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The first step in all this stuff is like do epic stuff and then step two is talk about it and that is fundamentally how you provide value and so when you're providing value in any domain like i want to build my personal brand like your personal brand will be built on the amount of value you can provide other people you can get whatever you want in life as long as you help enough other people get what they want so now we shall begin the hottest of her mose hotlines all right rock and roll tell me about the business all right.
B
We are a one point two million dollars pool service and repair company in.
C
Raleigh north carolina rock and roll what's.
B
What'S profit about fifty k after one hundred and forty five in that owner.
C
Salaries so two hundred all in yeah.
B
Yep one hundred ninety five right around.
A
Them cool that's fine okay two hundred k bottom line all right what's the what's the membership price what's churn we're.
B
About it depends but average is about four thousand five hundred a year per client and we're only recurring what's churn yeah oh churn we lost about twelve people this year so twelve divided by one hundred seventy six whatever that is.
A
Twelve yeah okay so you have ninety three percent retention annually okay great so churn's not an issue fantastic all right so what do you want to have.
C
Happen what's the problem problem for us.
B
Is we can't hire and retain and train really talented people we find that we can keep people for about a year and then they either want to go do something else or they want to go into a different trade that they view as like a higher higher opportunity like h vac plumbing electrical sure sure stuff like that so we're trying to figure out a way to make it so that people want to stick around and see this as a career.
C
That it can be yeah i'm going.
A
To i'm going to we're i'm going to guess right what's your closed rate right now when you meet with people.
B
Our close rate when we meet with clients or with lead or well leads to sell them yeah selling we're about.
A
Thirty percent thirty percent interesting okay so this is me calling the shot this is my guess here phil is that i'm going to bet we have to fix the sales motion number one once we fix the sales motion we can increase prices step two once we can increase the prices which will dramatically increase profit we can then pay the guys.
C
More so they stick yeah currently they're.
B
Paid twenty five percent of labor revenue so yeah definitely increasing prices definitely is a way to do that and that's the thing we're just our close ratio i feel like isn't high enough to warrant the price increase i know we need right it's like i don't want it to go to five percent close ratio in order to get that i.
A
Mean dude for you to get to five percent you would have to like ten x the prices it wouldn't be so we have to fix the sales motion so that's my so like this is why like you got to pull the thread right so it's like it starts with like my guys aren't staying long enough but the reality is that like we're not charging enough but we can't charge more because their sales process is screwed so let's fix the sales process all right so walk me through.
B
The sales process sales process we have currently they basically call our office we do a lot of inbound we don't we don't do advertising as we need to sort of so we were pretty pretty well we show up pretty well on google but we're only spending like five six hundred bucks a month on actual google outbound well you do google ads right i mean google ads like.
D
Google local services got it and so.
A
You'Re and it's five hundred bucks a month is what you're putting into ppc okay yep all right how many leads.
C
Are coming from that leads a week.
B
Leads a week are about two to.
A
Three okay from that from that five hundred that you spend right okay so i'm going to say you're getting twelve twelve a month let's just say ten for simple math so it costs you fifty bucks a lead right now right now roughly all right and you convert.
C
What percentage of leads convert about thirty.
A
Percent okay converting thirty percent of leads you can get that to fifty on inbound just fyi but you're at thirty percent that's fine for the purposes of our conversation okay so it costs you one hundred and fifty dollars right yes to get a customer who's going to pay you four thousand five hundred dollars.
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A year yep not bad not bad.
A
Gig so let me ask you this what percentage of your costs are variable.
C
Versus fixed i don't have an exact figure let me ask you this what are gross margins gross margins are about fifty percent okay so that they're about.
B
Twenty five labor is about and that.
A
Includes labor that includes labor right correct okay so you're going to make so it costs you one hundred fifty dollars one time to make two thousand two hundred fifty dollars per year in gross profit yep banger banger amazing okay i.
B
Need to kill it more into advertising.
A
Yes hell yeah bro hey i've got this amazing investment opportunity if you give me one hundred and fifty dollars i'll give you twenty two fifty back just at the end of the year all right i'll give you i'll give you a twenty two fifty back how much.
C
Money are you giving me as many.
B
As many pennies as i can throw.
C
At you yeah okay well how much cash you have on hand not a.
B
Lot not a lot on hand okay we basically are that's the thing our our we have two owners in the business so we're taking out a good.
C
Amount of our pause pause pause heard.
A
So what you need is a money model so what how much of money are you making the first thirty days.
C
On dollar one hundred fifty customer generally.
B
So we just transitioned to doing a different different type of initial visit model that currently we're getting about fifteen clients in the first thirty days but it.
C
Really depends that's our average bruh so.
A
You don't even need the money because you're getting ten to one up front.
B
I know but then so our on that fifteen hundred there's a good amount of that which is cost of goods sold because we're finding issues we're repairing.
A
Things let's say you make five hundred on fifteen hundred let's say you run thirty percent on the first one right does that sound reasonable dude you're still making five hundred on your one hundred and fifty yep so why not spend.
B
More the i don't know i'm just scared i guess scared to put don't be scared dude put my money where.
C
My mouth is that's it yeah i.
A
Mean i'll say this i don't know if you were on for the beginning of this but like this is a super classic issue this actually happened a ton in gyms so gyms have fixed costs like rent and equipment leases and things like that right and so the guys would have a vehicle like this that they're getting ten to one on something really strong but what they would do is they would only spend enough money to cover all their fixed costs but never get into the black they literally would just like spend enough to like they play business on defense rather than offense yes yep right like you're playing right now to not be poor rather than to be rich yep that.
C
Sounds familiar yeah yeah and you're and.
A
You'Re willing to make the money for your team you're willing to make the money for the landlord you're willing to make the money for the bank but you're not willing to make the money.
C
For you yeah real right yep that.
A
Feels real as much as i would like i'd love to like you know dive into a hundred other things like this is i'll bet you right now this is the core issue is like i want you to go from five hundred dollars a month to five thousand dollars a month to spend because if you went from two to three leads a week to two three leads a day would that materially change the business.
C
From a cash flow perspective yeah definitely.
B
But that's the thing it's our we could we could do that but then we run into fulfillment issues if we it takes us six weeks to train a guy like chicken and the egg.
A
Do we the six weeks is not big picture fyi right and i'll bet you could do it in three if you really had to right okay so.
C
Yeah that's that's the thing when you're.
A
In equilibrium this is a rule of thumb for me and for everybody who's listening if you're in equilibrium where you're like i can maybe take a little bit more demand but then i'm going to be supply constrained get the demand get the cash then you'll get the resources to take the next move and if you have to pay some guys one and a half or one and a quarter you know overtime to fill the slot one you're gonna pay them more anyways and that's good fine and i'll bet you those guys would work more for more money yeah so you have flex you have you have more capacity you have capacity that's not stretched so if you could stretch it most people like you'd be amazed at what people can do if you're like incentivized.
C
Yeah yes yeah definitely we could i.
B
Mean our team our team's pretty pretty strapped right now yeah and are you.
A
Are you closing so walk me through the sales process real quick lead comes in you immediately call them within sixty.
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Seconds or what no it's basically we have online pricing all of our prices are online so they hit our website they basically sign up and then once they sign up on the website we're contacting them automatically within five minutes and.
C
They'Re basically a text or call.
A
We.
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Basically email from the signup we don't do any any calls right now not nothing nothing automated nothing then you could.
A
Probably double you could double your conversion if you just called the leads immediately yeah yeah so let's say let's say let me let me ask you a question if i paid you another one point two million dollars to do one thing which is to just call your leads in sixty seconds i give you one hundred thousand dollars a month would.
C
You do it i suppose i would.
A
Yeah well that's what's sitting on the table right now because you're not contacting your leads fast enough yes you have a double you can get to sixty percent when it's ppc inbound they already know the price you could close sixty percent and that's without changing anything about the pricing the offer or anything just.
C
From contacting them fast then for yep.
A
Okay so we have two changes that are going to be the biggest material changes number one is you're going to spend way more on ads number two is you're actually going to call your leads really fast when you do those two things you have enough gross profit in the first thirty days of cash flow this acquisition anyways you're then going to be willing to pay some of the guys you have time and change to do more jobs some of those guys are hungry want to make more money that's why they're leaving right give them the opportunity to make more money and then part of that is you can also pay them a little bit more money to train the guys faster cause they're working longer hours they'll train.
B
Them faster yeah so incentivize the trainer to get them on the road faster.
C
Yeah so we can open up capacity.
A
I mean i would say hey if you can do it in six weeks if you can do it in two i'll give you a dollar five hundred.
C
Bonus yeah that's a great idea yep here we go rock and roll great.
B
Yeah thank you so much and i.
A
Put the incentive is that if you have to go back and fix one of the spots that the new trainee went to that that guy's got to do it for free if he takes.
C
The commission yeah yep yeah we do.
B
We do callbacks on then they're on.
A
But i would do it on the trainee if i'm gonna if you were to take from six to two and you're gonna sign off that this guy's good enough i'll give you the bonus but you got to basically certify that guy's work for the next month right.
B
Okay so the trainee makes a mistake if they're rushing through it the trainer.
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Goes and fixes yeah big papa's got.
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To come in i see what you're.
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Saying yeah yeah yeah great idea rock and roll rock and roll man thank you so much phil i really appreciate.
A
It appreciate you dude yeah you bet yeah all right what is your advice on dental clinic marketing since you had an agency we are working for abroad patients using prices lower than their country okay what's your advice for dental clinic marketing since i had an agency and we're working abroad for patients using lower prices in their country okay so i'll say right now i mean i've seen this all over the place but you can advertise in any way you could do outbound you could do content you could do ads my bet given what you're what you're talking about is i would probably do this as a content strategy like i don't know if you guys have seen this like the the turkish hair like they've got like there's like a whole industry in turkey around like guys who are bald getting like their hair back and the doctors who are over there just post before and after left and right all day long on instagram on tiktok and that's how they're generating inbound demand so i would say that's like number one but the way to operationalize that is you have to build it into the customer journey so like when they come in immediate picture you know day thirty day sixty it's like we have to go collect these pictures and if you want you can give rebates for it most time you don't have to and then by doing that it's like every single person who comes in the door is a potential before and after so it's like you can get twenty figuratively twenty posts a day or i don't know how many teeth you're doing right but maybe it's two posts a day right that you can source directly from your existing customers and you don't have to do anything else you and then you can explain just like do the before and after and then do like a quick thirty second like hey this is you have to say their name you could cover the eyes if you have to like this is unique case and if you're struggling with x y z pain based hook you know this is something we do all the time at our you know at our clinic right that's thing one thing too is i don't love winning on price but it is sometimes just like some of the strategy and that's okay you could just experiment with running ads my bet though i'm just saying because anything that's like i mean they are i guess they are bargain hunting but people kind of want the best of both it's like they want it to be good and they want it to be cheap and so like i would lead with content first i would take the best performing content and then i would run that as ads with the offer so content first find winner put a cta on the end of the winner and then drive paid to that that's what i would do hey alex a lot of your videos have helped understand a lot of business points that i didn't understand before okay i have a full service linkedin agency doing content and dm's i think that founders after certain ar don't want dm sent from their account brand risk yeah that's possible so you got two options option one is you just only pick the founders that are below a certain size that is an option the alternative is that you make it work from their brand just figure like what stops me from doing more i have to figure out how to get this to be openable from a brand okay that's another way maybe it just takes twice the volume and then they're willing to do it the next kind of thinking process there is you can frame it i would say like you can either sell them heavy on why it doesn't matter option one option two is you can figure it out from the brand perspective option three is that you only take on smaller guys but i think these are features not bugs unless you just figure out another way to get customers cause i understand why somebody would not want that but i would say like what is your objective as a ceo is it to grow the business okay do you think that your brand as ceo would be better if your business were bigger i think you should just sell them on it and not everyone's gonna say yes but if half of people say yes cause you sell them on it then you keep growing the business then that sounds good enough for me all right google ranks and then i'm going and then i'm going to mister drew next all right i'm a seventeen year old kid looking to start my own pool construction dude i just did one pool company did digital marketing for a year my dad has a construction license in florida advice yeah dude i would run five thousand dollars a month of ppc and i would call the leads within sixty seconds i i would sell a one thousand five hundred dollars package up front and i would roll them straight into continuity right after that that's what i would do senor drew or i think the germans say er drew like err or i don't know if that's how they say er all right drew what's up.
D
We'Re cooking alex nice to meet you.
A
Man nice to meet you too talk.
D
To me we made this app for.
C
Defense contractors you made an app for.
D
Defense contractors that's right so it allows them to show their client a fence.
A
Right in their yard oh fence contractors not defense contractors i was like those are wildly different things one people are blowing up fences the other person are.
D
Building them good to know that's right.
A
That'S right yeah we're trying to cross country lines all right so we got fence contractors all right you built an app for them all right there's an app for that what's revenue about half.
D
A million a year all right five.
A
Hundred k per year what's revenue retention.
D
Our churn's about like eight percent monthly.
A
Ooh that's that's high that's high okay eight percent a month all right that's pretty high all right what's price it's.
D
One hundred ninety nine a month cancel anytime and we also that's for two users like five users is two point.
C
Nine nine a month okay got it.
A
And so what does this app do.
D
So it actually allows them to show their client a fence like right in their yard it's like the dream outcome on the value equation lets them put it right into their yard yeah it's.
C
A sales tool yeah yeah exactly okay.
A
So why are they churning so really.
D
Like our biggest thing is if they don't use it in like sell offense within the first ten days they turn if they actually go out and we hear them sell offense yeah they literally love the product and it's very rare.
C
That they cancel okay how do you.
A
Get leads right now we'll cover that in a second how do you get.
D
Leads so we run facebook ads just for instant form we have a couple of questions up front and then our automation puts them right into our crm and we reach out right away yeah what's cac about dollar one hundred thirty.
A
Damn cac not le not cpl a cac cost to our customers one hundred.
D
And thirty bucks when we hit like a really good ad our cost per lead is like a dollar fifty like this past week we literally hit one that was crazy and that's insane i.
A
Would not get used to that because it will not stay there that is.
D
Insane also i personally like i do a lot of the sales personally so like right now i'm not paying like a commission which really helps yeah well.
A
Yeah it doesn't nice right when you do it when you do things yourself okay so i mean ltv to cac is still fine but you like this is what i want to encourage you to do do not scale your ads at all until you fix this churn issue there's no point you're just gonna pour it out the bag there's no point zero point whatsoever like you want to be able to figure out what activation is now if you know that if they sell offense right with the thing they stick right we know this yeah okay so then the question is how can we incentivize them or how can we make it easier for them to have that happen faster so what do you do you charge one hundred ninety nine up front for this so.
D
We do like a ten day trial with like the credit card attached like we say like you know this is how we've always done it if you don't like it in the first ten days you can cancel so yeah dude.
A
I think it's a trial issue dude.
D
Yeah that also includes like during the trial the eight percent so it might be like lower once someone actually converts to a client yeah i see what you're saying like the pi equation like we're not going to our hypothetical max.
C
Might be too low yeah well you.
A
Do need to figure out what the post conversion churn is not total churn because especially if you're smaller like you factoring in your trials and churn is going to mess all your numbers up.
C
One hundred percent yeah okay so i'll.
A
Say this so you go through the money models book already yep so the free trial with penalty would be the first improvement that you could make to this that's like the the smallest operational change that you could do the second level of it yeah that's free trial with penalty you could use that as a front end offer instead of a down sell offer and just say like we will give it to you for free as long as you xyz right so you have to use it right.
D
Like if you go out and sell someone a fence right in their yard it's free for the first ten days.
A
Well you're already doing that so there's no reason for them to do it.
C
You know what i'm saying here okay.
D
Yeah i see what you're saying you.
A
Have to have a penalty associated with it that's option one option two is that you charge them up front and then say i will rebate you the one hundred ninety nine if you use the app to put it in at least two people's yards or three people's yards what's whatever the average they let's say they close thirty percent say like you do three yards in the first ten days where you put the fence in i'll rebate you back the one hundred ninety nine and i'll tell you why i'm doing it because i know that if you do it you'll stick let me just show you my cards because as soon as you use the tool you'll make more and you'll never leave so i'm going to incentivize you.
C
To use it i do justin totally okay cool so just make the second.
D
Month free okay so we literally charge one hundred ninety nine up front if they use it two or three times we can give them their money back.
C
Right there right well you don't need.
A
To give them the money back just don't build the second month build the.
C
Third okay yeah that makes sense okay.
A
Yeah that would be it like we just have to incentivize activation because if you can get your churn down to like because you need to be at eighty plus percent per year or higher for this to be something cool one.
D
Hundred percent yeah one hundred percent that's.
A
All you have to do just get it to eighty percent a year so you want to be at like less than two percent a month i know it's got to be yeah it's got to be like closer to one percent.
D
A month all right i'm a man on a mission i'll make it happen.
A
Okay and i want you to do this though measure the churn from tri basically don't even look at churn on the front end look at conversion rate and then post conversion rate measure churn that's what you should be looking at.
D
Okay so like only measure the churn once they've actually converted into a subscription.
A
Right yeah and your true cac i'm guessing now because it's costing you one hundred thirty bucks to sign up a.
D
Trial right i got to look at it closely but i'm pretty sure it's.
C
Something like that yeah yeah so and.
A
Then let's say it's one out of three trials convert i don't know it's.
C
Something like that yeah yeah so your.
A
Actual cac is closer to five hundred not one hundred thirty okay cost you acquire a customer not a trial i.
D
Think it actually is one hundred thirty it is around one hundred thirty okay because like right now say we get one hundred leads i'll sign up about you know eight of them on a trial and we'll get like three or.
C
Four or something like that okay okay.
A
But yeah i would go rebate second month free they bill you know you bill them up front it'll also get them way more likely to commit to it also with two hundred you can like be on call if they have.
C
Any issues tech wise one hundred as.
D
Soon as we sign someone up we like bam fam like right to an onboarding like as soon as we get like that so we do that we go right into an onboarding teach them how to use it and then honestly once we get them like they place the fence like right in front of.
A
Them they get so all your effort is activation dude that's it all the all the effort all the incentive goes there once you have that the rest.
C
Of the machine works a hundred percent absolutely all right that's it that's what.
D
We do it was great to meet you man thank you so much pleasure.
A
Drew appreciate you bye bye toodles all right atman deshman hi alex i'm twenty seven year old physics coach for high school students based in india for olympiads okay medical and engineering entrance sense interesting how do i enter and serve customers in the united states and eu i don't know you're going to enter the us and eu because that we got the fence guy who was just on here he's big on that stuff like you know bored i'm kidding so how do you enter well i mean fundamentally i'm going to i'm going to give you the obvious thing i don't know how good you are if you're out of india i don't know how good your english is so i'll be like this is me i'm just trying to help all right so if you want to enter those markets there's no way anyone actually knows where you live online unless you say so and so you just make content in english and you would attract those customers that's it the reason many of the people may not be doing that with you is that they think that you're in india and so they would think that because of other posts that you have maybe languages that you're currently speaking in or accents you have in english and so i would strongly encourage you to do whatever it takes to remove your accent so that you can have better access to those markets this is non politically correct advice this is me trying to actually help you make money all right that's what i would do there's a whole series of youtube videos actually about how to like remove an indian accent when speaking english i know this because sharon talked about this to me so when sharon came here to the us he had a really thick indian accent and he actually got the same feedback which is why i feel fine sharing it which is that you like you will be limited by that accent especially if you're trying to enter these markets in terms of eu i would say like honestly like why bother like just start with the us it's the biggest richest market and you probably already speak english decently so i would just focus on that rather than try to like you know piecemeal you know the european markets unless you're just saying uk rather than europe in which case you just speaking clearer better english and making content in those well not in those markets but online to those avatars will attract those customers all right caleb stewart started my roofing company in january been doing law of one hundred great love that and went full time congratulations how do i bring someone else on and get them to do this versus just doing it for themselves you mean like go recruit a sales guy i'm guessing you're not saying like why don't people go do roofing i mean because it's work but the way to like so the progression is you need to sell people stage one stage two is you need to recruit somebody else that sells stage three is that you recruit a team of people that can sell those are the three levels of salesmanship which by the way for all the entrepreneurs here who love to say that they're really good at selling you are level one salesman you need to transition your identity from sales god to sales training god and sales leader and so it's no longer about how well you can close it's about how well you can get people to learn how to close on your behalf so how do i get people to not do this on their own well they can do it for you and get paid for it so i'm not really i'm not actually really sure i feel like it's like a mental thing because you're like new to this but i like this is to me this is not a thing like just go recruit other salespeople say hey this is what i'm willing to pay you as a commission let me show you how to door knock okay gmands all right is there a way to become like you or what you suggest for providing value in any business field so number one definitely don't want to become like me you want to become more like you the ultimate unlocked version of yourself not me that's thing one because i will not beat you at being you and you will not beat me at being me right so there's no point in trying to copy or clone me just be the most of you now within that context if you're being the most of you the question is then who and who do you provide the most value to and around what context or topic do you have unique insights that you've gained either that you've gained right and so when you're starting out you have to do it in one of two ways either have to have achieved something already which is notable that gives you proof or you have to let your effort be the proof and so if you say hey i made you know two thousand videos on tiktok and here's what i learned then you will you will have something valuable that you have learned the first step in all this stuff is like do epic stuff and then step two is talk about it and that is fundamentally how you provide value and so when you're providing value in any domain like i want to build my personal brand like your personal brand will be built on the amount of value you can provide other people like just help other people like zig ziglar said this old school personal development guy we said you can you can get whatever you want in life as long as you help enough other people get what they want and i think it's so true so i would just think how can i help other people get what they want and if you're like if you don't have enough proof and everyone misses this start for free work for free get experience go get ten free clients go do the work for them make it a free trial plus penalty right it's a great way to get started i talk about this in the first chapter or one of the first chapters in the leads book your first five clients it literally outlines the entire offer structure when to start charging all of this is inside of the leads book i think i have it it's page fifty one so i explained my first business and how i did it how the outreach worked how i started for free and then when how to do the like literally like what messages to send how to send them and then the actual process of doing this and i give you eleven ways of showing proof it's on page sixty one it's eleven ways to show proof so that you don't look like a newbie okay rock and roll.
Episode: Do Epic Stuff & Then Talk About It | Ep 957
Date: October 22, 2025
Host: Alex Hormozi
In this episode, Alex Hormozi hosts a live “hotline”-style Q&A and business breakdown, centering on the core message: “Do epic stuff, then talk about it.” Throughout business calls and audience questions, Alex demonstrates how value creation, smart sales strategy, and overcoming mental constraints are the keys to scaling personal brands and companies—from pool services, SaaS, and dental clinics to solo agency founders and content creators. The style is punchy, practical, and high-energy, with Alex’s direct feedback and signature quotables.
Advice for an overseas clinic attracting foreign clients:
Business: $500k/year software for fence contractors, offers AR “preview-your-fence” feature
Problem: 8% monthly churn, most leave if they don’t get first sale fast
Energetic, direct, practical, and a bit irreverent—Hormozi challenges assumptions, dismantles mental limitations, and prescribes clear, actionable business advice with no fluff. His focus is always on value creation, bold action, and building brands through proof—be it numbers, effort, or results.
Alex Hormozi’s message resounds: Real leverage is built by doing valuable, remarkable work—and then sharing it. Whether you’re growing a trades business, SaaS app, medical tourism clinic, or a personal brand, you win by providing value, removing constraints (pricing, mindset, process), and bravely publicizing your journey and results.
“You can’t copy success; you embody it by stacking value and living proof. Do epic stuff—then talk about it.”