Day 2 From My $105M Book Launch | Ep 896

Welcome to The Game w/Alex Hormozi, hosted by entrepreneur, founder, investor, author, public speaker, and content creator Alex Hormozi. On this podcast you’ll hear how to get more customers, make more profit per customer, how to keep them longer, and the many failures and lessons Alex has learned and will learn on his path from $100M to $1B in net worth. Wanna scale your business? Click here. Follow Alex Hormozi’s Socials: LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition

Speaker names marked ? are inferred from speaking time and the show’s known hosts — they are not voice-verified.

• 0:02Alex Hormozi?

  Welcome back to the game. Today is day two of the recordings from the live launch. And so this is day two. On this day was basically a recap that I did in the beginning. I'm not going to play that part. We're just going to skip straight to the second half of the day, which was all Hermosy Hotline. So this was callers that were business owners calling in from all different industries and me using the frameworks that we talk about in the books and my content to help them de-constrain their businesses and ultimately get to the next level or take the next step. And so if I could do one thing for anybody who's listening, which is you, if you could hear the specific constraint that you're dealing with get solved for somebody else, it's super likely that that solution might also work for you, or at least get you thinking about some version of that that's adjacent to it that can help you get to the next level. And so this is multiple hours of Q and A

• 0:45Alex Hormozi?

  that I've taken live. They're super tight. I think it was a lot of fun. And so enjoy.

• 0:55Alex Hormozi?

  All right, everyone. We are in the final hours of the of the launch. And so at midnight Pacific, which is 11 hours from now, all of the bonuses associated with donating more books will go away. And so based on all the things that you guys said, you guys enjoyed Hermosy Hotline. And so I'm going to be doing a lot of those, trying to get as many of you guys on the phone, help help anybody out. And beyond that, we're going to be doing some giveaways, just some free prizes, giving stuff away. And on top of that, I think I'm going to be reading a couple of the chapters in the Lost chapters. So inside of the Money Models book, I basically put the 15 most effective model mechanisms that are in there,

• 1:40Alex Hormozi?

  but I have others. And so I'll explore some of those guys with you. And I think if you're seeing this correctly, there should be some milestones that we'll try and hit along the way to close this out as we ride into the sunset. And then I retreat back to Willy Wonka's factory and then spend the next two years trying to put something else really cool together for you guys. All right. So first up, we're talking to Heather Nat, Natural Rev MD. All right, let's give her a call. Let's see what Heather's up to, shall we?

• 2:12Speaker 01

  Hello.

• 2:13Alex Hormozi?

  Hey Heather, what's going on?

• 2:15Speaker 01

  Hi, how are you?

• 2:16Alex Hormozi?

  Good. So you've got five minutes. Tell me, what's the biggest, what can I, like, what's revenue right now? What's profit? How can I help?

• 2:23Speaker 01

  Alright, sounds good. So, I'm a physician by background, own a medical billing company, started from scratch. Um, have a hundred ninety thousand, um, per month for gross.

• 2:34Alex Hormozi?

  Okay.

• 2:34Speaker 01

  And then we're at like twenty-five percent net profit. Um, I do this on a somewhat semi-passive model, meaning I've got an executive team that runs day-to-day ops.

• 2:43Alex Hormozi?

  Okay. What's headcount?

• 2:45Speaker 01

  Biggest things, say that again?

• 2:46Alex Hormozi?

  What's headcount?

• 2:48Speaker 01

  Uh, so, seven W2s and then the rest are contractors that we, that we have, so maybe sixty-five total.

• 2:56Alex Hormozi?

  Okay, got it. Alright, so, what's the, where do you want to get to and what's holding back?

• 3:02Speaker 01

  So, leads are our biggest issue. So I've not done, other than my podcast, which has been a hundred percent what we've done for marketing, if not ads, I've not done really, cold outreach like nothing, it's podcast a hundred percent.

• 3:14Alex Hormozi?

  Okay.

• 3:15Speaker 01

  But leads are inconsistent, like it's feast or famine, you know, it's, it's, yeah. So it's, I don't know if I, you know, I obviously can continue to podcast and that's worked.

• 3:24Alex Hormozi?

  Yeah.

• 3:24Speaker 01

  I guess, I, I show up on other people's podcasts, all the things.

• 3:27Alex Hormozi?

  Yeah.

• 3:28Speaker 01

  But do I start another acquisition channel, or do I just keep doing?

• 3:32Alex Hormozi?

  How many podcasts a week are you doing?

• 3:34Speaker 01

  I've done a hundred and ten.

• 3:35Alex Hormozi?

  No, per week?

• 3:37Speaker 01

  Oh, one, one.

• 3:38Alex Hormozi?

  Okay, so, an easy one is to combine outbound with your podcast and invite people who would be potential customers or whales onto your podcast? You'll have super high response and show rates, and talk to them about their business? Sorry?

• 3:51Speaker 01

  I do a little bit of that, but maybe I should be doing more.

• 3:53Alex Hormozi?

  Well, yeah, if you're doing one a week, it's not a lot, right? Not a lot. So, yeah, I'd be doing like, can we do like one a day? And say, well, there's a 5X. It's like, that's just that.

• 4:00Speaker 01

  Okay.

• 4:01Alex Hormozi?

  Alright, so that's, that's like, I think about like, least operational change possible, that we already know doing something that actually works. So, that's thing one. Um, beyond that, give, what's the, what's the avatar of who you're going after for medical billing?

• 4:14Speaker 01

  This is a private practice facility. You know, really, we want their collection to be, you know, greater than, you know, 150, 200K a month.

• 4:23Alex Hormozi?

  Okay.

• 4:24Speaker 01

  And that's been the other problem is in the very beginning, right? Small client, small fish.

• 4:28Alex Hormozi?

  Yeah.

• 4:28Speaker 01

  That has improved where we've gotten bigger fish over the time.

• 4:32Alex Hormozi?

  Yeah.

• 4:32Speaker 01

  But yeah, getting the right avatar or getting the right client in the door.

• 4:35Alex Hormozi?

  Yeah.

• 4:36Speaker 01

  That's the only first start.

• 4:36Alex Hormozi?

  So I think conferences are going to be really good for you. Because I, so the way that I would set this up is you go to the conferences. I would pay for the booth. If you can get on stage, even if you have to pay for it. And one of the benefits of this is that when you, I go, I try to get the first one as you turn right into whatever the area is, because 70% of people turn right. And so they're typically organizers price them all the same by size. But you'll get more ROI from, on the right hand, right by the door. Number one. Number two, I would create some sort of giveaway for people to like win that you'll reveal on the second or third day of the event. And then by doing that, you'll get, like, they basically have to give their contact information in order to enter the giveaway.

• 5:20Alex Hormozi?

  And if you want, you can model the way I did it, like, it's better than this and it's less than that. So it just like gives a little bit of sandwich of value of like, okay, it's, you know, better than FTC, less than Bitcoin, it's better than, you know, better than a gift card, less than a Tesla. Like, I like to have some sort of sandwich of up and down value in terms of the giveaway. And so the whole time you're collecting leads. And if you want, Toronto talked about this yesterday, but if you, you can say, hey, I have a 25,000 speaking fee, instead of the speaking fee, one of two things you can do. So one is, can I send one email to the list? That's an option. And then secondarily, you can, when you do your, you know, your presentation, your slides or whatever, you can say, hey, if you want these slides, like, Joe, like, just give me your email and I'll send them to you. And then you can just basically ask two or three more questions and then it'll sort out the traffic

• 6:05Alex Hormozi?

  of the people from the audience who are the most engaged. And so I think if you, if lead flow is the number one issue, then that gives you two things. So one is you 5X your podcast and using outbound to get more of the quote whales, and that's going to be super targeted. And then from a speaking perspective, that's three different ways that you can monetize the conferences. So getting the list, survey closing from stage, and then also having a giveaway at your booth that's bigger and better than everyone else's, so you can collect leads that way, too.

• 6:31Speaker 01

  Awesome. Done. I can do all of that.

• 6:32Alex Hormozi?

  Rock and roll Heather. Enjoy.

• 6:34Speaker 01

  Appreciate it. Alright, thanks so much Alex. Happy birthday.

• 6:37Alex Hormozi?

  Alright, thank you.

• 6:38Speaker 01

  Bye.

• 6:40Alex Hormozi?

  So as my birthday present to myself, I'm gonna help as many business owners as I possibly can. Alright, so that's the goal for the day. That's what we're doing. For those of you who are hopping on, we're closing out the book donation drive. I've got all these prizes and bonuses for anybody who donates over 200 books, but they all disappear at midnight Pacific. So if you're like, I don't know if I should like, if you're one of those last minute people, this is now the last minute. Beyond that though, I'm just calling people as they come through and the 800, basically people who donate the most books, I'm trying to call as many of them as I possibly can. That's what we're doing right now. Alright, so we got Dation Floria. Alright, let's see what Dation's up to. 80% margins.

• 7:26Alex Hormozi?

  Wonder what this business is. Dation, what is Limz Plus?

• 7:31Speaker 02

  Well, it's an environmental testing platform for environmental testing labs.

• 7:37Alex Hormozi?

  Okay.

• 7:38Speaker 02

  And thank you for doing this as a gift.

• 7:43Alex Hormozi?

  Come on. Okay, so 200, well, thank you for donating books, which I super appreciate. Alright, you got five minutes, so let's rock and roll. So you have a testing platform, got it. You're running 80% margins, which is super impressive. What's the issue right now? What are you trying to get to?

• 8:00Speaker 02

  I try to make money. The only problem, or the biggest problem I have right now is that I have this software platform. I'm targeting B2B labs, like they're enterprise. They have like usually two to three people or maybe more that I have to talk with to get a deal done.

• 8:16Alex Hormozi?

  Yeah, that's normal.

• 8:17Speaker 02

  Usually the deal size, the deal size is starts at 50K upfront and then it can go to like 100K.

• 8:24Alex Hormozi?

  Yeah.

• 8:25Speaker 02

  And I go into an annual recurring revenue of 50K usually for this type of clients.

• 8:30Alex Hormozi?

  Cool. Okay.

• 8:32Speaker 02

  The problem I have is that I don't have anybody in the pipeline and I don't know how to get them in.

• 8:37Alex Hormozi?

  Yeah, you're like, I've got this great business, there's no one, no one's buying it. So is it 250K a month or 250K a year right now that you're at?

• 8:44Speaker 02

  A year.

• 8:45Alex Hormozi?

  A year, okay, got it. So you're really not getting that many clients if that's your price point. Okay, understood. So what did you do to get these, what did you do to get these first clients?

• 8:53Speaker 02

  So first client was luck via cold call.

• 8:57Alex Hormozi?

  Okay.

• 8:57Speaker 02

  Then the second client was same cold call and the third one was trade show. So I have three customers right now.

• 9:05Alex Hormozi?

  Okay, heard, okay. So you've got cold call, trade show, and what was the other one?

• 9:11Speaker 02

  Cold call as well.

• 9:12Alex Hormozi?

  Okay, so how many cold calls did it take to get you the, the one deal?

• 9:17Speaker 02

  Well, it was a while ago, probably around 100, but it was luck.

• 9:22Alex Hormozi?

  I mean, dude, that's how it works. You did, I mean, you're like, I did 100 and then one of them bought. It's luck. It's like, no, you did 100. Like, if you called one and one of them bought, that would be luck. If you call 100 and one of them bought, that's just a process.

• 9:41Alex Hormozi?

  So let me, let me ask you this way. So I, I've said this before, but it's super common for sub a million, which is that what feels like volatility is actually a symptom of insufficient volume. I mean, you're not doing enough, which is what makes it feel erratic. And so it's like, you did 100 and you got one, and then you did other cold calls and you got the other, right?

• 9:59Speaker 02

  Yeah.

• 10:00Alex Hormozi?

  Okay, so how many cold calls did it take you to get the second one?

• 10:04Speaker 02

  Probably around the same.

• 10:06Alex Hormozi?

  Okay, so that sounds lucky though. The second one sounds lucky. The first 100, you get one, you know, that, you know what I'm saying here? You made 200 calls, you got two customers.

• 10:18Alex Hormozi?

  So the question then becomes what stops us from doing 10,000 calls?

• 10:26Speaker 02

  Well, one would be that.

• 10:28Alex Hormozi?

  You need leads.

• 10:29Speaker 02

  I'm not that good at cold.

• 10:31Alex Hormozi?

  Well, dude, you got one.

• 10:35Alex Hormozi?

  Dude, 1%, conversion on cold calls, by the way, fine, totally fine. On a 50K, 100K price point, totally fine. Do you think about it like this? You're making $500 a dial.

• 10:52Speaker 02

  Yeah.

• 10:52Alex Hormozi?

  Yeah. That's, that's pretty good for a dial. I don't know about you. If I want to go out to dinner tonight, I'll be like, okay, I'll make one dial. There we go. I covered my dinner.

• 11:03Alex Hormozi?

  Right?

• 11:03Speaker 02

  Interesting way to think about it.

• 11:04Alex Hormozi?

  Of course, you have to think of it because you've got in your head about this. Like every time you make a hundred calls, you get, you get a deal. Then it's like, how, what, how, how do I need to game this for you so that you just make a hundred, a hundred calls every day?

• 11:17Alex Hormozi?

  That, okay. So what, you, we have 60 seconds. So what's the thing that's holding you back from just saying like, yes, that makes sense?

• 11:25Speaker 02

  Well, that makes sense, but I don't know how to get myself leads.

• 11:28Alex Hormozi?

  Okay. Right. Then that's the leads list. Yeah.

• 11:32Speaker 02

  The second problem is how do I position myself? What attraction offer can I create? So it makes sense for these guys.

• 11:40Alex Hormozi?

  Well, for a bigger, for a bigger company, a way for what you have a waived fee structure, which is the third fee structure that I talk about inside of the continuity section for money models, which is you have a big upfront nut. We say, hey, it's $50,000 for me to do this whole integration and then it's $5,000 a month, month to month. Right? It's like, or if you want to commit, I'll waive the $50,000, but you got to commit to the whole year.

• 12:10Speaker 02

  Yeah, but they, they anyway will do that because all their data is in our system.

• 12:14Alex Hormozi?

  Right. Well, the thing is, is but you're, but you're just, no, no, dude, I, I get it. The, the way that a money model works from a positioning perspective is that you don't like, whenever you give someone a choice, it doesn't mean that you're saying you actually give them the choice. You give the illusion of choice that then obviously selects or waits for one of the selections.

• 12:34Alex Hormozi?

  So you'll basically, the question that you had is how do I get more of these people to sign up? How do I make it more compelling for them? Well, if they think that they're getting something that costs $50,000 to set up for free, they're far more likely to do it than just saying, well, I do that anyways. It's like, yeah, no shit. But the problem is that they don't know that.

• 12:51Alex Hormozi?

  You know what I'm saying?

• 12:53Speaker 02

  Yeah, makes sense.

• 12:54Alex Hormozi?

  Okay, so I'll give you...

• 12:55Speaker 02

  Is there like what you think on the ad or something?

• 12:58Alex Hormozi?

  No, I think, I actually don't know, this is more for the mechanics of how you actually close when you get into the thing with them. But let's solve the original issue really quickly. We are over, so I'm gonna just make this as fast as I can, they gotta get to the next person, okay? So, number one is, I would say, list brokers, you can do that. Number two is, you can scrape using software. Number three is that you can go to people who own groups or communities, and there always are some, you just look, there's someone at school, there's someone LinkedIn, there's Reddit, whatever, right? There's definitely communities for these people. And then you wanna pay the group owner to basically make an ad inside of the group. Those are three different places that you can look like right now to go get leads.

• 13:38Speaker 02

  Okay.

• 13:39Alex Hormozi?

  Cool, also, highly recommend flying out there and saying, hey, you find out that they're in California, you know, like in Los Angeles, you say, hey, it's so crazy, I'm actually in LA this week, I figured I'm happy to swing by while I'm in town, and if they say yes, then you just fly there.

• 13:57Alex Hormozi?

  Okay, that's how that works. Yeah, rock and roll, man, appreciate you.

• 14:03Speaker 02

  Appreciate you so much.

• 14:03Alex Hormozi?

  Thank you for noting BookStation. Oh, thank you, I appreciate it, alright, bye. Alright, next up, we got Shemane. Alright, Shemane, here we go, Easy Dwell. So I think this is, I'm guessing this is like a home, like dwellings? Dwellings, that sounds legit.

• 14:23Alex Hormozi?

  Shemane?

• 14:24Speaker 03

  Hey, what's up, Alex?

• 14:25Alex Hormozi?

  What's up, dude?

• 14:26Speaker 03

  It's an honor.

• 14:27Alex Hormozi?

  Oh, honor's mine, man, did I say your name right, Shemane?

• 14:30Speaker 03

  Shemane, yeah, that's right.

• 14:31Alex Hormozi?

  Okay, rock and roll, okay, so you're doing three million top line, what is Easy Dwell?

• 14:36Speaker 03

  Oh, Easy Dwell, we're out here to change the way people buy homes. We sell them in an LLC, like a business that owns the house instead of traditional financing.

• 14:46Alex Hormozi?

  Okay, got it. So you're doing three million top line, five million dollars, sorry, five hundred thousand dollars in profit. What's the constraint? And we have four and a half minutes left, so what's the constraint right now?

• 15:02Speaker 03

  Oh, right now, there's a team of about twenty of us.

• 15:05Alex Hormozi?

  Okay.

• 15:07Speaker 03

  And so I'm getting into like the acquiring and training leaders. Our goal is to do 280 houses. So we've done in the last two years, 46 acquisitions. We sold 30 of those. But we're scaling up Dispo. Dispo, where we sell the properties is really how we, I think, can get our, our, our CAC up on that. A bunch of stuff. I guess. I mean, I'm trying to get to 280 in a year so we can iterate quickly enough. You know, launching an investment fund of 18 million.

• 15:38Alex Hormozi?

  Are you, are you wholesaling?

• 15:40Speaker 03

  Yeah. No, not wholesaling. So we'll, it's like a fund and an operations company. So we buy properties, sell properties, and we raise capital. But we've also like structured it on our own model.

• 15:55Alex Hormozi?

  I, dude, I'm, I'm so confused. What, like, walk me through how you make money.

• 16:02Speaker 03

  Okay, so let's say you have like a 2% rate loan or your, your tire lender, your seller financing.

• 16:08Alex Hormozi?

  So you're doing like sub 2s, so they're transferring the mortgages.

• 16:11Speaker 03

  So sub 2s, you can run cash, but right now we're leveraging sub 2s because of capital constraints.

• 16:16Alex Hormozi?

  Right, yeah.

• 16:17Speaker 03

  Buy a property, average cost 25K. Pay the operations 25K, holding costs, marketing, et cetera. Average deal cost is 65K.

• 16:26Alex Hormozi?

  Okay.

• 16:26Speaker 03

  We'll sell a property to a buyer. Average time on market right now, about 90 days.

• 16:31Alex Hormozi?

  Right.

• 16:31Speaker 03

  We want to get that down to 45.

• 16:33Alex Hormozi?

  Yeah.

• 16:33Speaker 03

  Collect 25K upfront and then about $800 cash flow for the next 30 to 40 years. So our, we're not, we're not a three to one.

• 16:42Alex Hormozi?

  Yeah, yeah.

• 16:42Speaker 03

  But we're like 60% cash on cash at the fund level, at the total level. And then let's say we take that 25K, we do that twice, now we can buy another deal so we can cycle those funds back in. So trying to build a compounding machine with a lot of like stickiness.

• 16:59Alex Hormozi?

  So what do you need? You need what, 18 million dollars?

• 17:03Speaker 03

  Well, we need to be able to acquire more properties.

• 17:07Alex Hormozi?

  So you need capital to acquire more properties?

• 17:09Speaker 03

  We, no, the capital we have.

• 17:11Alex Hormozi?

  Okay, so you just don't have enough deals?

• 17:14Speaker 03

  Yeah, not enough deal flow and acquisitions right now.

• 17:17Alex Hormozi?

  Got it, what are you doing right now to get?

• 17:18Speaker 03

  It was sales, now it's acquisitions.

• 17:20Alex Hormozi?

  Okay, so what are you doing right now to get, to get deals?

• 17:23Speaker 03

  Uh, just wholesalers, like wholesalers in the state of Florida, Facebook groups. Uh, and we've been doing it for a year, so we know a lot of the people.

• 17:30Alex Hormozi?

  Yeah.

• 17:31Speaker 03

  But we've had some team, there, there's a lack of like leadership over there right now, which I may need to kind of jump back into. Uh, yeah.

• 17:39Alex Hormozi?

  Okay, so, so what stops you, uh, from just like, basically, instead of buying from wholesalers, just learning how to wholesale?

• 17:48Speaker 03

  We started out wholesaling.

• 17:51Alex Hormozi?

  Okay.

• 17:51Speaker 03

  Um, and it was, we were doing, uh, we'd pull all the pre-foreclosures, we'd do, uh, you know, cold calling, um. It was just, it became way more leverage to just go to the wholesalers who had already negotiated on those and buy from them.

• 18:07Alex Hormozi?

  So, so then?

• 18:09Speaker 03

  Yeah.

• 18:09Alex Hormozi?

  All, so if I'm you, I'd be thinking, what are the wholesale networks? Um, and associations that I can get into so that I can just say like, I'm a guaranteed buyer for all of this stuff? Um, because it sounds like you have a pretty good, you know, return on capital, you're getting 60% cash on cash returns, it's phenomenal, right?

• 18:28Speaker 03

  Um, yeah.

• 18:29Alex Hormozi?

  So, I'm just, basically you can outspend if you have that kind of return, even if you've got 50% cash on cash, you could still, you know, you'd still be probably pretty happy. Um, if it meant you could double the amount of deals you did, right?

• 18:40Speaker 03

  Yeah, so we've, part of the problem, like, we, we joined like, uh, some of those groups. And we've, like, there's a site where all the wholesalers post their deals on Facebook and we've quite literally scraped like all of them. It's almost a lead problem at that point, where now we're shifting to look at portfolios, like, who owns 100 Stramity homes, who owns 200?

• 18:59Alex Hormozi?

  I understand, yeah, but, but the thing is, is that you've only done 40, you did 40 deals in the last two years, something like that?

• 19:05Speaker 03

  Forty, yeah.

• 19:05Alex Hormozi?

  Yeah, yeah, I mean, you're not even close to tapping the wholesale market for the state of Florida, you know what I mean? You're not even close, there's no, like, you're not even close, it's like, you're like, not even a blip on the radar.

• 19:19Alex Hormozi?

  I just want to break your belief around this. Like you're not like, oh, I've, I'm in every single one of these groups like dude, you're doing $3 million a year wholesaling. You're not, you're not even close. Like a single franchisee for some of the wholesale franchises that exist average $3 million a year per location.

• 19:34Speaker 03

  Right. A lot of that's cash though, no?

• 19:37Alex Hormozi?

  What?

• 19:39Speaker 03

  I'm not trying to protect my limiting belief here.

• 19:41Alex Hormozi?

  Yeah. No, no, you're not even close to that. I like, there's zero way, no chance, not like, not even in a million years, you're not even close.

• 19:48Speaker 03

  Okay.

• 19:49Alex Hormozi?

  If you're like, I'm doing 200 million a year in Florida, I'd be like, okay, he's one of the bigger players. Like you're not even close.

• 19:55Speaker 03

  Okay.

• 19:56Alex Hormozi?

  So let's just like blow through that right now. I do think that you revisiting the idea of, like, if I'm you and I want the fastest way to grow this, I'm going to find the biggest wholesalers and see if I can bring them in-house because they're just giving you what they're giving you, not what they have.

• 20:12Speaker 03

  Yeah.

• 20:13Alex Hormozi?

  Right. They sell to other people. So it's like, I want to bring, like, again, I like to control the whole funnel, right? I want to say like, how do I go from click to close? How do I own the whole thing? Cause like, if I, if I can be vertically integrated here and I can bring someone in or acquire, like you have the cash, if I could acquire a wholesaler who has a good amount of volume, then it's like, I have a way better monetization vehicle than they do. And so then it's like, I buy something that cash flows and then I just have another way to make even more on it. And so it's like, that business works on its own. With mine, it just juices. And I love, that's the game. Those are the games I like to play.

• 20:46Speaker 03

  Yeah.

• 20:47Alex Hormozi?

  Right?

• 20:48Speaker 03

  Juicy games.

• 20:48Alex Hormozi?

  Yes, juicy games, big juicy games. I gotta call the next person, but hopefully is that like, first off, belief broken. Like you are not even close, not even close.

• 20:56Speaker 03

  Yeah.

• 20:57Alex Hormozi?

  Okay?

• 20:57Speaker 03

  Yeah.

• 20:57Alex Hormozi?

  And then number two, it's like, what would it take? And this is the question that I would ask them. What would it take to be your exclusive person to get all of the deals that you're doing? I would ask that. As like, if I had to make money tomorrow, before even doing anything complex, I'd call every single person I did a deal with over the last year and say, what would it take?

• 21:12Speaker 03

  Okay.

• 21:13Alex Hormozi?

  Cool? And you've got the returns, man. If you, if you go from 60% to 50 or 45, but all of a sudden you have exclusive pipeline and that triples your pipeline, then there you go.

• 21:22Speaker 03

  Yeah. I appreciate you. Thank you.

• 21:24Alex Hormozi?

  Appreciate you, man. Thanks for donating books.

• 21:27Speaker 03

  Later.

• 21:28Alex Hormozi?

  Alright, see ya. Alright, so anyone hopping on, I'm just calling all the people who donated the most books. So we have a bunch of 800 book donors, and so I'm calling them. And this is in spirit of the final countdown. I think we're at 10 hours and 10 hours and plus, 10, 10:40, yeah, 10, a little less than 11 hours. And we're going, we're marching on. All of these bonuses disappear for anyone who donates 200 more books. All that stuff disappears in 10 and change hours. Alright, so if you are a last minute person, this is the last minute. Alright, dang D'Wong.

• 22:09Alex Hormozi?

  Alright.

• 22:11Alex Hormozi?

  Calm down. Alright, calm down, guys. Let's not get carried away.

• 22:17Alex Hormozi?

  Alright, Infinity Medical Consulting.

• 22:23Alex Hormozi?

  Infinity Medical Consulting. Dang D'Wong, what's up, man?

• 22:28Speaker 03

  Hey, hey, Alex, happy birthday. Thank you again for your time and helping us with our constraints. I really appreciate it.

• 22:34Alex Hormozi?

  You bet, man. Thank you for donating a ton of books. Alright, so you got 5 million top line, you got 2 million in profit. Okay, what's the, what are we, what are we working with here? We've got medical consulting, what's holding you back?

• 22:49Speaker 03

  Yeah, so essentially, we are dealing in the space of chronic wounds. So we help folks with chronic wounds close their wounds. So the largest constraint that we have is trying to hone down on our specific avatar in terms of the actual patients, because the LTV is, once it's closed, it's closed, there's no more LTV afterwards. So we're trying to do Facebook added leads that actually constraints it to Medicare Part B. That's the specific insurance that we're able to accept to provide the service for the patient.

• 23:22Alex Hormozi?

  Okay.

• 23:23Speaker 03

  But I don't know how to essentially filter out so we can have that specific avatar in terms of Medicare Part B.

• 23:30Alex Hormozi?

  Okay, well, what does the application say and what does the ad copy say?

• 23:34Speaker 03

  So essentially, we are here to help with heart or legal wounds. I think it's very generic and we're trying to refine it. And then essentially we provide a PDF so that it's a lane and so folks can understand

• 23:47Alex Hormozi?

  Yeah.

• 23:47Speaker 03

  the wounds that they're having and seeing if they could help themselves during the times when they don't get treatments from services that does standard.

• 23:55Alex Hormozi?

  But you make money for Medicare Plan B, right? Or that's what you just said, right?

• 23:58Speaker 03

  Yes.

• 23:59Alex Hormozi?

  Okay.

• 23:59Speaker 03

  Yes, yes.

• 24:00Alex Hormozi?

  But so you just want the P like not from a not from a humanitarian perspective. So I'm just purely talking business here. The point for you is that you want to get as many Plan B people as possible, right?

• 24:09Speaker 03

  Exactly.

• 24:10Alex Hormozi?

  Okay.

• 24:10Speaker 03

  Exactly.

• 24:11Alex Hormozi?

  So you're trying to get as many Plan B and right now you're getting you're doing Facebook ads and you're and you're getting some people that are not Plan B, right?

• 24:17Speaker 03

  Yeah.

• 24:17Alex Hormozi?

  Okay. So before we even like fix that, I want to understand, is it really a problem or is this a feature? So let me explain. Right now, how much is it costing you to get one of these people versus what you make on them?

• 24:31Speaker 03

  So it's costing roughly on average about $15 per acquisition of a lead.

• 24:36Alex Hormozi?

  All right.

• 24:37Speaker 03

  And and so it is a range based on the wound size. So if it's a one by one centimeters, it's just less of a payout than compared to if you have a big chicken wing that's 100 centimeters. So if we could refine the wound size and then the qualification, because the only payout that we receive is Medicare Part B.

• 24:54Alex Hormozi?

  Yeah.

• 24:54Speaker 03

  And so why there's so many different insurances, we can't take any of those.

• 24:57Alex Hormozi?

  I'm getting I totally hear where you're coming from. It costs you 15 bucks a lead. Like we just the way the way you have to grow this is like you're you're it's it's you're making it sound special snowflakey to you, and I think that's why it's making it confusing. But fundamentally, it's just like it costs me 15 15 bucks a lead. One out of 10 leads is going to be a qualified person who's Plan B and has a big enough wound, right?

• 25:19Speaker 03

  Got you.

• 25:20Alex Hormozi?

  No, it was like, we just have to know this this math. That's it. It costs me $15 a lead. I convert one out of 10 leads. So it costs me $150 to our customer. Each customer is worth this on average, even though there's variability. It costs me this is what I make on average. So do you know, do you know those three, like, I know you know the lead cost, but what about the other two numbers? What percentage of leads do you close and what the average deal size is?

• 25:40Speaker 03

  Yeah, it's pretty low. I mean, we've had five treatments out of the 1,000 leads.

• 25:46Alex Hormozi?

  That sounds bad. Okay. Okay, how are you making sure? Yeah, yeah. How are you, how, so, so the funnel right now is that they're just opting into a PDF, right?

• 25:55Speaker 03

  Yeah, yeah.

• 25:56Alex Hormozi?

  Okay.

• 25:56Speaker 03

  And then a consultation call afterwards.

• 25:58Alex Hormozi?

  So it automatically takes them to a consultation call, or in the PDF it says, "If you have these things, then do a consultation call."

• 26:04Speaker 03

  So essentially, once they provide their email, their name, their phone number, they receive the PDF and then the next kind of landing page is book a consultation call for home care.

• 26:16Alex Hormozi?

  Okay, so you've got name, so I'm writing this on the board, so maybe if you're watching the last one, you can see it. All right, so you got your, you've got your opt-in thing for the PDF. Okay, cool. And then they put name, phone, and then email, right? Something like that?

• 26:29Speaker 03

  Yep, yep.

• 26:30Alex Hormozi?

  Email, whatever. And then, and then if their stuff is qualified, or everyone goes and sees the scheduler?

• 26:37Speaker 03

  Yeah, everyone goes to see the scheduler.

• 26:39Alex Hormozi?

  And are you taking all these calls with all this trash?

• 26:43Speaker 03

  Uh, yeah.

• 26:44Alex Hormozi?

  Yeah, that's horrible.

• 26:45Speaker 03

  Me and one other, yeah, one and one other rep.

• 26:48Alex Hormozi?

  Yeah, yeah, okay. And then, and then you're just running lead ads, what, nationally?

• 26:52Speaker 03

  Uh, no, specific to the areas where we have providers that can provide the service.

• 26:56Alex Hormozi?

  Okay, got it.

• 26:57Speaker 03

  It could be a city-state location.

• 26:58Alex Hormozi?

  Heard, okay. So, um, big picture here, I think, I'm gonna bet that there's an ad copy issue? Like, how many people know that they have Plan B or not?

• 27:08Speaker 03

  Um, the thing is, they're also not educated to know, um, since they can, once they're 65 and older, they automatically have a Medicare Part B.

• 27:19Alex Hormozi?

  Well, dude, then why don't you just advertise to everyone who's over 65 and older?

• 27:23Speaker 03

  I, we do, we do do 65 and older, but they still have other insurance that they could kind of opt into.

• 27:29Alex Hormozi?

  But I thought they...

• 27:29Speaker 03

  Choose other Medicare benchmarks.

• 27:31Alex Hormozi?

  Yeah, yeah, but they all have Plan B if they're over 65, right? So they do qualify to use your stuff.

• 27:38Speaker 03

  Yeah, so, but once they hit 65, they also have the option to choose other more affordable Medicare, uh, medical insurance plans. So that's where the, the...

• 27:48Alex Hormozi?

  So you're trying to find people who are not over 65?

• 27:52Speaker 03

  We are trying to find folks that are over 65. Even though they qualify automatically at 65, they do have the opt-in options. More affordable options.

• 28:02Alex Hormozi?

  I gotta, I hear you, I hear you. Let me, I hear you. So let me, I wanna, I wanna help because I also want, I gotta, I gotta make through the, the next, uh, the donor, okay? So, big picture, right now, you're taking too many calls that are trash. There's definitely diamonds in there. And so we have to add filters to the funnel. And so the filters that we have to add is the copy itself. Now, if you say they have no idea, then we're gonna have to do, what are the other things that they have in common? Now, to your point, you said everybody above 65 has this, but they have other stuff too. For me, that just sounds like a sales call.

• 28:34Alex Hormozi?

  So if you know 100% of people over 65 have the thing, then to me, I'm like, well then, why would I focus on anyone else? Cause then I'm just gonna try and have the max hit rate, knowing that every single person you're on the phone with can, can, can do this thing. Cause now, all I have left is, do you have a wound? And are you ready to say yes?

• 28:50Alex Hormozi?

  So if I'm you, my targeting is gonna change to 65 plus. I would also make the messaging change on the opt-in page to just reinforce that. And then you have your, yeah, and then the, the, um, the, the application part, uh, I would add in, uh, how big is the wound? And then that way, you can score the leads. And if you, and like, even with that level of lead flow, maybe that be, that's enough filtering. If it's not enough filtering and still getting trash, I would then start scoring them and only showing the scheduler to the people who have wound sizes above X.

• 29:21Alex Hormozi?

  All right, that's how, that's the first thing that I would do and think through it.

• 29:25Alex Hormozi?

  All right, appreciate you, dude. Congrats on the business. Now, you bet, I mean, dude, you're doing 2 million profit, 5 million top line. Like you're, I mean, you're not suffering right now, all right? Um, but if you're being inefficient, then we have to add friction. That's fundamentally it. Like, if you're sifting through too much crap, you gotta add friction.

• 29:42Speaker 03

  Gotcha. No, I appreciate that, I was.

• 29:44Alex Hormozi?

  You bet. Awesome, man. Talk soon. Thanks for donating books. All right, mate.

• 29:49Speaker 03

  Thank you, of course, absolutely.

• 29:52Alex Hormozi?

  All right, rock and roll. We rocking and we rolling. All right. Dude, I'm checking boxes right now. Okay, Zach Rinders. So, Zach Rinders, R2 Studios Architecture. This sounds interesting. All right, so anybody who's tuning in, it's a... I said I'll say it again later. Okay. So Zach Rinders. I'm calling the people who donated 800 bucks as fast as I can. That's what I'm doing, just so you guys are curious. That's what I'm doing. I'm doing five minutes apiece.

• 30:21Speaker 02

  This is Zach.

• 30:22Alex Hormozi?

  Zach, we've got five minutes on the Hermosy hotline and I want to help you with the business. So, the timer has begun. You bet, dude. The timer has begun. Okay, so talk to me. What's, uh, yeah, what are we looking at?

• 30:36Speaker 02

  Okay, so I'm actually in a quiet meeting. I'm stepping out right now.

• 30:40Alex Hormozi?

  It's only five minutes, you can tell them that.

• 30:42Speaker 02

  Perfect. We own a local architecture firm in Minnesota.

• 30:47Alex Hormozi?

  Got it.

• 30:47Speaker 02

  We niche down unintentionally, but it's worked to our favor.

• 30:50Alex Hormozi?

  Fine.

• 30:51Speaker 02

  We only do assisted living facilities that are converting. So it's people that are taking a single family home with five or less veterans and converting it to an assisted living facility.

• 31:03Speaker 02

  They need to get licensed architecture plans from the state or for the state. So that's where we came in. Our problem is everyone's really cheap. Well, we actually, we do 80 of those just off of referrals every year.

• 31:18Alex Hormozi?

  Okay.

• 31:18Speaker 02

  So it's pretty solid where it just sustains itself by our service.

• 31:22Alex Hormozi?

  Can I make a guess at what you need to do? Because I, pattern recognition, like I promised. Okay, so you're in a space that it's super price driven, right? Because you've got, it's construction, they're looking at cost, blah, blah, blah, blah, right?

• 31:33Speaker 02

  Yep.

• 31:34Alex Hormozi?

  Okay, you have three vectors of winning. You have to pick one. Ideally, you can have more than one, but one is what I like to lead with. So you either got speed, you've got risk, or you've got ease, right? And so in your business, time is money. If you can do things faster, right? There's also a risk component of like, what kind of costs are going to come down the road if you do it the wrong way or do it differently? And then it's like, is there a way that we can throw some sort of verbiage or guarantees? Uh, or some sort of like clawbacks that a customer can get? Where we say, listen, we'll put our skin in the game to make sure that we're, you know, we'll be on time and on budget.

• 32:09Alex Hormozi?

  So that you can build your thing faster, so you can get faster returns on capital. Because I'm assuming these like you quote sell to an investor or you sell to a G C.

• 32:19Speaker 03

  So they're all they they're individual business owners. That's the hard part is we're going to small business owners. It's likely their first business, right? So they're cheap too.

• 32:26Alex Hormozi?

  Okay. I mean, who are the best? Who are the best business owners that you deal with?

• 32:32Speaker 03

  People that don't question the price that understand the process.

• 32:34Alex Hormozi?

  My favorite.

• 32:35Speaker 03

  But yeah, exactly.

• 32:36Alex Hormozi?

  No, but it's not.

• 32:37Speaker 03

  The process.

• 32:38Alex Hormozi?

  Okay. So then what stops us from getting only those people are focusing almost exclusively? Like, can we get deal flow that has higher percentage of those people? So we can command the prices we want.

• 32:50Speaker 03

  Oh, I would love that. And part of it is I've tried to expand so that we give one faster speed like you mentioned. So we get our plans back to you within a week.

• 32:57Alex Hormozi?

  Yeah.

• 32:58Speaker 03

  So it's faster than most everyone.

• 32:59Alex Hormozi?

  Yeah.

• 33:00Speaker 03

  And then we on the back end, no one understands the process. So I've learned it really well. So that's where I come in and I can give them that guidance versus just someone that's giving them a commodity of just a single plan.

• 33:10Alex Hormozi?

  Yeah.

• 33:10Speaker 03

  So that's where we've been able to get our price up some, but I need to get it up higher.

• 33:14Alex Hormozi?

  So you need stats, dude. I'm telling you right now, you need stats. So this is a logical sale, right? This is not an emotional, you know, thing for most of these guys, I would imagine. Right? This is a pure like dollars and cents thing. And so you need to line up and come in with that frame, which is like, listen, let's be clear here. You and I are both business people. You need to make this make sense, you know, make sense from a dollars and cents sample. They're going to say, yes, it's like, cool. So there's, there's a concept called, you know, save a dollar today, cost you four tomorrow or pay two today and it saves you for tomorrow. Which one are you like, would you rather pay two and save four or pay one and have it cost you four? And they're like, well, obviously the same one. It's like, right. I like to establish that because if someone says, no, I'd rather just save as little as possible, then we all know that's not going to work for either of us. Right? Okay, cool. So then it's like, this is where the stats come in.

• 33:59Alex Hormozi?

  Like I'd look at Statista, I'd look at, I'd ask, you know, G P T, I'd be like, hey, find me all the stats of average unforeseen costs that can occur. And so then now we took the frame of the fact that it's just going to be a logical sale. We're all dollars and cents here. But the reality is now we go fear, uncertainty and doubt. Right? So that's like, well, the, these are the top four things that occur. This occurs in 22% of circumstances. This occurs in 15, this occurs in 38, right? And these are all the different things that can go wrong. Right? And so what we've done is that we try to minimize this thing, which is going to cost you way more money than what I cost. And so now we're anchoring around all these way more expensive things. And then basically, that's how we can basically nudge our way into a completely different price because we've changed the context around the conversation.

• 34:45Speaker 03

  Would you think about any way to get recurring revenue? Or would you just double down on this and try to get as many people as possible?

• 34:51Alex Hormozi?

  So the only way that I would see recurring revenue in your specific business is going to be people who do regular business, more so than like subscription, anything like that. It's more like, who are the nodes of referrals? Those are my quote reoccurring more than recurring business. Like Coca-Cola, super amazing business, not recurring, but reoccurring. And so I put your hat on. So what you need to do is chunk up in terms of how you think through your business. I'll give you an example. So when I had Allen, which is a software company, we had, you know, the first thing we did is we went to market for small business owners, right? And that sucked because they'd be like, oh, this is great. It works for our leads, but we don't have any leads. And I was like, oh darn, that I didn't think through that. And so then all of a sudden, the people who did really well were the ones who already had agencies that were working with them generating leads. And then our thing just did a lead flow.

• 35:36Alex Hormozi?

  So then all of a sudden, I was like, okay, well, I'm going to go after agency owners and say, hey, we can improve the results of your, your services and decrease churn and increase, you know, like basically make more money, et cetera, using our software. And so all of a sudden, what happened is instead of having, you know, trying to go onesie twosie after business owners, we just went after agency owners. And I knew that, let's say a chiropractor agency comes in, he only does chiropractors. He comes in and he pays, you know, he onboards his 50 clients at a time. And I was like, oh, that was fucking great, right? And for you, it's like somebody might have a portfolio, but he onboards 50 clients. But then after that, I could rely on the fact that 10 of his people would churn every month. And then he would sign 10 more up every month, right? And so he, so our churn at the agency level was almost zero. Our churn at the SMB level was whatever the churn of the agency was, which is not really our issue.

• 36:20Alex Hormozi?

  And so when we redefined our business as, oh, we're actually in the agency servicing business, not in the SMB servicing business, that's when it really started stacking. And so translating this back to you, you said you've got these referrals that are coming in, right?

• 36:35Speaker 03

  Yeah, we typically get three to four referrals every week that we'll then try to book.

• 36:39Alex Hormozi?

  Amazing. And so then I'll bet you have a list, or hopefully you do, of all the top referrers that refer you business, right?

• 36:45Speaker 03

  A hundred percent.

• 36:45Alex Hormozi?

  Right. And so then the whole paradigm around this for me is how do I partner with the referral partners so that they can frame the conversation with their introduction to me in the way that maximizes the likelihood of a close and the framing around pricing that I want?

• 37:05Speaker 03

  Okay.

• 37:06Alex Hormozi?

  That's how I approach this. And so your business, if I'm thinking through this, right, like if I'm you, my business is I'm really in those centers of influence, right? Those affiliate partners, those referral partners that you have, those are the quote customers. And so I want to see like, what's my sales guy for those guys to get them to consistently, you know, bring me more in and how can I acquire more of them? Because each one of them is a node that over the years, if I go from having a base of 20 guys who refer me business to 200, that becomes reoccurring by nature rather than recurring.

• 37:37Speaker 03

  Okay.

• 37:37Alex Hormozi?

  But still stable.

• 37:38Speaker 03

  Do you have a suggestion on a referral bonus for those people?

• 37:41Alex Hormozi?

  Are you allowed to do kickbacks legally?

• 37:44Speaker 03

  I think so.

• 37:44Alex Hormozi?

  Okay, great. Well, if you're allowed to do-

• 37:46Speaker 03

  I'll double check.

• 37:47Alex Hormozi?

  Yeah, yeah. If you're able to do kickbacks legally, there's three different affiliate structures that I like. Like you'll immediately, I'll say all three of them and you'll know which one's right for you. So version one is that you peel off some element of your particular service, a very small element, and then you allow them to sell it for whatever they want. They keep all the money and then you deliver on that as step one of a multi-step process. That's V1. So an example of that is, hey, a new business owner gets an LLC set up, we'll do the LLC setup, you can charge whatever you want for that. Let's say they sell for $300. We do the LLC setup, but then we upsell tax and bookkeeping, right, from there. But they keep 100% of the upfront. That's option one. Option two is that they

• 38:29Alex Hormozi?

  just straight up sell your thing, right? And then they get to keep whatever percentage, right? They give them 10% or 20% or whatever number makes sense for you. For them to actually just legit, you know, cradle grave, all they got to do is just acquire the business and then just send it to you, then you deliver. That's the second, right? And then the third is more of a lead gen version of this, right? Which is kind of what you're doing right now, it sounds like. And then you can quote, give them kickbacks later. And then they basically factor it in to how much, every three referrals I send, I get, you know, one sale or whatever.

• 39:00Speaker 03

  A lot of ours come from consultants that are on the actual application.

• 39:04Alex Hormozi?

  Dude, 100%. Then consult, like you need to basically build out, like, think of this, like, you need a customer journey for the consultants.

• 39:11Speaker 03

  Okay.

• 39:12Alex Hormozi?

  Like, and then that's, yes, exactly. And then they're the ones who are going to consistently be sending you business month over month over month.

• 39:18Speaker 03

  Okay.

• 39:19Alex Hormozi?

  Got it?

• 39:20Speaker 03

  Yeah, thank you so much.

• 39:21Alex Hormozi?

  Dude, you bet. I know you got, you got your guy. I went over five, five minutes, so I'm, I'm so sorry. Uh, but hopefully you're good.

• 39:26Speaker 03

  No worries. Yeah, thank you so much. I appreciate it.

• 39:29Alex Hormozi?

  Dude, you bet. Thanks for donating books.

• 39:31Speaker 03

  Yeah, absolutely.

• 39:32Alex Hormozi?

  All right. All right. You guys digging this? Is this cool? This is fun. El señor chat? Al chatissimo? Yeah, you got extra value, Albert. Supers Farm. Love it. Okay, cool. Yeah, day three. I know. Well, it's really like hours, geez, I'm gonna lose the phone. Hours, 10 and a half until close. All right, we're closing this thing down as a team. We started together, we're ending together. All right. Starting is one, finishing is one. All right, so that was, who was that? That was, uh, Mr. Rinders. So now we're gonna go Trent Husky. Husky's Paint and Design. All right. So we're gonna talk paint and design. This'll be fun.

• 40:11Alex Hormozi?

  I know, we're rocking and rolling. S, This is Great by all three of his books. Awesome. All right, so that was... What's up? Trent? Trent, you up, dude?

• 40:23Speaker 03

  Hey, how's it going?

• 40:24Alex Hormozi?

  Good, man. All right, so we got paint, we got five minutes, and let's rock and roll, man. So you got, was it, uh, 5 million top line? What did I see here? You got, uh, paint, paint, paint, paint, paint. Okay, 5 million top line, 500,000 profit?

• 40:38Speaker 03

  Yes, sir, that's me. Yeah, that's me. Yeah.

• 40:40Alex Hormozi?

  All right, rock and roll, man. Okay, so, uh, what is the, like, what do you want? And what's, what's holding you back?

• 40:46Speaker 03

  Yeah, so, uh, I've been at this for seven years now. I got 40 people on staff.

• 40:50Alex Hormozi?

  Congrats.

• 40:51Speaker 03

  Um, thank you. So, um, my issue is I'm kinda at a, at a fork in the road. I started off doing residential repaints. That was my bread and butter. I did that for years and then I actually went to one of your conferences and you guys talking about reoccurring revenue. You talk about LTV to CAC.

• 41:04Alex Hormozi?

  Yeah.

• 41:05Speaker 03

  Once I saw that, I went there to learn Facebook ads with my agenda. You taught me that. Completely pivoted. I was like, holy cow, I should go after GCs. Well, that was almost a year and a half ago now.

• 41:15Alex Hormozi?

  Yeah.

• 41:15Speaker 03

  So now that I, now that I doubled down on GCs, that's like every time I land one, it stacks. Okay. But the downside to it is, is that, uh, the gross profit is less. But the, the, but the advantage of it is that the LTV to CAC is insane.

• 41:28Alex Hormozi?

  Through the roof. Yeah.

• 41:29Speaker 03

  So, so it's like, so it's like, what do I do? Because my GP on repaints is 52, but I pay a salesman 7% and it costs me another 5% in marketing. That's 12%. So when you wash it, it's, it's 40% GP to GP. If you take away the, the CAC, you see what I'm saying? So I've, I've been doubling down on it. But then here's the next thing is that, so since I did that, I was like, okay, I'm gonna go full force. I hired, I hired a, a, and a virtual assistant who, uh, who just does my takeoffs. So I could produce way more lead, uh, I could, I could bid way more jobs way faster. This, this whole, this whole year, I, I have three salesmen selling repaints. They've, they've sold about 2.8 million. I'm already at 2.6 million by myself with a takeoff guy assistant.

• 42:11Speaker 03

  And so I'm already doubling down on it, but I just won't, I like, am I making the right decision here? Cause they are way harder to produce is, is, is the hard thing. Like, like most people get their ass kicked in new construction. They go bankrupt. Uh, the AR is crazy. My average pay per time right now is 65 days, but it gets up to 9120. So it's very capital intensive and it's a way harder business model to, to, to run. Do you think I'm making the right decision?

• 42:33Alex Hormozi?

  Well, thank you for the context. Um, so when you said you were getting 20 to one, were you talking revenue or gross profit?

• 42:40Speaker 03

  Gross profit. Yeah.

• 42:42Alex Hormozi?

  So you still make way more on, on the contract, on the, on the, on the GPs?

• 42:48Speaker 03

  So what do you mean by that? Will you explain to me?

• 42:50Alex Hormozi?

  No, so you said you're going after these bigger deals because they're recurring, the GCs, the general contractors, right?

• 42:55Speaker 03

  Yes, sir. Yes.

• 42:57Alex Hormozi?

  And the issue there is just that, it's really just that the pay cycle is extended, so it just costs more cash for, basically you have to float cash for a period. That's the biggest problem. Okay. So there's, so I'll give you like the simple, the simplest answer here, and I'll tell you a story to illustrate this. So there's a company that I was looking at investing in, and it was a couple of years back, and they were at like 2 million bucks a year, and they had 4 million dollars in debt, and it was just a mess, and I ended up not doing the deal. And one of the big issues was that they had, they had bad terms for payment as a physical products business. And what they ended up doing is finding a manufacturer that gave them net 90 terms. So they basically fronted them the inventory and then gave them 90 days to pay them back, which is amazing, right? It's literally the opposite situation that you're in.

• 43:40Alex Hormozi?

  And the result of that is that within 18 months, it went to 5 million a month.

• 43:44Speaker 03

  Holy cow.

• 43:45Alex Hormozi?

  Right, and so my point here is that there's, we could look at model, but I lean towards this, this is, this is far more likely to be a financing solution. Like, we could do all sorts of crazy things, but like realistically, you probably just find a 90-day rotating credit line at a bank and just show them what your financials are and what percentage of deals you collect on, and basically you just have to show them diligence that you, when, when you say, "Hey, I've got this, this money coming in," it's just called AR financing. And so by doing that, you can accelerate the cash flow cycle and basically eliminate that. As long, obviously you gotta be responsible with it because you gotta pay it back when you, when you get it. But that capital tends to be very cheap, because it's, it's basically, you know, it's somewhat secured. Technically, it's not secured, but it's secured by your AR.

• 44:27Speaker 03

  So it's like a line of credit revolving on credit?

• 44:29Alex Hormozi?

  Yes, exactly. And then that, that solves the cash flow issues.

• 44:33Speaker 03

  Yeah, because that's, that's by far the biggest issue. Like, my AR routinely sits at 500, 600,000 dollars. It's crazy.

• 44:38Alex Hormozi?

  Right. And so if you could pull that down, you could just like, okay, great, I have this here. And then that, and usually, usually those, those are around a percent a month that they'll hold. And so very easily, like, you can find a percent, you know what I mean? Just like you could raise the price by a percent and get it back.

• 44:55Speaker 03

  Genius.

• 44:56Alex Hormozi?

  Yeah, that's I don't want to mess with anything else. It sounds like the what you found when you came here worked. So I'm happy about that. And now you have a 20 to one machine. Like when I see a 21 machine, I don't want to mess with anything about it, dude. And so the only issue you have is the cash conversion cycle issue. And because you're in a space where financing exists for this problem, I just say like, let's just go pursue that. That's the first thing I would do.

• 45:18Speaker 03

  That is genius. Thank you so much. I'm telling you, because like whenever I was there, I had that epiphany. And like you guys, you guys were passing around the mic and I was raising my hand. I was like, please just tell me, I don't know if this is right. And I didn't get to ask. I was like, I'm just fucking going for it. Excuse my language.

• 45:31Alex Hormozi?

  No, you're good, man. Well, I appreciate you donating 800 books. And, you know, honestly, thank you so much for me and from the entrepreneurs that you donate books to.

• 45:38Speaker 03

  Happy birthday. Thank you so much. I really appreciate you.

• 45:40Alex Hormozi?

  You bet. Thanks, Brett. All right, bye. Okay, now we're going. Is that cool? That's exciting, right? That's kind of fun. Yeah, this like, honestly, guys, I could literally do this all day. Well, you will see. I really, I just like, I love business. It's like the only thing that I really enjoy. It's like the only thing I drive joy from. So, yeah. I would do it for free. And here we are. And I'm doing it if you donate books. So Daniel Mueller, next up, sounds German.

• 46:12Alex Hormozi?

  All right, let's see what this Heinz Mueller.

• 46:16Alex Hormozi?

  All right, let's see. It's 49. I'm guessing he's German, like actually German, not just like his ethnicity, but I think his country of origin. What's up? Are you, are we in Germany?

• 46:29Speaker 03

  Yeah, we're in Germany.

• 46:30Alex Hormozi?

  I guessed it. I guessed it. Okay, talk to me about the business. What's Heinz Mueller?

• 46:36Speaker 03

  All right, so.

• 46:37Alex Hormozi?

  We have five minutes too. Just want to give you a heads up. We have five minutes just to give you a heads up. Okay, go for it.

• 46:42Speaker 03

  Great, thank you. I just started a business four months ago and. And I the first business, um, I had a little bit of like I grew too fast.

• 46:53Alex Hormozi?

  Okay.

• 46:53Speaker 03

  And I had various issues.

• 46:55Alex Hormozi?

  Okay.

• 46:55Speaker 03

  And so now I'm I'm like wondering how you could like decide when to grow and like when to

• 47:05Alex Hormozi?

  Yeah.

• 47:06Speaker 03

  When and what systems to grow first.

• 47:08Alex Hormozi?

  Yeah. Yes, really good question. So first off, off the bat, I don't know what went wrong when you said you grew too fast. But my guess is that you so one of the sayings I have is that you can't really over expand, but you can under talent. Meaning the people that you brought in when you were quote growing too quickly were just insufficiently skilled. And as a result, things started breaking and falling through the cracks.

• 47:32Speaker 03

  So so I I went to the VAM last year.

• 47:36Alex Hormozi?

  Yeah.

• 47:37Speaker 03

  I think the issue was we were identified as like I went over over my skis.

• 47:42Alex Hormozi?

  Yeah, yeah.

• 47:45Speaker 03

  That's what you said.

• 47:46Alex Hormozi?

  Yeah, you basically you were spread too thin. And you can be spread too thin because you don't have enough support from good enough teammates. And if I say anything I don't understand because I'm I talk fast, just correct me or just, you know, hold me back. But right now, the speed of your I'll talk a little sorry. So the speed of your expansion should be correlated with the speed of your ability to acquire talent. So the speed of your ability to get good people into your business to hire them. And so the reason that it felt like you were over expanding is because you had no help.

• 48:21Speaker 03

  That makes sense.

• 48:22Alex Hormozi?

  Okay, so if that's if that was the situation, I would then look at my talent. Basically, the follow up question is, do you have the cash flow to pay somebody what's required to get the help you need to expand the business currently?

• 48:41Alex Hormozi?

  Do you?

• 48:42Speaker 03

  I um, I I do like um, so right now. Now I hired my first uh sales uh uh sales rep.

• 48:49Alex Hormozi?

  Yeah.

• 48:49Speaker 03

  Starting uh next month.

• 48:51Alex Hormozi?

  Okay.

• 48:51Speaker 03

  And I'm doing um uh one hundred fifty K revenue um like uh this month.

• 48:57Alex Hormozi?

  Yeah.

• 48:58Speaker 03

  I have like twenty five K profit.

• 49:00Alex Hormozi?

  Okay.

• 49:00Speaker 03

  Um.

• 49:01Alex Hormozi?

  It's a little low.

• 49:02Speaker 03

  I don't know like if the.

• 49:04Alex Hormozi?

  It's a service business?

• 49:07Speaker 03

  Um I do uh it's like an HVAC company and.

• 49:10Alex Hormozi?

  Yeah.

• 49:10Speaker 03

  We specialize on uh heat pumps.

• 49:12Alex Hormozi?

  Yeah, heard. So I think that especially if you're a niche, uh you know, service like that, niche home service especially, or commercial service. Um you probably, this is me just guessing, you're probably also a little mispriced. Um so I'll bet that you do need to raise your prices. Because if you're running one fifty top line, twenty two thousand bottom line, you're running what, like thirteen percent margins or something like that, right?

• 49:37Speaker 03

  Yeah, like fifteen.

• 49:38Alex Hormozi?

  Yeah, right. And so for me, a home service business, especially if it's niche, like for me, I would say thirty is gonna be where I'm like. My kind of like minimum target for just, I would say, like if you were just just HVAC, right? Um but if you're like, I specialize in heating pumps specifically, I would expand that even further to like, you could, if if run well, this business could run fifty percent plus. Margins.

• 50:03Alex Hormozi?

  So.

• 50:03Speaker 03

  It's like a very competitive market in Germany because it's very like.

• 50:07Alex Hormozi?

  No, I know, I know.

• 50:08Speaker 03

  Subsidized.

• 50:09Alex Hormozi?

  Yes, yeah, yeah. No, I hear you. But the the, okay, so I'm just gonna put a pause here for a second. I'll ask the original question again, which is, do you have the cash flow in order to hire the help? You said you're hiring a salesperson, right? That's coming in.

• 50:21Speaker 03

  Yes.

• 50:22Alex Hormozi?

  So in order to make sure that you don't grow too fast, what you have to do is that when that new salesperson comes in, before saying, okay, now I'm gonna hire the next person. We have to make sure that that salesperson becomes productive. So the the speed of your expansion is gonna be the speed of your ability to onboard and activate teammates. So just like you activate a customer, like you say, okay, you know, they they have to go through this journey and then they, you know, they get a good result, they're happy, like you have that journey. We basically need to think through your expansion from the employee perspective of how do I activate the employees so they don't have to think about them as much. And you go from training to managing.

• 50:58Alex Hormozi?

  Once they're managed and they're consistently generating revenue for you, especially because it's sales, right? Then at that point, I'd say, okay, now you can take your eye and then put it to the next constraint of the business. But it sounds like acquisition was taking a lot of your time. And so you hired the salesperson, which that's fine, that makes sense. I would look, do you give any discounts at all?

• 51:20Alex Hormozi?

  Do you give discounts when you sell people?

• 51:22Speaker 02

  Like a welcome discount?

• 51:23Alex Hormozi?

  Yeah, or anything like that.

• 51:24Speaker 02

  But I don't want you to.

• 51:26Alex Hormozi?

  No, no, I don't want you to. I was gonna say, if you don't want to raise your price, at least eliminate your discounts.

• 51:31Speaker 02

  Alright, yeah.

• 51:32Alex Hormozi?

  Okay, no, because literally you're at 15% margins. And if you're giving, you know, let's call it 10% discounts or 15% discounts, you're giving half your profit away. And so if you feel uncomfortable about raising the price, then what I would do is eliminate discounts and then add speed or add risk free. So it's like, okay, so if you buy today, we'll do it faster. If you buy today, I'll guarantee this, rather than if you buy today, you can pay less. Does that make sense?

• 51:58Speaker 02

  Yeah, makes sense.

• 51:59Alex Hormozi?

  That's what I would approach to try and get a little bit more premium on your pricing. So that because like dude, your margins are so low that even five, 10% jumps is like 60% increases in your actual take home.

• 52:12Speaker 02

  I'm kind of afraid that if I raise price, I don't sell.

• 52:15Alex Hormozi?

  Well, everyone's always afraid of that. That's why no one does it.

• 52:22Speaker 02

  But I guess I do it now.

• 52:23Alex Hormozi?

  Yes. Again, you have to focus on, the thing is, is you only, you are afraid of raising prices because you believe that you sell a commodity. If you and someone else do what the prospect believes to be the same thing, then they will choose the lower one, for sure. No question there. So the question is, how do we get them to not perceive them the same thing? Which is why the first chapters of the offers book is like, it's an apple and orange issue, right? You're selling a commodity. And so we have to get you to not sell a commodity, which means that we have to either add speed, you have to add ease, we have to make it more risk free for them so that they say, okay, good, fast and cheap, pick two. This guy is cheap and he's fast. But the thing is, is that it's not really cheap because you have to pay twice as much because I'm gonna have to fix it. And it's gonna cost you way more and it's gonna take you longer.

• 53:08Alex Hormozi?

  So which one do you really want? Right, so it's like you have to break the frame to reframe the conversation.

• 53:15Speaker 02

  Got it.

• 53:16Alex Hormozi?

  Cool. And again, sometimes that frame even, sorry, go ahead.

• 53:21Speaker 02

  So I raise prices and.

• 53:24Alex Hormozi?

  Then I like hire for the next constraint and I hire only hire the next person when uh Yes. Person I already hired is like uh Yes. Fully on board. Yes. Alright. You nailed it.

• 53:38Alex Hormozi?

  Thank you. No, you bet. Thank you, man. Good luck with the business. Congratulations. And you are in a niche, man. I bet like I'll bet you have the pricing power. I'm just telling you, man.

• 53:48Alex Hormozi?

  Alright, I gotta jump to the next call. I appreciate you donating books, man. Thank you so much. Thank you. Alright, bye. Alright, dude, I'm telling you guys, pricing

• 54:00Alex Hormozi?

  like the biggest lever by far on your ability to generate profit. It's like a three, I think PC said this two days ago. Patrick Campbell, he's one of the speakers at the launch. Um, they did a huge meta-analysis of this. It has a three or four X stronger influence on on profit than any other thing you can do, which is you could keep customers longer, which is amazing. You could get more customers, also amazing. But the thing that's going to generate by far the most take-home increase, if you were to proportionally increase each of them, pricing is going to be way, way, way more. And so nailing pricing and being willing to experiment and do that uh with different prospects that are coming in and try new, try new pricing structures out. Again,

• 54:38Alex Hormozi?

  A model is about monetization in general. Um, but the uh, the bonus is, by the way, the entire profit system, which is the, the last column on our uh, on the playbooks, which is the fast chat, fast, fast cash playbook, the pricing playbook and the price raise playbook. Those three playbooks basically walk through the process of what does it look like to actually raise prices? How do you do it without fancy analytics? And then, and then there's 10 optimizations of just like, how do I position this in a way? That changes how they perceive the price so that it allows me to charge 50% more, right? If you're like, well, both of these are apples. It's like, yeah, of course the customer is going to go for the cheaper apple. I would too. So would you? And so it's like, well, I need it to be a banana. And then say, okay, well, what are we really looking for? Do you need fruit?

• 55:20Alex Hormozi?

  Or do you just need vitamin C? Because in fact, I can give you a vitamin, vitamin C IV drip, right? And then the, and it's 500 times the price, but because we're trying to figure out, do we have to sell a fruit? Or is it like a totally different way that we're trying to solve the problem? Alright, so that's how I'm thinking through. Next one up, we've got is uh, Daniel, we have two Daniels in a row. What do you know? Uh, Daniel Linares, DLE Event Group. Oh, events, fun. I know something about that.

• 55:45Alex Hormozi?

  I know something about events. Little bit. Running an event or two in my day.

• 55:56Alex Hormozi?

  Uh, no Raven, the uh, the playbooks won't be available later. They uh, they end in 10 hours and then they're gone. The offer is gone forever. Yes, sir. Oh, thanks dude, I appreciate it. Thank you for donating 800 bucks. So, talk to me about the event, the event business. We have 5 minutes and I wanna, I wanna get as much, I wanna give you as much as I can.

• 56:15Speaker 04

  Totally, totally. So, we do a luxury, kind of unique blue ocean. We're trying to dominate this category.

• 56:22Alex Hormozi?

  Okay.

• 56:22Speaker 04

  For luxury wedding entertainment. It's not live bands, it's not a live DJ. It's this kind of combination group.

• 56:28Alex Hormozi?

  Dude, I love that.

• 56:28Speaker 04

  The industry's starting to know. It's called a hybrid DJ band, kind of concept. Now, there's not high search volume. But we do get exact match people searching for us.

• 56:38Alex Hormozi?

  Yeah.

• 56:38Speaker 04

  A lot of times, they are our right fit. And we are closing, you know, people in that kind of 10 to 30K price point range.

• 56:46Alex Hormozi?

  Dude, I love it. Actually, actually, I, you said the hybrid DJ whatever? That's like feature jargon? Like, I, as somebody who, well, I'm not, I'm past, I'm not past wedding age, sorry. But like, but like, the, when you said luxury wedding entertainment? That, I'm, I mean, I'm a luxury buyer, right? That struck a chord. To be fair though, the price sounded cheap for what it sounds, what I, what I would imagine. Cause luxury to me denotes significantly more expensive, just a side note.

• 57:12Speaker 04

  True, true. I mean, honestly, there's, you know, for the ultra 1%.

• 57:16Alex Hormozi?

  Yeah.

• 57:17Speaker 04

  We're the down, we're the down sell to the ultra 1%.

• 57:19Alex Hormozi?

  Yeah, yeah.

• 57:20Speaker 04

  So, there's still headroom for us to ascend in price.

• 57:24Alex Hormozi?

  Do you have a 100K option?

• 57:26Speaker 04

  We don't.

• 57:27Alex Hormozi?

  Okay, can we do something right now? Like, right now? Add a hundred thousand dollar option? Because you, if you're in the luxury space, you don't, you don't win on volume. You win on volume of dollars, right? Not volume of transactions. And so, if you're, if you're doing all the work and the positioning of being luxury, then we have to capitalize on the sole benefit of luxury is that you can have super sky high prices. And if done well, which I think you will, it's, it's, it's a Veblen good. Meaning, the more you raise the price for the right buyer, the more they want it, not the less they want it.

• 58:00Speaker 04

  Hmm, if everybody finds us, they're like, man, your brand is like the 5 star Four Seasons. You're, you're my, my pre-conversion.

• 58:07Alex Hormozi?

  Dude, I will bet you right now, that you're, like, this is, this is not a promise to anyone who's watching or listening, but if I were to bet, I would bet that if you were to double or maybe even triple your prices, you will close at a higher percentage.

• 58:21Alex Hormozi?

  Because 10 to 30 K doesn't sound luxury to me, man. I wouldn't even believe it. It's incongruent with the messaging.

• 58:28Speaker 04

  I mean, the luxury, you know, 300 K, 500 K flowers.

• 58:32Alex Hormozi?

  That's what I'm saying. They're like, you're like, dude, the, and so, I mean, my, if I'm you, right? My sales pitch, and do you have a VSL before you talk to these people?

• 58:39Speaker 04

  I just made one.

• 58:41Alex Hormozi?

  Okay, great.

• 58:41Speaker 04

  Pre fall to our Zoom call. Yes, I now have a, here's our stuff.

• 58:45Alex Hormozi?

  Are you running ads?

• 58:48Speaker 04

  Only Google Ads, a four, a seven X return on ad spend, but we're not doing anything on social.

• 58:53Alex Hormozi?

  Amazing. Is it, is it a pure opt-in?

• 58:56Speaker 04

  Yep. Request a quote after they've dabbled on our site, pure opt-in.

• 59:00Alex Hormozi?

  Okay, dude, so let me, let me just, let me just, I'm gonna cut for like, let me just, let me, let me love you. Okay. So this is what, this is what I would, if I'm you, and I had to transport brains and like this, I have to take over the business tomorrow. The opt-in would not be request for quote. That's like the lowest converting thing that you can do. All right? Instead, I would have it be a questionnaire about the wedding, right? So, and it make it seem like it's like, oh, that way we can tell you the exact perfect type of, you know, entertainment experience for a luxury wedding that would match your style wedding, blah, blah, blah, blah, right? So they answer five, six, seven questions, whatever. Then on the thank you page, they either, if they have a budget that's high enough, they get shifted straight to the calendar, where they can have the call. Um, or if they're not, then you just send them to PDF or something like that, right? Uh, so if they are qualified, they go to the call. Okay, now.

• 59:45Alex Hormozi?

  If at that point you have the booking, then you nurture them by sending them the VSL before the call, and then you put a secret word in there. That says, hey, would you rather us watch it together? Would you rather watch it on your own? All right, everybody's gonna say, oh, I'd rather watch it on my own, which is great, but now they committed to watching it, which is the point. And if for some reason they forget to watch it, then you've already set the seed so that you're like, oh, did you, did you get a chance to watch the thing? Which if you put a secret word inside of it saying, um, hey, by the way, uh, just so we're prepared, uh, tell us the headcount of your wedding, just text the person who texted you this back. And so you should get numbers that are like 50, 195, whatever, but then that way you know they actually watched it. Right? And so then when you hop on the call, you reconfirm they watched it, and then the first however many minutes. Um, if they didn't, you say, hey, no worries, I'm gonna grab a coffee, go watch this video, and then you'll pick back up, right?

• 1:00:27Alex Hormozi?

  Just as an easy way to, uh, make sure that every single person is pre-framed properly for the call. Now, the contents of that VSL, I know you already filmed it, uh, but the content of the VSL, the way I would think about it would be, how, basically, I wanna, I wanna break frame here. It's like, okay. So, what do you think people remember the most about the wedding?

• 1:00:47Alex Hormozi?

  Right, and again, I would look at statistics, I'd look at surveys, I would do whatever I could to try and have like, the thing that people remember the most is this. The thing that people spend the most on is this. And so, no one remembers where they had chicken or steak. No one. But what they do remember is how good of a time it was. That's where memories are made. And so, we should be spending our money in proportion to the memorability, or the, basically, the memory contribution, you know, size of each dollar. Right?

• 1:01:20Alex Hormozi?

  And so, this would be the frame that I would enter the conversation with. And so, if they're spending 500,000 on flowers, no one remembers the flowers.

• 1:01:29Alex Hormozi?

  Everyone remember what the entertainment was.

• 1:01:35Alex Hormozi?

  It's really good, man. That's the frame. And then, you can start selling 100,000, 150,000, dude, you're luxury. Like, we're luxury. Let's go LUX, right? Let's make, let's feel it.

• 1:01:46Alex Hormozi?

  And just continue to be messaging-wise, you know, more and more unique as, as we do it. Yes, and so, I would, again, I mean, I said, put 100K offer up there, but like, 100K, I think, is probably where you, is going to become your bread and butter. Just being real. Like, you need a 250,000. Like, dude, if you're luxury, luxury weddings, you've got a bridezilla, and dad's paying, and he's a, you know, a hedge fund manager, he doesn't give a fuck.

• 1:02:14Alex Hormozi?

  Damn, mind blown, brother. Yeah, as a luxury consumer, like, let me tell you, they will spend.

• 1:02:21Alex Hormozi?

  They just want the best. And right now, your prices actually, I, I honestly think are hurting you.

• 1:02:28Alex Hormozi?

  10K for a wedding is like, the napkins.

• 1:02:32Alex Hormozi?

  We get so many people that don't flinch, right? Right. What's your close rate? Yeah, what's your closure rate now? Um, close rate, you know, we, we meet with 10, we probably...

• 1:02:42Speaker 02

  Probably close, I think like 20% out of it, so like about 20% close rate of booked calls.

• 1:02:47Alex Hormozi?

  Yeah, of booked calls. Okay.

• 1:02:49Speaker 02

  Of booked calls.

• 1:02:50Alex Hormozi?

  Well, how many of those would you say you cancel because they're just not qualified?

• 1:02:54Speaker 02

  They cancel themselves.

• 1:02:56Alex Hormozi?

  Okay.

• 1:02:56Speaker 02

  Our automation shows them our pricing in advance.

• 1:02:59Alex Hormozi?

  Yeah.

• 1:02:59Speaker 02

  They'll set up a meeting and then they'll cancel it. It's like, oh shit.

• 1:03:01Alex Hormozi?

  Yeah, that's the thing. So what I started with, like, that's where we have the question flow rather than, you know, request an invoice. It's like, no, like, take our perfect entertainment quiz, perfect match entertainment quiz. They go through it and then it automatically sorts them. So they don't even see your calendar. You don't have to waste your time with it, right?

• 1:03:19Speaker 02

  Filter them out of the budget questioning.

• 1:03:22Alex Hormozi?

  Yes. What percentage of the calls that you take do close? Not of called, not of scheduled?

• 1:03:28Speaker 02

  Um, how many do we take that are actually, like, you mean our show up rate?

• 1:03:32Alex Hormozi?

  Yeah, well, yeah, showed calls that you make an offer to. Of the offered people, what percentage close?

• 1:03:39Speaker 02

  Of the offered people, what percentage close? Probably 25%, about 25%.

• 1:03:43Alex Hormozi?

  Oh, so the vast majority don't cancel their call?

• 1:03:46Speaker 02

  They don't. We got a 90% show of the people that,

• 1:03:48Alex Hormozi?

  Yeah.

• 1:03:49Speaker 02

  you know, that,

• 1:03:50Alex Hormozi?

  Yeah.

• 1:03:50Speaker 02

  you know, get on our calendar.

• 1:03:52Alex Hormozi?

  So the way that I framed it is what that needs to be reflected in that VSL. It needs to be reinforced at the beginning of the call. You should be anchoring around 250, $500,000 expenses. Uh, so that when you say your price, it'll seem like way better. Um, and I think that you start with the 100K and you really do like go for the 100K. And if you want, um, so obviously you just got a bunch of books, but the anchor upsell, which is the, in the, uh, upsell, uh, attraction mechanisms. The way to really, really juice it, if you want to get nasty with it, is that you present the 100K offer, right? That's now your new offer. Okay. Just, I don't want you to like wrap your head around that. 100K is the offer, but your, your, your core offer right now, which is your 30, right?

• 1:04:35Alex Hormozi?

  Let's make it 35 because that's the same thing anyways. So make it 35. But what you're going to do is you're going to look at the 100K and you're going to say of these things, what one thing is just really specific that most people don't particularly need, except for somebody who's a super baller? But everyone else is really happy with nine out of these 10 things. And so what you do is you have the 100K thing. And then some people just say, yeah, I want the best thing. Done. They don't even care anything. They just say yes at 100. If they say no, then you say, oh, you know what? Well, do you care a lot about where the DJ was born? I'm just giving it a stupid example. But they're like, oh, no, I don't care about where the DJ was born. And you're like, oh, well, we have this other thing that's $35,000. Because some people really care about that. But if you don't care about that, then this is 35. And it gets, I think, a lot of things that you wanted.

• 1:05:20Alex Hormozi?

  And they're like, oh, yeah. Because when you do an anchor upsell properly, right? The first thing is like, you want to get the whales. And you got to commit to it. You can't just like toss it up and then be like, oh, you don't want that. And then start selling the other thing. You have to truly sell 100K. You got to commit. And they have to really consider it, otherwise anchors don't work. If they really consider it, then they're already starting to justify why it would be worth $100,000. And then when you just say, cool, well, this thing's 90% similar and it's one-third the price, then they're like, oh, done. Yeah, yeah, yeah. And so now, all of a sudden, everybody's buying your most expensive one, your current most expensive one. And maybe 10% or 20% buy your 100K. And if I'm right, 30% are buying your 100K. And just by doing that, we doubled LTV.

• 1:06:06Speaker 03

  Thank you, brother. I know you spent some extra time with me, man.

• 1:06:08Alex Hormozi?

  You're good. I want to help.

• 1:06:09Speaker 03

  Happy birthday, man. Congrats with everything.

• 1:06:11Alex Hormozi?

  Well, I appreciate you. If I make you more money, you donate more books, you help more people. We save the world. Everybody's happy.

• 1:06:17Speaker 03

  Yeah, brother. Thank you so much.

• 1:06:19Alex Hormozi?

  You bet, man. All right. Good luck.

• 1:06:23Alex Hormozi?

  All right. That was fun, right? I know that was more than, oh, we got a, we got a, oh, we hit a, we hit a milestone. Okay, 3.28, so we just hit a milestone. Oh, jeez. All right, let's, let's rock and roll. Sweet. Okay, so I got a call. Okay, so who am I, who do I, who's hooking me up with the number? Adam, you sending me numbers?

• 1:06:48Alex Hormozi?

  We'll do it in a second. Okay, I'll call one more and then we're calling single book buyers, alright? Um, hold on. So I'm gonna call, I'm gonna call it 800 buyer who's coming in. Alright, Ed text me another 800 buyer. Alright. Hamza Solomon, okay. So you just, you got 800 books and so I'm gonna help you make more money. Not a promise of course, your results will vary.

• 1:07:14Alex Hormozi?

  Results are not typical.

• 1:07:16Speaker 02

  Hello?

• 1:07:17Alex Hormozi?

  Hamza! We got, we got five minutes brother, talk to me. What's uh, you're the dentist, you're doing 9 million top line. 3 million in profit, right?

• 1:07:29Speaker 02

  That's right, that's right.

• 1:07:30Alex Hormozi?

  Alright, 9 million, 3 million bottom. Okay.

• 1:07:34Speaker 02

  That's correct, so, and it, and so it's like a happy birthday brother.

• 1:07:37Alex Hormozi?

  Thanks.

• 1:07:38Speaker 02

  Congratulations on the biggest and wildest book launch the world has ever seen. Uh, I took the advice he gave to me last year in Vegas. We were doing around, I think, a million and a half. Uh, and then the advice he gave me was just to do more, more, more of the same. And we ended up here at 9.4.

• 1:07:57Alex Hormozi?

  So you went from 1.5 million to 9.4 million from some advice. That sounds like it was a good return.

• 1:08:04Speaker 02

  Yeah, and I remember what you said to me, you need to do more ads, spend more time in the day doing ads. Uh, get more creative.

• 1:08:12Alex Hormozi?

  Yeah, yeah, yeah, I remember, I remember, I remember, I remember, yeah, yeah, yeah.

• 1:08:15Speaker 02

  Yeah, so that's, that's, anyway, uh, so, uh, ever since then, I've just, I've been watching every single moment, every little piece I could get from you. But this moment here now is where I wanna understand exactly how do we take it to the, to, to, to the next level?

• 1:08:32Alex Hormozi?

  Okay.

• 1:08:32Speaker 02

  Or how do we dominate the, the UK dental market? Cause we're hungry, we're all locked in, in the team.

• 1:08:38Alex Hormozi?

  Yeah.

• 1:08:38Speaker 02

  Everyone motivated and we've got good momentum.

• 1:08:40Alex Hormozi?

  It's gonna come down to stick, I'm just telling you right now, it's gonna come down to stick.

• 1:08:43Speaker 02

  Okay.

• 1:08:45Alex Hormozi?

  Like you, you, you figured out the first part, which is why you, you know, you're just 7X or whatever the number is, 6X, right? You 6X in a year, following to do more advice. And you still need to keep doing that volume, I wanna be clear. But the thing is, is like, really tremendously large businesses. Get really, really big 95% of the time because of one thing, which is that they have, well, not 95, 100% of the time they have one thing, which is a compounding vehicle. So they have something that compounds onto itself. And so virality, for example, is compounding, right? And so brand itself is a compounding vehicle. Media, because people tell other people who tell other people who tell other people, and then that's how a brand compounds. That's one way. Now, given the nature of your business, you're not going to have a viral, I don't think, right? You know, I don't think you're going to be like the, I'll just leave it there. The main, yeah, again, your B2B, a high-ticket service, like, that's not the, that's not

• 1:09:30Alex Hormozi?

  your game. But the key is going to be, how do we make sure that dentists never leave? That is now your mission. Because if you did, whatever, $9 million in sales this year, because you were at 1.5 last year, right? So you pretty much did almost all that growth this year, right? So the key is, if over the next five years, you did no more acquisition, but every year you do $10 million a year in sales, right? It's just that next year, you're at 20, and then the year after that, you're at 30, and the year after that, you're at 40, and your margin is disproportionately growing because you don't have a huge amount of op-ax. That, that's the game we need to get to now. That's your next level.

• 1:10:09Speaker 02

  But how do you do that, Alex? Because right now, I'm getting, I can see the pressure on the sales team.

• 1:10:15Alex Hormozi?

  Yeah.

• 1:10:16Speaker 02

  I can see that there's the kind of not listening as well, and it's hard to, I guess, manage the sales team when there's more ad spend. I want to spend more. I want to spend...

• 1:10:28Alex Hormozi?

  Well, I don't think the answer is spend more right now. The answer was spend more when you came. That was the answer. Right now, the answer is not spend more. The answer right now is you have to keep, you have to keep the people you're selling. You have to keep delivering on them. You have to keep them happy. You have to reduce churn.

• 1:10:43Speaker 02

  Alex, at what point do we, do I know that it's a sign now to move into a different location and then aggressively scale locations and as a dental group? Like, that's also something on my mind, which I don't want to ask.

• 1:10:58Alex Hormozi?

  Wait, is this out of four walls right now that you got the nine, the 9 million?

• 1:11:01Speaker 02

  Yeah.

• 1:11:02Alex Hormozi?

  Oh, badass. No, okay.

• 1:11:04Speaker 02

  Yeah, we've got one more available.

• 1:11:07Alex Hormozi?

  Okay, heard, heard, heard. No, I think you're, actually, now that I understand that last piece, yeah, you're ready to open a second location using the same model. You're good.

• 1:11:15Speaker 02

  Okay.

• 1:11:16Alex Hormozi?

  I'm glad, I'm glad, glad we got there. So, so we still, we have, we have 55 seconds to spare, but that, that's, yeah, sorry. I, I misunderstood. Yes, 100%, four walls. You need to add another four walls. I go across town so that you don't, you have as little crossover as possible with the ads.

• 1:11:34Alex Hormozi?

  And the thing that you have to be careful of is backfilling the, the talent who's required to, you know, start, you know, pop off that, that next one.

• 1:11:44Speaker 02

  And with the sales team, just some advice there, Alex, like how do I get a solid sales team here to handle inquiries and make sure no show rate isn't going through the roof? Because that's what I'm.

• 1:11:55Alex Hormozi?

  Well, dude, you just got, so follow the, the literature, the, the literature playbook that's coming in the mail, right? Like literally follow that to a T, number one, before you do anything. That's number one. And then from a closing perspective, one of the key parts, and this for everyone who's watching too, is that the more I've studied sales, I feel like it's like the, the midwit meme, I don't know if you've seen that, it's like, you know, really, you know, just, just ask more times and, you know, no, don't, don't bother them. And then at the, you know, then there's all these like tone and pacing and blah, blah, blah. And then at the end, it's just like, just ask more times and don't bother people. That's really what it comes down to. And so basically, we need to have a very straight, straightforward script that anybody can learn. And so it's how can we decrease the complexity of the sale, remove as many variables as

• 1:12:37Alex Hormozi?

  possible so that there's, so it's easier to onboard and train reps and grade them. Because the more complexity is, the longer it takes to train them, the longer it takes to onboard them, then the harder it is to basically manage their performance. When it's like, you have five questions to ask and you ask them in this way, and you ask them in this order, it makes it significantly easier for somebody who's not as skilled to still succeed. And that makes a better business model, rather than have a business that requires exceptional salespeople to succeed.

• 1:13:04Speaker 02

  I got you.

• 1:13:04Alex Hormozi?

  Okay. But in terms of how do you find salespeople, like it's the same for every business, you're gonna have to recruit hard. And you want to think about your acquisition channel for getting, uh, salespeople, the same as you think about your acquisition channel for getting customers. Same concept. You're gonna advertise, you're gonna have an offer, you're gonna work the leads, you're gonna interview, just like a sale, same, same. It's just that that is now becoming the constraint of the business, is that you need more salespeople, so that you can open the, open the next location, which then can, you know, double the business or whatever.

• 1:13:31Speaker 02

  Okay.

• 1:13:34Alex Hormozi?

  I got it. Yeah, follow.

• 1:13:41Alex Hormozi?

  TikTok what? Leila just walked in. No, I think the, it's more that you want to demonstrate that you've done some level of personalization for the prospect that makes them want to get that value. So it's less about bribing them, like the term itself, it's more like, what does someone like that really want? It might be something that gets them out of pain, or something that absolutely guarantees that this is going to actually solve it for them. But we want to show that.

• 1:14:07Alex Hormozi?

  Okay, I appreciate you, man. Congratulations on your success this year.

• 1:14:11Speaker 02

  Thank you, thank you.

• 1:14:12Alex Hormozi?

  All right, you bet. All right, bye. All right, we have the great, the great Leila. The one, the myth, the legend, legend, actually legend's way better. The legendary Leila. The legendary Leila's in the house. And, uh, so we're doing, so we're doing, this is our special edition because we just hit.

• 1:14:28Speaker 05

  We're just gonna call Single Book Buyers.

• 1:14:30Alex Hormozi?

  That's, yeah, all right, that's the, that's the, we just hit the milestone. Okay.

• 1:14:33Speaker 05

  Yes.

• 1:14:33Alex Hormozi?

  So, we're calling Single Book Buyers. Okay, so do we have, uh, am I getting, am I getting some?

• 1:14:38Speaker 05

  Yeah, so they're texting to you.

• 1:14:39Alex Hormozi?

  Oh, there we go. Okay, great.

• 1:14:40Speaker 05

  Yeah, there we go.

• 1:14:40Alex Hormozi?

  So Brandon Spry, you're watching? We're calling. We'll see, Brandon. You just bought a book, and so that was, we hit this milestone. And so we're, uh, we're going.

• 1:14:55Alex Hormozi?

  Brandon, we're on the live.

• 1:14:57Speaker 05

  Hi, Brandon.

• 1:14:58Alex Hormozi?

  You bought a book. You donated a book. Thank you.

• 1:15:02Speaker 05

  We appreciate you.

• 1:15:04Alex Hormozi?

  Yeah.

• 1:15:05Speaker 03

  This, oh my God, I was just watching the live.

• 1:15:08Speaker 05

  Did you stop watching?

• 1:15:11Speaker 03

  Seconds ago.

• 1:15:13Speaker 05

  Seconds ago?

• 1:15:14Alex Hormozi?

  Oh, I lost you. I lost you on the dentist. That's what did it.

• 1:15:17Speaker 05

  Yeah.

• 1:15:18Speaker 03

  That's just, well, if you want proof, you just want to open, ask them to open a new location.

• 1:15:22Alex Hormozi?

  Yeah.

• 1:15:23Speaker 03

  Yeah, there you go. No, I love it. Oh my gosh. Well, really great to meet you, man.

• 1:15:27Alex Hormozi?

  Well, appreciate it. How can, how can we help? We got, we got, we got a minute or two. Let's do it. What, how can we help?

• 1:15:32Speaker 03

  Yeah, let's do it. Um, so I'm a closer. Um, I'm gonna bore you with that, but I'm really trying to. Help, um, I work for an offer right now and their show rate is terrible and uh really great, it's honestly the best offer I've ever worked for, um.

• 1:15:46Speaker 05

  Well, you haven't worked for us, so.

• 1:15:49Speaker 03

  Dude, I know, I just had a group reach out to me, it was like, hey, I'm always just looking for a closer and I was like, I don't really trust you. Like they do it themselves, right? Um.

• 1:15:58Speaker 05

  Uh, that's actually correct.

• 1:16:00Alex Hormozi?

  Yeah.

• 1:16:00Speaker 03

  Yeah, you know how it is.

• 1:16:02Alex Hormozi?

  Yeah, I do.

• 1:16:03Speaker 03

  This offer is great, uh, they scale plumbers and then they're so good and I just have so much conviction for their offer.

• 1:16:10Alex Hormozi?

  Yeah.

• 1:16:10Speaker 03

  Um, and uh, our close rate is great, but I, I mean, you obviously have closed way more than me and you know that if the close rate is too high, there's a problem.

• 1:16:18Alex Hormozi?

  Yeah.

• 1:16:18Speaker 03

  Um, and part of that is our closer, or excuse me, our show rate is, is twenty percent and uh, our close rate is, is insane. So, you know, we get three calls a week and we'll close two out of three, we'll get uh, five calls a week, we'll close three out of five or four to five.

• 1:16:32Alex Hormozi?

  Yeah, you mean that actually pick up, is that what you're saying? Not scheduled?

• 1:16:35Speaker 03

  Uh, yes, exactly, and uh.

• 1:16:38Alex Hormozi?

  Yeah, couple of things.

• 1:16:39Speaker 03

  There's a lot to work on and, and I'm an amateur and.

• 1:16:41Alex Hormozi?

  No, you're good, dude.

• 1:16:42Speaker 03

  Know how to close, so.

• 1:16:43Alex Hormozi?

  No, you're good. So, there's, there's probably a handful of issues that are actually happening prior to. So, like, sometimes it's an uphill battle, like, if you're like, dude, I'm calling the lead immediately, I'm, you know, I'm, I'm, I'm calling him ten times, you know, within the first three days and I'm calling him twice in the first five minutes, like, you're doing all the, like, the fundamentals, like, the basics, right? If you're doing that stuff and you're still not seeing increases in, in show rates, then it's usually things that are happening prior to the scheduling.

• 1:17:08Speaker 03

  Okay.

• 1:17:09Alex Hormozi?

  So that means.

• 1:17:10Speaker 03

  Like to do a sound stuff?

• 1:17:10Alex Hormozi?

  Exactly, right. So basically, there's not, there's insufficient friction likely in the funnel. Um, and so as a result, it basically, if you remove too much friction, then what is happening is that, like, it's so easy to book a call that you actually have fewer total shows and so your metrics, like, you, you, it's kind of getting into the vanity metrics game of like, look, we got a hundred calls scheduled. It's like, dude, it doesn't matter, like, we only care who shows, right?

• 1:17:32Speaker 03

  Yeah.

• 1:17:32Alex Hormozi?

  And so, being willing to say, well, we doubled our cost per booking, but our show rate, because you're at twenty percent, it's like our show rate went from twenty to sixty. So we tripled our show rate, but we doubled our cost, which is still a fifty percent increase, right?

• 1:17:45Speaker 03

  Yeah, okay.

• 1:17:46Alex Hormozi?

  So I would look. The application, number one, I would also look at like, so is it, is it just, is it just straight to booking? Or how's the, I don't, I can't see the funnel, but like, is that the, like,

• 1:17:58Speaker 03

  Bro, I can't see, I mean, the funnel's changed too much in the last couple of months. So as, at the exact moment funnel is for an offer or promotion we're running. And then it's also just like, hey, if you want to scale up, book a call. And then it's very basic info, you know, name, email, how many people are working your company? What's your revenue? And then, and then it just goes straight to, hey, no, don't miss your call. And it's basically a 10 second video of the owner going, hey, this is, this changed a lot.

• 1:18:26Alex Hormozi?

  Oh, that's the, and that's the VSL?

• 1:18:29Speaker 03

  Yeah, basically.

• 1:18:30Alex Hormozi?

  No, no, no, did you, no, you need like a five or seven minute VSL. So the proof checklist, which is tell your owner to go by that, but donate some books by the end of the day. But the proof checklist is basically help you script out the, the VSL. Cause you have to, right now, like the, the symptoms you're expressing are things that are, I mean, both, all of this is in the sales system. So you've got the leadership process and you've got the proof checklist. Both of those things are the things that are missing, which is why you're having so few show rates, or the show rates so low. The fact that you're closing is great, but I would bet you that if you put in that, basically more proof on the funnel and the VSL itself, which typically the way it's going to be, is going to have proof, promise, plan right at the beginning of the VSL. So like, you know, how, how do you know we're good? What, or sorry, like what's the promise?

• 1:19:16Alex Hormozi?

  What's the plan of how we're going to help you do it? And then what's proof that I know that you're legit? And then we walk through the four step belief breaking, which is like, okay, what are the four things that people, you know, struggle with? Or like why they, why they object, right? And so it's like belief, one, two, three, four. And then we, we order this and you'll be able to watch this live stream later. So I'll just talk fast. So, so it's, it's what they believe, why they're wrong, what's right, and then proof. All right. And then that stack of that four steps, you do four times. So it's basically 16 pieces to that VSL. And then you CTA at the end, whichever, whatever the next step is, which is like, hey, text us back, you know, this thing. And then when that person texts you, right? Then what we want to do is personalize. The roadmap that we're going to show them so that they're like, oh, they actually did some work for me ahead of time.

• 1:20:01Alex Hormozi?

  Right. It's just like, I mean, just like plumbing. It's like, oh, we actually, you know, I looked, I pulled up Google Maps and it looks like your, your home was built in 1971. They were usually using these types of pipes at that point. Um, and so I'm going to bring the stuff that's actually going to be able to fix this. I'm able to do this even faster for you. They're like, oh, wow, that was impressive. So like now the question of you not showing up or that like I'm using a home services example, but like the question like vanishes, right? So like, oh, wow. They like really understand my business. And so I would, if I were you, the salesman, we have to install those two playbooks. But in addition to that, I would, if I'm you, I would basically do little mini AI research, Zapier or make.com automation, whatever, uh, to get a full breakdown of that business, the reviews they have, what people say, you know, some of the employees at the business, like, like imagine like, hey, so I know Tom and, you know, Gerald worked for you.

• 1:20:46Alex Hormozi?

  Um, do you have any issues with that? Like, holy shit. Like, it's like you want to blow them away, but with automation and AI now you like, you can do that really, really well. All right. I gotta call the next person. Okay.

• 1:20:55Speaker 05

  My, I got.

• 1:20:56Alex Hormozi?

  That helps.

• 1:20:59Alex Hormozi?

  Nice to meet you too. Appreciate you.

• 1:21:02Alex Hormozi?

  All right.

• 1:21:03Speaker 05

  Tick tock.

• 1:21:03Alex Hormozi?

  Tick tock. I know, I know.

• 1:21:04Speaker 05

  You know what I'm saying? We gotta call these buyers.

• 1:21:07Alex Hormozi?

  Yeah, my bad. Okay.

• 1:21:08Speaker 05

  Special numbers that I've been given as well.

• 1:21:10Alex Hormozi?

  So you want to, or do you want to tell me what it is?

• 1:21:14Speaker 05

  Come on, Ed. I need that special number.

• 1:21:15Alex Hormozi?

  I'll call Santiago first and then we'll call this, this special number. Okay, Santiago Huerta.

• 1:21:20Speaker 05

  Call them instead.

• 1:21:22Alex Hormozi?

  I don't even know what that means.

• 1:21:23Speaker 05

  Like, wouldn't it be funny to be prank called by you or something?

• 1:21:25Alex Hormozi?

  What?

• 1:21:26Speaker 05

  Yeah. You didn't do that in like high school?

• 1:21:30Alex Hormozi?

  No, I didn't.

• 1:21:31Speaker 05

  I didn't. So lame.

• 1:21:33Alex Hormozi?

  Your call has been forwarded. Tough one, Santiago.

• 1:21:35Speaker 05

  Why don't you leave a voice memo?

• 1:21:37Alex Hormozi?

  Uh, well, it's gone now.

• 1:21:38Speaker 05

  That's so rude.

• 1:21:39Alex Hormozi?

  He doesn't know.

• 1:21:40Speaker 05

  Leave a voice memo.

• 1:21:41Alex Hormozi?

  The opportunity of a lifetime. Just pass it by.

• 1:21:43Speaker 05

  Okay. Well, I'll leave a voice memo.

• 1:21:46Alex Hormozi?

  Uh, Nathan? Yeah. What's up, dude? You're on Hermosy Hotline. What's up?

• 1:21:53Speaker 05

  How's it going?

• 1:21:55Alex Hormozi?

  It's going good. All right. Rock and roll. We have like two minutes because I'm calling people who bought books. So we're, we're doing it right now. How can we help? Um, right now I am a sales manager for, uh, oh, that's crazy.

• 1:22:12Alex Hormozi?

  Um.

• 1:22:12Speaker 03

  I'm a sales manager for a proactive maintenance company. We are launching a new software with sensor capabilities and an AI platform. And yeah, just was buying the book to see how we can enhance, yeah, enhance that above all your other books. And yeah, just trying to upgrade my career and.

• 1:22:34Alex Hormozi?

  Sell some stuff.

• 1:22:34Speaker 05

  Sixty seconds to ask a question, Nathan.

• 1:22:36Alex Hormozi?

  Yeah.

• 1:22:38Speaker 03

  Yeah. That's pretty much it.

• 1:22:41Alex Hormozi?

  Well, I mean, I could just say thank you.

• 1:22:45Speaker 03

  Yeah, yeah, honestly, yeah, this is a crazy honor. I'm like a huge fan of yours, dude, and yeah, just love your stuff.

• 1:22:53Alex Hormozi?

  Well, I'm a huge fan of yours for, uh, for putting in the work, man, chopping wood.

• 1:22:57Speaker 05

  Yeah, we appreciate you. Thanks for supporting and buying a book.

• 1:22:59Alex Hormozi?

  Yeah.

• 1:23:00Speaker 03

  Absolutely. My pleasure, guys. I appreciate it.

• 1:23:03Alex Hormozi?

  You bet.

• 1:23:04Speaker 05

  All right. Well, hey, have a good Monday.

• 1:23:06Speaker 03

  Thanks.

• 1:23:07Alex Hormozi?

  All right, later. All right, bye. I always like wave at the phone. Oh, that's my own thing.

• 1:23:11Speaker 05

  That's you, old man.

• 1:23:13Alex Hormozi?

  Do you want to, old man Mosey? Okay, do you want to, uh, do you have a special number?

• 1:23:18Speaker 05

  I'm waiting on a couple of them, so let's go.

• 1:23:21Alex Hormozi?

  All right, we'll go with. Alex, oh, there's not enough room in this live stream for more than one of us. Not enough room in this live stream.

• 1:23:36Speaker 05

  Do not hang up.

• 1:23:37Alex Hormozi?

  Oh, you want to leave that? Okay. Leila's gonna prank call. Can you imagine this?

• 1:23:42Speaker 05

  Dude, do you guys remember when?

• 1:23:43Alex Hormozi?

  I know Varin.

• 1:23:44Speaker 05

  Hot or Not? You remember that?

• 1:23:46Alex Hormozi?

  Dude, what, what did you do growing up? I went to, to be fair, I went to all guys school, so like Hot or Not was not really a thing.

• 1:23:52Speaker 02

  This is Alex Miller with Watch Denver. Sorry I missed your call. Feel free to shoot me a text and I'll get back to you as soon as possible.

• 1:24:00Speaker 05

  Tough, tough, Alex, but this is Leila and Alex from Mosey.

• 1:24:04Alex Hormozi?

  What's up?

• 1:24:05Speaker 05

  Saying hi, from Mosey hotline, but you missed the call, so I said we have to leave you a voicemail.

• 1:24:09Alex Hormozi?

  I feel like this is so, it's worse than not getting a, like, I feel like getting a voicemail. It's like, it's worse than just not getting a call.

• 1:24:16Speaker 05

  I don't think so.

• 1:24:17Alex Hormozi?

  God, it's terrifying. Well, Alex, thank you for, for grabbing a book. And, um, we wish you all of the, all of the fortune that comes from everything in Scottsdale.

• 1:24:26Speaker 05

  Thanks for supporting.

• 1:24:27Alex Hormozi?

  Yeah, appreciate you. All right.

• 1:24:30Alex Hormozi?

  Okay.

• 1:24:30Speaker 05

  How awkward was that?

• 1:24:31Alex Hormozi?

  That was, I don't think that was that awkward. I don't think that was awkward at all. I thought that was friendly. Alright, do we have another one?

• 1:24:38Speaker 05

  I don't know, it's taken this so long.

• 1:24:40Alex Hormozi?

  Alright, fine. Alright, well, I'm gonna call, uh, the next one, what?

• 1:24:45Speaker 05

  Okay.

• 1:24:46Alex Hormozi?

  I'm gonna call this one.

• 1:24:47Speaker 05

  Yeah.

• 1:24:48Alex Hormozi?

  Alright.

• 1:24:49Speaker 05

  We don't even know who it is?

• 1:24:51Alex Hormozi?

  Carlos.

• 1:24:51Speaker 03

  Hi, this is Carlos Rodriguez. Please leave your name in there.

• 1:24:54Alex Hormozi?

  Wow.

• 1:24:55Speaker 03

  Thanks.

• 1:24:55Speaker 05

  What should we say? Leave him something inspiring.

• 1:24:57Alex Hormozi?

  Something inspiring.

• 1:25:00Speaker 05

  Leave no doubt.

• 1:25:02Alex Hormozi?

  You one of zero.

• 1:25:04Alex Hormozi?

  This was from Ozzie Hotline and we missed you because you just grabbed the book and you're probably on the livestream and I don't know, you missed it, but, uh, we love you and, uh, we appreciate your supporting.

• 1:25:12Speaker 05

  You love him?

• 1:25:13Alex Hormozi?

  Well, I was like, calm down. Jeez, chick, ah, come on. Get out of here.

• 1:25:18Speaker 03

  No, no, no, one second, sorry.

• 1:25:20Alex Hormozi?

  What?

• 1:25:28Speaker 03

  I didn't mean to miss anything.

• 1:25:29Alex Hormozi?

  Dude, you saved by the bell, dude. I was, I, my, my finger was, was hovering over that hangup. Alright, dude, how can we help, man?

• 1:25:37Speaker 03

  Okay, so who, what, when, or why? Um, I'm, uh, Carlos Rodriguez, Benford PhD Research, uh, student. What do we do? Um, I make medicine, so I'm working on creating new treatments for, uh, leukemia, uh, trying to get rid of chemotherapy and radiation to help treat people with blood cancer.

• 1:25:53Alex Hormozi?

  Cool.

• 1:25:53Speaker 03

  The problem that I'm having is that we're having a hard time getting funding, right? Uh, recent budget cuts, a lot of funding is, um, missing and harder for people to get funding. Um, we just recently submitted one thing, uh, which I think has a pretty high probability of getting us, you know, a hundred K, two hundred K, uh, over the next year or two, which isn't really enough to cover

• 1:26:13Alex Hormozi?

  Yeah.

• 1:26:13Speaker 03

  the three staff that we have.

• 1:26:15Alex Hormozi?

  Okay.

• 1:26:16Speaker 03

  Um, so I'm, uh, loo- looking to you, seeing if we can come up with, uh, more creative ways of getting this funding, um, research funded, because we have some really exciting results that we can do bone marrow transplant without chemotherapy or radiation and nice. But we

• 1:26:32Alex Hormozi?

  Well, how much you need, dude?

• 1:26:33Speaker 03

  Celebrate this, we need money.

• 1:26:34Alex Hormozi?

  How much?

• 1:26:37Speaker 03

  I'm thinking two million dollars would get us to the finish. line in monkey studies, you know, by the end of this year, possibly middle of next year.

• 1:26:45Alex Hormozi?

  Got it. So how big is the average grants? Like, how many? Do you just normally get one grant or multiple grants?

• 1:26:50Speaker 03

  We normally apply to, you know, three or four grants. Um, on the high end, they can be 10 million, but you get that, you know, once every decade, or, you know, the more sustainable version is one grant every, every year or two. And that keeps the lab running and helps pay for the staff.

• 1:27:06Alex Hormozi?

  Yeah, heard. So my thinking process is that this is, I mean, believe it or not, this works the exact same way as like closing a deal. You know what I mean? Um, and so I think to me, I would hear this and I don't know lately you can jump in, but like insufficient volume of like, okay, we're applying to three or four. It's like, how do we apply to like 300?

• 1:27:24Alex Hormozi?

  Like I try to solve that question, like, what would it take to guarantee that this doesn't fail?

• 1:27:29Alex Hormozi?

  And I just, I do that.

• 1:27:32Alex Hormozi?

  I know that sounds incredibly violent, but hopefully this launch was like a little, a little example that I try to walk that talk like, I just like, I just like, how can we max maximize the likelihood of success?

• 1:27:43Speaker 03

  Right. And there's only so much, um, that you can write or rewrite yourself.

• 1:27:47Alex Hormozi?

  Yeah.

• 1:27:48Speaker 03

  There's all these AI detection tools. So you have this body of work, they've written, I want to use AI to say, hey, take some of the points that I've already written and help adapt it to this thing. But then you don't want it to get flagged by, I don't know, an AI checker on the other side.

• 1:28:03Alex Hormozi?

  Okay. But I mean, you said you only applied to three or four, like, could you do like 30 or 40?

• 1:28:10Alex Hormozi?

  Cause the alternative is that you lose the research, right?

• 1:28:13Speaker 03

  What was that?

• 1:28:14Alex Hormozi?

  Well, the alternative is you lose the research, right? Is that it stops. Right. So to me, it's like life or death.

• 1:28:19Speaker 03

  Right. It's existential.

• 1:28:21Alex Hormozi?

  Right. So to me, it's like, all right, well then like, what it like, again, what would it take? Yeah, like, yeah, we pull out all the stops. If it's like this or die, then it's this.

• 1:28:29Speaker 03

  Right. Well, uh, I guess we don't, we have maybe, uh, a year of funding left, maybe less. So yeah, it's do or die now.

• 1:28:38Alex Hormozi?

  Right.

• 1:28:39Speaker 03

  Shifting, shifting everybody's focus from the research that we do, you know, we have a body of

• 1:28:43Alex Hormozi?

  Yeah.

• 1:28:44Speaker 03

  research and results.

• 1:28:45Alex Hormozi?

  But it's gonna go to waste unless you get the grant. It's gonna go to waste unless you get the grant. So like the constraint of the system is cash flow and the way to solve that is through volume of outreach in order to, volume of applications, literally to get grants.

• 1:28:56Speaker 04

  Are there other perhaps creative strategies, I don't know, crowdsourcing, funding for research?

• 1:29:02Alex Hormozi?

  Yeah, there totally is. I would just say, what's the, like, I, I always operate from find the highest likelihood path, and then make it unreasonable that we wouldn't succeed by doing so much volume on the highest likelihood path. And so if you already know how to do grants and you've done multiple of them in order to get grant money, then I'd say, well, if we 10x the amount of volume, the likely that we, you know, are successful. So let me ask this differently. If you were to do 30 grant applications, what do you think the likelihood, if all 30 were good, that you'd get the funding you need?

• 1:29:33Speaker 04

  Um, I'd say pretty good.

• 1:29:34Alex Hormozi?

  All right. Well, to me, it's like, I don't even have another question. Like, to me, it's like...

• 1:29:37Speaker 05

  It's just the time it would take to...

• 1:29:40Alex Hormozi?

  Yeah.

• 1:29:40Speaker 05

  The time it would take to figure out a different strategy. It's just the same as a business. It's like, all right, we want to figure out a new funnel right now. It's like, no, we wanted to see ruthlessly pursue making the old one work.

• 1:29:51Speaker 04

  Okay.

• 1:29:53Alex Hormozi?

  That's it, man. It's just ruthless volume.

• 1:29:55Speaker 04

  And say, hey, we gotta try a little bit harder.

• 1:29:57Alex Hormozi?

  Well, if, if it's like, if it's like, oh, the team, it's like, well, we, we can't stop the research. It's like, well, the research is gonna stop no matter what unless this gets solved.

• 1:30:06Speaker 04

  Right.

• 1:30:07Alex Hormozi?

  So like, that's that.

• 1:30:10Alex Hormozi?

  But all right, dude. I appreciate you. Thank you for grabbing a book.

• 1:30:13Speaker 05

  Yeah, and also just to respect what you're doing.

• 1:30:15Alex Hormozi?

  Yeah, respect what you're doing, man. Thanks for saving lives.

• 1:30:19Alex Hormozi?

  All right, bye. All right. All right.

• 1:30:23Speaker 05

  Wow, so discreet.

• 1:30:24Alex Hormozi?

  All right, we're doing, so, uh, all right, Santiago. Santiago Ramirez. I don't know. Tyler Mars, that's the, just, just popped up. All right, Tyler Mars, it's you. You're up.

• 1:30:39Alex Hormozi?

  Tyler, you didn't hear the caller. Caller, go for it.

• 1:30:41Speaker 05

  I got one, I got one.

• 1:30:42Alex Hormozi?

  Okay. These are hot, hot dials.

• 1:30:47Alex Hormozi?

  The weather is hot. What, what?

• 1:30:49Speaker 05

  I just decided to call.

• 1:30:50Alex Hormozi?

  Oh, well, there you go. Whoa.

• 1:30:51Speaker 05

  Now you got one.

• 1:30:52Alex Hormozi?

  You don't, there's no overhead mic, you're good. Or overhead, um, thing.

• 1:30:59Speaker 05

  Cameron.

• 1:31:00Alex Hormozi?

  Cameron. What's up, man? How do you, who, who, how do you, how do you know who this is?

• 1:31:08Alex Hormozi?

  Oh, I'd say we've known each other.

• 1:31:09Speaker 03

  Each other since we were probably three or four.

• 1:31:12Alex Hormozi?

  Cameron, what's up dude?

• 1:31:14Speaker 03

  What's up man?

• 1:31:16Alex Hormozi?

  Hey Cameron. What's up man? You ass. Okay, so. Well, your honor, Rosie Hotline. How's the physical? Well, how's your new baby, man? You got, you got? Oh, good. Good.

• 1:31:29Speaker 03

  Yep, she's, she's, she's doing great, man. Having two girls is, is a wild ride.

• 1:31:33Alex Hormozi?

  Alright. Alex knows what that's like. Having, having two girls? Well, you know, anyways. This is before.

• 1:31:47Alex Hormozi?

  We're running on fumes here, Cameron, okay? Okay, talk to me.

• 1:31:51Speaker 03

  You guys, I mean, I've gotta be riding on straight caffeine at this point.

• 1:31:54Alex Hormozi?

  Oh, yeah. I don't even drink caffeine. Well, I just downed a whole, anyways. So, tell me about the business, man. What can, what can I do? So, physical therapy, you guys are online, uh, what, what, yeah, what, tell me what you're doing right now?

• 1:32:04Speaker 03

  Uh, so, uh, yeah, we had started as online, we moved into two sublease brick and mortar spaces.

• 1:32:12Alex Hormozi?

  Okay.

• 1:32:13Speaker 03

  I've been doing concierge mobile stuff. Concierge mobile had like a good margin, but it just was really hard to grow with that because just travel time and everything. So, we just prioritized the brick and mortar.

• 1:32:24Alex Hormozi?

  Yeah.

• 1:32:25Speaker 03

  Um, when, uh, my wife Lindsay, she's been crushing it.

• 1:32:28Alex Hormozi?

  Yeah.

• 1:32:29Speaker 03

  Um, where we kind of hit a snag was we had, we made a hire last year in September, hired a PT.

• 1:32:35Alex Hormozi?

  Okay.

• 1:32:35Speaker 03

  Started off okay, and then just when Lindsay came out from maternity leave.

• 1:32:39Alex Hormozi?

  Yeah.

• 1:32:39Speaker 03

  We found out our PT just like tanked. So, we just separated with our PT this past week.

• 1:32:43Alex Hormozi?

  Got it.

• 1:32:44Speaker 03

  Um, so our margins had like gone way, way, way, way, way down.

• 1:32:47Alex Hormozi?

  Yeah.

• 1:32:47Speaker 03

  Um, but now we've been building back up. So, we're getting back to where we were, um, with revenue.

• 1:32:53Alex Hormozi?

  Okay.

• 1:32:53Speaker 03

  And then I'm gonna, I'm gonna step in while we, while we're looking to bring in two PTs.

• 1:32:57Alex Hormozi?

  Okay, and this is brick and mortar, right?

• 1:33:00Speaker 03

  Yeah.

• 1:33:00Alex Hormozi?

  Yeah, I got it. Okay, so what are you doing for Legion?

• 1:33:03Speaker 03

  So we do Meta Ads, so Facebook, Instagram ads.

• 1:33:07Alex Hormozi?

  Okay.

• 1:33:08Speaker 03

  I think about sixty percent of our lead generation is word of mouth. Either through our patient base or through like referral contests.

• 1:33:18Alex Hormozi?

  Yeah, heard. So the forty percent comes from ads. So, I mean, right now, the limiter to grow, like, how much more, how many more patients can you take before you're at full capacity at the location?

• 1:33:29Speaker 03

  That is the problem, is that we have these two sub leases that just don't really allow for us to grow. And so like, it's been kind of stuck in this cash, cash flow problem where it's like I'm not able to generate enough to move out of this.

• 1:33:45Alex Hormozi?

  So I wonder, I wonder if you have a pricing issue?

• 1:33:49Speaker 03

  Yeah, so we increased our price four times over the past year and a half.

• 1:33:53Alex Hormozi?

  Love this for us.

• 1:33:55Speaker 03

  And so our, yeah, our, so our single visit rate is two seventy-nine. So, and then we, we offer, most of our, we try to not sell one-offs. So we do packages.

• 1:34:09Alex Hormozi?

  Yeah.

• 1:34:10Speaker 03

  We get two different ones that we sell.

• 1:34:11Alex Hormozi?

  Okay. What's the price point?

• 1:34:13Speaker 03

  Yeah. The low one is two thirty-nine a visit, and the, sorry, two nineteen a visit, and the other one's two thirty-nine.

• 1:34:19Alex Hormozi?

  And you're selling them as bundles, though. You're selling them as solutions, right?

• 1:34:24Speaker 03

  Uh, it's a, I mean, we're not marketing it that way. We, we market it as the plan of care, but, I mean, yes.

• 1:34:30Alex Hormozi?

  Yeah, so they come in here like, it's gonna take twelve sessions, so it's gonna be twenty-four hundred dollars or whatever, right?

• 1:34:35Speaker 03

  Yep.

• 1:34:35Alex Hormozi?

  Okay, got it. Um, do you have care credit?

• 1:34:38Speaker 03

  We do not.

• 1:34:39Alex Hormozi?

  I would set that up.

• 1:34:41Speaker 03

  We do have financing options, I just haven't been using it.

• 1:34:43Alex Hormozi?

  Okay, well, I mean, if you do, typically you'll get a thirty percent lift in revenue. When you have like a good financing partner, that happens kind of across the board. Especially if you're in higher ticket stuff like yours is, and yours is something that there's plenty of lending partners that do stuff for health. You know, since you're in a, you are, you know, a doctor.

• 1:34:59Speaker 03

  Right.

• 1:35:00Alex Hormozi?

  So, like, if you have the option, which you do, I would use it. Um, and if you're not, if you're like, if no one's even needing it, then to me, you still probably have some room to increase price. Because if you're, like, you're struggling with cash flow, which I'm not entirely, like, so you've got these, you have multiple locations right now that are subleased?

• 1:35:16Speaker 03

  Yeah, so. Uh, because Lindsay's in pelvic help that niche, so we're, we're, the two places we sublease are multi-pro provider practice areas. So it's earth specialty workers.

• 1:35:27Alex Hormozi?

  Yeah.

• 1:35:28Speaker 03

  Um, so that's where we get like a shit ton of our referrals from and, uh, um.

• 1:35:34Alex Hormozi?

  Huh. Why not specialize in that?

• 1:35:37Speaker 03

  What was that?

• 1:35:37Alex Hormozi?

  Why not specialize in that? Cause I feel like it's.

• 1:35:40Speaker 03

  I, I'm, I, so the only reason I'm even going back into treat is just to like bump our cash flow up.

• 1:35:45Alex Hormozi?

  Okay. So you gotta do what you gotta do. Okay.

• 1:35:48Speaker 03

  Right. Yeah. It's not like what I wanted to.

• 1:35:51Alex Hormozi?

  Okay.

• 1:35:53Speaker 03

  But yeah, it's, it's just so, so we can get somebody, uh, so I can get a little bit of cash. I can bring someone back in.

• 1:35:58Alex Hormozi?

  Okay.

• 1:35:58Speaker 03

  Um, yeah, we were just like getting crushed by the lack of production by our PT and the overhead was killing us.

• 1:36:05Alex Hormozi?

  Okay. So basically you need to drive more cash flow, but is the ultimate escape path, like waiting till these subleases go out or like what?

• 1:36:15Speaker 03

  I mean, I'm not locked into them at the end of this month. I'm technically out of my, like they go to month to month.

• 1:36:21Alex Hormozi?

  Yeah. Okay. Well, that sounds nice, but you said she's doing well online, right?

• 1:36:26Speaker 03

  She, I mean, so

• 1:36:30Speaker 03

  I would say the vast majority of the demand is for in person.

• 1:36:33Alex Hormozi?

  Okay. Good to know. All right. Uh, even from like your Instagram stuff?

• 1:36:39Speaker 03

  Yeah. I mean, we haven't been pushing the online stuff. I can, I definitely can.

• 1:36:44Speaker 05

  You said she's in pelvic help, like pelvic floor therapist?

• 1:36:47Speaker 03

  Yep. Yeah. She's a pelvic floor PT.

• 1:36:49Alex Hormozi?

  Yeah, that's why it's in person.

• 1:36:51Speaker 05

  It's, it's a little tough online.

• 1:36:52Alex Hormozi?

  Yeah, I get heard. Got it.

• 1:36:53Speaker 05

  Well, it's not, okay.

• 1:36:54Alex Hormozi?

  So, so fundamentally we just need to make more money and the way to do that is that we have to get more people in, add financing, raise prices. Do you have any kind of VSL that people watch prior to, uh, to coming in?

• 1:37:07Speaker 03

  Uh, no, but one of the guys in the mastermind I'm in.

• 1:37:11Alex Hormozi?

  Yeah.

• 1:37:11Speaker 03

  Sent me his, uh, like his nurture sequence. It's like a clinic tour and like welcome. So I'm gonna, I'm gonna mimic that and then build it into ours.

• 1:37:20Alex Hormozi?

  Yeah. Well, like that, like right now you, you're selling two K plus packages and you're doing it without a VSL and without financing, which means that you probably still have room to go up price wise.

• 1:37:32Speaker 03

  Yeah. And Lindsay's. Close rates ninety five percent.

• 1:37:35Alex Hormozi?

  Yeah, right.

• 1:37:36Speaker 03

  I mean, it's good.

• 1:37:37Alex Hormozi?

  So you've got to like, people are coming in for that or in screaming hot pain, from what I understand. And they just had like a traumatic event or they're about to, you know. I would, I would like, I would raise the price, man. If cash, if cash is like, if you're closing ninety five percent. And you don't even have like all the sales stuff in place for like the right sales motion, then you probably have at least a double.

• 1:37:59Speaker 03

  And so yesterday you were doing one of these calls and like you, I think you were talking to, but you said something that was like really intriguing to me. A little bit different from model, the guy was like doing SAS SAS stuff.

• 1:38:10Alex Hormozi?

  Yeah.

• 1:38:11Speaker 03

  You know, uh, one thing that he talked about was that we had like a, you know, a premier program upfront. It was like a really short. Like eight weeks, something.

• 1:38:19Alex Hormozi?

  Yeah.

• 1:38:20Speaker 03

  And then it was like, cause like right now, for me, our biggest problem is I don't think we have, or not our biggest, but eight big problems. We don't have like strong. Monthly recurring. And so I think it would be interesting if like. I did something similar when you were talking to that guy, where I have like a premier package for like somebody who's coming with that hot screaming pain. And I said, but like, I'll give you this for free.

• 1:38:40Alex Hormozi?

  Yeah.

• 1:38:40Speaker 03

  If you just come into this like.

• 1:38:42Alex Hormozi?

  That's the decoy offer. That's the decoy offer in Money Mom.

• 1:38:44Speaker 03

  Like, you know, fifteen hundred, okay, a month.

• 1:38:46Alex Hormozi?

  Yeah, that's the decoy offer. That's what it is. So they come in, you say, hey, this thing's six thousand dollars. Or if you just become a member of our, you know, pelvic platinum club, uh, platinum pelvic. Who doesn't want a platinum pelvis?

• 1:39:00Alex Hormozi?

  Right? And so, so then we'll give you this six thousand dollar gift for free if you just join our club, right? Obviously not club, but you understand, right? Like the membership. So that, so it's like, so either or is fine. Like if you want, you don't want to do any continuity, no big deal. You can just pay six thousand dollars today and we'll take care of you. Or we'll just give it to you free when you join. And the goodwill on that offer is crazy.

• 1:39:19Speaker 03

  Right.

• 1:39:19Alex Hormozi?

  And, and I mean, it crushes. It goes like, and the way that you do this, for everyone who's watching this, by the way, is. You can balance how much cash you get upfront by the, the price discrepancy. So I go over the metrics inside the book. Uh, but basically there's a price premium of thirty percent, cause we, we ran this test. Uh, people are willing to pay the, basically when you're at parity, meaning fifty percent of people will go into continuity and fifty percent of people just buy the one time thing. The one type thing is priced at thirty percent higher than the recurring. So let's say it's two months is the duration of your thing and your membership is let's say two hundred dollars a month. So four hundred dollars is the membership price for eight weeks. And if I sold an eight week thing and I sold it at five hundred and you know fifty dollars.

• 1:40:00Alex Hormozi?

  I'd have the same number of people who take five fifty as four hundred. So that's the fifty fifty split and you'll have more front loaded cash. If you want um more like more people into membership, then you just basically keep jumping it by ten percent each. Until eventually like no one you know takes the front end thing and everyone goes into continuity. Right. That's the idea, but the goodwill on that offer smokes. It's great. People love it. And then and then you can combine that with the wave fee offer, which is in the continuity section. Um and just say like, hey, if you cancel before this period, you gotta pay that. And that's the way we do it.

• 1:40:41Alex Hormozi?

  Love it. Cool. Yeah. Rock and roll, dude. Appreciate you. Congratulations on the kiddos. Thanks so much and congratulations to the both of you. This is monumental fee. So Cam and I went to for anybody's watching, we went to.

• 1:40:57Alex Hormozi?

  Where do we go? We went to middle school, middle school together, but we were neighbors and so. Yeah. From Baltimore. You can hear the Baltimore accent.

• 1:41:07Alex Hormozi?

  You know, I've been told that several times and I I I still to this day I'm like. Dude, you have like a deeper southern draw than the last time I talked to you. Maybe. Yes. Okay, well dude, I gotta hop on these other calls, but I appreciate you, man. Of course. Thanks so much. All right, see ya. All right, Hermosy hotline. Uh, next up, we're going, oh shoot, we're about to hit our next um. No, no, no, we're good. We're good. Okay. Well, we have our next milestone that's at three point three, by the way, guys, so. Um, which I'll read. So yesterday. I went over fifteen mechanisms inside the MoneyMiles books. That was the whole presentation of the MoneyMiles system. But inside the lost chapters, which is that guy, which everybody who showed up live on the first day. Are you displaying it? Thank you.

• 1:41:53Alex Hormozi?

  There you go. So everybody who showed up live got a free digital copy of this. This will be for sale after the events. Anyways, that was just my, my thank you for everybody who showed up live for the actual launch. But inside of here, I have some of the other mechanisms that I cut out because they're like maybe to niche or to advance. And so we'll do a little reading when we hit three, uh, three point three. All right. So just look out for that.

• 1:42:14Speaker 05

  Yeah, we got special stuff.

• 1:42:15Alex Hormozi?

  Yeah, we got some special, we got some special goodies. Okay.

• 1:42:18Speaker 05

  Who next?

• 1:42:19Alex Hormozi?

  Who do we call next? Who do we call next? Do you like, what name do you like? Okay. So we just got a, let's get a hot one. Okay. Joseph, Fit for Life Academy just came in. All right. Eight hundred bucks. Now this is eight hundred. Okay. I thought we, we did it. Hey, that was a.

• 1:42:34Speaker 05

  Hey.

• 1:42:35Alex Hormozi?

  Speedy Gonzalez on that one, man. All right. Well, Joseph, Fit for Life Academy, six hundred K revenue, three hundred K profit. Shoot, talk to me. Got five minutes.

• 1:42:45Alex Hormozi?

  Thanks, man. I appreciate it.

• 1:42:47Speaker 05

  Happy birthday.

• 1:42:49Speaker 03

  For the one thousandth time. Anyways, man.

• 1:42:50Alex Hormozi?

  No, dude, I'll take it. I'll take a thousand birthdays.

• 1:42:54Speaker 03

  I'm a young entrepreneur, been in the whole business game, probably for like a year and a half now. Been growing my socials for about five years.

• 1:43:00Alex Hormozi?

  Cool.

• 1:43:00Speaker 03

  Um, we do online health and fitness coaching, primarily weight loss. We focus on a slightly older population, probably forty to sixty people who have been struggling with weight loss for the majority of their life, pretty much.

• 1:43:11Alex Hormozi?

  Okay.

• 1:43:12Speaker 03

  And, uh, where was I going with this? The main goal right now is to be able to double the business over the next six months.

• 1:43:18Alex Hormozi?

  Sure. Okay.

• 1:43:19Speaker 03

  Um, I think the simplest strategy is to get from, we're doing twelve to fifteen new clients at the moment. At a thirty hundred dollar price point for six months, it would be to double the amount of clients that we're getting per month.

• 1:43:29Alex Hormozi?

  Okay.

• 1:43:29Speaker 03

  And using your principle of just doing more of what's already working until we get to a million.

• 1:43:33Alex Hormozi?

  Love this for us.

• 1:43:34Speaker 03

  Our general funnel is Free Lead Magnet, which is an ebook on the front and on social media.

• 1:43:38Alex Hormozi?

  Okay.

• 1:43:39Speaker 03

  A hundred percent organic. We don't do any paid.

• 1:43:41Alex Hormozi?

  All right.

• 1:43:41Speaker 03

  That goes into a DM set of flow in the DMs.

• 1:43:44Alex Hormozi?

  Okay.

• 1:43:44Speaker 03

  And then they book sales calls.

• 1:43:46Alex Hormozi?

  Okay.

• 1:43:46Speaker 03

  So the DM setter is setting about ten to fifteen calls per week at the moment.

• 1:43:50Alex Hormozi?

  Yeah.

• 1:43:51Speaker 03

  And we're getting about two hundred new leads per week. My thought process to double leads, um, would be. I can't do double the content because I already create a good amount of content.

• 1:44:01Alex Hormozi?

  Okay.

• 1:44:01Speaker 03

  Um, I would love to be able to start running some paid ads. Simply because we get a lot of unqualified leads from overseas, India, et cetera, that can't afford a service.

• 1:44:09Alex Hormozi?

  Well, how much content do you make right now?

• 1:44:12Speaker 03

  Um, pretty much daily across all platforms and then one long podcast and one long YouTube uh per week.

• 1:44:17Alex Hormozi?

  Per week? Okay.

• 1:44:19Speaker 03

  Yep. I could double down and I do want to expand with at the moment.

• 1:44:23Alex Hormozi?

  Okay, so this is what I'm so go ahead.

• 1:44:25Speaker 05

  We're gonna say the same thing.

• 1:44:27Alex Hormozi?

  Actually, I I don't know if we will. I don't know if we're gonna say the same thing. So instead of doing twice the volume, what I'm going to recommend is that you spend twice as much time on each piece of content.

• 1:44:36Speaker 03

  Yeah.

• 1:44:38Speaker 03

  I I would say I feel like I have the the content dialed in pretty well. Like, that's what I would say I'm most skilled at by far. We have close to four hundred K followers on Instagram and we probably get on average about fifty to sixty thousand views per video.

• 1:44:54Speaker 05

  How much time do you put in each week to make content?

• 1:44:58Speaker 03

  Uh, probably between ten to fifteen hours of my week goes towards concentration.

• 1:45:04Speaker 03

  And that would just be scripting, recording. We have an editing team that does all of the editing and posting for us.

• 1:45:12Alex Hormozi?

  You want to just post twice a day instead of once a day?

• 1:45:15Speaker 05

  I mean, I'm thinking like, how do we deconstrain him in the content creation process and then do double the content with half the time?

• 1:45:22Speaker 03

  Most of it comes from doing research of seeing what sort of

• 1:45:26Alex Hormozi?

  Yeah.

• 1:45:26Speaker 03

  formats are doing right now. Exactly, yeah.

• 1:45:29Speaker 05

  So you do a lot of that research?

• 1:45:32Speaker 03

  I do a hundred percent of that.

• 1:45:33Speaker 05

  Oh, wow. I don't I don't know. Last time I don't even scroll content.

• 1:45:37Alex Hormozi?

  Yeah, so that's something that you can for sure get. You can also you can literally automate that task now.

• 1:45:41Speaker 03

  Okay, okay.

• 1:45:43Speaker 05

  I think honestly, I think a lot of people get really caught up in the content creation process and think like, especially because it's you and it's a personal brand often, it's like, who else can do this but me? And you have a system and it's just a matter of being able to write it down, explain it to somebody else what your system is. And now with AI, it's easier than ever so that they can do those pieces for you because it's, I mean, you're gonna say better quality of content, correct? It's like if you want better quality, essentially to get better quality, you have to put in more time, but you're already putting in a decent amount of time. And so the first thing that you probably want to do is make sure that you're not spending so much time on content. So how can you cut in half the time you spend? I was spending a lot of time scripting mine and then I just stopped because I was like, I just can't even make content if this is what it is because I have to run the

• 1:46:25Speaker 05

  business. And then what do you know, it's actually doing better now that I have other people helping do it.

• 1:46:32Speaker 02

  Gotcha.

• 1:46:33Speaker 05

  And so I think that that's probably the biggest unlock for you is getting that off your plate. And honestly, we know a lot of the biggest content creators and they do not do their own scripting.

• 1:46:43Speaker 02

  Gotcha.

• 1:46:44Speaker 05

  Or research.

• 1:46:45Speaker 02

  I will also say it's what I enjoy the most. Like I enjoy creating content. That's how I started. So I enjoy that aspect of it. And what you're saying makes perfect sense. And one thing I have been in the question I originally asked, one of my big bottlenecks is that we've gotten to the point where we have about five to six sales calls on the calendar, probably three or four sales calls on the calendar every day. And it's a great problem to have, but I take all of those. So I know I need to delegate that and get a salesperson in place. My thought process with doubling the leads sooner than later would be because I heard Alex talk about this on a podcast recently, that it's a pretty simple unlock to start running some ads just to get more lead flow.

• 1:47:23Alex Hormozi?

  Yes.

• 1:47:23Speaker 02

  To the lead magnet that's already working.

• 1:47:26Alex Hormozi?

  Yeah.

• 1:47:26Speaker 02

  Um, so my thought process is just like, start running some DM ads and just get a second DM setter, double lead flow, get one or two sales closers.

• 1:47:35Alex Hormozi?

  Yeah.

• 1:47:35Speaker 02

  That be the simple, at least in my perspective, the most linear path to 25 clients a month.

• 1:47:40Alex Hormozi?

  Do you, when you're running a DM flow right now, is the, um, at the end of every reel, are you saying like, do you know, DM PDF or DM?

• 1:47:47Speaker 02

  Every single video and stories daily. I just feel like that also overwhelms the audience.

• 1:47:52Alex Hormozi?

  Well, I'll say this, I don't know if it completely overwhelms the audience, uh, because a lot of the reels are going to new people. So they've never seen you before. Also, are you posting like many, many times a day on trial reels?

• 1:48:04Alex Hormozi?

  Okay, so right now Trial Reels are 100% guaranteed new audience. So what I would do is look at your, like, sort by, you know, best reels of last 12 months, right?

• 1:48:15Speaker 02

  Okay.

• 1:48:15Alex Hormozi?

  And then you're gonna get, call it, um, you know, your top 20 or top 30 of all time. And I would post all 30 of those every month. Uh, you can even post like two of those a day in addition to your existing post and post those straight to Trial Reels. Only new people see them. And then it's still like, honestly, if you did nothing else from what we're talking about right now, just do that and you'll probably get, like, you'll get a, you'll get a noticeable boost. And as long as they let you do it, I would just be, I would be milking the hell out of that.

• 1:48:43Speaker 02

  Okay, that makes perfect sense.

• 1:48:44Alex Hormozi?

  Cool.

• 1:48:45Speaker 02

  Would, would you encourage the ad strategy?

• 1:48:47Alex Hormozi?

  I, I want, like, real talk, I wanna figure out how to make the content better. Like, just being, because like, I think that when you do start running ads, one of the issues you're gonna have if you go straight to DM is that like, they're gonna be real, like, they're not gonna be nearly as warm as the people who are doing it now.

• 1:49:01Speaker 02

  Even if it's retargeting based to people that have engagement like content?

• 1:49:04Alex Hormozi?

  Well, if it's retargeting, okay, but then if it's retargeting, it's not gonna be the, the, the N, the number size is not gonna be high.

• 1:49:10Speaker 02

  Gotcha, okay.

• 1:49:11Alex Hormozi?

  You know what I'm saying? Okay, cool. I would do, I would do aggressive volume on the Trial Reels as thing one. Um, and I, me personally, I would see, how can I spend more time on the content? Um, and that means that how do I, how do I eliminate all the other stuff that are lower leverage on the content? So I can still maybe spend your same 15 hours or 20 hours, but on the higher leverage work, so that you can still make it better. Because that's, that's the, the long, long term is that you just have to keep growing the brand. Because, yeah, because the ads is just gonna reach further into the base, you have into slightly colder people. Unless you have a true cold conversion mechanism, which right now you don't, and to me, the risk of trying to figure that out right now wouldn't be my first bet.

• 1:49:46Speaker 02

  Okay.

• 1:49:47Alex Hormozi?

  Okay?

• 1:49:47Speaker 02

  The la, the last thing that I will definitely say is that we do have a pretty strong brand. The socials are probably growing around six to eight K per, per month in terms of new followers. And at what point would you say turn on the ad switch where it's like, have that supplement their, their organic content?

• 1:50:02Alex Hormozi?

  I just, what do you think?

• 1:50:04Speaker 05

  Not while you're selling.

• 1:50:06Alex Hormozi?

  Well, not while you're selling, yeah.

• 1:50:07Speaker 05

  I just look, the thing is, it's like hard for me, which is like, I prefer, if you can, to hire a head. So that you don't have to turn down, because what always happens is people turn up the lead flow and then they're like, well, I can't take any more calls. Or, or you say, I am gonna take those calls, and then you drop the ball on your content.

• 1:50:23Alex Hormozi?

  Yeah.

• 1:50:23Speaker 05

  And so, I'm just looking like, let's create that excess capacity so that when you get more lead flow, you have something to catch it.

• 1:50:29Alex Hormozi?

  Yeah.

• 1:50:30Speaker 03

  I'm in the process at the moment, I'm in the process of hiring two sales closer, so this all makes sense.

• 1:50:35Alex Hormozi?

  Okay, rock and roll. Thank you for donating books, man, appreciate you.

• 1:50:38Speaker 03

  Of course, thank you.

• 1:50:39Alex Hormozi?

  Alright.

• 1:50:41Speaker 05

  Oh my gosh, how many copies are we away?

• 1:50:42Alex Hormozi?

  We're very close to uh 3.3.

• 1:50:45Speaker 05

  I think the team has a present if we hit it.

• 1:50:47Alex Hormozi?

  Oh really? Well, let's do uh, let's do a, let's do a um, for anyone who's tuning in right now, we're calling people who are buying books, um, and donating books, um, and so that's what we're doing, okay?

• 1:50:58Speaker 05

  Randomly.

• 1:50:58Alex Hormozi?

  Randomly, yes. So who's coming in? I have so many notifications, okay, um, who we got, who we got, who we got, who we got, um, let's do, what's this? This is, this, okay. Uh, oh, we, oh shit, okay, wow, we just hit 3.3, okay, so we hit 3.3 million, um, yay. Huzzah!

• 1:51:22Speaker 05

  Amazing!

• 1:51:22Alex Hormozi?

  Uh, so now, I'm gonna read an excerpt from The Hundred Million Dollar Boss Chapters. And when we hit 3.35, uh, I'll be randomly selecting people who donate, um, 200 bucks, so, uh, as soon as we hit 3.35, I'll be calling immediate, I'm just shifting the list of people that we're calling based on who, who, uh, who donated books. Uh, and I'll be signing a personal copy of Hundred Million Dollar Models, Money Models, uh, for 10 of you guys, okay? So, at 3.35, stay tuned for that, we're gonna be, um,

• 1:51:49Speaker 05

  Signing books now.

• 1:51:51Alex Hormozi?

  Oh, we're signing them now?

• 1:51:51Speaker 05

  Yeah.

• 1:51:52Alex Hormozi?

  Oh, okay, okay, here we go. So we're signing books now, there we go. We got it, let's rock and roll. Okay, so, uh, we, shit, oops.

• 1:52:02Speaker 05

  It's okay.

• 1:52:02Alex Hormozi?

  Alright.

• 1:52:03Speaker 05

  It's live stream.

• 1:52:03Alex Hormozi?

  It's live, hey, this is, is real!

• 1:52:06Speaker 05

  It's live stream.

• 1:52:06Alex Hormozi?

  Alright, so, I'll sign this guy.

• 1:52:08Speaker 05

  He's real!

• 1:52:09Alex Hormozi?

  Oh, well, they got a blue one. This is a special edition.

• 1:52:12Speaker 05

  Whoever gets the blue one, you should kiss it or something.

• 1:52:14Alex Hormozi?

  What the?

• 1:52:17Alex Hormozi?

  Unhinged. Uh, A and L.

• 1:52:20Speaker 05

  That's what they cut out of my YouTube videos.

• 1:52:21Alex Hormozi?

  Okay, that's that one. Okay, why don't you call somebody else, I'll sign.

• 1:52:24Speaker 05

  Okay.

• 1:52:25Alex Hormozi?

  Yeah.

• 1:52:25Speaker 05

  What if I call and they think of you?

• 1:52:28Alex Hormozi?

  Oh, God. But you have a lovely singing voice.

• 1:52:31Speaker 05

  When we're at hotels and I call the front desk, they're like, hello, Mr. or Mrs. I'm like, Mrs.

• 1:52:38Alex Hormozi?

  It's Mrs. too. All right, appreciate you guys. 3.3. Yeah, thank you, guys. You guys are awesome. Honestly, I'm excited because then I know that over the next 12 months, so many entrepreneurs are gonna get bucks. And it's like, it's the coolest thing.

• 1:52:50Speaker 05

  I actually gotta wait because we have a surprise for you once you do this. I'm not gonna call you.

• 1:52:53Alex Hormozi?

  You can't call one?

• 1:52:54Speaker 05

  You're just gonna have to.

• 1:52:55Alex Hormozi?

  Just call one. Do like a 60, a 62nd one.

• 1:52:57Speaker 05

  62nd one?

• 1:52:58Alex Hormozi?

  A 62nd one. They want a 62nd one. I want a 62nd one. Oh, Leila signed too. That's the request. Also, somebody, I saw somebody ask in the chat, uh, Lost Chapters comes Tuesday morning. So that's tomorrow morning. It's via email. It's digital. Um, and basically anybody who gets a book gets the, the digital stuff faster. All right. Um, but yeah, so.

• 1:53:19Speaker 05

  Sign one.

• 1:53:20Alex Hormozi?

  You signed one? That's so kind of you.

• 1:53:21Speaker 05

  I'm gonna get this.

• 1:53:23Alex Hormozi?

  Just on here, just absolutely insane. Okay. This is what I deal with. Just such a simple request. It's like, just call, just call somebody. You know, she's like, I don't, she's like, I don't care. I don't need you.

• 1:53:32Speaker 05

  Yeah, you need to sign them faster so that we can get back.

• 1:53:35Alex Hormozi?

  Well, you know, normally I have, you know, I have an assist.

• 1:53:38Speaker 05

  And then maybe we can get in like the most recent person who purchases.

• 1:53:41Alex Hormozi?

  Yeah.

• 1:53:41Speaker 05

  To call. Could we do that, actually?

• 1:53:43Alex Hormozi?

  All right, hold on.

• 1:53:44Speaker 05

  You guys text me the number for the person who called. Can we get the person who just bought at the 3.3?

• 1:53:51Alex Hormozi?

  All right.

• 1:53:53Speaker 05

  Somebody just text me the number.

• 1:53:56Alex Hormozi?

  Yeah, so we have this, uh, feed on our phones of people who are buying, who are grabbing books. The book looks super thin. Oh, man, you do not know how my stuff works, do you?

• 1:54:07Alex Hormozi?

  First off, a book like this, if I were to cut it in half, it'd be twice as thick, which is what most books are. I also put pictures in there to make sure that you can understand it. And the thing about a concept is that a concept, when described well, should be as short as humanly possible, not as long as humanly possible. We're not in the age of more information equals better. So if this was a thousand pages, would you feel better? Of course not. If I were to pull your tooth out, it took an hour rather than five minutes. You'd rather take five minutes. So it's about what's contained inside. Yes, why do we have?

• 1:54:35Speaker 05

  Oh, what's this?

• 1:54:38Alex Hormozi?

  What do we have going on here?

• 1:54:40Speaker 05

  I don't know, it's somebody's birthday.

• 1:54:42Alex Hormozi?

  Oh, God.

• 1:54:43Speaker 05

  Yes.

• 1:54:44Alex Hormozi?

  The things I deal with. Alright.

• 1:54:46Speaker 05

  Listen, we don't get to hang out on your birthday, and so I wanted to make sure.

• 1:54:49Alex Hormozi?

  We're hanging out, we're talking business, this is all I want to do on my birthday.

• 1:54:51Speaker 05

  Guys, are you gonna sing? I'm not singing on live air.

• 1:54:53Alex Hormozi?

  Happy birthday to you.

• 1:54:57Speaker 05

  There we go.

• 1:54:57Alex Hormozi?

  Happy birthday to you. Happy birthday dear Alice. Happy birthday to you.

• 1:55:15Alex Hormozi?

  Oh, God.

• 1:55:16Speaker 05

  Make a wish?

• 1:55:17Alex Hormozi?

  Uh, make a wish. Oh, okay. I hope all you guys grow your businesses.

• 1:55:24Speaker 05

  You can't say it.

• 1:55:25Alex Hormozi?

  Oh, you can't say the wish?

• 1:55:26Speaker 05

  Otherwise it doesn't come true.

• 1:55:27Alex Hormozi?

  If only I believed in these things.

• 1:55:31Alex Hormozi?

  So, okay, I won't, I won't wish for you guys to grow all your businesses and accomplish all your dreams.

• 1:55:43Speaker 05

  That was the wettest cannibal. I've never seen in my life, nobody eats this.

• 1:55:46Alex Hormozi?

  I feel, yeah, I feel bad. There's like, there's, there's like literally spittle. Yeah, that's on, that's on me. That's on me. I'll take that, I take that one. That's on me. Okay.

• 1:55:54Speaker 05

  Alright, who we calling?

• 1:55:55Alex Hormozi?

  Yeah, who we calling?

• 1:55:56Speaker 05

  Oh, we gotta read the Lost Chapters.

• 1:55:58Alex Hormozi?

  Oh, I gotta, yeah, you're right. Okay. Lost Chapters coming up. Okay, I'm gonna be, listen, can we put a poll in the chat real quick? I wanna see which one they want to, uh, which, I'm gonna, I'm gonna read a couple of names. Just put one, two, three, or four. I'm gonna say four. I'm gonna say four different chapters from the, the Lost Chapters. Also, for the gentleman who was like, "That's not very thick." That's what she said.

• 1:56:22Speaker 05

  You think I'm unhinged? I'll be back.

• 1:56:24Alex Hormozi?

  Wait, we'll be back. Okay, so, I'm gonna read the table of contents, I'm gonna read, I'm gonna, I'm gonna pick four. I'm gonna pick four different, uh, chapters. Let's go. Gosh, there's so many mechanisms I have in here. Okay.

• 1:56:39Alex Hormozi?

  Free Pick Your Price. That's an attraction offer. Pick Your Price. That's number one. Number two is gonna be, uh, Discount Plus One-Time Fee. That's number two. Number three is gonna be, uh, Freemium. Three is Freemium. And then number four is, let's see here.

• 1:57:02Alex Hormozi?

  Let's do...

• 1:57:05Alex Hormozi?

  Lifetime upgrades, that's number four. So which of these do we want to do? One, two, three, or four? You guys can vote in le chat, which is French for chat, by the way. Le chat. You guys can write that one down if you want. My feed just cut out, so I think that we're still alive, correct? Yeah. Just the TV died. Okay, got it, it's back. Okay, it looks like we've got Pick Your Price, number one. Yes is winning. Pick Your Price is leading the way. You guys are casting votes. I'll stop it at 1,000 votes and then I'm gonna go. So we got 700 votes. We got 800, 750 votes.

• 1:57:50Alex Hormozi?

  Alright, cool. It looks like Pick Your Price is gonna be the winner here. Okay, so we're going with Pick Your Price. Alright, I'm gonna read the story time. Story time with Alex. Okay, Pick Your Price is on page 97. Alright, you guys rocked, by the way. Okay, so this is an attraction offer.

• 1:58:14Alex Hormozi?

  Okay. Pick Your Price, so this is the visual for it, by the way, which looks nice and cool. I don't know if they can zoom in at all, but that's the visual for the chapter for Pick Your Price. This is in the Lost Chapters book, by the way, which is free. Because I like you guys. I'm sorry, it's free for the people who showed up live, sorry. It's $29, which we'll make available for other people. But everybody who showed up live will get one of these bad boys. Alright, so let's read it. "June 20th, Austin, Texas. I could see the Texas heat bouncing off the hood of the car as we drove. The roads were empty, not a car in sight. It was like driving through a ghost town, except the town was our home. It was right in the thick of COVID. As Leil and I were driving back from the pharmacy for some goods, we saw a young girl on the side of the road frantically waving a sign."

• 1:59:01Alex Hormozi?

  Free car wash is what it had on it. Intrigued, I said, I wonder what the deal is. There's gotta be something to it. Want to go check it out? So Leila obliged my whim, as she'd done many times in the past. She just knew how much I love going through sales processes because I'm a weirdo. So I turned the wheel of the car around toward the girl and headed up the ramp next to her. So around the bend, we rolled our car into the main car wash. As we pulled up, a man stood out from his seat in the shade. And we came up to a stop and rolled down the window. He pointed to a pricing chart and exhaled his spiel, which it became clear he'd already done hundreds of times already that day. The standard, this is what he said. The standard car wash is 100% free, but we're accepting donations on behalf of the staff

• 1:59:44Alex Hormozi?

  to help the guys feed their families and get through this. We would all be super appreciative. We accept cash, credit, and Venmo. And then he shut up and said nothing. I got the hint and took out a $20 bill. Looking at the pricing board, it was more expensive than the most expensive automated wash they charge for even during normal conditions. He grabbed the 20, gave me a ticket, and waved me on. So I'm always pro-business and I always will be. I felt great about helping a group of working men. And that being said, it had a very different feel than any normal process. Normally, we buy things and don't think much past the transaction. In this instance, my purchase was funding something great, the American dream. As we went through the car wash line, I couldn't shut up about it. I was like, how great was that? Goodwill, lots of new business, cash flow on a high-margin service.

• 2:00:29Alex Hormozi?

  Brilliant, I'm definitely figuring out a version of this for gyms. And in the middle of COVID, our gyms began using this scripting in their sales process, and it worked wonderfully. People who couldn't normally close were able to get an average ticket of about $99, which is more than the average low-barrier offer for like a boot camp or something like that. It was splendid. I'll give you the details about how to do it and how you can apply this offer like this to attract new customers. Alright, so that's the story behind this. So here's the description. You market the promotional offer as free. When the person gets to the checkout, you give them an offer to pick their own price. You'll explain the benefits of investing more equating to higher investment in their own results. If they're after results, the more they pay, the more they'll pay attention.

• 2:01:14Alex Hormozi?

  So here's some examples. So if you had a lemonade stand, you would offer a free lemonade cup. The upsell is, but you can choose to pay something to help the families of the employees. As an additional bonus, the crew offered to make a cup of hand squeezed lemonade for anyone who pays or donates over $5. And we'll give you a picture to take home with you for any donation above $25. And give you three months of shipments for anything over 99 plus. Maybe this starts to sound familiar. Car wash. Example, so it was a free machine car wash and soap. That's the free one. The upsell is, but you can choose to pay something to help the families of the employees. As an additional bonus, the crew offered to wax anyone's cars who donates over $30. And hand buff anyone who goes over 67.

• 2:01:59Alex Hormozi?

  And do the entire interior of the car for anything over 99. You guys catching on how this works for whatever business you have? Here's weight loss. You'd offer a free 21 day weight loss program. The upsell would be, pick your price, but most people pay $99. We give this just to the coaches and their families. If you pick $99, we'll also give you an extra 101 call. If you pay over $199, we'll also provide our entire supplement handbook. If you pay $499, we'll guarantee you'll lose 10 pounds. And if you don't, we'll let you use that credit towards any service we have. That's an example of another one. So here's another, another example of a pick your price. So this is for a dentist. The offer would be a free dental cleaning. The upsell, pick whatever you want to pay. Most people pay 99. Notice the way the phrasing works. Most people pay 99, which also gets them an extra XYZ.

• 2:02:44Alex Hormozi?

  Or 299 for an extra VYW. If you had a coaching offer, it'd be like, the offer is free coaching and/or mentorship. The upsell, pick your price. If you pay 299, you'll get the course that goes with it. At 997, you get six group calls on top of this. The zero price comes only with access to the group. Alright? So that's the concept. Now I'll give you some of the details that make this work. Okay, to further incentivize them paying, you offer bonuses for three levels of payment. So think small, medium, large. To encourage them to pay something more than zero. Ultimately, if someone doesn't want to pay for the first thing, you've got to give them the basic level for free. That being said, you can and should still upsell them on other products and services during their time with you. This is similar to a limited free, which is a different thing.

• 2:03:29Alex Hormozi?

  Except instead of either/or, you have, and limited free is what I called it in an earlier version, it became the decoy offer, but I digress. You have a sliding scale with no predetermined amounts, only rungs. Alright, so this also has no max. People can pay whatever they want, they can donate as much as they want. Now, you want to make sure that at the beginning of the sale, you explain that you do have a pick-your-price setup and that the staff is offering some different bonuses. The staff is offering some different bonuses at different levels. But they're not obligated to pay anything. So it'll seem like they're paying the employees, not the business, which for some reason, people feel way better about, even though most businesses pay their employees. And so explain that you're accepting donations and/or allowing people to pick their own price will avoid any awkwardness at the end.

• 2:04:14Alex Hormozi?

  You also get the goodwill of the prospect being upfront. Now, when selling with that pre-frame though, you can and should hit the prospect hard with confrontational questions to ensure they'll be a good long-term candidate. This is especially if you sell like service, like heavier services. So if you feel as though they have no intention of staying, just weed them out. Alright, so be genuine about this. This should feel a little bit more like an interview. So the types of clients, again, this is shifting more from, you know, transactional, like the car wash story, to a more transactional, more relational type sell that you're going to be doing ongoing client work. Okay?

• 2:04:46Alex Hormozi?

  Okay. This should feel like an interview. So the types of clients you want are the ones who willingly pay and are appreciative. You want people who think with reciprocity. So this is the sort of mini-test, this is like a little mini-test for that. So ask real questions to gauge commitment level for their own good and yours. So examples. So are you willing to change the way you do X? Are you willing to stop doing Y? What if life gets busy? Will you stop showing up? Will you attend to all of these appointments? So make sure the thing that you're giving away for free has low operational costs, so you can still give it to people without burning out your staff. Alright, so save the higher operational cost stuff for the people who choose to pay. After you get to the end of the pitch, you'll outline what they get each level and then say, and this is key, we accept Visa, Mastercard, or XYZ payment. Which would you prefer to use?

• 2:05:32Alex Hormozi?

  Then shut up. They will then take out their card and tell you the level they want. It's hard for people to say no because we obviously attract with free and we deliver free if they so choose that. But we say, hey, many people do these other things instead. And as a result, if you want, you can just get all these other benefits as well. And when someone's, when it's framed that way where it's like, hey, the employees are chipping in and doing this extra work, which is how businesses work in general, but for whatever reason, consumers feel way better about paying employees than a business, even though the business pays the employees, whatever. Uh, that framing allows many people then feel like, oh, I'll, I'll, I'll do the most expensive thing. We're benefiting the employees, which is exactly what business does to begin with. Now, summary points. These offers can generate a lot of goodwill when done properly.

• 2:06:13Alex Hormozi?

  People feel good when they buy them because this is, it's not a demand, it's a choice. Alright, so it pools on people's generosity or reciprocity. People feel a hundred percent in control of their own destiny and you can play up the fact that you're helping folks for free. It sets up a relationship based on goodwill and sets the stage for future upsells. This is really key. It sets the stage for future upsells. Again, a money model is not just one of these, it's a series of offers. Alright, and on top of that, the conversion rate is super high. Um, so although the average ticket is typically lower with this type of play, um, it works well in low trust environments because it has so much goodwill loaded into it. So this is one of the easier kind of free upsells or free attraction offers that exist. Alright, so pro tip, what did I write for my pro tip here? Paid version, pick your price. Okay. Oh, actually, I remember this, yeah.

• 2:06:56Alex Hormozi?

  So I saw an art gallery use this as well, um, and this is how they did it. So every, every piece of art had a price range. And so they said, people could choose how much they wanted to support the artist. So for example, they said this painting is between 149 and 299. So I asked the owner how it worked and she told me that most people pay more than the halfway point because they don't want to seem cheaper and supportive. So this, this version is kind of like half goodwill, half capitalism. Um, so I like, I kind of like it, it's just kind of a permutation of it. But give it a try if that type of thing fits your business. And if you're like, well, why did you not include that in the money model spot? So the, some of the plays that are in here are like, there's just, it, they're, they're more niche, I think, in some instances. So it didn't match a hundred percent of businesses.

• 2:07:41Alex Hormozi?

  I had, I have a very high standard for. The hundred million dollar cannon. And so it has to be able to apply to like every single business has to be easy to understand. It has to be the most powerful one. This one has a little bit less cash upfront than the other attraction offers that I put in here. But the I see the main benefit of this particular offer mechanism is that it's really easy to sell. It's like very easy to sell. So if you're somebody who really struggles with sales, especially in a low trust environment, sometimes even in online environment where you like, don't have as big of a brand. It's a great like what I would consider like intro offer. And so that's, uh, that's just one of 24 chapters inside of, uh, inside of the lost chapter. So hopefully you guys dug that and that was a kind of dope. So without, uh, without further ado, uh, let's, uh, this fork, what are we doing here?

• 2:08:27Alex Hormozi?

  Let's do, let's, let's call some more, let's call some more book buyers. All right. So, all right. Can somebody tell me the name of it? It's like, is it Sir Mix-a-Lot? He was like, call a lot of like my girl like doing that thing she used to do. You know that I, I keep thinking it's like some song. Maybe, maybe one of you guys in the chat can tell me.

• 2:08:43Alex Hormozi?

  Okay. So we're going to go. Onyx Homes, Christian Stubbs. All right, Christian, you're up. You just donated 800 bucks. So.

• 2:08:55Alex Hormozi?

  We're going to do it. It's rock and roll, baby. Was that cool for you guys? Did you guys like that, that little reading? I can pick another one if you guys want. Just let me know in the chat if you want, I can read another one. I'll stop between this call and the next one.

• 2:09:07Speaker 03

  Hello, this is Christian.

• 2:09:08Alex Hormozi?

  What's up, Christian?

• 2:09:10Speaker 03

  What's up?

• 2:09:11Alex Hormozi?

  You're on, you're on the Rosie hotline and we have five minutes. What is the, oh, kiss, kiss. Thank you, Steve. Thank you, Steve. Appreciate you. Okay. So talk to me. Onyx Homes, you've got 10% margins. So we want to fix that, right? And I'm betting, I bet you cash flow sucks.

• 2:09:31Alex Hormozi?

  Okay, but you're pacing 25. So with that kind of growth and probably extended payment terms, that, yeah, I can imagine cash is super, super tight right now. Okay. So first off, thank you for donating books. That being said, you're pacing 25 million. That's massive growth. Okay.

• 2:09:49Alex Hormozi?

  Oh, really? Oh, okay, my bad. Well, then six, then back to 6.2. There we go. Okay, great. So that's top line and the profit, profit margins, uh, is 10%. So six, okay, got it. Okay. So, uh, construction, duh, duh, duh, duh. Okay, now.

• 2:10:05Speaker 03

  Presidential real estate brokerage.

• 2:10:07Alex Hormozi?

  Oh, is it Onyx Homes?

• 2:10:09Speaker 03

  Yep.

• 2:10:09Alex Hormozi?

  Oh, see, I assumed, oh, really? Real estate brokerage. Wait, is Sharon here?

• 2:10:14Alex Hormozi?

  Is Sharon here? Because we can bring the goat. Do you want the goat? Let me see if I can get you the goat. Okay. Christian, I'm gonna call you back in two seconds. I will call you back, don't worry. And when Sharon comes, and I'm gonna have him, uh, because he obviously is like, literally the king of this whole space. Alright, I'll call you back, okay?

• 2:10:30Speaker 03

  Alright, buddy.

• 2:10:30Alex Hormozi?

  Alright. So, exciting for Christian.

• 2:10:35Alex Hormozi?

  Alright, Nelson Ferreira, Vibes Creative, let's go. What is, uh, what country is 61 area code? Anyone know? Okay, I'll do another reading. I saw you guys in the chat. I'll do another reading for you guys. Another reading?

• 2:10:49Speaker 02

  Yo, Christian!

• 2:10:51Alex Hormozi?

  What's up, dude?

• 2:10:54Speaker 02

  Happy birthday!

• 2:10:55Alex Hormozi?

  Thanks, man, I appreciate it. Alright, tell me about Vibes Creative. We got five minutes. I wanna help. Alright, talk to me.

• 2:11:03Speaker 02

  Awesome. So, we're a video podcast agency based on Australia, and we grew our business mainly on completely done-for-you services.

• 2:11:11Alex Hormozi?

  Okay, so done-for-you podcasting, so you, so people send you audio clips and you just post them?

• 2:11:18Speaker 02

  Video clips of the podcast, of video podcasts.

• 2:11:21Alex Hormozi?

  Yeah, heard, heard, heard. Okay, so they send you video clips and then you done-for-you make them into podcasts?

• 2:11:27Speaker 02

  Exactly. So, we do everything regarding the strategy, production, posting, and all that stuff.

• 2:11:33Alex Hormozi?

  Heard, okay.

• 2:11:34Speaker 02

  And we started coming up with the licensing now of our systems, which we tested, and they work really well for the first person on scaling their business.

• 2:11:43Alex Hormozi?

  Okay.

• 2:11:44Speaker 02

  Now, we have added a few other people on it, but we're struggling with, now with the results of some of them, because it seems like we are almost overwhelming them. And we're doing...

• 2:11:57Alex Hormozi?

  Dude, why'd you do this instead of just, why didn't you just like, keep growing the business that was working?

• 2:12:04Speaker 02

  Great question, because logistically, it is quite complicated to scale it.

• 2:12:09Alex Hormozi?

  Well, yeah.

• 2:12:10Speaker 02

  Essentially, like, profit is about forty to fifty percent with it.

• 2:12:15Alex Hormozi?

  Okay.

• 2:12:15Speaker 02

  We can still do it that way, but it, it just seems like the licensing could be a bigger opportunity to scale to a million dollar a month, which is the goal that we have right now.

• 2:12:25Alex Hormozi?

  Okay.

• 2:12:26Speaker 02

  It would be totally wrong, though. But, the licensing, which is an 11K offer.

• 2:12:31Alex Hormozi?

  Yeah.

• 2:12:32Speaker 02

  Yeah, that's what we've been thinking in order to scale that.

• 2:12:35Alex Hormozi?

  I'm not in love with it, to be honest with you, man. I mean, you're running forty, fifty percent margins, right?

• 2:12:42Alex Hormozi?

  And your main thing and then you kind of started this new like side hustle deal.

• 2:12:51Speaker 02

  Is he a distraction then?

• 2:12:52Alex Hormozi?

  Yeah, I think so. You have a good business. It's like if you took all that attention that you've been spending, all of it, and just put it on, how do I get more customers in? Because I would imagine that your churn is relatively low with the podcasting done for you, right?

• 2:13:06Speaker 02

  Yeah, yeah, clients stay at this point, most of them past 12 months.

• 2:13:10Alex Hormozi?

  Yeah.

• 2:13:10Speaker 02

  We have 12 months agreements. There is a 90 day, no better leave it, it's all in place.

• 2:13:15Alex Hormozi?

  Yeah, I heard, heard. Yeah, dude, I think, um, I think you're, you, you have, you have a golden goose that you have 12%, you know, 12, 12, 12 months stick. You've got, you've got 40, 50% margins. You're doing one, you know, 1 million plus top line. You just took your eye off the ball, man.

• 2:13:34Alex Hormozi?

  You have a good business. Just grow it.

• 2:13:39Speaker 02

  Dude, this is, this is my thing though. It, it feels like right now that just adding more clients is kind of like, it is the hardest way to do it with the completely done for you.

• 2:13:50Alex Hormozi?

  Dude, what?

• 2:13:51Speaker 02

  The team in a way is also overwhelmed with, at the level that we do it.

• 2:13:56Alex Hormozi?

  Dude, it's just a fast cash thing, man. Like right now, like you did the licensing thing and it's just like, like, do the business. You know, I mean,

• 2:14:07Alex Hormozi?

  do you, do you, like, do you want this to be a long-term thing?

• 2:14:12Speaker 02

  Yeah, absolutely. We're, we're, we're in to build the number one podcast agency in Australia and then.

• 2:14:16Alex Hormozi?

  Well, dude, if you want to build the number one podcast agency in Australia, don't like, just build the number one podcast agency in Australia.

• 2:14:26Alex Hormozi?

  I know how attractive it can be to just go sell something that's expensive. I get it. But like, the team, you said is overwhelmed right now, but that's like, then you just hire more people to the team.

• 2:14:38Speaker 02

  The thing, the thing is like, it feels like. It's almost not the right way, like as an example, like the goal that we set up is, okay, we're gonna launch 10,000 podcasts. And if we do it as a don't-for-you like we're doing it right now,

• 2:14:51Alex Hormozi?

  Yeah.

• 2:14:52Speaker 02

  basically for that offer now, we charge 10K per month for it. So we're telling it to, you know, eh, seven, eh, eight, eh, nine-figure entrepreneurs.

• 2:15:01Alex Hormozi?

  Yeah.

• 2:15:02Speaker 02

  It just feels that we won't be able to get there, right? The goal of the don't-for-you that we set up is like, okay, let's find-

• 2:15:09Alex Hormozi?

  Why can't you have 100 clients?

• 2:15:15Speaker 02

  So you reckon that that's, that's a better way to go, like, just add 100 clients on the completely don't-for-you?

• 2:15:21Alex Hormozi?

  Well, I'll promise you that doing both will decrease the likelihood that you hit either.

• 2:15:31Alex Hormozi?

  So if you insist on doing it, then I would say go all in on it. But I still think the thing, the thing is, is like, right now, it's shiny and it's new, and you just don't know the problems that exist with it yet because you haven't done enough of it. So it's like you're comparing all of the issues of this, this girl that you've dated for a long time, and then you've got this new girl that walked in your life. But you just don't know that she, you know, is crazy, and that she has a crazy ex-boyfriend, and then she's got all these other issues. You just, you know, you have one devil you know, and there's another devil you don't. And you just see the exterior, you don't know the interior yet.

• 2:16:01Alex Hormozi?

  Like, this is shiny object, like, this is how it works.

• 2:16:07Speaker 02

  So then, would you, eh, if you were in my position, right?

• 2:16:11Alex Hormozi?

  Yeah.

• 2:16:12Speaker 02

  You did it successfully with GymLunch.

• 2:16:13Alex Hormozi?

  Yeah, but I didn't own any gyms. I didn't own any gyms.

• 2:16:22Speaker 02

  And eh-

• 2:16:22Alex Hormozi?

  And also Gym, and also with GymLunch, I don't necessarily know if the, the decision I made was the best decision. It was just the decision I made.

• 2:16:31Alex Hormozi?

  Like, and you already have a nationally scalable business. Like, I, I was constrained by, by local, which again, anyone who's watching this, there's nothing wrong with being constrained local, I thought it was limited, I was wrong, but whatever. So, point being, you just have to get 90 more clients and you're at a million dollars a month. Like, that's not, like, crazy.

• 2:16:52Speaker 02

  So would it be better then to just focus on getting a hundred clients and completely done for you, forget about the licensing for now? Do you think that that's the best and most efficient path to a million dollar month with this instead of doing the licensing, which is obviously is way more profit and we can launch way more podcasts because it's more about passing on the system, the templates, and where vetting, training, and placing.

• 2:17:21Alex Hormozi?

  But you're, let me make sure, I want to make sure I'm understanding what you're saying when you're saying licensing. Are you just saying that you're saying for $11,000, like you're just giving them stuff? Like, are you feeding them clients? Or are you just giving them systems to get their own clients?

• 2:17:33Speaker 02

  So what we do on the Dome4You system, we basically pass on to them and we help them one-on-one for eight weeks to install it and running. And we vet, train, and place the video editor and social media manager at a stupid cost to run it for them. So all they do is basically be in front of camera and then we offer on the backend of that consulting to help.

• 2:17:56Alex Hormozi?

  Wait, wait, hold on, hold on, hold on. So I'm gonna make sure I understand this. So you're not, okay, so you're not helping people start podcast agencies. You're trying to help people do their own podcast?

• 2:18:07Speaker 02

  Yes, correct.

• 2:18:10Alex Hormozi?

  Okay, where's the recurring on this?

• 2:18:11Speaker 02

  Okay, the recurring in the backend is we place a video editor and social media manager for them to run the system so they don't have to do all the low-level activities, okay? And there is a 50% margin on that. And then on top of that, they can either scale to make more content with that team or they can stay on consulting.

• 2:18:34Alex Hormozi?

  What, what, what, stay on consulting with you?

• 2:18:38Speaker 02

  Yes.

• 2:18:39Alex Hormozi?

  Yeah, yeah, heard, heard, heard, okay, got it, got it, got it. Okay, so I'm, now I understand the offer better. I thought you were trying to help people start their own podcast agencies. So I was like, dude, what are we doing here? Just, you know, like, just grow your agency. Yeah, yeah, yeah, okay, okay, that, this makes me feel significantly better. I'm, I'm not against it. I'm actually not opposed to it. This makes a lot more sense than the first thing I thought you were trying to do, and that's why I was so against it. Yeah, I'm, this, this is fine. I'm okay with this. And you just want, basically, you want to switch your front end, right? You just want, you just start selling this instead?

• 2:19:12Speaker 03

  So we started already and we have got about 10 people. The first person that we got has tripled the business and they stayed with us over 12 months at this point. So you have proven the concept.

• 2:19:23Alex Hormozi?

  Yeah.

• 2:19:23Speaker 03

  Now we're just trying to, basically, we noticed that we're having drop off on the retention. And people are not speaking to doing the things because essentially we're going to just launching their podcast and placing the team and all this stuff. And we're also helping them launch their app for them to start getting leads ASAP. And then building as well the backend funnels and things with them.

• 2:19:48Alex Hormozi?

  Sounds like a lot of work.

• 2:19:49Speaker 03

  And that's easier than just... So it just seems like we're over.

• 2:19:53Alex Hormozi?

  Yeah, that's easier for you?

• 2:19:56Speaker 03

  It, well...

• 2:19:57Alex Hormozi?

  Oh shoot, I've gone way over on this one.

• 2:19:59Speaker 03

  But I'm focusing more on getting them biggest results.

• 2:20:01Alex Hormozi?

  Okay, I get it. At the end of the day, man, all we have to solve for, let me just tell you all you're solving for. So you can answer this with a math question rather than a feeling question, alright? Um, and then I gotta go to the next one. But what we have to solve for is that you need to have the maximum LTV and conversion rate. So basically, if you have something that sells to more people that more people want, which is what it sounds like this is, does that sound right?

• 2:20:27Speaker 03

  Yes.

• 2:20:28Alex Hormozi?

  Okay, more people want it, so we have higher conversion rate, fine. Is lifetime gross profit on this offer superior to the other offer, given the backend?

• 2:20:36Speaker 03

  Absolutely, yeah.

• 2:20:37Alex Hormozi?

  Alright, well then, yeah, then it's a superior model fundamentally. So more people want it, more people convert, and they're worth more. That's a no question.

• 2:20:48Alex Hormozi?

  And so then the issue that you're gonna deal with right now is you just have to transition from the old business to the new business. Um, and the way that I want you to do that is just keep selling this on the front end until eventually this surpasses the total revenue and profit of the other business. And then basically just don't replace the customers on the done-for-you side, okay? Just don't replace them, just keep selling this instead, does that make sense?

• 2:21:10Speaker 03

  Yes.

• 2:21:11Alex Hormozi?

  Okay.

• 2:21:11Speaker 03

  We're looking to just get like a small group that can eventually become, you know, the next Alex from Mosse with the done-for-you.

• 2:21:17Alex Hormozi?

  Oh, cool. And then all you have to do, by the way, is if you get done-for-you clients, just sell them into the base of these other podcasts and then just take a spread. And then you have 100% margins on that, cool?

• 2:21:29Speaker 03

  Got it.

• 2:21:29Alex Hormozi?

  I thought that was pretty clever. All right, rock and roll. Appreciate you, man. Thank you for donating books and uh...

• 2:21:34Speaker 03

  Thanks, legend.

• 2:21:35Alex Hormozi?

  Thank you, dude. All right, see ya. All right, Christian Stubbs. We've got the man, the myth, the legend. Uh, Christian, if you're watching, we're calling you right now. So we've got uh, we've got the Michael Jordan of real estate. So Onyx Holmes. All right, I got, I got the Michael Jordan right here on the line. Uh, for everybody who's, everyone who's watching. Sharon is president of acquisition.com and uh, he was uh, president of Real Brokerage, which is uh, they did 1.2 billion dollars publicly traded company that uh, that literally does real estate agents. And before that, he sold uh, Telus, which went from 50 million to 3.4 billion, also in the real estate agent space. And so um, I think he might be able to help you out, Christian. I'm just gonna throw it out there and thank you for donating 800 books. I'm getting you on demand with the goat himself.

• 2:22:20Alex Hormozi?

  All right, so talk to us. So it's six, six, six million top line, right? I hear that.

• 2:22:26Alex Hormozi?

  Six million top...

• 2:22:26Speaker 03

  Six million, on pace to six and a half ish this year. Um, we did four last year ish. Um, we're a team model, so we are lead generation for agents, right? So we, we generate leads for our agents and then um, we're a Zillow Flex team, so it's a big chunk of our business and they, they take a big 40% referral fee off the top. Yep. So our main focus has been, we're going to your van days. Our big focus has just been basically in-house deal flow. It does not have a referral fee attached to it. Okay. The question I was asking um, for, for you specifically, Alex, was more of a strategy question on um, should we add on like the traditional brokerage services outside of

• 2:23:11Speaker 03

  just our team model, uh, which is more like the real model, if you will? What do you mean, what do you, what do you mean by traditional brokerage services? Yeah, so uh, we run the traditional team model and then like if a, if, if somebody's basically not a fit for the team and just wants to be a part of a brokerage, right? Would we wanna do that? Yeah, why would you, yeah, yeah. So if you have the infrastructure, if you have the...

• 2:23:34Speaker 04

  Infrastructure already, then you'll offer that. So I'll tell you how to think about it. You want to think about it as a minor league, major league model. So the minor league, major league model essentially is like, hey, if I Sharon am doing well in the minor leagues, you promote me up to the majors. And for some reason, if it doesn't work in the majors with your team model where you get all the lead flow, et cetera, then you get me back to the minors. And when I'm in the minors, I still get all the other services, but then I see the guys in the majors doing well. It gives me an aspirational frame to do better. So the minor league, major league model does really well in this process. As you grow, what you want to add is also a JV model. So you get the new agents coming on board. So if you can get a new agent development program, then you have a JV model, a minor league model and a major league model. And you have a clean ascension among all three.

• 2:24:17Speaker 03

  God, that makes sense. And you would use the team as to keep the team as the major.

• 2:24:21Speaker 04

  Oh, yeah, absolutely. Absolutely. No, whatever brokerage is fine. But however, I would tell you this. You want to get your Zillow portion to a third or under of your business and keep it there. Because that 40% referral fee is not going down anytime soon. That is a, that is 40% off your gross margin immediately. And so now you're doing 40% off. So you have a hundred dollars, take 40% off of the $60. Even if you do a 50 50 split, that's $30 each. And then they have taxes. So the average agent is making $15 and a hundred dollar commission, which gets not fun very quickly.

• 2:24:56Speaker 03

  Yep. That's our, that's our entire focus. Like from the van days, that's, that's all we're doing.

• 2:25:00Speaker 04

  Yeah. And a very easy way in your minor league model, you can cap them out too. You can just say, hey, once you pay $15,000 to the brokerage, that way you know that you can expect $15,000 or whatever from a cap person, always contributing to brokerage for the same amount of flat fixed.

• 2:25:12Alex Hormozi?

  It becomes super sticky.

• 2:25:13Speaker 04

  Yeah.

• 2:25:15Speaker 03

  For sure.

• 2:25:17Speaker 04

  Rock and roll.

• 2:25:18Speaker 03

  Yeah, for sure. I was gonna ask on, on geographic expansion, we're looking at branch on the adjacent market from Orange County to Riverside.

• 2:25:25Speaker 04

  Yeah.

• 2:25:27Speaker 03

  What should I, what should I be looking out for? Knowing this is the first, first expansion for, for context, you have 72 agents.

• 2:25:33Speaker 04

  Yeah, yeah.

• 2:25:34Speaker 03

  Move around to in two years. Yeah, here in Orange County.

• 2:25:37Alex Hormozi?

  That's awesome, by the way.

• 2:25:38Speaker 04

  That's awesome. That's awesome. The key part of expansions where expansions break is that they don't have the ability to duplicate your current model in the new expansion market. So you have to pre-fund a little leadership in the expansion market. Otherwise, you're not gonna, you're gonna say, wait, how do I not have a home base expansion? Why, why am I not getting the same results? So if you, if you just think that the mothership is going to serve the expansion, it's going to be difficult because geographically that market is not as tight. So if you can get a local market leader that can then train up and duplicate your model, then it will work. Otherwise, it gets very hard to duplicate the model that you've built in a new market. You think you can, but there are market-specific dynamics that are super difficult to do. So if you can get a leader there and that leader can duplicate and that can duplicate your model, then it works better. So I would do top-down in that market, not bottom-up.

• 2:26:23Speaker 03

  That's exactly what you're doing.

• 2:26:24Speaker 04

  Okay, good. Awesome, man. Congrats, bud. Thank you so much for the donation.

• 2:26:28Speaker 03

  Awesome. Thank you, guys.

• 2:26:29Alex Hormozi?

  Appreciate you, man. And thank you for, on behalf of the entrepreneurs, for getting the books. So thank you, man.

• 2:26:33Speaker 03

  Yeah, absolutely. By the way, your AI gave exactly the same answer as Sean, just to...

• 2:26:40Speaker 04

  Amazing. We're...

• 2:26:41Alex Hormozi?

  I'm, I'm, I'm replaced. I am unnecessary.

• 2:26:43Speaker 04

  We are on brand, which is good.

• 2:26:44Alex Hormozi?

  Yeah. Well, dude, I appreciate it. Thank you. I appreciate you. For anybody who's curious, the AI that he was referencing, that's what comes with this. So if you donate over 200 books, you get HQ AI, which is 226 one-on-one consultations that we did with 226 different businesses. So if you're like, oh, I wonder if it'll work for my business, we probably did not only your business, but multiple businesses like yours. It's like, wow, that was the advice that somebody who was in the same space got directly from you guys. It's like, yeah, there you go. Our very pretty representation of this, because a whole stack of notes probably isn't as compelling. But, um, but yeah, no, it's, I mean, this is, we spent two years training this because, listen, we own an advisory practice, so we are AI-enabled. And so my entire life, I've always just made

• 2:27:29Alex Hormozi?

  more by giving away the things that serve me than holding them back. And so you guys can get access to this, which is what our team internally uses to analyze businesses. Because I was like, how do I, how do I, how do I take all the years of owning physical products, SaaS, B2B services, B2C service, brick and mortar? I've owned all these different businesses in my life and I was like, well, like, I have lived the weirdest entrepreneurial journey because I've had all of these different experiences, which has only made me suited, like, best suited for one thing, which is like to help other entrepreneurs. And so, um, I've put all of that in here so that this can basically know as much as I do, um, and can give you, you know, answers specific to you and your business. And so, if you donate 200 bucks, you get that, you get the 12 playbooks that are there,

• 2:28:11Alex Hormozi?

  the lead system, the sale system, the delivery system, and the profit system. Uh, because there's the big, four biggest constraints after doing a thousand plus, uh, deep dives with businesses, so paid $35,000 for our team to do an analysis. Those are the big four problems and most of those problems don't have one solution. They have multiple things that have to get solved. But we put all those solutions there. And then we also have an ACQ Implementation Workshop, which is, uh, next week, actually. Uh, so that you can actually learn how to use the tools, uh, to actually, you know, help your business be constrained. So, that's all. If you donate 200 bucks, I like, that's because he brought it up. That's why, and I know, questions in the chat. Okay. Beyond that, I saw a couple of other questions in the chat. Lost Chapters, um, this is, everybody who showed up, you'll get this on Tuesday. So, all the free stuff that is on the launch will come to you on Tuesday.

• 2:28:55Alex Hormozi?

  So, the day is Monday, so it's tomorrow. Okay? Um, and the reason for that was because I just didn't want to distract people. It's like, we're focused on the launch and then after that, everyone can get all the, all the free stuff, um, on that day. So, Tuesday, you'll get this. Now, other people asked, audiobook. The audiobook is also a part of the free stuff. The free stuff comes on Tuesday. Um, beyond that, thank you for the Chris, uh, the Chris Brown. I saw many of you said the song is Kiss Kiss by Chris Brown, so thank you. Noted. Um, also, so we guys asked about the timer. So, the timer, I don't know if it's above the screen somewhere, um, but the timer is that this launch offer, which is if you donate 200 bucks, you get all this other stuff free, um, it expires when the clock goes to zero, which is midnight to night PST. So, depending on where you live, if you go to sleep before that, then it goes, then the clock ends when you go to sleep. All right?

• 2:29:39Alex Hormozi?

  Um, so, that's the deal. And what we're doing right now is we're calling people who are donating books, but you guys requested an extra chapter read, so I'm going to do one more chapter. Um, and then we'll call another one. So, we're going to do, let's do this one. Okay, so, let me see which chapter we're in. Let's do, um, let's do, let's do, so much good stuff in here.

• 2:30:08Alex Hormozi?

  This is gonna be probably used by a lot of you. This is like a, yeah, the discount. You, Jed, this is for you. So, discount, discount chapter. Okay. So, this is discount plus one-time fee. So, this is a different structure. I'll show you guys the visual. This is what this chapter looks like. This is my original hand drawing, by the way. This is not AI. This is just, just Alex. Alright. So, let me, uh, let me show you how it works. Alright. So, I was, uh, this is spring of 2015. I was walking out the door from my La Habra location. Sun baked the black asphalt of the empty parking lot. Uh, it was midday before the afternoon rush would begin in just a few hours. Before I could stay, take a step forward, uh, to my car, a man quickly approached me, almost out of nowhere. He said, "Are you the owner?" And I was a bit startled, and I was like, "Uh, yeah."

• 2:30:52Alex Hormozi?

  He said, "And before I could ask what he wanted, he plowed right into a pitch." He said, "My name's Owen. I'm a personal training manager of a gym that just went under across town. I've got a group of trainers that just wanna sell personal training packages. We do about a hundred grand a month in personal training sales. We just need a facility to work out of." And I said, "Well, we don't really offer personal training here." I said, "Half-lime, because I just didn't want, I didn't like the guy's vibe." He didn't seem trustworthy. Uh, so I started to turn my side, uh, you know, show him that I wasn't really that interested, and began working my way towards the car, and he realized that he needed to change his approach. He said, "I promise we're a self-sufficient team. I can see through the window that you guys have a lot of dead space, even when your sessions are going on. Uh, we can just help you monetize that area. It'll cost you nothing. It's just upside." I said, "Well, it'll cost me time and attention, and most importantly, it'll cost me the goodwill that I've recruited with my customer base."

• 2:31:36Alex Hormozi?

  He said, "No, no, no. It won't even cost you your customers, uh, like, if you don't want us to. Like, we'll, we'll go get our own leads and sell them. Uh, we just ask you to give some, give them a discounted month upfront, and then we charge an enrollment fee, which I give to my guys as commission for the sale. So, whatever they can close for the fee is theirs. That's how we do it. It'll cost you nothing." I said, "Well, I'll think it over." After thinking it over, I decided I didn't want a four group of trainers and salespeople that I'd never vetted walking around my gym representing my company. But I did notice the offer structure that he presented, which was a discount plus a fee. So, he clearly seen the success with it, that much I did believe. And this is the first I'd heard of this monetization structure. It both attracted customers with the discount and liquidated commissions and acquisition costs through a fee. So, here's how it works. So, the description.

• 2:32:21Alex Hormozi?

  So you charge a discounted rate for your first term or period of service. You then charge one or more additional fees that you've made up. Just like free with fee, which is an old, an old name for a different thing. Uh, which is just also in the last chapters, which you would have read if you have this book. Okay. Uh, so you can waive some and charge others, waive them all, or charge them all. So it gives you a lot of offer flexibility depending on the strength of the salesperson. So this offer will tend to surprise fewer people since they already came in expecting to pay something. This is why it's a discount rather than free on the front end. Which is one of the key benefits of using discounts over free in general is that people expect to take their credit card out. So let me give you some examples of this. So if you have any kind of recurring service, you can offer 95% off the first month.

• 2:33:04Alex Hormozi?

  You know, $1,900 off the first month or first month for a hundred dollars. So what I just described there, what I just said, was three different ways of describing the same discount. So by the way, for those of you who use discounts, there's multiple ways you can describe it. And so you can test out the headings. So like, let's say, let's say I have a thousand dollar a month thing and I offer 50% off. Okay, let's keep that, you know, super simple. So if I'm advertising, I can say 50% off first month. Number one. Number two, I could say, uh, it's a thousand dollars. I could say $500 off instead of 50% off. Um, I could also say, well, I used an exact 50/50 split. Um, but I could also say $500 for the first month. So I'll use a different example, a thousand dollars, but now 20% off.

• 2:33:48Alex Hormozi?

  So I could say 20% off first month. I could say $200 off first month, or I could say $800 first month. All three of those are different ways of making the permutations work. Okay. And so if you're doing any kind of discounts and if you follow the way I do it, I prefer all my discounts to be 50% or higher. And because for me, a discount has to change behavior. So if someone's, if you, 10% discount, 20% discount, like it doesn't like, in my opinion, people were already going to buy and you just gave away a margin. I have to have a discount that's sufficient enough that's actually going to get somebody to buy or get interested who otherwise wouldn't be. And that's how I think through discounts. And so you're like, well, I don't want to discount my service that much. It's like, well, duh, we don't want to discount our service that much. So what you do is let's say you've got five things inside of your service.

• 2:34:29Alex Hormozi?

  You say, instead of saying, I'm going to give you 20% off, we say, I'm going to peel this thing off. And then make this thing eighty percent off. And then these are still a hundred percent. Does that make sense? So you give the eighty and then you upsell the four. That's how it works. Now, those are two examples. That's, that's, that's how you think through, uh, uh, uh, displaying it. So monetization, so I gave you three examples. Here's how you monetize. So they come in for the first month for a hundred bucks. Uh, but they still get charged a setup fee. And so all in all, they'll get charged whatever you want as your setup fee, even though you gave the big super discounted first month. And then they go straight into recurring. And so from a monetization perspective, you just add up the discount plus what you charged for the four. And then you put that together.

• 2:35:14Alex Hormozi?

  And that's how it works. All right, so that's if you have a recurring service. If you have a defined end or a program like six weeks, 12 weeks, whatever. Now, we had a physical therapy earlier, my, uh, my buddy Cameron. Um, like he has a defined end service, like we have to do, you know, X period of time. You would say to the same degree, eighty-eight percent off the first month, selling a 12-week program for like $3,000. This is like perfect for what he does. Okay, so monetization. So you say it costs a thousand dollars a month for three months, but you get eighty-eight percent off your first month. So that's only a hundred and twenty dollars. And we have a thousand dollar setup fee. So they end up paying one thousand, one hundred and twenty dollars for the first month and then continuing their next two payments for a thousand dollars each. And so we just did this. That's all it is.

• 2:35:58Alex Hormozi?

  Okay, now you have to listen to whatever laws in your area in terms of advertising clients, all that stuff. It depends on every nation, every, you know, local area that you're in. But as long as you follow the law, that is how that works. Now, let me give you a couple of the details, some of the specifics. So the higher one-time startup fee, the lower the churn. All right, this is where the concept of big head, long tail kind of weighs in here. The higher the barrier to entry, so too becomes the higher the barrier to exit. So, um, John told me, so John was an early mentor of mine, uh, when he had a tanning empire. He said he had a hundred dollar signup fee for a $10 a month membership. He said the churn on those clients was next to nothing. Whereas the clients who sign up for $19 down and then $19 a month turned at a way higher rate. So this means you can use made up fees that we've been talking about, well, talked about in this book, uh, to actively decrease your churn and increase the investment of your prospects.

• 2:36:43Alex Hormozi?

  So this helps them. And you in the long run, so everyone wins. So when people pay, they pay attention. So this is especially important for services where you require something to be done by the customer. Getting your information, filling out forms, showing up at certain times, making selections, changing behavior. So like physical therapy being example of that. So if you need someone to do something in order to be successful, then the more, then more times than not, it makes sense to charge a one time startup fee of some kind to get them invested in the long run. Alright, so you even have a massive disparity between, you can't even have a massive disparity between the setup and the recurring fee. So a good friend of mine who runs a multimillion dollar online weight loss coaching business charges $5,000 to start and then only $267 a month thereafter. Think about that. Five grand upfront and then less than 300 bucks a month afterwards.

• 2:37:27Alex Hormozi?

  Now his client lifespan is more than two years in an industry where people turn out normally in like three or four months.

• 2:37:34Alex Hormozi?

  And so this large upfront sum gets clients invested in the process and makes leaving almost insane. It's like, I just paid $5,000. Why would I ever quit? Right? And so you guessed it, if they leave and want to come back, they have to pay it again. So it keeps these people committed, especially when they have to do their part of the work to achieve the result that you sold them on, whatever that thing is. Now, to be clear, whatever the reason is for the one time fee, even though it's completely made up, just be clear about it. Okay, this fee should not be taken lightly. It's also something that you should bring up with, with, with every customer. You are doing the work, so you might as well let them know exactly what you're going to be doing for them. So again, here are the four steps to creating a one time fee. You pick, you pick your fee name, you pick your fee price, you pick your reason why, and then you start charging it, discounting it, or waiving it.

• 2:38:20Alex Hormozi?

  That's how it works. And you know what's really interesting is that even having the fee is incredibly powerful because even if you never even want to do it, you can literally waive it for every person who walks in the door and they'll be thrilled. At the very least, like they'll just be thrilled that you did that. So think about it differently. I could say, you get a thousand dollars off signing up for my thing because I invented an onboarding fee and then when people come in, I have now invented this fee that I will also not charge them. And then, then you can go straight into continuity. Okay, again, you have to, you know, listen to whatever the advertising laws are in your, in your region or area. So consult, you know, somebody who does legal stuff like that.

• 2:38:53Speaker 04

  Can I ask you something?

• 2:38:53Alex Hormozi?

  Yeah.

• 2:38:54Speaker 04

  So there's, there's two notes, one a comment and a question for you. The comment is, if you, if you noted what Alex said, he talked about the discount actually. Having to change behavior in some way. So just don't think that, hey, I'm just gonna do this 5% discount and it's gonna work in some way. If the discount, in your opinion, is not gonna change behavior, as Alex said, you're just giving away margin. So please consider that.

• 2:39:16Alex Hormozi?

  Yeah.

• 2:39:16Speaker 04

  The second thing, Alex, I love your comment on this. There were several thoughts on the chat about, hey, I just don't discount. So how do you respond to that? Is your thoughts around that comment?

• 2:39:26Alex Hormozi?

  I think it's fine. I mean, like, it's a business decision. It also depends on what you do. You know what I mean? I, like, there's promotional, so... What I don't do is I never present a price and then change it. That is how I, that, like, to me, that is where you lose leverage and then you enter these haggles. So the price is the price. We've already calculated the price. And the discount is also the discount. So it doesn't go up, it doesn't go down. That is what it is, period. And so that's kinda how I see this. But no, I, my, my strongest, uh, not, uh, the thing that I'm most against is, hey, it's a thousand bucks. And then, well, I can't afford a thousand. You know what? I'll do it for 900. Hate that. Never do it. You'll lose all the credibility. It's like, wait, so you would've just gotten me?

• 2:40:10Alex Hormozi?

  You would've bought it for 900? Like, now I hate you. Now I think you're like, well, why do I believe 900? Why can't I get it for 800? Right? You start, you open up this can of worms. But if you say, this is a thousand, today it's 500, and then tomorrow it won't be. You dictated the terms, and so that's up to you. But if you don't want to, like, these are all, like, all of the stuff that we've, are mechanisms. They're different things that are suited for different businesses. And you'll also know, this is from the Lost Chapters, which is things that I didn't fit for every business. The Money Models book contains the, uh, contains the, the mechanisms that I think work for the vast majority of businesses that you won't have a real, a real problem with. Now, I did see in the chat, do we get any free stuff without donating books? Yes. I get four free things. Not just one, I get four.

• 2:40:53Alex Hormozi?

  The Lost Chapters for anyone who is there live, alright, so you get an email with that stuff. For those of you registered, uh, for the launch. The Money Models audio is free, and you'll get it in, in an email if you register for the launch. The Money Models course, which I think is like eight or nine hours, the whole system. That includes every single one of the attraction offers, down, downhill offers, upsell offers, continuity system, all that, free. And you get 90 days of school to use it free and a lifetime lower rate of $9 a month afterwards. Okay, so all of that stuff comes tomorrow. That being said, all the stuff you see in this frame is if you donate 200 books. And the reason for that is because I'm trying to get as many books donated as possible so I can get a book in the hands of every entrepreneur in America. That's the big goal. Okay, now, that's why we're doing this whole thing. That's why we're doing this drive. But the big clock at the top, when that strikes zero, all of these bonuses disappear.

• 2:41:38Alex Hormozi?

  So if you've been on the fence, you're a last minute person, this is the last minute. Okay, let's call, let's call, uh, let's, let's roll. What do we got? We got, we're bringing that back out. Okay, here we go. So let's go with, survey says, survey says, all right, we got some more 800s. Okay, we just got an 800. Here we go. Okay, Andrew Johnson, you're stoned at 800. Thank you so much. We're giving you a call.

• 2:42:09Speaker 03

  This is Andy.

• 2:42:10Alex Hormozi?

  What's up, Andy?

• 2:42:12Speaker 03

  Hey, I'm.

• 2:42:13Alex Hormozi?

  What's up, dude? Acumen.

• 2:42:16Speaker 03

  Yeah, that's a, that's a business.

• 2:42:18Alex Hormozi?

  18 million top line. Congratulations, dude. Stud, stud status. Okay. 1.5 million bottom line. Heard. We got five minutes. What's your, what's the constraint? What can I help you with?

• 2:42:30Speaker 03

  All right, so brief context, uh, we do employment medical evaluations. Mostly we're selling to large companies or, uh, large employers, cities, counties, defense contractor agencies, those types of, of companies.

• 2:42:43Alex Hormozi?

  Okay.

• 2:42:44Speaker 03

  Our best client is going to be someone who's geographically dispersed because we manage network medical providers all throughout the country and then about 50 other countries as well. Um, and so that's kind of our target audience. Um, it's a fairly cost competitive area. We mostly get clients through competitive RFPs, occasionally through word of mouth. We're currently doing next to no advertising or marketing. We basically grow through word of mouth or the occasional trade show and the RFP process. Um, I, I think one of the challenges is, uh, two challenges. One, um, I think we. Need a money model, an improved money model, and so I'm excited to get my hands on this book and work through some of that.

• 2:43:25Speaker 03

  Um, and something that can bring clients in a little more easily and then over time, you know, increase the ticket price. Because right now it's a, you know, we're perceived as a commodity in lots of instances, but how we operate is very different. Uh, we have really good customer retention, like ninety-five percent plus.

• 2:43:43Alex Hormozi?

  Yeah.

• 2:43:44Speaker 03

  Um, and so, you know, if we can service them in any form or fashion, then we typically can, can keep that going for, you know, years or decades.

• 2:43:52Alex Hormozi?

  Heard.

• 2:43:53Speaker 03

  Um, so aside from money model, the other thing that I think we could use is better awareness. I think I don't know, people outside of our specific niche, if that's contracting, know who we are.

• 2:44:03Alex Hormozi?

  Heard, yeah.

• 2:44:04Speaker 03

  And so I, I'm looking at potentially getting into some sort of, um, you know, uh, uh, content creation of some sort.

• 2:44:14Alex Hormozi?

  Yeah, yeah.

• 2:44:15Speaker 03

  Yeah, exactly.

• 2:44:15Alex Hormozi?

  Yeah.

• 2:44:16Speaker 03

  Um, probably LinkedIn, dating as B two B, um, is our, you know, business, so.

• 2:44:21Alex Hormozi?

  Yeah.

• 2:44:22Speaker 03

  Um, no experience in that whatsoever, don't post content at all.

• 2:44:26Alex Hormozi?

  Yeah.

• 2:44:27Speaker 03

  And, uh, I'm on with the experts, so.

• 2:44:30Alex Hormozi?

  So you got, you, you brought up three different things, so I want to like, let's just take them one at a time. So one there's the like, I want to basically increase the brand so I have, you know, more pricing power and more inbound, inbound deal flow. That's number one, right? Uh, I'm doing this in reverse order because I'm just rewinding what you said. Uh, the next thing is that you need, you need pricing power. So you were selling commoditized, you know, good, and so it's like, how can we create more pricing power? So brand is one element of that, and the other is just the value itself, right? And so, um, I don't know if you've been on this live stream that long, but the problem that you're having is a super common one. Um, and basically we need to pick one angle so that you can decommoditize. And so, uh, Shraddh and I were talking about this yesterday for a different business, but it's like, you have the price,

• 2:45:12Alex Hormozi?

  and then you have, you have, sorry, you have the service and then you have the consideration, right? And so we only have commoditization, and I know you have to respond to an RFP, but there's still the benefits that you can, uh, throw in on top that make your service different, because you can still win in RFPs without it being lowest price.

• 2:45:32Alex Hormozi?

  So do you think you can win on speed? Do you think you can win on ease? Or do you think you can win on risk more than anybody else?

• 2:45:43Speaker 03

  Yeah, I think we do particularly well on risk and speed.

• 2:45:48Alex Hormozi?

  Okay, so then, basically, again, I sound like a broken record with this particular thing. Because you want to get stats to demonstrate the cost on a global level. And so the big thing is that you want to approach their business from a holistic perspective, rather than try to win on a component of the business. And so when you can look at the whole system, you can start pricing against value, which is what they are ultimately deducing from the RFP. But they limit the scope because they think that by doing that, they're going to get the most competitive bids. But you just need to have a better understanding of the business overall to understand the other levers so that you can reframe the pricing so that you can decommoditize against the other bids.

• 2:46:33Speaker 03

  Yeah, so I think what you say is like the proof of how we save the money through other things that are in our price. But that they're spending money on, they're just not captured in the fees that we charge.

• 2:46:43Alex Hormozi?

  Can I give you a hack?

• 2:46:45Speaker 03

  Please.

• 2:46:46Alex Hormozi?

  At the end of your RFP, put one to three case studies, or ideally the case study that is most similar to the client that you're bidding for. And then have that client do the sale for you. Like, even though they weren't the cheapest, boy, did they save me the most money. And this is how they did it, speed and risk. And then they hit on the buttons that you hardcore focus on within the RFP.

• 2:47:15Speaker 03

  Awesome.

• 2:47:15Alex Hormozi?

  Yeah, so you'll win more bids just by throwing that in. And what's crazy is that no one does that. Correct. It's like, no one does it.

• 2:47:23Alex Hormozi?

  Do you want to throw someone in the truck?

• 2:47:24Speaker 04

  Yeah, I have one idea. By the way, the case study closes. Whenever you think RFP, think case study close, that is the, because everyone reads the RFP and all the folks in the RFP mode are instantly in a commoditized, like I'm looking for the price mode. But once they see that and they also see the case study, then if the delta is not that much, you get, you get the win. The second thing, I don't know if you can do this, Andy, which is, is there any way to, to include a provision in the RFPs, which we've suggested in the past, where any new services that you can probably do consulting for, that you would automatically charge us at a 25% discount? And all that it means is that you're opening the door for consulting, one-time consulting opportunities that you can do during the term of the RFP, RFP. And they're like, oh, mash, you know, Alex is such a good guy.

• 2:48:08Speaker 04

  Even though he's not only giving us his RFP, if he chooses to do one-time consulting within this, we can also get a 25% off. So sometimes what I found there is, once you get, you can still get a one-time kind of consulting job, which you can then turn into adding to some recurring revenue after. Is there, maybe that's an idea?

• 2:48:24Alex Hormozi?

  Okay. Also, depending on the size of the business, you've probably seen this before, but it's significantly harder to get approval, to get the bids, sorry, to get the money flowing. But once the money spigot is turned on, it's much easier to adjust scope and get an increase in budget than it is to get the budget turned on to begin with, which is what, what Sean's doing. It's kind of like, you, you have your RFP, thing one, which is what everyone's doing. But then you add in the case study piece, which is thing two, which differentiates a little bit more, and then basically resells the primary, uh, sales points of the RFP. But then in addition to, addition to that, you're saying, hey, don't worry about it. I also have this, uh, you know, one-off consulting. So if you do find someone cheaper, I can help you bridge the gap. But now your foot's in the door and then you can cross all their services, but now you already have a rider there. And so they can start, you can start basically inserting yourself in these other processes. Again, this depends on the size of the business and how the procurement process works.

• 2:49:10Alex Hormozi?

  And if you're curious, anybody who's watching, like, why I had any knowledge of this, the first thing I had out of college was, I did space sovereign intelligence for a boutique strategy firm, and we all did was, uh, was, uh, public sector, uh, contracts. So the RFP world. I told you, I have this very odd mix of background.

• 2:49:24Speaker 04

  But I think the way to think about, I think you nailed it. The way to think about it is every time you're selling something to a client, if you're in a sales process, you're You should be thinking about it from a value frame as to what can I hit? And you should be thinking about from a RFP frame on the floor.

• 2:49:38Alex Hormozi?

  Yeah.

• 2:49:39Speaker 04

  Every sales process, people are always like, well, what is my USP? No, they're thinking about it. When people walk in, they're saying some are RFP minded buyers. So you have to have the RFP frame on the bottom, which whenever you think RFP frame, think case study close. And then when you have the value frame, you can say, here's all this other thing I can do for you. So if you just approach any sales conversation as a synthetic RFP conversation, your chances of winning go up significantly.

• 2:50:02Alex Hormozi?

  Yeah, it's like the frame that, and like, I think giving great examples of this of like, when we want to set the frame for the entire conversation, like the first paragraph of an RFP, obviously the pieces are required, but I want to set the frame as early as possible on this. So that I can say like, this is how we approach these things. Like if someone were to say, hey, get me the cheapest leads. You don't actually want the cheapest leads. You want the highest ratio of dollars in to dollars out from customers, which might not and very likely will be not the cheapest leads, but the best leads that converted the highest percentage at the highest prices. Right? And so again, it's like, we have to have some very simple analogy that we can reframe and de-commoditize ourselves. So it's like, listen, you want the best return, not the lowest price.

• 2:50:43Speaker 04

  Yeah.

• 2:50:43Speaker 03

  Understood. One question about the case studies close.

• 2:50:48Alex Hormozi?

  Yeah.

• 2:50:49Speaker 03

  Is it effective if I can't disclose the customer? Like they won't actually do the talking for me and have to anonymize it?

• 2:50:56Alex Hormozi?

  No, I think it's fine.

• 2:50:58Alex Hormozi?

  Yeah, it's fine.

• 2:50:58Speaker 04

  Yeah.

• 2:50:59Alex Hormozi?

  You also whitewash it too.

• 2:51:00Speaker 04

  Yeah, you can whitewash it. And the way to do that is to provide as many meta detail, details as possible about the customer. So like, for example, if you see, you know, Alex will talk about providing proof in a testimonial. If you cannot put Alex from OZ, you can say AH Baltimore, Maryland. Right? You can do, you want to go as close to providing the reasonable believability of that, of that testimonial as possible. So get as close to it as you can.

• 2:51:25Alex Hormozi?

  So, because I know you donated eight hundred bucks, so I appreciate it. But inside the proof playbook that's in the sales system that you have for free, there's the thirteen point proof checklist. Basically, when you're going through the case study, check off every single one of them that you can. That's just not the name.

• 2:51:41Speaker 04

  Right.

• 2:51:43Speaker 03

  Makes sense.

• 2:51:44Alex Hormozi?

  Cool.

• 2:51:45Speaker 04

  So good, man. Hey, I want to say one last thing for everybody, just for them to understand. People will talk to, Alex will share with you a lot saying, you know, I need to build a brand right away, but this is a great example of building an awesome business. And he said that I've never posted any content. You can still run a great business. So first off, kudos to you, man. Like you built a great business. Yes, it's in, yes, it's a little commoditized, but you have now have a chance to, you have dry powder to build and stack a new money model on top of it. So kudos to you for building this. It's a great example for others to saying, hey, you don't need a brand all the time. You just need a great money model.

• 2:52:17Speaker 03

  Well, a lot of what's happened recently has been, you know, secondary, I think, to some of the readings and learnings from Alex. So I really appreciate you and Sean, your advice today and in the past. It's gone a long way. And so I think you're, you're really hitting the mark in terms of helping entrepreneurs.

• 2:52:33Alex Hormozi?

  Thanks, man. Appreciate it.

• 2:52:34Speaker 04

  Thank you for donating, dude.

• 2:52:36Alex Hormozi?

  All right. Thank you, sir. Talk soon. Best luck with this. Let us know how it goes.

• 2:52:40Speaker 03

  Thank you.

• 2:52:40Alex Hormozi?

  All right. That's it. All right. So that was, I think that's Andy.

• 2:52:46Speaker 04

  Yeah.

• 2:52:46Alex Hormozi?

  So now we're going to go, Cody, Stocks2Trade. Ooh, oof, oof. Uh oh, rah rah. Stocks2Trade, what is this? All right, we got some, this, this, this could go, this could go in a couple of directions. We'll see. Eighty-four million top line.

• 2:53:04Speaker 03

  Hey, how's it going?

• 2:53:06Alex Hormozi?

  Mr. Eighty-four million top line. Let's talk.

• 2:53:10Speaker 03

  Well, you know, I wish I owned the company. I'm just a CEO here, just to clarify. But I want to ask you, you know, in, in that kind of position, one of the big things is product, right? One of the big parts of product is like, before you even get to the offer, right? It's like when you're building the product.

• 2:53:37Alex Hormozi?

  Can you tell everybody what business you're in, real quick?

• 2:53:40Speaker 03

  Yeah, so we're like, if you think of TradingView, just plug in a different name.

• 2:53:47Alex Hormozi?

  I don't know what TradingView is. Is it like a stock trading platform?

• 2:53:50Speaker 03

  Uh, no, it's just like a charting platform. So you just go in.

• 2:53:54Alex Hormozi?

  Like candlesticks, et cetera?

• 2:53:55Speaker 03

  Yeah. And so, you know, what we really offer is like tools, right? And then education on how to use the tools, but obviously never advice.

• 2:54:07Alex Hormozi?

  Okay.

• 2:54:10Speaker 03

  Just gotta, you know, put that out there.

• 2:54:11Alex Hormozi?

  Yeah.

• 2:54:12Speaker 03

  The uh, the big thing though is, you know, we're, we've already tapped into like using customer on like, what do they want? What's next?

• 2:54:22Alex Hormozi?

  Uh huh.

• 2:54:23Speaker 03

  And so now it's going beyond like, what are they asking for and trying to figure out? The step, like the step beyond that, a little more of like a visionary of like, before they even know they want it, you come up with it, right? And we've had a couple of those.

• 2:54:40Alex Hormozi?

  Uh huh.

• 2:54:41Speaker 03

  You get some grand slam offers.

• 2:54:42Alex Hormozi?

  Yeah.

• 2:54:43Speaker 03

  They go really well.

• 2:54:44Alex Hormozi?

  Okay.

• 2:54:44Speaker 03

  But, you know, I, but.

• 2:54:47Alex Hormozi?

  Yeah.

• 2:54:48Speaker 03

  I.

• 2:54:48Alex Hormozi?

  Are you owned by private equity or by founder?

• 2:54:51Speaker 03

  Uh, by founder.

• 2:54:52Alex Hormozi?

  Okay, got it. Okay, heard.

• 2:54:55Speaker 03

  So it's, you know, the big thing is, uh, like what's a model, a framework, a method, or finding that lightning in a bottle?

• 2:55:06Alex Hormozi?

  So interesting, because I have like such a different angle on this. Yeah, go with yours.

• 2:55:10Speaker 03

  Yeah.

• 2:55:11Alex Hormozi?

  Yeah, so like, I think, I think, thinking like, okay, how do I, you know, revolutionize the space? It's so like, you've gone to, you know, how old is the business?

• 2:55:22Speaker 03

  Oh geez, like two thousand nine.

• 2:55:24Alex Hormozi?

  Okay.

• 2:55:24Speaker 03

  Whatever that is.

• 2:55:25Alex Hormozi?

  So it's established, and have you been growing every year?

• 2:55:28Speaker 03

  Uh, yeah, about fifty percent for a couple and then, you know.

• 2:55:33Alex Hormozi?

  Yeah.

• 2:55:33Speaker 03

  We'll see.

• 2:55:33Alex Hormozi?

  Still good. So, I, I'll give you my, my honest opinion. Um, my honest opinion is like, I wouldn't break something that's working really well and growing fifty percent a year.

• 2:55:44Alex Hormozi?

  Because like, all of the, all of the extra effort of like,

• 2:55:49Alex Hormozi?

  we're gonna, I almost fell over my chair. Um, I was, uh, yeah, um, all of the extra effort of like, where is this lightning in a bottle? Um, I have found the lightning in a bottle comes from looking at my existing thing that people already want and like, and turning it into something that they already want and love. And so let me, let me break that down from a tactical perspective. So I think of creating excellent products as looking at the end state, looking at the end goal, and then saying, how do I remove everything that sucks about getting this outcome? Mm-hmm. And so I think about excellent products as removing one hundred percent of friction, rather than how do I make something that's new and exciting? Because marketing is about new and exciting. Product is about the thing that everybody already wants, but not, but removing everything that sucks about getting it.

• 2:56:35Speaker 02

  Yeah, yeah, a hundred percent. And I think one of the, one of the big things is you have to tell everyone it's hard, right? Like you have some sort of regulation.

• 2:56:43Alex Hormozi?

  Of course.

• 2:56:44Speaker 02

  Infrains, but like with the product, uh, you know, our biggest hits happen when you figure out how to put the magic potion together and it takes all the friction out of it.

• 2:56:57Alex Hormozi?

  Okay.

• 2:56:57Speaker 02

  Um, and, and

• 2:57:02Speaker 02

  you can, like you said, then the marketing does a great job of finding all the reasons why they should buy. But trying to, trying to find like, what's that next product that could be that same potion, but in a different area, right? And there's so many actors in our industry, like I'm not just limited by, oh, well, we did it. It's done, you know, uh.

• 2:57:27Speaker 04

  I have a good different question.

• 2:57:28Speaker 02

  Find the strategy.

• 2:57:29Speaker 04

  You have a question for you. So do you think that if, if we could take your current product out in and of itself? It works, it looks like it's working well and it could you, I'm assuming based on that it's a technology platform. Could you add more users to it and marginal cost for that is zero? It's a tech margins, right?

• 2:57:48Speaker 02

  It's definitely not tech margins, I wish. Um, but it's, you know,

• 2:57:56Speaker 02

  the cost to acquire a customer

• 2:57:58Alex Hormozi?

  Mm hmm.

• 2:57:59Speaker 02

  is pretty

• 2:58:03Speaker 02

  you know, one of the first things I did when I came in is we moved cost to break even from 90 to 10 days. That's great.

• 2:58:10Alex Hormozi?

  Okay, that's great.

• 2:58:11Speaker 02

  And then, you know, then we have to make a decision of like, how do you know 50% is you just choose not to make money? Right? And you're like, okay, well, if you can afford to spend more.

• 2:58:22Alex Hormozi?

  Yeah. Well, do they stick? Do the customers stick?

• 2:58:26Speaker 03

  Yeah, yeah.

• 2:58:27Alex Hormozi?

  Well, then, I mean, if that's if that's the case, then, I mean, kind of, that is the game. I mean, you're just trading like. So, I mean, I'll tell you something that a long time ago, mentor explained to me that like, this may seem obvious to you, given you that you're in the space that you're in, but I'm also saying this for everybody else who's listening. So let's say, simple math, right? You know, a hundred million dollars a year, and you've got 10 million dollars in profit, alright? That 10 million dollars in profit, if we take it as income, right, we're gonna, we're gonna keep, you know, 6 million dollars of that, right? And then, great, now we put it into the S and P, we put it into real estate, put in whatever, right? Alternatively, if I take that 10 million dollars, and then I put it back into advertising,

• 2:59:07Alex Hormozi?

  and that 10 million dollars turns into, let's say, first, first year, it turns into 30 million dollars of revenue. Does that sound realistic for your business?

• 2:59:18Speaker 03

  Yeah, I mean, it's essentially what we did.

• 2:59:20Alex Hormozi?

  Okay, no, no.

• 2:59:22Alex Hormozi?

  Yeah, let me, yeah, let me, yeah. So, 10 million goes in, 30 million becomes revenue, and we're valued on EBITDA, right? Or are you valued on top line?

• 2:59:34Speaker 03

  Uh, we're probably closer to top line.

• 2:59:36Alex Hormozi?

  Okay. That's fair, okay. So if we're, yeah, so if we're measured on top line, then we just created 60 million dollars of enterprise value from the 10, tax-free. And so to me, it's like, I'm, I'm choosing option A, I could take 6 million dollars net of tax, and then put it in the S and P and let it grow by 10% a year. Or, I could take the 10, and then turn it into 60, tax-free, in that same period. Now, obviously, there's, the only real question there is risk tolerance. It's like, how much am I willing to, you know, bet more on this existing business? But from a dollar, you know, a dollars and cents perspective, I mean, it's a 10x difference. So that's, that's how I think through these things in terms of your question of like, if I'm the founder, and I know you're not the founder, but like, if I, if I were the founder and I'm making this decision,

• 3:00:20Alex Hormozi?

  it's gonna be 100% the question, the question is down to the founder's appetite for risk.

• 3:00:25Speaker 04

  Yeah.

• 3:00:25Alex Hormozi?

  Fundamentally. But yes, if I were in your position and I did say like, I want to go take the hill, I'd be like, well, let's just take the 10 and then put it in and go from, you know, 84 to the you're at to, you know, 110 or 120. And that would be the that would be my approach.

• 3:00:39Speaker 04

  Yeah. I'll give you one, one, one, one product hack that you that you shared. So anytime you're thinking about, hey, I need a new lightning in a bottle, I'll give you a very simple hack to think about the world, right? Take your business and essentially think about it as an analog, like a think about it like a course. It as in as a done kind of do it yourself where, hey, I get in here, I do these 10 modules, I do this 10 effort, and then at the end, I get this Y result. If you map that 10 modules out, then and you have a product or a system, you can say, which of these 10 modules does this product or system solve? So now your, your product development is actually tied to your marketing too. So you can go to the marketplace and say, if you were a trader, you would and on an analytics platform, you're coming on day one, and you have to do these 10 things over three

• 3:01:24Speaker 04

  months to get this X result, and you'd have to do all the work. Instead of doing these 10 things, you only have to do the these three, because these seven things, the product already does. So anytime you want to hack product development, you want to think about it as, how do I give people a clean path and then take away things from that path that the product does? And that allows you to probably iterate on that faster.

• 3:01:42Alex Hormozi?

  Yeah. And following, and I'm sure you do screen recordings and like, you know, vigorously like, watch people actually use the product. But like, that is where all the big innovations in my life have come from, from a technical perspective, which is just like, watching people stumble, like literally watching people over the over their shoulder and like, watch them get stuck. And the thing is, it's sometimes like the hilarious things that are tiny, that create the friction that end up like ruining whether something's successful or not.

• 3:02:05Speaker 03

  Absolutely. I couldn't agree more. I really appreciate the help today.

• 3:02:09Speaker 04

  Yeah, man.

• 3:02:09Alex Hormozi?

  No, I appreciate you, man. Congratulations.

• 3:02:10Speaker 04

  Yeah. Great job, dude.

• 3:02:12Speaker 03

  Thanks. Take care.

• 3:02:13Alex Hormozi?

  All right. Rock and roll. Okay. So real quick, my screen here turned off. I don't know if you guys know this. So I'm flying blind right now because I want to see, you know, what's going on. But I'm going to wager, I'm going to wager that some of you guys would like to hear, actually, we'll do, we'll do one, we'll do one more, and then I'll do, and then I'll read some stuff if you guys want. So let me know in the chat, if you guys want me to read stuff after I do another call for those you guys just bought books. Okay. So let's see who, who just, oh, we just got another donation. Okay. So let's go, excuse it, my phone's blown up. Okay, hold on. Let's go, Sean Clayton. Okay. So Sean, if you're watching, I'm calling you right now. All right, you just donated a book, so thank you, Sean. Science of Abundance. This could go. This could go either way. Let's find out.

• 3:02:58Alex Hormozi?

  Science of Abundance. 500K top line, 300K bottom line. For anyone who's watching at home. Okay, 500K top line, 300K bottom line. Science of Abundance, we got five minutes. From Ozzy Hotline, what is the thing that is limiting your growth? How can I help?

• 3:03:14Speaker 03

  Well, great to meet you. Thing that's limiting my growth right now is I feel like the initial version of my offer when it goes out to market is not as sexy as it possibly could be. I have a spiritual coaching practice.

• 3:03:28Alex Hormozi?

  Okay.

• 3:03:28Speaker 03

  Oftentimes, people don't really hook into that really quickly because it's too ethereal. Looking to make it systematized, clear, to the point to where it, um, just, just to where they, they understand what they're getting, they understand the value they get out of it, and then spinning off a very specific offer that allows for exponential growth.

• 3:03:47Alex Hormozi?

  What do they, what do they get?

• 3:03:49Speaker 03

  So currently, what they get-

• 3:03:51Alex Hormozi?

  Not the features, the outcome.

• 3:03:53Speaker 03

  Um, the outcome is, is a centeredness. It's, it's a true centeredness that, um, is removing the patterns that they've got in their life. The childhood trauma, you know, cycles that they've consistently been in. Um, that's what they get. Like, they, they actually truly understand a level of awareness to where the consciousness that they have been taught into, they break those cycles and they walk through the door, um, to understand the depth of themselves.

• 3:04:15Alex Hormozi?

  So it's behavior change?

• 3:04:17Speaker 03

  True, yeah.

• 3:04:18Alex Hormozi?

  Okay.

• 3:04:18Speaker 03

  Thank you.

• 3:04:19Alex Hormozi?

  Great.

• 3:04:21Alex Hormozi?

  Great. So you, you do bad stuff, stop doing bad stuff. You want to do good stuff, start doing more good stuff. Yes? Fantastic. Okay. So I think, uh, you know,

• 3:04:32Alex Hormozi?

  I think, I think, I would just, I think, I think you probably just need to change vocabulary. Because even the name of the, of the, of the company, Science of Abundance, and then you said that we teach, you have a spirit, spiritual things, what you said?

• 3:04:42Speaker 04

  Centeredness.

• 3:04:42Alex Hormozi?

  Centered, yeah. And centeredness, again, it's like, we have a big issue of definition of terms. And so I would say I'm an objectivist overall in terms of how I see the world, which is why I think people enjoy, I think why I get a disproportionate amount of views and things like that on my content is because, um, I try to define terms. And so I think that right now, you might have some people that you are, think about it like this. You're a rolling roulette in your marketing and hoping that people who've heard the word centeredness have had a positive experience with that word and as a result, make that association with you. There's a very small percentage of people who have done that. The vast majority are confused and have no idea. Alright, and so we want to market or in our language, use the lowest common denominator

• 3:05:24Alex Hormozi?

  language so that the maximum number of people can comprehend the message and ultimately understand it. And if they understand it and we're clear, we increase the likelihood they comply with our request, they do what we want them to do.

• 3:05:34Speaker 03

  Okay.

• 3:05:35Alex Hormozi?

  And so fundamentally, right now, how are you advertising?

• 3:05:38Speaker 03

  Meta predominantly, I have a social channel, it's about 200,000 followers currently.

• 3:05:44Alex Hormozi?

  Oh, that's great.

• 3:05:45Speaker 03

  And so they come into that and kind of drop in.

• 3:05:47Alex Hormozi?

  Okay, and what do you sell? Like price point?

• 3:05:50Speaker 03

  Price point ranges anywhere between like low end ticket is 97, it goes all the way up to $2,000.

• 3:05:57Alex Hormozi?

  Okay, what's the sales process?

• 3:05:59Speaker 03

  Currently, the sales process is literally all online, so there's no...

• 3:06:04Alex Hormozi?

  So checkout?

• 3:06:05Speaker 03

  All checkout.

• 3:06:06Alex Hormozi?

  Okay, but you go like organic to webinar to checkout?

• 3:06:11Speaker 03

  Organic to webinar to checkout, yeah, and there's some pay downs that run around.

• 3:06:15Alex Hormozi?

  And then in the webinar, you give them all these different options?

• 3:06:19Speaker 03

  I give them one option.

• 3:06:21Alex Hormozi?

  Okay.

• 3:06:22Speaker 03

  And then funnel them through, so they graduate up into the different levels.

• 3:06:24Alex Hormozi?

  Oh, so they start at like a 97 and then they work their way up?

• 3:06:27Speaker 03

  Yeah.

• 3:06:28Alex Hormozi?

  Herb, do you have any sales?

• 3:06:29Speaker 03

  Yeah, we have sales, yeah, we're doing...

• 3:06:32Alex Hormozi?

  No, no, no, sorry, I use definition terms. Do you have sales, no, this is, like dude, this is a perfect example. Do you have salespeople who call the people who buy the $97 thing to sell the expensive thing?

• 3:06:44Speaker 03

  No, I don't.

• 3:06:45Alex Hormozi?

  Okay, so I mean like, well, thing number one is if you just had somebody who called all the $97 people and then sold them a $3,000 thing, you would make significantly more.

• 3:06:54Speaker 03

  Amazing, okay.

• 3:06:56Alex Hormozi?

  Okay, and then I would begin the call, erasing almost all the language that you're using and saying, what are the things that you're doing in your life that you don't want to do anymore, and what are the things that you wish you were doing that you're not?

• 3:07:07Speaker 03

  Okay.

• 3:07:08Alex Hormozi?

  And then it's like, the point of this call is to increase the likelihood that you do the things that you want to do and stop doing the things you don't want to do. And the good news is, we have the five step process that we've done this and we have 80% success rate.

• 3:07:16Speaker 03

  Correct.

• 3:07:17Alex Hormozi?

  So if that sounds like a bet that you want to make, we'd love to help you out. How's that sound?

• 3:07:20Speaker 03

  Fair, I love it.

• 3:07:22Alex Hormozi?

  Right, because I think, I'll bet you a lot of what you're doing is you're using a lot of jargon and a lot of like featuring, and no one knows what that means, nor do they really care. Like, they just want the tooth pulled out, they don't care what drill you use, they just want the pain to go away. So I would just focus on, you're doing stuff you don't want to do, you're not doing stuff you do want to do, and we will help you bridge that gap. Okay.

• 3:07:42Speaker 04

  I'll give you, I'll give you, I'll give you one crazy thing. And Alex's kind of description around using language is really important because if they confuse minds stalls, right? And I will tell you personal vulnerability. My therapist stopped calling herself a therapist and start calling herself a business coach for entrepreneurs. And literally her business, her business took off. She went from, she tripled her fees in twelve months just by switching what she did because people, not that there's a stigma around it, the average kind of bullheaded entrepreneurs like, I don't need a therapist.

• 3:08:15Alex Hormozi?

  Why'd you point at me?

• 3:08:16Speaker 04

  Me, me, me, me, me.

• 3:08:18Alex Hormozi?

  Bullheaded, yeah, they're the average bullheaded entrepreneurs.

• 3:08:21Speaker 04

  Bullheaded, bullheaded entrepreneur.

• 3:08:23Alex Hormozi?

  Taking shots.

• 3:08:24Speaker 04

  So, so I just want to reemphasize that Alex is right on with the kind of using the right language, especially if there's a behavior bent to it. Because when you have a behavior bent to it, two things happen. One, it puts some accountability on them to actually change behavior and it puts some accountability on you to deliver the thing that will help them change behavior. So you get what you promised.

• 3:08:43Alex Hormozi?

  Okay. That makes sense. Yeah. And so, once you talk in those terms, then the offer actually become, one, like, for everybody, clarity always, like clarity beats it. Like, if no one can comprehend the offer, like, the biggest thing that you can do to increase your conversion rates across funnels, across ads, across emails, is, is, is just describing things as you can observe them objectively. So I think about, I translate all my materials through like a court filter. So if you're in the court and you say, so and so was frustrated, they would say, objection, your honor, because that's not a fact, that's an opinion. What they would say is that when that person came in the door, they spoke at a higher volume. They could say that her face was visibly red. They could say that she was sweating. They could say that she threw something at somebody. These are all things that are observable that no one can question.

• 3:09:27Alex Hormozi?

  When we start talking in terms of the amorphous, it becomes really hard to understand. And so I would use all of the observable in all of my marketing and sales so that people know what they're going to expect far more accurately. It'll feel like a superpower. It converts like crazy.

• 3:09:42Speaker 03

  Let me ask you this question.

• 3:09:43Alex Hormozi?

  Yeah, sure.

• 3:09:43Speaker 03

  I love that, and I get a lot more clear.

• 3:09:45Alex Hormozi?

  Alright.

• 3:09:45Speaker 03

  If, if, if I weren't able to, if I were doing a challenge to get people to come through the door faster, like a sixty day transformational window.

• 3:09:52Alex Hormozi?

  Dude.

• 3:09:53Speaker 03

  Tell me what you think of this, because I framed it off of some of the things that I've been picking up from you lately.

• 3:09:57Alex Hormozi?

  Yeah.

• 3:09:58Speaker 03

  Five hundred dollar bet on yourself.

• 3:10:00Alex Hormozi?

  Yep, win your money back.

• 3:10:01Speaker 03

  Three thousand people.

• 3:10:01Alex Hormozi?

  First offer inside of the attraction offers inside of money models. And the course, by the way, for everybody's watching, it comes out tomorrow for you guys, it's free. Alright, relax, it's free for everybody. But, so, when you're, yeah, the win your money back offer, I think, would smoke for this, for this, uh, for, for, for your type of business, because it's all behavior change related.

• 3:10:19Speaker 03

  Exactly. And so what I'm doing is that I have a, I have a, a set of things that you do every single day. You submit that into the community, writing it on school.

• 3:10:25Alex Hormozi?

  Yeah.

• 3:10:25Speaker 03

  Give you fifty percent of your money back if you actually get through eighty-five percent of it. And then five people would be voted by the community to where I'm going to give twenty thousand dollars to those five people at the end, who the community basically uplifts. And then of those five people, they can be nominated to become coaches inside the community. So I've built an entire flywheel.

• 3:10:41Alex Hormozi?

  Okay.

• 3:10:41Speaker 03

  Does that work?

• 3:10:42Alex Hormozi?

  Uh, I, I like the, the, yeah, no, I think, I think there's a, a little too much. There's three things I'd write, like, I, if I were you, I would do, I would do the following. Do the win your money back, instead of fifty percent, make it a hundred percent.

• 3:10:56Speaker 03

  Okay.

• 3:10:56Alex Hormozi?

  The, the, the hundred percent money back is a store credit, not cash. That store credit then rolls into, rollover upsell, into a year with you.

• 3:11:08Speaker 03

  Okay?

• 3:11:09Alex Hormozi?

  So, five hundred dollars, great, a year with me is five thousand, great, we'll take the five hundred, roll it towards five thousand, fantastic. Love this for us, okay? Um, and then that's, that's front end to back end conversion. Now, what are the things that are required for them to quote, earn their money back, win their money back? So, thing one, I like the, the habits and behaviors, that's good, that's what gets them results. The other half of the things that you want to do and win your money back is get them to promote. Alright, and so that means, now, depends on the nature of the service and how people feel about this, so you'll know this part better than me. But I would say at the very minimum, in order to get the money back or win the store credit, you have to leave me a testimonial. Okay, number one. Uh, number two, uh, you gotta make a public post before and after. Uh, number three, you gotta turn in your, you know, like turning your befores and your after stats.

• 3:11:53Alex Hormozi?

  So you can either make a public, I'm giving you different variations of this. So a more watered down version of like, I don't want to post it, it's fine. Then you gotta turn in before and afters, and I want them in these formats. And I want them on these multiple sites. So I want you to do it on Trust Advisor, I want you to do it on Google, I want you to do it on Yelp. I want you like, I want you to do it in this Reddit forum. Right, like these are the four places I want you to post this testimonial. Uh, and that is required in addition to the things you have to do to get the results. So the things that someone does are activation related and advertising related. Those are the earn your money back components. And everyone's like, wow, that was a little bit more nuanced. That's why I wrote a book about it. Uh, so I would do it from that perspective. And by doing it that way, if you want to get super set in on it, which I would recommend, why not?

• 3:12:34Alex Hormozi?

  Um, I always included satisfaction guarantees, so it's basically a double guarantee. So it's like, not only, uh, can you earn your money back. If you for any reason feel like you got $499 value when I charge you 500, at any point, you know, six hours or six weeks into this thing, you can ask for your money back. Now, for me personally, I did, I almost never had anyone ask for the money back from a satisfaction perspective, because the win your money back frame is so strong that like, you know, and I only pulled that out if I needed to, you know, close a deal or something like that.

• 3:13:03Speaker 03

  Right.

• 3:13:04Alex Hormozi?

  Cool? You like that?

• 3:13:05Speaker 03

  What about this, yeah, I love that. What about this $20,000 giveaway thing? No, too much?

• 3:13:09Alex Hormozi?

  I just don't think you need to. You don't need to. Yeah, you don't need it.

• 3:13:11Speaker 03

  Okay.

• 3:13:11Alex Hormozi?

  So you're, you're trying to combine, you're basically trying to combine three different, uh, attraction mechanisms. And again, clarity, like down the middle, right down the middle fastball. Like if it's, if it's a good pitch, they'll swing.

• 3:13:22Speaker 03

  Okay.

• 3:13:23Alex Hormozi?

  Cool?

• 3:13:23Speaker 03

  Love it. Thank you, man.

• 3:13:24Alex Hormozi?

  Oh, thank you, dude. Appreciate you. Thanks for joining the books.

• 3:13:27Speaker 03

  Absolutely.

• 3:13:28Alex Hormozi?

  All right, rock and roll. Okay, so we're, we're getting close to, okay, so at 3.35, um, I have this stack of, well, they're somewhere. I have a stack of signed books. The Hundred Million Dollar Men will demonstrate what the signed books look like. There they are, signed copies. So, um, at three, yeah, 3.35, we're going to give 10 signed copies away to, uh, who are we giving them to? Look at these very fancy signed copies. Uh, are we giving them to, who, who's qualified for this? Yes, that's right. We don't speak. The $100 million men do not speak like the Green Man Group. All right, while he gets that, thank you guys. I appreciate it. I know, Jay Steele, I'll drop the behavior book someday.

• 3:14:10Alex Hormozi?

  Right now, I've got to finish. We got to finish this launch before this timer goes out. So by the way, those of you guys who are coming on, this is the end of the donation book drive. So we're trying to get as many books in the hands of entrepreneurs as we possibly can. The ultimate goal long term for me is 32 and a half million books. That means one book for every entrepreneur in America. I will eventually get to the world, but right now, I'm focused on America. And so to incentivize business owners, help me out. I created all these assets over the last two years that I'll give anyone for free if you donate 200 books. Okay, and there's a bunch of free stuff for people who did nothing. So if you're broke, I got you. Don't worry. And that's why I set it up. Okay, so between now and when we hit 3.35 copies, anyone who donates 200 books will randomly select 10 of you to receive one of these guys.

• 3:14:54Alex Hormozi?

  So as of right now, between now and when we hit 3.35, which is coming up pretty soon, anyone who donates 200 will randomly select one of you guys to get one of the signed copies. All right, so that's what's happening. Now, let's get jiggy with it. Okay.

• 3:15:15Alex Hormozi?

  Okay, Miles Lua, you just, thank you. You just got 200 books. Thank you. Okay, rock and roll. So thank you for that. Appreciate it.

• 3:15:27Speaker 04

  Pre-orders arriving already. So good job, guys.

• 3:15:29Alex Hormozi?

  Oh, dope. Exciting.

• 3:15:38Speaker 04

  I don't know what that means. I don't know.

• 3:15:43Alex Hormozi?

  All right, we're going to try another one.

• 3:15:48Alex Hormozi?

  I'm going to get canceled before the live stream even ends.

• 3:15:50Speaker 04

  No, no, it'll be okay.

• 3:15:52Alex Hormozi?

  Okay, yeah, I have representative. I'm good. I have coverage. I have coverage here. I'm good. All right, Nick Ostache. Okay, so some of the 200s are coming in right now. Our team, are you guys going to send me names so I can read off who just got signed copies? Ed, give me a name.

• 3:16:16Alex Hormozi?

  Otherwise, I'm calling, I'm calling Nick. Understanding behavior. Oh, wait, that was thematic. Alright, I'm calling Nick. I'm calling Nick. I'm calling Nick. Okay, okay. And then as we, as we, oh wow, we're really about to hit the, the 200 though, so. It's literally right now.

• 3:16:31Speaker 03

  Hey, what's up Alex?

• 3:16:32Alex Hormozi?

  Nick, what's up dude?

• 3:16:34Speaker 03

  Not too much, how you doing?

• 3:16:35Alex Hormozi?

  Alright, we got five minutes. Top line, bottom line. What's the problem? What's your top line?

• 3:16:41Speaker 03

  Cool, uh, yeah, we're a pretty new company. Uh, right now, we're eighty, making about eighty K a month. And we're profiting about seventy-five percent of that.

• 3:16:49Alex Hormozi?

  Okay. This is great. Okay.

• 3:16:52Speaker 03

  For sure, for sure. Uh, yeah, so we run a company. I do test preparation for people that are taking the, um, BCBA exam to become,

• 3:17:03Alex Hormozi?

  Fine, this is all.

• 3:17:03Speaker 03

  Board certified behavior analysts.

• 3:17:05Alex Hormozi?

  Okay, got it.

• 3:17:06Speaker 03

  Um, which, which is pretty cool because I can tell that you're a Skanarian at heart, uh, and all that. Uh, but yeah, uh, so we, one, like, our biggest bottleneck right now is just getting more attention. Like, our products are really good and, um, all of our students love them. Our reviews are crazy. It's just, uh, kinda getting more volume. But one of our problems with the business is that since, uh, with our company, we, our students don't really need us once they pass the exam. So they, they pass and then they just like don't really, they don't need us at all.

• 3:17:41Alex Hormozi?

  That's fine.

• 3:17:42Speaker 03

  Um, so it's really difficult to get continuity, uh, because we just constantly have to get new customers.

• 3:17:48Alex Hormozi?

  Alright.

• 3:17:48Speaker 03

  So, one thing that we've been working on is getting like more university collaborations. So, we just collaborated with our first university and they're gonna be implementing all of our materials for all of their students, um, for like across their whole program. Um, and I feel like that's the best way to get continuity, so, um, but I just wanted to kind of like pick your brain about what kind of strategy. Should I be using to for cold outreach to new university programs?

• 3:18:22Alex Hormozi?

  Okay, so pause real quick, pause real quick.

• 3:18:24Speaker 03

  Yeah.

• 3:18:24Alex Hormozi?

  So currently you, what percentage of your revenue is coming from university programs that you're doing collaborations with? And what percentage is coming from just like people coming to you and just saying, hey, I want to help with test trial?

• 3:18:33Speaker 03

  Right now, it's like ninety-five percent just from people. And we have this one collaboration and all their students are about to roll in and purchase all our products in like the next couple of weeks. So like we haven't touched that revenue yet, really.

• 3:18:47Speaker 04

  And and this is just to get, once they take the test, they get into a university program, is that correct?

• 3:18:53Speaker 03

  No, opposite. So our students, they've already graduated from their programs. They all have master's degrees and then they need their certification to practice professionally.

• 3:19:01Alex Hormozi?

  Okay, well, that's great because it's closest to money. That's wonderful.

• 3:19:04Speaker 04

  Yeah.

• 3:19:05Speaker 03

  Yeah, absolutely. So like most of our students, they pretty much like triple their income once they pass their exam.

• 3:19:11Alex Hormozi?

  Okay, so let's, okay, okay. So you're sitting on a gold mine, so that's good news.

• 3:19:16Speaker 04

  Yeah.

• 3:19:16Alex Hormozi?

  All right, so I want to talk through a couple of things. I'm just gonna give you a couple of tactics. I gotta, I gotta keep going. But here's, here's like we're gonna rapid fire. So number one, every single person who walks in the door, you have to get their current earnings. You have to, you get it? You have to get bank statements, okay?

• 3:19:33Alex Hormozi?

  Six months after they graduate and you have to put some sort of stick there, maybe it's a rebate, maybe like ideally a rebate. Or maybe they can, they can only become a member of this thing that you charge ten thousand dollars a year, but they get it for free if they, X, Y, Z. Which is they send you their earnings after they get the job using your thing, okay? So the reason that that's important is that then, because you have such a clear, like, we get people from point A to point B. And it is related to the income that they're going to be able to earn in a field. Like if you look at Harvard, Harvard can publish the average or median income of a Harvard graduate. They can say that. And so people will think, okay, well, if I go to Harvard, my median income post-graduation is a hundred twenty-five thousand dollars a year. Okay, great. I don't know that, what the number is, I have no idea what it is.

• 3:20:14Alex Hormozi?

  But that, but they can publish that. And so to the same degree, you are then able to frame your value against what that triple is in very real terms. And that way you can put disclosures, say, hey, these are. The medians that we have 10% of people who don't get jobs and you know like literally just publish the stats if you are as good as you say you are. And it'll just make you'll be able to price so much higher by doing that. That's number one.

• 3:20:37Speaker 04

  And the way to do that is to add the alumni job board as the thing. So you get the full time lifetime access to the alumni job board. And that's what people get and you can show that to them on the on the front end.

• 3:20:51Speaker 04

  Okay, yeah, I like that idea for sure.

• 3:20:53Alex Hormozi?

  Okay, that's thing one. Thing two is I would, I think the idea of going after the after the universities is not a bad idea. You need to think about your business as one level chunked up, which is that the customers are the universities, not the not the kids, right? And so the goal is to basically create a monopoly here where you can map the entire network of these universities. They make full time partnerships with you and ideally you can lock them into longer term agreements. And I would always ask the magic question, which is what would it take? What would it take for us to make this inclusive? What would it take for us to lock in for five years? And once you do that, then you can become an entrenched monopoly, but you're too small for anti monopoly rules to to affect you.

• 3:21:35Alex Hormozi?

  And then you can become a money printing business. Again, not a guarantee. The results will, you know, vary.

• 3:21:40Speaker 04

  Yeah. Yeah, absolutely. Yeah, what Alex is saying is also like, you know, you want the test prep is just a part of the journey, right? So you your next part of the journey is the career placement part of the journey. So you just have to figure out, hey, what is the career placement component that I can add to this? So the test prep is paid by the student, the career placement is paid by the university. So you monetize both sides of the kind of both sides of the supply demand curve. Yeah, so people with this certification are super high demand, like they find jobs instantly, like they apply and like they're just handed jobs.

• 3:22:14Alex Hormozi?

  Well, if you want to make more money, right, then that's a scarce resource. And so then you can include in a placement at an even higher higher earnings, like basically you can pre negotiate for them. Because if they're all getting lots of jobs and it's scarce, which means you can then create overrides, which means you can hoard the scarce resource and then you make money on the customer and on the placement.

• 3:22:36Alex Hormozi?

  Okay, I see. I don't think you do that now, to be clear, because you're too small. So I want to be clear, but that's like, if we're looking at like, what's the big vision? That's where we want to go. Right now, though, Sure. Document the earnings, number one. Number two, once you have those documented earnings, you go to the, I would do that first, because then you can use that in your sales pitch to each of the universities, because that makes sense for them, because they're going to want to advertise as numbers two, if they can, and they will be able to, if they fully and exclusively collaborate with you.

• 3:23:03Alex Hormozi?

  Yeah, totally. Okay. One more thing is, yeah. I gotta, I gotta go to the next one, though. But I, does that help at least to get you started? Yeah, for sure, very helpful. Happy birthday, Ben. No, I appreciate you. And the, if you want to get rub shoulders with the universities, the best things that I've found have been going to the trade shows and conferences, because that's where the buyers are. That's where you'll be able to, like, it's the easiest way to get your foot in the door. Awesome, good to know. Thanks so much, appreciate it to you. You bet. I'll give you one more 201 strategy, which is hire someone who already did sales into academia. This is a little bit higher end. That person already has the black book. They already have all the key holders

• 3:23:46Alex Hormozi?

  for every one of these universities, and you're basically buying their black book by hiring them. So then, when they call, they pick up the phone. That's what you're paying for. All right? All right, awesome. Appreciate you. All right, thanks for donating books, Ben. Yeah, thank you, Kevin. All right. All right.

• 3:24:03Speaker 04

  We hit it?

• 3:24:04Alex Hormozi?

  Oh, we have three, four. Okay, so do we have, do we have a?

• 3:24:07Speaker 04

  They're working on it.

• 3:24:07Alex Hormozi?

  They're working on the names? Okay, fine. What, so we hit the 3.35. So 10 of you guys who donated 200 bucks, they're pulling names right now, because it happened really quick. And they're going to send them to me, and then you guys are going to get signed copies, and I'm going to, I'm going to name the names in a minute, okay? Um, okay. So, okay, I saw somebody request dental. So I have dental right here. That's literally somebody just opted in, not opted in. But, but donated books, who was dental. Okay, so we got Red Lion Dental, David Black. Hopefully, hopefully picks up, find out.

• 3:24:44Alex Hormozi?

  Yeah, I'm calling people who donate. Yo, what's up, man?

• 3:24:47Speaker 03

  Hey.

• 3:24:48Alex Hormozi?

  Let's talk about Redline Dental. We got five minutes.

• 3:24:52Speaker 03

  Okay, um, so top line revenue for last year was 1.6 million.

• 3:24:56Alex Hormozi?

  I love this. Yes, keep going.

• 3:24:59Speaker 03

  We are, um, we are on track to do 2.1, 2.2 this year.

• 3:25:04Alex Hormozi?

  Okay.

• 3:25:04Speaker 03

  The increase comes from, we've been revving up the Invisalign side of our practice. Two years ago, we were doing eight cases a year. In the last 12 months, we've done 143.

• 3:25:12Alex Hormozi?

  Love it.

• 3:25:13Speaker 03

  Wow. Uh, I have two, um, questions for you, one's a little bit more just straightforward tactical, um, which is, uh, I now need to hire a full-time appointment setter. Do you have any recommendations on compensation strategy?

• 3:25:28Alex Hormozi?

  Dude, it's gonna be such a short-lived thing, man. Like, you're gonna do this for like 12 months and then, I mean, tops. Cause SDR, like, uh, AI, AI appointment setting, especially for medical, for something that like is well-understood, is gonna hap- like, it's, it's, it's in swing right now.

• 3:25:43Speaker 03

  Yeah, we're already using AI for our reception, so.

• 3:25:46Alex Hormozi?

  Yeah, so you need to get an SDR, um, so you're saying like just recommendations for how to find an SDR?

• 3:25:52Speaker 03

  Uh, no, I, I, I have, well, I mean, if you, if you have any quick ones, that would be great, um, but, uh, uh, the, the, um, talking on the phone, um, sorry, my four-year-old.

• 3:26:04Alex Hormozi?

  Yeah, you're good. Young, hungry 20-year-olds tends to work great.

• 3:26:08Speaker 03

  Okay, um, the other question I had, so we've been doing our price for Invisalign is 4,500. We've been doing it as a lead, which I want to get rid of, or as a, as a offer, was $500 off. I hate it. It's just had through top line like you were saying a few minutes ago. Um, so, uh, I was trying to come up with a magnet, the one I had come up with was, uh, coming for your free Invisalign consultation, and we will make you custom whitening trays, uh, at no charge, so you get that whether or not you move forward with Invisalign. We just qualify them appropriately.

• 3:26:37Alex Hormozi?

  You like that better than the $500 discount?

• 3:26:41Speaker 03

  Yeah, because my cost to produce trays is about $30.

• 3:26:43Alex Hormozi?

  But does the person who come in for a free teeth whitening thing, do they want Invisalign?

• 3:26:50Speaker 03

  So that's the pre-qualifying.

• 3:26:52Alex Hormozi?

  Okay, okay.

• 3:26:54Speaker 03

  Right, um.

• 3:26:55Alex Hormozi?

  And you're running that offer now?

• 3:26:57Speaker 03

  Uh, no, I was, I was about to start that and then, uh, got access to your AI, and what it recommended was, uh, do a, um,

• 3:27:08Speaker 02

  Basically, a forty-nine-dollar, like, get, get, pay for a, a discounted forty-nine dollars for lightning that would normally cost four hundred dollars.

• 3:27:16Alex Hormozi?

  Yeah.

• 3:27:17Speaker 02

  When you come in for your in-viz line.

• 3:27:18Alex Hormozi?

  Yeah.

• 3:27:19Speaker 02

  Basically, people have to stand, stand in the game.

• 3:27:20Alex Hormozi?

  Yeah.

• 3:27:21Speaker 02

  Uh, help cover, upcover, cover up on costs, and then we have a subscription model to, um, keep people in maintenance for lightning.

• 3:27:28Alex Hormozi?

  Yeah, perfect. That's, yeah. Do that. Nice job, AI. Good job. Um, yeah, I, I'm, I'm gonna get, I'm gonna retire soon. Yeah. Do that. No, that's, it's, it's, it's, um, that's a good, that's a good suggestion. Um, so I'll give you a little, a little detail. Maybe the AI didn't say this, so I still have failure.

• 3:27:50Alex Hormozi?

  When you, when you get the, you wanna get the card over the phone if you can, um, obviously to bill, and then that way you can also charge a no-show if, if, uh, if they, if they don't show up. But if you're billing them upfront over the phone for the discount thing, um, that'll, that'll, you know, dramatically decrease the show rate. And then when they come in, I would probably position this, I would use probably half of a menu upsell in terms of the mechanics. So obviously, I, we own it to the wedding chain, so I'm super familiar with like the lightning process and sales process around this. Um, and like I, the sales process that we, we designed, uh, more than doubled LTV. Um, and so basically what we would wanna do, uh, do you have any computer imaging software?

• 3:28:29Speaker 02

  Yes.

• 3:28:30Alex Hormozi?

  Okay, so you, I'm guessing you show them like this is what your smile could look like?

• 3:28:34Speaker 02

  Yeah, so we have an IT area, so we can do both. Here's, here's like your in-viz line, here's the in-viz line, and here's.

• 3:28:39Alex Hormozi?

  Okay, yeah. So, oh, do you do veneers too?

• 3:28:42Speaker 02

  Yeah.

• 3:28:43Alex Hormozi?

  Yep, dude.

• 3:28:43Speaker 02

  Full service, all the time.

• 3:28:45Alex Hormozi?

  Printed, yeah, yeah. So, yeah, you know where the, where we're gonna go here. Take a picture of them, say what, you know, here's you when you're pretty, here's where you now, uh, you know, which of these three looks would you prefer? All of them are buying, and you say, great, um, I recommend this. Do you wanna use the card you have on file, which they give you because you already have it. So it makes the whole sales process super buttery.

• 3:29:09Speaker 02

  Yeah.

• 3:29:10Alex Hormozi?

  I'm in.

• 3:29:11Speaker 02

  Yeah.

• 3:29:11Alex Hormozi?

  Yeah. Yeah, well, I mean, AI, AI kinda nailed it. Um, but yeah, that, that, that worked real good.

• 3:29:20Speaker 02

  Awesome. Okay.

• 3:29:21Alex Hormozi?

  Dude.

• 3:29:22Speaker 02

  Uh, thanks so much.

• 3:29:24Alex Hormozi?

  Yeah, you bet. Congratulations, Matt, and thank you so much for donating bucks, dude. I appreciate it. For anyone who's curious what he was referencing, the AI, I trained on 226 one-on-one consultations, which people paid $135,000 for. I'll show you this real quick, maybe the camera can zoom in.

• 3:29:44Alex Hormozi?

  So, this is what actually went on. So, I would, let me see, yeah, there you go. I've blacked out the faces here. But like, I would have a consultation, and then we would go in, and so we have all the stats about the business. And so, all of this is all like, all the notes that I would, that we would take on the company, and we would just basically pour through all the things that we need to do about the business. And then, there's just a lot of pages for each one of these. But anyways, we would do that analysis, and then to come in, and then I would be like, hey, these are the things you need to do. This is the promo I think you should run. Here's some of the dude that supports it, it's XYZ. And so, all of these companies paid for that from me specifically in person.

• 3:30:26Alex Hormozi?

  And so, I trained it on that, plus all small implementation playbooks, plus all of my books and the notes that are unwritten about my books, kinda like the lost chapters, but more stuff. And all of that is free when you donate 200 books. And you're like, why would we be doing something like this? It's because we were going big, we're trying to put a book in the hand of every entrepreneur in America, and I wanted to incentivize business owners to help. Alright, and so, that's that. What? Yes.

• 3:30:49Speaker 05

  Speaking of.

• 3:30:50Alex Hormozi?

  Yes.

• 3:30:50Speaker 05

  We have some names to pull.

• 3:30:52Alex Hormozi?

  Okay, we got names to pull for those of you who donated 200 books during that little window that I had pulled up.

• 3:30:57Speaker 05

  Mm-hmm.

• 3:30:58Alex Hormozi?

  Okay.

• 3:31:00Alex Hormozi?

  Drum roll, please.

• 3:31:01Speaker 05

  Drum roll.

• 3:31:02Alex Hormozi?

  Yeah, I know, right?

• 3:31:02Speaker 05

  Okay, so the first three random signed book winners for people who bought the 200-book bundle. We have Tom Urbanski from London, United Kingdom. Can we sign his book?

• 3:31:15Alex Hormozi?

  I just, I signed it earlier.

• 3:31:16Speaker 05

  Oh, you signed it, okay.

• 3:31:17Alex Hormozi?

  But it's signed, okay. Oh, I'll put his name on, I'll put his name on, I'll sign it like this, okay.

• 3:31:21Speaker 05

  Yeah, Tom.

• 3:31:22Alex Hormozi?

  Tom. You rock.

• 3:31:27Alex Hormozi?

  Oh, I think it's cool with black.

• 3:31:30Speaker 04

  Okay.

• 3:31:33Alex Hormozi?

  Alright, Tom. That's for you, dude. Thank you. Alright, what's our next one?

• 3:31:38Speaker 05

  Now we have Robert Weirda from Tampa, Florida.

• 3:31:42Alex Hormozi?

  Robert?

• 3:31:42Speaker 05

  Robert.

• 3:31:44Alex Hormozi?

  Robert, thank you, dude. Thank you for donating books. If you're online, drop a chat.

• 3:31:50Speaker 05

  Guys, anybody who donates 200 books, you get a chance at a signed book from Alex.

• 3:32:00Alex Hormozi?

  Thank you, dude. Alright, what's our next benchmark? 3.4, oh, did we? Oh, no, we're not there yet. Okay.

• 3:32:06Speaker 05

  Alright, next, we have Cody Limbaugh.

• 3:32:09Alex Hormozi?

  How do you spell Cody? C-O-D-Y?

• 3:32:11Speaker 05

  C-O-D-Y.

• 3:32:12Alex Hormozi?

  Okay. C-O-D-Y?

• 3:32:14Speaker 05

  From Enterprise Organ.

• 3:32:17Alex Hormozi?

  Keep giving.

• 3:32:26Alex Hormozi?

  Thanks, dude.

• 3:32:26Speaker 05

  Thank you, guys, for supporting and doing the 200-book bundle.

• 3:32:30Alex Hormozi?

  We're gonna take calls after this, alright?

• 3:32:34Alex Hormozi?

  Okay. Next name?

• 3:32:36Speaker 05

  Oh, that was it?

• 3:32:37Speaker 04

  Oh, three.

• 3:32:38Alex Hormozi?

  Three, okay, then we're gonna...

• 3:32:39Speaker 04

  We'll do that.

• 3:32:39Alex Hormozi?

  Okay, then we'll do another three. Okay. Ted, you got me all hot and bothered. Okay, you got my phone? Alright, fantastic.

• 3:32:47Speaker 04

  Go ahead.

• 3:32:47Alex Hormozi?

  Go ahead.

• 3:32:48Speaker 04

  Yeah.

• 3:32:50Speaker 04

  You hang.

• 3:32:50Speaker 05

  I'll still block. I'll see you, Alex.

• 3:32:52Speaker 04

  Yeah, it's all good.

• 3:32:53Alex Hormozi?

  Okay, okay, what we got? Okay, so that was David with Redline Dental. Wasn't that fun? Okay, next one is a different David. 10x Reup. I don't know what that is. Let's find out. Reup. What do I mean? I don't know. I may have to pee at some point.

• 3:33:15Speaker 03

  This is David.

• 3:33:16Alex Hormozi?

  David, Reup. It's Alex Hermosy and Leila Hermosy on Hermosy Hotline. You got five minutes. Thank you for donating books. How can we help?

• 3:33:24Speaker 03

  What up? What up? Is, uh, is my live behind right now?

• 3:33:30Alex Hormozi?

  What? Oh, yeah, the live is behind, so it's always like five or 10 seconds, fine. You're good.

• 3:33:34Speaker 03

  Okay, cool. Um, yeah, so real quick, I'm in the business of getting other people and other business owners uh, money for their business, so like loan stacking through banks and alternative lenders.

• 3:33:46Alex Hormozi?

  Okay.

• 3:33:46Speaker 03

  And very specific uh, question for you with this one.

• 3:33:50Alex Hormozi?

  Yeah.

• 3:33:51Speaker 03

  With um, ACQ Ventures, I'm working with a tech startup right now out of Silicon Valley and their founders.

• 3:33:58Alex Hormozi?

  Yeah.

• 3:33:58Speaker 03

  And um, they're in the process of talking to some people for uh, getting thirty million. And um, I was going to ask you like what the process looks like, or how you guys do it at ACQ Ventures, if you do stuff like that, but they're building, can't say too much because I signed the NDA, um, but they're building something that I think that you guys might be uh, aligned on.

• 3:34:23Speaker 05

  Uh, we, we have to know, we have to do diligence on the business, so we have scorecards essentially for business, business scorecards, founder scorecards, looking at essentially like rating them, and then we weigh out each one of those things, so you know, there's fifteen to twenty points for the founder, fifteen to twenty points for the business, fifteen, twenty points for market economy, and then each one of those points is weighted differently based on how important it is, and we just honestly use a formula. So we run the businesses through there and it helps us make objective decisions, but we have to get the diligence in order to know um,

• 3:34:54Speaker 03

  For sure.

• 3:34:55Speaker 05

  if we would invest in the company.

• 3:34:57Speaker 03

  For sure. Yeah, I was gonna be in um, I was actually gonna be in like Laguna on Wednesday, and I'll be out in Cali for like the next two weeks, I'll be going to San Fran and LA uh, during that time, so um, I'm in the, I'm in the school, so it'd be dope to uh, see what that process will look like, so I can connect you with the with the founder, because they've already built it, it's already like ready to go.

• 3:35:17Alex Hormozi?

  The way to do it is just have them go through ACQ Ventures, because we have a whole process for that, we have a whole team that looks at deals every day.

• 3:35:23Speaker 05

  If you make a post in the group, uh, we'll get Zach Choi, our general partner, to uh, link up.

• 3:35:29Alex Hormozi?

  Yeah.

• 3:35:30Speaker 03

  Okay, sweet. And then um, okay, so a different uh, question that's specific to my business um, is for um, getting people funding, I was wondering What you guys would think is the first thing that I should hire out on because basically I'm on the revenue roller coaster of like I'll have like one decently big month like last month I had my biggest was like fifty five K and like fifty K of that is like profit but I'm pretty much one man show right now using some AI systems and um I'm going up and then I have to deliver for the clients and that slows me down on the marketing side So would you guys recommend like hiring somebody for sales first or Hiring somebody with skill and training them to help me with like the delivery of the service?

• 3:36:15Alex Hormozi?

  I know what I would say.

• 3:36:16Speaker 05

  Yeah, I already know. We're gonna say the same thing.

• 3:36:18Alex Hormozi?

  Yeah, I would have like I would have somebody help you out with the delivery because right now dude like you're you're you need you need a general revenue, right? Like Yeah, go ahead.

• 3:36:26Speaker 05

  Yeah, always delegate revenue last. So whatever's closest to revenue you hold on to the longest typically.

• 3:36:34Alex Hormozi?

  Now, and to be clear here, for like somebody who's a software founder, if Like the the the software you have needs to go viral in order to succeed, then the thing that is closest to revenue that has the highest leverage is actually improving the product. So again, like there's a little bit of a nuance there. Yeah, business specific. Uh, but yeah, for the business that you it sounds like you're in right now, it's it's gonna be more promotion heavy like you're gonna do more deals. Um, and so, yeah, I think the delivery I would imagine is very process oriented.

• 3:37:00Speaker 03

  Yes, yeah, it's a it's a lot of like meeting with them.

• 3:37:02Alex Hormozi?

  Yeah, checking boxes.

• 3:37:04Speaker 03

  Yeah, exactly.

• 3:37:04Alex Hormozi?

  So that's totally and I'm guessing it's probably taking half your time, something like that. Yeah, so for sure, that would be the low leverage thing that I would like that'd be the first thing we hire up.

• 3:37:13Speaker 03

  Okay, cool. And then my other question was going through the course already, I was building out my series and Uh, I was looking at one of the attraction offers, the free premium offer giveaway. Do you guys or have you seen a way for that Uh, to work or is it designed to be able to work through like a cold email system where I can just rip, you know, two thousand emails per day?

• 3:37:33Alex Hormozi?

  Giveaways don't work like, I'll say this, I would not use a giveaway as my attraction offer for using cold outbound as my method. So giveaways works, you know, super well with like one to many communications, whether that's content or that's paid ads, super well. Uh, outbound, it's like you, it's no, I just like that's that's not how I do it.

• 3:37:55Speaker 03

  Okay, gotcha. Would there be a certain attraction offer for that you would recommend for an offer? Uh, like getting business owners funding um based off like a cold outbound to rip emails?

• 3:38:07Alex Hormozi?

  So.

• 3:38:10Alex Hormozi?

  I mean, is there a giveaway? For sure. The question is just like, how much? Because you want to make, oh wait, wait, sorry, sorry, roll back. You said, is there a giveaway option that I would do through outbound? Is that what you said?

• 3:38:19Speaker 03

  Uh, no, and it's an attraction offer.

• 3:38:21Alex Hormozi?

  An attraction offer?

• 3:38:22Speaker 03

  Yeah, that would fit there, yeah.

• 3:38:24Alex Hormozi?

  Let me try to think. I think that I would probably end up doing a...

• 3:38:30Alex Hormozi?

  I would probably end up doing a decoy offer for that. So it's like they come in for something that's free. Uh, but then you explain to them that that's only one part of a much bigger system and they really want this other thing. And they'll happily buy that other thing that's significantly more expensive rather than the free thing. Uh, which obviously you can offer that, um, you know, if they, should they choose not to get it. Uh, but you, you know, you give them the upside.

• 3:38:57Speaker 03

  For sure. Okay, cool. I appreciate that. And then, uh, if, uh, that, that pretty much answers all my questions. But it's funny that, uh, Leila, and I'll, I'll just put this on, uh, on, on record. She convinced me to drop out of college years ago, so, um, yeah.

• 3:39:13Alex Hormozi?

  Well, thankfully it worked out. Otherwise, it's like, and I'm homeless now and...

• 3:39:17Speaker 05

  How did I convince you to drop out of college?

• 3:39:19Speaker 03

  Uh, your video on YouTube basically like weighing the pros and cons. And I was like, wow, this has never been more obvious, what I need to do.

• 3:39:27Alex Hormozi?

  Well, there you go.

• 3:39:27Speaker 05

  Well, I'm glad it's working out. That's freaking cool.

• 3:39:29Alex Hormozi?

  Well, Leila convinced me to drop out of singleness, so I hear you. Um, thanks, man. I appreciate you. Thanks so much for donating.

• 3:39:37Speaker 03

  Yeah, thanks, guys. Appreciate it.

• 3:39:38Alex Hormozi?

  All right.

• 3:39:40Alex Hormozi?

  Okay, so, uh...

• 3:39:41Speaker 05

  Let's do, uh, two more. We have two more winners for signed books.

• 3:39:44Alex Hormozi?

  Okay, let's do it.

• 3:39:45Speaker 05

  And then, uh, you can go over to me.

• 3:39:47Alex Hormozi?

  Yeah, and then, uh, mm, mm, mm, okay, all right, let's do it. So, click my sign in.

• 3:39:53Speaker 05

  So we have Chase Sugarman.

• 3:39:55Alex Hormozi?

  All right, Mr. Sugarman.

• 3:39:57Speaker 05

  San Diego, California, Mr. Sugarman.

• 3:40:00Alex Hormozi?

  You donated 200 bucks. I only remember Sugarman. What was his first name?

• 3:40:04Speaker 05

  Chase.

• 3:40:05Alex Hormozi?

  Chase.

• 3:40:05Speaker 05

  Yep. And guys, this is for anyone who donates 200 bucks, you get a chance at a signed copy.

• 3:40:10Alex Hormozi?

  All right, um, keep being awesome.

• 3:40:22Alex Hormozi?

  Boom. Alright, that's thing number one.

• 3:40:24Speaker 05

  Okay, now we've got Mark Magalanes from Mardson Park.

• 3:40:30Alex Hormozi?

  M A R C or K?

• 3:40:34Alex Hormozi?

  Last thing I want to spell wrong. Mark, A R K, okay, Mark.

• 3:40:38Speaker 05

  From NSW, Australia.

• 3:40:42Alex Hormozi?

  Alright, we're shipping this out to you, Mark.

• 3:40:44Speaker 05

  Two hundred books going to Australia.

• 3:40:48Alex Hormozi?

  Oh, sorry. Do do. Alright.

• 3:40:51Speaker 05

  We have one more.

• 3:40:52Alex Hormozi?

  One more. Hot one.

• 3:40:54Speaker 05

  We have a special one.

• 3:40:55Alex Hormozi?

  Oh yeah?

• 3:40:56Speaker 05

  Uh, yes. Shim.

• 3:40:58Alex Hormozi?

  Shim?

• 3:40:59Speaker 05

  Mouse.

• 3:41:00Alex Hormozi?

  Shim, okay. I don't know. Does that sound like I'm supposed to know?

• 3:41:06Alex Hormozi?

  Alright.

• 3:41:06Speaker 05

  And she actually has a fucking mood fall plan license plate, so I'm gonna sign it too.

• 3:41:10Alex Hormozi?

  Okay. Alright. And then she'll know this part is for me. And then I'm gonna do this, and then you call the next person.

• 3:41:18Speaker 05

  Maybe. I'll do whatever, you know, I feel like.

• 3:41:22Alex Hormozi?

  Okay.

• 3:41:24Alex Hormozi?

  So, call this one.

• 3:41:26Speaker 05

  Okay.

• 3:41:27Alex Hormozi?

  Okay. You or me?

• 3:41:28Speaker 05

  Okay. Have fun. Should I call somebody, or should I answer, should I answer questions about Alex that are uncomfortable? Should I spill some tea? Alright.

• 3:41:49Speaker 01

  Hello?

• 3:41:50Speaker 05

  Hi, this is Leila Hormozi.

• 3:41:54Speaker 01

  Oh my gosh, Leila, how are you?

• 3:41:55Speaker 05

  Good, how are you?

• 3:41:58Speaker 01

  I'm really good, I'm really good. Sorry, Jim White, I've got a Jim music going on in the background.

• 3:42:02Speaker 05

  Oh my gosh, you're fine. I love your license plate.

• 3:42:07Speaker 01

  Aw, thank you very much. Thank you. But they took it off me. They thought it stood for something else, so the government took it off me, which is not fun.

• 3:42:14Speaker 05

  Seriously? They took it off? What the heck? That's so rude. Okay.

• 3:42:17Speaker 01

  Yeah.

• 3:42:18Speaker 05

  Not cool.

• 3:42:19Speaker 01

  I know, I know.

• 3:42:19Speaker 05

  Not cool. Um, well, you're on Hormozi hotline, and Alex went to the bathroom, and so they gave me your number to call, and I was like, she's got the license plate, we gotta do this.

• 3:42:28Speaker 01

  Well, look, I think that you are the perfect person to ask this question for me, um, because, yeah, I'm, I'm really stuck.

• 3:42:34Speaker 05

  Like I'm really stuck, um, yeah, I have been training up a operator um to come in and replace me to have more time. Um, we really want scale and go to three locations and um like and to four locations and scale to sort of eight figures. And um the operator that I have poured so much into in the last two years has um unfortunately burnt out. I keep taking these technicians that come from like P T to P T manager through to like an operational role. And I feel like I'm I'm I'm needing someone that has more influence versus the the technical guys that are coming in and

• 3:43:16Speaker 05

  and you know, they've got all that analytical stuff and they're really good at the technician side of things. But it's almost like that matrix style org structure that's just not working for me. Um, I thought someone that potentially is quite influential like me that comes from like a sales background. And has like a bit of retail management experience. Would you recommend that that is someone that potentially could help me run like it's, you know, it's a five million dollar P T business. We have sixteen hundred P T clients, thirty five staff, and it's like high volume but also high care and high service. Um, P T model and um it's it's there's a lot of systems that we've built out, um, a lot of, you know, data tracking. We know our numbers, we know our stuff and and we want to scale, but it's like, who who is the person that I should bring through?

• 3:44:02Speaker 05

  Yeah, so in general, if you are looking at hiring somebody to be an operator, I look at it as an operator is really a people operator. Right? Now, if you can operate and you can influence people, you probably also can deal with process and systems and all those things. But I look at it as it's a much higher leverage skill to have somebody who has the ability to um essentially influence people, lead people, manage people and drive sales. Than it is to have somebody who understands like the technicalities, the project management skills, the organization. So I almost look at it as like that person you want to have at the top and then they can contract people, they can hire people, they can like if they're not the best at the analytical technical side, they can get people who are.

• 3:44:41Speaker 05

  You know, like for me, for example, like my skill has never been like, oh, I'm the best with systems and project management tools and organi- like it would actually be probably a bad use of my time to do that because I'm better at, you know, leading people, driving revenue, doing those things. And so I think you want to think about what's your skill set, right?

• 3:45:01Speaker 05

  Influence, it's a hundred percent influence. Right, and so. My people, I point to my people, conviction, it's um, I'm selling, even from the interview process of when I'm in HR and I'm even just selling it at P T, well, I use the interview process to almost like sell our culture, sell. Yes. Our team, the, the point of difference that we have in the marketplace, like I use my conviction to, to influence my team. Correct. So you want somebody who approximates your skills. If you bring in somebody who has none of your skills, then what are they taking off your plate? They are solving a new problem, but they're not solving the fact that you still have this on your plate. And so a lot of people, when they bring in an operator, this is the number one thing I see is they think, oh, I need somebody who's like the opposite of me. They need to be like very detail oriented operator and all these things. I'm like, listen, I'm an operator and I'm not that person.

• 3:45:46Speaker 05

  I'm not hyper technical, I'm not driving the product deadlines, I'm not doing, like, I'm a people leader through and through. And I also have a enormous sales background. And so I think that you have to, it's, it's like the weirdest framework. But it's like, find somebody who's more like you and they will take more things off your plate. And they'll probably be able to do a better job leading the team. And so I think, honestly, it sounds like you had the wrong avatar in the past. And I think that you've taken a, the step in the right direction. So like, I, I love your plan. I actually wouldn't change anything. I think that you should give this person a shot. Oh, this is absolutely huge. Honestly, this is the biggest constraint that's stopping us from scaling and duplicating our model. Cause all of our systems and fulfillment and everything like that is locked down, even hiring our technicians is locked down.

• 3:46:27Speaker 05

  But leadership is a huge dysfunction and, and we, you know, we're great operators ourselves and great leaders ourselves. And it's just like climbing ourselves as leaders is really holding us back from going to, going to eight figures. Yeah, and at some point you have to, you have to make a choice, which is like, and it's more of a decision, which is like, I can no longer scale this business off my leadership alone. I can no longer scale this business off my influence alone. Like, I have to bring in other people. And sometimes when you're thinking about scaling the business, like we talk about the constraint of the business all the time. But sometimes it's your, you are the constraint. If you are, if you have a lot on your plate, if you are gassing it, if you are working 12 hours a day and you bring in people that are not coming in to relieve you, you've just added more to your plate because you have to manage them, manage their output, manage their KPIs.

• 3:47:12Speaker 05

  But you haven't relieved yourself of anything. And so I think sometimes the best thing you can do is ask yourself, what's constraining me versus the business? And I think once you get to that point where you're, you know, creeping on eight figures, that's probably the best question to ask. Hundred percent. I'm like, the hard part as well is, is trying to find.

• 3:47:29Speaker 03

  People that have the grit and resilience, but I think sales, sales builds that for you.

• 3:47:33Speaker 05

  Yeah.

• 3:47:34Speaker 03

  It's gritty where if you're getting someone from, you know, a technical background, they probably don't have the same grit um to deal with all the adaptability and all the constraints that operations has. Um, they're probably not even, even just their mindset and their adaptability alone, probably not going to be able to handle the volume of operations.

• 3:47:53Speaker 05

  Yeah. So here's what I tell you. This is what I tell people. I want somebody kind but tough. And I want somebody organized with sales skills. That's it. Those are the two things. Kind but tough, organized with sales skills.

• 3:48:05Speaker 03

  I, I literally use the term fair but firm, that's exactly the same.

• 3:48:09Speaker 05

  I love it. I think you're on the right track. I, I would, I would make the hire.

• 3:48:12Speaker 03

  Oh, you are epic. Sometimes I just needed to hear it from someone that I really trust and, and I know that has the answer. So thanks, Leila. And I'm content with, uh, Sharon at the moment. Uh, the operator is just phenomenal. So, thank you so much. You're the answer for me.

• 3:48:27Speaker 05

  Thank you. Okay. Well, hey, have a great rest of your night or morning. I'm not sure. Okay. I'll talk to you soon.

• 3:48:33Speaker 03

  Good morning. Thanks, Leila. Bye.

• 3:48:35Speaker 05

  Thanks. Bye.

• 3:48:37Alex Hormozi?

  All right. So I was told by the hundred million men that we're doing, um, as soon as, yeah, I'll, I'll, I'll say one. I'll say one. I'll say one. We're good. We're good. Let's do, let's do the next, uh, next cell phone. Oh, you want to do one early?

• 3:48:50Speaker 05

  Okay, okay, okay.

• 3:48:52Alex Hormozi?

  Cause we're gonna do.

• 3:48:53Speaker 05

  Okay.

• 3:48:55Speaker 05

  Telephone.

• 3:48:56Alex Hormozi?

  Okay.

• 3:48:58Alex Hormozi?

  All right.

• 3:49:05Alex Hormozi?

  The next 10. The next 10 people who donate 200, oh, there you go. Yeah. The next 10 who donate over 3.35, uh, get a signed copy. So right now, if you donate 200 copies, we will sign a copy. I'll put your name on it. Um, it's the next 10. Okay. Um, I think we might.

• 3:49:24Speaker 05

  Next 10.

• 3:49:25Alex Hormozi?

  That might, that might have been next. I think we're close. No, I think we got two left. That's, I think that was seven people. There's, and I think there's one, one left. Okay. Um, as soon, as soon as we get the names, we will be, um, we will be signing, signing copies for you guys. You guys rock. Thank you guys so much. And thank you on behalf of the entrepreneurs, by the way. Um, okay.

• 3:49:49Alex Hormozi?

  Let's pull up. So we did, we did, um, Cam. Okay. Who else we have here? Let's rock and roll. We have, we do Angelo? No, we didn't do that one.

• 3:49:58Speaker 05

  I don't know. I haven't been up here.

• 3:49:59Alex Hormozi?

  Yeah, I have. Okay, so.

• 3:50:04Speaker 05

  So serious.

• 3:50:07Alex Hormozi?

  All right. So this is a slightly smaller business. So this will be a good one for anybody who's a little smaller.

• 3:50:10Speaker 05

  Salty.

• 3:50:14Alex Hormozi?

  Oh, that's why it's smaller business. Phone doesn't work.

• 3:50:17Speaker 05

  Denied.

• 3:50:18Alex Hormozi?

  All right, I'm gonna give him.

• 3:50:18Speaker 05

  He's like, I can't get leads. Phone doesn't work though, bro.

• 3:50:21Alex Hormozi?

  I'm calling you, man.

• 3:50:22Speaker 05

  Oh, your phone don't ring.

• 3:50:26Speaker 02

  Did not mean to do that to you.

• 3:50:28Speaker 05

  Dude, you just hung up.

• 3:50:32Speaker 02

  It wasn't a power move, I swear.

• 3:50:33Alex Hormozi?

  Dude, were you flexing on me, bro?

• 3:50:38Speaker 02

  Happy birthday, man.

• 3:50:39Alex Hormozi?

  No, well, my happy birthday gift to you. So thank you so much for donating books, man. Um, let's, let's, let's do this. Okay, top line's 20K a month?

• 3:50:48Speaker 02

  Yeah, yeah.

• 3:50:49Alex Hormozi?

  Okay, 20K a month, 4K bottom line, right?

• 3:50:52Speaker 02

  Yep.

• 3:50:53Alex Hormozi?

  Okay, got it. So what, what are you selling right now?

• 3:50:57Speaker 02

  Uh, we're selling client acquisition services. So I'm doing, uh, financial advisors. So I'm doing a bunch of stuff. I'm doing, uh, paid meta ads for most of the deliverables. And then I'm starting to notice that we're booking a lot of appointments for advisors, but they're not closing them. So I'm starting to build in like AI sales enablement and supporting them with like sales coaching calls to help them convert.

• 3:51:20Alex Hormozi?

  Okay. I drank, um, a shot of energy while you said, who is the person that you're doing the client acquisition for?

• 3:51:29Speaker 02

  Financial advisors.

• 3:51:30Alex Hormozi?

  Financial advisors. Okay, got it. Okay, what's price point?

• 3:51:35Speaker 02

  Uh, so I'm charging 5K upfront and then between, uh, 2K a month and 5K a month. And then I'm trying to figure out some sort of upside.

• 3:51:45Alex Hormozi?

  Yeah, how are you getting them right now?

• 3:51:46Speaker 02

  A new share.

• 3:51:47Alex Hormozi?

  Yeah, how are you getting, how are you getting them right now?

• 3:51:50Speaker 02

  Uh, yeah, so I, I've done the interview method. So I, I emailed like a bunch of people, did some insights, did that first. Uh, we got one from cold call and then I've had a couple of verbal yeses through paid Facebook ads, but we haven't, like, they haven't actually closed.

• 3:52:06Alex Hormozi?

  Okay. How long have you been doing this?

• 3:52:09Speaker 03

  I've really started pushing this since October.

• 3:52:12Alex Hormozi?

  Okay, so like less than a year. Yeah, you're figuring out your first real channel. So I'll tell you right now, for just about anyone who's doing less than a million dollars a year, it's almost always dramatic underestimation of the volume required.

• 3:52:24Speaker 03

  Okay.

• 3:52:25Alex Hormozi?

  So right now, you said you got one from cold calls, you got one, you got a couple from Interview Method, right?

• 3:52:30Speaker 03

  Yeah, yeah. And then I've been moving to paid ads and the lead flow is coming in, but like the quality of the leads have been fluctuating. So I'll have a couple of good calls and then a couple like terrible and I'm just trying to figure out.

• 3:52:42Alex Hormozi?

  Well dude, you're just measuring on too, you're measuring on too small of a time horizon. I'm just like, it's normal that you got good leads, you got bad leads. It's just part of it.

• 3:52:50Speaker 03

  Right. Okay. And so you don't, you don't think it's the offer? Like you don't think like one of, you think I should just ramp up the amount of volume in terms of new prospects? Cause I've also done this.

• 3:53:02Alex Hormozi?

  What's your close rate? What's your close rate now? Say it again?

• 3:53:08Speaker 03

  10%.

• 3:53:10Alex Hormozi?

  Oh, 10% is your close rate right now?

• 3:53:12Speaker 03

  Yeah.

• 3:53:12Alex Hormozi?

  Now, of, so the 10% though, cause I want to give good, get good numbers here. Are all, that would mean that 10 out of 10 people that you made the offer to were qualified? Or this 10 people you talked to and so, okay, of qualified leads that you made an offer to, you close one?

• 3:53:27Speaker 03

  Yeah.

• 3:53:28Alex Hormozi?

  Okay. Now, I don't know how good your sales skills are, cause sometimes like if you don't know how to, you know, if you're just getting used to sales, like that could be a thing. It might not necessarily be the offer as much. Um, but what's the incentive for someone to sign up right now?

• 3:53:41Speaker 03

  Uh, what's the incentive for them to sign up? Um, like, well, I just drive them new traffic and they don't have to worry about like booking appointments. I just put appointments on the calendar.

• 3:53:53Alex Hormozi?

  Heard. Do you have, um, do you have a VSL in your sales process right now?

• 3:53:57Speaker 03

  Yeah, but I don't, I don't think it's, well, I don't think it's very like good. My background is in sales, not in marketing. And so I leaned on that heavily, but yeah. This is just a different product that I've been selling, a lower ticket, a high ticket.

• 3:54:11Alex Hormozi?

  So I'm going to tell you something that I told one of my sales directors years ago, which is that at this point right now, especially if you came from a background of sales, I want you to be thinking about how do I make sales easier rather than how do I get better at sales? So I think you have the right frame. Just, just big picture. Okay? Um, so.

• 3:54:30Alex Hormozi?

  I like, you need basically, how many, how many success stories do you have?

• 3:54:36Alex Hormozi?

  Three, but yeah, three. Okay. They're not like amazing, though. Yeah. So I'm going to tell you something that you probably don't want to hear, but like this is what I would do if I were you.

• 3:54:48Alex Hormozi?

  What are you gonna say? So do it. Fine, okay. Leila probably doesn't want to say.

• 3:54:53Alex Hormozi?

  I would probably see if I could work for people with a free trial plus penalty model, which is actually a different one that's a money model that's inside of money models. And system. So when you go like, go watch that video training on it. Uh, everyone who's watching this, by the way, it's free. Chill out. That's free for anybody. You don't have to buy a book.

• 3:55:13Alex Hormozi?

  But uh, the way it works is this is that you have someone put a card down and they still have to do all these behaviors. And if they don't do the behaviors, you bill them.

• 3:55:22Alex Hormozi?

  Uh, yeah. And the reason for that is like, listen, I will do this work for you and I will do it for free. Uh, because I need testimonials because that offer will get you way more sales, obviously. Cause like you've probably talked to all these, you've probably talked to thirty qualified leads, right? Something like that. Oh, yeah, I talked to more than that. Okay. So dude, I would rather you just like fill up your calendar, get way better at it. And get way more yeses and then basically artificially, not artificially, realistically jam your supply, demand. So that you can barely even like work, like can't even do anything else because you've got so much business that you're working with. And then you'll, you'll, it'll, it'll shift your perspective and your behavior because you're gonna be like, dude.

• 3:56:03Alex Hormozi?

  I, I have so many people who want to work with me right now and then you'll learn more, you'll have way more testimonials. And then you'll have the pricing power that you need. Cause I mean, it's realistic and it makes sense that it's taking you so many to close because you have no proof.

• 3:56:16Alex Hormozi?

  Yeah. Right. You're leaning purely on sales. It's purely on sales. Like you just need the other stuff.

• 3:56:22Alex Hormozi?

  Well, what are, what are your thoughts on? So like, I guess this is a future problem, but then my other thought around this was, well, if they can't, can't convert. Convert the leads, then I'm gonna, you know, bring on all this traffic for them to try to convert the leads, but they can't, still can't convert it, so then I'm out of cash flow, I can't solve. No, no, you're not, no, they're gonna pay for the ads, they're gonna pay for the ads. You're not, you're not, like, you're gonna do the service for free.

• 3:56:43Alex Hormozi?

  Right, right, but they're gonna pay for the ads, they still don't convert the, the leads, right? Like, then I gotta, Yeah. I gotta help them convert those, those leads. This is a feature, not a bug. Um, Okay. So, when you're an agency and you deal with small business owners, which is what you're dealing with, it's going to pretty much just suck. Um, and I'll tell you that there's really only, like, let me just fast forward to what's gonna happen. Can I just tell you your future for a second? So, what's gonna happen is, you are gonna figure out how to start acquiring customers, you're good, like, so in steps. You're gonna follow this advice, you're then gonna get enough proof. With enough proof, you're gonna make a compelling VSL. With a compelling VSL, you're gonna start being able to sell at higher prices. You're gonna start increasing your prices. Because you know how to acquire customers, you're gonna start selling more customers,

• 3:57:27Alex Hormozi?

  and you're gonna get excited, because you're gonna, disproportionate that is gonna drop straight to the bottom line. But when that starts happening, you're also gonna start noticing that people are gonna start falling off the back end. And then all of a sudden, your revenue's gonna go up, and, but tax is gonna start going up too, over time. And then your margins are gonna compress. And then you're gonna be at between one and three million dollars a year, and you're gonna be like, man, uh, this sucks. Um, I have this big churn factory. And then you'll call back and be like, hey, you know, I'm doing 1.8 million top line, I did 250,000 bottom line. Um, I'm really not sure what to do with my, you know, agency right now, because these guys, you know, they kinda suck at business. And I have to try to explain to them, I have to hold their hands and do all this work for them. Um, and so I'm just trying to figure out a better way to run this business. And so then, at that point, I would then say, okay, well, the issue is this. Is that you have a poor avatar that sucks at business. And so either, option one, is that you build this thing from the front end,

• 3:58:11Alex Hormozi?

  so that it's as low cost as humanly possible, so they don't churn ever. And you can do something in such a way that, like, at 300, 400 dollars a month, uh, you still run insane margins on it, because your stick rate's really good, and it costs you almost nothing to run. That's option one. That's the low-cost, high-volume model, and it works fine, but you have to build the business day one with that low-cost, high-volume model, so that you're, you're dealing with these small business owners. You have to price at their worst month, not their best month. Now, the second scenario is that you have to go after higher, you have to go after whales, right? You have to go upmarket. And those guys don't need your help closing, because they know how to close, and they just need deals. They just need, you know, they need lead flow.

• 3:58:49Alex Hormozi?

  Either of those are, yeah, either of those are the end state of where you're going to go. But it often happens that you have to go through all those stages that I just outlined. Because you don't have the confidence yet, you don't have the proof yet to go sell those whales. And so it's like, you kind of need to get yourself to a business owner, you know, who's, who's making a million, two million, whatever a year in revenue. So that then you can be like, wow, this sucks. Um, I should build this differently. So those are the two end states. It's either you're going to build this day one with kind of like super AI enabled, super automation enabled. Um, so that you can do this at low cost, or you're going to say, I gotta go whale hunting. The thing is, it's very hard to sell whales with no proof.

• 3:59:27Alex Hormozi?

  But those are the two end states of actually what makes this business work.

• 3:59:32Speaker 03

  Okay. So is there, is there a world where I don't even go after this market and I change the?

• 3:59:38Alex Hormozi?

  No, this, everything, you're good. Everything I just described is true of anyone who does, uh, client acquisition for any business.

• 3:59:46Speaker 03

  Okay.

• 3:59:47Alex Hormozi?

  It's a, like, what happens is if you're good at marketing and sales, you very quickly deal with people who just aren't. They're only good at one element of it, right? They're not good at some component, which is why they're hiring you. But it's kind of this catch 22. So you end up eating up more and more of their business, or you have to go up, up market. And so you either have to make it so cheap that you don't care if they churn because there's so many of them and, uh, it costs you nothing. Or you actually price it in a way that you can have a charge or premium. But you can only do that with people who can afford it, which is up market. So if you look at the biggest agencies in the world, which is basically what you are, you either gotta go like, you know, super cheap, super high volume or premium.