Alex Hormozi

If we look at the ultimate versions of some of the highest grossing service businesses out there, what do they all have?

They have unbelievable talent machines and they attract the best and brightest, right?

So number one is that you're gonna be reinvesting money into the recruiting side of the business so you can get the best talent.

The other side that you're going to be putting money into is going to be brand, right?

Now, brand is going to benefit in both places.

One, it's going to allow you to charge premium prices over time.

And it's also going to allow you to attract premium level talent because they want the association.

They have their own personal brand.

They want their association with your brand.

Now, the way that I can see how...

scaled up or how progressed an entrepreneur is in the service business is actually with one metric, which is what they charge.

So think about how interesting.

So I'll explain why I think this is a very interesting like North Star metric.

If you do a good job of what you do,

then you should have a supply constraint in your business because more people want your services.

If more people want your services and your supply constraint, what happens?

Well, if we're supply constrained and we have more demand than we have supply, what should we do?

We should raise our prices.

And as we raise our prices, we should increase our gross margins.

And as long as we have good training and we can maintain a reputation, what happens?