What Makes a Perfect Business

Summary

• Look for a business that has something unique, like a strong brand, which makes it hard for others to copy. This uniqueness is your competitive moat.
• Ensure your business has a large profit margin. You want to be able to buy something at a low cost and sell it at a much higher price.
• Find a product or service that people will need repeatedly. This can be either recurring or reoccurring revenue, such as insurance or a daily consumable like Coca-Cola.
• Choose a business that is foolproof, meaning even an inexperienced person wouldn't ruin it easily.
• Finally, appoint a highly competent individual to manage the business—an excellent manager enhances a solid business model.

Video

How To Take Action

I would suggest looking for businesses with a special something, like a cool brand. It's like a secret weapon because other people can't easily make the same thing.

Make sure your business makes a lot of money on what it sells. You want to buy stuff cheap and sell it for more. It's important because then you'll have extra money to make your business better or to keep for yourself.

Try to find a product or service that people need again and again. It's even better if they keep coming back, like for insurance or a snack like Coke. This way, you always have customers.

Pick a business that's easy to run. Even someone new shouldn't be able to mess it up much.

Lastly, find a super smart and good person to run your business. They'll make sure everything goes smoothly and the business does well.

To do these things:

• Think about what's really special in your business that others can't copy.
• Look at prices – can you find cheaper ways to get what you're selling without making it worse? Try to sell it for more without customers getting upset.
• Ask your customers what they keep needing and think about how you can offer that.
• Make sure your business is simple. It could be clear instructions or an easy way to train new people.
• And for a manager, look for someone who’s really good at their job and cares about making the business fantastic.

Quotes by Alex Hormozi

"the perfect business unique in that it has a brand or something unique about it that makes it difficult for other people to copy"

– Alex Hormozi

"brand being one of the most obvious ones"

– Alex Hormozi

"you want something that you can buy for a penny and sell for a dollar"

– Alex Hormozi

"you want to have a lot of margin in whatever it is that you sell so that you can make more gross profit"

– Alex Hormozi

"the sticky part is getting something that people will buy again and again and again"

– Alex Hormozi

Full Transcript

the perfect business unique in that it has a brand or something unique about it that makes it difficult for other people to copy this is when they talk about a competitive mode brand being one of the most obvious ones that you can use expensive and air actually are paired together which is you want something that you can buy for a penny and sell for a dollar you want to have a lot of margin in whatever it is that you sell so that you can make more gross profit so that you can reinvest in the business Andor take distributions as an owner so the sticky part is getting something that people will buy again and again and again and so that's both recurring and also oo reoccurring recurring businesses like Insurance reoccurring businesses like Coca-Cola the second part of the business was who's running it a business that's so wonderful that an idiot couldn't ruin it and then hire a wonderful person to run it