How To Stop Solving Problems That Do Not Exist | Ep 959
The Game with Alex Hormozi
Alex Hormozi
4.9 • 4.8K Ratings
🗓️ 7 April 2026
⏱️ 33 minutes
🧾️ Download transcript
Summary
Join Alex Hormozi At The Live Scaling Workshop in Las Vegas: https://www.acquisition.com/o-vegas
Scaling any business requires a clear input-output equation that defines core actions to drive revenue growth. In this episode, Alex Hormozi (whose service companies generate over $30M annually) advises five entrepreneurs on how to scale their stagnant service businesses. To achieve success in entrepreneurship, you have to make consistent trade-offs between ambition, family time, distractions, and hiring top talent to run the business.
In this episode
00:00 Scaling a chiropractor stuck at $2.4M revenue
06:41 Pricing strategies for SMB marketing to minimize churn
11:52 Handling AI threats to a website as a service (WaaS) business
17:14 Overcoming supply constraints to scale a CFO advisory company
25:39 Trade-offs to scale a roofing business from $6M to $100M
More Value:
Download your free personalized $100M scaling roadmap in under 30 seconds: https://www.acquisition.com/roadmap?el=yt-alex-486r&htrafficsource=youtube
Join The Live Scaling Workshop In Las Vegas: https://www.acquisition.com/o-vegas
Discover The Easiest Business I Can Help You Start (Free Trial): https://www.skool.com/hormozi
Free Books and Video Courses: https://www.acquisition.com/training
Get the $100M Book Bundle: https://shop.acquisition.com/pages/100m-book-bundle
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Transcript
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| 0:00.0 | I've been in business for 14 years. I've scaled six brick and mortar gyms. I did 30 plus gym turnarounds across the country and built service companies to over $30 million a year. Today, our portfolio at Acquisition.com is over $250 million annually. And so in this video, I'm answering your questions about how to scale your service business. And for all these questions, I try to make my answers as tactical as humanly possible so that you watching from home can immediately use them. Enjoy. I am a chiropractor. We do right around 2.4, been stuck there for five years. I'd like to get to 3.6 to get out of the swamp. Stuck or growing over five years. We've been at 2.4 or five years. Yep. And so I don't know what's stopping us. I'd like to get out of the swamp. Heard. And then profit margins, you're at 30% right? Yes, sir. Yeah. Okay. I'm we're seeing 600,000 as a profit number. I don't know if that's still accurate. Okay. So you have 600,000 in profit and you have, do you have you in a partner or you're 100%? 100%. Okay. Well, what do you want to, you just want to, like, what do you want to have happened? Do you want to, like, what do you want to do? Do you want to go to many locations? No, I want to, I want to grow a main big location. Okay. You know, create a space for family to eventually. I mean, growing there, if they don't want to do that, |
| 1:12.4 | then I would probably change my goal to be in an exit from a standpoint. Which is your square footage? |
| 1:17.3 | Right now we have 7,700. Okay, so decently large. Yeah, we occupy about 4,700 of it. Okay, got it. |
| 1:25.3 | And so are you at capacity within the space right now? No. We used to have a supply |
| 1:30.5 | issue till about two weeks ago. Oh great. And then we hired another doctor. So now it's become a |
| 1:35.4 | demand issue. And that's where we're at now. So how do you get customers now? |
| 1:40.1 | We, our highest is referral. Then we get about the next has to be paid ads through Facebook. |
| 1:47.2 | What percentage are ads? Probably about 20% from ads. About half is from referrals. Another |
| 1:53.4 | 20% is from Google. Okay. So you separate meta ads from Google ads when you talk about ads? |
| 1:59.7 | Yep. Okay. I got it. Um, we don't actually currently do Google ads, but that's where they said they came from. Heard. Got it. Which I would probably see this word of mouth. I Googled you or Googled somebody here. It's probably SEO, something like that. Okay. Okay. So two and a half million. Like, what stops you from just spending more money on med ads? |
| 2:19.0 | Trust that we're doing it right. |
| 2:20.7 | Are you making more money than you put in? |
| 2:22.9 | Yeah. |
| 2:24.4 | Well, so you might have one of these guys, which is that we need attribution tracking so that you can know if you're putting a dollar in and getting $5 or $10 or $20 back out. We have no clue. |
| 2:34.7 | But as soon as we have the attribution tracking, because fundamentally, what you lack right now is an input output equation for the business to grow. And so every business needs to know, what are the core actions that I do that increase how much money I make? And if you can't define that for the business, then for sure is shit, your employees don't know what it is if you don't know what it is right and so for you if you are not supply |
| 2:52.3 | constrained and your deba and constraint that means lead generation is the issue for sure is shit your employees don't know what it is if you don't know what it is right and so for you |
| 2:51.0 | if you are not supply constrained and you're deba and constraint that means lead generation is the issue if lead generation is the issue what's the activity the activity is going to either be i'm going to be making content i'm going to be getting affiliates that are going to be promoting my shit for me i'm going to be uh running paid ads right there's are going to be kind of like the the bigger buckets that you're going to be going into and then you get people who do those things on |
| 3:07.6 | your behalf. And so right now, do you make content? |
| 3:11.4 | Yes, sir. Okay. What percentage comes from that? We just started it about two months ago. How much do you do? I'm not going to tell you to do more. I'm just curious. |
| 3:22.0 | We do four videos that gets created into short and long. Per week? Four videos for the month. And that gets created. Don't. Yeah. Chopped up. Okay. Got it. Okay. So you've got four longs and then you chop this into little shorts and things like that. Okay. Got it. All right. So short term long term. short term we got to get the data tracking in place second |
| 3:43.2 | step is going to be putting the ad the the ads funnel in place and kind of like what the sales motion is |
| 3:47.2 | behind that for local the good news is that it's easy to do because there's already so much trust |
... |
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