Speaker 1Last June, our business did a total of $9,000 in revenue. Six months later, we have a million dollar business. In this episode, my partner Tomer and I go through the daily process that we would commit to regardless of what happened.
Speaker 2I made a decision to not trying to focus on creating cash flow. It makes you almost blind to the truth.
Speaker 1The dopamine wasn't the growth. The dopamine was doing the work. And it's not sexy. It's so boring most people would overlook it. This is a process that you can install into any business. And every single time this system is put into place, the business magically grows.
Speaker 2Everyone is looking for AI and automations. Just being very personal with people makes a difference.
Speaker 1I want to unpack that with you.
Speaker 2By chasing. Fast results, you spend more money. You spend your time chasing the next thing that will get you the faster result. But then I realized that the fastest way to get faster results is to. We went into
Speaker 1a saturated, overcrowded, skeptical market. And we did it the way that everybody says to do it. And we also did it on the side. And then finally. We committed to it. Did it in a completely opposite way of what everybody says you should do. And six months later, we had a million-dollar business. So I want to go into exactly how we did it. And tell all the nitty-gritty step-by-step of how we got there. And I want to show that this way of doing it, which is provable, can be installed into just about any business. Even if it's. An entrepreneur has been beating their head against the wall for a long time. Because that's what we were doing. And we just rolled up our sleeves and ran this process. And now we've got a million-dollar business. And we're growing month over month over month. And it's fun again. But before we go into that, tell me how you made your money building businesses the way that everybody else says you should do it until we made a change.
Speaker 2So I built my previous business, which was an agency that helped brands. Thinking that all I need to do as the owner and the founder is to hire more people so I can grow faster, so I can do less of the things that I don't want to do, so that I can reach my goals. And it took me a very long time, too long, to realize that it comes at a very high cost. And I'm taking. Very, very big risks. And these risks might not pay off. And I had the belief that I should invest more of my own money. Even though the business was growing, but even though I'm losing money. So I need to hire more people, or different people, or better people, and more expensive things, and more automations, and more outsourcing. Until I realized that there is no end. And I'm going to risk years of my life paying off this debt if I'm not making any changes. So one day, I decided. It wasn't one day, but one day I realized that I can't do this anymore.
Speaker 1Why did you keep putting money into a business when it wasn't going in the direction that you thought it would?
Speaker 2It was going in the direction that. Felt like progress. So we had more clients, but more clients required more team members. And more team members required a bigger office. And this is how it snowballed. And then one day, you don't have that client. You don't have the other client. And then COVID hits. And this happened, and this happened. And now you're left with all this overhead. And it's very, very hard to go back. Because you don't want to disappoint people. You don't want to feel like. You're shrinking your own business. So there is a lot of ego in it. And also, you see other businesses who are doing the same thing. And they're doing fine. They're doing really well. Like they say they are. Yes, exactly. That's what I realized years later. But I realized that I need for a change to do things on my own without leaning on team members and advisors and experts. And hire them out. So that's where I started this process.
Speaker 1You did what everybody says you should do. Scale, scale, scale. Outsource everything you can. Focus on only the things that you're good at. Hire out everything else. And there's good advice in there. But the way that it showed up in your business was avoidance. You don't want to fire that person. No one does. You don't want to make that cut. No one does. But you ran a team that had a lot of overhead. And the minute things go down, it unraveled real quick. Is that a fair summary?
Speaker 2A very fair summary.
Speaker 1That's hard. And not a lot of people talk about that unraveling process. Did you try to fix it on the way down?
Speaker 2I did. And I thought that I needed to make. to make the money that I lost in the same way that I lost it.
Speaker 1That rings a bell. Yes, yes. Would you like to tell what that quote came from?
Speaker 2So I was sharing that with you. I think it was last year. Exactly. There you go. And once I shared it, I think you were saying something like, oh, sounds like my life story. Like, oh, really? I was the only person on the planet that had this very sad story, very embarrassing story. And just by you saying it, I was like, oh, I felt such relief.
Speaker 1When I told you my story? Yes. And I don't remember which story I told you. About that brand. Yeah, I mean, I bought, for anyone not named Homer who's listening or watching here right now, I also bought a business and had a lot of expenses, and it was really hard for a couple of years. I shouldn't have bought that business. I had no business buying that business, but I did. And I made good on my promises, but it cost me millions of dollars, and that was really hard for several years to grind through that and lost a lot of sleep over that. And I told you that, and you realized, oh, other entrepreneurs go through these challenges. Yes. Yes. Yes. And I think what I told you was that I realized that you don't need to make the money back in the same way that you lost it. You don't need to fix that problem in order to make your money back. You can do other things and make more money. And that seemed like it was a big shift for you.
Speaker 2Yes, because it felt like I'm doing something wrong by taking money that I earned. Yes. Yes. I'm doing something wrong by taking money that I earned now to fix problems that my previous business created. And it was more of an emotional hurdle. It was not something that was logical, because money is money. I'm making money. I need to pay that money. That's it. So I tried to beat that horse of, hey, I need to make money this way. And making money this way also meant keeping the team, hiring people. And. And that's where I realized that it is OK to stop bleeding with that business so I can focus on making more money and pay off this debt. And that's what happened.
Speaker 1And since you made that decision, there's just been this new re-energized focus that has allowed our partnership to really flourish. And again, we had this little side project. We had this little side project. That was doing $10,000 a month if we had a good month. And once we flipped into this different mode, now the business is a million dollar business. And we're so pumped about it. Meanwhile, you and I haven't paid ourselves nothing. But man, are we having a good time. And now we really believe that this business is a good time. This is a multi-million dollar business. You threw the number out. I think we could do about $30 million a year. Yeah. OK. Cool. We could. I mean, let's, like, one, I'm happy with one right now. We'll be at two soon. We'll probably end this year at a $2 million run rate. And these types of businesses tend to double for at least the first couple years. All right. And then we can talk about 30. But let's talk about how we got to one. Because we really stuttered for a long, long time at $5,000, $10,000, maybe $12,000 a month. and now we got a million dollar business. I think it started with that phone call back in June of last year. Would you tell the story from your point of view?
Speaker 2Yes. So I made a decision to not trying to focus on creating cashflow or not dealing with the fact that I have this debt that I have to pay off because switch was not making me or us any profit that we could take. And I knew that it's not going to be this way for a very long time. So I thought it would be irresponsible to focus on my long-term plans, which is building switch when I have this immediate need. So I gave switch maybe 5% of my mental bandwidth and my time. Because I felt it would more than that would be irresponsible for myself. And then I made a decision to treat switch as it was making me money, all that money. Like I don't need cashflow. I don't need any of that for a while. And let's see what happens. And does that mean that energetically
Speaker 1that you were, you were, you were almost not showing up to switch because it wasn't feeding you. And then you just decided I'm going to pour my own energy into it. Pretend like I'm going to get nothing out of it for a while. You kind of, you punted what you needed to get out of it for a while. Is that what you're saying?
Speaker 2I wasn't planning on getting anything out of it for, for a while, but I wanted to treat it as my first priority so that it could get me what I want later on. And when I decided I'm going to make this change in my mind for a set period of time, three months, four months, it would not be irresponsible. It would just be an experiment and I will get over it if that doesn't work out. So I decided that the first thing that I'll do every morning instead of the last thing would be to focus on switch. And this is where like, huh, so what do I do with all that time? Now I have all that time in my hand. I have all this energy. What, where should I spend it on? What should I spend it on? My time and my energy, not money for a change. Now, and this is where we had this conversation and said, Ryan, okay, this is, this is where we're at. Let's map this out. Let's, let's, let's, I'm, I'm open to do whatever it takes. I want to do it. So let's plan this out. What would it look like over the next three months? Not three years, just the next three months. We mapped this out and you gave me a few really good insights that I can summarize as let's focus on what we already have, not on how we can get more and what got us to 10K a month. Let's see what it was so that we can take it to a hundred K a month. And this is where I started seeing all of our wins. So let's look at it from a, from a, from a perspective, which is harder than looking at the 90,000 that we are not making.
Speaker 1Yes. Yes. I only knew to give you that advice because I have lived my life in that gap. I am here. I want to be here. What do I need to do in order to close that gap? Rather than saying I'm here, how did I get here? Do more of the best parts of that. Then worry about adding more stuff. I need to maximize what got you here that is working absurdly well, or the best of that. And then maybe test some other strategies. But what I did for a long time and what many entrepreneurs do is you say, that's nice. Now I need a new strategy. What got you here won't get you there. So let me completely change the plan. When there's so much more to milk in what got you to 10 grand a month. Now, of course, 10 grand a month, isn't where we want to be. That's a very small business, but we started looking at the pieces that were working in there and getting better at those. And I asked you a question on that phone call. I said, would it be progress if we got to $20,000 a month? Yes. Okay. After that, would it be progress if we got to 30 or four and we just played that game? Would it be progress if we grew or is it only progress if we get to 100? $100,000 a month. Because if it's only a win at $100,000 a month, then we're losing the entire way and we need to get a new plan. And, but if it's winning, if we get to 20, then we just need to get better at what we're already doing. And I think that started to flip the conversation in the way that we approach things.
Speaker 2Yes, absolutely. Because it's more fun and exciting to think about the new things because you have all these opportunities. If you just, you know, Google, how do I make money in e-commerce or how should I grow my e-commerce business? You would see so many people who say that they've done this and TikTok shop and that. They find this podcast,
Speaker 1this conversation right here.
Speaker 2Yeah, exactly. Just stop writing. So, so this feels more fun. It's more exciting. And as entrepreneurs, I think we're looking for that novelty and these dope, these dope, I mean, hits of starting new things. And it's, it's harder to do the same thing that you've done because you're not getting the results in the pace that you wanted to get them. So you feel like you're not doing something right because you should be here, but you're actually here. That's exactly right. So it's wrong. But if you just focus on what gets you there and double down on it, then you could get here and then you could get there and you can get there.
Speaker 1You can make 5% improvements. 5% improvements feel like nothing when you're not selling much or there's not much growth happening. But give it enough 5% improvements and you double, quadruple, quintuple. I don't know what the upples are after that.
Speaker 2It's like, it's like dividend paying stocks. You invest the, you reinvest the profits. So at first it feels really small and slow, but before you know it, it compounds really quickly. And that, that was the same thing about those two 10K that we were making. Like we only had 247 followers. On Instagram. So why would we bother posting every day? We only had.
Speaker 1Is that what we really had? Or are you making that number up?
Speaker 2We had 200 something.
Speaker 1We had 247 followers. Why post to them? No one's watching. We'll post when we get to 2000.
Speaker 2So let's just wait for that to happen. Let's just wait. Let's not do anything. We email our list twice a week. If only 57 people are opening up. Right. We actually have. We had more than that, but it just feels this and you're like, okay, so how do I get 10,000 people on my email list? How do I get 2000 followers? When I get there, I'll do those things. But you get there when you do those things. Like even if nobody's watching, listening, or if you only get 1.2 likes per post on average, because this is how you get to two likes per post. And then you get five more followers. And then you double down on these, on those micro wins. And this is where the compounding really happens. This is where you're getting excited about those small wins. So it helps, it gives you even the energy to keep doing that. So before you know it, these wins like turn to be really big.
Speaker 1So why don't you share the plan we came up with? And then we'll dive deeper into how that started to move the needle and grow to a million dollar business.
Speaker 2So the first question you asked me was what got us to 10K? And then we broke it down. Or what do we have as a brand? Like what are the assets that we have?
Speaker 1So. What are we working with? What do we got?
Speaker 2Exactly. So we had our email list. We had our very small following. We had our influence, a few influencer relationships, and we had some social proof.
Speaker 1And it's important when you say influencer relationships, that doesn't necessarily mean people are posting about us. It means we have a relationship. It means we can call them. We can reach out to them. And some of them had 10,000 followers or so, or they had replied to a message of ours. It doesn't mean that we're best friends. It means that, all right, we have a relationship here. Don't know what to do with them yet, but it's an asset that we have. And these customers, maybe they haven't heard from us in a while, but it's an asset that we have. We started just looking at what do we got? What do we have to work with? What do we have in the box that we can start to piece together?
Speaker 2Yes. And how can we leverage that to create more of these wins? Not two X jumps, but how can we get 10% better? How can we keep doing the thing? And that thing was to go really deep and make every interaction meaningful. Not looking to create as many interactions as possible, but to make each one of them very, very meaningful and so you treat your 15 subscribers or 15 customers that you have as an example really really really well like the five that bought yesterday you just go out of your way yes to thank them yes and it's easy when you get five sales a day to say how do i get it 50 i need to 10x what i'm doing but this is not the fastest way actually it's not even the easiest way the easier way and the faster way would be how can i compound the five sales and customers that i have and the two that said that they had really good experience with my product so that i can get five more and once you start building that system then it very quickly compounds because those five customers now become three of them become raving fans who tell two of their friends and one of them left an amazon review and it's again it's easy to say i only have 13 amazon reviews i need 100 but i only got one sale a day so what do i do but if you take each of those reviews and you post it on instagram and you send it to your list and then you get three more sales and you follow up with these customers and you get more reviews before you know it you're 100 reviews and before you know it these 100 reviews really scale up your sales so it's not about counting the money more than these how do i count those micro wins like now i got three likes on that post cool let's dm these people and thank them for liking my post and start a conversation not because it's scalable it's not scalable but you should do the unscalable things at first so that you can scale faster later
Speaker 1and it's not scalable to one person but you can instill a culture of appreciation of your customers and your wins and actually systemize that for when you bring on somebody who is in charge of customer experience but at first you as the founder or the operator have to be appreciating what is there rather than resentful of what is there you and i both do coaching calls for our clients and we've both noticed a tendency and we probably noticed because some of this lives in us too and we've both dealt with this and have gone in a different direction hopefully which is that when someone's not getting the results that they want they're almost resentful of what is there like what is here i'm at ten thousand dollars a month and i resent it because i'm not at a hundred thousand dollars a month and whether it's energy or woo shit or it's just psychology you tend not to grow from that place whereas when you're appreciative of the customers that got you here you tend to treat them better look forward to the next one and excitedly serve those that come into your fold which creates a much better experience and that tends to percolate out to other people it's like the same way of when i'm enjoying an interview or a video or a piece of content it tends to percolate out to other people it's like the same way of when i'm enjoying an interview it tends to perform better than when i am angry and resentful and closed off and i don't want to be doing this because you treat it with a different level of intent and thoughtfulness and if they're your customers you might want to show some appreciation and some thoughtfulness into their experience so we went all in on that how do we just create meaningful interactions appreciate our customers have really strong intent and then let's see what happens as some stuff
Speaker 2started to happen yes absolutely and it's it's really like making money where it's it's hard to if you're here and you want to make more money like okay what do i need to do to make more money but you could think about how do i use the money that i already have to create more money and and this is the same thing how can i use my very small audience to get more customers to grow my to grow my audience how can i use the seven influencer relationships who said or seven influencers who just said they love my product so that two of them could post to their 7 000 followers so that three of them will follow us so that we can follow up with them add them to our list email that list get customers post reviews yeah but it's very hard to do again when you see your competitors or people you or people you aspire to be yeah i have 50 000 followers or they're making as much but the thing is that because none of them are doing those things then doing those things is what makes you unique and stand out so in in the world everyone is looking for ai and automations and outsourcing and virtual assistants and all of that just being very personal with people not just your customers makes a difference people really appreciate it and when they appreciate it they can add more value to our business more than we think that they can because if you have if you sell your product for 30 and you had five sales yesterday yes it's 150 but if two of these reviews would get you five more customers then what is the value of these five customers initially it's way higher than what you'd think it is and then when you compound it it's it's very easy to see how every sale matters and before that sale there is someone who interacted with you there was a lead there was a follower so you can see how every interaction with the follower would lead to one customer and how that one customer would lead to two more
Speaker 1and that's it i remember talking about how we wanted sales to grow but we can't control that what we can control is the things that lead up to sales i think when i taught this for the first time i said it was like a cake we we can't control how many cakes are produced but we can control how many ingredients we have no analogy is perfect and that's not a very good one but we started focusing on the ingredients to sales what do you need in order for sales to grow well you need social proof you need reviews you need the leads and what what what what are the precursors to those well those are meaningful interactions those are pieces of content that's outreach these are things we can control we can't make the sales numbers go up but we can control how many pieces of content we make we can control how many interactions we have to make and we can control how many people who are leads or not we can control how many times we send people to an opt-in page that properly frames them to buy something these are all things that we can control and maybe we can't make them go up fast but we know what to do so there were a few daily habits that we decided to commit to could you share
Speaker 2what those were yes so the first one was interacting with every person that we were interacting with and the first one was to reach out to these people and thank them for interacting with us and understanding what led us what led them to follow us or interact with us or like our posts same thing with people who joined our list so the first one was to reach out to these people and thank them for interacting with us and understanding what led us what led them to follow us or interact with us or like our posts same thing with people who joined our list second thing is reaching out to influencers who our ideal customers trust or that are looking for new solutions for for us it was sleep a sleep supplement for their audience and just as as you said we can't control what they would do with it we can't control if they would like the product or not but we can put our product out there and we can reach out to them and have conversations and this is why we call planting seeds because we just plant these seed we don't know what will happen with it but we know that if we keep doing this for a while then something will happen and we know that things happen and the same things with again with that follower that you reach out to because you don't know what would happen with that message that you will send the the worst case is if nothing will happen the best case is that that person would introduce you to someone or they refer five of their friends and they turn into your best testimonial ever that will allow you to have to create more sales and attract more customers but it's very hard to see that when you're not getting that result yes so i remember something that that you said on that call or in one of our texts later like the work right now is just doing the work just give yourself space to do those things one of them again was reaching out to people focusing on what led us to 10k and just do that for 60 days and see what happens and this is where i allowed myself not to get the results that i thought i should get and just doing the thing and worst case i'll be okay cool it did not work but let's see and let's see what happens let
Speaker 1me do a 60-day experiment where i just focus on doing the work not worry about the results at all
Speaker 2the result is me completing my check yes i created this checklist for myself that was the first thing that i've done every morning and for me that was the win because i knew that if i can get over it myself personally then i'll be able to keep doing that yes so i just needed to get over the need to see the immediate feedback and it's very very hard this is why people turn to these i would call it fast like how can you grow as fast as possible and it makes you it makes you almost blind to the truth like you hear about this opportunity tiktok shop um crypto whatever it is and and and for the for for by chasing fast results we and i've been there for a very long time you spend more money you spend your time chasing the next thing that will get you the faster result but then i realized that the fastest way to get faster results is to get the fastest results is to stop chasing new things that could get you faster results because again it's just fun it's exciting but it's not going to get you there so it's very hard for an entrepreneur to stop chasing new things and to start just doing boring stuff that at first they feel exciting but if anyone is who's watching this or listening to this podcast it will be boring at some point especially when you're not going to see the results that you thought you should get but this is exactly where you need to keep going and what was really helpful for me was to time limit it like i only going to do this for 90 days and i'm gonna i'm gonna count the wins that i've had and i know that and i knew that i'm gonna i'm going to create process either way i'll have 100 more email subscribers i'll have 50 more subscribers i'll have 50 more subscribers i'll have 50 more subscribers or at the very least i created whatever amount of content or reached out to that amount of influencers and i know what not to do
Speaker 1i can't lose there will be a net benefit no matter what if i just sit down and do the work and you changed your source of dopamine by doing that the dopamine wasn't the growth the dopamine was doing the work i get all of these things done i have accomplished what is required and then i love how you said it makes you blind to the truth when you're pursuing these fast wins because what we started to see when we just focused on the work was we started to see the truth we started to see the wins that were already there and the wins that we could cultivate and this is where i say we flipped dopamine to our advantage because now we started chasing the real wins we started chasing reviews we started chasing leads we started chasing relationships meaningful interactions and when we're texting about it we're celebrating those like we just had our first hundred thousand dollar month look at this review we got look at this comment we got and now it gets real fun yeah
Speaker 2it is really fun it is really fun and it it started being fun when we as you said we change our source of dopamine because dopamine is fun so when you just shift your perspective to what fun is you start seeing that there's a lot of fun in what you're already doing because you know we get these amazing testimonials from people who you know a few days ago someone said you really literally saved my life and it's very it's very easy to miss those things because you don't see okay but why aren't you paying me a million dollars if i said but if you appreciate that and you don't you don't just pass by that and you use that to your advantage as how can i communicate that to other people even if there's only five people who's going to listen to this or read this testimonial but maybe it would change something for that one person who follows us for a year and maybe they will buy the product and become the next customer who create this review so the dopamine comes from these wins that are not even monetary but we know that or at least at first you have to believe that they will lead to more money growth sales etc but at first you don't see that
Speaker 1i like the phrase that what you appreciate appreciates whatever you give your attention to and you appreciate you tend to get more of and we started appreciating the positive feedback that we were getting and as a result we started getting more positive feedback that's not necessarily a woo-woo energetic thing there was a practical application to that when someone gave us a positive piece of feedback we started sharing it we started emailing it saving it using it again later finding different ways to showcase it in our content and as we celebrated and appreciated that positive momentum we started getting other positive pieces of feedback and we enjoyed it so much we started soliciting positive feedback in a cool ethical way when we have a meaningful interaction we ask for the feedback and when it's positive we celebrate it and we appreciate it and all of a sudden we're rewiring ourselves to drive the things that we're appreciating and that we are giving attention to which happen to be all these precursors of sales and now we've got all of a sudden we're getting more positive feedback and we've got all these ingredients for the cake that we can make that turns into more sales the byproduct ended up being that we started seeing month over month growth i don't remember the numbers offhand but they were small at first and then they started to jump do you remember what the growth looked like for the first few months when we started doing this process
Speaker 2roughly i remember that in june we sold around 9k by september it was 33 and i i can touch that on how that happened i think july and august were around 17k ish so we almost doubled month over month yeah or once every two months and that big jump in september we had a few influencers who posted about us for example but they were the result of us posting more social proof yes and when we reached out to them they saw the social proof that we posted because they followed us and they wanted to try the product even more now that you've seen all these social proof so this is how things compound on top of one another so it's easy to say oh i'm reaching out these people or i'm dming my followers and nobody's responding right because they don't know why they should respond over to you because they don't know anything about your brand but if they would see three people who said that they love your product then maybe that influencer will respond back and maybe that customer will decide to buy and they will become your raving fan and this is how you spin that flywheel so 17k 33k september january we're over 60 and we have many many many days most days that we hit up 3k a day or 100k a month ish and it it snowballed way faster than i planned which is exactly the opposite of what happened i did not expect us to be here if you were to ask me six months ago i'd be very happy for 30k by now but it happened in three months
Speaker 1and because things grew faster than expected we actually had inventory issues multiple times in those six months so even though we had this great compounding growth it was slowed by the fact that we had multiple weeks where we had nothing to sell because
Speaker 2their growth was faster than what we were yes to produce yes and it's i
Speaker 1think it's important for us to mention that during those times we said okay how do we maximize this time not how well can't do anything all right this is our time to gather feedback this is our we even said okay how do we prepare for when we're back in stock so let's continue posting every day let's continue having the conversations with people knowing that we can't sell anything for weeks. And so we built a relaunch list. We just said, let's keep doing the work. Don't know what's going to happen, but we're going to plan like we're going to have a big restock. And we did. And we just kept building the habit. And then I think maybe four months in, we started to get reorders and many more subscribers. And then it was like, okay, we have something here. This is really starting to move. And it felt really edifying for me to know that it didn't come from one influencer, although we did have some spikes when influencers talked about us. It didn't come from a review getting hack. It didn't come from one piece of content going viral. It didn't come from one email campaign really hitting. It came from all of them incrementally improving week over week and month over month and patiently waiting for the compounding results to happen. That felt sustainable. That all of a sudden felt scalable. And it proved to me that the one-to-one prioritization of people is the way to build a multi-million dollar business. And that is what I want to instill culturally into every brand I'm a part of, every brand I invest in, every project that I'm a part of, because that's the soul of the business. And then all of the other stuff like the Amazon ad and the virality and the influence, it becomes the thing that I'm a part of,
Speaker 2every brand I'm a part of, because that's the soul of the business. And then all of the other stuff like the Amazon ad and the virality and the influence, it becomes the thing that I'm a part of, because that's the soul of the business.
Speaker 1And all of a sudden, there was not only belief, but conviction and certainty that if we continued going in this direction, there would be growth. And this would become a seven-figure company. It didn't matter that we had spun our wheels for 18 months or two years. It didn't matter that that project over here didn't work or that this campaign didn't work. As soon as we had conviction in our plan and we proved to ourselves that we would stick with it, there was certainty that we were going to get there. Absolute certainty. And then we continue to show up and do the work and get better at it over and over and over.
Speaker 2Amen. That's right. And at first, before you believe or before you have that proof that a plan works, the hard part is not following the plan because what we just shared is not hard. Yeah. Right? 30 minutes here, 30 minutes there. It's to resist the temptation to deviate from the plan because it's very easy to say, oh, this is not going the right direction. Now let's try something else for a week and see what happens. Once you go past that stage that you've done it for 90 days and then you look back and you see the progress that you've made, now again, you get all this energy to do it all over again and to find the ways to achieve it. Optimize your work and automate and find processes and maybe hire people, whatever it is, but now you have something. And I think this is the hardest part for entrepreneurs to see that they have something because at first you feel like you don't. You just feel like you're doing things and you watch YouTube videos and you read about all these people and you're actually busy, but nothing is happening.
Speaker 1I want to share one more part to the story just to document where we are. And that is that about three months ago, I proposed to you that we bring Switch into a bigger portfolio of brands. And what my thought process has been is that I have a portfolio of a few different brands that are related, but not competitive to one another. And I wanted to centralize my team. I have conversations with people who are with you that are independent of my conversations with this team member over here, but it would really benefit everyone if we were all on the same team heading in one direction. So I proposed to you that we bring Switch into this portfolio to centralize the team and I could get my team involved because now this brand is growing. It's not a pet project anymore. It's a million dollar business and we need reinforcements. And we have, I have talented people over here that want to be involved and could provide a lot of value. And also if it's under one portfolio, it dramatically increases the enterprise value once we go to sell the entire portfolio. So if a brand is doing a million dollars in EBITDA, it might sell for $4 million to a buyer. But if it's part of a portfolio that does $10 million in EBITDA, that entire portfolio will sell for $4 million to a buyer. And if it's part of a portfolio that does $10 million in EBITDA, it might sell for $100 million. So the multiple goes way up. And what we are navigating right now, and there's positives and challenges to this, is now we're integrating team members who have different expectations and different culture and different level of communication is required. And we're centralizing bookkeeping and we have certain processes that don't gel with how we've done things up until this point. But what we're doing is we're centralizing bookkeeping and we're what you have done has been relentlessly protective of the process that we are following, even if the structure of the business is changing. I also just want to, so just to document the journey, that's where we're at right now is we are now building a holding company, a portfolio, and Switch has become a part of this portfolio. I also just want to publicly edify your own personal growth. You are dramatically different than you were a year ago. And the fact that you just show up and do the work and that you're appreciative of everything and that you are conscientious with customers and you are thoughtful about the product line and the quality of everything that we do and consistent in your efforts has inspired me to be better, inspired me to teach people in a more convicted way. And it has been very edifying to watch. How much you've grown in the last year. So I am thankful to be your partner.
Speaker 2Thank you. Me too. Thank you. It's been quite a journey and we're just getting started. And yeah, it feels like a self-growth challenge in the best way possible. And I'm really appreciative of that. So even if nothing happens from the business, that was worth the entire thing because I know that I'm going to be a part of it. And I'm going to be a part of it. And I know that I can do it all over again. That's right. And it's not because of the skills that I've gathered, but it's because who I've become that enabled me to get to that point. So thank you. Well, 1 million down.
Speaker 1Let's do another one. We're at two.
Speaker 2Okay. Let's do that.
Speaker 1All right, my man. Good to see you.
Speaker 2Good to see you, man. Thank you for having me. All right. It was fun.
Speaker 1If you'll take two seconds to like this video and subscribe to the channel, it will help us find the most helpful entrepreneurs, capitalists, and investors to bring onto the show to guide you on your journey. When I started my entrepreneurial career, there were no podcasts. There were no deca millionaires or centa millionaires or billionaires sharing what they've learned along the way. And now I consider it my job and my responsibility to bring those voices. To those of us who were born to be entrepreneurs. There's a lot of people who talk about success, who talk about mindset, who have big YouTube followings, but I want to bring you the best entrepreneurial thought leaders and the greatest mentors that you could never afford, that you could never get in front of that can help you on your journey. And the way that you can help make that possible is by sharing your story. And I want to bring you the best entrepreneurial thought leaders by liking this video and subscribing to the channel. In case we've never met before. Thank you for being here. My name is Ryan Daniel Moran, and I run capitalism.com. We help entrepreneurs build seven figure businesses have multi million dollar exits. And I hope you got a ton of value out of today's episode. If you stick around, I'll see you on the next one. Thanks for watching.
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