https://www.youtube.com/watch?v=CQNBYufkRsY&ab_channel=OMARELATTAR%26THEPASSIONATEFEW

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i'm alex from rosie i went from zero in
march 17 to doing 112 million in sales
between four companies and i have
nothing to sell you
and i'm on the passion if you
it was an enjoyable interview and um i
hope people take at least one of the
the lessons from the failures that we
had to uh not have to experience the
same
hey guys welcome to this episode of the
passionate view podcast today it's your
host omar here and today we're sitting
down with the ceo of jim launch and a
handful of other
companies none other than alex hermozy
and as some people might know in the
internet space he's gone
from literally zero in march of 2017 i
think
to now just clearing 110 million in
revenue between his companies
so today we're going to pick his mind
here's his whole story and get some
advice for how you guys can grow your
mindset and business
thanks so much for being on the show
today alex appreciate it thank you for
having me
awesome man so um i know we were talking
a little bit before the zoom call about
kind of the nuances of now you're kind
of teaching entrepreneurship and kind of

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giving advice with no agenda per se
but take me back like what's the where
did the inspiration for the entrepreneur
that is alex
before you know 110 million in revenue
you know you and your
uh wife layla really killing it in in
the fitness space but like
take me back to alex before all this
started what were you doing before and
where did entrepreneurship start for you
early on
i had a i would say an atypical story um
i was
i was not the the entrepreneur who felt
like school didn't understand him
and who you know struggled paying
attention and was slinging you know hot
dogs on the side like that was not my
story i did really well in school
i went to vanderbilt graduated in three
years magna [ __ ] laude
um did very well in the sats i got above
harvard's mid score on my gmats and i
was i was planning on going the
management consultant or investment
banking route because that was kind of
the
where i knew that people made the most
money um
but i read the four hour work week uh
when i was a management consultant and
it was during the process when i was i
just done my two years i was 23

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and i realized that there was no job
that was going to pay me as much money
as i wanted to make and would let me
live
i knew that there were jobs like being
an investment banker for example you can
make 10 million a year
as an investment banker you know once
you you know move up the ranks but you
pretty much give
25 years your life to get there and
i that was like i don't know i just
didn't i didn't feel like it made sense
to me to give up all my youth
um for money later you know what i mean
we all see those cartoons with the
person chasing the money at the very end
they have all this money and they're old
they're looking at a cliff
and so i just didn't want that and so i
was applying for um
business school and one of the questions
was how will uh
you know xyz mba help you with your
short long term goals and
and i think pretty sure this is why they
ask the question to make sure that
people are clear on why they're even
applying and i spent like two days
looking at the question and i just
realized it wasn't gonna help me with my
short long-term goals
and so then i just looked at the
opportunity cost of spending you know
200 000 and two years of not making
income
um versus you know starting a business
and so that was what got me to

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00:03:00.000 --> 00:04:00.000
transition i
looked at a bunch of different business
ideas i was i was super close to opening
up a frozen yogurt store
um i was i have a name for it uh yeah
evie's treats
yeah i just thought it was like sweet
and kiddish it had like a candy and a
positive
energy like vibe overall i was gonna
model it after a candy store
except it had frozen yogurt but from a
decoration style think like lights and
all the
huge tubes of toppings like i i could
tell you all about the yogurt business
if you ever want to
um but anyways i ended up uh realizing
that it was like 200 000
to start one of those and i didn't have
that so i had about 60 000 that i had
saved up at 23.
and how did you save up that cash just
from jobs along the way
from the consulting gig that i that i
invited after college so i i
had um how much were you making give or
take doing the consulting if you don't
mind
sharing it at that time i it's good so
i had set up i think i was making 50 or
60 i understand where i was either fifth
or sixty grand a year
um out of college and

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the second year i was in that job they
allowed me to work on like commission
so if i brought in a deal i would get a
higher rate
and so they ended up switching me to
that um
and so we ended up having one deal that
happened
in the last six months of me being there
and i got two like 30 000 paychecks
and after out the second one that deal
ended and so i was gonna have
another period where i basically didn't
get a paycheck until the next deal came
through
right and so it was at that point that i
was like all right i'm gonna do it and
so that's when i um
that's when i sold my condo and i uh
packed my car and i started driving
across the country to california which
is where
i was my first gym and when you open
your first gym this is before you met
layla or anything like that right
so stage so 24 you open your first gym
and what's your plan at this stage like
are you already thinking about scale in
this or is just like a pattern you want
to create your own income like
what was your mind it's a good a lot of
entrepreneurs now at 24 25 they're

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00:05:00.000 --> 00:06:00.000
trying to get to common club be on stage
click funnels
you know like and they make that the
target instead of the stuff in front of
them
take me to your mindset-wise at that
time what was going through your head
with that first one i was never planning
on being like
i would say it was brief that i wanted
to be a
a so i'll i'll answer your question with
context
i was so depressed in this consulting
job um
that i just didn't want to be alive
anymore and so i
i i didn't and so when i realized that a
lot of the things that i created was
because of what i thought i was supposed
to do
and that i was in some places they call
that a rock top moment rather than a
rock bottom moment you get to the top of
the mountain and you realize there's
nothing there
right and so i was like this is
miserable if the rest of my life is more
of this then i don't want to apply
and so that was when i you know quit
everything sold everything
um and said well at least if i you know
do fitness it's something that i'm
really passionate about and
they say if you do something you're
passionate about then you know you'll
work
you don't have to work another day in
your life or whatever the saying is and
so i i kind of bought into that which is

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a lie but
um definitely unfortunate
but but it got me on that path and the
thing is is that as soon as i started
the gym it was the hardest period of my
life as the first nine months of running
my gym into
actually top two hardest periods of my
life um
and during that process once i got out
of like sleeping on the gym floor which
is how i started
um to actually like making it into a
business
at that point i was hooked and i just i
was all i could think about was how do i
you know how do i how do i scale how do
i get more gyms how do i open more
locations
and and from the from the point where
you started to start getting momentum
was about nine months you said
i was very fortunate i hired a coach
before i opened a gym
yeah so i learned from the consulting
world the fastest way to learn a skill
is to hire an expert
because that's exactly what you're doing
the consulting or the management
references that i came from
because was that sam baxter it was seven
figure sam
yep yeah yeah so actually so i actually
knew sam rest in peace sam
and uh yeah i know that he was

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instrumental in so many people's uh
fitness journey so
what what did you learn from him man
that's awesome yeah so
to to my knowledge i was i am i think
sam's only apprentice
um so he created his classic sam fashion
um i emailed 40 gym owners that seemed
like they were doing something he was
the only one who replied to me i was in
baltimore
he said come on over sure man we'll see
what we can do
i drove over knocked on his door and he
was like holy [ __ ] you're here like
that's weird
yeah i'm here and he's like where are
you staying i was like i don't know i
just showed up at your door and he was
like you
i was like no i literally just got out
of my car like from baltimore like hi
and so um yeah anyways i uh
uh he said well you know i'm busy right
now he's like but uh
you can come over to my place for dinner
tonight you can slip over and i was like
oh thanks so like
that was kind of the guy that sam was
and i think sam sam was a really
passionate guy he was definitely very
opinionated
um he created a lot of enemies and a lot
of friends uh but
he always knew where you stood with sam
so he uh he took me in
and then um i learned i worked up i woke

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up with him every day you know i was at
the gym at four with him to kind of
learn the ropes
uh he let me sign up for his mastermind
so he was like it's 10 grand for my
masterminds i said okay here's 10 grand
i was like i don't have a gym he said
it's fine
and um and then he and then he turned
around and gave me a job
so i was like he started paying me back
the money for the mess that i just paid
for
um and then 90 days in uh i found a
location and i said i'm going to open
this one so
how scary was it for you to invest the
cash at that time
because that amount of money when you're
in your mid-20s and you know
i had 60 so i knew i had 10 left or 10
10 less and then i had 50.
like i was just running off of like how
much money do i have right and then uh i
opened the gym i think for 37
or something like that and uh and i
spent money you know the three months in
between so i know i had
five thousand dollars left in my bank
account when the gym
uh opened and was fitness already a part
of your routine and i just want to zoom
in because i think a lot of people
obviously you're fit as hell we see all
your caps videos on your instagram

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yeah i was i was i was i think when i
was 15 i was already
very fit like i was already like
extremely fit what's your what and how
do you maintain the consistency thing
you just
love it and so the the consistency is
automatic at this stage the results
drive you or
is it does it help you with business in
a certain context like do you get
awfully none of those things
really i might have an interesting
answer for you yeah it's interesting
because i think if you talk to a lot of
entrepreneurs about fitness they're
actually kind of green
they're new to it i've been training for
17 years so as though like despite the
fact that i'm younger like i'm actually
i'm like old in the iron game you know
what i mean how old are you
uh now 34 31 okay but like i've been
training for a long time
like i i mean i had state records when i
was 20. so like
i had been i've been competing for a
long time at that point already you know
what i mean
yeah and so um in the beginning i
started working out because
i wanted to be strong enough to protect
myself
and then it transitioned from that to

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wanting to get girls which
it didn't help with but that's what i
thought it would help with
and then from there to transition to
status right once i was in college it
was more about just like looking good
in general and then um from there it
transitioned to
uh being about progress because then i
got into the strength game and really
started like
powerlifting and competing and all that
um
and then once i opened my business
from that point going forward and that
was 2013 when i opened my gym my first
gym
fitness no longer was a priority for me
my growth i the my body was the
vehicle for growth prior to the business
and then the business became the vehicle
for growth
as soon as that started um i would say
from then until now
it's been more or less the same which is
i
work out because it is a part of my
identity i
enjoy what i feel like after i work out
i take the same amount of
inertia to overcome to get to the

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workout
you know facility like i have and i'm
working on this now hopefully i mean i
have achy joints like my
my knees hurt my hips hurt you know what
i mean because i've been doing a lot of
volume for a long time so like
i get in there and i just try and clock
i just call them punch in it's just like
i clock in
i clock out i do my i do my volume and i
go about my life because i am in the
fitness space and i need to look a
certain way and so that's kind of what
i've kind of tricked myself into
it's like i have to look a certain way
yeah i don't think i actually have to
but i tricked sam actually sam actually
told me that too that uh
that it's like used as like a pressure
motivation and that's why
so often you see that you know very
suddenly you see people in other careers
actually
maintain their physique over the course
of years it happens but it's anomaly
usually people who maintain their body
are in the fitness space because they're
walking billboards it creates that
pressure of like [ __ ] i'm an example of
what i teach at some level at least in
your head yeah
yeah it's difficult because you also um
a lot of things that make you look super
fit are actually not good for your
health
so like me walking right at my body
weight in general is not good for my

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longevity which is one of the things i
struggle with because i want to
make progress right i want to get better
but me getting better
i actually think i mean if i get bigger
now i just look worse and if i get
stronger my joints hurt more
and if i gain more muscle i live less
time because my heart will give out
so that's like the real that no one
talks about so those are the things that
i look at so for now it's like i'm just
i train to train so that i can maintain
where i'm at i may lose 30 pounds you
know when i'm 40
just to get even leaner but anyways not
to not to digress into a fitness tangent
no no make sense because a lot of people
i'm sure
think about that you know a lot of times
you know they say one area affects the
other have you found that when you don't
work out for x amount of time it starts
throwing you off
in business a little bit or thread
starts throwing up your mind or rhythm
at all
not at all not at this stage no not at
all if i don't work out i'm
i'm just if anything i have more energy
i mean i used to i mean i used to sell
fitness and so i would be like oh the
reason you're tired is not working out
and i think that there's there's some
truth to that because like if you're not
it's usually because people are so
unaware of their body and what they're
eating and they're so out of touch but

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like
i i know what i eat i know how many
grams of everything that go into my body
because i've been doing it for such a
long time so
um and if i take a week off i'm fine you
know what i mean and i
i work out so you occasionally pig out
then you're human you're not just like
the super disciplined robot that's up at
like
2 a.m or 3 a.m 4 a.m every day well
it's balanced for you so there's so i
anything that i can't do forever i don't
do it
and so i don't i don't follow diets i
don't
like none of those things make any sense
to me personally
because unless you're competing right
which just about no one is then
the only thing that you have to do is
something that you can do
for a sustainable period of time and so
for me like
i'm writing a book on it because russell
i've had so many conversations with
entrepreneurs i did this i did this
weekend whereas eight entrepreneurs and
all of us are doing about half a billion
a year in revenue between the eight of
us
and everybody went up and shared tactics
and whatnot and then during lunch
everyone's seeing me eating cookies and
twizzlers and they're like what is wrong
with you
um and on the second day they saw me

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doing it again and they're like what the
hell like
seriously and they're all like no i do
keto because they're all entrepreneurs
right now i
i eat only two fats and i do
intermittent fasting and i they're like
they're always just doing all this crazy
[ __ ]
right sorry if i was not supposed to
cause um no no you're good
and and i was like you guys just have it
all wrong
like i eat two pounds of meat a day
which is 200 grams of protein
and that gets me about a thousand
calories and then i eat
1500 calories of whatever else i want
and that's every day
that's it so if i want to eat 1500 ice
cream i do that if i want to eat 1500
pizza i do that if i want to eat bagels
and cream cheese then i do that it
doesn't matter
it truly does not matter and it's just
not sexy from a fitness selling
perspective because it's like everybody
wants to have a unique mechanism
right the route is like you eat a gram
per pound of body weight and protein and
then
the rest of your calories to whatever
your goal is and if you want to be in a
deficit just decrease it
but i've never i haven't stopped eating
ice cream for years i eat ice cream
probably once or twice a day
i want to ask one more question before
we get back to the business stuff
but i noticed you're a systems guy like

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you're that you have a lot of these
rules and systems
do you spend a lot of time kind of like
you know obviously it sounds simple
right you know it's something i can't do
forever i don't do like a very simple
rule but i'm sure it took a lot of trial
and error and [ __ ] to get to that
simple conclusion
do you spend a lot of time consciously
reviewing and reiterating systems like
in your mindset in your business is that
is that a constant priority for you 100
it's probably the thing that i do the
most
just refining little things it's
developing frameworks it's developing
frameworks for thinking
because like at the end of the day we
only have so much decision-making power
and if we can use frameworks then we can
conserve that power and make more
high-quality decisions
and a lot of times the decisions that we
were making are similar in nature
the variables may be different but the
nature of the decision is the same right
are we going to spend more we're going
to spend less are we going to
add more acquisition or we're going to
add this extra service line and you know
whatever it is
and so if you've made if you're making
that decision for the first time it's
very arduous you're like trying to
spring it all in and trying to weigh the
the way the outcomes
but if you have a framework for making

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the decision that it's significantly
easier and faster and you have a higher
likelihood of making the right call
which
you know at a certain point all of us
are simply rewarded for the quality of
our decisions over a long enough time
horizon
so how do you incorporate joy in that
the results
on the back end the joy um
i think it's it's a really good question
i think that if i look at my life now
compared to what it was two years ago
i have significantly more joy in my life
and if you put you know
ten years ago it's it's it's it's wildly
different you know what i mean
um i went from not wanting to be alive
and being okay with
not waking up tomorrow to genuinely
being i would be very bummed if i died
um i don't know a lot of people would
say that but i i would be bummed if i
died
i just like there's a lot of stuff i
like my life um and so i think that the
easiest way
from a like a programmatic standpoint to
to reverse engineer joy is just simply
saying like what do i enjoy doing
on a daily basis and then like how can i
create as many of those days as possible

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that's right and that's that's at least
how i think about it and so my days
look more or less the same because this
is what i like doing
i wake up at the time i like waking up i
train i train at my beautiful home gym
that i have with that's completely
commercial
you know if you've seen some of the
videos of it it's very cool
um you know i hang out with my wife we
we
you know we do the same things because
that's my that's kind of my my ideal day
and so we do as many of those days as we
can every once in a while we have
variety in you know so it doesn't get
stale but
that's how i like living powerful man so
take me back to when you start the first
gym before all this happens
yeah um you start the first one and then
um
it takes nine months you get the ball
rolling and then where are you at in
revenue where you finally go aha now i'm
starting to get it
what was happening where you went ah now
i got i went from being a novice
i went from being a beginner to like
okay i get this
um i started out very successfully
um i mean five thousand dollars my first
month in business
i mean ten thousand the second month 15
20 25 30 35

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35 was month seven or eight i had the
gym outsourced at month nine so i had a
manager in
trainers full time so that i wasn't
running the gym month 15.
and what was your overhead monthly at
that time give or take um
it wasn't too bad i know that i'd
scrolled away 50 grand in the first
i think it's the first six months
something like that like i i'd saved
fifty thousand dollars
so i'd already made the money back for
starting the gym um in that time period
and then um by month 15 opened up
the second location and then month 21 we
opened the third location
and then we had four and five and then
six so six locations in three years
and did you have partners in them or you
were so old
yeah yeah i had so i started it on my
own
and then being the unwise young
entrepreneur that i was i basically gave
away two-thirds of my
business for no money even though it was
making me twenty thousand dollars a
month i sold two thirds of a business
that was making twenty thousand dollars
a month the net free cash flow to me for

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00:19:00.000 --> 00:20:00.000
thirty four thousand dollars
um and then i bought sam's ten percent
back because he made a deal with me that
he would get ten percent of the business
and i didn't like that somebody else had
ten percent
so i gave away two-thirds at a like
37 000 valuation and i bought back 10
percent of the 200 000
evaluation that sam had valued at that
and so
i ended up netting 17 000 for the for
the sale of two-thirds of my business
that was making me 20 000
a month so these are examples of [ __ ]
stupid decisions that you make and so if
anyone's listening is like man
this guy sounds like you know a [ __ ]
anyone can do it
um
so uh you know but what ended up
happening as a result of that is i now
had one third of a gym and so i was like
well [ __ ] i need three gyms just to get
back to
where i was before and so that kind of i
think that might have actually tricked
me into the
the desire to grow very quickly because
i needed to make i
i was trying to retroactively make a
poor decision seem like a good decision
right yeah and so uh that was why i went
into this trying rapid growth mode so i

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had the two partners
um for the first two locations and the
third location
and then me and me and one of the
partners
bought out the one the third partner
and then i ended up buying out the first
partner
and it took three years to do this
process and then solve the chips
um and then how are you at this age when
you when you sell the gems in your i was
20
i think i just turned 27. okay 26.27
yeah so that was when i sold them all
and it was right at the
all of this stuff all my my timelines
overlap right so i had my gyms and then
at this point i had it was me and my in
the one partner
and i was like hey man i'm gonna open
this gym um and so i opened
my fifth one on my own open my sixth on
my own because i didn't want to do the
partner thing anymore because we also
had different different
um opinions about how we wanted to run
it nothing wrong just you wanted to go
high volume
low cost i wanted to go super premium
lower
lower amount of people it's just
different um we still have a good

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relationship to this day
but um anyways during that process i
also started
uh i started getting reached out to and
you were like hey can you help me do
what you're doing cause i'd open up all
the gyms at full capacity which was kind
of my
my thing at that point and so i started
flying out the gyms and doing gym
launches right which is what we'd call
them so i'd fly out
21 days sell 100 you know 100 to 200
people
which was a lot how much were you
charging initially for that
i charged nothing but i averaged 100 000
in sales for myself every 21 days
so it was working out well so you
so how much so sorry let me understand
that seriously you charge
nothing but we're doing 100 000 a month
yep
per gym so i would fly out and i'd say i
get to collect all the upfront sales
i'll spend the marketing
i'll do the sales i get all the upfront
cash you get all the customers
ah so you negotiated that deal yeah so
you kept 100
you kept 100 of the people you signed up
first month
yeah six weeks that's [ __ ] smart dude
well it's free acquisition for them

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right exactly they have it fixed and
they have fixed costs
and they like the fact that it motivates
you because you get paid for what you
deliver on so it's it's aligned
yeah yeah there was no there was i was
like i'm risking everything here i'm
paying for a hotel for 30 days i'm
paying for a rental car for 30 days and
paying food for 30 days i'm paying
attention for 30 days
commissions for 30 days i got all that
you have nothing out of pocket so as a
result of that risk that i'm taking on
i get the upfront for six weeks and you
get the next two [ __ ] years from the
client
yeah yeah what made you what made you
think of that or was that just your
intuitive first idea or did you kind of
go back and forth
weighing that decision out because
that's
cause that's a little scary right to say
for your first time to pitch that it's
like
people don't sell that all the time
right it's not like a normal it's no
risk to them
yeah so i was like pay 500 bucks reserve
the date and i'll fly out i was like
why 500 i was like because i'm gonna put
three grand in
in in flights and stuff to your facility
i was like this is literally just a
token of commitment
yeah they were like all right fair
enough okay cool so then and then right

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away you start getting one after another
client client one after another
yes i did 33 launches for two years
and you make your first million bucks
during the stage
so this is this is where the uh the
online community is a little bit you
know
yeah i mean the gyms that i had were
already doing two million bucks a year
but like i wasn't making too much
dollars here like it's just
revenue not profit i barely had anything
and then i sold the gyms i basically
fire sold the gems
because i wanted to start doing the gym
launch thing because that's what russell
who became my
uh i signed up for inner circle as a gym
owner which made no sense by the way
yeah i was i was on the on the sales
call uh like i was like oh there's tons
of gym owners here
like it'll be like you will love it
you'll get super connected and it was
one of the best decisions i ever made
but none of that stuff was just it has
nothing to do like he might not have
known there was nothing disingenuous
about it it just
the group was i was the only brick and
mortar owner um

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but because of that they were like what
are you doing in a brick and mortar gym
like online is where it's at and so when
he heard what i was doing with my gyms
he was like dude
you have six gyms and you're you're 20
you know six he's like you need to be
teaching people what you're doing
and i was like i don't want to teach
anyone what i'm doing i was like this
thing is like i've spent so long
developing this whole process i don't
want to give anyone my secrets
and so that's what transitioned me to
doing the launches because i still
didn't want to give away the secrets
because i was so scarcity
mindsets though and then finally um
through a series of unfortunate events
um basically we were doing like six or
eight gyms a month so we started scaling
it up right right
yeah let's do eight gyms a month you
know and they didn't sorry
how are you handling that demand you
were just hiring like crazy like just
com
like getting the deals and figuring out
how to service later because that that
must have been i mean for somebody
especially like yourself that like
systems and like things in orderly
fashion
it was a mess yeah but cash was flying
in so you could use that cash to clean
up the mess no
it wasn't really flying cash only flew
in after we started doing the launches
so it's like someone would say yes i

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want to do this thing and let's say it's
what day is today so it's april right so
they would say yes i'm like well i can't
sleep you for makes i've already got jim
slated for may so i was like i can put
you in june
i've got two slots left for june so and
so i had to balance how many gyms i had
versus how many sales guys the thing is
as soon as i moved to the next month
i had to get eight more gyms because i
had eight guys
and i couldn't get 10 because like
because i still had eight guys because i
didn't then you're like do i scale up
two more but that means i have to do 10
the next month right so it's
so that part was scary but uh the issue
with the problem with the original model
was
i was the one holding the bag for the
liability right so i made all the sales
i processed the payments i had no
control over delivery and candidly the
people who were coming to me who wanted
to get
more clients weren't i mean this before
being candid here
we're not the best gym owners because
really good people at delivery
have full gyms right so the people who
were really struggling were the ones who
came
and so they didn't do the best job of
delivery
um at the time and so i had two gyms
in a matter of a week tell all the

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clients that i had sold
to refund after i left it wasn't me it
was one of my sales guys but like
you get the idea so i got a hundred
thousand dollars in refunds and like i
didn't that was like everything i had
saved up at that point
um i had a hundred thousand refunds and
and
i and basically the percentage of
refunds
that were there exceeded my margin in
the business
and so what ended up happening was i had
to sell more
the next month to cover the month before
his refunds
and i had to do that and i had to do
that two months in a row and the nut
kept getting bigger with every month
that i would scale up
and so it was just this it was horrible
just the pressure was just
it was it was horrendous you think that
pressure that pressure was necessary
at least at that stage to kind of put
you to like have to figure it out
because like there was literally no
other option
yep i'm a big believer in that what's
interesting is that when i started the
gym you would have been at the scale
you're at now
at this quick without that or that was a
catalyst
would you say it was a catalyst because
of the way the model was thought out and

28
00:27:00.000 --> 00:28:00.000
so this is a big proponent of this is
that
so for anyone who's listening most
people have had financial troubles in
their lives at some point
right but just about everyone listening
has gotten out of those financial
struggles
right eventually yeah and especially if
you're an entrepreneur there's been many
times you're like how the [ __ ] am i
gonna make payroll i've got this tax
bill that comes up and then somehow
magically you pull it out of your ass
and you make it happen
right right and the thing is is that
what my it's my belief that everyone
knows how to make money
they just aren't comfortable making it
for themselves
they're okay making it for the
government they're okay making it for
their employees they're okay making it
for the landlord they're okay making for
their overhead when it comes to
themselves they treat themselves poorly
and so the the thing that broke
for me at that point was that i said i
have to just make
money i don't care about running a
business i don't care about the branding
i don't care about the enterprise i was
like i just need to make money so i can
get out of this horrible painful
situation
and so that is how that's that's what
launched gym launched

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00:28:00.000 --> 00:29:00.000
you know version two um which became
the coaching program right and it was
because i figured what's the most
valuable thing i have and i was like
i'll tell people how i've been making a
hundred thousand dollars just going to a
gym
and doing my process but i was so scared
of giving it away that the only reason i
ended up doing it was because i was
actually going to get out of the
industry
so my wife started her online business
how did you mean
how did you meet her by the way because
i love that story yeah she uh
you know you know my stuff so i'm trying
to um
so my uh my wife and i met on bumble and
she was a trainer and she was the top
salesman for 24-hour finish in in
southern california
and so on our first date i pitched her
on working for me even i was like hey
even if this doesn't work out you should
totally work for here
you can sell you can make a ton of money
together and so i paid her i
i tripled what she was getting paid um
and she was like okay
there's there's way more to this story
but she said okay
um and so she joined me on these
launches and so she and i launched these
gyms together in the beginning before i
started scaling him up but she was with

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00:29:00.000 --> 00:30:00.000
me
you know daisy you know ground zero day
one um
growing this thing she was with me
through the transition she was with me
through the
the borderline bankruptcy she's been
with me through the whole thing and so
she's a rock
but holy [ __ ] dude that's amazing do you
think i think the fact that you guys
bonded on the connection of fitness
also laid a huge foundation to it being
a like a strong foundation for the
relationship
um i don't think fitness was the main
thing i think i think there was a much
deeper connection from like uh
kindred spirits like souls
yeah we had a lot more similarities in
fitness because i mean candidly i dated
people were in fitness like it was
it was like it wasn't fitness is very
surface level
like you know she and i both were half
iranian iranian father
white white mother both of us had issues
with
you know had had some difficulties
childhood both of us left our homes at
the same age drove across the country to
california to start our lives again
both of us have gone through this
fitness journey transformation-wise both
of us got into fitness and set like
there were way more similarities yeah um

31
00:30:00.000 --> 00:31:00.000
than just the fitness piece and so the
biggest one is that we were both growth
oriented we just wanted to grow
and so that's why we've been able to
continue to do what we do but
she she started her fitness business and
started doing a thousand dollars today
and i was like well [ __ ] let's just do
this let's skip out the middleman with
the gyms we can just sell fitness
we'll take the eight sales guys do eight
guys selling a thousand a day
some digital products doesn't work and
so
they work since they're like fitness
courses for a thousand bucks or
something
yeah 16 week transformation program okay
and she would coach them through it was
like a
it was like a done with you program kind
of thing like this is the curriculum
this is what you're going through
i'll talk to you every week to make sure
that you're following it we adjust
things et cetera
and it started working and so i had
eight gyms that were supposed to launch
the next month
and um i called him up and said hey you
know we're not going to do this we you
know we've pivoted directions
and you know they were like hey man we
need this
and only at this point because i didn't
think i was going to get into fitness
because i was so scared so you might say
that i was like fine i'll sell my

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00:31:00.000 --> 00:32:00.000
secrets
and so i i sold my system you know for
six thousand dollars i was the first guy
and i i put the number so high that i
thought no one would ever say yes
that was legit like that was my actual
thought was i just picked the number
that i didn't think anyone would buy
and the guy said yes and i was like holy
[ __ ]
and then now that i knew i had to make
this thing because i sold one of them
i got on the call the next guy and i
said same same conversation i was like
eight thousand dollars and he was like
okay i was like holy [ __ ]
and the next call same thing i was like
ten thousand dollars he's like okay and
i was like holy mother of god
and so i did 60 000 in sales on that one
day
yeah and and i realized like i i mean i
can't i can't express how like
i all i felt was like whatever this was
let's do as much of this as humanly
possible and i want to get out of this
horrible place
because i still owed yeah my nut for the
next month was going to be like 100
grand
like and that was before before i could
before overhead
i had like 100 grand that i had to cover
from refunds i knew were going to come

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00:32:00.000 --> 00:33:00.000
then overhead then you know i mean then
maybe they're again
i get it i get it yeah and so um so i
just
i i went back to all 33 gyms and said
hey remember that thing i did at your
gym where we filled it up want to see
how i did it and they were like sure and
so i basically
sold almost every one of those guys
um and ended up making i think 350 000
next month
and what what were the deliverables or
how are you packaging it and the reason
i ask is because a lot of entrepreneurs
out there
they may have this expertise um or be
building up to it
and they have a hard time figuring out
how to package it right you can't sell
what you don't package
so um did you how did you did you kind
of audition different models i'm sure
over time you have
but initially that first round how did
you package it was it an eight week
program was it a
it was 12 weeks it was 12 weeks in the
beginning
and then after i sold 100 i made it a 16
week program and it's been 16 weeks
since then
16 weeks has worked out well um
i mean that that that was the program i

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00:33:00.000 --> 00:34:00.000
mean i think the big difference between
you know most of the things that exist
and what we did and what made you much
special was
the average client made 30 000 in their
first 30 days
so i will repeat that slowly for
everyone who's listening my average
client
so if i sell 100 people the average
person make
30 000 in their first 30 days so when
people are like i want to replicate what
jim looked at
i'm like well then replicate the results
that we created
and then maybe we'll be able to
replicate the success but everyone
thinks like everyone thinks it's the
funnel
you're like it's it's it's a three-step
funnel everything like it's not that you
know i mean like you can look at it
online right now like you're not going
to copy the business because of the
funnel
right it's because of the delivery it's
because the product um
and because i was so sick and i hated
the guru space and all that stuff i was
committed to not being a gym guru
right uh i was so committed to it that i
ended up becoming
probably the biggest one um the biggest
one ever i know for
you and everything yeah um so so i wanna

35
00:34:00.000 --> 00:35:00.000
ask three questions on that real quick i
heard dan henry talk about the fact that
he had a conversation with you one time
and even in the online space people talk
about roads right you turn on ad spend
for ads
and people are impressed when they get
like a 3x row as five x rex
and he was saying that you had like a 25
or 27
x rojas and you were obliterating it and
and he was like well dude what are you
doing right because all these you know
internet marketers are so intricate
about all these things and you're like
well my cheapest product is like 25k or
like
whatever whatever the thing was
important do you think that is um
because a lot of people could work their
ass off at a model but just the model
has a has a sort of limit to it how
important do you think the positioning
of a model is and how much time should
entrepreneurs really put into
to that part of it so that part of it
is the thing that i invest in i am not
the best marketer
i will be very candid about that i
didn't do email follow-up until three
years in
we'd already done 50 million or 60
million in revenue before i opened my

36
00:35:00.000 --> 00:36:00.000
first
everyone's so obsessed with the everyone
everyone steps over dollars to pick up
pennies
most people are just not like everyone
here is everyone who's listening
has the same time right but we only have
limited amounts of focus and limited
amounts of juju that we can we can put
towards things and so it's just like
what handful of few things will make the
absolute biggest difference
and price is obviously the biggest
factor in that but the the subset of
prices the value that you can provide
but like if you sell something that's
expensive that's not worth it
you run out of space very quickly
because people do talk and you do get a
bad reputation exactly
like we're in a niche like this is the
one thing that everyone i feel like that
is lost
on the on the community of the internet
world which is like
every other person who's done close to
the volume that we have is mass market
business opportunity
right every one of them we're the only
ones in a niche and we are
50 times you know what i mean bigger
than anyone who's in

37
00:36:00.000 --> 00:37:00.000
one tiny little sliver of an itch right
and it's because i actually ran
gyms and i actually made money running
gyms and the gyms that we have make
money using our systems and so the
average gym that works with us adds 200
plus thousand a year to their top line
revenue they triple their profit they
cut their churn by 30 percent they
increase their prices
uh by 38 a month which you know equates
to the tripling and profit that they get
and they do that by providing more value
to their customers
right i mean sure we have better sales
systems and better marketing systems but
we also have really good retention
systems that
they get people better results and in a
better experience at the facility which
is why they stay longer and they pay
more right so it all starts with the
bottom and then it works its way
backwards
so yes the lifetime return on admin that
i have is 36 to one
that's lifetime holy [ __ ] and that leads
to my second question too and that is
how important do you think the niche is
when it comes to the opportunity
because a lot of people are you know
working hard but that that niche has a
limit to to scale and i know you kind of

38
00:37:00.000 --> 00:38:00.000
mentioned it
you know people say that the the you
know biggest niches are the things like
um you know real estate
fitness the traditional things that that
were here 50 years ago will be here in
50 years
and a lot of the kind of digital
marketing spaces you know can get super
saturated with a lot of people saying
the same things and
you know people misleading one another
how important for
for people um in your opinion how
important do you think it is for people
um to really appropriate their goals to
the niche they're in and not get lost in
the delusion of chasing something that
just may not be realistic within a niche
of
people around them aren't doing it and
you know kind of you get what i'm saying
there's a lot of people stuck in that
conundrum
i know i was there too so what advice do
you have for people
when it comes to um evaluating the niche
they're in versus the financial
opportunity through the vehicle
i was having a good conversation with my
friend kevin hutto about this
and we both agree that it comes down to
there's two types of businesses that i
would say and i'm expressly saying this
to the like marketing community because
i think that's a subset of your audience
right

39
00:38:00.000 --> 00:39:00.000
is you have traffic businesses and you
have service businesses
all right traffic businesses are
marketing arbitrage you're simply
buying eyeballs for less than it costs
you to sell a thing a widget of course a
whatever
right and you go after a big ocean and
you try and just you just have an ocean
and you just try and make two to one
three to one and that's and that's the
game and you never run out of customers
but you also
usually don't make a ton of profit right
um
i mean if i know the numbers of the guys
that you know that you that everyone
knows because they only make um
and you know they're spending five
hundred thousand month in ads they make
a million a month you know what i mean
like my total advertising from this last
month is probably 50 000
and we we pulled what 880 a week is what
i just added up for you
before our call so we do 880 000 a week
and we have
not a lot of advertising budget um
actually might be more than that i think
i think if i think for no though it's
yeah it's less than 100 000 a month
all right um in advertising we spend

40
00:39:00.000 --> 00:40:00.000
which is wildly less than everyone else
and it's because
we are a service business which is the
second category of business which is
our goal is to penetrate a market and
take as much market share as we can and
keep those clients
right and then ultimately make it much
more difficult for any competitor to try
and compete against me
right so i can build something that has
enduring value has enterprise value
traffic businesses do not have
enterprise value they are arbitrage
plays
for cash flow that's all they are right
they're not they do not have
intrinsic value because the moment the
traffic stops so does the money right
right in it in a service business or a
business that has enterprise value the
business should be able to grow
independent of your ads get turned off
for a day
you know what i mean yeah and so that's
that's kind of the
the other you know kind of component so
does the niche matter
yes the reality is most people just not
that good
and so they think it's the niche but
it's really themselves and so
whether you're in fitness or like it
doesn't matter any of the niches

41
00:40:00.000 --> 00:41:00.000
we just talked about there is a billion
dollar
there's a billion dollar player in every
niche
if you're in chiropractors there's a
billion dollar company that sells the
chiropractors
there's a billion dollar company that
sells fitness tons of billion dollar
companies that sell fitness
as a matter of fact there are you know i
mean there are there are tons of billion
dollar real estate things
so if you're like real estate's a bad
niche
you're just not good at it and
everything seems bad when you are
ignorant
because you just don't know you don't
know how to play and so most people are
trying to forgo
the four years where you rocky cutscene
and put in all this volume and you learn
mastery of a skill
like russell which i think a lot of
audience is probably familiar with
he pitched for years and sucked you i
mean he was building funnels for
a decade before clickfunnels and so
everyone sees the clickfunnels thing and
sees the explosive growth but they the
reality is that
people will sharpen their short doing
something repetitive that is not a new
opportunity
and then and then that opportunity will

42
00:41:00.000 --> 00:42:00.000
come knocking and they will take that
skill set and apply it
when it is there when it is their go and
the only way that they're able to have
that explosive growth is because they
are ready
and most people are just not ready they
think it's the opportunity but you have
to have the prep
and the prep comes from doing the work
yeah and you talk about that i know you
said you did almost like 4 000 sales
calls because some of your businesses
you mentioned i know you guys do um just
under a million a week
uh 880 or so those are usually in the
fitness space and it's because it's not
an industry that you're
you know you've got after we're in the
fitness space the other half so i have
so right now i have four companies we're
acquiring
two more um and that's kind of where i'm
at now is is i'm
i'm i'm looking for five million dollar
plus businesses that i can take to
20. you know what i mean um and just do
that but we have
we have a business in the photography
niche we have
a software business we have the
supplement business which is
you know adjacent to gym launch called
prestige labs
so you know the prestige labs was kind

43
00:42:00.000 --> 00:43:00.000
of uh
it's not vertical integration but it's
it's a it was just a huge revenue stream
um that i knew in parallel to existing
customers
yeah exactly yeah makes sense now when
it comes to you
like um dealing with some of the
business challenges you have day to day
i'm sure you know new levels new devils
what's your what's your mental reference
or what's your game plan when you're
stuck with decisions that you don't have
frameworks or systems for which i'm sure
happens
all the freaking time right as you scale
what's your
what's your what's your kind of mo do
you just kind of come up with strategies
you try them and then you see if it
works
adjust accordingly do you kind of zoom
out do you
have coaches that kind of help you
what's your what's alex for moses go to
when when he's stuck in business trying
to get to the next
level it's a really good question um
it's really good question
the this is just my my take and there's
probably people much smarter than me but
the the decisions that i make are that
are
huge decisions are fewer and fewer you

44
00:43:00.000 --> 00:44:00.000
know what i mean because the bigger the
ship gets the
the rarer you're pivoting the direction
of the ship right if you have a dinghy
you're switching directions every wave
right right you're on the titanic i'm
not saying we're the titanic but you
know or whatever some huge boat right
titanic has some negative
connotations but if you're on some big
carnival cruise ship
they're not pivoting very much you know
what i mean so if you make a call it's
going to take time to move the boat
and you better be right right yeah and
most times it needs to happen much more
slowly than you think it does
or most times not at all so most people
are contemplating their ex
having existential crises based on
perceived pressures that they've
invented for themselves
right yeah and so
right now i like the you know the level
that i'm trying to get to is 100 million
a year and so that's the you know that's
kind of the next the next rung and i
believe i know what i need to do to get
there and so now it's simply doing it
and it may take time and it
will take time um but i think i'm aware
of what needs to happen and the way that
i
went about finding that information was

45
00:44:00.000 --> 00:45:00.000
talking to people who have done it
multiple times and asking them what do
you see that i don't see
and that's the and this is something
that i i have always done
is i will massively overpay for people's
time one-on-one
like i know you just always we paid for
grant cardone uh like 30 000 for the
hour
by the way are you good on time if we go
over a little bit or do you have a cut
off
your challenge i think i mean like i
might be able to go five over i think i
would think my wife needs
yeah no worries but yeah i so every
single major skill that i've ever
acquired every major decision that i've
needed to make
i just say what would it take for you to
get on the phone with me just tell me
the number and i'll see if i can figure
it out
and just i mean in every time i mean not
with the grant one but like
earlier on a lot of those times were
they were steep prices for me but i paid
them because i knew that my level of
income was not going to be my life
so if like it was the same example right
i paid 10
and i was happy to do it because i just
knew that if i could get 20 years of
experience
in in six months why would i not do that

46
00:45:00.000 --> 00:46:00.000
and you know when i i paid i think a
facebook marketing guy i paid him
750 an hour for one-on-one coaching and
and i was like dude just teach me
facebook ads he was like okay so he
taught me facebook ads
and so that's how i learned facebook ads
cheaper like if you get two hours with
him for 1500 bucks that's way cheaper
than hiring an agency for 2500 a month
that'll throw you through the thing or
more and they get lost
and they'll give you the bottom line
[ __ ] yeah and people and
the thing is just people while in you
know and i'll tell you that conversation
he was in the internet space he's like i
don't sell my time and i was like it's
america everyone sells their time
and i was like just tell me what i was
like you don't sell your time for a
price that you're not
saying yes jose so what would you say
yesterday and so you said 750 an hour
and i was like done
cool you're like cool no but dude i
didn't i mean that was stupid that was
super steep for me you know what i mean
i was like i was showing up on every
call like present yeah
two cups of coffee ready to absorb
whatever he had but the thing is is i
didn't ask him how to learn
how to run facebook ads i asked them how

47
00:46:00.000 --> 00:47:00.000
would you run facebook ads for my
business
i will run them and then you tell me
what decisions you'd be making what do i
turn off and why so i can understand the
thought process
and so once i understood that then i got
it you know i mean
i think it took me eight calls so it
cost me six grand or whatever it was
um to learn facebook ads i didn't buy a
course i just paid the guy
right it was more than a course but it
also took me less time
it took me less time if i had gone
through a course people make 60 hour
courses like
60 hours you know what i mean because
people don't know how to focus and make
good courses but like
this guy was able to solve my specific
problem i was like i just need local
legion
for a gym what do i need to do and he
showed
that was it dude that's you know
the one thing i love about your stuff
even when i see your ads
you know because you have some of the
most creative ads i've seen online
half of it is like you don't give a [ __ ]
to play in the confines of everybody
else
but you obviously give a [ __ ] for them
to do well and and you
you do that like i can tell there's a
lot of like i think you had an ad the

48
00:47:00.000 --> 00:48:00.000
other day was like there's two things i
love
this and like jorts you know whatever
whatever it was obviously i'm sure you
have a team helping you with that stuff
but but what's your general mindset or
is are you at a stage now kind of where
you have the capital to kind of
experiment a little bit you know and so
you're kind of a little bit more risky
what's your what's your approach with
that just to help entrepreneurs out
there might be curious yeah so this is
the single greatest piece of advice i
can give you if you want to learn how to
market better
take a percentage of your advertising
spend or percentage of your income if
you're still working a job
and say this is what i'm willing to
spend and i'm willing to see zero return
because i'm spending this on education
because there is no advertising school
the advertising school is you spending
money and so if you figure
all right i'm going to spend 500 a month
for a year it's a 6 000
school but i'm actually going to learn
and you have to spend it
because if you don't spend it right then
you're not learning and if you do spend
it then you're going to learn how to do
it because you're not going to try and
waste your money
but you're going to give yourself mental
permission to do so and that percentage
can change over time

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but roughly you know for me if temp i
mean i've gotten over this now i spend
money whenever you know what i mean but
but as i was raising up the idea that i
could spend 10 percent on stuff that i
like mentally did not hold myself
accountable to allowed me to try new
things
and honestly most of the time the crazy
ideas don't work
but every once in a while something
really cool does work and then it's like
whoa that was awesome and then you learn
some skills
and then you just you just repeat that
over time and do you think
do you think alex that um when it comes
to you know like i know a lot of the
skill and discipline you talk about the
fact that
you know a lot of people might see you
as 31 you might be young
so they might be you know 28 or 30 or
whatever and so they're in year one or
two and they're like
[ __ ] how is he doing it right not
knowing that there's that huge
discrepancy of time and you know effort
under the bar your time under the bar as
you say like in the gym
um but like can you just you know give
maybe a quick like one or two minutes
of insight on that on the importance of
really putting in the work i know it's a
message you drill all the time but maybe

50
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it's new to the audience here
just how important it is to like not
expect your first sales call to be the
same results as somebody else's
thousandth sales call you know that kind
of thing everyone sabotages themselves
simply based on expectations
i mean that's it like what it comes down
to is people are people sabotage
themselves because they think they
should
they think that they should be more
successful than they are
independent of a reality a realistic
assessment of what they have done
and so they take two sales calls and say
i didn't close anyone
and either i suck at sales or this isn't
for me
if someone else were to tell you they
took two they like they spent two hours
and they haven't even read a book on
sales they've done anything right
studying sales and said they weren't
good
why would you expect them to be or if i
used a different example if someone
spent two hours studying spanish you can
speak spanish
would you be surprised by that would you
feel like it was reasonable for them to
expect that they would be proficient in
spanish
of course not right and so for some
reason we apply

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these unrealistic expectations simply
because we see someone who's at the same
age as us
and so the way that i liken to um i cr i
came up with an analogy that i really
like which is um
the story of the dice so let's say you
and a friend right
are both given uh a die right many sided
die
and so let's say one of you has a
20-sided die and the other one of you
has a 200-sided die
on your die only one side is green the
other sides are red
both of you the catch is no one knows
how many sides each person has the rules
of the game are simple
if you roll and you hit red you can pick
up and you can roll again
if you hit green you make a sale
and every time you roll green the the
the die that you has shrinks aside which
means that your probability increases
with the next roll
so you start playing the game and you
realize that there's been people who've
been playing this game
since time began and there have been
people who've been playing this game for

52
00:51:00.000 --> 00:52:00.000
30 years
people have been playing this game for
10 years but you don't know how long
anyone's been playing
all you see is the size of their die but
you don't know if they started at five
thousand
or you don't know if they started at
three the size of the die
is related to your natural talent your
natural in
you know proclivities the things that
you're born with right
stop rolling that's it the success is
simply
a a is simply predicated on your ability
to hit red
pick up the die and roll again but you
looking at everyone else's size of die
you don't know how long they played and
you also don't know their natural talent
so they could have been smaller because
they've been playing a long time or it
could have been smaller because
they had natural talent but the thing is
if you and your friend went in
as the story goes to conclude it your
friend rolls a couple of times

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00:52:00.000 --> 00:53:00.000
and he quits and he sees you hit green
and then he gets more and more
frustrated every time you hit green even
though his role is completely
independent from yours
and he doesn't know that he actually has
a 20-sided die then you had the 200
sided die
holy [ __ ] dude so roll the dice
yeah there's only one action you roll
the dice
and so if you're if you're on a limited
you know so here's here's an interesting
one
it's a risk-adjusted return it's a
concept i like a lot
so jeff bezos says if you have a 10
chance of 100 times payout
you take that bet every time right you
go to a casino
100 times payout for one on 10 bet why
wouldn't you you bet 10 times and you're
going to hit 100 you know you're gonna
statistically you'd hit 100 at one point
right it'd be worth it
what if to make it a more realistic
example
what if you had a hundred dollars and
the minimum bet was 25.
now do you take the bet what if the
members 50.
so you only have two rolls but the
reverse contextual return is there but
you only have two rolls
what do you do that is that is the

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00:53:00.000 --> 00:54:00.000
reality for most people right now
they know that if they play long enough
they will eventually win
or hopefully they believe that right but
they only have a certain amount of
plays in them and so that's why it's my
belief that you just take a percentage
not an absolute amount take a percentage
of your income and say this is what i'm
willing to spend
this is what i'm willing to roll on
learning the skills
because right now there is no university
for acquisition this is what i'm hoping
to build you'll see it's one of my
projects that i'm doing on the side but
um there's no there's no school for this
right and so
the school that everyone has to go
through is the thing that no one's
willing to do which is you have to risk
and if you don't like risking then
entrepreneurship is probably not for you
you have to be comfortable with
uncertainty
and so do it over a sustained enough
period of time to get you know to
to hit on those bets and i think that
that might be a good point to
to wrap to bring everything around on so
the single greatest thing that i can
hopefully
convey to the audience that has been
giving me the the greatest peace of mind
the joy that you referenced earlier

55
00:54:00.000 --> 00:55:00.000
is looking at people who are
billionaires not millionaires
and listening to how they talk and how
they think and
the you know there's many you know
there's plenty of universal things they
have in common but one of the ones that
i noticed that was most significant for
me
was the extension of the time horizon
yes
which is if i extend my
goal let's say it's let's say it's make
a million dollars a year and let's say
i i gave myself a decade to hit that
i would probably come up with a very
different plan
than if i wanted to be a millionaire in
90 days and of course millionaire
versus millionaire million dollars in
revenue completely different but like
let's just let's leave that aside for a
second right
but the plan that i would set for a
decade would probably be very reasonable
and the likelihood that i would achieve
it would be very high
and even more moreover i would probably
achieve it before the decade was over
probably much sooner simply because of
the shift in my perspective
and because i wouldn't put this undue
pressure on myself
and not jump from opportunity to
opportunity because this isn't happening

56
00:55:00.000 --> 00:56:00.000
quote fast enough
and what ends up happening is when
people are starting out they're looking
for arbitrage opportunities they're
looking for something that's quick money
but the thing is there's so many ways to
make reliable money
and if you can go in those things then
it goes from get rich quick to get rich
for sure
and if it were up to me it i i'd always
rather play the lot and so
that that's been the biggest gift that
i've had and if you can extend your time
horizon
the question isn't whether someone gets
rich but if they stay rich right it's
not whether they make money but whether
they keep money they keep making money
so if someone says they you know
skyrocketed to do a million dollar
webinar cool
well what are you doing next year after
that and you're after that are you
growing
because i would much rather have
something that i know grows 20 a year
indefinitely than something that grows
by 3x and then
tanks by 50 and it goes up by you know
what i mean like just the wildness that
tends to accompany internet marketing
compared to true business yeah do you
think
last question i have alex do you think
that most people and that was super
profound that's going to definitely be a

57
00:56:00.000 --> 00:57:00.000
highlight clip on the ground we'll send
thank you
do you think uh that the ultimate
in the online space at least do you
think that the ultimate thing to sell
is something that helps people in a
certain context make money because other
products could help you get fit or help
you do so
there's a sort of limit to scaling that
but would you say at least in a general
sense that helping people make money
is there's the most as long as you have
the experience credibility and results
that that is the most longevity and
sustainable type of training
type of business in the internet
marketing space or not necessarily not
at all
i mean i think even the the question had
some limiting statements in it
um b2c always has more scale than b2b
so helping people get fit there's 300
million americans and half of them are
overweight
or even if they're not overweight half
of them want to be better more fit than
they are
so you know if i'm selling to gym owners
i got 40 000 if i'm trying to sell
weight loss i got 150 million
right so your ticket may be lower but
your volume is so much higher

58
00:57:00.000 --> 00:58:00.000
right i mean we say that and it's like
well there's only a certain limit it's
like
is there a limit on weight watchers is
there a limit on jenny craig is there a
limit on beachbody is there
a limit on p90x which is subsidiary is
there a limit on herbalife is there a
liminal visalus
like i keep going you know i mean like
all of these are fitness related
companies
um so no i i don't think
just on the premise the question no i
don't think that um
i do think that it's easy to fool people
and make money much easier because if
we're being real
the vast majority of people don't have
the experience that they're claiming
they do because they are a quote expert
except they never have done it
um or they did it one time i mean look i
saw a guy who did ten thousand dollars a
month in an agency and then started
selling how to sell
how to do 10 000 months in an agency
literally the next month after only
being
in an agency for 90 days and i was like
10
10 grand a month like
that's not like what are we talking like
what you don't i mean like
what are we what are we doing you know
what i mean and so

59
00:58:00.000 --> 00:59:00.000
yeah so make money is always going to
have higher ticket
the reason more people will make money
in the inexperienced
internet marketer spaces because it
takes less operational drag
to create more revenue with a higher
ticket because if you sell 100 clients
at 10k
it's a million dollars it's much more
difficult to make a million dollars in
fitness that being said
if you are operationally sound and you
have a good product and you have good
marketing then you can also sell 10 000
people
on your fitness thing right but it just
takes more operational skill and most
people in marketing space
are not operators and so they're always
trying to go towards the arbitrage
traffic play
which is how can i buy eyeballs for less
than the thing that i'm selling because
they have no back-end they have no
delivery they have no operations they
don't have build infrastructure they
can't build culture they can't recruit
people they can't manage they can't
they can't build teams they can't be
processed they can't do any of those
things right and so they just do the
thing that they have into somebody as a
hammer the only skill they have is
marketing
then they just try and find the quickest
easiest money right
but i don't think that b2b is the most
longevity the way that most people
practice it because they just sell a

60
00:59:00.000 --> 01:00:00.000
unique mechanism they sell a
they sell a quick arb play arbitrage
plot right so
they figured out that messenger or
whatever they figured out that groups
are the way it is but the thing is
groups will disappear
just like facebook news feed ads for
locals has has taken you know a big
tanking right
and there's there's always going to be a
thing that's not a business it's based
on an arbitrage opportunity which means
it'll disappear in heroin
right whereas if you have a a process
like a consulting process that can
improve any business then that
stands the test of time if you can
answer the question will this be here in
20 years
right well the thing that i'm selling
sees candy warren buffett
gonna be here in 20 years right
like you know i mean they're they're
like that stuff that can
last you know fitness for example even
people need to eat less and move more
if you have a very good service delivery
behind that you can do very very well
and you can continue to do so for a very
long time
because that's not going to change human
bodies haven't changed right and so
it's just more difficult because it

61
01:00:00.000 --> 01:01:00.000
requires skills that most people in the
audience that we are listening to right
now
do not have and most of them do not
invest in those skills which is usu
candidly what separates the guys who are
doing the most from the guys
they put in the work and they roll the
dice thanks so much for being on the
show today alex and where can people
find you if they
want to learn more from you um i've got
a youtube channel that i just started
uh you can just search my name auntie
mozy uh i've got a book you can get on
amazon or you can get on
dot alex'sbook.com it says it's called
gem on secrets but it's
ninety percent business book ten percent
about gems
and i've got a podcast called the game
if you want to just listen in
podcasts dude i love the game it's like
five ten fifteen twenty minute audios of
just little
random moments of inspiration where you
share a bunch of business stuff thanks
so much for all you do alex i appreciate
you hopping on the show today thank you
so much for having me
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