Build with Leila Hormozi: Hiring A-Players When You’re Still Unknown | Ep 272

Host: Leila Hormozi
Release Date: May 13, 2025
Description: In Episode 272 of "Build with Leila Hormozi," Leila tackles the challenging topic of hiring top-tier talent ("A-players") for businesses that are still establishing their reputation. Through a series of live calls, entrepreneurs share their unique hiring struggles, and Leila provides actionable insights to overcome these obstacles and build unshakeable businesses.

Introduction

Hiring exceptional talent is a pivotal step in scaling any business. However, for entrepreneurs and businesses that are still building their brand and reputation, attracting "A-players" can be particularly daunting. In this episode, Leila Hormozi delves deep into this issue, providing tailored advice to various entrepreneurs grappling with hiring challenges. From startups in digital marketing to established firms in logistics and education, Leila addresses a spectrum of concerns, offering strategies that leverage brand credibility, effective training, and cultural alignment.

Caller Insights and Leila’s Advice

1. Frederick: Scaling a Digital Marketing Agency

• Business Overview:

  • Industry: Digital Marketing for Ecommerce (Fashion & Apparel)
  • Revenue: $200K/month
  • Goals: Achieve $400K/month by year-end and $1.2M/month in three years.
  • Challenge: Difficulty in acquiring high-quality talent quickly enough to match marketing lead generation.

• Leila’s Advice:

  • Establish Track Record: “If you don't have a track record, it is difficult to get A plus talent.” [00:33]
  • Leverage Recruiting Firms: “Borrow brand credibility from a recruiting company.” [02:00]
  • Invest in Training: Develop a system akin to “mini internships” to groom talent internally.
  • Retention Through Investment: “The more you invest someone, the more skills they acquire... the more likely they are to keep staying.” [06:30]

2. Trish: Expanding an Online Sales Team

• Business Overview:

  • Industry: Sales Team Installation for Online Brands and Influencers
  • Revenue: $16M/month
  • Goals: Scale to $100M/month
  • Challenge: Balancing efforts between marketing and compliance, struggling to delegate effectively.

• Leila’s Advice:

  • Prioritize Based on Resources: “Which one do I have the resources to solve right now?” [12:34]
  • Implement Structured Meetings: Make team meetings mandatory to ensure participation. “You need to like the person... you need to want to talk to them.” [50:36]
  • Reinforce Culture and Accountability: “Defend your business and your dream more than anybody else.” [47:46]

3. Kiana: Managing Escalations in Legal Services

• Business Overview:

  • Industry: Legal Services for Immigrants
  • Revenue: $24M/year, running at $60M
  • Challenge: High workload in handling escalations, risk of team burnout.

• Leila’s Advice:

  • Enhance Training and Morale: Implement routines such as daily huddles to celebrate wins and review performances. “They need someone who's willing to pour into those people.” [19:20]
  • Hire Dedicated Trainers: Bring in a trainer focused on skill development to boost team resilience and effectiveness. “Skill development so that they feel like they're getting better through the hard conversations.” [20:00]

4. Finn: Transitioning from Contractor to Employee with Phantom Equity

• Business Overview:

  • Industry: Financial Education for Professionals
  • Revenue: Dropped from $10M to $5M
  • Challenge: Retaining key contractual staff without the intention to sell the business.

• Leila’s Advice:

  • Align Compensation Strategies: “They get a profit share and then upon exit, it vests...” [22:00]
  • Focus on Recognition Over Equity: “People are more likely not to leave if you give them recognition, praise, and reward.” [23:06]
  • Strategic Hiring: Prioritize hiring a VP of Operations to manage and scale effectively. “You need to find somebody who has built a business similar to this to 20 or 25 million.” [27:06]

5. Angie Kalin: Scaling a Private Preschool

• Business Overview:

  • Industry: Education (Private Preschool)
  • Revenue: $68K/month
  • Challenge: Staffing shortages, compliance issues, and cultural transition post-acquisition.

• Leila’s Advice:

  • Reset Company Culture: “You essentially need a new team.” [39:26]
  • Set Clear Expectations and Consequences: “Write down what those expectations are and what's the consequence if the expectation is not met.” [49:09]
  • Hire Experienced Leadership: Bring in a director or operations manager to manage staff and enforce new standards. “You need to get support... there's going to be too much.” [40:16]
  • Mandatory Training and Meetings: Implement strict attendance policies to ensure team alignment. “It's a mandatory meeting. People will show up.” [50:36]

6. Jay: Developing Leaders in an Amazon Advertising Agency

• Business Overview:

  • Industry: Amazon Advertising Agency & Coaching
  • Revenue: $3.5M, aiming to double
  • Challenge: Scaling leadership from young A-players, fostering accountability.

• Leila’s Advice:

  • Demonstrate Accountability Practices: Take over team meetings to showcase effective accountability. “I'm going to run the team huddles for you.” [56:09]
  • Encourage Skill Development: “Reward progress and effort is far more important than rewarding the outcome.” [67:59]
  • Iterative Feedback: “The market's going to tell us more... it's a painful process.” [81:24]

7. Karen Vets: Optimizing Logistics Services Profitability

• Business Overview:

  • Industry: Logistics Services for Freight Companies
  • Revenue: $500K/month
  • Goals: Increase to $1M/month, boost EBITDA
  • Challenge: Retention of owner-operators leading to low profit margins.

• Leila’s Advice:

  • Reevaluate Incentive Structures: Either reduce operational costs for owner-operators or increase their rewards to secure loyalty. “Take away more of their pain... or add more reward.” [59:07]
  • Innovative Recruitment Models: Offer commitments like subsidizing truck training in exchange for contractual obligations. “This is gonna fix your problem.” [66:20]

Key Themes Across Callers

1. Importance of Track Record and Brand Credibility:

   • A strong reputation significantly enhances the ability to attract top talent. Without it, businesses must find alternative strategies such as partnering with recruiting firms to borrow credibility.

2. Structured Training and Development:

   • Investing in robust training programs ensures that new hires can quickly adapt and excel, turning potential weaknesses into strengths.

3. Cultural Alignment and Accountability:

   • Establishing a clear company culture with defined expectations and consequences is crucial for maintaining high performance and reducing turnover.

4. Strategic Delegation and Leadership Hiring:

   • Founders must delegate operational responsibilities to experienced leaders to focus on strategic growth areas. Hiring the right leadership team is pivotal for scaling effectively.

5. Innovative Compensation Models:

   • Rethinking traditional compensation structures, such as incorporating profit shares or performance-based incentives, can enhance employee retention and motivation.

6. Utilizing Recruitment Channels Effectively:

   • Leveraging platforms like LinkedIn, social media, and industry-specific programs can broaden the talent pool and attract candidates aligned with company values and goals.

Notable Quotes with Timestamps

• Track Record’s Role in Talent Acquisition:

  • “If you don't have a track record, it is difficult to get A plus talent.” — Leila [00:33]

• Borrowing Brand Credibility:

  • “Borrow brand credibility from a recruiting company.” — Leila [02:00]

• Importance of Investing in Employees:

  • “The more you invest someone, the more skills they acquire... the more likely they are to keep staying.” — Leila [06:30]

• Resetting Company Culture:

  • “You essentially need a new team.” — Leila [39:26]

• Demonstrating Accountability:

  • “I'm going to run the team huddles for you.” — Leila [56:09]

• Innovative Recruitment Strategies:

  • “We have to think backwards and engineer the job postings and the incentives differently.” — Leila [66:20]

Conclusion

Hiring "A-players" remains a formidable challenge for businesses still building their reputations. However, as demonstrated through various caller scenarios, strategic approaches such as leveraging recruiting firms, investing in comprehensive training programs, resetting company culture, and redefining compensation structures can significantly enhance a company’s ability to attract and retain top talent. Leila Hormozi emphasizes the importance of proactive measures, cultural alignment, and continuous development to overcome the inherent difficulties of hiring exceptional employees in the early stages of business growth. By implementing these strategies, entrepreneurs can build unshakeable foundations that support sustainable scaling and long-term success.

Remember: Building a team of A-players is not merely about filling positions; it's about creating a culture of excellence, continuous improvement, and aligned vision that propels your business forward. Leila Hormozi’s insights provide a roadmap for entrepreneurs aiming to assemble top-tier teams, even when their brand is still in its nascent stages.