Lessons from 17 Years in Business

Introduction

• Speaker: Cody, runs a nine-figure holding company.
• Goal: Teach lessons from 17 years in business in 40 minutes.
• Focus: Achieving financial milestones from six figures to nine figures.
• Key Insight: What worked to get your first $100K won’t work to get your first million.

Key Rules and Strategies

Rule #1: Never Lose Money

• Quote from Warren Buffett: "Rule number one, never lose money. Rule number two, don’t forget rule number one."
• Strategy: Start with a side project while keeping your job.
  • Use your salary instead of debt to fund your venture.
  • Ensure cash flow covers expenses before leaving your job.
  • Statistics show greater success if you maintain your job while starting a business.

Rule #2: Move Fast and Take Risks

• Concept: Cost of inaction in terms of lost future dollars.
• Formula: Smart Risk = Skill + Preparation × Action
• Strategy: Assess opportunities for risk and take calculated risks to increase income.

Rule #3: Focus on Big Problems

• Key Insight: Solve big problems to make big money.
• Productivity Tips:
  • Use a to-do list, task timers, and minimize distractions.
  • Identify and tackle your biggest, most impactful task first ("Frog First").
• Activity: Post-it Note Challenge to differentiate tasks by their hourly value.

Rule #4: 10 to 1 Rule

• Concept: Give ten times for every one ask, leveraging reciprocity.
• Example: Business strategy of community goodwill through services, leading to increased revenue.

Rule #5: Do the Dirty Work

• Insight: "The sexier the business, the less money you make."
• Example: Boring businesses can be more lucrative than glamorous ones.

Rule #6: Sell to Rich People

• Concept: Rich people pay more; focus on exclusivity, status, privacy, and convenience.
• Strategy: Offer premium options on your website to attract wealthier clients.

Rule #7: Solve Big Problems

• Framework: Use the Rice model to assess problem impact in business.
• Example: Elon Musk’s approach to solving significant issues.

Rule #8: Build Once, Sell Continuously

• Concept: Create a business flywheel for continuous growth.
• Example: Amazon’s use of Fulfilled by Amazon and content bundling.

Rule #9: Humans are Contagious

• Key Insight: Your network influences your success.
• Strategy: Surround yourself with people who have achieved what you want to achieve.

Rule #10: The Pyon Effect

• Concept: Beliefs influence actions and outcomes.
• Strategy: Avoid negative environments and reinforce positive beliefs.

Rule #11: It’s Never Too Late

• Insight: Start where you are, regardless of age.
• Examples: Success stories of late bloomers in business.

Rule #12: Sell More, Never Apologize

• Role of CEO: Chief salesperson, focus on selling to grow the company.

Rule #13: Fear Should Never Stop You

• Concept: Develop a risk budget; don’t let fear of failure prevent action.
  • Example: Mentor who views losses as part of the journey.

Advanced Strategies

Rule #14: People as Investment

• Key Insight: Network and team are crucial to scaling up to nine figures.
• Strategy: Hire high-performing, well-connected individuals.

Rule #15: Be Likable

• Concept: Likability influences career success.
• Strategy: Implement open-door policies and emphasize quality interactions.

Rule #16: Avoid Middle-Class Wealth Traps

• Insight: Increase earnings through knowledge and action, not just compound interest.
  • Example: Exploit opportunities in the age of AI.

Rule #17: Psychopath Behavior (Obsessive Focus)

• Concept: Extreme dedication and obsession lead to extraordinary success.
• Example: Elon Musk’s commitment and risk-taking.

Conclusion

• Final Thoughts: Success is about continuous learning, taking smart risks, and surrounding yourself with the right people.