Warum Ablenkung dich vom Erfolg abhält

0:00I sell dreams and I built an ecosystem to make it happen essentially. So >> that mean? Let's get into it. [laughter] I start off flipping homes. Okay. Thank you. And then uh Okay. I start off flipping homes and it got to a point where >> hope and opportunity. And it works. >> [cough] >> I flip houses, got to a certain point we had about 30 40 consecutively every year in the same market. Revenue is about 4 mil. Okay. >> Just in that line itself, but then it got to a point just too much competition had a hard time being profitable per flip. Yeah. So then I developed a model where we convert competition to collaboration, started contracting company instead of buying the product, becoming the product. And then started a coaching channel where I feed this ecosystem.

0:42Vertically integrated HVAC company, roofing company, uh dumpster company, contracting the whole nine yards. So I teach people how to do it and I'm giving them the process and how to do it. All that is different revenue drips for me. Uh what's stopping me? I got too busy too fast and uh owner operated for a long time up until about 3 months ago. Hired a CEO, now transitioning a lot of the operation stuff onto her. Really I don't know what the [ __ ] I'm doing cuz like I'm trying to transition myself out. I don't know how to run a CEO. Why are you trying to transition out of the role or out of the company?

1:14A little bit of both. So out of the role because to be honest I don't really care about the revenue uh growth factor. I care more about the impact. So A promise I made myself is that I want to impact at least five like 1 million lives before I die. So how do I do that? I'm not going to be doing that flipping homes at a small scale. But I built a company that's so based in locality that I'm trapped within it. Because it's so local, my team is there, my resources, my companies.

1:40The coaching program only makes sense because it's local. But because of my market size, there's only so many people I can get consecutively every time unless I keep dropping prices, the opposite of increasing prices. Uh-huh. So what does that mean? I have to go to a national stage. Is how do how do I take this coaching at a massive scale? And that's where I'm stuck at cuz I'm too busy in the operations and that's where Amy came in as a CEO to kind of help me get out of it.

2:05And focus on the next phase of you know the origin story. >> [snorts] >> So you're not trying to get out of the business. You're just trying to expand the business from local to national. Exactly. Okay. I want to make sure I understand this well. So I'm guessing you run some sort of local workshops. You sell people on you helping them find homes that they can flip and then you have local contractors etc. that you own? I literally give them my entire team that I use to flip my own homes. I give it to them at discount pricing. So essentially creating a community as each class goes on the community gets bigger, we exchange deals within it. So everyone benefits. They get access to my pricing from Lowe's that they don't get anywhere else because of my volume pricing.

2:48>> Uh-huh. >> [snorts] >> Same thing goes for my subcontractors and the crews that I do own and manage on payroll. So they get the benefits of all of that. Um but at the same price. And they get the education of exactly how I do it. Kind of like what you're doing but at a much smaller scale. Very different than what I'm doing. Um Okay. So you have contractors.

3:14So do you own these contractors or not? I do. Okay. So you own the electrician and you own the HVAC and all the other [ __ ] Okay. It was cheaper to integrate them as opposed to paying a GC or general contracting fee. So I kind of just Okay. Um what's So revenue is four? Roughly about 4 million right now. Including everything? No. Not the HVAC company, roofing company is fairly new. I don't have those numbers yet.

3:38But they're roughly about 200k each. And you feel like you've ran out of your local market? Not yet. But right now I'm doing uh every 3 months. So I'm not doing it every >> What's that? >> What market? Uh Fayetteville, North Carolina. Where in North Carolina? Fayetteville, Fort Bragg. Fayetteville? Fayetteville, yeah. >> Oh, Fayetteville. Or you would say it correctly. I've Okay, got it. Okay. Okay. I've read it, not heard it. Yeah, keep going. Yeah, yeah, okay. It's about an hour from Raleigh. Okay.

4:05>> That's like the next big market. >> one. Yeah. Um okay. Gosh, so much. Um Hence my problem. >> have like seven businesses? I lost count. Yeah. >> Yeah. They're all kind of They're all just feed off of each other in some way. Yeah, it's a platform. Um God, man. Uh I know it's the only reason I did it is because like you you say you increase pricing. I can't increase pricing on a home that's based on that's regulated by appraisals, right? There's a there's a cap there.

4:38Uh that's what makes my little market a little different than sales. >> sell So are you selling the houses? I was and I still am. I still am. But I'm focusing more on the >> license to make sure you don't pay the percentage? What's that? >> I'm kidding. Wouldn't leave money on the table. Yeah, yeah. Okay. Um damn, dude. What did you guys say?

5:03Oh, man. Okay. Um Dude, this is a lot, man. Uh You like It's stressful. Um I'm stressed. I feel stressed for you. So Jesus. Uh like I don't even like where do you go from here? I mean I you probably are demand constrained within your existing local market cuz $4 million for the type of business and the average ticket that I'm guessing you charge for this. What are you charging right now?

5:38We start off the first class as a getting paid for like 10k. Really not enough. Like the value that we're getting is just stupid. Yeah. >> And I was essentially training my own competition. Hence why I did the whole vertical integration thing to maximize on that to compensate for To use all these words and it's like dude you're doing 4 million bucks a year. Like Like like it's like there's so there's so much. You know what I mean? Cuz like you need to sell 400 people at 10k and you make $4 million and do none of this [ __ ] Um or you could sell 100 people at 40k which is two people a week. It's at 15k right now and it's getting filled every time without any like paid marketing. So like the word of mouth is pretty strong. The proof is strong enough.

6:14>> no paid marketing? Not for the coaching program, no. I do like little seminars every 3 months. >> And how do you fill those? Uh just they know. It's just I I don't know how else to say it. Like you become like the industry guy in the small little town. It's like big fish small pond kind of scenario. Yeah. Um Jeez, dude. What's the what's the population of Fayetteville? Uh Roughly around 300,000. It's transient because of Fort Bragg, one of the largest army installations. So it's kind of going but

6:44>> Yeah. It's roughly 3 to 400,000. But Raleigh is about an hour and a half. I'm trying to pull from that market, much larger demographic. Yeah. I mean you you haven't capped the 3 to 400,000 people in your market to be very clear. No, I haven't. Right. And so you're selling how many units a month? In homes? Or what I don't even know. [clears throat] Of Yeah. Of of the thing. Of the thing.

7:09>> For the coaching program I got about 10 students right now every 3 months. Okay. So dude like I I I appreciate the national scale vision. I think you could probably get to given the ticket size and how you can monetize the customer in all these hundreds of ways. Like the the reason you would do that setup is so that you could dominate a local market. You're not dominating a local market right now. You're barely getting started. And so you could probably realistically get between Fayetteville um and Raleigh, you could probably get to 100 million a year.

7:42Just in that alone. Yeah. And I think if you just take your eyes off of like I want to conquer the entire world, it's like maybe. But like in order to conquer the world you have to conquer a country first. Right? And before you conquer a country you got to conquer a city. And right now you haven't conquered a city. And so what happens is when armies overextend, they collapse. And so you need to fortify your base better. Cuz 10 dude 10 a 10 a month is nothing. So what do you recommend? Do I try to automate what I have?

8:07>> you Or do I just put myself more into it? Yeah, I think you should just ignore the national >> let me just ask the simple question. Can you could you sell 20 people a week right now? Not like let me say it differently. Can you handle 20 people a week? We will be soon. We have a new CRM kind of taking over.

8:30>> have an 8x increase in sales within your current infrastructure. So that would take you from four to 32. This sounds like a revenue problem, not the impact problem. Do you make content? I don't have time. Hence why I'm Yeah. If you couldn't tell, yeah. But that's where I'm slacking the most. It's Yeah, it's the content. Um It would be far easier for you to just make content about the stuff you're doing and impact millions of people that way. Yeah.

9:06Than try and get every single person in America to be a home flipper. And that's not achievable anyway. I agree. It's more about the financial education and like selling the the dream of like you could be something more than just what you think you are and where you came from. And you can make content about that and you can distribute it for free with leverage. It's a beautiful thing. And so like you can be legit because you have a legitimate business and then you can talk about it and help all these other people. And then you just keep growing this thing.

9:35Okay. So double down locally. Yeah. >> Yeah. You already have all the like you went through whatever the hell you did to go through and build all that stuff. It's like you just built it and you're like, you know what? I'm going to leave it now and I'm going to do another thing. It's like no. Like I'm glad you brought the CEO in but it's probably so that she can do some of the stuff you're doing now so you can do the stuff you know you should be doing but you're not. And so it's like you want to do the impact cuz you don't have time. You have the CEO, go make some content. It's not going to take that long anyways. That way you can scratch your impact itch. And then for everything else, it's like you need to learn how to run paid ads and sell [ __ ] Cuz like you for sure can sell 20, 50, 100 people a week in a local market, no problem for the offer that you have.

10:09Should I increase pricing to make it better or should I keep it where it's at given that it does feed my other channels? Like a face value is 15k, but the lifetime value of that student for as long as they stay in my market cuz they're going to be flipping multiple homes in one year. >> Sure. What's LTV? The what? What's LTV right now? Uh It's fairly new. So, I'll I'll I'll have a better idea in about a year when I have a full cohort going through. But right now one student 15k, I let's say they do one flip.

10:39I make about another 5 to 10k on the contracting. I make about a K in the dumpsters. Uh what else? The HVAC maybe make 3k. Um What else? >> Dude, I'm exhausted listening to this business. Um Yeah. But Yeah. >> Multiply that across maybe 10 flips they're doing a year if they're a good student. >> Yeah. The first year, the stragglers maybe they'll do like one. >> have a better time just like charging a hundred grand and saying you'll do that stuff for free or at cost.

11:08Yeah. Um But yeah, I mean, can you raise prices? It's just like can you sell and can you like yes, you could. Typically an offer like this is a hundred grand. Yeah. >> So, usually they have a done with you style offer that's between 15 and 25 and then there's a uh total turnkey offer which is a hundred thousand dollars. No one in my market can afford that. That's the problem. >> That is just not true. If I'll I'll do your program. >> in your market that has heard of you through word of mouth of you emanating your presence into the the the workshops that you run once a quarter or whatever have can afford it. If you run ads, yes.

11:43It's just that like how many people show up to your thing? The venue that holds 55 is packed out every time. Yeah, 50 So, you have 55 people a month that come in the doors. Every three months, yeah. Every three months. Right, dude. So, it's like the way this looks in reality is you'll bring a hundred people in the room and you'll do three of those in a day and you'll pitch and you'll close 10, 15, you'll close three or five at the you know, like the hundred K and you'll close a handful at the you know, call it 15 to 25k and that's that's the business.

12:17So, you're like you're you're you're like you see 200 people a year and you're like my market can't afford it. It's like well, those 200 can't. It's like look at 2,000. I'm sure there are some. Let me give you a stat. 9% of people in America have a million dollars in terms of their net worth. So, if you include the ass like value of their home, like 9%. It's significantly higher than you think it is. They just look older. Real. Okay.

12:42What do you think about a tiered structure? Uh what? Like instead of just having the one program, like I have different pathways. Yeah, I think you could have a done with you and you could do it the turnkey thing which is much higher. Yeah. Okay. All right, thank you. >> Dude, that was insane. It's costing me >> [laughter] >> There you go. Thank you, ALEX. THANK YOU. >> [applause] >> IF YOU'RE A BUSINESS OWNER AND YOU are not growing as fast as you like, I'd like to give you a free gift. So, my team and I put together the hundred million dollar scaling road map which is basically 200 hours of us looking over all the portfolio companies we've had and what stages of growth they went through and more importantly where they got stuck and how they got past it. And so, we've broken them into these 10 stages and we made this little kind of quiz thing where if you put in your business information, it'll tell you where you're at and the most important part for you, what to do for each of functions of the business across product, marketing, sales, customer success, recruiting, IT, human resources and finance. And so, no matter what you're struggling with, someone else has already struggled with it and solved it.

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