REAL AF with Andy Frisella - 412. Q&AF: Structuring Partnerships, Funding Your Start-Up & Becoming The Best Intrapreneur

Episode Date: November 9, 2022

In today’s episode, Andy answers your questions on how to construct a partnership based on your involvement within the company, what’s the best way to fund your new business idea and what crucial steps to take to become the best intrapreneur within your organization.

What is up guys, it's Andy Purcell and this is the show for the realest, say goodbye to the lies, the fakeness and delusions of modern society and welcome to motherfucking reality guys today we have q and af that's where uh basically i answer all your questions um you could submit your questions to guys email those questions and to ask andy and andy forsella.com sometimes when you tune in we have cti that's cruise the internet cruise the internet is exactly what it sounds like we put put up three headlines. We talk about what might be true or untrue about them. We laugh at them. We make fun of the people that write this bullshit. And then we talk about the actual problem at hand and how we the people are the solution to these problems. Sometimes when you tune in, we have real talk. Real talk is five to 20 minutes of real talk. It's just what I think needs to be said. Usually it's based around personal development

and stuff that I see people, very obvious things that I see people missing on in their quest to be better humans. And then sometimes we have full length and full length is what you guys are typically used to, excuse me, a little protein burp right there. Uh, you know, from other shows, um, where there's two people sitting there and they're doing an interview. The only difference is I really don't interview people. Um, we have discussions and in those discussions, um, I jump in and interrupt people. And then some of you guys like, tell me like you're a bad interviewer. And I'm like, yeah, I fucking know. Cause it's not not a fucking interview and that's how the show goes so we do have a fee for the show the fee is very simple um because i don't take ads to to uh you know to promote the show i don't run ads on the

show and i miss out on millions and millions of dollars by not doing so so i ask in return that you please share the show. That means if you find the show funny, if you get some good information, it made you laugh, it made you think, if it gave you a different perspective, please do me a favor and give us a little share. All right. That's the fee. So when I say pay the fee, that's what I'm talking about. Anyway, on with the show. What do we got? Let's get into it. And question number one, how do you structure your partnerships and how do you structure pay from those partnerships among the owners? I have two partners and we have always split things one third.

I know this is human nature, but I feel like I'm bringing way more to the table year after year than they are. I want to have a conversation with them at the year end. And I'd love your input on how to handle this. Sit them the fuck down and say, Hey motherfuckers, I'm pulling the fucking water here. And if you don't pull your fucking water,

we're going to change the pay scale. It's really simple. Most people's money problems come from their hesitancy to have conversations about money. Yeah. And then when they won't have the conversation about money, they resent the people that they actually need to have the conversation with when it's actually their own fault.

Right. Right. Okay. So this is a real simple answer. Reach down. Find all your fucking nuts. Oh, got one. Yeah. Find them both. Yep. Get some fucking courage. Sit the fuck down. Find all your fucking nuts. Oh, got one?

Yeah. Find them both. Get some fucking courage. Sit the fuck down and say, hey, motherfucker, I'm pulling the fucking weight here. I'm doing this and this and this and this and this and this and this. Here's what you're doing. You're doing this and this. The third guy, you're doing this and this and this.

You're doing a little better than this guy. And be fucking guy you're doing this and this and this you're doing a little better than this guy and be fucking honest and be like this is not personal this is not an attack on you this is reality and we have two choices we can either all start to pull that same amount of weight or we could change the pay scale i'm happy to carry the most weight yeah but i want to get paid more that's real that's very simple yeah that's real now most people are so afraid to have a conversation about money that they will literally live their entire life making far less money than they ever could because they're so afraid of that conversation because it's taught in american households that it's impolite and rude to talk

about money yeah you should never be afraid to talk about money. If you're afraid to talk about money, you'll never fucking get any. That's real shit. No, that's real, man. Now, follow up on that, though. Would you say that the work is relative, right? Like, because everybody's going to have their own strength. Well, everybody thinks they work the hardest.

Exactly. That's what you're going to come up to find. Exactly. Like, you're going to sit down in that meeting and you're going to say all the shit you say. And the other person is going to say, well, fuck, fuck dude i do this and this and this and this right and you should give value and thought to that because that's their perspective and there's probably some truth to it right just because you see things your way and they see things their way bro everybody thinks they work the hardest out of the team right everybody thinks that because

hard is relative it's the same reason when you talk to someone from Florida and they say, fuck dude, it gets so hot in South Florida. I'm like, fuck dude, I live in St. Louis. We have two months at a time and be over 100 degrees here. It ain't hot like it is in South Florida. Bro, hot is hot.

Working hard is working hard. It's a matter of perspective. At the end of the day, the conversation has to be had so that there can be some uh healthier conversations and a healthier working relationship moving forward the problem is is that most people go into the meeting with the wrong intent they go into the meeting to expose the other person or to make you a piece of shit yes right when Right. When, when, when in reality, if you have the right intent,

you would sit down in the meeting and say, I would rather you guys do more shit so we can move faster as a team than me to make more money and do more shit than you two. Right. That would be the intent is your intent team first, or is it you first? Right. Right.

So as long as your intent is team first, uh, there's going to be a productive outcome to that meeting because you'll be able to have a more healthy conversation. Dude, this is why marriages fail. This is why business relationships fail. This is why fucking people stay at jobs they hate. This is why people stay in positions that they fucking think that they're overqualified for, for their whole entire life. Bro, there's nothing wrong with talking about money. It's a real shit. It's the most important part of your whole entire fucking life because without it, you can't fucking eat. So spare me the fucking money is the root of all evil or any of this other loser shit that you fucking picked up along the way. And don't be afraid to talk about it because if you don't talk about it, you'll never have any. Guys, question number two, Andy. So I work a normative nine to five,

but I have a great business idea that I'm very passionate about. I am finding it very difficult to find some funding to build a demo of my idea. What kind of tips or avenues can you suggest to get some financial investing? I'm considering taking out a personal loan, but what are your thoughts? Well, before you take out a loan, there's levels of risk here. The least risk would be to finance this new venture by living way below your means on the money that you're currently making at your job and and do it a little bit at a time and that's probably that's the way i would do it that's the way i've always done everything okay not having to owe people shit i hate owing people yeah like bro there's no there's not another company on this

there's not another group of companies on this fucking earth that exists at the level that we are with no debt. It's non-existent. Because I am very debt averse. Because the truth is, I don't like owing people shit. I don't like people having any leverage on me whatsoever. All right? So that's the first way to do it, is trim your expenses down live very very very uh much so below

your means and then use the money that you are able to save to finance the new venture and at least test it out and i think that's probably doable if your concept costs hundreds of thousands of dollars or millions of dollars to test um it might be a little you should probably crawl before you fucking walk and try to run and so then there's the the idea of getting a loan like they're talking about well the problem with that is if it doesn't work out you spend the rest of your life trying to pay that loan off okay the best way to finance things is to figure out ways to generate cash flow that will finance these things and we live in a greatest technology age ever when it comes to the ability to make some sort of income, doing something of value regarding online

or through information or a hundred million different ways to do it. So I would recommend doing that. I would recommend figuring out a way to lower your expenses. Take the money that you're already making, maybe figure out a way to generate a little bit more cash and then test with that cash. So that way, if it doesn't work, you're not fucking owing people and you're not you haven't destroyed your financial future. Um, if that doesn't work for you, if you're not willing to do that, I got I got probably

some real news for you that you're not going to like to hear. You probably don't have what it takes. Because everybody wants to fucking play on everybody else's money. And they want to get a loan. They want someone to give them money. Or they want someone to invest. Or they want someone to do this. And some fucking bullshit idea.

Okay? Ideas don't mean shit. You know how many great fucking ideas I get hit with in a day. And by the way, just so you know, don't ask me for fucking money. I'm being serious. I could ask for money 50 fucking times a day. Stop fucking asking me. I'm not giving you money. I'm not investing in your shit. I don't care if it's the biggest opportunity ever. I don't care if you come. I hope you do. I hope you become the next fucking apple. I hope that you make a trillion fucking dollars. Still not investing. Don't fucking ask. I'm not an investor. I'm a fucking builder. I'm an operator. I build my own shit. I take a lot

of pride in it. I don't give a fuck. Go do your thing. I'll teach you what I know. Don't ask me for money. That goes for everybody. Right. Okay. so that's what i would recommend because if you're willing if you're not willing to get your own skin in the game if you're not willing to grind out the extra stuff you need to finance your dreams there's no chance you have what it takes long term yeah let me ask you this though on the because on the part you're saying you know you're very debt adverse that's a choice right do you think that like did you think that like slowed down the speed or yeah 100 yeah 100 but it also uh my company's probably worth five or six times uh the amount of any other company of the similar size

because there's no fucking debt right right and it. And it's run. So you understand what I'm saying? Yep. So there's a payoff there and yeah, it took longer. Okay. But here's also how I look at it. Um, what would have happened had I fucking borrowed the money? See, here's what most people do, dude. I see this all the time. People, people will start a company and they'll get it to a point where they can qualify for some financing. And then they think that the best way to spend the money is on fucking marketing. All right. So they'll take the money, put it into marketing, thinking that the marketing will fucking 10x their fucking business.

All right. And they don't understand that marketing is hit or miss. They don't understand how to test. They don't understand how to figure out what works. They don't understand how to actually play the game. What ends up happening is they waste all their money on marketing and they can't get it back. And now they're in a way worse position than they were before because they owe the money and they don't have any extra business. And this is almost what everybody

does. So like everybody who kills their own company, this is what I see. And so this is why like the same principle applies to scaling out your fucking advertising. A lot of people cannot grasp the concept that when your model, okay, your business model has fucking holes in it or cracks in it. All right. You're not able to effectively serve the customer the proper way and they're getting bad service or you're constantly out of product or you have a shitty culture that your employees don't care. And a lot of people think that they can like outspend

in advertising dollars the problem that's an actual core inside whatever their operation is. Yeah. But here's the problem. They don't understand what they're doing because when you pay to advertise your, what you're doing is you're saying, Hey, everybody look at me. Okay. And if they look at you and your shit, isn't what you say it is, you're not able to service the customer. You don't respond to fucking emails. You got shitty fucking people in your, that are rude to people, uh, whatever, whatever the cracks are. I call them holes in the bucket. Okay. Whatever the holes in the bucket are, are exposed because immediately, yes. And you're calling for everyone to look at your shit. All that does is accelerate the death of your business

because the word of mouth that's created off of that is instant. So you have to be very careful on how you scale your advertising. And you have to understand that your core business and your concept has to be solid top to bottom before you ever want to go, Hey, everybody, look at me. Okay. You want to make sure that when like, Hey, everybody look at me and you're standing there naked. You look fucking good. Right. Right? That's the fucking point. And see, that's what most people don't understand. They think, I'm going to throw together some bullshit,

and I'm going to run some ads, and I'm going to make some money. Somebody will buy it. Yeah, because they're thinking transactionally, and they're not thinking that the real game, which is the real game, is the accumulation of loyal customers. It is not fucking one-off sales.

Right. If you're a one-off sale person, you'll be chasing that your whole life. And guess what? Even in the United States of America or the, whatever country you're listening to this in, there's a limited amount of people. And once you develop a reputation, which can be done instantly, now you're fucked. All right. So this did not used to be the case. These people who operate this way are operating on an old business model. It used to be you could have holes in your bucket. You could have things wrong with your product. You could have fucking unfavorable characteristics to your business model. And if you went out and advertised, you still sold a bunch of shit because there was no social media. There was no text. There was no

instant communication. And when there wasn't that, it took years for people to figure out what the problems were because it took years for those conversations to happen. Now we live in instant society. The conversation happens today. So if you go out and try to scale your model or your thing or your widget too fucking soon before it's actually good enough to scale, all the customer does is reject it that much faster.

Yeah. Love it. Yeah. Guys, our third and final question uh any question number three andy i'm an entrepreneur for a company that sells construction equipment i've been with the company for seven years and i am top three in the company i work on a commission basis what do you think would be the best way for me to separate myself from the other two and become the best one uh get better do better produce an undeniable amount of results that cannot be fucking compared to the other two it's very simple did i hear the question wrong no yeah

yeah that's it i mean no i mean, what are we looking for here? Right. I'll produce them by 10 to 1. 10 to 1, not fucking a little bit more. Not 20%. I'm doing 20% more than that. I don't give a fuck about that. I'm doing 10 times more than that.

Okay. All right. Let's sit down and talk. You got a case here. You get it? Yeah. It's undeniable. A lot of you guys are making the mistake of seeking the bare minimum to become successful.

You're trying to be just good enough. Here's the thing. There's lots of people out there trying to be just good enough. And that makes the competition extremely difficult. But when you work to become undeniable and you work to become the absolute best and you work to outproduce the next person 15 or 20 or 100 to one, and you're working to become great, now you stand out. And by the way, there's so few people actually shooting for that, that once you actually grab the skills and accumulate the skills, which isn't that much harder than being just pretty good, you stand out anywhere you go.

All right? So that's the game. The game is to become undeniably great. If your target or your goal or your quest is anything less than that, you are going to have a much harder time because there's more people trying to do that like if there's there's way more people trying to make a million dollars a year than there are people trying to make a hundred million a year and by the way you may never make a hundred million a year but if you made fucking 20 you're

still making more than the fucking one1 million a year, guys. And by the way, the competition for that is fucking far less. That's what we're missing. And the amount of work to get undeniably great is fractionally more than what it is to be pretty good. It doesn't take like the difference between being fucking not a fat ass and being totally ripped are like that extra 700 calories that you go and sneak in the middle of the night. The difference between me weighing 275 pounds and looking thick and maybe in 250 pounds of fucking shredded is the two scoops of peanut butter I eat in the fucking middle of the night. You get it? It's not that much difference. And that applies in business and life and everything.

The amount of effort required to be truly exceptional is only a minimal amount more in real effort and discipline than the guy who's pretty good. But how you stand out is 100 times more. It's undeniable. So you should make the target to be undeniable because there's less competition and way more opportunity. That's real stuff. And like the old saying goes, make your goals, shoot for the stars,

and even if you don't hit them, you'll land on the moon or whatever. That's true. That's really true. If your goal right now is to make a hundred grand a year you ain't ever making a hundred grand a year your goals are way too small you're gonna make like 60 yes yes yes bro like your goal should be as big as you can possibly comprehend or see it and understand that it could be reality and if you don't think like that, you'll never have any of it.

Maybe you will fall a little bit. Like, dude, my whole life, I know, I know I will never hit the goals I set for myself. I fucking already know. I already know. And that's because they're too high. Yeah. But I know that if I get close, dude,

I'm going to be fucking killing it. Right. You know what I'm saying? That's served me my whole life. Like, bro, but I know that if I get close to them, I'll be fucking killing it. Right. You know what I'm saying? That's served me my whole life. Like, bro, if I, if I would have said, like when I, when I tell people my goals, they're like, bro, that sounds crazy. I'm like, yeah, I know. But what ends up happening five or six, seven, eight years later is that shit happens. And I get pretty fucking close and you're always going to do better setting a much bigger goal than you will setting a quote-unquote realistic goal because the nature is you always fall a little bit short no one hits their goals bro that's the dirty secret none of these rich motherfuckers that you look up to ever hit their actual goals they never fucking hit them they

never hit them the only reason they're great is because their goals are so big they're hitting 80 70 80 percent of that fucking massive, which is undeniably great by everybody else's standards. So like, dude, your, your success is going to be in direct proportion to the size of the goals that you set. That's the fucking biggest secret that nobody talks about because all these rich motherfuckers except me will all claim they hit every goal they fucking set. Right.

I'm just telling you you i don't hit any of my goals i just get close and if you get close and you have a big goal guess what that's going to be better than hitting your goal if it's fucking realistic it's always the case what good god well look man i live this shit that's crazy i've lived it that's some great shit man yeah but it's true yeah you know most people you say well what what's what's your what's your what do you want and they'll say what they believe to be realistic within that frame right there doesn't they're not going to get them laughed at right not going to get them shame right not going to get them an eye

roll bro i've been making everybody's eyes roll around me my whole fucking life. But guess what i'm doing. Okay I'm doing pretty good. I think i'd say i'm probably doing better than most everybody ever thought I would And I feel like a failure, you know, why because my goals are fucking gigantic You guys are wondering why like oh, dude Why is this dude out working the way he does? Why is he fucking doing cardio in a foot of snow when he could be on a yacht? Why is he doing this and this? Well, dude, because my goals are so big, I'm not even close to him yet.

You see what I'm saying? Absolutely, bro. So like, dude, if you have big goals and you have the true, you have it in you to truly go and try to get those things, your life's going to look fucking great. Now, do I get upset and frustrated sometimes? Yeah, I do. But that's also where people will hear that and they'll say, well, see, he's miserable. No, that's not it. I'm very fulfilled. I just have to check myself sometimes to remind myself of

what I have done and how grateful I am to be here. Okay. So that's a discipline in itself. So all you fucking losers out there, it'll say, oh, see, he's all happy. No, I'm very happy because I'm exercising discipline. I'm exercising gratitude and I have a huge motherfucking purpose. And the purpose ain't to make money. The purpose is to save the whole fucking world through the implementation of fucking good culture that starts in the middle and small class of business here in America. so i have a massive purpose it'll take me my whole fucking life and uh it makes me pretty excited to get the fuck out of bed so for all the people that are like because they're gonna hear that yeah see see yeah right

that's what i'm going back to those are not the people that i'm here for right it's real shit man well guys andy that is three we'll pay the fee all right guys that's the show uh share the show we're from sleeping on the floor now my juror box froze fuck a bowl fuck a stove counted millions in the cold bad bitch booted slow got her own bankroll can't fold just a no headshot case closed