How to actually achieve anything | Hormozi Hotline

Ready? We moving and grooving? Are we having a grand old time? Well, let me know if you all can hear me on your mikrófonos, which I think is Japanese for speakers. It's not. But let me know so I can see, 'cause I got my little chat screen here so I can have some interactions. So true to my word last week, I said that I was going to— All right, what's up everybody? Now I can see it. Now we're rocking and rolling. Sweet. Okay, great. Yeah, I went white shirt today. I was feeling a little wild. So as you guys are hopping on, I told you that my two kind of themes for this year are, live and interactive, uh, for my media. And so I'm telling you guys right now, that's— I mean, if you guys are— if you guys make content, I'll tell you my cards. Like, we just started, and so we're going to be doing this more. Um, I'll tell you why, a couple reasons, and then I'll get into the stuff I want to talk about today. Um, I think that fundamentally we have to do stuff we like, which sounds kind of obvious. And so if you want to do a tremendous amount of volume of anything, like, it's very hard to do it if you don't enjoy And so, um, I have, I've kind of taken the perspective yet again. And this, I think this is like a calibration thing. Like you do stuff you like, you find a portion of it that works really well. You do a ton of that and then you kind of go off over here and then you're like, okay, I don't like this anymore. And so you kind of come back to center. And so, um, I enjoy talking to you guys more than anything else, uh, which is why that's kind of the center pillar of what I'm going to be doing for media strategy going forward. Um, as a result though, I think we'll be able to put out like a huge amount more volume because. Me trying to think of like, hey, you know, what's a really interesting topic that I can bring on today or riff on today, uh, is different than just like helping you guys solve your problems specifically. And so, uh, the way that today is going to be structured is same as last week. I'm going to do a quick kind of top of mind thing that I've been thinking a lot about, uh, and then I'm going to be answering questions from y'all. All right. So do the job you love thing, Sammy, by the way, hilarious. Um, and like everybody knows what she's saying, but There are some hilarious meme accounts on that that are just like S tier. All right. With that being said, I'm going to do a quick YouTube intro so you guys can actually see this in like real time, how we do it. Um, and then I'm going to get into my little, my little mini topic of today. All right. So I have used one strategy to win repeatedly across 13 years in business and also outside of business. And it's one of the biggest reasons that we had a $105 million launch for $100 Million Money Models in 72 hours for my latest book. And I'm gonna explain why it's the highest risk-adjusted return move that you can make to win more in business or just win more in life. And so if you're not sure what to do right now within your specific business, no matter what industry or size business you're in or whatever goal you're pursuing, this will help. So that's my YouTube intro. Not bad, right? All right, so here's the deal. I talk about more, better, new a lot, but I wanna dive into the one that is near and dear to my heart, the one that has made me the man that I am, which is more. And I wanna talk about that because the fundamental question that every single business owner needs to answer, and even every person pursuing any skill or endeavor needs to answer is, why can't I do more? And for most people, doing more is the answer, and it's far more common than it is more. Now what's very sneaky about more is that you get to a point and then you say, there's no way I can do more. And at that point is where the big unlocks in volume really occur, right? And so Napoleon had this really great quote back in the day, and maybe it's misattributed to him, but he said, quality, I'm sorry, quantity has a quality unto itself. Meaning like if you do so much volume, you do so much work, and in the military sense, if you just have so many people at some point it almost has its— it takes on its own quality of the amount of work, the amount of people, the amount of volume that you're putting into something, whatever it is that you want to break through. Um, uh, Lewis, can you zoom in on my notes real quick? Because I, I— you're moving all over. I can't see what— see what you're saying. Okay, so big picture, I, I wanted to give you a couple cool little anecdotes to, to reinforce this. So some of you guys know about Sharon. He was on the live with me. He's our president at ACQ. I'll tell you two stories about Sharon that really drove this up. And I can tell you so many of them in my life, but one of them about Sharon that really, like, I'll tell you the moment where like we went from being friends to me being like, man, I really want him to be president of acquisition.com. So he was talking about how he was growing Real. And so Real is a $200 million or was a $200 million per year business at their $200 million market cap. So they're publicly traded. And he was talking to me about the business and he had grown it from $200 million to $1.2 billion in less than 3 years. So like 30 months. All right? And I want to put that there as a moment for you guys to think about that, how insane that is. $200 million to $1.2 billion, less than 3 years. How does he do it? We're having dinner and he says, I just did 260 events in the last 365 days. And I was like, what do you mean? And he was like, I flew around and I did every single real estate event. I spoke on every single stage. And that's how I generated, you know, more demand for our platform for realtors. And when he said that to me at dinner, I was like, this guy, he gets it. Now we've been friends for years, but seeing him so tactically involved in the business and being like, that was the thing that took a $200 million business to $1.2 million, just sheer volume. Now most people might hear that and think, Well, yeah, I speak on stages one time a month and you know, I mean, I'm on stages all the time. It's like, no, no, you're not on stages all the time. You have no idea what being on stages all the time actually means. And so most business owners wildly underestimate the amount of volume, one, that is required, and two, that they are capable of. All right? And the thing that is required is almost always higher— or sorry, your capability is always higher than what is required. But the thing is, is that you might not know it yet. And so I've had so many times in my life that it's become my de facto operating principle. Like I got stuck in trying to grow muscle for a really long time. And this is before I took testosterone. All right? So to be very clear, I've taken testosterone exogenously injected inside of me and gotten all the man juice. But this is before that. And I was able to put on like another 20 or 30 pounds, like 7 years into lifting. And the main thing was I ended up saying, well, I wonder what would happen if I made it my job to lift all day? And I was like, well, what does that What does that mean? So I lived at a gym obviously because I had my own gym and I set a timer to work out every 45 minutes. So I had set up 3 exercises and every 45 minutes I'd go in the gym and I'd hit 1 set on all of them and I'd go back to work. And I was doing 9 or 10 sets every day, right? Which is a lot of sets. And I did it every day. And so what ended up happening is that like in a matter of 4 weeks I put like 15, 16 pounds on and I was like, holy— and it broke me through all these plateaus. Of size and strength that I had been stuck at for years. And so then later I was like, let me see if I can do it for 6 weeks and do it even more volume. And that's what ended up happening. Now to be clear, some people have different genetics, some people have, you know, their joints can't take it, whatever. But the point is, is that the solution set we have to think about is like, how can I do more? And the answer to that question, the thing that's stopping you is the constraint of the business. All right? And so many of you guys have heard the story of the pottery class where you have a teacher, He assigns two classes. You guys, you will get graded on making the best pot, so the quality of your pot is what I'm gonna grade you on. And the other class, he said, I'm gonna grade you on the number of pots that you make. And at the end of the semester, this team, the quality team had made one pot and it was decent, and then the team that had just done sheer volume of pots, not only did they make way more pots, their pots were better. And so the thing is, is that kind of like the Napoleon quote, quantity takes on a quality unto itself. Like you get better by doing more. And so that is why there's this tied relationship between the two that's massively linked that people underestimate. And so I want to read you this. This is from my internal sales handbook that I have for my sales team because I want to set— like, this is the culture of acquisition.com. Like, we ask, how can we do more, right? How can we do more? Now leverage is a part of doing more inputs and outputs. Like, if we can get more output with leverage, let's do it, right? So let me read this to you because I think it'll frame how we think about this. Many people say they want to be in the top 1% or 0.1% or even 0.01%, but saying that has zero bearing on whether it happens. Achievement comes from actions, not aspirations. So let's get real. To be the top 1%, you need to enter a room of 100 people and leave number 1. To be the top 0.1%, you need to enter a room of 1,000 people like a local high school. And leave number 1. To be the top 0.01%, you need to enter an arena of 10,000 people and leave number 1. Think about it, a stadium, and in a battle to the death in that stadium, you have to come out on top. You beat everyone, not almost everyone, everyone. And so if you have the goal to be in the top 0.01%, do you think that you can live a normal life? Do you think that you can keep the same friends? Do you think that you can keep the same hobbies? Do you think you can stay up late and sleep in on weekends? Do you think that you don't have to sacrifice what average people care about? Do you think that they will support you when you start to pass them? Do you think anyone will think this is healthy, balanced, or logical? No, and they're right, but it doesn't matter. When you want to be the 0.01%, there's no greater waste of time than explaining yourself to people who actively don't support you. It's normal for people to not understand why you do what you do. I say this because you cannot make yourself exceptional and live a normal life. To make yourself exceptional, you must live an exceptional life, and an exceptional life does not always mean better. It just means that it's so different that most people will reject it and you, and when that happens, you must reject them as well. Oil and water do not mix. That is what it really means to be exceptional. You must become the exception. And so this is how we welcome the new guy. Actually, there's another page, so I'll finish it up. So I routinely get asked the secret to success, and it just comes down to this. Number 1, get better. Number 2, never stop. If you do only those 2 things, you will win on a long enough time horizon. The problem is people convince themselves they no longer want something once they see the experience of how hard it really is. So I want to set this expectation for you as you head off to practice scripts, mark your calendar, and set your alarms. The work begins when your motivation ends. Just win. And so that's from our internal handbook that we have at ACQ for our sales guys, and it's one of the ways that we welcome guys on. And I want to read that to you because I want to frame what I'm talking about today. It seems like a very simple thing, just saying, just do more. But like it's almost become an art form and something that I have like a deep passion about, which is very odd to say. But more actually has the highest risk-adjusted return move that you can possibly make within the business. Keep my notes a little lower because it cuts off the top. And so it has the highest risk-adjusted return move. Give me 2 seconds, guys. I'm going to adjust this because this is driving me fucking nuts. Hold on. So let's move this up. Can I do that? Alright, I prepared some notes for you guys to keep it nice and, you know, violent. Okay, so the reason more has the highest risk-adjusted return for a business or for you is that it's so hard to get something to work, right? Many of you guys have tried anything. You have a new marketing channel, a new sales script, a new offer. You try a bunch of things and then finally something works. The likelihood that you changing that thing and that next thing working is actually statistically very low. Think about how many different things you had to try die before something actually worked. And so the idea is, okay, I have these limited resources. I can allocate them to take a risk and roll the dice, or I have this thing that I know works and I need to jam more into that machine, which is why it's the risk— the highest risk-adjusted return move. Now, one of the other misconceptions that I think is that there's a huge preponderance of people who talk about optimization, getting as much as you can for as little as you can. And I don't think there's anything wrong with that. The difference is that there are optimizers and there are maximizers. Maximizers try to ask the question, how do I get as much as I possibly can? Optimizers ask, how much, how do I get as much as I can out of as little as I can? But when you're looking at returns, maximizers win. So what's the difference between first place, you know, gold in the Olympics and second in the Olympics, silver, right? A 10th of a second in a race. But what is the realistic difference, the real world or pragmatic difference between being the best in the world and second best? Everything. And so when you're talking to an Olympian, you're talking to somebody who wants to be the top 1%, 0.01%, 0.00001%, diminishing returns are still returns. It's you need to do more because you're trying to win, not be cute about saying that you had great return. And I say this as somebody who was a converted optimizer.. So in the earlier part of my life, I really prided myself on doing school with as little work as possible. I was like, you nerds. I was like, you guys needed to study. I can walk in and hit a 91 with no studying. And I'll tell you the story that really, really changed my life. So there's a guy named Kemp Knott and he was like, and hopefully Kemp, maybe you'll see this. I gave Kemp a hard time. I did when I was in high school. And he was a kid who didn't catch on to stuff as fast. And you know what? Kip's a successful guy now. He's done great. And, but this thing happened. So all of high school, I kind of gave this guy a hard time. And when we went to go apply to colleges, I wanted to go to Duke. So Duke's a top 5 school in the US. And I didn't get into Duke. I ended up going to Vanderbilt, which is also obviously a great school, but I wanted to go to Duke. And guess who got into Duke? Kemp Knott. And so what was really interesting is that this whole time, like Kemp would go to study hall, he'd be like, "Teacher, you forgot to assign his homework." Like he was that guy, right? And I honestly just really disliked him, but mostly 'cause it probably just reminded me of my own inadequacies of like I was just unwilling to do the amount of work that he was. And I shamed him for doing the amount of work that he did. I was like, you have to work so hard just to try and come close to me, right? But in the end, he got into the better college. And so it was this really humbling lesson for me that it was like, none of the colleges cared that I worked less than him. They just cared about who had the best applications and who had the best grades. And it was this really like very eye-opening experience. And so when I went to college, I had a different frame that I was like, well, I'm not going to lose. I want to go here and I want to maximize. I want to study all the hours of the day that I'm not in class, at the gym or at the cafeteria, I'm in the library. And you can ask anyone that I ever went to school with if you ever meet them. Like that's where I was. I was in the library 12 hours a day because I was like, well, if I just study more than everyone, I'll get good grades. And that worked out pretty good. Right? And so that's just kind of a little bit of framing around why I have such a strong affinity for more. Now, I'll give you a second kind of a little bit more heady reason. So I talked about how more is the highest risk-adjusted return. I talked about how diminishing returns are still returns. They're still at the end of the— there's still output, right? The next piece though is that change has a fixed cost, all right, and a variable reward. All right, so let me explain what that means. So if we have this thing that's working, Right? And let me see if I can draw this for you guys because I think this would be— this is a good visual. Okay. So one moment please. You guys digging this? You guys enjoying this? All right. So I want you guys to imagine for a second. There we go. So I want you to imagine that this line right here— ooh, nice and wet, how I like it. My markers, calm down guys.

Okay.

So I've got this line, this represents your revenue or whatever your current level of activity or output is. Okay? This is output, whatever your thing is. Okay? Now what happens is most entrepreneurs, they say, you know what, I'm going to change something. All right? And guess what happened? Because they think they're going to change something and things are going to get better, right? You tweak something, you mess around, you change your page, change your script, change your onboarding process, whatever, right? So then what happens? Well, if there's people involved, typically output will go down. You have to retrain the team. They have to practice. You know, this variable affected two other variables. You didn't I didn't know about. And so you get, and this is completely based on my observation, you typically get about a 20% decrement or decrease in performance. Okay? And so what this has created for me is my minimum rule of 20%, which is that if something is going to give me a guaranteed 20% decrease in output by me changing it, now this is initial, what ends up happening after that is it might not work and then you stay here or it might be worse and this goes here or it might get better and it comes back up eventually, right? And then maybe you have a 5% higher output here and now this is now your new baseline is a little bit higher than it was before. Now here's the thing. If you have a 20% guaranteed decrease and you have the potential for a 5% increase, do you take that bet? No, but I see entrepreneurs every day, myself included, for many years, taking that bet over and over again, 'cause I was like, I just have to get it better, I just have to get it better. But it was a fallacy. It's not true. Sometimes, like, your business will never be perfect, and you have to accept that fact. It will not be perfect. You will always see things that you could, and the thing is, is you don't even know if it's gonna get better. You just aren't sure if it's, quote, good enough, and so you just wanna change it, you wanna mess with it, right? But the magic is the compounding returns you get when you do the same thing over and over again. This depth of understanding, this depth of skill that happens with repetition, right? If necessity is the mother of invention, repetition is the father of skill. All right? And so coming back to our 20% here, right? This is cute, right? But let's look at what entrepreneurs will normally do. Maybe they'll start seeing some increase here, but what do they do next? They say, you know what, I've got this other idea I have. And so then they get another 20% decrease. And so they're constantly living significantly below their output means or your revenue or whatever your thing is below what your potential is because you're constantly changing stuff. And I want to be real with you for a second. If you're a small business owner, you've got, you know, maybe 10, maybe 20 employees, or if you're anything less than that, then like hear me right now. The amount of resources that you have to implement change are so limited. I like, They're so limited. I pick like one big thing a year that I do, like one. And what happens is when you realize how limited your resources are in order to deploy successfully a new change or a new experiment, what happens is it forces prioritization. It forces you to focus on what things— if I only had one thing that I could do this year, what one thing would I be like, this is the bet I'm going to take? Well, it certainly wouldn't be a 5% thing, right? Well, maybe if we write handwritten cards, we'll get a 5% increase in referrals. Maybe, right? But given those resources, what else could you do, right? And so when you look at the whole thing, the whole spectrum, and this is how I want to frame strategy for you around this. So most people think about business strategy. I got this from Sharon. I love this. I'm using it all the time. It's so good. Most people think about business strategy like they think about making dinner. So they go to their kitchen, they open up the fridge, they look what's inside, say, what am I gonna whip up, right? That's how they think about business strategy. But the question that we should be asking isn't what am I gonna whip up from what's inside the fridge? We should ask the question, what the fuck do I wanna eat? And then go get the ingredients and go make it happen. And so when you have, when you're saying I'm only gonna take one bet or two bets this year, they're gonna be material, then it forces you to be like, it's gotta be worth it. Because here's the part that no one else knows is assume this is still the same output, right? You've got your output. What happens is that if you change nothing, believe it or not, people get better at their jobs. People just keep getting better. They get more skilled. And so you'll typically have 1, 2, 3% increases that happen kind of month over month from you just not changing anything, from just leaving it alone. And so this has taken me so much time because I'm a natural, I'm a yes hinge, right? I'm like, let's do it. Let's shake it up. Let's change things. Because the thing is, is I have this need from my business. Earlier days, the business satisfied multiple needs and I didn't satisfy the business's needs, meaning I had cravings for novelty. I wanted to do new things. I would get bored of doing the same thing over again. And so because of that boredom, I would say, let's shake it up. But why? Because the times I've made the most money in my life have not been when I've been changing the most. It's actually when the business has been really boring and we're just blocking, tackling, doing it over and over again. And so this is something that some people never learn. Honestly, a lot of entrepreneurs never learn this. And the hard question, the hard problem to solve is not the new idea that you want to try. It's how can I do more once I've already exhausted my existing way of doing more? I'll tell you a story to illustrate this. So I went and spoke at this personal training thing, God, I don't know, 8 years ago, long time, right? So I was still successful with Jim Rohn at this time. So I was like considered an authority just within the fitness space. And so I go there and I give my whole presentation or whatever. And so then a girl raised her hand and asked a question. She said, hey, I currently do outbound DMing from my Instagram to get customers, but I want a more scalable method of acquisition. And I kind of like looked at her, I was like, what do you mean? She's like, well, outbound doesn't really scale. And I was like, in what world Do you think that outbound doesn't scale? Of course it scales. Some of the biggest companies in the world do exclusively outbound. The problem that she had and encountered was how do I hire, onboard, and train another SDR or another outbound rep or another DM setter, right? And so some people get to like 5 and they're like, there's no way I can have more than that. But that becomes the complex problems that we then get to solve rather than saying I'm going to do something new, right? And so I bring this up because, and I'll circle back to this 20% real quick. So for me, the minimum rule is that it's gotta be over 20% if I'm gonna get a 20% loss guaranteed, right? Of course. But I don't even know if I'm gonna get this 20% 'cause we have to analyze this through, this is an investor frame by the way, it's called ICE, right? Which is impact, which is like how big, right? Confidence is how likely. And then ease is what are the resources required for us to make this thing happen, right? Now the perfect world is something that's gigantic impact, gigantic competence, and super easy, right? That would be the best type of thing. And so when we have a risk-adjusted return move, we think, okay, I think this could double the business, I have super high confidence, and I think it could be easy, then those are the types of bets we want to take. Because said differently, if you know that something could double your business, with one move, why would you do three? Right? Just because you have this compulsion to be busy, to mess with your team, doesn't mean it's what the business requires. Real. And so a lot of people use the business to satisfy their own ADD, to satisfy their own need for novelty, when the business thrives on same. It's very rare that you're Kodak and you need to adjust to the digital world. It's very rare. We love to tell these stories, but what we don't tell is the guy who just said, you know what, I've got 3 levels of my membership and we're doing $1 million a year. How do I 10x my traffic and get to $10 million a year? And then once I'm there, what do I need to do to get to another 10x of traffic to get to $100 million a year? We don't ask those questions, right? Because one of the fallacies or the pains of small business owners is that we, and myself included, right, we consistently think small. We don't think big enough. And so let me give you an example on this, right? So let's say, this is where people get obsessed around optimization. They get obsessed around relative returns rather than absolute returns. So let me tell you, let me give you two examples of this. So let's say, okay, so let's say that you've got, you've got a marketing campaign where you put $100 in and you get, call it, let's say you get, you know, $10,000 out. Okay. So this is 10 to 1. Amazing, right? Cool. But as soon as you scale to $200, let's say that you now are getting a 6 to 1. So you get $1,200, which is pretty bad. You know, you'd spend twice as much money and you only made $200 more, right? Most people would say, "Oh, I should stop doing this." The maximizer says, "We made more money. Net-net, we made $900 here, $1,000 minus $100. Here we made $1,000." This is still more. And this is what people miss out on. And so people think, and what happens is when you're a small business owner, you get obsessed with these relative returns. And there's a point where you do want really high relative returns, want big high LTV to CAC, and we can get into some of that stuff. But I want to just put a pin in this from a larger thinking perspective because I will see people stay in these optimization loops for years, right? They're like, I got to, you know, my opt-in page converts at 30%, right? This is my opt-in. And they'll just keep testing it, trying to get it to 35 or 40 or 45%. But the thing is, is like you will never 10x your business by getting— this 30% will never go. It will never go to 300%. It's never going to happen. But you can 10x your inputs. You can do more. You can do more and you can send more in, and then that will for sure increase your output, even if your relative return goes down. And so if I had the choice between spending $10,000 and making $100 back, 10 to 1, or spending $1 million and getting $2 million back, 2 to 1, I would take $1 million in to get $2 million back every day of the week and twice on Sunday. Why? Because it's more. It's still more. It's absolute returns, absolute output, right? And so When you're thinking about yours, and I'll bring this to business now, right? I mean, I've been talking about business, but like more to business, more tactical. We have our core 4, right? We have our 4 ways of getting customers. We've got our warm outreach, we've got our cold outreach, we've got content, and then we've got paid, right? We've got paid ads. These are the only 4 things that you can do. And so the magic is answering the question of how can I go from 1 piece of content to 100 a week?? And I'll tell you this, I'll tell you a quote from Elon and then I'll tell you a story that I just had. So Elon, he talks often about like, figure out your 10-year goal and then ask yourself, what would it take to get this accomplished in 6 months? You might not accomplish it in 6 months, but you'll get there way faster than the guy who accepted it was gonna take 10 years. And so I do love the frame of like, they're gonna capture your kids, they're gonna capture your wife, they're gonna capture the thing that you care the most about. What would you do if you actually had to get this many people to start working for you for Apparent, or get the sales team trained up, or actually make 100 pieces of content when you're currently making 1 a day? What would you actually do? Like, what would you actually do? And then— and it's worth answering the question, not saying I couldn't. You answer the question and you say, this is what I would do. And then, this is the trick, then you say, what kind of resources would be required to make that happen? So what would it take in terms of what would the actions be, and then secondarily, what are the resources required to make that happen? And you'll often find that it's far fewer than you expect. So I'll tell you a story. This happened literally yesterday. So guys here at one of our workshops, uh, he's doing— I think he was doing 10, 6, 6— I can't remember. I think it was $10 million a year. He was doing $10 million a year, and he's got a, uh, like a healthcare-related business. So he's got workers that do health-related stuff, whatever. All right. And so he's got 38 of them. He's got unlimited demand. His phone's ringing off the hook. He can't deliver. All right. So he's supply constrained. And so I say, all right, so if you could get twice as many people on your staff, your business would double. I said, is that correct? He said, yes, that's correct. And I said, okay. And I said, you know, what are your current channels? And he's like, I get, you know, I've got these 2 recruiters. They send me, you know, 1 good candidate a month that I end up hiring. And then I've got this like, you know, education program that I work with the colleges and I get another 1 person every quarter from them. So he's got 12 plus 3 that are coming in a year roughly, or 12 plus 4, so 14-ish people. He currently had 38 to 40, right? So that's a 30% growth rate and there's nothing wrong with that, but that growth rate's gonna diminish as the base gets bigger, right? Unless you find a new way. And so I said, all right, so how much does it cost you "Sorry, how much do you make in gross profit off of a new provider?" He said, "About $100,000 a year." That's what he makes. I said, "Okay, that's what you make." I said, "What are you currently paying a recruiter to go get this?" "$5,000." I said, "Okay, could you imagine a world where you'd pay $25,000 and you'd spin up 10 recruiters and you'd say, 'I want you to give me 5 people and you have to give me a guarantee for 6 months that you replace them as many times as possible because that was the big risk that he had. What if I hire somebody and they're not good, right? And I want you to also add in a guarantee that if in 6 months I don't keep them, you replace them at cost, right? And so I'm willing to pay you more, but I want this guarantee and I want it over this period of time. If you did that, right, and this business I think was doing around $2 million in profit a year, all right, on this $10 million. And so I said, okay, For $1 million, half of your current profit, right? $1 million, $25K, what does that get us? It gets us 40 new providers, which is the exact size of his current business. And so for $1 million, that investment, you double the business. Now partially there's incremental margin that's there, so it'd actually probably be larger than doubling the profit of the business. But here's where this gets really interesting. Let's say this business, I'll give you the math here, so $10 million top line, $2 million in profit, alright, this business probably trades at around 8, 8x, which means right now it's a $16 million business, okay? Now, when he has his $2 million of profit, he's got two options. Option one, he just pays taxes on it, and he lived in California, and so he's only gonna have $1 million after taxes, or more realistically, if you live in California, nothing. I'm kidding. You'll have $17 after taxes. You will have a lawsuit and a high five. The alternative here is that he can invest it. Now let me explain how that works. So if he invests it here and he gets his 40 guys, number one, he takes his tax bill down and cuts it in half. So now he only pays $500,000 in taxes, right? He has $500K left off the million that's there. But here's where it gets interesting. If he doubles the amount of providers next year, what does that mean to his enterprise value? He's going to be at $4 million in profit, right? And that $4 million in profit then turns into $32 million in enterprise value. And so he made an extra $16 million, 6 to 1, 16 to 1, excuse me, on the $1 million that he invested, and he did it tax-free. That's how you get super rich. That's how it works. Okay, not a promise. Of course, your results will vary because most people do nothing, and this is not meant as an earnings claim. Of course, you are watching a YouTube livestream, so I have no idea what you're going to do, which will probably be nothing because most people do nothing. Now, that being said, for each of the different ways of the core 4, The ways of the warrior, the ways of the marketer, right? We have our, I'll redraw this for everybody. We have our outbound, we've got outbound, we've got paid, paid ads, and then we've got organic or content, right? We've got organic. Okay, now how do we do more, right? So from an ads perspective, we'll start here. More can simply mean more money, it could also mean more creative, it could mean more platforms. All of these things are versions of more. And so I will typically do this in reverse order of risk, right? And so that means that I think that if I'm going to put this in order for paid, it'd be like, okay, well, the first thing to do is make more creative. If I have more creative, I have a higher chance of getting more winners. If I have more winners, then I'm going to get better ROAS and I'll be able to scale to more markets, more avatars, more segments. Great. So that's the first more I'm going to do. The second more I'm going to do is I'm going to say I'm going to spend more money on ads. How can I take my $100 a day and spend it for $1,000 a day? What stops me from doing that? Right? And then third, if I do step one and step two and I make way more creative and I spend more money, then at that point I say, okay, well, now that I built this machine that can create 10 times the creative volume, how do I do this within the context of Instagram, or how do I do this in context of TikTok, or how to do this in the context of X, right? Each of these platforms. So some of you guys don't know this, but for the launch, for the Money Models launch, this puppy, right? So for this guy, the reason we were able to do $105 point whatever million at the launch is because we didn't just like— we advertised so much, right? So we did, I think, 2,000+ ads before the 6 weeks out began. We had banked those 2,000 ads. 2,000. Like count to 100 and then do that 20 times. And if you counted it, you'd be like, wow, this is really boring. That's how long it takes to count to 2,000. We made 2,000 ads, which takes significantly longer than counting to 2,000. And so this is what people dramatically misunderstand is the amount of work it takes to do more. Because then I could say, well, my editor, I only have 5 editors and I can't do, they can only do, They can only do 5 ads a day each, and that's 25 ads a day is all we can put out. Well, if I got to 2,000 ads, do I think that I would have a higher likelihood of hitting this big goal? Yes. What would it take? So it turned out, we did the math, it took 15 editors, and so that means that we had to contract 10 more to do the editing. What does that cost? A lot less than $105 million. So we did it, right? So we figure out what would it take to get this big goal in terms of volume, And then what are the resources required to do that? And then is it worth it? And most times the answer is a resounding yes, not a small yes, a big ass yes. And so then we say, then what's stopping us? And the answer is almost always nothing. Just do more. Now that's how I would attack paid from a more perspective, right? From a, from a content perspective, the same thing in terms of scaling. Scaling editors. Now one of the interesting things about doing more is that doing more is so painful, right? It's so much work. It's a lot of work to do more, but that pain forces another forcing function which you don't need to try to do. It will occur on its own, which is you will try and minimize how much work you're doing, or at least you will try and get more. If you have a fixed work, like I'm going to do 100 calls no matter what, I'm going to do 100 minutes of content no matter what, what do you think happens? You think, man, it'd be really nice if I got higher pickup rates. So then you start looking at your time and saying, you know, people pick up more in the afternoons for my market, or they, they pick up really hot between 5 and 7 AM in this particular market, whatever, assuming you, you know, follow the law, whatever. You start getting better, you start looking at the data, you start saying, like, if I'm going to do all this work, I might as well make it worth it, right? But you have to put yourself in that pain, that pain of the lack of leverage, the pain of it being inefficient to drive— that was a massive spit glob that just came out, you missed that one, that was epic. So you have this massive inefficiency that happens, but you have to keep it there because what happens otherwise is like the weak-minded, the weak of will, will do 100 for 1 day or 2 days in a row and they'll say, I didn't get the result I wanted. So it's like, duh, of course you didn't, you didn't do nearly enough. And so the reason that your businesses may feel volatile or erratic, you're like, I don't know why, sometimes we have high sales, sometimes we have low sales, sales, it looks like this, right? So let's say that, let's walk through an example. Let's say that you do 1 sale on Monday of this week, and then you do 1 sale on Thursday of next week, and you do 1 sale, I'm gonna make, I'm not gonna draw on the whole thing. So let's say 1 sale on Friday of the following week, and then 1 sale on Tuesday of the week after that. So you're doing 1 sale a week, and they're kinda happening all over the place. So your sales look like this, right? That's what they look like. Let me give you the, the realest take I possibly can. There is a level of advertising that is occurring that is generating 4 sales per month for you. There's a level of letting people know about your stuff that is happening. If you want to get to 1 sale a day, you would have to 7x that level of advertising, period. And you might even have some inefficiencies because you might not get the same out of you doing 7x. So you might have to 14x assuming your efficiency drops. And so what? How much would it take for me to do this 14x? And is the amount that it takes me to do the 14x less than a 7x for my business? If the answer is no, then what's stopping you? Right? And so this, this thinking pattern is why I think people stay small. They get obsessed with the margin. They get obsessed with, with the relative returns. They get obsessed with the optimization. But sometimes you just have to do a violent, unreasonable amount of work for an extended period of time because part of volume is the consistency associated with it. We couldn't make 2,000 ads in a day. We had to make 25 or 50 ads and we had to do it every single day for hundreds of days in a row to get to the point where we could make $2,000, right? And that was before we started. We ended up, what, with $3,000? $2,800. We made 2,800 ads, but we're like, man, I can't, I can't scale my ads past a certain— you don't have enough. We spent $500,000 a day, per day, at the end of the launch, the last few days. And you can only get to that level of scale with an equal amount of scale in terms of the inputs. And so this is probably my favorite volume story that I have because it was so real for me, but I'll tell you two. So one was I paid somebody who was way bigger than me at the time in terms of content and all that stuff early on in my career. And I was like, hey, what should I do to grow? And I got basically no tactics from this, but it was incredibly valuable for me, which is why I'm trying to do this for you. I can't sit down with every single person because it'd be Physically impossible, right? And so I try to do these instead as my best, my second best attempt to do this. And he was like, dude, he's like, you just need, he said, pull up your LinkedIn. And I was like, okay. He said, pull up my LinkedIn. And he had made 10 posts that day and I had made one. And he was like, okay, pull up Instagram, pull up your Instagram. He had made 3, I hadn't even made one that day. And then he said, pull up your YouTube, pull up my YouTube. And once we did this 2 or 3 times, I was like, I get it, I get it. I just need to do way more. He's like, yeah, dude, like way more. And so we as humans so often think I need to do twice as much, I need to do 3 times as much. We can't fathom what it would mean to do 100 times as much or 1,000 times as much. But if you want to beat every fucking human being in the arena to the battle of the death, right, wouldn't you want to leave no doubt? Wouldn't you want to make fucking sure? That you were going to win? Because here's the thing, if you see someone ahead of you, a lot of people get triggered by this. They see someone ahead of them, they throw rocks at them, they're like, because it makes them feel bad at themselves. I strongly encourage you not to do that. If someone is doing better than you, they are better than you in some way, and in that you can learn of them. Real. So when someone's doing better, if you're like, I gotta beat them, you look at their volume, right? And let's say that someone's doing 3 times this volume that you can see, right? What do you do? Do you do 3 times the volume? No, because now you're just matching them. You need to do 10 or 20 or 30 times the volume because not only that, they're doing volume that you can't see. You're just judging on the volume you can see. And so if you want to leave no doubt, it's like not only if I did the same amount of work as that guy, I'm always behind. So I got to do more work to catch up, but that's just based on what I can see. I might have to do more, more to make sure that I accommodate for the things that I can't see. And so I said I would tell you my, I'll tell you another Sharron story. So this is 2 years ago, I think, maybe 3 years ago. Geez, might've been 3 years ago. He's, at the time he was making content and he was like, it's not really popping, like, can you help me out with it? And I actually had a repeated story, the same, I literally had the flip reverse conversation with him where I was like, well, how many times you post in a day on Instagram? He's like, "One." I was like, "How many are you posting a day on TikTok? How many times are you posting a day?" And by the time I got to literally just the third one, he was like, "I get it, I get it." He just stopped me. He was like, "I get it, I need to do more." And remember, this is the guy who got on 200+ stages. This guy understands volume. And so to land the plane here, we were having dinner. He told me about the 200, the 200+ stages, 260 stages or whatever that he was on that year. "Right?" And after he said that, he just looked at me, he was like, "No one gets it." He's like, "No one gets it. Everyone thinks that I've got some magic trick, that I've got the most, the highest converting presentation, that I'm some amazing guy on stage, and it has nothing to do with that." He's like, "No one understands the volume. No one gets it because it's not doubles, it's not triples, it's not 5x, it's not 10x, it's 100x the volume." And so that is my word du jour, and I'll close on, I'll give you a second close. We're closing twice, all right? Consistency is the rarest of traits, and I think the reason it is so rare is because you cannot observe it without at least having some level of consistency. Think about that for a second. How can you observe consistency? It's very hard to do, right? You can't see somebody coming— like, you have to be at the gym every day to see someone at the gym every day, which is why, like, when people come to Acquisition.com, all of a sudden they get this gigantic boost in their skill set, their productivity, their output, because they're around everyone. Like, when you show up at Acquisition.com at 5:30 in the morning, the parking lot's full. Like we're here to win, not play. We want to win. And so I think I would ask yourself the question, if I knew beyond a shadow of a doubt that if I could do 100 times more than I'm currently doing, I would hit the goals that I have. Then I would then ask the question, great, what resources are required? And then following up to that, is it worth it? And if the answer is yes, what's stopping you? Alright, rock and roll, guys. We're gonna transition to our Rosie Hotline. You guys enjoying this? I love this stuff. I'm just so passionate about more. Like, you can't, and you can't even do, like, more for one day is not enough. Like, we had to be consistent with the amount of ads we were making for a very long time to get the volume. So you can make 5 posts on all the platforms in one day, but you gotta wake up tomorrow and you're at zero again, right? One of the things that I think is so magical and so amazing about like sales teams is you have a week and everyone's trying to up the tally and win the week. But what happens on Sunday morning? Back at zero, baby. Back at zero. You have to be consistent. You wanna win the quarter? You gotta bring it every day, right? And I don't pretend to know what it is that separates people, you know, from the people who can and from the people who can't. But I would say that one of the biggest ones is like, it's a decision. It's a decision. You decide that you wanna go pro. You decide you wanna make this, you wanna be legit. And the thing is, is that you have to do it for you because no one will see the amount of work. Like if you want credit for the work, you've already lost. You can get credit for the outcome, but you will never get credit for the work. Like you have to accept that, real. You have to accept that. You will never get credit for the work. If anything, you will get criticized for the work. The people around you say you work too much. They'll try and pull you away from the work, but the work needs doing. So, Now we shall begin the hottest of Hormozy Hotlines. Should I keep the hat on? I don't know. I can go dark shadow over the eyes. That always seems nice and dark. A violent message today. All right. All right, let's see here. Let's see how this works. Salutations. Can you guys hear me okay? We can hear me? Oh, I need volume up on my mic because I can barely hear this guy. Oh, I need volume up. Oh, I'm hearing myself. I got a little echo action. That's annoying. Oh, caller, who's here? Hey, yo, can you hear me? Hello? Who's this? Hello? Yo. Phil, what's up, man? Can you mute me in the background?

Yes, I can. All right, you are muted.

All right, rock and roll. Tell me about the business.

All right, we are a $1.2 million pool service and repair company in Raleigh, North Carolina.

Rock and roll. What's the profit?

About $50K after $145K in owner salaries.

So per So $200K all in.

Yeah. Yep. $195K. Yeah.

Right around. Cool. That's fine. Okay. $200K. Bottom line. All right. What's the, what's the membership price? What's churn?

We're about— it depends, but average is about $4,500 a year per client. What's churn? We're only recurring.

What's that? What's churn?

Yeah. Oh, churn. We lost about 12 people this year. So 12 divided by 176, whatever that is, 12.

Okay. So you have 90, you know, you have 67%. Yeah.

Okay.

So you have 93% retention annually. Okay, great. So churn's not an issue. Yep. Fantastic. All right. So what do you wanna have happen?

What's the problem? Problem for us is we can't hire and retain and train really talented people. We, we find that we can keep people for about a year and then they, either want to go do something else or they want to go into a different trade that they view as like a higher, higher opportunity, like HVAC, plumbing, electrical, stuff like that. So we're trying to figure out a way to make it so that people want to stick around and see this as a career that it can be.

Yeah, I'm gonna, I'm gonna, we're— I'm gonna guess, right? What's your close rate right now when you meet with people?

Our close rate when we meet with clients or with Leads to sell them. Yeah, selling, we're about 30%.

30%, interesting. Okay, so this is me calling the shot. This is my guess here, Phil, is that I'm going to bet we have to fix the sales motion, number 1. Once we fix the sales motion, we can increase prices, step 2. Once we can increase the prices, which will dramatically increase profit, we can then pay the guys more. So they stick. Yeah, that would be my—

and currently they're good. Currently they're paid 25% of labor revenue. Um, so yeah, definitely increasing prices definitely is a way to do that. Um, and that's, that's the thing, we're just— our close ratio, I feel like, isn't high enough to warrant the price increase I know we need. Yeah, right. So it's like, I don't want it to go to 5% close ratio in order to—

I mean, for you to get to 5%, you would have to like 10x the prices. It wouldn't even be close. Yeah. So we have to fix the sales motion. So that's my— so like, this is why, like, you got to pull the thread, right? So it's like, it starts with like, my guys aren't staying long enough. But the reality is that like, we're not charging enough, but we can't charge more because our sales process is screwed. So let's fix the sales process. All right. So walk me through the sales process.

Sales process we have currently, they basically call our office. We do a lot of inbound. We don't do as much advertising as we need to. Um, so we're pretty, pretty well, uh, we show up pretty well on Google, uh, but we're only spending like $500, $600 a month on actual Google outbound.

Um, what do you mean Google Ads?

So I mean Google Ads, like Google Local Services.

Got it. And so you're— and it's $500 a month is what you're, you're putting into PPC? Okay. Yep. All right, how many leads are coming to our office?

Any idea? Leads, leads a week, leads a week are about 2 to 3.

Okay, from that, from that $500 that you spent, right? Yep. Okay, so I'm gonna say you're getting 12, 12 a month, so let's just say 10 for simple math. So it costs you $50 a lead right now, right now, roughly.

All right.

Yep. And you convert what percentage of leads?

Convert about 30%.

Okay. Converting 30% of leads. You can get that to 50% on inbound, just FYI, but you're at 30%. That's fine for the purposes of our conversation. Okay. So it costs you $150, right? Yes. To get a customer who's gonna pay you $4,500 a year. Yep. Not bad. Not a bad day. So let me ask you this. What percentage of your costs are variable versus fixed?

Uh, it's, I don't have an exact figure.

Let me ask you this. What are gross margins?

Gross margins are about 50%.

Okay.

So that cost of goods are about 25.

And that includes labor. That includes labor, right? Yeah.

Okay.

Correct. So you're going to make— so it costs you $150 one time to make $2,250 per year in gross profit. Yep. Banger. Banger. Amazing.

Okay.

This is killer.

You put more into advertising.

Hell yeah. Bro, I've got this amazing investment opportunity. If you give me $150, I'll give you $2,250 back just at the end of the year. All right. I'll give you, I'll give you $2,250 back. How much money are you giving me?

Um, as many, as many pennies as I can throw at you.

Okay. Well, how much cash you have on hand?

Uh, not a lot, not a lot on hand. Um, we basically are, that's the thing. Our, our, we have two owners in the business, so we're taking out a good amount of our, basically.

Pause. Hurt. So what you need is a money model. So what, how much money are you making the first 30 days on $150 customer?

Uh, generally. So we just transitioned to doing a different, different type of initial visit model. Um, that currently we're getting about $1,500 per client in the first 30 days. Uh, but it really depends. That's our average, bro.

So you don't even need the money. 'Cause you're getting 10 to 1 up front.

I know, but then so our, on that $1,500, there's a good amount of that which is cost of goods sold. Sure. We're basically finding issues, we're repairing them.

Let's say you make $500 on $1,500. Let's say you run 30% on the first one, right? Does that sound reasonable? Yep. Dude, you're still making $500 on your $150. Yep. So why not spend more?

The— I don't know. I'm just scared, I guess. Scared to put my money where my mouth is. That's it.

Yeah. I mean, I'll say this. I don't know if you were on for the beginning of this, but like, this is a super classic issue. This actually happened a ton in gyms. So gyms have fixed costs like rent and equipment leases and things like that, right? And so the guys would have a vehicle like this that they're getting 10 to 1 on, something really strong. But what they would do is they would only spend enough money to cover all their fixed costs but never get into the black. They literally would just like spend enough to like— they play business on defense rather than offense.

Yeah.

Yep. Right. Like you're playing right now to not be poor rather than to be rich.

Yep.

That sounds familiar. Yeah. And you're willing to make the money for your team. You're willing to make the money for the landlord. You're willing to make the money for the bank, but you're not willing to make the money for you. Yeah, real, right? Yep. Okay, so it feels real. As much as I would like— I'd love to like, you know, dive into 100 other things, like, this is— I'll bet you right now this is the core issue, is like, I want you to go from $500 a month to $5,000 a month to spend. Because if you went from 2 to 3 leads a week to 2, 3 leads a day, would that materially change the business from a cash flow perspective?

Yeah, definitely. But that's the thing, it's our We could, we could do that, but then we run into fulfillment issues. If we, it takes us 6 weeks to train a guy. So it's like chicken or the egg.

6 weeks is not that long. Dude, big picture FYI. Right. And I'll bet you can do it in 3 if you really had to. Right. Yeah.

Okay.

Yeah.

So yeah, that's the thing.

When you're in equilibrium, this is a rule of thumb for me and for everybody who's listening. If you're in equilibrium where you're like, I can maybe take a little bit more demand, but then I'm going to be supply constrained, get the demand, Get the cash, then you'll get the resources to take the next move. And if you have to pay some guys 1.5 or 1.25, you know, overtime to, to, to fill the slot, one, you're gonna pay them more anyways, and that's good. Fine. And I'll bet you those guys would work more for more money. Yeah. So you have flex, you have, you have more capacity. You have capacity that's not stretched. So if you could stretch it, most people, like you'd be amazed at what people can do if you're like incentivized.

Yeah, yes, yeah, definitely. We could— I mean, our team seems pretty, pretty strapped right now.

And are you, are you closing? So walk me through the sales process real quick. Lead comes in, you immediately call them within 60 seconds, or what?

No, um, it's basically we have, um, online pricing. All of our prices are online. So they hit our website, they basically sign up, and then once they sign up on the website we're contacting them automatically within 5 minutes, um, and via text or calling up. So, uh, we basically email, um, from the signup. Um, we don't do any, any calls right now. Not nothing, nothing automated.

So you could probably double— you could double your conversion if you just called the leads immediately. Yeah. Yeah. So let's say, let's say Let me, let me ask you a question. If I paid you another $1.2 million to do one thing, which is to just call your leads in 60 seconds, I give you $100,000 a month, would you do it?

I suppose I would.

Yeah. Well, that's what's sitting on the table right now because you're not contacting your leads fast enough. Yes, you have a double. You can get to 60% when it's PPC inbound. They already know the price. You could, you could close 60%. And that's without changing anything about the pricing, the offer, anything. Just from contacting them fast.

10-4.

Yep. Okay, so we have 2 changes that are going to be the biggest material changes. Number 1 is you're going to spend way more on ads. Number 2 is you're actually going to call your leads really fast. When you do those 2 things, you have enough gross profit in the first 30 days to cash flow this acquisition anyways. You're then going to be willing to pay some of the guys you have time and change to do more jobs Some of those guys are hungry, want to make more money. That's why they're leaving, right? Give them the opportunity to make more money. Yep. And then part of that is you can also pay them a little bit more money to train the guys faster because they're working longer hours. They'll train them faster.

Yeah. So incentivize the trainer to get them on the road fast. Yeah. Yeah. So we can open—

I mean, I would say, hey, if you can do it in 6 weeks, if you can do it in 2, I'll give you a $500 bonus. Yeah.

Right? Yeah, that's a good idea.

Rock and roll.

Yeah, great.

Yeah, and I put the incentive is that if you have to go back and fix one of the spots that the new trainee went to, that that guy's got to do it for free if he takes the commission.

Yeah, yep, yeah, we do, we do callbacks on— then they're on.

But I would do it on the trainee. If I'm gonna— if you were to take from 6 to 2 and you're gonna sign off that this guy's good enough, I'll give you the bonus, but you got to basically certify that guy's work for the next month.

Right. Okay. So the trainee makes a mistake.

Yeah.

If they're rushing through it, the trainer goes and fixes it. Yeah.

Big Papa's got to come in.

I see what you're saying.

Yeah. Rock and roll.

Rock and roll, man.

Phil, appreciate you, dude. Yeah, you bet.

Yeah.

All right. Rock and roll.

All right.

You guys enjoying? All right. Alex, my mother said you are the father. That is odd. Um, that's the wildest chat I've seen in a minute. Um, uh, when you guys drop that post, uh, or was the outline filled out the form? Okay, let's, uh, let me see. You have a lasering business. Uh, okay. Cronex Ship. Yeah, what do we got? Uh, what is your advice on dental clinic marketing since you had an agency? We are working for abroad patients using prices lower than their country. Okay, what's your advice for dental clinic marketing since I had an agency and we're working abroad for patients using lower prices in their country? Okay, so, uh, I'll say right now, I mean, I've seen this all over the place, but you can advertise in any way, right? You could do outbound, you could do content, you could do ads. My bet, given what you're, what you're talking about, is I would probably do this as a content strategy. Like, I don't know if you guys have seen this, like the Turkish hair, like they've got like, there's like a whole industry in Turkey around like guys who are bald getting like their hair back. And the doctors who are over there just post before and afters left and right all day long on Instagram, on TikTok, and that's how they're generating inbound demand. So I would say that's like number one, but the way to operationalize that is you have to build it into the customer journey. So like when they come in, immediate picture, day 30, day 60, it's like we have to go collect these pictures, and if you want you can give rebates for it, most of the time you don't have to, and then by doing that it's like every single person who comes in the door is a potential before and after, so it's like you can get 20, figuratively 20 posts a day, or I don't know how many teeth you're doing, right, but maybe it's 2 posts a day, right, that you can source directly from your existing customers and you don't have to do anything else, and then you can explain just like do the before and after and then do like a quick 30-second like hey, this is, You don't have to say their name. You could cover the eyes if you have to, but like, this is a unique case, and if you're struggling with XYZ, pain-based hook, you know, this is something we do all the time at our, you know, at our clinic, right? That's thing one. Thing two is I don't love winning on price, but it is sometimes just like some of the strategy, and that's okay. You could just experiment with running ads. My bet though, I'm just saying, because anything that's like, I mean, they are, I guess they are bargain hunting, but people kind of want the best of both. It's like they want it to be good and they want it to be cheap. And so like I would lead with content first. I would take the best performing content and then I would run that as ads with the offer. So content first, find winner, put a CTA on the end of the winner, and then drive paid to that. That's what I would do. All right, up next, Alex, why do you grow your hair this long? I'm doing the same though. Dame, why are you growing your hair that long? Real question. Um, hey Alex, a lot of your videos have helped understand a lot of business points that I didn't understand before. Okay. Uh, I have a full-service LinkedIn agency doing content and DMs. I think that founders after a certain AR don't want DMs sent from their account. Brand risk. Yeah, that's possible. So you got two options. Option one is you just only pick the founders that are below a certain size. That is an option. The alternative is that you make it work from their brand. Just figure like, what stops me from doing more? I have to figure out how to get this to be openable from a brand. Okay, that's another way. Maybe it just takes twice the volume and then they're willing to do it. The next kind of thinking process there is you can frame it, I would say like, you can either sell them heavy on why it doesn't matter, Option 1. Option 2 is you can figure it out from the brand perspective. Option 3 is that you only take on smaller guys. But I think these are features, not bugs, unless you just figure out another way to get customers. 'Cause I understand why somebody would not want that. But I would say like, what is your objective as a CEO? Is it to grow the business? Okay, do you think that your brand as CEO would be better if your business were bigger? I think you should just sell them on it. And not everyone's gonna say yes, but if half the people say yes 'cause you sell 'em on it, then you can keep growing the business, then that sounds good enough for me. All right, GoogaRanks, and then I'm going to Mr. Drew next. All right, I'm a 17-year-old kid looking to start my own pool construct— dude, I just did one— pool company. Did digital marketing for a year, my dad has a little construction license in Florida, any advice? Yeah, dude, I would run, $5,000 a month of PPC, and I would call the leads within 60 seconds. I would sell a $1,500 package up front, and I would roll them straight into continuity right after that. That's what I would do. All right, Senor Drew, or I think the Germans say, er, Drew, like er, er, er. I don't know if that's how they say er. All right, Drew, what's up? We're cooking.

Can you hear me? Alex, nice to meet you, man.

Nice to meet you too. Talk to me. What's the problem?

Reality Fence. So—

What was that?

We made this app for fence contractors.

You made an app for defense contractors?

That's right. So it allows them to show their client a fence right in their yard.

Oh, fence contractors, not defense contractors. I was like, those are wildly different things. One, people are blowing up fences. The other person are building them. Good to know.

All right.

That's right. That's right. Yeah. We're trying to cross country lines. All right. So, uh, we got fence contractors. All right. You built an app for them. All right. There's an app for that. What's revenue?

About half a million a year.

All right. $500K, uh, per year. What's revenue retention?

Uh, our churn's about like 8% monthly.

Ooh, that's That's high. That's high. Okay. 8% a month. All right. That's pretty high. All right. What's price?

It's $199 a month. Cancel any time.

Okay.

And we also— that's for 2 users. Like 5 users is $299 a month.

Okay. Got it. And so what does this app do?

So it actually allows them to show their client a fence, like right in their yard. It's like the dream outcome on the value equation. It lets them put it right into the—

Yeah, it's a sales tool.

Yeah.

Yeah. Okay. So why are they churning?

So really, like, our biggest thing is if they don't use it and, like, sell a fence within the first 10 days, they churn. If they actually go out and we hear them sell a fence. Yeah. They literally love the product and it's very rare that they cancel. Okay.

How do you get leads right now? We'll cover that in a second. How do you get leads?

So we run Facebook ads. Okay. Just for an instant form, we have a couple of questions up front. Yeah. And then our automation puts them right into our CRM and we reach out right away.

Yeah. What's CAC?

About $130.

Damn. CAC, not lead, not CPL, like CAC, cost to acquire customers.

So right now, like when we hit like a really good ad, our cost per lead is like $1.50. That's a— we literally hit one that was crazy.

And that's insane. I would not get used to that because it will not stay there. That is insane. Yeah.

Okay. I personally like— I do a lot of the sales personally. So like right now I'm not paying like a commission, which really helps.

Yeah. Well, yeah, that's nice, right? When you do it, when you do things yourself. Okay. So, I mean, LTV to CAC is still fine, but like, this is what I would encourage you to do. Do not scale your ads at all until you fix this churn issue. There's no point. You're just going to pour it out the back. There's no point, zero point whatsoever. Like, you want to be able to figure out what activation is. Now, if you know that if they sell a fence, right, with the thing, they stick, right? We know this. Yeah. Okay. So then the question is, how can we incentivize them, or how can we make it easier for them to have that happen faster? So what do you— do you charge $199 upfront for this?

So we do like a 10-day trial with like the credit card attached, like we say like, you know, that's how we've always done it. Uh, if you don't like it in the first 10 days, you can cancel.

Yeah. So, uh, dude, I think it's a trial.

That also includes— yeah, that also includes like during the trial, the 8%. So it might be like lower once someone actually converts to a client. Um, yeah, I see what you're saying. Like the pie equation, like we're not gonna— our hypothetical max might be too low. Yeah.

Well, you do need to figure out what the post-conversion churn is, not total churn, because especially if you're smaller, like, you factoring in your trials and churn, it's going to mess all your numbers up. 100%. Okay, so I'll say this. So you, you go through the Money Models book already? Yep. So the free trial with penalty would be the first improvement that you could make, uh, to this. That's like the, the smallest operational change that you could do. The second level of it— yeah, that's Free trial with penalty, you could use that as a front-end offer instead of a downsell offer, um, and just say like, we will give it to you for free as long as you XYZ, right? So you have to use it, right?

Like if you go out and sell someone a fence right in their yard, it's free for the first 10 days.

Well, you're already doing that, so there's no reason for them to do it. You know what I'm saying here?

Okay, yeah, I see what you're saying.

You have, you have to have a penalty associated with it. That's option 1. Option 2 is that you charge them upfront and then say, I will rebate you the $199 if you use the app to put it in at least 2 people's yards or 3 people's yards. What's the— whatever the average, they— let's say they close 30%. Say like, if you do 3 yards in the first 10 days where you put the fence in, I'll rebate you back the $199. And I'll tell you why I'm doing it, because I know that if you do it, you'll stick. Let me just show you my cards, because as soon as you use the tool, you'll make more and you'll never leave. So I'm going to incentivize you to use it.

I see what you're saying.

Totally. Okay. So just make the second month free.

Okay. So we literally just charge $199 upfront. If they use it 2 or 3 times, we can give them their money back right there.

Right. Well, you don't need to give them the money back. Just don't build the second month, build the third.

Okay. Yeah, that makes sense. Yeah.

Okay. That would be it. Like we just have to incentivize activation. Cause if you can get your churn down to like, cause you need to be at 80+ percent per year or higher for this to be something cool.

100%. Yeah.

100%. That's all you have to do. Just get it to 80% a year. So you want to be at like less than 2% a month. I know it's gotta be, yeah, it's gotta be like closer to 1% a month.

All right. I'm a man on a mission.

I'll make it happen. And I want you to do this though. Measure the churn from trial. Basically don't even look at churn on the front end. Look at conversion rate and then post-conversion rate measure churn. That's what you should be looking at.

Okay. So like only measure the churn once they've actually converted to a subscriber.

Yeah. And your true CAC, I'm guessing now, cause it's costing you $130 to sign up a trial, right?

I got to look at it closely, but I'm pretty sure it's something like that.

Yeah. Yeah. So, and then let's say it's 1 out of 3 trials convert.

I don't know. It's something like that.

Yeah. Yeah. So your actual CAC is closer to $500, not $130. Okay. Cost to acquire a customer, not a trial.

I think it actually is $130. It is around $130 actually. Cause like right now, say we get 100 leads. Yeah. I'll sign up about, you know, 8 of them on a trial and we'll get like 3 or 4 or something like that.

Okay. Okay. But yeah, I would go rebate, second month free. They bill, you know, you bill them upfront. It'll also get them way more likely to commit to it. Also with $200, you can like be on call if they have any issues tech-wise. 100%. Yeah.

As soon as we sign someone up, we like bam, bam, like right to an onboarding, like as soon as we can, like ASAP. So, um, we do that. We go right into an onboarding, teach them how to use it. And then honestly, once we get them, like they place the fence, like right in front of them, they get paid.

So all your effort is activation, dude. That's it. All the effort, all the incentive goes there. Once you have that, the rest of the machine works.

100%.

Absolutely. All right. That's it. That's what we do.

It was great to meet you, man. Thank you so much.

Pleasure, Drew.

Appreciate you.

Bye-bye. Toodles. All right. Atman Deshmukh. Hi Alex. I'm 27-year-old physics coach for high school students based in India for Olympiads. Okay. Medical and engineering entrance tests, interesting. How do I enter and serve customers in the United States and EU? I don't know how you're going to enter the US and EU because that, we've got the fence guy who was just on here, he's big on that stuff like border, I'm kidding. So how do you enter? Well, I mean fundamentally I'm going to give you the obvious thing. I don't know how good your, if you're out of India, I don't know how good your English is. I'll be real, like this is me, I'm just trying to help, all right? So if you wanna enter those markets, there's no way anyone actually knows where you live online unless you say so. And so you would just make content in English and you would attract those customers. That's it. The reason many of the people may not be doing that with you is that they think that you're in India. And so they would think that because of other posts that you have, maybe languages that you're currently speaking in or accents you have in English. And so I would strongly encourage you to do whatever it takes to remove your accent so that you can have better access to those markets. This is non-politically correct advice. This is me trying to actually help you make money. All right? That's what I would do. There's a whole series of YouTube videos actually about how to like remove an Indian accent when speaking English. I know this because Shiran talked about this to me. So when Shiran came here to the US, he had a really thick Indian accent., and he actually got the same feedback, which is why I feel fine sharing it, which is that you, like, you will be limited by that accent, especially if you're trying to enter these markets. Um, in terms of EU, I would say, like, honestly, like, why bother? Like, just start with the US. It's the biggest, richest market, and you probably already speak English decently. So I would just focus on that rather than try to, like, you know, piecemeal, you know, the, the European markets, unless you're just saying UK rather than Europe, in which case you just speaking clearer, better English and making content in those in those— well, not in those markets, but online to those avatars will attract those customers. All right, Caleb Stewart started my roofing company in January, been doing Law of 100. Great, love that. And went full-time. Congratulations. How do I bring someone else on and get them to do this versus just doing it for themselves? You mean like go recruit a sales guy? I'm guessing you're not saying like why don't people go do roofing? I mean, 'cause it's work. But the way to, like, so the progression is you need to sell people, stage 1. Stage 2 is you need to recruit somebody else that sells. Stage 3 is that you recruit a team of people that can sell. Those are the 3 levels of salesmanship, which by the way, for all the entrepreneurs here who love to say that they're really good at, selling, you are level 1 salesman. You need to transition your identity from sales god to sales training god and sales leader. And so it's no longer about how well you can close, it's about how well you can get people to learn how to close on your behalf. So how do I get people to not do this on their own? Well, they can do it for you and get paid for it. So I'm not really, I'm not actually really sure. I feel like it's like a mental thing because you're like new to this, but I'd Like, this is, to me, this is not a thing. If you have, like, just go recruit other salespeople, say, hey, this is what I'm willing to pay you as a commission, let me show you how to door knock. That's kinda it. Hope that helped. Okay, Gmanz, all right, is there a way to become like you, or what do you suggest for providing value in any business field? So, number one, definitely don't wanna become like me, you wanna become more like you. The ultimate unlocked version of yourself, not me. So that's thing one. 'Cause I will not beat you at being you, and you will not beat me at being me, right? And so there's no point in trying to copy or clone me, just be the most of you. Now, within that context, if you're being the most of you, the question is then who, and who do you provide the most value to, and around what context or topic do you have unique insights that you've gained either that you've gained, right? And so when you're starting out, you have to do it in one of two ways. You either have to have achieved something already, which is notable, that gives you proof, or you have to let your effort be the proof. And so if you say, hey, I made, you know, 2,000 videos on TikTok and here's what I learned, then you will, you will have something valuable that you have learned. But the big, the first step in all this stuff is like do epic stuff. And then step two is talk about it. And that is fundamentally how you provide value. And so when you're providing value in any domain, you're like, I want to build my personal brand. Like your personal brand will be built on the amount of value you can provide other people. Like just help other people. Like Zig Ziglar said this, old school personal development guy. He said, you can get whatever you want in life as long as you help enough other people get what they want. And I think it's so true. So I would just think, how can I help other people get what they want? And if you're like, if you don't have enough proof and like everyone misses this, Start for free, work for free, get experience, go get 10 free clients, go do the work for them, make it a free trial plus penalty, right? It's a great way to get started. I talk about this in the first chapter, or one of the first chapters in the Leads Book, your first 5 clients. It literally outlines the entire offer structure, when to start charging. All of this is inside of the Leads Book. I think I have it, I'll tell you what page it's on. It's page 51. So I explain my first business and how I did it, how the outreach worked, how I started for free, and then when, how to do the out, like literally like what messages to send, how to send them, and then the actual process of doing this. And I give you 11 ways of showing proof. It's on page 61, this guy. Sorry, that probably like pops some of your drums. Page 61, it's all 11 ways to show proof so that you don't look like a newbie. Okay, rock and roll. Let's go, Steve. Let's go pistols, pew-pews. Steve, rock and roll. You're on the Rosie Hotline.

What's cooking? Hi, thanks. Nice to meet you. I was actually at your workshop in February. Badass.

Of 2024. All right.

Was it good? It was fantastic. Since then, we've almost made $900,000 in total revenue. So it worked out great.

And this is not a claim, everybody. His results are unique and yours will vary. But not bad for a $5,000 ticket or $6,000 ticket.

Whatever it was then. No, it was fantastic. Okay, I'll run you through these numbers real quick. Yeah, let's do it. All right, for this year, 2025, our total revenue is right at $423,000. Okay. Profit is $275,000. Industry: mortgage broker.

Okay.

What we sell is we are hyper-niched into— I'm an airline pilot and military pilot, so we help airline pilots and military pilots buy homes with their VA loan.

Okay.

And the problem we're trying to solve is I think we have so many different kind of marketing strategies right now. Yeah, you gotta pick one. It's tough to kind of pick. Yeah. Which to put the more on. Yeah. I feel like we get started, then we stop, then we start, then we stop.

Word.

Okay.

Well, what are the different ways you're getting customers right now and what's LTV CAC on each channel?

Okay, so this is fantastic. So organic, uh, that's where we get, uh, LTV is $11,107. Our CAC is $3,200, and we have 18— we had, uh, 46 deals that closed this year, so 18 came from there. From realtor referral networks, okay, our LTV is $78,000.

$100,000.

Okay. Like just real. Yeah. CAC still the same, probably at $32,000 across the board on the CAC.

Oh, really? Okay. Really? By channel, is that, or you just took all your marketing spend and divided it?

I just did a gross, like a fully loaded CAC across the board.

I didn't break it out per group though. It is. Okay. Well, I'll actually be able to figure that out in a second. How many people did you get from the realtor thing?

We only had 14.

Okay, so 18, then 14. Okay, got it. And then what was the third, third channel?

Just past clients coming back for more loans.

Yeah. Okay. Got it. Just repeat business. Okay. And then how many did you have there? 14 on repeat. Oh, interesting. Okay. And then what was LTV on them?

LTV on them was $7,756.

Okay. Okay. And so organic for you right now is content?

Yeah, it's pushing out content. We were sending messages out about 25 a day. Okay.

To people.

How'd that do? However, it wasn't converting. They're just reaching out to us when they're ready. Like they're super warm. They ask us for an application and no friction almost. It's almost one for one. It's kind of crazy. They're like, yep, like we solve the problem of underwriting for airline pilots. It's super complicated and we know exactly how to solve it. That's—

I love that you're niched on this, by the way. I think it's really good. It's really— so I like the model. There's also a ton of pilots. So like, love all— like, like all of it. All right. Um, okay. So you've been making content. Um, so let's put a pin in that for a second. So the affiliates, so the realtor networks that you have access to, how do you recruit the realtors?

Well, that was the thing. Last year we recruited very heavily, but we realized the LTV was so like— it was lower, almost 30% lower. We kind of quit messing with them. So we really don't mess with realtors anymore. We're looking to get back into realtors, kind of seeing I really need the affiliate to keep the money model going. So we really haven't done much with realtors this year. Just these are some leftover ones from last year.

So let me ask you a question. How much How much did you do outbound? Is that what you did for the realtors?

Yeah, it's just calling them up, looking them up in the local area, just calling them up and great, you know, meeting with them and then they refer business to us.

Got it. So how much would you say of your time last year was allocated towards doing that?

Almost 80% of our time was doing that last year.

Really?

What we, what we kind of realized was like, this year we've had 42 qualified leads come from them, but only 14 of them we closed, and only one of them was our ideal client of an airline pilot.

Uh, they just think you're kind of just generic. They just think you just like people.

Yeah, they're just generic people, and we— and it creates more churn in the system, more work, more credit pulls, everything.

Yeah, yeah, hurt. Okay, so given the fact that you're in a niche, going after generic realtors is going to be tough because the likelihood that they sell a pilot is going going to be super low statistically, right? So I think that your best bet is probably going to be an organic plus ads rather than organic plus affiliates unless there was— actually, you know, said differently, this actually makes way more sense. So instead of going after realtors, I think your outbound strategy is the right idea, but I'd be going after group owners or community owners who have pilot-related businesses or like pilot-related merchandise because actually it's so funny because I I want to say 2 years ago, I had a call like this with a guy who did pilot merch. So all it was was just like merch for pilots. And he had a community owner of pilots and he ran, it was an e-commerce business. And so he was running ads. So I don't think it's, one, I don't think it's very hard to find these pilots. I would also recommend starting a school community for all the customers 'cause they're all the same. And I actually think that'd just be cool. It's just like a cool benefit that you have. That other people don't— can't normally do in your space. And I think you'll be able to generate a shitload of referrals from that.

That's kind of what we were kind of thinking. We do have a finance course that we built out that we just haven't really been able to use because I kind of get stuck in this, hey, I need to go back to doing more. But like, we've built out courses just for pilots, just for the veteran, exactly how to fix your problem.

Here's what I would do. Here's what I'd do. So you're going to take your course. Right? And you're gonna make that as a lead magnet for your organic. And I would drive them into a group because to your point of like some of them aren't ready, that's fine. They can join a group in the meantime. That will spin up the wheel that will then get you leads and then it'll also get you referrals because you can tell them, hey, send your friends to this group. They're, they're all welcome as long as they're pilots, pilots only. Okay, so they get this lead magnet when they join the group for free. Thing one. The second thing is I would start experimenting, uh, with Facebook ads, and I would use the lead magnet yet again. Um, and then what I would do is I would include, because I would send them to the group and give them an onboarding call for free. So they get the lead magnet plus an onboarding call. And then you can talk to them, you can gauge where they're at in the life cycle. And that, that, that group can basically act as your, as your long-term nurture in the meantime. But I think the referrals from the community are gonna be big. And I think paid ads in, in today's day and age can get super targeted for this type of avatar.

And that's what we identified on social media.

Yeah.

It's almost 75% are our exact client.

Yeah. When they come, dude, the algorithm's already done. Like the algorithm's finished. They know what's inside. AI gets it. AI knows who the pilots are and they just send that. It's interest media, not social media anymore. So if you want to make, if you want to get pilots, you have to make pilot stuff, which you've already figured out, right? So it's like, yeah, number one, I think by and large for sure, this strategy is a more strategy because what I want you to do is make way more pilot content. Number one, I would also experiment with like pilot-related humor and memes. I think those will probably do really well and they'll still bring people in. 'Cause that's fine. Normally I'm not like pro-meme, but I think for stuff like this, like inside jokes for pilots, I think would be a great content type. Not like, not every day, but like, you know, a few of those a week I think would do well. Just top of funnel awareness. But what's cool about that is that like, I want you to pump way more content so that when you take the winners of that content, take the content and then slap on a CTA at the end, run that as the ad. And then the offer's gonna be the lead magnet you already made, they can facilitate the course or they get the onboarding call for free. We can score where they're at in the lifecycle and then you can follow up with them accordingly. Okay. That's what I would do.

Well, cool. That was really the decision was go after realtors, just keep going.

No, dude, I don't think— no, I don't think realtors is the play. I don't think realtors is the play because it's— if you want to stay in this niche, I don't think that's the play. Okay, perfect. Rock and roll, dude.

Appreciate you. All right, thanks, man.

All right, see ya. Okay, the training gyms. I have personal training. Oh gosh, I don't know anything about gyms. Can someone else take this one? So UK-based, money model is pretty good but can't get my salespeople to sell supplements. Cool. It might be that they aren't really confident in their general supplements knowledge. Yeah. So having sold a lot of supplements in my life, let me just give you the solution rather than, you know, ask going back and forth on it. So what you wanna do is you wanna give every single one of them kind of like the ultimate package and tell them to go through a 30-day challenge where they'll follow your meal plan and they'll take the supplements and you want them to take before pictures and after pictures. So you say, hey guys, and you wanna, you kinda like whisper-teach out this. So right as all the trainers, you know, take their before pictures, like have them all be like, something big is coming, you know, like kind of like dun dun dun. And so have them posting a ton during this 30-day period of like their workouts and their food and all this stuff. It's like, hey, we've got something sick that's dropping. And then at the end of the 30 days, you'll post all the after pictures, right? And with the after pictures, you'll then announce a 28-day transformation or something like that. And you can email your entire list and you can even post to your socials, whatever, and run it for free. Hear me out. You'll run it for free so any members can also bring somebody or as many friends as they want to do the 28-day transformation. Here's how it works. When they come in, it is free, but the first meeting you're gonna do is gonna be a nutrition orientation. At the nutrition orientation, you're gonna say, hey, "We got your food covered, we got your workouts covered, these are the supplements you're gonna wanna take for the 28 days." And you'll sell them all a $300 to $500, $600 package of supplements. And when you give the sales, the trainers commissions, one, if they can't sell anything but the supplements and they just went through the experience, they will like it a lot. Now, lucky for you, Mr. Training Gyms, Let me tell you how to solve them. Uh, anchor upsell, did I do menu upsell? Where's my menu upsell? Here we go. So menu upsells, which is page 77 inside the Money Models book, literally outlines exactly how I sell supplements. 4 steps: unsell what they don't need, prescribe what they do need, which is basically tell them exactly how they're going to take each product. So let me explain that. Actually, I'm gonna go a little deeper on this one 'cause I think you guys, you guys cool with that? Everyone good with that? All right, we'll go a little deeper on this one. So the way to sell supplements, I sold a lot of supplements in my life. Person comes in, as soon as they sit down, what you're gonna say is, hey, I'm gonna give you this meal plan. Everyone always wants to know what supplements they're gonna buy. I get to that, I promise, but I really want you to focus on the food 'cause the food's the most important part. All right, what have I just said right with the beginning? One is I, Made everybody know that everyone wants to know which supplements they're going to buy. So I've already seeded that. Number 2, I've also told the truth, which is that I want them to focus on the food because the food is the most important part. So you already accomplished 2 things right up front, and you do so ethically. Now, after you go through it, you're going to go, you know, go through the nutrition plan, go through the grocery plan, whatever. You say, okay, finally we're going to get to everyone's favorite part. So you flip back to the plan. Now, I integrated supplements into my meal plan so that they were one and the same, so that it wasn't like, oh, I've got supplements here and meals here, because then it makes it seem like This is in addition, I want it to be integrated. All right, now the next thing you're gonna do is on your meal plans, you should have little dashes next to each of the products that you have on site. And I prefer to step 1, unsell. So you say, hey Dorothy, I'm guessing you're not trying to get any chest hair. And they're like, oh God, no. And you're like, great, so let's just cross out this testosterone booster, you probably don't need that. The next thing is, you're not trying to gain weight, are you? No, okay, cool, let's just cross out this weight gainer, I don't need you on that. And so I go through first 2 things they don't need. I'll be like, now this one. I then give away the supplements that are low margin. So I say, listen, we've got a fish oil or an omega complex. There's one down the road, I'll write down the brand name for you, you can grab it, it's probably half the price of what we sell it for. It's not as good, I was like, but it'll get you 80% of the way there. All right, so let's just like, I'll write it down, boom. Next thing, this one, this is generic, you can probably get another one probably for half the price down the road, I'll write that one down, great. Boom. So the next thing is like, okay, now we've done our seeding, we've told people that everyone's gonna buy, then we've unsold the products that I don't want them to buy or aren't right for them, then we go to prescription, okay? Step 2, we say, all right, so I want you to write a 1 next to this, which is gonna be your protein. I want you to write a 2 next to this, I want you to 3 next to this, whatever. You're gonna go down the list. And so with each one of them, you say, all right, so your pre-workout, Do you drive the same car every day? They're going to say yes, and you say, awesome. So I want you to take your pre-workout. I want you to put it in the car with you because it's always going to be with you. Next thing is your post-workout. You're always going to be using this car. I want you to keep that in the car too. Next one is your PM. Okay, so this stuff I want you to take at night. What's the last thing you do before you go to bed? Uh, you know, I put my retainer in. Cool. I want you to put it right next to your retainer or right next to your toothbrush. That way you don't forget it. What's the first thing you do in the morning? I drink coffee. Great. So once you put your AM stuff right next to the coffee, I'm gonna take this tape, put it on top, write a 2, take tape, put it on top, write a 3, tape on top, write 2. That way we know how many pills they're gonna take at each of those specific sessions. Never think about it. So I don't want this big stack of stuff that's gonna sit in your closet. I want it already integrated into your life. That's prescriptive. Notice I didn't ask them, I told them. I told them exactly how to take it. Then I say, great, uh, for the protein, do you want chocolate or vanilla? Great, you want chocolate? I like chocolate, fantastic. For the pre-workout, do you like strawberry or kiwi? Most people like strawberry. Strawberry, great. All right, awesome. You're almost ready to go. Put it in front of them and say, great, do you wanna use the card you have on file? Awesome, done. Close everyone. You'll close 90%. That's how it works. That's how you do a sell and sell. All right. Next caller. Was that as good for you as it was for me? That was fun, right? That was exciting. I think that was exciting. Corey, what's up, man? You're on Hormozy Hotline.

Hey, hey, man, what's going on?

I am, uh, I'm cruising and cruising, cruising and bruising. Hell yeah, that's what I'm talking about. All right, talk to me. What's the, what's the business? What do you sell? How much you make?

All that good stuff. Yeah, so we're an HVAC cleaning business. We're doing currently on track right now for this year for $1.8 million.

All right, $1.8 million top line. Got it. What's, what's bottom line?

Bottom line right now is roughly $450,000 to $500,000.

Nice. Solid. Good. Okay. What is— you must have been consuming my stuff for a while.

Okay. Good amount of time.

Good operation. No, I love it. Okay. So what's, uh, what's, what's the thing that's holding you back? Is it not enough technicians or is it not enough leads?

Uh, it's now, now it's, uh, it's still leads a little bit. We're always looking for more cuz we are, we are currently always hiring.

Mm-hmm.

Uh, so we are now putting on a technician, probably one every 3 to 4 months.

Okay. Got it. So what's the constraint of the business right now?

What's holding you back from doing twice as much? Right. So right now is definitely leads. Uh, we just, per our cash cow event that we had with you, the one thing that we really dissected was our third-party marketing.

Um, Corey, I didn't realize that this was, uh, this was that Corey. All right. Rock and roll, Corey. Yeah. Yeah. I remember everything. I didn't know. I just had, I had Corey. It's all I had. And Corey and HVAC. No, no, no. But you're in duct cleaning, which Which is a little unique. All right. All right. All right.

I remember.

Yeah, that's right. Okay. So, uh, all right. So what's, yeah.

So what's holding it back? Yeah. So right now, um, we just got rid of our old marketing company. So we went, uh, with a new third party now. They're great. Uh, a lot of track record. It's kind of a higher echelon of what, um, you know, is in our market. Okay. Um, so we actually have our CMO that worked with them previously and her past company. She took them from $2 million a month to, uh, I'm sorry, $2 million a year to $2 million a month. Great. Uh, so now we reunited them, uh, so they are super excited to all work together again. Um, but yeah, I mean, super right now is we're trying to just lock in on leads again. Uh, we are redoing the website, we're redoing a lot of their, our ads and kind of reconfiguring things.

Yeah.

And just like we talked about in our cash cow is, uh, you know, I mean, I'll spend unlimited ad spend as long as it makes sense and makes money, right?

Yeah. So what's holding you back? Or this stuff just needs to pan out?

Yeah, so we're working on leads right now and then finding— the real constraint is finding enough technicians that, um, to fit our, uh, our feed and what we do. So a big part of what we do is education. Um, and all of our, all of our employees right now, there's none of them that have a, you know, HVAC, you know, background at all. Um, so it's been really interesting to kind of train people up from the ground zero, which has also been great.

Yeah, but you get way better margins than learn it your way, so there's advantages. Yeah, right, right, exactly. Okay, so do you need more leads or do you need more technicians?

Uh, definitely more leads first. Okay, we're good right now.

Uh, definitely more leads. Well, if you're already redesigning all your funnels and your offers and you're about to turn on a bunch of ads I don't know if like my, the first thing I want to do is just say like, let's stop all that. Like, I think you need to do that, right? And so I think you need to let the dust settle from that change. Like one of the, one of the big things that Layla says a lot, which I really appreciate, is, um, you never want to solve the same problem twice. And so it's like sometimes it's like if we have a 3-month solution to a problem, if we're 1 month in and the problem isn't solved, it makes sense though, because we're still working on it. It's a 3-month solution. It's like, it's going to take us 90 days. And so sometimes we want to solve the same thing like multiple ways when really the first thing was the right thing. It's just going to take 90 days, right? Exactly. So if these guys were able to scale the other business, you know, from $2 million a year to $2 million a month, it sounds like they already have, you know, whatever their playbook is on the lead side. So I'm going to just assume, just for the sake of our conversation, because it's going to get too granular that I can do over the phone without seeing what I— like, what I'd be looking at, um, like super tactical headlines and moving, you know, all that kind of stuff, um, transitioning over to the supply side. Because assuming that works, you're going to be quickly supply constrained. Right? Right. Okay. So what is your lead gen funnel for the, for the technicians?

So right now, um, we are currently going on Facebook groups and stuff of that nature. And we're also kind of, we're almost recruiting and like reaching out to other companies. Uh, so when we see, uh, posts or things from other technicians, or when my technicians are out in the field, and they see other companies, uh, those, those guys are coming out to us of like, hey, I've never heard, you know, I've never heard of you guys. What do you guys do? And they see what we're doing and they want to be involved. So, uh, they're just not happy where they are and they're looking for us. Uh, but we have to be careful with that too. Yeah.

Well, all right. So we, we have a couple, like you need to increase, like you're going to need to, you need to go from, you know, one, what do you say? One every 3 or 4 months is what you said. Yeah, right. So if you're gonna, if you're gonna 12x, you're gonna have to go one every 3 or 4 months to like almost— I mean, it's 12 times that. So if you did one a month, it would still be only, you know, 3 times that. So it's going to be closer to one a week to sustain the volume. So we need to build that machine like soon. And so we have to think about a more scalable way of acquiring them. And so I think part of it is, do you have the economics around how much an HVAC technician makes you?

Yes. So an average technician around us makes somewhere between $50,000 and $70,000.

They make that much money. That's their pay. Is that what you're saying? Yeah. Okay. So their salary is, I'm gonna say $60,000. Okay. Got it. How much gross profit does a technician bring in for you? Or I guess rev— like, um, take out cost of like, you know, the materials, right? So take out material costs. How much does it make? And then I'll subtract out their salary.

I'll just call it, let's see, I mean, $180,000 to $200,000.

All right. So $200,000. Hmm. All right. Well, it's already 30%, which is already kind of high because I was like, is there a way that we can— well, what commission are you giving to, to bring them in? How much you're willing to spend to acquire? No, no, no. How much are you willing to spend to acquire a tech?

Uh, well, right now we've actually had to outsource for, for, from different states. So we're offering like relocation, um, you know, packages in order to get them here. Yeah. Because we live in a lot of retirement communities and stuff like that. So the people that we're looking for is kind of hard sometimes. So, um, I mean, we offer you know, up to $10,000 of relocation. Okay. Um, and then like I said, we try to get them rocking and rolling.

Yeah. So I think we just have to be a little bit more violent. I think you have the right strategy. I think it's just a volume thing. Like, you know, you're reaching out, like, it's like, how many recruiters do we have? How many we ask them for? Can we get them to get us more? Thing one. Thing two, like, you're going in communities, but how many? How often? Um, like, do— are they on Are they in like, where's the, where's the best pool? Cause they all hang out somewhere, right? So where do they hang out?

That's a good question. I gotta, I gotta, I gotta deep dive into that.

We solve that and you make like $50 million.

They're all typically working. That's, that's where it's like, especially with us.

No, but they hang out online. Everybody hangs out online. Entrepreneurs are always working. Okay. But they hang out online so that like, don't like, there's a, there's somewhere they hang out. Groups, forums, associations, Discords, school communities, like they're somewhere. Gotcha. So I'd be looking at the trades, like trades, uh, groups in general, like look broader because you train these guys from scratch anyways, right? Right, right. And do you like, I mean, you train them from scratch because like, do you need them to be existing techs? Can you just get anyone to do it?

I hire for personality more than anything.

Well, dude, I mean, then why— I mean, like, you don't need to be looking cross-state. I mean, like, this, this to me sounds like a, an ad thing. So I would be running like Indeed, uh, and like Facebook Marketplace or whatever ads, and then I'd be running them to a group interview because that'll make it efficient for you. Just group interviews, just do you know, 1 group interview, 2 group interviews a week, 10 people on, assume only 30% are gonna show. So it's like, get 30 people booked for each of the times. So it's like 60, you know, 60-ish leads confirming, which will probably take you 5 times that or more. So 300 leads a week coming in off of Indeed ads, do a much, you know, do a 50-mile radius around your location. And I would be group, group interviewing. And then off the group interview, we're talking like 1 or 2 minute, just them, just you catch a vibe pretty quick, right? Um, and then you do a one-on-one with them after that, and that'll allow you to triage through a shitload of applications. This is a low-skilled role. This is a low-skilled role. I wouldn't be recruited from out of state for this. Just low-skilled role. You just, you need to be spending like a ton of money on— I mean, a ton is relative, right? Like, if you're willing to spend $10,000, which I think is the right right way to think about this, dude, if you spent $10,000 a month, you're gonna get way more than one technician on ads, way more. Right, right, right, right. Right, so I don't even think you need to do much, like, I mean, it's good that you're doing that, but I think I would just, you have to build the recruiting process for this business because if the girl and the reuniting with the agency or whatever, they worked together before, they already know how the sales motion and the acquisition works, So you're going to have to 12x your acquisition of talent. So this is another machine.

Yeah. Cool. Yeah, absolutely. Yeah, that's very helpful. I mean, like I said, it's the biggest thing that we're trying to do is just kind of grow our team. And like I said, just making sure that the right people on our team, because especially with our industry as a whole, it's very important that we do the right kind of work.

No, you're good. And like, you want to, like, you want to, if you're catching for attitude, right, which is what you're looking for, like, just, just cast the net broad. Talk to as many people as you can. That's all we're doing here. Talk to as many people as you can. You catch a vibe real quick.

Move them in. Yeah, yeah, no, absolutely. It's very helpful.

All right, rock and roll, Corey.

Appreciate you.

All right, brother. All right, talk soon. All right, see ya. All right, bye. All right. Renato, I've ran ads for my biz for 2 years and 8x to their business. Oh, for a biz, not your biz. Okay, it's the R right there. There we go. Um, 8x their business. I learned everything about the business, but I'm not sure if it's enough proof to talk about and get new clients on the niche. I mean, some proof is better than no proof for sure, um, but I would say like, can you like can you work for more customers for free or at a discount? Like I'm telling you, everybody, like you will shortcut your path to success by getting 10 testimonials more than just about anything else because that's like, if you look at a conversion page, you look at a VSL, you look at a sales process, if you show 10 testimonials, it's about all you really need 'cause once you have 500 or 5,000, like I do, there's actually not a lot of incremental benefit. There's not a ton, right? Like if the, you know, the Offers Book is 27,000 5-stars, At 1,000 5-stars, people are like, this book is probably good, right? And there's very diminishing returns when it comes to getting testimonials, but those first 10 matter so— like the amount that you can charge, the amount of experience that you're gonna earn, the amount that you'll be able to convert from a sales process, the amount of people who will respond to your advertising, your outreach, huge difference. So it's like, it will take you less time to get 10 paying customers by getting 10 free customers first, and then flipping some of them to paid and then using their testimonials to get 10 more than to start from scratch and try to get 10. So that is my TL;DR. I do think you can lead with your very compelling example, but I'd still want, like, you just need to do more volume, man. Okay, my team, let's highlight somebody. All right, what we got, what we got, what we got? X Rahul, I'm a content creator with a million, I'm guessing followers, "But I'm not able to expand because I do everything on my own and I do it too good." I do it too good. I'm so good that they have banned me for being so good. "And if I try to hire people, they just don't seem to learn no matter how hard they try." So guess what? You suck at training. So instead of framing, this is a really good side point. Whatever is holding your business back, instead of saying this is holding my business back, Reframe it as my inability to do this thing is holding me back. So it's not that like all salespeople suck, it's that I don't know how to train good salespeople, right? It's not that like, oh, Facebook doesn't work, it's I don't know how to use Facebook to get leads, right? And so you, ex-Rahul, what you need to do is you need to get better at breaking down what you do into its constituent parts and then training in each of those parts one at a time. Because let me say it differently, if you expect, like you're, I mean from a percentage perspective, if you have a million person account, it's a point something percent creator, like you're, it's a rare feat, right? And so to assume that you're gonna be able to teach someone a skill that allows them to get a million people in a weekend is kind of ridiculous. Now what you can do is teach them a component of that skill. Teach them how to do the research, right? So I want you to look at all the work you do and say like, how many of these pieces that create the end result can I outsource or delegate so I can get more leverage on my time? And so maybe you can do 5 times the output if you have someone who's taking 2 of the, the 80% of your time type projects, right? And so like, I know how to make ads, but when I do record ads, I'm just going to like, my team's going to come, They're gonna already have looked at the top performing hooks from past campaigns and top performing creative from our organic. They're gonna say, here are the hooks. They're gonna be like, this is the offer we already know that we're gonna push. I say, great. And so then I'm gonna read the hook, I'll fill it in with whatever, you know, 2 to 3 points I wanna add in. But then instead of me having to do all that work, I can do the whole thing in 45 minutes rather than that being a day, right? And so instead of you saying, I wanna replace myself, I would like you to layer down a chunk and say, I want to replace components of what I do until eventually you're just doing the highest value, rarest skill, and then maybe eventually you can upgrade one of those people to learn that too. That was pretty good. I feel pretty good about that. What do you think about that, Duke? Feel good about that one? All right. Sammy Melbar, I asked Hormozy AI what to ask you. If you owned a done-for-you high ticket sales company, what daily input and target "and weekly tasks would you set to add 10 FitPro clients per month without breaking delivery?" Well, without breaking delivery, well, I mean, you have a high-ticket sales company, so I'm actually not sure. I actually don't really, I wish I understood more about what you do. High-ticket sales company could be anything, but then you said you wanna add 10 FitPro clients per month. So is this like you teach them to do high-ticket sales? Or you do high-ticket sales for them? I'm gonna guess that's what it is. I'm gonna guess you do high-ticket sales, you staff setters and closers. Okay, got it. Yeah, so you help them generate high-ticket sales, got it. So how would you, can you scroll back up? How would you, how would you, there we go, okay. So the thing is, is without breaking delivery, so we have to figure out whether you're demand constrained or supply constrained. So if you're demand constrained, then we need to get to 10 FitPro clients per month. If you're like, well, I can't take 10, I can only take 5, and I'm currently doing 2, then it's like, well, get to 5 by increasing the inputs on the system that you're already doing, which is gonna be either more ad spend or more outreach, likely, for your existing business. And then without breaking delivery, it's going to be what, I mean, So if every business is demand constrained, either demand constrained in terms of customers or demand constrained the same way I was just talking to Corey about his HVAC techs, which is like you need to have a separate marketing funnel for the people who are doing delivery. So it's going to be both marketing in terms of acquiring the talent, but also the training and onboarding. So let me, let me walk you through this. So you've got lead leads that come in, you've got nurture, You've got sales, you've got, uh, you know, activation, and then you've got retention and ascension, right? This is what you have. This is a customer journey, right? Now, if you have a team, because if we're talking about delivery, you've got applications— very different— you've got application nurture, We use a different word here called interviewing. It's a sale. Activation is going to be the onboarding, right? Which you could also technically call this onboarding for a customer. You onboard your employee. And then what are you going to do with an employee? You're going to retain them. And then if they're good, you're going to ascend them into higher levels of business. And so the point here is that you obviously have a process here. You just need to build a parallel process here. That's it. All right. Let's do Travis.

Look up the agreement.

The weather is warm and the deals are hot on Hermosi Hotline. What's going on, Travis? Trav diggity dog. Trav city.

T-Money.

Hey, what's up?

What's up, dude? What is up, Alex?

I'm rocking and rolling. I'm having a better than I deserve doing my little Ramsey-est. Can you hear me? I can, man. All right, tell me about the business.

All right, sounds good. So we are at about $4 million a year in revenue. Awesome. 20% net, uh, residential window replacement. So, so the homeowners. Yep. Um, and our biggest bottleneck as far as I see it is with our model. So our primary customer acquisition method is door-to-door. So 2-part sales that are closer model. Yep. And it's a high churn role. Like, we know how to sell windows, we know how to do it well. Yeah. Um, but getting reps hired, trained, and retained has been a huge challenge. And so we can't just like— and there's, there's kind of levels to that, right? There's getting people interested enough to say yes to the job. Yeah. There's getting them to stick past week 1 and then actually producing. Our biggest fall-off right now is literally just from showing up day 1 to making it to the end of week 1, where they just get in and realize, oh gosh, I can't hack this.

Yeah.

What do the top closers make? Um, $16,000 to $20,000 a month. Yeah.

Okay. They make good money. Okay, so I want to give you a couple frames on this and then we'll dive in. So frame number 1 is that this is a feature, not a bug. It's the nature of door-to-door. So instead of thinking like, man, I think there's something wrong with our business, like, it might be just like we need to do way more of it. Like, at the very most basic level, like, it could just be how do I do 10 times more of this and I deal with all the numbers I currently have? That's like thing 1. Thing 2, it might also be an avatar selection issue. So to pull back the thing that I was just talking about, these applications, just like leads that you have for a business, like I'm sure it's like they have to have at least this many windows or they have to have a home that's valued above X or whatever, right? You look at certain neighborhoods when you go door to door, right? Yep. Right. So the same degree as you might be, you might be knocking it to give you a 1-to-1 example. It's like if you're going into the projects or the hood, right, where home values are lower, the likelihood that they're going to buy a higher ticket thing is lower., right? Sure. Right. And so you might still be attracting apps for SDR, or, you know, door knockers, whatever, uh, for the setters from figuratively the quote low income part of the internet. Right. And that doesn't actually have to do anything with income, but I'm just saying, just to give you like an analogy here. Um, and so the question is, what do the people who make it have in common? Balls. Well, yeah, sure, but what we want to do— no, no, you're good, you're good. What we want to do is look at— we want to look at what are the behaviors. So I look at demographics just like you would with a customer. What are the demographics that have higher likelihoods of success? Is there age ranges, things like that, right? Number 2, is there any kind of past experiences that they had that make it more likely for them to succeed? Um, the next is going to be the behaviors. What did these people do? Just like we'd have activation— now you're not in a service business, well you kind of are, but it's a little bit different. It's not like customers have to do something, right? But if you were in a business where a customer has to do something, we'd say, like, what are the behaviors that a really successful customer did? And then we say, okay, we want to force that activation path for everyone. So what percentage of people who are starting make it past week 1?

We have 2 small offices and it does vary per office. One of them is significantly worse currently with this issue, but Ultimately, I don't know, but that, like, not, not a lot. And again, it's more, it's less of a, like, they couldn't see results and so they fizzled out because they need to pay their bills because it is 100% commission. And it's right now more of a, I, I don't get past day 3 because I realize once the rubber meets the road and I'm on the doorstep by myself, I can't hack it.

It's kind of what it's Yeah, I hear you. So, um, how much role-playing do you do with these guys before they get out there?

Um, so they've got to have the script down. Um, and we do, you know, we meet daily, um, for an hour or two. Um, and so that couple hours a day is, is—

do you have like two makeshift doors that you have at your facility where they like knock on it and open it, there's nothing on the other side of it?

Um, we've got the office door and we will either just not use a door or use that door.

Okay. I, so I'm going to like, this is, this is going to sound silly, but I am 100% right. Um, you want to approximate the conditions of the sale as closely as humanly possible in the training. Something as simple as them not actually knocking on the door will have a very meaningful difference in their ability to retain the information and actually deliver it in a comparable setting.

Okay. Yeah.

So we have definitely not focused on that. Right. So you have a training issue, right? Like to me, this is a training issue. It's a training and expectations problem. So obviously there's some element of like, who am I bringing in? That's gonna be one component. Right. Like to me, this is a training issue. It's a training and expectations problem. So obviously there's some element of like, who am I bringing in? That's gonna be one component of it. You know, if you look at 10 people, I'm sure right off the bat, you could probably be 50/50 on like, I could for sure tell you that these 3 guys aren't gonna make it. Right. Um, but there's some guys you're like, I'm not really sure. Well, it's like, let's just take out the guys we already know aren't going to make it, and let's get the other 50% and try and approximate the training. So what I would do is I would set up 2 or 3 freestanding doors inside of your facility. And the reason I would want to do that is because I want them to learn to run. I want them to learn to hustle between doors because it's a huge difference in terms of their doors knocked per day, right? Yeah, right. So I want them to practice like they play. So you're gonna knock on the door, you're gonna do it, we're gonna hit the script, and if they mess it up, we say stop, step back, knock again, do it again. Because the thing is, it's gonna be so muscle memory for them, like literally, their hand's gonna, they're gonna knock the same number of times, they're gonna say the same words at the same spot, and that will approximate so much more closely what they're going to experience there. I would also encourage you to have basically the rowdy customer. Because it going mediocre, okay, is not what they're afraid of. That's not why they're leaving. It's like we have to have people slamming doors in their face. We have to have people not liking them so that they can get used to that.

So repeat kind of what you were saying there. Like I got 90% of what you're saying, but missed the punchline. You're saying— Yeah, no, you're good. 3 freestanding doors. They are the responses that they'll get in the real world?

Yes. I want them to be okay. I want to role play out what someone losing their shit on them is like so that they stop having this big fear around it. It's like, it's going to be okay. You're going to survive. If someone calls you a rodent, guess what? You can knock on the next door, baby. The only person who knows how the last door went is you. Cool. Right? And so where it gets nasty from a training perspective is when someone gets hot, someone gets on fire, 'cause everyone's been there, right? You're like, man, I feel like I can close everybody today, right? They actually talk differently, they move differently, their tonality changes, and then what we wanna do is be as granular as possible about what those tonality changes, how their body moves, how they comport themselves to maximize the likelihood that they get more closes in a row. But this to me is like, thing one is you should absolutely set up this training. Like, this is like a tomorrow thing. Like, set the 3 freestanding doors up so they can practice one, knocking on doors, and also quickly transitioning between doors. Thing one. And that way they can also have a bad door, good door, bad door, and still know that, hey, I'm gonna get one out of 20 doors who opens, I'm gonna get, I'm gonna get a set, right? And we have to set expectations of like, listen, we need you to be doing 10 doors an hour, or whatever, you know, whatever your numbers are, right? It depends on how far apart the doors are and whatever. But like, we should set these number of doors knocked per hour goals so that we can just, they have to look at it as a numbers game. Yeah.

Cool. So yeah, I would agree that it's, I mean, there's levels of that, that it's a training issue. Yeah, you know, there's the week 1 training issue.

Well, it's for sure because one of them's doing way better than the other. So we know one of the trainers is already doing way better than the other location, right? Between the two that you got, right? Yes. Right. So already there's a discrepancy. So we know that like if this— if the bad location was doing as well as the good location, we already know that's 100% possible because it's already happening, right? Yeah. But I'll bet you both could lift. And I also think part of this is, um, Do you have the, uh, ACQ, uh, sales, the Closer Handbook? Yep. Yeah, I would have them read the What It's Like to Be the Top 1% and What Is Selling, those two parts of the Closer Handbook. And I would use that to set the frame for what this experience is going to be like for them.

What was the second part?

The Top 1% and what? And What Is Selling. Okay. Because they have to have an appreciation for the craft. And I think that if they— if like, again, part of this is just going to be the sale. It's the sale on them. It's like, how hard are we selling them on this is a skill that you will use for the rest of your life? And you're going to have to get good at it here or somewhere else. But you might as well get good at it here and get paid to do it.

Awesome. What would you say is the balance between— because you mentioned expectations. Yeah. And I think that is part of it, just understanding that this is going to be hard, but it's going to be worth it because of XYZ. So selling very hard, but also, I guess, where would you find that balance of selling versus reality?

Um, for me, the selling is like, if you sell, if you sell with the correct messaging, it will attract the right prospect. So you've probably heard of the Shackleton ad.

Have you heard of that?

Not based on that, but hold on, I'll pull it up. Here we go. So this was the ad that he ran that was like, whether it was him or not, it's become lore. So the ad said, men wanted for hazardous journey, small wages, bitter cold, long months of complete darkness, constant danger, safe return doubtful, honor and recognition in case of success. That was the ad. And he was overwhelmed with people who were into it. And so it's like, we want to, we, we want to state the facts and tell the truth. And the truth is very compelling, which is that this will be a skill you will learn for the rest of your life. And it will take you 30 days. If you make it 30 days, you will have an experience that you will remember forever. Any person who's ever done door-to-door will tell you about their experience doing door-to-door. It shapes you. Absolutely right. And so we need to paint that picture truthfully to them, but truthfully explain why it's in their best interest to stick it out. And we want to have as many reward cycles as possible. So are there ways that we can give a scoreboard that are like— I want somebody who gets an award for most doors knocked, most doors opened. Like, we want other ways of giving them recognition. Early and fast so that they could see that they're at least on the right track. Yeah. Right? So if I were to zoom all the way out, thing one is going to be I want the types of people who have higher likelihoods of succeeding in this based on demographics, past experience, and the behaviors they demonstrate in the application process. Thing one. This will be online too. So if you're like, I'm not writing fast enough, that's thing one. Yeah, yeah. No, you're good. Yeah. Thing 2 is that I want the training environment to approximate reality as closely as humanly possible. I want to have multiple doors. I want them to knock every time. No one just says the script. You knock every time because that's how you do it in the real world. Thing 3, as soon as they do begin, I want to have multiple ways for them to win that are ideally approximations or on the way to them getting their first set or multiple sets. I want to award them for knocking the most doors. I want to award them for having the most doors open. I want to award them for the biggest cuss out that they get, right? I want to make this fun. I want to take the pressure away.

Just make it a game. Yeah, gamified.

Yeah, yeah, I like it. We do that and you have leaderboards just for the setters beyond just sets. I want to have some of the other metrics that are there, right? Just closes is one thing, but I want to have who did the most dials. I want to say who did the most Who had the most pickups, right? Who had the most calls that lasted past 2 minutes, right?

Same idea.

Yeah.

Cool. Cool. Love it. Is there anything that you feel is worth mentioning as far as just like the overall talent acquisition funnel, or this is going to trump that regardless of where and how we're bringing people in? I mean, we kind of talked about the how.

Yeah, doing more. I mean, doing more in general might— this was kind of the feature bug thing of like, well, what does it cost you to get an activated rep? Are you willing to spend more for that? If so, spend more so you get more of them. Like if we change nothing, it would still grow the business if we just had more reps. Like if we change nothing, if we change these 3 things and spend more, it'll be double-double.

Yeah. I guess I was more asking like, because right now Yeah, 99% come from just like an Indeed listing. Yeah. And obviously changing what that Indeed listing looks like and sounds like can obviously change who we're attracting. Totally.

But well, I think the copy that I just kind of outlined— again, state the facts and tell the truth, but I would just try and make it look like a hardcore life opportunity, which is what it is. Like, you're not selling windows, you're selling a skill. That they're going to learn and get paid to do, which I think is pretty compelling. Yeah, for sure. I would also strongly encourage, 'cause almost every door-to-door team that's very big has a 3-step process for the career progression. Step 1 is learn how to sell. Step 2 is learn how to get 1 person to sell that you taught. Step 3 is recruit a team. So I think that you probably are missing step 2 and 3 for your team if 99% of your dudes are coming from ads. You're missing out on the entire referral component of them bringing their friends and getting an override on teaching their friend and then building a team.

For sure. Yeah, right now we're at a spot where we need this base level of momentum to even do 2 and 3, but yes, and I've recently made some changes there that makes it compelling towards like not just, oh yeah, I can make a little bit extra with bringing a friend in and be more sticky, but I can make a side hustle just bringing my friends in, even if I don't sell.

It's a career path. Yeah. It's a recruiter. It's another, just selling a different opportunity. Yep. Yeah. But yeah, that's step 1, 2, 3, and then obviously do more, the unspoken fourth.

Awesome. Rock and roll.

I appreciate it. Appreciate you, man. Thanks, man. All right.

Talk soon.

Take care. Bye-bye. Okay. I have a screensaver on my screen, so I can't see the chat. All right, here we go. We're back. All right. So Richard Ferris. Hermosi, I have a real estate development business. We do value-add deals. How do I apply your principles from $100 Million series to this business? Okay. You're scaling ASQ, which is private equity, very similar in my opinion. Yeah.

So, okay.

So if you're in the development business, do you see your leads as the deals or do you see your leads as the investors? So maybe if you guys can scroll down, we'll be able to see Richard's answer. If he's, let's see here. Richard, where you at? Give me an answer here, man. You see both as leads. All right. So which are you— we're on right now, but yeah, do you see which one are you, are you not getting leads for? Use your own capital. Okay. So you really want more deals then. Okay. So I guess from a development perspective, you're looking at teardowns and/or land. Okay. Yeah. So I mean, this is going to be just an advertising thing. Straight up. It's like, all right, so can I build a brand around this? So this is going to be all this book. It's going to be all Blue Book, right? Yeah, landing conversations. So I would be looking at me— hmm, things is so targeted. Um, I would probably be using an outreach method and then having a base level of content. So I wouldn't expect that content was going to bring me like tons, because you're probably so specialized because it's you know, it has to be certain size, certain area, all that kind of stuff. Um, I would be making sufficient content that people would know that like I'm legit and I do this for a living, but outreach would be my primary method, um, of trying to attract deals. And as silly as this may sound, kind of like I was saying earlier with Sharon in the, in the real estate industry, like he did 260-something events. Like in industries where it's super small and very aggregated at the top, the conference or shooting them in the barrel method is one of the most effective ways of doing it. Like if I had to like start over tomorrow in a new industry, I would be at every one of these conferences and I'd be meeting every person that I possibly could there because it's not the person you meet, it's the person that person introduced you to. Like that's the, that's the game, right? And so that's kind of like an investment that I would be looking at in terms of increasing number of conferences that I would attend. I'd be like, can I do one a week? And then outbound and follow-up would be the next thing. But it's gonna take a lot of violence for this. But once you have a few good deals, and I'm sure, I mean, if this is the main business that you do, you having a few good big wins will attract more attention and more capital, obviously. But a lot of the deal stuff is building out the broker network. That's what we have in our, 'cause we do a lot of real estate. We just have a network of brokers that we've done a lot of deals with. And so over time, we've just, It's a long business, right? And so it's like, for the last— like, we've been focused on, you know, one market particularly for like 6 years. And now, like, most of the brokers come to us with all their off-market deals, uh, first because they know we can close. And so some of that takes time, but it's also like kind of how it works. So I know that was a little bit less of like, here's— let me tell you this one secret, but I think you already knew there wasn't going to be a secret method. Um, And so yeah, that's the deal. And I will not respond to spammers. We do not negotiate with spammers in the chat. That is our— that's right. That's right, Duke. That's right. We do not. All right. Senaro Senani. Alex, I'm from Albania. My question is in real estate. Can I grow the business with little connections and no big capital? Yeah. You just start wholesaling. I mean, yeah, that's what you do. You get deals under contract for less than they're worth and sell them to people who are willing to spend more. You make the difference. That's the zero down, zero capital play when you're in real estate. Then you build enough capital that you start taking those deals down, and then you just, you work your way up from minnow to whale. It just takes time. All right, Prince Gemini. I have a janitorial business. What kind of lead magnet? My ideal avatar need help attracting and nurturing clients. Appreciate it. Well, dude, if you're in the janitorial business, it's going to be commercial, you know, commercial building owners, right? And so lead magnets there are— I mean, it's going to depend on the size of the buildings that you're looking at. If you're looking at smaller buildings that you're doing, you're really just looking at business owners, probably. I would imagine like the first and most likely path would probably be a Google PPC campaign. So pay-per-click campaign on anyone that's searching that in your local area. That would be like the fastest first method of getting leads. They'll be the most expensive, but they'll be the most qualified. All right, so that's kind of like thing one. Thing two in that space is I would probably, trying to think about, I mean, door knocking would work okay. It depends on the size of the building again. So I don't have as much— like, if you have smaller buildings, door knocking can work. If they're bigger building, then it's gonna be outreach to building managers, which is gonna work better off of LinkedIn outbound strategy. So I'd be looking at building managers who are actually— who are the decision maker for, for those services, and I'll be doing outbound on LinkedIn. There was a business that I looked at not that long ago that had, they went for whales, and they only were talking to building managers, they did it all exclusively on LinkedIn. So there's two strategies that I would do. And in terms of lead magnet, I think the lead magnet actually matters less for this type of business. It would probably be more like, what is my offer, rather than what is my lead magnet? So I'd be focused more on like, what's my more compelling way to pull cash forward, which might be like, I get paid quarterly and I get paid in advance, So that'll be one of the ways that I would pull cash flow forward and decrease churn. But in those businesses, churn is almost nothing. So it is definitely the acquisition game of getting customers. All right. David Kissel. Kissel.

Kissel.

Kissel. I'm a pro volleyball player and I have 150,000 followers across platforms. Any tips for monetizing my audience? Yes, I have tips. So many tips, many, many tips. The frosted, the most frosted of tips. Right now only taking one-off brand deals. Well, dude, a couple things. So I think one of the things hard for a lot of kind of like celebrity or sports people is understanding what business they're really in. So if you want to be like, basically you are a media company. Like fundamentally, what are, Like what are pro sports and sports in general? They're entertainment. That's what they are, right? So they entertain people. What is the point of entertainment? To get people to continue to watch. That is what the point of entertainment is. And so really good entertainment gets lots of people to keep watching. That's what good entertainment is. By the way, that's what the news is too. Crazy. Anyways, so if that's the business that you're in, you need to make the decision. Okay, so first off, you're in the media business more than it's like you are a performer. You perform a specific skill, people watch you and that's how the game works. Okay, now from there you kind of have two paths. Path one is you keep going in the entertainment direction, which you can do by just showing more and more clips of you playing, you spiking and doing all sorts of stuff, and probably interweaving stuff about you, which would then kind of build some depth to the audience rather than you just being some trick shot guy, right? That's path one. And the primary way that you're probably going to monetize is the way you currently are, which is that you're gonna have to do outbound via sponsorships and But I see that as relatively limited. The alternative path is to become more of an education business. And so I'll give you a shout out to Trevor Bauer. He was, if you don't know who he is, he was one of the best pitchers of all time and had a really unfortunate situation that came up where a girl lied and whatever. I don't wanna get into it. And I'm saying that 'cause she came out later and said she lied. But it ruined his career and he basically wasn't allowed to play pro anymore. So what did he do? He couldn't play pro anymore, and so he had to find another way to monetize. And so one is he shows people how to pitch. So I think you showing people how to do volleyball stuff and do it the way that you do it is a really good one. So it's like, can we develop an app or training program that you could sell digitally to show people how to jump higher, spike more, run faster, the workouts associated with volleyball, all that stuff would totally work. The second is that you can sell kind of like high, like depends how much clout you have in the space, but like you signing balls, you signing shorts, you signing shirts, or having merch associated with a brand, uh, that you want to— but maybe it's like, you know, high-level spike, or maybe you're a serving specialist, whatever your thing is, right? Um, I would have training around that and I would have merch around that. Now when you do that, you kind of transition more into an educator and less of an entertainer, but from a monetization perspective, I would be strongly looking at that. Now, door 3 is that you just find a company that you really like a lot and see if you can negotiate a deal where you can get a percentage of the company from an equity perspective and maybe even a tiny slice of royalty based on the traffic that you send, where you become a brand spokesperson and then you hope that that business eventually exits and whatnot and you just focus on making making content and playing. So sponsorships is gonna be more passive, obviously you just have to sell and then keep making content. When you become an educator, you have to do more work 'cause you have delivery. Now you could just sell pure digital, that would make you less money but it would be less work. If you sold digital and then also services in terms of you looking at people's spiking, giving them feedback, that's like basically a personal training business that's focused on volleyball. So that works for any kind of creator that's kind of in any of those niches, but those are kind of the paths that I would be looking at, and all those are different ways that you can monetize. Bingo, bingo. All right. All right, so I think you guys, you guys have fun today? Was this cool? Was this a, give me some fireballs in the chat, or you can go wet splashes. So fire and splashes, we don't wanna set the place on fire, we wanna counteract with a nice even mix of fire and water. Almost like Avatar or W's. W's, right? W's in the chat. Is that a— I'm learning. I'm learning. I'm new to the streaming thing. So W's. Okay. I'm learning. I'm learning. If you guys dug this, it helps the team know that we'll keep doing this stuff. You guys rock. This was a ton of fun. I love doing this stuff. This is the kind of content I enjoy making because I could literally do this all day. Because I like business, and if you like business, then you will like this stuff too. All right, uh, keeping amazing, and, uh, yeah, I'll see you guys on the next stream.

Rock and roll out.