How To Learn Anything Faster Than Everyone Else
In a Nutshell
Alex Hormozi shares 12 rules of thumb for business success, including 80%+ close rates signal 3-4x underpricing, 3:1 to 12:1 LTV:CAC ratios based on human involvement, 70% sales calendar utilization, 30-day payback periods, 80%+ gross margins, and ignoring industry averages to win big. He stresses conscious trade-offs in life/business (e.g., no beachfront ski house) to achieve outsized results, as fearing certain losses blocks unknown upsides. To learn anything fast, deconstruct skills into observable sub-behaviors, quantify success, ignore black-box psychology, replicate top performers' actions via high-volume first-party data iterations, and repeat relentlessly—intelligence is iteration speed.
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We're live on a Monday. Greetings from New Jersey, America, Littykitty, claims department, Poland, Paco, David from Israel, Nigeria, Alex from Canada, Alexis from North Carolina, Arizona, Utah, Kenya, Chicago, Germany, UK, Oscar, Russia, Las Vegas.
Three separate topics: 1) Rules of thumb ratios for business assessment. 2) Trade-offs for goal achievement, mostly business-related but applicable broadly. 3) Mystery surprise topic.
12 important rules of thumb from 14 years in business. acquisition.com portfolio does over $250 million per year. Nine weeks ago, $106 million in sales, Guinness fastest selling non-fiction book, doubled formal record. Use to analyze business, allocate time with yes/no answers on performance.
For sales with salesperson in person, phones, or Zoom. Tier ladder:
- 80%+ close rate (4/5 buy): underpriced by 3-4x.
- 60-80% (3-4/5): underpriced by 2-3x (e.g., $100 → $200-$300).
- 50-60%: underpriced by 1.5-2x (e.g., $100 → $150-$200).
- 40-50%: underpriced by 1.25-1.5x (e.g., $100 → $125-$150).
- 30-40%: appropriately priced if proper sales motion (consumer educated pre-purchase, call is personalization). Without proper motion, still 2-3x pricing potential.
- Below 30% (<1/3 buy): avatar issue or sales motion issue; fix those before lowering price.
Exception for unlimited scale businesses like software: balance gross margin (price up) vs growth (price down) to maximize both.
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