WEBVTT

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You're having a tough time right now.

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I think that if we get this right, the locations that you have will continue to grow even better.

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This is Ani.

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She runs a chain of eyelash salons doing $2.3 million per year, but she's dealing with challenges with her business partners and she spread way too thin.

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And if she doesn't fix this fast, this business won't just stall.

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They'll start falling apart.

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Hi, I'm Ani.

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I own Amy Lash & Beauty.

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We are in the business of empowering women with eyelash extension service.

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With a revenue of $2.3 million, $644,000 and a 28% net margin.

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We have seven locations, been in business for over 10 years and helped over 20,000 clients.

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Amazing.

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What's the problem that you're dealing with right now?

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I have three problems.

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First is lead generation because we always need more clients.

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Second is making the service better.

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Manager training is inconsistent because the managers are spending most of their time doing lashes.

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New employees aren't getting trans quickly.

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Third is partner problems.

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Some partners have dropped responsibilities since the initial equity agreement.

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And I don't take a salary for doing most of the work on marketing and scaling.

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What happens if you don't get these solved?

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The company is not going to grow.

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I'm doing unpaid work, so I feel unfair.

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I don't know how to have hard conversations with the partners because they're also my friends.

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All right, tell me more about the partnership situation.

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I have three partners.

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Right now, they are just not aligning with my new goals and mission to grow the company.

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They kind of have their own thing.

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One partner has her full-time career.

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Yeah, and a new baby.

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Any baby.

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They don't manage the last artists.

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They don't train them.

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So the customer service and the fulfillment are not as good.

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Yeah, that's probably why those locations don't have as many customers.

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Word of mouth.

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Yeah.

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We kind of have to fix these, you know, call it seven locations first.

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And I think if we nail the model, you'll sleep better at night.

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Definitely.

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Right?

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Okay.

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And so that 600-ish thousand that you have in profit, is that before you split it between all the owners?

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Yes.

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Okay.

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Got it.

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Yeah, you're having a tough time right now.

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It's a lot of people to manage.

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I'm feeling a little bit stuck because I'm having a disagreement on how to grow the business.

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I have a bigger vision where I want to take the company, but my partners, they don't share the same vision.

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Who do you help?

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So I help 99% women, mostly in their 20s to 50s.

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Women who just value time saving or want to look good without needing a lot of makeup.

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Is there an income level that I associate with or does it work in any market?

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The people who come back to continue the service would need a higher income.

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But for someone who just went for an event, it could be anyone.

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How do you help them?

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So for a new client, our lash line is go through consultations, make recommendations, and apply their first set of lashes.

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If a client decides they want to continue with the service, they come back every two to four weeks for refills.

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I want to double click there for a second.

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If they decide they want to come back, how does that work?

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They just come back in.

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basically when they want to come back.

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Yes.

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Noted.

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So this is a massive untapped opportunity that so many businesses miss out on.

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And so there's two versions of this that you can do.

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Number one is something we call BAMFAN, which I talk about all the time, which I got from Shrad Savatso, which is book a meeting from a meeting.

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BAMFAN, that's what it stands for.

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So if you ever have the opportunity where someone comes in and they're going to have to come in again, book it then.

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Just get it done rather than trying to rely on them coming back by chance or remembering you or just even just creating the administrative burden of later having to schedule it when they're not right in front of you.

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The other way is just creating some sort of membership.

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Now, those are a little bit harder to sell because people don't like having recurring billing.

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That's why Banfame is one of the easiest ways you can implement just about any business.

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But the recurring membership component, if we can structure the membership well with a really compelling offer, it might be something that's gonna drive more and more people into it, which will stabilize the business.

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Okay, so how do you make money?

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depending on the style of lashes, between 170 to 300.

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We do have an intro promotion for 99.

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When they come back between two to four weeks, it's 70 to 270.

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The longer they go in between fills, the more it costs.

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So let's say that someone comes in for $200 worth of lashes.

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What does it cost you in labor and what does it cost you in lashes?

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We pay our lash audit 50%.

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Really?

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Wow.

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Do they cover the cost of the lashes as well?

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No, well we pay the cost of everything.

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Wow.

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Wow.

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Generous.

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So they get 50% of top line and then you deal with the cost of goods, marketing, rent, cleaning, everything else.

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Yep.

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Wow.

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It's impressive that you're running 28% margins with that.

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That means you're running everything else on 22%.

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Our supply is cheap.

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That's why.

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Yeah.

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No, but I mean, still 22%.

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That's really impressive for literally giving 50% of top line away.

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Okay.

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So how do you get customers?

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50% of clients come from Google.

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It's unclear whether this is organic SEO or pay ads, although I do spend $1,000 a month on Google ads.

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Per location.

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No.

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Total.

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Come by.

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Yes.

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It's $1,000 per month.

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You're saying you spend between five locations.

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Yes.

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So you're spending $200 a month per location.

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So Ani's spending $1,000 a month between six locations.

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So that's like $180, whatever the math is, per month that she's spending.

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It's not a lot.

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Think about this.

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She's spending $12,000 on a $2.3 million business.

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So if she spent 1% of her revenue, it'd be $23,000.

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So she's spending a half a percent on marketing, which to me is either like this marketing isn't working or she's not spending nearly enough.

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And I think she's actually in the camp of not spending nearly enough.

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If she tells me anecdotally that half the people coming in say they heard of her from Google, I'm going to bet it's doing more than nothing.

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I'm of the camp of like, man, she's probably on a gold mine right now.

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Her probably cost to get a customer is almost nothing.

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And she should spend way more to get more people in the door.

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How many customers do you sell a month?

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On an average month, our total appointment is 1,700.

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Total guest sales is 1,100.

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30% new clients, 70 recurring clients.

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50% of clients stay longer than three months.

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Do you have the same prices during the weekend and during like search times?

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Yes, same pricing for weekdays and weekends.

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When is it busiest?

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Usually Friday, Thursday, Friday, and Saturday.

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Is there a time of day or is it just those days all the way through?

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Just those days.

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So the oldest law in business is supply and demand.

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And the cross point is where you have price.

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And if there is more demand and less supply, like for certain times, certain days, then price typically can and should go up.

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And so she's running a business right now where she has some supply constraints that are temporal, meaning either time of day or day of week, where she has constraints only on those days.

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And so on those days, it would behoove us or behoove Ani to bump the prices up to reflect that shift in the supply demand of the business.

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Now, if you're like, oh, but wouldn't it piss off our customers?

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Of course, everything is about how you frame things.

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Now, wouldn't it be nicer if we said these are the prices on Thursday, Friday, Saturday, and the rest of the week you get a discount, right?

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And that'll also drive more people to come the other days, which will then smooth out her demand curve and ultimately keep her staff better utilized during the week.

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And then by doing that, increase her availability on weekends, which would then drive more people to those times that she can fill back up, but again at a higher price.

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Genius.

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Brilliant.

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Let me ask you a big question.

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Would you say that you have more of a limitation on doing the work or getting customers?

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Getting new customers.

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Interesting.

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So you could handle a lot more volume.

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This is more demand issue.

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All right.

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Beyond that, why the rush?

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There's no rush.

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It's just that I don't see an improvement.

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Can I tell you why I ask?

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Yes.

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You have two or three different partners?

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Mm-hmm.

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Why did you take the partners on?

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I did not have the manpower to manage.

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Didn't have the money to hire a manager.

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Then I'll ask the question, why the rush of opening?

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Before you had the money and before you had the manpower.

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I just thought that we would make more money with another location.

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I agree with you.

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You probably already noticed though that the next location is significantly harder than the first one.

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And the profit, I'll bet you a big part of the profit is probably from your first, the ones that you have the most direct control over.

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So I thought when I opened more locations, I would make more money.

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But then I realized the manager aren't training the new employee as well.

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The fulfillment of the service are not as good.

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Some locations aren't doing as well.

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So I have a lot of empathy for Ani because I made the same mistake.

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And so I had six locations almost to the same thing.

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I had multiple partners.

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I did this.

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I did this.

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And the reality is that if I had just continued to cash flow, you know, the first location that I had, rather than getting really aggressive with my expansion, I would have expanded better, more profitably.

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And I probably would have had a stronger brand going into new markets.

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And so sometimes we have to go against our desire to do things fast, make them easy, just make quick big bets on new people that are unvetted or untested.

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Whereas if she had been able to maintain control and maybe have three locations by the same time period, and she owns them all outright, she would be consistently stomping out these new locations.

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Because here's the really fun fact.

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The fastest way to five locations isn't the fastest way to 50 locations.

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You might go slower for your first one, two, three, four.

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But by doing it that way, you set up the infrastructure, the foundation to be able to then aggressively go from four to 10 and then from 10 to 50.

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But you can't do that if you have all these hodgepodge deals on the side.

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Because let's think about this all the way to the natural extreme.

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Do we think the future version of the business is her with a hundred different partners?

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Probably not.

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And if that's not the future version of the business, why start doing that today?

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And the answer to that question is one word, rush.

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This is the pro location numbers.

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You own number one and number four outright.

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Number one makes the most profit, I'm guessing.

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Does that one run 28 or is it higher margins there?

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It's around the same margin.

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Okay, so it's like 20.

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So, okay.

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Cool.

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So that one makes like $250,000 a year, something like that?

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Yeah.

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Okay.

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And then all of them kind of maintain the same margins?

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Or are any of them not profitable?

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Are they all profitable?

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Very similar margin.

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Really?

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Yes.

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That's interesting.

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That's not common.

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That's a good thing.

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Yeah.

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That's a kudos to you.

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Talk to me about the membership process.

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So we just started a membership.

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We're still working on it.

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Okay.

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Not rolling out yet.

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So you've never really tried to have some sort of upsell offer?

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We do have an upsell.

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When a client come in for that $99 set, I usually upsell them to $170, which is like a better set of lashes.

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Okay.

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What percentage do you upsell?

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I can upsell 90% of the time.

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What about the team?

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Probably do less than $50.

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They don't even ask.

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They don't even ask.

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I mean, I guess they're good.

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You know, if they have $50, it's not bad.

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$50 is not terrible.

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Also, in terms of close rates, you have like 99% close rate for people who walk in the door.

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I probably wouldn't, I don't even know if I would track, I mean, it's worth tracking to see if it falls off.

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But what I'd be more interested in seeing is the close rate on upsells.

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Because the $99 thing is not where you make your money.

240
00:11:29.867 --> 00:11:38.256
So she's got a really big opportunity here where she's saying that, you know, they close 100 percent, but it's basically pre-closed people who already checked out on a page.

241
00:11:38.677 --> 00:11:43.903
And so when someone walks in already having spent the money or knowing that they're going to spend this money, they already know the price, they have the car down.

242
00:11:44.523 --> 00:11:47.227
Those are like, in my opinion, just absolutely assumed close.

243
00:11:47.247 --> 00:11:48.308
It's like you're not going to mess those up.

244
00:11:48.748 --> 00:11:51.431
The real opportunity, though, is that these are essentially lead magnets.

245
00:11:51.451 --> 00:11:54.915
They're front-end promotional offers that are not designed to make money.

246
00:11:55.336 --> 00:11:59.300
The offer that's designed to make money, the profit maximization component of it, is the upsells.

247
00:11:59.620 --> 00:12:04.145
If she's not getting a huge percentage of people to take the upsells, those are all the missed opportunities.

248
00:12:04.186 --> 00:12:04.926
Because think about it like this—

249
00:12:05.567 --> 00:12:14.430
Let's say she breaks even functionally in terms of cost after payroll and taxes and materials and rent and labor and all that stuff on these promotional offers.

250
00:12:14.450 --> 00:12:17.891
Because if she only did promotional offers, she wouldn't have any profit in the business.

251
00:12:18.011 --> 00:12:20.251
So the real business is the upsell.

252
00:12:20.531 --> 00:12:26.673
And that's what we have to be focusing all of our attention on so that we can maximize that step one to step two take rate.

253
00:12:27.193 --> 00:12:28.854
What's the incentive for the girls to stay?

254
00:12:29.554 --> 00:12:30.254
The last hardest.

255
00:12:30.674 --> 00:12:32.975
Because I'm assuming that you could lose them pretty easily.

256
00:12:33.360 --> 00:12:37.243
I'd offer training and to, you know, advance their techniques.

257
00:12:38.004 --> 00:12:38.244
But mostly.

258
00:12:38.284 --> 00:12:39.705
Which the other people aren't delivering on.

259
00:12:39.925 --> 00:12:40.226
Money.

260
00:12:40.246 --> 00:12:40.726
Yeah.

261
00:12:40.906 --> 00:12:41.727
Yeah.

262
00:12:41.747 --> 00:12:46.571
So do you lose them to other competitors or do you lose them more to them just going out on their own?

263
00:12:47.091 --> 00:12:47.812
Going out on their own.

264
00:12:48.312 --> 00:12:53.857
That's one huge problem that I have is I don't know how to prevent them from taking our clients either.

265
00:12:53.877 --> 00:12:53.977
Yeah.

266
00:12:55.014 --> 00:12:55.254
Mm-hmm.

267
00:12:56.374 --> 00:12:56.955
I have ideas.

268
00:12:57.975 --> 00:12:58.495
Ready to dive in?

269
00:12:58.975 --> 00:12:59.175
Yeah.

270
00:12:59.455 --> 00:12:59.995
Okay, let's do it.

271
00:13:00.095 --> 00:13:00.435
Come on over.

272
00:13:00.716 --> 00:13:01.476
So here's how we're gonna do it.

273
00:13:01.956 --> 00:13:03.676
Number one, we're gonna talk about pricing.

274
00:13:04.417 --> 00:13:07.637
I think you have a little bit of an opportunity there that I'll walk through in terms of surge pricing.

275
00:13:07.998 --> 00:13:11.538
Number two, membership that you're trying to put together.

276
00:13:11.759 --> 00:13:13.979
I have a lot of ideas on what we can do to make that better.

277
00:13:14.559 --> 00:13:16.940
Three is gonna be the upsell process.

278
00:13:17.580 --> 00:13:23.022
Next one is gonna be career path for your team so that you can try and keep more of them.

279
00:13:23.982 --> 00:13:24.182
Ads.

280
00:13:25.410 --> 00:13:26.151
Plus attribution.

281
00:13:26.391 --> 00:13:27.692
How do we know we're getting what we're spending for?

282
00:13:28.012 --> 00:13:28.772
This is going to be a big one.

283
00:13:30.454 --> 00:13:30.894
Partnership.

284
00:13:31.214 --> 00:13:38.159
Man, it's hard for me to even talk about the other five without going into this.

285
00:13:38.219 --> 00:13:41.682
Because I think that this is the one that feels the heaviest to me right now.

286
00:13:41.742 --> 00:13:45.784
Because fundamentally, if we don't nail a partnership, then none of the execution is going to happen.

287
00:13:46.045 --> 00:13:49.587
That's what happened after I went back from the event.

288
00:13:49.727 --> 00:13:51.869
Like, hey, this is all the things I want to do.

289
00:13:51.949 --> 00:13:53.610
But they're not really on board.

290
00:13:53.750 --> 00:13:53.990
Yeah.

291
00:13:54.290 --> 00:13:54.611
Okay.

292
00:13:55.091 --> 00:13:55.811
Check this out real quick.

293
00:13:55.871 --> 00:13:57.853
So this is the $100 million scaling roadmap.

294
00:13:58.133 --> 00:14:08.259
Layla and I spent 200-ish hours going over all the companies that we've owned, invested, scaled, and tried to break down where were the points that we got stuck, and then what do we do to break through?

295
00:14:08.560 --> 00:14:12.082
And we broke it in these 10 stages, and Ani is at stage six, Optimize.

296
00:14:12.322 --> 00:14:14.565
So let's look at some of the problems that she's dealing with.

297
00:14:15.005 --> 00:14:17.127
She has to run more ads than she currently is.

298
00:14:17.187 --> 00:14:20.351
So to graduate here, she's got to implement the ad assembly process to increase volume.

299
00:14:20.371 --> 00:14:21.112
If you're like, what's that?

300
00:14:21.432 --> 00:14:22.293
I have a whole video on it.

301
00:14:22.453 --> 00:14:26.778
If you're at stage six, she has to install a product improvement process for both products.

302
00:14:26.798 --> 00:14:28.820
The second product here is the membership product, right?

303
00:14:29.180 --> 00:14:34.326
And so we need to put a process in place so that we can continue to improve it so we can decrease churn and get more people to take that upsell.

304
00:14:34.506 --> 00:14:41.430
which also goes hand in hand with installing sales training systems and individual coaching and a team cadence to make sure that they're maximizing that upsell at step two.

305
00:14:41.770 --> 00:14:47.554
When they come in for that promo offer, we need to get more people to take that upsell, both in terms of just the immediate upsell, but also the membership upsell.

306
00:14:47.874 --> 00:14:49.395
And the only way we're going to do that is through training.

307
00:14:49.415 --> 00:14:50.436
And I think Ani says this.

308
00:14:50.456 --> 00:14:52.957
She's like, you know, the team's not as trained, trained as well as they should be.

309
00:14:53.357 --> 00:14:55.579
And if we're thinking about like what layers is this, she's got two layers of management.

310
00:14:55.599 --> 00:14:56.700
She's a full team of managers.

311
00:14:56.840 --> 00:14:58.280
Every one of these locations has a manager.

312
00:14:58.300 --> 00:15:00.542
So these are the problems that she's dealing with right now.

313
00:15:01.062 --> 00:15:07.207
And for her long term, right, she almost shortcut the idea of getting good managers by just partnering.

314
00:15:07.507 --> 00:15:13.993
But what she really needed here, like what was the constraint, was that the number and type of roles she needed exceeded her current network.

315
00:15:14.173 --> 00:15:14.373
Right.

316
00:15:14.553 --> 00:15:18.256
And the thing is, is that she just used her current network to just pull people in.

317
00:15:18.717 --> 00:15:20.258
And that has become an issue.

318
00:15:20.298 --> 00:15:22.760
And so these are all problems that have been already.

319
00:15:22.940 --> 00:15:24.682
all the time at stage six.

320
00:15:25.143 --> 00:15:31.270
And so if you're like, man, I would love to know what stage of business I'm at so that I can know what the constraints are and what I need to graduate.

321
00:15:31.450 --> 00:15:33.052
And so this is 100% free.

322
00:15:33.313 --> 00:15:35.075
You got acquisition.com forward slash roadmap.

323
00:15:35.315 --> 00:15:41.783
You type in your business information, and it'll figure out what stage you're at and give you the potential solutions that might help you get through that stage with your business.

324
00:15:42.063 --> 00:15:52.426
And if you'd like my team to actually work with you in person to make sure that this is the stage you're at and these are the things that can help de-bottleneck your growth, then on the thank you page, you can schedule a call with our team.

325
00:15:52.466 --> 00:15:54.206
And we'd love to potentially see you out here in Vegas.

326
00:15:54.586 --> 00:15:57.687
Well, then I don't normally do this, but let's talk about the partnership first.

327
00:15:58.367 --> 00:15:59.187
Let's resolve that.

328
00:15:59.928 --> 00:16:01.328
And then we could talk about all the downstream stuff.

329
00:16:01.648 --> 00:16:02.668
You have three sets of partners.

330
00:16:02.988 --> 00:16:06.029
You have two that work full time and then one that you've done multiple partnerships with.

331
00:16:06.370 --> 00:16:08.370
Which one do you want to tackle first?

332
00:16:08.750 --> 00:16:09.911
The big one, yes.

333
00:16:09.931 --> 00:16:19.274
The reason I wanted to talk about her partnership structure is because all of these things that I'm going to go over are wonderful ideas and they're great things that she could do to potentially grow the business.

334
00:16:19.874 --> 00:16:26.637
But if she's using up 80% of her mental bandwidth on these partnerships, then she's never gonna be able to execute any of this.

335
00:16:27.077 --> 00:16:33.800
I wanna maximize the likelihood she succeeds, and part of that is deconstructing the biggest time drain she has, which is these partnerships that she hasn't visited yet.

336
00:16:34.001 --> 00:16:38.142
Which is why one of my favorite quotes is, everything you want in life is on the other side of a few hard conversations.

337
00:16:38.363 --> 00:16:43.405
You know, my heart goes out to her with the partnership situation, and I know that firsthand having nine failed partnerships.

338
00:16:43.845 --> 00:16:48.007
All the big jumps in my career happened after I had tough partnership conversations.

339
00:16:48.207 --> 00:16:51.169
If she doesn't deal with this thing, it's just gonna get bigger and nastier.

340
00:16:51.370 --> 00:16:53.171
And so you might as well deal with it now.

341
00:16:53.551 --> 00:16:56.193
And so this is me also talking to Ani and her potential partners.

342
00:16:56.714 --> 00:17:00.917
Please try and resolve whatever concerns you have and set up clear expectations.

343
00:17:01.057 --> 00:17:02.038
Don't leave it in the gray.

344
00:17:02.578 --> 00:17:06.081
Don't leave something gray because you don't wanna confront the issue.

345
00:17:06.121 --> 00:17:14.108
Like whatever you say to your husband or you say to the people behind one another's back, just say it to each other, get it out there, be clear about what you want.

346
00:17:14.468 --> 00:17:16.750
And then ultimately I think it's gonna be better for all parties.

347
00:17:17.319 --> 00:17:27.147
I think that your initial inclination is right, which is that you have option one is that there is a role that doesn't exist within the business, which is to do this level of work.

348
00:17:27.187 --> 00:17:27.847
And so I'll tell you a story.

349
00:17:27.867 --> 00:17:33.572
So when I had my first partnership ever or second partnership ever, I had two people come into the business.

350
00:17:33.632 --> 00:17:35.273
And so they were all one third partners.

351
00:17:35.834 --> 00:17:37.215
But I was the one who ran the gym.

352
00:17:37.695 --> 00:17:43.660
But I didn't get paid any more than the other two partners who never stepped, not really didn't step from the gym comparatively to the amount of hours I did.

353
00:17:43.840 --> 00:17:50.688
The big issue that I had was that I never asked for basically what I should have probably been paid, which would have been what a manager would have been paid.

354
00:17:51.389 --> 00:17:59.459
And so the actual business has artificially high profit margins because there's a role that I'm doing as owner, but I'm also doing the role of somebody who would be working the business.

355
00:17:59.499 --> 00:18:02.322
Because long term, in order for it to really scale, you can't work in it.

356
00:18:02.983 --> 00:18:07.167
So you're basically running as manager probably for multiple locations right now.

357
00:18:07.548 --> 00:18:10.931
You're basically doing as an unpaid manager, which is not uncommon in the very beginning.

358
00:18:10.991 --> 00:18:12.973
But over time, I guess cash flow is there.

359
00:18:12.993 --> 00:18:16.516
You really want to have that role so that later you can say, I'm going to hire someone.

360
00:18:16.536 --> 00:18:19.619
We're going to pay them the same amount that we paid me to take this role.

361
00:18:19.639 --> 00:18:23.323
And so it should be the rate that somebody else would be able to do the same work for.

362
00:18:24.023 --> 00:18:34.013
It's super important for Ani or anybody who has a model that they intend to scale to pay what would be market rate for the role that they're fulfilling within the business.

363
00:18:34.053 --> 00:18:42.281
And the reason that's important is because if you want to open up more locations, you're going to have to leave that location, which means you're going to have to backfill your skill set there.

364
00:18:42.581 --> 00:18:43.621
There's a couple of components to this.

365
00:18:43.781 --> 00:18:48.503
One is if you're doing like four different things at 25%, then that means there's something wrong with the model.

366
00:18:48.523 --> 00:18:51.844
We need to better organize the team and the roles so that all that work gets covered.

367
00:18:52.224 --> 00:18:55.905
And if somebody else is going to come in and do those, you know, four 25% roles, fine.

368
00:18:56.365 --> 00:19:02.967
But we need to make sure that that's factored into our return on capital in terms of how much it costs to open up a new location versus how much we're going to make from it.

369
00:19:03.287 --> 00:19:07.569
And so let's say that we've got a location that's making $300,000 in profit and it costs us $50,000 open.

370
00:19:07.589 --> 00:19:09.410
We'd be like, oh my God, let's open a ton of these.

371
00:19:09.690 --> 00:19:16.334
But we then find out that it costs us $200,000, for example, to pay somebody who's good enough to be able to execute the business model there.

372
00:19:16.654 --> 00:19:21.076
All of a sudden now, we're making only $100,000 in profit per location of $50,000 invested.

373
00:19:21.096 --> 00:19:25.018
Now, mind you, that might still be a good return, but we still have to factor all of those pieces in as...

374
00:19:25.578 --> 00:19:32.622
Is this the real return or is this artificially inflated because people are acting as owners and just getting a profit share of it?

375
00:19:33.083 --> 00:19:35.424
And it's not really built into the overall economics of the model.

376
00:19:35.884 --> 00:19:37.445
And this is why we say nail it, then scale it.

377
00:19:37.725 --> 00:19:38.446
That's option one.

378
00:19:39.366 --> 00:19:45.130
The other option is if you decide that you don't think the partnership is going to work out long term, that I do think it makes sense for you to split the partnership.

379
00:19:45.773 --> 00:19:46.794
Now, there's two paths there.

380
00:19:47.314 --> 00:19:48.794
So path one is that she buys you.

381
00:19:49.075 --> 00:19:50.815
The other path is you buy her, right?

382
00:19:51.276 --> 00:19:59.380
Now, I think the fairest way to approach it is to do something called a shotgun offer, which is like, I will buy you out for this, but I will also accept that for you to buy me out.

383
00:19:59.940 --> 00:20:02.321
And so you can basically make the price and the term.

384
00:20:02.341 --> 00:20:05.162
So it's like, pay me over two years, pay me over three years, don't have to pay it up front.

385
00:20:05.483 --> 00:20:09.504
But when that happens, you're going to be running this business and I'm going to be running my locations.

386
00:20:10.405 --> 00:20:14.647
I think that if we get this right, I think the locations that you have will continue to grow even better.

387
00:20:15.715 --> 00:20:21.178
It's just the problem is what if they say no to the buying out part?

388
00:20:21.599 --> 00:20:28.203
Well, the thing is, is that you have leverage, which is if you're the working partner, you can say, well, then I'm not going to work anymore.

389
00:20:28.223 --> 00:20:28.743
OK.

390
00:20:29.363 --> 00:20:30.164
So there's leverage.

391
00:20:30.184 --> 00:20:30.404
Yeah.

392
00:20:30.784 --> 00:20:32.645
And to be fair, they have the equal opposite leverage.

393
00:20:32.665 --> 00:20:35.627
But if they already are not working, then there's less leverage.

394
00:20:35.987 --> 00:20:39.129
Being the person who works and brings it in always gives you leverage in a relationship.

395
00:20:39.589 --> 00:20:44.953
The idea here, though, is that I think the fairest offer is I will buy you out of this, but I'll also accept that.

396
00:20:45.533 --> 00:20:48.214
But either way, I don't think this is going to work long term because we have different goals.

397
00:20:48.475 --> 00:20:48.655
Yeah.

398
00:20:48.895 --> 00:20:56.258
And also because you have multiple locations together, you might be able to do just a straight equity swap, which is like your 50-50 here and 50-50 here.

399
00:20:56.919 --> 00:20:57.759
Let me just take this one.

400
00:20:57.919 --> 00:20:58.540
You take that one.

401
00:20:59.180 --> 00:21:00.100
And we just go our separate ways.

402
00:21:00.220 --> 00:21:03.382
And that's super smooth because then you really it's an in-kind transaction.

403
00:21:03.402 --> 00:21:04.142
There's no taxes.

404
00:21:04.903 --> 00:21:06.464
And you basically just swap equity for equity.

405
00:21:06.724 --> 00:21:07.844
I've actually done a deal like that.

406
00:21:08.004 --> 00:21:10.245
That might be the cleanest thing for you to do because it's a clean break.

407
00:21:10.366 --> 00:21:13.127
And now all of her focus is like, I just have to make this one profitable.

408
00:21:13.467 --> 00:21:14.868
And then you just get the other full one.

409
00:21:15.925 --> 00:21:18.326
And if you want to be really generous about it, you can say I'll let you pick which one.

410
00:21:18.826 --> 00:21:19.107
Okay.

411
00:21:19.327 --> 00:21:21.007
If you want to be really generous with it.

412
00:21:21.748 --> 00:21:22.888
How do you think she'll take that?

413
00:21:22.908 --> 00:21:24.509
I think it's a pretty reasonable offer.

414
00:21:24.529 --> 00:21:25.029
Yeah.

415
00:21:25.049 --> 00:21:25.169
Yeah.

416
00:21:25.390 --> 00:21:26.830
Well, they'll give you three different paths.

417
00:21:27.230 --> 00:21:29.051
I think the salary thing is going to be hard given what you said.

418
00:21:29.492 --> 00:21:31.072
It sounds like a clean break is the way to go.

419
00:21:31.673 --> 00:21:34.034
So either buy me out or let's just trade.

420
00:21:34.314 --> 00:21:35.895
So we have path A.

421
00:21:36.735 --> 00:21:38.456
You do an increased profit share.

422
00:21:39.096 --> 00:21:41.357
Path B, which is shotgun offer.

423
00:21:41.937 --> 00:21:43.878
Path C is we just consolidate.

424
00:21:44.158 --> 00:21:45.319
I take the other half of this one.

425
00:21:45.339 --> 00:21:46.359
You take the other half of that one.

426
00:21:46.699 --> 00:21:48.160
Which one do you think you'll offer?

427
00:21:48.600 --> 00:21:49.821
Offer the first one first.

428
00:21:50.321 --> 00:21:50.581
Really?

429
00:21:50.621 --> 00:21:51.261
They say no.

430
00:21:51.281 --> 00:21:53.722
Because I still want to have the relationships.

431
00:21:54.322 --> 00:21:57.264
I still want to run this business together if they're on board.

432
00:21:57.964 --> 00:21:59.105
How many years have you done this with them?

433
00:22:00.345 --> 00:22:00.825
Five.

434
00:22:01.686 --> 00:22:02.526
But it has been working.

435
00:22:03.128 --> 00:22:05.670
So before, we just kind of... We were friends.

436
00:22:06.030 --> 00:22:07.791
We would just let it be.

437
00:22:07.991 --> 00:22:08.811
Yeah.

438
00:22:09.172 --> 00:22:11.253
There's not a lot of growing the business.

439
00:22:11.573 --> 00:22:11.893
Right.

440
00:22:11.933 --> 00:22:14.214
It's just more like hiring and... You have different goals.

441
00:22:14.515 --> 00:22:14.735
Yes.

442
00:22:15.095 --> 00:22:20.458
Now it's like I want to make each customer be happier with the service.

443
00:22:20.498 --> 00:22:22.739
I want to improve our employee.

444
00:22:23.080 --> 00:22:25.441
You have higher goals than what she wants to do, which there's nothing wrong with that.

445
00:22:25.461 --> 00:22:25.921
She's a family.

446
00:22:25.941 --> 00:22:27.202
She has another career, whatever.

447
00:22:28.983 --> 00:22:30.304
Can I give you my due sense?

448
00:22:31.364 --> 00:22:32.305
I think you should do the equity swap.

449
00:22:33.763 --> 00:22:36.005
The thing is, is that I think you'll be able to keep the relationship longer term.

450
00:22:36.806 --> 00:22:43.152
Basically, because if you have an ugly end of the partnership, which, you know, the profit share percentage, then there's like, well, now I feel like I'm getting paid even less.

451
00:22:43.212 --> 00:22:44.934
And you're really just doing what you were already doing.

452
00:22:44.954 --> 00:22:45.835
You're just being greedy.

453
00:22:46.335 --> 00:22:50.199
You know, there's the shotgun offer, which then, you know, one of you is writing a check to the other person for the next two years.

454
00:22:50.739 --> 00:22:51.840
And that kind of stings every month.

455
00:22:52.041 --> 00:22:52.281
Yeah, okay.

456
00:22:52.521 --> 00:22:55.603
The equity swap is a very clean, clean way to end it.

457
00:22:55.723 --> 00:23:00.265
And it's just unique to the situation that you have because you're both on multiple locations together.

458
00:23:00.765 --> 00:23:02.846
And so I think consolidating that is very clean.

459
00:23:02.886 --> 00:23:08.669
And then at that point, you can be 100% friends and you can share all the secrets that are working, you know, with one another.

460
00:23:09.189 --> 00:23:11.210
But she can choose to do whatever she wants.

461
00:23:11.330 --> 00:23:12.111
With her location.

462
00:23:12.151 --> 00:23:12.351
Right.

463
00:23:12.491 --> 00:23:13.712
And that way you can still talk business.

464
00:23:13.732 --> 00:23:16.573
You can still talk all the things you normally do except the stakes are less.

465
00:23:16.673 --> 00:23:18.354
And if she doesn't want to do so much, she's definitely not.

466
00:23:18.374 --> 00:23:18.574
Yeah.

467
00:23:19.579 --> 00:23:20.740
That's my advice.

468
00:23:21.140 --> 00:23:25.164
Because I think that you want to run faster than someone else does, and that's very hard to keep long-term.

469
00:23:25.745 --> 00:23:25.925
Yeah.

470
00:23:27.026 --> 00:23:28.047
That's what I would do for partnership.

471
00:23:29.368 --> 00:23:36.294
How does it work if, let's say, she picked the one that's the second location?

472
00:23:36.454 --> 00:23:36.675
Mm-hmm.

473
00:23:38.036 --> 00:23:42.240
It wouldn't be the same at the equity of the less revenue ones?

474
00:23:42.340 --> 00:23:42.540
Yeah.

475
00:23:42.740 --> 00:23:43.701
It depends how bad you want to get out.

476
00:23:45.027 --> 00:23:45.447
I'm serious.

477
00:23:45.847 --> 00:23:46.167
Okay.

478
00:23:46.267 --> 00:23:50.229
Yeah, I gave my best location to a partner so that I could split.

479
00:23:50.829 --> 00:23:54.510
You said earlier that you have about the same level of a margin between the two locations.

480
00:23:54.770 --> 00:23:55.591
You've got two and three.

481
00:23:55.611 --> 00:23:59.692
It's like if you got three and she got two, that would be an unfair deal for you.

482
00:23:59.712 --> 00:24:01.033
Okay.

483
00:24:01.073 --> 00:24:01.433
It would be.

484
00:24:01.453 --> 00:24:02.033
Mm-hmm.

485
00:24:02.293 --> 00:24:08.995
But then you're not going to be restrained anymore and you can go do all the things and you'll be in 550 or 600 or 700 in the next 12 months because you want to do more things.

486
00:24:09.215 --> 00:24:09.375
Yep.

487
00:24:09.856 --> 00:24:10.276
So then fine.

488
00:24:10.596 --> 00:24:10.696
Okay.

489
00:24:10.716 --> 00:24:10.836
Okay.

490
00:24:11.672 --> 00:24:12.473
This is a small business.

491
00:24:12.493 --> 00:24:14.254
You can very quickly change the numbers.

492
00:24:14.434 --> 00:24:15.135
That'll be the easy part.

493
00:24:15.235 --> 00:24:15.455
Okay.

494
00:24:15.555 --> 00:24:16.676
This is the hard part.

495
00:24:16.916 --> 00:24:17.877
The rest of this is straightforward.

496
00:24:18.117 --> 00:24:18.257
Yeah.

497
00:24:18.818 --> 00:24:19.699
Feel all right with that so far?

498
00:24:19.879 --> 00:24:20.359
Yes.

499
00:24:20.379 --> 00:24:20.559
Okay.

500
00:24:20.960 --> 00:24:21.520
Let's talk pricing.

501
00:24:21.900 --> 00:24:26.584
I think that you should probably consider a plus 20% price raise on weekends.

502
00:24:27.805 --> 00:24:29.266
And that's because that's when demand is the highest.

503
00:24:30.087 --> 00:24:30.287
Right?

504
00:24:30.547 --> 00:24:32.769
If somebody wants off hours, then they get off hour prices.

505
00:24:32.809 --> 00:24:34.771
If they want peak hours, then they get peak prices.

506
00:24:35.311 --> 00:24:39.615
And so that'll smooth out the demand within the facility so that you can actually just get more utilization out of it.

507
00:24:40.331 --> 00:24:44.973
And over time, what will happen is that you'll smooth out the weekdays, but then you'll have even more people on the weekends.

508
00:24:45.273 --> 00:24:46.254
You'll just end up making more.

509
00:24:46.674 --> 00:24:49.015
And I think that'll have a big difference on your profitability.

510
00:24:49.035 --> 00:24:51.576
And so this is where I would experiment with having a weekend search price.

511
00:24:52.236 --> 00:24:54.857
Now, you're having people just come back whenever.

512
00:24:55.698 --> 00:25:00.280
At the end of every single appointment, we needed to have a BAMFAM, which is book a meeting from a meeting.

513
00:25:01.493 --> 00:25:08.095
So when they finish with the lashes, they walk them to the front and they say, cool, your lashes are going to be done in two weeks or three weeks.

514
00:25:08.115 --> 00:25:10.676
Let's just get that on the calendar now because I'm getting booked up pretty quick.

515
00:25:11.456 --> 00:25:12.537
Is there any reason you can't do that?

516
00:25:13.277 --> 00:25:16.098
We do have clients who book their appointment right away.

517
00:25:16.438 --> 00:25:17.098
But not all of them.

518
00:25:17.158 --> 00:25:17.618
Not all.

519
00:25:17.698 --> 00:25:17.898
Right.

520
00:25:18.198 --> 00:25:20.339
But if we had all of them do it, we would make more for sure.

521
00:25:20.419 --> 00:25:29.362
Because even at basic level, if they're coming back every four weeks or every five weeks and we just get them always to come back every three weeks, you double the amount of times they come back in the year.

522
00:25:29.682 --> 00:25:29.862
Yeah.

523
00:25:30.998 --> 00:25:31.358
It's a lot.

524
00:25:31.759 --> 00:25:31.939
Mm-hmm.

525
00:25:32.480 --> 00:25:34.201
So do you think your team can do that?

526
00:25:34.442 --> 00:25:37.145
Do we give them, like, incentive to book, re-book?

527
00:25:37.385 --> 00:25:38.786
You can, or you can make it their job.

528
00:25:39.627 --> 00:25:43.131
So we do ask them, and we do ask the client to re-book.

529
00:25:43.151 --> 00:25:43.591
Every time?

530
00:25:43.892 --> 00:25:44.652
Yes, every time.

531
00:25:44.933 --> 00:25:45.313
Okay.

532
00:25:46.214 --> 00:25:49.738
Just some of them, you know, they're like, oh, I'll book later, I'm busy, I'm busy.

533
00:25:50.225 --> 00:25:50.505
Yeah.

534
00:25:50.665 --> 00:25:54.026
We would do basic sales training around this because it is fundamentally a sale.

535
00:25:54.126 --> 00:25:57.127
And so if someone's like, hey, I'm not sure, it's like, well, totally.

536
00:25:57.327 --> 00:25:59.388
If you want, I'm here and you're here, let's just pull up our calendars.

537
00:25:59.408 --> 00:26:00.648
And that way we can just get it sorted right now.

538
00:26:00.668 --> 00:26:01.669
So you don't have to worry about it later.

539
00:26:02.329 --> 00:26:10.111
So it's just like a couple of lines that you can overcome with somebody that, I mean, if you just train them on like two things to say, if someone says, I can't do it right now.

540
00:26:10.291 --> 00:26:12.012
And maybe like, I don't have my card on me.

541
00:26:12.292 --> 00:26:13.672
You're like, don't worry, we have the card on file.

542
00:26:13.692 --> 00:26:14.813
And if you want here, let me just pull it up.

543
00:26:15.473 --> 00:26:16.474
Does next Saturday work?

544
00:26:17.094 --> 00:26:18.275
Does the Saturday after that work?

545
00:26:19.135 --> 00:26:23.798
Now, you might find that you have a better time booking the next deployment before you do the lashes.

546
00:26:24.879 --> 00:26:25.139
Okay.

547
00:26:25.780 --> 00:26:29.122
Because I'm sure when they have their lashes done, they want to get out the door, right?

548
00:26:29.262 --> 00:26:29.462
Yeah.

549
00:26:29.902 --> 00:26:33.725
But if you book it while they're doing it or before, it's like they're just sitting there.

550
00:26:33.905 --> 00:26:34.085
Yeah.

551
00:26:34.585 --> 00:26:36.146
So you've got, how long does it take to do lashes?

552
00:26:36.667 --> 00:26:37.027
Like an hour.

553
00:26:37.047 --> 00:26:37.227
An hour.

554
00:26:38.258 --> 00:26:45.121
So if they're like, I don't have time to figure this out now, it's like, we have 60 minutes to just get one thing done, which is like, let's just book the next time you're in.

555
00:26:45.341 --> 00:26:45.621
Okay.

556
00:26:46.221 --> 00:26:47.362
Do you feel like that's more reasonable?

557
00:26:47.382 --> 00:26:50.323
Yeah, we can try before they get the lashes done.

558
00:26:50.403 --> 00:26:50.583
Yeah.

559
00:26:50.603 --> 00:26:51.363
That's a good idea.

560
00:26:51.784 --> 00:26:55.705
I prefer to sell before because once someone has gotten the value, they want to leave.

561
00:26:56.406 --> 00:27:00.607
And so I want to do it before they've gotten the value because they're like, oh, man, I want to get this done.

562
00:27:00.627 --> 00:27:01.528
And you're like, great.

563
00:27:01.828 --> 00:27:03.128
These are going to run out in three weeks.

564
00:27:03.609 --> 00:27:04.729
Let's get the next one on the calendar.

565
00:27:05.089 --> 00:27:05.309
Okay.

566
00:27:05.429 --> 00:27:06.850
So Banfan will just say before.

567
00:27:08.223 --> 00:27:09.264
before slash during.

568
00:27:11.546 --> 00:27:21.188
Getting a customer to come back and buy again is absolutely a sales conversation, though it walks and talks like an administrative conversation, a scheduling conversation.

569
00:27:21.608 --> 00:27:25.169
But a lot of sales conversations look, walk, and talk like that, but they're not.

570
00:27:25.589 --> 00:27:32.951
And so we need to treat this conversation and outcome of getting them booked back in with the proper respect it deserves for the business.

571
00:27:33.011 --> 00:27:39.393
Because if all of a sudden we got 80% or 90% to rebook, it would dramatically change the outcome of the business.

572
00:27:41.773 --> 00:27:43.073
We should put a lot of attention to this.

573
00:27:43.113 --> 00:27:47.315
And the nice thing is, is this doesn't even seem that hard, which are my favorite types of implementations.

574
00:27:47.595 --> 00:27:49.055
Not that hard, hugely impactful.

575
00:27:49.415 --> 00:27:51.276
Now, I do want to talk about the career path.

576
00:27:51.356 --> 00:27:53.016
Does everyone come in and start at 50%?

577
00:27:53.796 --> 00:27:56.097
No, so they start at 40%.

578
00:27:56.177 --> 00:27:58.838
Not everyone depends on their experience.

579
00:27:58.878 --> 00:27:59.398
Experience, okay.

580
00:27:59.842 --> 00:28:03.785
The way that I like organizing something like this is, here, I'll draw it out for you.

581
00:28:04.025 --> 00:28:06.846
Let's say somebody can make eventually, you know, 55%.

582
00:28:06.866 --> 00:28:07.127
Okay.

583
00:28:07.187 --> 00:28:12.670
So say like 55% and then we've got 50% and we've got 45% and then we've got 40%, 35% and then 30%.

584
00:28:20.956 --> 00:28:24.077
All right, let's just say that that's hypothetically our little path here.

585
00:28:24.357 --> 00:28:24.577
All right.

586
00:28:25.038 --> 00:28:31.360
So they might start here and they're going to be junior lash, you know, technician, whatever.

587
00:28:32.300 --> 00:28:39.163
Now we can intermediately give them a bump and I like to have this basically every three months.

588
00:28:47.112 --> 00:28:54.475
So this gives you almost a two year time horizon of improvements where you say, cool, I'm gonna get, you go from junior to lash tech.

589
00:28:58.176 --> 00:29:09.601
And then you get the raise and then you go senior lash tech, tech, and then you get the raise and then you get, what's another word for technician?

590
00:29:10.942 --> 00:29:11.642
Lash artist.

591
00:29:12.013 --> 00:29:12.353
Perfect.

592
00:29:12.374 --> 00:29:13.836
So it's like technician is the first three.

593
00:29:13.856 --> 00:29:18.582
So you go junior, normal, senior, and then you go same thing, junior artist.

594
00:29:20.084 --> 00:29:24.270
And then you go artist and then you go senior artist.

595
00:29:26.087 --> 00:29:31.389
So that gives you six title changes and six different compensation changes.

596
00:29:31.509 --> 00:29:32.789
And you just do it every three months.

597
00:29:33.149 --> 00:29:42.712
And then when they hit their three-month or six-month or nine-month, what you can do is that with the increase of pay, you also unlock training.

598
00:29:43.612 --> 00:29:48.154
As you unlock these new things, we're going to give you another skill, which you can charge even more money for.

599
00:29:48.374 --> 00:29:51.356
So it just unlocks the earning because not only do they get higher income.

600
00:29:51.376 --> 00:29:56.478
So basically when you give them the title, they're still at their old pay, but you give them another skill they can charge more for.

601
00:29:56.498 --> 00:29:56.998
Yeah.

602
00:29:57.018 --> 00:29:57.738
Does that make sense?

603
00:29:57.838 --> 00:29:57.998
Yeah.

604
00:29:58.319 --> 00:30:00.039
And so that way they're making more money at every level.

605
00:30:00.880 --> 00:30:02.621
One is they just literally get better economics.

606
00:30:02.721 --> 00:30:05.262
The other is that they learn another skill that.

607
00:30:05.302 --> 00:30:06.002
A different title.

608
00:30:06.042 --> 00:30:06.522
Yeah, that they can.

609
00:30:06.562 --> 00:30:07.023
Exactly.

610
00:30:07.303 --> 00:30:07.543
Okay.

611
00:30:07.663 --> 00:30:09.364
Do you feel like you break it into like six pieces?

612
00:30:09.864 --> 00:30:10.224
The training?

613
00:30:10.244 --> 00:30:10.344
Yeah.

614
00:30:11.082 --> 00:30:11.804
Yes.

615
00:30:12.065 --> 00:30:12.246
Cool.

616
00:30:12.446 --> 00:30:14.592
And then that gives you a career path that they can work into.

617
00:30:15.878 --> 00:30:23.024
So what we're talking about here is deconstraining a supply-based constraint, which is how is she going to get more good technicians in each of her locations?

618
00:30:23.584 --> 00:30:25.406
And this is a super common constraint.

619
00:30:25.766 --> 00:30:34.013
And so if you're a business owner and you're being limited either by demand or by your ability to deliver on the demand, aka supply, we run workshops here at our headquarters here in Vegas.

620
00:30:34.233 --> 00:30:40.138
And if you'd like my team to just directly take a look at your business, then you can just schedule a call with my team.

621
00:30:40.298 --> 00:30:44.201
And as long as we understand the business and we think we could help you out, we'll invite you out.

622
00:30:44.441 --> 00:30:46.442
So if that's interesting, you can click the link below this video.

623
00:30:46.502 --> 00:30:47.682
Otherwise, enjoy.

624
00:30:47.863 --> 00:30:49.023
What happened after two years?

625
00:30:49.923 --> 00:30:50.424
Good question.

626
00:30:50.644 --> 00:30:54.005
I like the idea that you had where you have the one girl who's 33%.

627
00:30:54.425 --> 00:30:55.526
I think you just gave too much.

628
00:30:56.306 --> 00:30:58.587
And I think that you gave ownership rather than a profit share.

629
00:30:59.668 --> 00:31:04.570
And so the way that I explain this is, and you can draw this for them or you can have them watch this, right?

630
00:31:04.970 --> 00:31:06.691
Is that there's four things that you get with ownership.

631
00:31:06.911 --> 00:31:09.632
You've got risk, which I don't know if they want that.

632
00:31:10.072 --> 00:31:12.473
There's control, which right now you're not giving up.

633
00:31:13.394 --> 00:31:14.174
You've got profit.

634
00:31:16.011 --> 00:31:16.853
And then you've got a sale.

635
00:31:17.274 --> 00:31:18.356
Like if you sold the whole business.

636
00:31:19.197 --> 00:31:20.540
Those are the four components of equity.

637
00:31:21.241 --> 00:31:22.844
Now they don't probably want this.

638
00:31:23.737 --> 00:31:24.578
They're not going to get that.

639
00:31:25.338 --> 00:31:29.901
And so what you can do is just give them the profit from the facility, but not ownership per se.

640
00:31:29.921 --> 00:31:32.983
So it's like, I'm just going to give you this profit share in the form of a bonus.

641
00:31:33.683 --> 00:31:34.864
And you can bonus them out every month.

642
00:31:36.145 --> 00:31:38.927
And so if we want to say, like, what's the end goal?

643
00:31:39.327 --> 00:31:42.029
What do you think would be enough for them to be like, this is cool?

644
00:31:42.169 --> 00:31:43.470
Like, is it $100,000 a year?

645
00:31:43.530 --> 00:31:46.051
Like, what's the amount of money that they'd be like, that's a lot?

646
00:31:46.992 --> 00:31:47.512
I think so.

647
00:31:47.813 --> 00:31:48.073
Okay.

648
00:31:48.093 --> 00:31:48.393
Around 100.

649
00:31:48.913 --> 00:31:54.417
So what we do is I always back into what my on-target earnings, it's called OTE, but I want my on-target earnings to be.

650
00:31:54.677 --> 00:31:58.459
So if they're going to be a true owner, then they're not, are they going to be doing lashes or no?

651
00:31:59.440 --> 00:31:59.660
Yes.

652
00:32:00.120 --> 00:32:00.440
Okay.

653
00:32:01.001 --> 00:32:07.505
I'll tell you where I'm going with this, is that I want to create a path where they can get 20% of the profit of the facility.

654
00:32:07.645 --> 00:32:12.248
And so what you can do is say, cool, you're going to have the opportunity once you pass 24 months, once you pass two years.

655
00:32:13.622 --> 00:32:19.465
When I have my next locations that I'm opening up, I'll be able to place you in one of those new locations and you can have one of your own.

656
00:32:21.405 --> 00:32:27.908
Offer all the money, you'll work, and you're going to get 10% year one and 20% year two.

657
00:32:28.169 --> 00:32:29.009
So that's four years.

658
00:32:30.510 --> 00:32:31.670
But you have to do this extra work.

659
00:32:32.530 --> 00:32:33.471
That's associated with that.

660
00:32:34.655 --> 00:32:39.536
Now, the cool thing here is that it's not equity per se, so that if they're not doing a good job, you could say, you know what?

661
00:32:39.956 --> 00:32:41.276
Maybe you should just be a full-time tech.

662
00:32:41.736 --> 00:32:44.097
This much money has to go to getting somebody to run this thing.

663
00:32:44.677 --> 00:32:46.637
And it's either going to be you or it's going to be somebody else.

664
00:32:46.997 --> 00:32:48.797
So I'd rather give it to you because I trust you and I know you.

665
00:32:49.438 --> 00:32:52.418
But this gives you a very long-term career path for that.

666
00:32:53.858 --> 00:32:55.198
So it's like put your two years in.

667
00:32:55.399 --> 00:32:56.399
You're going to continue to make more.

668
00:32:56.419 --> 00:33:01.139
You'll be fully trained up so that eventually you can train other people, which then you can open the new locations.

669
00:33:01.260 --> 00:33:04.060
And hopefully by two years of every location, you'll have enough cash flow to open another one.

670
00:33:04.574 --> 00:33:04.834
Okay.

671
00:33:05.895 --> 00:33:06.436
For this.

672
00:33:07.537 --> 00:33:09.079
I start them at 40 though.

673
00:33:09.639 --> 00:33:09.920
Okay.

674
00:33:09.960 --> 00:33:10.620
Should I start?

675
00:33:10.701 --> 00:33:11.822
I can't start at less.

676
00:33:11.842 --> 00:33:12.362
40 percent.

677
00:33:12.603 --> 00:33:13.243
Percent.

678
00:33:13.423 --> 00:33:13.644
Yes.

679
00:33:13.984 --> 00:33:16.066
Well, you can't start the new ones.

680
00:33:16.827 --> 00:33:17.087
Okay.

681
00:33:17.428 --> 00:33:18.709
The new ones you can start lower.

682
00:33:19.049 --> 00:33:19.250
Mm-hmm.

683
00:33:19.990 --> 00:33:21.772
And when you're saying stretching out the time, you mean like...

684
00:33:21.953 --> 00:33:24.095
Instead of three months, can I do every six months?

685
00:33:24.335 --> 00:33:24.695
You could.

686
00:33:24.955 --> 00:33:27.457
I like having more frequent bombs.

687
00:33:27.557 --> 00:33:33.401
I'd rather you go 40, 42 and a half, 45, 47 and a half, 50 if you need to break up the increments.

688
00:33:33.681 --> 00:33:34.382
Okay.

689
00:33:34.582 --> 00:33:35.983
I actually like the cadence a lot.

690
00:33:36.003 --> 00:33:38.285
I like three months because it's always, it's right there.

691
00:33:38.445 --> 00:33:38.645
Yeah.

692
00:33:38.805 --> 00:33:40.166
Six months, sometimes it's too far away.

693
00:33:40.186 --> 00:33:40.366
Okay.

694
00:33:40.466 --> 00:33:40.666
Yes.

695
00:33:41.507 --> 00:33:47.591
So, yeah, if you have to with the existing ones, you can go 40 to 50 and just break it into, that's four chunks plus the four title changes.

696
00:33:47.611 --> 00:33:48.252
That's eight chunks.

697
00:33:48.512 --> 00:33:48.652
Okay.

698
00:33:48.672 --> 00:33:48.812
Okay.

699
00:33:49.506 --> 00:33:50.006
Does that work okay?

700
00:33:50.167 --> 00:33:52.268
And you could do it every four months and that still gets to your team?

701
00:33:52.288 --> 00:33:52.508
Yes.

702
00:33:53.029 --> 00:33:53.389
My sense.

703
00:33:53.790 --> 00:33:54.170
Doable?

704
00:33:54.330 --> 00:33:54.550
Yes.

705
00:33:54.910 --> 00:33:55.471
Do you like this?

706
00:33:55.671 --> 00:33:55.851
Yes.

707
00:33:56.051 --> 00:33:56.532
Okay, good.

708
00:33:56.632 --> 00:33:59.374
And to be clear, you're saying, I'm not going to give you a facility when you get here.

709
00:33:59.394 --> 00:34:00.695
I'm going to see you qualify.

710
00:34:00.935 --> 00:34:01.076
Yeah.

711
00:34:01.176 --> 00:34:03.037
But you're going to compete against all the other girls throughout two years.

712
00:34:03.057 --> 00:34:03.978
So you've got to be the best one.

713
00:34:03.998 --> 00:34:04.118
Yeah.

714
00:34:04.138 --> 00:34:05.319
Because I'm going to give it to the best person.

715
00:34:05.519 --> 00:34:05.679
Yeah.

716
00:34:05.880 --> 00:34:07.201
That way there's some competitiveness.

717
00:34:07.641 --> 00:34:07.881
Cool?

718
00:34:08.081 --> 00:34:08.261
Yeah.

719
00:34:08.542 --> 00:34:09.222
Okay, great.

720
00:34:10.623 --> 00:34:11.664
Let's talk about the membership.

721
00:34:12.025 --> 00:34:14.847
What ideas do you currently have for the membership that you want to sell on the back end?

722
00:34:15.736 --> 00:34:20.959
Right now we have a monthly membership, a six months and 12 months.

723
00:34:21.459 --> 00:34:21.839
Okay.

724
00:34:21.999 --> 00:34:22.660
Are they paying up front?

725
00:34:23.220 --> 00:34:23.440
Yes.

726
00:34:23.920 --> 00:34:25.321
They pay up front for the whole six months?

727
00:34:26.382 --> 00:34:27.642
Guess what I'm offering.

728
00:34:27.782 --> 00:34:28.443
No, I love it.

729
00:34:28.523 --> 00:34:28.963
It's great.

730
00:34:29.023 --> 00:34:34.126
So for the monthly one, they're not... What do they pay for six and what do they pay for 12?

731
00:34:34.506 --> 00:34:39.469
Depends on the type of fills that they're getting now and we multiply it by six months.

732
00:34:39.769 --> 00:34:40.029
Okay.

733
00:34:40.089 --> 00:34:40.669
What's the discount?

734
00:34:41.270 --> 00:34:43.591
For six months it's 10% and 12 months it's 15%.

735
00:34:45.790 --> 00:34:46.070
Okay.

736
00:34:47.471 --> 00:34:48.251
And then 15%.

737
00:34:48.291 --> 00:34:48.671
Got it.

738
00:34:50.012 --> 00:34:50.812
Do a lot of people do this?

739
00:34:51.552 --> 00:34:52.213
I haven't.

740
00:34:52.833 --> 00:34:52.953
Okay.

741
00:34:52.973 --> 00:34:53.773
So you haven't done it yet.

742
00:34:53.933 --> 00:34:54.053
No.

743
00:34:54.133 --> 00:34:54.534
Okay.

744
00:34:54.994 --> 00:34:56.194
So let me give you some ideas on this.

745
00:34:57.275 --> 00:35:00.616
So first off, I would rather you give away free stuff than discount if you can.

746
00:35:01.576 --> 00:35:04.457
Because one, it'll be cheaper for you because your costs are so low.

747
00:35:04.798 --> 00:35:13.041
If we can make the value of whatever it is more than 10% off, which you can do for less than 10% of the cost, because I'll get you, I'll bet that the

748
00:35:13.988 --> 00:35:18.833
The actual cost of stuff is, I don't know, nothing almost for the lashes, I'm guessing.

749
00:35:19.073 --> 00:35:19.233
Yeah.

750
00:35:19.633 --> 00:35:19.833
Right.

751
00:35:20.274 --> 00:35:25.198
So what kind of free thing could you add in that would be, like, you know, valuable for them?

752
00:35:25.379 --> 00:35:29.622
Well, I already add in the free facials for those.

753
00:35:29.642 --> 00:35:29.903
Okay.

754
00:35:31.120 --> 00:35:32.141
Okay, so they have facials.

755
00:35:32.621 --> 00:35:36.905
For the monthly one, the price don't change, but I do have a lot of benefits.

756
00:35:37.025 --> 00:35:39.147
So you give them facials for free when they come in?

757
00:35:39.327 --> 00:35:39.687
Mm-hmm.

758
00:35:39.707 --> 00:35:40.488
Okay, what else do you give them?

759
00:35:40.888 --> 00:35:42.369
Just discount products.

760
00:35:42.930 --> 00:35:44.051
Okay, product discounts, okay.

761
00:35:44.071 --> 00:35:49.635
We also increase our referral from $10 to $50 if they are a member.

762
00:35:49.915 --> 00:35:51.537
Okay, okay.

763
00:35:51.717 --> 00:35:52.337
I like all that.

764
00:35:53.258 --> 00:35:57.642
And then just anniversary gifts and birthday gifts.

765
00:35:58.823 --> 00:35:59.303
Really good.

766
00:36:00.892 --> 00:36:01.532
Do you look at our stuff?

767
00:36:01.552 --> 00:36:01.912
This is good.

768
00:36:02.192 --> 00:36:03.273
Yeah, I love it.

769
00:36:03.413 --> 00:36:04.073
Yeah.

770
00:36:04.733 --> 00:36:05.534
No, it's good.

771
00:36:05.574 --> 00:36:06.534
Anniversary and then birthday.

772
00:36:06.554 --> 00:36:09.075
More value, but don't... You don't have to change the price.

773
00:36:09.095 --> 00:36:09.875
Yeah, no, I love it.

774
00:36:10.475 --> 00:36:13.917
So I want to understand what makes this membership that she wants to roll out compelling.

775
00:36:13.937 --> 00:36:17.118
Because sometimes people just roll out memberships that are just discount-based memberships and like...

776
00:36:17.796 --> 00:36:19.418
Not my favorite way to roll out a membership.

777
00:36:19.458 --> 00:36:21.380
I want to add some significant benefits.

778
00:36:21.400 --> 00:36:24.843
So it's like you want to take away bad stuff, which would be money, and add good stuff, which would be value.

779
00:36:25.163 --> 00:36:30.889
I want to make it a dare I say, dare I say, an offer so good people would feel stupid saying no.

780
00:36:33.422 --> 00:36:35.663
And so what I'm going over here is what are the bonuses?

781
00:36:35.863 --> 00:36:38.485
And so if you're like, huh, I would love to know how to structure bonuses.

782
00:36:38.825 --> 00:36:44.268
The good news is I have an entire chapter on how to structure bonuses inside my offers book on page 117.

783
00:36:44.568 --> 00:36:53.613
So how do you splinter stack what you have, pull out the different components, order them in such a way that they're the most compelling as possible to each avatar?

784
00:36:54.611 --> 00:37:00.613
And I will say this, I think people kind of sit on this continuum of like they have no bonuses or they offer like 100 bonuses.

785
00:37:01.193 --> 00:37:09.636
I think the magic is actually in the middle, is you want to have each bonus in and of itself be worth the same value as the overall price.

786
00:37:10.116 --> 00:37:12.677
And so that someone could just say, I would do it only for this.

787
00:37:12.757 --> 00:37:14.578
I would do it only for the free facials, right?

788
00:37:14.778 --> 00:37:16.979
Now, would they do it only for the bump and referral bonus?

789
00:37:17.079 --> 00:37:17.499
Probably not.

790
00:37:17.799 --> 00:37:19.300
Would they do it only for the discount?

791
00:37:19.480 --> 00:37:19.880
Maybe not.

792
00:37:20.240 --> 00:37:28.547
But to me, up to this point, the most compelling thing she brought up was that they would get facials every time they come in, which I think is not a bad, not a bad thing.

793
00:37:28.888 --> 00:37:30.389
Let's see if there's something else that we can put up.

794
00:37:30.830 --> 00:37:33.752
So one other thing that you could consider doing, and I think this makes it kind of fun.

795
00:37:33.872 --> 00:37:34.413
It's up to you.

796
00:37:34.873 --> 00:37:35.994
Is you could have a little sweepstake.

797
00:37:37.588 --> 00:37:41.292
where every month they're entered into kind of a giveaway where they get something cool.

798
00:37:42.232 --> 00:37:47.558
And then that way, when you select the winner, you can then advertise it kind of all over the place.

799
00:37:48.158 --> 00:37:53.303
And also, if the person who, if they were referred by somebody, the person who referred them wins too.

800
00:37:54.164 --> 00:37:59.089
So that'll give them a really strong incentive to refer as many people as possible because those get as many chances as possible to win.

801
00:38:00.173 --> 00:38:06.768
And so I think it should be like, say, I'm thinking like something like $200 to $500 of, it has to be enough that they should be excited about it.

802
00:38:06.908 --> 00:38:09.253
So just like one last thing, like maybe, but like...

803
00:38:10.076 --> 00:38:15.058
I think if it was $500 worth, like whatever the full suite deal is, you give it to one person a month.

804
00:38:15.138 --> 00:38:16.958
I think that's very exciting from a marketing perspective.

805
00:38:16.978 --> 00:38:18.019
It's not a huge cost to the business.

806
00:38:18.079 --> 00:38:18.239
Yeah.

807
00:38:18.599 --> 00:38:19.259
Does that work?

808
00:38:19.439 --> 00:38:19.619
Yes.

809
00:38:19.919 --> 00:38:20.180
Okay.

810
00:38:20.400 --> 00:38:21.200
So how are we going to sell it?

811
00:38:21.560 --> 00:38:27.042
So someone comes online, they put their card down, they show up in person for the $99 promo, right?

812
00:38:27.802 --> 00:38:31.864
While they're there, we're going to try and book their next appointment before they even start or during the appointment.

813
00:38:31.884 --> 00:38:33.084
We're going to get them booked for the next one.

814
00:38:33.284 --> 00:38:33.584
Okay.

815
00:38:33.984 --> 00:38:35.205
Where are we going to do the upsell?

816
00:38:35.745 --> 00:38:37.366
For the service or the membership?

817
00:38:37.686 --> 00:38:38.146
Membership.

818
00:38:38.607 --> 00:38:40.849
Now I'm starting with the clients who are already coming.

819
00:38:41.089 --> 00:38:41.389
Okay.

820
00:38:41.490 --> 00:38:42.370
So the recurring clients.

821
00:38:42.410 --> 00:38:42.651
Yes.

822
00:38:42.911 --> 00:38:43.131
Okay.

823
00:38:43.191 --> 00:38:45.893
And I say, why don't you try the memberships?

824
00:38:46.514 --> 00:38:49.136
You're paying the same amount you're paying now every two weeks.

825
00:38:49.356 --> 00:38:50.938
Except you get all this stuff.

826
00:38:51.018 --> 00:38:51.238
Yeah.

827
00:38:51.278 --> 00:38:52.519
But then now you get all this stuff.

828
00:38:52.779 --> 00:38:54.661
And then you also get a free facial.

829
00:38:55.061 --> 00:38:55.902
Yeah.

830
00:38:55.942 --> 00:38:56.783
To sign up today.

831
00:38:57.123 --> 00:38:57.363
Yeah.

832
00:38:57.763 --> 00:38:59.725
I only asked like a handful of clients.

833
00:38:59.865 --> 00:39:00.186
Okay.

834
00:39:00.326 --> 00:39:01.787
And how many people said yes?

835
00:39:02.389 --> 00:39:03.330
Uh, two.

836
00:39:03.730 --> 00:39:04.031
Out of?

837
00:39:04.391 --> 00:39:05.332
Out of, like, five.

838
00:39:05.732 --> 00:39:06.493
Okay, it's not bad.

839
00:39:06.733 --> 00:39:09.716
The one thing that I would do is, so the facial is right now if they say yes?

840
00:39:10.196 --> 00:39:10.416
Mm-hmm.

841
00:39:10.676 --> 00:39:11.337
Okay, that's good.

842
00:39:11.437 --> 00:39:12.458
Immediate bonus is strong.

843
00:39:13.159 --> 00:39:14.219
I mean, 40% is not bad.

844
00:39:15.741 --> 00:39:17.102
I would like it to be, like, 70, though.

845
00:39:18.723 --> 00:39:20.024
I wonder how many more reps you just need.

846
00:39:20.865 --> 00:39:22.927
Yeah, I think just offer more...

847
00:39:23.317 --> 00:39:27.299
Yeah, because basically I think you have to get into the conversation and kind of learn the flow of it.

848
00:39:27.339 --> 00:39:31.922
But I would imagine if you say, hey, did you want to get some of these free things?

849
00:39:32.342 --> 00:39:33.542
And they'll probably say yes.

850
00:39:33.583 --> 00:39:34.983
And it's like, cool, it doesn't cost you any more.

851
00:39:35.464 --> 00:39:37.324
And then be like, oh, great, how do I do that?

852
00:39:37.365 --> 00:39:38.725
It's like, just sign off the membership.

853
00:39:39.105 --> 00:39:49.331
And the way that I'd start it is say, you've been here, especially if you're upselling existing customers, you know, six times in the last year.

854
00:39:50.715 --> 00:39:52.295
you know, whatever, six months.

855
00:39:52.615 --> 00:39:53.276
It doesn't really matter.

856
00:39:53.296 --> 00:39:54.356
So just look up the CRM.

857
00:39:54.396 --> 00:39:55.356
How many times have you been here?

858
00:39:55.716 --> 00:39:58.617
So like, hey, Charlie, you've been here, you know, six times in the last six months.

859
00:39:59.097 --> 00:40:01.057
I realized that you haven't been getting any of this free stuff.

860
00:40:01.578 --> 00:40:03.278
Did you know that you were supposed to get that?

861
00:40:03.598 --> 00:40:04.518
And they're like, I didn't know.

862
00:40:04.538 --> 00:40:07.479
It's like, yeah, all you have to do is just sign up as one of the members.

863
00:40:07.679 --> 00:40:15.481
You pay nothing more than you're currently paying, but you just get all of these things that you should already be getting because you've already, because like if we can frame it on the fact that they should have already been getting it,

864
00:40:15.941 --> 00:40:19.504
It's kind of like a default close rather than trying to get them to opt into something.

865
00:40:19.764 --> 00:40:24.127
I want the positioning to be like, you've already been paying for it and opted in for it.

866
00:40:24.768 --> 00:40:26.749
Now we just need to formalize it.

867
00:40:26.769 --> 00:40:33.094
I remember reading a study in a book called, I think it was like 50 Scientific Ways to Get to Yes.

868
00:40:33.535 --> 00:40:39.919
And one of the things they talked about in the book was that one country was able to get like 80% of people to opt in to be organ donor.

869
00:40:39.939 --> 00:40:40.140
Yeah.

870
00:40:40.880 --> 00:40:42.761
Whereas other countries average like 10%.

871
00:40:43.381 --> 00:40:49.444
And the one thing that that country did is they had people opt out of being an organ donor rather than opt into it.

872
00:40:49.964 --> 00:41:01.210
And so to me, that almost permanently changed how I saw upselling, which is how do I make the thing that I want someone to do appear like the default option as in they have to opt out of it?

873
00:41:01.730 --> 00:41:07.635
And so the way that I'm trying to frame this upsell for Ani is that, hey, you've already opted into this membership.

874
00:41:07.715 --> 00:41:09.516
You just haven't been getting the bonuses.

875
00:41:09.896 --> 00:41:15.500
So let's just like formalize you getting what you already should have been getting rather than do you want to do this new thing?

876
00:41:15.901 --> 00:41:22.206
So upsells in a true new sales scenario, you might be at 30-ish percent, 20 to 40, whatever.

877
00:41:22.506 --> 00:41:24.827
And that's the numbers that she's getting, which is fairly typical.

878
00:41:25.268 --> 00:41:30.612
But if we can structure it so that it feels like a default close or an assumed close based on past behavior,

879
00:41:30.992 --> 00:41:34.956
We might overnight be at those 80, 90% close rates, which is where I want it to be.

880
00:41:35.236 --> 00:41:41.422
The more you can get it to be like, oh, you should already have this, and the less pressure-y it is, the more likely they're like, yeah, okay, sign me up.

881
00:41:41.802 --> 00:41:43.724
How are you actually facilitating the transaction?

882
00:41:44.305 --> 00:41:45.526
You have their card on file, right?

883
00:41:45.866 --> 00:41:46.067
Yes.

884
00:41:46.487 --> 00:41:50.090
So do you say, hey, we can just use the card you have on file?

885
00:41:50.411 --> 00:41:50.911
Do you say that?

886
00:41:51.732 --> 00:41:54.695
Uh, no, because I haven't asked that many.

887
00:41:55.015 --> 00:41:58.118
Okay, well, I would have that as my actual final CTA.

888
00:41:58.879 --> 00:42:02.823
Is that way you can say, hey, if yes, I'll give you the facial right now.

889
00:42:03.243 --> 00:42:05.085
And we'll get you booked for the next time you're out here.

890
00:42:05.105 --> 00:42:06.306
You also get a facial then too.

891
00:42:06.446 --> 00:42:07.427
And you get some of these other things.

892
00:42:07.787 --> 00:42:09.469
And we come to the front, cardinal file work.

893
00:42:09.769 --> 00:42:10.050
Great.

894
00:42:10.370 --> 00:42:12.852
And then that way when they check out, boom, it's done.

895
00:42:13.513 --> 00:42:14.174
They're on recurring.

896
00:42:14.234 --> 00:42:15.915
And they just sign the thing and then they're in.

897
00:42:16.135 --> 00:42:16.296
Yeah.

898
00:42:17.156 --> 00:42:17.537
Seamless.

899
00:42:17.957 --> 00:42:18.798
What if they don't be booked?

900
00:42:20.093 --> 00:42:20.633
They don't rebook.

901
00:42:20.713 --> 00:42:23.835
To be fair, the rebook is an easier sale than the membership.

902
00:42:24.355 --> 00:42:26.396
We have to first be able to close people on rebooking.

903
00:42:27.117 --> 00:42:29.518
If someone's not going to come back again, they're definitely not buying a membership.

904
00:42:30.138 --> 00:42:30.318
Yeah.

905
00:42:30.578 --> 00:42:37.362
So we put in the door, like get the small win and then offer free stuff and then go for the membership.

906
00:42:37.782 --> 00:42:37.982
Okay.

907
00:42:38.002 --> 00:42:38.622
So it's a three step.

908
00:42:39.063 --> 00:42:39.263
Okay.

909
00:42:39.783 --> 00:42:40.563
Does that make sense though?

910
00:42:40.763 --> 00:42:40.964
Yes.

911
00:42:41.284 --> 00:42:42.104
Okay.

912
00:42:42.364 --> 00:42:42.604
Okay.

913
00:42:42.624 --> 00:42:45.446
So that's how I would pitch it for the existing people.

914
00:42:45.813 --> 00:42:48.237
Do I bother to sell the six and 12 months at all?

915
00:42:48.838 --> 00:42:51.322
Or only people ask?

916
00:42:51.382 --> 00:42:52.905
That's a different sale.

917
00:42:53.165 --> 00:42:54.047
So I'll tell you.

918
00:42:54.087 --> 00:42:58.975
So the way it actually would work is that after they say yes to the membership, you then say, would you want to save some money?

919
00:42:59.936 --> 00:43:00.217
Okay.

920
00:43:00.532 --> 00:43:03.675
And then you say, cool, if you want to save some money, you can prepay it today.

921
00:43:04.315 --> 00:43:05.457
Would you prefer 12 or 6?

922
00:43:05.917 --> 00:43:07.058
Like you're getting into a sales business.

923
00:43:07.098 --> 00:43:07.819
Like this is how it works.

924
00:43:07.939 --> 00:43:13.324
The reason prepayment for memberships is so valuable is one, people who prepay churn at a significantly lower percentage.

925
00:43:13.864 --> 00:43:20.010
Number two, it pulls cash forward for the business, which allows you to grow more rapidly if you want to pay people more aggressively.

926
00:43:20.050 --> 00:43:22.392
And fundamentally, cash today is always worth more than cash in the future.

927
00:43:22.932 --> 00:43:28.420
And I would say third and maybe more most importantly, if they're prepaying for the year, it's unlikely they're going to go somewhere else.

928
00:43:28.560 --> 00:43:37.573
So you basically lock in the customer for all of the future business rather than maybe they're only going to come four more times this year and they're going to mix and match between you and two other places.

929
00:43:38.008 --> 00:43:39.328
I'm gonna draw this out because I think it's worthwhile.

930
00:43:39.809 --> 00:43:41.629
So first we bam-bam the appointment.

931
00:43:42.230 --> 00:43:43.230
We have to get the next booking.

932
00:43:43.370 --> 00:43:44.430
Then we have our free offer.

933
00:43:45.051 --> 00:43:46.151
That's kind of the bait, right?

934
00:43:46.171 --> 00:43:46.911
We have our free offer.

935
00:43:47.572 --> 00:43:49.472
They say, yes, I want the free eyebrows.

936
00:43:49.512 --> 00:43:52.974
And we say, cool, so we already know when you're coming back, so you might as well just sign up for the membership.

937
00:43:53.354 --> 00:43:55.414
Yes, so now we have our membership, yes, if they say.

938
00:43:55.434 --> 00:43:57.595
We're already in on the membership just from one tip.

939
00:43:58.516 --> 00:44:00.436
This happens separately from when they check out.

940
00:44:01.116 --> 00:44:02.797
So this is at the station.

941
00:44:02.957 --> 00:44:04.938
When they go up to check out, then we say,

942
00:44:06.436 --> 00:44:07.156
I want to save some money.

943
00:44:08.057 --> 00:44:09.777
Save whatever, $150.

944
00:44:09.977 --> 00:44:14.819
Now they're gonna be looking at their bill and it's almost the whole bill.

945
00:44:14.939 --> 00:44:18.020
So they're like, yeah, I want to save $150.

946
00:44:18.420 --> 00:44:22.142
It's like, awesome, prepay the next 12th.

947
00:44:24.803 --> 00:44:25.883
And if they're like, oh, I don't want to do that.

948
00:44:25.903 --> 00:44:27.524
You're like, oh, if you want, we could just prepay to six.

949
00:44:27.724 --> 00:44:28.244
You want to do six?

950
00:44:30.334 --> 00:44:31.135
That way you can save them one.

951
00:44:32.036 --> 00:44:35.380
But to make it really sexy is you say, oh, do you want today to be free?

952
00:44:35.400 --> 00:44:36.621
Because they're at the checkout.

953
00:44:36.921 --> 00:44:37.402
They're right there.

954
00:44:37.422 --> 00:44:38.143
The card's on file.

955
00:44:38.183 --> 00:44:38.844
They're about to leave.

956
00:44:38.924 --> 00:44:39.865
Like, do you want today to be free?

957
00:44:40.505 --> 00:44:40.866
Oh, cool.

958
00:44:41.006 --> 00:44:41.947
Just sign up for the next 12.

959
00:44:42.668 --> 00:44:42.948
Okay.

960
00:44:43.008 --> 00:44:44.029
We already have the next time you're here.

961
00:44:44.690 --> 00:44:45.371
So you're good to go.

962
00:44:45.511 --> 00:44:46.232
Just check the box.

963
00:44:46.712 --> 00:44:49.876
Now that, to be clear, is going to be off what you're going to save over the next year.

964
00:44:50.397 --> 00:44:50.617
Mm-hmm.

965
00:44:50.917 --> 00:44:52.319
But we'll apply the first discount tonight.

966
00:44:52.740 --> 00:44:53.280
Feel all right with that?

967
00:44:53.300 --> 00:44:54.021
Or is that too complicated?

968
00:44:54.342 --> 00:44:55.263
No, I get it.

969
00:44:55.303 --> 00:44:56.645
Okay, but it's just bam, bam?

970
00:44:56.665 --> 00:44:57.406
It's just the wording.

971
00:44:57.566 --> 00:44:58.387
Yeah, for sure.

972
00:44:58.447 --> 00:44:59.088
This is training.

973
00:44:59.288 --> 00:45:00.630
This is how you train staff to do this.

974
00:45:00.790 --> 00:45:01.571
I need the recording.

975
00:45:01.832 --> 00:45:02.032
Yeah.

976
00:45:02.052 --> 00:45:04.716
So I can learn it and then train other people.

977
00:45:04.856 --> 00:45:05.076
Yes.

978
00:45:05.176 --> 00:45:06.518
The training other people is the hard part.

979
00:45:06.598 --> 00:45:07.859
Why don't we just cover the training right now?

980
00:45:08.139 --> 00:45:12.622
So if you're in a service business, you're in the recruiting, hiring, and training business for the most part.

981
00:45:13.002 --> 00:45:15.584
Because selling lashes to me is not super hard.

982
00:45:15.684 --> 00:45:20.647
Like beauty in general does not be difficult to sell because people just like go in and they look better.

983
00:45:20.727 --> 00:45:25.950
So it's a very easy sale compared to like, hey, work out for a year and wake up early and stop eating the foods you love.

984
00:45:26.351 --> 00:45:26.971
Much harder sale.

985
00:45:27.071 --> 00:45:32.854
The real thing that will scale this brand is her ability to scale training to new people who come in the door.

986
00:45:33.234 --> 00:45:42.239
And the arbitrage of the business is being able to get someone in who has low skill, train them up on your system, and then be able to charge a higher rate for what that skill commands in the marketplace.

987
00:45:42.600 --> 00:45:49.804
And so basically the arbitrage of I can train someone in a week and take them and pay them what I got them to say yes to on the way in.

988
00:45:50.604 --> 00:45:57.654
And then with the added training that I'm paying for, I can now make this spread on what the market now values this new skill out.

989
00:45:57.695 --> 00:46:02.882
And fundamentally, that arbitrage is what exists in service businesses and how service businesses make money.

990
00:46:03.203 --> 00:46:05.266
So she's got to be able to teach other people how to do this.

991
00:46:05.506 --> 00:46:12.131
The way that you have to train this is that you have to basically have them come in 30 minutes early or whatever, you know, whatever the gaps are during the day.

992
00:46:12.832 --> 00:46:17.756
And honestly, like, this is going to sound crazy, but like every day for 30 minutes, they role play with each other.

993
00:46:18.136 --> 00:46:22.860
So if you have four girls there, it's two and two, and one person's in the chair and they do the first part.

994
00:46:23.080 --> 00:46:24.101
Hey, so what time are you going to come in?

995
00:46:24.161 --> 00:46:25.822
And then you have to, well, I'm not sure.

996
00:46:25.842 --> 00:46:28.164
And then it's like, well, let's pull up your calendar.

997
00:46:28.304 --> 00:46:29.886
Like, I'll tell you what days I have open.

998
00:46:30.186 --> 00:46:30.646
Yeah.

999
00:46:30.666 --> 00:46:33.969
If you want to do it with me, then they should be incentivized to do that because they want to get the money.

1000
00:46:34.370 --> 00:46:37.712
They only have to train the front desk, one girl, one little kid.

1001
00:46:37.732 --> 00:46:38.132
That's fine.

1002
00:46:38.672 --> 00:46:39.312
That's even easier.

1003
00:46:39.692 --> 00:46:40.713
So you just have to role play with her.

1004
00:46:40.793 --> 00:46:42.253
Don't just say, here, say these words.

1005
00:46:42.273 --> 00:46:42.974
It's not going to work.

1006
00:46:43.494 --> 00:46:45.795
It's just repetition over and over and over again.

1007
00:46:45.835 --> 00:46:48.016
As soon as they mess up, say, cool, say it like this, try it again.

1008
00:46:48.436 --> 00:46:49.297
Say it like this, try it again.

1009
00:46:49.317 --> 00:46:49.797
You did great.

1010
00:46:49.997 --> 00:46:50.797
Do it five more times.

1011
00:46:51.277 --> 00:46:51.457
Right?

1012
00:46:51.658 --> 00:46:52.678
And we'll try it from the top again.

1013
00:46:52.818 --> 00:46:54.079
It's just a ton of repetition.

1014
00:46:54.279 --> 00:46:54.439
Yeah.

1015
00:46:55.059 --> 00:46:56.119
And then when somebody comes in,

1016
00:46:57.802 --> 00:46:58.703
They'll probably say it the right way.

1017
00:46:59.124 --> 00:46:59.364
Okay.

1018
00:46:59.564 --> 00:46:59.805
Okay.

1019
00:46:59.825 --> 00:47:00.405
All right.

1020
00:47:00.486 --> 00:47:02.709
So the last piece is really just the ads and attribution.

1021
00:47:03.149 --> 00:47:05.352
So this is actually very integrated into the brick and mortar.

1022
00:47:05.392 --> 00:47:05.652
Okay.

1023
00:47:06.093 --> 00:47:10.058
So when someone walks in, so this is during, right?

1024
00:47:11.080 --> 00:47:11.881
This is after.

1025
00:47:14.795 --> 00:47:15.475
which is these ones.

1026
00:47:16.496 --> 00:47:17.017
That's after.

1027
00:47:17.717 --> 00:47:19.798
And then, I know this looks weird, but this is before.

1028
00:47:21.299 --> 00:47:25.763
So, when someone walks in the door, what we want is we want to immediately get their ID.

1029
00:47:26.483 --> 00:47:27.524
Say, hey, do you have your ID on you?

1030
00:47:28.144 --> 00:47:30.286
As soon as they walk in, that confirms the appointment.

1031
00:47:32.107 --> 00:47:36.650
Then you say, great, do you have the card that you want to put down today to pay for the thing?

1032
00:47:37.150 --> 00:47:39.492
So they already have that card file when they book.

1033
00:47:39.945 --> 00:47:40.145
Good.

1034
00:47:40.245 --> 00:47:41.327
So we're just confirming it.

1035
00:47:41.447 --> 00:47:41.607
Yeah.

1036
00:47:42.448 --> 00:47:44.130
Now, the next piece is great.

1037
00:47:44.231 --> 00:47:44.711
Sign in.

1038
00:47:46.353 --> 00:47:49.517
And on the sign in, we want to have the dropdown of where they came from.

1039
00:47:51.300 --> 00:47:57.368
That way we can have our attribution for the marketing and the referral code if someone's getting some sort of referral benefit.

1040
00:47:58.052 --> 00:48:03.354
The longer you stay in business, the more you are compensated by the quality of your decisions, not how hard or how long you work.

1041
00:48:03.834 --> 00:48:07.876
As you increase leverage in your career, you want to make better and better decisions.

1042
00:48:08.416 --> 00:48:11.557
And one of the easiest ways to make better decisions is have good clean data.

1043
00:48:12.077 --> 00:48:15.559
And so you can always just do post-it notes and duct tape in the beginning.

1044
00:48:15.579 --> 00:48:16.519
And that's how a lot of people start.

1045
00:48:16.539 --> 00:48:17.339
There's nothing wrong with that.

1046
00:48:17.379 --> 00:48:24.402
But at some point, you have to make bigger and bigger bets on where you're going to invest, where you're going to grow, how you're going to expand.

1047
00:48:25.022 --> 00:48:30.584
And in order to make these irreversible bets, we need to collect the data so we don't bet the farm on something that's a loser.

1048
00:48:31.065 --> 00:48:34.306
So that way, when every single person walks in, it's like, great, you have an ID in you.

1049
00:48:34.526 --> 00:48:34.906
Awesome.

1050
00:48:35.006 --> 00:48:35.286
Cool.

1051
00:48:35.546 --> 00:48:36.987
Is this the card you want to use for today?

1052
00:48:37.287 --> 00:48:39.288
Just confirming because sometimes people want to change their card out.

1053
00:48:39.728 --> 00:48:40.908
You're like, awesome.

1054
00:48:40.948 --> 00:48:41.829
Can you sign in right here?

1055
00:48:42.269 --> 00:48:43.029
Where'd you hear about us?

1056
00:48:43.329 --> 00:48:43.589
Great.

1057
00:48:43.629 --> 00:48:44.430
Did anyone send you?

1058
00:48:45.010 --> 00:48:45.290
Cool.

1059
00:48:45.570 --> 00:48:46.211
Let me know who.

1060
00:48:46.411 --> 00:48:47.451
If not, then there you go.

1061
00:48:47.471 --> 00:48:48.852
So then you got your referrals tracked.

1062
00:48:49.152 --> 00:48:50.413
You got your ad attribution tracked.

1063
00:48:50.433 --> 00:48:51.594
You got the right cards on file.

1064
00:48:51.954 --> 00:48:54.215
And you have confirmation that it's the person.

1065
00:48:54.235 --> 00:48:56.577
The reason I asked for ID first is because it's less intimidating.

1066
00:48:56.917 --> 00:49:00.419
This is just like it's a checklist and they just follow it with every single person who walks in the door.

1067
00:49:00.639 --> 00:49:00.759
Yeah.

1068
00:49:01.019 --> 00:49:06.923
Like the fact that you have this waiting area is the biggest advantage for most service businesses that are underutilized.

1069
00:49:07.603 --> 00:49:08.904
It's because you can check off all things.

1070
00:49:08.924 --> 00:49:09.745
You can get your reviews.

1071
00:49:10.145 --> 00:49:11.326
You can get your next deployment done.

1072
00:49:11.426 --> 00:49:12.527
You can get the card on file.

1073
00:49:12.567 --> 00:49:13.868
You can find out where they came from.

1074
00:49:13.908 --> 00:49:16.230
You get all of this stuff done before they walk in to get their service.

1075
00:49:16.370 --> 00:49:16.511
Yeah.

1076
00:49:17.511 --> 00:49:18.192
That's the big stuff.

1077
00:49:20.247 --> 00:49:21.767
But I think we have to do the partnership thing.

1078
00:49:22.067 --> 00:49:22.928
I think that's the big deal.

1079
00:49:23.028 --> 00:49:25.148
Yes, that's what's holding me back.

1080
00:49:25.368 --> 00:49:25.788
No, it is.

1081
00:49:25.948 --> 00:49:28.149
Okay, so let's recap all this for you.

1082
00:49:28.349 --> 00:49:30.469
Let's go easiest and fastest.

1083
00:49:30.789 --> 00:49:34.030
So I use ICE as my little moniker.

1084
00:49:34.050 --> 00:49:35.270
So impact, confidence, ease.

1085
00:49:35.290 --> 00:49:36.750
So how likely is it this is gonna work?

1086
00:49:36.991 --> 00:49:37.771
How easy is it?

1087
00:49:38.031 --> 00:49:39.351
And how big of an impact is it gonna make?

1088
00:49:39.371 --> 00:49:42.232
So something that's really easy, really fast and high impact, you do this first.

1089
00:49:42.732 --> 00:49:47.513
And some things are high impact like the partnerships, but it's gonna be not easy, right?

1090
00:49:48.013 --> 00:49:48.253
Okay.

1091
00:49:48.973 --> 00:49:57.245
So ICE is a really common investor framework, and it also maps pretty closely to the value equation, which is like, what are the four elements of value?

1092
00:49:57.345 --> 00:50:00.870
You have the dream outcome, which ICE is the I of impact.

1093
00:50:01.291 --> 00:50:03.975
You have the perceived length of achievement, which is the confidence score.

1094
00:50:04.015 --> 00:50:05.216
How likely is this to occur?

1095
00:50:05.777 --> 00:50:10.402
And ICE just says ease, but I split that into how fast and how much effort is there.

1096
00:50:10.442 --> 00:50:11.824
So there's four variables in mind.

1097
00:50:12.184 --> 00:50:14.026
If you want to use ICE, you can use three, whatever.

1098
00:50:14.407 --> 00:50:21.074
But the point is that we have to make these appraisals based on what expected return do we have for the resources we plan to allocate into the business?

1099
00:50:21.574 --> 00:50:22.576
What bets are we going to make?

1100
00:50:23.036 --> 00:50:24.257
And so zooming all the way out.

1101
00:50:24.978 --> 00:50:27.181
I define strategy as prioritization of resources.

1102
00:50:27.441 --> 00:50:34.710
There's a lot of things we could do to Ani's business, but the idea is that we want to allocate our resources to the fewest things that are going to get us the highest probability of high returns.

1103
00:50:35.331 --> 00:50:41.458
And so this is how we reorder these things that we went over so that she can get the most out of it.

1104
00:50:41.658 --> 00:50:44.261
Number one is I do think weekend pricing.

1105
00:50:45.174 --> 00:50:49.258
It's just like easy profit that will make a huge difference for the business.

1106
00:50:49.898 --> 00:50:54.842
All you have to do is just have two sets of, you know, pamphlets or whatever that you have on the counter.

1107
00:50:54.983 --> 00:50:58.285
And when it goes Thursday, then you have Thursday through Friday pricing or Thursday through Saturday pricing.

1108
00:50:58.305 --> 00:51:02.209
The regular clients get annoyed or bad.

1109
00:51:04.180 --> 00:51:06.781
Well, if you want to, I can grandfather you in.

1110
00:51:06.801 --> 00:51:08.102
If you have a membership.

1111
00:51:08.882 --> 00:51:09.542
Also great too.

1112
00:51:10.003 --> 00:51:10.603
Another great way.

1113
00:51:11.883 --> 00:51:13.724
And actually, that's amazing.

1114
00:51:13.744 --> 00:51:14.124
Hold on.

1115
00:51:14.144 --> 00:51:19.647
That is probably the biggest benefit that we can put in this thing for the membership is you have.

1116
00:51:19.967 --> 00:51:20.667
Same pricing.

1117
00:51:20.847 --> 00:51:21.007
Yeah.

1118
00:51:21.087 --> 00:51:24.589
Non-surge pricing.

1119
00:51:26.337 --> 00:51:26.997
There we go.

1120
00:51:27.478 --> 00:51:28.198
Now it's meaty.

1121
00:51:29.139 --> 00:51:31.360
So one of the beautiful things is that you can create a problem and then solve it.

1122
00:51:32.260 --> 00:51:33.261
So we're going to raise the price.

1123
00:51:33.661 --> 00:51:36.063
But if you sign up for membership, you're not going to have the price raised.

1124
00:51:36.083 --> 00:51:36.843
It's only for weekends.

1125
00:51:37.223 --> 00:51:40.385
So if you want to come on peak hours and not pay peak prices, just join the membership.

1126
00:51:41.586 --> 00:51:42.026
I like that.

1127
00:51:42.486 --> 00:51:43.007
That sounds good.

1128
00:51:43.247 --> 00:51:43.967
That feels sellable.

1129
00:51:44.487 --> 00:51:44.728
Okay.

1130
00:51:45.208 --> 00:51:48.830
So weekend pricing, which will then pair with the membership offer.

1131
00:51:55.841 --> 00:51:59.582
And then I think we have our before process.

1132
00:52:00.702 --> 00:52:04.143
Number five, we have our during process.

1133
00:52:05.103 --> 00:52:08.804
Number five, we have our after process.

1134
00:52:09.684 --> 00:52:11.545
Six, we have career path.

1135
00:52:16.826 --> 00:52:18.006
And then seven, finally.

1136
00:52:20.731 --> 00:52:22.431
We have our partnership issues.

1137
00:52:22.652 --> 00:52:22.872
Okay.

1138
00:52:24.032 --> 00:52:30.434
So weekend pricing, I think for you is going to probably, I think it's going to be a huge difference because it's going to flow people right in the membership.

1139
00:52:30.934 --> 00:52:35.915
So I think you'll probably be able to see a 10%-ish increase in revenue without really doing anything else.

1140
00:52:36.315 --> 00:52:38.396
Because 50% of the time you get a 20% bump.

1141
00:52:38.596 --> 00:52:41.477
Do you think 20% is too high for a long ticket?

1142
00:52:41.977 --> 00:52:42.537
Do you want to do 10%?

1143
00:52:43.925 --> 00:52:45.066
I think we can start with 10.

1144
00:52:45.346 --> 00:52:45.646
Okay.

1145
00:52:46.107 --> 00:52:46.987
You have to be sold on it.

1146
00:52:47.208 --> 00:52:48.509
If you're not sold on it, it's not going to work.

1147
00:52:48.529 --> 00:52:49.870
So if you feel good with 10, I'm good with 10.

1148
00:52:49.890 --> 00:52:50.650
All right.

1149
00:52:50.811 --> 00:52:54.293
So bump it by 10, which means you'll probably have something like a 5% increase in revenue.

1150
00:52:54.934 --> 00:52:57.916
But that 5% increase in revenue, given your 28% margins, goes from 28 to 32.

1151
00:52:57.936 --> 00:52:58.537
Sorry, 28 to 33.

1152
00:52:58.557 --> 00:52:58.677
Okay.

1153
00:53:02.520 --> 00:53:04.701
And so it's closer to 20% profit increase for you.

1154
00:53:05.521 --> 00:53:06.581
So even though it might sound small.

1155
00:53:06.601 --> 00:53:06.902
That's a lot.

1156
00:53:07.342 --> 00:53:07.562
Right.

1157
00:53:07.582 --> 00:53:07.762
Yeah.

1158
00:53:07.782 --> 00:53:08.642
It's a whole other location.

1159
00:53:09.342 --> 00:53:09.482
Right.

1160
00:53:09.502 --> 00:53:09.843
Not bad.

1161
00:53:11.103 --> 00:53:11.623
Membership offer.

1162
00:53:11.903 --> 00:53:15.444
So the thing here is that you said a lot of customers stay past three months, right?

1163
00:53:15.845 --> 00:53:16.005
Yeah.

1164
00:53:16.285 --> 00:53:16.985
What percentage do?

1165
00:53:17.565 --> 00:53:18.145
About 50, yeah.

1166
00:53:18.506 --> 00:53:18.686
Right.

1167
00:53:18.706 --> 00:53:27.830
So if we can get that to something like 70% plus, that will probably be one of the largest changes in the business because you don't have to pay to acquire those customers and they just basically are always profitable going forward.

1168
00:53:28.150 --> 00:53:32.673
And so that's probably some of the neighborhood of like a 20% to 30% lift in the business.

1169
00:53:33.953 --> 00:53:42.378
So now the before process, this is just going to allow you to increase your ads because you're going to finally be able to attribute where these people are coming from.

1170
00:53:42.798 --> 00:53:42.998
Right.

1171
00:53:43.398 --> 00:53:44.479
So we're going to have that.

1172
00:53:44.619 --> 00:53:46.400
Plus we're going to get more people to come back.

1173
00:53:47.094 --> 00:53:52.261
because we're already booking their next appointment from right as they walk in, right?

1174
00:53:53.022 --> 00:53:54.564
Then here's where we have our upsell.

1175
00:53:55.754 --> 00:54:17.523
to membership is at the chair because that's when they have to do the eyebrows unless we can stuff it before that's up to you i feel like it'll work better in the chair i think it's well not in the chair because then they won't be talking they need to keep the eyes closed and get the service done so you think it should do before yeah okay so then booking the appointment and then

1176
00:54:18.664 --> 00:54:19.424
Well then let's do this.

1177
00:54:20.285 --> 00:54:21.385
Good thing is we can just cross this out.

1178
00:54:21.405 --> 00:54:22.845
So you're just gonna have a before and after.

1179
00:54:23.506 --> 00:54:32.169
So before they walk in, you're gonna get your ads, you're gonna get their comeback, you're gonna give them the upsell offer, and you'll get your reviews, because I don't want you to stop doing them.

1180
00:54:32.369 --> 00:54:32.529
Yeah.

1181
00:54:32.789 --> 00:54:34.810
Okay, so that's all loaded before.

1182
00:54:35.350 --> 00:54:39.331
Afterwards is basically second shot and prepayment.

1183
00:54:39.972 --> 00:54:43.653
So they've already agreed, remember earlier, that they were gonna sign up for the membership?

1184
00:54:44.093 --> 00:54:46.314
On the way out, we say, hey, you want today free?

1185
00:54:47.247 --> 00:54:50.828
Because the today free is basically what they would get off if they sign up for a year.

1186
00:54:51.228 --> 00:54:52.969
But remember, you're not actually giving them today free.

1187
00:54:52.989 --> 00:54:54.889
You're just going to say like, that's what you're going to save in discounts.

1188
00:54:54.989 --> 00:54:55.209
Yeah.

1189
00:54:55.269 --> 00:54:55.809
Okay, cool.

1190
00:54:56.289 --> 00:54:57.110
So that's where you're going to go.

1191
00:54:57.130 --> 00:55:02.091
And that'll pull up cash, which I think will be another probably 20-ish percent that you can get from the business.

1192
00:55:02.931 --> 00:55:06.712
The career path thing, this is just going to decrease the churn, right, for your staff.

1193
00:55:07.152 --> 00:55:10.973
And ultimately, the thing is, is if you keep the staff, then you won't have to keep retraining people.

1194
00:55:11.154 --> 00:55:14.074
And so the profit margins of the business will just naturally improve because the girls get better.

1195
00:55:14.134 --> 00:55:15.155
They get more return customers.

1196
00:55:15.175 --> 00:55:15.995
They have more repeats.

1197
00:55:16.595 --> 00:55:19.258
And then finally, the partnerships.

1198
00:55:20.159 --> 00:55:22.822
So you're going to have to have basically three conversations.

1199
00:55:22.842 --> 00:55:29.470
Well, really just two because one you're fine with, which you need to increase the ad spend, which we can do once we actually have tracking.

1200
00:55:30.611 --> 00:55:34.276
The hard conversation, I think you should do the equities well.

1201
00:55:35.337 --> 00:55:35.577
Okay.

1202
00:55:35.795 --> 00:55:39.097
Even if it means you're getting the smaller one, because you're going to be able to go all in on it.

1203
00:55:39.177 --> 00:55:42.878
And just I'm sure that you'll be able, if you're fully focused, you'll be able to turn it around in two seconds.

1204
00:55:43.398 --> 00:55:44.259
Okay.

1205
00:55:44.379 --> 00:55:51.642
And then the one girl who has her foot out the door, I'll just give her some sort of buyout so that she has some sort of stability over the next 12 or 18 months.

1206
00:55:52.102 --> 00:55:52.382
Okay.

1207
00:55:52.983 --> 00:55:55.624
And then it's like, hey, just do one favor in exchange for this.

1208
00:55:55.724 --> 00:55:56.524
Just help me replace you.

1209
00:55:57.164 --> 00:55:57.325
Yeah.

1210
00:55:57.625 --> 00:55:57.925
That's it.

1211
00:55:59.826 --> 00:56:00.466
How does this feel?

1212
00:56:01.470 --> 00:56:01.690
Good.

1213
00:56:01.970 --> 00:56:02.510
Feels like work.

1214
00:56:02.610 --> 00:56:03.891
Yes, I like it.

1215
00:56:04.611 --> 00:56:10.333
Let me add a little bonus one, 2.5, is follow up with leads.

1216
00:56:11.453 --> 00:56:17.275
So you could probably pay someone $40,000 a year to do one thing, which is just call the leads that come in.

1217
00:56:17.495 --> 00:56:17.976
Do nothing else.

1218
00:56:18.276 --> 00:56:21.117
You have to do anything else, you can stay at home, call the leads within one minute.

1219
00:56:21.677 --> 00:56:23.518
So what we're gonna do is we're gonna make that number one.

1220
00:56:24.898 --> 00:56:27.799
So, oh, by the way, maybe make that zero.

1221
00:56:28.099 --> 00:56:30.700
This one is a two to three X for the business.

1222
00:56:32.452 --> 00:56:33.572
That solves your lead gen issue.

1223
00:56:34.453 --> 00:56:37.094
So you're going to hire somebody who's going to call the leads.

1224
00:56:38.214 --> 00:56:41.375
We're going to roll out the membership offer with the weekend pricing.

1225
00:56:41.816 --> 00:56:43.436
We're going to train the team on the new pricing.

1226
00:56:43.556 --> 00:56:50.339
The reason it's going to make sense is because they're going to have this career path and then you're going to have this conversation with a partnership because now you're going to have a more trained staff.

1227
00:56:50.359 --> 00:56:51.919
They're going to pay better.

1228
00:56:52.179 --> 00:56:53.340
So when do we call the lease?

1229
00:56:53.520 --> 00:56:57.221
We say immediately, Hey, we saw that you're trying to book an appointment.

1230
00:56:57.241 --> 00:56:58.102
It didn't go through.

1231
00:56:58.122 --> 00:57:00.923
I'll just say, Hey, so that you booked our $99 promo.

1232
00:57:00.943 --> 00:57:01.523
What's going to come in?

1233
00:57:02.507 --> 00:57:02.707
Okay.

1234
00:57:03.128 --> 00:57:04.410
And then, great, what card do you want to use?

1235
00:57:05.331 --> 00:57:07.254
And they're going to say, sure, here's my card.

1236
00:57:07.274 --> 00:57:08.957
And if they don't say it, it's like, why do you need my card?

1237
00:57:08.997 --> 00:57:10.058
You say it's how we've always done it.

1238
00:57:10.819 --> 00:57:11.540
It's how we always do it.

1239
00:57:11.801 --> 00:57:12.402
That's how you say it.

1240
00:57:13.303 --> 00:57:13.703
Okay.

1241
00:57:13.844 --> 00:57:15.045
All right.

1242
00:57:15.266 --> 00:57:15.867
Awesome job, Oni.

1243
00:57:16.047 --> 00:57:16.608
Thank you.

1244
00:57:16.648 --> 00:57:17.048
Yeah, you bet.

1245
00:57:17.289 --> 00:57:27.864
If you like this Cash Guys episode, which we keep making because you guys keep asking for them, we have another one of a female stylist who is a little bit smaller in the business, about $300,000 a year, and I think you'll love it.

1246
00:57:28.004 --> 00:57:29.126
So go check that one out.

1247
00:57:29.166 --> 00:57:29.406
Enjoy.