Alex Hormozi

The reason I wanted to go over these in so much depth is that every business has features and bugs, like I said earlier.

And one of the big mistakes that I see businesses do at different levels, and I'm talking not just like a million or 10 million, but I see $30 million, $50 million, $100 million businesses come and come with similar issues, which is their complaint will be a core feature of the business.

And they will say there's something wrong with my business because I'm struggling with supply chain issues.

I'm struggling with cashflow as we're scaling too quickly.

Or I'm really supply constrained because it's really hard to find good people.

Or you know what?

You know, getting customers is tough.

Like ad spend is going up and it's costing me more to get customers every single year and ads don't really work like they used to.

Or, you know, it's really expensive to do this company and we're burning a ton of money and we're just hoping we can make it to our next round.

But we're not keeping customers as long as we really need to.

We're not hitting our revenue retention goals.

Every one of these businesses has features, all right?

These are the core hairy problems that make these businesses these businesses.

And so as soon as you can identify, one, there's nothing wrong with your business, this is the core struggle that creates the model that you chose to get into.

And so if you know that, the flip side is that what's hard for you

is hard for somebody else, which means that if you conquer that problem, you unlock huge amounts of enterprise value.

And so the way that I think about this when I'm approaching these problems is, how much enterprise value will I unlock if all of a sudden my service business, I can get two people up to speed per month?

Well, if I got two people up to speed per month, I might add $10 million in enterprise value, or $50 million in enterprise value to my business.

Okay, well, if that were the case, am I willing to dedicate

$100,000 of resources, $500,000 of resources in time to solve that $50 million problem?