going to do it right now. All 6401 04:01:30,800 --> 04:01:35,120 right. So, shoot, what was the code? 6402 04:01:36,479 --> 04:01:39,279 Okay, here we go. 6403 04:01:39,279 --> 04:01:42,279 Okay, 6404 04:01:42,960 --> 04:01:46,800 Kevin Gong, you're first up. Let's rock. 6405 04:01:46,800 --> 04:01:49,359 Let's put some speakers on this guy. 6406 04:01:49,359 --> 04:01:51,359 >> Yo, Kevin, what's up, 6407 04:01:51,359 --> 04:01:53,520 >> Alex? Oh my god. Hi. 6408 04:01:53,520 --> 04:01:54,640 >> What's up, man? 6409 04:01:54,640 --> 04:01:56,960 >> So, we're going to do this AI thing 6410 04:01:56,960 --> 04:01:58,239 together. All right. 6411 04:01:58,239 --> 04:01:58,960 >> Okay. 6412 04:01:58,960 --> 04:02:01,439 >> So, primary delivery type of your core 6413 04:02:01,439 --> 04:02:03,439 offer. Is it do it yourself, done with 6414 04:02:03,439 --> 04:02:04,720 you, or done for you? Where's your most 6415 04:02:04,720 --> 04:02:07,040 of your revenue coming from? 6416 04:02:07,040 --> 04:02:08,800 >> Um, most of it up until now has been 6417 04:02:08,800 --> 04:02:10,560 done with you. I just released a done 6418 04:02:10,560 --> 04:02:11,520 for you offer. 6419 04:02:11,520 --> 04:02:12,800 >> Let's just do done with you for now 6420 04:02:12,800 --> 04:02:13,520 then. Okay. 6421 04:02:13,520 --> 04:02:13,920 >> Okay. 6422 04:02:13,920 --> 04:02:15,600 >> Primary delivery mechanism for your core 6423 04:02:15,600 --> 04:02:17,120 offer is it software, information 6424 04:02:17,120 --> 04:02:19,760 services, or physical products? 6425 04:02:19,760 --> 04:02:21,279 >> It's a tech enabled service. 6426 04:02:21,279 --> 04:02:24,880 >> I'll say services. Okay. Um, primary 6427 04:02:24,880 --> 04:02:26,640 mode of advertising, warm outreach, cold 6428 04:02:26,640 --> 04:02:30,399 outreach, free content, or paid ads? 6429 04:02:30,399 --> 04:02:33,199 Currently, it's just organic. I had a 6430 04:02:33,199 --> 04:02:34,479 growth partner that I split up with two 6431 04:02:34,479 --> 04:02:34,960 months ago. 6432 04:02:34,960 --> 04:02:36,720 >> So, it's going to be free content. Okay. 6433 04:02:36,720 --> 04:02:37,040 Yes. 6434 04:02:37,040 --> 04:02:39,920 >> So, primary lead getter. Um, is it you 6435 04:02:39,920 --> 04:02:42,479 doing this stuff? Uh, yes. Okay. 6436 04:02:42,479 --> 04:02:46,160 >> Great. Uh, monetization mechanism. So, 6437 04:02:46,160 --> 04:02:47,359 for getting the majority of your 6438 04:02:47,359 --> 04:02:49,439 revenue, is it a continuity kind of 6439 04:02:49,439 --> 04:02:50,720 recurring payments, low ticket, high 6440 04:02:50,720 --> 04:02:52,720 volume, or high volume? It's it's 6441 04:02:52,720 --> 04:02:55,199 >> high ticket. High ticket recurring. It's 6442 04:02:55,199 --> 04:02:57,439 5K a year was my V1 offer. 6443 04:02:57,439 --> 04:02:59,359 >> Okay. I'll go high volume. Uh, sorry. 6444 04:02:59,359 --> 04:03:00,640 Low volume, high ticket. That's where 6445 04:03:00,640 --> 04:03:02,239 we're going to go. Okay. 6446 04:03:02,239 --> 04:03:04,160 >> Primary selling mechanism for your core 6447 04:03:04,160 --> 04:03:07,120 offer. Is it uh inerson salesperson, 6448 04:03:07,120 --> 04:03:08,960 online salesperson, online selfch 6449 04:03:08,960 --> 04:03:10,080 checkckout, or inerson selfch 6450 04:03:10,080 --> 04:03:11,120 checkckout? 6451 04:03:11,120 --> 04:03:12,720 >> Online salesperson. I'm the one taking 6452 04:03:12,720 --> 04:03:14,239 calls. 6453 04:03:14,239 --> 04:03:16,800 >> Online salesperson. Here we go. 6454 04:03:16,800 --> 04:03:19,359 >> How many employees do you have? 6455 04:03:19,359 --> 04:03:20,479 >> Just me. 6456 04:03:20,479 --> 04:03:23,199 >> All right. Easy. Uh, current tech 6457 04:03:23,199 --> 04:03:25,760 status. 6458 04:03:25,760 --> 04:03:26,640 >> Current tech status. 6459 04:03:26,640 --> 04:03:28,000 >> Yeah. So, do you run your business with 6460 04:03:28,000 --> 04:03:29,279 pen and paper? Do you have a mess of 6461 04:03:29,279 --> 04:03:30,800 spreadsheets? Do you use a CRM and maybe 6462 04:03:30,800 --> 04:03:33,040 a few tools? You have a full tech stack 6463 04:03:33,040 --> 04:03:34,319 or almost everything that can be 6464 04:03:34,319 --> 04:03:36,080 automated is automated. 6465 04:03:36,080 --> 04:03:38,800 >> Uh, Google Sheets Empire. I use GHL for 6466 04:03:38,800 --> 04:03:40,319 my CRM. 6467 04:03:40,319 --> 04:03:41,680 >> Um, yeah. So, I'll be either between 6468 04:03:41,680 --> 04:03:43,359 little or middle. I'll just keep it at 6469 04:03:43,359 --> 04:03:45,279 little. Okay. So, primary business 6470 04:03:45,279 --> 04:03:47,279 constraint 6471 04:03:47,279 --> 04:03:49,600 >> based on everything today. Yeah. 6472 04:03:49,600 --> 04:03:52,080 >> It's it's uh up between leads and cash 6473 04:03:52,080 --> 04:03:53,760 flow. 6474 04:03:53,760 --> 04:03:56,479 >> Okay. So, well, let's walk through this 6475 04:03:56,479 --> 04:03:58,000 together then. This will be fun. Okay, 6476 04:03:58,000 --> 04:03:59,920 before I finish this, let's let's just 6477 04:03:59,920 --> 04:04:02,640 let's walk through our our mossy six. 6478 04:04:02,640 --> 04:04:06,319 Okay, so it's gonna because the conrink 6479 04:04:06,319 --> 04:04:09,520 there can only be one. So, 6480 04:04:09,520 --> 04:04:11,120 >> why can't you get more lead? Like, why 6481 04:04:11,120 --> 04:04:12,000 can't you do more of what you're 6482 04:04:12,000 --> 04:04:14,080 currently doing? 6483 04:04:14,080 --> 04:04:17,199 >> Um, my lead flow was disrupted two 6484 04:04:17,199 --> 04:04:19,520 months ago when I split from my uh 6485 04:04:19,520 --> 04:04:22,720 growth partner who had 370K on IG. My 6486 04:04:22,720 --> 04:04:24,720 personal brand is very small. So about 6487 04:04:24,720 --> 04:04:28,080 1.5k followers on X and 7.4K on school, 6488 04:04:28,080 --> 04:04:29,439 but there's a very low engagement rate 6489 04:04:29,439 --> 04:04:30,239 in school. Okay. 6490 04:04:30,239 --> 04:04:31,439 >> But that's where most of my clients are 6491 04:04:31,439 --> 04:04:32,479 coming from right now is just from 6492 04:04:32,479 --> 04:04:34,160 upselling and ascending existing 6493 04:04:34,160 --> 04:04:36,080 clients. 6494 04:04:36,080 --> 04:04:37,760 >> Okay. 6495 04:04:37,760 --> 04:04:40,800 So you had a lead source that you lost. 6496 04:04:40,800 --> 04:04:41,600 >> Yes. 6497 04:04:41,600 --> 04:04:44,080 >> Okay. So you can't do more because you 6498 04:04:44,080 --> 04:04:46,000 don't have it anymore. 6499 04:04:46,000 --> 04:04:46,880 >> Correct. 6500 04:04:46,880 --> 04:04:49,840 >> Okay. Got it. So uh I don't think 6501 04:04:49,840 --> 04:04:51,760 metrics is an issue for you, right? 6502 04:04:51,760 --> 04:04:53,760 We're good there. We don't have to worry 6503 04:04:53,760 --> 04:04:56,080 about that. So, it's not metrics or I'll 6504 04:04:56,080 --> 04:04:57,279 just make that a checkbox. So, you've 6505 04:04:57,279 --> 04:04:58,880 got metrics and then market. I think 6506 04:04:58,880 --> 04:05:00,160 your market is plenty big enough. So, we 6507 04:05:00,160 --> 04:05:01,199 don't have a problem with that. 6508 04:05:01,199 --> 04:05:03,040 >> Yeah, it's a 60 trillion dollar tam. 6509 04:05:03,040 --> 04:05:04,319 >> Yeah, not worried about that. So, you 6510 04:05:04,319 --> 04:05:06,000 got metrics, we got market, then we got 6511 04:05:06,000 --> 04:05:08,000 model. I don't think there's any issues 6512 04:05:08,000 --> 04:05:09,359 with the model based on the goals that 6513 04:05:09,359 --> 04:05:10,560 you have. I mean, what are the goals you 6514 04:05:10,560 --> 04:05:12,160 have right now? 6515 04:05:12,160 --> 04:05:15,840 >> Um, I did 330 last 11 months. I want to 6516 04:05:15,840 --> 04:05:17,600 hit a million ARR. 6517 04:05:17,600 --> 04:05:19,600 >> Yeah, but this model can easily hit that 6518 04:05:19,600 --> 04:05:21,120 though, so I'm going to say yes. 6519 04:05:21,120 --> 04:05:24,080 >> Okay, great. So then we got money. So 6520 04:05:24,080 --> 04:05:25,680 we've got four options here within 6521 04:05:25,680 --> 04:05:28,160 money, which is we've got leads. You 6522 04:05:28,160 --> 04:05:29,279 can't afford them because you don't have 6523 04:05:29,279 --> 04:05:30,960 the leads aren't cheap enough. You've 6524 04:05:30,960 --> 04:05:32,640 got sales because you can't convert 6525 04:05:32,640 --> 04:05:36,160 them. We've got uh LTV and then we've 6526 04:05:36,160 --> 04:05:39,760 got cash flow. Okay. So uh I already 6527 04:05:39,760 --> 04:05:40,960 know that your issue is not going to be 6528 04:05:40,960 --> 04:05:42,720 cash flow because you sell a digital 6529 04:05:42,720 --> 04:05:44,479 thing and you get accelerated up front. 6530 04:05:44,479 --> 04:05:46,319 I'm guessing unless are you are they 6531 04:05:46,319 --> 04:05:47,439 getting charged up front or are they 6532 04:05:47,439 --> 04:05:49,439 charged over time? 6533 04:05:49,439 --> 04:05:53,680 Um I actually charge up front annual. 6534 04:05:53,680 --> 04:05:55,840 >> Yeah. Okay. So then cash flow is not 6535 04:05:55,840 --> 04:05:57,520 going to be the issue. All right. So 6536 04:05:57,520 --> 04:05:58,000 then 6537 04:05:58,000 --> 04:05:59,680 >> lumpy though it is lumpy. 6538 04:05:59,680 --> 04:06:01,120 >> That's because of uh insufficient 6539 04:06:01,120 --> 04:06:02,000 volume. 6540 04:06:02,000 --> 04:06:04,319 >> Uh not because it's inherently anything 6541 04:06:04,319 --> 04:06:06,479 wrong with the business. Okay. So you 6542 04:06:06,479 --> 04:06:07,600 just aren't selling enough of them. 6543 04:06:07,600 --> 04:06:08,720 That's why it's lumpy. Not because 6544 04:06:08,720 --> 04:06:09,840 there's anything like if you were 6545 04:06:09,840 --> 04:06:10,800 selling one a day it wouldn't be an 6546 04:06:10,800 --> 04:06:15,040 issue. So okay. So now we've got um do 6547 04:06:15,040 --> 04:06:16,800 you not have enough leads that are 6548 04:06:16,800 --> 04:06:19,279 coming in? 6549 04:06:19,279 --> 04:06:22,160 No, I basically have um not been doing 6550 04:06:22,160 --> 04:06:23,680 any lead generation the past two months 6551 04:06:23,680 --> 04:06:24,800 because I've been building out my done 6552 04:06:24,800 --> 04:06:27,920 for you offer with this higher uh LTGP. 6553 04:06:27,920 --> 04:06:29,040 >> Okay. 6554 04:06:29,040 --> 04:06:31,040 >> Well, okay. So, leads though. So, how 6555 04:06:31,040 --> 04:06:33,840 are you going to get leads right now? 6556 04:06:33,840 --> 04:06:36,080 >> Um right now it's just from ascending 6557 04:06:36,080 --> 04:06:38,000 existing customers and I raised my 6558 04:06:38,000 --> 04:06:40,720 prices by 4x recently. sale. 6559 04:06:40,720 --> 04:06:42,239 >> So, but you have a you have a leads list 6560 04:06:42,239 --> 04:06:43,680 that you're just going to hit 6561 04:06:43,680 --> 04:06:46,160 fundamentally and then after that you're 6562 04:06:46,160 --> 04:06:47,760 then you're I mean this is a one-time 6563 04:06:47,760 --> 04:06:48,960 shot. You're going to collect some cash, 6564 04:06:48,960 --> 04:06:49,840 but then after that you're going to be 6565 04:06:49,840 --> 04:06:51,120 at zero again. 6566 04:06:51,120 --> 04:06:52,319 >> Yeah. Yeah. 6567 04:06:52,319 --> 04:06:56,479 >> So, that's fine. Go do that. Extract 6568 04:06:56,479 --> 04:06:58,000 value. But then I think you're still 6569 04:06:58,000 --> 04:07:00,080 just going to have to do really more. 6570 04:07:00,080 --> 04:07:01,840 But it's just you haven't really you're 6571 04:07:01,840 --> 04:07:03,279 in a weird position where you like had 6572 04:07:03,279 --> 04:07:04,800 something and then now it's a zero, 6573 04:07:04,800 --> 04:07:06,960 which is not common, but that's fine. 6574 04:07:06,960 --> 04:07:09,680 So, either you're gonna have to run ads, 6575 04:07:09,680 --> 04:07:12,319 we're gonna have to make content, 6576 04:07:12,319 --> 04:07:14,800 or you're gonna have to do outreach. Um, 6577 04:07:14,800 --> 04:07:17,199 I'm gonna bet right now that you're 6578 04:07:17,199 --> 04:07:19,279 going to want to start being far more 6579 04:07:19,279 --> 04:07:21,439 aggressive on content as your primary 6580 04:07:21,439 --> 04:07:22,479 strategy. 6581 04:07:22,479 --> 04:07:23,439 >> I agree. 6582 04:07:23,439 --> 04:07:26,720 >> Okay. So, I would, if I'm you, I would 6583 04:07:26,720 --> 04:07:29,120 go hardcore marketing machine, branding, 6584 04:07:29,120 --> 04:07:31,760 and hooks as the three playbooks that 6585 04:07:31,760 --> 04:07:34,560 I'd be like pouring myself into. And 6586 04:07:34,560 --> 04:07:36,319 obviously you want to do VSSL with 6587 04:07:36,319 --> 04:07:38,000 proof, follow the closing and lead 6588 04:07:38,000 --> 04:07:39,680 nurture stuff. That's just because it's 6589 04:07:39,680 --> 04:07:41,120 going to that'll just like you'll just 6590 04:07:41,120 --> 04:07:42,800 juice more out of it. But the front of 6591 04:07:42,800 --> 04:07:45,040 the funnel is for sure the issue. And so 6592 04:07:45,040 --> 04:07:47,840 I'd be asking myself, how can I make 6593 04:07:47,840 --> 04:07:49,199 what? So you're on X and what? 6594 04:07:49,199 --> 04:07:51,120 Instagram. 6595 04:07:51,120 --> 04:07:54,800 >> Uh X is my biggest following with 1.5K 6596 04:07:54,800 --> 04:07:56,960 followers. I do have a 7.4K school 6597 04:07:56,960 --> 04:07:58,560 community, but engagement rate is only 6598 04:07:58,560 --> 04:07:59,199 5%. 6599 04:07:59,199 --> 04:08:00,640 >> Inside of your group? 6600 04:08:00,640 --> 04:08:01,840 >> Inside of my school group. That's cuz 6601 04:08:01,840 --> 04:08:03,040 you mined all of the people who were 6602 04:08:03,040 --> 04:08:04,160 good into your paid group. 6603 04:08:04,160 --> 04:08:06,399 >> Yeah, that the group was passed on to me 6604 04:08:06,399 --> 04:08:07,439 after 6605 04:08:07,439 --> 04:08:09,040 >> it's just you just inherited a dead 6606 04:08:09,040 --> 04:08:12,080 group. That's okay. Um anyways, so I'm 6607 04:08:12,080 --> 04:08:13,439 glad you have some people there. I would 6608 04:08:13,439 --> 04:08:15,199 just go outreach from that perspective 6609 04:08:15,199 --> 04:08:17,920 for for those people. That's like day 6610 04:08:17,920 --> 04:08:19,840 one is outreach. Mind the rest of you 6611 04:08:19,840 --> 04:08:22,800 can so you can stack some cash. Then I 6612 04:08:22,800 --> 04:08:25,840 would say concurrently I'm asking myself 6613 04:08:25,840 --> 04:08:28,720 how can I do but how can I make two 6614 04:08:28,720 --> 04:08:30,160 three pieces of content a day that I can 6615 04:08:30,160 --> 04:08:33,439 repurpose across IG Tik Tok X like we 6616 04:08:33,439 --> 04:08:35,279 want to get this whole machine going and 6617 04:08:35,279 --> 04:08:39,439 I would do probably the CTA the um the 6618 04:08:39,439 --> 04:08:42,479 CTA plus manyhat as the the play so that 6619 04:08:42,479 --> 04:08:44,000 you can direct everyone towards 6620 04:08:44,000 --> 04:08:46,479 Instagram run a DM funnel to a phone 6621 04:08:46,479 --> 04:08:49,760 sale with a VSSL and then sell them in 6622 04:08:49,760 --> 04:08:52,560 >> so pivot from X to IG, right? Because my 6623 04:08:52,560 --> 04:08:54,319 IG is very small audience. 6624 04:08:54,319 --> 04:08:55,760 >> If you want to go to X, that's fine. I 6625 04:08:55,760 --> 04:08:57,040 just think more people will be it's just 6626 04:08:57,040 --> 04:08:58,080 more common for people to have 6627 04:08:58,080 --> 04:08:58,720 Instagram. 6628 04:08:58,720 --> 04:08:59,120 >> Sure. 6629 04:08:59,120 --> 04:09:00,720 >> If you want, you can have a DMR on both. 6630 04:09:00,720 --> 04:09:01,680 Like it's not the end of the world. I 6631 04:09:01,680 --> 04:09:03,040 just prefer to have one front door. So, 6632 04:09:03,040 --> 04:09:04,479 that's more of an operational issue. If 6633 04:09:04,479 --> 04:09:06,000 you can manage it, there's definitely a 6634 04:09:06,000 --> 04:09:08,720 bunch of um combined inbox softwares 6635 04:09:08,720 --> 04:09:11,439 that exist that can just pull all your 6636 04:09:11,439 --> 04:09:13,040 uh inboxes into one place between 6637 04:09:13,040 --> 04:09:15,520 different platforms. 6638 04:09:15,520 --> 04:09:17,680 >> Okay. And what uh would you just focus 6639 04:09:17,680 --> 04:09:20,399 on making content on IG only if I were 6640 04:09:20,399 --> 04:09:21,040 to make that switch? 6641 04:09:21,040 --> 04:09:22,239 >> No, I would keep No, I would keep making 6642 04:09:22,239 --> 04:09:24,000 it on X. Like I want you to make as much 6643 04:09:24,000 --> 04:09:25,439 content as humanly possible because the 6644 04:09:25,439 --> 04:09:26,720 nature of the sale you have requires a 6645 04:09:26,720 --> 04:09:27,680 lot of trust, 6646 04:09:27,680 --> 04:09:28,000 >> right? 6647 04:09:28,000 --> 04:09:29,120 >> Anything investing related is going to 6648 04:09:29,120 --> 04:09:30,800 require a lot of trust. And so I would I 6649 04:09:30,800 --> 04:09:32,560 would be trying to put as much content 6650 04:09:32,560 --> 04:09:34,960 out as I possibly could. 6651 04:09:34,960 --> 04:09:36,239 >> Yeah. Because I know you said one 6652 04:09:36,239 --> 04:09:38,239 channel, one avatar, and so one million. 6653 04:09:38,239 --> 04:09:39,760 >> Yeah, I know. I just you want thing is 6654 04:09:39,760 --> 04:09:41,840 is that you have like the infrastructure 6655 04:09:41,840 --> 04:09:43,439 of a business that had a much bigger 6656 04:09:43,439 --> 04:09:45,040 audience that then just disappeared. And 6657 04:09:45,040 --> 04:09:46,960 so I want you to play catchup right now. 6658 04:09:46,960 --> 04:09:48,479 >> Okay. Got it. Got it. Got it. So just 6659 04:09:48,479 --> 04:09:49,920 make as much content as humanly 6660 04:09:49,920 --> 04:09:51,439 possible. Point it all at one front door 6661 04:09:51,439 --> 04:09:54,080 which is IG any chat integration. And 6662 04:09:54,080 --> 04:09:55,279 then would you how would you integrate 6663 04:09:55,279 --> 04:09:56,640 school into that? Because I 6664 04:09:56,640 --> 04:09:57,920 >> well your delivery is going to be on 6665 04:09:57,920 --> 04:09:58,560 school. 6666 04:09:58,560 --> 04:10:00,080 >> My deliveries on school. Got it. Okay. 6667 04:10:00,080 --> 04:10:03,080 >> Easy. 6668 04:10:03,600 --> 04:10:06,319 >> Done. 6669 04:10:06,319 --> 04:10:08,960 Love this for us. 6670 04:10:08,960 --> 04:10:10,000 All right. Well, leads was the 6671 04:10:10,000 --> 04:10:11,520 constraint of the business. 6672 04:10:11,520 --> 04:10:14,160 >> Yes. leads is the Yeah, leads is clearly 6673 04:10:14,160 --> 04:10:14,880 the constraint. 6674 04:10:14,880 --> 04:10:16,960 >> Okay. Well, appreciate you, Kevin. I'm 6675 04:10:16,960 --> 04:10:18,160 gonna call the the next one up. All 6676 04:10:18,160 --> 04:10:18,399 right. 6677 04:10:18,399 --> 04:10:20,720 >> Can I Can I just say one thing, Alex? 6678 04:10:20,720 --> 04:10:21,600 >> Only if it's really nice. 6679 04:10:21,600 --> 04:10:24,239 >> Before it's really nice. Before Money 6680 04:10:24,239 --> 04:10:26,399 Models launch, I the only thing I bought 6681 04:10:26,399 --> 04:10:28,479 from you was a 50 cent Kindle, which is 6682 04:10:28,479 --> 04:10:31,359 $100 million offer Kindle. And at this 6683 04:10:31,359 --> 04:10:33,600 money model launch, I I bought every 6684 04:10:33,600 --> 04:10:36,960 single upsell, spent like 24.5K. 6685 04:10:36,960 --> 04:10:39,279 uh got the act uh handbooks for closer 6686 04:10:39,279 --> 04:10:42,319 ad handbooks ACQAI the school community 6687 04:10:42,319 --> 04:10:44,640 and this is I will tell you um a weekend 6688 04:10:44,640 --> 04:10:46,479 this is the best money I've ever spent 6689 04:10:46,479 --> 04:10:48,319 in my life 6690 04:10:48,319 --> 04:10:50,319 >> the school group is incredible the the 6691 04:10:50,319 --> 04:10:53,600 network um the advice from not just ACQ 6692 04:10:53,600 --> 04:10:55,040 team obviously but like there's seven 6693 04:10:55,040 --> 04:10:56,479 and nine figure business owners in there 6694 04:10:56,479 --> 04:10:59,120 so just so much game being dropped daily 6695 04:10:59,120 --> 04:11:02,800 um so yeah worth investment for the 6696 04:11:02,800 --> 04:11:04,399 first six weeks and it it's for six 6697 04:11:04,399 --> 04:11:07,040 months so I'm just blown I'm blown way. 6698 04:11:07,040 --> 04:11:09,120 >> Thanks, man. I appreciate it. 6699 04:11:09,120 --> 04:11:10,000 >> All right. Thank you, Alex. 6700 04:11:10,000 --> 04:11:11,120 >> You bet, man. All right. See you. 6701 04:11:11,120 --> 04:11:14,560 >> Have a good one. Bye. 6702 04:11:14,560 --> 04:11:18,399 >> That wasn't planned. Um, 6703 04:11:18,399 --> 04:11:21,040 um, okay. Hold on. 100. 6704 04:11:21,040 --> 04:11:22,960 All right. Next up, hopefully this is 6705 04:11:22,960 --> 04:11:24,560 cool. Like actually seeing the models, 6706 04:11:24,560 --> 04:11:26,160 get a walkthrough in real time because I 6707 04:11:26,160 --> 04:11:28,160 want the the output I want from everyone 6708 04:11:28,160 --> 04:11:30,640 here is that you're very clear on what 6709 04:11:30,640 --> 04:11:33,279 your specific constraint was. So, we had 6710 04:11:33,279 --> 04:11:34,239 to figure out what his constraint was 6711 04:11:34,239 --> 04:11:35,600 and I didn't even get to to use the AI 6712 04:11:35,600 --> 04:11:37,040 because we just had to walk through it. 6713 04:11:37,040 --> 04:11:41,680 But, um, okay, let's go. Ivan Ivan 6714 04:11:41,680 --> 04:11:46,520 Bunan. Ivan Boon. 6715 04:11:49,600 --> 04:11:53,239 Pareto talent. 6716 04:11:54,319 --> 04:11:55,920 >> Ivan, 6717 04:11:55,920 --> 04:11:56,560 >> hello. 6718 04:11:56,560 --> 04:11:59,279 >> Talk to me. Pareto talent. 6719 04:11:59,279 --> 04:12:01,040 Hey, uh first of all, thank you so much 6720 04:12:01,040 --> 04:12:02,239 for having me and thank you so much for 6721 04:12:02,239 --> 04:12:04,080 creating such a great offer. It's 6722 04:12:04,080 --> 04:12:05,439 amazing to be a part of 6723 04:12:05,439 --> 04:12:07,279 >> I'm happy to help. So tell me about the 6724 04:12:07,279 --> 04:12:09,600 core offer. Is it uh done with you, do 6725 04:12:09,600 --> 04:12:11,680 it yourself, done for you? What which is 6726 04:12:11,680 --> 04:12:13,120 it? 6727 04:12:13,120 --> 04:12:14,880 >> So it's done for you. We are finding 6728 04:12:14,880 --> 04:12:16,239 training and managing executive 6729 04:12:16,239 --> 04:12:18,080 assistants from Latin for entrepreneurs 6730 04:12:18,080 --> 04:12:19,600 from the US. Got it. And have the full 6731 04:12:19,600 --> 04:12:20,479 package for them. 6732 04:12:20,479 --> 04:12:22,880 >> So your services, how do you get uh how 6733 04:12:22,880 --> 04:12:24,720 do you get customers? 6734 04:12:24,720 --> 04:12:27,760 Right now it's 100% referrals like we 6735 04:12:27,760 --> 04:12:30,560 have organic traffic. My partner Kasm 6736 04:12:30,560 --> 04:12:33,279 has yeah Facebook following of 20,000 6737 04:12:33,279 --> 04:12:34,479 and we also launch. 6738 04:12:34,479 --> 04:12:35,600 >> Okay. So content. 6739 04:12:35,600 --> 04:12:37,760 >> Yeah. Content. We'll put that out. Okay. 6740 04:12:37,760 --> 04:12:39,760 And then primary lead getter. Is it you 6741 04:12:39,760 --> 04:12:41,920 guys then? 6742 04:12:41,920 --> 04:12:43,600 >> Um once again 6743 04:12:43,600 --> 04:12:44,880 >> I'm going to say it's it's you and your 6744 04:12:44,880 --> 04:12:46,080 employees that are the ones getting 6745 04:12:46,080 --> 04:12:47,439 getting these leads after you make the 6746 04:12:47,439 --> 04:12:48,399 content. Correct. 6747 04:12:48,399 --> 04:12:50,319 >> Yes. Yes. Okay. So we don't we don't 6748 04:12:50,319 --> 04:12:51,920 have any agencies here. And then I'm 6749 04:12:51,920 --> 04:12:53,920 going to say you guys are high ticket 6750 04:12:53,920 --> 04:12:54,640 because it's a 6751 04:12:54,640 --> 04:12:56,800 >> Yeah. So we start at 2,000 a month. 6752 04:12:56,800 --> 04:12:58,399 >> Yep. That's high ticket. Okay. Uh 6753 04:12:58,399 --> 04:13:00,399 primary selling mechanism online call 6754 04:13:00,399 --> 04:13:01,920 plus salesperson. 6755 04:13:01,920 --> 04:13:02,399 >> Yeah. 6756 04:13:02,399 --> 04:13:05,040 >> Okay. Got that. Uh how many employees 6757 04:13:05,040 --> 04:13:06,800 you just have do you have? 6758 04:13:06,800 --> 04:13:09,520 >> Uh seven and two co-ounders. 6759 04:13:09,520 --> 04:13:11,439 >> Okay. I'm going to say a few here. There 6760 04:13:11,439 --> 04:13:14,399 we go. Um and then uh current tech 6761 04:13:14,399 --> 04:13:16,720 status. What's uh what's your tech stack 6762 04:13:16,720 --> 04:13:17,600 look like? 6763 04:13:17,600 --> 04:13:19,840 >> Um I think we're pretty robust. 6764 04:13:19,840 --> 04:13:22,640 >> Pretty robust. So, I'm going to say hi. 6765 04:13:22,640 --> 04:13:23,120 >> Yeah. 6766 04:13:23,120 --> 04:13:25,439 >> Okay. And then what's the what's the 6767 04:13:25,439 --> 04:13:26,720 thing that's stopping you from growing 6768 04:13:26,720 --> 04:13:28,720 the business right now? 6769 04:13:28,720 --> 04:13:30,880 >> Uh, I think we hit the limit on our 6770 04:13:30,880 --> 04:13:32,880 referrals and scaling businesses in this 6771 04:13:32,880 --> 04:13:34,479 way. So, we're looking to open up for 6772 04:13:34,479 --> 04:13:35,680 lead generation. 6773 04:13:35,680 --> 04:13:36,720 >> All right. So, I'm going to say your 6774 04:13:36,720 --> 04:13:39,760 core offer is we recruit executive uh 6775 04:13:39,760 --> 04:13:41,439 assistants 6776 04:13:41,439 --> 04:13:43,199 offshore 6777 04:13:43,199 --> 04:13:46,720 or nearshore or whatever for CEOs. Is 6778 04:13:46,720 --> 04:13:48,080 that correct? 6779 04:13:48,080 --> 04:13:48,720 >> Yeah. 6780 04:13:48,720 --> 04:13:51,600 >> Okay. So, we're saving these changes. 6781 04:13:51,600 --> 04:13:54,880 Fantastic. Um, I have a leads 6782 04:13:54,880 --> 04:13:57,760 constraint. I 6783 04:13:57,760 --> 04:14:04,080 am uh I have 20K followers. 6784 04:14:04,080 --> 04:14:09,920 We are getting referrals as our primary 6785 04:14:09,920 --> 04:14:14,000 way of getting customers. 6786 04:14:14,000 --> 04:14:16,479 How can I 6787 04:14:16,479 --> 04:14:19,279 where should I say this? Where 6788 04:14:19,279 --> 04:14:21,199 should 6789 04:14:21,199 --> 04:14:24,720 I focus to get more leads? 6790 04:14:24,720 --> 04:14:26,640 Okay. So, we're going to let the AI do 6791 04:14:26,640 --> 04:14:28,399 its do its thinking. Um, in the 6792 04:14:28,399 --> 04:14:29,840 meantime, 6793 04:14:29,840 --> 04:14:30,239 >> yeah, 6794 04:14:30,239 --> 04:14:32,239 >> right now you have your content from 6795 04:14:32,239 --> 04:14:34,399 your partner that's doing 20K, right? 6796 04:14:34,399 --> 04:14:34,960 >> Yep. 6797 04:14:34,960 --> 04:14:36,319 >> Okay. And you are getting some leads 6798 04:14:36,319 --> 04:14:37,680 from that. 6799 04:14:37,680 --> 04:14:39,359 >> Yeah. So, majority of the leads like we 6800 04:14:39,359 --> 04:14:40,640 are in a lot of different communities, 6801 04:14:40,640 --> 04:14:42,720 masterminds, entrepreneurs, and so on. 6802 04:14:42,720 --> 04:14:44,479 This is where a lot of our leads right 6803 04:14:44,479 --> 04:14:44,720 now. 6804 04:14:44,720 --> 04:14:46,159 >> Okay. So, you just join mastermind so 6805 04:14:46,159 --> 04:14:47,199 that they can go get leads. That's 6806 04:14:47,199 --> 04:14:49,840 funny. Um, don't be fishing in my pond, 6807 04:14:49,840 --> 04:14:51,120 man. Um, 6808 04:14:51,120 --> 04:14:53,600 >> I'm providing the most money I can I 6809 04:14:53,600 --> 04:14:56,880 think I generated like 50 apps last week 6810 04:14:56,880 --> 04:14:57,359 for all the 6811 04:14:57,359 --> 04:14:59,279 >> post. No, I appreciate it. So, by the 6812 04:14:59,279 --> 04:15:00,640 way, if everybody who's watching, one of 6813 04:15:00,640 --> 04:15:02,080 the like I said, one of the big things 6814 04:15:02,080 --> 04:15:03,840 that I try and do to like start any kind 6815 04:15:03,840 --> 04:15:05,920 of community is I I hate one of my big 6816 04:15:05,920 --> 04:15:08,000 one big pet peeves is when it just 6817 04:15:08,000 --> 04:15:10,479 becomes like this this stream of just 6818 04:15:10,479 --> 04:15:12,960 asks. And so, I try to flip that and say 6819 04:15:12,960 --> 04:15:15,120 like if everyone gives, then everyone 6820 04:15:15,120 --> 04:15:16,159 will end up getting all the questions 6821 04:15:16,159 --> 04:15:17,279 answered. about the whole community to 6822 04:15:17,279 --> 04:15:19,520 be awesome. Um, and maybe anybody who's 6823 04:15:19,520 --> 04:15:20,960 listening to this who's in there can can 6824 04:15:20,960 --> 04:15:22,560 vouch for that in terms of how the how 6825 04:15:22,560 --> 04:15:24,399 the community is structured. Um, but if 6826 04:15:24,399 --> 04:15:25,760 everyone gives their best thing to the 6827 04:15:25,760 --> 04:15:26,800 community, the community just like 6828 04:15:26,800 --> 04:15:28,720 really profits. And so I appreciate you 6829 04:15:28,720 --> 04:15:30,800 building 50 apps for all these people. 6830 04:15:30,800 --> 04:15:34,080 Um, that being said, we need you to get 6831 04:15:34,080 --> 04:15:37,279 uh more leads. So, and good. So, right 6832 04:15:37,279 --> 04:15:39,279 now the AI just said to fix leads fast, 6833 04:15:39,279 --> 04:15:40,239 I need to know where your constraint 6834 04:15:40,239 --> 04:15:41,920 really is. And believe where are the 6835 04:15:41,920 --> 04:15:43,920 20,000 followers? So, that's going to be 6836 04:15:43,920 --> 04:15:44,640 Facebook. 6837 04:15:44,640 --> 04:15:45,359 >> Facebook, 6838 04:15:45,359 --> 04:15:46,319 >> right? 6839 04:15:46,319 --> 04:15:49,760 Facebook average client value is what? 6840 04:15:49,760 --> 04:15:52,239 >> Um, so if you're looking into the LTV, 6841 04:15:52,239 --> 04:15:54,399 it's uh 21,000 6842 04:15:54,399 --> 04:15:58,880 >> 21K. So I'll go one, Facebook two. And 6843 04:15:58,880 --> 04:16:00,159 so everybody who's following along with 6844 04:16:00,159 --> 04:16:02,880 this, like anybody who's used the AI, 6845 04:16:02,880 --> 04:16:05,520 it's savage. I mean, like if you were to 6846 04:16:05,520 --> 04:16:06,640 ask me, I'm half talking to you, you 6847 04:16:06,640 --> 04:16:07,439 have talking to everybody else, just 6848 04:16:07,439 --> 04:16:10,399 FYI. Um, if if you were to ask me, "Hey, 6849 04:16:10,399 --> 04:16:11,600 Alex, what should I do to grow my 6850 04:16:11,600 --> 04:16:12,960 business?" My answer is not going to be 6851 04:16:12,960 --> 04:16:13,920 this is what you should do to grow your 6852 04:16:13,920 --> 04:16:14,880 business. I'm going to have like nine 6853 04:16:14,880 --> 04:16:17,439 other questions. So, we program the AI 6854 04:16:17,439 --> 04:16:20,800 to model the same question uh framework. 6855 04:16:20,800 --> 04:16:22,319 And you can probably look at this versus 6856 04:16:22,319 --> 04:16:24,239 like a GPT or something like that. This 6857 04:16:24,239 --> 04:16:27,279 isn't designed to be like a uh like a 6858 04:16:27,279 --> 04:16:29,840 wrapper. Um we built this tool and we're 6859 04:16:29,840 --> 04:16:31,279 continuing to reinvest in this tool 6860 04:16:31,279 --> 04:16:32,800 because we're using this internally. So, 6861 04:16:32,800 --> 04:16:34,159 this is our internal tool that you guys 6862 04:16:34,159 --> 04:16:36,159 got access to um so that we can 6863 04:16:36,159 --> 04:16:37,920 basically consult with businesses. And 6864 04:16:37,920 --> 04:16:40,080 so, it follows the same logic path, 6865 04:16:40,080 --> 04:16:42,479 logic tree to to determine basically the 6866 04:16:42,479 --> 04:16:45,120 the the best answer. All right. So, 21K 6867 04:16:45,120 --> 04:16:47,840 is the uh average client value. Um, and 6868 04:16:47,840 --> 04:16:50,319 what's your close rates right now? 6869 04:16:50,319 --> 04:16:52,399 >> Um, approximately 70%. 6870 04:16:52,399 --> 04:16:54,000 >> Oo, we have a we have we have some 6871 04:16:54,000 --> 04:16:56,399 pricing power there. Okay. Uh, weekly 6872 04:16:56,399 --> 04:16:57,760 capacity, how many new clients can you 6873 04:16:57,760 --> 04:16:59,920 onboard without breaking? 6874 04:16:59,920 --> 04:17:01,680 >> Um, 10. 6875 04:17:01,680 --> 04:17:04,399 >> 10. And what's your current flow? 6876 04:17:04,399 --> 04:17:06,720 >> Uh, right now we are pretty low about 6877 04:17:06,720 --> 04:17:08,720 six per month. So, it depends. Okay. So, 6878 04:17:08,720 --> 04:17:10,960 you have you have 5x the capacity right 6879 04:17:10,960 --> 04:17:14,560 now. Okay. Ideal buyer 6880 04:17:14,560 --> 04:17:16,880 >> um founders that make 20,000 per month 6881 04:17:16,880 --> 04:17:19,279 plus and want to save their time. 6882 04:17:19,279 --> 04:17:22,800 >> Okay. Founders over 20k per month. Got 6883 04:17:22,800 --> 04:17:25,840 it. And then do you have an uh a basic 6884 04:17:25,840 --> 04:17:27,760 referral program? 6885 04:17:27,760 --> 04:17:30,239 >> Yeah, we are paying out $1,000 for any 6886 04:17:30,239 --> 04:17:32,399 referrals that have been sent to us. 6887 04:17:32,399 --> 04:17:37,040 >> $1,000 referral program. Okay, great. 6888 04:17:37,040 --> 04:17:42,479 So, um, one time, boom. 6889 04:17:42,479 --> 04:17:44,319 So, we're, uh, we're we're letting the 6890 04:17:44,319 --> 04:17:47,760 letting the AI do its let let Alex AI or 6891 04:17:47,760 --> 04:17:51,359 ACQAI do its do its thing. Um, let's see 6892 04:17:51,359 --> 04:17:52,720 if we match. We probably will, but 6893 04:17:52,720 --> 04:17:53,920 there's also, as a reminder, everybody, 6894 04:17:53,920 --> 04:17:56,159 there's many ways up the mountain. So, 6895 04:17:56,159 --> 04:17:59,760 if I'm trying to grow the business, I'm 6896 04:17:59,760 --> 04:18:02,239 Why can't we just do a lot more of the 6897 04:18:02,239 --> 04:18:04,960 follower stuff and then on Facebook and 6898 04:18:04,960 --> 04:18:06,399 have 6899 04:18:06,399 --> 04:18:09,279 CTAs there like how why not do that what 6900 04:18:09,279 --> 04:18:11,199 stops us from doing that 6901 04:18:11,199 --> 04:18:13,120 >> so we are actively posting and actively 6902 04:18:13,120 --> 04:18:15,600 growing that but I started also my 6903 04:18:15,600 --> 04:18:17,199 LinkedIn and we started this YouTube 6904 04:18:17,199 --> 04:18:19,359 channel but we are just not getting the 6905 04:18:19,359 --> 04:18:21,120 all the result that we're looking for so 6906 04:18:21,120 --> 04:18:23,199 we started Facebook ads we started call 6907 04:18:23,199 --> 04:18:24,560 outreach as well 6908 04:18:24,560 --> 04:18:26,960 >> and looking to test different avenues 6909 04:18:26,960 --> 04:18:29,840 and to save time spending money 6910 04:18:29,840 --> 04:18:32,159 >> yeah I would rather you because the 6911 04:18:32,159 --> 04:18:33,600 thing is is when you when you try that 6912 04:18:33,600 --> 04:18:35,600 many it's hard to get good you what I 6913 04:18:35,600 --> 04:18:37,040 mean at any of them because all of them 6914 04:18:37,040 --> 04:18:38,399 work, right? Like you could do outbound, 6915 04:18:38,399 --> 04:18:40,800 it would work. You could do uh I think 6916 04:18:40,800 --> 04:18:42,479 that I think making LinkedIn content 6917 04:18:42,479 --> 04:18:43,680 like I think if you just stuck with 6918 04:18:43,680 --> 04:18:45,279 content since that is the primary way 6919 04:18:45,279 --> 04:18:47,359 that you've done it, I'm okay with you 6920 04:18:47,359 --> 04:18:49,760 making more uh types of content if 6921 04:18:49,760 --> 04:18:51,199 you've like maxed out Facebook as in 6922 04:18:51,199 --> 04:18:52,479 like you're posting three four times a 6923 04:18:52,479 --> 04:18:54,080 day or how many times a day you're f 6924 04:18:54,080 --> 04:18:56,319 posting on Facebook? Uh 6925 04:18:56,319 --> 04:18:58,960 >> so about that. So custom post about um I 6926 04:18:58,960 --> 04:19:01,600 would say four times a day. 6927 04:19:01,600 --> 04:19:02,319 So yeah. 6928 04:19:02,319 --> 04:19:04,080 >> Okay. So you're maxed out on Facebook, 6929 04:19:04,080 --> 04:19:05,520 right? 6930 04:19:05,520 --> 04:19:07,199 Like I would say pretty much and 6931 04:19:07,199 --> 04:19:09,199 Facebook algorithm is doing weird stuff 6932 04:19:09,199 --> 04:19:11,520 recently. We only showed it to like 5% 6933 04:19:11,520 --> 04:19:13,600 of your audience actually 6934 04:19:13,600 --> 04:19:16,960 >> heard. Okay, let's see what the AI says. 6935 04:19:16,960 --> 04:19:19,040 So uh the move 7-day capacity drop to 6936 04:19:19,040 --> 04:19:20,399 your room audience. So you don't have a 6937 04:19:20,399 --> 04:19:21,760 lead problem. You have an an action 6938 04:19:21,760 --> 04:19:23,680 problem with 70% close rate on 20,000 6939 04:19:23,680 --> 04:19:25,120 Facebook follows. You can uh fill your 6940 04:19:25,120 --> 04:19:27,840 calendar quickly. So uh capacity drop to 6941 04:19:27,840 --> 04:19:29,840 room audience will be rule of 100. Um 6942 04:19:29,840 --> 04:19:31,680 limited spots with a clear CTA. Book 6943 04:19:31,680 --> 04:19:34,720 calls now. So, basically, you would be 6944 04:19:34,720 --> 04:19:36,640 DMing, like if you wanted to rip, which 6945 04:19:36,640 --> 04:19:39,359 this totally would. Um, if you wanted to 6946 04:19:39,359 --> 04:19:42,720 rip through the 20k followers, one is 6947 04:19:42,720 --> 04:19:45,279 you can DM them. Um, and from a drop 6948 04:19:45,279 --> 04:19:46,720 perspective, it's like this is what you 6949 04:19:46,720 --> 04:19:49,279 could do this week, like 10 priority EA 6950 04:19:49,279 --> 04:19:51,040 assignments, um, first come, first 6951 04:19:51,040 --> 04:19:52,239 serve, like we already have these 6952 04:19:52,239 --> 04:19:54,479 killers comment EA. So, that's a mini 6953 04:19:54,479 --> 04:19:57,279 chat um, integration that you can do. 6954 04:19:57,279 --> 04:19:58,479 And then you can do a wait list once 6955 04:19:58,479 --> 04:20:00,560 you're sold out. After you do that, then 6956 04:20:00,560 --> 04:20:02,640 you can do a DM sprint. I would also 6957 04:20:02,640 --> 04:20:04,080 weigh in here and I'm just going to say, 6958 04:20:04,080 --> 04:20:09,840 "Hey, how would you structure a giveaway 6959 04:20:09,840 --> 04:20:15,399 for my audience with my offer?" 6960 04:20:15,439 --> 04:20:17,600 So, I would probably look at doing a 6961 04:20:17,600 --> 04:20:19,279 giveaway here and say like, "We just got 6962 04:20:19,279 --> 04:20:20,640 Bill Gates is not really, but like 6963 04:20:20,640 --> 04:20:22,880 whatever. We got we got an unbelievable 6964 04:20:22,880 --> 04:20:24,399 super high tier executive assistant. 6965 04:20:24,399 --> 04:20:25,680 We're going to do a giveaway where we're 6966 04:20:25,680 --> 04:20:28,080 going to um give this this human being 6967 04:20:28,080 --> 04:20:28,960 away. You're not in the human 6968 04:20:28,960 --> 04:20:30,640 trafficking business. Calm down." 6969 04:20:30,640 --> 04:20:34,080 um and uh to to one lucky, you know, 6970 04:20:34,080 --> 04:20:35,920 bootstrap founder. Um and so we're going 6971 04:20:35,920 --> 04:20:38,399 to cover her payroll for, you know, six 6972 04:20:38,399 --> 04:20:39,680 months or three months or whatever, 6973 04:20:39,680 --> 04:20:42,239 right? Um and I think that that would be 6974 04:20:42,239 --> 04:20:45,600 a pretty big W and then you'll get a ton 6975 04:20:45,600 --> 04:20:47,279 of people that will show interest in 6976 04:20:47,279 --> 04:20:49,359 that and then you can work that lead 6977 04:20:49,359 --> 04:20:51,279 list. Like if I had to go like fastest 6978 04:20:51,279 --> 04:20:53,920 money, um literally what it outlined is 6979 04:20:53,920 --> 04:20:56,080 probably a pretty good like place to 6980 04:20:56,080 --> 04:20:58,880 start, which is do a a banger offer, DM 6981 04:20:58,880 --> 04:21:00,319 everybody. You can also pair it with a 6982 04:21:00,319 --> 04:21:02,319 giveaway. Um, and I think that would be 6983 04:21:02,319 --> 04:21:04,239 quite sexy. 6984 04:21:04,239 --> 04:21:06,080 >> Yeah, that sounds amazing. Awesome. We 6985 04:21:06,080 --> 04:21:08,159 done something similar. So, we were 6986 04:21:08,159 --> 04:21:09,920 restructuring the pricing basically. So, 6987 04:21:09,920 --> 04:21:11,279 right now we are charging 2,000 per 6988 04:21:11,279 --> 04:21:13,279 month plus we also charge 3,000 6989 04:21:13,279 --> 04:21:15,199 placement fee and I was working with 6990 04:21:15,199 --> 04:21:17,520 your previous a bit more and it said 6991 04:21:17,520 --> 04:21:20,399 that this upfront placement fee might be 6992 04:21:20,399 --> 04:21:21,840 a problem. So, it recommended to move 6993 04:21:21,840 --> 04:21:23,840 forward to just increasing the price to 6994 04:21:23,840 --> 04:21:26,319 perhaps 3,500 a month and then removing 6995 04:21:26,319 --> 04:21:27,600 the placement fee. Yeah. 6996 04:21:27,600 --> 04:21:31,439 >> And the other that I recommend is to add 6997 04:21:31,439 --> 04:21:34,720 a two weeks trial like part time try the 6998 04:21:34,720 --> 04:21:36,800 CA before you actually test anything. 6999 04:21:36,800 --> 04:21:38,239 >> So I'm going to tweak it and the only 7000 04:21:38,239 --> 04:21:39,840 reason I'm going to tweak it is that you 7001 04:21:39,840 --> 04:21:41,520 have a 70% close rate which maybe it 7002 04:21:41,520 --> 04:21:43,760 didn't know the first time around. Um 7003 04:21:43,760 --> 04:21:45,520 but given the fact you have a 70% close 7004 04:21:45,520 --> 04:21:47,040 rate, you don't need to increase your 7005 04:21:47,040 --> 04:21:49,120 conversion rate 7006 04:21:49,120 --> 04:21:51,520 >> on the sale. So I'm super game for you 7007 04:21:51,520 --> 04:21:53,840 just charging $3,500 a month. What I 7008 04:21:53,840 --> 04:21:56,479 would do is I would rather take that 7009 04:21:56,479 --> 04:21:58,319 kind of trial concept and say I'm sure 7010 04:21:58,319 --> 04:21:59,600 you already do this, but just emphasize 7011 04:21:59,600 --> 04:22:01,520 it more that we'll replace we'll replace 7012 04:22:01,520 --> 04:22:05,359 the EA um as many times as needed uh 7013 04:22:05,359 --> 04:22:07,760 within the first 90 days. 7014 04:22:07,760 --> 04:22:09,920 >> We already do lifetime. So 7015 04:22:09,920 --> 04:22:11,439 >> you do lifetime. Jesus. 7016 04:22:11,439 --> 04:22:11,680 >> Yes. 7017 04:22:11,680 --> 04:22:13,199 >> Uh well then yeah, I mean like to me 7018 04:22:13,199 --> 04:22:15,040 then you don't need the trial like you 7019 04:22:15,040 --> 04:22:16,479 know what I mean? Like if we're 7020 04:22:16,479 --> 04:22:18,000 replacing them as many times as needed, 7021 04:22:18,000 --> 04:22:19,279 it's like we're going to keep doing this 7022 04:22:19,279 --> 04:22:21,600 job for you until it's done. 7023 04:22:21,600 --> 04:22:22,960 >> Yeah, definitely. Awesome. That makes 7024 04:22:22,960 --> 04:22:23,359 sense. 7025 04:22:23,359 --> 04:22:24,880 >> And I would just use this exact line 7026 04:22:24,880 --> 04:22:26,399 because I'll tell you how how to how how 7027 04:22:26,399 --> 04:22:28,479 I would close this. I would say after 7028 04:22:28,479 --> 04:22:30,000 you finish your like pitch or your spiel 7029 04:22:30,000 --> 04:22:33,199 or I would say, "And that means when you 7030 04:22:33,199 --> 04:22:35,840 pay this, you've solved your EA problem 7031 04:22:35,840 --> 04:22:38,000 for good. 7032 04:22:38,000 --> 04:22:39,439 >> So you never have to think about this 7033 04:22:39,439 --> 04:22:40,880 again because this is all we do 7034 04:22:40,880 --> 04:22:42,720 full-time. And if you ever have any 7035 04:22:42,720 --> 04:22:44,479 issues, we will replace them 7036 04:22:44,479 --> 04:22:45,840 >> and look at all these reviews to prove 7037 04:22:45,840 --> 04:22:48,720 that I know that I'm that I'm legit." 7038 04:22:48,720 --> 04:22:50,239 >> That's awesome. Amazing. Awesome. That's 7039 04:22:50,239 --> 04:22:52,479 yeah, we so once somebody gets an EA 7040 04:22:52,479 --> 04:22:54,159 from us, our average customer life is 7041 04:22:54,159 --> 04:22:55,600 like 220 days. 7042 04:22:55,600 --> 04:22:55,840 >> Okay. 7043 04:22:55,840 --> 04:22:58,239 >> You know, so they never leave. So that's 7044 04:22:58,239 --> 04:22:59,439 exactly what we're looking for for 7045 04:22:59,439 --> 04:23:02,000 someone to like step like get in a in a 7046 04:23:02,000 --> 04:23:04,080 door and actually try because I know 7047 04:23:04,080 --> 04:23:05,279 once they try. 7048 04:23:05,279 --> 04:23:06,399 >> And the tough part that you're going to 7049 04:23:06,399 --> 04:23:08,000 have is that once once someone develops 7050 04:23:08,000 --> 04:23:09,279 a really good rapport with an EA, 7051 04:23:09,279 --> 04:23:10,800 they'll just cut you out. 7052 04:23:10,800 --> 04:23:11,920 >> Um and so 7053 04:23:11,920 --> 04:23:13,600 >> we have by outfield, they can buy them 7054 04:23:13,600 --> 04:23:14,000 out. 7055 04:23:14,000 --> 04:23:14,399 >> Okay. 7056 04:23:14,399 --> 04:23:15,199 >> After 90 days, 7057 04:23:15,199 --> 04:23:17,439 >> it's just the enforcability um because 7058 04:23:17,439 --> 04:23:19,199 of international, you know what I mean? 7059 04:23:19,199 --> 04:23:21,680 Um, so are you US- based? 7060 04:23:21,680 --> 04:23:23,520 >> Uh, I'm based in Wisconsin, uh, but 7061 04:23:23,520 --> 04:23:24,960 moved from Ukraine a couple of years 7062 04:23:24,960 --> 04:23:26,080 ago. Okay. 7063 04:23:26,080 --> 04:23:28,239 >> Yeah. As unfortunate this is, as as as 7064 04:23:28,239 --> 04:23:29,760 you start scaling, you're going to have 7065 04:23:29,760 --> 04:23:31,760 to start enforcing that and making sure 7066 04:23:31,760 --> 04:23:34,239 that people don't screw you because EAS, 7067 04:23:34,239 --> 04:23:35,760 if you really nail it, they'll stay for 7068 04:23:35,760 --> 04:23:38,080 like 10, 20 years. So, it's a great, you 7069 04:23:38,080 --> 04:23:39,520 know, model for you. I would just make 7070 04:23:39,520 --> 04:23:41,359 sure because 220 days is like nine 7071 04:23:41,359 --> 04:23:43,120 months. And I would bet that there's 7072 04:23:43,120 --> 04:23:44,239 plenty of people who've done it, found 7073 04:23:44,239 --> 04:23:45,600 the right EA, and then just like go 7074 04:23:45,600 --> 04:23:48,560 around you and then just pay them. 7075 04:23:48,560 --> 04:23:52,000 Um, so far like we are we are at 56 7076 04:23:52,000 --> 04:23:53,600 customers until right now and so far 7077 04:23:53,600 --> 04:23:55,199 like I can see all that. But yeah, I 7078 04:23:55,199 --> 04:23:56,880 definitely agree because our scale to 7079 04:23:56,880 --> 04:23:59,040 scale it to to 300. Yeah. And then there 7080 04:23:59,040 --> 04:24:00,399 was no way for me to know all of that. 7081 04:24:00,399 --> 04:24:00,880 Yeah. 7082 04:24:00,880 --> 04:24:02,080 >> Well, rock and roll. Let's see what the 7083 04:24:02,080 --> 04:24:03,199 giveaway looked like. Let's see if it 7084 04:24:03,199 --> 04:24:04,800 matched mine. There we go. Look, it did. 7085 04:24:04,800 --> 04:24:06,239 The AI matched mine. 7086 04:24:06,239 --> 04:24:07,520 >> Thank you so much. I appreciate you a 7087 04:24:07,520 --> 04:24:07,840 lot. 7088 04:24:07,840 --> 04:24:09,600 >> You bet. The EA placement scholarship 7089 04:24:09,600 --> 04:24:12,000 giveaway. Grand prize. The thing you 7090 04:24:12,000 --> 04:24:14,479 sell. So, one full-time nearshore EA 7091 04:24:14,479 --> 04:24:15,760 placement package. You wave your 7092 04:24:15,760 --> 04:24:17,920 placement fee. Make the prize your core 7093 04:24:17,920 --> 04:24:19,760 offer. Assign the clear dollar value. So 7094 04:24:19,760 --> 04:24:21,680 it be like this is a $20,000 value or 7095 04:24:21,680 --> 04:24:23,359 whatever it is, right? Six months or 7096 04:24:23,359 --> 04:24:26,399 18,000. Um and then the promotional 7097 04:24:26,399 --> 04:24:27,439 offer is going to be a partial 7098 04:24:27,439 --> 04:24:29,760 scholarship which you can knock out $500 7099 04:24:29,760 --> 04:24:31,920 a month um or something like that, which 7100 04:24:31,920 --> 04:24:36,880 would be times six. So uh $3,000 as the 7101 04:24:36,880 --> 04:24:40,479 as the second place offer. 7102 04:24:40,479 --> 04:24:42,399 >> Got you. Yeah. Try this week. 7103 04:24:42,399 --> 04:24:43,680 >> All right. Rock and roll. Appreciate 7104 04:24:43,680 --> 04:24:44,720 you. 7105 04:24:44,720 --> 04:24:46,000 >> Awesome. Thank you so much. 7106 04:24:46,000 --> 04:24:48,000 >> All right. That's it. So hopefully you 7107 04:24:48,000 --> 04:24:49,760 guys as you're going through this like 7108 04:24:49,760 --> 04:24:51,680 we've trained this AI like I know I've 7109 04:24:51,680 --> 04:24:54,159 already seen a bunch um of you guys 7110 04:24:54,159 --> 04:24:56,319 saying this online and I the the scale 7111 04:24:56,319 --> 04:24:57,920 advisor group has a bunch of these like 7112 04:24:57,920 --> 04:25:00,640 the AI is really good. Um we have a so 7113 04:25:00,640 --> 04:25:02,479 what people don't know is like we have a 7114 04:25:02,479 --> 04:25:04,000 very large infrastructure for for 7115 04:25:04,000 --> 04:25:05,920 technology atacquisition.com because 7116 04:25:05,920 --> 04:25:07,120 it's very common for us to like look 7117 04:25:07,120 --> 04:25:08,720 into a business and we have to like do 7118 04:25:08,720 --> 04:25:10,800 things right and so we have a full tech 7119 04:25:10,800 --> 04:25:13,760 team um of developers and engineers who 7120 04:25:13,760 --> 04:25:15,680 work for us. So we do DevOps, which is 7121 04:25:15,680 --> 04:25:17,600 internal development that we do. So like 7122 04:25:17,600 --> 04:25:18,720 basically streamline our internal 7123 04:25:18,720 --> 04:25:21,520 operations, but we also have full like 7124 04:25:21,520 --> 04:25:22,960 like our head of engineer is ex head of 7125 04:25:22,960 --> 04:25:24,479 engineering from Upwork, you know what I 7126 04:25:24,479 --> 04:25:27,040 mean? Um like we have very good people. 7127 04:25:27,040 --> 04:25:28,640 Um 7128 04:25:28,640 --> 04:25:30,399 and so that's why this is a really legit 7129 04:25:30,399 --> 04:25:32,560 product. Um and so I wanted to make sure 7130 04:25:32,560 --> 04:25:35,439 that everyone absolutely loved it. Uh 7131 04:25:35,439 --> 04:25:36,880 and so that's why we did it. So let's do 7132 04:25:36,880 --> 04:25:38,319 another one. So I want hopefully is 7133 04:25:38,319 --> 04:25:39,680 hopefully is this is this cool for you 7134 04:25:39,680 --> 04:25:41,359 guys? I I want to show that this stuff 7135 04:25:41,359 --> 04:25:43,760 like walking through the constraints and 7136 04:25:43,760 --> 04:25:45,920 figuring out what the real constraint is 7137 04:25:45,920 --> 04:25:48,720 um follows a process um so that you can 7138 04:25:48,720 --> 04:25:50,319 do it for yourself. All right, we're 7139 04:25:50,319 --> 04:25:53,760 going to go. Joseph Pas um Alliance 7140 04:25:53,760 --> 04:25:58,359 Health Group phone number. Here we go. 7141 04:26:03,680 --> 04:26:04,560 >> Hello, 7142 04:26:04,560 --> 04:26:06,159 >> Joseph. What's up? You're you're going 7143 04:26:06,159 --> 04:26:07,359 to be uh I think you're going to be the 7144 04:26:07,359 --> 04:26:10,640 last one that I'm gonna I'm gonna do. Um 7145 04:26:10,640 --> 04:26:14,159 so give me your give me give me the 7146 04:26:14,159 --> 04:26:16,640 rundown for the business. All right. So 7147 04:26:16,640 --> 04:26:20,080 talk to me. Business is it B? Alliance 7148 04:26:20,080 --> 04:26:22,319 Health Group. Okay. 7149 04:26:22,319 --> 04:26:24,319 >> Yep. We just it's a health insurance 7150 04:26:24,319 --> 04:26:26,159 call center. So we sell health insurance 7151 04:26:26,159 --> 04:26:27,600 people who call in. Yeah. 7152 04:26:27,600 --> 04:26:30,239 >> Uh mostly from inbound calls generated 7153 04:26:30,239 --> 04:26:32,880 from we have vendors and we also do our 7154 04:26:32,880 --> 04:26:36,399 own uh PPC as well. Okay. So, you have 7155 04:26:36,399 --> 04:26:38,159 vendors. Would you say is paid ads you 7156 04:26:38,159 --> 04:26:39,680 say your biggest or which one do you say 7157 04:26:39,680 --> 04:26:40,399 is your biggest? 7158 04:26:40,399 --> 04:26:43,120 >> Uh, for the most part it's like split. 7159 04:26:43,120 --> 04:26:45,040 I'd say 50/50 between vendors and paid 7160 04:26:45,040 --> 04:26:45,600 ads. 7161 04:26:45,600 --> 04:26:47,439 >> That's fine. I'll just do affiliates and 7162 04:26:47,439 --> 04:26:49,680 paid ads. All right. And would you say 7163 04:26:49,680 --> 04:26:52,319 this is a uh high volume low ticket or 7164 04:26:52,319 --> 04:26:54,800 low ticket or high volume? 7165 04:26:54,800 --> 04:26:58,479 >> I'd say mid mid and mid. It's about 300 7166 04:26:58,479 --> 04:27:01,439 300 bucks per uh per policy and it's 7167 04:27:01,439 --> 04:27:04,159 about you can do like 10 15 deals a day. 7168 04:27:04,159 --> 04:27:05,600 Oh, to me that's high volume. That's 7169 04:27:05,600 --> 04:27:08,080 high volume high ticket for sure. Um, 7170 04:27:08,080 --> 04:27:10,640 yeah. Yeah. So, like for me like Yeah, I 7171 04:27:10,640 --> 04:27:11,840 hear what you're saying. If you thought 7172 04:27:11,840 --> 04:27:14,800 low ticket was like sub 999, I'm like 7173 04:27:14,800 --> 04:27:16,720 I'm in the middle. Okay. Primary selling 7174 04:27:16,720 --> 04:27:18,080 mechanism is online call plus 7175 04:27:18,080 --> 04:27:20,000 salesperson, I'm guessing. 7176 04:27:20,000 --> 04:27:20,720 >> Yep. 7177 04:27:20,720 --> 04:27:22,640 >> Okay. How many employees do you have uh 7178 04:27:22,640 --> 04:27:23,920 right now? 7179 04:27:23,920 --> 04:27:25,040 >> Three reps. 7180 04:27:25,040 --> 04:27:27,920 >> Oh, okay. Uh total 7181 04:27:27,920 --> 04:27:28,800 >> a total. Yeah. 7182 04:27:28,800 --> 04:27:31,040 >> Okay. So, a few. Um, and then text 7183 04:27:31,040 --> 04:27:33,199 stack. 7184 04:27:33,199 --> 04:27:36,479 >> Uh, text stack. Uh, no, pretty much 7185 04:27:36,479 --> 04:27:37,920 Google Sheets. 7186 04:27:37,920 --> 04:27:38,720 >> Okay, work. 7187 04:27:38,720 --> 04:27:40,000 >> We have, uh, we have some like call 7188 04:27:40,000 --> 04:27:42,000 routing software and stuff like that, 7189 04:27:42,000 --> 04:27:43,359 but pretty much Google Sheets. 7190 04:27:43,359 --> 04:27:45,600 >> Okay, that works. I'm going to say CRM 7191 04:27:45,600 --> 04:27:48,239 and a few tools. Um, okay. Business 7192 04:27:48,239 --> 04:27:50,239 constraint right now. Can you just like 7193 04:27:50,239 --> 04:27:51,439 if you just had more leads, could you 7194 04:27:51,439 --> 04:27:54,159 sell them? Is that the 7195 04:27:54,159 --> 04:27:55,920 >> Yeah, 100%. That's that's the biggest 7196 04:27:55,920 --> 04:27:57,439 main conraint. I can dive in a little 7197 04:27:57,439 --> 04:27:58,159 deeper if you want. 7198 04:27:58,159 --> 04:27:59,840 >> Yeah. Yeah, go for And so the core offer 7199 04:27:59,840 --> 04:28:02,239 is is uh is it health insurance? 7200 04:28:02,239 --> 04:28:04,159 >> Yeah. Yeah. People would just call in 7201 04:28:04,159 --> 04:28:05,840 normally. So let's say like online, you 7202 04:28:05,840 --> 04:28:07,120 would probably type in like health 7203 04:28:07,120 --> 04:28:09,600 insurance. One of our ads would come up 7204 04:28:09,600 --> 04:28:11,439 and they would request a quote. We'd 7205 04:28:11,439 --> 04:28:12,720 reach out to them or they would call 7206 04:28:12,720 --> 04:28:14,720 inbound from the website or the call 7207 04:28:14,720 --> 04:28:16,159 extension ad online. 7208 04:28:16,159 --> 04:28:18,000 >> Okay, got it. What's um Shoot, I didn't 7209 04:28:18,000 --> 04:28:18,960 even do this for the other guys. I 7210 04:28:18,960 --> 04:28:21,120 forgot. Uh what's revenue right now? 7211 04:28:21,120 --> 04:28:22,640 >> Uh 750. 7212 04:28:22,640 --> 04:28:24,239 >> Okay. 7213 04:28:24,239 --> 04:28:26,560 Uh profit 7214 04:28:26,560 --> 04:28:29,439 >> uh 150. All right. 7215 04:28:29,439 --> 04:28:32,560 And then new customers per month. 7216 04:28:32,560 --> 04:28:35,840 >> Uh per month it's about 24 7217 04:28:35,840 --> 04:28:36,960 per week. 7218 04:28:36,960 --> 04:28:38,479 >> 200. Okay. 7219 04:28:38,479 --> 04:28:38,800 >> Yeah. 7220 04:28:38,800 --> 04:28:40,080 >> And then current headcount you said was 7221 04:28:40,080 --> 04:28:42,880 three. Okay. Save some changes. Boom. By 7222 04:28:42,880 --> 04:28:44,319 the way, everybody, whenever you're 7223 04:28:44,319 --> 04:28:45,920 talking to the AI, every time you want 7224 04:28:45,920 --> 04:28:48,159 to ask a new thing, start a new chat. 7225 04:28:48,159 --> 04:28:50,880 So, just like for everyone. Okay. Um All 7226 04:28:50,880 --> 04:28:52,319 right. So, let's let's scale the 7227 04:28:52,319 --> 04:28:55,120 business. So, what stops you from 7228 04:28:55,120 --> 04:28:57,600 spending more PPC? So like if we're 7229 04:28:57,600 --> 04:28:59,120 walking through our logic tree, what 7230 04:28:59,120 --> 04:29:01,600 stops us from doing more? 7231 04:29:01,600 --> 04:29:03,840 >> So on well I'll start with vendors. On 7232 04:29:03,840 --> 04:29:05,760 vendors they just don't have any more 7233 04:29:05,760 --> 04:29:07,680 volume to give. So there's nothing more 7234 04:29:07,680 --> 04:29:11,199 to buy on there. And on PPC 7235 04:29:11,199 --> 04:29:15,520 uh we can up the budgets but uh when we 7236 04:29:15,520 --> 04:29:17,439 scale past a certain point and even as 7237 04:29:17,439 --> 04:29:19,520 of right now it's just not profitable. 7238 04:29:19,520 --> 04:29:23,199 >> Yeah. Heard. So um couple things. Are 7239 04:29:23,199 --> 04:29:24,640 you only licensed to sell one type of 7240 04:29:24,640 --> 04:29:26,399 insurance? 7241 04:29:26,399 --> 04:29:28,640 Uh yeah, just health insurance. 7242 04:29:28,640 --> 04:29:31,279 >> Okay. Are there other products that you 7243 04:29:31,279 --> 04:29:32,560 could sell that are insurance products 7244 04:29:32,560 --> 04:29:35,199 that could increase the average cart? 7245 04:29:35,199 --> 04:29:38,319 >> Uh yes, but they're already attached. 7246 04:29:38,319 --> 04:29:41,040 >> So, 7247 04:29:41,040 --> 04:29:43,120 stuff like that. 7248 04:29:43,120 --> 04:29:44,479 >> Okay. 7249 04:29:44,479 --> 04:29:46,960 >> Well, so I'm gonna I'm gonna go back to 7250 04:29:46,960 --> 04:29:48,080 the first thing you said, which is like 7251 04:29:48,080 --> 04:29:49,600 the vendors that you have don't have any 7252 04:29:49,600 --> 04:29:51,199 more lead volume. There's for sure other 7253 04:29:51,199 --> 04:29:55,920 vendors that have other leads. Sure. 7254 04:29:55,920 --> 04:29:56,239 Yeah. 7255 04:29:56,239 --> 04:29:57,760 >> Right. Well, I mean, I'm just like 7256 04:29:57,760 --> 04:29:58,960 thinking volume. It's like there are 7257 04:29:58,960 --> 04:30:00,319 other health insurance providers and 7258 04:30:00,319 --> 04:30:01,520 they also go to vendors who get them 7259 04:30:01,520 --> 04:30:04,560 leads. So, like I'm sure that exists. 7260 04:30:04,560 --> 04:30:08,239 Um, and so I would probably if I'm you, 7261 04:30:08,239 --> 04:30:12,159 um, you would have to have a conversion 7262 04:30:12,159 --> 04:30:14,159 issue. So, if we're like metrics I'm not 7263 04:30:14,159 --> 04:30:15,199 worried about, market I'm not worried 7264 04:30:15,199 --> 04:30:16,080 about, model I'm not worried about 7265 04:30:16,080 --> 04:30:17,279 because all that stuff is more or less 7266 04:30:17,279 --> 04:30:18,800 controlled. Insurance is a good is a 7267 04:30:18,800 --> 04:30:20,080 good vehicle. There's plenty of people 7268 04:30:20,080 --> 04:30:21,359 need health insurance and you have 7269 04:30:21,359 --> 04:30:23,359 metrics. Fine. All that stuff's there. 7270 04:30:23,359 --> 04:30:25,040 So I actually think that your issue is 7271 04:30:25,040 --> 04:30:26,800 going to be on sales and LTV. So 7272 04:30:26,800 --> 04:30:29,439 conversion and lifetime value. So I 7273 04:30:29,439 --> 04:30:31,199 would be focused on the conversion part 7274 04:30:31,199 --> 04:30:33,600 because if you have ads in PPC like 7275 04:30:33,600 --> 04:30:34,720 you're getting clicks but it's like can 7276 04:30:34,720 --> 04:30:38,000 we get cheaper clicks number one with 7277 04:30:38,000 --> 04:30:39,920 better headlines and can we get higher 7278 04:30:39,920 --> 04:30:41,840 conversions on our landing pages through 7279 04:30:41,840 --> 04:30:44,319 just conversion optimization. So, do you 7280 04:30:44,319 --> 04:30:47,680 have um anything like Hot Jar or Mouse 7281 04:30:47,680 --> 04:30:50,000 Flow or anything like that that's um 7282 04:30:50,000 --> 04:30:51,040 installed on the page so you can 7283 04:30:51,040 --> 04:30:52,720 actually watch people do it? Uh actually 7284 04:30:52,720 --> 04:30:53,840 use your page and you can see where 7285 04:30:53,840 --> 04:30:55,040 they're where they're falling off. 7286 04:30:55,040 --> 04:30:56,800 >> Yeah, I have a clarity. 7287 04:30:56,800 --> 04:30:59,199 >> Okay. So, how often are you running 7288 04:30:59,199 --> 04:31:01,279 conversion rate tests and what is the 7289 04:31:01,279 --> 04:31:05,479 actual opt-in offer? 7290 04:31:06,319 --> 04:31:08,880 >> Um I check clarity daily and I see where 7291 04:31:08,880 --> 04:31:09,680 they're clicking. 7292 04:31:09,680 --> 04:31:12,479 >> Yeah. But, you know, from our click to 7293 04:31:12,479 --> 04:31:14,080 call rate, so let's say it's about it's 7294 04:31:14,080 --> 04:31:16,640 it's 25%. So, from the people who see 7295 04:31:16,640 --> 04:31:20,080 our ad, um, it's about 25%. 7296 04:31:20,080 --> 04:31:22,960 >> Okay, that's pretty good. Um, so then my 7297 04:31:22,960 --> 04:31:24,239 So, what percentage of people are you 7298 04:31:24,239 --> 04:31:26,080 closing? 7299 04:31:26,080 --> 04:31:30,479 >> Uh, so of total calls, it's about we 7300 04:31:30,479 --> 04:31:33,840 have a 7% and then of qualified calls, 7301 04:31:33,840 --> 04:31:36,479 it's about 25%. 7302 04:31:36,479 --> 04:31:39,680 >> Okay. I mean, I'm not gonna beat you up 7303 04:31:39,680 --> 04:31:41,840 on that. You know, 25's okay. You know 7304 04:31:41,840 --> 04:31:43,279 what I mean? It's not like bad. It's not 7305 04:31:43,279 --> 04:31:46,399 good. It's just like fine. Um, the thing 7306 04:31:46,399 --> 04:31:48,960 is is like I feel like so again, if I'm 7307 04:31:48,960 --> 04:31:50,640 if I'm going back, I would do number 7308 04:31:50,640 --> 04:31:52,080 one, I'd be reaching out to way more 7309 04:31:52,080 --> 04:31:54,560 vendors, number one. But the big issue 7310 04:31:54,560 --> 04:31:58,239 that I see is the LTV problem. 7311 04:31:58,239 --> 04:31:59,520 >> So, it's like we have to sell more 7312 04:31:59,520 --> 04:32:00,960 products to make this thing more 7313 04:32:00,960 --> 04:32:03,960 profitable. 7314 04:32:05,120 --> 04:32:07,279 >> Okay. said differently, is there? Yeah. 7315 04:32:07,279 --> 04:32:08,960 Said differently, is there, if you look 7316 04:32:08,960 --> 04:32:10,319 at your customer base, there's obviously 7317 04:32:10,319 --> 04:32:11,680 some customers that are worth more than 7318 04:32:11,680 --> 04:32:13,359 others. Correct? 7319 04:32:13,359 --> 04:32:14,319 >> Yeah. 7320 04:32:14,319 --> 04:32:16,560 >> So, I would be thinking Yeah. I would be 7321 04:32:16,560 --> 04:32:20,000 thinking, is there a way that I can add 7322 04:32:20,000 --> 04:32:23,840 friction or tweak my targeting so that I 7323 04:32:23,840 --> 04:32:26,000 can better target the customers that 7324 04:32:26,000 --> 04:32:27,359 have the highest lifetime value? Because 7325 04:32:27,359 --> 04:32:30,239 basically, you have an issue of cact, 7326 04:32:30,239 --> 04:32:32,159 right? And I would bet also you have 7327 04:32:32,159 --> 04:32:33,439 some elements of cash flow because you 7328 04:32:33,439 --> 04:32:34,800 don't, you know, the premiums get paid 7329 04:32:34,800 --> 04:32:36,960 sometimes in a rears, whatever, right? 7330 04:32:36,960 --> 04:32:39,199 Um, what percentage are you getting paid 7331 04:32:39,199 --> 04:32:41,040 up front with these uh these deals from 7332 04:32:41,040 --> 04:32:42,399 your carrier? 7333 04:32:42,399 --> 04:32:43,840 >> Uh, well, they're actually they're 7334 04:32:43,840 --> 04:32:47,600 advanced. So upfront on a 320 that pays 7335 04:32:47,600 --> 04:32:49,439 out 819. 7336 04:32:49,439 --> 04:32:49,760 >> Okay. 7337 04:32:49,760 --> 04:32:52,720 >> And then on the back end, that's an 7338 04:32:52,720 --> 04:32:57,120 LTGP. Yeah. Uh, that 819. And then the 7339 04:32:57,120 --> 04:33:00,399 back end is also 975. 7340 04:33:00,399 --> 04:33:03,199 So you're making 1,700ish in total, 7341 04:33:03,199 --> 04:33:04,480 right? 7342 04:33:04,480 --> 04:33:06,000 >> Uh yeah, about 7343 04:33:06,000 --> 04:33:08,240 >> Okay. In gross profit 7344 04:33:08,240 --> 04:33:11,039 >> in gross profit off of 7345 04:33:11,039 --> 04:33:12,480 >> So fundamentally it's like we need 7346 04:33:12,480 --> 04:33:14,719 cheaper leads or we have to make more 7347 04:33:14,719 --> 04:33:17,760 from them. And if you have fixed costs 7348 04:33:17,760 --> 04:33:19,199 like basically you can't tweak the price 7349 04:33:19,199 --> 04:33:20,320 because that's what the carrier that's 7350 04:33:20,320 --> 04:33:21,119 the price, right? 7351 04:33:21,119 --> 04:33:21,600 >> Yes. 7352 04:33:21,600 --> 04:33:23,279 >> Um so it means that we have to sell more 7353 04:33:23,279 --> 04:33:25,920 expensive packages. thing A, option A, 7354 04:33:25,920 --> 04:33:28,160 option B is, which is paired with option 7355 04:33:28,160 --> 04:33:30,160 A is that you're doing that to a better 7356 04:33:30,160 --> 04:33:33,439 avatar. Um, or C, we just have to get 7357 04:33:33,439 --> 04:33:35,600 more cheap leads, which again, the 7358 04:33:35,600 --> 04:33:36,959 conversion rate stuff, I'm not like, 7359 04:33:36,959 --> 04:33:38,879 you're not bad there. Your sales r's 7360 04:33:38,879 --> 04:33:40,561 okay. The conversion rate from click to 7361 04:33:40,561 --> 04:33:43,039 phone call is pretty decent. So, like 7362 04:33:43,039 --> 04:33:45,600 I'm not as concerned there. So, I'm 7363 04:33:45,600 --> 04:33:46,799 thinking I'm going to go to more 7364 04:33:46,799 --> 04:33:48,959 vendors. That would be like objective 7365 04:33:48,959 --> 04:33:51,279 number one would be go to like 20 times 7366 04:33:51,279 --> 04:33:52,959 100 times the vendors you currently are 7367 04:33:52,959 --> 04:33:54,480 and see if you can get leads at the 7368 04:33:54,480 --> 04:33:55,760 price that you need them to be at. 7369 04:33:55,760 --> 04:33:57,520 That's like thing one. How are those 7370 04:33:57,520 --> 04:33:58,719 leads compared to the ones that you're 7371 04:33:58,719 --> 04:34:01,840 buying off PPC? 7372 04:34:01,840 --> 04:34:04,480 Uh, so there's one source out there who 7373 04:34:04,480 --> 04:34:07,119 has uh good leads and you know they make 7374 04:34:07,119 --> 04:34:08,879 you go to their carrier and have their 7375 04:34:08,879 --> 04:34:11,039 contracts and they're good ones but 7376 04:34:11,039 --> 04:34:12,561 everyone else besides that and I've 7377 04:34:12,561 --> 04:34:14,561 tried some I haven't tried all but I've 7378 04:34:14,561 --> 04:34:16,719 tried some of them they aren't uh nearly 7379 04:34:16,719 --> 04:34:19,359 as good and then just that and PPC is 7380 04:34:19,359 --> 04:34:21,439 what's really supplying the volume. So 7381 04:34:21,439 --> 04:34:23,199 what I would look at is how they're 7382 04:34:23,199 --> 04:34:25,439 qualifying their leads because obviously 7383 04:34:25,439 --> 04:34:28,240 they have good quality leads. And so I 7384 04:34:28,240 --> 04:34:31,279 would look at their actual click journey 7385 04:34:31,279 --> 04:34:32,879 and say, okay, what are the ads they're 7386 04:34:32,879 --> 04:34:34,160 running? What are the pages they're 7387 04:34:34,160 --> 04:34:35,680 doing? How are they nurturing the leads? 7388 04:34:35,680 --> 04:34:37,119 Like are they doing driving them to a 7389 04:34:37,119 --> 04:34:38,719 webinar and that's how they enrich the 7390 04:34:38,719 --> 04:34:40,879 leads and then they do a call to action 7391 04:34:40,879 --> 04:34:42,160 um to get people take the next step? 7392 04:34:42,160 --> 04:34:44,000 Like what's their process? And I would 7393 04:34:44,000 --> 04:34:45,600 look at mimicking that process for my 7394 04:34:45,600 --> 04:34:47,520 PBC because right now you're competing 7395 04:34:47,520 --> 04:34:49,039 against everybody else who's doing just 7396 04:34:49,039 --> 04:34:50,480 basic PPC campaigns. And so you're 7397 04:34:50,480 --> 04:34:51,840 priced at close to market rate because 7398 04:34:51,840 --> 04:34:53,279 the pricing is commoditized within 7399 04:34:53,279 --> 04:34:55,279 insurance. And so it's like you have to 7400 04:34:55,279 --> 04:34:57,039 find better raw material that's likely 7401 04:34:57,039 --> 04:34:59,039 like raw diamonds versus diamonds. So 7402 04:34:59,039 --> 04:35:00,480 it's like to do the raw diamonds, it's 7403 04:35:00,480 --> 04:35:01,680 like you might have to cast a broader 7404 04:35:01,680 --> 04:35:03,520 net to shittier leads and then enrich 7405 04:35:03,520 --> 04:35:06,879 them through a nurture or sales process. 7406 04:35:06,879 --> 04:35:09,760 >> That's like if I'm you, if we can't like 7407 04:35:09,760 --> 04:35:11,600 I I'm taking I put a big asterisk on 7408 04:35:11,600 --> 04:35:13,199 this. Like if we can't increase LTB, 7409 04:35:13,199 --> 04:35:15,119 which I still am like I don't have time 7410 04:35:15,119 --> 04:35:17,680 to go through it now. Um but like that 7411 04:35:17,680 --> 04:35:19,119 would be like thing one because if you 7412 04:35:19,119 --> 04:35:20,879 could just like spend more on PPC, then 7413 04:35:20,879 --> 04:35:22,240 I'd be like let's do that. That's for 7414 04:35:22,240 --> 04:35:23,520 sure the easiest path. And if we could 7415 04:35:23,520 --> 04:35:25,279 do that by increasing uh either the 7416 04:35:25,279 --> 04:35:26,240 person that we're selling to or the 7417 04:35:26,240 --> 04:35:27,520 average package, that makes the most 7418 04:35:27,520 --> 04:35:29,840 sense. The second most sense is okay, 7419 04:35:29,840 --> 04:35:31,680 can we juice our PBC in a different way 7420 04:35:31,680 --> 04:35:35,119 by wide like way more broadening uh the 7421 04:35:35,119 --> 04:35:39,119 market that we're going after? Um 7422 04:35:39,119 --> 04:35:43,119 and then having an enrichment process. 7423 04:35:43,119 --> 04:35:44,879 >> So would you recommend that second round 7424 04:35:44,879 --> 04:35:47,039 just to make everybody, you know, come 7425 04:35:47,039 --> 04:35:48,480 in and then we'll qualify you from 7426 04:35:48,480 --> 04:35:49,119 there? 7427 04:35:49,119 --> 04:35:51,039 >> I would because I mean again it's like 7428 04:35:51,039 --> 04:35:52,639 you're capped right now is what it 7429 04:35:52,639 --> 04:35:54,240 sounds like, right? 7430 04:35:54,240 --> 04:35:54,879 >> Yeah. 7431 04:35:54,879 --> 04:35:55,920 >> Right. Right? And so it's like we have 7432 04:35:55,920 --> 04:35:57,359 to do something and the worst case 7433 04:35:57,359 --> 04:35:58,719 scenario kind of like the reversible 7434 04:35:58,719 --> 04:35:59,920 decisions like you can always roll it 7435 04:35:59,920 --> 04:36:00,719 back, 7436 04:36:00,719 --> 04:36:01,680 >> right? You can always go back to what 7437 04:36:01,680 --> 04:36:03,920 you're doing. Worst case scenario. 7438 04:36:03,920 --> 04:36:06,080 >> Um but we have to break some stuff. You 7439 04:36:06,080 --> 04:36:07,039 know, we have to break some eggs. We 7440 04:36:07,039 --> 04:36:10,240 want to make an omelet. So um thing one 7441 04:36:10,240 --> 04:36:11,680 though is I'll bet you there are other 7442 04:36:11,680 --> 04:36:14,400 good vendors. That's like thing one. 7443 04:36:14,400 --> 04:36:17,119 Thing two is I really want to dive into 7444 04:36:17,119 --> 04:36:18,561 the LTV thing because that would be the 7445 04:36:18,561 --> 04:36:21,039 lowest risk we have to make. Thing three 7446 04:36:21,039 --> 04:36:22,719 is I want to reverse engineer the best 7447 04:36:22,719 --> 04:36:25,600 guys funnel. 7448 04:36:25,600 --> 04:36:26,959 Okay, 7449 04:36:26,959 --> 04:36:28,400 >> those would be those would be my angles 7450 04:36:28,400 --> 04:36:30,320 of attack. 7451 04:36:30,320 --> 04:36:33,279 >> Gotcha. And for LTVI, I don't want to 7452 04:36:33,279 --> 04:36:34,959 get too deep into it, but 7453 04:36:34,959 --> 04:36:36,400 >> like what are a couple things that 7454 04:36:36,400 --> 04:36:38,160 you've seen that you know other people 7455 04:36:38,160 --> 04:36:40,799 have done in this space? 7456 04:36:40,799 --> 04:36:42,480 >> It's really just comes down to going up 7457 04:36:42,480 --> 04:36:44,561 market for Avatar so that you can sell 7458 04:36:44,561 --> 04:36:46,320 more expensive health health insurance 7459 04:36:46,320 --> 04:36:48,561 products because like the you know the 7460 04:36:48,561 --> 04:36:50,080 thing with insurance is that the the 7461 04:36:50,080 --> 04:36:51,520 limit does not exist. You know what I 7462 04:36:51,520 --> 04:36:53,119 mean? like you can go 7463 04:36:53,119 --> 04:36:55,439 >> zillions of dollars. And so right now, 7464 04:36:55,439 --> 04:36:57,199 >> and this don't take this as a slight, 7465 04:36:57,199 --> 04:36:58,719 like you're kind of bottom feeding in 7466 04:36:58,719 --> 04:37:01,119 terms of the, you know, the the packages 7467 04:37:01,119 --> 04:37:02,400 that you're selling. You know, you're 7468 04:37:02,400 --> 04:37:04,160 selling $300 price points. Like it's 7469 04:37:04,160 --> 04:37:06,400 not, you know, the most qualified. I 7470 04:37:06,400 --> 04:37:08,000 mean, it's it's like people with pulse 7471 04:37:08,000 --> 04:37:12,000 is the is the qualification, right? So 7472 04:37:12,000 --> 04:37:14,719 for sure there's a much higher echelon 7473 04:37:14,719 --> 04:37:16,400 even general consumer that you'd be 7474 04:37:16,400 --> 04:37:19,920 looking at selling you know 2,000 5,000 7475 04:37:19,920 --> 04:37:22,320 you know dollar type deals which are for 7476 04:37:22,320 --> 04:37:24,561 like my life insurance mine's egregious 7477 04:37:24,561 --> 04:37:26,080 so I just leave it there. 7478 04:37:26,080 --> 04:37:26,561 >> Yeah. 7479 04:37:26,561 --> 04:37:28,561 >> Hate to cut you off there. I'm sorry I 7480 04:37:28,561 --> 04:37:30,080 didn't make that clear but it's 300 a 7481 04:37:30,080 --> 04:37:30,719 month. 7482 04:37:30,719 --> 04:37:32,639 >> Okay. 300 a month so a little better. 7483 04:37:32,639 --> 04:37:33,359 Yeah. Yeah. 7484 04:37:33,359 --> 04:37:35,359 >> Um 7485 04:37:35,359 --> 04:37:37,119 >> but it's still like 7486 04:37:37,119 --> 04:37:39,439 >> you know it's I'm shrugging. You know 7487 04:37:39,439 --> 04:37:41,600 what I mean? It's like I understand some 7488 04:37:41,600 --> 04:37:43,520 people buy like thousands and that or 7489 04:37:43,520 --> 04:37:43,920 millions. 7490 04:37:43,920 --> 04:37:45,680 >> What's the ultimate? Great. 7491 04:37:45,680 --> 04:37:49,279 >> Yeah. Right. Yeah. I I Yeah. I put it a 7492 04:37:49,279 --> 04:37:52,400 gazillion dollars a year into mine. Um 7493 04:37:52,400 --> 04:37:54,320 uh but okay. So those are the big three. 7494 04:37:54,320 --> 04:37:57,600 That's what I'd be focused on 7495 04:37:57,600 --> 04:38:00,879 >> in terms of points of constraint. 7496 04:38:00,879 --> 04:38:03,600 >> Vendors. Uh get the other guys PPC. 7497 04:38:03,600 --> 04:38:05,680 >> Yep. And then I would still just like 7498 04:38:05,680 --> 04:38:07,039 bang my head against the wall to try and 7499 04:38:07,039 --> 04:38:08,639 figure out reverse engineer of the 7500 04:38:08,639 --> 04:38:11,279 customers that I sell. Is there is there 7501 04:38:11,279 --> 04:38:12,639 a package that is bigger and more 7502 04:38:12,639 --> 04:38:13,840 expensive than the one that I currently 7503 04:38:13,840 --> 04:38:17,840 am that I can sell instead? 7504 04:38:17,840 --> 04:38:19,600 >> Well, okay. So, let's say like there was 7505 04:38:19,600 --> 04:38:20,879 a package there. There's let's say 7506 04:38:20,879 --> 04:38:23,760 there's a $1,000 a month package, 7507 04:38:23,760 --> 04:38:26,080 >> but we sell the 325 because that's what 7508 04:38:26,080 --> 04:38:27,199 people can afford. 7509 04:38:27,199 --> 04:38:27,439 >> Yeah. 7510 04:38:27,439 --> 04:38:28,480 >> And then when they can't afford the 7511 04:38:28,480 --> 04:38:29,920 thousand, we sell them a thousand. 7512 04:38:29,920 --> 04:38:32,240 >> Yes. So, the issue is that we just need 7513 04:38:32,240 --> 04:38:34,080 the messaging to match. So, kind of like 7514 04:38:34,080 --> 04:38:35,520 the example I gave earlier where it's 7515 04:38:35,520 --> 04:38:37,600 like maybe your lead cost doubles, but 7516 04:38:37,600 --> 04:38:39,920 your LTV 5xes. 7517 04:38:39,920 --> 04:38:40,879 >> Yeah. 7518 04:38:40,879 --> 04:38:42,719 >> And the thing is is usually that's where 7519 04:38:42,719 --> 04:38:44,240 everyone's afraid to go. And that's why 7520 04:38:44,240 --> 04:38:46,320 most people don't get there. 7521 04:38:46,320 --> 04:38:47,920 >> So, like the other other agents or 7522 04:38:47,920 --> 04:38:49,520 brokerages in the space are afraid to 7523 04:38:49,520 --> 04:38:51,600 spend that kind of money on a lead. But 7524 04:38:51,600 --> 04:38:53,279 if you just have the qualifications, 7525 04:38:53,279 --> 04:38:55,439 that's how you can skim off the top. And 7526 04:38:55,439 --> 04:38:57,359 the upside is usually significantly 7527 04:38:57,359 --> 04:38:59,520 larger than the incremental cost 7528 04:38:59,520 --> 04:39:00,639 increase. Like you'll still have an 7529 04:39:00,639 --> 04:39:01,680 increase in lead cost, don't get me 7530 04:39:01,680 --> 04:39:04,000 wrong, but it's just like I will spend 7531 04:39:04,000 --> 04:39:05,439 two times as much for the lead or three 7532 04:39:05,439 --> 04:39:06,480 times as much for the lead, but they 7533 04:39:06,480 --> 04:39:09,920 will be worth 10 times as much. 7534 04:39:09,920 --> 04:39:12,639 >> Yeah. So go after the the the bigger 7535 04:39:12,639 --> 04:39:13,039 >> Yeah. 7536 04:39:13,039 --> 04:39:14,400 >> the bigger price point market. 7537 04:39:14,400 --> 04:39:16,240 >> Yes. 7538 04:39:16,240 --> 04:39:16,719 >> Yes. 7539 04:39:16,719 --> 04:39:18,719 >> 100%. And when I was reading the book, I 7540 04:39:18,719 --> 04:39:20,719 read the the playbook earlier, I just 7541 04:39:20,719 --> 04:39:22,561 saw a price increase. I was like, this 7542 04:39:22,561 --> 04:39:24,320 is probably the best way to go. 7543 04:39:24,320 --> 04:39:27,680 >> Yeah. So, the lost chapters, uh, your 7544 04:39:27,680 --> 04:39:30,400 first avatar is what I use the process 7545 04:39:30,400 --> 04:39:32,400 in that chapter to reverse engineer 7546 04:39:32,400 --> 04:39:33,920 which customer segment is probably worth 7547 04:39:33,920 --> 04:39:34,879 the most to you. And then I would 7548 04:39:34,879 --> 04:39:36,400 reverse that into the messaging and the 7549 04:39:36,400 --> 04:39:39,280 headlines. Um, and maybe even a lead 7550 04:39:39,280 --> 04:39:41,120 magnet if I have to to get way cheaper 7551 04:39:41,120 --> 04:39:43,600 leads. Um, that would get that would 7552 04:39:43,600 --> 04:39:45,680 attract that level like executive health 7553 04:39:45,680 --> 04:39:47,760 insurance, right? Or professional 7554 04:39:47,760 --> 04:39:48,958 health, you know, I mean, I'd be looking 7555 04:39:48,958 --> 04:39:50,400 at those types of terms. Yeah. 7556 04:39:50,400 --> 04:39:53,840 >> Uh, to get higher higher quality leads. 7557 04:39:53,840 --> 04:39:55,760 Cool. 7558 04:39:55,760 --> 04:39:57,680 >> 100%. This is great. Yeah. 7559 04:39:57,680 --> 04:40:00,160 >> Okay. Appreciate you, man. 7560 04:40:00,160 --> 04:40:01,120 >> Awesome. 7561 04:40:01,120 --> 04:40:03,600 >> Talk to you. See you. 7562 04:40:03,600 --> 04:40:06,560 >> So, um, we were at we were at 2:30. I 7563 04:40:06,560 --> 04:40:08,560 know that, uh, I tried I I told my team, 7564 04:40:08,560 --> 04:40:09,440 they're like, "How long do you think you 7565 04:40:09,440 --> 04:40:10,958 go?" I was like, "I think it'll be four 7566 04:40:10,958 --> 04:40:12,560 hours." So, it's a little longer than 7567 04:40:12,560 --> 04:40:15,920 that. Um, but I, uh, I'll I'll wrap us 7568 04:40:15,920 --> 04:40:18,480 up. Hopefully, you guys enjoyed this um 7569 04:40:18,480 --> 04:40:20,160 this this workshop. The whole point here 7570 04:40:20,160 --> 04:40:21,920 was that I wanted to make sure that as 7571 04:40:21,920 --> 04:40:23,200 many of you got the answers that you 7572 04:40:23,200 --> 04:40:24,798 needed, you got to see the AI tool in 7573 04:40:24,798 --> 04:40:27,120 action. Um I strongly would encourage 7574 04:40:27,120 --> 04:40:28,798 you to use the tool. We we're continuing 7575 04:40:28,798 --> 04:40:30,958 to invest um time and effort into 7576 04:40:30,958 --> 04:40:33,280 continuing to improve it. U ours has an 7577 04:40:33,280 --> 04:40:35,520 entire context layer. So um if you are 7578 04:40:35,520 --> 04:40:36,798 going to ask questions because this was 7579 04:40:36,798 --> 04:40:38,240 one of the things that came up. If you 7580 04:40:38,240 --> 04:40:39,520 have questions about like multiple 7581 04:40:39,520 --> 04:40:41,440 businesses, make sure to change out that 7582 04:40:41,440 --> 04:40:43,520 little personalized tab because that's a 7583 04:40:43,520 --> 04:40:46,160 context layer that basically uh is a 7584 04:40:46,160 --> 04:40:48,240 filter through which all of the answers 7585 04:40:48,240 --> 04:40:50,560 are given through. Um, which is why I 7586 04:40:50,560 --> 04:40:52,878 like RAI the most because like I want to 7587 04:40:52,878 --> 04:40:54,080 I don't want to always keep having to 7588 04:40:54,080 --> 04:40:56,000 upload stuff um in order to get the 7589 04:40:56,000 --> 04:40:58,080 answers that I need. Um, but beyond 7590 04:40:58,080 --> 04:41:01,120 that, uh, I think I'll I'll I'll state 7591 04:41:01,120 --> 04:41:04,240 this, um, one more time 7592 04:41:04,240 --> 04:41:07,280 because we have whatever 20 21 hours or 7593 04:41:07,280 --> 04:41:08,878 20 hours left or something like that. 7594 04:41:08,878 --> 04:41:12,320 Um, but, uh, we're doing direct access 7595 04:41:12,320 --> 04:41:15,200 to me. Um, 7596 04:41:15,200 --> 04:41:17,360 plus the director team, which we've got 7597 04:41:17,360 --> 04:41:19,040 my head of sales, two heads of 7598 04:41:19,040 --> 04:41:22,718 marketing, um, two strategy, business 7599 04:41:22,718 --> 04:41:25,360 offer people, we have wealth, uh, we 7600 04:41:25,360 --> 04:41:27,760 have recruiting, uh, and then little old 7601 04:41:27,760 --> 04:41:30,080 me is there, um, as well to help answer 7602 04:41:30,080 --> 04:41:32,000 the questions that you guys have. Um, 7603 04:41:32,000 --> 04:41:33,600 and so you guys have six months of that 7604 04:41:33,600 --> 04:41:36,080 inside of a school group, 7605 04:41:36,080 --> 04:41:37,520 which if you're like, man, I really 7606 04:41:37,520 --> 04:41:39,680 would like more of this, um, then or I 7607 04:41:39,680 --> 04:41:41,440 have more questions or whatever, like go 7608 04:41:41,440 --> 04:41:44,000 there. Um, on top of that, we have the 7609 04:41:44,000 --> 04:41:45,280 six workshops that we're gonna do. So, 7610 04:41:45,280 --> 04:41:46,718 we've got the leads workshops where 7611 04:41:46,718 --> 04:41:48,400 we're going to dive into a lot more 7612 04:41:48,400 --> 04:41:50,160 detail tactically just because hopefully 7613 04:41:50,160 --> 04:41:51,920 like you guys are like talk slower. Like 7614 04:41:51,920 --> 04:41:53,200 I'm trying to talk as fast as I can as I 7615 04:41:53,200 --> 04:41:54,240 want to cover as much stuff as I 7616 04:41:54,240 --> 04:41:57,200 possibly can. Um, but this whole whole 7617 04:41:57,200 --> 04:41:58,718 workshop was designed to do one thing 7618 04:41:58,718 --> 04:42:01,280 which is did you get the constraint? Did 7619 04:42:01,280 --> 04:42:03,040 we use the most leverage by collecting 7620 04:42:03,040 --> 04:42:04,718 the correct playbook? And do you 7621 04:42:04,718 --> 04:42:06,718 understand how to use the tools like the 7622 04:42:06,718 --> 04:42:08,400 AI in order to personalize the 7623 04:42:08,400 --> 04:42:10,080 responses? And hopefully you feel like I 7624 04:42:10,080 --> 04:42:12,160 I delivered on that today. Obviously, 7625 04:42:12,160 --> 04:42:14,320 there's a ton more that's like cover 7626 04:42:14,320 --> 04:42:16,560 business in four hours, right? Um we've 7627 04:42:16,560 --> 04:42:19,200 got the sales workshop. We've got the uh 7628 04:42:19,200 --> 04:42:22,160 LTV workshop. We've got the uh we've got 7629 04:42:22,160 --> 04:42:24,878 the profit workshop. 7630 04:42:24,878 --> 04:42:27,120 We have uh people ops and AI. So, those 7631 04:42:27,120 --> 04:42:28,638 you have like recruiting issues, 7632 04:42:28,638 --> 04:42:30,320 management, leadership issues because 7633 04:42:30,320 --> 04:42:32,160 you're you're having difficulty scaling. 7634 04:42:32,160 --> 04:42:34,080 Um and then we have wealth uh with 7635 04:42:34,080 --> 04:42:36,560 Sherrod. And so, uh we'll show you all 7636 04:42:36,560 --> 04:42:38,400 the tax strategies that we're using um 7637 04:42:38,400 --> 04:42:39,760 that work within a service-based 7638 04:42:39,760 --> 04:42:41,600 business. uh if you have a you know 7639 04:42:41,600 --> 04:42:43,040 significant business you heard Kevin at 7640 04:42:43,040 --> 04:42:44,160 the beginning there's really awesome 7641 04:42:44,160 --> 04:42:46,798 businesses in there um there all we also 7642 04:42:46,798 --> 04:42:48,080 have a map so you can actually place 7643 04:42:48,080 --> 04:42:49,280 yourself on the map which I think is 7644 04:42:49,280 --> 04:42:51,360 really sweet and so uh you can get all 7645 04:42:51,360 --> 04:42:54,920 this stuff at scaleacq.com 7646 04:42:57,200 --> 04:43:00,080 um because otherwise uh this is our our 7647 04:43:00,080 --> 04:43:02,240 last live workshop um I appreciate you 7648 04:43:02,240 --> 04:43:05,120 guys you guys rock um I'm super grateful 7649 04:43:05,120 --> 04:43:06,718 um for you guys donating the books it 7650 04:43:06,718 --> 04:43:09,840 means the world to me um it really 7651 04:43:09,840 --> 04:43:12,080 because I hope hopefully believe that. 7652 04:43:12,080 --> 04:43:13,760 Um 7653 04:43:13,760 --> 04:43:16,480 I would say measure how much it means to 7654 04:43:16,480 --> 04:43:18,798 me by the work that I did to put this 7655 04:43:18,798 --> 04:43:20,798 together. It's probably the easiest way 7656 04:43:20,798 --> 04:43:23,280 that I can say it. Um we always really 7657 04:43:23,280 --> 04:43:24,400 want to overd deliver. We really want to 7658 04:43:24,400 --> 04:43:26,718 blow you guys away. It's hard to it's 7659 04:43:26,718 --> 04:43:28,480 hard to explain what like doing two 7660 04:43:28,480 --> 04:43:29,840 years of those types of consultations 7661 04:43:29,840 --> 04:43:31,040 that I just did over the phone over the 7662 04:43:31,040 --> 04:43:33,200 last like 30 or 40 minutes. Um, I did 7663 04:43:33,200 --> 04:43:34,480 that for the last two years to train 7664 04:43:34,480 --> 04:43:36,080 this one AI so I could help as many 7665 04:43:36,080 --> 04:43:38,718 businesses as possible um as an 7666 04:43:38,718 --> 04:43:40,240 incentive to get people to donate as 7667 04:43:40,240 --> 04:43:42,400 many books as I can uh as they could so 7668 04:43:42,400 --> 04:43:44,320 that like I really do mean what I say 7669 04:43:44,320 --> 04:43:45,440 what I really would like to get the 7670 04:43:45,440 --> 04:43:46,878 books in the hands of every entrepreneur 7671 04:43:46,878 --> 04:43:48,240 in America and it's just because like 7672 04:43:48,240 --> 04:43:50,878 books is what changed my life. Um I read 7673 04:43:50,878 --> 04:43:52,240 every book that I possibly could get my 7674 04:43:52,240 --> 04:43:55,600 hands on and like that's that's that's 7675 04:43:55,600 --> 04:43:57,040 what like that's what changed my life 7676 04:43:57,040 --> 04:43:58,718 and so I just want to say thank you to 7677 04:43:58,718 --> 04:44:01,200 you guys. Um, if you want to party with 7678 04:44:01,200 --> 04:44:05,200 us for six more months, um, let's see if 7679 04:44:05,200 --> 04:44:07,360 I have the thing up here. Maybe I'll go 7680 04:44:07,360 --> 04:44:09,920 back one. There you go. Um, it's not 15 7681 04:44:09,920 --> 04:44:11,600 minutes, but that's the that's the 7682 04:44:11,600 --> 04:44:13,520 stuff. Um, you guys can go there, 7683 04:44:13,520 --> 04:44:15,920 scale.acq.com. If not, totally cool. 7684 04:44:15,920 --> 04:44:16,958 Like, really, I really mean that. 7685 04:44:16,958 --> 04:44:19,280 Totally fine. Um, but if you're like, I 7686 04:44:19,280 --> 04:44:20,320 have questions that I really wish I 7687 04:44:20,320 --> 04:44:21,200 could work with them for a little 7688 04:44:21,200 --> 04:44:23,520 longer. Um, then that's what we made it 7689 04:44:23,520 --> 04:44:25,520 for. And so, I think it's it's 3,000 7690 04:44:25,520 --> 04:44:27,040 bucks today and then I think it's five 7691 04:44:27,040 --> 04:44:28,638 installments after that. sets 15,000 7692 04:44:28,638 --> 04:44:30,958 after that. Um, and uh, one of the 7693 04:44:30,958 --> 04:44:32,240 reasons I structured it that way also is 7694 04:44:32,240 --> 04:44:33,280 that like I don't like things to go on 7695 04:44:33,280 --> 04:44:34,638 forever. So, this isn't like a forever 7696 04:44:34,638 --> 04:44:37,680 membership. It's a six months set you up 7697 04:44:37,680 --> 04:44:40,240 for, you know, Q1 crush 2026. And the 7698 04:44:40,240 --> 04:44:44,480 idea is if we can install 7699 04:44:44,480 --> 04:44:46,958 because these parts, leads and sales are 7700 04:44:46,958 --> 04:44:49,200 additive. So, as long as you don't have 7701 04:44:49,200 --> 04:44:51,360 a supply constraint, if you just get 7702 04:44:51,360 --> 04:44:53,200 more leads, you make more. If you 7703 04:44:53,200 --> 04:44:54,400 convert more of those leads, you make 7704 04:44:54,400 --> 04:44:55,920 more. If you make more per customer, you 7705 04:44:55,920 --> 04:44:57,040 make more. If you improve your cash flow 7706 04:44:57,040 --> 04:44:58,798 position, you make more, right? All of 7707 04:44:58,798 --> 04:45:00,638 these things, like installing even 7708 04:45:00,638 --> 04:45:01,920 portions of each of these things into 7709 04:45:01,920 --> 04:45:03,440 the business can make a huge material 7710 04:45:03,440 --> 04:45:05,040 change. Um, and then if you have 7711 04:45:05,040 --> 04:45:06,400 questions along the way, that's why we 7712 04:45:06,400 --> 04:45:07,360 put the people who actually like 7713 04:45:07,360 --> 04:45:08,560 collaborated with me to put these 7714 04:45:08,560 --> 04:45:10,798 playbooks together uh in the group. And 7715 04:45:10,798 --> 04:45:13,840 so um you can go to scale.acq.com. 7716 04:45:13,840 --> 04:45:15,600 Appreciate you guys. It's been my 7717 04:45:15,600 --> 04:45:18,080 absolute honor um serving you. I think 7718 04:45:18,080 --> 04:45:20,400 we'll leave this up. I guess we don't 7719 04:45:20,400 --> 04:45:22,320 have to leave it up. I just You guys 7720 04:45:22,320 --> 04:45:23,680 know what the link is. You guys know 7721 04:45:23,680 --> 04:45:25,840 what the link is. Um, you guys are 7722 04:45:25,840 --> 04:45:28,320 amazing. Thank you again. And um, let me 7723 04:45:28,320 --> 04:45:30,878 leave I'll read my last slide. 7724 04:45:30,878 --> 04:45:33,840 See what my last slide is. 7725 04:45:33,840 --> 04:45:36,480 I already did the VSSL framework. Okay. 7726 04:45:36,480 --> 04:45:37,760 No, this was my last slide. Here we go. 7727 04:45:37,760 --> 04:45:40,240 Final reminders. So, 7728 04:45:40,240 --> 04:45:43,280 strategy is dictated by how you choose 7729 04:45:43,280 --> 04:45:46,000 to allocate resources. Your time, your 7730 04:45:46,000 --> 04:45:48,798 money, your effort are the raw resources 7731 04:45:48,798 --> 04:45:52,160 that you have. putting them towards 7732 04:45:52,160 --> 04:45:53,440 the thing that is going to get you the 7733 04:45:53,440 --> 04:45:54,730 highest return 7734 04:45:54,730 --> 04:45:57,860 [Applause] 7735 04:46:01,630 --> 04:46:04,160 [Applause] 7736 04:46:04,160 --> 04:46:07,120 and I shouldn't write so much. It's like 7737 04:46:07,120 --> 04:46:08,958 write write faster talk slower or 7738 04:46:08,958 --> 04:46:11,680 something like that. Um, and if you're 7739 04:46:11,680 --> 04:46:14,160 unsure of which 7740 04:46:14,160 --> 04:46:16,480 which constraint you have, just walk 7741 04:46:16,480 --> 04:46:18,480 through the same process of like, can I 7742 04:46:18,480 --> 04:46:21,920 do more? Do I have the data? Does the 7743 04:46:21,920 --> 04:46:23,840 market work? 7744 04:46:23,840 --> 04:46:28,280 Will this model get me to where I am? 7745 04:46:28,400 --> 04:46:29,840 If I can't afford it, is because my 7746 04:46:29,840 --> 04:46:31,120 leads are too expensive, which means I 7747 04:46:31,120 --> 04:46:33,120 need better marketing or more marketing. 7748 04:46:33,120 --> 04:46:34,320 Is it because we're not converting 7749 04:46:34,320 --> 04:46:35,600 enough people, which is going to be all 7750 04:46:35,600 --> 04:46:37,600 the sales system? is because we need to 7751 04:46:37,600 --> 04:46:39,360 increase LTV per customer because we 7752 04:46:39,360 --> 04:46:41,280 need to make them worth more or we need 7753 04:46:41,280 --> 04:46:42,958 to accelerate profit in the business 7754 04:46:42,958 --> 04:46:44,000 which is what the whole pricing 7755 04:46:44,000 --> 04:46:46,240 playbooks are for. Once you solve that 7756 04:46:46,240 --> 04:46:48,160 then you have the manpower issues and 7757 04:46:48,160 --> 04:46:50,878 you repeat this entire process from top 7758 04:46:50,878 --> 04:46:53,040 down 7759 04:46:53,040 --> 04:46:55,120 as it relates to manpower. And so 7760 04:46:55,120 --> 04:46:57,360 hopefully this framework um this has 7761 04:46:57,360 --> 04:46:58,878 served me really well. This is how we've 7762 04:46:58,878 --> 04:47:00,160 been able to debottle neck so many 7763 04:47:00,160 --> 04:47:02,320 businesses um and just get ruthless 7764 04:47:02,320 --> 04:47:03,760 about this. Now kind of like the 7765 04:47:03,760 --> 04:47:04,878 insurance one that I did at the end 7766 04:47:04,878 --> 04:47:06,718 there. Sometimes it just requires more 7767 04:47:06,718 --> 04:47:08,638 work, right? Like I would like if I were 7768 04:47:08,638 --> 04:47:10,080 doing a true consultation rather than 7769 04:47:10,080 --> 04:47:11,680 like a quick, you know, 10-minute phone 7770 04:47:11,680 --> 04:47:13,120 call, it'd be like, "All right, let's 7771 04:47:13,120 --> 04:47:14,718 look at all the other LTVs across all 7772 04:47:14,718 --> 04:47:16,240 the other health categories. Is there 7773 04:47:16,240 --> 04:47:17,760 another way that we could sell different 7774 04:47:17,760 --> 04:47:19,200 products to the exact customer base? Is 7775 04:47:19,200 --> 04:47:20,240 there a different customer base that we 7776 04:47:20,240 --> 04:47:22,160 can attract via messaging and lead 7777 04:47:22,160 --> 04:47:23,840 magnets?" because I don't think I'll bet 7778 04:47:23,840 --> 04:47:25,680 you dollars to donuts that there's a 7779 04:47:25,680 --> 04:47:27,200 lead magnet issue there where we could 7780 04:47:27,200 --> 04:47:30,878 attract a much higher status customer 7781 04:47:30,878 --> 04:47:34,000 who's able to pay significantly more um 7782 04:47:34,000 --> 04:47:37,600 to make a bigger arbitrage there. Um and 7783 04:47:37,600 --> 04:47:39,840 so this is what I think about um as I'm 7784 04:47:39,840 --> 04:47:41,920 trying to like dissect and and and 7785 04:47:41,920 --> 04:47:44,638 debottleneck businesses. Um and 7786 04:47:44,638 --> 04:47:45,680 ultimately we want to build something 7787 04:47:45,680 --> 04:47:47,360 that compounds, right? That's that's the 7788 04:47:47,360 --> 04:47:48,638 whole goal. So whether that compounds 7789 04:47:48,638 --> 04:47:50,400 via reputation, via customers that never 7790 04:47:50,400 --> 04:47:52,160 leave, via sales network that continues 7791 04:47:52,160 --> 04:47:53,280 to sell for you, they keep recruiting 7792 04:47:53,280 --> 04:47:55,200 and activating. Uh where they have some 7793 04:47:55,200 --> 04:47:56,958 sort of network effect overall that 7794 04:47:56,958 --> 04:47:58,080 every person who gets added to the 7795 04:47:58,080 --> 04:47:59,200 network increases the value of the 7796 04:47:59,200 --> 04:48:01,440 network. Um all of those are things that 7797 04:48:01,440 --> 04:48:02,798 compound with time. And we want to have 7798 04:48:02,798 --> 04:48:04,000 something like that because otherwise 7799 04:48:04,000 --> 04:48:05,600 your cost to our customers will only go 7800 04:48:05,600 --> 04:48:08,080 one way, which is up. And so you have to 7801 04:48:08,080 --> 04:48:10,400 have an equal and opposing force like 7802 04:48:10,400 --> 04:48:12,080 your reputation, like your brand that 7803 04:48:12,080 --> 04:48:13,360 can bring it down over time as you 7804 04:48:13,360 --> 04:48:14,878 expand to colder and colder markets that 7805 04:48:14,878 --> 04:48:17,280 warms it up for you. So um appreciate 7806 04:48:17,280 --> 04:48:20,560 you all and oh uh all of the uh six 7807 04:48:20,560 --> 04:48:23,040 workshops these guys 7808 04:48:23,040 --> 04:48:24,878 all of these uh the group is just for 7809 04:48:24,878 --> 04:48:27,840 owners but you can bring um plus ones to 7810 04:48:27,840 --> 04:48:29,120 those. So I think it's actually like 7811 04:48:29,120 --> 04:48:30,878 pretty sweet. Uh so if you have teams 7812 04:48:30,878 --> 04:48:32,000 that are going to be implementing stuff 7813 04:48:32,000 --> 04:48:33,840 for like leads or you've got like sales 7814 04:48:33,840 --> 04:48:35,120 managers are going to do the sales stuff 7815 04:48:35,120 --> 04:48:36,718 or somebody who's in the service side or 7816 04:48:36,718 --> 04:48:37,760 customer success who's going to do 7817 04:48:37,760 --> 04:48:38,958 delivery, you can bring plus ones to 7818 04:48:38,958 --> 04:48:40,480 those. I keep the group just for owners 7819 04:48:40,480 --> 04:48:42,080 because I think it's keeps it higher 7820 04:48:42,080 --> 04:48:44,718 level and it's just better overall. So, 7821 04:48:44,718 --> 04:48:47,760 um, yeah, you guys, you guys rock. So, 7822 04:48:47,760 --> 04:48:49,600 thank you all. Uh, I think you have 20 7823 04:48:49,600 --> 04:48:52,080 whatever 21 hours. scale.acq.com 7824 04:48:52,080 --> 04:48:54,798 and, um, 7825 04:48:54,798 --> 04:48:56,958 let's scale. 7826 04:48:56,958 --> 04:49:00,600 Appreciate you guys. 7827 04:49:02,000 --> 04:49:04,080 I needed like a really elegant sign off. 7828 04:49:04,080 --> 04:49:05,840 Um, 7829 04:49:05,840 --> 04:49:08,638 send nice DMs. 7830 04:49:08,638 --> 04:49:10,160 Uh, when you use the stuff, let me know. 7831 04:49:10,160 --> 04:49:12,560 It actually like really fills me up. Um, 7832 04:49:12,560 --> 04:49:14,080 it's what really encourages me like I 7833 04:49:14,080 --> 04:49:17,120 get a huge boost of energy from um, like 7834 04:49:17,120 --> 04:49:18,718 anybody who's been a developer that I 7835 04:49:18,718 --> 04:49:19,840 know who's a friend of mine has said 7836 04:49:19,840 --> 04:49:21,840 this is like every developer just wants 7837 04:49:21,840 --> 04:49:23,200 one thing which is that their technology 7838 04:49:23,200 --> 04:49:25,360 gets used. And I would say that I I fall 7839 04:49:25,360 --> 04:49:27,040 in the same category of like I write 7840 04:49:27,040 --> 04:49:28,638 these books, I make this content because 7841 04:49:28,638 --> 04:49:31,120 I I just want it to get used. Um, and it 7842 04:49:31,120 --> 04:49:32,480 makes it feel like all the pain and 7843 04:49:32,480 --> 04:49:33,600 suffering that it took me to figure it 7844 04:49:33,600 --> 04:49:35,440 out is just like a little bit more worth 7845 04:49:35,440 --> 04:49:37,760 it. Um, and so please let me know. It 7846 04:49:37,760 --> 04:49:39,760 means the it means the world to me. So 7847 04:49:39,760 --> 04:49:41,360 rock and roll. Scale your businesses. 7848 04:49:41,360 --> 04:49:43,680 Save the world. 7849 04:49:43,680 --> 04:49:46,080 I'll see569151

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