Alex Hormozi: 10 Lessons that have taken our companies to over $75,000/hr...

The video is about 10 lessons that Alex Hormozi has learned in observing his portfolio of companies that have led to their success of making $75,000 per working hour, including focusing on a few important things, the importance of the size of your slice of the pie, and the fact that big things take time.

This video by Alex Hormozi was published on Jun 2, 2022.
Video length: 18:26.

In this video, Alex Hormozi shares 10 lessons he has learned from observing his portfolio of companies that generate over $75,000 per working hour.

The first lesson is that most things don't matter and a few things matter a lot, and by focusing on those few things, one can achieve outsized returns. The second lesson is that the size of one's slice of the pie matters more than the shape, meaning that it's more important to have a smaller percentage of a larger company than a larger percentage of a smaller company.

The third lesson is that big things take time, and it's important to be patient and stay focused on the overarching vision or goal.

• Focus on a few important things and eliminate the rest.
• Compensate leaders and tie them into the success of the vision.
• Think long-term and be patient for big results.
• Build a strong culture, team, vision, execution, and customer experience.
• Brand is important for reputation, pricing power, and competitive advantage.
• Keep it simple to scale and avoid risk for short-term gain.
• Decrease emotional reactivity and attract level 10 talent.
• Compounding in business creates breathtaking results over time.
• Take risks only when necessary and with strong evidence.
• Focus on the core of the business and avoid distractions.

10 Lessons that have taken our companies to over $75,000/hr... - YouTube

Lesson 1: Focus on a Few Important Things

• Most things don't matter and a few things matter a lot.
• You can achieve outsized returns by only focusing on those few things.
• Ruthlessly eliminate the rest.
• Focus on the big things that can give you 10x or 50x results.
• Don't get distracted by new, sexy things.

Lesson 2: The Size of Your Slice of the Pie Matters More Than the Shape

• Getting other people tied and compensated for the achievement of your vision is key.
• Profit sharing plans and bonus pools can tie leaders into the success and the achievement of the overall vision.
• The more people you make wealthy, the more wealthy you will become.
• It's true from a business to consumer standpoint and from the overall infrastructure of the marketplace.
• The weight of the slice that you keep is now worth more than if you had 100% and not had that incremental growth through enlisting the spirit and willpower and drive of other people.

Lesson 3: Big Things Take Time

• Don't be obsessed with fast wins.
• Think 10 years out, 20 years out.
• Depth of expertise takes time to build.
• Compounding results happen over a long period of time.
• Don't change your course or see some shiny object that's going to take you away from your overarching vision or goal.

10 Lessons that have taken our companies to over $75,000/hr... - YouTube

Lesson 4: Other Lessons

• Lesson 4: The importance of having a strong culture.
• Lesson 5: The importance of having a strong team.
• Lesson 6: The importance of having a strong vision.
• Lesson 7: The importance of having a strong execution.
• Lesson 8: The importance of having a strong customer experience.

Focusing on the Long-Term

• Ruthlessly limit everything else and focus on the few things that matter in the long-term.
• Make decisions based on what will matter in 10 years.
• Big things take time, so be patient.
• Don't focus on short-term wins.
• Focus on the few important things.

The Importance of Brand

• Build brand by making and keeping promises.
• Brand is the reputation you have in the marketplace.
• Brand gives you premium pricing power.
• Brand creates a competitive moat.
• Ignore negative word of mouth at your own peril.

Keep it Simple

• Simple scales, fancy fails.
• Scale creates complexity, so keep the fundamental units as simple as possible.
• Streamline messaging, customer experience, products, and pricing.
• Don't risk the empire for a pot of gold.
• If you can't keep it simple, you may not understand your own business.

Emotions are the Enemy

• Successful founders are the least emotionally reactive.
• Be rational in decision-making and long-term minded.
• Nothing is ever as good or as bad as we expect, except for the things we don't expect.
• Be conservative in estimates to avoid emotional reactivity.
• Decrease emotional reactivity over time.

Lesson 7: Building a team with level 10 talent

• Focus on building a company that attracts level 10 talent.
• Think long-term and build a company that will attract the best talent in the future.
• Make room for those people by giving them a slice of the pie.
• Set a true goal that you are driven to achieve for a long period of time.
• Enlist level 10 talent by building a company that others believe in.

Lesson 8: Compounding in business creates breathtaking results

• Compounding in business creates breathtaking results when you add time.
• Control your impulses and see that adding time is the single greatest variable to achieving outsized returns.
• Obsess over 1% improvements instead of trying to double in 90 days.
• Set goals that are far more achievable and give yourself room to overachieve.
• Think in decades and set goals that are achievable over a long period of time.

Lesson 9: Risks are to be respected

• Take company-sized risks only when not doing so risks the company more.
• Only take a company-sized risk when the company is truly on the line and you have strong evidence to support it.
• Most times, emotions cause a distortion in reality for the founder.
• Do not take company-sized risks unless the company is truly on the line.
• Most growth comes from improving and fulfilling the promise, not putting the company on the line.

Lesson 10: The importance of focus

• Focus on a few important things and do them really well.
• Do not get distracted by shiny objects.
• Big things take time, so be patient.
• Focus on the 20% of things that will give you 80% of the results.
• Focus on the core of your business and do not get distracted by things that are not core to your business.

Lessons for Business Success

• Focus on improving the customer experience and decreasing the time to value.
• Segment customers by their needs and match them with the right products.
• Building a brand through word of mouth creates a competitive moat.
• Lead with data rather than ego when making pivotal decisions.
• Listen to your customers and sell what they want, not what you want to build.

The Recipe for Business Success

• Make promises and keep them.
• Build a brand and use it to increase pricing power.
• Use extra profits to spur growth through hiring better people and adding new acquisition channels.
• Give slices of the pie to get a bigger slice overall and enlist more people in your vision.
• Give time for big things to happen.

Watch the video on YouTube:
10 Lessons that have taken our companies to over $75,000/hr... - YouTube