#724 Hyper Niche Business Ideas with Big End Game Potential

Transitioning through the death zone requires careful execution and a focus on profitability. The $3 million dollar mark is a critical milestone for businesses, and many struggle to push through it. In this episode, Dan talks to Greg Crabtree, author of Simple Numbers, Straight Talk, Big Profits! about how founders can push through the death zone (otherwise known as the messy middle) and grow their profit far beyond that $3M mark. Some of the common mistakes made by founders include not understanding profit truth, not investing in finance and accounting, and not effectively managing labor efficiency. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Chapters (00:00:39) Introduction and the Death Zone (00:05:26) The Impact of Paying a Market-Based Wage (00:06:53) Behavioral Economics and Profit Truth (00:10:34) The Definition of a Fully Capitalized Business (00:12:39) Transitioning through the Death Zone (00:13:16) The Three Steps to Business Success (00:15:04) Remaining Profitable in the Death Zone (00:15:50) Different Capital Profiles and Cashflow (00:16:53) The Emotional Challenge of Spending in the Death Zone (00:19:52) The Executional Problem of Growth (00:20:27) Getting Through the Black Hole (00:21:51) The $3 Million Mark (00:23:15) The Worth of Going Through the Zone (00:26:22) Managing a Marketing Agency Past $5 Million (00:31:16) Common Mistakes Made by Founders (00:33:25) Understanding Profit Truth (00:40:23) Investing in Finance and Accounting Links: - Apply to win a free ticket to DC Mexico! (https://forms.gle/WwhhV1Qax4axKuj67) - Simple Numbers, Straight Talk. Big Profits! (https://www.amazon.com/Simple-Numbers-Straight-Talk-Profits/dp/1608320561/ref=sr_1_1_sspa?dchild=1&keywords=simple+numbers&qid=1629149662&sr=8-1-spons&psc=1&spLa=ZW5jcnlwdGVkUXVhbGlmaWVyPUEyVlo4RVBLT0FMUFhTJmVuY3J5cHRlZElkPUEwMDkwMjA5MTJKMTgxTFhRUVlETCZlbmNyeXB0ZWRBZElkPUEwNzk1ODE0MTRWWldFWFhTNlBDUiZ3aWRnZXROYW1lPXNwX2F0ZiZhY3Rpb249Y2xpY2tSZWRpcmVjdCZkb05vdExvZ0NsaWNrPXRydWU=) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Mike Michalowicz Additional episodes you might enjoy: How Transparent Should You Be? Thoughts on Queen Bee Roles & a Ticket Giveaway (https://tropicalmba.com/episodes/transparent-queen-bee-role) A Podcast About Shiny Object Syndrome (https://tropicalmba.com/episodes/shiny-object-syndrome) Spotting Taboo Business Ideas Through the Overton Window (https://tropicalmba.com/episodes/building-business-ideas)

This week Dan & Ian share a few thought experiments you can do to improve your business and reach your next breakthrough. They cover the value of a writing-first culture, the Queen Bee Role & how transparent should you be with your team? Plus, a ticket giveaway to one qualified founder. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes (00:00:41) Intro (00:01:33) Business-changing events for founders (00:10:54) Writing is more important than you think (00:14:57) Writing culture vs meeting culture (00:20:49) The Queen Bee Role exercise (00:32:37) Thoughts about sharing revenue with team members Links: Apply to win a free ticket to DC Mexico! (https://forms.gle/WwhhV1Qax4axKuj67) Clockwork by Mike Michalowicz (https://www.amazon.com/Clockwork-Revised-Expanded-Design-Business/dp/059353817X/ref=asc_df_059353817X/?tag=hyprod-20&linkCode=df0&hvadid=564832755269&hvpos=&hvnetw=g&hvrand=14688969837843805374&hvpone=&hvptwo=&hvqmt=&hvdev=c&hvdvcmdl=&hvlocint=&hvlocphy=9007527&hvtargid=pla-1458241186746&psc=1&mcid=fac3caaaf3b230ca867fab0bb153b2c4) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Mike Michalowicz Additional episodes you might enjoy: The Anti-Agency Agency + High ROI Customer Acquisition (https://tropicalmba.com/episodes/anti-agency-high-roi) A Podcast About Shiny Object Syndrome (https://tropicalmba.com/episodes/shiny-object-syndrome) Spotting Taboo Business Ideas Through the Overton Window (https://tropicalmba.com/episodes/building-business-ideas)

Going deeper on shiny object syndrome, Dan & Ian open the mailbag to read responses to last week’s episode. A listener shares his success story with shiny object syndrome, revealing how he pursues his entrepreneurial impulses without growing crazy. The listener emphasizes the value of muscle memory when it comes to going from zero to one successfully. Dan & Ian will also discuss how to use societal and scene shifts to gain traction on an idea and even build a successful business out of an idea that might seem a little stupid (to everyone else) at the time. Plus, we’re looking for our next TMBA team member! If you love reading and writing about business topics and think working alongside Dan & Ian might seem like fun (or a little stupid!), let's talk. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes (00:00:54) Intro (00:01:13) If you love reading and writing about business, come work with us at the TMBA. (00:09:17) The two most popular roles that bootstrapped companies are hiring for right now and how much they're paying. (00:14:55) How founders get derailed by the Gell-Mann Amnesia Effect (00:19:50) Why even your heroes’ businesses are shit shows (00:20:33) How one listener channels his shiny object syndrome to grow his million-dollar business (00:26:27) What founders often regret about selling their business (00:30:30) Identifying societal disruptions can be a way for bootstrappers to be disruptive and successful (00:30:42) What Mark Manson, Patt Flynn, and Muhammad Ali have in common (00:39:54) Having a strong perspective could be what you’re missing Links: Sign up for a DC Black Q&A virtual meeting (open to all) (https://docs.google.com/forms/d/e/1FAIpQLSeiQICoIOs5q_Ut6__qzlSN2dwxEDHrN_AfHufjP9zr2Czkiw/viewform) Join us in Playa del Carmen, Mexico this May (https://dynamitecircle.com/event-collection/dcmexico-2024) The Anti-Agency Agency + High ROI Customer Acquisition (https://tropicalmba.com/episodes/anti-agency-high-roi) Working Backwards: Insights, Stories, and Secrets from Inside Amazon (https://www.amazon.com/Working-Backwards-Insights-Stories-Secrets/dp/B088MFRK1H/ref=sr_1_1?crid=1MXQBAQIK8D5G&keywords=working+backwards&qid=1707870869&s=books&sprefix=working+backwards%2Cstripbooks%2C105&sr=1-1) The score takes care of itself (Bill Walsh) (https://www.amazon.com/Score-Takes-Care-Itself-Philosophy/dp/1591843472) You can have two Big Things, but not three (https://longform.asmartbear.com/two-big-things/) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Mike Michalowicz Additional episodes you might enjoy: Business Basics: Revenue Durability, “Small” Goals, & High-Leverage Meetings (https://tropicalmba.com/episodes/revenue-durability-meetings) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

Dan & Ian delve into the complexities of combating shiny object syndrome, a challenge that plagues all entrepreneurs at one time or another (or all the time). They’ll talk about six strategies for tackling “the syndrome” and how to harness your skill of going zero-to-one to grow your business to the next level. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes: (00:00:33) Intro (00:03:05) How to connect with other founders by the beach (come to DC Mexico in May) (00:11:08) DC Black is now accepting new members year-round (00:17:54) Can shiny object syndrome be cured? Or am I doomed? (00:20:31) Why entrepreneurs are great at the 0 to 1, and how to apply that skill set towards the next phase of your goals (00:26:27) Six approaches to solving and harnessing your shiny object syndrome Links: Podcast producer job post (https://dynamitejobs.com/company/tropicalmba/remote-job/podcast-producer) Sign up for a DC Black Q&A virtual meeting (open to all) (https://docs.google.com/forms/d/e/1FAIpQLSeiQICoIOs5q_Ut6__qzlSN2dwxEDHrN_AfHufjP9zr2Czkiw/viewform) Join us in Playa del Carmen, Mexico this May (https://dynamitecircle.com/event-collection/dcmexico-2024) The Anti-Agency Agency + High ROI Customer Acquisition (https://tropicalmba.com/episodes/anti-agency-high-roi) Working Backwards: Insights, Stories, and Secrets from Inside Amazon (https://www.amazon.com/Working-Backwards-Insights-Stories-Secrets/dp/B088MFRK1H/ref=sr_1_1?crid=1MXQBAQIK8D5G&keywords=working+backwards&qid=1707870869&s=books&sprefix=working+backwards%2Cstripbooks%2C105&sr=1-1) The score takes care of itself (Bill Walsh) (https://www.amazon.com/Score-Takes-Care-Itself-Philosophy/dp/1591843472) You can have two Big Things, but not three (https://longform.asmartbear.com/two-big-things/) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Mike Michalowicz Additional episodes you might enjoy: Business Basics: Revenue Durability, “Small” Goals, & High-Leverage Meetings (https://tropicalmba.com/episodes/revenue-durability-meetings) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

In this episode Dan uncovers The Ultimate TMBA Business: a productized service business built on a skill set. Tom Kent started his business based on a very specific skill set of his: he was good at getting jobs. Now Tom is the founder and CEO of Career Nerds, a 7-figure productized service that he’s doubling every year because of his precise lead generation strategies and very clear goals. In this episode, Tom gives us a roadmap for turning a skill into a powerful productized service business. Plus, how he avoids the distraction of other target markets and opportunities and stays focused on his goal. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes (00:00:55) Intro (04:39:02) How to turn a skill into a business (06:16:09) Personal branding and networking strategies on LinkedIn (15:24:08) Scaling LinkedIn lead generation with a focus on targeting and outsourcing (19:12:00) Sales process and lead generation for high-dollar products (24:19:04) Sales strategies and conversion rates (30:27:09) Building a sales team and identifying a niche market (44:09:05) Influential books, networking, and travel Links: Career Nerds (https://careernerds.com/) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Mike Michalowicz Additional episodes you might enjoy: Business Basics: Revenue Durability, “Small” Goals, & High-Leverage Meetings (https://tropicalmba.com/episodes/revenue-durability-meetings) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

Vince Nguyen joins Dan to share how he resurrected his agency from semi-retirement and in the first month resumed making 5+ figures per client. He runs his agency solo and shares some of his biggest hacks for success. Vince essentially delivers a masterclass in running a successful solo-agency as well as how to improve Facebook Ads for your business (hint: it’s pretty simple!). But first, Dan & Ian have some fun catching up about some big company news and how to operate on a profit-first system from day one and why that’s actually critical for scale. They also talk about two trending ways for finding and connecting with customers that are leading to more sales, that you can implement as early as today. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes (00:00:45) Intro (00:03:16) Profit first and financial modeling for businesses (00:07:53) Scaling your business with financial rigor (00:14:05) Hiring a full-time producer for the Tropical MBA podcast (00:15:33) The new DC Black coaches (00:19:10) Masterminds, business growth, and clarity of goals (00:25:46) Sold out an event in under an hour using WhatsApp (00:27:04) Why aren’t more businesses talking to their clients on WhatsApp? (00:32:32) Outsourcing SDRs in LatAm is what SEO was 10 years ago (00:49:04) Why more isn’t better when it comes to your agency’s skillset (01:02:58) How to get premium clients for your agency (01:20:55) Advice for running profitable Facebook Ads from an expert Links: Profit First (https://www.amazon.com/Profit-First-Transform-Cash-Eating-Money-Making/dp/B0C9NPP4ZQ/ref=sr_1_1?crid=2WPFNGE0FG2LI&keywords=profit+first&qid=1706649874&sprefix=profit+firs%2Caps%2C112&sr=8-1) Simple Numbers, Straight Talk, Big Profits! (https://www.amazon.com/Simple-Numbers-Straight-Talk-Profits/dp/1608320561/ref=sr_1_1_sspa?dchild=1&keywords=simple+numbers&qid=1629149662&sr=8-1-spons&psc=1&spLa=ZW5jcnlwdGVkUXVhbGlmaWVyPUEyVlo4RVBLT0FMUFhTJmVuY3J5cHRlZElkPUEwMDkwMjA5MTJKMTgxTFhRUVlETCZlbmNyeXB0ZWRBZElkPUEwNzk1ODE0MTRWWldFWFhTNlBDUiZ3aWRnZXROYW1lPXNwX2F0ZiZhY3Rpb249Y2xpY2tSZWRpcmVjdCZkb05vdExvZ0NsaWNrPXRydWU=) Hire an SDR in LatAm (https://remotefirstrecruiting.com/hire-sdr-in-latin-america) Growth Ninja (https://www.growthninja.com/) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Dana Lindahl, Anthony Fasano, Adam Palmeter, Carrie & Dave McKeegan, Mike Michalowicz, Vince Nguyen Additional episodes you might enjoy: Business Basics: Revenue Durability, “Small” Goals, & High-Leverage Meetings (https://tropicalmba.com/episodes/revenue-durability-meetings) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

Dan interviews business author and entrepreneur Mike Michalowicz, delving into the transformative concepts from Mike's books — "Profit First," "The Pumpkin Plan," Clockwork", and more. They explore the power of prioritizing profit and why most small businesses are often “crushed” by the owner. Mike discusses his concept of the Queen Bee Role and advocates for specialization to scale effectively. Stick around as Mike reveals the three horsemen that keep businesses right on the brink of success, often never finding breakthrough. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes (00:00:49) Intro (00:07:10) Take profit first and hide it from the business to force it to run within expenses (00:13:35) Profit First case study: What happened to the Savannah Bananas (00:17:44) The most important function in a business is the one that supports the brand promise (00:23:53) Owners try to be the “superhero” instead of stepping back and building structure (00:29:33) A minority of customers represent the majority of profitability (00:30:20) Focus on becoming a specialist in your market (00:35:50) Each stage of growth requres different levels of management and leadership (00:38:03) Over-selling can lead to organizational death (00:41:50) Three common causes of businesses not achieving success Links: More about Mike (https://mikemichalowicz.com/) Profit First (https://www.amazon.com/Profit-First-Transform-Cash-Eating-Money-Making/dp/B0C9NPP4ZQ/ref=sr_1_1?crid=1BYR120EW2QLF&keywords=profit+first&qid=1706071513&sprefix=profit+%2Caps%2C472&sr=8-1) The Pumpkin Plan (https://www.amazon.com/Pumpkin-Plan-Strategy-Remarkable-Business/dp/B082FQGMWZ/ref=sr_1_8?crid=2RDBYOP0537OA&keywords=fix+this+next+book&qid=1706071549&s=audible&sprefix=fix+this+next+%2Caudible%2C186&sr=1-8) Clockwork (https://www.amazon.com/Clockwork-Revised-Expanded-Design-Business/dp/B0B2B7WLXV/ref=sr_1_1?crid=2VNLTUEXR628Z&keywords=clockwork&qid=1706071594&s=audible&sprefix=clockwork%2Caudible%2C150&sr=1-1) Fix This Next (https://www.amazon.com/Fix-This-Next-Mike-Michalowicz-audiobook/dp/B082LLS1L9/ref=sr_1_1?crid=1W2UD3LBA2VTD&keywords=fix+this+next&qid=1706071649&s=audible&sprefix=fix+this+next%2Caudible%2C5262&sr=1-1) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Dana Lindahl, Anthony Fasano, Adam Palmeter, Carrie & Dave McKeegan, Mike Michalowicz Additional episodes you might enjoy: Business Basics: Revenue Durability, “Small” Goals, & High-Leverage Meetings (https://tropicalmba.com/episodes/revenue-durability-meetings) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

“Noah’s new book Million Dollar Weekend has so many nuggets for aspiring and mature entrepreneurs alike. Specifically, if you’re launching a new product, starting a new business, or you want to keep things simple for your team, you’ll find tangible guidance in this book.” - Dan In this episode, TMBA host Dan Andrews sits down with Noah Kagan to talk about operating an 8-figure company at scale, something Noah does every day as the CEO of AppSumo. Noah dives into specific processes around leadership, managing team members, setting achievable goals, making room for creativity, personal growth habits, and a whole lot more. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes (00:00:33) Intro (00:02:47) Setting goals and managing expectations for a successful business. (00:07:43) Setting and achieving business goals with room for experimentation. (00:08:51) Tracking progress on goals and regularly reviewing progress to avoid anxiety and stay motivated (00:13:46) The importance of personal inputs relative to the company's top priorities, with each leader in the company having their own top three priorities to focus on. (00:15:02) Everybody can see everybody’s scorecards (00:17:34) Leadership means setting clear priorities and empowering others to choose their own destinations. (00:20:09) Motivating employees through optimism, rather than demotivating them with criticism. (00:22:03) The importance of consistency in personal and professional settings (00:25:15) Monthly leadership survey to gather feedback and improve as a leader, with a focus on providing solutions rather than complaining. (00:28:31) Core operational documents and processes needed to run a business (00:30:11) Find your own “AppSumo” way Links: Million Dollar Weekend (https://www.amazon.com/Million-Dollar-Weekend-Surprisingly-7-Figure/dp/B0C6YF9YJX/ref=sr_1_1?crid=SX1TWA2A1MA1&keywords=million+dollar+weekend+noah+kagan&qid=1705448385&sprefix=million+dollar%2Caps%2C203&sr=8-1) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber Additional episodes you might enjoy: Business Basics: Revenue Durability, “Small” Goals, & High-Leverage Meetings (https://tropicalmba.com/episodes/revenue-durability-meetings) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

Today Dan & Ian challenge you to consider: How durable is your revenue? They’ll explore the concepts of profit now vs profit later, investing profits to build durability, network effects, marginal profitability calculation, and more. But first, in some lighter conversation, Dan argues that setting smaller goals and reconfiguring your team meetings can lead to higher productivity and higher yield in your business. Plus, the 6 principles to a high-leverage meeting learned from running millionaire masterminds. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes - (00:00:43) Intro - (00:02:15) A strategy for higher productivity and higher yield in 2024 - (00:03:29) Focus on three things: Who, what, and when. - (00:04:15) Make your meetings so good you could sell them - (00:10:08) 6 principles we learned from running millionaire masterminds - (00:11:34) Common blind spots for founders - (00:13:34) “I don’t know how to set goals” - (00:15:26) Specific, measurable, attainable, relevant, timely - (00:24:59) Are boring businesses as durable as they seem? - (00:25:54) Investing profits to build durability & adapt fast - (00:29:45) Profit now vs profit later Links: - Jean-Baptiste Say (https://en.wikipedia.org/wiki/Jean-Baptiste_Say) - The Bezos 6-page meeting (https://www.youtube.com/watch?v=e47wAgIhZ7o) - Bill Gurly’s article (https://abovethecrowd.com/2011/05/24/all-revenue-is-not-created-equal-the-keys-to-the-10x-revenue-club/) - 7 Powers (https://www.amazon.com/7-Powers-Foundations-Business-Strategy/dp/0998116319) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Dana Lindahl, Anthony Fasano, Adam Palmeter, Carrie & Dave McKeegan. Additional episodes you might enjoy: How to Have Your Best Year $$$Wise Ever (https://tropicalmba.com/episodes/have-your-best-year) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)

This week, Dan reveals a strategic approach to decision-making intervals for achieving top-line revenue and personal income goals. Join him as he explores how this decision-making cadence serves as a compass in navigating the challenging 'messy middle' of entrepreneurship. What’s the messy middle? You’ve found some type of product-market fit, customers are buying, and you've set revenue and profit goals. Yet, you lack an exit strategy, millions in your bank account, and an executive team running your company. In this episode, Dan invites you into his end-of-year meeting with co-founder Ian Schoen, unveiling the inner workings of their quarterly reviews. Discover the three key questions they always address and learn how this framework can guide you out of the messy middle, ensuring this is your best year money-wise ever. Dan & Ian’s Stuff: The Newsletter (https://tropicalmba.com/subscribe) “The DC” (https://dynamitecircle.com/join-dc/) DC Black (https://dynamitecircle.com/dc-black) Global events (https://dynamitecircle.com/events) Hire remote talent (https://remotefirstrecruiting.com/) Find a remote job (https://dynamitejobs.com/) Listen on YouTube (https://www.youtube.com/@OfficialTropicalMBA) Follow on Instagram (https://www.instagram.com/tropicalmba/) @TropicalMBA (https://twitter.com/TropicalMBA) @AnythingIan (https://twitter.com/AnythingIan) Show Notes - (00:01:16) 14 years of the Tropical MBA - (00:01:38) Setting and achieving business goals in the messy middle - (00:05:01) The framework for 90-day quarterly reviews - (00:07:30) Does your business make financial sense? - (00:11:36) Do you have the right people in the right chairs? - (00:21:55) Are you performing well in the business? - (00:24:08) How to focus on the one thing you’re best at Links: - Public Quarterly Review Framework (https://docs.google.com/document/d/18nV-AaMBqn7o88WnYVkjPk8Xvr_Ouq8mxNyppNGQtDM/edit?usp=sharing) Past guests on TMBA include Cal Newport, David Heinemeier Hannson, Seth Godin, Ricardo Semler, Noah Kagan, Rob Walling, Jay Clouse, Einar Vollset, Sam Dogan, Gino Wickam, James Clear, Jodie Cook, Mark Webster, Steph Smith, Taylor Pearson, Tommy Griffith, Justin Tan, Matt Gartland, Travis Jamison, Ayman Al-Abdullah, Tynan, Lucy Bella Simkins, Brian Balfour, Nick Huber, Dana Lindahl, Anthony Fasano, Adam Palmeter, Carrie & Dave McKeegan. Additional episodes you might enjoy: An 8-figure exit and revisiting the 1,000-day principle (https://tropicalmba.com/episodes/1000-day-principle) Non-Obvious Ways to Grow Your Business + Favorite Moments of 2023 (https://tropicalmba.com/episodes/favorite-moments-of-2023) End-of-Year Brainstorming, Goal-Setting, and a Mexico Meltdown (https://tropicalmba.com/episodes/end-of-year-brainstorming)