If People Were Honest At The Office


– Denise.
– David. – I’ve already forgotten your name. – Me too. (both laugh) (light guitar music) – Uhh, no I didn’t finish that report, but I did get 160 pages deep on Reddit. – I know I’m smarter than
you, but I’m an intern so I’m going to pretend like I’m not. – This is how my boss spoke to me so that’s how I’m gonna speak to you. – Hey guys, I’m not paying attention to this conference call,
but I’m interjecting so that you know that I’m here. – Oh, Dave, I got your
email but I didn’t respond because I think you’re incredibly stupid. – If this goes right I’m
taking all the credit. If it goes wrong, you’re
getting all the blame. – Oh, I was just on Facebook. Oh I was just on Etsy. Oh, I was just looking at the closest thing I can get to porn. – I’m gonna see you
more than my girlfriend, so I’m probably gonna
develop a crush on you. – Can you tell I had two beers with lunch? – Uh, that’s great. Can
you set up a meeting so you can repeat what you just told me? – Hey, everyone hates the
quote in your email signature. – You should see this conversation we’re having about you on GChat. – The way you’re looking at me today means I’m never gonna
wear this skirt again. – I really don’t care
how your weekend was. – This is my roommate Henry. I just wanted to bring him in, show how grown-up my job is. – I’ll say thank you, but I don’t mean it. – You’re my least favorite person here. – I am this close (laughs) I am (everyone in room laughs) – Can you go (laughs) God damn it! – I am this close to getting
a back rub from my secretary. Do not screw it up for me. (laughs) All right, we’re good. Let’s go.

Jason Calacanis, How to Monetize Your Personal Brand & Future Of Employment | #AskGaryVee 233


– On this episode
Jason Calacanis stops by. (hip hop music) – [Gary] You ask questions, and I answer them. This is The #AskGaryVee Show. – Hey everybody,
it’s Gary Vay-ner-chuk and this is episode 233 of
The #AskGaryVee Show. Two of my favorite people are
here Jason Calacanis and India. India, why are you even here? This is amazing, I’m excited. – I don’t know. – Eliot, are you sad? Show sad Eliot. Sad Eliot.
I love it. India, very good to see you but
Jason more importantly for the four people that
don’t know who you are, why don’t you give them
a 30 to 75 second bio? – I’m a angel investor. I create media companies.
– Is that what you start with? – No, I start with–
– I say things all the time. – Yeah, exactly. No, I started Silicon Alley
Reporter here in of New York, so I started a bunch of
internet companies, mainly in publishing and I am an
angel investor and commentator. I’m kind of like the
West Coast version of GaryVee. I like the Knicks,
you’re the Jets. – Yep. – Your ambition is
to buy the Knicks. – Yeah, that’s my ambition.
– You like seeing the Garden? – It’s getting
harder and harder. The value of these companies is
going up from these TV deals. – I know. We’re not
being more successful than the value of
these companies. – Exactly.
– It’s getting worse. – Gary and I are getting
more successful, it’s great. – But not fast enough.
– The gap is growing. – The good news for me with
the NFL is that ultimately has a decline with concussions and
this and that and so we’ll see. But anyway so
what’s been going on? A lot of people, you know
it’s funny, I have a lot of young, young entrepreneurs
and a little bit more, not all just tech,
where you have an enormous name so I think for
a lot of people… Look, I think from my standpoint
from afar and we’ve interacted a bunch, he just
executes and hustles. I like that. Very early web 1.0
kind of entrepreneur. – Yeah. I started when the web
was no images, no video. The 90s here in New York.
– Yep. – It was pretty exciting.
We all knew it’d get big but– – It took longer than
we all thought. Right? – Yeah, it did.
– ‘Cause we were kids. Right, by the year 2000 it felt
like the I remember Wine Library was gonna sell all of it’s wine on Wine Library
by the year 2002. – You know, this
device is an unexpected– – Game changer. – game changer because we never
expected you would have a super computer in your pocket
with a broadband connection. – Didn’t we find the video on
Wine Library TV where I’m like you can use Twitter
on your phone now. – [Andy] Yeah.
– We need to pull that up. – Yeah, and it’s not an
SMS and there’s apps. – [Andy] I actually just
have it right here. – Do you have it?
– [Andy] Yeah, it’s in my inbox. – I was just sent a
tweet about Uber. – When was it?
When did I say it? When was the video from? 2007? – [Andy] Episode 232
of Wine Library. – Which is? Whoa, and
this is what, 233? – [India] 233. – Oh, we almost, that
would have been great. That would have
been amazing recall. – But things change fast,–
– Super fast. – I was looking at this– – And Jason, you’re one of the
few guys in that angel ecosystem that I grew up with that was
smart enough to invest in the angel round of Uber. – Yeah, one of the things
you learn about being an angel investor is you don’t have to
know if the company’s going to succeed, you just ned to know
if the person’s going to travel. – Yeah, Travis is. – And you just knew with
Travis that he’s indefatigable, he’s a hustler,
he’s hard-working and I passed on
Twitter and Zynga because I couldn’t
figure out the businesses. And that’s when I was
like you know what,– – I’m betting on horses.
– Exactly. Evan Williams and Mark Pincus–
– Mhmmm, jockeys. – winner whatever they do.
– That’s right, yep. – You got to just bet the person and their ability
to figure it out. – Talking about great
people, let’s go to India. India, let’s get into
the first question. – [Jason] Oh, here we go.
– From Bryan. – Oh, video.
– All video. – [Jason] A video from Bryan.
– [India] Oops. – Rusty. – Hey, what’s up GaryVee? My name is Bryan AKA MindofBun,
I’m on the app Musical.ly and I have a following of
over 600,000 people. Not only that but I’m one of
four Musical.ly reps that live in New York City. So my question is
I don’t know what to do next. I feel like I’m
stuck in a plateau. I don’t know what to do next. I love making these videos,
not only on Musical.ly but I’m also pushing
everybody to YouTube, too. I ask this question because
I have friends who have less followers than me who have
managers and people who I know that have millions of fans who
don’t even have managers or they don’t even know what to do. So, what should I do
next with this following? Do I go out there and look
for companies or brand deals or should I link up with the
manager or what should I do? I put my business email out
there and I’m not always getting emails every day or something. I am patient, I do wait but
lately I just trying to figure out a way to get a source of
income from this because, again, I do love doing this, I love
doing this but at the end of the day I still have my mom
harassing me saying A, are you gonna get
a job or this and that? And yeah, so Gary
what should I do? – Jason, it’s fun to have
you here with this question. Good job by you guys curating
because again we lived through early bloggers getting famous–
– Sure. – then Twitter was really
the first preview to this– – Sure. – where both of us were lucky
enough to be one of those 100, 150 people that
everybody was following. – Sure. – What kind of advice do you
give to, I’m paying a lot of attention to the
Musical.ly stars. – Sure.
– This is the youngest generation of stars
we’ve ever seen. You’re making a joke of
VaynerMedia being young,– – I know. – We’re talking about 9,
10, 11, 12-year-old stars. – Yeah. – Like it’s, it’s Nickelodeon
up in Musical.ly right out. What’s your advice for this? – Well, I mean what
is the goal here? Does the person want to be, do they actually
have any raw talent? Are they actually a musician? Are they actually a singer or
are they just kind of becoming popular for doing– – Do you think that’s possibly
becoming just talent in itself? – That’s a good question. – Like you said that and
I’m debating it myself. – Right. Do you
actually have a skill? So what I think is adding skills to your repertoire like
that can only help you. So if learn an instrument,
if you actually learn to sing then you can kind of
take it to the next level. So when you saw Justin Bieber
on YouTube it was like, “Yeah, he’s a YouTube star but
he actually had core talent.” – No, he was a real talent.
– He was a real talent. Then you look at
somebody like King Bach. – Yes.
– On Vine,– – Yes. – he was the number
one guy for a while. Probably still is.
He actually is funny. – He’s a real comedian.
– He’s a real comedian. – Actor.
– Actor. – Yes.
– He’s a comedic actor. – Yes. – So I think adding skills when
you’re a young person is one thing that this
generation got backwards. – That’s a good point. – They go get the
fame and it’s great. You can hit that lightning in
a bottle but get that skill you can, it can never be
taken away from you. – Yeah, I think networking. I think just even asking this question like, for example,
I’m interested. I’m spending more time in
Musical.ly so let’s get this kid into my office, I want to
meet him for 20 minutes. And you just need to do
that over and over, right? – Yeah. – How many people have been able
to get to you and met for 15 or 30 minutes just by pounding you on social and email
through the last decade? Give me a rough estimate of
numbers because I know– – Over a thousand.
– That’s it. – Over a thousand,
it takes time. – You, right and some people
they email you one time and you gave them 15 minutes and some
people have emailed you 37,000 times and you’ve
never talked to them. – Exactly.
– That’s the punchline. – I look at the quality like I look for people with
skill but that’s me. – But you know this, it’s a
subjective moment in time. – Sure. – Like at that moment
it felt like, right? – Yeah.
– I mean it’s a crap shoot. – Yeah but you know what? It’s a numbers game, if you,
one of the things is I had, I have a portfolio company that
raised money from seven people and they’re like we can’t raise any more money,
it’s not working. I’m like well, how’d
you get the first seven? They’re like well, we
met with a ton of people. I said how many
people did you meet? They said 15. I was like so you can raise
money from 50% of the people you meet with and now you met with
another five, you didn’t get an investor so you’re quitting?
– Soft. – So soft.
– Soft! – You got to do at least 50
meetings and what you do is you take notes after every meeting
and you ask people candidly why did you pass on investing? The way you can help me,
I understand you’re passing, can you just tell me the truth? – Interesting. – Be candid with me
and tell me why I suck. – I love that.
– Or tell me what I need to work on.
You know what? People will do it if you give
them permission to speak freely. – Love it. India,
let’s move it forward. By the way, I’m serious,
I want to meet the kid. Make it happen. – [Jason] Hey-o!
– Manu. – Hey Gary. It’s your Canadian homey Swish. I had a question for you, very
short and sweet, what’s your career advice to DRock and
how he can progress his career because he’s a madly talented
person and I know, for sure, you want the best outta him. – Manu, great question. For me, I think DRock needs
to hold on to me for dear life ’cause I think is grossly
overrated because of the fame and stardom of my
amazing ability. (DRock laughs) And so if I was DRock,
I’d be holding on for dear life. – Is this one of
your whack packers? – No, that’s DRock. – That’s what I said,
one of your whack packers. – So DRock, he is obviously
filming DailyVee and he’s got clearly, he’s got video skills
and he’s built an enormous– – Yeah. – Now when I take a selfie–
– How long as he been here? How long you been here, DRock?
– [DRock] Two and a half years. – Alright, let me tell you
something about loyalty. It’s year three and four
when the magic happens. – Interesting. – Everybody wants to
bounce after a year or two, go to the next thing.
– [DRock] Yeah. – ‘Cause somebody’s gonna go, “Oh, DRock’s associated
with him? “Let me give him a 10% bump in
salary to jump over there.” But I’m telling you– – Or 100 when you’re
making $2 an hour, you know. – Yeah, exactly. I always find that people that
stick around for year three, four, five in a startup they
kind of ascend to this level and they learn some stuff and you
want to learn when you’re young. And the problem is a lot of
people don’t put the time in. They quit too early. – I think the big thing is,
I agree in some ways and I’ll go slightly different. You just have to reverse
engineer what, you got deploy as much self-awareness as you
have of this moment and reverse engineer what you want. If DRock wants, for example, if DRock wants
to make a movie, for real. Right, a feature film, he’s
never been a better position with me because as long as he
keeps believing in me and as long as I keep proving that
I continue to grow I’m closer to being able to fund a feature,
I fund a feature film now. – Sure. Why not? – It’s like raising money. I don’t want to.
No way, DRock. (DRock laughs) But you just have to
know what you want. I think that my career advice
Manu to you, to DRock, India, Other Tyler, Andy, to Jason, to
myself is know what you want and put yourself in the best
position to succeed to get there but be careful because the
thing right in front of you is normally not the thing that’s
actually going to get you to the best position to
actually do what you want. – Hmmm. There you go. – India.
– But you’re in the game. That’s important.
– Yes. – [India] You ready
for a crazy video? – Crazy video?
– Here we go. – [India] Crazy from Zeek.
– A minute 44. – Gary, Gary,
Gary, Gary Vaynerchuk! Hey you remember when episode
three you said it should be your life dream to get your
question on my show? Gary, it’s my life dream, man. Please, India!
Come on, girl. Get me on the show. Just kidding,
India, you’re awesome. I love you. Hey, I’m really glad
you didn’t get fired. (laughs) We were worried,
we were worried. Vayner Nation was worried. Hey, DRock, can our cameras
get together and focus? (laughs) I’m Zeek Fit Freak coming
from you Valparaiso, Indiana. Cornfields and everything.
Oh God, help me. I need a mountain. Somebody get me a mountain. I’m a personal trainer
and a lifestyle manager. Ooh, that’s a new one.
Lifestyle manager. Ooh, what does that even mean? Well, I’ll tell you but
let’s just get to the question. Okay? No but really, I love what you’re saying
about self-awareness. It’s one of the number one
things I talk to my clients about, one of the number one
things that is changed my life for the better in so many
different ways but being truly self-aware I know that what my
best talents obviously is the energy that
I bring to the table. And I’m telling you,
I’ll bring this energy to the table
wherever I’m at. Okay? Call me out there, right now. I’m gonna drive out there.
You think I won’t? I will bring this energy, Gary. And I know this will be really
great for brands but I’m trying to brand my own thing
on the side, right? So the question is
how do you harness an emotion that comes through the energy that I develop and give and
share with other people? How can I monetize that online? I’ve been working on it and
I could really use your help. Thank you so much, Gary. I love you, man. Hey, DRock link in
the description. Ooh, get right
there, right there. Lift life guys and
go New York Jets! Woo! – Jason, what are
you doing with that? (group laughter) – Wow, it’s like Jim Carrey. – He’s really, really, that’s
got some interesting charisma. What do you think? How does he
monetize all that energy? – Well, here’s the thing,
we both know online is a great way to get attention. It’s a little bit challenging
sometimes to monetize. Obviously, the
CPMs are very low. It’s hard to get the brands,
that’s why big agencies like your’s exist and other
ones around town. They have the brand
relationships, so they’ll be some opportunity to join
these networks of stars, you know about those.
– Yep. – And that’s a fine way to do it
but I think building your brand online and then
increasing your prices offline. So if he’s a trainer and he’s
got five clients and they’re all paying $50 an hour, what
I always find is people are afraid to raise their prices
and lose clients, right? So if he keeps growing and he’s
that good, he should be able to double his price. Then double your price, then
double your price and maybe have five people who are paying $400 a session where
that kind of a thing. So be good at
whatever your skill is and then keep raising your price. – Products, services, content.
– Yeah. – There’s only 4 to 5 things
that one can do to monetize. – Sure. Yeah. – You got great energy, you get
attention, you get you build a base and then you can
do a lot of things. You could sell
them stuff, right? – Sure.
– Make a product, yep. You can sell a T-shirt like you
can sell them a physical thing. – Yeah.
– You can create a service. If you train people and
it’s 50 bucks an hour then it’s 100 and 200,
you can be in a place where you as a personality
gets monetized. You sign a book deal,
you sell a lot of them. You speak for 100 bucks then
1,000 bucks then 5,000 bucks. You create a
scalable content play. You put out something that is,
you know, you put your classes on Udemy and all
these kind of things. – Yeah. – You collect, Creative
Collective and things like that so you and I can give
you like a lot of things. But the truth is only five or
six things that are out there. – It’s always the rookie mistake
when I talk to somebody and say what’s your business model? And they say well, it’s going to
be advertising and subscriptions and then we’re gonna sell things
and then we’re gonna sell the data and they list 18 things. It’s like, whoa,
whoa, whoa, whoa, whoa. The great companies,
Uber, take a percentage. Tumblr, advertising. Google, ad networks, right? It’s very rare that you see even
a big company, Apple selling hardware, goes into a
second or third business line. You have to pick
one and master it. – Go deep. – And just master it because
you know how hard it is to get advertising and content to work. You have to be the number one
person in your category and you have to very tight relationships and you have to
deliver for those advertisers. On a product basis, people who
are making great products and selling them at a high profit
like Apple, man, it’s hard to compete against
people like that. You have to be
exceptional in this nature. – The other thing for a lot of
you that are watching that I think will be valuable
is try to do everything. Give a free speech. Create a content e-book. Go try to get a publishing deal. Try different things. – And see which ones pop.
– Yeah. – And which one you enjoy.
– Yeah. I think so. – That’s critical to because
if you don’t enjoy being in a service business and having
customers, you can’t do it because you’re gonna
hate your customers. – Oh my gosh, all my
tech friends as you know– – Yes. – Like from what I came from,
they’re like you like this? You like having–
– (sighs) Brutal. – I’m like I like it ’cause
I know what it’s building for me long term.
– Yeah. – You know like nobody in tech wants the unscalable
nature of this. – Of a service business.
– Nobody. – No.
– Nobody. – But if you look at it, you
have real clients and look at the knowledge you’re getting. You have all these Millenials
out here and they’re different, aren’t they?
– I don’t think so. – Maybe different
than Gen X’ers. – You know what, I think
that’s a popular conversation. I think people pretty basic.
– Yeah? – They the same tried-and-true
things which is they have some balance of their
wants and needs. I just think that
they have more power. – They do. – They have more power because the world has
gone in their favor. They’re 20-something in a
time where 20-somethings are respected by 40, 50 and
60-somethings around business because business
is being done here. And they know it better. – Do you get the sense when
they’re looking at you that they’re like, “I can be him
and I can do what he does.” – I hope not because then
they’re fucking stupid. – Yeah. I think I’m looking
around the room, I think a lot of them are like
I could be in charge. – You know what’s funny,
I hope they feel that way but it won’t happen.
(group laughter) – It takes time. – Alright, India, let’s go.
(group laughter) – What’s up Gary and team? Hadi Yousef here.
Off of your inspiration, I started vlogging my
startup journey. I’ve been interacting with
online communities like the great Vayner Nation and
just making sure that I’m putting out good content. But aside from patience and
thinking about the long game, what are some things that
someone like me should be doing to grow his audience?
Thanks a lot. – So I think one thing that
stands out for me and then you’ll jump in Jason is
I think more real-life stuff. Like every meetup.
– Sure. – Like Jase, you might remember
this, when I first got, it’s really fun to get your
perspective on this. When I first came
into the ecosystem,– – Yeah. – I was pouring wine at a
Jaiku, Leo Laporte meetup. – Yeah. You were the wine guy.
– Yeah, I was– – You were more
like, who’s that guy? – I was service.
I was the help. – Basically, I mean
I didn’t want to say it but it’s kinda true.
– And so like– – They’re like we
need wine here. – And meanwhile, and meanwhile I had the biggest
business in the room. – For sure. – Everybody else had
business on paper. – Yeah. – I actually had a business but
I was willing to earn my keep in to the ecosystem. That’s the advice I would
give here which is if you’re documenting your journey,
amazing but go to every I mean Israel is such a
hotbed for tech startups and just startups in general. Go to every meetup,
meet every person, be part of the ecosystem. I think you did
that extremely well. – Be everywhere.
– That’s right. – When I started Silicon
Alley Reporter here I wore a Silicon Alley Reporter
shirt every day. I had 20 of them so I was the
brand and I would show up at every party and I’d have
copies of the magazine. You have to be the brand and
you have to be everywhere but a little hack for him might be is
be the most intelligent question under the most important people’s blog posts
or their tweets. In other words,
really take your time. Forget about building your own
content and your own audience, find somebody who’s got an
audience that you would like to acquire and be the most
intelligent person in their ecosystem for a while.
– Love that. – Which is kind of what you did. You’d meet the guy you’d be like
this guy is passionate about wine but I’m here to see Leo
but this guy’s also kind of interesting too, right? And so you can put yourself in
Fred Wilson’s comments on AVC it’s like who are these people writing highly
intelligent comments? – You know what this is
really smart, especially in the Facebook ecosystem where if it’s
actually that, it populates up. – Yeah, they trend it up.
The best comment goes up. But this takes time and you
have to not be thinking about yourself with your comment. That’s the problem I think. People are trying to build a
brand so they think it’s about– – They’re pitching instead of
bringing value to the community of the micro community
within that blog post. – Correct.
– Yep. – What is the topic
we’re talking about– – Yep. – and how do you say
something highly intelligent and further the conversation? – And to you, because you
don’t come from 20 years of experience, 30 years experience
you need to put your lens on it. By the way, there’s a lot of
people reading comments on those blogs that are just like you,
entrepreneurs are trying to make it than us reading it. – We’re not
reading the comments. – So you saying here’s my
perspective from an Israeli led startup that from a
23-year-old’s perspective, you’ll get a lot
of juice from that. You need to own it. There’s way too many people
trying to fake the funk right now that their so genius
business people and they have no experience under
their fingernails. – There’s nothing more, I think,
appealing than somebody who’s a young entrepreneur saying I really don’t
understand how this works. Can somebody explain it to me or
help me because I really would like to be successful? People will come
out and help you. – 100% if you deploy the
humility and don’t fake it. – Yeah, there’s no
reason to fake it. – Well everybody does it.
And by the way, I’ve been there. When you’re not there yet,
you kinda wanna, you want to, I used to say yes and this.
It just was not smart. I should have said please
tell me and this and that. I would have got there faster. – In my meetings, any time a
word comes up that I don’t know, I say, “What does that mean?”
In a business meeting– – I wouldn’t even have meetings
then I’m terrible at vocab. – No but when you have to pitch
and someone’s like oh do you know about this?
And I’m like what is that? And I just say explain
to me what that is. And they’re like oh
it’s an acronym for this. And now I’m like now
I’m getting smarter. – Yeah. 100%.
– Right? – India, let’s more this.
I know we got a call. – Yeah. – Last one.
– Last call. – David.
– Whoa. David’s in a suit. – Hey, this is David Villa in
Tampa, Florida. I’m the CEO of IPD and hey Gary,
I got a question for you. How do you deal with the sacred
cow with a top performer in your business that generates
a ton of business but is toxic to your
company culture? – Fired! Fired. Fired, David. Fired, David! Does he have anything else? – [India] Eliot and I thought
you were gonna say that. Tox, fired.
– Yep. – Even before he
finished, right? Good guess. Fired. Fired. Fired.
– Yeah. – Fired. – It’s fired.
– It’s fired. – Life is short,– – It’s not even about like
living your best life and life is short.
It’s you lose. Like, you lose. Like you’re just gonna cap out. It’s like math-based marketing. Eventually, you run out of time. And you can only
extract so much. – You know what? It’s like, you
know you have someone like JR Smith on your team and he’s
eventually going to implode and cost you a championship. (crosstalk) – No, no, JR Smith, JR Smith
as the number one on that team. – Yeah. – When the top performer
is toxic, you are finished. – It’s game over, yeah. – The other thing, by the way is you have to be the most, you have to be
the top performer. To me, that is the number one
thing that I’ve always loved about my businesses
which is, I don’t know, I just don’t rely
on anybody. I could never imagine running a
business that I would sit there and say if DRock quit. – He’s scared of that
guy quitting because he’s the top salesperson.
– 100%. – That’s what, I can
see the fear in his eyes. – 100%. – If he wasn’t he’d be like
well, I’ll just do the sales. – He wouldn’t even
ask that question. By the way, in a
car salesman world, there’s a billion
great car salesmen. By the way, in the comments
section if you’re a tremendous car salesman and up for
moving, leave a comment. – Absolutely. – Alright, Jase, you get to
ask the question of the day. Any question you want. Great focus group of hundreds if
not thousands of answers inside of Facebook and YouTube,
what’s on your mind to young entrepreneurs and business
peeps and social media peeps? What are you
curious about these days? What are you looking at? You’ve been a very
successful investor. You’ve been absolutely
historically correct on trends. Even the people that
love to razz you and things of that nature,–
– Yeah. – can not deny you’ve seen
things play out properly with your business behavior. – I put numbers on the board.
Thank you, Gary. – Putting up. – I put some
numbers on the board. – By the way, as people that
have put themselves out there,– – Yeah. – you get your pros
and your cons of that. – Sure. – Nothing trumps the resume.
Having wins helps. It’s air cover. – As I tell people, you know
when they criticize whatever, I’m like I’m just a guy
who got lucky eight times. – Right, just eight.
– Just eight times. – Yeah. – At a certain point,
if you just keep hustling and you have one of those
wins every few years– – By the way, is that number
really three or four? I’m actually
genuinely interested. – There’s some that
you don’t know about. So for example,–
– Please. – I’m an LP in a fund.
– Yes. – That fund,–
– Sacca. – I can’t say which
one it was, not Sacca. – Sacca. – But it was in that stock
certificate up there,– – Got it.
– and it was in What’s App. – Yep. – And I just got a call one day and they’re like you have
these two huge wins. I was like I didn’t know
I had those wins but somebody made those investments–
– I get it. – on my behalf.
– I get it. – So those things happened. I just sold my book and I’m
doing a book on angel investing. And Hollis,–
– Good luck. Hollis, I know. – from Harper is doing it. – Just so you know, little,
behind the scenes I get calls from Hollis once in a while
is like what’s the story here? And usually I’m like and this and I’m like on this one
(clicks tongue). – No, no, she was like
Gary went to bat for you. I was like oh, very nice. And you guys know,
I hate to go to bat. – For sure.
– No, India, I don’t go to bat. – [India] I know. – So, okay, so my question for
everybody is what do you think the future is of employment now that we have
robotics and AI and what are your solutions if in fact we see a
lot of jobs go away? How would you solve a problem
of a society with, let’s say 20% less jobs available, which would
increase unemployment which, you know, we say the number is
3 or 4% right now but it really doesn’t include people who
gave up which is another 15%. So what if we lived in a world
where the majority of people couldn’t find a job and half the
people were employed, how would you try to solve for
that in a creative way? Because in our industry we
debate this, but we all and in the past we’ve always
come up with new jobs. But it feels like this
could be the different time. – I was at an event
where Joe Biden spoke. And the reason I’m name dropping
is ’cause maybe because he’s got a quote out there that somebody
can make this completely tight ’cause I could be wrong. I don’t remember if he said it’s
the number one job in America or the number one job, now I’m
recalling, for people that do not have a college degree but
whatever the punchline is and again somebody leave a comment
for clarification, he said the number one job in the
marketplace is transportation, drivers.
– Right. – And he goes with this looming, this is the number
one job people have. – Sure.
– And I actually think– – Truck drivers.
– Right. – Cab drivers.
– That’s right. Yeah, I mean listen and by
the way, that’s what happens in industrial revolutions–
– Yep. – like shit’s
about to hit the fan. – And what is the
solution for our society? – Yeah.
– That’s an open question. – No, that’s a big question.
– That’s a big question. Gary,– – Congrats, when’s
the book coming out? – It’s gonna come
out next summer. – Alright.
– Yeah. I may lean on you for
a tweet here or there. – We’ll have you ask a
question and we’ll link it up. – Alright, good. I need a little, you got all
these kids here working on this stuff, I may need– – You’re blown away, you are
fundamentally blown away by the youth of this organization. – I’ve never, I have never
seen an organization this young. I’m looking around the room, that kid’s definitely
in high school. (group laughter)
This kid’s 20, 22. – [Gary] Tyler, how
old are you, Tyler? – [Tyler] 25.
– [Gary] Bang, 19. – I said he’s in high school. 22. Hold on.
– Okay. – This kid’s 21.
– [Other Tyler] 23. – Yep.
– That kid’s 25. – [Andy] I’m 28.
– Yeah, Andy looking good. – She’s 26.
– She told you. – I knew that
already, she told me. – This kid’s like 22. – How old are you? – I’m gonna, I’m 45. – Nice number.
– [Andy] This is the oldest VaynerMedia’s looked
since I’ve been here. – Put it this way–
– Did you hear that? – as old as two people here.
– I know that. I get it.
– I know. – You keep asking questions,
we’ll keep answering them.

6 Lessons Learned from Starting a Business | Entrepreneur Tips


Hey everyone, welcome back to Lavendaire. Previously, I uploaded a video on
how I started my business. If you haven’t seen it yet, you can watch it
in the card up there. Basically, at the end of the video I asked if you guys wanted more business-related content and a lot of you wanted to hear my
lessons learned from business. So today I’m going to share six lessons that
I’ve learned from starting a business. This is just entrepreneurship lessons, but I feel like they could also be applied
to any other area of life. They’re very universal, I would say. The first lesson I learned from starting a business is: There will always be obstacles. There’s always going to be a challenge. There’s always opportunities for you to get stuck. But the lesson here is: There is always a way. There’s always a way, whether it’s through
the challenge or around it, or somehow, there is a way to figure it out. A lot of people let themselves get stuck
once they meet a challenge where they’re like, “I don’t know what to do.” That “I don’t know what to do” makes them not know what next steps to take, and then they just end up not taking any steps at all. Then it’s like their growth is stunted, because they’re stuck at that obstacle. And so what I’ve learned is: There is always, always a way through
your obstacles and challenges. You just have to have that mindset like,
“I’m going to find a way. I’m going to find a way through this,
no matter what it takes.” And the great Marie Forleo says,
“Everything is figureoutable.” That’s actually the name of her new book:
Everything is Figureoutable. That is such a good business mantra, because once you have that mindset that
everything is figureoutable, then your brain kind of opens up to more possibilities, and then you start to get more creative, trying to figure out your way around things. At the end of the day, any action is better than no action. So just do something, take any action. Try to figure something out. Try to learn something new or ask someone for help. Or just see if you can look at your problem from a new perspective or a new angle. There’s just always a way. There’s always a way, but you just have to
be committed to finding that way. The second lesson is the realization that nobody knows what they’re doing,
especially in the beginning. Everyone starts off with a lot of uncertainty, a lot of questions, a lot of unknowns. Basically, entrepreneurship is: You learn as you go, and that’s just the way it is. That’s the way of life, honestly. When you’re young and you’re looking
at people who are successful, you think that they knew it all, or they had it figured out in the beginning and they just knew what steps to take. But in reality, nobody knows what they’re doing. No one really knows all the steps that
they have to take to get to their goal. They only know maybe the first couple steps. So it really is – you know,
take a couple steps, figure it out, and then the next steps will reveal
themselves to you in time. It’s just a learning process, and you’re going
to make a lot of mistakes. But essentially, experience is your greatest teacher. There is no better way to learn than to just do the thing
and have that experience, and you’ll make mistakes or you’ll succeed. Whatever it is, that experience will teach you and you’ll use that knowledge to keep going
and keep pushing forward. So with time, you will gain more experience
and you will learn as you go. By the way, I want to thank Skillshare for
sponsoring today’s video, because Skillshare is such a great resource for those who are interested in entrepreneurship or just learning something new. So if you haven’t heard it: Skillshare is an
online learning community with thousands of classes covering
dozens of creative and entrepreneurial skills. Premium membership gives you unlimited access so you can join the classes and
communities that feel right for you. Whether you want to feel your curiosity,
creativity, or career Skillshare is the perfect place to keep you
learning and thriving. And if you’re interested in entrepreneurship, then a class I think you’d really like is
this one by Guy Kawasaki. It’s called “The Art of the Start:
Turning Ideas into High Growth Businesses”. This class helps you with a great foundation
for starting a business. He talks about starting a business for the right reasons, asking the right questions to hone in on your
product, service or business model, and also creating a business mantra and so much more. Skillshare is also really affordable, especially when compared to pricey in person
classes and workshops. An annual subscription is less than $10 a month. Because Skillshare is sponsoring today’s video, you guys can get a two month free trial by clicking that link in the description down below. All right, moving onto the next lesson that
I’ve learned in business is: Don’t compare yourself to others. This is honestly advice for business and for life
because it applies to everyone. Don’t compare yourself to others. I know that it is so easy to see what
other people are doing, especially on social media, see what other people or other businesses are doing,
and compare yourself to that. But the reality is: You are unique. You have a unique set of skills and
resources and strengths that is different from anyone else doing business. So you have to hone in and use your strengths, use your resources, use what you got,
and use your voice. You really have to hone in on who you are, what you do best, and do your best
not to be affected negatively by comparing yourself to other people or
other businesses, because people are going to do what they do, but you don’t have to feel like you’re in a competition. You don’t have to feel like you’re racing
against each other. You are in your own lane, in your own path. So, there is a flip side to this where it can be beneficial to see what other people in your industry are doing or people in other industries are doing so you can get inspiration and learn from them. Maybe you want to see other people’s mistakes
and learn from their lessons, or you may be just inspired or motivated
by what you see out there. That is totally okay. It’s totally great to look at other people
and then learn from them. Use it for positivity and good. The thing you should not do is to let comparison spiral you down into a negative loop, because essentially, if you compare yourself and you feel bad about yourself after comparison, it reveals your insecurity, because if you weren’t insecure about yourself
or your business, then seeing what other people are doing
wouldn’t affect you emotionally. It wouldn’t matter, and plus: it would even
motivate or inspire you. So if you notice yourself feeling negative about it, then just don’t compare yourself. Don’t look at it and try to just focus on what you got. Another way you can look at this is: You don’t want to compare your Chapter 1
to someone else’s Chapter 20, because you might be seeing someone who is much ahead in their business journey, and you feeling like you’re behind. You’re feeling like, “Oh my gosh, I have
so much work to do to catch up.” You don’t want to do that because if you think about it,
everyone started at zero. Everyone started somewhere. So you can’t compare your beginning to
someone else’s middle part of their journey, or even their successful part of their journey, because that’s just not a fair comparison. So don’t waste your time, focus on yourself, and hone in on your strengths and
everything that you have to offer. The next lesson I want to share about
starting a business is kind of twofold. The first part is: Don’t give up, keep going, keep things moving, keep taking action, because like I said earlier, you don’t want
an obstacle or challenge to thwart your progress and to make you stuck, because a lot of the times people just get stuck
and they give up, because they can’t figure a way through it. So just keep going no matter what. I am a firm believer that, if you just keep taking action and keep trying,
you will eventually succeed. But when I say keep trying, I don’t mean do
the same thing over and over again. I mean: Use your brain, take in feedback, and reflect on how you can improve things
and do it better next time. So it’s all about continuous learning and continuing to take action using all the knowledge and wisdom and experience that you’ve gained. As long as you just keep moving,
keep taking action, you will succeed, and you cannot be afraid of the failures
that happen in your journey. Your failures are just part of the process. They’re a way for you to learn lessons. Failures are just a learning opportunity. Don’t worry about them if they happen. Learn from them and keep going. The point is to keep going. You also have to have an awareness of
when something is not working and when it is the right time to either close that project, try something new, pivot, or start over in a new way. So “Keep going” doesn’t mean keep
trying the same thing that doesn’t work over and over again, because you know it’s all about learning. And if you something doesn’t work,
then keep trying it in a new way. Maybe your original business idea
didn’t actually pan out the way that you had hoped it would pan out,
but that’s okay. You can keep going, can start over,
you can try something new. For example: I used to run this program called
the Artist of Life Mastermind, and then later it became the Artist of Life Community. So for two or three years, I was running this
membership program that was going along with the workbook. And it came to a point where I just realized the format was not exactly working and the community was not what I had
envisioned in the beginning. And so I made the decision to close
that product down and to end it. But I still take those skills that I’ve learned and apply it to other areas like our
other Facebook groups, our online course, and also our newest
Lavendaire community on Vibely. You do have to sometimes accept that
things might not work out the way that you expect them to work out, and you might have to just close things off. But it doesn’t mean that it was a waste of
time, because everything that you gained
from that experience can be used and applied to your next venture or the next thing that you’re working on. Everything is used. Nothing is wasted. But bottom line I was trying to say is: Keep going, keep moving no matter what. The next lesson, which is lesson #5 is to
not take your failures personally. This one is easier said than done. It’s something that I had to learn over
the many, many years of my career, to not take my failures personally, because I think – I don’t know about you, but for me, I used to tie my self worth with my
success and my failure. You feel good about yourself and
you think that you’re great when you’re successful and you succeed
and you make the right choices. And then when you fail and you make mistakes, you feel like, “Oh my god, I am the worst. I’m nothing. I don’t know anything. I suck.” And it’s such a roller coaster of self confidence
and self worth, and it’s just not healthy. But what you should do in entrepreneurship, number one is: You have to accept that
failures are inevitable. They’re going to happen. You cannot avoid them, and if you’re trying to avoid failures, then you’re not going to be a very good entrepreneur, because it’s part of the process. But not only do you have to recognize that
failures are learning experiences, you also have to recognize that failures are just data. Failures are experience and data, and you have to learn to detach your
emotions from that data. It’s just information. And information doesn’t have to have
an emotional charge to it. It’s just pure information. It’s just the information that “this way doesn’t work”. So you have to learn to detach your sense of self worth from your success and your failures, because then you’ll just have much better
mental health, I promise you. It’s easier said than done, but it’s something that you have to practice doing. This is important not just for entrepreneurs,
but for everyone. Learn to detach yourself from your successes
and your failures. Take your failures as just information
to help you do better next time. Just ask yourself: What can I learn from this? What does this mean? Take your sense of self worth and your emotions
out of the equation, and just look at the information in front of you
as just information. The last lesson I want to share on starting a business
is just the reminder that no one will care about your business
as much as you do. And it might sound obvious,
but it’s something to remember, because when you start to hire employees and you start to build out your team, you might have this expectation for your team members to work really hard and care about the business as much as you do. But I’ve learned that it just naturally makes sense
that you care the most and everyone who is on your team will care either the same – if you’re lucky – or less. Definitely, most likely, they will care less
and they don’t have – They’re not you so you can’t expect them to be you. You can’t expect your team to have the
same sense of urgency that you do or have the same detailed level of care that you have, so you have to do your best. You are the leader, and then everything flows
from you under that, so you can’t be lazy. You really can’t just kick back and think,
“Oh, I have a team now. Other people are doing the work, so I can relax.” You really cannot, because you set the standard. You are the one that cares the most
about your business, so if you decided to be lazy and care less, then your team is going to be lazy and care
even less than you do as well. That’s just naturally how it works. Ultimately you have to remember that,
especially in a small business, you are the heart and the core of your business. You are the leader, you’re the one driving the ship. You are the one where everything flows out of, so you have to be on your A game and do your best. All right, that wraps it up for my
lessons learned in business. Let me know which one was your favorite,
comment down below. And in hindsight, these are honestly lessons
that can be applied to life in general. So they’re really for everyone, not just business. All right, thanks so much for watching today. And also make sure to check out the new
2020 Artist of Life Workbook. Link is down below. And I will see you next time. Love you! Bye!

Top 10 Marketing Books for Entrepreneurs


So when you hear the word “marketing,” what
do you think about? Really, marketing, because the world of business
is a lot about marketing, right? How you market yourself, your product, what
do you think about? What word comes to mind? See, for me when I think about the word marketing,
I think about how you tell your story. How you tell the story of your company, how
you tell the story of yourself, how your story’s being told. Is it reaching the audience you want it to
reach? Do you know the audience that you want to
reach? That’s marketing. And a lot of times – I remember one time I
was in an audience and I heard this speaker speaking from stage, and this audience was
filled with 70-year-olds who are getting ready to retire. They were between 70 -80. And he’s on stage. No one in the audience is less than 55. And he’s on stage and saying, “Can you imagine
if one day you’re driving a Ferrari? Can you imagine if one day you’re driving
a Lamborghini? Can you imagine if one day you’re going down
to the beach and you’re surfing? And I’m sitting there saying, “Does he know
who he’s marketing to and how he’s telling the story?” Because your story doesn’t resonate with this
audience. Maybe it resonated with a different one, but
it doesn’t resonate with this audience. So, it is very, very important for you to
study marketing, and marketing becomes an art. It becomes a lot of fun if you learn how to
do it the proper way. It helps you out in business. It helps you out in every aspect of your life. So many of you kept asking me, Pat, give me
top books I need to read on marketing. And finally, we’re giving it to you. And I’m giving it to you in a way where I’ll
recommend 10 books to you, and then from there you can do whatever you want with these 10
books. I believe every entrepreneur must study these
10 books for marketing. #10: for me on this list would be The Art
of SEO. The Art of SEO is #10 on the list and the
reason why this book – now keep in mind, you can buy this book and I think they have the
most recent edition out now. I don’t think this is even the most recent
one. (Mario, I think there’s another edition after
this one. Yeah, there’s another edition after this one.) The Art of SEO. And it’s pretty big. You’re talking about 645 pages. And what you’ll first do when you pick this
book up, go to the contents, and go through areas right now you’re struggling with. You can literally take this thing and go to
tying SEO to conversion and ROI. I’m struggling with that. Let me go study that. This almost becomes the bible for SEO because
nowadays when you’re doing SEO for your company, or you site, whatever you’re doing, you need
to understand the world of SEO. If you don’t, you’re going to be left behind. You, your team, your staff needs to know this
language. This is the book I would recommend. #9 – The next one I would recommend is Contagious. Contagious is a very good book that describes
the certain elements combined together that makes up for something to go viral, for something
to spread. And the words it uses is social currency,
triggers, emotion, public, practical value, and stories. I highly recommend you read this book, Contagious,
because once you read it, you’ll kind of say, “Well, now this makes sense why this idea
caught on and it started spreading. I never thought about it this way.” One of the stories it talks about in Contagious
is the iPhone video. Right? He puts it in the blender, and you see this
blender chopping up this phone and this blender blows up. Because the point of this blender was it is
so powerful, it can tear up an iPhone. That became the marketing campaign on how
to tell the story of how amazing of a blender this is. This blender started selling blenders all
over the world. Very, very good book to read for marketing
is contagious. I’d say the other one is Made to Stick – I
don’t know if I have one here with me. We always have one in the office. I don’t have one here with me. Let’s put a picture of it on the video so
you can see it. Made to Stick is a book that explains to you
how this story sticks with your audience. How a lot of times you will tell a story where
somebody will not remember, and then here’s what we do for a company. You’ll go to a presentation, for instance,
and after the presentation, you walk out, you remember nothing. You don’t remember a single thing. But you go to another presentation, same exact
topic, same everything. The speaker says six different stories, and
three of them stayed with you. One of them brought tears to your eyes. And you walked out. That story is made to stick. It sticks with you. You will forever link this company to the
story that was shared with you because it was made to stick. It teaches you how to get your stories to
stick with the people you’re doing business with. #7 is Traction. Obviously, Traction has to do with I think
it’s 19 or 21 points he talks about in this book on traction, on how to get your concept,
your product to start having traction where it starts creating momentum and starts building
on that momentum. Very good book, Traction. #6 is Trust Me I’m Lying which I think is
one of the best titles out there for marketing. This is by Ryan Holiday, I think. Ryan Holiday’s Trust Me I’m Lying. Beautiful title for a book. And when you read it, he explains to you what
things he did as he was marketing his products. He’s got so many great stories on what he
did so I would recommend you reading Trust Me I’m Lying. #6 is DotCom Secrets. DotCom Secrets is written by, I want to say
his name is Russell Branson. Am I saying it right? And Russell Branson is pretty well known in
the marketing space. A lot of people use him. A lot of people know him, and they pay him
a lot of money to do the work that he does for them. I’m talking seven figures types of numbers
that this guy gets paid to do the work. In DotCom Secrets, he simply tells you how
to set up your emails, how to get the funnels, when the customers come in and how to set
up your funnels in a way that’s leading to what you want and then asking for more. There’s a lot of things you can learn for
your business on Dot.com Secrets. #4 to me is Kotler and Keller, Marketing Management. It’s an old-school book that if you go to
University, if you get this book, you pretty much don’t need to go get a marketing degree. Because this is what they talk about the entire
time in marketing. It has so many great stuff in this book on
what you can do on your marketing side. Lots of value in this. I was almost putting this as number one, but
it’s number four, Kotler and Keller. And then number three is Tipping Point. Tipping Point is what happened to Facebook. Tipping Point is what happened to Instagram,
to Snapchat. Tipping Point is what happened to the Dollar
Shave Club, where that one video, which everybody has seen, and now Dollar Shave Club was recently
purchased, Mario, by who? Gillette just bought them for a billion dollars. Dollar Shave Club was just bought for a billion
dollars after the commercial went viral on YouTube and got 24 million views, a billion
dollar check for Dollar Shave Club. You’ll find out why that happened in the book,
Tipping Point. Number two is very close to number one, but
I didn’t put it number one was Positioning: The Battle for Your Mind. It’s an older book. It’s not a newer book. So some of the companies that are examples
he gives in the book are not newer, it’s older, but still, the book is so effective and relevant
to today that I think every marketer needs to study that book. Don’t even read that book. That’s a book you study. It’s called Positioning: The Battle for Your
Mind. There’s a lot of different editions. A lot of different covers. I don’t know which one you guys are going
to put up here on the image to show, but it’s a fantastic book for you to read. Then #1obviously above everything to me in
the marketing world is Blue Ocean Strategy. I’ve been saying this in so many different
books. They’ve already sold, I don’t know, three
million copies, four million copies. Every single marketer, every CEO, I’ve had
every single executive at one point I had them read this book cover to cover. Wrote a paper on it. We spent eight hours just talking about this
book in a room full of 40 people that we were coming up with ideas after reading this book. Sometimes so many people ask me questions
about marketing, and I ask the question, first, read the book, Blue Ocean Strategy then ask
me these questions about marketing. This is that important of a book for every
entrepreneur, every businessman, every businesswoman, every executive, every single person who is
planning on doing anything that has to do with marketing, you’ve got to read this. It gives you an edge on business, on how to
market and tell your story in a unique way where you separate yourself from all the competitors
where everyone’s trying to go after one market, you pivot, and all of a sudden you don’t have
an enemy anymore. And you have an easier time getting a piece
of this pie because there are no enemies. Enemies, you’re in a blue ocean, where there’s
no one there, instead of a red ocean, shark-infested, you’re in a beautiful place over here. Okay. Those are the 10 books I will recommend you
to read, on marketing, and if you’ve read any of them, comment on the bottom. If you suggest any other marketing books,
I’m always looking for good marketing books – I’ve read most of them – but if there are
any good marketing books, recommend those books on the bottom. If you haven’t subscribed to this channel
yet, if you haven’t subscribed to this channel yet, our goal is to get to a million subs
by the end of the year, be sure to subscribe to the channel here. I think right here, somewhere here, and then
join the notification squad as well. And with that being said, thanks for watching
everybody. Take care. Bye, bye.

GROWING your EMBROIDERY business – WHEN and HOW | Apparel Academy (Ep.23)


if you’re scaling you have to be able to
be okay with the fact that you’re going to delegate and you’re gonna find a good
candidate a great candidate that can fulfill kind of 80% of what you do
however your business is growing or you’re not going to grow but you do what
things a hundred percent your way right and I can I can I mean this is gonna be
a long-winded answer but the short answer to this is is you have to look at
kind of what stage your business is at right so you mentioned this order of 200
pieces from from a school is that is that like a one-off or is that something
that you’re getting on a regular basis if that’s something that’s of the norm
then of course you need to think about how to scale next
right because if you’re used to getting you know this is just a one-off but
you’re getting orders of you know three four pieces maybe half a dozen and
that’s your average order size then perhaps it’s not the right time yet
to scale your business and hire staff and and expand the the capacity that you
have to fulfill orders but if this order of this school is going to be 200
students with you know five shirts each well that’s a thousand pieces that in no
way shape or form are you going to complete that with a
single head machine at least not for that for a couple of weeks or a month
and a half right so and that’s probably staying up to 12 a.m. 2:00 a.m. every
single for the next five or six weeks right and
and which also means you also have to think about it in in this sense if
that’s the case and you’re doing that you’re only fulfilling orders for the
next five or six weeks you’re not growing your business you’re only
fulfilling the revenue that was that was given given to you you’re at you’re only
fulfilling the order that you just got you’re not growing your business and in
any way in the fire in the next five or six weeks so the the short answer to
this is I mean there are a lot of factors but the number one thing to look
at is whether you can afford it right whether this is the norm of the type of
business that you’re getting or this is a one-off situation or this is kind of
my hand I’m starting to get larger orders of 50 pieces a hundred pieces on
a regular basis I get these you know two to three times a week well then that’s
then you need to start thinking about getting not only staff but yeah bigger
equipment to be able to fulfill those orders in a timely manner right because
now that you’ve got in the order that’s only the start of it if you’re getting a
big account like a school that’s recurring revenue every single year
because they have incoming students if you do a good job they’re doing that
every single year maybe even every every half year when when they’re wondering
when you’re changing over from spring to fall right so those things are things to
to consider and then the the second point about hiring staff it goes along
with the first point is one can you afford someone to maybe do the opti
operations for you I think the first key hire any embroidery business or a custom
apparel business is someone to operate the Machine because I think that part
can be easily trained and outsourced and what’s critical to your business is
handling the the clients you know since you’ve built those relationship with
them from the beginning you want to make sure that they’re happy you’re out there
growing growing your business you’re out there kind of scaling your business
getting more revenue so that’s someone on the back end can fulfill those orders
with you right you might be instead of doing a hundred percent of the of the
fulfillment and embroidering now you’re may be doing you know fifty percent
right or thirty percent so now you have seventy percent of time kind of like you
know free freed up to do other things that can scale each that can help grow
your business instead of focusing on the next five weeks I am just gonna be
in my garage and and you know in my house doing orders all day then you’re
not growing at all right and one thing one other thing I would mention to you
about looking for your for your first key hire and in your case I think what
makes the most sense is the is a machine operator that can help you run the
machines especially if you’re looking to expand the capacity for other machines
right you you want someone that can run both both machines if you’re getting if
you’re getting a second one but but also the key thing to understand is don’t
don’t waste all the time looking for that perfect hire right because you’re
you’re not gonna find that perfect person that’s going to do exactly 100
percent as what you’re how you do it that’s a that’s gonna be impossible to
find you you’re you’ll be looking for a for a needle in a haystack and – you
have to understand that if you’re scaling you have to be okay you have to
be able to be okay with the fact that you’re going to delegate and you’re
gonna find a good candidate a great candidate that can fulfill kind of 80%
of what you do right do about up to par 80% 90% of what you do however your
business is growing or the the flip side to that is you’re not going to grow but
you do things a hundred percent your way you see it right so it’s better you know
ten percent of watermelon is better than a hundred percent of a grape right so
okay so you want to make sure that you are giving up some of that control and
debt and be able to delegate and live with the fact that it’s okay that they
can’t do a hundred percent of what you do but you’re growing the pie make sense the first thing to do is change your
mindset first thing in Dewey in any business and I know I know it’s hard I
know it’s hard I’ve been through the exact same thing I’ve been to the
exact same thing because I know what it’s like to be like hey can this next
person do the same thing that I’ve been used to doing or I’m preaching or my
philosophy can’t they follow that to the T and the throughout the years the
answer is no you can’t unless you can clone yourself unless you can make it
make a cloning machine and clone yourself ten times over you you cannot
find someone that’s a hundred percent exactly like how you do it but that’s
completely okay because the business is moving forward and they can do it at 90
percent even eighty percent of what you do but the business is growing and now
I’ve grown a grape into a watermelon instead of holding on to a grape that’s
going to be a grape for forever if I don’t scale and and and you’re right in
aspect like I would say probably the the the first higher it’s either the machine
operator because I think that that’s that probably adds more value if you can
find someone that’s good right then the admin work the admin work apart I think
the reason why I prioritize the machine operator over the admin work is the
admin work is easy it’s just time consuming it’s not hard to teach it’s
like if someone can do an invoice and process an order for you that’s not hard
to teach what’s harder to teach is the Machine machine operations but if you if
you tackled that first and you get over that hurdle you’re you’re more likely to
scale faster and and scale easier finding an admin to take on the second
part of the work and now you slowly focus on customer retention and you
solely focus on making customers happy and getting more orders talking to
bigger accounts and and getting business in and then the backend of the admin and
the and the Machine operations just takes care of itself perfect that that’s
you you’ve just you’ve just uncovered the the holy grail the golden Minds you
get your next batch of candidates into to be operators
right think about using them for the machine to help because they usually do right right
but if you’re teaching them sewing they if it’s already naturally that they they
have an inkling right or some kind of idea about embroidery it’s a natural
transition towards that and hey you just go up to them you’re like hey look
you’ve been an intern here and learning sewing for for a while now are you
interested in taking your career to the next level and be a machine operator on
embroidery I will teach you everything I will train you I will make you really
good and now you’re learning a new set of skills and then seeing how that side
of the business works and I don’t I don’t think a lot of them will say no a
lot of them would say yes and be like yeah I’m interesting to do that exactly
yeah you can even be like hey let me try you out for for a couple of days let me
let me teach you for a week right and you know on how to run run the machine
right let me see how you do but but my point is and you you’ve just uncovered a
a pool of candidates that not a lot of people have access to right because of
what you deal with teaching sewing that’s a natural flow that’s not natural
funnel of candidates and I know everyone has access to so you don’t have to make
a post and and find and hire new candidates have no experience you have
this get someone that has a sewing experience and I don’t know how many you
know students that you have but I’m sure or interest you have I’m sure a subset
of them are more than interested to take on a machine operator role in a in a
growing embroidery business and and and help you grow and learn a new skill awesome I mean one out of those four
twenty five percent chance I mean that’s a you know that’s that’s the bare
minimum of I think one out of four its it’s very easily able to be convert into
a machine operator that can that you can train and and build their skillset and
who knows they can be very very good and and then the next step is to get
admin and do all the invoicing and order processing and all of that will just
kind of you know kickstart your business and you focus on the growth and actually
working on your business and not in the weeds of your business no and I get it
because because you’re in there day in and day out right like you’re like oh
man I need to fulfill these orders I need to get a new order I have and I
have you know a real estate company that wants me to do a couple of shirts Oh
awesome I’m getting all these orders coming in you’re excited by the you’re
fueled by the excitement of what you’re able to learn to achieve and the growth
that you’re getting right and getting a big contract with the school two hundred
students five shirts each like that’s that’s exciting right not you know not
many people can do that so you’ve done the you’ve done the hard part you’ve
done the hard part of getting the business and had actually having revenue
now it’s time to think about how to structure your your your back-end
operations better so that you can continue to do the things that you are
doing now without taking time away to do the things that can be outsourced and
can be offloaded to someone else that you just do it just as well you

Marketing Plan Example


I used to work with one of my friend Louis and his business for restaurant marketing. Which is the market for your restaurant, we have talked about this before. And if you ring a restaurant sir late in the morning he would be the most lovely chatty, friendly, helpful people But if you made the mistake of calling him at lunch time Let’s think about this, pretend that you’re a restaurant sir. What are you? You’re restaurant sir And I call you, let’s pretend this to make this easy I’m the business coach and I say Hi.. By the way, lets just say the same.. it’s lunch time you place is packed. Kitchen catching on fire, the chef is coming drunk.. Customers are kinda complaining, everything’s going on, you know about restaurant right? In the middle of that chaos I call you, the phone rings and you, kinda like to say Hallo And I say Hi my name is Taki I’m the business coach with XYZ coaching Where the guys who help your money and work with sales. Have you got the minute for the phone? What’s your blink reaction Get lost.. who am I, what kinda person I’m nuisance, I’m a distraction, who am I?, I’m telemarket, I’m sales guy, I’m a jerk anyone meet to live. Let’s get this right, even I’ve been the best coach in the planet even if minutes with me would just make magic happen even if my attention is good, my heart pure it’s over when I actů Hallo.. do you with me? You got the time when maybe your marketing did really well or you got refer on somebody calls you, it’s different isn’t it. It was the first time happen to me. I was just blown and this is cool. How much more lucky that someone who calls you to be the buyer, percentage wise, what do you recon. 800% at least double would you agree? How go from now on is this we get them call us rather than us having to chase them You might write that down. How to get clients to call you? And I wanna show you a quick example how to make that. You got the idea right. Let’s make this simple practical. So I got this guy coach kurt, actually what you’re doing. Anyway I’m showing you this letter, he’s one of the joint venture. Anyone understand the idea like the joint ventures and histological answers Please raise your hands if you know this. Ok cool.. So once they like this get network people to referring business but here is a thing Coach is like a super dominant, directive, bossy, not a people, person avails.. If you are in networking group you probably wanna kinda run or kick him or something. Right… So like he wants a.. once we set up a joint venture but he’s not coldly people. Ok the only way pull it up may be with the direct mail or letter. So send this letter out to 40 accountants surround by the junction nearby. And this is what happen the next day. And I just kinda work with the butchery, if you don’t even work with He gets a phone call and the guy says hi is that Kurt the coach.. Yes it is.. great.. My name is bla.. bla.. bla.. from expertise accounting I just got your letter. I’m wanna have a business coach, alright And I said.. I didn’t say that probably think it in the inside with alright.. He didn’t say that, must be clipped. I want a business coach and I want my 6 accountants to be business coached as well. Yup.. and I wanna be offered coaching is avail service 250 best clients Just like ha..ha.. But I read the letter. The letter says that you only work with one person in that area. So I would just take a minute to convince you why should you choose us.. Who would love to get that phone call. Right that’s what I’m talking about. I just wanna give you some kind of the example. Let me talk about the guy before, who was 30 grand in debt. Heů having fun Marketing is the coolest thing.
I gotta to boast, I got to share with you guys. So it’s like 30 grand in debt. And he wants to target restaurant We talk a little bit about restaurant cause
it’s kinda like same thing. Here’s an idea ů If you know anything about restaurant
like you say just my restaurant rules choice . How much passion that I put in, it’s like full in it.. it’s like an expression of them it’s kinda like their baby, Isn’t it. So there’s so much pride and ego and ..
I mean ego in the right way. Like so much of yourself got into your restaurant. So the treating getting to know about restaurant is
number 1 there is a lot of ego involved. Number 2 is very scarce. You know the difference about abundant and scarcity? They don’t share at all. Like let say you and me are best friends. And you run a restaurant in Perth and I’m in Sydney. I’m still not gonna share. just in case my customers go to you too much. You get that.. that serius that’s how they are.
I mean that they’re in respect but that’s how they are. So that how we take that idea, this case anyway
how do we use that like the gum like paid to click that there’s the bubble gum right there. Check this letter out, this is just instantly cool. So if you pick the area that’s kinda most in this fit,
here is in Sidney. Ya some of you guys have’nt read it, that’s great. This is an actual letter not an email but has a cc
which basically let say on ray you run kata luna. And roll you run paulkin alchemy and endora. Hi you probably not gonna write to all of your worst enemies as well. One that I got to say the important time is all the essense. If you own restaurants try to get into these things. Basically let me just say, hey listen
I know that you don’t want them knowing. You with me isn’t this evil. Totally love it. Sir my name is Simon, I’m actually coach bla..bla.. for just trying to help business industry in your area. Any trouble that I can help? One .. And he goes on any total store,
little case study might wanna quickly stands. You might wanna do like testimony is a good case study
that’s kinda better. we do the case study like this.. like 4 minutes,
like 3 minutes left we’re gonna talk quickly. Cause that’s gonna be on your mind better. Case study first point. The situation before if you just wanna say it’s treated, it was the miss that’s in your mind. Number 2 what you did ..what just what I did roll the point ,
kinda go to details . Anything you got like technic that you use, given 69 . So like this case , was this call the scarcity letter before.. or call the case letter, I thought it’s gonna be evil. So just bullet your nine.. like the xyz to button belly rub technique whatever it is just put that in. Any way that came from. So situation before hand what you did.
Just in bullet 2,3 or 4 bullets Number 3 the happy ending and that’s the result.
The win at the end. So I just to link here what you can’t see but this our weekly in the cafe in this situation. This is what I did and then this where the happy ending. They’re just graduated from the program
now and run for one more restaurant or cafe. But I can only work with one. First debt he calls for 45 minutes express inquisition First in this rate, if I’m holding that right now so you better call. You might wanna like 60 what to say 67 and a half friends.
That’s pretty good isn’t it.

The 3 Phases of Starting Up Your Small Business with Mark J Kohler | 2019


Welcome everybody to this week’s podcast broadcast You Tube live Facebook live I’m here with you, please don’t go anywhere for a minute Let me tell you what this this broadcast is all about the three phases or the first three steps of starting your business Now let me know it sounds sexy. You’re cool But you’ve got to hear this because even if you already own a business now Are you thinking of expanding into new product line and new service? These are gonna be the same three steps you use every time you launch a new business So now I want to get into all the technical stuff. Are you down at the bank? Are you setting up an LLC or a? Corpse under each one. I think you’re gonna love it. Now. I’m also going to give away two books today I’m gonna give away the tax and legal playbook and also my new eight steps to grow and start a business both free This is 99 bucks on Amazon 20 bucks. Whatever. I’m Sun got prime ghetto You can get these books and check them out on Amazon on my website Mark J Kohler com, but today is about you so, please don’t go anywhere and hear this out hear me out because again, I had talked to so many new clients every week around the country speaking of workshops about starting their new business and A lot of people think it’s here Is there what do I do? Where do I set it up and all that good stuff banking everything. We’re gonna hit it So let’s start with number one and I’m in here tight with you and then we’re gonna get to the whiteboard here in about two To three minutes and then if you have a question in a YouTube or Facebook just type it down below My team’s gonna throw those out as we get rolling now Step one step one is concept design and your product and service development again, even if you already own a business now Are we going into a new food product a new service? a new if I’m in landscaping am I gonna start fertilizing if I’m in a Food service. Am I gonna start serving a certain type of drink? What am I gonna do with a new product a new service and I’m gonna go online and selling then you do Multi-level marketing maybe we’re gonna go into real estate and do a rehab. It’s all the same practice now as you’re developing this concept the question I ask so many clients on the phone literally even Millionaires I ask what’s your what what is your what why are you doing this business? Are you really passionate about it? Cuz Nolan’s gonna be sitting behind you pushing a hot poker to get you up every morning Are you gonna lay awake every night thinking about how can I make money at this? am I gonna be passionate about what I’m doing because it takes Self-starting it takes motivation. It takes this inner drive that you’re gonna love doing this And so what I have clients call me up ago work I’m ready to sit on my LLC or do I set up an S corp or do I said I go what you up? Why are you doing this? Well, I want to make more money. Okay, will you really like what you’re doing here? Why are you passionate about it? So number one. I always want to talk about that now That was our intimate close up face-to-face. Now, I’m gonna take this back and we’re gonna hit the whiteboard. This is important We’re going to do it. So number one on this concept design is finding your what so what your what is your what and So I’m going to just put concept design concept design and Number one is what is your I’m just gonna put what we’re gonna save time here. I want to get rockin here So what is actually I’m gonna spell it out. What is your what? Number two, once you find out. Yeah, I’ve had clients are like mark, I love fly fishing I’m gonna do the five ship fly fishing. I’m gonna I love cars I’m gonna collect and restore and sell cars whatever whatever you love doing Let’s make money on it if it’s legal so number two number one number two in this whole process and it’s so so important and I want to Make sense of this before you even think of a business plan is I want you to think of who’s your competition? Who’s your competition? I’ve had so many clients that say mark. I’m gonna do this I’m like, did you realize ten other people have websites doing that? What’s what’s going on? You know, so I want to always say soon as you figure out what you’re gonna go into Find your competition someone I guarantee it is unless you’re a complete genius with a patentable idea Someone is already selling what you’re doing. Now. They may be doing a crappy job at it. They may have a crappy website I don’t know But find your competition so that you can improve on it find out what they’re charging and start doing some analysis and say man If they’re charging that or they really make them any money because I got to compete against that how am I going to differentiate myself? So find your competition, that’s where this is Just Faye’s I mean and again I have so many people call me up and we can do it today you want to talk about? LLC’s in escrow. Should I set up in Nevada? How do I pay myself? How do I pay my kids? How do I write off my car? I’ll talk about it. But first of all, I want to know what is your concept? What’s your what why are you doing this and what’s your competition? Then number three I want you to do a rough Business plan a rough business plan of just is this even gonna work? Do you know I have people that have come to me and said mark my business isn’t doing well And I say well two years ago when you started this did you do a business plan? They’re like no and we start to go through the numbers and just do some basic business plans and they’re like, oh my gosh I could have saved three years of my life Sometimes the best result of a business plan is to tell you it’s a bad idea That’s sometimes the best thing it’s not always what you know, I’m not gonna make millions. It’s like should I even do this? Don’t be doing a business plan to justify your venture do a business plan to poke holes in it and Figure out is it really worth it now on this note This is where my little eight steps workbook comes in free. Now if you share this video with anybody else Today whether you’re on YouTube or Facebook Rosalie gets a ping of all the people that share it she’s gonna do a drawing first thing in the morning I’ll sign this and Send it right out to you free of charge in the morning Now if you want to get this comes with a business plan a marketing Plan a strap plan in word so you can modify it But if you’re just looking for a facing business plan get over to sba.gov. They’ve got some wonderful resources, I think sba.gov Let’s write it up right in here SB A.gov does a great job helping people design their basic business plan I think I do a better job, but they’re not too bad now Once you do your rough business plan if this idea is making sense then you’re gonna go with a legit business plan and I want you to just Seriously buckle down put together a 10 to 20 business plan page business plan and figure out how you’re gonna market this really tear apart Your competition do your financial analysis your budgets and the whole nine yards Because you’re gonna move forward but the rough one can be done in a weekend. It can be done in a weekend All right Now my friends that is step one now again If you’ve got a question on any basic business strategy or tax write-off type it down below I’m here for you, even though tax season is over. We got the whole year here people. Let’s get to work on this This is good stuff now step two and this is so so important I’d like to talk about with clients is The financials if you’re gonna start a business, we’ve got to start with the numbers And the first thing I want to ask you is nail down your startup cost What does my startup cost gonna be to get this off the ground? Now for some of you that might be selling on the web It could be really affordable and simple to just get your product up and going website design a shopping cart PayPal configuration You’re off to the races with the merchant account But other times it can take a lot of money to get that off the ground So I’m gonna put startup cost nail it down. What’s every expense? I’m gonna need to get this thing launched. That’s part one. That’s step one in the financials so I’m gonna call this phase 2 phase 2 and Then step one is nailing down your startup cost. What are they gonna be? Put it on a spreadsheet? How does someone look over it for you? Which we’re gonna come to later here. This is gonna be good Now number two I want you to think about your break-even Analysis, this is really important now on the break-even I wanted there’s three types of breakeven analyses and I’m gonna just do one of them, but I want to talk about a product and Then a lot of you it’s going to be obvious after this to either do a service or even a real estate project And so those are another two type of breakeven analysis I won’t get into those in depth today, and there’s some of you have a question But I want to talk about a product there was this place down the street? This is totally funny You guys are gonna love it down the street. It was an uchi row place. They’re gonna sell churros I’m like, all right, whatever churros that’s it. They had a they’ve sold some hot chocolate too. I’m like man You better be freaking parked outside of Disneyland to sell the hell out of churros to make it worth it But they and I thought it was kind of a dumb idea but whatever So I went this is a break-even analysis that you could do on a freaking napkin at Denny’s They’re cheero was 4 bucks four dollars for a chair. Oh, all right, that’s cool Now before you even get to the four dollar cheero price, you’ve got to say what are the fixed cost now? They were open five days a week six hours. They had two Employees there and the rent is tomato. This joint was around 750 a month It was a small little dive and I’m one of those Shack scenarios. I just being generous was saying 2,000 a month 2,000 a month and break even so it’s our backup 2,000 a month in fixed costs So when I start to do a breakout and even an ALICE the first thing I want to know is what are the fixed cost? Just to open the door before I sell one cheero. What are my fixed costs? I estimated 2,000 now they’re selling these for four bucks upon now is every cheero profit or is there a variable cost? so if you think of the cost of the dough and Oil to you know, deep-fry this thing they would put cream in it and then you have cinnamon and sugar and all that jazz, right? Most restaurants going to push a 50% cost of food a food cost Ratio, so if this cheerios costing me four bucks, my variable cost is going to be two bucks So my variable to just produce a churro is two dollars I’m selling it for four and my fixed costs are 2,000 So if we start to do the math How many churros do I need to sell to just cover fixed costs before I even take a one dollar profit? You take your fixed cost divided by your gross profit margin My gross profit margin was $2.00 per cheer up So if I have 2000 and fixed cost I divide it by $2 partiro profit That means I have to sell a thousand Shiro’s a month Just to break even that’s a thousand euros. You said I could sell a thousand churros man. I’ve seen, you know people eat churros It’s a pretty popular food. I think people would eat churros all the time if I open up a good cheer place All right burn up. I ran some numbers Let’s say you’re open five days a week with the average month throughout the year that’s going to be 24 days that you’re open Now if I take a thousand and divide it by 24 that’s 41 zeroes a day now if you’re only open six hours I’ve got to average 70 rows an hour to just break even so butt in and you got to keep that up from the minute you open up if you’re gonna open up at 3 o’clock and Go until 9:00 p.m. At night Those are probably our hot times maybe or start at lunch and then it’s like I don’t know But you gotta be average in 7qi rows an hour Just to break even Now do you think the people that open this place maybe thought through that did they do a test market? Did they just open a little this is where test marking and a business plan can pay out if you go out and find another Chiral place even in the ream go to the next city over the next state and go Oh I finally found another chiral place take a day get a diet coke and a bag of chips and sit out there and count how many people are going in and Walking out with a Giro do some analysis guys before you waste the next three years of your life freaking run the numbers Find out what is it going to take to make some profit in this small little business. Is it really gonna pay out? What I think and when you start looking at a chiral place in Denver compared to this little small town in Idaho and you a man, I don’t know if I’m gonna have the traffic this place does in Denver I better rethink You just saved time. Alright now before I get into my third one that I want to hit here Nishan what do we got? Okay, nice Sean great question he says he’s gonna do a fixin flip now he said he’s gonna pop it now we’re gonna come back to number three here and Frankly what nishan saying is and I’m gonna play with this nishan He’s gonna do a real estate Deal now before he starts getting all hopped up on her upper and chip is my hero – and you’re saying Joanne’s Adorable chip. You’re a stud. You’re always down there to in tune the tear out. I love you chip. Here’s the thing Nishan before you go out and buy this place Let’s run the numbers and let’s see where we’re gonna put this So if you’re out there, you’re gonna put left side right side You’re gonna put your w-2 over here some you may have a small business some you may have an S corp But you’re putting your operations over here. You’re never gonna put your rentals in an S corporation We’re gonna drop your rental into an LLC and then say you’re gonna have a partner on this deal now He said if I go out and do this deal What is where do I record the profit and how do I record it before? I put it on my tax return? well let’s say you go out and buy this property and I’m just gonna use some examples that my son and I would this morning I Was out doing some cement helping out over on his little fix and flip, so let’s just run some numbers there He bought this place for 80 grand. That’s the purchase price Now we’re expecting to put into this thing about 70 grand We’re gonna be into this thing 70 K and we’re gonna have a total investment of a hundred and fifty thousand that’s gonna be called Basis that’s called basis. I’m into this for 150 grand and then we’re gonna sell it for probably two. So we’re gonna sell this thing sells price for 200 grand That means we’re gonna have profit of 50. Now, you’re gonna take out realtor fees and some Clutts cost to sale I know some of your freaking outgoing markets not that simple. So let’s take out 10 grand for Costas sale We’re gonna be at 40 grand in profit Now if I um, once you do the math of how much money you borrowed versus how much you invested I’ve got a $40,000 profit now. Here’s the issue Nishan says where do I put this on my tax return? Because I started it in 2017 maybe 2018, but I’m not gonna sell it till 2019 Is this a business? Can I take write-offs for all these repairs and improvements? The answer is not until you sell. So this is going to go Nishan typically on a Schedule D we’re gonna drop this on a Schedule D and you’re gonna show a capital gain of This and it’s gonna be short term capital gain, by the way And you’re gonna put this on the books and you’re gonna put your your cost of investment – your sales Here’s my profit This is not a business unless you start flipping more than just one If you’re not in the business of flips, it’s gonna go on a Schedule D Now nishan if you’re doing two to three flips a year I’m gonna pop this in on a Schedule C as in Charlie If you’re on a Schedule C and Charlie now I can write off your cellphone your home office your auto because you’ve got a business of Flipping and rehabbing, but if you’re just got a day job as an engineer and you’re gonna flip a property on the side That’s capital gain investment Now you’re gonna get a write-off for all the expenses related to that property you invested in but not until the game you sell All right. Okay. Next question. What was that Rosalie? What do we got? Okay Okay jack and what’s in his name’s – Oh Jack Jack boy All right, Jack boy says he is gonna start a barbecue place man. I had some great barbecue last night I’ll tell you so Jack you’re speaking to me. All right, Jack says, how do you figure out not? The the break-even Jack says what are my startup costs gonna be now the difference between start-up fixed and variable There are three different things. So let me use the example of the chair Oh shop See, I’ve got dears the difference. I’ve got to go put in equipment tables chairs Decorations a sign I got to get this piece of equipment that if I feed this batter into it’s gonna spit out a cheer Oh, I might have a drink machine. I might have just the equipment. That’s a startup cost How many may even have the down payment for your rent maybe first and last month? So you go through Jack boy and you’re gonna say I’ll open up the barbecue place. Maybe it’s gonna be a truck Maybe it’s gonna be a van Maybe it’s gonna be a little shop down the street if there’s gonna be a band How much is it to cost the band to equip it with a deep fryer in an oven? And I’m gonna do pull a barbecue pit behind me and smoke my meat all night long whatever it is What does the equipment cost you? To open the chair Oh shop That is your startup cost Write it down and go I got to come up with that money and maybe you partner with sewing you go find someone say hey If you’ll put in that money, I’ll go fifty-fifty with you. I’ll work my butt off we’ll get this going and you get every dollar a profit until you’re paid back and then we split profit 50/50 or Maybe you come in and say hey I get a salary and this and that so you’re gonna have your startup cost Then you’re gonna say what are my monthly cost to run this place? Even before I sell one piece of meat am I gonna have rent the employees that is going to be your monthly fixed cost then your variable cost is how much does the meat cost to produce I got to go down to Albertsons and buy this meat or just to Some butcher then I got to smoke it. I got to put seasoning on it. I got to have paints and Napkins and paper plates and silverware. Those are gonna be my variable costs. So I love your question jack You’re gonna go through your startup cash to open your fixed costs every month to stay open And then what are your variable cost to sell your barbecue once you nail down these numbers guys? This will happen automatically you’ll just be sitting at your kitchen table crunching these numbers and you’re gonna go wow This is a great idea or you’re gonna go wow This is a freaking stupid idea. And that’s why you’re doing this people on the kitchen table pounding this out okay, we got Jeff those busy say He spent about 2 or 3 grand getting off the ground he hasn’t made any money yet. That’s right He hasn’t sold one thing yet. So what? Else is in and people you need to know this. He is in start-up mode He is in start-up mode where he is like Thinking of a lemonade stand you got to get all the things geared up before you sell that first cup of lemonade You’re gonna buy cops. You’re gonna buy ice You’re gonna build a sign and you’re gonna be out there trying to get people to stop and buy a cup of lemonade the minute You make your first sale you’re in business. So these are called startup costs on a tax return. And on your I Think they’re it’s fair to say that in my analysis of financials you’re gonna say that’s my startup cash to open up this online business the Minute, he makes his first sale Jethro’s now you’re in business and you’re gonna say okay if I make sales Here’s what the cost is to produce that here’s how much time it’s gonna take is it worth my time and you’re gonna start doing your Analysis with your monthly cost your variable cost and your time. Is it worth it? so you’re gonna do this analysis in here and before you open the door, so then Jethro says do I open an LLC? It depends on the type of business I think nine times out of ten If you’re gonna go to the point of investing three thousand dollars, you’re gonna make this work you’re invested in it start your LLC But Jettas, I might just call it JB Enterprise, make it a generic name. It may not be digital marketing next week It might be drywall the next beat week. It might be chocolate chip cookies I don’t know. What have a business name for your LLC That’s generic so that you can start testing your ideas small business owners Don’t fail small business owners are flexible. They’re gonna change their idea They’re gonna change the business plan because they’re gonna know I can start making money if I just tweak this a little I get sick Of those it’s like oh three out of five business owners fail in the first two years. No my business owners Just change the idea didn’t mean they fail means they’re flexible. They’re they’re agile. So Jeff those I would set up a generic name for your LLC Set up the LLC in the state where you live open a bank account Start working on corporate credit get your credit rating going Start looking at your funding maybe a partnership and get this thing rockin All right. What do we got James one more question that I’m getting back to my financial Okay, James says when should I incorporate no jet dos this is important this is right along this question So Jethro says mark, I’m getting started. I haven’t made any money yet I’ve invested three grand into my business open the LLC James open the LLC. I would not call that incorporating I would call that establishing your LLC When do we go to an S Corp and really change this into an S corporation? We do that when we’re netting around 30,000 a year, that’s when it makes sense. Now, let’s back up. I want to blow everybody’s mind here This is how we do this. You’re gonna love this. This is mark Kohler 101 if I’m gonna go out and buy rental property It’s an LLC There are my rentals but if you’re gonna go out and start an operational business, you’re gonna either start out as a sole proprietor Which right now? That’s what gesso it. Just just so this Jethro’s I apologize couldn’t say your name so you’re a sole proprietorship Starting to online market, then you could set up an LLC and graduate to an LLC But at some point some people just go straight to it You’re gonna do an S corporation now Let me tell you why if you make let’s say you bring in 75 grand in your small business You spend 25 grand on expenses and you net 50 grand You’re gonna pay self-employment tax right out the front gate that’s gonna be 0.15 3 that is going to be 75 Hundred bucks right out of the gate then you pay state and federal tax So a small business owner Jethro’s it is an LLC. You don’t want to stay here too long But if you’re only making 10 to 20 grand, I don’t have many options. But once you’re netting at least 40, maybe 30 grand We’re gonna pop over to an escort. Now. Here’s why I make the same 75. I spend the same 25 and I met 50 apples-to-apples Now check this out. There’s no self-employment tax There’s no corporate tax and there’s no Obamacare. Do you own plane? This is awesome So we’re gonna rock it three We avoid all three of these taxes, but what I have to take is a salary So I take a salary of 25 I take my pass through is 25 so you still made 50 grand I just split it. I split it between payroll and k1 Now I only pay FICA that self-employment tax the F word I only play it on the 25 so inst if paying 7,500. I’m only paying 30 to 50 I just saved three grand graduating to the escort So people in summary start out as an LLC Start out as a sole prog Get your business planned in start running your numbers start testing your product use a generic name for your enemy Get out there, see how it’s going Then as you start to make money, we can always back date it into an S corporation when the time is right We only charge on on twenty five bucks to convert it over to an S corp when you’re ready to roll Now this by the way, I’m gonna say this in my tax and legal playbook I have a whole chapter on sole proprietors I have a whole chapter on LLC’s a whole chapter on escort hiring your spouse hiring your kids What how do I write off my car? How do I write off my home office babies? This is your handbook It is called the playbook for a reason you need this So I’m gonna give it away to anybody that shares this and is in the drawing in the morning with Rosalie Okay. Now before we go on I want to get back to my financial plan. I’ve got my startup cost Look at this erybody startup cost. I’m gonna calculate my variable in this piece You have to do your sales predict projection. Hello. That was a mouthful sales projection You’re gonna look at what are my costs fixed variable and startup and what are my sales projection and guys? I’m not kidding you one of the best ways to find out what your sales projections going to be is analyze your competition Get out there play magnum p.i Starsky and Hutch, whatever you want to call it sit in the car sure competition and see any sales of making Are you gonna be able to improve on that? What do you get? How are you gonna differentiate yourself guys were only on step two. I got eight steps here I’m gonna hit these last this third one real quick And then we’re gonna go on to Q&A for the rest of the time here now on my third step What I want to hit here and I wrote down some numbers on this Is I want to do the most masterful piece that I’ve changed. My life is you want this is step three You want to start and maintain? You guys this is so awesome start and maintain a strategic plan I call it the strat plan. This is your strategic plan and it starts there’s three steps here I want you to do your 10-year vision What do you expect from your what do you what do you want to see funny? I won’t even talk about your family your health your marriage your plans to run a marathon Yeah, and you worry about that outside the box here. What I want to ask you is Where do you see your finances in ten years? What type of business do you own? What does your cash flow look like? What is your 10-year vision taking away the restraints of time? finances and really resources education weight What could you realistically do in ten years? write that down go to your favorite spot in the mount each the park down the street and Ride it down guys, when I wrote down my 10-year vision. It was about three to four years ago It took me two months to write down. What do I really see? then you’re gonna share it with their significant other and I shared it with my wife and I’m like Hey, look at my ten year vision. She’s like any of my ten your vision I was like wow You’re good, and we got let’s start another two months from debate and and we came together because we wanted to work together But your share your 10-year vision with the people that you love And you’re gonna tell him here’s what I want to do in ten years if they’re not on the same page with you There’s got to be a change. You got to figure that out. That’s called your 10-year vision Then you’re gonna work backwards if you want to have ten rentals in ten years You’re gonna say hmm if I want ten rentals in ten years I better have five of them in five years And if I want to have five rentals in five years I better have three in the next three years and I thought I’m gonna have ten rentals in ten years I better have one this year You’re gonna start working backwards to make a plan now step one is your 10-year vision? You’re gonna work back into your year plan it’s I want to know where do you want to be in ten years and we’re gonna work and reverse and say What do you got to do this year realistically to get where you want to be in ten? That is your strap plan. And I’m gonna break it down to a three six and twelve month task list See guys if you want to have a small business, you just don’t say I’m gonna have a small business You’re gonna have a plan. What do I need to do in the next three months? What do I need to do in the next week? What do I have to do tomorrow? If you don’t put pen to paper and lay out your plan You’re going nowhere. You’ve got to write this down and it’s just not something you throw into serie on a note This is something you carry with you This is your life. And then you’re gonna work backwards and come up with your plan for the year then finally This is step three and this is guys something I believe in and I myself Who are the three to five people you love in your life? That will give you us you’re gonna have your S Corp eventually and you’re gonna have your LLC’s and you might have multiple LLC’s you’re gonna have a board of Directors for your corporation and you’re gonna have a Board of Advisors for your LLC All right. This is three to five people and guess what? You’re gonna talk about in your first meeting Your ten-year plan. You’re gonna share it with them You’re gonna ask them for advice and you’re gonna share it because when you share it It comes alive and it becomes real and people hold you accountable Boom, there you go people sit That’s my first three steps or phases of having a small business Get started re-watch this video write it down. I’ve got all sorts of YouTube videos and books that can help you get there now I want to do Q&A. I’m here for you, Eddy. What do we got? Eddy I freaking love it You know what? I’m gonna have fun with this because we were talking about this last week with my Son who was here when we were talking about his last little real estate project he has worked out a plan where he can have an LLC where he’s like 20% and he’s got a partner and He put in a lot of the money for this real estate project. Oh But did he put in the money? No, it is not a person it is an IRA so you can take your IRA or 401k your Set your HSA and you can start a business with a retirement account Now what I like to do with this is you can do multiple things you can say Hey on my investment side. I can do rentals I can buy cryptocurrency I can buy gold silver. I can buy racehorses Super Bowl tickets and resell them next year you can form an LLC owned by your IRA your HSA your 401k any of these types of retirement plans and self-direct it I’ve got a whole chapter in my book on self-directing you just Youtube kohler self-direct boom start watching some of those videos and you see what you can do with your retirement account next question Issac No, this is great Eddie says mark, I already have this is good. This is good Isaac. He says mark, I’ve got my escort I’m like, all right. We’ll call this Eddie Inc So Eddie has his escort and that’s cool Escort and he goes but I don’t I haven’t figure out what my what is I haven’t figured out what my business plan is I don’t know what I’m gonna sell. Is that gonna hurt in his corporation. No, not at all Is he got the car a little bit before the horse sure but Eddie it’s done you’ve spent the money to set it up That’s cool. You got a bank account You’re gonna have to maintain this thing You have to file a tax return every year you have to pay a filing to the state to keep this S corporation active So keep your S corp active and then when you start to launch your small business boom throw it in your escort, bud I love it the carts before the horse, but let’s not throw out the baby with the bathwater Let’s not get rid of this thing. Keep it it’s great. It’s ready to go and If you’re not gonna start a business in the next year, maybe let’s get rid of it Chris. What do we got? No, chris says he liked to deposit his w2 into his business and then write-off business expenses Oh Chris if we could only wish it so no, you cannot take your day job and turn it into business income and get it Right off for your car Your w-2 is kind of like stuck. That’s Something you’re gonna have to claim and pay taxes on and you’ve told Eames to cover that. That’s what you’re implying Their w-2 but guys, I want you to have this whole other world. I want you to have this bipolar, whatever It’s a dr. Jekyll and mr. Hyde. I want you to have this other life. That’s your small business So many people say I want to say taxes III need something to make more money. I want to have retirement Well that may not happen with your day job So let’s take this other life this other side of you and let’s make money on it. What are you passionate about? What do you love to do? Let’s make money at it now. I can write off your cell phone now I can write off your auto and your travel My friends is your small business on the site this other side of you. Okay, Kathy Oh Kathy whoo, I love this because I love marking Kathy says what are some low-cost ways to get going on your business? All right Let’s have fun with this. I don’t know what Kathy’s business is So I’m gonna keep this very generic Kathy in today’s day and age the first thing you’ve got to start with You’ve got to have a website don’t you know, I mean, I’m gonna do that. I want to have a name What is this name that you’re gonna brand because as you start to go marketing You’ve got to have something you believe in. It could be again. You can have an LLC. That’s a generic name like Eddy Inc But then you can set up what’s called DBAs or URLs a different website so you can have multiple Businesses going into one S corp. I only have one S corp in my life Mark Kohler ink and I got multiple businesses going into it. So the first thing is is I find a catchy name I like to brand you got a brand this what are your colors gonna be? What is your logo going to be and Make sure that it pops because you want to be able to sell this bad boy number four I got you know what I was going there. You’ve got to have a website Even if it’s just a landing page because the first thing people do today. Hey, you got a small business What’s the name of it and they look on their phone? It should be redundant meaning that it’s just as cool-looking on your phone as it is on a laptop or a desktop So make sure that your websites up and going number five For marketing, I’m gonna deal with it. I’m going to throw out social media. You got to get it out there You’re gonna have to choose the core social media you like I do the big four, I do Instagram Facebook LinkedIn and Twitter Those are my big four. Some of you are gonna have more of a good time with maybe Snapchat or what some other ones? What am I missing ladies? I Re I’m doing Instagram. I’m there. I’m a teenager at heart. Okay, we’re good Get your social media going and then number six is you want to come up with a referral network? I think one of the best things you can do is find other people that are going to refer to you a referral network It was really funny. I had this client. What was he selling? Maybe it’s best I don’t remember But he figured out the best referral network was Hair Salons Ladies would sit in the chair get their hair done for four freakin hours and spend $200 or more makes no sense at all Anyway, these ladies would be sitting in the chair forever at the hair salon talking about their business You know life and their crappy husband and all these things right and so their head air salon And he said if I could get my hair salon ladies to recommend my business, it was my best referral source So he started to go to these hair salons and give away freebies and money and all this stuff You need to find out who is most likely to refer customers to your business start building some Referral network an affiliate program. Anyway there six. Those are fun. I’ve got here. Oh you would love this I’m just gonna say this in my marketing section here of my book. I have 72 Let’s see what it is 72 different marketing ideas from social media to standard media to events to technologies to print and signage to Networking and you can go through and say am I going to do this in the next three six or nine months? So I’d really recommend you get over there Kathy Miami one last question Should we do it or one to we’re do two more questions Randy. What do we got? Okay randy says She’s got one S corp. This is very similar to me trami. She’s got one escort. And this is Ramy here and She’s doing her payroll and she’s doing her k1. We’re writing off all these wonderful expenses She has a board of directors here to share her plans with right isn’t this sweet? She’s got a tax ID number She’s got a bank account and she’s doing her QuickBooks, right? This is what we’re this is what we dream about, right? This is what small business owners do She’s got three LLC’s. Let’s see. What does Ramy doing. Let’s say Ramy has a food truck and she’s doing sprinkler systems and What else is Randy doing let’s think And Remi is doing drywall. Okay. So Remi she is very Very industrious with their hands these might look like three guy things that you know out here, but who knows I’m just being done Okay, she’s got three different LLC’s owned by her S corp. Is there a problem with that? No, it’s great. She’s got asset protection Between each operation. So if one person’s putting up drywall and gets hurt, they can’t touch her food operation vice versa So you’ve got three different businesses all funneling into one escort. That’s a beauty it’s called a consolidated tax return This is gonna be an 11 20s tax return. She’s gonna do one payroll for herself Write-off expenses that relate to all three businesses. She might have partners over here. She might have different websites over here So these are three different businesses, but all funneling into one consolidated entity very efficient. That’s what I do Ramy I like where your head is any last questions. Okay, Rabi Okay, well Rabi she threw me a softball She said how example looks those good her business how many checkbooks should she have? Well, you always want to have a checkbook for every entity you set up So we’ve got you know it and you need to have a personal checkbook So let’s do personal checkbook is number one because I want you to pay for groceries Underwear your car payment your house payment. Your rent is got to come out of your personal checkbook You always always have a personal checkbook. Then you’re gonna have a checkbook for your main corporate entity. Number two Then you’re gonna have a checkbook for each entity three four five. So you’re gonna have checkbooks. No guys You may already be freaking out now hearing with me. Some of you may be saying mark. Why am I gonna have five freakin checkbooks? guys, do you have one big bucket in your bedroom and you put your underwear and your shirts and your pants and your shoes all In this big bucket and when you come home, it’s a nightmare That’s what you do when you have one checkbook for all your businesses in your personal life. You’re screwing up your organization So many people come to me go mark I can’t have five checkbooks usher’s two crazy guys That’s like having five Chester drawers in your hat in your bedroom You want to separate your socks and your underwear and your jeans and your shirts? That’s what helps you be efficient get dressed quicker in the morning and keep your clothes clean and organized That’s the same way with your books I want you to have five checkbooks in this example because I want to keep your personal separate from your main business I want to keep your drywall business separate from your food business now You can have a QuickBooks file for each one of these one desktop QuickBooks allows you to have five different bank accounts five different checkbooks Five different sets of books. Now. You may even have a checkbook for your spouse You might this would be number six you might have a checkbook for savings for just emergencies You might have a checkbook for taxes that you’re setting aside for your deposits. So that’s seven That’s eight. And then each one of my kids have a checkbook. That’s 9 10 11 12 Then any other little small businesses? Oh, you’ve got rental properties. There’s another checkbook Okay, so, you know, I I go on my Wells Fargo app I’ve got like 25 checkbooks, but it’s okay. Each checkbook is a different drawer in my closet for a different type of clothing Stay organized with your checkbooks. It’s not too big a deal. Now. We have a law firm. We have an accounting firm We help clients all over the country. This is not a sales pitch video. This is here to help you. I love Entrepreneur Magazine I love what my team is doing over there and it’s just Ryan Shay The CEO does such a great job getting excellent information out there continue to get to your Entrepreneur website the entrepreneur social media post read the articles They’re so so helpful. But if you need a lawyer if you need an accountant, we’re here we help clients all over the country and probably your best bet is just get to my website because you’re gonna go to any of the other websites for mine, so go to WWE Kohler dot-com There you can sign up for my newsletter. It’s free every week I’ve got videos and blog posts that are free every week to help you in your tax and legal area Please subscribe if you’re on youtube to subscribe get over there. Click the bell so every time I do a new video you’ll get a ping and please finally give it a like give it a share and Rosalie in the morning is going to Let you know who the winner of these books are and I’ll send them out and finally I have a business owners workshop in five different locations this fall Chicago, Philadelphia Orange County Seattle and Honolulu. I know I go to Honolulu. It’s a pain I don’t really want to go I do it for you so you can get a tax write-off go to Honolulu Now you my Hawaiian clients, you know, I’m just joking around because I love to get over there We’re gonna go surf the North Shore in November baby now We also have our self-directed IRA summit in Chicago and also in Hawaii. We’re doing Chicago in June and Honolulu and August tax write-off to come visit we talked about how to self-direct your IRA your 401k your set your simple your HSA your Coverdale and we bring it all together with a luau in Chicago and port ellos. Sorry, did I say luau in Chicago luau in Honolulu and port ellos in Chicago? There we go. So anyway, check those out. They’re all on my site. You can sign up anytime you want. I appreciate it I’ll be here next week for another Facebook live and youtube live and if you’ve got a topic you want me to cover? Mention it down below. Rosalie will take a note and let’s do it. I’m here for you. Thanks everybody

The Biggest Mistake Marketers Make


One big mistake as an entrepreneur can cost
you millions of dollars, momentum, and years of lost time. And the reason why I tell you this is because
a lot of times marketers, when you think about marketers, there are a lot of mistakes you
can make as a marketer. And by the way, if you’re an entrepreneur,
CEO, guess what else you are? You are somewhat of a marketer, because at
the beginning when you’re building your company, as a founder, you may not know it, but you’re
marketing, whether it’s directly or indirectly, you’re marketing yourself. And you don’t ever want, as a marketer to
have a bipolar personality. Just like individuals sometimes one day we’re
happy, one day we’re upset, one day we’re this, one day we’re that. Sometimes you see some brands that they’re
so bipolar. They’re all over the place. They don’t even know what it is. It’s almost like a kid that wants to try to
please everybody. And the highest form of maturity is when one
becomes independent of others’ opinions, meaning you as a CEO, you as an entrepreneur, need
to position yourself and realize who you want to be and sticking to it. Here’s why the biggest mistake marketers will
make is trying to appeal to every single customer and you just can’t do that. Because no one hasn’t done it and become massively
big, because you just can’t do it. Now why is that? Let’s talk about it a little bit for you to
understand what it is. Look, there’s really four different categories
you can choose to be, as an entrepreneur, and as a business. Let me explain. On this side [left], we have high quality,
meaning the higher you are here, represents the better quality of a product you have. If you’re further on the pendulum here means
you’re low cost. Cost, more expensive [right], less expensive
[ left]. Better quality [top], lower quality [bottom]. So if your product is here [bottom left],
it means you’re what? Low cost, low quality. If your product falls here [top right], you’re
high quality, high cost. If you’re here [top left], quality is high,
but cost is low. If you’re here [bottom right], quality is
low and cost is high. Now some people may say, “Pat, can’t I just
be everywhere?” No, you can’t. It’s very simple. Harvard is here [top right]. A community college is here [bottom left]. Public education may be here, but some places,
if you go and live, I don’t know how many times. . . I’m going to try to get my kids into West
Plano area, because it has the great what? High quality education, but what? Low cost. That’s still a bracket you’re going into. You go into certain areas, and public school’s
going to be here [bottom left]. You go in some private schools and may be
up here [top right]. It doesn’t matter what the product is. I can go into different products. Let’s look over here, and I want to do a test
with you. Ferrari. Think about it. Which of these four categories do you think
Ferrari falls under? A low quality, low cost? No. Low quality high cost? It’s not low quality so we know automatically
it’s not here [bottom]. Is it high quality? Yes. Do we know it’s high quality, high cost? Yes, Ferrari is right here [top right]. How about Starbucks? You pay $5 for a cappuccino, whatever you
want to call a Frappuccino, so cost is high and quality is high. At least that’s what they claim. And if their quality wasn’t that high, they
wouldn’t be as big as they are today. So they must have great quality. If we go to Tesla, what do you think Tesla
is? Is Tesla very, very expensive? So you may say, no, the cost is not really
that high, but the quality is high. So maybe Tesla is here [top left]. Maybe Tesla is here. Because you can get a Tesla nowadays, what
Elon Musk’s goal is to try to produce a product that’s a middle America product, with a very,
very high quality. He wants to go here [top left]. That’s his goal. He’s not trying to be Ferrari. He wants to be here, high quality, low cost. Where’s Wal-Mart? Think about Wal-Mart. Do you think Wal-Mart cares that they’re here
[bottom left]? Wal-Mart’s the biggest company in the world. Wal-Mart doesn’t care if you don’t like Wal-Mart. Wal-Mart knows, we’re not going to sell $6,000
Canali suits, and we’re okay with it. You’re not going to go to Wal-Mart and say,
“I would like to buy some Ferragamo shoes.” They’re going to say, “I’m sorry, you want
what kind of shoes? We got a Ferrajack shoe, for $9.99. You’re not getting Ferragamo shoes here.” I’d like to get a Ferragamo belt. Ferra what? Ferra. . . We have Ferra belts, $11. Forget the gamo, we have the Ferra belt. You’re just not going to get that. And that’s where Wal-Mart plays. And by the way, they have 2.2 million employees
around the world. So if you say, “I don’t like Wal-Mart,” they
don’t care if you like them. That’s where they are [bottom left]. Jaguar. Some people say, why did you put Jaguar on
there? Because Jaguar is low quality, high cost. Before they become Ford, for many years, everybody
would make fun of Jaguar, because Jaguar wanted to be this high end, luxury car that you pay
$60,000 to drive, or $55,000, $80,000 to drive, and it looked good, but the quality just wasn’t
that good. It was very expensive, low quality. Until Ford bought Jaguar, and they changed
their reputation into what they are right now. If they didn’t, they would be still here. By the way, a IKEA would be what? IKEA would probably be low quality, low cost. IKEA would like to say we’re here [top left],
but they’re here [bottom left]. Now, for myself, when we started the company,
I started off, myself, as Morgan Stanley Dean Witter. .Now watch this. When I started with Morgan Stanley Dean Witter,
I just want to tell you this. The clientele you dealt with at Morgan Stanley
Dean Witter were who? People that had a net worth of a million dollars
and up. So I’m dealing purely here [top right]. Our fees were higher, but I’m also up here
[top right]. Then I went to Trans, then I started PHP,
with our friends. We started the PHP Agency. Our goal was to be high quality, low cost. This is where we wanted to be. We want to provide the highest quality products
out there, with the lowest amount of cost, that works for us. Now, anytime you create an identity, anytime
you create an identity, once you create an identity, you have a reputation of what your
product is. When you have a reputation of what your product
is, and all of a sudden you decide to change it, guess who you throw off? Your existing base of customers. Because here’s what happens. The thought is, well, you know what, if you
try to appeal to these guys, we’ll also do a very, very good job. Can you imagine how much money we could do? Because it makes sense, right, common sense
wise. You know, we need to get everybody because
it just makes a lot of sense. Really? Let me tell you a little bit of history. There used to be a time there was competition
for cigarettes. Many, many years ago. You had Marlboro, Camel, and Winston who were
competing. Very close. If you remember, Camel was about what? How cool they wanted to be, all this other
stuff, and Winston was coming up, all these things, and Marlboro. Okay? What ended up happening during this period,
Camel and Winston fell for market manipulation, media criticism, all this stuff, and this
is what the market did to them, media did. Media told Winston, Camel, and Marlboro, you
know what your mistake is? You don’t appeal to women. That was a big. . . believe it, you’re watching this right
now and saying, “Pat, what are you talking about?” Go study it. You don’t appeal to women. People are not attracted to Marlboro, Winston,
and Camel, and we believe, these are consultants, those who know everything, right? We believe if you try to start appealing to
women, you’re going to crush it, and the first one to do that is going to blow up. Really? So guess what happens? Camel and Winston fell for it. They started having girls smoking cigarettes
in commercials. They started having girls holding cigarettes
in magazines. They started having all these pretty girls
smoking cigarettes. And they said, Oh, we’re going to get it. We’re so smart. Marlboro is not moving. They don’t move. They don’t move. They don’t move. And guess what ended up happening? They never moved. Marlboro didn’t move. Marlboro didn’t fall for anything. Because Marlboro made a decision a long time
ago, Marlboro is a cigarette, this is how they are, and they’re completely okay with
that. Marlboro is a cigarette for man’s man. That’s their m.o. While everybody told them to switch, they
didn’t do it. Now watch what happened. Let me give you some numbers here. Today in the marketplace, Winston has 2% of
the market. Camel has 8% of the market. Newport has 13% of the market. And let me tell you what Marlboro’s got. Let me tell you here. So we got Winston what, 2? 8 [Camel], 13 [Newport]. You know what Marlboro’s got? 41% goes to Marlboro! You know why? Here’s why. Now it’s cigarettes, by the way, just so you
know, the brand alone, Marlboro, if you wanted to buy it, it’s $80 billion, if you want to
buy it today. Last year, 391 billion Marlboro cigarettes
were smoked, last year. Let me say it again. 391 billion cigarettes. I don’t smoke cigarettes. I can’t stand cigarettes. There’s nothing about cigarettes I like. My family, they were smokers. I cannot stand cigarettes to save my life. I’ll smoke four cigars per year, and that’s
pretty much it. I cannot stand the smell of cigarettes. 41%. Why? They stuck to their product. So the question comes back to you here. This is me and you talking now, nobody else. I got the question for you.. Who is your ideal customer? Who is your ideal customer? Are you trying to please everybody? Can you imagine if Morgan Stanley one day
says, “yes, our ideal client is a net-worth of $5 million, with a $1 million of investible
cash. And oh, by the way, you can also do $50 a
month with Morgan Stanley Dean Witter. What are you talking about? I go to the bank to do that. I go somewhere to open up a CD. You want to do that [top right]. No way. They lose their identity. And by the way, so many companies do this. So if you’re a smaller company and you’re
thinking, you know, it’s just me. . . so many people, because they see the potential
of the market and they want everything. It is very important. What if Wal-Mart, look how confusing this
could be. I want you to think about it. Wal-Mart makes an announcement next year,
and this is what Wal-Mart says. “Effective January 1st 2017, Wal-Mart will
start selling Ferragamo and Canali suits.” What would you say if Wal-Mart said that? Tell me you wouldn’t be confused. And by the way, do you think the customers
that go to Neiman Marcus, which is high-quality, high-cost, you think they would go into Wal-Mart
to go buy those Canali suits? Do you know how confusing it is? It’s very confusing. Very, very confusing. It’s the same to say if Neiman Marcus decided
to say, “We’re selling $9 shoes, come and get it.” That’s just not going to happen. So who’s you’re ideal customer? You. You’ve got to ask the question, do you know
it? Age bracket, income range, what do are they
doing, what do they like, why do they come to you? Who is your product? What are you marketing your product to? And then stick to it. And do whatever you can to compete in that
space and be the best in that space. So your biggest differentiator could be Neiman
Marcus and Nordstrom [top right], we are here [bottom left], and we’re happy with that. We are here [top left], we’re happy with that. You can go here [bottom right]. We’re going over here [bottom left]. Target likes to say Target is whatever, but
guess what? Target is not as low cost as Wal-Mart is. And by the way, here’s the other part to keep
in mind about this. Once you decide who your ideal customer is,
and once you decide where you want to position yourself, don’t let this confuse you. You will have enemies. You will have opposition. You will have people that will say terrible
idea, he has no clue what he’s doing. She has no idea what she’s doing. Everyone’s going to try to confuse you. And if you can stick to the message long enough,
you’ll succeed. If you can’t, you’re like the rest of the
entrepreneurs and marketers out there that made the mistake of trying to appeal to everybody,
and lost every single thing they had. And they lost their success, millions, and
they went from a market where they were competing with Marlboro and then all of a sudden, they
dropped, dropped, dropped, dropped. And now they’re at 2%. Winston, Winston in Iran was Winston. Winston is 2%. Camel used to be very famous. Today 8%. Marlboro 41%. Stick to your message for the longest period. Market it strong, until all of a sudden you
become one of the competitors, everyone says, “Oh my gosh, they’re so smart over there.” It’s not that you’re smart. It’s just the highest form of maturity is
when you become independent of other people’s opinions. And other’s opinions is everybody telling
you what to do. Stay focused on what you want to be and who
you want to be and where your ideal customers are going to be. With that being said, let’s get that pillow
here. Hey, I was excited about doing this episode. Very excited about doing this episode, because
I get this message all the time. Pat, I want to get this customer, that customer. This video is dedicated to all of you that
say, I want to get all. . when I ask you who your customer, you say everybody. I disconnect. Because you can’t have everybody as your customer. You’ve got to know exactly who your customer
is. Okay, first things first, if you haven’t subbed,
please do so. Click on the sub button here. And by the way, I think YouTube’s got a new
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to be at a million subs. I know a lot of people say it’s crazy. We just crossed 155,000 subs right now. Pat, you got 845 more to go. How do you think this is going to happen. One, no one thought we were going to get to
100,000 subs, when we were at 2,000 subs. But you helped us get there. And there are a lot of people that don’t think
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6 Things to Consider in Your First Year of Owning a Business


– Do you think an investor
will give me some money? – If you have a well thought
out business plan (laughs) – I will now thanks to this video. – Yeah. – It’s going brutal (laughs) Alright so you got your
business up and running, it’s the first year, now what? What do you do besides, celebrate, celebrate? – Well, after celebrating, you really want to, really
figure out what the foundations are of your business, but before you jump in,
you’re running your business, it gets tough. You have to remember to give
yourself some self-care. – Get your z’s. – Get your z’s, get your zen. You’re probably working,
I don’t know, 40, 50, 60, possibly more hours a week. And you can forget about
you, and you are important. If you get burnt out, then
that business suffers. So Em, what do you do
to get that self-care? Do you sleep for 20 hours a day? What is it? – Okay that’s excessive, but I’m all about the eight hours. Also, eating a well-balanced meal. I’m a big plant-based gal
for all you vegans out there. That keeps me refreshed,
feeling healthy, spry, also making sure to balance
my social life as well. ‘Cause I know, I work remote personally, so I’m at home, it’s easy to get the clocks strike 5:30
and you’re still working, ’cause it’s just like, you’re
in that work mode zone, so you gotta make sure to
really schedule out your days and ensure that you get
exercise in, a social life – Yes, absolutely. Social life is huge. Many of us, solopreneurs who
are just working by ourself or maybe with a small team, we get trapped in our
bubble and then we look up, it’s bedtime, and when we
wake up, and then we work on the business, and we
go to sleep, and it’s just a never-ending cycle. – Yeah, and then you get burned out, and then your business is
also going to experience that which brings me to, I know you
have a lot of info on this, the team that you cultivate as well, ’cause those are like people
you’re gonna be around, day in and day out, fulfilling
your goal and your mission. – Right. Like even if you’re a solopreneur, you still wanna surround
yourself with like-minded people. – That’s why I surround
myself with Nealey. – So many of us, again solopreneurs, we don’t have that team but
there are lots of places where you can find those
like-minded people like Em here. There are meetups you can go
to, they’re absolutely free and you can find people that like the same stuff that you do, or check out maybe a
local coworking space. There’s a ton of people just like you
– And free coffee. – Free coffee, usually
free beer with membership. I may know (laughs). – What’s next? What should I consider doing next in my first year of business? – Yeah so stick to the foundations. The foundations are never any fun, it’s not the fun side
of running a business, but they are so so so very important, and probably the first
thing that you should do, even just starting a business, is to register your
business with your state. Many people do this by filing as an LLC or a sole proprietorship. Probably the most common though is LLC. It helps protect your business
from your personal assets. – Question. Okay, LLC, I’ve seen this, and when my friends were doing their taxes and I would start to brainstorm, okay I see LLC, why are you
LLC versus Inc. versus Co.? How do you decide on that? Does it matter the type of
business you’re running, or the state you’re in, or? – It really depends on the
business that you’re running, and the team that you have behind it. So what I would recommend
is your state will have some information on how
to file your business, and give you some information
on what’s right for you. Should you be an LLC? Should you be a sole
proprietorship or a partnership, or a corporation? What does that look like? – Alright Nealey, so I’m having
flashbacks to my childhood when I wanted to be an entrepreneur, and I’d think about
having a business plan, and that’s when my parents would ask me, “Okay so you wanna own
an amusement park, cool, but what’s your business plan?” And so I’m thinking
about now, as an adult, and the entrepreneurs listening in in their first year of business. Real talk. Business plan, is that something you need to be doing right now, and
how do you go about that? How do you organize that? How much information do you need to know, or can you wing it? – Definitely don’t wing it. There’s a lot of business owners, especially just starting out,
solopreneurs, they’re like “Cool I’m just gonna
start my business and go.” But the business plan
keeps them locked in, helps them really find that
foundation that they’re gonna need to stand on when they start to really grow their business. Now business plans are pretty lengthy and it does take a ton of time to create. There are plenty of sites out there that’ll help you generate those, but we’re gonna go over some
of the different sections of a business plan, hopefully it’ll help you out a little bit. Alright Em, so the first
section of a business plan is the Executive Summary. Now you can really think
of this as the cliff notes for the entire document. It’s gonna give a little bit
about what that business is, the market it serves, and some information so if anyone were to read
this, like potential investors for your business, they know
what they’re gonna get into. – Okay so number two, don’t worry, I got this one Nealey, you wanna have a Business Description. What is your concept? So let’s go back to my amusement park. – Okay, let’s do it. – I think it should be a pizza park, because
– A pizza park? – What else would you wanna
eat and possibly throw up after a roller coaster ride? Pizza of course. – Those tilt-a-whirls are – It’s going brutal, (laughs) but that’s my, that is my concept. – Alright so number three
in your business plan is the Industry Analysis. Now going back to your pizza park, it’s really just an
overview of your industry. Who are the major
competitors in your industry? How do you rank up in that list? And just the market
itself in that industry. Alright Em, so with your competition, can you give us a little insight of who your competitors might be, and how you would stack up against them? – Yeah, so no big surprise
in the amusement park world, a few that are my
competitors would be like a Six Flags or, Disneyland or, what’s one of your favorites? – I think as a kid I used
to go to Busch Gardens a lot in Florida. They had the Sheikra ride,
that 90 degree straight angle, scared the, everything out
of my mom, it was fantastic. – He threw up pizza. So back to my amusement park. What makes me unique is that
it is this pizza-themed park. So not just the best slices of pizza from all different kind of themes, like we have the New York style, the deep dish Chicago style. – What’s your favorite? What style? – This is a little embarrassing, because it’s really boring, but I just like a good cheese pizza, like I am Kevin off of Home Alone, it’s just, I prefer dairy-free. – Chicago style or New York style? – In between the two. – Okay, you heard it here first. – And then also what’s
unique about the park is that everything is pizza-themed,
even the rides. So there’s a bunch of, really bizarre-looking
rides because they’re shaped out of like pepperonis, and
dripping cheese for the slide, but it really sets me
apart from everyone else, and fun fact, all the prizes that you can win too, are also pizza-themed.
– Pizza-themed. Heck yes. I’m here for it. – Cool. Come on down. Get you a deal on your summer. – Come on down to pizza park. (laughs) – Okay so another thing that comes up, here I’m just one person, I’m gonna have an amusement
park to draw in a lot of people, I need a good team, how do you go about organizing that? Who’s gonna do what? What’s the organization
of this pizza park? – Right. And that’s number four. That’s the organization
in your business plan. Who’s gonna run it? Is it just you? Are you going to have a team? Are you gonna have a board of directors, and investors, and all this good stuff? And that’s where you map that all out, so you really have that
plan when you go to start your amusement park, ’cause
I know you’re awesome, you can do a lot, but you can’t be running
from ride to ride to ride stopping and starting it, plus running the business,
– That’s a lot of work. – Plus eating the pizza, I get it. You need people. – Yeah I worked at an
amusement park, fun fact, when I was 16, and it was just enough doing one ride, and you just pull a lever
and then you stop it, but kids are, – It’s riveting.
– they are a mind of their own. Mind of their own. – Alright so number five is
your Financial Projections. Now I’m not saying you’re gonna go with, “I’m gonna make a million dollars,” and that’s it. – What are you talking about? – My projection. Now this is
– That was my plan. – This is what your budget is, how much you’re gonna be spending, what you’re projected to make. Not every business is profitable in their first year of business, that’s more like two,
three, and five years. You really want to have that plan, that projection of what you think with the industry and the competitors and the market and your customers and how much you’re selling tickets for, all in that little projection there. So, do you have projections
on your business? Are you gonna be making a
million dollars that first year? What are we doin’? – Well, maybe we should sit down over some pizza and talk about this, but I just kinda feel really confident about my business model. I’m just thinking put it together, however much money it
costs to put this on, what have you, that’s fine. The customers are just
gonna come rolling in. – If you build it they will come? – Yes, field of dreams right? – Yeah. – Yes I got it, movie trivia point, Emma. So yeah I just hadn’t really thought about the exact numbers. – We’ll go over that. – Okay thanks. Thanks. Alright so with everything
we’ve talked about, now we are at number
six which is, investor, you have a great idea, you have a well thought out plan, now you gotta go and get an investor, get that money. Right? – Absolutely. That’s the whole point.
– Show me the money! – Show me the money, give me the money! But you want to, you’re building this business
plan to get investors, that’s one of the main key points of this, that investors don’t wanna just hand out their money anywhere. Have you seen Shark Tank? They’re not just saying yes to everyone. They have a plan.
– They’re very picky. – Very very picky, and that’s why you have your business plan, it’s well thought out, well written, and that last part, that investor request, or that finance request is really to say, here is exactly what I’m asking for, and then let the negotiation continue. – So with my idea being pizza park, and what we’ve discussed, the themes, the uniqueness, the vibe, the fun, do you think an investor
will give me some money? – If you have a well
thought out business plan. (laughs) – I will now, thanks to this video. – Yeah! – So let’s say good news,
the investor likes my idea, and I did in fact get the
money to pursue my idea. Next thing I’m thinking of is, keeping track of how
much I’m spending, where, how do I look for a return on investment? How do I keep that all organized, because I’m gonna be dishing money out in all sorts of places. What are your recommendations though from your experience, Nealey, with keeping track of ROI? – Yeah especially in your first year you have to keep track
of literally everything. And now what a lot of people
do is they go Gung-ho and crazy and start spending their
money on a bunch of things ’cause they think they
need everything right now. But what I would recommend is go lean, and really focus on your ROI, or your return on investment. Make sure the money
that you’re dishing out to your amusement park, you’re dishing out with your business is actually getting customers back. ‘Cause at the end of the day, if you run out of money, and there’s no more investors, there’s no more business. So focus on that, and you can do that with
some bookkeeping software, like QuickBooks is the
main competitor out there. There’s GoDaddy Bookkeeping, there’s many many other ones as well that’ll help keep track of your income, your expenses, and even
help you with tax time, or tax season rather. – I love that. Help you stay organized. Definitely check out
the resources you have, will make your life a lot easier, and, – So much easier.
– Your bank account happy. – Yeah we gotta keep
the bank account happy. How else are you gonna
buy all of this pizza? – Otherwise you’ll just be, at home sitting on the
couch eating cheap pizza, and that’s depressing. So I imagine with
everything we’ve discussed, and I know this comes up
a lot with social media when I’m educating on best practices, trial and error. Expect it. It’s going to be definitely something that you need to embrace, trial and error. Also just keeping in check
with how your team is doing and make sure they’re
on board with the goals and the success and your struggles, so open communication is key too. But expect to have some trial and error, would you agree? – Absolutely. One of my favorite little
quotes or whatever is, “Failure is feedback.” Failure is not the end of the road, it’s something that you learn to kind of grow and just becomes the
better you or better business. So fail early, fail often,
but always keep learning. – I love that. And if you love this, be sure to like this video. Also, subscribe to the channel, and – Ring that bell. – And comment below on
what you learned to do for your first year of business. – This is The Journey. We’ll see you next time.