The Strategy of Preeminence and Developing Employees

Speaker 2
I don't think Tony has explained to you yet my strategy have preeminence. Has he? No, not yet, Jyce. I am known worldwide for having created the strategy of preeminence. You have to understand that there's two different kinds of business owners. There's a true entrepreneur who's adding value, both external and internal. And then there's a proprietor who's just basically sucking economic oxygen out of the air. If you're really a true entrepreneur and a value creator, you're not just doing it for the outside market. You have three kinds of clients. Okay, so strategy of preeminence, real quickly, I've got to rush through this. You want to be seen as the most trusted advisor and it's all about leadership. It's all about basically wanting more for your market, but you have three kinds of clients. Certainly the ones that pay you, but the other two are the ones you pay. Instead of trying to squeeze everything out of your team or your employees, you want to develop and grow everything within them because most businesses, get a fraction of a fraction of the yield. I have so many different mechanisms. One is called greatness. And most people aren't great. Most employees aren't great, but half of them aren't great because they don't know how to be great, and nobody's ever taught them. I can go on and on, but I hope that gives you just an insight. And tactically,
Speaker 1
you typically have a post-integration plan that you put into place. So you say, in advance, when you're acquiring a company, one of the stages of due diligence, you'll have management interviews. And so you'll interview all of the key people and you'll say, hey, listen, we're looking at coming in and we're so excited to come in because you're super valuable. We love what the company is. That's why we're interested in the first place. Here's our plan and we want you to buy into that plan. We want you to be part of that. And that's also why one of the cool things about integrator equity is having those people have the opportunity that they never thought they would have to invest in the company and own a piece of it while at the same time providing you some of the capital to finance it. So that helps a lot as
Speaker 3
well. Thank you. Thank you.
Speaker 2
True, great companies are able to have a corporate culture, a business culture where everyone is on a mission or crusade and they see the inter. It's very exciting and maybe I'll share some more things with Tony. You can share more deep on this. It's really powerful. Brian,
Speaker 3
can I ask in your business right now, you consider yourself that you're an operator still? Right now, we're moving back to a place where there's a lot of opportunities for us to purchase businesses. And so I'm looking at it says, how do we create partnerships and how do we create strategic alliances? And then how do we also get those people to buy into the vision of what we're creating? And so I'm shifting into entrepreneur from artists. I ask because your question was an operator question. Does that make sense? If you think about what Tony's done the last 12, 13, 14, 15 years where he's gone from, you know, eight or nine core companies where he was an operator to now he's got over 110, 11, 12, 13 companies. He's doing exactly what Rowan and Jamie talking about. He's coming in as an owner with guiding principles and systems and processes. He's not looking to be hands on. And what Jay just said, he didn't use the same language as Tony, but that's what Tony's esop is about. If you've been to be in one, you don't try to talk to Tony Esop to his company. Everybody here, it's a key part of our eye. We're all bought in. Like we're bought in. Does that make sense? So when your team, when your internal customers, as Jay said, are bought into the company, I don't need Tony to be here. Do a great job because we're in the mission. Does that make sense? So you shift that owner mentality and then you've got systems and processes. You're looking just to come in and do your leadership and your culture and your vision, not, you know, make coffee and paint the fence. It's not
Speaker 1
your
Speaker 3
job. Love it. That's a really great distinction. Thank you. Good. Give me a hand. Good job. Good. Awesome. Good questions. We got team five. We have Kate. Hello Kate. I know. I know. Hey Kate, whereabouts. Are you? I'm in Toronto. Fantastic. She's in Toronto,
Speaker 2
Canada. Very
Speaker 3
nice. So my question, I guess, is a bit specific. I'm in the property management business and during your presentation, I started thinking the best complimentary business for us right now anyway would be a landscaping company to help with all the properties that we manage and I have someone in mind. But they are very heavy operators. So there's just two of them. Very, very small company. They're my neighbors. And I think I can add a lot of value to them by pulling them out of the being operators by cutting their costs, being their client and so on and so forth. But I guess my question is I wouldn't want to buy them 100% out because I have zero interest in being a landscaping operator. How would a partnership of some sort work in that sort of situation?
Speaker 1
So I'm going to answer from an acquisition standpoint. I'll let J answer from a partnership standpoint. From an acquisition standpoint, we have lots and lots. I mean, you're in a great position as a property manager for handy person services and, you know, lawn care and screen repair and cleaning and all kinds of other things that you could that you could say, look, my business is a lead gen business for all of these other businesses. So I'm interested in acquiring them. What you do is you go to those two guys and you say, listen, you know, love, you mean it. I love what you do. I can send you a ton of business and the challenges. I'm not really into building other people's brands for them that I don't have an interest in. So what I'm willing to do is if you'll give me X percent of your company, you can pick the X, then then I will make you my exclusive referral source and I'll help you grow so much faster. And then it's win win because you're getting a piece of the business that you're increasing the value of. Worst thing that can ever happen in jail, tell you some stories about this is that you help build somebody else's brand and then your brand goes suffer some terrible consequence and the other brand that you help build becomes this huge company. So what we do is we just go to them and say, you know, for us to have that relationship and give you all that benefit. We want to have some equity as
Speaker 2
well. I'm going to give a two part answer as quickly as I can. I'm sorry to have more time and you stimulated a thought I really forgot. So let me go back from it to that thought. Almost half of the businesses out there and probably this is relevant to all of you get some significant part of your revenue from referrals or word of mouth. Raise your hand if you do. Referrals, raise your hand. So this is going to shock you. I used to do this with Tony when we had live audiences. I'd have everybody stand. Stand if you get at least at least 20 or more percent of your business from referrals or word of mouth. Just stand. Please, I want to make a very powerful del. And remain standing only if you have in place at least one formalized, systematized, referral generating strategy that you follow all the time. If you do stay standing, if you don't sit down. Two, stay standing if you have two, sit down. If you don't. Three, stand. If you keep. And most of the time when you get to three, they're dead. And yet the same people that get most of their business from referral don't even understand. They spend money on Facebook. They spend money on ads. And that's the outer periphery of trustworthy referral generated buyer is about seven times more likely to buy. Stay, buy more. Buy more often. Referral people cost nothing. We have 125 different ways to generate referrals. 125. You're never going to do 125. You never going to do 25. But if you did three and you have none, that could explode your business or your business for somebody else. So that's one approach. The other, Roland and I were talking the other time and I'm racing the clock is people don't understand. There's a correlation. We used to get home improvement companies and landscaper is one. But we would show people that when somebody does one thing, so example, you remodel your kitchen. Your house looks great. In the kitchen, it looks like crap everywhere else. So what do you do next? You do your bathrooms. What do you do next? Maybe you do your carpet. What do you do next? Maybe you do your landscape. What do you do next? Maybe the roof. What do you do next? Maybe the garage. What do you do next? I told Roland, we just spent $150,000 fixing our driveway. You can connect all of those and put yourself in what I call the toll position. It's a lot more expansive and I don't want to waste our limited time. But does that help?
Speaker 3
Yes. Thank you so much. You're welcome. Great job. We're going to squeeze one more in. So I'm going to make one person their lucky day. We've got time for one more. Let's go to let's go to teammates. And it says Maxine, but I don't think it's Maxine. Yes, it's Maxine. Hey, who we got here? Maxine, yes, it's me. It's Maxine.
Speaker 1
You're worried
Speaker 2
about the whole name
Speaker 3
within him. Yes. Thank you guys. And my first language is French, so thank you for your understanding. And I'm really grateful. I want to say like, I feel like just watching what I just watched. I feel like it's better than winning the lottery. I just want to name it. Very nice. Very nice. My question is, I have this belief I'm observing. I feel like I need to have a better financial strength or that my financials needs to be in a better place to even start doing that. So I need to pay my debts. I need to have more savings in order to feel more secure before acquiring more businesses or starting acquiring businesses. So my question would be, can you challenge that or or if it's actually better to pay my
Speaker 2
debts first. I'm not sure if I'm going to
Speaker 1
pay
Speaker 3
my debts. Okay, that was classy. That was very classy. Hold on. Hold on.
Speaker 1
So, do you want to start?
Speaker 2
No.
Speaker 3
No, you just did that. One of
Speaker 1
the biggest mistakes that I see in life is that we get ready to get ready to get ready to do something. And so we can't do this. We set all these artificial limitations on ourselves that this chain of events must occur before I can, whatever, the next step is. So you can do this. There's nothing that Jay or I shared with you today or that you'll learn in this whole program that you can't start doing immediately. And so my challenge to you is that you have false beliefs that are holding you back around the list of things that you must do to now take action and do the next thing. So it's kind of a built in procrastination and hold back system that you've got that if you can break through that by just looking at everything that we said, you don't, it doesn't matter if you're in debt currently. Doesn't matter if you've got all kinds of business challenges, financial challenges if you're in bankruptcy. I've had people buy businesses that were about to go to jail. I've had people buy businesses that were that were in bankruptcy currently. I'd had people that were at the bottom of that I had a guy that sent me a DM and said, I had a gun in my mouth. I was ready to end my life because I didn't see any way to go. All of those people turned their lives and their businesses around and are successful now using these strategies. You're probably not anywhere close to the place that those people were. You can absolutely do this. You tell yourself you can do it. You make the list. You set the goals and you put time on it that
Speaker 2
you're going to do it by.

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