Cameron HeroldFounder of the COO Alliance & Invest In Your Leaders Training

Why Michael Erath Walked Away from EOS

15 Nov 2025 · 1 min

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0:46

This YouTube transcript excerpt features Michael Erath explaining why he left the EOS franchise model after franchise agreements restricted him to teaching only EOS's 20 tools. He describes that values misalignment and his subsequent creation of the 'five obsessions' approach and Next Level Growth, aiming to build elite, user-centered organizations influenced by principles from Good to Great.

Chapters

When EOS went private equity and then they went franchise model, the franchise agreements basically forbade me from teaching anything that wasn't one of the 20 EOS tools which devalued me. And I felt like that was just a foolish decision. So we were no longer values aligned. And I decided, really and much to your credit, because you were the one who pushed me to really find my own path and do my own thing. And that's what led to the five obsessions approach, me starting next level growth, building out a firm. And, and what I really wanted to do is I wanted to create something that rather than being about the system, was about the user. And in order to do that, I felt like I needed to step back and really understand what are the core principles that really drive what Jim Collins talked about in Good to Great, but that really drive what I call elite organizations. The really best of the best.