# If I Wanted to Become a Millionaire with AI in 2025, This Is What I'd Do

## Метаданные

- **Канал:** Nick Saraev
- **YouTube:** https://www.youtube.com/watch?v=Wn09lLbdTkg
- **Дата:** 24.09.2025
- **Длительность:** 34:01
- **Просмотры:** 21,127
- **Источник:** https://ekstraktznaniy.ru/video/11768

## Описание

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Summary ⤵️
In this video I share how I scaled my business to $4M a year while keeping 92% of the profit. I explain why authenticity is more valuable than ever, how my risk tolerance has grown alongside income, and why understanding market lag helps avoid wasted iteration. I also talk about how distractions multiply as you scale and why staying focused is the ultimate advantage.

My software, tools, & deals

## Транскрипт

### Introduction []

So, in August, we made $451,000. In July, we made $45,000. Uh, in June, we made $48,000. In May, we made 388,000. And then in April, we made 322,000. Uh, and the most important part is not the revenue figures. we did all that with over 90% margins. I think it's actually pretty trivial nowadays to make a high uh amount of revenue with very low margins. And I think a lot of business owners do this mostly for clout and vanity reasons. But, you know, revenue is vanity and profit is sanity. So today we're going to talk about profit. Essentially what you can expect over the course of however long this video ends up being is I'm just going to run you through all the major levers that I pulled on my journey from a dude uh just a few years ago who was struggling to pay his rent $1,500 to $2,000 a month was living in a converted garage eating rice and beans to somebody now that uh you know like I've met a fair amount of pretty prodigious business owners. I've been more or less all over the internet in just the last year or so and I make more money than I ever really thought would ever be possible. I was having a conversation with a friend of mine and uh he was asking me, "Hey, how's the business going? " So I said, "Oh, you know, 451,000. " And he's like, "Holy crap, man. That's a lot of money a year. " And I was just like, "Yep. " But we made that last month. So that was kind of neat. And uh I never really thought I'd be in that position. So yeah, I'm just going to show you guys the unit economics, the strategy, the scale. The hope is for this not necessarily to be the most polished video, but for the information density to be quite high, cuz uh I think that's really why I grew on YouTube to begin with. And I'm not going to make it a particular prescription. I just want you guys to know I'm not selling like a high ticket program or anything about how to make 400 grand. I don't think I'm ever going to deal with that for reasons that I will talk about in this video. Okay. All right. One more final obligatory disclaimer. If you're a beginner, if you've made less than maybe $50,000 in your whole digital business career, I would not recommend you watch this video cuz odds are it's just going to raise more questions than answers. give you excuses not to do the thing that you should probably be doing. What I mean is I think that you could sell water to a fish if you just were good enough at it. And I think that's the skill that you should focus on. The number one thing that a beginner lacks, I believe, is just volume. And I know this cuz I was a beginner and I talk to beginners all day. It's part of my work. So you just got to do volume, you know? So don't let this stop you. Obviously, if you want to consume the content, feel free. But just know that like none of this stuff is what I would prescribe you until you hit a certain revenue figure. I would just talk to more people. The brain is a remarkable organism, right? put enough input at it, eventually it will learn how to sell a thing, how to articulate the benefits of the thing in such a way that somebody wants to buy it. Okay, so let's actually just get down to brass tax. What is the number one most important lever that I pulled? If you want to scale to a

### Lead generation that scales irrespective of time input [2:30]

reasonable revenue figure with very high margins, you need a lead generation mechanism that scales irrespective of the time that you put in. So you need a way to spend a fixed upfront cost and then get a variable scaling reward that just continues to go up over time. Now obviously the number one example of this is content. I think any business owner here will understand the unit economics of that. The issue is most people just don't stick in content long enough for it to pay off. Now what I mean by this is back in the day I was going door to door. That's one of my very first businesses. And so we would drive over me and my business partner into a business plaza. business plas would have like you know 40 businesses let's say and we'd actually just go like door to door since we were selling an undifferiated marketing service and we would do our pitch maybe per hour we could do 20 businesses so how long would it take do 100 5 hours or so and the numbers in our head were 10 businesses lead to one meeting 10 meetings lead to a close cuz you know most of them wouldn't show up cuz I barely had any hair on my chin and look like a zitty teenager I had no idea what the hell I was selling so our rates weren't very good but anyway the point that I'm making is in order for me get one business to say yes to my services, which at the time was $250 a month for marketing. Say with that what you will, I needed to spend 5 hours. I needed to invest 5 hours of my time. Now, if I had scaled this business model, then I wouldn't just have needed to invest 5 hours of my time. I would have needed to pay somebody 5 hours for their time, right? And you know, as I'm sure you can imagine, that is a linear input to a linear output. The math there is five hours or maybe I don't know let's say 30 bucks an hour 150 bucks to 750 bucks on the back end something like that. Okay. So if you really want to scale you can't do that. You can't have a linear relationship between inputs and outputs. What you need is you need a superlinear or an exponential relationship between inputs and outputs. example, I published a video uh on my birthday, you know, a year and a half ago, I guess, now February the 1st, that has continued to make me almost $100 every single day since I published it. And I mean, it's going to be 2 years soon. And that video will continue to have made me about $100. The time input into that video was about half an hour of thinking and maybe recording and maybe 15 minutes of actually fiddling with the freaking software and figuring out how YouTube worked. So, every single day that thing has remained on the internet, it has grown more valuable. And the ratio between output and input has increased. Now, I know what you're thinking. You're thinking, "Nick, this is pretty damn trivial. " But you know what? Business is pretty much a solved problem. We already know how to make money. The smartest, most capable, most intelligent people out there are not the ones that make the most money because they tend to put their nose up and say, "Well, that's a trivial solved problem. Of course, obviously. " And then they just don't do the thing. If you actually want to make a ton of money, you just have to do the thing. Even though I think we all inherently understand that content gets more valuable. Okay. Another resource like this is ads. Now the way I see ads is um kind of like a rocket uh you know Elon Musk SpaceX stuff. So you know like there's a lot of investment in putting the rocket together building it in loading it full of fuel in uh getting it over there on the podium or whatever the heck it's called the stand you know like orienting its trajectory getting the timing right get everything perfect. And then if you guys ever played Kerbal Space Program, if you're really big into it, um, and then you press the button and the freaking thing launches and then the trajectory of that thing is mostly determined by all of the work that you did up front. And so in that way, you have a fixed time cost. And I don't think, you know, you'll be able to hit like plus 90% with ads to be honest, just because there's additionally fulfillment costs, which I'm going to get into. But like my point is you make this one-time investment and then the thing just goes and so the output at least from a monetary perspective tends to be um you know tends to be disconnected from that initial cost. Obviously there's some variable cost to all the stuff right obviously you got to like iterate on the ads and whatnot. But I guess what I'm trying to say is just like if you want to do this sort of business model which I know a lot of people do because it's very high cash flow and it's very low worry. I do this on like 3 to 5 hours a day. You just can't do something that's like outbound. You can't scale with Upwork apps you know. uh cold calls. You're probably not going to be able to do this with cold email. There just way too many costs involved. The whole idea is like the longer the time period goes on, the more valuable all of the work that I've done in the past performs. And so, you know, one of the reasons why I've shifted my content recently, I don't know if you guys have noticed, but um one actually the main reasons I've shifted my content recently and I went from like very AI specific automation specific content to more like general consulting basics is just because this stuff is a lot more evergreen. And so even if it doesn't perform as well in a short period of time, in the short term, over a long enough period of time, every single day, you know, day one it delivers me 1x, day two it delivers me 2x, day three it delivers me 3x. You know, if I look at like 3 years from now, it will have delivered me 1,000x. Uh, and with evergreen content, it's a lot easier to do. Outbound's going to require some sort of sales team, some sort of demo. Inbound doesn't really require that. So now that I'm done with that, hopefully it's pretty clear. You need some sort of lead genen mechanism that scales irrespective of the input that you put in. like it just needs to go up over time. If you want really high margins with reasonable or high revenues, you also need a product whose delivery scales in a way that is divorced from your time as well. Basically, you can't have variable inputs, variable outputs here, scaling inputs, scaling outputs. By definition, again, very similar to the principles that I talked about a moment ago with leads. You can't sell something that for every person you sell, you need to provide some sort of fixed implementation time or fixed implementation cost. What you need to sell is something that you will build like literally once. Okay? And there are variety of examples I'm going to give you guys in a minute where after you do the building, the delivery is almost completely on autopilot or it is completely automated or at least it's dealt with in a way that requires less than maybe 3 or 4% of your margin, which is very difficult and there's only a few products for which this um this satisfies. So what can you not sell? What you can't sell is services. You definitely can't sell services. The reason why is because every time you deliver a service, you incur some sort of scaling cost. Okay? One service means x time to deliver the service. Two services means probably 2x realistically probably like 3x just because of the way that communication overhead and whatnot works in an agency. And you know like the more and more services you provide typically either your relationship is linear or it's like sublinear. So it kind of you know plateaus eventually. There's just no way that you're ever going to get to a point where you're making really high margins unless you are entirely fulfilling it yourself, in which case you were just the freelancer contractor. And there are some cases where that makes sense, fine, whatever. But um yeah, so what actually does qualify? Well, software products are really big. You know, I on SAS pretty often nowadays, but mostly because of beginners that want to start a SAS without fully understanding the uh incurring problems here. But software products are really big because if you think about it, like they are, you know, they're like a service. They're just a very standardized delivered service that just does the same steps every single time. And then because it's automated, the delivery of that thing is completely automated. So when you get a client, the client delivery does not scale at all. There's typically like a small little infrastructural cost you'll incur. There may be some very tiny proportional infrastructural cost every time you generate the thing or make the asset or compile the paper or whatever the hell the SAS does, right? The point that I'm making is what you need to do is you need to invest one time upfront and it typically needs to be a pretty chunky investment. You're investing time, money, resources. There's a lot of risk. Software developers and stuff have it some idea Uber and then you invest all in the thing and then the thing is capable of delivering independent of you. Now, uh what I think a lot of people don't realize with the way that you know scaling almost like the scaling laws of business and people in AI here should understand what I'm saying. But what I don't think too many people understand is like this is a very conscious trade-off that intelligent business owners will make. Like when you're at the start line of your business, it makes sense to pick something that is linear because linear things don't require this initial massive upfront time investment without any payoff. You know, up front at the start line, what you need to do is you just need to like provide yourself liquidity. You just need some sort of liquid capital. You need to bootstrap yourself. You need to provide yourself the means to trade your time back for money later, right? Or trade your money for time later. And so the simplest and easiest way to do that is with services. Cuz with services like really the acquisition path is like I get good at the service and then I sell the skill, right? But with products it's like I get good at the service, I use that to build a product and then the product is what I monetize. So that's three steps whereas service is like get good at the skill and then just monetize the skill. But you know with software that initial upfront risk can pay off really well over a long enough time horizon. So the most kind of higher ROI path really if you think about it is like you start with services to get yourself some capital. Once you have some capital, you now have the runway to invest inside of some product so that not only do you scale like crazy on the back end, but you also get that initial kind of upfront liquidity as well that you're looking for. So that's what I did. You know, I uh started selling services and then I made like a fair amount of money with services. I got one second copy to 90K a month. uh my automation agency at $70,000 a month and like I won't say that like gave me a ton of liquidity which allowed me to buy um some major you know invest in software developers or whatever but it gave me enough liquidity to like not have to worry about the tiny going on um to not have to constantly be chasing the next dollar. And so instead, you know, after I earned myself that liquidity by directly trading my time for money, you know, now I had a reasonable amount of money. And then I used that reasonable amount of money to, you know, hire people uh to buy my time back. And then once I had my time back, I could think a little bit more strategically about, okay, like how the hell do I actually do all the stuff that I'm currently telling you right now. So that's one way, software. Another way is books or some sort of product like that. If you think about it, uh, you know, Alex Hermoszi, $100 million and everybody says $100 million in two days. He didn't make spent a lot of time investing into the book, into the product, and into his distribution, obviously. But, you know, like for the most part, he transformed a lot of reputational capital and goodwill through a product that has zero ongoing delivery costs. He just had to record multiple big long webinars and somehow maintain his voice. No idea how the hell he does that. Literally just like downed a gallon of Vaseline before the webinar or something. I don't know. But, um, the point that I'm making is like there are some delivery and logistics costs to selling a book, obviously. So that may eat into your margins a little bit more, but you know a book is a thing that you invest a bunch of time and effort basically like your knowledge into once and now that the energy has been transferred into this concrete object that concrete object sort of delivers itself. You know you'll just pay some inventory logistics whatever provider to do so. But that takes me to another uh point. What if you could get all the benefits of selling books but then you don't have any sort of like implementation cost, logistics delivery or whatever. uh well that you know now you're looking at exactly what I chose to do because I just realized well I could do the whole like write a book thing but I could also just do something that's way faster, easier and much more iteratable I would say which is information products. Books are information products to be clear. But uh yeah, you know, like if you think about it, um information in the form of a book may have some sort of delivery cost, but then digital information does not almost by definition. And that's why everybody in their mom wants to like sell information products nowadays cuz information products have all the inherent benefits of, you know, like a software product, super scalable, and like books, information also very scalable. Um, but typically the transfer of knowledge from my head into a product, the transfer of that energy requires less friction because I don't have to like hire a whole software dev team or no software engineering skills myself. So that's another really big thing. And to be clear, all I'm really saying is like if you want to scale really big, you need to find things where the inputs do not onetoone map with the outputs, but the inputs map super linearly to the outputs or exponentially. uh whether it is on the lead generation end, sales product fulfillment end, like all these things that you are selling and the ways that you sell need to scale in a way that is divorced from the upfront time cost or actual cost. And I'm not exactly going to win any awards here, but I just want to make it abundantly clear that like that is the requirement. And the reason why is like that is leverage if you think about it. Like that's the definition of leverage. Leverage the way I define it anyway is the ratio between inputs and outputs. And if outputs is more than like one like if the ratio between the output the thing that you get is greater than what you put in. If that is greater than one then you have some form of leverage. Um the thing is you know content as an example lead genen technically the leverage just grows every single day cuz the evergreen content accumulates viewers and stuff like that completely on autopilot. Technically your software product just grows more and more valuable every day or at least your company does because now you have a bunch of people that are using it rolodex on it. the more people you have on things typically the uh better your rates can be with various service providers and whatnot you can negotiate bulk. I guess what I'm trying to say is like you know viewed over a long enough time horizon that's the way to go. Another thing is

### Authenticity is at a massive premium [14:44]

like authenticity is at a massive premium. And so um what I'm realizing is that in addition to there being like capital capital, there's also relational capital or reputational capital. Like there is money that you make through your content. And that's cool. But then there is also like reputational money that you make through your content. And reputational money is like money, but it's just in a different currency. And you have the ability to convert that into money. But in doing so, a lot of the time you will lose part of that reputational capital. The thing is reputational capital compounds much faster than actual capital. So if you think about it from like an investment perspective, actual capital might compound at a rate of 8%, you know, year-over-year or something. Just look at some of the funds and I'm sure you'll find ones that outperform. But maybe on average at low risk some diversified ETF will compound at 8%. I think reputational capital compounds at like 150%. And so, believe it or not, the optimal play is not to focus on the monetization right away. It's reputational capital and to maintain high amounts of reputational capital because that compounds really, really quickly. And then, like in any sort of like, you know, investment scenario, if you're going to do a sell-off, sell it off a little bit, a little bit over time on the way up. Don't sell off all of it and then tank the whole stock, you know, cuz I see a lot of people do this. like build some middling amount of reputational capital and they'll do it in like 6 months and then they'll just piss like literally 99% of it away on some subpar product, subpar launch, subpar information, subpar monetization scheme. I mean obviously the most egregious examples of this are when you have these massive influencers that build these massive fan bases and then they have them dragged through some shitcoin to try and you know make some $10 million rugpull. The reputational capital that those people lost is worth a lot more than $10 million over the course of the next 10 20 years. like the creator economy at least on my end you know because I'm doing my whole thing through content is uh is very very fragile if you're not careful and so maintaining very strong uh safeguards kind of lane guards like in bowling for your reputation I think is tantamount so as opposed to me like monetizing right away you know like telling people tactically like hey you should sign up to my thing like I spent the vast majority of my really time just making content and then like you know negotiating my place in the social media hierarchy and because of that um you know later when I did start monetizing and I haven't even really fully started monetizing at FYI, but when I did start monetizing, I was able to sell off uh at the peak and then also it bought my relational capital more time to compound. Another point I want to make

### Risk tolerance should scale with income [17:10]

is about risk. So obviously you should find things whose outputs scale disproportionately to the inputs, right? Like I'm not exactly going to win a Nobel Prize for telling you guys that, but when you throw risk into the mix, I think it becomes quite clear as to why more people don't do this. Um, the reason why people don't generally find like scalable lead generation approaches is because they just can't stomach the risk involved in investing a bunch of time and energy into something like a content stream without seeing an immediate payoff because these things tend to take more time to materialize results. The reason why people don't build highly scalable products that are great is because there is some risk that if they invest all this time and energy into building a scalable product, they will not see a payoff that will, you know, provide them the liquidity to make whatever the hell they just did worthwhile. Hell, to pay the expenses of the software developers and whatnot. And so it's this nuance understanding of risk that allowed me to go really far. I used to be very riskaverse and I think I still am just looking at my margins, right? Like I'm very safety oriented, but um believe it or not, I'm still a lot more risk tolerant than a lot of entrepreneurs that I see get into the mix. The way that I see things and with risk is you should always operate at the upper bound of your revenue or cash flow. And so if you have a very little amount of revenue or cash flow in a business, so like let's say you're at the start line and you're selling services like you know probably some of you jackasses that are still watching despite the fact that I told you not to. Your ability and tolerance for risk is very low. You really can't take on too much risk. What I mean by it is if you're making $2,500 a month, can you really invest like 10 hours a week into building a software product? I mean like you can and a lot of people do because they don't understand this, but probability of that failing is very high. And if that fails, so too does your whole business because, you know, the 10 hours of opportunity cost, that was like oxygen free, man. That was like everything. And you know, you just pissed it away on some software product that's not delivering a result. Now, conquently, if you're making $250,000 a month, obviously you have a lot more breathing room. And if you operate at the higher level of the bounds that risk tolerance affords you at a certain revenue level, then the probability of your business growing is just much higher. And um the reason why is it's almost like a form of evolution. The way I always see things is research and development. The whole reason I can sit here in this privileged position and then I can talk, you know, about how I made all this money or whatever and, you know, I make more money in literally one hour than I previously would in like a couple of months, which is just bonkers, is because I was very riskaverse to start. So I spent the vast majority of my time being traded directly for money. And then as I slowly bought myself more and more and more money, I basically proportionally one to one just used all that money to take risks. But these were estimated risks that were more conservative according to my risk tolerance. And when you take enough risks and when we apply your own human ingenuity and intellect to a problem and you're better than average, those risks tend to pay off, right? If you were given the ability to flip a coin, okay, and then that coin came up as heads 51% of the time and tails 49% of the time. And so you knew this and you could bet heads as many times as you wanted. You know, how much money should you spend on a game of coin flip where every coin flip makes you a dollar? you should spend literally every dollar in the universe on that game because it over a long enough time period will pay you an infinite amount of money. So think about it. Even if your risk is just slightly a little bit lower than 50/50, you know, even if your probability of success or winning is like just 1% in the green, if your business is big enough, you can stomach enough variations in a short term to make it past this hump and then, you know, see the results of being able to play the game long enough. So the whole reason I'm in this privileged position, I guess to make long story short, is because um I bought myself a bunch of money and then with that money I started trading it for time and then I started spending my money and my time on new lead generation mechanisms that scaled irrespective of my time like content. There was a period where I was making like 30 $40,000 a month and then I started being like okay so obviously I'm having success at the 30 $40,000 a month mark with my agency. How can I grow faster? Then I was like, hm, I should probably find a lead generation mechanism that scales irrespective of my time, right? Okay, so what are the lead generation mechanisms available to me? Okay, content's one of them. Cool. Why don't I spend 10% of my time on content? I'll ads. another thing. And then, yeah, you know, I should be able to maintain the 30 or $40,000 a month, get all my bills paid, be able to feed myself, clothe myself, whatever. Guess what? Vast majority of those bets didn't work out. Content did. I was able to make that bet simply because I'd bought myself the liquidity and the I guess peace of mind to be in a position where I could happily do R& D on my business and take a little bit of risk. So yeah, I mean like I guess if I could just summarize it all, your degree of risk tolerance should scale proportionally with your income. And I think weirdly enough, a lot of people just do the opposite. A lot of people are way more risk tolerant when they are at zero than 100,000. And that's why they slow their growth significantly and sort of eventually plateau out. Um, you know, you should basically take between 8 to 10% of your entire business and you should just be willing to play around with that. And if you're not that, then that natural search or natural evolution of your business will just take so much longer to do. You know, not all of my bets have been right. I've taken a lot of wrong bets. But, you know, every one of these wrong bets has been 1% of my margin, 2% of my margin. It's been $10,000 here, $15,000 here. uh you know I set a period like an experiment like a scientist and I will evaluate whether or not the inputs correlate with the outputs and if something looks promising I invest more money in it and then eventually it does it's like a stock right so I think if you treat your business not only as like this cool cash flow producer but also almost as like a financial instrument probability of success goes way up another thing that made a big difference for me was understanding just the

### Understand market lag and avoid excess iteration [22:25]

inherent market lag between my inputs and my outputs what a lot of people will do is they will iterate really quickly and I think that's good in general that you iterate but if you iterate too fast, you're actually almost always just getting lost in noise. What I mean by that is like there's a lot of noise inherent in the market. Like if you send, you know, a thousand cold emails or something like that and then it's been 24 hours and then you evaluate that, you know, your reply rate is. 5% and because it's so low, you probably shouldn't continue, that's not really enough time to fully understand whether or not your campaign worked. Cuz a chunk of those people will take more than 24 hours to get back to you. In fact, a chunk of those people take more than 48 or 72 hours or 96 hours to get back to you. If you send a thousand and then in a 24-h hour time period try and make that decision, what you're basically doing is you're seeing noise and who knows, maybe your reply rate is really high and it's 5%. But maybe it's really low and it's 0. 5%. Whatever it is in there, um, your error bounds are really big. So what you have to do is you basically have to like continue to persist in the market regardless of whether or not like the data says you should iterate until you get enough data for those error bounds to kind of go down and then narrow in on the actual figure. Once it's narrowed figure, you can, you know, make a decision. So, um, you know, I see a lot of parallels with, I guess, like statistics and just business. Um, and it's no surprise that like good mathematicians and statisticians, um, you know, that start businesses end up being successful. I think they just understand this inherently. But, um, yeah, you know, to make a long story short, like markets take a lot longer to react to than you think. Dude, Chat GBT came out like four years ago almost now, and uh, we still have like a big chunk of the world that just does not use it on a daily basis. whether because they're stubborn, whether because they have some inherent bias towards using AI for productivity reasons or because there's just some one of another million reasons that prevent them from, you know, uh utilizing it, that is market lag. You know, it's like if there's an idea or product development or, you know, some new campaign or whatever, some mimemetic thing in the market, like it takes a long time to distill from input all the way to output, like it takes a long time for you to see that thing trickle down and actually produce the results that you think it does. So in a way like uh I think one of the reasons I was able to scale so much faster is because I actually like because of my risk aversion but also because it's just like not as fast of an iterator as a lot of other people. Like a lot of people are like really crazy data driven and they will do stuff like every day. I don't do that. Um I'll do things on like a weekly or monthly basis. Because of that I think I was able to stick with things for long enough that I could see their actual value as opposed to making decisions and being lost by noise. So, you know, when I did end up making decisions, sure, I may have made decisions slower than other people, but my decisions tended to be significantly more correct more often. So, you know, I think that's very important. I don't really think that gets talked about enough. If you guys know about AI, there's um, you know, there's a gradient descent, right? There's a stoastic gradient descent. And, uh, basically, it's just a term for when a model moves across like a search space. And if you make the step size of the searches really big and if you do it really often, if the goal is right here, the model will end up just jumping around the area. But if you make like the step size small enough and if you allow yourself to accumulate enough data before you make that step size, typically uh the probability of it like going in the right direction goes up a lot more and you actually get really a lot closer to like the actual goal like the training set. So yeah, I would say that has a lot to do with it. Another

### Distractions multiply as you scale [25:35]

big thing is there's so many distractions out there as you scale a business. Like business, you inherently become just more of a valuable person to be around, right? And I think that I see this a lot in the digital space, especially like content and then ads and stuff where you tend to just get a reputation. Like with every $10,000 that I've added to my monthly revenue, basically like the number of distractions I get a week has gone up by three. What are distractions? Distractions are like trips, uh, sponsorships, opportunities from people, uh, friendships, people reaching out to you, trying to like connect with you to chat about whatever because they like you and they think you guys would vibe, it's people reaching out to you for whatever purpose, any sort of relationship purpose, businessto business plausible context, investment opportunities, right? In the same vein, the people that I think have the ability to put the blinders up a little bit more and just continue doing the same thing, like stupid caveman that was initially generating them the return, they tend to perform a lot better because they just don't get distracted by it. But uh yeah, I've seen a lot of people that are at similar revenue levels to I or maybe similar profit levels to me on the come-up just get so horrendously distracted by all the things that are like thrown about constantly, you know, and they take various trips and they meet various people and they go on various excursions or I don't know, they try various business models because the investment opportunity looks really solid. They really don't end up getting anywhere. And you know, in like a month I'll make more progress than they will in like 6 months. And the reason why is I've just, you know, stuck more or less to the same thing over and over again, you know, like um if the content is working and it's working really well and let's say you're currently making $100,000 a month from it and with your distribution, somebody comes to you like, "Dude, I got this great idea for a software product. It's going to change the game. " And you're like, "Wow, you know, man, I could make so much money with this software product. What if I charge 50 bucks a month and then I monetize like, you know, half maybe a quarter of my 100,000 people? " Do you know what the reality is? The reality is if you just spent all the time and energy that you were considering investing in the software product on just like making more content on pressing the button that you know works really well, you'd probably make way more money and you do it at a lower risk level than if you were to invest in something entirely new. Now, obviously there's some nuance here. You should diversify your revenue. You shouldn't be 100% relying on one thing. That's why I have agency. I have uh the info products. I have other revenue streams that are kicking up like sponsorships and affiliates and rev shares and stuff like that. But like for the most part, if you like if you try and overly monetize an audience, I would say by product differentiation, yeah, you just end up really distracted. So two things there, right? Like you kind of have to understand like why you're doing it. In my case, I wanted to produce like generational levels of wealth. And to me, like margins are really important, which is why I like had a goal of doing all this with extraordinarily high margins. I was pretty riskaverse as well. So I naturally just wanted to do the thing that made me money over and over again. And then, you know, I had like reasonably tight feedback loops. not like I wasn't like super crazy tight about it and I understood enough about statistics that I could do it pretty quick but like yeah because of those blinders I was like oh I could do this cool thing or start this cool relationship or build this new business but um just didn't really make sense to me and at a certain point you know there are some opportunities that it makes sense to take on for sure but I think in general like a lot of the market is skewed towards like ooh shiny object not exactly winning any awards with that one either uh but as a result you know they're a lot less likely to be able to persist and do the same thing that they were doing every single day that made them the money so that's a major point that I Anybody that really wants to scale with consistently high margins need to internalize. Your risk is much lower just continuing to do the same thing that has made you a fair amount of money. You should obviously stratify and you should spend some of your time, energy, and resources in new things that may or may not pay off. But you should know how much time and money you're going to invest in those things ahead of time. And then if you are going to spend time and money doing them, you should pre-commmit a portion of your day. Let's say like I did 10% of my day on content or a certain amount of your money like $15,000 a month on XYZ thing for 30 60 90 days until you get enough data to be able to do an experiment with sufficiently little noise that you can actually know whether or not it worked.

### Outro [29:18]

Okay. Well, I've talked a lot over the last little bit. Uh let us dial this back into something meaningful and something actionable. uh if you would like to make reasonable to high levels of revenue at consistently high levels of margin, let's say 90% plus over the course of the next few years, you know, everything I'm saying works right now cuz that's what I've done right now, but I don't know if it's going to work in like 2032 or whatever. Um here is how you should approach it. You should start with a lead generation mechanism that scales irrespective of the time input that you provide. What I mean by that is you should choose a lead genen mechanism where the number of leads or opportunities generated goes up in a way that is disproportionate with the input. Bonus points if it goes up more and more over time. So what are some good uh examples of that? Content and ads. Those tend to be the most scalable uh mechanisms right now. Additionally, you need to be selling something whose delivery also scales disproportionate with the number of people that you sell because if either of the lead genen mechanisms or the product delivery is linear, then you will always have to do this linear math. You will never grow faster than that. Okay. Another big thing to understand here is authenticity and the concept of reputational relational capital. So the more uh reputation that you have, especially if you're doing something like content, although this applies in more or less any lead generation context, and the longer you can keep that reputation, the more you can convert it to its immediately next like convertible currency, which is like actual currency. Um, and so the theoretic strategy, the game theoretic strategy, like the optimal one, is to maintain very high levels of reputation for as long as you can because it compounds way faster than actual capital. And then if you are going to cash it out and turn it into capital, then you should like do little sell-offs as opposed to some sort of big reputational damaging thing. Another big point I want to make is risk. So as you get more and more money and capital, you should essentially be willing to take on more risk. Now, this is in contrast to what I think a lot of people do, which is when they make more money and they get more capital and find more success, they're actually uh willing to take on less risk than they were younger, maybe earlier on in their business. Well, you should basically always put aside some percentage of all of the money that you're making and all the time that you have in your day towards high-risk ventures because when you do so, you significantly improve your business's ability to navigate the search space basically and find the optimal set of products and lead genen mechanisms and, you know, administrative infrastructure and whatnot. Another big concept is this idea of market lag. What I think too many people do nowadays is they iterate way too quickly. they will be like dead set on iterating after every freaking 500 cold emails that they send or whatever. The reality is there's so much noise inherent in the market. There's also so much time that it takes for things to occur in the market irrespective of you around that you should treat it kind of like the gym. Don't do 10,000 bicep curls today. You know, do like 30 bicep curls every day for the next year and you'll grow way more. Why? Because the permissive factor is it takes time for the market to respond to an offer just like it takes time for your body to heal your muscle fibers. It's the exact same thing. And another and probably one of the last major points is distraction. As you make more money and as you grow more reputation, generally speaking, the number of distractions that you will have are going to scale at least one to one proportional with that, probably more so. And so you need to be very clear what your intentions were starting this whole business and doing all this in the first place. If you're the sort of person that does get distracted easily, well, I think you can still grow. Okay, the graveyard is littered with shiny objects and people clutching at them. Um, if you want to grow a business sustainably and consistently at margins of my level or above, because there are a variety of businesses that are even better and bigger than mine, these are the things that you need to internalize and understand. Okay, so hopefully uh this randomass brain dump has helped some people. If you guys have any questions, uh, feel free to let me know at the bottom of this video. I will answer the questions If you guys are maybe not necessarily, you know, looking to start a business in the same industry that I talk about, but maybe you want to work with, you know, consultants that understand the concepts that I talked about here, then definitely chat with my team. We've worked with everything from small to mid-size business to literal multi-billion dollar portfolio companies. So, we are very familiar with not only the concepts that I talk about here, but a lot of other economic concepts that I'm sure could be beneficial to your business as well. as well as obviously system implementations, AI automation, uh, and so on and so forth. So, book a call with my team. More than happy to help you with that. Okay, before I lose my voice, let me say one final thing, and that is thank you for making it to the end of the video. I really appreciate all of your support. I'm really looking forward to making another one for you soon. Cheers.