WEBVTT

1
00:00:00.000 --> 00:00:05.000
Let's do Q&As, raising cues, and whatever order.

2
00:00:05.000 --> 00:00:07.000
Yes.

3
00:00:07.000 --> 00:00:09.000
So you sell people to people, you do human trafficking,

4
00:00:09.000 --> 00:00:13.000
you have no revenue, and you want to get $2 million

5
00:00:13.000 --> 00:00:14.000
amongst the issue.

6
00:00:14.000 --> 00:00:17.000
Yeah, now I'm restarting that company.

7
00:00:17.000 --> 00:00:18.000
So there's a long story in that,

8
00:00:18.000 --> 00:00:20.000
but my question is a personal question.

9
00:00:20.000 --> 00:00:22.000
We should do the little thing, Jingy.

10
00:00:22.000 --> 00:00:23.000
Right.

11
00:00:23.000 --> 00:00:25.000
So I'm a father, single father.

12
00:00:25.000 --> 00:00:26.000
I got two boys here.

13
00:00:26.000 --> 00:00:29.000
And my name is DJ Kristoffer, and there we go.

14
00:00:29.000 --> 00:00:30.000
I sell people to people.

15
00:00:30.000 --> 00:00:32.000
I'm restarting my virtual staffing company.

16
00:00:32.000 --> 00:00:34.000
And we're currently at zero revenue.

17
00:00:34.000 --> 00:00:35.000
It's just a matter of getting started.

18
00:00:35.000 --> 00:00:36.000
Okay.

19
00:00:36.000 --> 00:00:37.000
And so we're really confident in that.

20
00:00:37.000 --> 00:00:39.000
My question is on a more of a personal one.

21
00:00:39.000 --> 00:00:43.000
So I'm a single father in a serious relationship.

22
00:00:43.000 --> 00:00:46.000
And she's not a business person at all.

23
00:00:46.000 --> 00:00:47.000
Very sweet and supporting.

24
00:00:47.000 --> 00:00:52.000
But what would you say would be some things to prepare her for

25
00:00:52.000 --> 00:00:54.000
when it comes to your spouse or not spouse,

26
00:00:54.000 --> 00:00:56.000
your partner or my partner.

27
00:00:56.000 --> 00:00:58.000
I mean, she doesn't live at the house yet.

28
00:00:58.000 --> 00:01:00.000
She's long distance, but it's coming together,

29
00:01:00.000 --> 00:01:01.000
but it's getting really serious.

30
00:01:01.000 --> 00:01:02.000
Okay.

31
00:01:02.000 --> 00:01:06.000
Preparing her for being married to a type A.

32
00:01:06.000 --> 00:01:08.000
I think you should give her a try before you buy.

33
00:01:08.000 --> 00:01:09.000
Yeah.

34
00:01:09.000 --> 00:01:10.000
Seriously.

35
00:01:10.000 --> 00:01:11.000
How do you mean?

36
00:01:11.000 --> 00:01:13.000
So fly out, spend two weeks with me.

37
00:01:13.000 --> 00:01:14.000
I'm not going to cater to you.

38
00:01:14.000 --> 00:01:15.000
I'm going to live my life.

39
00:01:15.000 --> 00:01:16.000
Yeah.

40
00:01:16.000 --> 00:01:18.000
If the way that I live my life, the way this works,

41
00:01:18.000 --> 00:01:19.000
this is how it's going to be.

42
00:01:19.000 --> 00:01:21.000
If you like that, let's rock and roll.

43
00:01:21.000 --> 00:01:23.000
If you don't, I don't want to change.

44
00:01:23.000 --> 00:01:24.000
Yeah.

45
00:01:24.000 --> 00:01:25.000
That's true.

46
00:01:25.000 --> 00:01:26.000
That's perfect.

47
00:01:26.000 --> 00:01:27.000
No?

48
00:01:27.000 --> 00:01:29.000
I love it.

49
00:01:29.000 --> 00:01:30.000
That's great.

50
00:01:30.000 --> 00:01:31.000
Okay.

51
00:01:31.000 --> 00:01:34.000
Cross it.

52
00:01:34.000 --> 00:01:36.000
Hey, Alex, thanks.

53
00:01:36.000 --> 00:01:37.000
Yeah, you bet.

54
00:01:37.000 --> 00:01:39.000
So my name is Zach Levine.

55
00:01:39.000 --> 00:01:43.000
We sell pain management services to New Yorkers.

56
00:01:43.000 --> 00:01:44.000
Okay.

57
00:01:44.000 --> 00:01:45.000
Integrative pain.

58
00:01:45.000 --> 00:01:47.000
So kind of acky PT.

59
00:01:47.000 --> 00:01:49.000
But like old people, young people, women, men.

60
00:01:49.000 --> 00:01:52.000
We have a bunch of avatars, which is potentially a proud of.

61
00:01:52.000 --> 00:01:53.000
Brick and mortar.

62
00:01:53.000 --> 00:01:54.000
Brick and mortar.

63
00:01:54.000 --> 00:01:55.000
Brick and mortar.

64
00:01:55.000 --> 00:01:56.000
We're out of network.

65
00:01:56.000 --> 00:01:57.000
Inzerrence.

66
00:01:57.000 --> 00:01:58.000
Yeah.

67
00:01:58.000 --> 00:01:59.000
There's just a dying, which we'll get to.

68
00:01:59.000 --> 00:02:00.000
Sure.

69
00:02:00.000 --> 00:02:01.000
We do 4.2 in revenue.

70
00:02:01.000 --> 00:02:02.000
Okay.

71
00:02:02.000 --> 00:02:03.000
Are you mostly insurance?

72
00:02:03.000 --> 00:02:04.000
Are you mostly cash?

73
00:02:04.000 --> 00:02:05.000
Mostly insurance.

74
00:02:05.000 --> 00:02:07.000
So mostly insurance out of network got out dead.

75
00:02:07.000 --> 00:02:08.000
Yeah.

76
00:02:08.000 --> 00:02:09.000
No, I'm investing in a rehab facility.

77
00:02:09.000 --> 00:02:10.000
So I'm familiar.

78
00:02:10.000 --> 00:02:11.000
Okay.

79
00:02:11.000 --> 00:02:12.000
Yeah.

80
00:02:12.000 --> 00:02:13.000
Yeah.

81
00:02:13.000 --> 00:02:14.000
4.2 wants to get to 20.

82
00:02:14.000 --> 00:02:15.000
Okay.

83
00:02:15.000 --> 00:02:16.000
Got it.

84
00:02:16.000 --> 00:02:17.000
We have three offices.

85
00:02:17.000 --> 00:02:19.000
And don't know exactly how to transition out of the dying business model.

86
00:02:19.000 --> 00:02:21.000
Obviously, our industry is growing.

87
00:02:22.000 --> 00:02:26.000
So what business model are you thinking about switching to?

88
00:02:26.000 --> 00:02:27.000
Cash.

89
00:02:27.000 --> 00:02:28.000
Hmm.

90
00:02:28.000 --> 00:02:31.000
I have a bunch of friends who are in network and murdering it.

91
00:02:31.000 --> 00:02:32.000
In network.

92
00:02:32.000 --> 00:02:33.000
Yeah.

93
00:02:33.000 --> 00:02:34.000
Why don't you get a network?

94
00:02:34.000 --> 00:02:35.000
We've just heard it's a grind.

95
00:02:35.000 --> 00:02:36.000
You know, it's commoditized now.

96
00:02:36.000 --> 00:02:37.000
It is.

97
00:02:37.000 --> 00:02:38.000
I mean the bottom.

98
00:02:38.000 --> 00:02:39.000
Race to the bottom.

99
00:02:39.000 --> 00:02:40.000
Yeah.

100
00:02:40.000 --> 00:02:44.000
I mean, basically, you have three different ways of running that.

101
00:02:44.000 --> 00:02:48.000
So why do you feel like the way that you have right now is dying from out of network?

102
00:02:49.000 --> 00:02:51.000
Because reimbursements from payers are declining.

103
00:02:51.000 --> 00:02:54.000
Each year, whereas inflation costs are going out.

104
00:02:54.000 --> 00:02:59.000
And because the amount of people who have out of network benefits is dwindling as well.

105
00:02:59.000 --> 00:03:01.000
It's mostly just corporate home.

106
00:03:01.000 --> 00:03:03.000
And that's even declining.

107
00:03:03.000 --> 00:03:04.000
Yeah.

108
00:03:04.000 --> 00:03:06.000
They're just getting smarter and they want people to push everyone in network.

109
00:03:06.000 --> 00:03:07.000
So we're getting squeezed.

110
00:03:07.000 --> 00:03:09.000
Administrative burdens through the roof.

111
00:03:09.000 --> 00:03:11.000
With prior all, all this crap.

112
00:03:11.000 --> 00:03:12.000
Yeah.

113
00:03:12.000 --> 00:03:17.000
So you basically see it as like, I could either go in network and then make your entire business model around operational efficiency.

114
00:03:18.000 --> 00:03:21.000
Which is a, which is, I mean, I've got somebody who murdered it doing that.

115
00:03:21.000 --> 00:03:23.000
So I don't think there's anything wrong with that.

116
00:03:23.000 --> 00:03:26.000
Or alternatively, you just go premium.

117
00:03:26.000 --> 00:03:28.000
Be the best and be, be private, right?

118
00:03:28.000 --> 00:03:29.000
Be cash by.

119
00:03:29.000 --> 00:03:31.000
So the question is, how do you transition it?

120
00:03:31.000 --> 00:03:32.000
Yeah.

121
00:03:32.000 --> 00:03:33.000
Yeah.

122
00:03:33.000 --> 00:03:34.000
I think we've decided as a team.

123
00:03:34.000 --> 00:03:35.000
Be electively.

124
00:03:35.000 --> 00:03:36.000
We just don't want to be in network.

125
00:03:36.000 --> 00:03:37.000
Sure.

126
00:03:37.000 --> 00:03:38.000
Because of the lifestyle.

127
00:03:38.000 --> 00:03:39.000
No.

128
00:03:39.000 --> 00:03:40.000
I guess so.

129
00:03:40.000 --> 00:03:41.000
And who you deal with.

130
00:03:41.000 --> 00:03:42.000
Yeah.

131
00:03:42.000 --> 00:03:43.000
Yeah.

132
00:03:43.000 --> 00:03:44.000
A pain.

133
00:03:44.000 --> 00:03:45.000
Literally for you.

134
00:03:46.000 --> 00:03:53.000
So fundamentally, I think you just have to think about this as basically starting a business over, but with resources already.

135
00:03:53.000 --> 00:03:56.000
So it's like, you don't have to think about, you don't really have to think about the service.

136
00:03:56.000 --> 00:03:57.000
You probably have to think about the packaging itself.

137
00:03:57.000 --> 00:04:00.000
Like what's the, what's the grants I'm offer for this?

138
00:04:00.000 --> 00:04:01.000
Yeah.

139
00:04:01.000 --> 00:04:06.000
And you'll, you'll have a number of, like you're, you're just going to become a normal business.

140
00:04:06.000 --> 00:04:14.000
Which is just like, you will run advertisements and you will make offers to people and they will come in and then they will take their credit card out and they will buy stuff from you.

141
00:04:14.000 --> 00:04:19.000
And so it's probably more that it conceptually feels complex more than it actually is.

142
00:04:19.000 --> 00:04:22.000
And so it's probably a ripping the bandaid off thing.

143
00:04:22.000 --> 00:04:27.000
Which is that I would just, like, so one is what channel of acquisition you're going to use.

144
00:04:27.000 --> 00:04:29.000
I'm guessing right now, is it mostly word of mouth?

145
00:04:29.000 --> 00:04:30.000
Yeah, it's referrals.

146
00:04:30.000 --> 00:04:31.000
Okay.

147
00:04:31.000 --> 00:04:32.000
Yeah.

148
00:04:32.000 --> 00:04:35.000
So one is you can start selling upselling existing customers.

149
00:04:35.000 --> 00:04:37.000
So like, obviously they have what's covered in from insurance.

150
00:04:37.000 --> 00:04:43.000
But then, you know, upselling other packages that will get your team a little bit used to be like, it's okay to pay us.

151
00:04:43.000 --> 00:04:45.000
That's from like a really tactical level.

152
00:04:45.000 --> 00:04:50.000
But from an acquisition perspective, if you've got content, you've got outreach and then you've got, you've got paid ads, right?

153
00:04:50.000 --> 00:04:52.000
And alternatively, you could have affiliates.

154
00:04:52.000 --> 00:04:53.000
So we have to pick.

155
00:04:53.000 --> 00:04:56.000
So of those four things, which ones do you feel like you are better suited?

156
00:04:56.000 --> 00:05:04.000
So from affiliates, it's like, go to shoot injury attorneys or like you want to find the person that they're going to see prior to hitting you.

157
00:05:04.000 --> 00:05:05.000
Try to bunch of that.

158
00:05:05.000 --> 00:05:12.000
And the issue there is that they want to send in network or if you're injury attorneys to workers' cop cases, which they'll pay very well.

159
00:05:12.000 --> 00:05:14.000
So you don't want to go from that perspective.

160
00:05:14.000 --> 00:05:15.000
So you don't want to do affiliates.

161
00:05:15.000 --> 00:05:19.000
Content, probably in my opinion, probably isn't the best way.

162
00:05:19.000 --> 00:05:21.000
So then you have outreach and you've got paid ads.

163
00:05:21.000 --> 00:05:24.000
I'm going to bet paid ads is going to be your better bet since it's local.

164
00:05:24.000 --> 00:05:25.000
It's pretty straightforward.

165
00:05:25.000 --> 00:05:27.000
Operation is not complex.

166
00:05:27.000 --> 00:05:30.000
Like running paid ads in a local area is like pretty easy.

167
00:05:30.000 --> 00:05:31.000
You drop a pen.

168
00:05:31.000 --> 00:05:32.000
You do.

169
00:05:32.000 --> 00:05:36.000
To say we need more, like, so obviously we have a bunch of different types of avatars.

170
00:05:36.000 --> 00:05:38.000
So like, you're really now, like, what, how would you say going about?

171
00:05:38.000 --> 00:05:43.000
You're probably going to end up finding that you have one to three offers that actually convert.

172
00:05:43.000 --> 00:05:47.000
And then the remainder of your business will be upselling and cross-selling when they walk in the door.

173
00:05:47.000 --> 00:05:52.000
So instead of thinking about your businesses having like, you know, we have 15 services, we advertise all 15.

174
00:05:52.000 --> 00:05:55.000
You're going to have one to three that convert really profitably on the front end.

175
00:05:55.000 --> 00:05:57.000
And then the remainder of your business is cross-selling and upselling.

176
00:05:57.000 --> 00:06:00.000
So it's like, you're going to have the most efficient door into your business.

177
00:06:00.000 --> 00:06:05.000
And then you'll end up just cross-selling and selling people and retaining people from from there.

178
00:06:05.000 --> 00:06:12.000
And so like in terms of next steps, it's you need to record an actual ad for an offer and then put it on meta

179
00:06:12.000 --> 00:06:15.000
and then drop a pen on the map and do a 10 mile radius.

180
00:06:15.000 --> 00:06:18.000
Hopefully all three are close together.

181
00:06:18.000 --> 00:06:20.000
And you'll run the ad.

182
00:06:20.000 --> 00:06:25.000
That'll then go to either a CRM or if you're low tech, you can just go to Google Sheets.

183
00:06:25.000 --> 00:06:28.000
And then you can have your front desk call them within 60 seconds.

184
00:06:28.000 --> 00:06:32.000
And then if they don't pick up, call them again and get them booked.

185
00:06:32.000 --> 00:06:39.000
Because your time is valuable, you'll probably want to consider running some sort of highly discounted assessment on the front end.

186
00:06:39.000 --> 00:06:42.000
So that'd be like a $200 off stuff for you.

187
00:06:42.000 --> 00:06:44.000
Yeah, X-ray or something like that that they can get for 19 or 20.

188
00:06:44.000 --> 00:06:45.000
You don't care about that.

189
00:06:45.000 --> 00:06:48.000
You just want to credit card on file so that when they walk in the door, you have two things.

190
00:06:48.000 --> 00:06:54.000
One is that when they walk in the door, well, one, you want them to walk in the door because they paid,

191
00:06:54.000 --> 00:06:57.000
two, you can charge a no-show fee if you want to.

192
00:06:57.000 --> 00:07:01.000
But typically if you're getting even a low ticket amount, you'll be in the 70 data percential rate.

193
00:07:01.000 --> 00:07:03.000
So you won't waste a practitioner time.

194
00:07:03.000 --> 00:07:05.000
So that means you're trying to get front, actually put over the phone.

195
00:07:05.000 --> 00:07:06.000
Over the credit card.

196
00:07:06.000 --> 00:07:07.000
Yeah.

197
00:07:07.000 --> 00:07:10.000
And just for the discount offer, now when they come in the door, you'll do the assessment.

198
00:07:10.000 --> 00:07:12.000
And then after the assessment, you don't treat them.

199
00:07:12.000 --> 00:07:14.000
You'll do the sale appointment then.

200
00:07:14.000 --> 00:07:17.000
You sell it point of greatest need, not point of greatest satisfaction.

201
00:07:17.000 --> 00:07:19.000
So that point is when you make the offer.

202
00:07:19.000 --> 00:07:21.000
And then you'll be like, hey, awesome.

203
00:07:21.000 --> 00:07:24.000
You want to use the card we have on file because you already have it on file because you got it earlier.

204
00:07:24.000 --> 00:07:26.000
It makes them much further sale.

205
00:07:26.000 --> 00:07:27.000
Got it.

206
00:07:27.000 --> 00:07:28.000
Does that help?

207
00:07:28.000 --> 00:07:29.000
Yeah, definitely.

208
00:07:29.000 --> 00:07:30.000
But that's what you have to do.

209
00:07:30.000 --> 00:07:33.000
Like, you have to learn how to work our customers that are cash based.

210
00:07:33.000 --> 00:07:35.000
And so that means that you have to run ads and you have to sell shit.

211
00:07:35.000 --> 00:07:36.000
What would you do?

212
00:07:36.000 --> 00:07:41.000
Like, if you were saying from a strategy standpoint, we have the current business that's doing 4.2 million in revenue.

213
00:07:41.000 --> 00:07:42.000
You're going to keep that business.

214
00:07:42.000 --> 00:07:45.000
So all of your discretionary resources are going to go towards this.

215
00:07:45.000 --> 00:07:48.000
If you want to build a bridge to tomorrow.

216
00:07:48.000 --> 00:07:49.000
Yeah.

217
00:07:49.000 --> 00:07:53.000
Should we do any of the more on the things that are still working within out of network?

218
00:07:53.000 --> 00:07:56.000
Like, it's really just that, you know, we have limited resources.

219
00:07:56.000 --> 00:07:58.000
How should we spend on each?

220
00:07:58.000 --> 00:07:59.000
Let's be like that new.

221
00:07:59.000 --> 00:08:00.000
Is that proper?

222
00:08:00.000 --> 00:08:02.000
We're basically at zero.

223
00:08:02.000 --> 00:08:03.000
Oh, shit.

224
00:08:03.000 --> 00:08:04.000
Yeah.

225
00:08:04.000 --> 00:08:06.000
It's part of the problem.

226
00:08:06.000 --> 00:08:07.000
Yeah.

227
00:08:07.000 --> 00:08:08.000
We waited.

228
00:08:08.000 --> 00:08:09.000
Yeah.

229
00:08:09.000 --> 00:08:10.000
Yeah.

230
00:08:10.000 --> 00:08:11.000
No, you're longer than.

231
00:08:11.000 --> 00:08:12.000
Yeah.

232
00:08:12.000 --> 00:08:13.000
Yeah.

233
00:08:13.000 --> 00:08:14.000
I understand.

234
00:08:14.000 --> 00:08:15.000
Well, you can't control.

235
00:08:15.000 --> 00:08:16.000
So unfortunately, because you can't control how you're reimbursed.

236
00:08:16.000 --> 00:08:18.000
No, but we can remove the lowest reimbursement.

237
00:08:18.000 --> 00:08:20.000
We're reimbursing patients, which is like removed met here.

238
00:08:20.000 --> 00:08:21.000
Yeah.

239
00:08:21.000 --> 00:08:22.000
Then we can lower our cost structure.

240
00:08:22.000 --> 00:08:23.000
Yeah.

241
00:08:23.000 --> 00:08:24.000
We can do that route.

242
00:08:24.000 --> 00:08:26.000
I think that would probably be the first thing that I would do.

243
00:08:26.000 --> 00:08:28.000
And then because you want to free a cash well or something.

244
00:08:28.000 --> 00:08:29.000
Oh, yeah.

245
00:08:29.000 --> 00:08:32.000
So yeah, you use this resources in terms of time and money to build the bridge.

246
00:08:32.000 --> 00:08:33.000
Okay.

247
00:08:33.000 --> 00:08:34.000
Any sense?

248
00:08:34.000 --> 00:08:35.000
Yeah.

249
00:08:35.000 --> 00:08:36.000
Thanks a lot, Alex.

250
00:08:36.000 --> 00:08:37.000
Yeah, you vote.

251
00:08:37.000 --> 00:08:38.000
My name is Cody.

252
00:08:38.000 --> 00:08:39.000
I sell roofs of people.

253
00:08:39.000 --> 00:08:41.000
We did 140 million last year.

254
00:08:41.000 --> 00:08:43.000
So trying to do 250 million this year.

255
00:08:43.000 --> 00:08:44.000
Right.

256
00:08:44.000 --> 00:08:47.000
Trying to figure out how to follow the principle of giving away more.

257
00:08:47.000 --> 00:08:50.000
You know, guarantees and bonuses when I have such high hard cost.

258
00:08:50.000 --> 00:08:51.000
Yeah.

259
00:08:51.000 --> 00:08:52.000
And such a high ticket item.

260
00:08:52.000 --> 00:08:53.000
Yeah.

261
00:08:53.000 --> 00:08:54.000
What are gross margins right now?

262
00:08:54.000 --> 00:08:55.000
40 percent.

263
00:08:55.000 --> 00:08:56.000
Gross.

264
00:08:56.000 --> 00:08:57.000
What's that?

265
00:08:57.000 --> 00:08:58.000
10 to 15.

266
00:08:58.000 --> 00:08:59.000
Okay.

267
00:08:59.000 --> 00:09:00.000
Got it.

268
00:09:00.000 --> 00:09:01.000
Do you want to sell it or do you just want to keep it forever?

269
00:09:01.000 --> 00:09:03.000
Well, I actually just sold my roofing business.

270
00:09:03.000 --> 00:09:07.000
And now we're part of a PE firm that now I'm directing that.

271
00:09:07.000 --> 00:09:08.000
That entire.

272
00:09:08.000 --> 00:09:09.000
So are you the platform?

273
00:09:09.000 --> 00:09:10.000
Yes.

274
00:09:10.000 --> 00:09:11.000
Okay.

275
00:09:11.000 --> 00:09:12.000
So you're the platform.

276
00:09:12.000 --> 00:09:13.000
How many tokens have they done?

277
00:09:13.000 --> 00:09:14.000
Eight.

278
00:09:14.000 --> 00:09:15.000
Got it.

279
00:09:15.000 --> 00:09:16.000
How long has it been since they started?

280
00:09:16.000 --> 00:09:17.000
Three, four years.

281
00:09:17.000 --> 00:09:20.000
I just got acquired 30 days or we just closed 30 days ago.

282
00:09:20.000 --> 00:09:23.000
And now they're trying to roll everything into my brand.

283
00:09:23.000 --> 00:09:24.000
And I'm.

284
00:09:24.000 --> 00:09:25.000
Okay.

285
00:09:25.000 --> 00:09:26.000
Yeah.

286
00:09:26.000 --> 00:09:27.000
Got it.

287
00:09:27.000 --> 00:09:28.000
Okay.

288
00:09:28.000 --> 00:09:29.000
So sorry.

289
00:09:29.000 --> 00:09:30.000
Go back to the original question.

290
00:09:30.000 --> 00:09:31.000
You said I have a like better context on this.

291
00:09:31.000 --> 00:09:32.000
Okay.

292
00:09:32.000 --> 00:09:33.000
So how do I give a, you know,

293
00:09:33.000 --> 00:09:34.000
follow the principle of give away more value.

294
00:09:34.000 --> 00:09:35.000
Make the, you know, offer so good.

295
00:09:35.000 --> 00:09:36.000
It's.

296
00:09:36.000 --> 00:09:37.000
Yeah.

297
00:09:37.000 --> 00:09:38.000
You got to feel dumb saying no.

298
00:09:38.000 --> 00:09:39.000
When I've such high hard costs.

299
00:09:39.000 --> 00:09:41.000
I, you know, I can't really do a money back guarantee.

300
00:09:41.000 --> 00:09:44.000
I can't really give away more than a, you know, a roof.

301
00:09:44.000 --> 00:09:46.000
Well, the question is what, is it, is that the constraint?

302
00:09:46.000 --> 00:09:49.000
Well, like, is that the thing that's limiting the growth of the business?

303
00:09:49.000 --> 00:09:54.000
In my theory, yes, because if I create a good enough offer, then I could roll that offer

304
00:09:54.000 --> 00:09:55.000
out to the other eight, eight other brands.

305
00:09:55.000 --> 00:09:59.000
And that would be the biggest amount of leverage that I could deliver, you know, in the shortest amount of time.

306
00:09:59.000 --> 00:10:01.000
And is everyone insurance based?

307
00:10:01.000 --> 00:10:03.000
Well, that's why they acquired us because we're retail.

308
00:10:03.000 --> 00:10:05.000
And so we were sure the only guy selling just new roofs.

309
00:10:05.000 --> 00:10:08.000
Everyone else is doing storm chasing and damage repair, and so like that.

310
00:10:08.000 --> 00:10:09.000
Correct.

311
00:10:09.000 --> 00:10:12.000
And what they want us to do is bring the retail model to the other brands.

312
00:10:13.000 --> 00:10:15.000
And add another layer as we sell everything 100% virtually.

313
00:10:15.000 --> 00:10:18.000
So no in-home appointments, it's, it's all, you know, digital.

314
00:10:18.000 --> 00:10:22.000
And so that's what they, that's the vision is, is taking that, you know, nationwide.

315
00:10:22.000 --> 00:10:24.000
Centralized sales, virtually.

316
00:10:24.000 --> 00:10:25.000
Correct.

317
00:10:25.000 --> 00:10:26.000
So you want an irresistible roof offer.

318
00:10:29.000 --> 00:10:30.000
I'm going to blow the roof off.

319
00:10:30.000 --> 00:10:35.000
I feel like if I were in your position, the first thing that I would do would be centralize everything first

320
00:10:35.000 --> 00:10:36.000
without trying to change.

321
00:10:36.000 --> 00:10:40.000
Basically, I wouldn't, I would take the model that I already know works is what was your revenue before you to the,

322
00:10:41.000 --> 00:10:42.000
before you were acquired.

323
00:10:42.000 --> 00:10:43.000
Okay, you're doing 20.

324
00:10:43.000 --> 00:10:47.000
So I would like, in terms of introducing levels of change.

325
00:10:47.000 --> 00:10:49.000
So this is actually pretty good for everybody.

326
00:10:49.000 --> 00:10:52.000
Like I will typically not try and change like five things at once.

327
00:10:52.000 --> 00:10:57.000
And so you centralizing all sales is going to get cost efficiency improvements.

328
00:10:57.000 --> 00:11:00.000
And you're going to be able to have higher sales utilization.

329
00:11:00.000 --> 00:11:04.000
So you probably cut off the bottom third of the sales force that's low performing.

330
00:11:04.000 --> 00:11:07.000
That alone might give you a 25% lift in general,

331
00:11:07.000 --> 00:11:10.000
because the best sales guys will take more of the sales.

332
00:11:10.000 --> 00:11:13.000
And you'll have centralized all the costs like we have centralized all the cost.

333
00:11:13.000 --> 00:11:14.000
Right.

334
00:11:14.000 --> 00:11:18.000
And so you'll have an increase in revenue and a decrease in cost that's paired.

335
00:11:18.000 --> 00:11:20.000
That would probably be my first step.

336
00:11:20.000 --> 00:11:21.000
The floor part of that acquisition.

337
00:11:21.000 --> 00:11:25.000
That's the only way I did that position is if they were going to give me full control and centralized sales.

338
00:11:25.000 --> 00:11:26.000
Yes.

339
00:11:26.000 --> 00:11:27.000
So I wouldn't, I mean,

340
00:11:27.000 --> 00:11:29.000
I know the question is about roofing.

341
00:11:29.000 --> 00:11:30.000
But like that's what I would do first.

342
00:11:30.000 --> 00:11:33.000
And that will probably take you six months or more realistically.

343
00:11:34.000 --> 00:11:38.000
In terms of in terms of the offer to roofs.

344
00:11:38.000 --> 00:11:44.000
An offer that's worked really well in home services is instead of being a money back guarantee.

345
00:11:44.000 --> 00:11:46.000
I position as a profit guarantee.

346
00:11:46.000 --> 00:11:50.000
So it's like, listen, you want your thing to be on time and on budget probably.

347
00:11:50.000 --> 00:11:54.000
And so I guarantee that I will deliver it on time and on budget or I'll give you my profit,

348
00:11:54.000 --> 00:11:56.000
which is 20% whatever.

349
00:11:56.000 --> 00:12:00.000
And that way it's like you're not underwater and you still have 40% gross margins.

350
00:12:00.000 --> 00:12:02.000
So you're not really losing on the deal.

351
00:12:02.000 --> 00:12:05.000
But then people are like, okay, so he's got skin in the game.

352
00:12:05.000 --> 00:12:11.000
And so that's a way of closing significantly more deals because the two biggest obstacles that well,

353
00:12:11.000 --> 00:12:12.000
you would know this.

354
00:12:12.000 --> 00:12:16.000
But in most home services, it's on time on budget and probably for roofs.

355
00:12:16.000 --> 00:12:18.000
It's like, and how much am I going to be displaced?

356
00:12:18.000 --> 00:12:19.000
How much it's going to interrupt my life?

357
00:12:19.000 --> 00:12:24.000
And so I would put my guarantee around those items and then just have a marginal amount that's back.

358
00:12:24.000 --> 00:12:26.000
But it's really just because all they don't.

359
00:12:27.000 --> 00:12:30.000
So the big thing which is right with guarantees is that people don't want their money back.

360
00:12:30.000 --> 00:12:31.000
They want the roof.

361
00:12:31.000 --> 00:12:34.000
And so they just want to know that you care enough to make sure the roof gets delivered.

362
00:12:34.000 --> 00:12:37.000
And so that's really the solve for the guarantees.

363
00:12:37.000 --> 00:12:40.000
It just pays down risk of them not getting what they want.

364
00:12:40.000 --> 00:12:43.000
And so as long as that gets accomplished, you don't have to do with money back.

365
00:12:43.000 --> 00:12:45.000
You can just do it with some money back that gets them to say yes.

366
00:12:45.000 --> 00:12:46.000
Is that help?

367
00:12:46.000 --> 00:12:47.000
Just make it perfect.

368
00:12:47.000 --> 00:12:48.000
Hi, Alex.

369
00:12:48.000 --> 00:12:49.000
Hello.

370
00:12:49.000 --> 00:12:51.000
Alex, you can call me Alex.

371
00:12:52.000 --> 00:12:53.000
From Puerto Rico.

372
00:12:53.000 --> 00:12:54.000
From Puerto Rico.

373
00:12:54.000 --> 00:12:56.000
So I'm a music attorney.

374
00:12:56.000 --> 00:12:57.000
Abogado.

375
00:12:57.000 --> 00:12:58.000
Abogado, correto.

376
00:12:58.000 --> 00:13:00.000
In the music and the entertainment.

377
00:13:00.000 --> 00:13:01.000
Yeah.

378
00:13:01.000 --> 00:13:04.000
So what we do is we have more constraints, focus.

379
00:13:04.000 --> 00:13:05.000
Okay.

380
00:13:05.000 --> 00:13:06.000
I have, yeah.

381
00:13:06.000 --> 00:13:07.000
So.

382
00:13:07.000 --> 00:13:08.000
At least you said it.

383
00:13:08.000 --> 00:13:09.000
Yeah.

384
00:13:09.000 --> 00:13:11.000
So we have reduced the sales term.

385
00:13:11.000 --> 00:13:12.000
Yeah.

386
00:13:12.000 --> 00:13:13.000
So basically it's three businesses.

387
00:13:13.000 --> 00:13:14.000
Yeah.

388
00:13:14.000 --> 00:13:20.000
But today thanks to Ed and Sammy, we got much much more clear on what we should do.

389
00:13:20.000 --> 00:13:23.000
But I would like to know, how would you think about this?

390
00:13:23.000 --> 00:13:30.000
Because the law from side, it's growing 20% year over year without me actually doing anything.

391
00:13:30.000 --> 00:13:34.000
Just redirecting people that come to me through my law firm.

392
00:13:34.000 --> 00:13:37.000
And right now it's about 100K.

393
00:13:37.000 --> 00:13:40.000
And then we have the educational side.

394
00:13:40.000 --> 00:13:42.000
And that is making 200K.

395
00:13:42.000 --> 00:13:46.000
And then it's been stopped like that in the last two years.

396
00:13:46.000 --> 00:13:47.000
Sure.

397
00:13:47.000 --> 00:13:48.000
And we're building.

398
00:13:49.000 --> 00:13:50.000
Yeah.

399
00:13:50.000 --> 00:13:51.000
Both are organic.

400
00:13:51.000 --> 00:13:52.000
Okay.

401
00:13:52.000 --> 00:13:56.000
So if you don't have money to pay us as a lawyer, you go to the educational platform.

402
00:13:56.000 --> 00:14:03.000
And we are developing a contract automation software for big companies like major labels

403
00:14:03.000 --> 00:14:05.000
or publishing companies.

404
00:14:05.000 --> 00:14:10.000
So right now the product, our software, our goal with the software is to sell.

405
00:14:10.000 --> 00:14:15.000
We are seeing that other, that big music companies are buying tech.

406
00:14:15.000 --> 00:14:16.000
Yeah.

407
00:14:17.000 --> 00:14:19.000
So they're doing everything manually.

408
00:14:19.000 --> 00:14:20.000
We want to sell that.

409
00:14:20.000 --> 00:14:26.000
But we have a cash flow problem because we're selling to 30% without a lot of money.

410
00:14:26.000 --> 00:14:28.000
And the service size does make money.

411
00:14:28.000 --> 00:14:32.000
So our problem is where should we focus?

412
00:14:32.000 --> 00:14:33.000
Yeah.

413
00:14:33.000 --> 00:14:36.000
But what's monthly term right now?

414
00:14:36.000 --> 00:14:38.000
It's all the software.

415
00:14:38.000 --> 00:14:42.000
We got 100 people and we only have 40 active right now.

416
00:14:42.000 --> 00:14:44.000
And all you can do in the first year.

417
00:14:44.000 --> 00:14:46.000
40% are they actually active though?

418
00:14:46.000 --> 00:14:47.000
So they're paying.

419
00:14:47.000 --> 00:14:51.000
The people that are active are paying $3,000 per year.

420
00:14:51.000 --> 00:14:53.000
And are only like four.

421
00:14:53.000 --> 00:14:54.000
Four?

422
00:14:54.000 --> 00:14:56.000
Four that are paying $3,000.

423
00:14:56.000 --> 00:14:58.000
And then what are the other 36th paying?

424
00:14:58.000 --> 00:14:59.000
I'm paying $600 per year.

425
00:14:59.000 --> 00:15:00.000
Okay.

426
00:15:00.000 --> 00:15:01.000
Got it.

427
00:15:01.000 --> 00:15:02.000
Okay.

428
00:15:02.000 --> 00:15:04.000
So I think we, we, we chat about this last night.

429
00:15:04.000 --> 00:15:09.000
So you have a, there is no right answer, but there is a path that you have to pick.

430
00:15:09.000 --> 00:15:14.000
And so either you're going to be enterprise company and you're going to build only for that.

431
00:15:14.000 --> 00:15:19.000
And I would say like you probably will just transact on the education side in order to fund this.

432
00:15:19.000 --> 00:15:23.000
I, in general, don't like this plan, but you could do this because you'll be split attention.

433
00:15:23.000 --> 00:15:29.000
And this is fundamentally why people raise money and software so they can just focus on one customer the whole time and build the product and then actually get this work.

434
00:15:29.000 --> 00:15:30.000
Okay.

435
00:15:30.000 --> 00:15:31.000
That's that.

436
00:15:31.000 --> 00:15:37.000
Because you said that you're retaining 40% in basically a prosumer-ish market, which is where you're at.

437
00:15:37.000 --> 00:15:41.000
I would be inclined to say that you probably are pretty close to a decent product.

438
00:15:41.000 --> 00:15:43.000
So you probably have nailed something there.

439
00:15:43.000 --> 00:15:52.000
Because keeping 40% of people one year later on, you know, whatever it is for musicians that you guys have for contracts and whatnot.

440
00:15:52.000 --> 00:15:56.000
You could absolutely go all in on that and get that to like 50 or 60%.

441
00:15:56.000 --> 00:15:58.000
And then you just need to have a different acquisition systems.

442
00:15:58.000 --> 00:16:02.000
You probably just need to go spend money acquiring customers.

443
00:16:02.000 --> 00:16:05.000
And that already cash flows because of the education side.

444
00:16:05.000 --> 00:16:10.000
And are the people who are still paying you on the software also education customers are now.

445
00:16:10.000 --> 00:16:15.000
They usually come from the education or from my legal services as well.

446
00:16:15.000 --> 00:16:19.000
So I have some clients that be 80% of the million dollar question.

447
00:16:19.000 --> 00:16:24.000
The million dollar question is if they stop the education, do they keep paying for the software?

448
00:16:24.000 --> 00:16:25.000
Yes.

449
00:16:25.000 --> 00:16:26.000
Because it's on content.

450
00:16:26.000 --> 00:16:28.000
Well, then that's what what you mean the software's one time.

451
00:16:28.000 --> 00:16:29.000
No, the education.

452
00:16:29.000 --> 00:16:33.000
So then they just pay and they're going to use a software as always.

453
00:16:33.000 --> 00:16:36.000
So the only thing that we're solving for is revenue retention on the software.

454
00:16:36.000 --> 00:16:41.000
And so like enterprise in and of itself is not more valuable than lower market.

455
00:16:41.000 --> 00:16:44.000
It's just that tends to be stickier, which is what makes it more valuable.

456
00:16:44.000 --> 00:16:54.000
But if you can get a larger marketplace easier to acquire customer to stick as well as a large enterprise customer, you've got a gold mine if that's true.

457
00:16:54.000 --> 00:17:00.000
And so if you want to go spend money acquire customers with the education or media as your liquidation and then get 100%.

458
00:17:00.000 --> 00:17:04.000
But the goal that you guys should have is like, we don't care at all about the education.

459
00:17:04.000 --> 00:17:09.000
All of your focus, all the profit goes into just fixing one number, which is that you need to look at M12.

460
00:17:09.000 --> 00:17:10.000
So month 12 retention.

461
00:17:10.000 --> 00:17:12.000
And just say like, okay, we're at 40.

462
00:17:12.000 --> 00:17:13.000
How do we get to 60?

463
00:17:13.000 --> 00:17:15.000
And then how do we get to 70?

464
00:17:15.000 --> 00:17:17.000
And that's all you're solving for.

465
00:17:17.000 --> 00:17:19.000
Because if you solve that, then the thing will just keep growing.

466
00:17:19.000 --> 00:17:20.000
And that's the beauty.

467
00:17:20.000 --> 00:17:22.000
I mean, that's fundamentally the beauty of software once you get it right.

468
00:17:22.000 --> 00:17:23.000
Is that it just keeps growing?

469
00:17:23.000 --> 00:17:24.000
Thank you.

470
00:17:24.000 --> 00:17:25.000
Yeah.

471
00:17:25.000 --> 00:17:29.000
Hello, my name is Zion.

472
00:17:29.000 --> 00:17:33.000
We do 1.1 to 1.2 million in revenue a year.

473
00:17:33.000 --> 00:17:35.000
Which one is it?

474
00:17:35.000 --> 00:17:36.000
1.1.

475
00:17:36.000 --> 00:17:37.000
Cool.

476
00:17:37.000 --> 00:17:42.000
I would like to be at 10 million in revenue.

477
00:17:42.000 --> 00:17:47.000
I make one to 100 million here in there.

478
00:17:47.000 --> 00:17:48.000
You're good.

479
00:17:48.000 --> 00:17:52.000
This is what's stopping me, I believe.

480
00:17:52.000 --> 00:17:56.000
Focus, skill deficiency and belief.

481
00:17:56.000 --> 00:18:02.000
I have two avatars, which is working professionals and local government.

482
00:18:02.000 --> 00:18:07.000
And I believe I need to choose between the two avatars.

483
00:18:07.000 --> 00:18:09.000
What do you sell again?

484
00:18:09.000 --> 00:18:12.000
So support and accommodation.

485
00:18:12.000 --> 00:18:19.000
So basically, children who come from challenges backgrounds who have been in care come to us.

486
00:18:19.000 --> 00:18:23.000
We basically help them build their semi-independent living skills.

487
00:18:23.000 --> 00:18:25.000
So we help them build their independent skills.

488
00:18:25.000 --> 00:18:30.000
So when they reach a certain age, they can then move on to their own accommodation and live independently.

489
00:18:30.000 --> 00:18:32.000
So these are kids in the system, right?

490
00:18:32.000 --> 00:18:34.000
So like cooking skills, balancing a budget.

491
00:18:34.000 --> 00:18:36.000
Yeah, personal development, worklamp.

492
00:18:36.000 --> 00:18:37.000
Yeah.

493
00:18:37.000 --> 00:18:38.000
Cool.

494
00:18:39.000 --> 00:18:41.000
Now, the issue I have is...

495
00:18:41.000 --> 00:18:42.000
How do you make money?

496
00:18:42.000 --> 00:18:43.000
Huh?

497
00:18:43.000 --> 00:18:44.000
How do you make money?

498
00:18:44.000 --> 00:18:47.000
So we make money from our support services and our accommodation.

499
00:18:47.000 --> 00:18:53.000
So basically, we rent properties from landlords who have real estate.

500
00:18:53.000 --> 00:18:57.000
And then we sublet the rooms.

501
00:18:57.000 --> 00:19:04.000
And then we charge the government a support package for supporting young people.

502
00:19:05.000 --> 00:19:09.000
And then obviously there's a risk premium because these are challenged kids.

503
00:19:09.000 --> 00:19:11.000
And then yeah, we just make the spread basically.

504
00:19:11.000 --> 00:19:12.000
Okay.

505
00:19:12.000 --> 00:19:13.000
So the government is your customer?

506
00:19:13.000 --> 00:19:14.000
Yeah.

507
00:19:14.000 --> 00:19:15.000
Okay, got it.

508
00:19:15.000 --> 00:19:16.000
Okay.

509
00:19:16.000 --> 00:19:18.000
So the issue is focus and avatar.

510
00:19:18.000 --> 00:19:20.000
Why is that a problem?

511
00:19:20.000 --> 00:19:21.000
Okay.

512
00:19:21.000 --> 00:19:24.000
So basically, because we...

513
00:19:24.000 --> 00:19:26.000
So we have two avatars.

514
00:19:26.000 --> 00:19:28.000
So obviously the asset...

515
00:19:28.000 --> 00:19:32.000
The asset we have control of is obviously the property.

516
00:19:33.000 --> 00:19:35.000
We can use that for different services.

517
00:19:35.000 --> 00:19:40.000
So we can have a rent out to professionals who need rooms on a short-term basis, which we do.

518
00:19:40.000 --> 00:19:45.000
Or we can rent out rooms to kids in care who need support and accommodation.

519
00:19:45.000 --> 00:19:47.000
My issue is...

520
00:19:47.000 --> 00:19:49.000
Which one do I pick?

521
00:19:49.000 --> 00:19:51.000
I don't have time.

522
00:19:51.000 --> 00:19:52.000
Okay.

523
00:19:52.000 --> 00:19:55.000
Say the two people that you're running it out to is the difference.

524
00:19:55.000 --> 00:19:56.000
Okay.

525
00:19:56.000 --> 00:19:58.000
So working professionals is one.

526
00:19:58.000 --> 00:19:59.000
Okay.

527
00:19:59.000 --> 00:20:01.000
The second is kids in care.

528
00:20:01.000 --> 00:20:02.000
Yeah.

529
00:20:02.000 --> 00:20:04.000
What's the revenue split note?

530
00:20:04.000 --> 00:20:06.000
Right now just working professionals.

531
00:20:06.000 --> 00:20:09.000
So the whole kids thing doesn't exist right now?

532
00:20:09.000 --> 00:20:10.000
Not them, I'm not.

533
00:20:10.000 --> 00:20:12.000
But wait, but wait, but I'll tell you why.

534
00:20:12.000 --> 00:20:13.000
I'll tell you why.

535
00:20:13.000 --> 00:20:14.000
So we were doing it.

536
00:20:14.000 --> 00:20:15.000
We were doing it.

537
00:20:15.000 --> 00:20:16.000
Like this guy's doing the Lord's work.

538
00:20:16.000 --> 00:20:17.000
Is that what I said?

539
00:20:17.000 --> 00:20:18.000
Yeah.

540
00:20:18.000 --> 00:20:21.000
For now, I'm just a landlord.

541
00:20:21.000 --> 00:20:22.000
So we actually...

542
00:20:22.000 --> 00:20:25.000
So I actually scaled it from one to six, right?

543
00:20:25.000 --> 00:20:30.000
And my business partner had an inappropriate relationship with one of the kids in care.

544
00:20:30.000 --> 00:20:31.000
And it completely fucked me.

545
00:20:31.000 --> 00:20:32.000
I mean, we'll do it technically.

546
00:20:32.000 --> 00:20:33.000
He fucked her.

547
00:20:33.000 --> 00:20:34.000
Yeah.

548
00:20:34.000 --> 00:20:39.000
Well, we don't know if he fucked her, but it was inappropriate.

549
00:20:39.000 --> 00:20:40.000
It was inappropriate.

550
00:20:40.000 --> 00:20:42.000
That highest Q&A I've had today.

551
00:20:42.000 --> 00:20:43.000
Persure it.

552
00:20:43.000 --> 00:20:44.000
Alright.

553
00:20:44.000 --> 00:20:47.000
And it's like, it really ruined the brand.

554
00:20:47.000 --> 00:20:49.000
I mean, we're doing really, really well.

555
00:20:49.000 --> 00:20:53.000
And it's like, obviously, due to safeguarding and risk, we kind of started losing all our contracts

556
00:20:53.000 --> 00:20:54.000
and they took all their kids out.

557
00:20:54.000 --> 00:20:56.000
I've got empty properties.

558
00:20:56.000 --> 00:20:59.000
So I just went to the professionals just to keep obviously paying my bills.

559
00:20:59.000 --> 00:21:00.000
Got it.

560
00:21:00.000 --> 00:21:01.000
Okay.

561
00:21:01.000 --> 00:21:03.000
That helps a lot more context-wise.

562
00:21:03.000 --> 00:21:05.000
So you sneak that by me.

563
00:21:05.000 --> 00:21:06.000
No.

564
00:21:06.000 --> 00:21:08.000
So you can fill up all your properties using the professionals?

565
00:21:08.000 --> 00:21:09.000
Yeah.

566
00:21:09.000 --> 00:21:10.000
Well, we've been seven days.

567
00:21:10.000 --> 00:21:11.000
Okay.

568
00:21:11.000 --> 00:21:13.000
So is it just that your heart's not in it with the professionals and you're in it?

569
00:21:13.000 --> 00:21:14.000
Yeah.

570
00:21:14.000 --> 00:21:15.000
Okay.

571
00:21:15.000 --> 00:21:16.000
Cool.

572
00:21:16.000 --> 00:21:17.000
Well, first off, kudos.

573
00:21:17.000 --> 00:21:18.000
How difficult is it?

574
00:21:18.000 --> 00:21:20.000
How quickly can you fill it up with kids?

575
00:21:20.000 --> 00:21:21.000
Okay.

576
00:21:21.000 --> 00:21:22.000
Three to six months.

577
00:21:22.000 --> 00:21:23.000
Three to six months.

578
00:21:23.000 --> 00:21:24.000
Yeah.

579
00:21:24.000 --> 00:21:25.000
And we're guessing you have a cash flow issue in the meantime.

580
00:21:25.000 --> 00:21:26.000
Yeah.

581
00:21:26.000 --> 00:21:27.000
Yeah.

582
00:21:27.000 --> 00:21:28.000
So yeah.

583
00:21:28.000 --> 00:21:30.000
I think you got to bridge the gap to where you want to go.

584
00:21:30.000 --> 00:21:31.000
Okay.

585
00:21:31.000 --> 00:21:36.000
So like basically sometimes you got to do what you don't want to do to get to what you

586
00:21:36.000 --> 00:21:37.000
do want to do.

587
00:21:37.000 --> 00:21:40.000
You know, like as much as I could be like, you should only serve the one person.

588
00:21:40.000 --> 00:21:43.000
Like, I think that you have the properties you already have leases on.

589
00:21:43.000 --> 00:21:45.000
You have the commitments that you have to stick with.

590
00:21:45.000 --> 00:21:48.000
Fill up the properties with the working professionals so that you can create cash flow.

591
00:21:48.000 --> 00:21:54.000
I would consider just rebranding the old one given your partner and then just kind of relaunching.

592
00:21:54.000 --> 00:21:58.000
If you can bandwidth wise in parallel, but just knowing that this is going to be basically an asset that you're

593
00:21:58.000 --> 00:21:59.000
going to sunset.

594
00:21:59.000 --> 00:22:03.000
Is there a huge amount of like operational resources after it gets filled up that you have to deploy

595
00:22:03.000 --> 00:22:05.000
to like manage it or no?

596
00:22:05.000 --> 00:22:06.000
The kids and kids.

597
00:22:06.000 --> 00:22:07.000
Professional.

598
00:22:07.000 --> 00:22:08.000
No, easy.

599
00:22:08.000 --> 00:22:09.000
Okay.

600
00:22:09.000 --> 00:22:10.000
Yeah.

601
00:22:10.000 --> 00:22:11.000
I will say this is side note.

602
00:22:11.000 --> 00:22:13.000
Notice how easy it is to like make money in this other thing versus the hard thing.

603
00:22:13.000 --> 00:22:15.000
In general, if you weren't like, I really want to help the kids.

604
00:22:15.000 --> 00:22:17.000
I'd be like, dude, just do the really easy one.

605
00:22:17.000 --> 00:22:19.000
No, you're like, it takes nothing.

606
00:22:19.000 --> 00:22:20.000
I could fill it up in a day.

607
00:22:20.000 --> 00:22:21.000
Cash flow is whatever.

608
00:22:21.000 --> 00:22:23.000
Like, do more of that.

609
00:22:23.000 --> 00:22:24.000
If the goal was money.

610
00:22:24.000 --> 00:22:25.000
Yeah.

611
00:22:25.000 --> 00:22:26.000
If the goal, like, okay.

612
00:22:26.000 --> 00:22:28.000
Well, the goal, the goal is money.

613
00:22:28.000 --> 00:22:33.000
I mean, I can, but, but, but I can, I can, I can feel for professionals, we can fill houses

614
00:22:33.000 --> 00:22:34.000
within seven days.

615
00:22:34.000 --> 00:22:37.000
And what I put out my builder, I get it back within seven days.

616
00:22:37.000 --> 00:22:39.000
And I just keep doing that.

617
00:22:39.000 --> 00:22:42.000
And the constraint is obviously finding the leases, right?

618
00:22:42.000 --> 00:22:45.000
So my, my plan was to build it out.

619
00:22:45.000 --> 00:22:46.000
Do as many as we can.

620
00:22:46.000 --> 00:22:49.000
Use the cash flow to then obviously open up the kids home.

621
00:22:49.000 --> 00:22:52.000
And it may be convinced that you want to do that.

622
00:22:52.000 --> 00:22:53.000
Yeah.

623
00:22:53.000 --> 00:22:54.000
Because, all right.

624
00:22:54.000 --> 00:22:55.000
So you get, you can flicking priorities.

625
00:22:55.000 --> 00:22:56.000
Okay.

626
00:22:56.000 --> 00:22:57.000
That's the issue.

627
00:22:57.000 --> 00:22:58.000
So it's like, it's a sequence thing, right?

628
00:22:58.000 --> 00:23:00.000
Like, you have a thing that you're good at making money on.

629
00:23:00.000 --> 00:23:01.000
And then you have a thing that you want to give back on.

630
00:23:01.000 --> 00:23:04.000
I would imagine the professionals want to make you more money than the kids want to do.

631
00:23:04.000 --> 00:23:05.000
No.

632
00:23:05.000 --> 00:23:06.000
It does it.

633
00:23:06.000 --> 00:23:07.000
No.

634
00:23:07.000 --> 00:23:08.000
Man, this thing.

635
00:23:08.000 --> 00:23:10.000
Kids is like three times, maybe four times.

636
00:23:10.000 --> 00:23:15.000
So, so I would make, so let's say, for example, what I make from five properties I can make from one kid home.

637
00:23:15.000 --> 00:23:16.000
Okay.

638
00:23:16.000 --> 00:23:18.000
So I stand by my original thing.

639
00:23:18.000 --> 00:23:21.000
Breeds this for the cash flow and then switch to the kids.

640
00:23:21.000 --> 00:23:26.000
Professionals fill up your existing ones so that you don't, you're not going into debt and you're not going negative.

641
00:23:26.000 --> 00:23:28.000
And then basically the rest of your priorities going forward.

642
00:23:28.000 --> 00:23:29.000
You sunset that.

643
00:23:29.000 --> 00:23:31.000
It's like, that was the our legacy model that we do kids.

644
00:23:31.000 --> 00:23:34.000
When you mean sunset, please, elaborate what do you mean?

645
00:23:34.000 --> 00:23:36.000
Don't keep growing that's out of the business.

646
00:23:36.000 --> 00:23:37.000
The professionals.

647
00:23:37.000 --> 00:23:38.000
Right.

648
00:23:38.000 --> 00:23:40.000
Fill up the ones you have because you have all these vacancies because you had to get the kids out.

649
00:23:40.000 --> 00:23:41.000
Fill it up really quickly.

650
00:23:41.000 --> 00:23:42.000
Get the cash flow back up.

651
00:23:42.000 --> 00:23:46.000
And then if you can make more money with the kids thing, and that's what you want to do it.

652
00:23:46.000 --> 00:23:47.000
And you make more money.

653
00:23:47.000 --> 00:23:48.000
Do that.

654
00:23:48.000 --> 00:23:49.000
But you got to get to there.

655
00:23:49.000 --> 00:23:50.000
Yeah.

656
00:23:50.000 --> 00:23:51.000
That's my two cents.

657
00:23:51.000 --> 00:23:52.000
Thank you.

658
00:23:52.000 --> 00:23:53.000
I can offer you one more.

659
00:23:53.000 --> 00:23:54.000
One more.

660
00:23:54.000 --> 00:23:55.000
Okay.

661
00:23:55.000 --> 00:24:00.000
In terms of like your top five meta skills, what would you like left field?

662
00:24:00.000 --> 00:24:01.000
Okay.

663
00:24:01.000 --> 00:24:02.000
Got it.

664
00:24:02.000 --> 00:24:09.000
So what are your top five meta skills you would learn that give the highest projected output in terms of increasing business value?

665
00:24:09.000 --> 00:24:11.000
I know leadership is one of them.

666
00:24:11.000 --> 00:24:12.000
Yeah.

667
00:24:12.000 --> 00:24:16.000
I mean, I really think prioritization is the most important skill.

668
00:24:16.000 --> 00:24:17.000
So.

669
00:24:17.000 --> 00:24:18.000
Thank you, sir.

670
00:24:18.000 --> 00:24:19.000
Everyone here is limited.

671
00:24:19.000 --> 00:24:20.000
Yeah.

672
00:24:20.000 --> 00:24:22.000
So it's what you do with the limit.

673
00:24:22.000 --> 00:24:23.000
Thank you.

674
00:24:23.000 --> 00:24:24.000
You bet.

675
00:24:24.000 --> 00:24:25.000
Thank you, man.

676
00:24:25.000 --> 00:24:26.000
My name is Don.

677
00:24:26.000 --> 00:24:30.000
I sell Christmas light installation to home and business owners.

678
00:24:30.000 --> 00:24:31.000
Love it.

679
00:24:31.000 --> 00:24:36.000
Last year we did 450k and this year I'd like to be a two million.

680
00:24:36.000 --> 00:24:37.000
Awesome.

681
00:24:37.000 --> 00:24:45.000
What's stopping me is that I still have prices when I started the business two years ago for some businesses or for some clients.

682
00:24:45.000 --> 00:24:54.000
So I'd like to know how can I increase the perceived value so that I could increase my prices while still doing the same thing.

683
00:24:54.000 --> 00:24:58.000
Can you just say a higher number when you get to the asking for my part?

684
00:24:58.000 --> 00:25:03.000
So for example, if I've been charging a house $1,000 for an install and take down.

685
00:25:03.000 --> 00:25:04.000
No, I understand.

686
00:25:04.000 --> 00:25:05.000
I understand.

687
00:25:05.000 --> 00:25:11.000
I'm saying like what stops you from just changing nothing and just saying a higher price.

688
00:25:11.000 --> 00:25:13.000
Like this year it'll be 2000.

689
00:25:13.000 --> 00:25:14.000
Yeah.

690
00:25:14.000 --> 00:25:15.000
I guess nothing.

691
00:25:15.000 --> 00:25:17.000
But the perceived value.

692
00:25:17.000 --> 00:25:19.000
That feels like the easiest thing to do.

693
00:25:19.000 --> 00:25:20.000
Yeah.

694
00:25:20.000 --> 00:25:23.000
So I wanted to know like if there's a script or anything how.

695
00:25:23.000 --> 00:25:24.000
Okay.

696
00:25:24.000 --> 00:25:25.000
So a couple of things.

697
00:25:25.000 --> 00:25:31.000
So one is that it feels like you need to be sold more than anything, which like great, but are you good at it?

698
00:25:32.000 --> 00:25:33.000
Good at sales.

699
00:25:33.000 --> 00:25:34.000
Yeah.

700
00:25:34.000 --> 00:25:35.000
Oh, Christopher straight lights.

701
00:25:35.000 --> 00:25:36.000
Oh, yeah.

702
00:25:36.000 --> 00:25:37.000
Okay.

703
00:25:37.000 --> 00:25:38.000
Go the best.

704
00:25:38.000 --> 00:25:39.000
So great.

705
00:25:39.000 --> 00:25:40.000
So then you can charge wherever you want.

706
00:25:40.000 --> 00:25:46.000
In terms of it has the business all come from referrals from Google leads and referrals.

707
00:25:46.000 --> 00:25:47.000
Okay.

708
00:25:47.000 --> 00:25:48.000
Got it.

709
00:25:48.000 --> 00:25:49.000
So you want to get to $2 million.

710
00:25:49.000 --> 00:25:50.000
Are you raising your prices?

711
00:25:50.000 --> 00:25:52.000
What percentage do you want to raise them?

712
00:25:52.000 --> 00:25:53.000
Probably 50%.

713
00:25:53.000 --> 00:25:54.000
Okay.

714
00:25:54.000 --> 00:25:55.000
Got it.

715
00:25:55.000 --> 00:25:57.000
So the thing is is like if you want to raise them 50%.

716
00:25:57.000 --> 00:26:00.000
I'll bet you got so much more room than that because you seem not as convicted.

717
00:26:00.000 --> 00:26:02.000
So I'll bet you there's like a ton of room.

718
00:26:02.000 --> 00:26:03.000
Okay.

719
00:26:03.000 --> 00:26:04.000
So you're charging.

720
00:26:04.000 --> 00:26:05.000
Okay.

721
00:26:05.000 --> 00:26:11.000
Let's just let's start with 50 and then bump it again another 50 if basically you have no change in close rates.

722
00:26:11.000 --> 00:26:18.000
And I would like you to keep bumping it by 50% until you see that you're making less money.

723
00:26:18.000 --> 00:26:19.000
Got it.

724
00:26:19.000 --> 00:26:20.000
That's not okay.

725
00:26:20.000 --> 00:26:21.000
It's not simple.

726
00:26:21.000 --> 00:26:22.000
Okay.

727
00:26:22.000 --> 00:26:23.000
That sounds great.

728
00:26:23.000 --> 00:26:24.000
I love this.

729
00:26:24.000 --> 00:26:26.000
Is that as good for you as it was for me?

730
00:26:26.000 --> 00:26:27.000
I'm kidding.

731
00:26:27.000 --> 00:26:29.000
That's what your partner said.

732
00:26:29.000 --> 00:26:30.000
There you go.

733
00:26:30.000 --> 00:26:31.000
Okay.

734
00:26:31.000 --> 00:26:32.000
Okay.

735
00:26:32.000 --> 00:26:36.000
So I'll give you a little script for the people who are old that are going to come back because I know some of them are going to recur.

736
00:26:36.000 --> 00:26:45.000
Is that I would give them a heads up ahead of time and say, hey, just so you know, we're raising prices on all these new crazy people who are trying to give us money.

737
00:26:45.000 --> 00:26:49.000
But since you're a new old OG.

738
00:26:49.000 --> 00:27:00.000
If you want to reward you for being a previous customer, I'll honor your old price as long as you buy now for Christmas.

739
00:27:00.000 --> 00:27:02.000
Otherwise, you'll get the new price.

740
00:27:02.000 --> 00:27:05.000
So it's like, I'm giving you the love now because I'm like, hey, I'm letting you in.

741
00:27:05.000 --> 00:27:07.000
But then you can front forward.

742
00:27:07.000 --> 00:27:09.000
You can pull cash flow forward.

743
00:27:09.000 --> 00:27:10.000
That makes sense?

744
00:27:10.000 --> 00:27:11.000
Perfect.

745
00:27:11.000 --> 00:27:14.000
And then everybody else just raised a price and you'll feel okay about it because you have a full bank account.

746
00:27:14.000 --> 00:27:15.000
Right.

747
00:27:15.000 --> 00:27:16.000
Okay.

748
00:27:16.000 --> 00:27:17.000
Thank you.

749
00:27:17.000 --> 00:27:18.000
Alex.

750
00:27:18.000 --> 00:27:19.000
My name is Alex.

751
00:27:19.000 --> 00:27:20.000
What's up, Mia?

752
00:27:20.000 --> 00:27:24.000
We sell residential window replacements to homeowners.

753
00:27:24.000 --> 00:27:25.000
Okay.

754
00:27:25.000 --> 00:27:28.000
We did 84 million in revenue last year.

755
00:27:28.000 --> 00:27:29.000
Residential.

756
00:27:29.000 --> 00:27:30.000
Windows.

757
00:27:30.000 --> 00:27:31.000
To homeowners.

758
00:27:31.000 --> 00:27:32.000
To homeowners.

759
00:27:32.000 --> 00:27:33.000
Okay.

760
00:27:33.000 --> 00:27:34.000
Got it.

761
00:27:34.000 --> 00:27:35.000
84.

762
00:27:35.000 --> 00:27:36.000
Okay.

763
00:27:36.000 --> 00:27:37.000
Yep.

764
00:27:37.000 --> 00:27:38.000
Today we have had a Google Sheets empire.

765
00:27:38.000 --> 00:27:39.000
What empire?

766
00:27:39.000 --> 00:27:40.000
A Google Sheets empire.

767
00:27:40.000 --> 00:27:43.000
And we're starting to build out a hub spot.

768
00:27:43.000 --> 00:27:44.000
Okay.

769
00:27:44.000 --> 00:27:46.000
We spent the last few months building out the frameworks of our love spot.

770
00:27:46.000 --> 00:27:47.000
Are you involved in it?

771
00:27:47.000 --> 00:27:48.000
Very involved.

772
00:27:48.000 --> 00:27:49.000
Okay.

773
00:27:49.000 --> 00:27:50.000
Good.

774
00:27:50.000 --> 00:27:54.000
That's what I wanted to ask you about because I know you just moved out your portfolio companies

775
00:27:54.000 --> 00:27:55.000
to hub spot.

776
00:27:55.000 --> 00:27:56.000
Who said that?

777
00:27:56.000 --> 00:27:57.000
You.

778
00:27:57.000 --> 00:27:58.000
When?

779
00:27:58.000 --> 00:27:59.000
On one of your podcasts.

780
00:27:59.000 --> 00:28:00.000
Jesus.

781
00:28:00.000 --> 00:28:01.000
It's like, I say it on one podcast like four years ago.

782
00:28:01.000 --> 00:28:02.000
It's like everyone.

783
00:28:02.000 --> 00:28:04.000
There's like the best hub spot endorsement ever.

784
00:28:04.000 --> 00:28:05.000
Anyways.

785
00:28:05.000 --> 00:28:06.000
Yeah.

786
00:28:06.000 --> 00:28:07.000
The question I have.

787
00:28:07.000 --> 00:28:08.000
So we're going to roll this out across 16 offices.

788
00:28:08.000 --> 00:28:09.000
Yeah.

789
00:28:09.000 --> 00:28:10.000
Hopefully a hard launch march first.

790
00:28:10.000 --> 00:28:12.000
I don't want to pay the ignorance tax if I don't have to.

791
00:28:12.000 --> 00:28:13.000
So what advice would you have?

792
00:28:13.000 --> 00:28:14.000
Stake.

793
00:28:14.000 --> 00:28:18.000
Basically, you just need like your CEO of IT for basically this whole quarter.

794
00:28:18.000 --> 00:28:19.000
It's the easiest way to say it.

795
00:28:19.000 --> 00:28:23.000
And so I would have really rapid feedback loops with each of the department heads.

796
00:28:23.000 --> 00:28:26.000
If you have functional heads at the holding company and then you'd want to have basically

797
00:28:26.000 --> 00:28:28.000
separate lines of communication for all the location heads.

798
00:28:28.000 --> 00:28:30.000
So I think about you use Slack or something like that.

799
00:28:30.000 --> 00:28:31.000
Just box or yeah.

800
00:28:31.000 --> 00:28:32.000
Really?

801
00:28:32.000 --> 00:28:33.000
Yeah.

802
00:28:33.000 --> 00:28:34.000
Cheers.

803
00:28:34.000 --> 00:28:35.000
Okay.

804
00:28:35.000 --> 00:28:36.000
Yeah.

805
00:28:36.000 --> 00:28:39.000
So I'd want to have dip basically different threads by function.

806
00:28:39.000 --> 00:28:40.000
So one is the actual function.

807
00:28:40.000 --> 00:28:44.000
So people who are handling sales, people who are any marketing and I'd have the leaders

808
00:28:44.000 --> 00:28:45.000
there.

809
00:28:45.000 --> 00:28:48.000
And then I still want like you basically want the different slices, basically lines of communication

810
00:28:48.000 --> 00:28:54.000
to the different slices of the org so that you can get as much transparency top down into

811
00:28:54.000 --> 00:28:57.000
how it's working for them and making their life easier.

812
00:28:57.000 --> 00:29:03.000
And then that way you can triage basically which because you have limited resources in terms

813
00:29:03.000 --> 00:29:06.000
of which of these bugs are going to fix, you know, which process flow sucks.

814
00:29:06.000 --> 00:29:07.000
Right.

815
00:29:07.000 --> 00:29:11.000
And then you can basically stack order which of these things as a highest driver for revenue.

816
00:29:11.000 --> 00:29:15.440
And but you can't really do it appropriately unless you basically can drink and all that

817
00:29:15.440 --> 00:29:18.000
all that information and as are you CEO.

818
00:29:18.000 --> 00:29:19.000
No.

819
00:29:19.000 --> 00:29:20.000
I am okay.

820
00:29:20.000 --> 00:29:21.000
Yeah.

821
00:29:21.000 --> 00:29:22.000
But but you're in charge of it.

822
00:29:22.000 --> 00:29:23.000
So you're CEO of this.

823
00:29:23.000 --> 00:29:28.480
So that that's that's basically just like you need to eat, breathe, breathe and sleep this

824
00:29:28.480 --> 00:29:29.480
stuff.

825
00:29:29.480 --> 00:29:30.480
Yeah.

826
00:29:30.480 --> 00:29:31.480
Oh, that's helpful.

827
00:29:31.480 --> 00:29:32.480
Thank you.

828
00:29:32.480 --> 00:29:33.480
Yeah.

829
00:29:33.480 --> 00:29:34.480
Yeah.

830
00:29:34.480 --> 00:29:35.480
Just like it's okay that it is unscalable.

831
00:29:35.480 --> 00:29:36.480
Got it.

832
00:29:36.880 --> 00:29:39.480
But you have to do that in order to make it scalable.

833
00:29:39.480 --> 00:29:40.480
Yeah.

834
00:29:40.480 --> 00:29:41.480
Thank you.

835
00:29:41.480 --> 00:29:42.480
Yeah.

836
00:29:42.480 --> 00:29:43.480
Yeah.

837
00:29:43.480 --> 00:29:44.480
So first of all, thank you.

838
00:29:44.480 --> 00:29:47.480
You and your team for the things that you are doing.

839
00:29:47.480 --> 00:29:48.480
No, you bet.

840
00:29:48.480 --> 00:29:49.480
Yeah.

841
00:29:49.480 --> 00:29:50.480
My name is Paulus.

842
00:29:50.480 --> 00:29:53.480
This is what I'm doing that you said already.

843
00:29:53.480 --> 00:30:00.480
And for the I guess three, four years seems like I just kind of lost something like why

844
00:30:01.480 --> 00:30:08.480
or stuff like this because two and a half, maybe already three years ago, we planned to

845
00:30:08.480 --> 00:30:15.480
go from what what I have right now because it's a one man company, just a few team team

846
00:30:15.480 --> 00:30:16.480
members.

847
00:30:16.480 --> 00:30:24.480
Now it's four hundred sixteen revenue the last year and the goal was two point three mill.

848
00:30:25.480 --> 00:30:29.480
Maybe this is the why I lost this on the way.

849
00:30:29.480 --> 00:30:30.480
Uh-huh.

850
00:30:30.480 --> 00:30:37.480
So I just wanted to know what's your why, why you are doing, what you are doing.

851
00:30:37.480 --> 00:30:40.480
I like working.

852
00:30:40.480 --> 00:30:45.480
I'm dead like I spent a year thinking about that question when I had enough money to do

853
00:30:45.480 --> 00:30:49.480
whatever I wanted and just like could just live on treasury bills for the rest of my life.

854
00:30:49.480 --> 00:30:53.480
When I looked back on the days that I enjoyed most, they had three things in common.

855
00:30:54.480 --> 00:30:55.480
I worked out.

856
00:30:55.480 --> 00:31:01.480
I ate with people that I liked and I worked hard and had something to show for it.

857
00:31:01.480 --> 00:31:03.480
And had nothing left in the tank.

858
00:31:03.480 --> 00:31:07.480
And so once I realized that those were the days that I enjoyed the most that I made my goal

859
00:31:07.480 --> 00:31:10.480
to live as many of those days and rows I could.

860
00:31:10.480 --> 00:31:18.480
And the way that I live my life bothers a lot of people and that's okay.

861
00:31:18.480 --> 00:31:23.480
And so I think, I mean, I got that advice when I was twenty two years old from,

862
00:31:23.480 --> 00:31:28.480
I'll just, whatever, from a person in my past.

863
00:31:28.480 --> 00:31:33.480
And I had a good weekend and I started work and she said, you're in a good mood.

864
00:31:33.480 --> 00:31:35.480
And I was like, yeah, it's just, you know, a good weekend.

865
00:31:35.480 --> 00:31:39.480
She was like, I'm pretty sure the secret happiness is living as many days in a row like that as you can.

866
00:31:39.480 --> 00:31:43.480
And that was like the closest to operationalizing kind of joy that I'd ever heard.

867
00:31:43.480 --> 00:31:45.480
And so I have just stuck with that.

868
00:31:45.480 --> 00:31:48.480
And I think that the things that bring you joy will change over time.

869
00:31:48.480 --> 00:31:53.480
But I think that structure of just trying to find what that perfect day is and living it as many days in a row as you can

870
00:31:53.480 --> 00:31:55.480
is kind of the way to do it.

871
00:31:55.480 --> 00:31:56.480
That's how I do it.

872
00:31:56.480 --> 00:31:57.480
You can do it.

873
00:31:57.480 --> 00:31:58.480
Yeah.

874
00:31:58.480 --> 00:32:05.480
As a side note, for those of you who feel like you have lost your passion for your prospect.

875
00:32:05.480 --> 00:32:07.480
And I'll, I'll give you a simple example.

876
00:32:07.480 --> 00:32:12.480
Like I used to sell weight loss to women between the age of 25 and 55.

877
00:32:13.480 --> 00:32:16.480
And at a certain point, I just really stopped caring.

878
00:32:16.480 --> 00:32:18.480
They were like, oh my God, my life changed forever.

879
00:32:18.480 --> 00:32:23.480
And I was like, I know you had a calorie deficit and you moved like, yes, that's how that works.

880
00:32:23.480 --> 00:32:28.480
And I would have to kind of like fake myself into feeling excited about it.

881
00:32:28.480 --> 00:32:33.480
I, it really bothered me because I was like, I quit my job to do something that I loved and I don't really care about this.

882
00:32:33.480 --> 00:32:37.480
I ended up loving business more than I loved weight loss and then I fell into that.

883
00:32:38.480 --> 00:32:45.480
But I had a friend who was a personal trainer who quit being a personal trainer and started a cookie business.

884
00:32:45.480 --> 00:32:48.480
Brick and mortar, big cookie store, like did it right.

885
00:32:48.480 --> 00:32:52.480
And I remember being like, are you passionate about cookies?

886
00:32:52.480 --> 00:32:55.480
And he was like, not really.

887
00:32:55.480 --> 00:32:56.480
And I was like, but he crushed it.

888
00:32:56.480 --> 00:32:57.480
He did a really good job.

889
00:32:57.480 --> 00:32:59.480
Everything was like really tight.

890
00:32:59.480 --> 00:33:05.480
And what I realized was that he was passionate about doing things well.

891
00:33:05.480 --> 00:33:07.480
Rather than the cookie business.

892
00:33:07.480 --> 00:33:13.480
And once I realized that I was like, oh, I don't have to be passionate about weight loss, but I can be passionate about being good.

893
00:33:13.480 --> 00:33:16.480
And just saying like, when I do things, I will do them well.

894
00:33:16.480 --> 00:33:21.480
And I think that has been something that has helped me stay motivated in times when I feel less so.

895
00:33:21.480 --> 00:33:28.480
Real quick guys, I have a special, special gift for you for being loyal listeners of the podcast.

896
00:33:28.480 --> 00:33:34.480
Layla and I spent probably an entire quarter putting together our scaling roadmap.

897
00:33:34.480 --> 00:33:39.480
It's breaking scaling into 10 stages and across all eight functions of the business.

898
00:33:39.480 --> 00:33:46.480
So you've got marketing, you've got sales, you've got product, you got customer success, you've got IT, you've got recruiting, you've got HR, you've got finance.

899
00:33:46.480 --> 00:33:50.480
And we show the problems that emerged at every level of scale and how to graduate to the next level.

900
00:33:50.480 --> 00:33:56.480
It's all free and you can get it personalized to you since about 30-ish pages for each of the stages.

901
00:33:56.480 --> 00:34:01.480
Once you answer the questions, it will tell you exactly where you're at and what you need to do to grow.

902
00:34:01.480 --> 00:34:07.480
It's about 14 hours of stuff, but it's narrowed down so that you only have to watch the part that's relevant to you, which will probably be about 90 minutes.

903
00:34:07.480 --> 00:34:16.480
And so if that's at all interesting, you can go to acquisition.com forward slash road map, R-O-A-D map, road map.

904
00:34:16.480 --> 00:34:17.480
Hey, Alex.

905
00:34:17.480 --> 00:34:18.480
Hello.

906
00:34:18.480 --> 00:34:22.480
My name is Heather. I own a consulting firm called Channel Maven.

907
00:34:22.480 --> 00:34:27.480
We help large IT companies sell better through and with their partners.

908
00:34:27.480 --> 00:34:31.480
I revenue was 3.6 million.

909
00:34:31.480 --> 00:34:33.480
I sold it in 2021.

910
00:34:33.480 --> 00:34:34.480
Thanks.

911
00:34:34.480 --> 00:34:38.480
Ran marketing for the company that acquired us. They called it an aqua hire.

912
00:34:39.480 --> 00:34:45.480
And convinced the board six months ago that I was done and they should give me the name back.

913
00:34:45.480 --> 00:34:48.480
So got the name, got the IP.

914
00:34:48.480 --> 00:34:51.480
I get to start over, not make the mistakes I made before.

915
00:34:51.480 --> 00:34:57.480
The market has shrunk, so that channel role is being pushed out.

916
00:34:57.480 --> 00:35:02.480
And when I started it, there were five consulting companies I competed with.

917
00:35:02.480 --> 00:35:05.480
Now they're probably 200.

918
00:35:06.480 --> 00:35:08.480
Do I focus more?

919
00:35:08.480 --> 00:35:11.480
Like channel marketing is probably what I'm best known for.

920
00:35:11.480 --> 00:35:14.480
Do I focus more on that in this industry?

921
00:35:14.480 --> 00:35:20.480
Or do I go just B2B and like help kitchen and bath companies sell through dealers or automobiles?

922
00:35:20.480 --> 00:35:21.480
They say channel.

923
00:35:21.480 --> 00:35:22.480
Yeah, explain.

924
00:35:22.480 --> 00:35:24.480
Darling to the channel channel sales that you're talking about.

925
00:35:24.480 --> 00:35:25.480
Yeah.

926
00:35:25.480 --> 00:35:32.480
So a large IT company sells direct, but they also sell through hundreds of thousands of mom and pop channel partners,

927
00:35:32.480 --> 00:35:35.480
or Accenture, or now marketplace.

928
00:35:35.480 --> 00:35:36.480
So like affiliates.

929
00:35:36.480 --> 00:35:37.480
Yeah.

930
00:35:37.480 --> 00:35:38.480
Got it.

931
00:35:38.480 --> 00:35:39.480
Okay.

932
00:35:39.480 --> 00:35:44.480
So you're an affiliate expert for big IT companies and you have a network of people that can do basically sell their services for them with a markup.

933
00:35:44.480 --> 00:35:45.480
Yeah.

934
00:35:45.480 --> 00:35:51.480
I mean, I basically made an announcement on LinkedIn that I was back and did 360K in four months.

935
00:35:51.480 --> 00:35:52.480
That's awesome.

936
00:35:52.480 --> 00:35:53.480
Yeah.

937
00:35:53.480 --> 00:35:54.480
Thanks.

938
00:35:54.480 --> 00:35:58.480
So the question is, well, I mean, it sounds like you did okay with your announcement.

939
00:35:58.480 --> 00:36:01.480
Why do you feel like you can't outcompete the other people?

940
00:36:01.480 --> 00:36:09.480
Um, I just feel like my champions, the 14,000 people that follow me on LinkedIn are starting to phase out a bit.

941
00:36:09.480 --> 00:36:12.480
And it's just gotten super crowded.

942
00:36:12.480 --> 00:36:13.480
And this is the channel part.

943
00:36:13.480 --> 00:36:14.480
So the crowded part doesn't bother me at all.

944
00:36:14.480 --> 00:36:15.480
Yeah.

945
00:36:15.480 --> 00:36:16.480
Because that just means that there's lots of demand.

946
00:36:16.480 --> 00:36:18.480
My lines are the tech.

947
00:36:18.480 --> 00:36:19.480
So HP Google.

948
00:36:19.480 --> 00:36:20.480
Yeah.

949
00:36:20.480 --> 00:36:23.480
So the 14,000 people you have a lot of high up people in those companies who follow you.

950
00:36:23.480 --> 00:36:24.480
Yeah.

951
00:36:24.480 --> 00:36:27.480
I mean, you could do either path, but.

952
00:36:27.480 --> 00:36:29.480
I mean, it's a good question.

953
00:36:29.480 --> 00:36:34.480
It was, I think it's, it's, I think it's more the statements that would initially jar me of like.

954
00:36:34.480 --> 00:36:35.480
It's saturated.

955
00:36:35.480 --> 00:36:37.480
I think it's going away.

956
00:36:37.480 --> 00:36:39.480
Things like that because.

957
00:36:39.480 --> 00:36:43.480
You know, my, my, my big questions are always logic evidence utility.

958
00:36:43.480 --> 00:36:46.480
So, uh, uh, what does that mean?

959
00:36:46.480 --> 00:36:47.480
I like to find that for me.

960
00:36:47.480 --> 00:36:48.480
How do you know that?

961
00:36:48.480 --> 00:36:51.480
And so what logic evidence utility?

962
00:36:51.480 --> 00:36:55.480
So when I asked, you know, channel partners, like, please define that for me.

963
00:36:55.480 --> 00:36:56.480
It's like, okay, that's affiliates.

964
00:36:56.480 --> 00:37:00.480
How do you know that they are going down?

965
00:37:00.480 --> 00:37:01.480
Like, how do you know that?

966
00:37:01.480 --> 00:37:04.480
They're all calling me asking if I know of jobs.

967
00:37:04.480 --> 00:37:06.480
And I'm tracking how long they're on the market.

968
00:37:06.480 --> 00:37:08.480
And on average, it's about 11 months.

969
00:37:08.480 --> 00:37:09.480
Who's on the market for?

970
00:37:09.480 --> 00:37:11.480
Well, they call it a channel chief.

971
00:37:11.480 --> 00:37:13.480
So it's like chief partner officer.

972
00:37:13.480 --> 00:37:14.480
Okay.

973
00:37:14.480 --> 00:37:15.480
And this, but we're looking for jobs.

974
00:37:15.480 --> 00:37:16.480
Yeah.

975
00:37:16.480 --> 00:37:18.480
Because they're all, they're all getting let go.

976
00:37:18.480 --> 00:37:24.480
So then the VP of channel sales reports to the CSO, the VP of channel marketing reports to the CML.

977
00:37:24.480 --> 00:37:27.480
Like that level is just getting.

978
00:37:27.480 --> 00:37:31.480
And when you say a lot of people reached out to you, like, how many is that?

979
00:37:31.480 --> 00:37:39.480
In the last year, because I was still in the channel when the control acquired us, I'd say probably 40 people.

980
00:37:39.480 --> 00:37:40.480
Okay.

981
00:37:40.480 --> 00:37:44.480
The big conflicting data point I have is that you like made a post and made 360 ground.

982
00:37:44.480 --> 00:37:45.480
Yeah.

983
00:37:45.480 --> 00:37:46.480
Yeah.

984
00:37:47.480 --> 00:37:49.480
So you shut up and focus.

985
00:37:49.480 --> 00:37:50.480
Yeah.

986
00:37:50.480 --> 00:37:51.480
No, I mean, it's real though.

987
00:37:51.480 --> 00:37:52.480
Yeah.

988
00:37:52.480 --> 00:37:57.480
I'll tell you what I like, if I'm in your shoes, I get excited by this stuff, maybe because I'm broken on the inside.

989
00:37:57.480 --> 00:37:58.480
Who knows?

990
00:37:58.480 --> 00:37:59.480
But like, I am you.

991
00:37:59.480 --> 00:38:00.480
I work.

992
00:38:00.480 --> 00:38:02.480
I have little kids 50% of the time.

993
00:38:02.480 --> 00:38:04.480
I work nonstop when they're not with me.

994
00:38:04.480 --> 00:38:05.480
Yeah.

995
00:38:05.480 --> 00:38:08.480
And like, I see everyone bleeding and I'm like, let's, let's finish them off.

996
00:38:08.480 --> 00:38:09.480
You know what I mean?

997
00:38:09.480 --> 00:38:11.480
Like, they didn't deserve to be in business to begin with.

998
00:38:11.480 --> 00:38:13.480
And I will make sure that everyone knows.

999
00:38:13.480 --> 00:38:21.480
And so if you have this in and you're better and you're seen as a market leader, if things are consolidating, for example, then it means that.

1000
00:38:21.480 --> 00:38:26.480
Like, as long as if the industry isn't going away, but it's consolidating, it means them winner take all.

1001
00:38:26.480 --> 00:38:30.480
So it just means the stakes got higher, which if you're better, that's a good thing.

1002
00:38:30.480 --> 00:38:31.480
Awesome.

1003
00:38:31.480 --> 00:38:32.480
Thank you.

1004
00:38:32.480 --> 00:38:33.480
Oh, you bet.

1005
00:38:33.480 --> 00:38:38.480
Hey, Alex, my name is Chris and I have a question about the business I'm starting soon.

1006
00:38:38.480 --> 00:38:40.480
So I have known one best right now.

1007
00:38:40.480 --> 00:38:47.480
For my background, I'm a field therapist and character have a academy where I teach medical professionals in my own concept called crack a move.

1008
00:38:47.480 --> 00:38:49.480
And I'm doing social media.

1009
00:38:49.480 --> 00:38:50.480
Okay.

1010
00:38:50.480 --> 00:38:54.480
And I am into the tool where you can crack yourself.

1011
00:38:54.480 --> 00:38:55.480
You're back.

1012
00:38:55.480 --> 00:38:56.480
Like a soft crack.

1013
00:38:56.480 --> 00:38:57.480
If you've left crack, yeah.

1014
00:38:57.480 --> 00:39:01.480
More like a black raw posture role, but really intense and good.

1015
00:39:01.480 --> 00:39:07.480
And you can use it as a customer for your own, for your better posture and pain relief.

1016
00:39:07.480 --> 00:39:13.480
But also the professional for especially some small woman have with some techniques problems.

1017
00:39:13.480 --> 00:39:15.480
You can go your big guy.

1018
00:39:15.480 --> 00:39:18.480
So when I want to crack you, I have to need a small guy.

1019
00:39:18.480 --> 00:39:20.480
So sometimes it's really hard.

1020
00:39:20.480 --> 00:39:29.480
And I would like to know would you focus on one group for selling B2C, for example, just a customer for the problem solve of cracking themself.

1021
00:39:29.480 --> 00:39:33.480
And with a posture program and everything or just the medicals.

1022
00:39:33.480 --> 00:39:38.480
And I have the medicals also my academy with affiliate or both.

1023
00:39:38.480 --> 00:39:40.480
So you are a car practice.

1024
00:39:40.480 --> 00:39:41.480
Yeah.

1025
00:39:41.480 --> 00:39:43.480
And you no longer have your practice.

1026
00:39:43.480 --> 00:39:44.480
I can if I want.

1027
00:39:44.480 --> 00:39:45.480
I have a waiting list.

1028
00:39:45.480 --> 00:39:46.480
But you have a practice.

1029
00:39:46.480 --> 00:39:47.480
Yeah.

1030
00:39:47.480 --> 00:39:50.480
And then you also have an academy where you train other car practice.

1031
00:39:50.480 --> 00:39:51.480
Yes.

1032
00:39:51.480 --> 00:39:52.480
In my concept.

1033
00:39:52.480 --> 00:39:53.480
Yes.

1034
00:39:53.480 --> 00:39:56.480
And you also want to start a physical products business.

1035
00:39:56.480 --> 00:39:57.480
Yeah.

1036
00:39:58.480 --> 00:40:00.480
You don't want to leave money on the table.

1037
00:40:00.480 --> 00:40:03.480
What's revenue right now?

1038
00:40:03.480 --> 00:40:07.480
With my academy, I started one year ago and we have 500k.

1039
00:40:07.480 --> 00:40:09.480
Do you just started it a year ago?

1040
00:40:09.480 --> 00:40:10.480
Yeah.

1041
00:40:10.480 --> 00:40:11.480
Why are you starting another business?

1042
00:40:11.480 --> 00:40:13.480
Because it saw some problems.

1043
00:40:13.480 --> 00:40:15.480
And I found out because I have a...

1044
00:40:15.480 --> 00:40:16.480
Why not sell newspapers?

1045
00:40:16.480 --> 00:40:17.480
You know what I mean?

1046
00:40:17.480 --> 00:40:18.480
Like sell orange juice.

1047
00:40:18.480 --> 00:40:19.480
People are thirsty.

1048
00:40:19.480 --> 00:40:20.480
I could.

1049
00:40:20.480 --> 00:40:21.480
Right.

1050
00:40:21.480 --> 00:40:22.480
No.

1051
00:40:22.480 --> 00:40:23.480
Because of maybe a social media.

1052
00:40:23.480 --> 00:40:24.480
I have an audience.

1053
00:40:24.480 --> 00:40:25.480
I have customers.

1054
00:40:25.480 --> 00:40:26.480
We are a waiting list.

1055
00:40:26.480 --> 00:40:29.480
I have the problem that many people want the treatment.

1056
00:40:29.480 --> 00:40:30.480
I can't give them.

1057
00:40:30.480 --> 00:40:32.480
So I build some expenses.

1058
00:40:32.480 --> 00:40:33.480
You work in businesses.

1059
00:40:33.480 --> 00:40:34.480
Yeah.

1060
00:40:34.480 --> 00:40:36.480
And you would have a third business.

1061
00:40:36.480 --> 00:40:37.480
And it's a physical product business.

1062
00:40:37.480 --> 00:40:38.480
Totally different business.

1063
00:40:38.480 --> 00:40:39.480
Yeah.

1064
00:40:39.480 --> 00:40:40.480
But I have some partners in it.

1065
00:40:40.480 --> 00:40:44.480
So I just have to do the marketing and the development of the tool itself.

1066
00:40:44.480 --> 00:40:46.480
And we already did it.

1067
00:40:46.480 --> 00:40:48.480
So it's ready to launch.

1068
00:40:48.480 --> 00:40:50.480
But the problem.

1069
00:40:51.480 --> 00:40:53.480
Yeah, it's maybe...

1070
00:40:53.480 --> 00:40:56.480
You know, sometimes it's boring just to do one thing at once.

1071
00:40:56.480 --> 00:40:59.480
But in business wise, maybe it's better.

1072
00:40:59.480 --> 00:41:01.480
What's your goal?

1073
00:41:01.480 --> 00:41:02.480
Good question.

1074
00:41:02.480 --> 00:41:04.480
Of course, I want to make money.

1075
00:41:04.480 --> 00:41:10.480
But of course, I want to do very nice products who have a nice impact of the...

1076
00:41:10.480 --> 00:41:13.480
Yeah, but what do you want to have happened from that?

1077
00:41:13.480 --> 00:41:16.480
I think the focus.

1078
00:41:16.480 --> 00:41:17.480
So that's a problem.

1079
00:41:17.480 --> 00:41:19.480
You want focus?

1080
00:41:19.480 --> 00:41:21.480
And you want to do that by doing more things?

1081
00:41:21.480 --> 00:41:22.480
Yeah.

1082
00:41:22.480 --> 00:41:25.480
And the problem is that it's so combined to my brand.

1083
00:41:25.480 --> 00:41:29.480
So I have the problem that I can't...

1084
00:41:29.480 --> 00:41:30.480
I have so many customers.

1085
00:41:30.480 --> 00:41:32.480
I can't offer them anything.

1086
00:41:32.480 --> 00:41:34.480
So I have limited time with my own treatments.

1087
00:41:34.480 --> 00:41:37.480
So I need time to develop some...

1088
00:41:37.480 --> 00:41:38.480
We have the academy.

1089
00:41:38.480 --> 00:41:39.480
Sorry?

1090
00:41:39.480 --> 00:41:40.480
We have the academy, though.

1091
00:41:40.480 --> 00:41:47.480
Yeah, but it's very hard to teach them my concept because it takes half a year.

1092
00:41:47.480 --> 00:41:50.480
So they can implement it in their own office.

1093
00:41:50.480 --> 00:41:54.480
So I try to reduce the hybrid model with online and everything.

1094
00:41:54.480 --> 00:41:57.480
But it takes time because of the brand protection quality.

1095
00:41:57.480 --> 00:41:59.480
Because I sent them my customers.

1096
00:41:59.480 --> 00:42:02.480
And when my customers go to them, I want that I have high treatment.

1097
00:42:02.480 --> 00:42:03.480
High treatment.

1098
00:42:03.480 --> 00:42:08.480
And the problems that the onboarding takes so long that the customers want the treatment.

1099
00:42:08.480 --> 00:42:10.480
And I have no time.

1100
00:42:10.480 --> 00:42:14.480
The people I'm teaching need time to learn it and get experience.

1101
00:42:14.480 --> 00:42:16.480
It takes time to build a big business.

1102
00:42:16.480 --> 00:42:17.480
Yeah.

1103
00:42:17.480 --> 00:42:18.480
Yeah.

1104
00:42:18.480 --> 00:42:19.480
I believe you.

1105
00:42:19.480 --> 00:42:25.480
Yeah, but the problem is the social media makes all the follow us just...

1106
00:42:25.480 --> 00:42:28.480
Yeah, let me talk for a second.

1107
00:42:28.480 --> 00:42:31.480
So you're a good man.

1108
00:42:31.480 --> 00:42:34.480
You're also like probably, you know, everyone's laughing.

1109
00:42:34.480 --> 00:42:38.480
But like you're probably one out of four, one out of three of you here is in this exact same boat.

1110
00:42:38.480 --> 00:42:41.480
So hope so.

1111
00:42:41.480 --> 00:42:43.480
Here's the thing.

1112
00:42:43.480 --> 00:42:47.480
The opportunity will only get bigger and not smaller.

1113
00:42:47.480 --> 00:42:53.480
So the rush that you have is a rush to do a smaller version of what you want.

1114
00:42:53.480 --> 00:42:58.480
Because if you get bigger on social media, you will have more customers who want to buy your thing.

1115
00:42:58.480 --> 00:42:59.480
Yeah.

1116
00:42:59.480 --> 00:43:00.480
Right.

1117
00:43:00.480 --> 00:43:03.480
Yeah, the problems that the customers are now a little bit sad because they...

1118
00:43:03.480 --> 00:43:04.480
I have no effort for them.

1119
00:43:04.480 --> 00:43:05.480
Oh, no.

1120
00:43:05.480 --> 00:43:08.480
I have nothing to sell anyone for years.

1121
00:43:08.480 --> 00:43:09.480
Okay.

1122
00:43:09.480 --> 00:43:13.480
So point being...

1123
00:43:13.480 --> 00:43:15.480
I don't...

1124
00:43:15.480 --> 00:43:17.480
I don't actually think I'm going to convince you.

1125
00:43:17.480 --> 00:43:19.480
I think you're going to do it.

1126
00:43:19.480 --> 00:43:20.480
No, I'm serious.

1127
00:43:20.480 --> 00:43:22.480
So I don't even know if there's a point.

1128
00:43:22.480 --> 00:43:24.480
You want to sell your thing.

1129
00:43:24.480 --> 00:43:25.480
You want to sell your widget.

1130
00:43:25.480 --> 00:43:26.480
Yeah.

1131
00:43:26.480 --> 00:43:28.480
So what am I going to do?

1132
00:43:28.480 --> 00:43:31.480
More like an advice of focusing on just the professional.

1133
00:43:31.480 --> 00:43:34.480
You want me to tell you how to focus?

1134
00:43:34.480 --> 00:43:35.480
How would you...

1135
00:43:35.480 --> 00:43:38.480
You're doing several things at once, right?

1136
00:43:38.480 --> 00:43:39.480
What?

1137
00:43:39.480 --> 00:43:40.480
You're also doing five acquisitions.com.

1138
00:43:40.480 --> 00:43:41.480
Yeah.

1139
00:43:41.480 --> 00:43:42.480
You just have all those.

1140
00:43:42.480 --> 00:43:43.480
So...

1141
00:43:43.480 --> 00:43:44.480
I have no one business.

1142
00:43:44.480 --> 00:43:45.480
Yeah.

1143
00:43:45.480 --> 00:43:47.480
You want to be CEO of multiple.

1144
00:43:47.480 --> 00:43:48.480
There's a difference between owners.

1145
00:43:48.480 --> 00:43:50.480
I also own stocks and zillions of companies.

1146
00:43:50.480 --> 00:43:51.480
Absolutely.

1147
00:43:51.480 --> 00:43:52.480
Different businesses at all.

1148
00:43:52.480 --> 00:43:53.480
What?

1149
00:43:53.480 --> 00:43:54.480
Okay.

1150
00:43:54.480 --> 00:43:56.480
So your book is also different.

1151
00:43:56.480 --> 00:43:57.480
No.

1152
00:43:57.480 --> 00:43:58.480
So no, you have...

1153
00:43:58.480 --> 00:43:59.480
No, this is important.

1154
00:43:59.480 --> 00:44:00.480
This is good.

1155
00:44:00.480 --> 00:44:01.480
Yeah.

1156
00:44:01.480 --> 00:44:02.480
It's just for mine.

1157
00:44:02.480 --> 00:44:03.480
So for everybody.

1158
00:44:03.480 --> 00:44:07.480
There's industry owning something and being CEO and operator.

1159
00:44:07.480 --> 00:44:10.480
You can only really operate one thing.

1160
00:44:10.480 --> 00:44:11.480
That's it.

1161
00:44:11.480 --> 00:44:14.480
If I buy stock and Apple, I'm an owner.

1162
00:44:14.480 --> 00:44:17.480
I don't do anything, but I'm an owner.

1163
00:44:17.480 --> 00:44:18.480
Does that make...

1164
00:44:18.480 --> 00:44:19.480
You get the difference here?

1165
00:44:19.480 --> 00:44:20.480
Yeah.

1166
00:44:20.480 --> 00:44:21.480
You're like, well, I'm going to be...

1167
00:44:21.480 --> 00:44:22.480
Mark said like the...

1168
00:44:22.480 --> 00:44:27.480
Where you would get me if you wanted to was school on the face of.

1169
00:44:27.480 --> 00:44:33.480
But when I did that deal, I said, I will change nothing about what I do.

1170
00:44:33.480 --> 00:44:36.480
So my regular day must remain the same in order for me to do this deal.

1171
00:44:36.480 --> 00:44:37.480
I'm going to continue my content.

1172
00:44:37.480 --> 00:44:39.480
I'm going to continue record stuff.

1173
00:44:39.480 --> 00:44:42.480
And then all I'm going to do is point in a different direction.

1174
00:44:42.480 --> 00:44:43.480
Yeah.

1175
00:44:43.480 --> 00:44:44.480
That's it.

1176
00:44:44.480 --> 00:44:46.480
So the pointing is a copy based on a lake.

1177
00:44:46.480 --> 00:44:47.480
Everything else remains the same.

1178
00:44:47.480 --> 00:44:50.480
So I boil this down into what is this change about what I do?

1179
00:44:50.480 --> 00:44:53.480
And so the reason that this is very difficult is that you're going to start another business,

1180
00:44:53.480 --> 00:44:55.480
and it's going to change what you do.

1181
00:44:55.480 --> 00:44:56.480
Okay.

1182
00:44:56.480 --> 00:44:59.480
So I'll solve the things I'm not doing in my daily business.

1183
00:44:59.480 --> 00:45:02.480
And when I'm starting a different business, for example, the product.

1184
00:45:02.480 --> 00:45:03.480
I'm just doing my marketing.

1185
00:45:03.480 --> 00:45:05.480
The development I'm doing also.

1186
00:45:05.480 --> 00:45:06.480
I did it.

1187
00:45:06.480 --> 00:45:07.480
And everything else.

1188
00:45:07.480 --> 00:45:11.480
So like targeting the group and strategies.

1189
00:45:11.480 --> 00:45:13.480
I don't have any clue.

1190
00:45:13.480 --> 00:45:14.480
Oh, I should not.

1191
00:45:14.480 --> 00:45:15.480
So I'm here just.

1192
00:45:15.480 --> 00:45:17.480
I'm taking the question.

1193
00:45:17.480 --> 00:45:18.480
All right.

1194
00:45:18.480 --> 00:45:21.480
I don't know what your question is anymore.

1195
00:45:21.480 --> 00:45:22.480
I don't like medical.

1196
00:45:22.480 --> 00:45:23.480
Would you focus on.

1197
00:45:23.480 --> 00:45:24.480
In this part.

1198
00:45:24.480 --> 00:45:25.480
When you have a selling route.

1199
00:45:25.480 --> 00:45:32.480
I would take your 500 medical people and be like, how do I go from 500,000 to my first year?

1200
00:45:32.480 --> 00:45:33.480
Yeah.

1201
00:45:33.480 --> 00:45:34.480
To five million.

1202
00:45:34.480 --> 00:45:35.480
That's what I would do.

1203
00:45:35.480 --> 00:45:36.480
You already have something that works.

1204
00:45:36.480 --> 00:45:38.480
You already have a following of people who have this thing.

1205
00:45:38.480 --> 00:45:40.480
If you want, you can sell through them as an affiliate base.

1206
00:45:40.480 --> 00:45:42.480
And you have one business.

1207
00:45:42.480 --> 00:45:43.480
Okay.

1208
00:45:43.480 --> 00:45:44.480
That's a good answer.

1209
00:45:44.480 --> 00:45:45.480
Great.

1210
00:45:45.480 --> 00:45:46.480
Thank you.

1211
00:45:46.480 --> 00:45:47.480
Thank you.

1212
00:45:47.480 --> 00:45:48.480
My name is Gabriel.

1213
00:45:48.480 --> 00:45:49.480
I sell solar.

1214
00:45:49.480 --> 00:45:50.480
I also have a personal brand that helps.

1215
00:45:50.480 --> 00:45:51.480
Christian would not be better.

1216
00:45:51.480 --> 00:45:52.480
Yeah.

1217
00:45:52.480 --> 00:45:54.480
I have no plan to monetize this at this point.

1218
00:45:54.480 --> 00:45:56.480
Just simply help people find Jesus.

1219
00:45:56.480 --> 00:45:59.480
And the goal is to gain a following at this time.

1220
00:46:00.480 --> 00:46:04.480
Question is on organic content.

1221
00:46:04.480 --> 00:46:06.480
That's our biggest constraint.

1222
00:46:06.480 --> 00:46:09.480
We are putting out 350 to 400 pieces of content a month.

1223
00:46:09.480 --> 00:46:10.480
For solar.

1224
00:46:10.480 --> 00:46:11.480
Also for solar.

1225
00:46:11.480 --> 00:46:12.480
This is about the personal brand.

1226
00:46:12.480 --> 00:46:13.480
Okay.

1227
00:46:13.480 --> 00:46:16.480
For solar with paid ads, it's easy.

1228
00:46:16.480 --> 00:46:18.480
We just run the 10 hooks.

1229
00:46:18.480 --> 00:46:19.480
We run.

1230
00:46:19.480 --> 00:46:20.480
You do this framework.

1231
00:46:20.480 --> 00:46:21.480
Yeah.

1232
00:46:21.480 --> 00:46:25.480
So the question is, how do you split test organic content for different platforms?

1233
00:46:25.480 --> 00:46:28.480
Meta, TikTok, etc.

1234
00:46:28.480 --> 00:46:30.480
How do you split test organic content?

1235
00:46:30.480 --> 00:46:35.480
Yeah, like you would for the ads where you do the 10 hooks, three bodies, different CTAs,

1236
00:46:35.480 --> 00:46:36.480
let the algorithm tell you what's up.

1237
00:46:36.480 --> 00:46:37.480
We spend money behind it.

1238
00:46:37.480 --> 00:46:40.480
How do you implement that into organic?

1239
00:46:40.480 --> 00:46:43.480
You don't.

1240
00:46:43.480 --> 00:46:45.480
You just make 10 pieces of content.

1241
00:46:45.480 --> 00:46:49.480
And if you think something was really good and it bombed, you can re-edit it with a new hook.

1242
00:46:49.480 --> 00:46:55.480
But it would be weird if you imagine if you had a page and you saw 10 hooks for the same

1243
00:46:55.480 --> 00:46:58.480
piece of content, it would be kind of odd.

1244
00:46:58.480 --> 00:47:04.480
Obviously, Instagram has the trial rules and whatnot, which is an interesting new function.

1245
00:47:04.480 --> 00:47:10.480
But every person up to this point in human history of social media has not had that function.

1246
00:47:10.480 --> 00:47:16.480
And so it's usually just a gross and disgusting amount of volume for an unending period of time.

1247
00:47:16.480 --> 00:47:17.480
I'm being super real.

1248
00:47:17.480 --> 00:47:18.480
I guess it would not be as a hamster.

1249
00:47:18.480 --> 00:47:19.480
Yeah.

1250
00:47:19.480 --> 00:47:20.480
And so yeah, that is the answer.

1251
00:47:20.480 --> 00:47:24.480
And that disgusting amount of volume, the learning process is this.

1252
00:47:24.480 --> 00:47:27.480
We make, called 100 pieces of content.

1253
00:47:27.480 --> 00:47:30.480
And then we look back at which ones did well.

1254
00:47:30.480 --> 00:47:34.480
And we try and point out what was different about those compared to the ones that didn't do well.

1255
00:47:34.480 --> 00:47:41.480
Then the next hundred, we say, let's add two points to our checklist and do these extra two points for the next hundred videos.

1256
00:47:41.480 --> 00:47:44.480
And fundamentally, that is how we continue to make content.

1257
00:47:44.480 --> 00:47:49.480
So like, our long-form YouTube videos have massive checklists of just like, okay, we have to do this.

1258
00:47:49.480 --> 00:47:53.480
Like, whenever Alex is about to enter a story, this is what we have to do visually.

1259
00:47:53.480 --> 00:47:57.480
You know, big, this, like, obviously the intro is super, super important for long form.

1260
00:47:57.480 --> 00:48:01.480
But I just like we're saying better and more.

1261
00:48:01.480 --> 00:48:08.480
That accordion, I would say, is a consistent theme across all content creators that I've met.

1262
00:48:08.480 --> 00:48:10.480
Which is like, in the beginning, you just do a ton.

1263
00:48:10.480 --> 00:48:14.480
And then you're like, okay, this, if I just, like this video got 100,000.

1264
00:48:14.480 --> 00:48:18.480
And the other 10 videos got like 500 views.

1265
00:48:18.480 --> 00:48:24.480
You're like, okay, if I just spent a little bit more time, instead of making 10 made three,

1266
00:48:24.480 --> 00:48:26.480
I'll bet you I could get like 10,000 views per.

1267
00:48:26.480 --> 00:48:28.480
And then you start doing that.

1268
00:48:28.480 --> 00:48:29.480
And you get good at that.

1269
00:48:29.480 --> 00:48:31.480
And you're like, I could probably go from three to 10 of these.

1270
00:48:31.480 --> 00:48:33.480
And then you do 10 of those.

1271
00:48:33.480 --> 00:48:35.480
And then as you do 10, you're like, you know what, man, these ones popped off.

1272
00:48:35.480 --> 00:48:37.480
I'll bet you if I spent a little bit more time, right?

1273
00:48:37.480 --> 00:48:40.480
So you just keep going back and forth between better and more.

1274
00:48:40.480 --> 00:48:42.480
And it's a very normal cadence.

1275
00:48:42.480 --> 00:48:46.480
I will give you one final thing, because I know that you're not the only content creator here.

1276
00:48:46.480 --> 00:48:51.480
There's a lot of mythology around content and volume, which is like Instagram can only take two posts a day,

1277
00:48:51.480 --> 00:48:58.480
or a TikTok max is on it for, or at two o'clock and six, like, don't worry about it.

1278
00:48:58.480 --> 00:48:59.480
Don't worry about it.

1279
00:48:59.480 --> 00:49:03.480
One of the biggest Instagram accounts right now is a Bollywood account.

1280
00:49:03.480 --> 00:49:05.480
They post a hundred times a day.

1281
00:49:05.480 --> 00:49:07.480
They get nine billion views a month.

1282
00:49:07.480 --> 00:49:10.480
A hundred posts a day.

1283
00:49:10.480 --> 00:49:12.480
You're just not doing it.

1284
00:49:12.480 --> 00:49:16.480
And so now I used to be so like, okay, let's make sure they're, you know, 12 hours spaced out.

1285
00:49:16.480 --> 00:49:18.480
Like I'll post one and 30 minutes later off.

1286
00:49:18.480 --> 00:49:20.480
Something else and I'll post it again.

1287
00:49:20.480 --> 00:49:21.480
It doesn't matter.

1288
00:49:21.480 --> 00:49:23.480
The thing is there's one percent of your audience is seeing it anyways.

1289
00:49:23.480 --> 00:49:25.480
So let's push it to somebody else.

1290
00:49:25.480 --> 00:49:27.480
The content is incentivized to distribute your content.

1291
00:49:27.480 --> 00:49:29.480
So the platform is incentivized to distribute the content.

1292
00:49:29.480 --> 00:49:30.480
Two people find it valuable.

1293
00:49:30.480 --> 00:49:32.480
So just give them more stuff to distribute.

1294
00:49:32.480 --> 00:49:34.480
Just go crazy on the input.

1295
00:49:34.480 --> 00:49:35.480
Yes.

1296
00:49:35.480 --> 00:49:37.480
Just real.

1297
00:49:37.480 --> 00:49:38.480
It's a lot of volume.

1298
00:49:38.480 --> 00:49:39.480
Hey, Alex.

1299
00:49:39.480 --> 00:49:40.480
My name's Isaac Hamlin.

1300
00:49:40.480 --> 00:49:45.480
I'm the founder and CEO of Betterblend, which is a chain of 13 smoothie shops that focuses on

1301
00:49:45.480 --> 00:49:50.480
macro nutrients like high protein, locality, low sugar.

1302
00:49:50.480 --> 00:49:55.480
We sell to people who are looking to eat healthier, easier and relate to just anybody.

1303
00:49:55.480 --> 00:49:56.480
Yeah.

1304
00:49:56.480 --> 00:49:58.480
Our revenues are right around seven, eight million.

1305
00:49:58.480 --> 00:49:59.480
Okay.

1306
00:49:59.480 --> 00:50:02.480
I'd like all of our locations to be at one million.

1307
00:50:02.480 --> 00:50:05.480
And the thing that's stopping that was, wait, why?

1308
00:50:06.480 --> 00:50:07.480
Why a million for each?

1309
00:50:07.480 --> 00:50:08.480
Yeah.

1310
00:50:08.480 --> 00:50:11.480
Because we have this, we have this top-line revenue thing.

1311
00:50:11.480 --> 00:50:16.480
Or once we get past this certain amount, we don't need more employees on staff.

1312
00:50:16.480 --> 00:50:17.480
So the margin just explodes.

1313
00:50:17.480 --> 00:50:18.480
Contribution margin is over.

1314
00:50:18.480 --> 00:50:19.480
Right.

1315
00:50:19.480 --> 00:50:20.480
So we need to get to a million.

1316
00:50:20.480 --> 00:50:22.480
And then everybody's just like printing.

1317
00:50:22.480 --> 00:50:23.480
So that's the goal.

1318
00:50:23.480 --> 00:50:26.480
Two a million or past a million, past a million, but two a million to start.

1319
00:50:26.480 --> 00:50:27.480
Okay.

1320
00:50:27.480 --> 00:50:31.480
The thing that's stopping us is because we're such a unique and different brand.

1321
00:50:31.480 --> 00:50:35.480
When we go into new markets that are miles or hundreds of miles away from our, like,

1322
00:50:35.480 --> 00:50:39.480
our mothership and Cincinnati, people don't trust, people either don't think it's healthy

1323
00:50:39.480 --> 00:50:42.480
and it stays good or they don't think it tastes good and it's healthy.

1324
00:50:42.480 --> 00:50:45.480
So we have a hard time like the trust aspect to get them in the door.

1325
00:50:45.480 --> 00:50:47.480
Like a cat problem.

1326
00:50:47.480 --> 00:50:48.480
Yeah.

1327
00:50:48.480 --> 00:50:49.480
Okay.

1328
00:50:49.480 --> 00:50:52.480
So are you franchised?

1329
00:50:52.480 --> 00:50:54.480
So I own five and then we franchise the rest.

1330
00:50:54.480 --> 00:50:56.480
It's a half and half.

1331
00:50:56.480 --> 00:50:57.480
Yeah.

1332
00:50:57.480 --> 00:50:58.480
I know you don't like franchises.

1333
00:50:58.480 --> 00:51:00.480
It's not that I don't like franchise.

1334
00:51:00.480 --> 00:51:04.480
It's just that when you do the math on the amount of franchise support that is required.

1335
00:51:04.480 --> 00:51:08.480
Now, I do think that I'm more okay with it in food businesses.

1336
00:51:08.480 --> 00:51:11.480
Typically less with low skilled labor businesses.

1337
00:51:11.480 --> 00:51:16.480
Like a gym, for example, because it's easier to actually standardize a product in food.

1338
00:51:16.480 --> 00:51:19.480
More than that's why if you think about how many successful franchises there are in food,

1339
00:51:19.480 --> 00:51:25.480
there's tons of them, how many successful franchises are there in service-based gyms?

1340
00:51:25.480 --> 00:51:26.480
None.

1341
00:51:26.480 --> 00:51:27.480
There's none.

1342
00:51:27.480 --> 00:51:30.480
F-45s out of business, earns theories out of business.

1343
00:51:30.480 --> 00:51:32.480
Crossfits, whatever.

1344
00:51:32.480 --> 00:51:34.480
Like, and the thing is that they actually don't have a model.

1345
00:51:34.480 --> 00:51:35.480
They're licensing business.

1346
00:51:35.480 --> 00:51:37.480
And so that's why they've been able to stay around.

1347
00:51:37.480 --> 00:51:41.480
So anyways, back to your point about franchising the business.

1348
00:51:41.480 --> 00:51:44.480
I'm not going to tear into that right now.

1349
00:51:44.480 --> 00:51:45.480
Okay.

1350
00:51:45.480 --> 00:51:46.480
So let's just, you have a cat issue.

1351
00:51:46.480 --> 00:51:47.480
Okay.

1352
00:51:47.480 --> 00:51:50.480
Well, what's the, so once a story gets going, you have to have any advertising in the market

1353
00:51:50.480 --> 00:51:53.480
or just, it just kind of like slowly grows its way off the word of mouth.

1354
00:51:53.480 --> 00:51:56.480
We recommend a 2% spend, and it's usually through meta,

1355
00:51:56.480 --> 00:51:58.480
that way it's like an agency throughout the, throughout the everybody,

1356
00:51:58.480 --> 00:52:00.480
but everyone's running the same ads.

1357
00:52:00.480 --> 00:52:03.480
So like, there's this runway to get to where it is, but it's a painful runway.

1358
00:52:03.480 --> 00:52:05.480
Yes, so we're just trying to shorten it.

1359
00:52:05.480 --> 00:52:06.480
You need a great opening strategy.

1360
00:52:06.480 --> 00:52:07.480
Yeah.

1361
00:52:07.480 --> 00:52:11.480
So every brick and mortar expansion, this is for everybody,

1362
00:52:11.480 --> 00:52:13.480
you have to have a killer grand opening.

1363
00:52:13.480 --> 00:52:18.480
Like, I can't tell you, like, I don't know of a single successful chain,

1364
00:52:18.480 --> 00:52:22.480
brick and mortar that doesn't have like a super dialed.

1365
00:52:22.480 --> 00:52:27.480
This is exactly how we get to profitable within 30 days, 60 days, 90 days.

1366
00:52:27.480 --> 00:52:29.480
These are the promotions we run.

1367
00:52:29.480 --> 00:52:33.480
This is the, the 90 days we do, you know, leading up prior, like, by the day.

1368
00:52:33.480 --> 00:52:35.480
It's just the level of detail that has to occur.

1369
00:52:35.480 --> 00:52:36.480
Like, think about how Chick-fil-A opens up.

1370
00:52:36.480 --> 00:52:37.480
Right?

1371
00:52:37.480 --> 00:52:40.480
Like, that first day, they have a line, you know, down, down the block.

1372
00:52:40.480 --> 00:52:41.480
Right?

1373
00:52:41.480 --> 00:52:44.480
It's like, it's like this, you know, I was going to say, Jesus coming to town.

1374
00:52:44.480 --> 00:52:48.480
That would be tongue in cheek, but it's, it's a big deal, right?

1375
00:52:48.480 --> 00:52:55.480
And so, one is you need some amazing giveaway that you can bring people in the door.

1376
00:52:55.480 --> 00:53:01.480
Two is I like to limit it to like the first 500 customers, get something that's basically ancillary.

1377
00:53:01.480 --> 00:53:04.480
So like, Wendy's does a great one of these, which is like the first 100 people,

1378
00:53:04.480 --> 00:53:08.480
or first 500 people get a little golden key chain, that they get free frosties.

1379
00:53:08.480 --> 00:53:09.480
Right?

1380
00:53:09.480 --> 00:53:10.480
For life, I think.

1381
00:53:10.480 --> 00:53:14.480
And so, very incentivizing for people to like tell their friends and line up.

1382
00:53:14.480 --> 00:53:17.480
But where the second order affects that come from that are that,

1383
00:53:17.480 --> 00:53:20.480
the only people really going to stay in the line there are people who live close by.

1384
00:53:20.480 --> 00:53:24.480
Like, why would you care about getting that thing for that one local area when you live far away?

1385
00:53:24.480 --> 00:53:25.480
Right?

1386
00:53:25.480 --> 00:53:28.480
But on top of that, what are you going to do now that you have this one free dessert,

1387
00:53:28.480 --> 00:53:32.480
for example, that you can take whenever you're going to bring friends with you?

1388
00:53:32.480 --> 00:53:34.480
And you're not always just going to get dessert, you're going to get a burger,

1389
00:53:34.480 --> 00:53:36.480
you're going to get fries, you're going to get everything else.

1390
00:53:36.480 --> 00:53:38.480
And so that becomes kind of like the ambassador-based of the business.

1391
00:53:38.480 --> 00:53:41.480
And so having one killer giveaway, a promotion on the front end,

1392
00:53:41.480 --> 00:53:44.480
and like lifetime deals on some sort of mini or some sort of,

1393
00:53:44.480 --> 00:53:47.480
I'm sure you have some sort of little upsells of desserts or whatever that are healthy

1394
00:53:47.480 --> 00:53:49.480
that you can give away that are high margin.

1395
00:53:49.480 --> 00:53:50.480
That would be thing one.

1396
00:53:50.480 --> 00:53:54.480
And it's probably like, you need to start marketing 60 days at least prior

1397
00:53:54.480 --> 00:53:56.480
to kind of like pepper the market, let everyone know that it's coming.

1398
00:53:56.480 --> 00:54:00.480
I would just like build the list up of people who are getting cited for this giveaway.

1399
00:54:00.480 --> 00:54:05.480
And then you basically run a launch play with groupies shout into the launch itself.

1400
00:54:05.480 --> 00:54:09.480
In terms of the offers for a decrease in CAC,

1401
00:54:09.480 --> 00:54:13.480
it's going to be some version of either bogos, so buy one, get one,

1402
00:54:13.480 --> 00:54:18.480
or you know, kids cups are half off or you just have to have one or two line

1403
00:54:18.480 --> 00:54:21.480
transaction upsell that you have to teach the staff.

1404
00:54:21.480 --> 00:54:24.480
So that when people come in with a scoop on, they ask one question back.

1405
00:54:24.480 --> 00:54:25.480
That's it.

1406
00:54:25.480 --> 00:54:29.480
And then that question then leads them to the upsell that can help you recoup CAC.

1407
00:54:29.480 --> 00:54:32.480
And the thing that's going to be most important about this entire thing is

1408
00:54:32.480 --> 00:54:34.480
what percentage of customers come back?

1409
00:54:34.480 --> 00:54:36.480
Are you asking or?

1410
00:54:36.480 --> 00:54:39.480
I'm just telling you, that is the most important metric that you need.

1411
00:54:39.480 --> 00:54:42.480
What percentage, I mean, if you have it, what percentage come back after first visit?

1412
00:54:42.480 --> 00:54:45.480
It's really tough to calculate LTV with the brick and mortar.

1413
00:54:45.480 --> 00:54:48.480
That's part of the thing that's super doable.

1414
00:54:48.480 --> 00:54:50.480
Super doable for brick and mortar.

1415
00:54:50.480 --> 00:54:52.480
What's the frame? Is it a year?

1416
00:54:52.480 --> 00:54:54.480
I mean, 30 days.

1417
00:54:54.480 --> 00:54:56.480
I mean, I would imagine if somebody's going to be getting a smoothie,

1418
00:54:56.480 --> 00:54:58.480
if they don't come back for a month and like, they weren't thrilled.

1419
00:54:58.480 --> 00:54:59.480
Yeah, it's fair.

1420
00:54:59.480 --> 00:55:00.480
Right.

1421
00:55:00.480 --> 00:55:01.480
Okay. 30 days, okay.

1422
00:55:01.480 --> 00:55:03.480
Also, punch cards running start.

1423
00:55:03.480 --> 00:55:05.480
You probably know some of those things already.

1424
00:55:05.480 --> 00:55:08.480
When I say running start, it's like instead of having, if you have 10 on the card,

1425
00:55:08.480 --> 00:55:12.480
you want to punch three, two or three up front when you give it to them.

1426
00:55:12.480 --> 00:55:15.480
Psychologically, they're like three times more likely to finish it.

1427
00:55:15.480 --> 00:55:17.480
That's correct.

1428
00:55:17.480 --> 00:55:18.480
Good. Thank you.

1429
00:55:18.480 --> 00:55:19.480
Yeah.

1430
00:55:19.480 --> 00:55:20.480
Alex.

1431
00:55:20.480 --> 00:55:21.480
Hello, sir.

1432
00:55:21.480 --> 00:55:22.480
My name is Chris.

1433
00:55:22.480 --> 00:55:24.480
I sell data engineering boot camp to current tech professionals.

1434
00:55:24.480 --> 00:55:26.480
We do a million a month.

1435
00:55:26.480 --> 00:55:28.480
We'd love to be a 10 million a month.

1436
00:55:28.480 --> 00:55:33.480
What's stopping me is it's hard for me to know if it's a marketing sales or sales process issue.

1437
00:55:34.480 --> 00:55:38.480
As I try to reduce my CAC, my LTV to CAC is 3.2-ish.

1438
00:55:38.480 --> 00:55:40.480
I think I know how to increase my LTV.

1439
00:55:40.480 --> 00:55:46.480
We talked a little the last night and I think Tim was also very, very helpful in helping me

1440
00:55:46.480 --> 00:55:48.480
realize things I can do.

1441
00:55:48.480 --> 00:55:49.480
But I think it's...

1442
00:55:49.480 --> 00:55:50.480
Are you meta?

1443
00:55:50.480 --> 00:55:51.480
I have your YouTube ads.

1444
00:55:51.480 --> 00:55:53.480
70% meta, 20 YouTube, 10.

1445
00:55:53.480 --> 00:55:54.480
Got it.

1446
00:55:54.480 --> 00:55:55.480
You talk.

1447
00:55:55.480 --> 00:55:58.480
How much creative are you putting out per week?

1448
00:55:58.480 --> 00:56:02.480
At this point, five or six, I think Tim blew my mind or someone blew my mind when they were like,

1449
00:56:02.480 --> 00:56:04.480
you got to do over six per 10 grants.

1450
00:56:04.480 --> 00:56:05.480
I'm like, okay.

1451
00:56:05.480 --> 00:56:06.480
Got to do that next time.

1452
00:56:06.480 --> 00:56:09.480
So like 500,000 a day is usually 50 pieces a day for context.

1453
00:56:09.480 --> 00:56:10.480
Yeah.

1454
00:56:10.480 --> 00:56:12.480
It's been 100 a day, 100,000 a day.

1455
00:56:12.480 --> 00:56:13.480
It's...

1456
00:56:13.480 --> 00:56:14.480
We spend it closer to...

1457
00:56:14.480 --> 00:56:15.480
It's less than that.

1458
00:56:15.480 --> 00:56:16.480
Yeah, we spend two to 50 a month.

1459
00:56:16.480 --> 00:56:17.480
Yeah.

1460
00:56:17.480 --> 00:56:21.480
I think that you should at least right now be at 25 a week in a month.

1461
00:56:21.480 --> 00:56:22.480
Got it.

1462
00:56:22.480 --> 00:56:23.480
And would you hire actors?

1463
00:56:23.480 --> 00:56:24.480
Would you just...

1464
00:56:24.480 --> 00:56:25.480
No.

1465
00:56:25.480 --> 00:56:26.480
I mean...

1466
00:56:26.480 --> 00:56:27.480
I would rather you just get it going.

1467
00:56:27.480 --> 00:56:29.480
You can kind of like think about removing yourself.

1468
00:56:29.480 --> 00:56:31.480
Are you like still the face of a business?

1469
00:56:31.480 --> 00:56:32.480
I very much.

1470
00:56:32.480 --> 00:56:33.480
I'm still shooting.

1471
00:56:33.480 --> 00:56:34.480
Yeah.

1472
00:56:34.480 --> 00:56:35.480
I don't think that's the issue right now.

1473
00:56:35.480 --> 00:56:37.480
If you want to get to 10, it's like you got tons of time before that's going to happen.

1474
00:56:37.480 --> 00:56:38.480
So like...

1475
00:56:38.480 --> 00:56:39.480
Yeah.

1476
00:56:39.480 --> 00:56:41.480
It's a ton more volume than you're currently doing.

1477
00:56:41.480 --> 00:56:42.480
Yeah.

1478
00:56:42.480 --> 00:56:44.480
And it's actually the same answer that we're talking about earlier from the concept perspective, just on the ads.

1479
00:56:44.480 --> 00:56:45.480
Yeah.

1480
00:56:45.480 --> 00:56:52.480
The nice thing with ads though is that because the nature of testing that can occur with ads is that if you record, call it 25,

1481
00:56:52.480 --> 00:56:54.480
here, I'll just walk you through this.

1482
00:56:54.480 --> 00:56:55.480
This will apply to everybody.

1483
00:56:55.480 --> 00:56:57.480
So you make 50 hooks.

1484
00:56:57.480 --> 00:57:00.480
So it's just like, hey, quick question.

1485
00:57:00.480 --> 00:57:03.480
Hey, have you ever wondered about, you know, data engineering?

1486
00:57:03.480 --> 00:57:04.480
Hey, look at this crazy AI thing.

1487
00:57:04.480 --> 00:57:06.480
You know who makes this data engineers?

1488
00:57:06.480 --> 00:57:07.480
Like, what's that?

1489
00:57:07.480 --> 00:57:10.480
Like, you just go through 50 hooks, right?

1490
00:57:10.480 --> 00:57:12.480
Then you have your three to five meets.

1491
00:57:12.480 --> 00:57:16.480
Which is like, this is actually the fastest growing industry in America right now.

1492
00:57:16.480 --> 00:57:21.480
And believe it or not, you know, Goldman Sachs said that there's a 23% in Okger.

1493
00:57:21.480 --> 00:57:22.480
And if you're like, what's Okger?

1494
00:57:22.480 --> 00:57:24.480
It just means every year by 23%.

1495
00:57:24.480 --> 00:57:26.480
That means it's going to double in four years.

1496
00:57:26.480 --> 00:57:29.480
So think about how many people you know are data engineers, right?

1497
00:57:29.480 --> 00:57:30.480
None.

1498
00:57:30.480 --> 00:57:32.480
Well, there's going to be even more.

1499
00:57:32.480 --> 00:57:34.480
And this is the starting salary.

1500
00:57:34.480 --> 00:57:37.480
This is just according to this, you know, reputable source.

1501
00:57:37.480 --> 00:57:39.480
And here's the craziest part.

1502
00:57:39.480 --> 00:57:43.480
You only need 16 weeks in order to get certified to get these types of jobs.

1503
00:57:43.480 --> 00:57:46.480
And so if you've ever been kind of tech-oriented or you're good at math,

1504
00:57:46.480 --> 00:57:48.480
like, this is something that's worth considering.

1505
00:57:48.480 --> 00:57:51.480
I just have a free class that will walk you through step by step, blah, blah, blah.

1506
00:57:51.480 --> 00:57:52.480
Right?

1507
00:57:52.480 --> 00:57:53.480
So that's the me.

1508
00:57:53.480 --> 00:57:55.480
And then you have called actions.

1509
00:57:55.480 --> 00:57:56.480
I don't do a ton of tests on this.

1510
00:57:56.480 --> 00:58:01.480
So usually, typically with called actions, once you know what the call to action that works best is,

1511
00:58:01.480 --> 00:58:06.480
I tend to just run that as what I say at the end of the ad, which is if it's like,

1512
00:58:06.480 --> 00:58:08.480
are you running to a VSL or something?

1513
00:58:08.480 --> 00:58:09.480
Video sales letter.

1514
00:58:09.480 --> 00:58:10.480
Often VSL centers.

1515
00:58:10.480 --> 00:58:11.480
Okay.

1516
00:58:11.480 --> 00:58:12.480
Yeah.

1517
00:58:12.480 --> 00:58:13.480
So it's like, you might try web class.

1518
00:58:13.480 --> 00:58:14.480
You might try master class.

1519
00:58:14.480 --> 00:58:15.480
You might try.

1520
00:58:15.480 --> 00:58:16.480
You could even just try video sales letter.

1521
00:58:16.480 --> 00:58:18.480
Like, I've got a video training.

1522
00:58:18.480 --> 00:58:19.480
I've got a training.

1523
00:58:19.480 --> 00:58:20.480
Like, basically, it sounds small.

1524
00:58:20.480 --> 00:58:23.480
But when you're running tons of traffic, those little, little incremental bits matter.

1525
00:58:23.480 --> 00:58:27.480
But once you nail with the CTA is on the backside, just use that.

1526
00:58:27.480 --> 00:58:30.480
But fundamentally, 50 even times three is going to get you 150 ads.

1527
00:58:30.480 --> 00:58:37.480
And so one, one recording session, if you do that, it's like, you only have to think of three to five actual like media angles.

1528
00:58:37.480 --> 00:58:40.480
And the rest is just hooks that you'll take from the best performing ads.

1529
00:58:40.480 --> 00:58:47.480
And I would strongly encourage you if you're running one, look at obviously people in the marketplace that are, you know, kind of around your adjacent.

1530
00:58:47.480 --> 00:58:51.480
But the cool thing with hooks is that they work, they work across everything.

1531
00:58:51.480 --> 00:58:56.480
And so I've used one of the same hooks in four different businesses that are completely different.

1532
00:58:56.480 --> 00:58:58.480
B2B, B2C, tech, and service.

1533
00:58:58.480 --> 00:58:59.480
And it still works.

1534
00:58:59.480 --> 00:59:02.480
Right? And so like, you can reuse hooks.

1535
00:59:02.480 --> 00:59:08.480
And so what this is, by the way, why I don't pay for any subscriptions for ad free service is I'm always just paying attention to the hooks.

1536
00:59:08.480 --> 00:59:10.480
Like, what hooks are coming in my, in my ads?

1537
00:59:10.480 --> 00:59:13.480
And if I see an ad that's been running a lot, I'm like, it's probably a good hook.

1538
00:59:13.480 --> 00:59:15.480
Yeah, that's, I just ride it down.

1539
00:59:15.480 --> 00:59:19.480
Yeah, I was looking at the sales transcripts and trying to get hooks that way, but that's really helpful.

1540
00:59:19.480 --> 00:59:21.480
Oh, no, for sure. Just, just watch ads.

1541
00:59:21.480 --> 00:59:22.480
Cool. Thank you.

1542
00:59:22.480 --> 00:59:23.480
Appreciate it.

1543
00:59:23.480 --> 00:59:24.480
Was that awful?

1544
00:59:24.480 --> 00:59:25.480
Yes. Okay.

1545
00:59:25.480 --> 00:59:26.480
My name is Jules Smith.

1546
00:59:26.480 --> 00:59:28.480
I sell car loans to entrepreneurs.

1547
00:59:28.480 --> 00:59:30.480
Uh, we do six million revenue.

1548
00:59:30.480 --> 00:59:31.480
Cool.

1549
00:59:31.480 --> 00:59:34.480
We'd like to be at 30 million revenue in 2027.

1550
00:59:34.480 --> 00:59:35.480
Okay.

1551
00:59:35.480 --> 00:59:36.480
But stop it.

1552
00:59:36.480 --> 00:59:40.480
What's stopping me is that the CPA is getting higher and higher when we started out.

1553
00:59:40.480 --> 00:59:43.480
It was like 400 500 euros.

1554
00:59:43.480 --> 00:59:45.480
Uh, now it's almost 900 euros.

1555
00:59:45.480 --> 00:59:47.480
Sometimes even 1000 euros.

1556
00:59:47.480 --> 00:59:48.480
Okay.

1557
00:59:48.480 --> 00:59:51.480
And I think we're over compensating the sales reps.

1558
00:59:51.480 --> 00:59:52.480
Okay.

1559
00:59:52.480 --> 00:59:57.480
Like 30% of revenue is for, uh, wages for sales reps.

1560
00:59:57.480 --> 00:59:58.480
What's LTV the CAC?

1561
00:59:58.480 --> 01:00:02.480
So what do you make on a loan like 2.5?

1562
01:00:02.480 --> 01:00:06.480
So you make $2,500 and it's costing you, it was costing you 600.

1563
01:00:06.480 --> 01:00:08.480
Now it's costing you 900 for the same deal.

1564
01:00:08.480 --> 01:00:09.480
Is that correct?

1565
01:00:09.480 --> 01:00:10.480
Yeah.

1566
01:00:10.480 --> 01:00:11.480
Okay.

1567
01:00:11.480 --> 01:00:12.480
Something like that.

1568
01:00:12.480 --> 01:00:13.480
Okay.

1569
01:00:13.480 --> 01:00:20.480
So, uh, fundamentally, if ad costs are going up and so you feel like there's some sort of ceiling,

1570
01:00:20.480 --> 01:00:23.480
like you want to spend more, but you can't spend more to add the cost goes up.

1571
01:00:23.480 --> 01:00:27.480
There's basically one of three potential partners for solutions.

1572
01:00:27.480 --> 01:00:30.480
So problem number one is that the LTV needs to get fixed.

1573
01:00:30.480 --> 01:00:34.480
And this is just a fact of life as you go to colder and colder audiences.

1574
01:00:34.480 --> 01:00:38.480
You, you get out of your kind of honeymoon phase of the easiest targeting,

1575
01:00:38.480 --> 01:00:43.480
which the absolute highest interest, you know, most, you know what I'm saying?

1576
01:00:43.480 --> 01:00:44.480
That.

1577
01:00:44.480 --> 01:00:47.480
Very small amount of people who are perfect fits and then it just continues to go wider and broader.

1578
01:00:47.480 --> 01:00:48.480
Right.

1579
01:00:48.480 --> 01:00:52.480
And so the way to fix that is that we have to increase LTV so that you can spend more.

1580
01:00:52.480 --> 01:00:59.480
The second, um, reason that this would be limited is based on the quality of the creative.

1581
01:00:59.480 --> 01:01:05.480
And so, um, I think a month ago we had, uh, you guys seen the, um, old spice ad,

1582
01:01:05.480 --> 01:01:08.480
the, the, you know, the, the guy that hauled his famous ad.

1583
01:01:08.480 --> 01:01:12.480
Um, so the guy who made the ad actually came here, uh, kind of cool.

1584
01:01:12.480 --> 01:01:14.480
Uh, so I, we get to chat about that.

1585
01:01:14.480 --> 01:01:20.480
But what's interesting about that ad is that that ad was so good that they could show it to everyone.

1586
01:01:20.480 --> 01:01:26.480
And they went from like 20% of the market to 70 with one ad campaign.

1587
01:01:26.480 --> 01:01:31.480
And so to me, that is like the, the perfect example of what like complete S tier creative,

1588
01:01:31.480 --> 01:01:35.480
like the maxed out creative of just amazing advertising is.

1589
01:01:35.480 --> 01:01:39.480
And so a lot of businesses will get stuck at a thousand dollars a day, for example,

1590
01:01:39.480 --> 01:01:43.480
and say like, I think I, we've capped our market.

1591
01:01:43.480 --> 01:01:46.480
When in reality, it's you've captured creative.

1592
01:01:46.480 --> 01:01:50.480
And so in order to break through that, the quality of the creative needs to go up

1593
01:01:50.480 --> 01:01:53.480
and the volume also needs to go up by consequence.

1594
01:01:53.480 --> 01:01:57.480
And so in the companies that we spend like a hundred thousand a day in in terms of our,

1595
01:01:57.480 --> 01:02:03.480
uh, ads, but we, we create, you know, 50, a hundred pieces a week that are going out in terms of ads.

1596
01:02:03.480 --> 01:02:06.480
And then we do that at first.

1597
01:02:06.480 --> 01:02:12.480
And then we follow kind of Google's 70, 20, 10 kind of rule, which is 70% of the creative

1598
01:02:12.480 --> 01:02:18.480
that goes on from that point going forward is the highest performing hooks from historic.

1599
01:02:18.480 --> 01:02:21.480
Uh, 20% is kind of adjacent to that.

1600
01:02:21.480 --> 01:02:26.480
Uh, so just kind of like remixes, remakes, slightly different versions

1601
01:02:26.480 --> 01:02:30.480
of the originals. And then 10% is the wild ideas that you've been saving.

1602
01:02:30.480 --> 01:02:33.480
But since it's only 10%, you're going to only pick the ones you're like,

1603
01:02:33.480 --> 01:02:36.480
I think this one's going to work because you have 20 crazy ideas because you know what to burn.

1604
01:02:36.480 --> 01:02:39.480
You think that'll be awesome, but you just got to pick the one or two.

1605
01:02:39.480 --> 01:02:46.480
Um, and so that's problem two that could, um, be the reason that that you are capped.

1606
01:02:46.480 --> 01:02:52.480
So, um, either you are not the creative sucks, your LCB is too low.

1607
01:02:52.480 --> 01:02:55.480
Um, and there was a third one, which I forgot.

1608
01:02:55.480 --> 01:02:58.480
Uh, but there were three in the email itself.

1609
01:02:58.480 --> 01:03:02.480
Uh, the question that I would have for you is which one of those do you think is the issue?

1610
01:03:02.480 --> 01:03:06.480
I think the LTV slide is too low, um, LTV to kick.

1611
01:03:06.480 --> 01:03:10.480
So we have to make the LTV higher.

1612
01:03:10.480 --> 01:03:16.480
Um, but also we, we have to get more creative, um, better hooks.

1613
01:03:16.480 --> 01:03:21.480
I think that's the key to better scaling.

1614
01:03:21.480 --> 01:03:29.480
The back end becomes the arms race of every business that spends money to acquire customers, which is many businesses.

1615
01:03:29.480 --> 01:03:36.480
Uh, and so if you look between industries, the benchmarks for plumbing businesses in North Dakota,

1616
01:03:36.480 --> 01:03:39.480
the cost to acquire customer is going to be more or less the same between businesses.

1617
01:03:39.480 --> 01:03:43.480
So as much as we like to think that we have some like very special sauce about like our sales team,

1618
01:03:43.480 --> 01:03:48.480
somehow magically sells different, even though we recruit from the exact same pool and compensate the exact same way,

1619
01:03:48.480 --> 01:03:52.480
like we think it's somehow different, but in reality, like we run similar as we're in similar promotions,

1620
01:03:52.480 --> 01:03:55.480
we have similar sales teams similarly compensated pool from the same talent pool.

1621
01:03:55.480 --> 01:03:59.480
And so, so CAC is typically very similar between businesses.

1622
01:03:59.480 --> 01:04:03.480
But where you get the outsized returns are that some businesses can have 10 times the LTV.

1623
01:04:03.480 --> 01:04:06.480
And that's how they ultimately win.

1624
01:04:06.480 --> 01:04:07.480
So I think you're right.

1625
01:04:07.480 --> 01:04:11.480
Um, so when I, when I buy a business, I, I tickly, takes it back to front.

1626
01:04:11.480 --> 01:04:15.480
And then I look at the creative and think, okay, how do we just do a ton more volume here?

1627
01:04:15.480 --> 01:04:19.480
Typically because we just don't even have enough data to figure out what the best ones are.

1628
01:04:19.480 --> 01:04:20.480
So like, let's do way more.

1629
01:04:20.480 --> 01:04:22.480
Then look at the top 10 percent.

1630
01:04:22.480 --> 01:04:23.480
Then do more of that.

1631
01:04:23.480 --> 01:04:25.480
And that process just never ends.

1632
01:04:25.480 --> 01:04:26.480
Is that help?

1633
01:04:26.480 --> 01:04:27.480
Right.

1634
01:04:27.480 --> 01:04:28.480
Yeah, good.

1635
01:04:28.480 --> 01:04:29.480
Hey, my name is Kevin.

1636
01:04:29.480 --> 01:04:34.480
I sell plumbing services to commercial residential costs.

1637
01:04:34.480 --> 01:04:35.480
All right.

1638
01:04:35.480 --> 01:04:36.480
Well, the services to who?

1639
01:04:36.480 --> 01:04:39.480
To residential and commercial people.

1640
01:04:39.480 --> 01:04:40.480
Okay.

1641
01:04:40.480 --> 01:04:42.480
We have about five million in revenue.

1642
01:04:42.480 --> 01:04:43.480
Half of that's construction.

1643
01:04:43.480 --> 01:04:44.480
Half of its service work.

1644
01:04:44.480 --> 01:04:45.480
Okay.

1645
01:04:45.480 --> 01:04:48.480
I would like to do about $10 million in service revenue.

1646
01:04:48.480 --> 01:04:51.480
And with stopping these really the construction sides of huge focus and a drain.

1647
01:04:51.480 --> 01:04:55.480
So I'm just kind of wondering if I should kill that side or refocus it.

1648
01:04:55.480 --> 01:04:58.480
And so I can pay more attention to the service side.

1649
01:04:58.480 --> 01:05:01.480
What do you think I'll say?

1650
01:05:01.480 --> 01:05:02.480
What do I think you'll say?

1651
01:05:02.480 --> 01:05:03.480
Yeah.

1652
01:05:03.480 --> 01:05:05.480
I mean, there's a jet that not as a slide.

1653
01:05:05.480 --> 01:05:07.480
I just, I mean, you're genuinely.

1654
01:05:07.480 --> 01:05:08.480
I don't know.

1655
01:05:08.480 --> 01:05:09.480
That's what I was asking.

1656
01:05:09.480 --> 01:05:10.480
Oh, God.

1657
01:05:10.480 --> 01:05:11.480
Yeah.

1658
01:05:11.480 --> 01:05:12.480
Okay.

1659
01:05:12.480 --> 01:05:13.480
No, that's far.

1660
01:05:13.480 --> 01:05:15.480
I mean, fundamentally, is the construction thing just like a separate business?

1661
01:05:15.480 --> 01:05:16.480
Yeah.

1662
01:05:16.480 --> 01:05:17.480
They're essentially ran two separate ways.

1663
01:05:17.480 --> 01:05:18.480
Yeah.

1664
01:05:18.480 --> 01:05:19.480
It's under one income statement.

1665
01:05:19.480 --> 01:05:20.480
I bought the business a year and a half ago.

1666
01:05:20.480 --> 01:05:21.480
You bought the construction business?

1667
01:05:21.480 --> 01:05:23.480
I bought both together a year and a half ago.

1668
01:05:23.480 --> 01:05:24.480
Interesting.

1669
01:05:24.480 --> 01:05:25.480
Yeah.

1670
01:05:25.480 --> 01:05:27.480
From an entrepreneur who was retiring?

1671
01:05:27.480 --> 01:05:28.480
Yes.

1672
01:05:28.480 --> 01:05:29.480
Got it.

1673
01:05:29.480 --> 01:05:30.480
Okay.

1674
01:05:30.480 --> 01:05:34.480
What's the even a contribution of each?

1675
01:05:34.480 --> 01:05:39.480
It's about 50-50, but the pay, like the council received a little collection on the construction

1676
01:05:39.480 --> 01:05:43.480
and the capital or in capital requirements is much longer than the capital sucks.

1677
01:05:43.480 --> 01:05:44.480
Right.

1678
01:05:44.480 --> 01:05:45.480
Exactly.

1679
01:05:45.480 --> 01:05:46.480
Yeah.

1680
01:05:46.480 --> 01:05:48.480
Is there one of those two businesses that you like better?

1681
01:05:48.480 --> 01:05:49.480
Yes.

1682
01:05:49.480 --> 01:05:50.480
Service.

1683
01:05:50.480 --> 01:05:51.480
Yeah.

1684
01:05:51.480 --> 01:05:53.480
I would be willing to let it go.

1685
01:05:53.480 --> 01:05:54.480
It's some cost.

1686
01:05:54.480 --> 01:05:56.480
It's like it's already in your head.

1687
01:05:56.480 --> 01:06:02.480
Even if you bought it and paid for it, it's that decision's done and the only decision you have now is like,

1688
01:06:02.480 --> 01:06:04.480
if I were to start this today, would I do it this way?

1689
01:06:04.480 --> 01:06:05.480
Probably not.

1690
01:06:05.480 --> 01:06:12.480
And so if you're looking at also from an acquisition perspective, like if you want to get acquired in the future, which is I'm guessing, because you bought it here, it's cleaner.

1691
01:06:12.480 --> 01:06:17.480
It's like, what's the, because they're going to probably want to carve out because they're like, well, we only want this piece and this is different than that.

1692
01:06:17.480 --> 01:06:23.480
And especially if it's splitting your attention, you'll be amazed at how much faster the other one will grow by getting rid of the headache.

1693
01:06:23.480 --> 01:06:27.480
It's just really painful in the short term because you have all these like, I made this mistake.

1694
01:06:27.480 --> 01:06:33.480
I should have, and I will refer back to the nine failed businesses I have been losing off my money twice.

1695
01:06:33.480 --> 01:06:36.480
It's like, I think the game's long enough.

1696
01:06:36.480 --> 01:06:38.480
I think your gut was right.

1697
01:06:38.480 --> 01:06:39.480
I think you kind of know.

1698
01:06:39.480 --> 01:06:40.480
Okay.

1699
01:06:40.480 --> 01:06:41.480
Thank you.

1700
01:06:41.480 --> 01:06:48.480
My name is John and I run a cold email agency and I sell to other agencies.

1701
01:06:48.480 --> 01:06:53.480
We are making one million per year and we would like to go to a 10 million.

1702
01:06:53.480 --> 01:06:57.480
And what's stopping me is high turn rate.

1703
01:06:57.480 --> 01:07:03.480
And I think it's because I mean, the core issue is.

1704
01:07:03.480 --> 01:07:10.480
When we deliver the leads to the agencies, they cannot close them or if they close them, their own full capacity.

1705
01:07:10.480 --> 01:07:11.480
Yeah.

1706
01:07:11.480 --> 01:07:12.480
Yeah.

1707
01:07:12.480 --> 01:07:17.480
My guess is that you're serving customers that are too small.

1708
01:07:17.480 --> 01:07:25.480
So this is probably really good for like a third of you in here or like rather it'll be really relevant for like a third of you.

1709
01:07:25.480 --> 01:07:36.480
So there are some business models that small business owners look at from large businesses and say I'll do that same thing for the bottom end of the market.

1710
01:07:36.480 --> 01:07:42.480
The problem is that that strategy typically only works with a fully fledged business.

1711
01:07:42.480 --> 01:07:51.480
And so if you look at a small business, these agencies that you're selling, they're volatile.

1712
01:07:51.480 --> 01:07:58.480
Like they have good months, they have bad ones, they have good ones, they have bad months and their volatility now reflects on to your volatility.

1713
01:07:58.480 --> 01:08:08.480
And so let's say you make them some money here, then they make more money here and then all of a sudden they make less and then they make, then they cancel.

1714
01:08:09.480 --> 01:08:15.480
And so these things are called structural churn, which is that kind of things that are inherent to the industry.

1715
01:08:15.480 --> 01:08:18.480
And so I'll tell you a story that might make this relevant.

1716
01:08:18.480 --> 01:08:25.480
So I was talking to a friend of mine who owns a CRM in the gym space and I was asking him, I was like, what's your churn?

1717
01:08:25.480 --> 01:08:27.480
I would imagine it's like zero.

1718
01:08:27.480 --> 01:08:31.480
He said, it's about 3% a month and I was like 3% a month for CRM.

1719
01:08:31.480 --> 01:08:36.480
He's like, yeah, he's like out of the third of the gyms, got a business agreed.

1720
01:08:37.480 --> 01:08:41.480
And so like, there's nothing they could do to improve the product anymore.

1721
01:08:41.480 --> 01:08:45.480
Just a third of the businesses go out of business every year and there's nothing you can do to the product.

1722
01:08:45.480 --> 01:09:00.480
And so it's kind of similar here, which is like if you look at, and this is a great exercise, if you look at the ultimate version of your business, because there is a much bigger version of your business, which is you look at Ogleville, you look at NP digital, you look at Vayner, right?

1723
01:09:00.480 --> 01:09:04.480
They're big agencies that exist, who do they serve?

1724
01:09:04.480 --> 01:09:05.480
Fortune 100.

1725
01:09:05.480 --> 01:09:17.480
And so the reason that those work that way is because those businesses can pay on time, they have salespeople that know what they're doing, they have a process in place, they have margins, they're checks clear.

1726
01:09:17.480 --> 01:09:21.480
And when they sign contracts, they keep them, right? And that's because they're good businesses.

1727
01:09:21.480 --> 01:09:26.480
And so it's very likely that you're not in the wrong business, you might just be serving the wrong customer.

1728
01:09:26.480 --> 01:09:33.480
And so if you were to look at your spread of customers right now, I would bet that there are some that have been with you for a little bit, right?

1729
01:09:33.480 --> 01:09:36.480
And then all the new ones just turn out, so it's like they're the ones, right?

1730
01:09:36.480 --> 01:09:42.480
And so those ones that have been with you for a little bit probably look a little bit different than some of the ones that were coming in.

1731
01:09:42.480 --> 01:09:43.480
We didn't analyze.

1732
01:09:43.480 --> 01:09:50.480
And like you can't really always see this from from the outside because they can just sell.

1733
01:09:50.480 --> 01:09:58.480
So this is hard to say like from the outside, if they can sell, so they want to stay with us, they can sell and they can close the leads.

1734
01:09:58.480 --> 01:10:00.480
Were they at a certain size already?

1735
01:10:00.480 --> 01:10:03.480
Yes, but the same size like other people were turning.

1736
01:10:03.480 --> 01:10:11.480
Sure. And so if there are intangibles that someone has to have, you can test for that or you can just go up market.

1737
01:10:11.480 --> 01:10:16.480
So I think by this way, if somebody does a five million dollar your agency, they have to sell.

1738
01:10:16.480 --> 01:10:20.480
There's no way they get to five million without being able to know how to sell, right?

1739
01:10:20.480 --> 01:10:27.480
And so you can just put like you can try to test for it or you can just make a requirement that would make it impossible that the person didn't know how to do that.

1740
01:10:27.480 --> 01:10:28.480
Does that make sense?

1741
01:10:28.480 --> 01:10:33.480
And so I try, like if I can get something that's really small and testy, that like allows me to go a little bit lower market, that's okay.

1742
01:10:33.480 --> 01:10:37.480
Otherwise, I'll just put a bar and say it's got to be this.

1743
01:10:37.480 --> 01:10:46.480
But likely, and so many of you I think are in the same boat though, is that you serve, you have a business model that is better served to a bigger customer.

1744
01:10:46.480 --> 01:10:52.480
And you charge to little and then they turn and then you keep trying to like think about what new thing do I need to add my offering?

1745
01:10:52.480 --> 01:11:00.480
Like what new guarantee, what new onboarding process like you're keeping adding things and it doesn't matter because they are volatile.

1746
01:11:00.480 --> 01:11:02.480
And that volatility will not change.

1747
01:11:02.480 --> 01:11:03.480
Does that make sense?

1748
01:11:03.480 --> 01:11:04.480
Yeah.

1749
01:11:04.480 --> 01:11:05.480
Thank you.

1750
01:11:06.480 --> 01:11:16.480
Oh, by the way, the equal opposite of that is that if you were in that in that position, if you do want to serve that market, then you have to make the entire business model around being the low cost leader.

1751
01:11:16.480 --> 01:11:18.480
And so you can serve that market.

1752
01:11:18.480 --> 01:11:27.480
If you have like a very technical service or software where you could charge those people $300 a month, which is always going to be below their volatility level of cash flow.

1753
01:11:28.480 --> 01:11:30.480
But it has to cost you nothing.

1754
01:11:31.480 --> 01:11:39.480
And so the idea of like I will, you know, $1,500 a month for lead generation or whatever it is, like, which is kind of like the standard.

1755
01:11:39.480 --> 01:11:44.480
Like that model doesn't work because it just won't scale.

1756
01:11:44.480 --> 01:11:45.480
Okay.

1757
01:11:45.480 --> 01:11:52.480
But you can always make one to three million bucks here with it and just always be like looking on the hunt for the next lead.

1758
01:11:52.480 --> 01:11:53.480
Yes, we're at it.

1759
01:11:53.480 --> 01:11:54.480
Yes, sir.

1760
01:11:54.480 --> 01:11:56.480
Hey, Alex, my name is Jordan.

1761
01:11:57.480 --> 01:11:58.480
We own a gym.

1762
01:11:58.480 --> 01:11:59.480
Oh, yeah.

1763
01:11:59.480 --> 01:12:00.480
We sell.

1764
01:12:00.480 --> 01:12:02.480
We sell a number.

1765
01:12:02.480 --> 01:12:04.480
Memberships and soaps.

1766
01:12:04.480 --> 01:12:05.480
We do gym launch.

1767
01:12:05.480 --> 01:12:06.480
Okay.

1768
01:12:06.480 --> 01:12:09.480
We just acquired the company about three months ago.

1769
01:12:09.480 --> 01:12:11.480
See the big box or is it a micro gym?

1770
01:12:11.480 --> 01:12:12.480
It's micro.

1771
01:12:12.480 --> 01:12:13.480
Okay.

1772
01:12:13.480 --> 01:12:14.480
Women's only kickboxing.

1773
01:12:14.480 --> 01:12:15.480
Okay.

1774
01:12:15.480 --> 01:12:16.480
Yeah.

1775
01:12:16.480 --> 01:12:17.480
It's on the head.

1776
01:12:17.480 --> 01:12:18.480
Yeah.

1777
01:12:18.480 --> 01:12:19.480
We bought it from him.

1778
01:12:19.480 --> 01:12:20.480
Yeah.

1779
01:12:20.480 --> 01:12:21.480
Yeah.

1780
01:12:21.480 --> 01:12:22.480
Yeah.

1781
01:12:22.480 --> 01:12:23.480
Yeah.

1782
01:12:23.480 --> 01:12:26.480
So we have about $560,000 revenue.

1783
01:12:26.480 --> 01:12:27.480
Cool.

1784
01:12:27.480 --> 01:12:29.480
See trying to get it to 1.2 and then we're going to sell it.

1785
01:12:29.480 --> 01:12:30.480
Okay.

1786
01:12:30.480 --> 01:12:31.480
And buy our next bigger business.

1787
01:12:31.480 --> 01:12:32.480
Cool.

1788
01:12:32.480 --> 01:12:33.480
Yeah.

1789
01:12:33.480 --> 01:12:34.480
What's stopping us?

1790
01:12:34.480 --> 01:12:37.480
Well, I was really concentrated on acquisition.

1791
01:12:37.480 --> 01:12:38.480
Sure.

1792
01:12:38.480 --> 01:12:40.480
And really just gained as many customers as possible.

1793
01:12:40.480 --> 01:12:45.480
And so I'm kind of inherent to a lot of, you know, customers that won't necessarily gain their full value.

1794
01:12:46.480 --> 01:12:48.480
So our turn is at 25% on average.

1795
01:12:48.480 --> 01:12:49.480
Yeah.

1796
01:12:49.480 --> 01:12:53.480
We really got to lower that and that's going to really, really help us because we have no problem getting new customers.

1797
01:12:53.480 --> 01:12:54.480
Yeah.

1798
01:12:54.480 --> 01:12:55.480
Really.

1799
01:12:55.480 --> 01:12:57.480
Although we do need to work on more referrals.

1800
01:12:57.480 --> 01:13:06.480
But my question to you is how quickly and how would you go about lowering that 25% turn going in 2025?

1801
01:13:06.480 --> 01:13:11.480
Can I have that book real quick?

1802
01:13:11.480 --> 01:13:12.480
Thank you.

1803
01:13:12.480 --> 01:13:16.480
So did you go through the four horsemen, five horsemen retention?

1804
01:13:16.480 --> 01:13:17.480
Yes.

1805
01:13:17.480 --> 01:13:21.480
So those are the things that we have done consistently to cut chur.

1806
01:13:21.480 --> 01:13:23.480
Are you doing all of them?

1807
01:13:23.480 --> 01:13:25.480
Not consistently.

1808
01:13:25.480 --> 01:13:27.480
Well, I would do them consistently.

1809
01:13:27.480 --> 01:13:35.480
And I'm not saying that is a, like, the interesting thing about the horsemen retention is that they,

1810
01:13:35.480 --> 01:13:39.480
when you realize how much work it is, you're like, holy shit, this is a lot of work.

1811
01:13:39.480 --> 01:13:42.480
But that's also why people stay.

1812
01:13:42.480 --> 01:13:53.480
And so the point of the five horsemen retention is to approximate what having a small tribe feels like in a disorganized manner, doing it on purpose.

1813
01:13:53.480 --> 01:14:02.480
And so so many, some of you guys are familiar with Dunbar's number, which is basically like people can maintain whatever 125 to 150,

1814
01:14:02.480 --> 01:14:04.480
basically acquaintances in their mind.

1815
01:14:04.480 --> 01:14:09.480
And that's, I think the reason that the vast majority of gyms tend to cap around 100 to 150.

1816
01:14:09.480 --> 01:14:13.480
Because that's about as many as the owner can manage in their mind without it becoming too big.

1817
01:14:13.480 --> 01:14:17.480
And then beyond that, new people come in, they never really get assimilated and they turn back out.

1818
01:14:17.480 --> 01:14:22.480
And so it's like, what are we doing with the original 150 people that we're not doing with these other ones?

1819
01:14:22.480 --> 01:14:29.480
And so that's where the touch bases on a regular cadence are super helpful.

1820
01:14:29.480 --> 01:14:34.480
So Mike Ferreira has his retention system where they updated the five horsemen.

1821
01:14:34.480 --> 01:14:37.480
Sorry, I'm getting really taxable about gyms.

1822
01:14:37.480 --> 01:14:43.480
So, but basically alternating between an internal referral play.

1823
01:14:43.480 --> 01:14:48.480
They've got fast cash Fridays, which is how they get, you know, how they generate the referrals.

1824
01:14:48.480 --> 01:14:51.480
They have a weekly theme that that gives you the thing to talk to them about.

1825
01:14:51.480 --> 01:14:53.480
Because it's like, how do I approximate a relationship?

1826
01:14:53.480 --> 01:14:56.480
It's like, I check in on people and I let them know the thing that's new that's cool.

1827
01:14:56.480 --> 01:15:01.480
And so the tweak from the system that I have here is that I used to check in about people's results.

1828
01:15:01.480 --> 01:15:06.480
And we realized that people didn't care and just wanted to work out and have fun.

1829
01:15:06.480 --> 01:15:11.480
And so us reminding them about the fact that they were still overweight didn't actually help.

1830
01:15:11.480 --> 01:15:13.480
Real talk.

1831
01:15:13.480 --> 01:15:22.480
And so we were like, okay, so that's probably the big major shift between what is in here and what is kind of now the most up to date.

1832
01:15:23.480 --> 01:15:27.480
And the every other month is when you run the internal play.

1833
01:15:27.480 --> 01:15:32.480
So internal plays are like when you hit your list up and say, hey, we're doing.

1834
01:15:32.480 --> 01:15:36.480
It's the last chapter of the offers book is whatever our internal seasonal promotion is.

1835
01:15:36.480 --> 01:15:46.480
So it's, you know, Valentine's Day, you know, get fit to fudge with your, you know, with your loved one, whatever, you know.

1836
01:15:46.480 --> 01:15:51.480
Accountability, you know, lean by Halloween, you know, whatever.

1837
01:15:51.480 --> 01:15:56.480
And so the churn though is still going to be the quality of the sessions.

1838
01:15:56.480 --> 01:16:00.480
I mean, the fundamentals are going to be there. The sessions have to be good. The music has to be good.

1839
01:16:00.480 --> 01:16:02.480
The trainers have to be solid.

1840
01:16:02.480 --> 01:16:06.480
You want to reach out on a once every other week basis.

1841
01:16:06.480 --> 01:16:12.480
You want to check in around the promotion that you're running or the bring a friend to component that you're doing.

1842
01:16:13.480 --> 01:16:17.480
And obviously the sales have been getting the prepays and stuff Ed's already giving you.

1843
01:16:17.480 --> 01:16:20.480
So that's the big stuff.

1844
01:16:20.480 --> 01:16:25.480
But the, the main thing that drives down churn is consumption.

1845
01:16:25.480 --> 01:16:29.480
And so all of the objective has to be around, how do we get them to use the membership?

1846
01:16:29.480 --> 01:16:32.480
No one cancels a membership they use.

1847
01:16:32.480 --> 01:16:36.480
And so people cancel $10 a membership if they don't use it. Like nothing is worth it if you don't use it.

1848
01:16:37.480 --> 01:16:40.480
And so that's the, that's the TLDR.

1849
01:16:40.480 --> 01:16:42.480
Any questions on that because I want to make sure that you feel okay.

1850
01:16:42.480 --> 01:16:43.480
No, thank you.

1851
01:16:43.480 --> 01:16:46.480
Alex, thank you for all you do. I appreciate you.

1852
01:16:46.480 --> 01:16:47.480
Oh, you bet.

1853
01:16:47.480 --> 01:16:48.480
My name is Rens.

1854
01:16:48.480 --> 01:16:50.480
I sell structural engineering services.

1855
01:16:50.480 --> 01:16:55.480
So I design commercial, large scale commercial real estate buildings for commercial real estate developers and architects.

1856
01:16:55.480 --> 01:17:01.480
Do 5.2 million in revenue, trailing 12 months, closed revenue predicts next year is about 8 million.

1857
01:17:01.480 --> 01:17:04.480
I want to do 20 million in 2027.

1858
01:17:04.480 --> 01:17:12.480
Well, learned a lot from the team and most of which is my data is in organized properly for me to understand my appropriate cat and LTV.

1859
01:17:12.480 --> 01:17:13.480
Yeah.

1860
01:17:13.480 --> 01:17:17.480
But in our business, high reoccurring, right, they do a lot, but it's cyclical.

1861
01:17:17.480 --> 01:17:19.480
The funding's interesting.

1862
01:17:19.480 --> 01:17:26.480
I feel like a certain amount of my marketing is just necessary to nurture my existing clients and has all these other.

1863
01:17:26.480 --> 01:17:32.480
So when I go into like CAC to LTV to figure out my slot machine on where to allocate cat, that's where I get confusing.

1864
01:17:32.480 --> 01:17:33.480
Just curious if you that.

1865
01:17:33.480 --> 01:17:37.480
Well, you would just loop all of that, all that nurture into CAC.

1866
01:17:37.480 --> 01:17:40.480
And then what about LTV for new customers?

1867
01:17:40.480 --> 01:17:41.480
You just call that.

1868
01:17:41.480 --> 01:17:44.480
You look at that as your CAC versus your new LTV.

1869
01:17:44.480 --> 01:17:45.480
So CAC's CAC.

1870
01:17:45.480 --> 01:17:46.480
Yeah.

1871
01:17:46.480 --> 01:17:50.480
So I think we're going to say so every month you spend extra amount of money in general.

1872
01:17:50.480 --> 01:17:55.480
So forget about the fact that like some of this is nurture for customers who've been here before.

1873
01:17:55.480 --> 01:17:59.480
You pay this amount of money every single month that goes into advertising and sales to a car customers.

1874
01:17:59.480 --> 01:18:02.480
So all of that blended together.

1875
01:18:02.480 --> 01:18:06.480
And if you have more lumpy revenue, which I'm guessing you do, you just expand the time.

1876
01:18:06.480 --> 01:18:11.480
Resents that you look at trailing six or trailing 12 and say, okay, we spent just let's simple math.

1877
01:18:11.480 --> 01:18:17.480
We spent a million dollars on marketing and sales this year, whatever between commissions and advertising.

1878
01:18:17.480 --> 01:18:21.480
Okay, over that year, we acquired, call it 50 customers.

1879
01:18:21.480 --> 01:18:22.480
Okay.

1880
01:18:22.480 --> 01:18:24.480
CAC is $20,000.

1881
01:18:24.480 --> 01:18:29.480
So the longer the time horizon is also, by the way, the more accurate it tends to be.

1882
01:18:29.480 --> 01:18:32.480
So if you just zoom it out, because like I might have said, what's your CAC today?

1883
01:18:32.480 --> 01:18:35.480
It's, you know, it's kind of like that this volatility thing.

1884
01:18:35.480 --> 01:18:37.480
It's like, our CAC today is terrible.

1885
01:18:37.480 --> 01:18:39.480
And then tomorrow, it's amazing, right?

1886
01:18:39.480 --> 01:18:44.480
And so the further out you blend it, the more I could rule be.

1887
01:18:44.480 --> 01:18:49.480
But in terms of less numbers, profit or LTV, that one.

1888
01:18:49.480 --> 01:18:51.480
There's a lot of different ways to calculate it.

1889
01:18:51.480 --> 01:18:54.480
I tend to calculate it in the ways that are underestimated.

1890
01:18:54.480 --> 01:18:58.480
So that I, like, I want to overestimate CAC and I want to underestimate LTV.

1891
01:18:58.480 --> 01:19:02.480
If I do that and I still have my good metrics, then I'm kind of like in safety zone on both.

1892
01:19:02.480 --> 01:19:10.480
So like, I'll do fully loaded CAC, which is like, including commissions and the software and the media spend and the nurture and all that fully loaded.

1893
01:19:10.480 --> 01:19:15.480
And then LTV, I'll say, okay, if I want to have the lowest LTV, I would just look at same thing.

1894
01:19:15.480 --> 01:19:18.480
All customers, what do they spend historically?

1895
01:19:18.480 --> 01:19:23.480
So even if you look at all the way from, it's been five years, whatever they've been in business, what was revenue?

1896
01:19:23.480 --> 01:19:24.480
How many customers do I have?

1897
01:19:24.480 --> 01:19:28.480
And you just do total revenue over five years, divided by total number of customers acquired.

1898
01:19:28.480 --> 01:19:30.480
And then you're like, wait, but some of these customers are only six months old.

1899
01:19:30.480 --> 01:19:32.480
It's going to underestimate it.

1900
01:19:32.480 --> 01:19:37.480
But then you still have a, that will be the most, it will be the ugliest version of that number.

1901
01:19:37.480 --> 01:19:39.480
But if that's baseline, then you can only go up from there.

1902
01:19:39.480 --> 01:19:40.480
Does that make sense?

1903
01:19:40.480 --> 01:19:41.480
Does.

1904
01:19:41.480 --> 01:19:42.480
Okay.

1905
01:19:42.480 --> 01:19:43.480
Is that helpful?

1906
01:19:43.480 --> 01:19:44.480
Absolutely.

1907
01:19:44.480 --> 01:19:45.480
Okay.

1908
01:19:45.480 --> 01:19:46.480
That's your wish.

1909
01:19:46.480 --> 01:19:47.480
My name is Tyler.

1910
01:19:47.480 --> 01:19:50.480
I sell roofs to residential homeowners or commercial building owners.

1911
01:19:50.480 --> 01:19:52.480
We're about 10 months old.

1912
01:19:52.480 --> 01:19:54.480
Did 1.8 million in revenue this short?

1913
01:19:54.480 --> 01:19:55.480
Yeah, somewhat.

1914
01:19:55.480 --> 01:19:58.480
A lot of the guys like, I've been in the industry for a while.

1915
01:19:58.480 --> 01:20:00.480
So I had a lot of return customers.

1916
01:20:00.480 --> 01:20:01.480
Cool.

1917
01:20:01.480 --> 01:20:02.480
Did about 1.1 from return.

1918
01:20:02.480 --> 01:20:03.480
Right.

1919
01:20:03.480 --> 01:20:06.480
And then my four sales guys brought the rest of the business.

1920
01:20:06.480 --> 01:20:08.480
Short term goal would be eight million.

1921
01:20:08.480 --> 01:20:09.480
Go to that.

1922
01:20:09.480 --> 01:20:12.480
And then long term would be around 70 and exit.

1923
01:20:12.480 --> 01:20:15.480
And the problem is we don't know what model to choose or how to do it.

1924
01:20:15.480 --> 01:20:17.480
So like, was it franchising?

1925
01:20:17.480 --> 01:20:18.480
Yeah.

1926
01:20:18.480 --> 01:20:22.480
Are you going to make sure it's a storm chase or are you going to do private like cash pay like new?

1927
01:20:22.480 --> 01:20:23.480
We haven't done any storm chasing.

1928
01:20:23.480 --> 01:20:26.480
So they all knew roofs and repair.

1929
01:20:26.480 --> 01:20:30.480
So it's the market that we live in is, is we get storms every year.

1930
01:20:30.480 --> 01:20:33.480
So, yeah, it's insurance.

1931
01:20:33.480 --> 01:20:34.480
95% isn't.

1932
01:20:34.480 --> 01:20:35.480
Okay.

1933
01:20:35.480 --> 01:20:36.480
It's insurance.

1934
01:20:36.480 --> 01:20:37.480
Got it.

1935
01:20:37.480 --> 01:20:38.480
Okay.

1936
01:20:38.480 --> 01:20:39.480
Yeah.

1937
01:20:39.480 --> 01:20:41.480
How would you scale or what model would you choose?

1938
01:20:41.480 --> 01:20:44.480
And then how would you go about building that?

1939
01:20:44.480 --> 01:20:46.480
Well, you already have 95% insurance.

1940
01:20:46.480 --> 01:20:48.480
So I would probably keep doing that.

1941
01:20:48.480 --> 01:20:51.480
So what stops you from doing that?

1942
01:20:51.480 --> 01:20:53.480
Well, we're going to stay with insurance.

1943
01:20:53.480 --> 01:20:54.480
Well, insurance is changing a little bit.

1944
01:20:54.480 --> 01:20:55.480
The doctor was growing up.

1945
01:20:55.480 --> 01:20:56.480
Homeowner.

1946
01:20:56.480 --> 01:20:57.480
So I want to get their roofs done as often.

1947
01:20:57.480 --> 01:21:03.480
But would you scale the multiple locations like different cities or would you do like a franchise model?

1948
01:21:03.480 --> 01:21:06.480
Do you feel like you've nailed the model?

1949
01:21:06.480 --> 01:21:07.480
No.

1950
01:21:07.480 --> 01:21:12.480
So right now, what I wouldn't want to do is try and make a decision within complete information

1951
01:21:12.480 --> 01:21:14.480
when it could be knowable.

1952
01:21:14.480 --> 01:21:18.480
And so I think once you nail the model, then the path will become really clear.

1953
01:21:18.480 --> 01:21:22.480
And so if you nail the model and then the returns of capital are really interesting

1954
01:21:22.480 --> 01:21:26.480
and you can be more patient than owning them all privately becomes more interesting.

1955
01:21:26.480 --> 01:21:32.480
If it costs a ton of capital to open up and let's say it requires a lot of oversight,

1956
01:21:32.480 --> 01:21:35.480
then sometimes a franchise model can be good.

1957
01:21:35.480 --> 01:21:39.480
But fundamentally, I kind of see franchises as like being impatient.

1958
01:21:39.480 --> 01:21:41.480
Just being honest.

1959
01:21:41.480 --> 01:21:44.480
Because like all it basically is the most expensive form of capital.

1960
01:21:44.480 --> 01:21:49.480
As you say, hey, we're going to a partner and you're going to say you're going to put all the money in.

1961
01:21:49.480 --> 01:21:54.480
And I'm only going to become a, you know, maybe you get a 8% of top line to maybe figuratively.

1962
01:21:54.480 --> 01:21:58.480
It's like 25% partner or 30% partner location, which is okay.

1963
01:21:58.480 --> 01:21:59.480
Like nothing wrong with that.

1964
01:21:59.480 --> 01:22:06.480
But I've seen such a graveyard of, you know, 20 location franchises that make no money.

1965
01:22:06.480 --> 01:22:12.480
And the amount of work that it takes to maintain 20 is about the same amount of work as it takes to maintain 20 re-enable.

1966
01:22:12.480 --> 01:22:14.480
It just happens faster.

1967
01:22:14.480 --> 01:22:16.480
But you make way less money.

1968
01:22:16.480 --> 01:22:20.480
So I am, I have a habit of flipping franchises back into less animal.

1969
01:22:20.480 --> 01:22:23.480
Like the teeth widening chain that we bought.

1970
01:22:23.480 --> 01:22:28.480
When we bought it, we had 14 corporate stores made 18 open franchises.

1971
01:22:28.480 --> 01:22:32.480
And so then over the last 12 months, we bought all 18 franchises.

1972
01:22:32.480 --> 01:22:34.480
And so now we have all 32.

1973
01:22:34.480 --> 01:22:37.480
But then like all of the administrative headache has just basically disappeared.

1974
01:22:37.480 --> 01:22:39.480
Because we just run them the way we want to run them.

1975
01:22:39.480 --> 01:22:41.480
And we make more money.

1976
01:22:41.480 --> 01:22:42.480
But yeah, I think you need to nail it.

1977
01:22:42.480 --> 01:22:45.480
And then the scaling of half will become clearer.

1978
01:22:45.480 --> 01:22:48.480
I know it's not the sexiest answer, but that's probably the truth.

1979
01:22:48.480 --> 01:22:49.480
No, thank you.