Before You Run Ads, Fix This One Thing First | Ep 964
4/23/202625 min
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Many entrepreneurs think their market is too small, their customers are too broke, and their next best move is going national. They're probably wrong on all three. In this episode, Alex engages four educational business owners struggling to scale. The diagnosis and fix are the same across the industries. Fix internal issues and dominate the local market first before going countrywide.
In this episode
00:00 A house flipper going national too fast
06:53 Motocross operator facing copycats and pricing wars
12:28 A real estate agent coach seeking to double revenue
15:48 Outsourcing vs hiring an in-house brand manager
17:51 Online coaching business dealing with a high churn rate
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DISCLOSURE Information shared here is for educational purposes only. Individuals and business owners should evaluate their own business strategies, and identify any potential risks. The information shared here is not a guarantee of success. Your results may vary. Copyright © 2026.
Clips
Transcript preview
First 90 secondsAlex Hormozi· Host0:00
I've been in business for 14 years. Last year, our companies in total did over $250 million in aggregate revenue. I co-own the platform Skool, which is over 22 million users. And Skool's a platform that allows people to start and scale digital businesses. And so I have access to quite literally millions of data points on what makes digital businesses work and what doesn't. And so in this video, I'm answering your questions about how to scale.
Speaker 1· Guest0:19
I sell dreams, and I built an ecosystem to make it happen, essentially. So- Would you please have me? [laughs] Let's get into it. I started off flipping homes.
Alex Hormozi· Host0:26
Okay, thank you.
Speaker 1· Guest0:27
[laughs] Right? And then, uh...
Alex Hormozi· Host0:28
Okay.
Speaker 1· Guest0:30
I started off flipping homes, and it got to a point where- I sell hope and opportunity. [laughs] And it works.
Alex Hormozi· Host0:34
[coughs] Right.
Speaker 1· Guest0:37
I flip houses, got to a certain point. We had about 30, 40 consecutively every year- What's the revenue? ... in the same market. Revenue is about four mil.
Alex Hormozi· Host0:42
Okay.
Speaker 1· Guest0:43
Um, just net line itself.
Alex Hormozi· Host0:45
What are you gonna do?
Speaker 1· Guest0:45
But it got to a point, just too much competition. We had a hard time being profitable per flip.
Alex Hormozi· Host0:49
Yeah.
Speaker 1· Guest0:49
So then developed a model where we convert competition to collaboration, started contracting company instead of buying the product, becoming the product, and then started a coaching channel where I feed this ecosystem. Vertically integrated HVAC company, roofing company, uh, dumpster company, contracting, the whole nine yards. So I'm teaching people how to do it, and I'm giving them the process on how to do it. All that is different revenue drips for me. Uh, what's stopping me, I got too busy too fast, and, uh, owner operated for a long time, up until about three months ago. Hired a COO, now transitioning a lot of the operation stuff onto her. Really, I don't know what the fuck I'm doing 'cause, like, I'm trying to transition myself out. I don't know how to run a COO.
Alex Hormozi· Host1:29
Why are you trying to