Original subtitles

All right,

everyone rocking and rolling. Everyone

excited? Um hopefully you're as excited

as I am uh to get to get going. Um I

want to warn you first first and

foremost up front. Um today will be

conceptually significantly denser um

than the last time you saw me talk. Uh,

and so I just want to kind of have you

mentally prepared for that.

Additionally, I would consider having

something up from a note-taking

perspective. You guys all have access to

the recordings here um, when we're done

today, but uh, we have a lot to go over

and I'm going to try and pack it in as a

short period of time as possible. And so

with each of the concepts that I'm going

to outline around scaling, I'm going to

try and provide as many examples as I

can so that it can hopefully be relevant

to you. And so that's kind of the

general gist. And so we'll have kind of

four portions of today. The first is

kind of setting the frame for how to

think through the rest of the day. Uh

the second is going to be walking

through basically the constraint

framework that I have never shared yet.

Um and part of that was in developing

this workshop. I had to think through

how do I actually approach a lot of

different businesses to deconstrain

them. And it turned out it was a very

very large decision tree. But I was able

to break it into um chunks that are

really manageable. Uh and so that'll be

kind of the second portion. The third

portion will be taking those constraints

and then applying them in a supply

constraint dynamic. So some of you guys

are demand constraint, some of you guys

are supply constrained, meaning demand

constraint means you don't you know

you've got capacity but you need you

need more customers. Supply constraint

is you wish you could take on more

customers but you can't because you've

got other issues. And so we'll talk

about that as kind of the third portion.

Um, the fourth portion is going to be

all around the implementation with the

AI and the tools. And so I'll give you a

handful of what I would consider like

pre-anned

stacks of playbooks and solutions that I

see as very typical combinations of

things that have to happen in specific

types of businesses. Um, and then after

that, we're just going to do some live

ones uh to just walk through the exact

same framework over and over and over

again so I can give you ideally as many

examples as I can. Uh, so you can be

like, that's what I need to do. This is

the order I'm going to do in and I'm

good to go. Rock and roll. And yes, that

is the Iron Man cave in the background.

All right, so uh let's rock. Also, um

I'm going to be using these a lot more

today. And so this will be a little bit

more of a hybrid because I think that'll

be engaging. So I'll kind of alternate

between the slides and the whiteboards

back and forth. Um and I think hopefully

it should be awesome. And if it isn't,

then you can tell me it's awesome. So I

feel you know good on the inside. All

right. So without further ado uh the

scaling implementation workshop

constraints leverage and playbooks. All

right. And so if I think about what

we're trying to accomplish if I see

learning as a change of behavior then

there's really three core behavior

changes that we're we're looking to do

today. So number one is uh change your

behavior in one way which is maximizing

leverage. Uh that's number one. So, if I

can just get everyone here to allocate

your attention to the things that

maximize leverage, you will get the

highest return possible. Number two is I

want to increase your odds of success of

utilizing leverage by selecting the

correct playbook and executing what's

inside. And then goal number three is to

increase your conviction around your

selection and then use the AI tools uh

by showing proof uh and use of outcomes.

me actually demonstrating in front of

you so you can feel really confident

that this isn't some complex thing that

you can actually just use this stuff.

All right, so that's that's it. Like if

we accomplish this, I'm stoked. Okay, so

part one is around constraints,

leverage, and compounding. And I see

these as the core elements of business,

right? Every business has a constraint.

Uh we need to deconstrain it. In order

to deconstrain it more effectively, we

use leverage. If we do that uh

successfully from a model perspective,

we achieve compounding. If we do those

three things, we have a business that

will continue to grow. All right? And

so, um, obviously some of you guys have

consumed most of my stuff, but I almost

always start with this because I like to

set the precedent that

it's very easy to get entertained by

business content, right? And the

difference between people who are

entertained by business content and

people who do business is that they

actually change your behavior. And so,

if after this you go back to the same

conditions of wherever you're at and you

don't change your behavior, you learned

nothing. this was functionally just

entertainment for you, which is fine if

that's what you're, you know, that's

what you signed up for. But, um, I think

there are more effective ways, you know,

to be entertained. Um, and so that being

said, same conditions, new behavior, you

turn off the computer, you look back,

you're at home, you're at your

workplace, whatever. If nothing changes,

you learned nothing. So, I would

encourage you to be very clear about the

actions you plan to take after this uh,

and even during today. All right. So my

classic example of this is phone rings

and you do you pick up and you say XYZ.

If I say hey here's a script and then

the phone rings and then you say XYZ

again it means you learned nothing. If

you now say the script then you learned

something and specifically the script

itself right and so that is a behavior

change. So if we're talking about the

skills of business right skills are

actually a chain of adaptive behaviors.

And so that is one behavior that I just

mentioned. But if you chain multiple

behaviors together, then you get a

skill. All right? And so skills are

chunked. And so this is why I think it's

so difficult for sometimes for people to

grasp uh or why they they can't get

their employees to do something is

because they talk in terms that are too

chunked up. And I think the reason that

the content that I've had has done, I

would say, disproportionately well um

has been because I try to put a lot of

effort into chunking and breaking down

concepts. And so here's a couple

examples. So if someone's good at

basketball, it's like no one can

actually be good at basketball. What it

is is they're good at a series of

chunked up skills. So like underneath of

basketball, you've got dribbling,

shooting, and passing. And each of in

within those, you've got free throws,

you've got uh you know, three-pointers,

you've got jump shots, you got bank

shots, you've got hooks, you got all

these different types of things. And so

you have to keep breaking these down

until you finally get to the most

rudimentary level. But business works

the same way, right? So it's like this

guy's good at business. Every I think

all of us want to be good at quote

business. But if I were to direct

someone, hey, learn business, it's like

what does that mean? Right? And so

within business, you've got marketing,

you got sales, you got product, you got

hiring, etc. And so what we what we seek

to do is create the meta skills that

then generalize across functions. All

right? So like reading, writing, and

speaking then allow you to learn stuff

which allow you to figure stuff out,

right? And in a sports context, hand eye

coordination allows you to be pretty

good at most sports which then

generalize into basketball. And so what

makes one person more successful than

another given the same same directives?

And this my whole goal here is to

maximize likelihood of your success

here. If you have the same directives

and one person wins and one person

doesn't, it's because they typically

have other skills that were not taught

by whatever the implementation was. And

so this is fundamentally why results

vary. All right? And so success, so if

you want to write something down,

success stops where you don't know how

to do something. That is where it stops.

Right? All right. So, if you imagine

you've got, you know, you on one side

and where you want to be on the other

side, you've got these kind of logs that

you have to jump from from thing to

thing to thing to get across. But if you

finally get to a spot where there's no

log, which is functionally like you

don't know what to do there, then you

fall or you just stop and say, I don't

want to die, right? And so, um, the goal

is to basically try and fill up as many

of those holes as humanly possible. And

so,

it's foundational. I like to state this

obvious point because many of you also

are in the space where you have to

educate your customers. you have to

educate an audience whether it's you

know in your marketing you have to

educate uh your employees so we we are

all fundamentally educators in some some

degree to or another right and so it's

like why do two people come in and some

people succeed and some people don't and

so like in the example I'm using here

because we only have a limited amount of

time in general with any individual

audience etc right and so if some people

get results and some people see no

results

then the issue is that there is going to

be a gap in their knowledge base, right?

And so if we wanted to get 100% and I

mean truly 100% of people results, which

is possible, I I fundamentally believe

that's possible. The thing is is it

worth it? Because if I were to try if I

were to try to approximate that, I would

need to re-educate everyone from K to

12, right, from kindergarten all the way

to 12th grade, get everyone the

foundations first of like here's how you

read, here's how you do math, here's how

you speak, here's how you think, here's

how you make make decisions, right? And

so

almost none of us can say that it is

worth it for us to do that for like

let's say an employee who comes in. You

expect they know how to turn on a

computer. You expect they know how to

use an iPhone. You expect that they know

how to use the internet. Expect how to

send an email. And so at some level we

have to cut off and say these are the

requisites in order to be an employee.

These are the requisites in order to be

a customer. Right? And so um I use this

as an extreme example here but if you

can't read it doesn't matter how good my

books are. Right? If you can't stay

focused, it doesn't matter what the

tactics are because you're not going to

stick with it long enough, which is a

whole other basket of skills. If no one

likes you, it's going to be very

difficult for you to attract key talent.

And so, the reality is that results vary

based on your background, education,

experience, and application. And this is

not an FTC compliance thing. This is me

just like being like upfront about why

results vary between people. And I think

it's worth understanding this because

the thing is is that this allows you to

take ownership. I'm very proud of the

fact that I've been pretty much every

single thing I've ever bought's biggest

success story. And the reality is that

it's not because and like this is

hopefully not in a self agrandizing way,

but if they work with 20 people and I

have the best results, then it means

that I have other skills that the other

19 people didn't have. And as a result,

those additional skills

disproportionately contributed to the

outcome. That's the difference.

And so if we think about learning as a

bridge, every step is needed, right?

Like you can't skip a step to get

across. Like you have to have every

single foundational piece and so the

more general skills you have the more

gaps you can fill when someone provides

incomplete information which is the vast

all of us provide incomplete information

right otherwise we literally have to

start at zero and start at goooo gaga

and then go all the way to coding AI

right it's just we don't have the time

to do it so if you're going to do any

kind of implementation I like to

approach it from the perspective of what

skills do I lack or what things do I

need to fill in the gaps for in order to

be successful and the moment where I get

stuck is oh there's something I don't

know how to do and therefore my ability

to figure it out becomes very important

and so your results will be proportional

to your existing domain skill period and

so that makes the ability to figure out

one of the most important skills to have

it's a meta skill right and so um what's

interesting about this is that if you

say hey um hey Alex can you build a

business I could say okay that's a very

general uh request right but then I just

have a big background of other skills, a

big bucket of skills behind me. Now, to

the same degree, if you go to Michael

Jordan and say, "Hey, just win." He

could, right? But you tell that to a

5-year-old and you're like, "Just win."

And they're like, "But how do I tie my

shoes?" Right? It's like we have to

start where the person's at. And again,

I put this as a preframe for today just

to set the context. And so, as an aside,

um, a really good framework. So, this is

a first of of a few frameworks that I'll

share with you just kind of ad hoc as we

go through this, but let's say that

you're looking at, uh, you know, two

potential people. Uh, you've got, you

know, hire one

and you've got hire two.

And this is super important for many of

you who have employees, uh, or would

like to have employees at some point in

the future. So let's say this person is

uh I just this is the classic attitude

attitude. There we go. Uh aptitude uh

dynamic. I'm sure you guys have probably

heard the statement um hire for attitude

and then train aptitude something to

that degree, right? And then this one

let's just say this guy has great

attitude and doesn't have the best

skills and this guy has uh you know

doesn't have the best attitude but has

the skills. Okay. So if you're looking

at this, which would you hire? Now

depending on the uh the answer, the

actual answer here is that it depends on

the nature of the role. But the the the

single golden truth is that you hire

for the smallest skill deficiency.

And so what that means is

if I have hire one and hire two, right?

If I have something that the aptitude

that I'm trying to teach takes,

you know, a day, I'm for sure going to

hire for attitude. Because for me to

teach someone to like be kind, be

respectful, smile, be nice, all that

kind of stuff, which are all chunked up

terms that have many, many skills

underneath of them, then for sure I'm

gonna say, well, I could teach this in a

day. This would take me years. So I I

don't want to do that. So, I'm going to

hire for the small skilled efficiency.

Now, let's flip it over. If I'm trying

to hire the foremost AI researcher,

and I'm saying, okay, well, this guy's,

you know, a bit weird, you know, I mean,

keeps to himself, bit in the closet.

That sounds a bit weird. Not like that.

Calm down. Okay. You know, we've got

this attitude uh bit of an attitude

issue, but man, the guy really knows.

Well, if I had another guy who's there

who's like, well, he doesn't really know

the AI that well, um, but he's a really

great guy, who do you hire? Well, it

depends on the role. And specifically

with this one, it would cost me way more

time to to teach somebody who's a nice

person who who works hard how to do AI

research versus trying to get this guy

who really knows AI how to just smile

every once in a while and not call

everyone a dick or an idiot, right? And

so this is fundamentally how I like to

approach hiring when I'm thinking about

specific roles. If you deal with what I

would consider to be lowkilled roles,

then it's absolutely true that attitude

over aptitude for sure because there's

so many more skills here, right? The

more high-skilled, the more high

aptitude you require for a role, then

the more uh the more that will matter

more than trying to and the thing is is

you'll start to learn how to train

attitude, right? because you'll see

attitude as just a bucket of behaviors

of like, okay, what are the things that

increase the likelihood that people

don't complain about you? What are the

things that increase the likelihood that

people like you? Okay, well, it turns

out there's only like, you know, six or

seven things that you have to do on a

consistent basis within a work setting

to decrease the likelihood people

complain about you, right? So, let's

just learn how to train those

consistently. And then all of a sudden,

we open up our aperture, the amount of

people that we can take in um who are

really good but aren't that really good

with people. All right. Now, the reason

I see this is important is that

for many of you, believe it or not, one

of the big issues you have is that you

sell to everybody. Meaning, you allow

anyone to walk in the door and then

you're surprised by the fact that your

results vary so widely. And sometimes

you're like, oh, you know, some people

are amazing and I've got all these other

people just they don't do anything. It's

like, yeah, it's because you let

toddlers in and you try to teach them to

code. Of course not. Right? Which is why

there are standards, which is why having

requisites becomes incredibly important.

There's a reason that Spanish one is

required to do Spanish 2. And so for

many of you, one of the big things you

can probably write down today is like

what are what if I if I had to pick what

requirements would must exist for my

customers to maximize the likelihood

that they would they would win, right?

We can probably tell or you probably

already know if you looked at your whole

customer base like on the phone call or

on the on the sales consultation or

whatever way you sell, right? You

probably know some specific way that

you're like, "Oh, this guy's going to

crush it." Well, then if you know the

difference between somebody's going to

crush it and one that you're like, well,

you probably shouldn't let the in. And

then you should say, okay, well, if

everybody crushed it, how much more

could I charge? Probably orders of

magnitude more. And then maybe that's

the right avatar and we have to get

narrower with who we select for, which

means we've increased our standards.

This is a huge issue with service

businesses, which based on the surveys

that I saw from you guys, it's like 75%

of you, which is why I bring this up.

Okay. Um,

and so yeah, and so if we look at these

two uh these two images I have here,

like the big jack guy and the and the

wobbly knees person, if we have to get

them across this bridge, right, of all

these different logs, which of them are

we going to have higher confidence is

going to get across? Well, obviously

the, you know, the gymnastic dude,

right? But the thing is is that our

bridge is our product, is our customer

experience. And so if two people can

come in and we get to be the gatekeeper

of who we choose to let in, then we're

the ones who are at fault when someone

doesn't succeed to a large degree. But

it doesn't mean, oh, I now have to

educate everyone through K2 because that

might not be worth it. You're just

saying, no, you have to graduate high

school in order to do this thing, right?

You have to be able to make you have to

be making $10,000 a month in your

e-commerce store, whatever. Right?

There's a couple things that must happen

in order if you get the outcome.

That's why prerequisites matter. And so

fundamentally, this is why I define

terms so many times throughout

presentations. And it's because I

understand that some percentage of

people might not understand this term.

And as a result, that's where they stop.

Right? Success stops the moment you

don't know how to do something. And so

if I am describing something, I try to

describe it in multiple ways so that we

can keep the the mental conversation

going so I can pull as many people along

as possible. And I and I translate this

for you so they understand why I do what

I do. So that hopefully whatever modum

of success I've had, I can hopefully

transfer over. All right? And I actually

I believe that there's an ethical

responsibility to set prerequisites to

the highest degree possible. Um

especially in services uh more than

anything else. self-s serve is a little

bit different but services especially um

I think we have an ethical

responsibility not to just say hey I can

sell these people but more so who should

I be selling to all right now

that we got that out of the way uh your

first behavior change

my goal is for you to focus on your

highest return activity which we refer

to as the constraint the constraint of

the business so this is uh this is a

drawing I have of before and after so if

you've got a four-lane highway and then

you've got a one lane That's where the

money is at and you're only going to

flow at a one money pace. Right now, if

we're if you're work if you're looking

at this left to right, so start at the

bottom left, that one at the halfway

point there, you've got potential, which

means many times we work to add

potential to the system. If you go from

four lanes to five lanes there, did you

do nothing? No, you didn't increase

throughput, meaning you're not going to

get more dollars out the other side. But

you did do something. you added

potential, meaning once the constraint

is resolved, you'll be able to grow that

much more that much faster. But until

the constraint is resolved, you will

stay the same. And so where we allocate

effort is where we're going to get the

highest return. And so my first and most

important behavior change today is to

get you to focus on the constraint and

stop doing whatever it is that you're

doing that's not growing the business.

And one of the key points around this is

that there's only one constraint.

There's only one. There's one today and

there's going to be one in six months

and there's gonna be one in two years.

There's always only one. That's how

constraints work. You can always keep

tracing it back until there's one point

of focus. And this is the thing that I

think most people fail to do. And I

think the reason is because it takes

multiple orders of thinking. What

happens after that? What happens after

that? What's stopping us from this? And

we're going to do a ton of examples

today, but I just I want to set this as

the frame of this is what this is the

highest leverage thing. This is the most

important thing is that if you don't

know what the one thing you should be

working on is, it's your fault. That is

the job of the entrepreneur. We're chief

allocators of resources.

And so businesses grow until they're

constrained and then they stop. That's

it. And I kind of see them that way.

It's like you will just continue to grow

until you hit a constraint and then you

stop there and you stay there and you

will stay there for months, weeks,

years, decades until you figure out the

constraint. All right? And so the thing

that's stopping the growth is the

constraint. Now, one of the famous

probably heard this, which is a chain is

only as strong as its weakest link. And

so in a lot of ways, we've got kind of

like our goals on one side and us on the

other and we're pulling. We can only

pull a goal that's as as heavy as our

chain can hold, right? And so if you

have, let's say, a weak link and you

keep adding, you know, either adding

links or strengthening the other links

in the chain, it just changes nothing.

And this is why if you've been stuck for

a while, you're not growing as fast as

you want, this may be the issue. Or my

argument is it is the issue.

So I'll give you a different example. So

I obviously come from the fitness world.

If you deadlift, which is just you just

pick up a bar off the ground, right? So,

if you pick a bar off the ground and

let's say that your grip, right, can

hold 500 lb, but your back can take 700

lb. Okay, great. If I get my back from a

700 lb back to an 800lb deadlift back,

I'm still only pulling 500 lb, right?

And so, we have to keep working on the

grip. And until we work on the grip,

nothing's going to change about our

deadlift.

And so working on the non-week link is a

waste for immediate growth. Again, we

have potential but not throughput

which I just gave. Okay.

Now that is fundamentally the constraint

we seek to work on the constraint. So

how does leverage play a role in this?

So leverage is the difference between

what you put in and what you get out.

Right? And ideally we want high leverage

so we get more for what we put in. Now,

within the context of speed, because I

don't know about you guys, but maybe uh

you'd want to grow faster. I don't know

about you, I like to grow faster, right?

And so, if we want more output per unit

of time, then it means we're exercising

or using more leverage.

And so, there are only two types of core

leverage. So, I've shifted my my

thinking process around this um and I

think that it will it will help, which

is there's really only two and then

there's outputs of those things that can

get reput. All right.

So leverage itself exists on a

continuum. It's not is there leverage or

is there not leverage, but how much

leverage is there? There's always a

certain amount of leverage. It could be

low leverage, it could be middle

leverage, it could be high leverage,

right? So it's not whether there's

leverage, but how much leverage is

there? And so the two are technology and

skills. These are the two types of

leverage that get you more for what you

put in. And so at the most basic level,

if I wanted to dig a hole, I could use

my hands, right? Zero zero technology. I

could use a shovel, which you know,

ancient humans figured that one out. And

so they got way more efficient using a

shovel than using their hands. And then

I could eventually, you know, more

modern human, I could use a bulldozer,

right? All of these are different

technologies, different levels of

technology, different levels of leverage

that we get to increase our output. A

different example, right? I could use

pen and paper if I wanted to write

stuff. I could use software to write it

faster. And I could probably use AI to

do it even faster, right? Different

types of leverage all through

technology.

Now on the other side we've got skills.

What what we learn to do rather than

tools we use. So on the skills continuum

I'll just give a basic one for a service

business. If you've got a hundred leads

and two sales people in one script you

might have a 5x difference between the

two sales people based on what based on

skill. Same leads same script two

people. One has five times the

throughput. So they get more for what

they put in skills

right? And to use a media example, if I

give two creators and I say, "Hey, go

make me one short reel." I might have

one guy who has literally a 100x the

difference, high leverage on that skill.

And so these are how you can know uh

these are the two forms of leverage. And

this is like I like to I always like to

chunk things all the way up to say like

how do how can I validate that this

hypothesis is true. If you look at

economics at the broadest level, what

increases GDP per capita right within an

economy? That's how we can measure

output of a whole country. What are the

two biggest variables that increase

output output for a country? Technology

and education, skills and tools.

Okay. Now, when we use skills and tools,

we then create other outputs. Money

being one of them and being maybe the

reason that some of you guys want to

want to do it, right? Uh other people's

skills and time. Okay. If we have that

money, we can get other people to do

stuff. If we have other skills, even

without money, you can get other people

to do stuff, right? You start to develop

a brand or reputation that comes as a

result of using tools and skills

repeatedly. You get distribution. For

example, 5,000 different stores carrier

stuff because you use skills and tech in

order to get them and build that

distribution. But that becomes leverage

for later. And then one of the more I

would say tactical ones that that that

we'll probably hit on a little bit

harder today later is something I'll

call single input multiple outputs. So

this is one of my personal favorite ways

of kind of creating leverage in in a

business which is how can I double dip,

how can I triple dip, how can I

quintuple dip, right? And so an example

of this is that we started running uh

workshops for our advisory practice.

Well the workshops is like a a quad dip

for us. It's like we get deal flow. So,

we get businesses that come in, we get

cash flow, they're profitable, we get

media because we capture a whole bunch

of, you know, clips and all that stuff

that further pushes through the

flywheel. And then we also have all the

data that we trained our AI on, which

some of you guys have already tried.

Pretty sweet, right? But we were only

able to do that because that thing like

imagine if I had to do one specific

thing to collect media, another thing to

collect data, another thing to create

cash flow, another thing to create deal

flow. I would have way less leverage.

And so, always thinking like what's the

sawdust? What other outputs can we can

we extract from the ex existing behavior

set or activity typically benefits big

time. All right. And so once we have all

these new leveraged outputs, we put them

back in and try to attack the constraint

again. And so if our first level of

attacking the constraint is we have

skills and tools, great. Then we get

money, other people's skills and time,

brand distribution, uh, and then

basically how can we slice it, slice and

dice it multiple times. We take this

again and then reattack the constraint

with even more leverage.

And so fundamentally the constraint is

the priority. Like right now our whole

job is chief allocator of resources.

That's what we are as the entrepreneur.

And so priority unfortunately like in

the modern era became a a term that

people use and have priorities plural

right but if you look at the Latin it

comes from I think a priority which

means first. All right. Or before which

means you do this first. means when you

wake up in the morning, this is what you

attack because everything that's not

this is not growing the business.

And so, and this is a this is a harder

pill to swallow, but if you have more

than one, you are the problem. And so,

it's like, how can we expect our teams

to prioritize their time when you

haven't prioritized theirs,

right? Like, we're the ones who are

responsible for this. And so if like you

can't decide what your priority is, like

it's your fault.

And so this is why we are the chief

allocator of resources. We are the chief

prioritization officer. And so I I bring

this up because there's a lot of people

who, you know, say they throw this word

strategy around and I think strategy has

become this big amorphous thing. But

strategy is just allocating limited

resources. All of us have limited

resources, time, money, etc., right?

Against unlimited potential uses. And so

the simple way of saying this is it's

prioritizing. That's what strategy is.

It's all it is. It's just prioritizing.

What are we going to what are we going

to attack with the limited stuff we've

got? We got a million things we could

do. What's the one we are going to do,

right? And so the best strategy is that

you use the limited resources you have

to get the greatest increase in

throughput. That is the best strategy

objectively. The question is you won't

be able to know which one it is until

after, right? That's the tough part. But

objectively that is the best strategy.

the thing that gets you the most bang

for your buck. A good strategy would be

that you re you allocate the resources

to get an improvement. Great. We grew.

Did we grow as much as you know God

telling us what to do? Probably not. But

did we grow more than we were before?

Yeah, we allocated resources. Well, good

strategy. What's a poor strategy? And

there's two levels of poor strategy. It

go it goes there's two on the negative

side, too. All right. So if you allocate

resources to no improvement,

for example, if you are stagnating right

now, then it means you're actually

wasting resources. It means you're using

the stuff you got and you're not seeing

any increase. So you have one level of

waste. The resources you have are

getting wasted.

Then there's two levels of w I'll give

you an example here. So um buddy of mine

uh owns a big business and he was really

confident that his marketing was like

not good. uh and he had a CMO in there

or whatever and he said, "Hey man, I

don't think these ads are good. I don't

think they're working." And they were

like, "No, like we're really confident

that this stuff's like making a huge

impact." And so it took them six months

and he finally was like, "Just cut the

damn ads." So they cut the ads and sales

remained the same. So they were

basically burning $2 million a month in

this specific campaign that did

literally nothing. And so it was $12

million that got flushed down the

toilet. Now, it didn't hurt the

business, but I mean, they wasted

resources, which then kind of leads to

the next one, which is you can also

double waste, which is like you could

spend $2 million a month on stuff that

not only doesn't make the business

better, but actively makes it worse. So,

not only do you waste the resources, you

actually decrease throughput.

And I bring these up because I like to I

just want to be real. Like if if the

businesses are growing as fast as you

want, you might have a strategy issue,

meaning you're not allocating resources

to the greatest potential improvement.

If you're stagnating right now, it means

that there's somewhere else you should

be allocating your resources to get a

better return.

All right, I'll tell I'll give you a fun

example of a double way so it's not so

you don't feel like uh I'm I'm beating

on you. So, my gym got to full capacity

um you know, different different times

in my career, but when I just had one

gym, um everyone was loving it. I had

these two kind of parallel sessions that

worked and like my gym was packed. And

so, I couldn't fit any more people in my

gym and but I wasn't making as much

money as I wanted. And so, what I did

was I attacked the incorrect constraint.

So, what I did is I took this really

working product that everyone loved,

which is these 45minute sessions. I had

these strength sessions and I had these

cardio sessions. And so I had them

running in parallel and because I

couldn't fit as many people in, I

decided to one combine them and then two

make them 30 minute sessions. By doing

that I increased my capacity but no one

liked the product and I ended up having

this massive spike in churn. Whereas the

intelligent thing would have been oh

everyone loves it. You're at full

capacity raise your prices and then I

would have been able to have an amazing

product and had more profit. It would

have been such a simpler solution than

trying to reorganize my whole thing. But

I was young and I didn't know any

better. And so I I used all these

resources to remarket it, tell you know,

communicate it, retrain my staff on this

new way of doing things. And not only

did I waste all that effort, I also hurt

my business. Bad strategy.

I also, just so it's like I've done this

more than once. Um, in gym launch, one

of the biggest mistakes I made, I made a

couple big ones, but this is one of the

biggest ones. Um I was it was the first

and last time that I look in

competitors, but there was somebody else

in the marketplace that um basically

advert you know they they took a bunch

of my my top you know customers and they

tried to partner with them to basically

just make a Mickey Mouse copycat version

of my stuff. And so I then got really

and they were like we're going to give

you know one-on-one help and I didn't do

one-on-one um at the time. And so they

they make this offer that was less than

mine and had one-on-one support. And so

I go through this whole rigomeroll and

then I do this launch to my existing

customer base and I say, "Hey, here's

this amazing thing. We're just going to

charge all of you less money by 25%. And

give you more and you don't have to do

anything." And I want to tell you a

couple really interesting things that

happened from that. Number one, many

people complained. So think about how

crazy this is. I lowered the price and

added services and people complained

because they're like, I've been paying

this whole time and you didn't give me

this

like and it was a great lesson for me to

tell you that people just hate change no

matter what it is. So, thing one, the

second thing um that happened is that

when you cut 25% of topline and add

costs, guess what that does to your

profit? It kills your profit. And so I

lost about $5 million a year in profit

from that one move, which we never

recovered. And considering we sold the

business, I guess 24-ish months later,

it probably cost me realistically $40 to

$50 million. Like a real true like not

like oh hypothetical like I I did sell

the company and it was based on profit

and I probably lost another four 40 to

50. That's not an extrapolation of of

the the multiple, but I'm just saying

round numbers. So, when I say this, I'm

not trying to be heavy-handed because I

want you to feel bad. I'm saying because

I've done this and made horrible

mistakes before and ideally would like

you to avoid them. So, as we as we we

kind of wrap or get close to wrapping

this particular part one for framing

today, um, one of the things that I

think is really important is to

understand the paradox of solutions,

meaning that there are multiple paths

that can lead you up the mountain. So,

let me explain what I mean.

So, let's say

I have a leads issue and we're going to

cover this really heavy back half of the

day. Let's say I've got a really heavy

leads problem, right? And we're going

from clouds all the way to dirt, but I

have to frame it this way so that I can

bring everyone else along. Okay, so I

need more leads.

I could

increase my ad spend, right? That could

be one thing that I do. I increase my ad

spend. I could just make more ads

overall, more creative or make better

creative. That would do it. I could also

do some conversion rate optimization uh

on my pages. I could also improve my

lead magnet. Right? All of these things

would be things that I could do. And

this is like there's a hundred things I

could do, but that's five or four,

right? And so consider each of these as

these paths

up the mountain, right?

All of these are different paths up the

mountain. And so what's important to

realize is that it the difficulty is

properly identifying the constraint.

Once you identify the constraint

properly, you absolutely should hit it

with an atomic bomb to make sure that

you abs you destroy it, right? And so if

that was my issue, I could just do this,

but maybe I'll do all four, right? And

so this is the strategic priority. This

is the constraint. And so I bring this

up because some of you guys are going to

be like, well, which should I do? I'm

like, do them all or do the one that you

think you're most likely to succeed with

first and then you can start working

your way down. And if it resolves the

constraint, awesome. Rock and roll.

And so solving constraints happens in

unlimited ways. There's many flavors of

business. multiple ways to solve a

constraint, but identifying the

constraint is key. Going up the mountain

uh is singular. So solving the

constraint, getting to this altitude is

a singular goal. The paths can be

varied.

And so, right, your C's too high. You

can change your offer ad sales motion.

You can fix the problem. All right. Then

you need the next one. Right? And I I'll

talk about this more later, but the way

that you're like, okay, well, if I'm

going to talk to you, Alex, you tend to

give a specific directive. not only say

okay this is the problem how are we

going to fix it so I operate from the

position of what are the resources that

you have available to you so what are

the skills what are the um what are the

what are the assets that you have

currently and then I'm going to look at

all the different potentialities and say

okay well this one this person has more

experience with and so I think this is

the highest likelihood path for them if

this guy knows how to climb and this guy

doesn't well I'm not gonna have the guy

who doesn't know how to climb go on a

path that has some jagged rocks that

he'll have to climb up right so the path

could get them there, but which one's

the highest likelihood bet? And so this

is how I think through it. And with the

more skills you have, the more all of

these paths will work. Because if you're

a master climber and a master hiker and

an endurance runner, then you're like,

I'm pretty much good on all these paths.

Great. Then it means you have more ways

to win.

And so I want to bring this up though

from a from a different perspective when

it comes to well, how big of a peak can

I get up to with my existing skill set?

And so

one of the number one things that comes

up when I have like chromosy hotline or

I meet people in person at the workshops

and whatnot is like I don't know if my

vehicle the business that I'm in is is

sufficient for the goal that I'm trying

to accomplish, right? And so let's say

that you're like I want to get to a

million dollars a year hypothetically.

There's basically unlimited paths to

getting to a million dollars a year. And

so I'll give you a an easy visual for

this. So,

[Applause]

if you want to get up a foothill, right,

there's literally unlimited ways that

you can get up a foothill. If you want

to get up a larger hill, there's going

to be depending on how jagged the, you

know, the hill is, right? There's going

to be fewer ways potentially. If you

want to get up to Mount Everest,

I don't know if I don't know if that's

what Everest looks like. I'm going to be

real. Um, but there's probably I don't

know about Everest, but I'm sure there's

probably one or two paths that actually

get you to the summit, right? And so if

you have a $1 million year goal, then

you can get there whatever way you want.

$10 million still pretty unlimited.

Almost every business can get to $10

million a year. $100 million.

If it's enterprise value, yes, slightly

less so, but still like there's usually

an adjacent version of your business.

I'll give you an example. So if you're

if you're a brickandmortar store, you're

like, I can't get to $100 million

business. It's like, yeah, with one

store, no, but with 20 it could, right?

And so that's the idea is like it's

probably just like a tiny permutation

from the existing business could get you

there.

If your goal is to uh is to get to a a

trillion dollar company, right? Well,

then you pretty much exclude if you want

to get to Everest, you pretty much would

have to just do a global technology

product. There's just like there's

really no other way. And so depending on

the size of your goal, uh the path can

vary, but most people's goals are not a

trillion dollars. Most people goals are

like, I would like to have enough to be

free, enough to have the time that I

want, etc. Right? And so, um, I bring

this up because you've got your hill,

you've got your mountain, and you've got

Mount Everest. And, uh, unless your goal

is the trillion, then almost all of

these things that I'm about to share

with you will work in your existing

vehicle. Because so many um business

owners have this idea that they're like

you waste years on the existing business

you're in because you just don't commit

to it. It's like you're kind of like

have it as a side chick, right? Where

you're like you're like kind of dating.

You're half in half out rather than just

going all in. And if you just went all

in, you'd get to where you want to go

way faster. But you spend years not

going all in. And if you just gone all

in from day one, you'd already be there.

So if the constraint is the first thing

that we're trying to to figure out,

right? Thing one. Thing two is we want

to apply leverage to the constraint. So

we want to get more for what we put in

so that we can move through it. We can

break through that constraint faster.

The third thing that we're looking to

accomplish is compounding. We want a

business that grows on its own by just

continuing to do the same level of

activity. So fundamentally that is what

compounding is. You have the same input

and then increasing outputs over time.

same input increasing outputs.

Leverage is one time you get more for

what you put in. Compounding itself is a

form of leverage, right? But also in

that if I do one push-up and then I get

two push-ups back and I do one push-up

and I get three push-ups back, I do one

push-up and I get six push-ups back.

That is the compounding happening,

right? And so almost all businesses

should take a compounding vehicle of

some kind. So think of these as

flywheels or virtuous cycles. So an

example for real world, your reputation

is a flywheel. The more you do, the

better you get. The better you get, the

more people talk, the more people talk,

the better you do, the better you get,

the more people do. And it goes around

and around and around. Structural

virality is an example of a compounding

vehicle. So school, the whole platform

is built on you start you start a

community, you invite 200 people. Of

those 200 people, they invite they, you

know, one or two or three of those

people is going to start their own

community and then they invite 200

people, right? And so it has a

compounding has a structural virality

built into it. So it compounds, right?

Long-term stick is a is is a compounding

vehicle. Meaning if I sell 100 customers

this year and I sell 100 customers next

year and I sell 100 customers the third

year, if I kept 100% of customers, my

business would be three times bigger

year three than it is today. And many of

you um operate from the position that in

order to grow, you have to grow sales.

And that is a way to grow. It is also

the hardest way to grow. It is

significantly more valuable to find a

product or service that people don't

cancel. And then you could literally

stay the same level of marketing and

sales and just keep getting bigger every

year by default.

Network effects like an actual network.

Like if you have 100 people and they're

all cool, if you add 101st person who's

also cool, the whole network gets

better. That is a true network effect.

Different than adding more people to a

services business. To be clear, a

service of business that adds more

people in general will dilute the

service quality in a network, it

enhances the value of the network.

Facebook has a network effect. The more

people go on Facebook, the more valuable

Facebook becomes, right? You can also

have this from an integrations

perspective. The more things you work

with, if you work with a lot of

different vendors and that becomes a

value ad to a customer base like Zapier

for example, it becomes a compounding

vehicle. Sales networks are also

compounding vehicles. So, real

brokerage, Chiron, um, who's our

president, he came because you can have

a product where people never stop buying

it, which is long-term stick. Or you can

have a product where, and, this is a lot

of you guys, by the way, um, where

people don't stick for a long term

because the nature of the product you

you sell. Like selling houses isn't like

a long term. Like maybe over many many

years you buy or sell houses the same

person multiple times, but from a

business perspective, the node of

production is the agent, not the

individual houses. And so then you

think, oh, okay, I just need to get

these nodes in and the stickiness occurs

with how well I'm able to attract and

recruit brokers or agents and then what

each of them is going to represent for

me. Mortgages work the same way.

And so I want to give you a quick

warning, which is the compounding

reality, which is that everything that I

just said is how you build a really big

business.

Everything I'm going to show you the

rest of the day is just going to help

you build whatever you have to be

bigger. So, you can become wealthy

without any of that. You're just not

going to become the best. And so, I

share that because I want to talk to

younger me in the audience or older me

in the audience, whatever. Um, because I

would want to know that stuff. I would

want to be like, how do I how do I how

do I win in my market? How do I win in

my category? Those things are how you

win in your category.

But if you just want to get rich, right?

If you just want to become wealthy or

independently wealthy, you don't have to

really be the best. You just have to

like make more than it cost you to make

it and do it for a long enough time,

right? And so there are two very basic

compounding wheels that every business

can build into it with basically no

extra thought. So the first, so there's

three, sorry. First is just reputation

and referrals. We talked about that

earlier. If you do a good job, if you do

that long enough, you'll just keep

making more. That's a great thing to

focus on. The second is just trying to

get people to keep buying. Like every

business can do this. And the third is

to get people to never stop selling for

you. These are the three most basic

compounding wheels that require no tech,

no fancy thinking, no fancy strategy.

Like anyone can do these three

and I think I covered this one already.

Okay, so here's the TLDDR uh what it

looks like when it's right. There's

three elements here. We've got

constraint, we apply leverage, and then

if we design our business properly, we

unlock compounding. That is what it

looks like when it's right.

That is what we're hoping to accomplish.

This is how you scale.

So

hopefully that sets a decent groundwork

for today. So that was a little bit

clouds. Now we're going to get really

tactical. Okay, you're like that's

awesome. Um but uh I have trouble

getting leads. So what do I do now? That

is what we're going to cover now. All

right. So our objective right now is to

find your specific solution path. And so

what I'm going to do is walk you through

the decision tree for your specific

problem. All right? And so we'll start

with the obvious, match the constraint

to the solution, and then we'll take the

highest likelihood path based on your

assets, skills, and resources. This

fundamentally is what you know separates

individual attention. So like when

people come out here, the main thing is

that we can really pick, okay, based on

everything we've seen in patterns across

your industry, this bet seems to work

the best for most people and given your

background, I'd tweak it like this.

That's the value. There might be six

paths up that mountain, but we think

this path is the highest likelihood for

you. Okay,

so um some of you guys saw this, you

know, 20 hours of me taking uh Hermosi

hotline calls, um which was actually a

ton of fun for me. Um and some of the

feedback that I got was like, "Dude, you

went from like commercial refrigerating

to insurance to a restaurant to a B2B

SAS platform." like and then still was

able to drill deep on that. And so I

want to share with you kind of the

framework for doing this because what I

was doing was just working through a

mental checklist that I've just

developed over the years having just

done this with a lot of businesses. And

so uh if you're going to write something

down, this would be this would be the

thing to write down. So this is a linear

approach to constraints. I will call

these the mosy six. Okay. So the first

question that you probably heard me ask

many times if you listen to that was why

can't we do more? Like what stops us

from just doing more? Because if we

think about what

what it takes

to make more money, this is going to be

some this is going to be some some high

flutin math right here. Okay.

Sell more,

worth more.

That's it. Sell more units,

make them worth more.

That's it. And so then we just start

with the question which is like why

can't we sell more? Now sometimes the

reason you can't sell more is because

they're not worth enough. And that's one

of the problems and we'll get to that.

But fundamentally starting with this as

the question

allows us to massively simplify our

scope in terms of what we're trying to

think about um to grow the business.

The next is the next five basically

answer the question why can't we do

more? Because if the answer the first

question is well we could then stop

there go do more right? But you've got

metrics, you've got market, you've got

model, you've got money, and you've got

manpower.

And those very conveniently were M's. I

was I was not actually really trying for

that. Um I had five of the six were M's

by by default and I switched data to

metrics and then they're all all M. So

little little cute ism for you. Um but

this is it. Like this is the decision

tree. I'm actually very proud of this

because this took like an enormous

amount of time to narrow down and do in

this sequence. So when I'm asking

questions, I'm actually trying to check

through this list as fast as I can so I

can drill down to what the constraint is

so we can grow the business or

debottleneck it. And so again, the goal

here is that you want to get off at the

first exit. The point isn't like I'm

going to go through all six of these.

No, the goal is if you can just do more

today, then just do more today. Get off.

Like there's nothing else you need,

right? And so I will say this in all

bold. If you can double your company

doing one thing, why do three?

And it usually is one thing. It's just

harder because you don't know how to do

it or it takes longer than you want. So

you distract yourself with things you do

know how to do that take less time. So

you don't grow.

That's real.

It's hard. You just don't know how.

Everything that you don't know how to do

is hard. So if you can just reframe hard

to I don't know how to do it yet. And

the good news is you've got a brain in

two hands. You can figure it out. All of

a sudden you can attack things. And so I

will reframe this key point which is

that you should seek hard. And you

should seek hard because the things that

are difficult are things that other

people also have to figure out. If you

have an opportunity that literally has

nothing hard about it and it's not hard

at all for you, then it's going to be

not hard at all for everyone else and

it's going to very quickly become

saturated and then eventually not be an

opportunity anymore. Now, you can take

the the position of like, I just jump

from thing to thing to thing, which many

people do, and they never really see

long-term success because they just jump

to the easiest path and they just

restart over and over again. They never

unlock compounding. And compounding is

where all the money is made.

So when you hit that wall where you're

like, I just don't know what to do, it

usually means there's a skill that I

need to learn. When you do that, then

you can unlock it. Okay, so let's start

with the Bosey 6, right? The six M's.

Why not more? Like why can't we do more?

And I asked this as the first question

because right now if if you're going

through this, if you can do more, you

should do more for the following

reasons.

more is the highest risk adjusted return

move. If something has already worked,

more of it has a very high likelihood of

working again, right? Like repeat

successful actions. If it worked, do it

again. And do it until it stops working.

But many so many times when I say, "Hey,

why can't we double our ad spend?" It's

like, "Well, I mean, we could." It's

like, "All right, get off the phone. Go

double your ad spend. Why can't we do

twice the reachout? I mean, I guess we

could go do that." It's like, "Well, I

was thinking about starting a a personal

podcast. Why just do more? Do that when

more stops working. More is by far the

easiest bet. And I have become this this

broken record on more because more takes

work. And I think that's why people

don't want to do it. More it just takes

a unbelievable amount of work. And so

the thing that people I think also miss

out on is this is that diminishing

returns are still returns. You're still

making progress. You're still getting

better. you not you might not be getting

better at the same rate. If your first,

you know, $100,000 of ad spend gets you

10x return and your next $100,000 of ad

spend gets you a 3x return, you still

get a return. It's still better than the

stock market, right? And so I think to

myself in those is like, do I have an

absolute return? And is there something

else that has an absolute return that's

higher? Then yeah, then maybe you would

allocate the resources there. But for

me, because of risk, I'll max out a path

before I'm ever going to consider doing

other stuff because I know this works.

Why would I take the shot? And if the

hard is, oh, I have to figure out how to

do more of this thing that I already

know works, then that's a a hard I'm

very confident, very happy to to attack.

And so, this is a really interesting uh

perspective that has only come this like

this took me so long to figure out. And

so for those of you who come to the uh

come in person you might have seen this

but for those of you who haven't then uh

then this will be new for you. All right

so if we imagine this line as the

revenue of the business let's just say

this is normal normal business activity.

What I've observed in my businesses is

that when I make a change I have about a

20% decrease in performance a decrement

in performance. So, whatever we were

doing, if I say we're going to implement

this new customer success process, this

new sales motion, this new pricing,

whatever it's going to be, right? I

typically expect, especially if there's

people involved, I'm going to have a 20%

decrease. Now, if I believe this to be

true, which I do in general, again, this

isn't, you know, rule of law. This is

just rule of thumb. If I have a 20%

decrease that's going to that I have a

fixed and absolute like I know it's

going to happen, right?

What kind of bets am I willing to take

if I know I'm going to guarantee to have

a 20% cost? Well, if I've got this idea

that I'm like, I think this could give

us a 5% lift. Am I willing to stomach a

20% cost for the chance at a 5% lift?

Guaranteed negative 20 possible plus

five. No, I'll just keep living my life.

And so what ends up happening is I have

kind of like a rule of 20% as a minimum,

which is that if I'm going to guarantee

20, I got to have at least a 20%

increase for whatever thing I'm going to

implement in a business for it to be

worth the risk, for it to be worth the

work. Now, some of you might be like,

well, hey, if I still did that 20%, you

know, if I get that 5% improvement, it

would take me four or five months, and

then I'll finally be at 5% above

baseline. But let's also look at how

this works in reality.

you're going to start seeing this

improvement, right, over time, but the

thing is is that you're going to get

this really great idea over here and

then you're be like, "Oh yeah, well,

let's change this other thing about the

business and then you're going to get

another 20% decrease." And so the

business is almost always operating

below

its hypothetical capacity because you're

constantly changing things. And so I

would say one of the biggest things

that's changed about me as an

entrepreneur as I've gotten, you know,

developed more is that I just change

fewer things. And if something's going

to change, it better be worth it because

we're going to disrupt a ton of

different process flows, a ton of

different teammates. And one of the

things that you will find in general,

and this is kind of a fun one that again

you can extrapolate out, if you change

nothing about a business, it'll usually

improve by like 3% a year. If you change

nothing, right? That's why GDP in

general just grows by that amount. And

it's not because of population growth,

right? And so when we see this, I'm

like, okay, well, there's some degree of

population growth. But the point is this

is that if you just leave people alone,

they tend to get better at their jobs.

They just tend to get more efficient.

They develop the skills. They do more

repetitions, they get good. And when

that happens, the business just

improves, which is pretty sweet. And so

I've seen some of the biggest gains in

businesses sometimes when I just like

make my change and I just leave it

alone. And that's why lay some be like

just go away, go find a project, go

write another book, right? Um and so I

bring this up because I think many of

you may be guilty of this like I was for

I mean I still this is like an

addiction. you have to like, you know, I

fight it every day, right? But me

understanding that there is a fixed cost

of change with a variable upside has

dramatically reduced the number of

things that I'm willing to take the bet

on.

So,

that's my 20% minimum gain rule. Now,

this should look familiar to some of you

guys. Are you guys digging this, by the

way? that would uh I need to I need the

the approval of others in order to fill

the hole in my soul. Uh

I'm kidding. Um so if we're still back

on uh why not more, right?

Why aren't we doing

spending more money on ads? Why aren't

we making more creative? Why aren't we

adding more platforms? Right? More is

going to immediately make us more of the

core four, right?

And hopefully this should be familiar

with you guys and appreciate I just I

have a five-second delay. So I'm like I

make a point and be like I thought this

was a good point and I'll see nothing in

the chat and then I I see it. So I

appreciate you guys. Okay. So if we're

saying why can't we do more? Why can't

we spend more money on ads? Why can't we

make more creative? Why can't we make

more uh post across Instagram and Tik

Tok, right? All this stuff. Content

same. Can we spend more make more

creative? Can we also add in tech? Can

we do we need to recruit more people on

our media team in order to produce more

content? Okay, then let's do that. If we

have outreach as our primary way of

getting customers or getting affiliates,

right? We can spend more money on it. We

can put more messages out there. We can

do outreach on more platforms. We can

add more technology and we can add more

people. All of those things are very low

riskadjusted moors. And right now, if

you have that opportunity, you should do

it.

More works for astonishingly longer than

you expect.

So, I'll give you a couple reframes on

this because I think this is so

powerful. And if if you just got this in

terms of like if if I just if I just got

this through to 20% of you, I would see

today as a massive win. But you guys

have probably heard the story of the

pottery class. Teacher has two classes,

tells class one, we're going to grade

you on the person who makes the best

pot. Class two, he says, "Hey, I'm gonna

grade you on the number of pots you

make." At the end of the semester,

what's interesting about this little

story is that the class that did the

most pots not only made more pots, but

also their pots were better than the

ones that obsessed on trying to make the

best pot. Because quantity begets

quality. Doing more of stuff makes you

better at doing the stuff, which is why

I try to count in hundreds, right?

Right. I'll see someone say like, you

know, I had a couple of the Hormosi

hotlines that you guys probably heard.

Hey, uh, you know, I' I I've got seven

customers. Okay, fine. Got seven

customers. And I'm like, okay, how'd you

get the customers? Well, you know, I got

three of them from cold outreach and I

got one from attending an event and I

got, you know, one from a referral,

whatever. And it's like, okay, so of

those, there's clear input outputs, you

can go to more events. There's clear

input outputs, you can do more outreach.

Why aren't you doing more?

Well, I didn't have the data. Metrics

number one, right? It's the next it's

the next M, right? But this is why we

count in hundreds. So like I don't even

I can't even accept that we've done a

sufficient amount of anything until

we've done it a 100 times. Like a

hundred becomes your measuring stick.

You want to make content, do a hundred.

You want to you want to you want to do

outreach 100 a day. Like it just it just

it takes so much more volume. Like

that's what I want to translate. And so

right now the symptom of this if you

know if you're suffering from

insufficient volume is because things

are volatile. Things are erratic. Some

months you have two sales, some months

you have four. What's going on? The the

problem is you're not doing enough. And

so if we think about the problem of the

business as insufficient advertising. We

have not advertised enough. Then two

sales let's say over a month means that

you do x amount of advertising to get

two sales. And so if we want to get to

two sales a day, we have to do 30 times

that level of advertising

per day

to get the goal. And that takes us from

two a month to two a day. That's it. And

you're like, there's no way I could do

that kind of volume. Of course, you can.

It just takes time. But at least if

you're attacking from that perspective,

you're far more likely to achieve it.

And so, um, some of you guys have heard

this one. I think it's I'm not sure. I

can't remember if this is the story I

use in the book. Um, but old mentor of

mine, I start my gym up. Uh, don't have

enough customers. He crushed it with

flyers. He said, "Hey, put a flyer out."

I say, "Okay." I put 300 flyers out on

cars. I wait for the the phone to ring.

Phone only rings one time. It's a guy

who tells me that I dinged his Mercedes.

I immediately hung up because I was

like, "I don't have the money to fix

this." And so, I call my my my mentor

back like a couple weeks later and I

say, "Hey, put the flyers out." And he's

like, "Oh, yeah. How'd those work?" and

he's like, you know, excited and upbeat

and I was like ready to give him like a

verbal lashing of like, I did it and

your idea didn't work, right? And he

said, uh, and so I was like, yeah, I I

put out the the flyers and I didn't get

anything back. And he said, well, what

was your test size? First question he

asked. And I was like, what do you mean?

He was like, what was your test size? I

was like, why I put 300 out? And I said

it so like I was like, I put 300 out.

What are you talking about? He's like,

oh, he's like, hard to know if anything

works at 300. He's like, "We test with

5,000." And he's like, "And then once it

works, we'll do 5,000 flyers a day."

Oh, got it. 150,000 flyers a month,

not 300 one time.

And so I say this because like you you

can't imagine that someone's doing three

times your volume or five times like

there's no way. It's like in that

instance he was doing 500 times my

volume like real or 5,000 whatever the

math is there a lot right people can do

that much more volume right like we make

I don't know what the number is shy's

behind the camera I'm guessing 500 450

pieces of content a week it's a lot it's

a lot for like my content why isn't my

content work it's like dude I literally

do 20 times more 50 times more but not

only do I do 50 times more I've done it

for five years, 50 times more.

And so that is it's almost like I made

these slides. So AC that's that's our

current volume, right? And so if you're

and this is a special call out, if

you're at less than a million dollars a

year, almost guaranteed you're just not

doing enough. Like nine times out of 10,

like I I could just hang up the phone.

This is what you're just not doing

enough. You're just not doing enough.

Not even close. Sometimes there's

strategy issues. We'll get to that in a

second. But like more times than not,

you just need to do more because you

don't even know if anything's working

because you're not doing enough.

And so one of the difficulties of this

is it's not only doing like the only way

to do a tremendous amount is to do it

for a long period of time, right?

Because like if I did 450 for one week,

it wouldn't do that much. It would do

more than doing nothing, right? But if I

want to do 35,000 pieces of content, the

likelihood I can do that in a week is

low. Like it's just a lot of work,

right? Which is like why time unlocks

increasing amounts of volume. And what's

difficult about consistency, it's very

hard to observe. Which is why like when

people come and start working at

acquisition.com, you can only observe

consistency by consistently observing,

right? Like if you want to see me show

up every day at 4:00 or 5, you know, in

the morning, you've got to be here at

4:00 or 5 in the morning every day to

see that. And if you do it for a week,

you still haven't observed the

consistency of a year of years of doing

something like that. And so I bring this

up because like consistency is the

secret and it's so hard to see and you

have to be consistent to observe it.

And so if we have uh a business, which

we all do, so great. Hold on. Let me

show you what this uh what this looks

like.

So, let's say we've got this black box.

Okay.

If you think about a business in in the

simplest sense possible, you've got

advertising which is the inputs. You've

got some money-making box and then money

comes out. You turn raw attention into

money. That's the that's the machine.

Okay.

So, it would follow that the first thing

to do to make more dollars come out of

this side is just jam more here.

And people just don't do that. They're

like, "No, I would rather mess with my

black box." It's like, dude, we could

just jam more in. Just jam. Like, why

not more? Tell me. Why not more? For the

love of Pete. More. Okay. Hopefully I

hopefully I ran that one in. Um, and

what's interesting about this too is

that some of you guys are like crushing

it and don't even know it. Like I I'll

have a call where someone say like,

"Hey, you know, I'm getting I'm getting

20 to1 on my advertising and I'm

spending $1,000 a month." I'm like,

"Dude, imagine if you spent, you know, a

hundred, right?" Um, because when it

gets easy is when you go hard. What's

interesting is that it's usually the

opposite for most people. When something

really starts working, they let off the

gas. They're like, "Well, it's working."

It's like, "Dude, like you don't know

how long it's going to work for, like

this is when you lean in. This is when

you go hard."

And so my reminder here is that if the

answer uh is nothing is stopping you

from doing more, then that's it. Go do

more of what works. The goal is to get

off at the first and earliest exit here.

All right.

So, that was the first M of the Mosy 6.

Now, let's cover the second.

Yeah, Jordan French, you're getting 7x

row ads, uh, but you're only spending

2,000 a month. Why not more?

So, here are some reasons. Uh, more

isn't the answer. So, the first most

common, like these are not necessarily

the most common, but I did these in

order of like how I think through it.

So, it might be like I don't know what

my ads I don't know what I'm spending

and I don't know what I'm making. It's

like we'll do we can't do anything. like

we can't do more because you don't know

if more is work if any is working right

so it's like let's get our numbers this

where the metrics comes in right uh and

so this is where data knowing becomes

the priorities that means you stop what

you're doing you maintain the you know

obviously keep making the sausage but

the rest of your resources go towards we

have to track we have to know how many

people are walking in the door we have

to know how many phone calls are coming

in we have to know how many people are

buying we have to start tracking the

basic metrics of the business

and I I say this so heavy-handedly right

but I also want to balance it with a

very important point which is that you

have to balance it with your gut meaning

you will never have complete data like

this is a like not never like you will

have okay you will never have complete

data on everything in your business but

you will have some data and so the game

of entrepreneurship is oftentimes making

decisions with incomplete data but at

least you can get directional well when

we spend more money on ads we make more

money every month and when we don't

spend money on ads we don't make. I

didn't track anything. I don't know what

the rorowaz is, right? Like the more

specific we can be, the more surgical we

can be in terms of juicing the hell out

of it. But the at the simplest level, if

we spend money on ads, then we make

more. Great. Let's try and do more of

that. It's a decent bet, right? And so

the next framework is, okay, I think if

this is directionally correct, is it

reversible or irreversible? Is me

spending money on ads going to be a

reversible decision? Yeah, I could just

stop spending money on ads. It's not a

big deal. Now if I spend my life savings

on it and I have no backup that would be

an irreversible decision, right? So this

is how we think through bets, right?

And so I think this is super important

because many many businesses are

actually not limited by anything but the

entrepreneurs's ability to decide

like really want you to take this in and

again this took me like not just like a

couple years but like probably over a

decade to figure out which is the speed

of my business is proportional to my

speed of my ability to make decisions.

And so fundamentally well then what is a

decision? Well, once we make a decision,

we begin to allocate a resource. And so

the speed of the business is based on

your speed of your ability to allocate

resources, which is going to reverse

back into your ability to decide, right?

And so that decision-m

your ability to be definitive, like you

should decide very quickly on things

that are reversible. It's not the end of

the world. And I think what happens,

especially as a business gets a little

bit bigger, you have more decision

makers, people start to treat all

decisions as though they are

irreversible because people hold other

people accountable for mistakes. And I

think this is what creates a culture of

fear. And so it's like you have I mean

there's a very long time that Facebook,

one of Facebook's core values was uh

move fast and break stuff. is that that

was a value of theirs. Like we have to

be willing to just ship it and see what

happens and if it if it breaks we can we

can roll it back. And

the speed of decisions and here's where

it gets here's where it gets nasty is

typically proportional to the quality

and quantity of data because when you

have very clear data speed of decision

goes up because the data is very clear.

It paints a clear picture. If you had

all the data you could make the decision

immediately with high confidence. And so

this is where data although it feels

like a very boring subject allows you to

move the business faster because it

allows you to decide faster which allows

you to allocate resources faster which

allows you to get returns faster. That's

the cycle.

And so if you can't do more because you

don't know your numbers then knowing

your numbers becomes priority number

one.

And so one of the things that I I like

to frame for like when the you know the

big baller business owners come out and

they spend $135,000 to to to to hang out

with me for a day. This is kind of

light. I do a lot of work but is that

it's like I provide decisions as a

service like what are the big juicy

decisions that we need to make and let's

make them so that you can feel confident

in allocating the resources and going.

So think about that like your job the

job to be done the job you're hired to

do as the entrepreneur is that you

provide decisions as a service to the

business. The higher up you go it's

almost entirely your job is just to make

good decisions.

So, at the at the most tactical level

here, make sure you have the basics

down. So, lead, scheduled, show, sales,

and then the math ones, like those are

all like if you don't know how to do

those, like those you can Google those.

They're not hard to figure out. And then

CAC, lifetime gross profit, revenue, uh,

profit, and then cash flow, right? These

are the things that you should know how

to do. Now if you should have the lost

chapters. Um

these are the back of nacket methods for

these are just leads is you just count

in your CRM right schedules you can

literally just count shows you can also

count and then just do a percentages you

know scheduled over leads gives you how

many people what your schedule rate is

your shows over scheduled gives you your

show rate your sales over your shows

gives you your close rate right um very

straightforward your cost to car

customer I have entire chapters on CAC

lifetime gross profit and payback period

inside of the lost chapter book. They're

also inside the money models course.

Okay, so uh which is if those of you who

are in the um in the school group, uh

it's there and you can also see it on my

site. Okay, so it's it's free. All

right, just it's in there. Okay, so we

want to do more and if we can do more,

we do more. If we can't do more, the

first reason that we might not do more

is because we just don't have the

metrics. If you don't have the metrics,

then go get the metrics. That's your

that's your exit exit ramp. Okay, the

next one is gonna be market. So, this

one's interesting.

So, we say, "Hey, I can't do more

because my market is too small." And

that may be true. It's probably not, but

it may be true. So, if you're a local

business, it's possible. Uh, I talked to

somebody on the Rosie hotline during the

live. I don't know if you guys remember

this, or some of you guys might have

been there. Um he had I think it was 140

people in his town and he had a local

business that was a lounge.

Yeah. Like you're not like you're not

going to scale that to a billion

dollars. Like there's just there's

literally no way. I mean literally the

aggregate economy of the local area is

140 people's salary times their salary

or like people times the salary. That's

it. That's if you that's if 100% of

people will give you 100% of their

money. That's it. There's no more. You

can't do anything else. Just like the

GDP of the world is limited by 8 point

whatever billion people that that exists

like you can't you can't sell more than

that that's it right um so uh also kind

of fun fact like you can you can fact

check because I heard somebody the other

day one of these tech founders who was

like you know uh attention on is

compounding at an exponential rate and I

thought about that and I was like that's

not true there's eight billion people

there's 24 hours that's it that's max

attention that's all there is like it

can't compound an exponential rate

there's eight billion of us there's

There's only so many eyeballs and

earballs. That's it. And so there are

there are real maximums. However,

they're typically so much higher than

you think they are. And so if you were

local, it's possible. If you're anything

else, if you sell nationally, you sell

internationally, you sell online, it's

super unlikely that you've saturated

your quote market.

And also to the same degree, if you are

in a local business, you could just go

to another market, which is fine. But if

you're like, I've maxed out. I I'm in,

you know, a town of 400 people in

Kentucky and I have I have a gym. Yeah.

Well, you know, you if you have all 400

people, like you you got it, you know,

like now we got to do another one,

right? And so I I would encourage you to

Google industry revenue because it's a

great way to humble yourself when you're

like, you know what, uh I think I've

got, you know, we're doing $2 million a

year and I think I've saturated the

niche of of uh chiropractor agencies,

right? It's like, no, you haven't. And

what's crazy about this is that this is

one of the most commonly stated reasons

that I get for why someone can't grow.

And it's also one of the least correct

and least commonly true, right? Like if

you're actually, you know what's funny

is that the business this happens so

frequently. It's kind of funny. The the

businesses that are at the like I have

140 people in my market, I they almost

never say that they're the ones that

have a market that's too small. It's the

people are like, I'm going after weight

loss and I'm making $5 million a year

and I think I've capped it. I'm like, I

don't know. It's a 70 billion dollar

industry like probably haven't right and

so I'll tell you a little story about I

had this belief broken for me too which

was um that's why it's so nefarious

because it's so easy it just like it

just protects your ego so well just

gives you this big warm hug and it's

like dude it's just the market's too

small you're already winner like you've

got it all man you've got it all like no

you can't make anymore because you just

outside circumstances it's not you right

so uh you know Jim Mo was capped at I

can't remember what it was but we were

at 30ish And um I had somebody reach out

who was a sales guy um and he was

telling me that he worked at a different

gym company that I'd never heard of

before. And I was like never even heard

of these guys. And so I said, "Well, you

know, how big's your, you know, outbound

team that you work on?" And I think he

said 40 or 50 guys, whatever it was, a

decent amount at the time. And I was

like, "Whoa, 40 or 50 guys doing

outbound?" I was like, "Well, what's

revenue for you guys?" And he said,

"About 10 million a month." And I was I

was like floored. Like I if I had

glasses, I would have taken the glasses

and thrown on, but I don't wear glasses.

But if I did, I would have thrown them

on the floor. And so the thing is is

that that that story though completely

shifted my perspective of how many more

gyms there were available out there that

I was just only reaching on one channel.

I maybe maybe I tapped a channel, maybe

probably not, but maybe one element of

one channel, but there's so many other

channels, right? And so if you've been

following my stuff for a while, you've

seen this before, but it's, you know,

sometimes we need to be reminded more

than we need to be taught. All right? Is

that like people think it's the thing on

the left, right? I'm the only one

marketing to, you know, vegan

powerlifters on on on on Facebook,

right? And then somebody else comes in

and says, I also help vegan

powerlifters. You're like, what the

hell? Now we're splitting this pie in

half. And then two other people come in

and you're like, oh, what the heck, man?

Now it's I've got a quarter of the

market. When the reality is that it

looks much more like the image on the

right, which is most people think uh,

you know, they've got their one method,

one platform, one medium, which is fine

when you're starting out, but you

haven't capped you haven't capped your

market. You might have kept one platform

maybe, probably not. Maybe, probably

not, right? But to the right, right, is

what it really is. Is that you've only

got one method of doing this, which is

you post content. You're only doing on

one platform, okay? And you've only got

one medium on that platform. So, you've

got this tiny itty bitty bitty slice of

of a tiny of even bigger pie of another

of a table full of pies, right? There's

so much traffic. And this is something

that took me a very because it's a

belief thing. It's a it's a declarative

view of the world. Like if you if you

limit your view of how much traffic you

think there is, there just isn't. Like

some of you guys saw a clip that I had

of me walking um on the strip and some

guys comes up and says, "Hey, you know,

I love your stuff, whatever." And I was

like, "Oh, thanks, man. Come to the book

launch." And he was like, "What's that?"

I was like, "The book launch, the book

that I'm holding, all these green guys

behind me holding all these these green

madness." He's like, "Oh, sorry. I'm not

going to be in town." I was like, "It's

virtual. Like, it's all good." And he's

like, "Okay, I'll check it out." Right?

And then he he walks off. And so it's

just this this this great reminder. And

while I was on the trip, I probably had

like five or six people who like had

seen my stuff while I was walking there.

I think one of them knew the book launch

was coming, maybe. And so again, it's

like no one knows you exist. No one. No

one knows you exist. There's so much

traffic. There's so many people. It's

hard to comprehend what 8 billion is.

It's a lot.

So,

here's some actions for smaller business

or local businesses because you're

probably the only ones that could

potentially be affected by this. One is

you can consider expanding your existing

location. Knock down a wall, see if you

can lease the place next door. You can

also make it more efficient. So, within

your four walls, increase the delivery

ratio. I'll talk more about that uh a

little later. Um, but you can increase

the ratio. If you had a restaurant, you

could tighten the tables up. You could

add more chairs. Like, you could

experiment with times. Like, these are

things that can increase how much

throughput you get. Um, you can expand

channels. So, the only exception that

I've made to my one platform, one avatar

um one offer uh rule is for local

businesses. It's the only exception that

I'll give. And the main reason there is

just because like if you are in a local

market and you are, you know, you've got

10,000 people, they're not all going to

be on Meta. They're not all going to be

on, you know, Google. So, you might have

to do some direct mail and some Google

ads and some radio ads and some, etc.,

etc. And so in a local market, it's one

of the only times I'm like, it's okay to

have more than one advertising method.

You could also just do the obvious,

which is like, you're right, that market

is too small, and so we need to save up

our shekels and open up another

location, which is fine, right? Now,

another way you can do it is you can

expand uh market segment. So, we were

only doing moms, but now we do moms and

dads. Okay? Again, these are for local

businesses. The last one I would say is

a uh I would hardcore reserve because

that's a significant change in strategy.

And if the business is working and this

is actually the true limiter, the true

constraint, then I'd rather just say,

"Cool, this thing's working. It's

profitable. Let's just repeat it."

So,

why can't we do more? If you can do

more, do it. If you can't do more

because you don't know your metrics,

then go get your metrics. If you have

your metrics and you're like, I just

think that based on these metrics, uh,

the market's the issue. uh super super

super super super super super super

super unlikely,

but if you're in a tiny tiny tiny local

market, possible.

So then we get to model. Okay, so I've

got all these things. So my market's not

too small. I do have my numbers and I

can't do more. Why not?

And this actually happens a fair amount,

which is uh someone says, "I'm just not

sure if it's worth it. I'm not sure if

this is going to help me hit my

overarching goals. Like I started this

business a few years ago and like you

know, it's just not what I thought it

was going to be.

I'm not in love with it anymore.

You know the words.

So, I'll tell you a couple stories here

to to reframe this. So, Kale, who's GM

of or CEO, excuse me, of Gym Launch, now

it's been four years since we sold. Um,

he was actually like the f one of the

first 10 people that actually got sold

as a client into into the business. And

I remember having this conversation with

him where I think at the time, I don't

remember. I think it was it was like

$10,000 or something to start. And he

said, "I would totally do this, but I

just paid $10,000 to this other guy to

help me start an online fitness

business." And his gym was doing $4,000

a month. They were losing money every

month. And he had a one-year-old and a

kid on the way or two-year-old and kid

on the way. Uh, and he's working a job 5

to nine, sorry, 9 to5 during the day and

then working at the gym 5 am to 9 and

then uh um 5:00 pm to 900 pm. So, he's

just literally working all hours. He's

awake. And so, I said, "Hey, man. Um,

if this thing that I'm going to show you

made you the amount of money that you

want, would you even do this fit online

fitness thing?" And he was like, "No, I

would quit it in a second." And so, the

thing is is like sometimes there's

nothing wrong with the model at all.

It's like you just need to like like

like sorry, when I say model, I mean

like, "Oh, I want to go from insurance

into into you know, wealth management. I

want to go from uh you know making

content to starting a social media

marketing agency. Changing the business

you're in is just a gigantic risk and

it's extremely likely that you'll just

plateau at the exact same spot you

currently are with your current skill

level. And so

if we could just get your current

business to make the amount of money you

want, would you would you like it more?

And a lot of times the answer to that

question is yes. And so let's solve

that. Right? And so, um, I gave the

example earlier about like $1 million,

$10 million, $100 million, like there

for sure will be limits to, uh, how big

one specific business. And I typically

use these local businesses as the

example because anything that's online

can pretty much just reach so much more.

There's more complexity. There's more

there's more skills that you have to

learn, but proportionally, you also just

you can just you have the whole

internet. You have the whole world,

right? Um, but if you build a

restaurant, you will not be able to make

as much money as if you have a global AI

company. you're just not, right? If

you're like, well, I want to be a

trillionaire, a restaurant's not going

to be the path. And so, in that

instance, you should probably, if you're

like, I will do like, if I don't do

this, I will be really sad and and die,

then might as well just not be really

sad and die and just be really happy and

then die. right now. Um, that being

said, there's a really good perspective

on this that I'd like to offer for some

of you guys,

which is that sometimes the reason the

business you have can't grow is because

you built it wrong. But there's nothing

inherently wrong with like the industry

that you're in, per se. And so,

we do this little exercise. Uh, it's

like this pasta exercise. Basically, you

build a building as fast as you can. I

think you got 10 minutes, whatever. And

so once you finish building the

building, everybody kind of teams up and

then they they have, you know, different

level things, right? Different level

pasta towers. And so once they build the

pasta towers, the next natural question

is, okay, if you'd had a full day, would

you build it differently? And the answer

is usually yes. If you had a full day,

do you think you could build a build a

bigger building? The answer is yes. Now

you have your 10 minute 10-minute tall

tower. If I need you to triple it, could

you? And the answer is usually no.

Because when you build things

fast in the beginning, it doesn't mean

you built them for scale. And so you

have to build things differently. You

have to just like if you want to have a

hundredstory building, you have to drill

down stories to build the foundation,

right? So like the deeper the foundation

is, the higher the the building can go.

But if you compared a a two-story house

to a 100 store building, you would get

two stories above the ground before they

even finish the foundation when they're

down five stories right in the big

building. But the thing is is that in

the beginning, this guy out the gate is

bragging to the guy who's down in the

pit going negative to try and build the

foundation for this business, saying

like look how much faster I grew. But

then this guy just blows past them. And

so it it doesn't take into account how

much time it takes to build something

big. Because the fastest way, and you'll

write this down, the fastest way to get

to $10 million a year is not the fastest

way to get to a hundred.

Like this is why like I kept I hit this

wall with gym launch at 30 to $40

million a year. Like I built I didn't

build it to get to 100. I just built it

to not be poor. Like that was you know

what I mean? Like that like it was just

like oh this worked for me, right? Um

but I wasn't like strategic about how I

was building it. And if I said oh I have

to build this thing into a $100 million

business, I would have built it

differently. But I didn't know that when

I started.

And so to take the the absolute extreme

example on this with the building

analogy, sorry, with the uh with the

restaurant analogy I had earlier,

restaurants versus AI. The man who owns

my building, Mr. Panda, as I refer to

him, he owns Panda Express. He owns all

2600 locations. He owns the real estate

in the dirt for many of them. And he's

been selling Kungpow chicken for 45

years.

Most people would look at that and said,

"Hey, I own a I own a Chinese, you know,

fast casual restaurant." Most people

would say, "I don't know if that's the

best opportunity vehicle." Well, if you

do anything long enough, you get pretty

good. And he's gotten pretty darn good.

One of the best in the world at Kungpow

and General S's chicken, right? Little

uh little What's the one? Steak and

broccoli, right? Um little spicy spicy

pineapple. Anyways, uh I think it's

called Sweet Fire. Anyway, they've got

some good stuff. But the point is this

is that most of the times you can reach

the goals you have if you just expand

the timeline. And people wildly

underestimate the value of consistently

making progress towards a goal by

building the correct foundation. That is

the point I'm trying to make is that

your business might not have anything

flawed except for your timelines and

your expectations.

Because most of us aren't trying to

build the next trillion dollar AI

company. Most of us would be okay with a

$10 million business or a $100 million

business. Most people. And if that is

you, then all the things that I'm going

to share would apply to you and work for

you. You just need to change the

expectations around it. You can have

arguably the the hardest business to

scale, a brick-and-mortar restaurant,

and still become a decad billionaire

like Mr. Panda.

It just took him 45 years.

And so, how do you do something like

this? Like, how do you actually take

that little restaurant and build it into

Mr. Panda? Right? So, this is an

exercise that I do uh with some of the

folks that that that have come out in

person, but I like I like envisioning it

like this. So, let's say you've got

company A and then you've got company B.

Okay? And let's say year one, company A

sells 100 customers. Okay? But then they

lose 100 customers.

Year two, they sell 200 customers and

then they lose 200 customers.

Okay,

this should say year one, but you get

the idea. Okay, then year three, we've

got 300 customers and then they lose 300

customers.

So, if we were to look at this company,

we' be like, "Oh man, they're, you know,

they tripled in that same period of

time. Not bad." Now, company B, let's

say they sell 100 customers year one,

but then they lose zero. And then year

two,

they sell a 100 again, but then they

lose zero. But they still have the other

hundred from year one. So add this

together, right? They lose zero. So now

they have 200 customers. And then year

three,

they sell 100 again.

We add these together, they lose zero

again, and now they have 300 customers.

So both of these businesses have 300

customers. sold in revenue that year.

But which business would you rather

have?

Obviously, this one, this lower one, the

one that doesn't lose customers and has

lower sales velocity, sold us third as

many customers as the other one did.

Many of you are trying to build your

business like this, which is if I just

learn how to market better, I'll make

more money. And the answer is what I

originally said. If you just learn how

to market and sell, you can for sure

make money. You can for sure feed

yourself. You can become independently

wealthy. You can. you're just not going

to build big stuff.

I'm just being real. This took me a long

time to learn as somebody who's pretty

good at marketing and sales. All right?

Instead, we have to ask the question,

how do we build something that

compounds? Right? And one of the key

ways of compounding is reputation and

not losing customers,

right? And so here we have our get 100,

lose none. Get a 100, lose none, now we

have 200. Get 100, lose none, now we

have 300. And this company, this 300,

both these make the same revenue. This

one, not only is it a better business to

own because if you didn't sell any

customers for the rest of your life,

you'd still make money. Great. But the

other portion of this is that this one's

significantly more profitable because I

can promise you to acquire the first 100

customers compared to acquiring 300

customers is going to cost less. But not

only that, this business needed to

acquire 600 customers over that same

three-year period. So they had to

acquire twice as many customers. And

that additional cost of customers is

just scooped out of the bottom line.

And these incremental 300 are just

dropping probably disproportionately to

the bottom line because the cost of

delivery on existing customers is almost

always significantly lower. And this one

because they probably do a good job

probably has a decent amount of these

hundred that are probably word of mouth

or free. And so maybe their cost to

acquire might be only 50 of these

hundred or 25 of these hundred. And so

now we're comparing 300 uh customers

that have to get paid to acquire versus

maybe 25

a tenth and all of that extra drops

straight to the bottom line. This is how

you can really build a compounding

vehicle. This is how when Mr. Panda gets

interviewed on the rarity videos he

does. He says your customers absolutely

love your product. And if they do then

they will come back and buy again.

So we covered more. We covered metrics.

We covered market. We covered model. All

right. Why can't we do more? because I

don't have the numbers, because my

market's too small, because I'm not sure

if it's worth it. Okay, now we get into

the tactical We can't market more

because we don't have the money, right?

We can't afford to. All right, fair

enough. So, let me actually write these.

Actually, I brought this over here so

that we could keep track of it. So,

we've got more,

we've got metrics,

Now, this one's got four kind of like

subportions here. So, I'm gonna I'm

gonna make this look hopefully it'll

make sense. Okay.

All right. Is it because leads cost too

much?

In which case, we need better

advertising. But how do you know it's

that leads cost too much or that you

don't make enough from them? We'll get

to that in a second. But when I'm asking

the questions of like trying to

deconstrain the business, I'm running

through this. I'm like, "Why can't you

do more? I don't have my metrics. Go do

that. Call me later." Okay. Uh, my

market is too small. Is it really too

small? Is it actually too small? Oh,

you're just need to reframe. Okay, cool.

Let's keep going. Great. Your model.

Well, have you expanded your time

horizon? Is there another version of the

business that looks like yours that is

20 times as big? Yes. Okay, then it's

your mindset. It's not the model. Great.

Okay, now we're into the money stuff.

So, is it because your leads cost too

much or you don't make enough from them?

If the leads cost too much, you need

better advertising, right? Or do you

close too few of them, which would mean

that you need better sales?

or do you not make enough per customer

which means you increase lifetime gross

profit

or you make enough but you make it too

slowly. That's a cash flow issue.

So you'll also notice hopefully that

these correspond to leads, the lead

systems, right? Maybe you guys can point

over here. Um ads, hooks, branding,

marketing machine. All of this is to

help with people who need better

advertising. You need cheaper leads. If

you're like, you know, it's a it's a

sales issue. It's like, okay, we need to

nurture better. We need to close better.

We need to add more proof into our

process. If it's delivery, then it's

like, okay, that means we have to

increase lifetime gross profit per

person, right? Which is why we have

these playbooks. If it's, oh, I need to

accelerate profit or cash flow in the

business, then we have uh the the profit

playbooks. Okay? So, the question now

comes down to, and to be fair for

everybody who's watching this, I bet you

80% of you are in this bucket, but I

have to still cover these. actually

probably 30% of you maybe 30 30ish% are

probably here probably got like 10 to

15ish here and then this is probably the

rest or many many of the rest of you

there's still one more after this but

I made all those numbers up but that's a

rough estimation okay

so the way to know is that you start

with CAC all right so CAC cost you a

customer is it around the industry

average and so I I'll give you an an

observation that I had from Allen uh

which is our software company um across

different agencies. And so two

interesting tidbits. One is that the

cost to acquire customers between

different agencies with different

methods honestly typically pretty

similar, right? I mean maybe within one

or two of each other, but like not a 10x

difference, right? Unless you have a

brand, but for anybody who just had like

didn't have a brand, it was just

generically acquire customers via

outreach or via, you know, paid ads or

something like that, like that like

their cost to acquire customer was not

that different. And it was cool for me

to see and I was like, "Wow, it was

actually a big relief breaker." So I'll

hopefully try and translate that to you.

So

how far off industry average are we?

Because the difference between the the

the the agencies that were doing, you

know, 20x another agency was typically

never their CAC. It was typically other

stuff. Meaning they kept their customers

longer. Their lifetime value stacked.

They had a better model so people didn't

churn out.

All right.

And so if CAC is industry average, so we

start there, start with CAC

and you can't afford leads. So if you're

average and you can't afford leads, you

have an LTV problem, right? So if it

cost you the same amount as everybody

else, but you can't afford to do it,

it's because they make more money than

you. So they can bid you out of the

marketplace. So if CAC average and

you're not making money, your LTV is too

low. Hopefully this answers the question

for some of you guys. That might be your

issue. I'm going to give you tacticals

on how to solve it in a second, but

that's how it works. Okay, so you don't

make enough on customers. We'll solve

this in a second, but I want you to at

least know which which constraint you're

dealing with. Now, if CAC is average and

profit is good, but you can't spend more

because of cash flow, meaning this is

super common in like home services where

it's like, oh, we get paid on net 90.

So, it's like our profit is good. It's

just that we have to wait for the the

cash to come in. So, we have we're cash

flow constrained even though we have

profit as a business. All right? We get

paid net 90 or we get, you know, $100 a

month for years, but it cost us $1,000

to get a customer. That's a cash flow

constraint. This is super common with

software companies, too, right? So, you

make a profit, but it's too slow. So,

the solutions are we need to accelerate

cash flow. And I'll show you how to do

that in a second. All right. I just want

to make sure that we're picking the

right problem.

So the next is CAC is too high.

So if CAC is too high, it's one of two

different problems because they're

multiplicative. All right? So it's

either your sales your leads cost too

much or your sales sucks or both. So if

CAC is too high, it cost you too much to

get customers. Either your advertising

blows or you suck at sales or both.

Okay?

So improvements to either of those

because they're multiplicative could

solve the problem. But we want to work

on the one with the weakest link, aka

the biggest bang for the buck. And so

let's say we're looking at this. Let's

say you're closing 25% of sales, you

know, 25% of conversations. You've got a

very low opt-in rate. Well, likely the

opt-in rate would be the constraint,

which would mean leads are costing too

much. So we can fix that one with better

advertising, conversion optimization,

etc.

Now, let's say that our sales you're

closing 5% of people get on the phone

with. Well, then you probably have a

sales issue, not necessarily a leads

issue.

And so, then you're closing too few. So,

you would be this one, number two. And

so, I I I walk through these so that you

can get is it a leads issue, is it a

sales issue, is it an LTV issue, or is

it a uh cash flow profit issue?

And so this is where pattern matching

transparently becomes valuable because

like this is the difference between me

like just saying this one to many to you

guys versus me being on the phone or you

know me talking to you in person or

answering the question you know in the

scale advisory group is that like that's

where pattern matching is important.

Like I could be like well I know

plumbing should never cost more than

this so you're missing all of it here

right like I can just tell that quickly.

Um but this at least should give you the

decision-making variables of how to

think through it. All right. Now, if

you're like, "Okay, Alex, well, I

understand where my specific constraint

is. Um, then we have these four

potentialities. Lead, sales, profit,

cash flow." Okay. And by profit, it's

LTV, but I named it profit for this

because you're not making enough per

customer. Um, let's actually solve them.

Okay? So, let's say that we we have CAC

is too high because our sales are fine,

but leads is the constraint, right? So,

you close sales, but you can't get

enough leads. So, how do we solve this?

So, you need better ads. And remember

the the multiple paths up the mountain.

This is an exact example of multiple

paths up the mountain. What I'm about to

go through. See if I can find my

multiple paths up the mountain. I think

this is it. Well, that was my Everest

one. There's still multiple paths

though.

Is this it? Yeah, here we go.

Okay, this is actually this exact

example, right? So leads is what we need

to solve. And so we can have better ads,

right? Which we would do with the go to

ads playbook. Or for those of you who

picked up the ads handbook, you can have

that too, right? Hooks would also

improve this as well. You can make

better content using hooks and branding.

You could do that too. That would

cheapen the amount of leads you get. If

if you're currently not making content,

you started making content, you'd get

cheaper leads, especially if you're

already running ads. Uh better

messaging. So this would be the

branding, like what is contained inside

of the advertising. What are the

associations and the pairings that you

want to make?

You could improve the offer, which is

the offer, the entire premise of the

offer's book, right? You could add in a

money model mechanism. You could take

your existing offer and then make it a

giveaway. You could make it a win your

money back. You could make it a decoy

offer. You could make it a pay less now

or pay more later offer, right? You

could make any of those with your

existing thing and you would get more

leads.

And this one's a bit of a strategy one

that's kind of between sales and LTV.

It's it's a little bit more strategic,

which is like maybe you have a you don't

have enough leads because you're going

after the wrong people. And if you were

clearer on the avatar that you're going

for, you would increase the quality of

your leads and then by extension, you

end up making more. So, let me tell you

guys a fun little fact. So, at this

launch that just happened, uh we had

different campaign objectives for ads.

So, it' be like this is a campaign

that's optimized for leads. This is a

campaign that's optimized for uh return

on ad spend, meaning it's going to

optimize for people who are going to

pre-order the book. Okay, really

interesting. So, our cost per lead on

our our rorowaz driven campaigns,

basically the ones that are optimizing

to get more book buyers,

the cost per lead was like two or three

times higher than the campaigns that

were optimized for leads. That sound

that kind of makes sense. Okay, well,

this is optimized to get the most leads.

This is optimized to get the most sales.

But when you get sales, you also get

leads. But the lead cost on those leads

was like three times higher. But here's

where it gets really interesting.

The actual return on our rorowaz driven

campaigns, even though they cost the

leads cost three times higher or more

for those campaigns, we still had four

times the return from that campaign

compared to the lead generating

campaign. And so the reason I bring this

up is because

sometimes you have this this option

where it's like, well, I've got my

existing customer base that, you know, I

I can get uh, you know, cost me $100 to

get a customer and I make uh, you know,

$500 from the customer. Or there's an

avatar that costs you $500 to get that

you make $10,000 from.

Five times more expensive, right? from

here to here, five times the price.

But

this is a 20x and this is a 5x. So you

have a 4x difference in relative return.

And so sometime the most valuable thing

you can do is just decide to not sell to

a specific customer base and then go up

market to better avatars. So, I have a

great chapter in um lost chapters, your

first avatar, which is really good. Um

that covers this and also the entire

lifetime value playbook.

So, those are the those are the ways up

the mountain. Now, if I'm talking to you

and you're like, well, which one should

I do? We do the one that we believe we

have the highest likelihood of

succeeding with given our existing

resources and skills. So, if we're

looking back at this list, if you're

somebody who's run ads before but never

made content, then I probably say like,

let's just stick with ads. If you're

really good at content, I wouldn't be

like, "Oh, let's necessarily do ads as

our first bet. Can we make more or

better content in order to do it?" Um,

you know, offers. Now, the existing

thing there, I'd be like, "Okay, well,

is there a way that we don't have to

change your services, but just recombine

it in a way that makes it more

appetizing?" That's where the money

models come in and the mechanisms that

just make whatever you're currently

doing just better or more sexy.

Okay.

So that's

that's if leads cost uh too much. We

solve that. Great. So now we have lead

flow coming in. And so you deal with the

issue of well, I've got all this junk,

right? I got all these leads coming in,

but we can't close them, right? And so

the ways that we think through solving

this is like number one, better

conversion optimization on the page. So

look at the page flows, look at the

headlines, look at the sub headlines,

the lead magnet itself. if you don't

have a lead magnet. Sometimes that like

I would say probably 10% of the time I I

I go do a page takedown or tear down and

I find out that their entire page says

request invoice or request a quote or

just like book a strategy call.

Typically not a very compelling thing,

right? It'll increase the lead quality,

but you're missing out on a lot of sales

by not making the thing beforehand

better, right? Like why do I have the

scaling road map? Because it's a much

broader lead magnet. People who are

interested in scaling their business are

probably going to get a scaling road

map. If you're interested in getting a

scaling road map, you're likely to want

to come to a scaling workshop, right?

And then we can also grade them based on

the level that they select for the

scaling road map. So it also qualifies

leads for me. Right? Now the next thing

we can do is we can improve the sales

process. So I uh so obviously we have

lead nurture here. We have proof which

you can uh basically embed throughout

the process and you can build a VSSL.

So, some of you are like, "What's a

VSSL?" So, VSSL is something that so

many of you probably need to install

inside of your businesses. If I have

time later today, maybe I'll go over it.

But

should I do it now?

[Music]

All right. I'm going to give you the

8020 of this. All right. So, before you

have a sales call, any call you have,

there should always be a video that

precedes it. If you have a two call

close, there'll be two videos. If you

have a three call closer, there' be

three videos. All right, this is what a

VSSL does. The function of a VSSL is to

take all of the stuff that your sales

team would repeat over and over again on

a call and then just preload that with

the customer so that when you talk to

the customer, they already have all the

information. And then what the

salesperson is doing is actually just

making sure that they can make the

decision. They're helping them

personalize it to get them to close. All

right, so let's do it over here. Let's

do it over here.

Okay.

Your wish is my command. All right. So,

so you go proof,

promise. This is not in order. Sorry.

Pain,

plan,

picture. Okay. So, we have our five Ps.

Now, you're like, that's really similar

to what a YouTube video is. Yep. That's

because that's what gets attention and

gets people to stay. So, hey, uh, you

know, I can help you get appointments

using LinkedIn. If you're tired of

having people who are lowquality and

having them not show up and having to

come up with new creative and be the

face of your brand, um, I can help you

out and here's proof of 10 other

companies that are just like yours that

I've helped do it. And so, this is the

one, two, three-step process I'm going

to walk you through in this video and I

give you a nice visual that tells you

where you're at. So, that's how I would

intro this thing, right? And so then for

each of these, we're basically just

going to have a a belief breaking

framework. So it's going to be like

their FAQ number one. So consider this

as like the the biggest objections,

right? You're going to have number one,

number two,

number three, whatever, number four. You

can even go up to number five, right?

Whatever. I don't I don't usually go

over five. Try to stick to, you know,

three to five in terms of my my things,

right? And so for each of these, we want

to say uh what they think,

why it's wrong,

what's right,

proof.

So, a lot of people don't want to travel

to Vegas, but actually traveling to

Vegas is an awesome thing because when

you get in the sky, you actually get

some perspective literally physically on

the business. And you need to have that

time and that separation in order to

understand like let the dust settle in

your mind and so you can get really

strategic about what you're going to

implement. So, that's me saying what's

wrong, what's right in one line. And

here's proof. Here's John, Mary, and

Jacob who all said that actually getting

space away from their business was good

because they got away from the chaos.

They literally got physical space. They

could take their notes. They come with

intention. they could leave with

intention and end up being one of the

most valuable things they did and they

loved the city. Great. And they got a

memory for it that if they had just

gotten the memory it would have been

worth it on its own. So we take

something that they thought was going to

be I don't want to travel and turn it

into a actually this is a really good

thing. And so we just go through each of

the things that we would have and then

those are going to be the things that

most people object to. Why don't why

don't I want to buy, right? And then

we're going to have our CTA that has

some sort of the offer installed. Now,

sometimes you can do you can embed the

offer into each of these pieces like

each component of the offer can overcome

one of the obstacles. That works too.

Um, but if you're CTA offer and say,

"Hey, go book a call, go take the next

action, whatever." Now, if you have like

an in-person meeting, if you're for the

those you're in person, which is like I

think like 30% of you guys, um you can

just send this before they actually meet

with the sales person in person and you

can tell inside of the video, give a

keyword that's like um say what color

shirt you want, say what size shirt you

want, say tell me the dynamics of your

deck, tell me how many years old the

business, your your house is, whatever,

right? And the reason you have them send

that back is that way you actually know

they watch the video. Right now, if

you're in that kind of lead nurture

setting, let me give you the scripting

for this. You would say something like,

uh, hey, we like to send this video so

that uh, it has all the graphs and the

charts and the stats. And honestly, it's

way better than us trying to just like

do it offhand. Um, would you rather

watch that with us or on your own? Now,

no one's like, I don't want to watch

this with you, right? They're like, I'll

watch it on my own. So, then they told

you they want to watch it on their own,

which is what you want them to do, too.

But now, that way you set the precedent

so that if they don't watch it, you be

like, "Oh, I didn't get your text. Um,

you want to go pop it up and I'll uh

I'll be right back and I'll grab a cup

of coffee, whatever, and then uh we can

rock and roll." That way you have full

context on this so that you have the

visuals and things like that that I

could probably not do with my hands,

right? Whatever. So, you have your CTA

and offer, and then we just do a proof

roll,

which is basically I just have proof

going for the rest of it of just people

or experiences who've gone through

whatever the thing is. This is your

quick and dirty VSSL.

Five to seven minutes. Just hit it. One,

two, three, four. Um, super super

simple. Okay, so this is a VSSL

framework. And the thing is is that you

want this to be between every

conversation. And if the sale is moving

along, then they might have different

objections at different stages in the

conversation. You make the VSSL to do

that. And if you're like, wait a second,

but that means that sometimes I might

have someone watch two VSSLs that are

just different but still sell the same

thing. Yes, totally fine. Selling

someone more does not decrease the

likelihood that they buy. Okay. So, that

was a little segue, a little side quest,

but hopefully you guys are good with it.

So, hope you guys are happy with that.

Uh, okay. So, this is because we're

we're trying to solve the uh I've got

leads, but we're not closing as many,

right? So, we do CRO and the page.

Great. We have better sales process.

Great. Now, we do better sales training.

So, it's like, can we train the guys or

the gals to say the words they need to

say in the right way? The HQ handbook,

the closer handbook for those you guys

picked it up, also great. obviously is

our training and our cadence and our

onboarding all that stuff inside of it.

Um, better reputation. So maybe people

aren't closing because they see online

that you got terrible reviews, right? So

this is where this is where some of the

stuff comes a little full circle where

you can do whatever you want from

marketing side branding, but you also

have the product, right? Like are we

retaining customers? Um, are we picking

the right customers, which is what I

started today with like if you're

getting people who can't speak English

and you're trying to teach them Spanish

and they can't speak English, probably

not going to be successful, right? and

maybe you have an amazing Spanish

program, but if they can't speak

English, you're selling the wrong people

and it is your fault because you're

you're taking the money. So, you want to

make sure that you actually install

prerequisites. Like, what is actually

required to be successful? And for

everyone here, strongly encourage you to

at least set some requisites. Like, if

you want to come to one of the workshops

here, you have to be making I think it's

$500,000 a year, right? Like that's the

bar, right? It's just because it's going

to be it's going to be more valuable.

It's better. Like the the leads sort

automatically. Like you can't even get

on the calendar otherwise, right? It's

just it's just because like if

somebody's at $100,000 a year, there's

nothing wrong with that. They just need

more tactics, right? And we obviously

have these tactics. Um but most people

are like at 500, they're like, "How do I

get to and that's the minimum, right?

The average I think is like between one

and four million depending on the

workshop." Um but anyways, just to give

you guys an idea. Okay, so uh the next

thing is better lead quality. So I just

touched on this, but you might have the

issue where you're like, "We have so

many leads with so much junk, right? So

we have to add friction to the process,

right? Also, the ads themselves, you

might be not calling out the right

people. Right? If I'm giving away, I'll

give you an extreme example. If I give

away a free vacation for my IT services,

that's probably not a good lead magnet.

That's probably not a good mechanism

because I'm going to get everybody who

wants to go on a free vacation, not

people want IT services. Now, if the big

giveaway that I'm giving is like IT

services that are fully managed for a

year, that's probably going to be a way

better clientele base than me trying to

get uh people who want a vacation. Now

I'm going to get way cheaper leads, but

I'm not going to make more. Right? And

so introducing friction in the funnel,

adding a VSSL, adding proof, making sure

the ads call out the correct avatar.

That's this higher quality avatar. And

then if you want, you can add in Bant.

And some of you guys don't know what

Bant is, so I'll tell you what that is

right now.

budget, authority, need, timing. Do you

got the money to spend, the ability to

say yes? Do you need the thing right

now? Or do you need the thing? Is now

the right time? And so when you ask like

these are the four things you need to

ask a prospect if you have any kind of

application process for whatever service

you sell. This is what you want to ask.

And this is me kind of like opening up

the kimono for you.

I have I have I have just been in charge

of creating sales processes for

everything from you know I just from so

many different things from teeth

whitening to to marketing agencies to

plumbing to whatever right

I I so rarely I c I can't actually

recall a time where I I made less money

by adding friction and what's

interesting about it is it's the thing

that people are afraid to do. People are

afraid to raise prices. People are

afraid to narrow their avatar. People

are afraid to add friction to a sales

process. But almost always when you do,

when you focus on quality because no one

else will do it, is where the alpha is.

It's where the arbitrage exists. And so

I would encourage you to like be bold

here and be willing to to do things that

other people don't do so you can get

things other people don't get. Like most

business owners are mediocre at best.

Well, most business owner are mediocre.

I also say that most business own are

average and average people don't venture

off. They don't take bets, right? And so

be willing to do the thing that's going

to increase your lead cost. Do the thing

that's going to that's going to give you

a $500 lead that's worth $10,000 rather

than

a uh $100 lead that's worth 500. Like

you will spend more and you could make

more as a result. And oftentimes for me,

I have found that to be true more times

than not by a lot. So these are the

things that we that these are the

playbooks that we use that we that we

implement to fix sales related issues

when you can't afford uh leads. Okay.

Additionally, you can do uh uh payment

options if you don't have that. So um uh

payment plan downells is is a great way

if you don't already have payment plans

installed. I would just install that

system straight up which is inside of

the money models book. Okay. So you're

closing too few of them. All right. So,

we've got enough leads and they're the

right price and we're closing enough of

them, but we can't do more because if we

do that, we're still not making enough

per customer. So, that's a backend

issue. So, you can increase the price or

implement a price raise. What's

difficult about me saying this to you is

that some of you require me to literally

say to you on the phone and walk through

this logic tree with you, but I can't

physically do that. And so, this is me

trying to say it. If you walk through

this logic tree and you're like, well,

this is where I'm at, then this is what

you need to do, right? Alternatively,

you could decrease your costs. How can

we spend less to deliver on customers?

And I'll get I'll get you a couple more

taxes on this in the in the latter half.

Okay. Can we increase frequency? Can we

get them to buy more often?

Can we get them to buy again at the most

basic level? Can we ascend like upsells

and crossells? So, I'll give you guys a

little tactic around this.

You guys want it tactical. So hopefully

I know the first part started with

clouds. Hopefully you guys are good with

the the dirt the dirt the tactics of

what makes this work. Okay. So if you're

let's say a customer relationship starts

here

and this is kind of like your duration.

You sell you know 12 a 12-week thing

whatever. Okay. So the first time like

there are different specific areas that

you can do ascensions where you sell

someone more stuff, right? Num one of

them is just immediately. The next one I

usually like is like 24 to 48 hours.

They kind of realize that they they now

need something immediately. I also have

milestone.

We have halfway

and then last chance.

Let me give you a very important note.

We've got four opportunities to upsell

in the first half here.

Four.

Four. Okay.

And then one at the end. And so right

now, if you're somebody who waits till

here, which many of you are, you're

usually losing out two to 3x on your

sales. So, if you're like industry

average on this is you'll get between 10

and 30% of what you could get if you

only upsell here.

Crazy. And so, if you're like, man, I'm

not getting people to get into my

continuity. I'm not getting people to

take my ascensions. It's because you're

doing it at the wrong time. You got to

offer it earlier.

Hopefully, that was cool for you guys.

Okay.

So, that's how we solve I've I've got

the leads. I'm making the sales, but I'm

not making enough money per customer.

Those are the solutions. So then

finally, you're like, "Okay, I've got

all that stuff. I'm making profit, but

I'm not making the profit fast enough."

This is cash flow problems. So these

this is all dirt. Super tactical. Number

one is you can push out vendor terms,

especially if you're a bigger business.

You can say, "Hey, uh the the the status

quo here is that we pay everything net

30, meaning you deliver services and

then we pay you at the end of the month.

That's how we do things, right?" Also

tends to work better once you've already

gotten relationships with with with

businesses. they're typically not

willing to lose you as a customer. But

when you do that to all vendors, you

literally accelerate your cash flow in

the entire business by 30 days. Number

one. Number two, uh payment terms. So

I'll give you three or four different

tactics here. So number one is that

instead of starting with like a

monthtomonth or some sort of uh for

those you have recurring stuff, um and

typically people who have cash flow

issues tend to be recurring or more

long-term in nature versus onetime

transactions. So this applies to you.

Um, instead of having month-to-month be

the the core offer, just shift it so

that the primary offer is quarterly and

annual gets a discount and

month-to-month is more expensive. That's

just that one shift can accelerate cash

because now you're getting paid three

months at a time instead of one month at

a time.

That's one. Another tactic is that you

can always present high to low. So I if

whenever I present stuff I prefer to say

like what the total price is with

interest with whatever and then say hey

want to save money. Yes. Save money by

prepaying more of it. So if I have like

a year of service I'm going to sell the

month-to-month price with installments

and interest as the price I want to

anchor there and then say hey want to

save some money cool prepay for less and

then we can start doing step downs.

And then third is layaway. So, I think

this is still one of my like one of

those wildly underrated methods. I don't

know why people don't do it. Like, I

still have no idea why people don't do

it, but layaway rocks. Layaway is you

can start paying now and when you're

finished paying or when you pay you pay

half of what you need to pay will start

working. That's it. It's so simple,

right? Like that's that's all it is. You

pay and then you get rather than getting

or giving and then getting paid. like

the where you get paid relative to how

you deliver service dictates the

leverage you have in the relationship.

So imagine where you go to a surgeon and

they go perform surgery on you and then

you're like, "Okay, I'll pay you after

the surgery." It doesn't work that way,

right? Now, it does work that way for

the insurance companies to pay the

doctors because they have leverage over

the doctors. But if you're paying a

doctor, you pay the doctor first because

they have leverage over you. It's like a

food chain. It's the money chain. All

right? Right? And so if you want to go

up the money chain, you got to act like

a up the money chain uh business, right?

Another one is prepay incentives. So I

think a lot of you guys are missing out

on this. Um how do you incentivize

people? Um one, give them more good

stuff, take away bad stuff. So sometimes

it's like we really need to accelerate

cash flow. And then I ask the next

question like, well, what's the prepaid

incentive? They're like, well, I don't

have one. It's like, well, duh. There's

no incentive to prepay. So why why would

we be surprised that they're not doing

it, right? So we have to incentivize the

prepaid if we want accelerate cash flow.

This is just a specific pull out uh

guarantee with prepaid. I think this is

in the money models feature downell

section. Um this is one of the first

like super super strong uh prepayment

that you could uh structure that you can

offer. So if you offer a guarantee, not

all of you do, but if you do offer a

guarantee, you can say I'll give you the

guarantee if you prepay. And if they

don't prepay, you remove the guarantee.

Very compelling. Super compelling. Um,

so I recommend like really really

strong. If you're like, "How do I

accelerate it?" Pop that in. Um, upfront

fees. Obviously, this is where setup,

onboarding, onetime fees, all that kind

of stuff. You can just load it up. And

if you're like, "Do I need a reason to

have a onetime fee?" You just need

permission. You have you have the

world's permission to do it. You like

it's your business. You can make up your

own rules. Um, also, if you can get, you

know, third party uh, buy now pay later,

BNPL's. So, I had a firm at our last at

our at our event. Um, and so like you

will get typically you'll get about a

35% increase. That's that's based on a

firm stats. That's not what we got

because we have a more affluent

customer. Um, but a typical business

will get like a 35% boost in sales from

uh implementing some sort of BNPL.

And then this is the last I kind of did

these in order of complexity. Um, AR

financing. So I think Trent who's in the

scale advisory we we were you I called

you on Herozi hotline and uh you're in a

business like if you're in a

construction business you're in a

business that's very well understood by

a bank like a normal business if you

will um where you have like clear you

know outflows and the reliability of

payment like the likelihood that someone

pays you is super high then there

there's a whole divisions of banks that

do AR financing which is accounts

receivable financing and so I'll tell

you a story about this so there's a

company that um that I was looking at

investing in that was stuck at like I

want to say like two or three million

bucks a year and they had a bunch of

debt and they were really struggling and

I reached back out to the founder like

18 months later so a few months a few

months ago and I said hey man how's

business and he u he was like dude we're

killing it we're doing 5 million a month

so mind you this is like 18 months goes

from like two or three million bucks a

year to five million a month crazy and I

was like well what was the unlock he's

like honestly we got one of our vendors

to give us net 90 terms that was it

which function works exactly the same as

AR financing just done from a vendor

rather than a bank. But both of those

are things that you can negotiate. And

so I just I want to show you the

different pieces on the board. If you're

like, man, I've got the I've you know,

we got leads, we got sales, we got

profit. We just need to pull the cash

flow forward. If we had the cash flow,

we could scale. It's like, well, here's

seven different ways you can do it or

nine instead of Yeah, the second point

had three points. So more. All right. So

finally, you got the cash flow. You make

enough, but you slowly. We solve that.

Okay, so if money was the issue, right,

why can't you do more? Uh, if you can do

it. Can't do more because you don't have

your numbers. Well, now go get your

numbers. If you got your numbers, then

it's like, okay, my market's too small.

No, it's not. Okay, it's my model's the

issue. It's not worth it. The timeline,

my expectations. No, it is. I just need

to be more patient. Okay, cool. Money.

It's like, okay, leads are too

expensive. Sales aren't happening

enough. I don't have profit. I'm not

making enough per customer or cash flow

is my problem. Okay,

just solved all those. And so then

finally that leaves us with manpower.

Okay.

So that was that cool for part two. I

knew that one was like a little heavier.

I just don't want people to think uh um

I want to make sure that you guys feel

like I'm I'm delivering on on the value

promised. Um I want you to be very clear

on on your constraints.

And yeah, shout out to to Meg. Yeah. For

crushing it.

little I think time for a fresh a fresh

nicotine. Feels like it's that time,

doesn't it? Feels like it's that time.

No, I appreciate you guys.

Good. Yeah, I know. I was uh I was

talking fast. Um but I want to just cram

a lot in. You know, got a lot to cover

and I want you guys to get what you

want. All right. So,

part three,

supply based constraints. So, everything

up to this point is like, how do we get

more leads in the door? How do we

Let me find my big big black box. BBB.

My BBB. There's my big BB. All right.

Here we go. So, everything up to this

point has been this. How do we jam more

in the front end? Now,

sometimes you got to work on this stuff,

which is what some of these these mama

jambas are. But some of the other parts

in that black box are going to be supply

based constraints. Okay? So,

just from observing a lot of different

businesses, where do supply constraints

hit the hardest? So, uh, high volume,

low-wage roles. So, think like staffing,

social workers, like I would say

therapists, but just like people who

talk to elderly, um, you know, care

providers, like that kind of stuff

happens a lot in healthcare. Um, that's

where, you know, supply based

constraints, talent based constraints,

people based constraints hit hard.

Another kind of category is trades. So,

HVAC, plumbers, electricians, you know,

specific types of, you know, niche uh,

you know, welders, whatever, like a lot

of trades have this issue. uh where they

have supply constraints. They got the

business, they just can't they can't

service it. Um I got a buddy of mine

who's in the machine business. He just

builds machines. Kind of cool. Um he

just takes roles at like factories and

manufacturing and he just automates the

whole thing with big machines, but

that's a super specialized skill set.

Like I had dinner with him the other day

and he's like, I I had to turn down $13

million in projects because I just don't

have the people. And I was like, I'm

sorry. Uh and then we talk through the

framework I'm about to show you. Um

another one is high-end services,

high-end white collar services. So, um I

mean I'm in a business that has this

like high-end consulting which is what

we do. Uh accounting, legal, investing,

like these are super super hard to find,

very skilled people, right? So, these

are industries. So, if this is you,

you'll probably be nodding your head up

and down. And if you're not, you will

come up against this constraint. This is

just more commonly in the industries

that have it. Okay. So, this leads us to

question 10. Now, some of you guys might

have noticed that the dots across the

top did not fill in. And that's just

because I forgot to and I just realized

that. But we're making progress. All

right? And so we answer the question,

why can't we do more? It's because you

can't handle the volume, which is most

of the time manpower, sometimes

structural, and I'll cover that right

now. So here's some of the flavors of

manpower constraints. It's really hard

to find talent. I don't know how to do

it. Uh talent wants more than I can

afford. Like they want more money. uh

you don't have the money or the time to

find the talent which is sometimes a

little bit different. Um talent doesn't

solve my problem which I'll explain that

one um actually first and then I'll do

the rest. Okay, so uh this is what this

looks like. These are like symptoms of

manpower or supply constraints. So

weight list for services, you know,

maybe you're working 70 plus hours a

week personally in the business um and

you can't get any relief. Uh you're

turning away qualified customers like

the machine shop I was just talking

about. Uh this one this one's super big.

Uh quality declining due to volume. So

this happens a ton in like marketing

agencies and stuff. It's like uh they'll

just like you know they'll get really

good at selling and then they just like

hire bodies on the back end and then all

of a sudden people turn out the back

because the quality suffers because they

don't have good enough people. Right? So

what what appears to be a oh we you know

we can't spend more to get customers

actually we're not making enough money

from customers which is actually a

manpower issue. Right? And so this is

why I'm saying like it's usually it's

not like the big obvious problems most

people identify. It's the second and

third and fourth order problems that

people kind of get lost in which is why

I'm trying to walk as many of these

examples out as we do this live. Okay.

Uh the last one is uh uh your your staff

is fully utilized but uh you still can't

keep up. All right. So let me explain

what that one is. And so this is like a

huge epiphany I had that I want to share

with you and I like I've never seen

anyone else talk about this so I feel

very confident saying like nothing I

don't know it doesn't matter what who

cares I'll die no one no one people like

he had slideshows anyways uh so so since

manpower means employees it just means a

different type of customer becomes the

target so if you are supply constrained

it means you're just demand constrained

for employees think about what that

shift means. You're either demand

constrained for customers or demand

constrained for employees.

And so every business is demand

constrained in one way or another. And

so getting you to see this is basically

the entire point of this section. But I

really want to drive this home. Okay? So

instead of LTV to CAC ratios, you need

to learn something that I call LTGP

to CAT ratios, which is lifetime gross

profit per employee to cost of acquiring

talent. So many guys know what your

rorowes is, your LTV to CAC ratio is,

which you should if you watch any of my

stuff for the love of God. Please know

what those numbers are. But a leveled up

version of this is what does it cost me

to get talent and what do I make on that

talent?

So let me tell you a little story. So um

mentor, old old guy had an insurance

company, sold it for a zillion dollars,

doesn't matter. And he told me that he'd

been stuck at like $10 million a year

for like many years. And he said, 'You

want to know what broke me out of it?

And I was like,"Well, yeah, obviously I

want to know." He said, "So what

happened was I used to have this,"

because he had this uh it was insurance.

So he has a a bunch of agents, right,

that work work selling insurance

products. And so he said, "So what I did

was uh we used to have this referral

bonus. So agents could get $500 if they

referred another agent. That makes

sense. That's cool. but it wasn't really

driving anything. And some of you guys

have the same thing. You probably give

some sort of, you know, bonus for, you

know, or hopefully you give some sort of

bonus if if someone in your team refers

you somebody else. By the way, so much

more valuable than getting a customer

referral.

So, he did the math and I think I showed

the next slide. Did I show the next?

Let's see here. Do I show it here? Yeah.

So he figured out that he said, "I make

250,000 a year in gross profit per uh

not technician but per per insurance

agent, right?" And so that was per

activated insurance agent. And so he was

like, I was trying to get people

incentivized to send me agents for 500

bucks. And so then he took his $500

commission and made it 25,000

and said, "If you bring me an agent,

I'll give you 25 grand." And guess what

happened? it worked and he sold his

company for hundreds of zillions of

dollars many years later because he was

able to compound his supply base. And so

taking that into account, I had a

conversation with my team and I was

like, "Hey man, we need more um we need

more media people, right?" And so the

the fastest and easiest thing I did was

I was like, "Well, how much do we make

on a media person?" Okay, well, am I

willing to pay a tenth of that in order

to to go get them? And it's like, well,

yeah. Well, if we think about it from

like a stock market perspective, like

would I be willing to get a 10x return

on money? Of course. Yeah, I'm in. So,

we just have to think about the talent

as a return that we're going to get on.

But the caveat is you just have to put

milestones. And so, I'd say it's not go

refer me a friend and I'll just give you

25 grand. It's I'll give you 25 grand at

month six once they're activated. And

what's cool about that is that at that

point, you actually get both people who

are invested in being successful. So now

you've got this person who's taking a

lot of interest, the person who referred

the referer rather than the referee,

right? The referer takes a lot of

interest in the referee getting

onboarded and they kind of provide that

additional training, additional context

and they increase the likelihood of

success. So not only do you get this

amazing return, you also get that person

integrated better. They get trained

better and so it's just a win overall.

And so this is a huge place of returns

that I think is wildly underlooked. Um,

and if you are a supply constraint

business, this is where your capital

should be going.

So, this is a this is a huge point that

again, I think it's like 75% of y'all

are service businesses to some degree.

Um, and that's normal because that's

just what what it is, at least in the US

economy. Um,

service businesses have have a they're

double-edged sword. So, they're really

easy to start, more difficult to scale,

and they require almost no capital to

start. And they tend to produce decent

amounts of cash flow. If you like our

decent business and the economics and

you follow the stuff that we talk about

like you should produce a lot of cash

flow in a service business. Now the

question is how do you reinvest in a

service business right like in a in an

e-commerce business physical product

business you have inventory really clear

right you have raw materials really

clear if you were in a technology

business it's like okay I'm going to go

we got to go reinvest by hiring more

developers etc right so what do you do

in a service business to reinvest

two things brand and talent

which means what are the associations

we're going to make today. How are we

going to pair our business with

aspirational outcomes that our avatar

finds meaningful brand and how are we

going to spend money on training our

existing talent and recruiting new

talent so we can get the highest returns

possible on our core asset? Because if

you're a service business, you

fundamentally sell people at a profit.

It's what it is, right? You sell labor

and you have a markup. That's service.

And so what we want to do is have more

of those nodes and we want those nodes

to be able to expand what you can charge

for them. And you can expand what you

can charge for them by having more

skilled talent. That's the idea. And the

biggest arbitrage comes from being able

to take lowkilled talent, train them

well, continue to pay them at old talent

numbers, and then because of the

training, capture the arbitrage in

value.

That is how you reinvest in a

service-based business. So, if you're

like, "What do I do with this extra

money at the end of the year?" Well, if

you don't want to pay taxes on some of

it, you can choose to reinvest in the

business by doing this.

And so, the moral of this is that maybe

you can't afford not to get better

talent for your business. And that's

what you need to focus on. That's your

demand constraint.

And so, this just took me a very long

time to piece together, which is that

manpower means every business is demand

constrained. All right. Now, let me just

show you how crazy this is and how deep

this goes. Okay,

so we have our external ways of

advertising, right? You got the core

four, you got lead getters on the left,

right? You got warm outreach, cold

outreach, post free content, run paid

ads, you got customer referrals,

affiliates, employees, agencies, all

that stuff. You guys should already know

that's inside the leads book. Then you

have your internal version of these,

which is you ask your network, you do

cold outreach, you post to your network,

you promote job postings, right? You get

employee referrals. You go to community

owners who have like HR professionals or

SDRs or sales professionals, right? You

have an in-house recruiter or you go to

out ofhouse head hunters and staffing

firms. It's the same concept, just

different names. All right? Because

you're either demand constrained for

customers or your demand constraint for

talent. And the good news is you solve

both with advertising.

And better yet, the processes are

literally parallel. All right, we're

talking dirt here. We're getting

tactical. All right. So, you should all

be familiar with this, which is a

marketing customer acquisition funnel.

You've got some sort of lead generation.

You got some sort of lead nurture. You

got some sort of sales. You got some

sort of onboarding. And you got some

sort of retention and ascension, right?

Try to get a keep them to buy again or

to buy more expensive stuff, right? All

this should should should make sense.

Next,

you have your application generation.

Think about the words change here. Lead

gen application generation.

You've got applicant nurture, so

different than lead nurture. You've got

interviews, not sales. You've got

onboarding, wait, that's the same word.

You've got retention and ascension.

Wait, those are the same words. It's the

same thing because you have people going

through the process on either side. This

took me a very long time to figure out.

And what's crazy is that if you can do

one of these well, you can do both of

them well. So if you have a way of

getting customers, you also already have

the skills to get the talent you need if

you are supply constrainted.

So like before we started with the Mosy

6, right? You got more. Why can't we do

more? And we got metrics, market, model,

money, and manpower. All we do is we

take manpower, put it at the front of

this thing, and we just run it through

again. Okay, so it's the exact same

path.

So

why can't we do more warm outreach,

which is how you currently were getting,

you know, people? Can we do more? Why

can't we do more cold outreach aka

recruiting? Why can't we do more posting

content? Can we post more on job

postings? Can we post more places or

spend more on it? Right? Which is then

promoting those job postings, right?

Which is the paid ads version for

recruiting. Can we get more employee

referrals? Can we get more affiliates

aka associations, guilds, list serves,

community owners, right? Can we get

agencies aka recruiters and staffing

firms? Can we get employees aka this

one's unchanged, right? Your your team

would do this for you, right? And so all

eight of these, can we do more of this

before we do anything else?

If so, let's do that.

If not, we go down the metrics again,

which is okay, we can't do more because

we don't know our numbers or people

aren't the limiting metrics. I'll give

you an example of of the second part.

So, uh, there was a restaurant that we

looked at that had two-hour wait times.

We did a cash cows episode with them.

Um, and so they literally had limited

their four walls. So, what do you do?

They're they're supply constrained.

Well, you can expand your seating. You

can optimize your operations turntables

faster. You can change your hours,

expand your hours, or you can do a

combination of that where you just raise

prices during peaks,

right? And so pricing is going to be a

big lever that you can pull if you're

supply constrained. If you have more

business you can handle, raise price.

Very simple. And I'll talk I'll talk

about kind of like solution stacks in a

second, but this is an example of either

uh you don't know your numbers or people

aren't the limiting metric. Then do

this, change the other variables, change

the walls.

The next one's market. Same as before,

right? Because there's not enough people

in Kentucky, you know, where I live that

are, you know, grade three welders. I

don't know. Is there a way that they can

do this job remotely? Uh, is it

impossible to get these people or is it

expensive or can we add an incentive

like a moving bonus? Right? So, we had a

a roofing company owner that was

talking. He was expanding new locations

and he couldn't get a manager for the

new location. And he was like, "Man, you

know, it's really hard to find people

out there. And I was like, "Well, do you

have like multiple managers in your

current staff?" He said, "Yeah, but you

know, they don't want to move." I was

like, "Will they move for 20 grand?"

He's like, "I never really thought of

that." And I was like, "Well, how much

you going to make on the location?" He

was like, "Well, we probably make 500

grand a year in profit." And I was like,

"So, do you think 20 grand's worth it?"

He's like, "Yeah, I guess so. Is it

impossible or is it expensive?" Right?

I'll give you a different one. So, this

was a cash episode. Not cash, excuse me,

a hero hotline I did. a month or two

ago. So, there's a martial arts guy

who's got three martial arts gyms and he

says, "Hey, it's really hard to find

salespeople with black belts."

And so, I was like, "Yeah, I I believe

you." And so, remember at the very

beginning I said, "You can you want to

hire for the lowest skill aptitude?" So

all we did was I said, 'Hey, why don't

you just find black belts and teach them

how to sell because it's going to take

way less time to teach them how to sell

who's got a black belt than teach

someone how to how to black belt who can

sell, right? And so that was the issue.

So we had to solve for the small skill

discrepancy and then all of a sudden it

was like boom, he opened up his uh his

whole funnel for doing this for his

business and expanding, right? So we

sometimes you're actually just looking

for the wrong avatar. It's really hard

to find sales people that you can then

teach the black belt thing or finding

sales people who are already black

belts. Might be hard to find both. We

have to then say, "Okay, let's get 80%

of the way there and then we can train

the other 20."

So, that's a market issue.

Now, if you're like, "Okay, I can't get

more talent in my business because um

the basically you probably wouldn't say

this, but basically you're not getting

responses, right? like uh the offer is

wrong. Even if I basically this is gets

a little bit more to model, which is why

it's model. Uh but I'll get an example

to drive this home. So I had a physical

therapy business who um who came in

really nice lady and uh they were fully

like all four walls are booked out, all

the beds are taken, but they weren't

making any money. But I was like, "Wait

a second. So you're like you're selling

fine, you know, you're the leads are

good, all all this stuff's good." I was

like, "But you're not making money and

you're fully staffed." She's like,

"Yeah." And I kept diving and diving. I

had to go through all of this stuff

until I finally got all the way into

manpower and it was oh yeah well we give

50% of revenue to our therapists. I was

like 50 dude like yeah of course you're

not making anything that makes I was

like are they like marketing for

themselves and and like you know paying

for their own you know products and

stuff. She was like no we do all that. I

was like well are they doing the sales?

She's like no no we do that. I was like

wait so you literally do everything and

then just give them half. She's like

yeah. I was like well yeah so you have a

structural issue right? like the model

will never work. The model is broken,

right? And so she would then have the

impossible choice. Either you could

raise your prices, which would have to

be an absurd amount if you always have

to give half away, or you lower wages,

or you change it to not being percentage

based, right? But the thing here is like

we had to change something structural

about the role so we could then recruit

more people in and actually make the

business profitable. So then finally, we

get to the money one of like, well, I

just simply can't afford to hire more

people, but I need to hire more people.

Okay, so these are the same four

concepts just applied to the supply

side. So we don't get enough

applications. That's a lead problem,

right? So again, it's we're going to run

through the same ones. You got to have

better ads, of course. Like you think

these ads don't matter, headlines, copy,

the whole thing. It matters, right?

Better content. If you have a brand,

more people are willing to work for you.

When they when they go check out your

content or your site, they're going to

be like, "Oh, like they make a decision

there." That increases your conversions.

Uh the brand itself, right? The offers,

quite literally, the offer that you have

for them will increase the likelihood

that they actually, you know, opt in to

become, you know, applicant. Um add a

money model mechanisms. You could do a

giveaway if you want. By the way, we did

uh for when we do our um when we when we

hire for media, we'll do contests. We'll

just do contests for for people who want

to cut videos for us and we'll get like

a thousand people who will apply and

then we just walk them through the

process. We get like 50 people who

actually like do all the work and then

from the 50 we pick five, right? So, you

absolutely can add a money model

mechanism depending on the role.

Obviously, you're not going to get a CEO

that way, but like front line, midline

for sure.

Um or better avatar, right? level up

your target or you can level down and

add training. I'll give you an example

of this in a second. Um so for us with

uh with Allen when we were looking for

true customer success, people could do

B2B higher ticket onboarding like

concierge if you will, we were

advertising at first for customer

support and we were getting tons of

low-level people that just were not

going to be good for like highlevel

business owners, right? These were

business owners that were paying a

$25,000 setup and white label fee. like

this is a different caliber just to just

to use the platform, different level and

so we had to have customer success. So

we had to change the title and all of a

sudden we got the right people, right?

So like this matters.

So you have to write it like it's ad

copy. So all the things that you do to

change the leads on your front end, you

do the same things. You still have to

look at it like a funnel. Like if you

don't know your conversion metrics for

your lead or application flow,

don't be surprised, right? Like that's

that's like of course you're not you

don't you don't you don't have metrics.

You don't even know why where your where

your stopping point is. And this is if

this is the constraint of the business.

Then what else are you doing that's not

this, right? That's more important. So

okay, we've got we've got we've got lead

flow, but we're getting a lot of junk,

right? Okay. So this is a this is

conversion rate thing. Same as before.

Page flow, headline, job description,

better application process. Do you think

you put proof in there? I love my job.

Yep. Do you think you put a VSSL in

there? Yep. Right? Do you think you work

the leads through lead nurture? Yep.

Well, if they need me to remind them,

no, it doesn't work that way. No one

cares. You're not the center of the

universe. You got to work it. I've got a

brand. We work our leads. Right.

Better interview training. Like if you

It's funny like if especially if you get

a bigger business, like if you listen to

somebody who's like in HR recruiting do

do some interviews, you're going to like

it's going to make your stomach turn.

The same way as if you've never listened

to your own sales guys do sales calls,

you're going to want to kill yourself.

If you've never done it before, I

promise you, you're gonna you're gonna

want to end your life early. So,

training is how you overcome that. Same

with better reputation. That's the

brand. Um, better lead quality. So, this

is where you can add more friction. If

you're getting too much junk, you've got

like, you know, uh, healthcare workers

or something like that or something.

You've got a lot of volume for it is low

skill labor, tons of applications, add

friction. Add VSLs. It's a sales

process.

Um, so I'll give you two examples of

this. So, I had a um a mental health

business. So they had a business would

basically like um did therapy. It was

covered by the government or some

government program. Anyways, so they

would get like 200 bucks or something

like that per session from the

government and they could pay like 25.

Uh so they had a good I mean the the

money made sense, right? The issue is

that they just couldn't find therapists

uh good therapists, excuse me. And so

the issue was they literally couldn't

interview enough, right? And they were

the thing is that they were doing

one-on- ones because that's how they

started. But all I did was say, "Hey,

this is the big crux point of your

business. Your first interview, we

should just have it be one to many. Have

it be 20 people at a time and just have

everyone do 60 seconds and then you can

just pick the winners and then you can

follow up with those people one-on-one."

And so all we did is we truncated the

process by two steps and then that

dramatically opened up the amount of

interviews and people they could

actually touch because he was like,

"Yeah, I'm getting a thousand interviews

and and we're basically getting one

person picked for every thousand." I was

like, there's no way on earth that out

of a thousand people, you can't find

more than one lowkilled label person who

just like basically not a lot of

aptitude, just needed attitude. I was

like

more than, you know, 0.1 out of a

hundred people is a decent person,

right? And so all we had to do was

change the process and boom,

debottleneck the business and the

thing's off, right? We had the same

issue at Gym Launch. And if you recruit

outbound, this may be like I' I've seen

it happen so many times specifically

with outbound because there's churn in

the position as well. If you do like

SDRs or BDRs, people who do outbound uh

emails or cold calls, anything like

that, uh DMs, if you're in that

position,

doing group interviews is almost what's

required in order to maintain the the

volume and scale of an enterprise that's

that size. When you have, you know,

three, four, five, you're not going to

notice it. When you have like 20 or 50,

you need that. You need to have have a a

more efficient way of acquiring talent.

And the same concept of like if I could

sell 50 customers at once, I would.

Well, then you do a webinar, right? You

do a webinar to a bunch of job

applications, then you push them

through. It's how it works. Um, we don't

make enough to pay what they want. So,

this is now we're getting into like they

are not worthy enough to us to pay the

market rate, right? Means that other

businesses are making more off them than

you are. So, this does backlatter into

having to improve the business. So you

raise prices to increase pay. So an

example of this would be like an HVAC.

So I had an HVAC company uh who came out

and technicians are in very low supply.

Very common for trades right now. And so

what we did was rather than say hey you

don't have the cash flow go blow your

profit. That wasn't the directive. This

is when I talk about like solution

stacks. So what we did is say hey

install the sales motion. So put proof

put a VSSL in. Put uh you know start

training on closing. Okay good. Do that

first. What that'll do when paired with

pricing, so we're going to have a better

sales process. We're going to raise the

price with our better sales process and

convert more customers. With both those

things going up, that'll then unlock

cash flow so that we can pay more people

or give big ass referral bonuses or go

to a head hunter. So now with that extra

cash flow, we can bring the extra

technicians in and outspend our

competition competing for the same class

of people. Make sense? So again,

sometimes they're multi-step solutions

in order to resolve the constraint, but

the thing that you have to focus on is

the one that's in front of you. So it's

like I'm I'm, you know, I can't even

take more jobs. Why would I resolve the

why would I try and fix my sales? I'm

just going to take on more deals. It's

like, no, but we got to do that with

pairing a raise in price so that we

unlock the cash flow so that it's like

so that so that so that we can then go

recruit the people we need to. Okay. Um,

another way of doing this is that you

can basically force your way to getting

more out of each person, which is, uh,

you can change your delivery ratio from,

let's say you've got five clients per

rep to 10 clients per rep. You can

switch from a, you know, done for you to

a done with you. Same same concept. Uh,

you can cap usage. You can say, hey, we

only work this many hours or only work

this much on accounts. That way, your

costs don't get um, blown out. Just a

different way of thinking about it. You

can also time block uh, when each of

your, you know, teammates is going to be

working on specific projects. sometimes

like it takes just direct management of

their time that like more times than not

you can double or triple the

effectiveness of a team by just simply

managing their time um or you can just

offshore or nearshore right you just go

from a different pool

and I mentioned this earlier with the

high the high-end service is like if you

if you really want to dominate one this

is a strategic bet but you say instead

of trying to find third-year legal

whatevers we're gonna take these guys

out of college but we're going to

develop an exceptional training process

us so that we can get them upskilled so

that they're just as good as the three

years, but we only have to pay them like

a one year and it only takes us six

months to get that arbitrage. It's a

strategic decision. Like if you look at

some of the biggest investment banks,

you look at some of the biggest

management consultants, they did the

same thing. Like you go to Mckenzie, you

go to Bin, you go to BCG, you go to

Goldman, you go to JP Morgan, they have

just they take people right out of

college, they pay them six figures,

right? And they do that because they

have exceptional training because it's

so hard to find the people above that.

And so um similar example lifetime gross

profit so high-end uh consultant book

solid for six months. All right. So I

think this was like a tax strategist I

think but it was like a it was half

accountant half consultant right? So

it's like you're book solid for six

months jack the prices change the

delivery ratio hire associates and then

backfill by by scaling the training and

your recruiting ability.

So why can't you know why don't we make

enough to pay what they want? Well, we

had to fix the leads. We had to fix

sales. We had to fix delivery. And so

why can't we do more to get the talent?

We go through more metrics, market model

money,

which resolve all of the original Mosy

6.

Huzzah.

So, I want to do a quick little

dangerous middle,

which is right now if your revenue feels

steady or you're working hard but you're

not growing,

uh, or you kind of need more leads but

you can't really handle that much more.

If you're nodding your head and being

like, "This sounds a lot like me right

now." Typically, this is just my

analysis of businesses that feel like

they're at capacity but they're still

like they're like kind of in that

balance. You're actually demand

constrained.

So you need to break the business with

demand and increase cash flow and then

stretch capacity. So if you're in

equilibrium, it's almost it's like I

can't guarantee anything of course, but

it's super likely that if you had to,

you could do 30% more. Like almost

always like people can gas it for 8

weeks, 12 weeks if they have to. And so

sometimes you have to break through

those those those periods of stagnation

so that you can generate the extra cash

flow you need to then bring more people

in, right? So you can expand your

capacity. So sometimes you have to

redline. And so if you're like I'm not

sure which one I am, you can pretty much

like I would recommend you start with

making more money and then dealing with

the supply constraint with the extra

resources because the alternative

you expand your supply, right? But then

what if you don't have the demand? Now

you're just you're really underwater,

right? And so I would rather generate

the cash if I need to extend terms than

bring in the supply.

So with that being said, we're on part

four. You guys digging this? Is this

fun? Is this exciting? Yay. Burping the

green egg. I don't know what that was.

Um where is the watermark behind every I

don't know. Anyways, so part four tools

and implementation. So this is the this

is the next little section. So some of

you guys might still be wondering what

if I don't know my constraint or I'm not

sure or I know my constraint and I'm

just not sure I can figure it out or I

know my constraint, I just want support

and the ability to ask questions for the

next six months uh to make sure it's

implemented correctly. Okay. And so it's

what I made the scale advisory for. And

so we had a lot of people ask for the

scale advisory after the deadline closed

on Monday night uh because they missed

it when they were checking out or they

didn't want, you know, they didn't watch

the video because I was live and they're

like, I didn't know which one to do or

they didn't understand that it was six

months of support, not just six

workshops, whatever. And so out of

integrity and legally, I can't make the

same offer again. But I actually asked

this morning um everybody who was in the

scale advisory what they thought. And

this is what they said. I said, "Hey,

um, this group kicks off September 1st,

which is when it does kick off. Uh, we

gave everybody who, you know, obviously

donated books during the book launch

extra, you know, a few extra weeks to

let the dust settle, but our official

six month begins September 1, uh,

through end of end of February." So,

that being said, we got a bunch of

messages from very solid businesses

saying that they missed it or didn't see

the video. And I'd like to open the door

for them for a short period, but I want

to ask them. So, I actually asked our uh

the group this morning and I said, "So,

should I mention the ability to get in

the group today and leave the option for

24 hours, give them until September 1st,

or just not let them in?" And so, you

can see the responses right there. And

so, 83% um last time I checked and

screenshotted it, uh said to uh open the

door for 24 hours for you guys. So, um

that's what I'm going to do really

quickly. And so VUX populate VUX day

which is the voice of the people is the

voice of God or the voice of people is

the divine. Um so if you missed it and

uh would like me to help you for the

next six months just to get some of the

stuff implemented so you can kick off

2026 to hopefully break records. This is

just a quick recap of the scale advisory

entails. So this will be very very fast.

So um it's inside is the school

community. It's a scale advisory. Um you

get access to me and the directors. So

this is all the people from my team um

that are involved. What's actually crazy

as a side note is that I thought so like

I had a lot of different guesses of what

was going to what was going to happen at

the launch. This one surprised me the

most because we offer zero access to me

or the team ever anywhere. So there's

nothing ongoing ever and it's just

because I don't like ongoing commitments

um because I take them really serious

and hopefully up to my commitment

seriously. Um, and so none of these

people have anyone who has access to

them except for people in the scale

advisory. And so, uh, normally one day

we charge for just one person on the

team is $35,000. You get access to all

of them. So, if you're like, man, I need

help on marketing, you can talk to Louis

or Preston. If you're like, man, I need

help with like my kind of model and my

strategy. You can talk to Ed. You can

talk to Ned. Actually, that's kind of

funny name wise. Um, if you're like, how

do I talk about um, you know,

recruiting? We got Frank. If you've

like, how do I do more fulfillment? You

got Lindsay. We got more strategy, you

got Neil. you got more sales, you got

hop uh Jacob, right? And so all these

people are who do this for us. And so

they do this at a very high level. Um

and so that's the first thing you get

inside. Um we're also going to do a

leads workshop. So if you enjoyed this

workshop, this is just going to be even

more dirt, even more tactics just on

solving leads. So if we went through

this whole thing and you were like,

"Okay, I think I have a leads issue,

like they're costing too much. Like I

just need to solve that." We have a

whole workshop on that. Um if you're

like, you know what, I have a sales

issue. Um, so we'll basically go super

deep on the dirt of like let's solve the

sales constraint for good. Uh, if you

have a delivery issue, an LTV workshop,

so it's like, okay, let's make sure that

we can solve like basically make them

worth more so that you can afford to out

compete your competition. Um, the profit

workshop. So that's going to be like how

do we change pricing, how do we

repackage things, how do we build

differently, how do we accelerate cash

flow, um, all the things that we know

that we've done in all the different

spaces that have just dramatically

driven up uh, profit in the businesses.

Um, on top of that, Leila is running a

people and AI workshop. So, if you are

supply constrained that we're just going

to be doing that on steroids, plus we're

gonna talk about how we're implementing

AI into our service-based business. Um,

and how you can too. Um, I think that

like right now it's the best time to be

an entrepreneur. Um, there's just a

gigantic amount of opportunity in the

next 36 months. Uh, and then Shiron, who

some of you guys don't know, um, Shiron

was a super early mentor of mine. Uh, he

exited Tely's first and they, uh, they

went from like 50 million in volume to

3.4 4 billion. Uh, and then he did

nothing for like six years. Then he

started Swillo Capital, sorry, Swill

Ventures, which was basically just his

family office where he was investing the

money. Um, did that and then I convinced

him to go back, get back in the game.

And so he uh went to real brokerage and

they took them from 200 million to 1.2

billion. Um, and then after doing that,

I was like, "Hey man, you want to come

hang with us?" And he said yes. So um,

Chiron's actually president of ACQ. Um,

and so he's going to share all the stuff

that we like a lot of stuff he taught me

on wealth, tax, finance, operations. So

like if you're anyone who makes any

decent amount of money in your business,

the amount of things that we especially

if you're in the US, um, the amount of

things that I've learned from a tax tax

perspective, it's an insane like I feel

very confident. Um, that's why I was so

I was so surprised with this one because

I was like we have never offered any

kind of access and this is le like this

is half of what people pay for one day

in six months. I was like like this was

the one that I was like blown away. I

was like, maybe people didn't hear it

that well. Um, and so on top of that,

you'll get the school group uh that

houses everybody else. And so this is

actually kind of cool. So inside of the

school group, so I just pulled up Las

Vegas this morning and took a

screenshot. There's 32 people just like

in the Vegas area. Um, and so I bring

that up because like I think

entrepreneurship's lonely and being able

to connect with other high level

business owners I think is the coolest

thing. So are all 32 people you're going

to get along with? No. But there's like

two probably. Uh, and so like I think

that like for me the things that have

paid the most life dividends have been

the people that have come into my life.

And so um I wanted to create an

opportunity uh for those of you who want

that. And so I that is in total like

$65,000 of true actual value like real

value and I can't even price what six

months is because we don't do access. Um

but if you're like I would really like

help over the next six months

implementing these things into the

business um and be able to like directly

reach out then that's what I did this

for. Okay. So, it's um it's $3,000 times

six. We're doing it for 24 hours. Um

thank all the people who are in the

group if those you are in there. Um you

can let them know if you think it's

good. Um but we kick everything off

September 1st, so you're not like

missing anything by by coming in today.

Um but you can go to scale.acq.com,

which is at the bottom there. And so

this is just uh it's just if you want to

keep the party going, you want to set

yourself up for Q1 next year. Um we've

dedicated tremendous resources to doing

this because I want to do this super

well and just have like a crazy amount

of growth stories that I can tell. Um

and so I'll just give you a couple

things that I just saw from inside just

from the last like four or five days.

It's like Lance, you know, from one out

of 400 to a 40% close rate. Uh Hamza, he

talked about how his show rates

improved. You'll probably also notice

that I don't talk about income claims.

That is not by that is not by mistake.

Like I don't have them. Um I just don't

make them because I don't think they set

proper expectations and also it's tends

to be frowned upon. Um Preston, you

know, Preston is brilliant. I know

you're very busy. Respect for your time.

I followed your advice and spent all

night creating your blackbook. Um just,

you know, awesome. And like Ed Turner,

that's incredible value. Crystal, like

wow, so much value. Um Kevin, thanks for

putting such an awesome group together.

your team is really solid from Adam

Jacobs. Already adding so much value.

Mike Robinson, I can't believe so much

value has been shared. Uh any of these

are incredible.

Uh like we can keep going. Let's see.

Paul said, uh some of these I wanted to

bring up because people are actually

just sharing their biggest tactics. One

of the things I asked everybody in the

scale advisory is like introduce

yourself and then share the most

valuable tactic that you have in your

business. Like what is one of the things

that made the biggest difference

tactically? And so it's like Paul is

like, "Hey, we basically had no Google

reviews and then got 650 with one script

and he shared the script and this is you

know Chris Williams um how ACQAI made me

again I don't want to put income there

uh in four hours and he just explained

how the whole play worked right and he

just documented it and then Anton was

like hey I generated 84 leads with money

models books by just giving them away."

Uh and so he got like 84 leads 12 sales

calls booked six of them were ideal

clients just by giving the books away.

Um I'm not saying it's going to happen

for you. That's not the point. Um, but

this is like I like this is the mo like

I actually think this is an absurd

offer. Um, and so I'll give you guys 15

minutes to enroll and take a break

because I need to drink some water. Um,

you know, bathroom break. If you want to

enroll, go there now. Uh, so

scale.acq.com. You can go grab it. And

then we're going to do uh case studies

in the AI implementation uh second half.

All right, rock and roll. Do that

15. Start the timer, somebody. Okay.

and

with the uh the offer today and that's

because I legally cannot make the same

offer and say something has gone away

forever. So, the offer does not come

with the the 800 bucks.

All

right, I uh stuffed my face as fast I

possibly could uh for lunch. For those

of you guys who um who join us for the

next six months, super pumped to to have

you. The community is awesome. Um and

yeah, we uh we just wanted to uh tell

those of you who like are like you know

what I would love to have deeper dive on

all this stuff wanted to help and I uh

am giving you access to my actual team

so that you can get questions answered

which it's the most viable thing I can

do. All right. Um,

can you pull up my presentation?

Also, to the obvious answer to everyone

who's s I'm seeing in the chat like

start a 200 book school community. Well,

that would kind of defy the purpose. And

also just very transparently like I

can't afford to pay the people that I

pay. Just like just being really like

straight up with you guys. um like and

we did it that way so that we could

incentivize people who wanted to donate

more. So I have to keep it that way. I'm

not going to have a a group for one and

then a group for another. It doesn't

make sense. Um hopefully that should be

obvious. Um otherwise I appreciate you

guys and it's just it's a it's a huge

amount of work. Um like I'll say it

differently. If I wanted to have

something where just like everyone just

goes in then like

there's like you could have a zillion

people you know somewhere. Um, we I you

saw the amount of staffing I put into

this was because like I want to deliver.

Um, and transparently I think for that

level of access I probably could charge

$100,000.

The only reason this is priced at

$18,000 and $3,000 down is because at

the launch I couldn't facilitate

uh phone like I couldn't facilitate that

many phone sales, right? I mean

obviously we had as many people as we

could but like we couldn't we couldn't

take the take the volume. And so I had

to have it be at a price point that

people could just immediately say yes if

you guys would have like some behind the

curtain. Um but this is like this is

something that I would normally like we

charge $35,000 for one day

and it's not because it's about one day.

It's about how much is solving your

constraint worth. So if you're at

$500,000 a year and you know you could

be at a million dollar a year and

solving the constraints the difference

then $35,000 is nothing. I'm not saying

that's going to happen for you. I'm just

saying like that's how we think about

it. And so the question is less like 18

35 65 100,000. It's just what is the

likelihood that this thing can help me

solve my constraint. And so this gives

the most in-depth version of that I

possibly can, which is there are six

levels of constraints here. We do deep

dives on all of them using the stuff

that we know. And then in between you

can have access to me and the directors

are actually doing this in real time. Um

and obviously if you like are making any

amount of money the wealth workshop like

what are we talking about? What are we

even talking about? And so um that's

what we have that way. Okay. So with

that being said, uh there's 24 hours or

now whatever 23 and a half hours. Um

special thanks to everybody who's in uh

the ACQ scale advisory. Uh they're the

only reason. So that that little slide

thing that I just did I did this morning

in like 30 minutes because I just asked

them and I honestly was like I don't

know because some people might be like I

don't want them in and I've been like

okay. So I just kind of listen to um to

them. The reason it's 24 hours is

because I had 24 hours in September 1st

and they all the most of them selected

24 hours and so that's why it is. All

right. All right, with that being said,

uh let's rock and roll. Cool. I also got

a text from Cameron saying that you

figured out your constraint. So, thank

you Cameron. Appreciate it. Little

little boost. Um but yeah, so what I

want to do for this part four is we're

going to talk about playbooks by

business type number one. And then we're

just going to do real just

deconstrainings. Okay.

So, I want to start by kind of like

highlighting this point which is that

the thing that you need to do is hard,

right? Because if it were easy, you

would have already done it. Like we're

only constrained by the things that we

do not already know how to do. And so it

should seem obvious that if you don't

know how to do it, then it will feel

hard. But like if you think about when

you played a video game way back in the

past, right? When you get to a new level

you've never beaten before, you die a

bunch of times. You die a bunch of

times, then you figure it out. Now the

next time after you figure it out, you

play it, you don't even think about it.

You just go in the door, make a left,

fire two times at the guy, and keep

going, right? And it's because you have

no decisions to make. You know how to

beat the boss of that level, right?

And so it's the choice between two

apparently hard decisions, which is why

I think so many people get stuck, right?

It's between hard now or hard now and

later, right? And so when I frame it

that way, it makes it easier for me to

do the hard now thing because the other

thing is also still hard now and also

hard later. And so these um this will

seem familiar to some of the people

who've come to the the workshops in

person, but I think it's worth I think

it's worth highlighting this point.

So,

some of you guys have may have seen this

and if you have then this will just be a

reminder. Um,

and so this is a moniker of like common

um common sticking points that people

get into these kind of rock and hard

place scenarios. And so there are seven

of them that I have consistently seen

across businesses. The and I use ad

focus as like my own moniker. But the

first is avatar. And this is super

common in like the 1 to3 million range.

Sometimes a little bit earlier,

sometimes later, but 1 to three million,

it's like ripe for that. So if that's

you, this is pay attention. Um, but an

avatar issue is you're unclear on who

you want to serve. You've got some

customers that are lower, some customers

that are higher. You usually like the

ones that are higher and don't like the

ones that are lower as much, but if you

stop selling the ones that are lower,

you won't be able to payroll. So you're

not sure what to do, right? But the

strategic decision is which of these

customers do I think I can provide the

most value to? and how should I price

exclusively for this new avatar? Because

what typically happens is you've got a

high avatar and you've got a low avatar

and then you end up pricing if this were

like a line here, you end up pricing

somewhere around here. And that's the

issue because if you only serve this

high avatar, you could be pricing here.

So even if you had this drop in volume,

you'd be able to make up for it in

pricing power and then as by by

extension be able to make up your

profit. And so this is just one of the

seven issues. So right now, if you're

somebody who's like, I'm not sure which

customer I should go after, you're going

to look at this and you're going to want

to look at this next piece, which is

your LTV to CAC.

So I look at LTV to CAC for the cheaper

customer, LTV to CAC for the higher

customer. If LTV to CAC for the higher

customer is better, I then ask the

question, how can I do more of this so

that I can make up for my loss in in

low, right? And by doing that, I can

then re uh recolor or reshift the

percentage of customers I have in the

base to be these high high caliber

people. So that's number one. The next

is data which we talked about earlier,

right? These are the metrics. If you

don't have the metrics in your business,

you're like, well, I can't afford to go,

you know, get the metrics or make this

decision, but I can't afford not to make

this decision. So one, you have to be

able to operate on incomplete data. Two,

you want to think about directional

rather than absolute. And then three, if

you have a way of getting the data, then

that becomes your priority. Maybe that

means that you don't grow for a quarter,

but you have the data so you can grow

for the next three.

The next is focus. Now, this one I have

not mentioned at all at this point, but

is one of the the biggest ones. All

right, which is it's super common when

you're an entrepreneur. In the

beginning, you quit your job, you quit

your whatever, and then you start

something on your own. You take that one

big jump, and it's so rewarding because

you're still here. You're still in the

game. And so, if you've made that jump,

then what happens? you get this really

good reinforcement loop on a bad

behavior, which is jumping ship and

starting something new. That's what it

reinforces. Which is why it's my belief

that so many entrepreneurs are so

addicted to starting new things. You've

probably seen

this outline of mine. Oops. One more.

Okay. So, you've probably seen this

outline of mine that looks like this.

So you've got your uninformed optimism

and then you've got your

informed pessimism.

You've got your valley of despair.

Then you've got informed

optimism.

And then you've got achievement.

All right. So these are kind of like the

five stages that that happen in

entrepreneurship. But the problem is so

many people just repeat one, you know,

one, two, three over and over and over

again. They get to the value to spare

and then they say, you know what,

there's this other thing that looks

interesting. Let me ride that ride

again. And so they keep going over and

over again. And so what happens is right

now, I remember I had a lady who came

who was uh who had a yoga studio and a

chocolate factory.

If you're on here, I love you. I I don't

I don't want to I don't want you to feel

bad. Um but like it was one of the most

hilarious like I'm building a platform.

It's like I love you and I believe you.

Um but the thing is this is that you

have some crazy reason why you think

that you should have two completely

different businesses.

You probably shouldn't because it's hard

enough to do one and try to make two win

is near impossible because you're

basically just taking all the

horsepower, all your mental brain power,

all your spare time, all your talent

between both companies and splitting it.

When what happens is if you concentrate

all of that attention, all of those

resources, all of that talent, all of

your money on one opportunity, like I

talked about earlier, 1 million, 10

million, 100 million, almost all

opportunities can get to 100 million.

And so if you're not there, it's not

moving fast enough, it's usually because

you have too much going on. You can't go

deep enough with anything. Right? If

you've ever done this, if you've ever

cut things out of your life and you're

like, "Wow, I feel so much better. Man,

I feel so much smarter. I feel like I

can solve these problems that were once

seemingly impossible. I can now solve

them really easily." It's because you

have bandwidth, right? You literally can

just think through the second and third

order consequences deeper on each

business. And so right now, one of the

big strategic issues that comes up is

that you simply have too many things

that you're pursuing.

So, what's the hard hard now versus hard

later? You're going to have to make the

hard call and pick the baby that you

want to keep. Little Sophie's choice. It

sucks. And I only say this to somebody

who has struggled with this one more

than any of the others of the seven. And

it's so painstakingly difficult. Um,

I'll tell you a little Well, we're all

here. We're all hanging out. Let's just

do it. So, I'll tell you how to get over

this because I think entrepreneurs more

than just about anyone are super add.

And so if you have this creative mojo,

you've got this juice that you want to

get out, there's a reason that I write

books, it's not the best use of my time,

but there is a reason I do it. And the

main reason is because it gets out this

energy that I would otherwise be using

to break my business. The business runs

exceptionally well when it has this much

of me. If I'm there all the time, I

break too much stuff. So, which is why

it works well for me to like work with

companies like once a year because like

it's like here's all the stuff that'll

give you 12 months of work, right? Um,

but what are the divisions? If we think

about the divisions of a business, what

divisions benefit from

somebody who has lots of innovation,

right? Like, let's think about it. Which

one benefits the most? I'll give you a

hint. It rhymes with marketing.

And so, if you're like, man, I have

trouble focusing. I like doing lots of

different things. Then what I would

encourage you to do, and this is what

took me way too long to figure out,

one front door that leads to money,

which is your business. But if you want

to have lead magnet number one, lead,

you know, lead magnet number two, lead

magnet number three, uh, you know,

media,

um, you know, uh, content,

ads,

scaling, roadmap. I don't know if you

guys paid attention during the uh during

the the the money models uh,

presentation. Uh I was like if you guys

have gotten value from my free podcast,

free course, free event, free keynotes,

um free scaling roadmap, free books,

free audio book, like I had all the all

the different things and I free

newsletter. I was like my god, I do so

much stuff. And so the thing is it's

like I have so much juice that if I

don't squeeze the hell out of it, but I

have to squeeze it in a way that doesn't

break the business. Imagine all of that

horsepower. And this is what the earlier

part of my career was like. I would

literally take all of this and I'd be

like, "All right, we got a new sales

script. All right, we got we're building

another landing page. Hey, we're also

going to, you know, change this about

our delivery. Hey, we're also going to

be, you know, changing this on on the

back end over here. Oh, by the way,

finance, if you can redo, you know, the

way that you're reporting this stuff,

that'll be awesome." And I would just go

around like a Tasmanian bed devil just

breaking things, right? And so, no one

ever could breathe because I had

everyone buried underwater because it

takes two seconds for me to make a

directive. it takes two weeks for them

to to actually deliver on it. And I

could make commands and make directives

fast than people could do them, right?

And so you have to you have to pull back

and realize and I had that cost of

change thing was that like you have to

realize that some things will stay

imperfect.

But striving to constantly change things

does not make them more perfect. It

actually makes them more imperfect. And

took me a very long time to realize

that. And then eventually as Leila and I

learned to work together better and

better, it's like I just kept naturally

gravitating more and more to the front

of the business because I didn't hurt

the business when I made 17, believe it

or not, one of my first uh lead magnets

for gym launch was 17 money models uh

for for making gyms wly profitable. And

so it's just like these are the models

that we use to build, you know,

profitable gyms. I had nine profitable

frameworks. I had all these different,

you know, frameworks that I would use to

build gyms. And I'd write these

basically just full books. I mean like

my my lead magnets were like 120 pages.

Like they were full books. Um and I

would do these and that's why like

people would come in after consuming and

be like my god this isn't because I

would just pour my heart into it because

I have an overactive mind probably like

you do. And so I this might be one of

the bigger like for the right person

maybe like 5% of you this might change

your life. Like just realizing that you

take all your ADD and don't apply it to

your business apply it to your

marketing. Okay.

Oh, I didn't finish this. See, there's

my there's my example of ad. Okay. So,

so you got to pick your avatar. You got

to pick you got to make sure you're

getting your data. You have to focus and

kill kill the babies that sounds

aggressive. Kill kill kill the the

businesses that you uh that that are not

the main thing. Um,

by the way, the new business, the second

one, the one you started afterwards,

always seems like it's the one that has

more opportunity in it. That's why you

decided to do it. But that's also

probably not true because um the people

who are in there also know that there's

crap in that business too. You just

haven't figured it out yet because

you're on my little optimism trail.

You're like up here. Okay, the next one

is over uh overexpansion

which really just means undertalented.

So this is the uh supply constraint.

So, if you have one location and you

opened a second location and you're

like, "Okay, but now my two locations,

like I had one location that was here, I

opened a second one, both went down."

Then you say, "Okay, well, I cut my

profit in half between two, but now

what's the best decision? I should open

a third location, right? And it goes to

crap. Now you have three times the

liability and even less profit. No

bueno." So, it's not to say that you

shouldn't open locations, you shouldn't

expand. Of course, you should expand.

That's the goal if you're doing a good

job, right? You should expand the

business. But if you expand too fast,

it's not that you expand too fast, it's

that you had too little talent to

support you. And that's the thing is

that with one business, one location,

one smaller thing, you have more

coverage. As soon as you expand beyond

your purview, if you don't have other

people have good decision-making power

and ability, competence,

things will start falling through the

cracks. And so it's a people issue. And

so overexpansion just means that you

don't have enough good people. Now, this

is can be tough though because you're

like, "Well, now that I'm I've got these

two locations, I can't afford to bring

anyone else in because the performance

has dropped." So, you basically have one

of two options. Option one is that you

essentially just kill yourself. That

sounded aggressive. I mean, like kill

yourself working-wise. Like, you just

bury yourself to try and like, you know,

breathe life into this thing again and

work overtime at both to get them above

so that you can get the cash flow or you

just realize that you made a boo boo and

you might have to give up your profit

for six months to get somebody else in

who can manage it and then hopefully

they turn it up. But like this is why

business owners are paid more. We take

on more risk. Like that's like that's

why we get that's why we get the

paycheck when it works out, right? We

take on more risk than other people

other people do. So overexpansion, you

solve that by cutting losses, by

overworking yourself or by bringing

someone in and underprofiting. Those are

your options.

But if you don't do anything, you will

just stay there and eventually just like

burn out because you will make no money

and then you'll work like you'll be

working all the hours of the day and

literally just not make anything. I only

know that because I've done it. The next

one is um compensation.

So this one sometimes happens. I would

say this is the rarest of the list, but

if you're in this category, this applies

to you. Um

this can be over or under compensation.

So the HVAC, you know, thing that I was

telling saying earlier, if it's like,

man, you know, we can't we can't find

good talent. It's like, have you

considered paying more? like some of the

best returns I gotten by far is taking

whatever the market rate is and then

always paying top 10 percentile, top

eight, 15th percentile of uh of of roles

that are key lever points within the

business. And so to this day, I still

think some of the best value arbitrage

that exists is on talent always. I mean,

think about the reason that Zuck would

pay a hundred million signing bonuses

for AI because he believes the return is

there, right? And obviously the return

is there and he's done this a lot of

times, right? Now, on the flip side, uh,

so that's when you're not paying people

enough. On the other hand, you can also

pay people too much. If you have a

frozen yogurt store, you're not going to

be able to do profit shares to the front

front desk people. It's not going to

work, right? Um, and so we want to make

sure if you're like, okay, but if I were

to change this rockin hardplay scenario

if I'm going to change this compensation

structure, then I'm going to lose I'm

going to lose people, right? I might I

might lose some talent. So, I'll tell

you how to do this. So, the price raise

letter,

this guy, you guys all have it. Um, by

the way, banger, so good. But you can

use that same concept and apply it to

compensation. And so the way you do that

is you say, "Hey Sarah, uh, I know that

you came in and I said I would give you

50% of revenue that you're that you were

generating. So I owe it to you one to

apologize and I want to tell you why."

So, I told you that I was going to have

this big vision for how you could grow

your career here, have more opportunity.

But based on the current compensation

structure, this business will never grow

because there's just not enough capital

in order to to expand. And so, I owe it

to you and I owe it to everybody else in

this business to give this business and

our customers a shot so we can help more

people. And so, this is what we have to

do. The decisions already been made. I

have to change compensation and it has

to be like this. That being said, that

wasn't our original agreement. And so I

want to give you um you know three

months to think about it. Um or you

could say I want to give you you know a

week to think about it. This is what the

compensation would be going forward. Um

but then what we do is we say hey your

your uh price your compensation is going

to change in 90 days. All right. That

way they have a three-month runway and

then you also if they tell you the next

morning or two days later that they

don't want to do it, you also have three

months to go back fill them with

somebody that's cheaper. And if you do

it earlier, you can obviously, you know,

excuse them earlier if you want, or they

might just say, "It's okay." And I'll

say this, of the times I've had to do

it, I really have not lost many people

because most people are like, "I get it.

I did think it was a little bit rich."

You know what I mean? And they they kind

of get it. They're like, "This is a

little above market." Like, I'm not

going to say anything because I'll take

the money, but like I don't know when

the when the music's going to end. So

the next one is underpriced. Okay.

So underpriced

is god it's so like if I'm looking I'm

looking I'm looking at you guys right

I want to say at least 40% of you are

underpriced

and so taking to the natural extreme so

think about what a service business does

when it's when it's super super old and

has done well you can you can pretty

much draw a straight line between the

price of services this is with humans

right price of services um and the

experience and skill of the service

provider. So if you want to demonstrate

that you have more skill, you can know

by how much you charge because taking

the other natural extreme, if you did

everything you do for a dollar, you

would have pro hopefully you would have

a lot of people who take you up on it,

right? And then as you slowly keep doing

that, you'd be supply constraint, supply

constraint, supply constraint,

eventually you'd reach some point where

you'd be right at the equilibrium.

That's not the most profitable point in

the business because ideally you keep

having more demand and you keep being

able to keep driving that price up. And

so that is where the brand loop of you

doing a good job, people telling people,

continues to spin. And so you want to be

always driving price up because it means

you're doing a good job. It's an

indicator that that quality has

sustained at each at each increment in

in value creation. And so most of you,

that's why pricing is such a big one.

I'll actually I'll read you what what

Cameron texted me. He's my friend from

from elementary school. And uh he we

called up on him on um uh during the

live. So he said uh this is such an

amazing workshop already helped me so

much in actually understanding my

constraints. I was sitting here thinking

I have a manpower constraint but really

my current biggest constraint is cash

flow. If I fix that then I'll have the

cash to better attract top talent.

Right? And that's the point is that like

it's sometimes it's several orders or

several steps they have to reverse

engineer to get to how you actually

solve the problem rather than what the

problem is. Right? And so the the profit

playbooks will help you with that. Um,

and that's why like it's there's three

playbooks just around pricing because

it's such a powerful lever. Um, and then

this one

is single product. So, this basically

just means that you have insufficient

LTV, but you're unwilling um to add an

additional upsell or additional thing.

So, it's like, hey, we're, you know,

we're selling customers um and but our

our margins continue to compress

compress compress compress compress

right now. And so it means that you have

to have an increase in LTV, right?

Because the cost of leads will always

only go one direction, which is up. So

think about this.

If you're making content, the first

people that ever join your world when

you're an early content creator are

going to be the people who are the most

interested in this stuff, right? Because

you aren't that good at making content

and it's super early in the algorithm

for their, you know, displaying your

stuff and they bought in, right? If

you're running ads, the first people

that a ad platform is going to show your

ads to are the most likely to convert

because that they can only do it at that

level of spend. And the higher up your

spend goes, the colder and colder the

audiences are, the lower and lower the

conversion is, right? Which is why you

can only achieve tremendous scale with

spend. when you have a tremendous money

model that can still monetize a much

broader and colder base or you have a

brand that just has a massive warm

audience you've already provided value

to, right? So, you either expand your

warm audience or you find a way to

monetize warm cold audience better. But

in either of those scenarios, typically

what happens is your margins continue to

impress and you keep trying to hope that

you could go back to your old customer

acquisition cost, but you can't because

cost of acquisition only goes up. it

literally only goes up. So the best

deals you're ever going to get on

getting customers, unless you know,

barring you have some major issues with

how you acquire customers, is going to

be now. So really think about that. And

so if you have a single product,

sometimes it's time to just create the

upsell. And when you're like, what is my

upsell going to be? I'll give you a rule

of thumb for my upsells, but typically

so this this launch was an exception to

that mostly because uh logistics of of

doing payment was difficult with the

volume. But typically I I go 5x

and the reason for that so the

appropriate price for like scale

advisory should be like if I were to

just do normal pricing should be between

30 and 36,000. That would be the correct

price for it. It's 18. the correct price

for it is because typically 20% of

customers

will take something that's five times as

expensive because customers tend to be

fractal 8020. And so if 20% of your

customers are willing and able to spend

five times more, then it means that with

each additional upsell or service that

you add to a continuum, then you double

revenue with each of them. All right, so

I'll do the math real quick. Is this

cool? I like this stuff I like geek out

on.

Okay.

So, let's say you sell um 100 people

at $100.

Cool. So, you've got $10,000.

Okay. Now, we have an upsell that 20%

take. So, we got 20 people and we're

doing five times the price. Remember

And here we could say, you know what, we

also have another thing that's

$2,500 that we expect 20%. So four

people are going to take that.

So we go from $10,000,

here's the cool part, to $30,000 in

revenue.

But this is the sexiest part of all.

This is for servicing a 100 customers.

This is for servicing

124 customers because all we do is we

add this 20 and this four. We triple the

business.

So that's how you solve one of these.

Okay. Is that cool? I think it's I think

this stuff's cool. like this stuff like

when I understood this part of like this

is how pricing to like this is how I do

pricing um is you reverse engineer to

the willingness to pay of the avatar you

have rather than trying to say well it

cost me this much like it's cost plus

pricing is not how you price things you

price things by willingness to pay.

Okay, so let's get really tactical.

Hopefully that was good. Um ad focus is

these are seven of the most common

things that people get stuck on. Um, if

any of those, I'm sure more than one of

you guys, you know, resonated with one

of those things. Make the hard call,

make the decision, debottleneck the

business. Okay. Now, I want to talk

about a couple of the more common kind

of playbooks. Okay. So, this is more

just like me observing a lot of

different businesses over the years. And

so, um, like people behave in patterns

and they typically come in with similar

skill sets and similar personalities. So

like there's people who are good at you

know like Instagram which typically have

a little bit of a different personality

than people who are like really good

YouTubers which are different than like

the big live streamers. Now of course

there's people who just like learn how

to do everything but people who are

attracted to one or the other tend to

have different kind of like psychoraphs

and as a result they approach problems

in similar ways which means they

typically have similar problems and are

constrained by the same things. And so I

want to give you a couple of examples

that I think represent kind of like with

broad brush strokes many of you. Um and

so let's talk about the influencer

playbook. So if you can can we do a

poll? Is that possible?

Can we do a poll?

If we can't do a poll, you can just say

it in the chat. Oh, do I need to talk a

little faster?

I can talk faster if you want me to talk

faster. Okay.

So, part of the reason, by the way, that

I um that I that I put words on the

slides for uh my presentations um as

much as I can is because it it slows

down my cadence. Um which is better, but

I'm flawed. Okay, so influencer

playbook. Um let's let's rock here. I

wanted So, I'll tell you what the poll

was going to be. The poll is just going

to be uh how how many of you guys use

organic as your method for getting

customers? So, how many of you guys I

know she's joking. How many of you guys

just just put a one in the chat. Um if

you

if you use organic as your primary means

of getting customers.

Yes. Okay.

Give me some ones. We got some ones.

Okay. Great. So if you're an influencer,

I think this is really important to

understand.

Okay? So pay attention. So right now,

let's say that you're doing $1 million

per year. It doesn't really matter. Just

like just say this is your current.

All right? You're currently doing a

million dollar a year. Now, I want you

to imagine you've got a hundred,000

followers

that are following you right now, and

that's what's generating

this million dollars a year. Now, when

you post,

you normally are getting, let's say,

like, you know, one to two% of your

traffic of that of that 100K is actually

seeing your posts. Right?

Now, when you make a call to action,

it's more like 0.1%. It's a little dot

inside of there.

The reason that there's typically a huge

amount that you can increase with a

business that has organic when they run

ads is that

if you think about it like this,

you're currently monetizing this 1 to

2%. Okay? When you run ads,

you basically reach down below there and

just monetize a larger slice because

you're able to reach a way broader

amount of the audience that you have

with your paid ads.

It's not necessarily expanding your

audience. It's simply t it's just

reaching a higher percentage of them on

a consistent basis. So, there's

something else that does this too, which

is a sales team.

Both of these things don't expand, not

really your capacity because most people

who are influencers who then start

running ads or do organic and then start

running ads. You're not running like

branding and value based ads. If you did

that, you could actually expand the pie.

But most people run kind of right hook

direct response ads, which is fine. And

use your your free content as your way

of kind of top of funnel of letting

people know you're they're aware of you

and providing value. And then you kind

of scoop back up with ads and sales

teams. Both these things kind of reach

further down. But the thing is is that

each of these levers you can only pull

once. So you'll get an instant 2x, 3x,

5x, which sometimes can be really

material. So I don't want to downplay

that. It can be really big for a

business. But once you do that, that

lever is pulled. There's nothing else

you can do. And so then you go back to

what's the constraint. And so in those

businesses, you want to make the I'm

going to go off the off the page here,

but you want to expand the pyramid so

that ideally this one to 2% or wherever

your ads drawn is that now that same

percentage captures even more. Okay. So

if you were an influence and you're

like, I want to grow my business. What

should I do? Well, there's a number of

things kind of like many many roads lead

to Rome or many many paths up the

mountain. You could just start running

paid ads. And if you did that, you would

probably make more. And by the way,

running paid ads so much easier than

making content if you just didn't know

that. You just like don't know how to

click the buttons. It takes like an

afternoon. Like it's really not hard to

learn. Making content that's good, much

harder. So, just take your best

performing content, slice a CTA at the

end, CTA being call to action of like uh

literally take your top 10 from the

year, highest performing pieces of

content that are not like meme stuff,

but stuff that's like specific to your

avatar, the stuff that you actually like

the type of people you actually want to

help, and then say, "Hey, by the way,

like um like let's say I had a, you

know, something about businesses and

making money, whatever." I would say,

"Hey, uh by the way, I have seven other

things that are just like that that I

want to give to you for free if you opt

in over here. Let me show you a visual

of it." Awesome. And if you're the right

type of person, I'd love to book a call

with you. Or if you have something

that's a straight checkout, it's like

and if you want, you get the whole

complete thing on the next page,

whatever. Right? And so the idea here is

that you can go ads as one way, one

lever you can pull. You can do sales

teams as another way because that's just

going to convert a higher percentage of

the audience. Um, this expanding the

triangle this way is going to be more

versus better content. So how when do

you decide to do more? When do you

decide to do better? I always do more

first and then typically after a certain

amount of more it accordians. So I'll

give you kind of like a a verbal

example. So if I go I make one YouTube

video a week at some point I say you

know what I'll bet you I could get to

like three three YouTube videos a week.

So then I expand my my three YouTube

videos a week and then all of a sudden I

look at you know I look at my last month

or two months and I'm like man you know

80% of my views came from three videos

that happened over the last you know 12

weeks. I'll bet you if I spent more time

on just making the videos better, I

would get even more out of it. So then

it cordians back down. And then I say

and then I learn all the things that

make something good. And then I say,

okay, can I do that repeatedly and do

more of them? And so it's very natural

to have this better versus more, better

versus more that happens with content.

So I don't think there's a right answer.

But typically, if you've been stuck for

a while, you're going to have to do one

or the other. And if I have to bias,

I'll typically do more first.

Now, for anyone who who tends to

monetize, I I'll give you a couple

couple platforms. So, if you monetize on

if you have a YouTube uh audience, if

you have an Instagram audience or even a

Tik Tok audience. So, something that we

have found that's worked exceptionally

well for a lot of companies is they

actually direct almost all of their

traffic towards Instagram. So even

though they have a YouTube, they could

have they could obviously go straight to

checkout or have a link there, which is

fine, but you can also have people just

like DM me on Instagram and Tik Tok.

Like Tik Tok's been notoriously

difficult to monetize for anything

expensive. So Tik Tok shop and low

ticket, you know, consumerbased products

tend to do really well with Tik Tok. But

anything that's in the thousands or B2B,

much harder time. The only people I've

seen succeed with that is that they say

their call to action on their Tik Tok is

DM me on Instagram and then they have a

DM funnel. So, what's a DM funnel? So,

if you guys saw um on the launch, we had

like book or comment book or DM book or

whatever as a call to action on some of

the posts, especially the green man

posts. And so, um if you look at like

the Guinness record uh video on my

Instagram, it should be in the first

like 12 or so, you'll see it has like

20,000 comments on it. And it's because

the CTA in there was like, "Hey, if you

want the free stuff uh from the launch,

comment, I think it was book." And so

they commented book and then because of

that there's many chat automation that

just fires and then sends them the thing

they say yes and then it sent them the

link. But by doing that you build a

whole another list and you'll be able to

actually turn views into leads and leads

into conversations because the

conversions will happen in the

conversations. So you're like okay that

would be like an influencer playbook if

we're like how do I grow the influencer

team provided sorry influencers revenue

provided they don't have a supply

constraint. So that's what I'm going to

go deep on these because I want to solve

as many of these problems for you guys

as you can. All right. So it would be

combination of ads versus sales teams.

Pick one. More content versus better

content. Pick one. And then I would add

in a CTA with many chat um as the

mechanism behind making that that work.

Doing that with an influencer business

can like immediately grow the company.

Okay. So,

so, so I was putting the, uh, putting

icons in and putting visuals in for this

presentation. Um, and I accidentally

said, uh, give me a icon for Homer

services instead of home services. And

so, and so gave me this, which I thought

was hilarious, and so I left it in. Um,

but if you're a home service business,

right, so you're brickandmortar, you've

got trucks, you've got routes, you've

got technicians, uh, you've got

tradesmen. um really common couple

things. So number one, if you're not

running any ads and it's all word of

mouth, if you run ads, it's like ads in

home services for whatever reason, it's

just like the competition is just not

that sophisticated. Like if you just run

like simple lead ads and call them, you

do exceptionally well. Um I've also

found that home services in general tend

to have really really terrible websites.

So, they'll have like a hidden button

that no one can ever find that says like

talk to a rep or it says, you know,

request a quote or request an invoice.

Horrendous, right? No one wants to opt

in for that and they still get traffic,

right? Because the whole industry is so

supply constrained. But if we fix that

by adding a sales motion, adding a

nurture rep, jacking up the prices so

that we actually meet like it's okay

that we sell fewer. That's fine. We

can't even handle the volume we have. we

might as well make more cash flow so

that we can hire more people, right? But

page optimization. So, this is this is

just having done so many home services

businesses, these are the common things

that you probably need to be looking at.

Um, and I think the reason home services

typically suck at sales is because they

don't have to be good and they can still

get business. They also typically suck

at marketing because they don't have to

be good and they can still get business,

which is why they tend to be price

constrained. Now, part of the reason

they have price constraints for those

who are in home services

um is because they believe that they

sell a commodity, which maybe you do,

but that's your choice. So, if you're in

home services, as a reminder again,

because there's common themes here,

you can win on speed,

you can win on risk,

you can win on ease.

These are your three vectors of value.

And so we have to think what are the big

fears of a customer. They think it's

going to be overbudget.

They think it's going to be

uh overbudget overtime

and headache,

right? And so we want to guarantee

around these things. And so I would say

pick one of these that you think you

absolutely can win on and then lean into

it. Speed is an excellent vector to beat

people on. And then the natural thing

that comes back is like, well, I've got

subcontractors. I've got these other

tradesmen that are subs underneath of me

that I can't control. You can if you

choose to pay them more to do things

faster. So all of these things is like,

is it impossible or just more expensive?

And if it's more expensive, can I price

that in? If I price that in, can I make

more than it is expensive on my price?

Probably. And especially when you're

somebody who's supply constrained, like

the first your first gut reaction to

like, I can't handle the amount of

demand that I have is raise your price.

But everyone's afraid of raising their

price because they're like, we closed

80% but we can't handle anymore. It's

like then close 40 and triple the price.

And you're like, there's no way we could

do that. It's like, well, you should get

that looks at, right? Of course you can

do that. Done it a zillion times. That's

why we wrote the whole price rates

letter. That's why we have the pricing

playbook. You can totally do it. Now,

I like to pair the solutions in the

following sequence.

So, this is how we do it. I go sales

motion. So, this is where we install the

VSSL that I referenced earlier. So, we

put a sales motion in place, right?

Which is going to be a VSSL. We're also

going to have lead nurture so that we

get to a higher percentage of our leads.

We then follow the closer

the closing book

which then gets us even more. So think

about all of this is squeezing even more

demand in and you're like I can't even

handle demand. So now we got to drop put

some put some brakes on it. So this is

why we jack the price

and then with this jacked price and this

way more demand we might be able to

double price and keep sales volume the

same. We might even double price and

sales volume goes up. Oh no. Right. But

then what happens is cash flow goes

through the roof. And so let me show you

how because this is super common yet

again for home services businesses.

And I'm covering these each of these is

like one out of five of you is each of

these big categories that I'm doing

right now. Um so most home services

businesses and I and I hear this a lot

and this I want to like erase this from

your mind. If you've ever like I get

this this this retort which is hey I you

know we run you know 15% margins but

that's that's industry average. That's

that's kind of what it is in our

industry. Why on earth would you compare

yourself to anybody else? They're all

broke. Don't look at what they do. They

have no idea what they're doing. I

promise you they have no idea what

they're doing. Zero. No idea.

So you have this quote industry average,

but like the American average is

overweight, divorced twice, like can't

hold down a job, can't focus, scrolling

TikTok eight hours a day. Why would we

compare ourselves to that average?

Completely irrelevant. Just do it down

to physics. If we have more demand than

we have supply, uh then we should raise

our prices. Now, back to this. So if you

have

a normal home services business, you

might be running 15% margins. Okay?

Well, if we let's say we incre let's

just let's go crazy. Let's go crazy. And

by crazy, I mean not crazy at all. And

let's just say we do a 50% price raise.

If we pair that with an improvement in

the sales motion out of VSSL, we

actually work our leads and we follow a

closing process and we got our price

raise. What did we do to our profit?

We 4x the profit of the business.

Dudes, we do this all the time, day in

and day out, every week to home service

businesses. There is so much opportunity

here if you just know where to look.

So, this is a stack of solutions and I'm

giving you guys more stacks of solutions

here um so that you can actually

implement these and and win because now

of course like let's play it out. You

increase the cash flow, what happens?

But I'm supply constrained. Great.

Pay more.

pay more referral bonuses,

more

recruiting and ads.

So, you have to follow it through the

natural sequence. And if you're like,

well, that's going to take me like the

thing is is like this, this, this, this,

this, all those lots of words, two

weeks, it doesn't take a ton of time to

do that. This one will take more time.

This is decisions onetime asset process

training process training process

training couple weeks price change

decision

cash flow output

okay

and I have that the last the last bullet

there because I think it's worth saying

I see a lot of home services businesses

do a do an absolutely atrocious job at

uh sales and specifically uh lead

nurture. um one of the highest

converting and there's been a bunch of

shorts about this but like there was a

guy who came in he was closing 55% of

his leads and he was able to close 55%

of his leads that he was only getting

two to three leads a day and I think he

was in I think it was in roofing um

because he hired his aunt to only have

one job which was that she called the

leads the moment they came in. That was

it. That was her only job. She she had

literally no other responsibilities. He

only got two to three leads a day. But

he knew that if he could call them

within 15 seconds, the likelihood that

he would close them doubles, triples,

quadruples, right? And so some of you

are like, "Man, I can't afford to hire a

lead ner." It's like, "Dude, you can't

afford not to." It's like you're

converting 5% of your leads. It's like

you convert 20% of your leads, you 4x

revenue. Could you with 4x revenue pay

for a new a lead nurture rep? Probably.

All right. So, that was home services.

You guys digging this? Okay.

So uh this is B2B services and SAS. So

this you know I I book both these

together despite the fact that um you

might be like how does a B2B service and

software as a service similar? Well they

actually say that they actually

fundamentally sell the same thing. They

deliver differently. So B2B service and

a B2B SAS is software as a service and

B2B service is just service as a

service. Right? So they're both SAS

service as a service software as a

service but they sell the same thing.

They just have a different delivery

mechanism. And the idea behind B2B SAS

is that it should be more consistent

because it's software. It's technology

that's doing it. And it should in theory

have higher gross margins. Doesn't

always, but it should in theory. So

you'll notice that the sales motions for

a B2B service and a B2B SAS are almost

identical. So the sales motion that we

had for Allen, for example, uh the

agency software was identical to Gym

Launch. Like literally just like line

for line was the exact same thing. Um,

and so the the the common issue with

these types of businesses, especially if

you are more ads driven on this. So I

I'll I'll give you two examples. Um, if

you are more ads driven, then you're

noticing that your cost to acquire

customers is continuing to get more and

more expensive. Uh, your margins are

compressing and compressing. Churn is

likely going up uh because your delivery

on the back end has continued to uh

dilute because you're not as good at

training and recruiting as you are at

marketing and sales. Um that's like

archetype one. Archetype two is the

entire uh B2B uh referral driven

business that has almost no marketing in

general. And so they have different kind

of playbook stacks uh to solve those.

All right. So let's say the ads driven

B2B.

So this may seem counterintuitive but

number one is going to be content. And I

know that sounds crazy because you're

like wait how's that going to fix? The

thing is is you have a brand issue. is

that no one trusts you and they're right

to not trust you because you're diluting

like your your reviews, your word of

mouth continue to trickle down to almost

nothing and so you have to reestablish

the brand and start providing more value

upfront. This will in the short term

increase your conversion percentage. In

the long term, it'll start actually

generating deals and lead flow for you.

So that's the first thing that you'll

have to do. The next thing is that again

most most businesses here could benefit

from multiple VSSLs.

So if you have two calls or three calls

then you should probably have two VSSLs

or three VSSLs not just one.

The next here and this is super common

again is going to be avatar is they are

unclear on the person that they provide

the absolute most value to. So you have

to get clear on which customer segment

you're deciding to to serve. And because

of that because you're doing too many

things to too many different types of

people you can't price appropriately.

Your CAC is too high. Your margins are

compressing. you dilute down your

ability to service those customers um

because

you have too many people you're serving

and so you have to do so much custom

stuff it's impossible to be good and so

you have to narrow it so that you can

templatize it and get consistent

outcomes. When you have a consistent

avatar, you have consistent messaging,

consistent outcomes, then the whole

thing becomes more productized and it

ultimately drives more value, right? And

you can also now price appropriately to

that significantly higher value avatar.

So, it's not uncommon to see doubles,

triples, quadruples in pricing when we

get really clear on this 20% slice or

30% slice of your existing customer

base. That is the ideal customer base

for you.

So, content sales motion, making sure

that we're picking the right avatar,

which then

goes into pricing.

So, I'm trying to do like kind of white

whitewashed uh consulting with like

whole like tranches of you at a time. Um

but this is this is like the stack of

what I would be going through. So the

content here is going to be um marketing

machine plus branding

plus hooks.

This is proof.

This is uh your first avatar in the lost

chapters book. And then this is the

pricing um pricing playbook which is

right there. You already know what it

is. And so that's like the stack of

playbooks to go through. Okay. Now, if

you're the other side, so you're you're

a legal a legal firm or you're an

accounting firm and uh you you've been

doing this for a while and you have

people who are coming in. Um typically,

more so than anything, you guys suck at

sales. So, it's going to be sales

motion.

You don't need to do content. You need

to do sales motion. Typically, uh

pricing change

is almost

certainly the two things that you'll end

up having to do and kind of like I said

earlier with

the multi-step VSSL with these types of

changes um we approach it with something

called a calculator close which is if

you're the type of business that can um

demonstrate a savings. So this is super

common in accounting, super common in

tax, um it can be for different types of

restoration work, um different type of

commercial services, uh different IT, uh

security, there's a bunch of different

ones where like you save businesses or

make them money or combination of those

things. And so what we want to do is we

have to create a sales motion that

anchors our pricing with a calculator

around the savings around the earnings

as long as we can demonstrate it and

prove it after the fact which if you're

in that type of business you can. You

want to get completely get rid of this

whole cost. Like everyone here who does

cost plus pricing and if you're like

what's cost plus? You look at how much

it cost you and then you add something

that is cost plus pricing. It is a

terrible way to price. It's the worst

way to price. Please stop doing that

now. All right. Value based pricing is

the only type of pricing that matters

which is what is someone willing to pay.

Now what it costs you to do and deliver

is entirely not their problem. It's just

about what they're willing to pay and

how many people are willing to pay it.

And then you just do your math, right?

These are not up for negotiation. Now

you might think this and say, "Well,

wait, that would mean that we'd have

different prices for everyone." That's

okay as long as you have a method behind

doing it and as long as the margin still

works out great for what you're doing,

which if you're pricing it the right

way, you should. As long as the delivery

is still more or less the same thing in

terms of um the doingness of each of

your teammates, totally fine. I'll give

you a totally different example. So, one

of the best ways to sell, it's a little

bit more advanced for like a weight loss

uh business like a gym. Like the easiest

way to sell is to sell a program six

weeks defined end like here's a

challenge or whatever detox

transformation. If you get a little bit

more advanced, then you want to sell to

goal. And that's exactly what this is.

is a calculator close is selling to

goal. It's a diagnostic sale. And so

what happens the person comes in and you

say, "Okay, you want to lose 50 pounds,

50 pounds. We find that it takes

reasonably we want to do 2 pounds a

week. It's going to take 25 weeks for us

to get there. Then we're going to have a

maintenance period of, you know, half

that time, which is going to be 12

weeks. So 37 in total. And then we're

going to do a recalibration phase after

that, which is another 12 weeks. All

right. So all in all, we're looking at

whatever that is, 49 weeks. Okay. Now,

we charge 200 bucks a week. How do you

want to pay? Right? And all of a sudden

that becomes a $9,800 sale. Right? Now,

somebody else comes in later and they

only need to lose 30 pounds. Then that

means that you can just decrease the

amount of time. That's fine because your

revenue per person per month is the

same. You just have different durations.

And the doingness of each of your team

is still going to be stop eating crap,

move more, jump to the gym. Right? You

get what I'm saying here? So like even

though the the price can accordion

um the revenue per customer is going to

be the same and then you just renew them

at different times. Okay, hopefully that

was um if you were in either of those

scenarios either the uh kind of referral

driven or ads driven you have some

playbooks that you can follow. Okay, so

quick reminder here um one constraint at

a time. So even though I do these stacks

here, every business has one constraint,

but we focus on solving that constraint

by reverse engineering it. So if the

issue with this business for example is

that we need to be able to price better,

right? Well, then we have to start here

and then move on as we move through it

so that we can price better.

the the Instagram the Instagram the

influencer business that I was

referencing earlier.

This business not wants to convert a

higher percentage of the audience. Let's

say that that was the constraint of the

business. They just need to sell more.

So, can we do more? Well, we could do

more content. That would work. We could

do more ads. That would work. We could

do more sales. That would work. All of

those things work. And so, that's why in

the beginning, there's multiple multiple

paths of the mountain, but they're still

solving the main issue, which is we need

to get more leads so we can get more

sales, right? it was a conversion issue.

We have the leads. We're not converting

as many of them as we need to. And so

each of these processes will drive that

conversion mechanism. And so you can hit

it with multiple angles. That's fine.

But the constraint remains the same.

And once you hit it from all three

angles, eventually you get to a point

where like, oh my god, we don't have

more leads. And then you say, great, we

need to make more better content. That

becomes the next constraint, right? It

always the constraint will move. If

you're doing a good job, your constraint

will move regularly. If you're doing a

bad job, you'll have the same constraint

for years.

So many ways to solve it but you want to

identify them correctly.

Okay. So final reminders uh your

constraint is your priority. It means it

comes before everything else. You want

to leverage all of your resources

against the constraint and you want to

build compounding vehicles for long-term

success. So

and then we're going to do AI stuff. All

right.

So we have all these different things.

We find our constraint.

We then want to apply leverage

to our constraint. See if we can hit it

from a bunch of different angles. And if

we succeed at this, we create a

compounding vehicle.

Because fundamentally you want to have a

way

where you put effort

plus money plus brand all of your

inputs, right? You want to put all the

stuff you've got into your machine

into your black box. And you want this

thing

to self-compound.

And so this is the flywheel. So if

you're a brick-and-mortar business, it's

like you eventually just want to get to

the point where once you fill up a store

or a shop, you don't need to spend money

on marketing again because that shop

stays at full capacity and then the only

lever you have there is pricing. You

just keep jacking price and you stay

there and then you open up another

location and you repeat it and you do it

again. Um, if you have a a brokerage or

something that's like sales driven, it's

like the whole point is you're going to

have to get into a business that you can

continue to recruit, onboard train,

recruit, onboard, train, and then

consistently activate new sales reps.

And then as long as those sales reps are

uh produce, you just keep stacking year

over year over year, right? Um, you need

to have some sort of compounding in the

business. Otherwise, you will run into

an issue where you're just kind of

flooding people in and they're just

falling out the back door. And then you

think the solution is I just need to

sell more people. But then your margins

are going to continue to compress. So

you want to learn enough marketing and

sales to get going and then you focus

all of your effort on making sure people

never leave and you have to stay there.

And sometimes it takes years to solve

that one problem. But once you solve

that problem, your business will grow by

default. And then you could keep the

same level of sales kind of like company

A and company B and you'd want to be

company B because that's the one that

just keeps growing no matter what

because even if you sell the same amount

or even if you don't sell, you still

make money. All right. So, with that

being said,

I'm going to call up a handful of the uh

the scale advisory folks who uh entered

their their data. Hopefully, you guys

can see my screen. If you guys haven't

done this already, like

do do it. If you haven't onboarded

yourself, uh we spent so much and we

still are spending a lot of time on

making this exceptional. Um, and so,

okay,

now your first time going through here,

you're going to have to take go through

the onboarding flow. All right. Now, the

onboarding flow, you're going to answer

these questions about your business. And

so, let's say

I'm actually going to call one up. So,

we're just going to do it right now. All

right. So, shoot, what was the code?

Okay, here we go.

Okay,

Kevin Gong, you're first up. Let's rock.

Let's put some speakers on this guy.

>> Yo, Kevin, what's up,

>> Alex? Oh my god. Hi.

>> What's up, man?

>> So, we're going to do this AI thing

together. All right.

>> Okay.

>> So, primary delivery type of your core

offer. Is it do it yourself, done with

you, or done for you? Where's your most

of your revenue coming from?

>> Um, most of it up until now has been

done with you. I just released a done

for you offer.

>> Let's just do done with you for now

then. Okay.

>> Okay.

>> Primary delivery mechanism for your core

offer is it software, information

services, or physical products?

>> It's a tech enabled service.

>> I'll say services. Okay. Um, primary

mode of advertising, warm outreach, cold

outreach, free content, or paid ads?

Currently, it's just organic. I had a

growth partner that I split up with two

months ago.

>> So, it's going to be free content. Okay.

Yes.

>> So, primary lead getter. Um, is it you

doing this stuff? Uh, yes. Okay.

>> Great. Uh, monetization mechanism. So,

for getting the majority of your

revenue, is it a continuity kind of

recurring payments, low ticket, high

volume, or high volume? It's it's

>> high ticket. High ticket recurring. It's

5K a year was my V1 offer.

>> Okay. I'll go high volume. Uh, sorry.

Low volume, high ticket. That's where

we're going to go. Okay.

>> Primary selling mechanism for your core

offer. Is it uh inerson salesperson,

online salesperson, online selfch

checkckout, or inerson selfch

checkckout?

>> Online salesperson. I'm the one taking

calls.

>> Online salesperson. Here we go.

>> How many employees do you have?

>> Just me.

>> All right. Easy. Uh, current tech

status.

>> Current tech status.

>> Yeah. So, do you run your business with

pen and paper? Do you have a mess of

spreadsheets? Do you use a CRM and maybe

a few tools? You have a full tech stack

or almost everything that can be

automated is automated.

>> Uh, Google Sheets Empire. I use GHL for

my CRM.

>> Um, yeah. So, I'll be either between

little or middle. I'll just keep it at

little. Okay. So, primary business

constraint

>> based on everything today. Yeah.

>> It's it's uh up between leads and cash

flow.

>> Okay. So, well, let's walk through this

together then. This will be fun. Okay,

before I finish this, let's let's just

let's walk through our our mossy six.

Okay, so it's gonna because the conrink

there can only be one. So,

>> why can't you get more lead? Like, why

can't you do more of what you're

currently doing?

>> Um, my lead flow was disrupted two

months ago when I split from my uh

growth partner who had 370K on IG. My

personal brand is very small. So about

1.5k followers on X and 7.4K on school,

but there's a very low engagement rate

in school. Okay.

>> But that's where most of my clients are

coming from right now is just from

upselling and ascending existing

clients.

>> Okay.

So you had a lead source that you lost.

>> Yes.

>> Okay. So you can't do more because you

don't have it anymore.

>> Correct.

>> Okay. Got it. So uh I don't think

metrics is an issue for you, right?

We're good there. We don't have to worry

about that. So, it's not metrics or I'll

just make that a checkbox. So, you've

got metrics and then market. I think

your market is plenty big enough. So, we

don't have a problem with that.

>> Yeah, it's a 60 trillion dollar tam.

>> Yeah, not worried about that. So, you

got metrics, we got market, then we got

model. I don't think there's any issues

with the model based on the goals that

you have. I mean, what are the goals you

have right now?

>> Um, I did 330 last 11 months. I want to

hit a million ARR.

>> Yeah, but this model can easily hit that

though, so I'm going to say yes.

>> Okay, great. So then we got money. So

we've got four options here within

money, which is we've got leads. You

can't afford them because you don't have

the leads aren't cheap enough. You've

got sales because you can't convert

them. We've got uh LTV and then we've

got cash flow. Okay. So uh I already

know that your issue is not going to be

cash flow because you sell a digital

thing and you get accelerated up front.

I'm guessing unless are you are they

getting charged up front or are they

charged over time?

Um I actually charge up front annual.

>> Yeah. Okay. So then cash flow is not

going to be the issue. All right. So

then

>> lumpy though it is lumpy.

>> That's because of uh insufficient

volume.

>> Uh not because it's inherently anything

wrong with the business. Okay. So you

just aren't selling enough of them.

That's why it's lumpy. Not because

there's anything like if you were

selling one a day it wouldn't be an

issue. So okay. So now we've got um do

you not have enough leads that are

coming in?

No, I basically have um not been doing

any lead generation the past two months

because I've been building out my done

for you offer with this higher uh LTGP.

>> Okay.

>> Well, okay. So, leads though. So, how

are you going to get leads right now?

>> Um right now it's just from ascending

existing customers and I raised my

prices by 4x recently. sale.

>> So, but you have a you have a leads list

that you're just going to hit

fundamentally and then after that you're

then you're I mean this is a one-time

shot. You're going to collect some cash,

but then after that you're going to be

at zero again.

>> Yeah. Yeah.

>> So, that's fine. Go do that. Extract

value. But then I think you're still

just going to have to do really more.

But it's just you haven't really you're

in a weird position where you like had

something and then now it's a zero,

which is not common, but that's fine.

So, either you're gonna have to run ads,

we're gonna have to make content,

or you're gonna have to do outreach. Um,

I'm gonna bet right now that you're

going to want to start being far more

aggressive on content as your primary

strategy.

>> I agree.

>> Okay. So, I would, if I'm you, I would

go hardcore marketing machine, branding,

and hooks as the three playbooks that

I'd be like pouring myself into. And

obviously you want to do VSSL with

proof, follow the closing and lead

nurture stuff. That's just because it's

going to that'll just like you'll just

juice more out of it. But the front of

the funnel is for sure the issue. And so

I'd be asking myself, how can I make

what? So you're on X and what?

Instagram.

>> Uh X is my biggest following with 1.5K

followers. I do have a 7.4K school

community, but engagement rate is only

5%.

>> Inside of your group?

>> Inside of my school group. That's cuz

you mined all of the people who were

good into your paid group.

>> Yeah, that the group was passed on to me

after

>> it's just you just inherited a dead

group. That's okay. Um anyways, so I'm

glad you have some people there. I would

just go outreach from that perspective

for for those people. That's like day

one is outreach. Mind the rest of you

can so you can stack some cash. Then I

would say concurrently I'm asking myself

how can I do but how can I make two

three pieces of content a day that I can

repurpose across IG Tik Tok X like we

want to get this whole machine going and

I would do probably the CTA the um the

CTA plus manyhat as the the play so that

you can direct everyone towards

Instagram run a DM funnel to a phone

sale with a VSSL and then sell them in

>> so pivot from X to IG, right? Because my

IG is very small audience.

>> If you want to go to X, that's fine. I

just think more people will be it's just

more common for people to have

Instagram.

>> Sure.

>> If you want, you can have a DMR on both.

Like it's not the end of the world. I

just prefer to have one front door. So,

that's more of an operational issue. If

you can manage it, there's definitely a

bunch of um combined inbox softwares

that exist that can just pull all your

uh inboxes into one place between

different platforms.

>> Okay. And what uh would you just focus

on making content on IG only if I were

to make that switch?

>> No, I would keep No, I would keep making

it on X. Like I want you to make as much

content as humanly possible because the

nature of the sale you have requires a

lot of trust,

>> right?

>> Anything investing related is going to

require a lot of trust. And so I would I

would be trying to put as much content

out as I possibly could.

>> Yeah. Because I know you said one

channel, one avatar, and so one million.

>> Yeah, I know. I just you want thing is

is that you have like the infrastructure

of a business that had a much bigger

audience that then just disappeared. And

so I want you to play catchup right now.

>> Okay. Got it. Got it. Got it. So just

make as much content as humanly

possible. Point it all at one front door

which is IG any chat integration. And

then would you how would you integrate

school into that? Because I

>> well your delivery is going to be on

school.

>> My deliveries on school. Got it. Okay.

>> Easy.

>> Done.

Love this for us.

All right. Well, leads was the

constraint of the business.

>> Yes. leads is the Yeah, leads is clearly

the constraint.

>> Okay. Well, appreciate you, Kevin. I'm

gonna call the the next one up. All

right.

>> Can I Can I just say one thing, Alex?

>> Only if it's really nice.

>> Before it's really nice. Before Money

Models launch, I the only thing I bought

from you was a 50 cent Kindle, which is

$100 million offer Kindle. And at this

money model launch, I I bought every

single upsell, spent like 24.5K.

uh got the act uh handbooks for closer

ad handbooks ACQAI the school community

and this is I will tell you um a weekend

this is the best money I've ever spent

in my life

>> the school group is incredible the the

network um the advice from not just ACQ

team obviously but like there's seven

and nine figure business owners in there

so just so much game being dropped daily

um so yeah worth investment for the

first six weeks and it it's for six

months so I'm just blown I'm blown way.

>> Thanks, man. I appreciate it.

>> All right. Thank you, Alex.

>> You bet, man. All right. See you.

>> Have a good one. Bye.

>> That wasn't planned. Um,

um, okay. Hold on. 100.

All right. Next up, hopefully this is

cool. Like actually seeing the models,

get a walkthrough in real time because I

want the the output I want from everyone

here is that you're very clear on what

your specific constraint was. So, we had

to figure out what his constraint was

and I didn't even get to to use the AI

because we just had to walk through it.

But, um, okay, let's go. Ivan Ivan

Bunan. Ivan Boon.

Pareto talent.

>> Ivan,

>> hello.

>> Talk to me. Pareto talent.

Hey, uh first of all, thank you so much

for having me and thank you so much for

creating such a great offer. It's

amazing to be a part of

>> I'm happy to help. So tell me about the

core offer. Is it uh done with you, do

it yourself, done for you? What which is

it?

>> So it's done for you. We are finding

training and managing executive

assistants from Latin for entrepreneurs

from the US. Got it. And have the full

package for them.

>> So your services, how do you get uh how

do you get customers?

Right now it's 100% referrals like we

have organic traffic. My partner Kasm

has yeah Facebook following of 20,000

and we also launch.

>> Okay. So content.

>> Yeah. Content. We'll put that out. Okay.

And then primary lead getter. Is it you

guys then?

>> Um once again

>> I'm going to say it's it's you and your

employees that are the ones getting

getting these leads after you make the

content. Correct.

>> Yes. Yes. Okay. So we don't we don't

have any agencies here. And then I'm

going to say you guys are high ticket

because it's a

>> Yeah. So we start at 2,000 a month.

>> Yep. That's high ticket. Okay. Uh

primary selling mechanism online call

plus salesperson.

>> Yeah.

>> Okay. Got that. Uh how many employees

you just have do you have?

>> Uh seven and two co-ounders.

>> Okay. I'm going to say a few here. There

we go. Um and then uh current tech

status. What's uh what's your tech stack

look like?

>> Um I think we're pretty robust.

>> Pretty robust. So, I'm going to say hi.

>> Yeah.

>> Okay. And then what's the what's the

thing that's stopping you from growing

the business right now?

>> Uh, I think we hit the limit on our

referrals and scaling businesses in this

way. So, we're looking to open up for

lead generation.

>> All right. So, I'm going to say your

core offer is we recruit executive uh

assistants

offshore

or nearshore or whatever for CEOs. Is

that correct?

>> Yeah.

>> Okay. So, we're saving these changes.

Fantastic. Um, I have a leads

constraint. I

am uh I have 20K followers.

We are getting referrals as our primary

way of getting customers.

How can I

where should I say this? Where

should

I focus to get more leads?

Okay. So, we're going to let the AI do

its do its thinking. Um, in the

meantime,

>> yeah,

>> right now you have your content from

your partner that's doing 20K, right?

>> Yep.

>> Okay. And you are getting some leads

from that.

>> Yeah. So, majority of the leads like we

are in a lot of different communities,

masterminds, entrepreneurs, and so on.

This is where a lot of our leads right

now.

>> Okay. So, you just join mastermind so

that they can go get leads. That's

funny. Um, don't be fishing in my pond,

man. Um,

>> I'm providing the most money I can I

think I generated like 50 apps last week

for all the

>> post. No, I appreciate it. So, by the

way, if everybody who's watching, one of

the like I said, one of the big things

that I try and do to like start any kind

of community is I I hate one of my big

one big pet peeves is when it just

becomes like this this stream of just

asks. And so, I try to flip that and say

like if everyone gives, then everyone

will end up getting all the questions

answered. about the whole community to

be awesome. Um, and maybe anybody who's

listening to this who's in there can can

vouch for that in terms of how the how

the community is structured. Um, but if

everyone gives their best thing to the

community, the community just like

really profits. And so I appreciate you

building 50 apps for all these people.

Um, that being said, we need you to get

uh more leads. So, and good. So, right

now the AI just said to fix leads fast,

I need to know where your constraint

really is. And believe where are the

20,000 followers? So, that's going to be

Facebook.

>> Facebook,

>> right?

Facebook average client value is what?

>> Um, so if you're looking into the LTV,

it's uh 21,000

>> 21K. So I'll go one, Facebook two. And

so everybody who's following along with

this, like anybody who's used the AI,

it's savage. I mean, like if you were to

ask me, I'm half talking to you, you

have talking to everybody else, just

FYI. Um, if if you were to ask me, "Hey,

Alex, what should I do to grow my

business?" My answer is not going to be

this is what you should do to grow your

business. I'm going to have like nine

other questions. So, we program the AI

to model the same question uh framework.

And you can probably look at this versus

like a GPT or something like that. This

isn't designed to be like a uh like a

wrapper. Um we built this tool and we're

continuing to reinvest in this tool

because we're using this internally. So,

this is our internal tool that you guys

got access to um so that we can

basically consult with businesses. And

so, it follows the same logic path,

logic tree to to determine basically the

the the best answer. All right. So, 21K

is the uh average client value. Um, and

what's your close rates right now?

>> Um, approximately 70%.

>> Oo, we have a we have we have some

pricing power there. Okay. Uh, weekly

capacity, how many new clients can you

onboard without breaking?

>> Um, 10.

>> 10. And what's your current flow?

>> Uh, right now we are pretty low about

six per month. So, it depends. Okay. So,

you have you have 5x the capacity right

now. Okay. Ideal buyer

>> um founders that make 20,000 per month

plus and want to save their time.

>> Okay. Founders over 20k per month. Got

it. And then do you have an uh a basic

referral program?

>> Yeah, we are paying out $1,000 for any

referrals that have been sent to us.

>> $1,000 referral program. Okay, great.

So, um, one time, boom.

So, we're, uh, we're we're letting the

letting the AI do its let let Alex AI or

ACQAI do its do its thing. Um, let's see

if we match. We probably will, but

there's also, as a reminder, everybody,

there's many ways up the mountain. So,

if I'm trying to grow the business, I'm

Why can't we just do a lot more of the

follower stuff and then on Facebook and

have

CTAs there like how why not do that what

stops us from doing that

>> so we are actively posting and actively

growing that but I started also my

LinkedIn and we started this YouTube

channel but we are just not getting the

all the result that we're looking for so

we started Facebook ads we started call

outreach as well

>> and looking to test different avenues

and to save time spending money

>> yeah I would rather you because the

thing is is when you when you try that

many it's hard to get good you what I

mean at any of them because all of them

work, right? Like you could do outbound,

it would work. You could do uh I think

that I think making LinkedIn content

like I think if you just stuck with

content since that is the primary way

that you've done it, I'm okay with you

making more uh types of content if

you've like maxed out Facebook as in

like you're posting three four times a

day or how many times a day you're f

posting on Facebook? Uh

>> so about that. So custom post about um I

would say four times a day.

So yeah.

>> Okay. So you're maxed out on Facebook,

right?

Like I would say pretty much and

Facebook algorithm is doing weird stuff

recently. We only showed it to like 5%

of your audience actually

>> heard. Okay, let's see what the AI says.

So uh the move 7-day capacity drop to

your room audience. So you don't have a

lead problem. You have an an action

problem with 70% close rate on 20,000

Facebook follows. You can uh fill your

calendar quickly. So uh capacity drop to

room audience will be rule of 100. Um

limited spots with a clear CTA. Book

calls now. So, basically, you would be

DMing, like if you wanted to rip, which

this totally would. Um, if you wanted to

rip through the 20k followers, one is

you can DM them. Um, and from a drop

perspective, it's like this is what you

could do this week, like 10 priority EA

assignments, um, first come, first

serve, like we already have these

killers comment EA. So, that's a mini

chat um, integration that you can do.

And then you can do a wait list once

you're sold out. After you do that, then

you can do a DM sprint. I would also

weigh in here and I'm just going to say,

"Hey, how would you structure a giveaway

for my audience with my offer?"

So, I would probably look at doing a

giveaway here and say like, "We just got

Bill Gates is not really, but like

whatever. We got we got an unbelievable

super high tier executive assistant.

We're going to do a giveaway where we're

going to um give this this human being

away. You're not in the human

trafficking business. Calm down."

um and uh to to one lucky, you know,

bootstrap founder. Um and so we're going

to cover her payroll for, you know, six

months or three months or whatever,

right? Um and I think that that would be

a pretty big W and then you'll get a ton

of people that will show interest in

that and then you can work that lead

list. Like if I had to go like fastest

money, um literally what it outlined is

probably a pretty good like place to

start, which is do a a banger offer, DM

everybody. You can also pair it with a

giveaway. Um, and I think that would be

quite sexy.

>> Yeah, that sounds amazing. Awesome. We

done something similar. So, we were

restructuring the pricing basically. So,

right now we are charging 2,000 per

month plus we also charge 3,000

placement fee and I was working with

your previous a bit more and it said

that this upfront placement fee might be

a problem. So, it recommended to move

forward to just increasing the price to

perhaps 3,500 a month and then removing

the placement fee. Yeah.

>> And the other that I recommend is to add

a two weeks trial like part time try the

CA before you actually test anything.

>> So I'm going to tweak it and the only

reason I'm going to tweak it is that you

have a 70% close rate which maybe it

didn't know the first time around. Um

but given the fact you have a 70% close

rate, you don't need to increase your

conversion rate

>> on the sale. So I'm super game for you

just charging $3,500 a month. What I

would do is I would rather take that

kind of trial concept and say I'm sure

you already do this, but just emphasize

it more that we'll replace we'll replace

the EA um as many times as needed uh

within the first 90 days.

>> We already do lifetime. So

>> you do lifetime. Jesus.

>> Yes.

>> Uh well then yeah, I mean like to me

then you don't need the trial like you

know what I mean? Like if we're

replacing them as many times as needed,

it's like we're going to keep doing this

job for you until it's done.

>> Yeah, definitely. Awesome. That makes

sense.

>> And I would just use this exact line

because I'll tell you how how to how how

I would close this. I would say after

you finish your like pitch or your spiel

or I would say, "And that means when you

pay this, you've solved your EA problem

for good.

>> So you never have to think about this

again because this is all we do

full-time. And if you ever have any

issues, we will replace them

>> and look at all these reviews to prove

that I know that I'm that I'm legit."

>> That's awesome. Amazing. Awesome. That's

yeah, we so once somebody gets an EA

from us, our average customer life is

like 220 days.

>> Okay.

>> You know, so they never leave. So that's

exactly what we're looking for for

someone to like step like get in a in a

door and actually try because I know

once they try.

>> And the tough part that you're going to

have is that once once someone develops

a really good rapport with an EA,

they'll just cut you out.

>> Um and so

>> we have by outfield, they can buy them

out.

>> Okay.

>> After 90 days,

>> it's just the enforcability um because

of international, you know what I mean?

Um, so are you US- based?

>> Uh, I'm based in Wisconsin, uh, but

moved from Ukraine a couple of years

ago. Okay.

>> Yeah. As unfortunate this is, as as as

you start scaling, you're going to have

to start enforcing that and making sure

that people don't screw you because EAS,

if you really nail it, they'll stay for

like 10, 20 years. So, it's a great, you

know, model for you. I would just make

sure because 220 days is like nine

months. And I would bet that there's

plenty of people who've done it, found

the right EA, and then just like go

around you and then just pay them.

Um, so far like we are we are at 56

customers until right now and so far

like I can see all that. But yeah, I

definitely agree because our scale to

scale it to to 300. Yeah. And then there

was no way for me to know all of that.

Yeah.

>> Well, rock and roll. Let's see what the

giveaway looked like. Let's see if it

matched mine. There we go. Look, it did.

The AI matched mine.

>> Thank you so much. I appreciate you a

lot.

>> You bet. The EA placement scholarship

giveaway. Grand prize. The thing you

sell. So, one full-time nearshore EA

placement package. You wave your

placement fee. Make the prize your core

offer. Assign the clear dollar value. So

it be like this is a $20,000 value or

whatever it is, right? Six months or

18,000. Um and then the promotional

offer is going to be a partial

scholarship which you can knock out $500

a month um or something like that, which

would be times six. So uh $3,000 as the

as the second place offer.

>> Got you. Yeah. Try this week.

>> All right. Rock and roll. Appreciate

you.

>> Awesome. Thank you so much.

>> All right. That's it. So hopefully you

guys as you're going through this like

we've trained this AI like I know I've

already seen a bunch um of you guys

saying this online and I the the scale

advisor group has a bunch of these like

the AI is really good. Um we have a so

what people don't know is like we have a

very large infrastructure for for

technology atacquisition.com because

it's very common for us to like look

into a business and we have to like do

things right and so we have a full tech

team um of developers and engineers who

work for us. So we do DevOps, which is

internal development that we do. So like

basically streamline our internal

operations, but we also have full like

like our head of engineer is ex head of

engineering from Upwork, you know what I

mean? Um like we have very good people.

Um

and so that's why this is a really legit

product. Um and so I wanted to make sure

that everyone absolutely loved it. Uh

and so that's why we did it. So let's do

another one. So I want hopefully is

hopefully is this is this cool for you

guys? I I want to show that this stuff

like walking through the constraints and

figuring out what the real constraint is

um follows a process um so that you can

do it for yourself. All right, we're

going to go. Joseph Pas um Alliance

Health Group phone number. Here we go.

>> Hello,

>> Joseph. What's up? You're you're going

to be uh I think you're going to be the

last one that I'm gonna I'm gonna do. Um

so give me your give me give me the

rundown for the business. All right. So

talk to me. Business is it B? Alliance

Health Group. Okay.

>> Yep. We just it's a health insurance

call center. So we sell health insurance

people who call in. Yeah.

>> Uh mostly from inbound calls generated

from we have vendors and we also do our

own uh PPC as well. Okay. So, you have

vendors. Would you say is paid ads you

say your biggest or which one do you say

is your biggest?

>> Uh, for the most part it's like split.

I'd say 50/50 between vendors and paid

ads.

>> That's fine. I'll just do affiliates and

paid ads. All right. And would you say

this is a uh high volume low ticket or

low ticket or high volume?

>> I'd say mid mid and mid. It's about 300

300 bucks per uh per policy and it's

about you can do like 10 15 deals a day.

Oh, to me that's high volume. That's

high volume high ticket for sure. Um,

yeah. Yeah. So, like for me like Yeah, I

hear what you're saying. If you thought

low ticket was like sub 999, I'm like

I'm in the middle. Okay. Primary selling

mechanism is online call plus

salesperson, I'm guessing.

>> Yep.

>> Okay. How many employees do you have uh

right now?

>> Three reps.

>> Oh, okay. Uh total

>> a total. Yeah.

>> Okay. So, a few. Um, and then text

stack.

>> Uh, text stack. Uh, no, pretty much

Google Sheets.

>> Okay, work.

>> We have, uh, we have some like call

routing software and stuff like that,

but pretty much Google Sheets.

>> Okay, that works. I'm going to say CRM

and a few tools. Um, okay. Business

constraint right now. Can you just like

if you just had more leads, could you

sell them? Is that the

>> Yeah, 100%. That's that's the biggest

main conraint. I can dive in a little

deeper if you want.

>> Yeah. Yeah, go for And so the core offer

is is uh is it health insurance?

>> Yeah. Yeah. People would just call in

normally. So let's say like online, you

would probably type in like health

insurance. One of our ads would come up

and they would request a quote. We'd

reach out to them or they would call

inbound from the website or the call

extension ad online.

>> Okay, got it. What's um Shoot, I didn't

even do this for the other guys. I

forgot. Uh what's revenue right now?

>> Uh 750.

>> Okay.

Uh profit

>> uh 150. All right.

And then new customers per month.

>> Uh per month it's about 24

per week.

>> 200. Okay.

>> Yeah.

>> And then current headcount you said was

three. Okay. Save some changes. Boom. By

the way, everybody, whenever you're

talking to the AI, every time you want

to ask a new thing, start a new chat.

So, just like for everyone. Okay. Um All

right. So, let's let's scale the

business. So, what stops you from

spending more PPC? So like if we're

walking through our logic tree, what

stops us from doing more?

>> So on well I'll start with vendors. On

vendors they just don't have any more

volume to give. So there's nothing more

to buy on there. And on PPC

uh we can up the budgets but uh when we

scale past a certain point and even as

of right now it's just not profitable.

>> Yeah. Heard. So um couple things. Are

you only licensed to sell one type of

insurance?

Uh yeah, just health insurance.

>> Okay. Are there other products that you

could sell that are insurance products

that could increase the average cart?

>> Uh yes, but they're already attached.

>> So,

stuff like that.

>> Okay.

>> Well, so I'm gonna I'm gonna go back to

the first thing you said, which is like

the vendors that you have don't have any

more lead volume. There's for sure other

vendors that have other leads. Sure.

Yeah.

>> Right. Well, I mean, I'm just like

thinking volume. It's like there are

other health insurance providers and

they also go to vendors who get them

leads. So, like I'm sure that exists.

Um, and so I would probably if I'm you,

um, you would have to have a conversion

issue. So, if we're like metrics I'm not

worried about, market I'm not worried

about, model I'm not worried about

because all that stuff is more or less

controlled. Insurance is a good is a

good vehicle. There's plenty of people

need health insurance and you have

metrics. Fine. All that stuff's there.

So I actually think that your issue is

going to be on sales and LTV. So

conversion and lifetime value. So I

would be focused on the conversion part

because if you have ads in PPC like

you're getting clicks but it's like can

we get cheaper clicks number one with

better headlines and can we get higher

conversions on our landing pages through

just conversion optimization. So, do you

have um anything like Hot Jar or Mouse

Flow or anything like that that's um

installed on the page so you can

actually watch people do it? Uh actually

use your page and you can see where

they're where they're falling off.

>> Yeah, I have a clarity.

>> Okay. So, how often are you running

conversion rate tests and what is the

actual opt-in offer?

>> Um I check clarity daily and I see where

they're clicking.

>> Yeah. But, you know, from our click to

call rate, so let's say it's about it's

it's 25%. So, from the people who see

our ad, um, it's about 25%.

>> Okay, that's pretty good. Um, so then my

So, what percentage of people are you

closing?

>> Uh, so of total calls, it's about we

have a 7% and then of qualified calls,

it's about 25%.

>> Okay. I mean, I'm not gonna beat you up

on that. You know, 25's okay. You know

what I mean? It's not like bad. It's not

good. It's just like fine. Um, the thing

is is like I feel like so again, if I'm

if I'm going back, I would do number

one, I'd be reaching out to way more

vendors, number one. But the big issue

that I see is the LTV problem.

>> So, it's like we have to sell more

products to make this thing more

profitable.

>> Okay. said differently, is there? Yeah.

Said differently, is there, if you look

at your customer base, there's obviously

some customers that are worth more than

others. Correct?

>> Yeah.

>> So, I would be thinking Yeah. I would be

thinking, is there a way that I can add

friction or tweak my targeting so that I

can better target the customers that

have the highest lifetime value? Because

basically, you have an issue of cact,

right? And I would bet also you have

some elements of cash flow because you

don't, you know, the premiums get paid

sometimes in a rears, whatever, right?

Um, what percentage are you getting paid

up front with these uh these deals from

your carrier?

>> Uh, well, they're actually they're

advanced. So upfront on a 320 that pays

out 819.

>> Okay.

>> And then on the back end, that's an

LTGP. Yeah. Uh, that 819. And then the

back end is also 975.

So you're making 1,700ish in total,

right?

>> Uh yeah, about

>> Okay. In gross profit

>> in gross profit off of

>> So fundamentally it's like we need

cheaper leads or we have to make more

from them. And if you have fixed costs

like basically you can't tweak the price

because that's what the carrier that's

the price, right?

>> Yes.

>> Um so it means that we have to sell more

expensive packages. thing A, option A,

option B is, which is paired with option

A is that you're doing that to a better

avatar. Um, or C, we just have to get

more cheap leads, which again, the

conversion rate stuff, I'm not like,

you're not bad there. Your sales r's

okay. The conversion rate from click to

phone call is pretty decent. So, like

I'm not as concerned there. So, I'm

thinking I'm going to go to more

vendors. That would be like objective

number one would be go to like 20 times

100 times the vendors you currently are

and see if you can get leads at the

price that you need them to be at.

That's like thing one. How are those

leads compared to the ones that you're

buying off PPC?

Uh, so there's one source out there who

has uh good leads and you know they make

you go to their carrier and have their

contracts and they're good ones but

everyone else besides that and I've

tried some I haven't tried all but I've

tried some of them they aren't uh nearly

as good and then just that and PPC is

what's really supplying the volume. So

what I would look at is how they're

qualifying their leads because obviously

they have good quality leads. And so I

would look at their actual click journey

and say, okay, what are the ads they're

running? What are the pages they're

doing? How are they nurturing the leads?

Like are they doing driving them to a

webinar and that's how they enrich the

leads and then they do a call to action

um to get people take the next step?

Like what's their process? And I would

look at mimicking that process for my

PBC because right now you're competing

against everybody else who's doing just

basic PPC campaigns. And so you're

priced at close to market rate because

the pricing is commoditized within

insurance. And so it's like you have to

find better raw material that's likely

like raw diamonds versus diamonds. So

it's like to do the raw diamonds, it's

like you might have to cast a broader

net to shittier leads and then enrich

them through a nurture or sales process.

>> That's like if I'm you, if we can't like

I I'm taking I put a big asterisk on

this. Like if we can't increase LTB,

which I still am like I don't have time

to go through it now. Um but like that

would be like thing one because if you

could just like spend more on PPC, then

I'd be like let's do that. That's for

sure the easiest path. And if we could

do that by increasing uh either the

person that we're selling to or the

average package, that makes the most

sense. The second most sense is okay,

can we juice our PBC in a different way

by wide like way more broadening uh the

market that we're going after? Um

and then having an enrichment process.

>> So would you recommend that second round

just to make everybody, you know, come

in and then we'll qualify you from

there?

>> I would because I mean again it's like

you're capped right now is what it

sounds like, right?

>> Yeah.

>> Right. Right? And so it's like we have

to do something and the worst case

scenario kind of like the reversible

decisions like you can always roll it

back,

>> right? You can always go back to what

you're doing. Worst case scenario.

>> Um but we have to break some stuff. You

know, we have to break some eggs. We

want to make an omelet. So um thing one

though is I'll bet you there are other

good vendors. That's like thing one.

Thing two is I really want to dive into

the LTV thing because that would be the

lowest risk we have to make. Thing three

is I want to reverse engineer the best

guys funnel.

Okay,

>> those would be those would be my angles

of attack.

>> Gotcha. And for LTVI, I don't want to

get too deep into it, but

>> like what are a couple things that

you've seen that you know other people

have done in this space?

>> It's really just comes down to going up

market for Avatar so that you can sell

more expensive health health insurance

products because like the you know the

thing with insurance is that the the

limit does not exist. You know what I

mean? like you can go

>> zillions of dollars. And so right now,

>> and this don't take this as a slight,

like you're kind of bottom feeding in

terms of the, you know, the the packages

that you're selling. You know, you're

selling $300 price points. Like it's

not, you know, the most qualified. I

mean, it's it's like people with pulse

is the is the qualification, right? So

for sure there's a much higher echelon

even general consumer that you'd be

looking at selling you know 2,000 5,000

you know dollar type deals which are for

like my life insurance mine's egregious

so I just leave it there.

>> Yeah.

>> Hate to cut you off there. I'm sorry I

didn't make that clear but it's 300 a

month.

>> Okay. 300 a month so a little better.

Yeah. Yeah.

>> Um

>> but it's still like

>> you know it's I'm shrugging. You know

what I mean? It's like I understand some

people buy like thousands and that or

millions.

>> What's the ultimate? Great.

>> Yeah. Right. Yeah. I I Yeah. I put it a

gazillion dollars a year into mine. Um

uh but okay. So those are the big three.

That's what I'd be focused on

>> in terms of points of constraint.

>> Vendors. Uh get the other guys PPC.

>> Yep. And then I would still just like

bang my head against the wall to try and

figure out reverse engineer of the

customers that I sell. Is there is there

a package that is bigger and more

expensive than the one that I currently

am that I can sell instead?

>> Well, okay. So, let's say like there was

a package there. There's let's say

there's a $1,000 a month package,

>> but we sell the 325 because that's what

people can afford.

>> Yeah.

>> And then when they can't afford the

thousand, we sell them a thousand.

>> Yes. So, the issue is that we just need

the messaging to match. So, kind of like

the example I gave earlier where it's

like maybe your lead cost doubles, but

your LTV 5xes.

>> Yeah.

>> And the thing is is usually that's where

everyone's afraid to go. And that's why

most people don't get there.

>> So, like the other other agents or

brokerages in the space are afraid to

spend that kind of money on a lead. But

if you just have the qualifications,

that's how you can skim off the top. And

the upside is usually significantly

larger than the incremental cost

increase. Like you'll still have an

increase in lead cost, don't get me

wrong, but it's just like I will spend

two times as much for the lead or three

times as much for the lead, but they

will be worth 10 times as much.

>> Yeah. So go after the the the bigger

>> Yeah.

>> the bigger price point market.

>> Yes.

>> Yes.

>> 100%. And when I was reading the book, I

read the the playbook earlier, I just

saw a price increase. I was like, this

is probably the best way to go.

>> Yeah. So, the lost chapters, uh, your

first avatar is what I use the process

in that chapter to reverse engineer

which customer segment is probably worth

the most to you. And then I would

reverse that into the messaging and the

headlines. Um, and maybe even a lead

magnet if I have to to get way cheaper

leads. Um, that would get that would

attract that level like executive health

insurance, right? Or professional

health, you know, I mean, I'd be looking

at those types of terms. Yeah.

>> Uh, to get higher higher quality leads.

Cool.

>> 100%. This is great. Yeah.

>> Okay. Appreciate you, man.

>> Awesome.

>> Talk to you. See you.

>> So, um, we were at we were at 2:30. I

know that, uh, I tried I I told my team,

they're like, "How long do you think you

go?" I was like, "I think it'll be four

hours." So, it's a little longer than

that. Um, but I, uh, I'll I'll wrap us

up. Hopefully, you guys enjoyed this um

this this workshop. The whole point here

was that I wanted to make sure that as

many of you got the answers that you

needed, you got to see the AI tool in

action. Um I strongly would encourage

you to use the tool. We we're continuing

to invest um time and effort into

continuing to improve it. U ours has an

entire context layer. So um if you are

going to ask questions because this was

one of the things that came up. If you

have questions about like multiple

businesses, make sure to change out that

little personalized tab because that's a

context layer that basically uh is a

filter through which all of the answers

are given through. Um, which is why I

like RAI the most because like I want to

I don't want to always keep having to

upload stuff um in order to get the

answers that I need. Um, but beyond

that, uh, I think I'll I'll I'll state

this, um, one more time

because we have whatever 20 21 hours or

20 hours left or something like that.

Um, but, uh, we're doing direct access

to me. Um,

plus the director team, which we've got

my head of sales, two heads of

marketing, um, two strategy, business

offer people, we have wealth, uh, we

have recruiting, uh, and then little old

me is there, um, as well to help answer

the questions that you guys have. Um,

and so you guys have six months of that

inside of a school group,

which if you're like, man, I really

would like more of this, um, then or I

have more questions or whatever, like go

there. Um, on top of that, we have the

six workshops that we're gonna do. So,

we've got the leads workshops where

we're going to dive into a lot more

detail tactically just because hopefully

like you guys are like talk slower. Like

I'm trying to talk as fast as I can as I

want to cover as much stuff as I

possibly can. Um, but this whole whole

workshop was designed to do one thing

which is did you get the constraint? Did

we use the most leverage by collecting

the correct playbook? And do you

understand how to use the tools like the

AI in order to personalize the

responses? And hopefully you feel like I

I delivered on that today. Obviously,

there's a ton more that's like cover

business in four hours, right? Um we've

got the sales workshop. We've got the uh

LTV workshop. We've got the uh we've got

the profit workshop.

We have uh people ops and AI. So, those

you have like recruiting issues,

management, leadership issues because

you're you're having difficulty scaling.

Um and then we have wealth uh with

Sherrod. And so, uh we'll show you all

the tax strategies that we're using um

that work within a service-based

business. uh if you have a you know

significant business you heard Kevin at

the beginning there's really awesome

businesses in there um there all we also

have a map so you can actually place

yourself on the map which I think is

really sweet and so uh you can get all

this stuff at scaleacq.com

um because otherwise uh this is our our

last live workshop um I appreciate you

guys you guys rock um I'm super grateful

um for you guys donating the books it

means the world to me um it really

because I hope hopefully believe that.

Um

I would say measure how much it means to

me by the work that I did to put this

together. It's probably the easiest way

that I can say it. Um we always really

want to overd deliver. We really want to

blow you guys away. It's hard to it's

hard to explain what like doing two

years of those types of consultations

that I just did over the phone over the

last like 30 or 40 minutes. Um, I did

that for the last two years to train

this one AI so I could help as many

businesses as possible um as an

incentive to get people to donate as

many books as I can uh as they could so

that like I really do mean what I say

what I really would like to get the

books in the hands of every entrepreneur

in America and it's just because like

books is what changed my life. Um I read

every book that I possibly could get my

hands on and like that's that's that's

what like that's what changed my life

and so I just want to say thank you to

you guys. Um, if you want to party with

us for six more months, um, let's see if

I have the thing up here. Maybe I'll go

back one. There you go. Um, it's not 15

minutes, but that's the that's the

stuff. Um, you guys can go there,

scale.acq.com. If not, totally cool.

Like, really, I really mean that.

Totally fine. Um, but if you're like, I

have questions that I really wish I

could work with them for a little

longer. Um, then that's what we made it

for. And so, I think it's it's 3,000

bucks today and then I think it's five

installments after that. sets 15,000

after that. Um, and uh, one of the

reasons I structured it that way also is

that like I don't like things to go on

forever. So, this isn't like a forever

membership. It's a six months set you up

for, you know, Q1 crush 2026. And the

idea is if we can install

because these parts, leads and sales are

additive. So, as long as you don't have

a supply constraint, if you just get

more leads, you make more. If you

convert more of those leads, you make

more. If you make more per customer, you

make more. If you improve your cash flow

position, you make more, right? All of

these things, like installing even

portions of each of these things into

the business can make a huge material

change. Um, and then if you have

questions along the way, that's why we

put the people who actually like

collaborated with me to put these

playbooks together uh in the group. And

so um you can go to scale.acq.com.

Appreciate you guys. It's been my

absolute honor um serving you. I think

we'll leave this up. I guess we don't

have to leave it up. I just You guys

know what the link is. You guys know

what the link is. Um, you guys are

amazing. Thank you again. And um, let me

leave I'll read my last slide.

See what my last slide is.

I already did the VSSL framework. Okay.

No, this was my last slide. Here we go.

Final reminders. So,

strategy is dictated by how you choose

to allocate resources. Your time, your

money, your effort are the raw resources

that you have. putting them towards

the thing that is going to get you the

highest return

[Applause]

[Applause]

and I shouldn't write so much. It's like

write write faster talk slower or

something like that. Um, and if you're

unsure of which

which constraint you have, just walk

through the same process of like, can I

do more? Do I have the data? Does the

market work?

Will this model get me to where I am?

If I can't afford it, is because my

leads are too expensive, which means I

need better marketing or more marketing.

Is it because we're not converting

enough people, which is going to be all

the sales system? is because we need to

increase LTV per customer because we

need to make them worth more or we need

to accelerate profit in the business

which is what the whole pricing

playbooks are for. Once you solve that

then you have the manpower issues and

you repeat this entire process from top

down

as it relates to manpower. And so

hopefully this framework um this has

served me really well. This is how we've

been able to debottle neck so many

businesses um and just get ruthless

about this. Now kind of like the

insurance one that I did at the end

there. Sometimes it just requires more

work, right? Like I would like if I were

doing a true consultation rather than

like a quick, you know, 10-minute phone

call, it'd be like, "All right, let's

look at all the other LTVs across all

the other health categories. Is there

another way that we could sell different

products to the exact customer base? Is

there a different customer base that we

can attract via messaging and lead

magnets?" because I don't think I'll bet

you dollars to donuts that there's a

lead magnet issue there where we could

attract a much higher status customer

who's able to pay significantly more um

to make a bigger arbitrage there. Um and

so this is what I think about um as I'm

trying to like dissect and and and

debottleneck businesses. Um and

ultimately we want to build something

that compounds, right? That's that's the

whole goal. So whether that compounds

via reputation, via customers that never

leave, via sales network that continues

to sell for you, they keep recruiting

and activating. Uh where they have some

sort of network effect overall that

every person who gets added to the

network increases the value of the

network. Um all of those are things that

compound with time. And we want to have

something like that because otherwise

your cost to our customers will only go

one way, which is up. And so you have to

have an equal and opposing force like

your reputation, like your brand that

can bring it down over time as you

expand to colder and colder markets that

warms it up for you. So um appreciate

you all and oh uh all of the uh six

workshops these guys

all of these uh the group is just for

owners but you can bring um plus ones to

those. So I think it's actually like

pretty sweet. Uh so if you have teams

that are going to be implementing stuff

for like leads or you've got like sales

managers are going to do the sales stuff

or somebody who's in the service side or

customer success who's going to do

delivery, you can bring plus ones to

those. I keep the group just for owners

because I think it's keeps it higher

level and it's just better overall. So,

um, yeah, you guys, you guys rock. So,

thank you all. Uh, I think you have 20

whatever 21 hours. scale.acq.com

and, um,

let's scale.

Appreciate you guys.

I needed like a really elegant sign off.

Um,

send nice DMs.

Uh, when you use the stuff, let me know.

It actually like really fills me up. Um,

it's what really encourages me like I

get a huge boost of energy from um, like

anybody who's been a developer that I

know who's a friend of mine has said

this is like every developer just wants

one thing which is that their technology

gets used. And I would say that I I fall

in the same category of like I write

these books, I make this content because

I I just want it to get used. Um, and it

makes it feel like all the pain and

suffering that it took me to figure it

out is just like a little bit more worth

it. Um, and so please let me know. It

means the it means the world to me. So

rock and roll. Scale your businesses.

Save the world.

I'll see