Podcast Summary
Starting a business with no plan or money: Follow your intuition and learn to turn your passion into a successful business despite challenges and obstacles
Everyone, regardless of their current situation or lack of a clear passion, can use their experiences and skills to start a business. Alex Hermosy, a successful entrepreneur and business consultant, shares his story of starting a gym with no plan and no money, but a strong desire to learn and succeed. He emphasizes the importance of being true to oneself and following one's intuition, even if it goes against the advice of loved ones. Through hard work and determination, Alex was able to turn his passion for fitness into a successful business, despite the challenges and obstacles he faced along the way. This story serves as a reminder that anyone can start a business, no matter their background or resources, as long as they are willing to learn, put in the effort, and stay true to themselves.
Effective marketing strategies for gym owners: Combine preselling, personalized consultation, Facebook ads, and unique weight loss challenges to attract and retain customers, generating significant revenue
Effective marketing played a crucial role in the success of this gym owner's business. He used Facebook ads to attract his first members and grew rapidly, opening new locations every 6 months. He presold memberships and used the cash to build out the gyms. He also ran weight loss challenges with a unique twist, where participants had to bet on themselves to lose a certain percentage of their body weight. This not only helped attract new members but also ensured their commitment to the program. By providing personalized consultation and offering supplements, he was able to make significant revenue from each customer. The key here is the combination of effective marketing strategies, preselling, and providing value to attract and retain customers.
Observing successful models and understanding customer needs: Adapt successful business models to fit your unique customer needs and charge a lower price point to attract more clients, generate cash flow, and scale your business.
Through innovative thinking and learning from others, it's possible to create a successful business model. The speaker shares how he observed a gym owner's 8-week challenge and saw an opportunity to adapt it for his own business. He discovered that people were more focused on achieving their weight loss goals than the experience itself, and decided to offer a group fitness class at a lower price point. By charging $50 a month instead of the usual $99, he was able to attract more clients and quickly generate cash flow, which helped him scale his business without having to start with a large capital investment. This story illustrates the importance of observing successful models, understanding customer needs, and being willing to experiment with new approaches.
Mastering sales through repetition and refinement: Effective selling skills lead to personal and business growth. Repeat and refine sales approaches, from one-on-one training to templates and ads, to increase sales.
Effective selling skills are essential for personal and business growth. Alex, a successful entrepreneur, emphasized the importance of reps, or repetition, in mastering sales. He shared his experience of refining his sales approach through iterative methods, from one-on-one personal training to a one-to-many template, and adding Facebook ads to reach a larger audience. This led to significant sales growth. Moreover, selling is a valuable skill as it enables individuals to influence others to do things that benefit both parties. To become an effective leader and salesperson, it's crucial to understand how the proposed actions align with the other person's interests. In essence, selling is a form of leadership, and both require the ability to influence others. Retail jobs can provide valuable on-the-job sales education, making it an excellent starting point for those looking to develop their sales skills.
Connecting with employees for effective small business leadership: Effective small business leadership comes from genuinely connecting with employees, showing them how their role benefits them, and developing hands-on skills through real-life interactions.
Effective leadership in a small business comes from genuinely connecting with employees and showing them how their role benefits them, rather than just focusing on running the business for personal gain. This approach requires face-to-face interactions and the ability to read people's reactions in real-time, which can only be developed through hands-on experience, such as door-knocking, cold calling, or retail sales. These skills are crucial for building a successful business and cannot be taught through text or coaching alone. The speaker's personal experience of investing in and turning around struggling businesses, like photography studios and teeth whitening chains, highlights the importance of this approach.
Unexpected opportunities from sharing knowledge: Sharing knowledge can lead to new business opportunities and valuable connections. Stay open to new experiences and be adaptable to meet unique challenges.
Sharing knowledge and experiences, especially in entrepreneurship, can lead to unexpected opportunities and connections. The speaker shared how he had built a successful business in the fitness industry and was later asked to speak about it at a conference. This experience led to a bombardment of interest from attendees and ultimately, new business opportunities. The speaker also reflected on the parallels between his story and that of a colleague he had never met in person but had built a relationship with through shared experiences and expertise. This story highlights the importance of being open to new experiences and the potential for unexpected growth and connections through sharing knowledge and experiences. Additionally, the speaker emphasized the unique challenges of selling products that people need versus those they want, and the importance of adapting one's approach to meet those challenges.
Starting a business through persistence and seizing opportunities: Persistence and seizing opportunities can lead to business growth. Reach out to contacts, offer value, and remain focused to turn chances into successes.
Persistence and seizing opportunities can lead to significant business growth. The speaker shares his experience of starting a business by reaching out to people he met at a conference and offering to run their gyms for a small fee. One of these contacts offered him a chance to launch his business at one of his gyms in DC, and the speaker was able to secure a large stack of contracts during his time there. Along the way, he also convinced his girlfriend to join him in the business. Despite facing challenges like his mother's illness and limited time, he remained focused and continued to make sales. This story illustrates the importance of being proactive, staying persistent, and taking advantage of opportunities when they arise.
Unexpected business opportunities can lead to significant gains: Seize opportunities but consider risks and financials carefully. Building a strong network and reputation is crucial for success.
Sometimes opportunities can present themselves in unexpected ways, and seizing them can lead to significant financial gains. The speaker shares a story about how he got into the fitness industry by selling supplements and eventually expanding into opening gyms with the help of a saleswoman he met. He was able to quickly make a substantial amount of money, but the story takes a turn when he realizes he needs to focus on his growing business and sells the gyms to his partner. Despite this change of plans, the woman and her friends quit their jobs to join the venture, but the financials turned out to be worse than expected, leading to the loss of all the cash. This experience serves as a reminder that while opportunities can be lucrative, it's important to carefully consider the risks and financials before diving in. Additionally, the success of the business relied heavily on word-of-mouth marketing, highlighting the importance of building a strong network and reputation.
A story of a business partnership gone wrong and the power of redemption: Money and experiences are interconnected, and both can teach valuable lessons. Forgiveness and second chances are important.
Experiences and money influence each other, and sometimes, people make mistakes that can lead to valuable lessons. The speaker shared a story about a business partnership gone wrong, where he was falsely accused of stealing money. Despite the situation, he chose to give the person a second chance due to his belief in the power of redemption. However, the experience left him feeling financially drained as he had to keep a gym open that he didn't want to manage. The incident served as a reminder that money and experience are interconnected, and both can teach valuable lessons. Additionally, the speaker emphasized the importance of forgiveness and second chances, as everyone deserves a chance to learn from their mistakes.
Starting a business comes with risks and challenges: Entrepreneurs must be financially prepared and adaptable, as unexpected setbacks can drain resources and threaten business success.
Starting a business involves financial risks and unexpected challenges. The speaker in this discussion had built several gyms but faced a significant setback when one gym failed to generate expected sales. Despite having five gyms and a loyal customer base, he found himself with minimal funds due to the unexpected financial drain. He was forced to make tough decisions, including wiring money to a salesperson he owed commissions to, leaving him with just $1,000. The situation was further complicated by the timing, as the New Year's sales campaign was about to begin, requiring significant investments in advertising, travel, and accommodations. The speaker's perseverance and quick thinking ultimately paid off when a successful launch followed by a new sales opportunity saved him from financial ruin. However, this experience served as a reminder of the importance of financial planning and adaptability in entrepreneurship.
Payment processing issues during business launch: A reliable payment processing solution is crucial for businesses to avoid costly and frustrating consequences.
As a business owner, the ability to process payments is crucial. The speaker in this discussion encountered a significant issue when he was unable to process payments during a national launch for his gym, leading to a loss of thousands of dollars. He was unable to secure a processor due to a previous issue and was forced to use a high-risk processor with steep fees. The experience was frustrating and costly, but it served as a reminder that the inability to process payments can have serious consequences for a business. The speaker learned that it's essential to have a reliable and accessible payment processing solution to keep the business running smoothly.
Maintaining client relationships leads to profits: Transitioning to digital services can generate substantial revenue if you keep your clients close. Leverage existing relationships and customer bases to expand your business.
Building strong relationships with clients can lead to significant profits, even when transitioning to a new business model. This was evident in the speaker's experience when he had to leave a gym business and take his personal training clients online. His business partner, Leila, was able to generate substantial revenue by continuing to serve her clients digitally. The speaker then recognized the potential of this model and decided to sell his system to struggling gym owners, charging high fees for licensing his proven methods. Although the speaker admitted that he may have overcharged some clients, the overall success of this strategy demonstrates the importance of maintaining relationships and leveraging existing customer bases in entrepreneurship.
Overcoming financial challenges with determination and adaptability: Determination and adaptability in the face of financial challenges can lead to extraordinary success, as shown by a microgym owner who collected $60,000 in one day and grew their business to $26,000,000 in a year.
When faced with significant financial challenges, having the determination to keep pushing forward and adapt can lead to extraordinary success. The speaker shares an experience where they collected $60,000 in cash in one day by changing their business direction, despite initial hesitation. This change resulted in significant profits, allowing them to cover refunds and expand their business. The average microgym owner, who typically earns less than $36,000 per year, found this level of income life-changing. The success led to word-of-mouth referrals, resulting in substantial growth, with profits reaching $26,000,000 in a full calendar year. The speaker emphasizes that their best ideas often come from facing adversity and that sometimes, pressure can be the catalyst for achieving one's full potential.
Determination and resilience are the keys to success: Young people can achieve great things with determination and resilience, even without early recognition or a large following. Leverage various skills to build a brand and find a driving force to fuel your success.
Determination and resilience, rather than hardship, are the keys to success. The speakers in the conversation agree that there are many young people today who are capable of achieving great things, despite not having a large following or recognition early on. They emphasize the importance of not becoming a "one trick pony" and leveraging various skills to build a brand. The speakers also discuss the idea that hard times can reveal one's inner strength and savagery, rather than building it. Lastly, they suggest that finding a driving force, such as a desire to make one's parents proud or a mission to avoid failure, can be just as effective as finding a passion in starting a business.
Fear as a motivator to prove loved ones wrong: Fear of disappointing loved ones and the desire to prove them wrong can fuel determination to succeed, but recognizing setbacks as learning experiences and embracing challenges are essential for growth and inspiring teams.
Fear can be a powerful motivator, pushing individuals to defy expectations and prove themselves wrong. The speaker's personal experience of leaving home against his father's wishes and pursuing his dreams despite initial failures and setbacks demonstrates this concept. The fear of disappointing one's loved ones and the desire to prove them wrong can fuel an individual's determination to succeed. However, it's essential to recognize that hardships and failures are an inevitable part of the journey, and they can provide valuable lessons and experiences that contribute to future success. Additionally, as individuals progress in their careers, they must find a mission and purpose to inspire and motivate teams. The speaker emphasizes the importance of embracing challenges and taking risks, rather than focusing on potential negative outcomes.
Focus on gains, not losses and learn from past mistakes: Don't let fear or past wrongs hold you back, focus on growth and progress for ultimate revenge
Fear should not hold us back from pursuing our goals, and we should focus on what we stand to gain instead of what we might lose. Additionally, handling past wrongs and debts is essential for moving forward and achieving success, which can ultimately serve as the best form of revenge. As the speaker shared his experiences, he emphasized the importance of learning from past mistakes and becoming bigger and better than those who may have wronged us in the past. It's essential to remember that success is the ultimate revenge, and focusing on growth and progress is the best way to shrink the relevance of past negative experiences.
