Alex Hormozi

The vast majority of service businesses are people doing work that other people don't want to do.

And so this is, the fitness coaching business is unique in that it is coaching.

The vast majority of service businesses, there is no coaching.

You just do the work, right?

You fix the roof, you put in the garage, you do the accounting for them, you do the legal work.

You build the website for them, right?

So for any of those businesses, it's actually very easy to do the sale because you say, I'm gonna give you the outcome and you don't have to do anything, right?

And so if you're actually good, almost all service businesses, when they are done for you service businesses, almost never, if they're any good, have a problem getting customers.

The difficulty they have is hiring good talent because customers will stick because you're doing the service and they don't wanna learn it and they don't wanna do it.

And the difficulty you have is you gotta teach other people to do it and do it well.

And so you almost always be supply constrained in this business model.

So what are the good things about this?

Service businesses are the least risky business because you can always keep a service business profitable.

So what I mean by that, so outside of rent, which should be a lower cost relative to, you know, whatever your business is almost always for service with the exception of maybe like a gym or like a med spa or something like that, where you have like some capital intensive stuff, but that's less of a service business, more medical, I won't get into it.

but for the vast majority of the true humans are the labor, right?

If revenue goes down, you can always cut headcount.

I'm not saying it's pretty, but you can always stay profitable and you can always cut it all the way back down to just you doing work for money, right?

And so you can always make sure, as long as you are priced appropriately, that you can make money in a service business.

If you do a decent job for people, they will tend to stick around.

And so it can be very stable, it's very predictable.