The Game with Alex Hormozi - Building a $1,000,000 Business for a Stranger in 69 Minutes | Ep 905

Episode Date: October 28, 2025

Welcome to The Game w/ Alex Hormozi, hosted by entrepreneur, founder, investor, author, public speaker, and content creator Alex Hormozi. On this podcast you’ll hear how to get more customers, make more profit per customer, how to keep them longer, and the many failures and lessons Alex has learned and will learn on his path from $100M to $1B in net worth.Wanna scale your business? Click here.Follow Alex Hormozi’s Socials:LinkedIn | Instagram | Facebook | YouTube | Twitter | Acquisition

This is Philip. He gave up a high paying job in tech to start a garbage collection business. Last year he lost $150,000. So Philip was a wife and a kid and another baby on the way. And if he doesn't fix the business model fast, he'll put that growing family at risk. Hi, my name is Philip. I'm the owner of Garby Disposal Services. We do residential, trash, recycling, and yard waste collection. Our revenue is 642,000. Our net profit is negative 151,000. That's the wrong side. It is on the wrong side. All right. Our net margins are negative 23%.

We've been in business for a little under two years, and we currently serve 2,500 customers. So what's the problem? We need to become profitable. Yeah. We're not utilizing our assets enough. Trash is a very capital-intensive business. Totally.

One of our trucks is a half utilization. Routes are not super efficient. We've had lots of unexpected repairs. We need more leads. Scale up our door-to-door efforts. We need to scale up our meta-ad's efforts, profitably, though. And we need more.

conversions on the HOA side and we need to increase our route efficiency so a lot of things we need to do so many things why is solving this important what happens if you don't solve this i'm definitely in the thick of my rocky cutscene right now where um i left my high paying job at amazon as a software engineer to start this because i thought it was a great opportunity and i have been working 16 hours a day seven days a week for the past two years with really little to nothing actually negative to show for it. And I have a wife and a child at home, and my wife is actually due in the next six weeks,

which props to me. So I need to make sure that I'm able to provide for her and my daughter and the new baby, especially as, you know, my wife won't be able to work. So it's really crucial that we figure this thing out sooner rather than later. And they were really close because by my estimations, 3,000 customers is going to be that critical mass point.

we're going to start to make some money. So here's my promise to, which I don't normally do. By the time you leave, you'll feel absolutely clear on what you need to do in order to be profitable. All right. So I'll stay as long as it takes to make sure that you're good. Okay. All right. Okay.

All right. So who do you help? Yeah. So we have two types of avatars. 50% are what we call scatter. The other 50% are HOAs. And there's two different types of sales processes for these two types of customers. Yeah.

What's the, is there a difference in like home value? or income in the scatter versus HOAs? Or HOAs, do they tend to be nicer than the other ones? Or? We had some HOAs that are lower income for sure. And then we have some scatter customers that are much higher income. That scatter group is thinking about switching to be an HOA. So typically it does correlate with income.

The HOAs are higher income. In general, right. I think there's going to be a big strategic decision that we're going to have to make the probably not expecting. And it's around it's around who. the avatar is. So we'll talk more about that. The second thing is going to be how you acquire them. So how do you help them? Okay. So we have two different types of services for two different customers. So our scatter customers have once weekly trash recycling and yard waste collection.

Most don't have an existing contract. So we can just get them set up and start service even next week. But typically the beginning of the month is what we do. Then our HOAs have two service options there. So they can either have once or twice weekly trash collection. Most of them opt for the twice week trash collection. Yeah, 80%. So they're on three or five-year contracts, usually. And so we wait for the end of those contracts for us to be able to bid. Do you reach out to find out when the end of their contracts are,

and then you just have put them in a calendar basically? Yeah, Excel spreadsheet. Yeah, okay. Yep. Yep. So once those are up for a bit, then we start to, then we just calculate the price and everything. And then we often the low bid will win, unfortunately.

That's just kind of the name of the game. That's what I want to talk to you about. Yeah. So we'll get, okay, let me ask one more question about the slide before, which is who do you help? So of homes in your area, do you know what percentage of them are scatter versus kind of like contained within HOAs and like kind of off the, basically off the board until they come up? In my service area, there's a very large majority that are HOAs. Okay. Yeah.

That is interesting. Do you have any idea what percentage? I don't know, but I can just see it on a map. Just if you guesstimate it for me, it's fine. 70%. 70. Okay. Okay. Are there a lot of other competing trash services on the scatter side? There's one big one that's really causing us to reduce a lot of our prices right now.

Yeah. We're going to, we'll deal with that. Okay. Got it. Okay. Let's keep going. So give me the money stuff. How do you make money? So for our scatter customers, we charge 2967 a month, which is built quarterly at $89. And as an intro offer, we offer three months free. That's not all in one go. That's just on the third Excuse me second third and fourth invoice. And for our HOA customers, it varies pretty widely. It really depends on You know the home type whether it's a town home or single-family home single-family home with a lot of families are gonna produce a lot more trash and then we have to pay that at the landfill And so it also varies depending on the number of units as well as the proximity to our current route and they're actually all on a monthly billing schedule but the scatter ones are on a monthly

billing schedule too right no they're built quarterly oh quarterly excuse me got it got okay yeah yeah you price it you price it monthly i got yeah exactly okay cool okay so how do you get customers we have four different channels through which we get customers so we have door to door and i currently go and do around 300 a week i knock out 300 doors and my clothes rate's right around 26 percent and we hired a What's your door open rate? Door open rate was, I don't have that ready. It's just rough. I believe it was around 30%.

Is it really? Yeah. So you knock on 12 doors, you get a sale. Yeah. So chill. Yeah. You can just like, you're like, hey, I got to get lunch. You're like, give me two seconds.

Just like knock on 12 doors and you buy lunch. I'm not the best sales guy, but yeah, I mean, I can even sell. Okay. Yeah. Okay. There's some things that we're going to do in the offer that things are going to help us out. But okay, so door to door. $50 commission per se that's what you're paying your current sales guy yes exactly and he

recently started with us three weeks ago got it and he's how many deals is he do in a day so he's been getting better and better but right now he averages right around five five a damn it's not a bad it's not a bad gig and he'll just keep getting better right yes like yesterday he got seven it's awesome yeah that's good that's really good that's very exciting okay now you pay him 50 and he's collecting less than 50 no He's a contractor, so he just gets all the 50. No, no, as in for what he's, like, he's collecting less than 50, but you pay him 50 for getting the sale?

He collects the 89 for the first invoice. Okay. For the first three-quarter or for the first three months. Yep. Okay. You said that it was, you said it was month two, three, four is where they're getting their free month. The quarter two, three, three, four. So they get one month on quarter two, quarter three and quarter four.

Okay. Understood. Okay, that's fine. Okay, so let's walk through the, so I understand the D-D. Do you have percentage breaks downs on these between which ones what in terms of how many are coming from door to door, how many coming from paydouts, coming from outreach, how many coming from referrals? No, I don't have those numbers. Rough estimate. Yeah, I mean, recently I'd say 50% have been coming from door to door because I've really been pounding the pavement quite literally. Yeah, and then we leave cards there and stuff and then people sign up. Yeah, I did see your door hanger got 1.2%. Yeah. Super interesting. Yeah.

Yeah, okay. Let's, okay, we'll keep on. Okay, so paid ads, you're spending 600 a month. Yep. Yeah, we have meta ads. We run 600 a month. That gets us HOA and scatter customers, but they're marketing, we're targeting scatter customers. And we also do cold outreach. So cold email, exhaust that list pretty quickly. And then I also have started doing in the past six months, handwritten letters to 100%. Yep. 100%. And then we also have referrals for our scatter customers, and for each referral, they get one free month of service. So I'll just say this right now. If you have, call it 500 HOAs, which represents 70% of the market, it's not a cold email play. So that's where it's the handwritten card, personal gift, drive up. It's like you live 365 days. It's like go to two a day. You know what I mean? And obviously you're going to have the ones that are due, you know, with their own. whatever the renewal is. And so even if they're on three-year cycles, 500 divided by three, so it's 150. So you go to one every other day where you decide to do one day a week where you visit seven.

And it's like you are 100% up to date if you just did that. Yeah, I think there's some, there's opportunity there. Okay. So and then referrals? Yeah, referrals for our scattered customers, when they refer their neighbor successfully, they get one free month of service. We also fast-track them after they get 10 referrals and we just give them a free year at that point. Cool.

Does that get a lot of people? Not as many as I'd like. I don't think I've been good enough about nurturing the world. I have, I have ideas. So how many do you help? What's your sales velocity per month? Okay. Yeah.

So we get total average leads is 217 per month. We close about 72 of them, which is a 33% close rate. And is that when you see leads there, is that from meta primarily? A lot of them are organic, so they'll see our cans. Oh, shit? Yeah. And do you have like QR codes and things on the cans? No, we don't.

Interesting. you're saying. Well, yeah. I'll write that down. But yeah, they'll see our cans throughout their neighborhood and be like, everyone's switching to your service. So I might as well switch to. Yeah. They, yeah, they just call it. And so our average month for HOAs is usually two leads. And you provide the bins? We do, yeah. Do you have a specific color? Do they have to be a certain color? Yeah, I think it helps with our branding. No, so they do have to be a certain color. So they can provide their own if they want. Okay. Most people just want our bins. Okay. And so we provide a trash and recycling container.

All right, I have so many ideas. Average per month you get two HOA leads. You close half your HOA leads. That's great. And those are somewhat inbound, or is that from the outbound efforts you're doing? Yeah, those will start with the outbound and then oftentimes I'll reach a property manager,

or community manager rather, and then they'll say, hey, not interested right now and then they'll reach out later. Got it, okay, heard. So you've got a thousand scatter, 13 H. 2500 doors. Okay, let me give me, all the other numbers, unless you think there's anything that's important here.

H.I. Customers more likely to convert in spring and summer. Okay. Just that our churn is super low. But I think that that might change if we increase prices. Yeah. Because we haven't been as aggressive for increasing recently. Yeah. I got you. Yeah. Okay. Yeah. Because I do have, I have a bunch of questions on gross margin, life and gross profit insurance. Yep. Yeah. So our, our revenue is $6402,000. As I mentioned earlier, negative 151,000, gross margin, 8%, net margin negative 23. So how is your, the gross margin seems off? Yeah.

So how is that, how is it 8%? Because it can't caught, like, if you're charging $29 a month, it's not costing you $26 per month for each incremental ad. So that was this past year and this past year was rough with repairs. Yeah, the $100,000 repairs. Yeah, just for one truck. Like, that's not even all the trucks. Like, it was pretty excessive.

Brutal. Yeah. Okay. Yeah. Blending hack of $67 with a blended LTV of $1,300. And is LTV like lifetime revenue or gross margin? Growth margin. Okay, okay, that feels better.

What's annual retention? Or monthly turn, either way? It's at 0.4%. Nice, nice. Sick, that's really good. Okay, so then you've got marketing at $1,000 a month. Is that, you, that includes door to door? Yes, marketing with door to door.

That's actually, since we just started that guy, that's gonna be increasing, Be away more obviously if you close in seven that's three you know it's 350 right there okay exactly what else you got so our numbers by customer type so 50 50 for our revenue so 300,000 for our HOAs and then we have a cac of twelve hundred dollars with an LTV at 23,000 and an LTVa cac of 18 to 1 and our gross margins on this are 23% and we have a total of 13 these customers and the reason the gross margins are off there compared to do what was last year is because I'm going based on, you know, backing out some of those costs that are one-off, one-off costs. And then for the scatter, we have 300,000 in revenue, and a CAQ of $51, and LTV of 1,000, 21 to 1 LTV to KAC, and gross margin of 26 to 40%. And the reason I did that range there is because right now it's at 26, but once we get efficiency, we're very easily going to get to 40. Yeah. Yeah. You can also raise prices. couple dollars. It's like, oh, look, we go 10% and we had three bucks. That's true. Yeah. Yeah.

Okay. Yeah. Let me see the ads. So we have a total ad spend is 7500 with a cost per click of $2 and $12. And total clicks of $3,500 with total sales of 153 and a KAC of $5.63 with an LTV of $1,000. Yeah. The other ones. And then LTV to KAC of 20 to 1. What stops you from just spending $70,000? A lot of it is our our cost per lead goes like crazy, crazy high because it's such a small area we're marketing towards. I'll tell you why. Okay. When I was doing it, it could be doing it wrong.

Yeah. But it was just, it was doing a lot of stuff right. I feel like I'm doing everything wrong. No, you're good. Okay. We'll get there. Okay. So meds, I got this.

These numbers are good, though. You're saying that it's sky rocks. And after a certain point, we'll deal with that. Do you have any other metrics or creative to show? I have the cold outreach. It's kind of skewed a little bit because it's so low for our cost per lead because it's all public data. But this is for email as well as the direct mail. You're just not valuing your time because you're the one doing it.

Yeah. Yeah. Yeah. Okay. Yep. So yeah, I mean $12,000 to be $700 to $1. Yeah. It only costs you $174 to make $12,000.

And you got nine more HOA's in the pipeline? We do. Yeah. A lot of them seem very interested. If you close half, what happens to the business? the business rose substantially. Okay. That sounds chill.

It sounds pretty good. Okay. You know, so what's really interesting about your business is that we have two key decisions that we have to make. Decision number one is what avatar we're going to focus on. Decision two is what channel we're going to focus on to get them. I think the direction we go in will depend on you, but you might be surprised by which way we go.

Okay. If you wave a magic wand, what thing is giving you the most heartburn right now? Not being able to... Obviously money. Yeah. But what's the... what's the indicator prior to that like is it like if people paid you $200 up front that would change the economics of the business dramatically like is it simply no it's not getting leads like i just want to

understand that part yeah it's more about offsetting some of the upfront costs this is what i want to solve for which is i would like to have the most scaled acquisition channel we can that can get because also you're like we've spent $7,000 even in a local area you're not even getting close to topic. How big is the market overall, like on a, you know, 10, 20 mile radius? Yeah, it's pretty big a few million people. Yeah, right. I mean, like, you're not even close. So, like, I would love to spend at like $7,000, $10,000 a month on the Facebook side and then probably another $5,000 or $10,000 a month on PBC, which will have super high in 10. I'll have different metrics around it, but we'll get there. For us to solve the problem for good, we just need cash in the first

30 days to be greater than your cost of goods sold and KAC fully loaded. Right. So do you know what that number is? Like what's, so let's ignore KAC for a second. I guess we have 50. We can use that as a placeholder or 67. We want to be bullish or bearish. So $67 Kack.

And then what's it cost to kind of like on board someone and kind of like get them going? I do that all myself. Yeah. I don't mean. If you paid someone and you, the bin was. You have like fully fully bake it in because we want to scale past you. Right. Yeah.

So to deliver all the containers for, you know, let's say like 200 customers, it'd be about $500 to pay someone. So that's $2.2 and like 50 cents. Yeah. Per customer. Yeah. So that's not big. So when I'm going with this where it's like, okay, if it costs is $70, if we made more than 70 on the first transaction, which you do, what's something like what's stopping is just that like you can't. you can't get more leads and then it just and then it because you're at 20 to one.

Yeah. Right. And you're at least more than one to one on the front end. So like why. Like why not is it just you just can't as soon as you spend more just goes to zero? Like. So yeah, the issue is is that we have fulfillment those months after that we still have to cover. So like they pay for the quarter in the first month and then we have to pay for fulfillment in months two and three.

Uh huh. Which is completely, it costs roughly. Like if we get them. Give me that. number that would be for yeah that's what I'm saying costing good so give me the fully loaded before you get the next payment got it yeah okay so for each customer on the existence around is 14 dollars or per pickup per month right so it's 14 dollars and you're gonna pick it up three times we have three pickups

per week yep wait hold on it's 14 it's 14 hours per month right yes okay 14 hours per month and they're paying quarterly yes so it's time three, right? So it's 42 bucks in costs for the first month of delivery. When I say delivery, me like fulfillment, right? And your KAC is, we'll call it $70. Right. So if we get upfront cash over called $120, you could be good to go. Right. Well, then let's solve for that. Yeah. Okay. Great. Great. No, you're good. I mean, That's where we're here. Okay, cool. Let's come over it. Let's let's break it out. Let's figure it out. What order I want to do this in? I think we need. So I think what we're going to do is I think we're going to go avatar. I want to get clear on this because I think that's super important. Two is I actually think we're going to go offer next. We have to figure out like how we're going to, you know, do it, you know, facilitate transaction. And then once we know that, then we can do that, then we can do. acquisition channel and then I think we're gonna go ads and then we're gonna go

sales process we'll do some funnel phonetics I think that's it I think is what we need to do you're at that in that stage where like I like having one avatar one channel one product up to a million dollars or more right and you're kind of you're right there right and so you have two avatars and like five channels pretty much Right? Yeah. And so you feel spread thin. This is me just hearing you out. And so what I want to solve for is we have to make this decision between HOA and scatter. So if you could just do one, which one would you do? I think HOA is a better opportunity. Okay. I'll tell you why I don't like either of them. Okay. And then I'll tell you why I like both. Okay. All right. So the reason that I don't like HOA is I never want to have a commodity. service where I get into an auction because it's always just going to be raised to the bottom. Now, the reality is that that's not going to change.

And so it's like, what business are you really at? Right. And so the business that I think you're really in is the efficiency business. So fundamentally, like if you, if 70% of the market is owned by HOAs and they continue to gobble more and more, you know, more of these houses continue to collab together, and then it's kind of an eventuality, right, that happens. So figuring out the HOA office. I think makes sense from a future proofing perspective, but the strategy of the business has to be geared towards efficiency because it's the only way you're going to beat the other players.

Because I agree, I think they're going to commoditize you and I think they're going to make it lowest, lowest bid fundamentally. The reason that I like scatter in the short term is that you can price more aggressively, you can higher gross margins, you can outmarket, you know, your competition. There's still a decent amount of market share that's there. But, and acquiring them is super easy. If you just knock on 12 doors and get a sale, it's like, right, well, how many doors are not? knuckle. That's true. It's like very straightforward. Because like taking it to the hypothetical extreme, it's like, okay, what stops me from running an ad, getting 10 guys, getting them into a room, taking a day to have them, you know, to train them, and then all of a sudden

I've got 10 guys doing five or five to seven sales a day. All on contract with no risk. That sounds relatively appealing. And the nice thing with door to door is that they already naturally have a route, right, which you already know. And so it makes it even more efficient for the business right on the back end. So that's what I like about scatter But I do think that there's You know long long term There's there's probably some downside risk

I sorry, yeah there's some risk The HOA I just feel like you're going to continue to get squeezed Yeah, that's the only So you're like okay Well then which one should I do? You might have I had something? Yeah, go for it I think the thing with scatter that's even better too And the reason I said HOA was not really because of

Oh, you're good Like the bad I like I like HOA's because I think that the competitor that we have right now that's really aggressive is really going hard scatter and no HOA's. So like it'll and then a competitor that only does HOA is recently acquired. So people are unhappy with them. So then kind of opens it up. But the thing I love about scatter is what you said about pricing. Yeah.

And then also the fact that it's only once weekly collection. So increased throughput for each truck. So that's the thing I like about it. But in terms of, you know, me being one. I guess I'm just thinking about it in a limited sense where I'm, I'm like, I'm only one guy. How many doors can not go on to the day? That's not going to be human.

Yeah, exactly. So we just, I mean, let's think of that this way. You said when you get to 3,000 doors is when you're like super profitable, right? Or like it becomes more profitable. Yeah, we have. And if we get to 5,000 doors, then you're like, we're good. Yeah, you're good. Well, I mean, in my mind, I like to think, like, if I had to take this to its natural extreme

and I only have one thing be true, because I'd like, I'd like to make a plan on like the fewest need to believes as possible. Like every single new assumption that we introduce, like dramatically decrease the likely that occurs. If I said, all right, do you think it's humanly possible to get 10 people to work on commission to knock these doors and get to, let's say, conservatively, five a day? Right. Now, this guy's going to keep getting better. It's three weeks and he's already doing seven. Fine. But like, let's just say they stick to five a day.

Yeah. That's 50 sales a day. It's $1,500 a month. You're looking at $20,000 by the end of the year. That's right. And so to me, it's like, okay, well, that overshoots our goal by like, you know, 8X. So there's all these things that you're doing. But if it was like, if only that one thing were true, then what are the other need of

beliefs that are associated with that, which is that you can find the houses to do these door knocking on? Do you have the ability to do that? Yeah. Okay. So knowing where to go is not a problem. Yeah. And so basically your ability to solve two things.

One is the cash to pay the salespeople that they collect as much as you owe them and that you can cover the cost of the first, you know, the $42 that we went over earlier. And so like if the only thing you did was like you went home and you're like, I'm going to go find 10 dudes and they will be commission only and I will just rejig the offer so that I can get $42 plus what I have to pay them up front. We don't have to talk about anything else. Yeah. Let's do it. I mean, like, I can go through, like, I can look at the ads and I can tell you what I think, like, could be better. I can tell you why the, which, you know, we can go through some of those things.

But fundamentally, like, I just want to be like, here's the ramrod. Like, if only this were true, then what stops me from doing that? Not a ton, which is just the offer and getting the sales guys on. Yeah. And then after that's done, it's like, that's it. Yeah. And then we just, and then we just jam it. And then you just don't let yourself get distracted.

Right. I will give you my blessing on if you get an inbound HOA, you can close them. But I still would be like, this is our growth strategy. I mean, like, yeah, sure, except for you money provided, it doesn't, it's super operationally efficient. It does take some of your time. Fine, you're the owner. You can close big deals.

But by and large, I think that's the play. Okay. All right. Great. So I think we go scatter. Great. That was decision number one. Yep.

Now acquisition channel, you already have 50% coming. from door to door. So that gives us that one. Right. So I'm going to hit the sales process in a second, but I think we need to go on offer because this is kind of the big, big unlock of this business. All right? So we have to get, you said you're going to pay them 50, right? Yes. Okay. So here's how I would restructure this. I would say we have to get $42 no matter what, period, because that's what it costs. That's hard cost, right? So this is base. Then Got to get the sales guy paid. So I'm just going to put commission here, which we can fill it in a second.

So we can have to backfill that. Okay, we have to get a commission. And we have to get the contract, right? So what I want to do is find something. So do you give them all a new bin or can they get like a, do they get like somebody else's bin or like how's that work? We recycle the bin. So if someone, like the three people who canceled, then we'll.

But for the most part, they're new bins. They're new bins. Okay. And we'll finance them over three years. Before I bought them with cash, but then I, I'm like, okay, maybe we should probably move on to more cash. You, wait, you used to pay for them in cash.

Yeah, you finance them. Now I'm financing. And do the customer, is that $14 per month included? Yes, yes. How much does it cost for a bid? For the set, including freight, it's 116. All right, so it's 116. Okay.

Now, so this has been, what else can you sell up front? Both pickup, maybe. But only how many what percentage customers like opt for that? That's also seasonal and that's so no that's not the offer. Okay, what else? So I'll tell you I had this idea. So we talked about the QR code earlier. So what I was thinking about doing was like you put the just the ugliest massive QR code on there and you just say, hey, if you want to not have this big QR code on there, it's it's an extra five weeks a month. Or if you're cool with it and you're still like are cool with us advertising the business.

you allow us to leave it on okay and i think a lot of people don't give a shit yeah right and so all we're going to do though is just tack that on to your existing pricing so you're so if they say i don't want the QR code then they're going to pay five dollars more than your existing price so they're no we bake in a little price increase there so we get five dollars for the QR code so go buy stickers they're like not expensive and just put this massive have QR code and put your phone number and put your like you've got this you've got this billboard that's just sitting out there what color of the bins great I totally want them to be in neon orange I'm good serious I want everyone to be like Jesus what is

this company but they would notice it yeah right I mean that's what you're trying to stand out yeah you said wait didn't you say you wanted the branding you wanted to be on brand with the gray yeah people were like clean and stuff even gray's clean it looks you should look look at them they look pretty clean we have people calling in and like i seen your nice clean they're so gray it's like the perfect gray with a light gray 50 shades anyway um okay okay this is this is the this is how we break this how we solve the business right so like let's take the time on this the other stuff is really easy i'll say some easy like i don't even like i can't get into ads i can't get into the funnel like if we just do this we went yeah okay so you don't charge them anything

for the bit right that as far as they're concerned We do have a separate process through our website. So at the door, we have that offer that I mentioned. But then when they go to our website, enter in their address and everything and they're qualified, they do get charged a $37 initiation fee. And then they get charged $35 a month. So we have a little higher price point if they don't take advantage of that. But most people do the door door. And so this 42 is labor, right?

Yes. Labor plus trucks, breaking. Yeah. And dump fees. Okay, yeah, plus dump. Okay, got it. I think our key is actually how we structure this, the bin. So it costs you 116.

Is there a way that we could be like, because what I want to do is, you see where I'm going with this, right? Yep. Because like if we can get the first transaction to be like $199, you're covered. Right? Because you've got like, so if we add this together, we've got 158. So 158 is the true like cost cost, right? of getting this person set up.

Then you have the commission, which is 50. So 208 all in. If we got that, you're like set. Right. Something I've been playing around with is maybe doing, only doing the three months free if they pay annually up front. Yeah, totally.

And then like downsell to the 89 a quarter with no months free. Mm-hmm. I like that. Yeah. I like that. Because even the rate is really attractive. But the, I mean, the only negative about that

is sometimes they're like, yeah, sure, let's do it. And then they opt out because their current provider matched it. But then the three months free usually is what puts them over the edge because the current provider will not offer the three months free. But out of those that do that, I would say it's only maybe one and eight would really read. Oh, would like after we like, okay, it's 89 a quarter. And they're like, yeah, actually my current provider matched it. So it's like one and eight people. And most people are just like here, just take the business.

Yeah. Yeah. Yeah. Yeah. Yeah. Yeah. Yeah. So if we get the deal on seven out of eight, who cares?

Yeah. Right. Right. Yeah. So if we go, what I'm trying to play with is, so we've got the, what leverage do we have, right? So levers that we have this little QR, like, we're going to make your thing look ugly. That's thing one. Okay.

Thing two is we have the bin. Thing three is we have the commitment, right? Right. These are, this is like what we're, these are a puzzle pieces. Okay. But I want to collect 200. That's what I'm trying to do. Mm-hmm.

Okay. Okay. So a quarter is 89, right? Yes. Does there any reason? Do you think anyone's going to balk at 99? 89 to 99? A lot of people are paying 105, so it may not get them over the edge. You mean it's not enough savings? Yeah. I hate being low cost. Yeah. Okay. But I think that there's still some people who would definitely convert because there's some people I talk to who are being charged like 180 a quarter.

Yeah. It just all varies, you know, depending on if you call them to say, hey, lower my rate. So 80. So we got 9090 is 180, right, in terms of cash, right? There's going to be some set up fee, right? Which we could say we have a 42 and we also have set up fee, right? So it's another little thing. We're just, we're constructing an offer right now.

That's literally what we're doing. Okay. Because you could do three months free and it's 33 per month, right? You could still do three months free. Yeah. So that works fine. Oh, here we go. So we can basically have the QR code be our $5 extra a month.

And you're at 29. So I can you do 35. Okay. Right? Where you can make it. Yeah. That's fine. So that gets us to $35 per month.

Right. And so if we did times six, and that's going to be two. What is that? That's 30 plus 180. So 210. All right. So it's going to be 210 in case. And if you commit to six, and you normally just eat this, right?

Yeah. So if you commit to six, we'll give you our $116 bin for free. And we'll waive our $49 set up. So can you talk a little bit more about these numbers here? Yeah, so this, yeah, so $35 a month is the price, right? Yeah. But what we're trying to do is get them to prepay for six. months. Okay. So that's the main offer is you prepay for six and then that gets you a free bid

and we weave the setup fee. Okay. If you don't prepay for six, you can prepay for three and we'll give you, actually maybe we'll just do this. We'll do this. We'll do 12 and we'll step down to six and then we'll step down to three, which is your current offer. Okay. So 12 months gets you because what we're looking for here is blended average cash per door. So if you have some people who pay $420, and even if it's like one out of whatever, one out of five pays $420, we're still effectively adding $80 per door in cash collected.

Okay. So even if the vast majority of people, if everybody took, if four out of five took your current offer and then one out of five takes the $400, it's like we're still adding $80 with the existence. whatever 89ers that you're getting right now right so now our actual blended average is because of like 170 a door okay so make sense yeah yeah okay so I think we go

times this now if they're like I don't want the QR code then we're like fine we'll drop it to 30 right if they don't want this and times 12 so that's 360 and we get that up front which is you have lower turn anyways if they say no I don't want to do that then we say because with that you get free bin and free wave or like free free setup right if they say no I'll just do six which would then get us the two whatever the $200-ish price point we can get to we can finalize the prices in a second but you get your $200-ish price and when you do that we can't waive the bin we can waive the setup fee but we're going to add we're just we'll finance this over the duration so that's where you can get the difference in terms of the like it's $35 a month if you do

six months it's $30 a month if you do 12 months um And if you're doing just months a month, if you sign up today, I'll let you waive this fee, but you still got to pay three. Okay. How does that feel? Complicated. Yeah. Well, no, no. It's complicated because we had to go through everything.

But let me, let's clean it up. Okay. Because we've got to be able to explain it to the sales guys. Yeah. So the offer at the door is going to be 12 months. And what price are we going to charge at 12 months? For 12 months. Up front.

Up front. So we're going to do 30. So that's going to be $360. Yep. If they commit to six months, that's going to be at 35. Okay. So that's 210. And I'd say we billed biennially, which is bill twice here.

Mm-hmm. And then three months. Do you do ACH? We just incorporated that, actually, yeah. Okay. Do you have a processing fee? Yeah, so we strive. So it's...

Yeah, but, like, you don't charge a processing fee. No. But we... Like, I've gotten a bunch of people. people to switch over. I like offer them a gift card, like a small gift card to switch over to ACH, but then we don't do a, well, tell you really a fancy one. So say that you charge the 3%. So this is, all these are plus processing. And then if they're like, oh, I don't want to pay the processing fee. It's no worries. If you want, if you have a second form of payment, we'll

waive the processing fee. It's just because we have the processing fee. It's just because if the card declines, it just takes us work to go redeem it. And then you get your service interrupted and you have trash sitting around. So it's honestly, it's honestly, no one ends up paying it. They just give us two forms. Okay. Oh, thanks. The, um, so I did actually do that and when I got the, the, uh, the prices book that you gave at the workshop. Yeah. And so I kind of messed it up. I did like two things. I did like an annual fee. Yeah. And then I also mentioned, oh yeah, we're also doing a credit card fee, which is really, I was too much. Yeah, too many things. Yeah. Yeah. Yeah. But I did that and just, I was looking into how to add the processing fee and like you have to like go to

Mastercard and Visa and all that stuff? Is that true? They were saying you have to legally go to these companies. I think you can just charge 3% more. Oh, we can just do it. Okay, okay. And just say this is our fee. Okay.

You can charge whatever fees you want. Check with your legal counsel. Yeah. Okay. Great. And then three right now. We'll keep it at, we'll keep it at the three-month rate, which is going to be 35, right? which is 100, shit, what is that? 30, 105, right?

But we'll still waive the $49 for the. Okay. This one wave is, we've been and fee. I think, right? Yes. So this gets the discount. So this gets you the discount and the bin and the fee. So it's like, why is it?

So it's like the effective rate. Here is 30, 35, and then here it's also 35, but we're close. This is honestly the most important thing of today. Like, we nail this, you go all in on door to door. We can get there by the end of the year. Exactly. And you're set. So I just want to make sure we know this.

What else do you think is? So with the bin, are you saying that they pay the full 160 upfront? I would love that. Okay. But like for this one, I guess, because this is not one. waived with this with this offer well what if so if you didn't have the bin right what would their actual rate be so what do you charge people who don't who provide their own thing yeah the bin is like a few if you i mean depreciating it over it's you know not that depreciation i mean like well what okay fine

you do you appreciate it for what three years is that is that have a 10 year warranty on them so so 10 years is we depreciate over so you paid it's like a dollar a month or something like a few cents yeah yeah how did a few cents yeah yeah because over like Well, 116 months. So, doing that month wrong? Yeah, it'd be $1. Okay.

Maybe we're doing that wrong. Well, 12 months times 10 is $120. It's $116 bid. So it's 90 whatever cents per month. Okay. So it's a dollar. It's a buck. They don't know that you do that, though.

No. So that's the thing. So that's like, that's one-sided information. Don't we'll cut most of this thinking time out to figure it out. Yeah. No, but I want to, I think the magic is in this bin.

I actually think that that's, I think that's where the real leverage is. Okay. It is something I've been wrestling with because initially when we were doing it and we didn't have the competitor, we were like charging 99 for like and they were like, okay, fine, but then some people balk at it and I'd be like, okay, fine, we'll waive it. But most people would pay for it. But now that it's really competitive, they're just like, I'm going to go to this other guy who's giving me three months free, 89, and I just have to pay for the quarter.

Yeah. So it's become a little bit more challenging in that sense. It doesn't mean we can't do it. Yeah. But that has been something I've done in the past. I think most people were, I kind of played with 99, and then I went down to 50. And most people were like, they didn't really care about 50 as much. But then like when I did, because I like, so I like, I mean, you're currently charging nothing.

Yeah. So if we said, okay, up front, we have a $49 bin fee, right? Yeah. You can buy the bin for $49. We know that it doesn't matter, right? We're just adding one. So they'd be like, eh, it feels reasonable, right? $49 for the bin.

And it's $49 initiation. I don't know, I'm just coming here with this. Okay, it's a $49 initiation. And then you have your first quarter, which is, let's just use your old pricing. Eighty-nine. So that would get us to $190. We still have commissions.

Yeah. But this bin isn't a real cost because it's going to cover towards $42. for the quarter. We're calling it the bin fee, but it's really covering our labor for the first quarter. Right. Well, that's clever, yeah. And our initiation is actually our commission.

Mm-hmm. Mm-hmm. I gotcha. Yeah. And then our 89 is hopefully our margin. This feels okay. Do you think you can sell this? I think people will be really upset with the extra 49.

The initiation. Yeah. I think they understand the bin. Well, why don't we do this? Yeah. Like we can either, basically, would you think they'd be more comfortable paying $99 for the bin? And they own it? Yeah.

It's your bin, you keep it forever. Yeah. Unless you cancel, of course, in which case, we take it back. Yeah. Yeah, I mean, I think that I'm just like replaying anecdotal experiences. Yeah, no, I know. Take your time. I'm just worried people would be like, yeah, that's a deal breaker for me.

Like I won't pay that for the bid even if I own it. I just don't want to have to provide it. Yeah, but what percentage? You're right. I think it'd only be like 25% or something. I just always remember the negative, right? Of course. Yeah, no, I get it.

Yeah. The thing is, all the new sales guys coming in aren't going to know anything. Right. In terms of like, here's the deal guys. Like, you're going to get paid 50 bucks on each one of these. you got to collect two things. You got to sell one bent. They got to pay their first quarter. That seems pretty straightforward. And we can waive the initiation fee. Yeah. And we still do the three months free with this or now? Yeah, I think you can still do the three months free.

Okay. I don't hate that. And do just to clarify for myself. So the bin, it's actually theirs now. So they're actually paying for it. Well, it's 116, right? Yeah. Yeah. Yeah. So why not? Now if they, if they cancel before their term, then take the bin back. Right. Which gives you another piece of collateral. Yeah. Okay. So all in you lose 16 bucks on the bin. Who cares? Oh, yeah. Yeah, exactly. So I think if you go, you sell them the bin, you have this. You have the first three months, right? First quarter. And we're in good shape with that. And this factors, and then you give them one free month, the next, each of the next quarters. Yeah. And then that means that you're charging them, what, 60 on Q2?

3 Q4 exactly 59 and some change got it and so how do we handle the situations where they were like I'm not going to buy your bed so you can provide your own okay and so we just wouldn't accept them as a customer yeah because I mean you can provide your own if you want yeah okay you could if you wanted to say if you're not willing to do that we'll finance it over three years but we end up charging you 150 mm I like that yeah I really like that because then it gives you a three year term yep okay and then with the three-year term yep okay and then with the three year term budgeted, like, I don't know, add in like a, I don't know, four percent price increase each year.

Okay. I think that's it. Feels doable. Yeah. I still want to get this anchor, though, because we still want to go. Because some houses are like, fine, just if I could bill me once. I don't know. Exactly.

Yeah. Yeah. And so it's like start at 360. It's like, yes, for the year. Okay. So we're getting close. We're going to do a cleaner, a next version of this. All right.

So, all right, I want to think through it real quick. So this is the core offer. Right. We'll clean this up, but it's like 99. for the bin, $89 for the first quarter, you still get your three months free. Cool. That's fine. I still want to start higher because even if we get 20% of people to take, which we totally will, I'm telling you we're going to, that would be really big for the business. Because if we can get this on the core offer, and then we can add 80 to the average door,

then that takes this. So this is 190, add 80. We're at 270. We're at 270. Right. Average cash collected per sale. Mm-hmm. You're good. Yeah. You're home free. Mm-hmm. Sexy, right?

It's way better than right now. Yeah, it's way better than right now. That's, that's, that's, that's fax. F-A. F-A., you know, it's fact, no printer. Okay. Okay. Okay. Okay.

So here's, here's where this gets sexy. Okay. I got it. Okay. So, all right. Okay. I think this is coming together. This is coming together.

If someone, if someone paid $360 up front, would you give them the bin for free? I think I do that. Yeah. Okay. Boom. I think we're just going to have two offers. Okay. Keep it super simple.

We're going to have 12 months. And with 12 months, they're going to be at $30, right? And they're going to pay $360 in total, but free $99 bid. So they don't have to pay that. Right. Great. And then the core offer is going to be three months. at 30

but they have to pay for the $99 bin and three months up front so all in they're looking at 180

189 so now look at that ABA offer yeah so would you rather pay 360 pay for the year I'll give you the bin it's on me or at 189

you just pay the first quarter but you just got to pay the bin right yeah I like that no we just got to hustle yeah but the nice thing is that this keeps it super simple the billable is the same all we're debating is who gets the free bin and who doesn't you get the free bin we can commit for the year because listen it costs me money to do this but if you commit for that period of time

I'll throw it in right like it actually costs us 116 so like we actually lose a little bit money on these bins okay yeah but if you're commit to us we'll commit to you yeah exactly and then our breakdown is let's say Now let's look at the math. So let's say 80% take our $189 offer, and then 20% take our 360 offer equals $72. And this equals services.

Michael, Jamie, Jamie. Well, it's 19.2 is $2.2. $27. It's $27 off this, which is $162. So we add this together. Average per door. And we needed to wait. Yeah.

And then you're home free. Doable? Yeah, I've never thought about it that way. You still get three. You still get three. Like, the offers are banging. Yeah. It's like you get three, like the offer is great

because you're given three months for either way. Yeah. So that week, I think you've got this great feel. right? You say, listen, we're going to give you three months for you the right just because you're switching to us. So we're happy to do that. But if you're willing to commit to a whole year, give you the bit. Right. If you don't want that, no worries. We'll get you set up. Yeah. Yeah. What are you going to do? What are you going to do with all this money? Yeah. I don't know. All right. So that's that's the, that's the play. That's the play. And for for our folks at home,

the reason that that was so important is that, we needed to get above $208 because he had a $50 commission that he has to pay. And we knew we had $42 of labor. And we know that he had these bins that he's been basically fronting the cost for for customers. Now, to be clear, as of right now, what was the other cost, though? There's something else. There's labor, there's commission, and there's something else.

No, I think it was just a bins. Oh, so I'm just being greedy. That works. Okay. So then we got, yeah, yeah. Well, I like to have, I like to grow businesses debt free. if I can. Because I just think there's always a way

if you just think about it hard enough. And so the Bint, which right now he's been financing over 10 years for $160. But when we add all these things together, we get to 208. And so in a perfectly debt-free, cash-flow-positive way of growing the business,

we have to get on average over $208 to break even up front and have really high, really strong cash flow for the business, which has been the biggest constraint for you. So getting above that is the objective. And so what we did was we solve for it by having an anchor on the top that we know 20% of people are going to take and that contributes an extra $72 a door where the

core offer is going to be $1.90, which already solves this. Cool. So that was for everyone back home. Okay. Now let's go back to our handy dandy. Isn't this fun? It's a lot of fun. Okay. So we have our our new offer, our 360 for 12 or 12 at. at 360 and then we have our three one eighty nine money and if you really get wild with that and you're like you know what i don't need all the extra cash that you can pay the guys a hundred bucks a day a hundred bucks a deal and they'll be willing to sell more if you're like you know what i don't need all the cat like i'd rather just get more aggressive on the spend yeah you can get way better guys if the guys can make i'll tell you the difference in salesman that you can get at 500

a day 15 000 a month almost 200 000 a year like a different an order of magnitude better salesperson and the thing is those guys might be doing like and that order of magnitude salesperson might do 10 deals today. Yeah. Because the guys who really do door to door, they run between doors. Really? 100%. Okay. Because they know it's a numbers game. Yeah. They're like, for every 12 doors I knock on, I'm going to get a sale. So if I run, I mean, that's why the UPS guys, like the guys who are who are commissioned and are really understand the game, they sprint back and forth. Because you can cover four times the doors just by walking fast. They cut across the lawn. They don't go on the sidewalk. Like they're moving. Okay. So we're going

scatter. We're going door to doors our channel. We have our offer, our 12, our AB offer, which is great. The extra guys get the bin. Awesome. And now we don't even have to have a financing partner. Yeah. And if you want, you can and just collect the cash. The next thing is let's talk about sales process on how we're going to teach these guys. Okay. Okay. How do you teach your guys right know what's the sales process pretty relaxed I mean yeah he's the first guy I've done so I just I just take him door to door show him how I do it mm-hmm and I generally tell him just He just the problem next to you pardon me he's right next to you yes exactly okay yeah and then I'll do that for a few times show him how it works show him how to get a few sales and then I watch him do it and let him just kind of go at it and then

chime in if I need to and then eventually just kind of like give him critiques wherever I see How many doors can you knock a day I think I think easy like 150 okay if you're out there yeah for hours. Yeah. So 150 doors. If he's closing, I mean, if he, if he gets to what you're doing, one out of 12, right, then he's closing more than 10 deals a day, which is chill, even at 50. That's what I hear on average, like conservatively, you can get 10. Yeah. But most guys get 15. Yeah. So it's a nice thing with your business is that you're going to be in person with them. And so you, you, there's basically two primary ways that people learn. One is modeling and the other is basically doing it. So children learn through modeling. They watch you do something. And then they

learn it, right? Alternatively, you take it up a notch when you give feedback. And so doing role plays, like, in very real time with them is going to be the fastest way to speed up the loop. Okay. So it's literally just like have the door at your facility or whatever. Like, I mean, you want to, you really want them to get them in the like in the mechanics of I say this as the door opens. Like, it will, it will teach them. Like, don't just stand next to them. Like, close the door, open the door, open the door, close the door, open the door, close the door, open the door until they just nail it every time. because you know the first five seconds of them opening the door is like, that's the only shot you really have.

And they're making their split second decision. And so it's like you have to drill the opener super hard. So they could just say it in their sleep and they say it the right way every time. But they should absolutely be following a script. And for this type of sale, this script. I mean, how long does it take you to do a sale for these? Right. Two minutes?

Yeah. Right. So they're not super hard sales. Yeah. And so the sales script is going to be like four questions. Yeah. It's not a lot. Yeah.

Right. And so it's just like, cool. Here's our door. Here's our knock. Here's our open. And then question one, question two, close question, overcomes. Like, that's it. And so I just drill, honestly, the drilling the three or four question is not going to be tough.

Then you're just going to do traditional sales training where you're just going to be like, I have to think about it. I'm not sure I have to check with my spouse. Like, I don't have the card that I want on me. Yeah. And when you're, when you're collecting, do you have a lot of people, do you have any people who are like, oh, I don't have the card that I want to use on me? So we actually don't collect money at the door.

Why? We just have a contract that we signed. Okay. I heard that it was a I don't know I just heard that it was a you have to have certain permits to collect money of the door So then I don't have that permit yet But they put a credit card number down right? No What we're still get what people who people are what percent of people who signed contracts don't end up giving you the card None of them really they all right if we haven't I mean we haven't done the volume we're talking about right yeah, so I'm sure there would be a ton of people

Okay, so you then call them back later I send them an invoice and then if they don't complete it, I'll follow up and everyone pays. Yeah. What are we doing, Michael? We should be selling trash. What are we doing? Well, they need it. Yeah.

Well, if it's not a constraint, then I'm not going to mess with it. But I do think you probably tighten the sales process in terms of the training. That's absurd. What you just said. I don't know in terms of compliance for that. So check with an attorney, but I'm pretty sure you can just ask someone to buy something. Okay. like pretty, like feel pretty confident.

But, but, but, you know, it hasn't been an issue. And so if you really do collect 100%, it's certainly a less friction, a lower friction sale. But a contract without a payment, closet means nothing. So yeah, exactly you're getting it is great. The fact that you're getting is great. Okay. Let's pull up the ads in the funnel real quick. Okay.

So, yeah, just go, just go funnel. Sorry, ads. Sorry. Okay. So I think this is fine. I read the copy. I think it checks the boxes in terms of a normal offer. The video ad that I saw, that was your best performer,

was unsurprising to me that it was the best performer. Bottom link. There you go. If you're a homeowner in Centerville, Chantilly, Clifton, or Fairfast, and you want to save hundreds on your trash collection this year, this is for you. My name is Phillip, and I'm the owner of Garvey Spadolzel Services. We're a local family-owned and operated business in Centerville area. and we're here to help take care of your trash.

So if you're tired of things like increasing bills every year, crazy prices, unreliable pickups, then we might be the ones for you to help give you some more consistency, ease of mind, and stress for you trash collection. If that sounds good to you, click the link down below so we can give you a quote for trash collection in your area so you can start saving money and stop worrying about your trash collection. It's so crunch.

No, it was your highest performing yet. The thing is it seemed authentic. Yeah. Oh, yeah. And it also hit the core pieces. Like, this is for so and so. I do think you introduce yourself first rather than talking about them. But like you can, you can, I would probably make it offer driven first pain pain of like, hey, what you said at the end. Like, hey, if you're tired of X, Y, and Z, blah, blah, blah. I'm so and so. Okay. Because it's like leading more with the things that they're interested in. And so basically I would just flip the script on that. And then I would record 10 different versions of that with you in different shirts and different backgrounds with the truck with a bin behind you, with a neighbor behind you. you like I would just do as many variations of that. If I was going to do paid ads, but we're not going to do that because we're doing door to door. So we just cut it off completely. I just don't think you need it.

I think all of your attention should go to, I need to get 10 guys that are commission only that are going to sell this offer. And just only focus on that. Yeah. Yeah. That's it. I mean, like, if we only have one thing to be true in order for this business to be profitable, then let's just pick that.

And then just put all of our effort on that one thing. I mean, fundamentally, it's the idea of leverage. Yeah. It's like, find the one thing that gives you the greatest output. It also has no risk on cash flow for you because they're commissioned only. Yeah. The perfect solution doesn't next. Except what it does.

That was it. A.B. Offer, 12 month, three month, 20% take the 12, 80% take the main. We're cash flow positive on both. You don't even need to go into debt for the bins. You get 10 guys closing five deals a day. It's 50 deals a day. Yeah.

That's it. Yeah. And then. And it's way easier to close in solar. You can probably get some of those guys. They're just tired. It's like, dude, it's such a better life to just know you're going to close deals every day. Rather than be like knocking doors for five days and closing one or two.

Yeah. Like it's a much more, you know, energizing way to live. Yeah, no, for sure. I think my next constraint would be than getting the sales guys. Yeah, let's talk about that. Yeah. So right now, so I would say if like you can handle more volume, right? You don't have to really change anything by your infrastructure to handle.

the volume that you would be getting from these sales guys? I think after a certain point, we wouldn't need to get another truck. We'll do with that. Yeah, yeah, yeah. So to get to your 3,000, whatever it was, number, how much can you take? If you were full capacity, how many customers can you handle? I think we could do 3,500. Okay.

Yeah. I mean, like 3,500, we had 1,000 more customers to sell. Yeah. So you're going to sell, I mean, in six months, let's call it five months. That's 200 customers, it's seven customers a day. I mean, you're, if you get a second guy, I'll be doing that. Right. In six months.

Could be me. Yeah. Could be you. Yeah. All right. So, yes, it's going to be an issue. Because, I mean, do you have the cash to get by another truck? I think I could figure out a way to get one.

Okay. Yeah. So the way to do it is I think that you could be given the nature of this job, I would be looking at running like in D-Dads slash Craigslist. Yeah. That would just probably be the easiest thing for D-Do. And then you just need to work these like it's a lead funnel. Right.

And so like if you're not getting people, so it'd be like, like you have to think about like as a true ad. So a lot of people will try to like ward people off. It's like, dude, it's an ad. It's the same thing. It's like you're going to run an ad. You have to have a headline. It has to be appealing.

The body copy has to be interesting, which is like, hey, you can work four hours or eight hours a day. The guys who work eight hours make this. The guys who work four hours do this instead of the other alternatives you have of like, you have to be able to ask four questions to somebody at the door. Like break it down to what they're going to have to do. It's like if you can memorize four questions, then you could be able to make a six figure or multi six figure per your income.

as long as you're willing to be in the street, but then I do damaging admission. It's like, hey, sometimes it's going to be hot, sometimes it's going to be cold. That's the trade. But if you're somebody who's like, just barely graduated high school, we don't care about your grades.

We care about your work on take. Yeah. Like, I think that would attract plenty of people. Yeah. And so it's just add Indeed, and those ones already have kind of like applicant funnels that are built into it. And so basically,

if we're turning off all these extra things that you're spending all this type of, like, fragmented time on, this is all you do. Yeah. You go get sales people. Yeah. And honestly, all you need, like two guys just to get this going. Yeah.

That's it. That makes a lot of sense. Maybe offer two guys, four questions. That's it. Let's go. Yeah. I've been doing Indeed ads, but I haven't been structuring it like that. No, exactly.

It's been more just like the traditional like corporate. Yeah. But the thing is you have to think about who's responding to this. Yeah. Write it to the salesman. Right. Because that's who you're trying to attract. Right.

Like what are all the things that either hate about your current job or you hit about your current sales job. Both those are the pains. What's the promise? You can make six figures, you know, a year or more. And you can work four or eight hours a day. I'll take you on either. So some guys will work, you know, seven to noon or seven to 11. And then they go to their other job by noon and they work, you know, 12 days because they're providing for family. So this is a great opportunity for you. I'm going to work on that immediately. Yeah. All right. So I'll give you the truth about this. So for a job where someone's coming in commission only, my bar is relatively low. Because I'd rather give more people the opportunity to take a shot and like prove that they have work ethic rather than they have the skill of interviewing, which is a different skill.

I basically would just screen for crazies. No, I'm serious. I just screen for crazies. And because if you're going to do this, you're probably going to get a lot of applications. Definitely don't do one-on-one interviews. You're going to be doing group calls. Okay. So a bunch of people on two minutes, tell me who you are, two minutes, two minutes, two minutes, whatever.

And then invite the ones who seem normal to your, you know, your warehouse or whatever. Meet them in person. Give job offers on the spot. Tell them when they can start. Okay. I just don't think you have to overcomplicate this. And so it's like, cool, what we're going to do is we're going to do shadow for a week. And then we're going to break you off in twos. And then that's it.

Like, you're good to go. And the thing is serious. Like, if you wanted to, like, this is me talking about how to you aggressively scale sales. Like, you need like two guys. Yeah. So like, get on a group call, talk to a bunch of them. The guy who seems cool and normal and hardworking, invite two or three of those guys out because a bunch of them aren't going to last. Right. Because it is door to door and there are, there are some risk there.

And so, like, maybe you're talking. higher five to get one. Okay. Just lower the bar. Like you're not looking for somebody to cure cancer here. You need someone to ask four questions and build a fellow four. Yeah, definitely. Because I mean, like I said, me, I'm not like the best salesman in the world, but I can go up there and sell. Sure. But you think is as you seem trustworthy. You think so. Okay. So, and you're also the business owner. So I think that's a big, you have star car. Yeah. So with them, though, I think what the one thing that I'm looking for is hunger. Yeah. And so I think that'll typically skew to either young single guys who are just like really hungry and like go getters

or people who just are about to have like a kid on the way like you are you're more hungry now than you probably were right because you're like because you have to be yes it's like you know why married married men with kids make more money than guys who are a single without being married and don't have kids because they have to yeah that's why they make more money I mean yeah so they literally choose to make more money because they have no other choice yeah that's definitely how I feel Right. And so you're doing it. So basically, like, I just look for someone's circumstances of like, why do they need this? If someone's like hungry, then I'm, especially in a job like this, this is so work ethic driven. They're not going to run out of houses. Yeah. For sure. Right. So would you say I should just not do any more door to door and just train the guys?

Well, I think you, I mean, you're going to be doing door to door in the training. Okay. Yeah. So your sales isn't going to go down. You're just going to go down. You're just going to go down. Right. Okay. Makes sense. Two words and stone. Yep. Basically, as far as I'm concerned, I want you to keep doing door-to-door. Because if you've got your guy and you've got you got to start doing 10 deals a day, just you two. You're at 300 a month. In three months, you're at your thousand. Forget everything else. In three months, you're in a thousand.

Yeah. Right? But as far as you're concerned, I don't think you should ever do something alone. Okay. So you have the skill set. You should have somebody always watching you so that you're basically, you're getting two birds and stuff. You're double dipping on effort. So someone's always with you because you're the lead salesperson and they're learning.

Until eventually somebody else is the best salesperson, you pass out, you know, you step back Homer Simpson style under the bushes. And then they slide up and then they become lead trainer. And if you want, you say, hey, I'll give you $60 a sale instead of 50 because it's a little harder to have somebody else with you. Right. Makes a lot of sense. Easy. Yeah. Cool.

I feel like this is it. So let's do a quick recap here. Let's do a quick recap and we'll prioritize it, but it's going to be an easy list. Simple, not easy. How about that? Yeah. All right. So, make it blue for you, Michael. All right. I know Michael really wanted the blue. He's like, all right. So the first thing we're going to do is we made the decision to go scatter as our avatar. All right. So that's decision number one, which we just did instantly. But there we go.

Number two is we switched our offer. So we have now an AB offer for offer for three months. A free. And so offer A is going to be 189. And then 60 per month after that. And then offer B is 360. Free bin. That's our deal. Yep. Three. And D-Dads, I'd also hit up your network. You only need a couple, right? In D-Dads, into group, Call or you can just honestly invite them all in person if you want but sometimes people are really crazy. So the two minute you know call in person and then tag along and Roll playing until your eyes bleed and the nice thing is that basically Document dead receipt duplicate is the process that we use and so like the document is like you have the script they memorize it while you're walking between doors You're just like you're you're role playing it back and forth. What do you say? What do you say? Yeah Demonstrate you do it in front of them. Hey, watch me follow the script. Watch me close deals now do

You knock. I'll be here. I'll ride shotgun and I'll watch you do it so you can give immediate feedback. Okay That's it and then in terms of I mean shit what like what's that what's the outcome of this? The outcome of all of this is that your cash flow Positive and Babies Have Food smile face. Yeah, yeah

Yeah Feel better? I do this feel better? I do feel clear? It does. Yeah. That's it. Yeah. Give me instructions and I'll go. That's it. So you have to do. And the nice thing is one and two is instant. No. You literally just have to do this. Right. Go hire five more sales guys. I think this is the this is the play. Yeah. I think so too. Doesn't this feel like like the noise in the world like quiet? I think I was doing way too much. Of course you're doing way too much. I think I was like you two different avatars and five to nine position. Yeah. Yeah. Yeah.

And there's just one that if we just did this well, we can solve the cash flow issue, and we can hit your extra thousand in the next like 90 days. Yeah. It's a quarter. It's nothing. Feel good? Thank you. I appreciate it. That's what we did you get through it. Yeah.

So, Philip, I'm rooting for you. If you enjoyed this and you want to see a different business that went from negative to positive in one conversation, check out this conversation with Alexi Amar. He's a legal person who does legal things for musicians so that they can get contracts and incorporated and whatever musicians do to make money.