00:00:00I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:16are coming true.
00:00:17I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:19are coming true.
00:00:20I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:21are coming true.
00:00:22I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:23are coming true.
00:00:24I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:25are coming true.
00:00:26I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:27are coming true.
00:00:28I hope you and your bloodlines are fruitful and multiplying and all of your wildest dreams
00:00:29are coming true.
00:00:30And if they're not, we'll see what we can do about that today.
00:00:33With that being said, today's episode of Hormozhi Hotline, I think we've got an interesting cast
00:00:39of characters.
00:00:40We'll see.
00:00:41I have no idea, actually.
00:00:42I'm mostly saying that to increase our stakes.
00:00:44This will be cold, cold, cold, cold.
00:00:48With that being said, what's up in the chat?
00:00:50Rudy.
00:00:51How's it going?
00:00:52Ahmed.
00:00:53Aaron, what's going on?
00:00:55Sobhan Ahmed, another Ahmed, actually.
00:00:59Tenz Tintz, what's up?
00:01:02Easy work.
00:01:03Caio, salutations.
00:01:04All right.
00:01:05Let's blow this popsicle stand.
00:01:06Hello?
00:01:07Hey, Alex.
00:01:08Hey, what's up?
00:01:09Not too much.
00:01:10My name's Paul.
00:01:11All right.
00:01:12Go for it.
00:01:25Yeah, but my name's Paul, I want a business that sells cannabis seeds to ventures and home
00:01:42growers.
00:01:43We make around 200,000 per month, and I want to have two and a half million in my bank account
00:01:54by November.
00:01:55I want to start my family and empower my fiance, and I need money to start my next business
00:02:05just by getting it shut down.
00:02:08So Alex, if you were in my shoes, how would you fit two and a half million dollars to your
00:02:16bank account in less than eight months?
00:02:18Well, first off, man, I'm sorry you're going through it.
00:02:19Okay.
00:02:20So how much cash you got right now?
00:02:21500,000.
00:02:22Okay.
00:02:23So we need another 200 after taxes, right?
00:02:26Sorry, two million after taxes.
00:02:27Yeah, another two million.
00:02:28Okay.
00:02:29So another two million after taxes.
00:02:30Selling the business is going to be pretty hard because of the same issues.
00:02:31All the 200 a month that you're making, what do you make it in profit?
00:02:3270%.
00:02:3370?
00:02:34Yeah.
00:02:35That's not bad.
00:02:36Okay.
00:02:37So you got eight months times 200.
00:02:38So it's 1.7.
00:02:39So we're looking at what?
00:02:54A little over a million bucks in profit over the next eight before taxes?
00:03:07Yeah.
00:03:08Okay.
00:03:09So what's magic about two and a half million versus the million that you'll have after taxes
00:03:16and after everything?
00:03:17I guess it's less stress in general if I could have that to an event, then it would be a massive
00:03:27income for myself and my friend to live.
00:03:32So you're thinking living like four or five percent and then make a hundred thousand dollars
00:03:37a year passively.
00:03:38Is that what you're thinking?
00:03:43Exactly.
00:03:44Okay.
00:03:45What's your fiance do?
00:03:46She's a traveling service technician but we're both a bit older so we would like to just start
00:03:54a family as soon as we can and I don't want her to worry and be pregnant.
00:04:00Okay.
00:04:01So the difficulty with this is the time constraint.
00:04:07So you've got eight more months to sell your seeds, right?
00:04:14Before it becomes illegal, correct?
00:04:16And so I'm guessing you're not trying to like sell another product to that same base?
00:04:21I'm open to it.
00:04:24Okay.
00:04:25Well, if you were like I'm trying to cash out, which is what it sounds like, I would probably
00:04:31do two things.
00:04:33So the first thing I would do is I would look at your fiance's hours and given we are early
00:04:37in the year, I would see if she could get basically I don't know how much she makes but I'm guessing
00:04:42it's less than you.
00:04:43That could be it.
00:04:44Is that correct?
00:04:45Yeah.
00:04:46Okay.
00:04:47Correct.
00:04:48So if it's less than you then I would encourage you to look up real estate professional status
00:04:51for your fiance which is 750 hours a year.
00:04:55So that's thing one.
00:04:57Thing two is that I would from a business perspective and I'll loop around why.
00:05:01The second thing is that from a business perspective I would basically do a going out of business
00:05:05sale.
00:05:06All right.
00:05:07Going out of business sales and I would run them hardcore between now and the eight months.
00:05:10And so you'll oftentimes be able to double, triple sales as long as there's legitimate
00:05:15urgency which there is because you literally are.
00:05:18Everything must go, right?
00:05:21And the nice thing is that you have the best reason of all time which is the U.S. government
00:05:25is shutting down our ability to ship seeds.
00:05:27That's the hook.
00:05:28And so if you want them you've got to buy them now.
00:05:31Everything must go.
00:05:32So this is pure direct response.
00:05:33We're not trying to build brand.
00:05:34We're trying to liquidate, right?
00:05:37Yeah.
00:05:38You with me?
00:05:41Okay.
00:05:42Yeah.
00:05:43Because if we could see like a 50 percent or even 100 percent improvement in revenue just
00:05:47from the -- how are you selling right now?
00:05:49E-com.
00:05:50Okay.
00:05:51Yeah.
00:05:52I mean if it's direct-to-consumer this will work.
00:05:55And then where's the creative?
00:05:56Like what's the -- how are you making creative?
00:05:58You mean creative as far as like content for the website or what do you mean?
00:06:03Yeah.
00:06:04How are people finding?
00:06:05You have an e-commerce site.
00:06:06But like are -- I mean is our ads legal or is content like what's the -- what's driving
00:06:10them?
00:06:11As a business was it hard enough I chose a restricted niche.
00:06:16Yeah.
00:06:17No, no.
00:06:18It's not possible to do any kind of advertising.
00:06:19Yeah.
00:06:20No, no, no.
00:06:21It's actually majority organic referral and it's here.
00:06:26Got it.
00:06:28So I'll say this just like if this makes you feel a little bit better.
00:06:33There's a trade that you made when you picked the business which is that you operate in a
00:06:36business that has 70 percent net margins.
00:06:39And part of the reason that you get to operate with those margins is because of the risk that's
00:06:42associated and because of the difficulties in exiting and the regulatory risk that you
00:06:46are now being exposed to.
00:06:48So I wouldn't see it as like I can't believe this is happening.
00:06:50It's more like this is the cost and benefit of being in this business.
00:06:54Just from a reframe perspective.
00:06:59That being said you want to get to two and a half million which realistically means you
00:07:01want $100,000 in passive income.
00:07:05And so what I would suggest doing is I would basically let every single person know on the
00:07:13site.
00:07:14That would be a banner.
00:07:15That would be e-mails to your list.
00:07:16That would be talking -- and then if you have distributors I would let them know that everything
00:07:20must go.
00:07:21And that would be -- obviously it's because of the U.S. kind of overhang.
00:07:27I would probably do some -- like try to -- do you have enough seeds to sell?
00:07:31Can you sell more seeds?
00:07:34We have -- I got probably two and a half million seeds.
00:07:38Okay.
00:07:39Great.
00:07:40Okay.
00:07:41Then I would probably run some of these offers that are a little bit more egregious and direct
00:07:44response-y which would be like buy six, get six, buy two -- I'm sure your markups are great,
00:07:50right?
00:07:51Yeah.
00:07:52The current offer that we have that actually may be for AI is it's 50 seeds for 175 and
00:08:01then for 420 we're going to do 100 seeds for -- no, sorry, 153 seeds for 210.
00:08:08Okay.
00:08:09I mean I just -- I'm sure your cost is low though if you're running 70% net margins.
00:08:13I would definitely like consider doing BOGOs and like buy two to get four, buy three to
00:08:18get six, buy three to get six.
00:08:21Like some wild offers because you can't ship them after the deadline, right?
00:08:28Yeah.
00:08:29So basically the goal is number one, sell out of inventory.
00:08:33Run the direct response place that you can and as the date, you know, comes down I would
00:08:37want to have a countdown timer on your site to when it stops being legal.
00:08:40That's number one.
00:08:42Number two, every month run a different promotion out of the Money Models book and ACQA can help
00:08:46you with this of just some flavor of BOGO, just some sort of thing and also if you have
00:08:50any kind of accessories or anything like that I would throw that in as well because again
00:08:53you got to get rid of everything anyways, right?
00:08:57So that's thing two.
00:08:59Thing three is that if we can run these margins and maybe even double the top line just for
00:09:03these kind of eight months going into it, you can actually get close to your $2 million goal
00:09:08but we can actually keep it from a post-tax basis if your fiance can get real estate professional
00:09:13status and then you can take that and put it into a building or put it into a REIT or something
00:09:19like literally just like you can put it into a multifamily building, you can put it into
00:09:22real estate and then if she has real estate professional status then you can take the depreciation
00:09:28from the building against your active income if you file jointly.
00:09:33So I would legally marry her before then.
00:09:36Like ASAP if you plan to get married, I would do it.
00:09:38Get her to file so she gets her 750 hours as long as it's greater than her main business
00:09:43but if you're going to save 37% on $2 million it's her basically bringing in $700,000, $800,000
00:09:50to the bottom line in terms of net worth ad which then if you translate that at 5% a year
00:09:54is her bringing an extra $40,000 a year forever because of this move.
00:10:00Is that track?
00:10:03>> Yeah.
00:10:04>> Does that help?
00:10:06>> No.
00:10:07>> Okay.
00:10:08Good.
00:10:09Well I'm sorry you're going through this.
00:10:13The upside is that like you run the margins you have because of the nature of the business
00:10:16you're in but the best thing in the world for a marketer is a crisis.
00:10:23Like nothing sells like crisis because you have a legitimate reason why.
00:10:28That's what every marketer wants is a legitimate reason why.
00:10:31Why are we running this offer?
00:10:32Because it's about to be illegal.
00:10:34It's so good.
00:10:36>> That's a good point.
00:10:39>> Yeah.
00:10:40Lean into it.
00:10:41I want countdown timers.
00:10:42I want scarcity.
00:10:43I want urgency.
00:10:44You got eight months to run this thing hard and then you can set yourself up for your next
00:10:47thing.
00:10:48Cool?
00:10:49>> Yeah.
00:10:50That sounds good.
00:10:51I appreciate that.
00:10:52>> Appreciate you man.
00:10:53Sorry that you're going through it but hey I think you'll come out the other side better.
00:10:56>> I appreciate that Alan.
00:11:00You're the best.
00:11:01>> You bet man.
00:11:02You are.
00:11:03Appreciate you.
00:11:04>> All right.
00:11:05He's talking about washing drug money with real estate now.
00:11:09What?
00:11:10This is legal.
00:11:11Per my understanding.
00:11:13Selling seeds are legal.
00:11:14So all right.
00:11:15Calm down everybody.
00:11:17Thoughts on working on a skilled trade versus working door-to-door sales.
00:11:21That's tough.
00:11:24That is super tough because I think both are actually fine.
00:11:26Like door-to-door is not going to be disrupted by AI nearly as much as some of the other sales
00:11:31things for a much longer period of time.
00:11:33Basically door-to-door and trades will be disrupted I think at the exact same time.
00:11:36If not trades may even be disrupted first because I don't have people who are like opening up
00:11:42the door to a robot and then saying I'll buy your thing.
00:11:46I think most people will be more comfortable slamming a door in a robot's face because there's
00:11:49no social pressure which is basically what door-to-door is built on.
00:11:52So I think that's probably how I think about it.
00:11:56Let's go.
00:11:57Go-go gadget next.
00:11:58Call it.
00:11:59>> Beer.
00:12:00>> What is it?
00:12:01>> A beer.
00:12:02>> A beer.
00:12:03What's up?
00:12:04>> Hey, Alex.
00:12:05This is a beer.
00:12:06I own a business that provides accounting and CFO services to e-commerce brands.
00:12:11>> Okay.
00:12:12>> I'm doing about six mil a year.
00:12:14My goal is to make the competition irrelevant.
00:12:19So I want to grow as much as I possibly can.
00:12:22What's stopping me though is I don't have a lead generation channel that's sufficiently
00:12:26effective that I can really ramp up growth a lot.
00:12:30I attended your L3 workshop several months ago.
00:12:33You recommended implementing a front-end offer and an affiliate program.
00:12:36I've done both.
00:12:37We are growing a lot since then so thank you for that.
00:12:42>> You're welcome.
00:12:43>> But one of the big challenges I have is while I think the affiliate offer is pretty
00:12:49solid and everybody I talk to will often admit that it's a no-brainer, I have a lot of difficulty
00:12:54getting them to just turn on and send those first referrals.
00:13:00There's that initial friction.
00:13:01So it is still working.
00:13:03The affiliates are having just not as much as I want and at the same time I'd like another
00:13:07channel that is short-term ROI as opposed to the affiliates which I know builds up over
00:13:13time and gives you a very low cost unstoppable funnel.
00:13:17>> Whoa.
00:13:18Do you have something in your background, by the way?
00:13:21>> I hope not.
00:13:22I'm sorry.
00:13:23I have feedback.
00:13:24Thank you.
00:13:25Oh, good.
00:13:26Okay.
00:13:27So a couple things.
00:13:28So first off, on the affiliate piece, we have to make sure that we're launching harder.
00:13:30So I think -- is there -- like what amount of money they're making if they -- like are
00:13:34you getting -- what kind of kickback are the affiliates getting?
00:13:36>> At the moment, 2K as soon as we close someone.
00:13:42>> Okay.
00:13:43So is there any way that you could dangle like 10 grand or something like that for somebody
00:13:52to do like a webinar with you and then you do like a -- you kind of like send e-mails
00:13:55to their audience and then you give them 10 grand up front and then you kind of do a draw
00:13:59out of it.
00:14:00So it's like the first 10 is guaranteed and then I'll also give you -- and so like once
00:14:03I get five, that's kind of counts towards the 10 and then after that it's two.
00:14:06And then what's a customer worth to you?
00:14:10>> I would say a fair bit.
00:14:11I mean we have almost no churn so thus far with the data that we have, I mean it's not
00:14:17reasonable to -- it's not unreasonable to think that 50, 60, I mean we have LTVs that go up
00:14:23into the six figures.
00:14:24>> Yeah.
00:14:25>> So it's a question of time.
00:14:27>> Okay.
00:14:28Well then, I mean fundamentally if you have a three to one LTV to CAC, right, I'm guessing
00:14:30-- what are gross profits on that?
00:14:31>> About 60-ish percent, 55.
00:14:35>> Okay.
00:14:36So call it 36 on 60 is what you make and 100K you're making 60K, right?
00:14:40So like 36 to 60K-ish, does that sound correct?
00:14:45Okay.
00:14:46>> Yeah.
00:14:47>> So I think you're undercompensating for the affiliate.
00:14:52So I'd be willing to give 6, 8, 10 even, you know, for a deal like that and that's per deal.
00:14:58Now right now you're starting lower which is fine, but given like you getting one customer
00:15:03can be on the low side worth 36 to you in gross profit, it's like I'm willing to give 10 for
00:15:07that all day.
00:15:08And so if I would just say, hey, I'll front you 10 to get started or like I'll -- let's
00:15:12say you offer two and you say, hey, but if we do the thing in the next 30 days, I'll give
00:15:16you three for each for life.
00:15:18>> That's fantastic, yeah.
00:15:20Okay.
00:15:21>> Just put a little bit of urgency into it.
00:15:24I do -- I think it's -- I don't want you to abandon the affiliate thing because I do think
00:15:27it's like the -- it's obviously working and so we need to tweak it rather than like let's
00:15:31start something else.
00:15:32It's like we're six inches away from gold.
00:15:34It's like let's drill the next six inches to get it over the hump, you know what I'm saying?
00:15:38>> No, 100 percent.
00:15:39>> Yeah.
00:15:40>> The impression that I've gotten and I don't know if you agree with this, at least your
00:15:43AI kind of felt this way, but the actual motivation for them is not purely financial.
00:15:49For them, some of the hesitation comes from just the general friction of activation and
00:15:53then the fact that they -- the social capital that comes with making a referral to a client.
00:15:59So that's why as much as possible, I try to position it as the offer is theirs, it's white-labeled,
00:16:04it's value to the client.
00:16:06And again, they all say it's a no-brainer, so I think that aspect is there, but --
00:16:09>> Yeah.
00:16:10>> So I'm more than happy to increase the commission per your recommendation.
00:16:13I do wonder if there's a psychological element out there outside of the fact that like dangling
00:16:17more money alone would not create it --
00:16:19>> Yeah.
00:16:20>> Like I don't know that it would double the activation.
00:16:21>> Yeah.
00:16:22So two things.
00:16:23One is I would -- I would consider making it ongoing, so I'd like consider raising -- because
00:16:25you have almost no churn.
00:16:26Do you have any sale -- like is getting someone to close when they get on the phone difficult?
00:16:29>> Sorry.
00:16:30I didn't hear the last one.
00:16:32>> What are your close rates?
00:16:35>> About 30, 35.
00:16:36>> Yeah.
00:16:37>> I was going to say, because like if we could get like a 10% boost in price, we could just
00:16:40hand all of that to the affiliate and make it ongoing.
00:16:45Because if you're white-labeling it, then you can position it as like -- so there's two angles
00:16:49to position this from.
00:16:50Number one is that with my services, they will -- I will make sure that they see your thing
00:16:54is free, right?
00:16:56So I'm going to do my economics to show them what they're saving with me, and they can count
00:16:58that towards what they see with you, and your thing is free forever.
00:17:02That's framing for them, right?
00:17:03That's sales beneficial.
00:17:05The second element is that a lot of people don't want to refer out their business for
00:17:08a one-time spiff, but if they can get 10%, 15% ongoing, they're probably way more likely
00:17:12to want to do it.
00:17:15>> Interesting.
00:17:16Okay.
00:17:17I actually offered both.
00:17:18I assumed the upfront hit might be a little bit more motivating.
00:17:23>> The thing is, I think honestly right now is like you're not offering enough, and so
00:17:26right now it feels like the money.
00:17:28It's like money isn't motivating.
00:17:29It's like, well, if you offer them $10, it's not motivating.
00:17:31If you offer them $1 million, it is, right?
00:17:33So there's an amount, right?
00:17:34So the thing is, is you have more than enough LTV to make up for it, and I think if they
00:17:40give you a little bit more of an assist, but I think the key element here in terms of making
00:17:43sure that it actually gets implemented faster is that you say that there's two plans.
00:17:51Call it 2K, 3K, or 3K, 10K, whatever, and they get the big one if they do it now.
00:17:57>> Okay.
00:17:59So basically creating a form of urgency for it.
00:18:02>> Yes.
00:18:03>> So the first 30 days, and the only reason we do that is because we found that people
00:18:06who do it in the first 30 days have by far the most success.
00:18:10Because there's really, like, and I don't know if you do this, but I would show them a roadmap,
00:18:13because think about risk, think of the value equation, right?
00:18:16You've got risk, speed, ease.
00:18:18So it's like how do we make it less risky?
00:18:20How do we make it faster, and how do we make it easier?
00:18:22So I would say, hey, we already have the emails written.
00:18:24I already took the liberty of, you know, writing that.
00:18:26Obviously, my AI can help you with that.
00:18:27So it's like take their brand, take the pre, you know, the email sequences and the text
00:18:31sequences.
00:18:32They have to go.
00:18:33They have to engage.
00:18:34There's nothing you have to do there.
00:18:36That's on the ease side.
00:18:37So it's like, and I'll go there, I'll send one of my team to, yeah, right, to actually
00:18:41plug it into your CRM to make that happen.
00:18:43That's the ease size.
00:18:44The second thing is risk.
00:18:46And so from risk perspective, one is like here's testimonials, number one.
00:18:52Number two, people are willing to take on risk if they're getting ongoing payments.
00:18:55Far more likely to.
00:18:56That's where I think the ongoing SPIF is something that's more valuable.
00:19:00And then from a speed perspective, that was the whole framing around the urgency.
00:19:04Right.
00:19:05Yes, that totally makes sense.
00:19:07With respect to the bit on the risk and the testimonials, I had the feeling that if I were
00:19:13to speed up the amount of the essentially offers like the cash cash, so the front end.
00:19:19So if I can get a lot more testimonials for that through a different channel, then it just
00:19:23speeds up the ability to generate that social proof wall and then again, faster revenue in
00:19:28the door today, in addition to adding the affiliate channel.
00:19:31Well, the fastest channel for you.
00:19:33Go ahead.
00:19:34No, go ahead.
00:19:35I was just going to ask you if it makes sense to try something like running an ad funnel
00:19:39for that.
00:19:40You absolutely can.
00:19:41I'm pretty sure I recommended affiliates because it didn't seem like it was like within your
00:19:44like realm of skill sets at the time.
00:19:45And so I was like, I want to take the highest likelihood bet as my first bet.
00:19:50Given where you're at, I still like, if I had my druthers, I'd want you to still redline
00:19:54this and go harder on it.
00:19:56Absolutely.
00:19:57I'd want you to 10, 12 and beyond.
00:20:00Do I think that having an ad funnel is in the future of the business?
00:20:02Yes, I do.
00:20:04But I just want to have this base of affiliates that's feeding you first.
00:20:08From an ad funnel perspective.
00:20:10I think that it would be almost content driven because this is a very authority, like this
00:20:13is an authority thing.
00:20:14Like they're literally coming to you for like CFO, you know what I mean?
00:20:17Like they, they have to use an authority figure.
00:20:19And so I think the logos of the brands, the size of the brands that you have being mentioned
00:20:24as long as they're okay with it in the ads plus like two or three very clear tactical
00:20:29hooks and angles of things that they're not thinking about or that their generic bookkeeper
00:20:33or CPA is leaving out that is going to have a dramatic effect on the business.
00:20:36And so it's like, I would, I know this sounds wild, but like try and ROI yourself before
00:20:40the call.
00:20:44You mean like a calculator closed I think?
00:20:45No, no, no.
00:20:46Try to ROI yourself in the content that you're putting out that becomes the ads.
00:20:49Ah, okay.
00:20:51So here's the next steps on the ad funnel side.
00:20:54I prefer you still double down on the affiliate thing, but the next steps look like this.
00:20:59Post a shitload of content about you doing stuff with the clients that you currently
00:21:03serve and the size and the savings, all of that, right?
00:21:07And talk about all the tiny little tactics that you do with those businesses.
00:21:12Then you can hook up many chat to those organic content pieces, drive them to just inbound
00:21:19leads, so you'll get leads from that.
00:21:21And that can go opt in, VSL, close.
00:21:25And then once you know the highest performing content pieces, you can take all that content
00:21:28and immediately just distribute them as ads to the same funnel.
00:21:32Okay.
00:21:34That's very helpful.
00:21:36And then just to pivot back to the affiliate for the moment, most of the ones that I have
00:21:40been managing to acquire are somewhat warm people like agencies and people in the network
00:21:47that I know.
00:21:50Is it worse than going that step further to like the cold affiliate acquisition?
00:21:55Obviously, it's functional, but the amount of--
00:21:57Yeah.
00:21:58If I had my druthers--
00:21:59Even from cold is harder.
00:22:00Yeah.
00:22:01If I had my druthers, I would actually advertise to B2B agencies via ads instead, because there's
00:22:07so many e-commerce agencies.
00:22:08So like you'd walk a lead magnet to them and then--
00:22:10Yeah.
00:22:11And I would just get them on the phone and say, "Listen, I have an offer that is only
00:22:13me making you money, not costing you money, but here's the deal."
00:22:15Right.
00:22:19Think about it this way.
00:22:20If you give six grand upfront, and let's say an agency has 30 clients, okay, they do a webinar
00:22:25with you and let's say half of their customers take it.
00:22:28That's 15 out of 30.
00:22:29If they're getting six grand upfront, they make 90,000 in the first month with you.
00:22:34That's a hell of a testimonial.
00:22:36Right.
00:22:37And then they can have testimonials of--
00:22:39Exactly.
00:22:40--affiliates to--
00:22:41Exactly.
00:22:42--social proof more affiliates.
00:22:43Exactly.
00:22:44So the pain points are going to be different.
00:22:45So it's like you're probably dealing with LTV issues, churn issues, them constantly doing
00:22:50XYZ.
00:22:51It's like what if you could onboard a customer, and even if they leave you, you still keep
00:22:54getting paid?
00:22:55That's solid.
00:22:56Right?
00:22:57Cool.
00:22:58I got to jump to the next person, but that help you out?
00:23:02Fantastic.
00:23:03All right.
00:23:04Of course.
00:23:05Thank you so much for your time.
00:23:06Appreciate you, Ben.
00:23:07Rock and roll.
00:23:08Appreciate you.
00:23:09Bye.
00:23:10For those of you who are curious, I think there was some questions in the chat.
00:23:15I'm taking calls from Vantage, which is our new group that we just opened up after six
00:23:20months to the public.
00:23:22March 1st, we just opened it up.
00:23:24It's for Million Dollar Plus founders.
00:23:25I'm sure there's a link somewhere.
00:23:27You can go grab it, and you can also submit questions there if you're a Million Dollar
00:23:31Plus founder.
00:23:32Otherwise, this is just way more enjoyable for me than making direct-to-camera content
00:23:35because it's like real business.
00:23:37So yeah, that's my candid, my being real with you.
00:23:41All right.
00:23:42At what point in someone's business journey is someone ready to date and find a partner?
00:23:46I feel like those are two entirely separate things.
00:23:53I think I'll say this.
00:23:57I think that if you are ambitious and you work your ass off, if that's a guy who's asking
00:24:03that question, women will be attracted to you because they see that you, I think women care
00:24:08less about resources and more of the ability to acquire resources, especially when you're
00:24:13younger.
00:24:14So that's my two cents.
00:24:15To be clear, I'm not saying they don't care about resources.
00:24:17I'm just saying I think the thing that matters more is the ability to gather those resources.
00:24:20All right.
00:24:21Let's do the next one.
00:24:24Jake.
00:24:25Alex, what's going on, brother?
00:24:28Can you hear me okay?
00:24:30I can.
00:24:31What's up?
00:24:32What's happening?
00:24:33What's going on, man?
00:24:34I just want to say first before we start that you made me a lot of money, more than I ever
00:24:38thought I could make, and I want to thank you for everything you're doing, man.
00:24:42I really do appreciate it.
00:24:43Well, thank you for actually taking action.
00:24:45It fills my heart.
00:24:47So what's cooking?
00:24:48Oh, yeah, man.
00:24:49Yeah.
00:24:50So I'm getting a little feedback, so I might mess up here.
00:24:53However, I run a marketing agency for B2B SaaS service, mostly professional services.
00:25:01We did about $1.2 million trailing 12 months.
00:25:06I want to do 10.
00:25:07Okay.
00:25:08Bottleneck right now is I'm totally key man risk in sales and extension.
00:25:12All right.
00:25:13The only one that can reliably close and upsell clients.
00:25:16Thanks to your money models book, though, so our core offer is the front end 16 weeks guaranteed
00:25:24to qualify costs for these folks.
00:25:26I close like 34%.
00:25:27All right.
00:25:29The closer that I hire them, the U.S. closes 0%.
00:25:32That is worse than 34%.
00:25:33Like, terrible.
00:25:34Yeah.
00:25:35Quite bad.
00:25:36Yeah.
00:25:37The math don't math.
00:25:38Problem is I'm in Spain.
00:25:40Yeah.
00:25:41Okay.
00:25:42He's in the U.S., so he has a full calendar.
00:25:44I have a half calendar.
00:25:45All right.
00:25:46Right.
00:25:47So that's problem number one.
00:25:48Problem number two is on the back end, only about 10 to 15% of pilots ascend to our long
00:25:53term.
00:25:54We have a bolt on.
00:25:55Yeah.
00:25:56Nobody's buying it.
00:25:57Okay.
00:25:58Yeah.
00:25:59All right.
00:26:00Let's do it.
00:26:01Even though.
00:26:02Yeah, go ahead.
00:26:03Right.
00:26:04Okay.
00:26:05We dramatically outperform the promise, though.
00:26:06Okay.
00:26:07So we get about 59.8 calls for these folks over 16 weeks.
00:26:11Okay.
00:26:12Let's just separate the problems into one at a time, though.
00:26:14So problem number one is that you're dealing with a closer issue, and problem number two
00:26:19is that you have a lack of ascension.
00:26:21Right?
00:26:22Yes.
00:26:23Are you taking the ascension calls?
00:26:28I will hop in when we've identified an opportunity for it.
00:26:32Well, who's taking the ascension calls?
00:26:33But not as often as I should, because my calendar is full.
00:26:36But who's taking the ascensions?
00:26:40I have a CS leader who's essentially taking those and making those offers, and I will kind
00:26:46of check it up, but it's not really refined as a process, I guess.
00:26:50Got it.
00:26:51My team's also telling you to turn down the volume on me.
00:26:54That might help with the feedback.
00:26:56Okay.
00:26:57Okay.
00:26:58So let's deal with problem number one, which is that you haven't been able to duplicate
00:27:01a salesperson.
00:27:02So number one is, do you have a script?
00:27:05Yeah.
00:27:06Yes.
00:27:07And this guy, is he following said script?
00:27:12He's very script adherent, but he's not asking the sort of, what's behind that?
00:27:18How do you mean by this, specifically?
00:27:20He's okay with surface level answers.
00:27:24Right.
00:27:25And so you have the sales handbook that I have, right?
00:27:28My sales handbook?
00:27:29Absolutely.
00:27:30Yeah.
00:27:31Okay.
00:27:32So the issue that we're missing is you just have to train him on saying these two things,
00:27:37literally.
00:27:38All right.
00:27:39And you're going to role play with this.
00:27:42Can you tell me more about that?
00:27:43Can you give me an example?
00:27:45And you're going to rotate back and forth.
00:27:47And so he says, "Hey, what brought you on the call today?"
00:27:50"I saw this and that."
00:27:51"Okay.
00:27:52I'm guessing you're not doing this and that all day.
00:27:54What problem are you trying to solve?"
00:27:55"I'd like to get more calls."
00:27:56"Okay.
00:27:57Tell me more about that."
00:27:59And then they tell you more about that.
00:28:01And then you say, "Can you give me an example?"
00:28:03And he's like, "Well, X, Y, Z."
00:28:05And you're like, "Huh.
00:28:06Tell me more about that."
00:28:07You literally alternate back and forth.
00:28:08You can tell me more about that.
00:28:09Can you give me an example?
00:28:10Tell me more about that.
00:28:11Tell me an example.
00:28:12Until you get something meaty.
00:28:13It's just way better than saying Y, Y, Y, right?
00:28:15It's the equivalent of that pain cycle for someone.
00:28:18So you have to role play with him on that part.
00:28:21And so he's getting the first part of the script but he's not learning how to dig for pain.
00:28:29And so the first part of the…
00:28:30Yeah.
00:28:31That could be true.
00:28:32Yeah.
00:28:33But also, what I was just curious about is the offer not – obviously, we've been – my
00:28:39idea on the ascension is that the people who do ascension…
00:28:41Hold on.
00:28:42Hold on.
00:28:43We're talking one problem at a time.
00:28:44One problem at a time.
00:28:45One problem at a time.
00:28:46There's the front end sale and there's the ascension.
00:28:47Got it.
00:28:48We're not talking about ascension.
00:28:49We're talking about front end sale because that's what's fucking up right now.
00:28:50We're talking about front end sale and the ascension because you got to take the front
00:28:52end sales.
00:28:53Right?
00:28:54Yeah.
00:28:55And he's talking to these middle market people and there's the multi-threading aspect.
00:29:00There's the sales cycle aspect.
00:29:02He's going to bring in people at the table, the director of marketing and stuff like this.
00:29:06Well, how do you close?
00:29:08How are you closing?
00:29:09Are you doing that?
00:29:10Absolutely.
00:29:11Yeah.
00:29:12Okay.
00:29:13Let me say this differently, you're doing something that he's not doing.
00:29:23You have to identify what you do that he's not doing and get him to do that.
00:29:28He might also be doing things that you don't do or saying things that you don't do and
00:29:32you got to get him to stop doing those things.
00:29:39The only way you're going to do that is through role playing.
00:29:41The only way you're going to do that is through role playing.
00:29:45How often are you role playing with him?
00:29:46Yeah, I hear you.
00:29:48Every day.
00:29:51How do you role play?
00:29:53Yeah.
00:29:55We give an example of said person, the SaaS company, I'm doing this, like whatever we get
00:30:00from the marketing form that comes in.
00:30:04And then we just start with the scripts and it goes through the scripts.
00:30:07And perfect.
00:30:08I mean, it seems like great.
00:30:12And then he gets on the call.
00:30:13I mean, this guy is a good salesperson.
00:30:15He's done all types of sales, this and that.
00:30:17First time doing remote though.
00:30:19Okay.
00:30:20But he fits the parameters from like a psychological perspective.
00:30:23I just, I'm a marketing guy.
00:30:25I know like an ad works when an ad works, a landing page works when a landing page works.
00:30:29But when I think about sales, it's quite difficult for me to understand like what am I doing differently
00:30:33that he's not.
00:30:34It's hard for me to identify these things.
00:30:36You just have to like, if he's saying the initial questions and he's not quote digging for pain,
00:30:40it's likely that you're trying to get him to sell like you.
00:30:45And this may sound in contrast to what I was saying before.
00:30:48But it's more than like when you create a truly good script, it doesn't require an expert to
00:30:52sell it.
00:30:53And so if you have a purely authoritative, consultative based selling style, which a lot
00:30:57of founders do, then it requires on you knowing more than the prospect and then them being
00:31:02impressed by you because you get really into the weeds and they're like, wow, and they buy,
00:31:07right?
00:31:08That is not how you can teach a team to sell.
00:31:13We have to dig into the pain but for absolutely no solution.
00:31:22So all we do-- That's absolutely right.
00:31:24Yeah.
00:31:25So the part that you're missing in your sales process and the part that you need to review
00:31:27and probably train with him is the discovery process.
00:31:31So if we break the script right now, so when you're doing your role playing, are you theming
00:31:34the day?
00:31:35Say again, sorry.
00:31:38So if I'm training somebody on sales, I'm going to train them differently all five days of
00:31:44the week.
00:31:45So on Monday, we're going to work on the intro purely.
00:31:47How do we open the call?
00:31:48How do we set the frame and just go back and forth on that part of the script?
00:31:52That's it.
00:31:53We're going to role play that 10 times for the day.
00:31:55That's it.
00:31:56Tomorrow, we're going to go through disco, we're going to go through discovery.
00:32:00And we're going to basically practice.
00:32:02Tell me more about that.
00:32:03Can you give me an example?
00:32:04Tell me more about that.
00:32:05Can you give me an example?
00:32:06Now the second part of discovery as we transition into pitch is going to be the recap, which
00:32:11is so it sounds like you match what they said the problem is to what you solve.
00:32:16So it sounds like you've got-- You said this, this, and this.
00:32:18It sounds like you've got an ads issue and it sounds like you've got a funnel issue.
00:32:21Does that sound about right?
00:32:23Great.
00:32:24Once we basically do a pain stack at the end of that pain cycle, so we figured out problem
00:32:28one, problem two, problem three.
00:32:30And the sub-problems, you say, OK, because you said X, Y, Z. It sounds like you've got
00:32:33that.
00:32:34Is that true?
00:32:35Z, Y, W. It sounds like you've got this.
00:32:37Is that true?
00:32:38Great.
00:32:39So we get agreement on the problems.
00:32:40You say, you know what?
00:32:41I think it'd be a perfect fit for what we've got.
00:32:42Can I tell you a little bit about it?
00:32:43Great.
00:32:44Now we're in pitch.
00:32:45So on Wednesday, we practice the pitch.
00:32:46Now the pitch should be short, man.
00:32:48Pitch is like 60 to 90 seconds top.
00:32:50It's three things.
00:32:52We do X, we do Y, we do Z. And for each of X, Y, and Z, we have an unbelievable example
00:32:57of why it would be ridiculous not to believe what I'm saying.
00:33:02So you're doing $2 million a year.
00:33:05That's fine.
00:33:06It doesn't matter.
00:33:07Is he setting for you?
00:33:08So you just cut it off at O. You just cut it off at O and then you move to review and cap
00:33:12and then S when you go to the second call?
00:33:14You still got to go CLO again.
00:33:16You still have to reset the frame.
00:33:19OK.
00:33:20Is he setting and closing for himself?
00:33:22Yeah, for himself.
00:33:25Do you have a VSL between?
00:33:26You have too many calls.
00:33:27We have a super good VSL and a super good thank you video.
00:33:32Like 300 calls, 200 live calls a month right now.
00:33:38Right.
00:33:39And so.
00:33:40All right.
00:33:41Tell me what this offer is.
00:33:42Real quick.
00:33:43I would love for you to know.
00:33:45Yeah.
00:33:46So it's 16 weeks, 20 qualified calls.
00:33:51It is either they can split split pay that for eight and eight, eight now, eight at launch
00:33:59or 13.4.
00:34:00My plan is like just increase that as we keep getting more results.
00:34:04Sure.
00:34:05And then we have a bolt on there.
00:34:06What's the qualifier for them to get on the call?
00:34:10Say again.
00:34:11What's the qualifier to get on the call?
00:34:15Their ticket price has to be for their product, their ACV has to be over 30K.
00:34:21What about their revenue?
00:34:22500K.
00:34:23Okay.
00:34:24Yeah.
00:34:25I mean, that price point's fine.
00:34:28All that stuff works.
00:34:29So do they not believe you?
00:34:34I mean, the thing is too though, is that like what I've noticed is that he's not opening
00:34:40the doors and closing them.
00:34:41Like he's not killing zombies, preferably.
00:34:43Yeah.
00:34:44He's fucking up Discovery.
00:34:45Oh, I don't know if that's going to work for me.
00:34:48He's fucking up Discovery.
00:34:49I mean, I'm just saying everything you're saying, he's missing his disco.
00:34:52He's just got, you need to role play him on disco.
00:34:53That's the issue.
00:34:54I'm just like, that's the real problem.
00:34:56So right now, if that's the core issue, then you're probably going to disco more times.
00:34:59And then once he gets unfucked on disco, then every day of the week you go intro, you go
00:35:03train on disco.
00:35:04Then you train on pitch.
00:35:05Then you train on close, which is objection handling.
00:35:07And then on Friday, you train again on the thing that he's weakest at, which probably
00:35:10for a while also still be Discovery.
00:35:12That's the training cycle.
00:35:13And don't let him just say the script.
00:35:15Don't let him just say the script.
00:35:17He goes to the script and stop him the moment he fucks up, and then get him to do it the
00:35:21right way and try again.
00:35:22You have to stop him in real time.
00:35:24Otherwise, if he just goes through it and then try and give him feedback at the end, it's
00:35:27not going to work.
00:35:28It's not how people learn.
00:35:31So you should tell him up front.
00:35:33Yeah.
00:35:34Yes.
00:35:35100%.
00:35:36And so you have to set the stage up front.
00:35:38Hey, listen, man.
00:35:39I'm going to role play with you.
00:35:40I'm going to change how we're doing it.
00:35:41The moment I see you mess up or not do something wrong, I'm going to correct you.
00:35:45But here's the thing.
00:35:46If you're doing it right, I want you to have your thumb up, and I want you to nod while
00:35:48he's talking.
00:35:49So I want to have that visual feedback that is doing a good job when he's doing it right.
00:35:53And then as soon as he gets it right, say, great.
00:35:56Let's lock it in.
00:35:57Do it again.
00:35:58Great.
00:35:59Do it again.
00:36:00So let's say you get something wrong.
00:36:01You say, awesome.
00:36:02Do it like this.
00:36:03He does it.
00:36:04If he does it correctly, then you have to do it three more times before he gets to move
00:36:06on.
00:36:09Rock and roll, man.
00:36:10Dude.
00:36:11All right?
00:36:12Yeah.
00:36:13That's the thing that's missing right now.
00:36:14All right.
00:36:15If you have a sales problem, you'll be able to have the bandwidth to go solve the ascension
00:36:18issue.
00:36:19Because honestly, you just need to take the ascension calls for now, put a VSL there, and
00:36:23you should be fine.
00:36:24You have a CS person doing sales.
00:36:25Obviously, that's the issue.
00:36:26Yeah.
00:36:27No, you're absolutely right.
00:36:28I really do appreciate it.
00:36:29I mean, I'm glad to know that the offer looks good.
00:36:32It's fine, dude.
00:36:33Honestly, it's underpriced.
00:36:34It's actually a little underpriced right now, but let's solve the sales problem.
00:36:37But I think, to a degree, you're too cheap for somebody-- like, think about it.
00:36:41You're charging $13,000 for somebody who has a $30,000 per customer.
00:36:46So it's like--
00:36:47I know.
00:36:48You know what I'm saying?
00:36:49I think it actually might be below the point of marginal cheapness, which is PMC.
00:36:54You might be so cheap, they don't even believe you can deliver.
00:36:59Like you might sound small time.
00:37:00Do you recommend just like racking up the price, because they're already planning on doing that?
00:37:03I think you sound small time, dude.
00:37:06It sounds too cheap.
00:37:07But on a $30,000 average, I mean, at least one or two clients' worth.
00:37:11Yeah, because I mean, we're signing folks that are like-- deals are like $500,000, $800,000,
00:37:17$145,000.
00:37:18Yeah, it's just not believable, dude.
00:37:20It's not believable.
00:37:21It's not believable.
00:37:22Yeah.
00:37:23I would go $15,000 a month, man.
00:37:26If these are the people you're dealing with, and they're signing $500,000 deals, then it's
00:37:29a rounding error.
00:37:30They just don't believe you can do it, because you're too cheap.
00:37:34So still break it into like per month, but the prepay or the split, do you like that kind
00:37:39of setup or should it be monthly?
00:37:40Yeah, dude, it shouldn't even matter.
00:37:42If they're actually making that amount of money from customers, they shouldn't even need a
00:37:44payment plan.
00:37:45Like $13,000, $8,000, $8,000, it's like-- it's irrelevant.
00:37:48Yeah, I hear you.
00:37:51Right?
00:37:52Shit, man.
00:37:53They just don't believe you.
00:37:54It's too cheap.
00:37:56And then take the ascension calls.
00:37:57Yeah.
00:37:58And just crush it.
00:37:59Yeah, that's it.
00:38:00Drill, disco with him.
00:38:01Raise price.
00:38:02Take the ascension calls.
00:38:03One, two, three.
00:38:04Rock and roll, man.
00:38:05Hell yeah.
00:38:06Appreciate you, man.
00:38:07Hell yeah, dude.
00:38:08Appreciate you.
00:38:09Take care.
00:38:10Thanks, brother.
00:38:11For those of you guys who are in the chat, these are calls that I'm taking from ACQVantage,
00:38:17which is a community of the people who donated 1,000 books at the launch.
00:38:20We had it closed for six months.
00:38:21March 1st, we opened it back up for Million Dollar Plus founders.
00:38:24And for those of you who were like, help the people who aren't Million Dollar Plus.
00:38:27It's like, if only I gave all three of my books plus a trial of school for $16 for people
00:38:38who are not there.
00:38:40If only I did that.
00:38:42That is what I do, by the way.
00:38:43So if you want all three books, you can have all three hardback.
00:38:47As long as domestic US.
00:38:48I can't do it internationally because shipping is too much.
00:38:50But basically, you cover the cost of shipping.
00:38:52It's $5.33 a book for shipping.
00:38:54The school's free, and then it's $9 a month after that.
00:38:57You can go grab that.
00:38:58School.com/backpack.
00:39:00But for those of you guys who are Million Dollar founders, and you'd like to be on the call,
00:39:04hit the link.
00:39:05We'd love to have you.
00:39:06And so with that being said, let's rock your road.
00:39:08Not to be confused with Alex-- Hey, what's up, Alex?
00:39:12How are you?
00:39:13What's up, man?
00:39:14Not much.
00:39:15Just trying to get through it.
00:39:19Can't have a bad day with a name like that?
00:39:20All right.
00:39:21Go for it.
00:39:22My name's Alex.
00:39:23That's funny.
00:39:24That's funny.
00:39:25We did $560K in rev last year, but the issue is we lost about 90% of our leads.
00:39:3470% came from lead generation companies.
00:39:38The other 20% came from door-to-door.
00:39:42Other 10% was referral-based.
00:39:44What do you sell them in services?
00:39:47What do you sell them?
00:39:48Google PPC.
00:39:49What do you sell?
00:39:50We sell solar and battery storage systems to anybody that basically makes over $150K in
00:39:55income.
00:39:56Got it.
00:39:57Yeah, yeah, yeah.
00:39:58I saw your comment in the group.
00:39:59I think I responded.
00:40:00Yes, you did.
00:40:01Okay, good.
00:40:02What'd I say?
00:40:03Okay.
00:40:04Helping and help a little bit.
00:40:05Oh, good.
00:40:06That's helpful.
00:40:07I'm glad to hear that.
00:40:08Okay.
00:40:09So 70% of your leads are coming from leads you buy, right?
00:40:12So you got brokers, and then you've got door-to-door for 20?
00:40:16Yes.
00:40:17Yes, but we were funneling through so many sales reps the last 24 months, we got to 15,
00:40:23so we just dropped that, and we tried to start doing the Google PPC because the lead generation
00:40:28companies we were using went out of business.
00:40:30Oh, word.
00:40:31Oh, shit.
00:40:32Were the leads good?
00:40:33Was it fine?
00:40:36From the lead company, yes, but we got some insight from a company that we're actively
00:40:45competing with that's a lot bigger than us, so like a behemoth.
00:40:49And they told us that Google PPC would work, and kind of like the intermingling content
00:40:54and stuff together, but I don't know if our offer's right.
00:40:57We've been running ads for 10 days, we're spending like 718 bucks, no leads, 2,000 impressions,
00:41:05115 clicks.
00:41:06Well, yeah, something's wrong.
00:41:08I don't know where to go.
00:41:09Yeah, so let me, before I jump into that, the business that went out of business that was
00:41:13giving you leads, what happened to the team?
00:41:19I don't know.
00:41:20They were all virtual, so I think they had near-shore people, but I don't know where
00:41:24to find those guys.
00:41:25I mean, you had a rep there, right?
00:41:27I'm sure you got a couple people's phone numbers, because if it was small enough to go out of
00:41:30business, right?
00:41:31Yes, I did.
00:41:33I think that the guys started another lead generation company, but their uptick in lead
00:41:38volume has been very slowed.
00:41:39Okay, well, I'll tell you, if I were in your shoes, I would reach out and try and get a
00:41:43hold of everyone in that company and try and find the person who was actually running the
00:41:47stuff for your account and offer him a job today, because he obviously was getting leads
00:41:54that was actually working.
00:41:55So I'm like, let's go get that guy one.
00:41:58Yeah, the issue is that we saw that they're all pushing the free solar narrative, and solar's
00:42:03not free, so it brings in a ton of unqualified people.
00:42:06You mean because the R&D credit's expired?
00:42:11I mean, I guess, but it just brings in people that are just BSers.
00:42:17Meh.
00:42:18Meh.
00:42:19Meh.
00:42:20So solar is super custom, and it has been, but the narrative has been, get in home, we
00:42:28can't give you a price until we get in home.
00:42:29So our thought is, we design free packages, run Google PPC to those packages, and just
00:42:35try to get people that way.
00:42:36But I don't know.
00:42:37Well, I would say your current way isn't working that well, right?
00:42:41No, I mean, we started a few years ago.
00:42:45So whenever I'm going to get into, like, if there's a behemoth in your space, I replicate
00:42:50before I iterate.
00:42:51So I would copy the existing thing before I get cute.
00:42:55Because like, new always sucks.
00:42:58Yeah.
00:42:59No, seriously, like, think about the apps in the App Store.
00:43:06They've been the same for, like, 20 years, because, like, new sucks always.
00:43:09So it's like, we don't earn the right to do new things until we replicate what already
00:43:14works.
00:43:15Also, I think- The behemoth that we're dealing with is, the
00:43:20behemoth is called Good Faith Energy, but they are a $39 million company, and they pride themselves
00:43:26on the number one solar company in Texas, Tesla Powerwall.
00:43:31That's really it.
00:43:32They really cling to Tesla heavily.
00:43:34Okay.
00:43:35So?
00:43:36But where do I go?
00:43:38Well, that doesn't matter.
00:43:39I just copy them and run with it?
00:43:41Yeah.
00:43:42I mean, you sell batteries, right?
00:43:43You sell the same deliverable, correct?
00:43:46Yeah.
00:43:47We're certified with all the same people.
00:43:49Is the product better?
00:43:50No.
00:43:51It comes from the same place.
00:43:53Okay.
00:43:54So it's the same?
00:43:56Yes.
00:43:57Okay.
00:43:58So if you have the same thing, how do you beat somebody?
00:44:01More money.
00:44:02No.
00:44:03No, no.
00:44:04It's a real question.
00:44:05If you have the same- Dude, if you've learned anything from my content, every player on the
00:44:08field always has an advantage.
00:44:10So what are your advantages?
00:44:12We can install anyone with under 60 days.
00:44:15Speed.
00:44:16So you're faster than them?
00:44:18Mm-hmm.
00:44:19Okay.
00:44:20So you got speed, number one.
00:44:21What about ease?
00:44:22Can you do anything for them?
00:44:23Just a little bit more white club than they do?
00:44:26Mm-hmm.
00:44:27I would say communication.
00:44:30That's been a big thing in so long.
00:44:33Yeah.
00:44:34Can I give you a hint?
00:44:36Yes.
00:44:37You can have my cell phone.
00:44:38I'm the founder.
00:44:39These guys are these big behemoths.
00:44:40They don't care.
00:44:41You're just a number.
00:44:42So you should always be able to beat these guys because you're not actually competing
00:44:46against the behemoth.
00:44:47You're competing against account rep number seven.
00:44:48Yeah.
00:44:49That's very true.
00:44:50Right.
00:44:51So you'll beat them on speed.
00:44:54You'll beat them on service.
00:44:56What else?
00:44:57I mean, price, but...
00:45:02I don't want you to win on price, man.
00:45:06Just do it on speed and do it on service, and I would replicate the offer that we already
00:45:10know works.
00:45:11Okay.
00:45:12I mean, I think we have a good base.
00:45:15We've got 65 reviews on Google.
00:45:17I've got 15k followers on Instagram, 200 on TikTok.
00:45:20I figured I could do something with it.
00:45:23Yeah.
00:45:24I do think that long-term, it makes more sense for you to use the Instagram to go attract
00:45:27door-to-door guys personally.
00:45:29I think it's higher leverage.
00:45:31One sales guy's going to make you a million bucks a year.
00:45:36One lead's not going to be worth very much from a house owner's perspective.
00:45:40No.
00:45:41I mean, revenue, you're looking at something like 40 to 70, but...
00:45:44Say it again.
00:45:45The gross profit for average ticket is like 40 to 70, but that's before paying for everything.
00:45:51Yeah.
00:45:52Net sales would be like 10.
00:45:54Yeah.
00:45:55Per sale.
00:45:56Right.
00:45:57So it's like, I'd rather go get a node that generates sales to salesperson who consistently
00:46:00can bring me, give me people.
00:46:01Now, you said you shut your door-to-door down, which I'm not even going to touch for now.
00:46:06But as I see this, here are my steps.
00:46:10Step number one is we got to get the, to the greatest degree possible, job offer the people
00:46:15who used to work your account that were getting you leads that were working.
00:46:18Thing number one.
00:46:19And just like, just do whatever you can to go get in touch with those people.
00:46:21Because whenever I have something that works, I never want to let it go.
00:46:24Right.
00:46:25Once you have a flow, never let it go.
00:46:26Ooh, that run.
00:46:27There you go.
00:46:28There you go.
00:46:29Little savante.
00:46:30Little rhyming action.
00:46:31Okay.
00:46:32So job offer that guy, number one.
00:46:33Number two is we got to replicate the existing offer from a lead gen perspective.
00:46:36Now when we win in the paint, we're going to win on the things that we have, which is going
00:46:40to be speed and service.
00:46:43Now what I would do is, do you have a manager who comes by and does like the, the, the tour
00:46:48walk around once the person gets the stuff installed, the battery installed?
00:46:54Oh yeah.
00:46:55Like a, like a post-sale survey type thing.
00:46:59Yeah.
00:47:00Yeah.
00:47:01So what I would do when that person...
00:47:02I can do it.
00:47:03Well actually what I want you to do is actually have your manager or like the, the, the crew
00:47:05runner, whatever.
00:47:07Have that guy...
00:47:08The operations director.
00:47:09Have that guy swing by and say, "Hey, how was the service?"
00:47:13They're going to, you know, how is the, how are the guys?
00:47:15They're going to say great or whatever.
00:47:17And then you're gonna say, "Hey, you know, ownership gives the guys a little spiff if
00:47:20you leave a review.
00:47:21I know it would mean the world to them."
00:47:24And so people are more likely to give a review because the people were there and they know
00:47:28that it's going to help those guys out.
00:47:30It's like, "Hey, you know, John and Dan, you know, they got families that helps them out.
00:47:33If you think they did a good job, if you leave them a review and put their name in it, it
00:47:36would mean a lot."
00:47:37That's their spistimodal extra.
00:47:39Okay.
00:47:41And then what if...
00:47:43And just have that guy give a thank you gift from the crew before asking for it.
00:47:47Say, "Hey, the crew got together and said you guys were an awesome homeowner.
00:47:50Here's a $50 thing.
00:47:52You know, just thanks for being a, you know, we get a lot of crazy people.
00:47:55So you were awesome.
00:47:56Thank you."
00:47:57Yeah.
00:47:58That'd be great.
00:47:59That's a good point.
00:48:00Okay.
00:48:01My last question would be to your first point where you said hire the person.
00:48:04If I can't hire them and they've started another company, if their uptick is slower, should
00:48:10I just try to beat everybody else to buy those leads?
00:48:13Yeah.
00:48:14Make a commitment.
00:48:15Say, "Listen, you're starting your business.
00:48:16I'm a small business owner too.
00:48:17We're in this together.
00:48:18If I succeed, you succeed.
00:48:20The more good leads I get, the more I can buy from you."
00:48:23Okay.
00:48:24You're too small for these guys.
00:48:25They're not taking you seriously, but you're just big enough for me.
00:48:27Yeah.
00:48:28No.
00:48:29Because...
00:48:30That's not what she said.
00:48:31Okay.
00:48:32Keep going.
00:48:33No.
00:48:34I was just saying the behemoth is getting all their traffic funneled to their contact page
00:48:39on their website based on their thousand reviews that they give.
00:48:42Yeah.
00:48:43So we got to get your reviews up, but you always have the best position, which is like, "Listen,
00:48:47at the behemoth, you're going to be house number 278.
00:48:50With me, you got all my attention.
00:48:51I'm here.
00:48:52Something breaks.
00:48:53Call me."
00:48:54Every single one of these reviews makes a huge difference in my life and my family's level.
00:48:57Make sure I'm going to take care of you.
00:49:00Okay.
00:49:01Step one is hire that person towards going with them, get all their volume.
00:49:07Step two is...
00:49:10Replicate the offer.
00:49:11Replicate the offer.
00:49:12Replicate the offer.
00:49:13Number three is win on speed and service.
00:49:14Step three is have the office director go to the site post install.
00:49:17Yes.
00:49:18And win on speed and service.
00:49:19That's your angle.
00:49:20So you don't compete on price.
00:49:22Got it.
00:49:23Cool?
00:49:24Dude, you are awesome.
00:49:25You're awesome, dude.
00:49:26I appreciate you.
00:49:27Thank you so much for everything you put out, man.
00:49:28That's great.
00:49:29You bet, dude.
00:49:30Let me know how it goes.
00:49:31All right.
00:49:32See you, man.
00:49:33All right.
00:49:3411 minutes left.
00:49:36So let's rock and roll.
00:49:40Let's miss yous and madames in the chat.
00:49:44Pirates life for me.
00:49:46So be good to customers and build relationships.
00:49:48Indeed.
00:49:49Wild shit.
00:49:50I know.
00:49:51Also, as a side note, to the peanut gallery, it is very easy to Monday morning quarterback
00:49:58into armchair like, oh, of course, you know, just like just make the food better.
00:50:03It's like it's very obvious to say that.
00:50:05But when you're running the actual business and like inventory is going bad and you have
00:50:08to, you know, pick between organic and and whatever chicken.
00:50:11And you've got one staff member who's hitting on somebody else and you're debating whether
00:50:15you should get in, you know, interferes so that they don't create a relationship.
00:50:18But at the same time, it's like you don't want to, you know, overstep your bounds as a boss.
00:50:22And you've got rent due and you got payroll due and you got marketing dollars.
00:50:26You got leads.
00:50:27You got work.
00:50:28It's like it's a lot of shit, man.
00:50:29It's very easy to say this and just be like, oh, yeah, just just, you know, X, Y, Z.
00:50:33It's like, no, it's like the big thing is this.
00:50:37The best entrepreneurs are allocators of resources.
00:50:41It means they get more for what they put in, which means they do two things better than
00:50:45other people.
00:50:47They're better at curating opportunities.
00:50:49And then once they curate, which means they see the opportunities, they then prioritize
00:50:52what they see.
00:50:53Most people can't do either.
00:50:55Some people can do one, very rare for people to do both.
00:50:58And so I would say an example of somebody who can do level one of strategy is, hey, here's
00:51:02six things.
00:51:03Which one do you think is more important?
00:51:04They're going to be like, I mean, some people get that wrong.
00:51:06But decent people will be like, well, I think that's more important than that.
00:51:09And then they'll be right.
00:51:11But the best entrepreneurs are like, oh, but did you see option door number three that you
00:51:14didn't think about?
00:51:16That's a 10X.
00:51:17That is the basis of strategy.
00:51:18So if you've ever heard the term strategy, it's the curation and prioritization of opportunities
00:51:23with the limited resources you have to deploy.
00:51:25That is what it means.
00:51:27Okay.
00:51:28Not Peter.
00:51:29Oh, I wonder who it is.
00:51:30Thoughts on the best type of sales for you to get in the spirits.
00:51:34Volume, brother.
00:51:35Volume.
00:51:36Every single phenomenal marketer that I know personally started with a high volume sales
00:51:40position.
00:51:41I know guys who started in high volume cold calling, number one.
00:51:44I know people who've done high volume door to door.
00:51:47I know a guy who sold at a car wash, sold 200 cars a day, walking through the door.
00:51:53You want something that gets you as many feedback loops as possible.
00:51:56That is my biggest piece of advice.
00:51:57The reason I'm a big fan of people who sold in fitness is because in fitness, so many people
00:52:01are trying to lose weight.
00:52:02You can take a hundred calls.
00:52:04You can see unlimited amounts of people if you're trying to sell weight loss.
00:52:08And so my recommendation, if you're trying to get into it, is don't worry about what you're
00:52:12earning.
00:52:13Worry about what you're learning.
00:52:14And you want to get as much volume as you possibly can in the shortest period of time.
00:52:17Okay.
00:52:18If you had to build a business while having massive bills to pay, dude, this is a five
00:52:21to nine special, baby.
00:52:23This is a five a.m. to nine p.m., sorry, five a.m. to nine a.m. and five p.m. to nine p.m.
00:52:27So those are your two bookends of the day.
00:52:29You got eight hours a day on the opposite ends of work schedule.
00:52:32And you got Saturday, Sunday.
00:52:33Now, if you're like, I'm still working all of those hours and I can barely make bills,
00:52:38then you got to look at your expenses, man.
00:52:40You got to look at your lifestyle.
00:52:41And you got to say like, where am I willing to give up on my ego so that I can achieve
00:52:46my dreams?
00:52:47And so sometimes you got to take a step back.
00:52:50But I mean, like, I say this, but I'm also somebody who, like, took a step back.
00:52:54Like I had a really nice condo.
00:52:56I mean, really nice.
00:52:57You know, it was relative, but it was $180,000 condo when I was 23, I think, 22.
00:53:07And it overlooked the city.
00:53:09And when I was there and I decided I was going to get into fitness, I sold everything I had.
00:53:13And I got in my car and I drove across the country and I started working minimum wage
00:53:17at a gym.
00:53:18And I lived in somebody's spare bedroom.
00:53:21And so all the people that I knew saw me in my swanky consulting job in my nice place.
00:53:27You can imagine the kind of step back that would be.
00:53:30And so if you're not willing to do that, you just don't want what you want enough.
00:53:33And that's fine.
00:53:34Just accept that, like, you just don't want.
00:53:36That's like you kind of want it.
00:53:37It's like you kind of want it like you want a six pack.
00:53:39It'd be nice.
00:53:40Right?
00:53:41But it's very different than saying you're just not going to eat cookies for a month.
00:53:44Right?
00:53:45All right.
00:53:46I'm ready to get wedding photographer clients from my new Google ads agency.
00:53:50Run Google ads.
00:53:53OK.
00:53:55So wedding photographers.
00:53:56Honestly, I know a bunch of people who've been in the wedding photographer space.
00:53:59It's actually very easy to generate leads in that space.
00:54:01The difficulty with them is that everybody and their mother is a wedding photographer
00:54:05or rather a photographer.
00:54:07And so the quality of the leads tends to be bad.
00:54:09And so you'll typically need a higher friction sales process to sell anything worthwhile.
00:54:13We call it like a 2K plus price point.
00:54:17And you'll want to start making content ASAP.
00:54:19And this kind of goes for everybody is that the world of content is merged with ads.
00:54:24So you make lots and lots of content.
00:54:26When content does well, take that content, run it as an ad to the thing you sell.
00:54:30And then if you still don't have big of a brand, bring them to a live webinar.
00:54:33I mean, if you have a small amount of traffic, bring them to a live call.
00:54:36If you have a little bit more traffic, you can bring to a webinar, which means you just
00:54:39send them a link to hop on a call with more people.
00:54:42And then you present stuff.
00:54:43And then you just solicit them to take a one-on-one call with you afterwards.
00:54:45It's a very simple funnel.
00:54:48You always talk about learning before earning.
00:54:50I missed that one.
00:54:51OK.
00:54:52Macro alchemist.
00:54:53Struggling to get clients for high ticket lead gen offer with no social proof yet new
00:54:56business.
00:54:57Start for free.
00:54:59Start for free.
00:55:01Because here's the thing.
00:55:03If you were trying to run some sort of marketing thing, you have to understand how silly it
00:55:07sounds to say like, I'm a good marketer, but I don't know how to get customers.
00:55:10It is kind of crazy, right?
00:55:11And so embedded within that is like you already are imbuing lack of proof.
00:55:17And so proof above everything.
00:55:19And so you have to compensate for the fact that you have no track record by winning where
00:55:23you can.
00:55:24You're going to win on service.
00:55:25You're going to say, listen, here's my cell phone.
00:55:26I'm the owner.
00:55:27I'm going to do everything I can to make sure.
00:55:28And number two, you have clearly an aligned incentive like, I need testimonials, dude.
00:55:32I need proof.
00:55:33And so I'm going to do everything I can to make sure that you win.
00:55:36Now the thing is that there's still costs for them because they're probably going to be fronting
00:55:39the money for the advertising.
00:55:40And so they're still going to lose money doing this if you suck.
00:55:43And so it's very reasonable for them to be hesitant with you.
00:55:48So you just have to-- I mean, you've got to kiss more toads, which means you've got to
00:55:51get in front of more people.
00:55:52And if you're like, how do I do that?
00:55:53Tell people that you work with them.
00:55:55You'll do five one-on-one calls with them for free.
00:55:57Very easy way to do it.
00:55:58And then at the end of the fifth call, if they still want to work with you, you can keep working
00:56:02with them for free.
00:56:03Or you work with them for x dollars.
00:56:04All right.
00:56:05So the whole deal here is lead with free.
00:56:08Lead with free.
00:56:09And if you're like, if I give my services away for free, then no one's going to pay you.
00:56:13Yeah, maybe not those people.
00:56:15But I'll promise you two things.
00:56:16If you're fucking good, they will want to pay you because you're making the money.
00:56:20And number two, if they don't want to pay you, you're probably not that good.
00:56:24But if they're still leaving you testimonial, then you have that testimony that you can give
00:56:28to somebody who will pay you because they don't have an anchor of free.
00:56:31So there you go.
00:56:33We're already working with someone.
00:56:34How would you handle this objection?
00:56:35Very simply, then why are you here?
00:56:38I'm guessing if you were really satisfied with whatever the thing that you have is, you wouldn't
00:56:41be on this call right now.
00:56:42Right?
00:56:43So they're probably not delivering something that you're hoping for.
00:56:44So what's the issue?
00:56:46Back in the sale.
00:56:47I remember, I'll tell you a story about this.
00:56:50I had a lady who walked in to the gym.
00:56:52And I got, you know, I presented the price.
00:56:54And then all of a sudden she was like, well, I already have a personal trainer.
00:56:57And I was like, well, you're obviously not happy with him because you're here.
00:57:05And she was like, well, that's fair.
00:57:06And I was like, right.
00:57:07So you said you wanted to lose weight.
00:57:09You haven't lost weight.
00:57:10You've been working with this other person.
00:57:11As far as I'm concerned, it just means that you're spending money that you're going to
00:57:13save.
00:57:14Sounds like a great deal to me.
00:57:15You're going to spend less with me than you are over there because I was doing semi-private.
00:57:18Right?
00:57:20So don't like, that doesn't mean anything.
00:57:23Also, you can always just say like, great.
00:57:25I mean, I won't even give you more.
00:57:26That's enough.
00:57:27You can just use that one.
00:57:29Okay.
00:57:30What do you think about buying versus starting a business via search, fund, or seller financing?
00:57:36I'm not against it.
00:57:38I would say make sure that whatever business you want to start, find one that has high revenue
00:57:44retention.
00:57:45That is my, if you've never owned a business, then you definitely don't want one that has
00:57:48a good marketer who runs it.
00:57:50You want somebody who knows nothing about marketing, who's only grown on word of mouth because the
00:57:54likelihood that you're buying, you actually are buying goodwill.
00:57:57Whereas if you're buying a marketer's business or somebody who's good at marketing, you have
00:58:00to figure out how to do marketing and selling and you don't know how to do it.
00:58:03You're in a bunch of hot water.
00:58:05So definitely find one like, you know, fire inspection, you know, those ones like those
00:58:11contracts last forever, you know, pool cleaning.
00:58:13Most people don't cancel that.
00:58:14Lawn care.
00:58:15People don't usually cancel that.
00:58:16Like there are businesses that do not have a lot of churn in them.
00:58:20You want to start there because if you take it over and everything goes to shit in six
00:58:22months, you're fucked.
00:58:24But those businesses tend to be very stable and so you want stable so you can like get
00:58:27your bearings and figure out what actually works.
00:58:30Okay.
00:58:32What do you advise to reach 100k from 10k?
00:58:37Ignore the fact that you have 10 grand because the only thing that you're going to use that
00:58:40for is to learn how to increase your active income.
00:58:42You're not going to use that 10 grand to turn it into anything.
00:58:45You're not the best day trader.
00:58:46You're not the best investor in the world.
00:58:48No one's getting a thousand percent return on their money.
00:58:51No one who's doing anything intelligent.
00:58:52All right.
00:58:53So the only thing that'll give you a thousand percent return on your money is taking $10,000
00:58:58using it to learn a skill that can make you $100,000 or $200,000.
00:59:02What apprenticeship would you recommend for somebody looking to gain entrepreneurial skills?
00:59:06Work at a small business or family-owned business.
00:59:11That's honestly probably one of the best ones you can do because it's small enough that you're
00:59:14going to be able to get a taste of everything.
00:59:17The only alternative I'd say is that if you work at a company that has a phenomenal training
00:59:21program for people who are new and coming in.
00:59:25So those are kind of my polar extremes of what I think is a good idea.
00:59:29Okay.
00:59:30Charlie.
00:59:31I speak to clients and they seem initially interested and then goes to me.
00:59:35What do I do to get them back on the hook?
00:59:37I think you just need to close, man.
00:59:40So what I mean is like I think you're getting on sales calls and trying to not close.
00:59:44I think you're trying to like book more calls, have more conversations.
00:59:48Usually it means that you're missing something prior to the sale because the sale begins at
00:59:50the moment of interest.
00:59:51All right.
00:59:52So they reach out to you.
00:59:53They respond.
00:59:54They do an email.
00:59:55They comment on a post.
00:59:56They do whatever.
00:59:58And before they get on the phone, you need to show them a video that frames you, frames
01:00:02the conversation.
01:00:03That's a VSL, Video Sales Letter.
01:00:05When that person watches that video and then they talk to you on that call and you should
01:00:09set the expectation on the VSL that they're going to make a purchasing decision on that
01:00:13call if it's a one call close.
01:00:14If it's a two call close, it's same concept.
01:00:17You just basically double the process.
01:00:18You go VSL call, VSL call, and then you close on the second.
01:00:22Now if you're like, wait, well, if I close on the second call, what do I then say?
01:00:26It's even cleaner.
01:00:27You say, hey, we're going to have two calls.
01:00:28The first call is to make sure it's a fit both ways.
01:00:30We're not going to do any transaction there, so you can leave your credit card at home.
01:00:32This is just to make sure it's a good fit.
01:00:34And from that whole perspective, you're interviewing them on why you should be or why they should
01:00:37be a customer of yours and why it's worth your time to take them on.
01:00:42Then you can say, okay, I think you'd be a good fit.
01:00:43Let's talk to you next time.
01:00:44And so then the second call, the video that goes in between is just tons and tons of proof
01:00:48and tons of credibility.
01:00:49And then you sell.
01:00:51Okay, how do I outbound without getting banned on social media platforms?
01:00:56There's just a lot of other ways to do outbound.
01:00:57You can cold call.
01:00:58You can cold email.
01:00:59Most people who do high volume outbound do email and call, just FYI.
01:01:05Is AI going to eat away at language course market?
01:01:12I'll say this differently.
01:01:15Why aren't you using AI in your language teaching thing?
01:01:24So like whatever you're afraid of that's going to beat you in your business, you have the
01:01:28absolute option of just making that your business and taking everyone else's lunch.
01:01:36So do that.
01:01:37By the way, anyone who repeats their question over and over again in the chat, I do not answer.
01:01:42Let's see.
01:01:43Who ordered a gym in 2026?
01:01:48Honestly not much has changed.
01:01:50I would probably run a small semi-private model.
01:01:55I think that model is the one that is the most profitable right now.
01:01:57You can look at Alloy, which is Rick Mayo's company.
01:02:00I think they have one of the best models in the space right now, which is small group semi-private,
01:02:06one on six.
01:02:07You have two trainers in the morning and afternoon, which is one manager and then two trainers.
01:02:12So manager trainer, manager trainer, the manager gets a profit share on the facility.
01:02:18All you got to do is get 100 people paying basically 400 bucks a month.
01:02:24So 100 bucks a week-ish to do three sessions a week semi-private.
01:02:31The target market is older people who are not trying to be fitness heroes but stay in shape
01:02:38and longevity because they got the dollars and $400 a month to the right market is irrelevant.
01:02:43I would probably run a three month grand opening, running a two week free trial into $100 a week
01:02:51for two weeks of personal training would be the offer and it would be grand opening special.
01:02:57I would pre-sell, call it 150 knowing I'm going to keep 100.
01:03:03I would assume you're going to close somewhere in the neighborhood if you're doing speed to
01:03:05lead and you're calling and closing a card over the phone, probably if you're doing a
01:03:09good job, 15, 20 percent lead quality is going down a minute, so probably 15-ish percent of
01:03:17the leads.
01:03:18Expect to pay 50 bucks a lead and then you reverse engineer the math and that's your grand
01:03:24opening so you can open full profitably with a three person staff.
01:03:30That's how I would open it.
01:03:33That's if I had capital.
01:03:35That's what I would do.
01:03:36If I didn't, I'd have to run a more aggressive campaign.
01:03:40Last 60 seconds, so who is my favorite visit at the gym?
01:03:44That was Coop.
01:03:45Coop garage gym reviews, shout out to Coop.
01:03:48He's a G. Tanny, am I happy with life?
01:03:50Couldn't be happier, man.
01:03:52Hope you guys have an amazing day.
01:03:55Peace and blessings be upon you.
01:03:56Rock and roll.
01:03:57Out!