(energetic rock music)
- Three things you must do in business to be successful
That's what I wanna share in this video.
Have you ever asked yourselves,
"What pieces of the puzzle do I need to figure out?
"How do I know what I should be working on?"
or "What questions should I even be asking about my business
"if I've never done it before?"
Well this is what I'm gonna share in this video.
I've been building companies now for almost 20 years.
I've been blessed to have had the fortune
to have built five companies,
sold the last three
and raised capital for the last two.
And even had the privilege of investing
in 30-plus entrepreneurs.
I've pretty much become a student of business.
I've read over a thousand books
on entrepreneurship, business, marketing, sales.
It's my thing.
And last week, I was talking with a friend of mine,
Greg Crabtree, the author of Simple Numbers.
And during that call he said something pretty profound.
He shared with me the three things
that really when it comes down to it,
the essence three things businesses need
to do to be successful.
So that's what I wanna share with you guys,
is that three simple ideas framework.
The first one is they need to create something
that the market wants.
I gotta tell you so many entrepreneurs actually
don't get that part right.
They don't get any of these right
which is crazy.
But, If you just think about it,
it really matters what market you're trading in.
Recently, I was speaking at an event
and one of the entrepreneurs came up to me
with this really cool idea of creating organic gardens
for homeowners or even people who live in condos
so that they could produce their own vegetables.
And I was like that is an awesome idea!
That would work in a major city
but it's not gonna work in the city you live in
because the market isn't big enough.
And that's where the first step that Greg shared is.
Create something that the market wants.
Are there enough people to support your idea?
Maybe you wanna create an advanced network gaming
kind of coffee shop.
I don't know if that's gonna work in your market,
but you know and some ideas,
I feel are great ideas to happen
in a New York, a San Francisco, an LA.
And these entrepreneurs have them in small towns
and they don't realize that it's all
about the size of the market
for that specific solution or need or product.
So that's the first one.
I thought Greg's idea of
step one, create something the market wants.
Number two is do it at a profit.
Think about this.
If you're building a business
and you're not making profit
or what I see is companies that start a service business
and they do it at almost break-even.
And to me, profit is growth.
Profit is the engine.
Profit is everything.
Profit solves all problems.
So if you're building a business today
and you aren't really building that profitability level,
then you're not going to be able to grow.
You're not going to be able to scale.
You're not even gonna be able to weather a storm.
Think about 2008, 2001.
You know, we're ready for another storm
and if you don't have profitability in your business model,
you're not gonna be able to sustain that.
And that, to me, is such a simplistic approach
to business but that's the second thing
you need to know how to do is do it at a profit.
The third area, the thing that you need to do
as a business is tell the market about it.
Make sure that you're doing marketing.
Most businesses, I see this.
Third year, they plateau.
They hit a point where essentially,
they've already reached out to all their network,
their connections, their resources.
They extracted all the value from the relationships
and now the business is not gonna grow anymore.
It's stalled out
because they've never invested in marketing.
They don't understand sales.
And that is an area that needs to be looked at.
Third step is tell the market about it
and make sure that they respond.
So Greg's three step framework:
1.) Create something that the market wants.
2.) Do it at a profit.
And 3.) Tell the market about it.
Really simple strategy.
I wanna invite you
if you want access to exclusive interviews
or invites to events that I'm hosting,
be sure to subscribe to my newsletter
and as per usual, I wanna challenge you
to live a bigger life
and a bigger business
and I'll see ya next Monday.