Escaping the Drift with John Gafford - Lessons in Leadership and Growth from Tommy Mello

Episode Date: August 27, 2024

Tommy Mello, a master at turning home services businesses into multimillion-dollar ventures, walks us through his incredible journey from Michigan to entrepreneurial success. He shares how he utilized... podcasting to educate himself on crucial business elements like call center training, HR, and finance. Tommy’s dedication to his team is evident as he recounts living alongside his technicians to understand their needs better and ensuring they had new vehicles before he did. His story is one of resilience, continuous learning, and a commitment to both personal and professional growth.   Reminisce with us about the mid to late 90s as Tommy discusses opening multiple Hooters locations across Michigan and the vibrant culture of Detroit during that era. His entrepreneurial spirit shines as he recounts starting a landscaping business, flipping over 1200 cars, and even buying and selling Bowflex machines. We dive into the challenges and successes of building a garage door service company, highlighting the importance of empathy, effective marketing, and technological transitions. Key moments like switching to ServiceTitan CRM and consulting with Al Levy to streamline operations are pivotal to his business transformation.   Tommy also opens up about navigating private equity in blue-collar industries, emphasizing the significance of maintaining company culture during acquisitions. He stresses the value of customer service, mentorship, and ethical business practices, balancing customer satisfaction with employee well-being. From mastering marketing strategies to setting ambitious growth targets, Tommy shares actionable insights for business growth and leadership transformation. This episode is brimming with valuable lessons and inspiring stories that reflect Tommy’s innovative spirit and dedication to excellence.   Highlights:   (01:55 - 02:38) Entrepreneurial Growth Through Podcasting (05:56 - 06:59) Breaking the Cycle of Unfulfilling Life (09:15 - 10:15) Garage Door Painting Business Success (15:09 - 15:50) Maximizing Marketing ROI With CRM (23:40 - 24:26) Hiring People Who Care (32:42 - 33:57) Success Leaves Clues (41:09 - 41:57) Client Satisfaction and Company Growth (48:29 - 49:40) Garage Door ROI and Passion (53:16 - 54:33) Living 110% for a Legacy (01:01:03 - 01:01:50) Learning Financial Side of Business   CHAPTERS    (00:00) - From Drifter to Success (03:46) - Entrepreneurial Journey and Business Success (13:23) - Business Growth and Leadership Transformation (17:39) - Strategies for Business Growth and Expansion (23:40) - Building Client Relationships Through Affiliates (34:53) - Private Equity and Business Acquisitions (42:13) - Building Trust and Client Relationships (51:18) - Embracing Life and Self-Improvement (59:35) - Importance of Customer Service and Mentoring   💬 Did you enjoy this podcast episode? Tell us all about it in the comment section below!    ☑️  If you liked this video, consider subscribing to Escaping The Drift with John Gafford  ************* 💯 About John Gafford: After appearing on NBC's "The Apprentice", John relocated to the Las Vegas Valley and founded several successful companies in the real estate space.   ➡️ The Gafford Group at Simply Vegas, top 1% of all REALTORS nationwide in terms of production. Simply Vegas, a 500 agent brokerage with billions in annual sales Clear Title, a 7-figure full-service title and escrow company.   ➡️ Streamline Home Loans - An independent mortgage bank with more than 100 loan officers. The Simply Group, A national expansion vehicle partnering with large brokers across the country to vertically integrate their real estate brokerages.   *************   ✅ Follow John Gafford on social media:   Instagram ▶️ / thejohngafford   Facebook ▶️ / gafford2   🎧 Stream The Escaping The Drift Podcast with John Gafford Episode here: Listen On Spotify: https://open.spotify.com/show/7cWN80gtZ4m4wl3DqQoJmK?si=2d60fd72329d44a9 Listen On Apple: https://podcasts.apple.com/us/podcast/escaping-the-drift-with-john-gafford/id1582927283    *************   #EscapingTheDrift #TomMello #Entrepreneurship #BusinessGrowth #Leadership #Marketing #Technology #PrivateEquity #CustomerService #Mentorship #PersonalGrowth #HomeServices #Podcasting #CallCenterTraining #HR #Finance #Resilience #Learning #Innovation #Hustle #Branding #SalesTechniques

Transcript
Discussion (0)
Starting point is 00:00:00 You know, you hear me on this show. What you don't understand is, dude, I'm living 110%. Every day I get some fun token. I tell people I love them more than I ever have. And now, Escaping the Drift, the show designed to get you from where you are to where you want to be. I'm John Gafford, and I have a knack
Starting point is 00:00:21 for getting extraordinary achievers to drop their secrets to help you on a path to greatness. So stop drifting along, escape the drift, and it's time to start right now. Back again, back again for another episode, man, of like it says in the opening of the podcast, it gets you from where you're at to where you want to be. Man, I got a dude in the studio today that is an expert at getting where he wants to be. This is a guy that is taking or has taken in his life like the most benign home services businesses. Stuff that you would never think in your wildest dreams would generate this kind of revenue and turn them into like hundreds of millions of dollars and done this in a short, short, short time.
Starting point is 00:01:09 Dude, he is just the foremost expert when it comes to home services. He is the host of his own podcast. He's got an awesome event coming up in San Diego in like a month. This is a guy you need to learn from. Ladies and gentlemen, this is Tom Mello. to learn from ladies and gentlemen this is tom mellow tom go what's up dude how are you dude thanks for coming in man i appreciate it i always i always appreciate when the hitters come rolling in man it makes my life so much easier doing this i love doing this stuff too it i think i've done 700 podcasts 700 of these yeah and that is a serious like that's a serious investment of time
Starting point is 00:01:47 well you know for me i enjoy it i get a lot out of them i learned just as much as i you know that's kind of my secret sauce one of the catalysts in 2017 i started before podcasting was podcasting yeah and i'm like wait a minute I could get the best call center trainer on the planet. I could learn about how HR works. I could learn about how financing works. I could get the number one mentor of manuals and standard operating procedures and checklists. I could figure out how to systematize the business. I could understand what. I remember when I learned what arbitrage was, I was like, how is that even legal?
Starting point is 00:02:20 I buy it here. The day I buy it, it's worth this. I'm like, my life is going to be so good. Yeah, dude, I don't know that I do the same thing, man. I use this as my little educational platform too, for things, which is awesome. So cool. And then it brings relationships too. Yeah, I know. I couldn't agree more, but let's talk about, you are a guy that is super successful. Talk about early Tom, let's get backstory, the, uh, the villain or the hero backstory, if you will, to everywhere you want to go.
Starting point is 00:02:47 You know, I pride myself on probably making the most mistakes out of anybody. I'm a big failure, if you really look at my life. I fall down, I get back up, though, and I don't make the same mistake twice. I mean, if it could go wrong, it did go wrong. I've lost technicians. Six have died. Not on the job. Several trucks have flipped over.
Starting point is 00:03:07 I bought an apartment complex for the technicians. Lived there for four years to be close to my trainees to get to know the training process more, see what they were going through. 1,000 square foot. I never owned a new vehicle until every single one of my people had new vehicles. My technicians were driving new trucks and new pro masters. But I'm a guy from Michigan, learned after my mom and dad got a divorce when I was seven. What part of Michigan? Sterling Heights.
Starting point is 00:03:33 All right. Yeah, dude. Yeah. Very familiar. My dad grew up in Royal Oak. I lived there. I lived there. I did.
Starting point is 00:03:40 I actually, how long ago was this? Well, it was from 1983 to 2000 okay i had the distinct honor in the mid to late 90s of opening all those hooters in michigan oh yeah that's awesome i did i opened all of them so i opened that store in sterling heights yeah will taylor uh muskegon grand rapids and i'm am i missing one that's great i don't know but yeah. Yeah. I think I want to say the one in Sterling Heights was on Big Beaver Road. Is that right? Yeah, yeah, Big Beaver.
Starting point is 00:04:09 Yeah, I always thought it was funny because you say, they should call the biggest hooters in Michigan on Big Beaver Road, which was how they would answer the phone. I always thought that was funny. Yeah, very aware. So let me ask you this, man.
Starting point is 00:04:19 Growing up in Michigan, what did your parents do? My dad owned a transmission shop and then he didn't pay the irs so he got screwed uh well anybody does it doesn't pay the irs and my mom my mom helped my dad out a lot and then she became a realtor okay good for mom my mom's her best year was 53 houses okay there's no joke i mean she's the type of woman that would get out of the car after church go walk up in hills to for sale by owner she had no she'd hand out literally she'd walk around for hours handing out her magnets all my buddies had my mom's magnet uh you know
Starting point is 00:04:57 when everything she touches turns to gold and they would always make fun of me her pictures on they're like it turns to sold it turns to sold or gold whatever it was and uh but i mowed lawn shovel snow and i wanted to help mama she worked three jobs when my mom and dad got a divorce she she bartended she served tables and she did real estate she's like we're not moving uh the church helped us out a couple years so at a young age i was like i gotta i i didn't need to like like, donate to the mortgage. But if I wanted stuff, I just felt guilty. So I'd, like, kick in, like, hey, I want a new golf club. Will you pick up half of it?
Starting point is 00:05:31 Like, whatever. And when I was 12, I started washing dishes at a place called Rookie's Clubhouse and learned what life was all about because there was some chicks there. And it was, like, I learned what an animal was, like, in fifth grade. And, like, that was cool. And I didn't feel like I ever went to work i just washed dishes and then i'd bust tables and then uh i moved to phoenix wanted to be closer to dad let me stop for a second i want to ask a question about that yeah right because detroit was such a unique place when i lived there around that same
Starting point is 00:06:02 time you were there and from what i saw right like me being an outsider moving to Detroit, it was very difficult for me to make friends there. And this is why, because it seems to me like the people that grow up there, it's like you grow up there, you marry your high school sweetheart, you buy a house four blocks from your parents' house, dad gets you onto the plant and it's wash, rinse, repeat of this never ending cycle. Did you ever feel like that was dragging you and how did you get out of that because so many people live in those cycles man they you know the my buddies still live in the same neighborhoods a lot of them are still mowing lawns and i love these guys yeah you know i don't talk to him as much i don't feel like i'm a bad friend i just knew a lot of them started selling
Starting point is 00:06:42 weed which was you know i 15, 16 years old. Yeah. They're selling like a little Ziploc bag, like a Coke bag, but it's weed in it. I mean, that's what they did. And I was just like, dude, this is going the wrong direction. So I had a chance to move to Phoenix when I was 16. Did that. Wanted to be closer to dad.
Starting point is 00:07:00 And, you know, I always knew how to work and get a job. I got a job. i was busting tables then i became a bartender and i could serve tables and uh started a landscaping business instead of just your typical landscaping i used to do water conservation analysis show people by putting a drip system how much money i'll save them got big accounts got that up to 30 grand a month at what age at what age i was in my early 20s um but i was flipping cars i flipped over 1200 cars so okay well okay so that's that's something we gotta talk about yeah so i'd buy the cars typically i'd buy g20 infinities or i'd buy honda civics i bought anything that i could
Starting point is 00:07:38 that i knew i could easily flip my dad knew how to fix them so we'd be he'd come with me and he'd be like oh tommy they want four grand he's like the tires cv joints this this this he's like you're looking at like two grand i'll be like i'll give you 1800 cash right now yeah and we just did this all day every day i buy from private people not all private and you know back then i hope this is like way later than the legal jurisdiction but i just i said i'm selling it for a buddy i never put my name on the title i didn't know that was illegal actually and by the way i started watching tv and found bow flexes and i'm like i want one of these bow flex but i'm paying 2400 bucks so i go on arizona republic in phoenix open the newspaper there's a bow flex i call up guys like dude you're the 10th person i call that it's already been picked up and sold
Starting point is 00:08:34 and my buddy's walking by as i'm making the phone call he goes have you ever heard of the craigslist what the hell is the craigslist so i go on craigslist.com it's rather new site and i found seven bow flexes i went and bought all of them and so every single day i had an alert when there would be a bow flex i bought them all and i i continued that ad for three years in the arizona republic and i make an extra grand and i showed a lot of times guys would bring their sons in football and i show them what i do and i really did work out on it and then i saw an ad for total gym with chuck norris and i'm like man i could buy him here sell him there that's what arbitrage is you buy on one marketplace and sell on another yep um and then i
Starting point is 00:09:16 one day my roommate was like he was managing at this big garage door company and he's like dude i can't find a reliable painter he's like would you be interested dude you're always staying busy doing stuff fixing stuff around here and i'm like yeah i can do it i'm like but how much does it pay is like 100 bucks a door he's like you'll probably paint two or three doors on like saturday so i hired this old man he taught me how to paint i go to home depot by a magnum 5 painter and uh i bought speed coat glidden bought the paper everything i figured out i can make 88 bucks i i loaded up one of the g20 96 g20 called every garage door company in that city became their painter i knocked out 10 doors a day i paint and i'm in my early 20s but then i'm meeting with these garage guys they're like dude i made 200 bucks but i made 400 bucks today
Starting point is 00:10:03 like and i i start to learn the business me and my roommate were like we could do this my other roommate so we started a business got into the yellow pages hence a1 garage doors yeah and it was a1 garage door specialist the problem was my roommate at the time smoked more weed than anybody i've ever met and every time he'd go out of town we'd double the numbers because he was booking the calls i'd go run the job sometimes he'd run with me. Hell of a sales guy. I learned the business. We're in debt now.
Starting point is 00:10:30 Google's becoming a thing. And I became obsessed with Google. Like, I knew how to edit videos. I knew how to build backlinks. I knew how to get PR. 2010, I'm like, listen, Gabe, you could have the business and take on the debt. Yep. And he's like, dude you you take it
Starting point is 00:10:47 and i was like yes that's exactly what i wanted did you guys have a buy-sell agreement like that before or no no we just worked out we were roommates best friends he moved to montana to be closer to family we were in debt i took on the debt and i i only called the only person i knew in this world that you could trust. I called mom. No money. Didn't ask her for money. I said, I need you to move out of here. Leave your life in Michigan.
Starting point is 00:11:11 Bring my stepdad, Bill. And she goes, give me a week. Let me think about it. She's like, we're coming. She's like, I want to be closer to you. So I said, I can only give you $16 an hour. I can only give Bill $65,000. They were used to living better than that.
Starting point is 00:11:29 They still had working years in them. But they had a lot of equity. They had a pretty nice savings. He had a 401k that he just took out. And they're living in Michigan. Yeah, they didn't mind the idea. Real quick, for those of you that have never been to Michigan, I tell people, when I describe living in Michigan, this is how I describe it.
Starting point is 00:11:44 Being a Floridian that had moved to michigan it's so fucking cold there when you walk outside you don't think man it's cold wow it's cold you just think get inside that's like the first thought well yeah in the winter i mean it's cool summers it's a great summer to raise kids there's four seasons there's a lot of lakes great golf plus it was the richest zip codes in the country because of the Motor City, Ford, Chrysler, GM. And my grandpa retired from GM in 1974 to Lake Havasu, and a lot of them migrated to Phoenix, 12 kids. And it's, you know, my dad's family. So what's the interesting thing was is they just needed people I could trust in 2010. Yeah.
Starting point is 00:12:23 Because people were lying, cheating, and they couldn't get people to show up to work. And I was a one-man army, man. I got to six million through brute force. Six million. I just had mom answering phones. She walked out on it a couple times, couldn't handle it. She'd walk back in the next day. I'm like, mom, don't.
Starting point is 00:12:37 Just finish the night because, dude, I'm working seven jobs a day. Yeah. When the real sweet spot's three. And I didn't care. I'd walk out of movie theaters, break up with girls, i'm running this call i don't care like it just and um 2014 i met an integrator and he was smart i gave him 65 grand i said you'll come up in this business i said what's your number he said five million i said i'll make sure you get five million and i
Starting point is 00:13:04 said i'll even give you inflation on it. So real quick, you use the word integrator. Had you gone into EOS prior to that? No, no. You didn't know. You didn't know.
Starting point is 00:13:12 I didn't know I was an integrator at the time. You just knew. And I've never done EOS. I know Gina would have been well, but I, I still don't practice the big rocks. Okay. Taken off a month.
Starting point is 00:13:20 Got it. All right. I just heard the integrator. Yeah, but it was, he was, he was the guy I said, you're going to be the bad cop. Cause I'm not a good bad cop i don't like to
Starting point is 00:13:27 fire i said i'll do all the training i'll do all the marketing i'll set the culture i'll do all the sales training you are going to deal with the lawyers you're going to deal with payroll you're going to deal with all the shit i can't stand he was good at pivot tables he could do stuff problem was we didn't have a good cfo so years went on adam and i we called it the tna show tommy and adam and my mom was still there like my mom answered the phones in 2010 and she go thank you for calling a1 garage door service my name is gina how may i help you today she go oh my gosh honey i am so sorry like every time i go out on one of the jobs my mom booked they give me a hug but she never said i'm tommy's mom right she just said i'm going to send out the best technician we got which was me and i learned a lot about empathy i love doing the
Starting point is 00:14:12 phone yeah i love them i'm like mom book the damn phone call she'd be like but they were putting they do whatever i asked when i showed up yeah so i learned a lot about that and then 2017 came around and i told adam when he just switched crmsMs. And he's like, absolutely not. I'm going to quit if you do that. And I'm like, then you could quit because I want the latest, greatest. So I go to service tight and they say, sure,
Starting point is 00:14:32 we'll let you on. And then they switch your email. I said, T mellow at a one garage.com. And they're like, Oh, we don't do garage doors. Like no,
Starting point is 00:14:40 no luck. So I called back, got a different sales rep, got a different sales rep. a different sales rep i tried nine times always led to a dead end so i got a hold of the ceo on linkedin he called me he said dude we're just focused on hvac plumbing electrical and i said ara you bet on me i'll have every garage or company on the planet this is one bet you need to take. And I'm relentless. What would you need from me to just take a chance?
Starting point is 00:15:08 What was so magic about the CRM that you wanted it so bad? What was the perceived value? The coolest thing about it was they gave free call numbers for call tracking, so I had attribution for every marketing source. Remember, I'm a marketing guy, thick and thin. I can make the phone ring off the hook. We run 20,000 jobs a month yeah okay so like people are like oh my god garage stores i want to go into the garage business like there's no second there's nobody even close to us yeah
Starting point is 00:15:37 there's a couple there's a few guys rolling companies up but there's nobody that's grown organically like us they don't like and i don't just say it's just google even though there's four algorithms on google but i got really good at making the phone ring and then i had a consultant come in when i started my podcast i got on a service titan r i took a chance sent out 10 success managers me and adam made it work we molded it had some workarounds and we helped grow service tight now they're very large company like if you're not on ServiceTite in the home service industry, you're devalued. Yeah. Well, I'm going to throw this out because you glanced over it.
Starting point is 00:16:10 Yeah. And I think it's such a key lesson and where a lot of people screw up, whether you're trying to sell houses or whatever you're trying to do, is they splash all this marketing all over the place. Right. all this marketing all over the place right and then they have no clue what's actually working or no roi because they don't do something as simple as assign a different phone number to every single piece that goes out i have 7 000 call tracking numbers yeah dude that's amazing i mean and i don't brag about it at the end of the day it's a lot because every phone number i do i get a new phone number gets all the solicitors. So we've got this whole thing of blocking that.
Starting point is 00:16:50 But I'm a technology company now that does garage doors. That's how I tell people. I'm not a garage door company. It's so sophisticated the way I even recruit and train. But 2017, Al Levy, I met this guy, the seven-power contractor. And he goes, I could have stole your whole warehouse with your own forklift. You wouldn't even known about it. It was open. He goes goes your your refrigerator there's a bunch of counters on the wall he's like show me your manuals i go well i got this like this one
Starting point is 00:17:13 book yeah and he's like everything's locked up in your head tommy and uh he goes i'm not cheap and by the way i was bringing in a lot of revenue, but not a lot of profit. And he goes, you're one of the best firefighters I've ever met. And he goes, you can fix anything. You know everything. You are this company. He goes, when I get done with you, this company is going to run like clockwork without you here.
Starting point is 00:17:38 He goes, because I've done this with my own family business. And I trusted him. And I always trust my elders, especially guys that have a proven track record. And what he taught me was to shut the hell up and listen to him and don't listen to anybody else. Cause in this world of knowledge and books, he said, I just need you to do exactly what I say. I don't want to work with you. And he almost fired me a couple of times because I come up with an idea, you know, shiny object. And he goes, we're going to build three manuals to start out with CSR dispatcher technician. I'm going to do a ride along with eight of your technicians.
Starting point is 00:18:08 Then we're going to find out we're going to build a heavy installation technician manual on the right way to do things safely and efficiently. And he goes, another thing you don't do is, he goes, you don't have standardized trucks. Cause I was buying all used trucks. He's like, do you know what accelerated appreciation is so i got all brand new trucks over the years and i've worked with this guy he's 72 now and then he goes dude your wraps he's like i know you got a lot of pride in your pictures on the side of it he's like look at it in black and white tell me what pops out i'm like yeah nothing he's like you got to go to this company called kick charge his name's dan antonelli dude well this at this point we're 40 million dollars and i
Starting point is 00:18:49 rebranded well that's that's interesting so he so he ran your branding through a black and white lens to see if anything popped yeah printed out black and white color is the only thing that makes it pop it doesn't work no you got like i had phone numbers angie's list bbb yelp on it it was all you had all this shit on it now i don't have any of that stuff yeah and i just got the small uh register of contractors which i legally gotta have but other than that it's literally like i don't even have you don't even have to have a phone number it's a billboard and people think that like you're gonna read the whole billboard you you could read at max five words on a billboard dude okay another there's another gem man because i it cracks me up billboards are one of my pet peeves when i'm driving around and you see people with these super fucking detailed messages on billboards with phone numbers on billboards yeah who's like who's gonna remember
Starting point is 00:19:42 that they don't understand the psychology of the stuff and by the way i've devoured books my whole life i've had mentors i've always had coaches i've invested in me a lot yeah because literally like i ended up getting a master's degree when my mom moved out which taught me nothing except i learned how to public speak i learned the speed of implementation i learned influence from robert chitty need we'd learned about that and then i also learned um i sat at this table that all these guys talked about was search engine optimization and so that's when i learned how to do a lot of cool stuff on google and i became obsessed like i ran this program the first year my mom moved out called clad genius where i'd post 180 ads on Craigslist a day.
Starting point is 00:20:27 And as I built the business, that's like one of the things I did. But every marketing source I'd master, I mean, literally like until I dominated, whether it was Yelp or Angie's List or the four algorithms on Google or Bing or Valpack, I started AB testing like crazy. I never left the stat. I'd have Santa Claus coming in with a Chamberlain lift master on the back of his sleigh. And I learned a lot about what people, like when they flip through, you got to have, they hold it with their left hand and they flip through with their right hand. And that's where you have the coupons. If you're going to do coupons.
Starting point is 00:20:58 And I'm not a huge coupon, but I want some type of offer. And we test offers all the time. Now it's building way more analytical into like different things like HubSpot. And there's some cool stuff we run. And now I'm using AI on, like if we were having a conversation, I could tell how many words you were saying per minute that the technician followed the process that we mentioned.
Starting point is 00:21:18 We never say financing. We say promotions. We never say the highest price. We say top of the line. We never say the cheapest. We say builder grade. We never say price. price we say uh top of the line we never say the cheapest we say builder grade we never say price we say investment you know these little things but it's it's really you dial in the leads and then here's the biggest mistake a lot of people spend a lot of money on
Starting point is 00:21:38 marketing i spend half of my marketing brain figuring out how to get the right people in the door because if you had all eight players eight players run circles around three to five b players I spend half of my marketing brain figuring out how to get the right people in the door. Because if you had all eight players, eight players run circles around three to five B players. Yeah. And I've got economies of scale. See, your CSR, your smaller company, can only book 15, 20 calls a day. Mine can book 50. So if you were paying them 20, I could pay them 30, even though I'm getting $65 of what you'd have to pay out of it yeah so the economy
Starting point is 00:22:05 scale that's why i got to 25 of the bottom line and i will get to 33 and not to mention i'll get this company in 2026 to 112 5 million of ebita 112 5 of ebita and then it's going to sell for another record multiple and then i'm going to go into other trades under my brand and run it to $400 million of EBITDA. And that's because I got to go after windows, front doors, and different things. And that's going to happen within four years, and we're going to IPO. Then I'm going to get a 30X when I get to $400 to $500 of EBITDA.
Starting point is 00:22:39 And that's how you build a $15 billion company. Are you going to try to do that with your roll-ups, or are you going to just expand into new markets? You have to roll up if you're going to get there. Yeah, you've got to roll up a couple of things, but you've got to understand there's three ways to make money. You get more customers, you charge your customers more, you keep them back more frequently.
Starting point is 00:22:54 So if I offer my customers right now, guess what's in your garage right now? There's a floor, which we could do stained concrete and, you know, epoxy or polysparous. You need storage. Your hot water heater is there. Your water purifier is salt. Like, what goes with your garage? Your front door. So there alone is enough that the market cap goes over $100 billion.
Starting point is 00:23:20 So not to mention, we're changing the market cap. Because one of the things we don't ever do is give you all to made thems. Yes or no, sir. That's for losers. I say, here are your options. It sounds like you need a new garage door.
Starting point is 00:23:32 I'm going to go over some options. You can pick when you like, how does that sound? The science is five options. And we just describe them. We're not for sheep people. I don't hire salespeople. I hire people that make eye contact that actually care,
Starting point is 00:23:45 that have a little bit of fun. What happens if you want to kiss somebody on the first night on a date? You want to make them feel safe. You want to make them laugh a little bit, have a little bit of fun, and make sure that you show interest in their best. Bro, I've been married so long, I have to laugh about this. If I wanted a date, I'd be like Ricky Bobby. I don't know.
Starting point is 00:24:03 It's like completely clueless what I would do on a date anymore'd be like ricky bobby like i don't know completely clueless what i would do anymore i know i i but but it's it's so funny man because because you know my buddy kent clothia i don't know if you know kent okay yeah kent always you know the whole moving from hustler to being ceo that's that's kent's whole deal he lives by that i always talk about the hustler had to die in me yeah exactly the ball flex total gyms car flipping but doing everything like do you ever see that racehorses in kentucky derby you you see the stuff the gear around their eyes blinders they wear blinders because there's so much going on they're focused on winning the race and when you learn to get focused and you learn a little bit of discipline there's money everywhere i work with a guy named dan martell and he's like dude he's like you're
Starting point is 00:24:44 gonna miss billions of opportunities Like billions of dollars of opportunities The focus and mental clarity I have now Like I would not Would ever want to go against myself Because I'm relentless And I will lose money for a year
Starting point is 00:24:59 To take market share And I don't think people understand the whole strategy behind what I do Because And I say this in the humbl whole strategy behind what I do because, and I say this in the humblest way, but there's nobody in the world that's better integrated in home service than we are. I could send a guy to any market with the same price, with the same truck, the exact same tools, the same scorecards, and it won't matter. They could get right in the truck and know exactly what to do. And there's so many SOPs. They take 50 pictures on every garage they go to. Customer satisfaction is the main goal.
Starting point is 00:25:29 I want to do what's right because here's the deal. My mom worked three jobs when I was a kid when I was seven. Here's what you need to do. Here's what you should do. And if you were my mother who worked three jobs, that's my everything, that left her hometown to just be with me. This is what I do for mom. You're selling the house in two weeks. We want to make sure you pass inspection, close up on your next house. We're going to do what's right. And it's not about how much can
Starting point is 00:25:54 you sell this person because it's the LTV lifetime value. And I want to make a friend and I want to treat them right. And I want to treat them how I'd want to be treated. And that's by giving options. And I feel like we can't label somebody because they got really nice house or horrible landscaping they look broke we got to give the options i've seen people that are i used to pride myself that i go out to the brokest jobs like give me the cheapest customers and i go and that's how i train guys and i say this is how you turn i'm the best at turning something into nothing into something. And I got guys now that are like, who would win? Your top guy or you?
Starting point is 00:26:29 I'm like, well, I know when I go into the job, I'm getting both neighbors' first names. I know I'm getting the HOA president's name and number. I know I'm getting four reviews instead of one. I'm not just getting a Google review. I'm getting a Yelp review, a Nextdoor review. I'm also getting a video testimonial on Facebook. I know I'm going to sign them up for a membership.
Starting point is 00:26:47 So they'd win probably against me in the short term. But you'll win the long run. But I'll win because literally I'm making business. And I give my technicians and installers tech-generated leads, where they make much higher because they give them the marketing fee and that. They got all tracking numbers too. And they got a schedule engine that goes through them too so what they generate they make a ton of money they don't even need to run
Starting point is 00:27:09 the job you know their wife's a great at marketing got a huge facebook channel keep posting our stuff any job that comes in it's a second income that's great basically they become affiliates well you know it's funny you bring up affiliates because let me ask about that because one of the one of the things that we do here, right. Obviously with all the big changes in real estate, with the commission deal. Yeah. Well, you know, we, as the owners of the company have to do everything we can to build an incredible amount of value for clients, especially now on the buyer side, where we have to, we have
Starting point is 00:27:41 to justify that commission. And what we've done here is build an internal concierge team. And essentially it's like, look, any realtor can point at the fireplace and go this and then write a contract in order to inspection, negotiate, get it done. We are handling your whole life, like the moving of your whole life.
Starting point is 00:27:57 Like we're like, as soon as you get handed over to the concierge department, it's like, what do you need? You need movers, packers, garage doors, painters, cabinets, water softeners. What do you need? need movers packers garage doors painters cabinets water softeners what do you need do you need to know what the best baseball team your kids should play on what do you need to know we're going to handle all of it and internally you know again we are just we're adding our stuff now so we like i said we do 4 000 transactions a year yeah we
Starting point is 00:28:21 should be well what's the one thing you need to do when you move in a house you need to change your locks right but you also got to change your openers and you got a whole you know you got what's called the the home link where you press the button you got the my cue to open the garage around your phone we'll do the storage racking because we're really getting big into that and you go in there and i'll tell you this within the next six months we're going to be i'm very passionate about water i'm very passionate i can tell you this, within the next six months, we're going to be, I'm very passionate about water. I'm very passionate. I can tell you right now, I'll just, you're going to be shocked at this,
Starting point is 00:28:53 but I'll need your zip code in a second. But there's a government website that kind of, so check this out. Okay. What is your zip code? 89012. All right, let's just go here and and you are city of henderson yes and they found 16 contaminants that exceed the health guidelines 32 total contaminants let me just look right real quick. Arsenic, 361 times the healthcare guideline.
Starting point is 00:29:25 Affectus, cancer. Bromo, dichloric methane, 298 times. Cancer, cancer, cancer, cancer, cancer. Like, I'm very passionate. So those are the things. And listen, with relationships, if I become your affiliate, you need to know no matter what that I'm going to take care of that client or I'll give them all the money back.
Starting point is 00:29:46 See, I got to protect your, or I've got to, I've got to respect and make sure your integrity stays with that client. That means I'm willing to sign a contract, which we never called a contact contract. We call it an agreement. I'll sign the agreement with you.
Starting point is 00:30:02 That says I'll give them all their money back if they're not happy. Do we sign the agreement or do we okay the agreement? We okay the agreement. You have the right of rescission, not cancellation. Okay, that's it. Tom Hopkins, baby. Yeah, you know, this isn't a prepayment penalty. It's a prepayment privilege.
Starting point is 00:30:18 But no, it's a really good way to do business. And I had a guy, Saeed, that owns Ali Sean Rugs, teach me this. That the main thing that if I was your partner or anybody else's, I pay affiliates the same day. Like, you never have to wait for your money. Right. And I call it a marketing fee. We're going to spend that in marketing. And by the way, your clients will get a better deal because you've negotiated for them.
Starting point is 00:30:44 Yeah. And that's only fair. You're selling 4,000 people, maybe 10% of those buy. It's a couple hundred jobs. But if I do such a great job and I give them options, and we never call it financing. Have you heard about our promotions? I pay a dealer's fee to make that possible, which means it's a promotion. And did you want to use your money today or did you want to use ours?
Starting point is 00:31:04 Whose money do you want to use your money today or did you want to use ours whose money do you want to use tom i'll tell you i'd rather you use ours because inflation gas price the way we're looking what's going on in israel in this crazy world use our money pay it off whenever you want this is the best investment you'll probably ever make into your home and your family and this is not you don't need a lie cheater still if that happens in my company they're gone yeah uh but i hire great people that make eye contact that smile to tell a great story that listen and if those are the people my one thing is i apply everything to sports dude i like to win but i hate to lose more i aspire to be number one that's what it says it's one of our core values aspire to be number one
Starting point is 00:31:40 and the guys that don't care about winning they they probably don't have a seat on my bus because i'm a competitive sob i'm a fierce competitor i got a ping pong coach i've got a golf coach i've got bags like literally you know um uh cornhole yeah i've got like i've got four other personal coaches i've got a health coach dude i want to talk about that real quick because that's that is something that i was going to bring up even before you said that, which was for me, or you see, you see people that reach a certain level of success and the ego starts to get pumping and they get in this place where they're like, I know it all. Yeah. And obviously just from the, from the, from the names that we've just in the short amount of time, we've been
Starting point is 00:32:23 talking about this, all of the people you're learning from. Oh, I'm a student for life. Is that something that you had to develop? Is that something that you have to check the ego constantly to do that? Or is that just innate within you that you're a seeker of information always? You know what? I'm a seeker of information, but here's what I've learned. Here's the golden ticket.
Starting point is 00:32:42 This is the best piece of advice I could ever give that I don't give out very often. If I want to know how to sell the highest quality of garage drawers, there's a lot of people that respect me because they know I'll help them. I call up the largest manufacturer I was just in Nashville with, and I've done this.
Starting point is 00:32:58 And I say, who's selling the best product mix in the country? They call them and see if it's okay to introduce me. I fly out to them, and I learn what they're doing, and I also help them in the country. They call them and see if it's okay to introduce me. I fly out to them and I learn what they're doing. And I also help them in the process. If I want to learn how to get to the top of Google, I don't look for the Ferraris on Facebook. I just simply type in roofing repair, Las Vegas or Henderson. And then I go to that roofing company and say, hey, I got a pretty big podcast. It's top 10 in the country for business. And people see me now. Personal brand's important, so they'll take my phone calls. And then I get
Starting point is 00:33:32 access because success leaves clues. I can find out anything. You want to learn how to get to the top of Angie's list or Yelp? Search the biggest thing, HVAC plumbing, electrical, roofing, and then go talk to those people how did this guy get 10 times more reviews than anybody what is he using and how is he doing it go take him to dinner read his book be genuinely interested in them they'll give you everything yeah if all you got to do is ask my favorite three letters ask you know i go to other countries these people are relentless they'll come up to you to sell you a piece of fruit they don't mind if you say no people that are not that are from here like oh oh, they don't even know you.
Starting point is 00:34:06 Who cares? You should see all the comments people leave. They never even met me. They don't know how I take care of people, how I have a dream manager, full-time person to focus on my people's dreams. They don't know that my dream is so big that everybody else's dream fits inside. They don't know that I'm helping them figure out the Dave Ramsey program and how to do profit first and have different accounts they don't know that i i literally give
Starting point is 00:34:28 every technician an installer that hits pinnacle which is the trip we go on each year they get equity in the company like that's the difference is i got everybody that has the owner next to their name who's an a plus player and then they recruit they can make 1500 for recruiting if a guy in vegas was just out he's like i want to meet meet Andy Elliott. I go, let's go cold pledge with Andy Elliott. Let's go to steak dinner. Done. Two guys went with me and my COO. And I have good buddies with him.
Starting point is 00:34:51 And some people hate him. Some people like him. Same thing with a lot of these guys. I don't care. My guys wanted to meet him. They said they changed his life. So we went and met him. And he goes, dude, I'm kind of pissed off
Starting point is 00:34:59 because I just don't feel like I got a brotherhood like other markets have. I go, who would be your brothers? He's like, dude, there's a few guys I work out with. It's just they eat clean. They want to win. They're very athletic. And I go, you know I pay you to recruit, don't you?
Starting point is 00:35:16 I go, you have the ability to build your own team, and I'll hire them. You call me up directly. I'll interview them, and I'll bring them on. I'm like, because you're a winner. And I know winners attract other winners. And winners focus on winning. Losers focus on winners. So I was like, dude, some of the thing you got to understand with the blue collar industry,
Starting point is 00:35:34 some of these guys didn't have moms growing up. Some of their dads beat the shit out of them. Some of them were raised around alcoholics and drugs. And by the way, blue collar, no AI is taking my job anytime soon no nothing's going to change you're not changing anything with garage doors anytime soon and what else is private equity is getting very serious because they see how much sophistication we have and it's like now we're honored like i'm not embarrassed to say i'm a garage guy or a garbage man like now it's a different state than it was in the 80s and 90s no i i would say your asset class to private equity is becoming better
Starting point is 00:36:08 and better and better i mean you see you see all the time i get calls from people all the time don't know anybody in certain roofing services businesses and want to get rolled up i mean i get that call a lot from well now they're all poaching around the problem is dude they're they're building a frankenstein you know these guys the private equity if they knew how to operate and they understand marketing and people in blue color i call myself the whisperer because i could listen to the white collar guys and whisper to the blue collar guys and vice versa because like these white collar guys are financial engineers they could build a pivot table they could understand that if i had this this this i get a higher multiple but pe is getting sophisticated i mean i speak at their LP meeting, the limited partners,
Starting point is 00:36:49 and these guys are saying, if it's not founder-based, if the integration isn't complete, if you don't show greenfield acquisitions and organic growth in every market, the systems aren't dialed in, it's going to hurt your multiple. And people used to be able to just kind of crater these things, can them all up and sell it as a package. And that was great four years ago. Now they're actually like, they're like, wait a minute, you're going to buy me and then I work for you.
Starting point is 00:37:15 And I don't, why would you buy me if I don't still get to be the boss? And I'm like, well, look at the military. There's a hierarchy. We're going to take the best of you, the best of us. There's an opportunity here if you want to roll equity but there is a hierarchy i'm the visionary i'm not very i'm very like dude we have the biggest dinner we meet the wives we take care of the people but you gotta now check this out let's say you're doing a million of ebita and i give you six million dollars for the company. That's 6 million.
Starting point is 00:37:46 I'd use debt. That's how private equity works. I have the money in the bank to buy that outright, but we use debt. That's how you make the deal even better. I could put $6 million in that market. What could I do? I know how to rank on everything.
Starting point is 00:37:59 So there's always a question. I could go crush people. Like what Gray Crocs said, when your enemies are drowning, stick a fucking hose in their mouth. Thumb a brick can't do it as fast yeah so i love acquisitions that spend very little marketing they've been around 40 years that have a great name and i could literally go that i love it when they say oh i've tried the google thing and they're not open nights weekends they're not open holidays but let me let me ask you back to private equity though do you i mean name a business that's better off four years after private equity bought it. It's very rare because they're not
Starting point is 00:38:30 culture guys. They start cutting things. No, they strip them down. They strip them down and hammer them off. And that's why you got to be very, very careful. I mean, yes, there are a lot of companies that did very, very well that become big businesses that IPO. The difference is you got to keep the visionary there. Like every PE guy I know does not make as much as these founders because they built the culture. They had a lot of TLC, the caring. But they think it's just a financial game. And literally like, yeah, there's no industry that I couldn't roll up. Literally do you know how many board seats I get asked to be on? I'm not interested because literally, like, I look at that and I go, I know everything to do, but you guys won't do it.
Starting point is 00:39:10 Like, you got to get the brand right. You got to get the culture right. You got to have a dream manager. You've got to literally pay attention. You got to have a scorecard for every position. You got to have a manual standard operating procedures checklist. You got to inspect what you expect. And if you don't do it right, and they always get cocky and they say, oh no, we got to figure it out. And then, you know, there are, I feel like,
Starting point is 00:39:32 you know, I said a $15 billion company. I could do, there's no industry I can't dominate, even outside of home service. There's a simple formula. I learned this in real estate. You take, how much revenue do you want to do pick a number pick a number revenue in a year just 200 million 200 million 200 million divide that by your booking rate and that comes through forms that comes through calls yeah divide that by your conversion rate that means you're knocking on the door that so booking rate is calls or forms conversion rate is rate is knocks. Divide that by your conversion rate. Then you divide that by your average ticket or average commission or whatever
Starting point is 00:40:09 it might be. And then you multiply that by your cost per lead. And that's how much you spend on your marketing campaign. And all you need to be able to do is figure out when I put a dollar in, I take a buck 50 out. How do I get more dollars to put in? And there's a little bit of, there's branding and then there's direct response and i think you could do both but i think you've got to be great at branding you got to be in this this area of the brain it's above your left ear this total recall that that people start singing your jingle and they're like a one from day one and it's a name they like trust and when we pull up they know it's going to be a drug testedtested, background-checked person.
Starting point is 00:40:45 We send you, we offer coffee on the way. We send you a profile about our family and who we are as a person. Wait, you say you bring them coffee? We always offer coffee on the way. Like, do you know how many, I'm stopping at your coffee? I'm stopping off at 7-Eleven. I'm stopping off at Circle Camp. I'm stopping off at Starbucks.
Starting point is 00:41:01 Can I grab you something? Really, don't make me guess. Do you want a double espresso or do you want a green tea? you want a green tea well i'll reciprocity these little things love it and now i got these checks and balances and i i gotta tell you i i had a client the other day we're like dude i was so impressed everything you said on stage happened and sometimes it doesn't happen perfectly and those are learning opportunities and a company our size um i'd love to tell you we got it all figured out i'd love to tell you it's all perfect but i'm here it's running yeah i'll be at morgan wall tomorrow i mean well no but but dude my thing is even just that the coffee thing does anybody else do that
Starting point is 00:41:41 you're lucky if they even show up in the window. They said you're lucky if they answer their phone when you got a warranty. I'm listening to this, and it's almost like you built this stuff without – you didn't really look at what anybody else was doing, did you? Well, I studied HVAC for a long time, and I learned about financing. I learned about service agreements. I said, who has the most private jets? That's what I said in my head. And then I found all these hundred million dollar shops because of service Titan. And then I went in very humbly and I said, I'm just a garage tour guy. I read their book. I
Starting point is 00:42:13 came in, I'm a guy early thirties at the time. And I come in and I say, I don't want all day. I'm going to buy everybody lunch. I'll buy you guys dinner, go in with gratitude. And I'd bring a notebook with me everywhere I went and take right at scrupulous notes. And they were like, dude, you actually do this. Like you're going to do it. And they didn't mind giving me everything because I'm never going to be their competitor. I said, because you taught me this,
Starting point is 00:42:37 I'll never do HVAC in your market because you poured into me and people that are my elders that are successful they want someone they want students that are actually going to do stuff and actually they want to affect people's lives positively agreed and i'm just like i'm here to learn i'm asking and i'd be indebted to you forever and i won't forget and i'll praise you like ken good with Kettle and Ken Haynes and Leland Smith in Service Champions, massive company doing $500 million now. And Al Levy that taught me everything. I bring their names up all the time. I say, here's who I learned from because I'm paying it forward.
Starting point is 00:43:14 And when people want to come learn from me, I do shop tours. I do three a month. And I give them everything I got. I don't charge them for it. And I go, you guys are the up and comers. Some of them are older than me. I answer all their questions. Just know, like Zig Ziglar once said you could have anything you want in life if you help enough people get what they want yeah and if I could help people's
Starting point is 00:43:32 dreams come true and guide them and never have to look over my shoulder like I screwed somebody and took advantage of them yeah I give money back all the time I'm like if you didn't know about that your mother didn't know about that she's elderly. We want to make sure we do the right thing. And we do get bad reviews. We just make it right. I love that because it's like you have just the right amount of ego. What I mean by that, we use that expression around here a lot. And you go to some real estate companies and you walk in somebody's office and they're like,
Starting point is 00:43:58 oh, they start covering their computer because they don't want you to see what they're working on. Because they have some magic pill that's going to change the real estate industry. Well, here at this company, I like to think that you can walk in and everybody here will give you their playbook. Because at the end of the day, they're just, yeah, man, I'll help you out. But they genuinely believe if they go head-to-head with you, they're going to win anyway. I'll tell you every play I'm going to run because I'm still going to win.
Starting point is 00:44:20 So here's everything here. And I love that level of confidence and that level of giving. I invited 40. I figured out that our industry was so primitive that I invited 40 owners to come see our shop. And this is years ago. This is like 2020. And we're upstairs. And I go, let's take HAC for example. They pay $2,200 for a 510 unit. A lot of my buddies are charging $14,000. Some of them are charging $25,000. Some of them are charging $10,000.
Starting point is 00:44:51 Let's just take $6,000. $6,000. I go, because you got to have new trucks. You got to have billboards. You got to have service tight. You got to have cold AC in the summers of Vegas and Phoenix. Let's just say $6,000. What do we pay for a garage for at the time? A nice garage for an opener cost $1,500. cold AC in the summers of Vegas and Phoenix. Let's just say 6X.
Starting point is 00:45:06 What do we pay for a garage for at the time? A nice garage for an opener cost $1,500. So I said, who here is charging $9,000? And out of this whole room, no one raised their hand. And I said, what about $7,000? I'm talking to Taj Mahal here, the best of the best. And I'm like, cycle parts, Deco hardware, extra remote, keypad, oversized bottom rubber. You're giving the Taj Mahal. None of them even offer this. All my stuff's trademarked. And they said, how would you be able to sleep at night charging that?
Starting point is 00:45:34 And I said, well, let me ask you another question. How many of you guys got 401ks, PTO? You provide tools, 90 days of training. All your guys drive new trucks and you could afford to market against the plumbers on the billboards that are taking up the space. You're paying against their radio time, their TV time, their billboard space. How many of you guys could afford to market? Make sure everyone's not living in the projects or driving a new car. They're putting their kids into the schools they want to. You guys are taking so much pride of giving your customers a great deal.
Starting point is 00:46:00 Yet you're shitting on your employees. How the hell do you sleep at night? I want to know how you sleep at night holding somebody down at $50,000 a year with no benefits. How many of you guys can make six figures and drive a new vehicle and go on their dream vacation with their families and actually move out of the projects? You guys, how do you sleep at night
Starting point is 00:46:17 knowing you're screwing over your internal customers? How can a CSR live on $16 an hour? You guys, you're pathetic. I told all of them that. They shook my hand. Each and every one of them, they raised their prices. And I said, don't raise your prices if you're not going to raise your quality. Because I'll pay a lot of money to go to the nicest steakhouse in Vegas. I'd pay a grand all day for a couple. And I bet you they've got a line three weeks out because they're buying the experience. They're buying the warrant.
Starting point is 00:46:44 Like, I know the manager's going to come me the next day to ask me how it was. I know that my martini, they're going to shake it, make it cold. What's your favorite? Got to answer it now. State 44 in Phoenix. I don't know. No, what about here? You don't know here?
Starting point is 00:46:55 Okay. You tell me where to go. I mean, I've been to a lot of places, but Vegas is like the key. There's probably 20 good places. For me, it's Bavette's, man. Is it? It's Bavette's. Okay.
Starting point is 00:47:04 That's where we got to go. That's my spot. But that's the deal, man. it it's pivots okay park that's where we got my spot that's my spot but that's the deal man take care of your people make sure they're winning it becomes easy to recruit you know and and if you take care of people they take care of you back and you know it costs somewhere between 45 and 60 percent to replace somebody other yearly salary and people just going through people and they say they can't afford it. Well, listen, there's a great book by Alan Rohr. It's a small book called where did the money go? And I'm not, I'm not all about like,
Starting point is 00:47:32 if you got to lower your commission, you're probably not the best. Yeah. You know what I mean? And I know real estate quite a bit. My sister was a loan officer and there's people that just say, listen, if you want to,
Starting point is 00:47:42 what, where did you want me to save you money? On the parts or the labor? I could get a felon in here for you. Do you want cheaper parts? I could get a felon? Is that what you just said? Yeah, I said, do you want me to get cheaper labor? Do you want it done with your daughters in the house?
Starting point is 00:47:56 Do you want me to get somebody off the streets? Or do you want somebody that looks good, that's going to respect you, that's going to make sure the job's done right, that's fully trained? They train on our training center, not on your home. And you want us to use the best parts. And by the way, I've got cheaper options than any other company. And it goes up from there, depending on how long you're going to stay in the home and what you want and whatever you want, we're going to provide for you. We want to be your garage, your company for the rest of your life. We want you to know how to get ahold of us. And by the way, our warranty calls,
Starting point is 00:48:24 they go before any new customers. You are important for us. What's the lifetime on a garage door? 10 years. 10 years? And the HOA, the builder with mass production, they're putting in crap. The garage door is the smile of your home. I trademark that.
Starting point is 00:48:41 Smile of your home. It's 40% of your curb appeal. It's the number one roi more than your kids to bathrooms 194 this year that just came out remodel magazine and every new station is talking about the garage doors the best return on investment it's an investment and if people understood how passionate i am about garage doors this is why i wanted to nail it and scale it i i want to own the client but i don't't need to sell them everything under the sun. I just, we're really, we're specialists.
Starting point is 00:49:07 We're not a jack of all trades. We're a master. Do you go to a general doctor when you need heart surgery? We are the best at garage doors. We're not a handyman. We're going to fix it the right way. And by the way, if it's not fixed right, how much is your time worth?
Starting point is 00:49:20 Oh, God. Every time you hit that button, you want it to go up. You want it to be safe for your family. You want to lower your electric bills by putting in an insulated door like you could back into our doors it'll be fine because it's double it's called a steel back and it's polyurethane that's that's our signature series and we sell those like hot cakes we just went to a guy's house five months ago he's working for us he's murderaring it and the dude is the most christian guy he's taking care of his people and like i'm getting ready to replace my mom's
Starting point is 00:49:51 door going the best the best i buy like i want to be bought from if you're a plumber you come into my house offer me everything let me decide what i want i had a plumber come into a couple months ago and i'm trying to like can you get the water i replaced all my hot water heaters i want i had a plumber come into a couple months ago and i'm trying to like can you get the water i replaced all my hot water heaters i have seven and i would tankless on all of them and i said what can we do to make the water get faster what can we do they could should we rebuild the toilet kits like i want these things power flush every time like what else is going to go wrong offer it
Starting point is 00:50:20 to me because i buy like i want to be bought from. Give me everything. I'll take everything you offer me because that's how I want it. You know, if I had to, like, go and try to get the cheap, you know, I've got the cheapest. I bought the cheapest in my first house. Within two years after I did the roof, it leaked. The HVAC unit broke down seven times one summer that I just replaced the year before because I got a deal. You bounce a golf ball on my old floors, brand new tile,
Starting point is 00:50:46 hollow, hollow, hollow, hollow. But I got to install it for a buck a foot. I thought I was this smooth negotiator, even though I was getting what I was paying for. So I've got every option for every client.
Starting point is 00:50:56 It's just, I prefer the affluent that want to fix the right way that have nice things and want nice things. Yeah. They don't want to have to think about it again it's more of that let's talk about this dude let's talk about talk about your event coming up man let's talk about that well steve's gonna be there steve sims good friend of the show steve sims is uh he's an amazing guy his story is amazing and i love blue fishing man that book was amazing um i got jocko people need to learn more about discipline you know by the time september
Starting point is 00:51:25 25th the show comes i'll be under 10 body fat with full mental clarity i feel like i could freaking take a bull and twist his neck if he came against me my my energy level for that what are you doing so i'm how old are you oh i'm 41 okay and i'm on like dude i had 135 pound dumbbells on incline for my fist set yesterday. Jesus. Like I've been on TRT for seven years. Yeah, sure. So everybody's like TRT. What's the new peptide? What's the new one? Dude, I'm on like CJC. I'm on NAD. Have you ever read the book Giftology? Yes. So John Rulon just passed away two days ago. John's a great guy. What? He died. Wait, what? Yeah. From what? I was really was really involved dude he was hiking with his four
Starting point is 00:52:07 daughters his wife's sick he was on dude it broke like dude out of nowhere he just and john was a he was a healthy dude very healthy 46 years old left four kids i i'm sorry that's not the best way to come up like you know i pray for him every day in his family oh man it's so messed up dude um i met i met john for the first time probably four years three years ago at hundred mil dan fleischman's thing yeah yeah i was part of that and then yeah yeah yeah dude he's a guy that would give the shirt off his back dude it's they still don't know if it was the covid shot or whatever i don't want to get controversial here but i don't know what but but going back dude i'm sorry to bring that up but um because listen i'm on all the right stuff i'm taking care of myself but i know tomorrow's not
Starting point is 00:53:03 promised like every indicator is in the right spots. My blood pressure is exactly where it's supposed to be, my cholesterol levels. But just here's what I do know. Mom's not going to live forever. Dad's not going to live forever. I'm not going to live forever, and I can be taken in the – I know we were talking about the event, but, man, I'm trying to live – you know, you hear me on this show.
Starting point is 00:53:22 What you don't understand is dude i'm living 110 every day i get a fun token i tell people i love them more than i ever have and i will help people i want to make a difference i want to have a legacy like john had um but as far as the show goes and i know that's a debbie downer um you know the the who's who of home service, the godfathers I just told you about earlier, they're all going to be there. Paul Kelly's doing $280 million just in Phoenix. He's going to be there on a panel. I got Tom Howard, who I was with earlier, just sold another company for $85 million.
Starting point is 00:53:57 My events are just as much about tactical and strategic as it is about mindset, as it is about being a good part of your family taking care of yourself well i'm gonna say this dude just in the conversation we've had here like i don't think that this is exclusive to people that are solar guys or hvac guys or this i mean dude just the level of service and some of the some of the little things that you said if you're selling anything i think this is something you could get a lot out of well i'm challenging people you know a lot of times guys like us like to help other people but we kind of don't help ourselves first i looked in the mirror one day my cousin called me up rachel and she she's a uh she's a trainer and she goes dude you're the
Starting point is 00:54:41 smartest guy i know she goes you devour books she's been to my house she's, dude, you're the smartest guy I know. She goes, you devour books. She's been to my house. She's like, dude, you're so smart. You take care of everybody. She goes, why don't you love yourself? And I go, oh, what do you mean? She goes, just don't look your best. You know, you're drinking a lot and that's okay. But she's like, you're so much better than that.
Starting point is 00:55:03 And I took my shirt off after I got off the phone. I looked in the mirror and I'm like, dude, I, I haven't looked in the mirror. I just kind of get out of the shower, get ready. And I say, I'm busy. There's 168 hours in a week. Spend 50 working outfit or 50 working. A lot of us do more than that. You spend 50 sleeping, which is a good amount of sleep. It's over seven hours a night. You spend 10 hours in the gym. You still got about six about 60 hours left. You could spend 15 hours on yourself. You could be closer to your kids and your wife or husband. You could do so much more. Everybody says there's
Starting point is 00:55:37 just, it's easy for you to say you don't have enough time. I don't have an excuse in the world anymore. I got rid of it. Yeah. And it's, it's a little bit of discipline and it takes it takes its consistency man you don't see results for the first couple of months then all of a sudden people like dude what the fuck like what's going on and i'm like well i started to realize that i can't help anybody else if i don't help myself yeah one of my favorite little quips with that instead of saying i can't this change can't to choose not to and watch how quickly you stop because now i choose not to do that i choose not now all of a sudden it's like shit that sounds bad i guess i could go do this and it's tough man i didn't want to get out of bed yet yet no not yesterday morning the morning before it was rainy outside yeah i got
Starting point is 00:56:21 up at five and i don't know, I was sore. And I'm like, like, I don't know, David Goggins or Jocko or somebody got it in my head. And they're like, just, I went for an hour and a half. Just for a little, like I speed walk. I don't like to run and I don't like to slow walk, but I just, I'm in mother nature, the mountains. And I just focused and I just want people to have their best life. And if you come to this event, it's called freedomevent.com, September 25th through the 27th.
Starting point is 00:56:52 I promise you I lose money on this event. Promise you. If you don't get blown away and you're at the end of the event and you're like, this was a waste, like this was just, you go to events and people are pitching the whole time and getting you in an email list and shit. If you get that, then just ask for your money back. Just find me. Just give you your money back.
Starting point is 00:57:10 Because I want nice food. I want the best speakers. I want to make a difference. I want you to think about things differently. I don't want you to go through what I had to go through to get here. Like don't reinvent the wheel. And if you've got big dreams, I'm going to dare you to dream through to get here. Like don't reinvent the wheel. And if you got big dreams, I'm going to dare to dream a little bit bigger.
Starting point is 00:57:27 I don't want to go to Disney world unless I'm going first class, staying in the penthouse and cutting all the lines. I want to go first class through life. And I want everybody around me to say, man, knowing that Tommy Mello dude, man, my life got better.
Starting point is 00:57:40 When I die, I want it to be outside. Nobody wear black, make sure. And it's a celebration because I want to be in heaven and I want it to be outside. Nobody wear black, make sure. And it's a celebration because I want to be in heaven and I want to live my life. I don't want to convert anybody to Christianity. I want them to come to me and say, I want what you have. I don't need to persuade anybody. I want them to say, I want to find that inner peace. I want to feel what you feel. I want
Starting point is 00:57:59 to live like you live. I don't need to tell anybody. I want them to see how I live. And if they they're inspired, then they'll come to me and they'll choose to do that yep say what are you doing and what the hell's up with you dude it's like you're never in a bad mood you're always smiling you seem to have fun all the time it's got to be Joe Paul taught me this anything I do now it's got to be easy lucrative and fun if it's not get the hell away like dude I say no a lot more than I ever have because I'm like your drama. And if you want me, I'm there. That's a dude that, that was one of the hardest things, especially when you're coming up, man, is learning how to say no to people. It's tough, man. It's a skill.
Starting point is 00:58:37 I think, I think, and I think as you get older too, like you just said, you start to understand the limited amount of time that we have on this planet and how valuable that time is like you sitting here man i appreciate you taking an hour out of your day to sit here i love this man because you're doing everybody a favor you're inviting people on you're sharing your knowledge this is a great way of giving back where you could have these one-on-one conversations sharing but you're sharing it with the world. Yeah. And when you see that, that finite amount of time, it's just, I think you've got to learn to say no to people. You start really valuing like, man, I can't do that. I'm not going to do that or this and that.
Starting point is 00:59:15 And you start to see, and something else you said earlier, that is just case in point, that cracks me up, just the level of service. Let me ask you this. And I wanted to ask you this earlier and we're kind of running out of time, but I wanted to get to this. Do you think since COVID, the level of service across every industry has gone to shit? It has. Dude, I was looking to buy a very expensive piece of software
Starting point is 00:59:40 for our brokers today. Very, very expensive SAA space. The dude books an appointment with me, shows up five minutes late to a fricking Google meet meeting. Then he gets on and I go, bro, I just need to see the product. And then he starts trying to script me like, well, tell me about your needs and tell me about this. I'm like, dude, you're five minutes late. You missed that. Yeah. Let's get to it. And he wouldn't let it go. And I was like, you know what, dude, get me somebody else. I'll see you tomorrow. But it just seems like
Starting point is 01:00:07 everywhere you go, the level of service is just gone to shit, which is one of the reasons that guys like, I think you and I that pride ourselves on that. I mean, right before I walked in here, I got a phone call from some, from one of our clients saying how amazed they were at the level of service they got from my agent. And I love that. Yeah. Like nothing that's going to happen today is better than that call. Absolutely, man. Nothing's better than that. I get these calls. The best calls I get are I just bought my first house.
Starting point is 01:00:33 I'm 42 years old. I got a place for my family. This is the first place I ever got to call home of my own with my family. That's better than a record. We set a lot of records. And this level is i just want to treat people how i'd like to be treated and i don't find that if you answer your phone and you show up you're doing better than 90 dude 100 my proudest one of my proudest accomplishments this
Starting point is 01:00:57 year my not one of my agents my assistant bought her first house this year it's impressive that's the shit love that yeah you get to give back to people and guess what like these people are warriors for you like in my first deal remember i said adam five million dollars yeah he got 14 on our first deal and i love this i love this game because now i'm learning what these guys knew in the financial side of it and now i'm learning how to raise capital and i'm learning how the debt markets work and i'm like oh man ken called me up and he goes dude you should do he goes i would give everything up to be where you are today now this was uh ken goodrich okay the ghetto yeah yeah and what i've learned is he goes you're gonna
Starting point is 01:01:42 you are one of the smartest guys in the home service. You understand all the KPIs, but when you learn what they know and you combine them, it's like a hurricane, dude. It's like you're going to be able to freaking just shake up everything. And so I feel like I'm in the fetal stages, dude. But at the same time, I'm taking time for me, my mom, my dad. I've taken him on golf trips. I've taken my mom to a big trip like i've learned a little bit more of um i work and play like i'll never stop working but i don't have to grind like i used to and the problems aren't the same like i used to worry about guys
Starting point is 01:02:16 showing up sober when 2010 you know or is this guy gonna quit or is this truck gonna break down or is this customer gonna be a douchebag to my csrs which we don't work with those people if they are um and now we got choices and uh i just love it man i'm happy to be here i'm happy you invited me and i really enjoyed this yeah dude i i look you are i always tell people that having mentors seeking out knowledge finding those things it's not just about the information it It's a, it's a time machine. And bro, all the people we've had through this room and when I've, and we have had some bangers sit here, I will say that you probably worked the time machine as good, if not better than anybody that's ever sat in that chair.
Starting point is 01:02:58 Well, I do have an 85 DeLorean this time. I'd like back to the future too. As you should, as well, you should as well you should man well dude uh tom thanks so much for coming in bro if you are gonna check out his event which i highly recommend you do again september it is a 25th freedom event.com freedom event.com freedom event.com and if you're watching this on youtube as always like and subscribe but man let today be a lesson let Let it be a lesson. If you don't have, if you feel like you're lacking the information that you need to start
Starting point is 01:03:30 that business, to get your, to scale, to do what you want to do, to get to that next thing, it's out there. You just got to go A-S-K. We'll see you next week. What's up, everybody? Thanks for joining us for another episode of escaping the drift hope you got a bunch out of it or at least as much as i did out of it anyway if you want to learn more about the show you can always go over to escaping the drift.com you can join our mailing list but
Starting point is 01:03:57 do me a favor if you wouldn't mind throw up that five-star review give us a share do something man we're here for you hopefully you'll be here for us, in the meantime, we will see you at the next episode.

There aren't comments yet for this episode. Click on any sentence in the transcript to leave a comment.