The Money Formula I Used To Actually Get Rich

Name: The Money Formula I Used To Actually Get Rich
Uploaded: 2026-02-23T13:00:00.000Z
Duration: 37 min 37 s
Channel: Alex Hormozi

Alex HormoziFebruary 23, 202637m

Topics16

Introduction to Wealth Distribution and Getting Rich0:00 Why You're Not Making Enough: Selling to the Wrong People0:30 Pareto Principle (80/20 Rule) in Business4:00 Free 10-Stage Roadmap to $100M+7:01 Top-Down Business Building7:30 Pricing Tiers Using Pareto: 5-10x Rule9:00 Acquisition.com Pricing Example13:31 Serving Masses vs. High-End16:30 Practical Steps to Implement18:30 Absolute vs. Relative Profit22:30 Limited View of Wealth from Baltimore Roots24:35 First High-Ticket Sales Breakthrough25:31 Pricing Guidelines by Audience28:30 Tactics to Handle High Prices31:00 Lead Qualification and Differentiation33:30 Core Principle37:00

In a Nutshell

Sell to the rich (top 10% holding 69% of US wealth) using Pareto principle: 20% of high-value customers drive 80%+ of profits, so build top-down with 5-10x pricing tiers (e.g., $10/mo base to $5k-135k top) to concentrate revenue at the high end. Start high for stronger branding, easier operations, and massive profit leverage—e.g., one $10k sale equals 400x $50 sales—while qualifying leads, anchoring prices boldly, and raising if close rates exceed 30-40%. Sell to rich long enough, and they make you one of them; free 10-stage $100M+ roadmap at acquisition.com/roadmap.

AI-Generated Notes

These notes were generated by AI and may contain inaccuracies.

Alex Ramoszi runs a portfolio of companies at acquisition.com generating over $250 million per year. He did a book launch 12 weeks ago that generated $16 million in sales in a weekend, breaking a Guinness World Record for the fastest selling non-fiction book of all time. The core shift: understanding how getting money works and why the rich get richer, with the math behind it and how to gain access.

First reason: selling to people who don't have the money. US income: top 10% earn 40% of income. US household net worth last year: $163 trillion. Scaled to $100 across 100 people representing percentiles:

Bottom 50%: $2.50
Next 40%: $28
Next 9%: $38
Top 1%: $32 (more than bottom 90% combined)

69% of wealth in top 10%. Implication: sell to the rich, they pay better. People compete for the bottom $2 because everyone they know is poor, believing no one would pay high prices.

Big companies go where the money is. Pareto principle: Italian economist Vilfredo Pareto observed 20% of customers create 80% of revenue. In business:

20% of customers: 80% of profits
Within that 80%, 64% of profit from 4% of customers (4 out of 100)
Within that 64%, 51% of profit from top 1%

This mirrors wealth distribution (power law). Profit from high-value customers costs little more to serve than 99 others. Condition: business model must allow them to pay more.

The only thing worse than offering a $1,000 thing to somebody who's got a $100 budget is offering a $100 thing to somebody who's got a $1,000 budget. In the first, you lose $100. In the second, you lose $900.

Expect 99/100 not top 1%, so most say no to expensive offers, but pursue the whales.

Exact 10-stage roadmap from zero to $100 million+, completed multiple times across software, physical products, service businesses, brick-and-mortar. Breaks down by 8 business functions, constraints/symptoms, and steps to graduate. Free at acquisition.com/roadmap.

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The Money Formula I Used To Actually Get Rich

Introduction to Wealth Distribution and Getting Rich00:00

Why You're Not Making Enough: Selling to the Wrong People00:30

Pareto Principle (80/20 Rule) in Business04:00

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