Mon, 1 February 2016
Hey hey! Welcome to episode 172 of Life on Fire. Today is an extremely special episode with none other than Daymond John.
Daymond was the guest speaker at our recent Ignite 2016 event and he graciously attended a private lunch for our Firestarter community. He spent 30 minutes answering questions from the group, and that’s what today’s episode is about.
The questions ran the gamut from how to spend $1k if you’re starting your business to the toughest challenges he faced and the most important metrics to focus on when starting your business. He also gives us insights on his upcoming book, Power of Broke.
In this episode you’ll hear:
If you don’t know Daymond you surely know his brand: FUBU. He grew that business into a six billion dollar business (yes billion with a B). Today he’s a best-selling author, speaker, and co-star of the world famous TV show Shark Tank. He’s also been named Global Ambassador of Entrepreneurship by the White House.
But first and foremost he is an entrepreneur; no matter how successful he’s become, or how well known or rich he has stayed hungry. And that’s one of the points he touches on today: why he’s kept that hunger and why it’s so critical to your ongoing success.
Today he also touches on the importance of strategic partnerships. He says they are far more valuable than cash, so if you only have a thousand dollars to invest in your business start with strategic partnerships. Who can you team up with to create a winning relationship on both sides? What can you offer them and what can they give you?
Daymond also talks about his greatest challenges, two challenges we all face: time and health. None of us can create more time, and we can’t ever get it back once it is spent. If we don’t have time our health often suffers as a result.
To better leverage your time there are certain metrics you should focus on as a business owner. There are only three ways to run a business, these three should be your focus:
1. Acquire new customers.
2. Upsell existing customers.
3. Have your customers buy more frequently.
That’s it, there is no other way of operating your business. Daymond learned these three ways form Jay Abraham, a mentor of mine.
Another question he was asked was when to get an investor: when you run out of cash or when you want to go to the next level? Daymond’s answer is when you want to go to the next level.
He continues: if you are running low on cash you need to do everything else before bringing on an investor solely for that reason. Dig in your couch! Stop going out to dinner twice a month, sell some of your TVs. Use your credit cards, ask the bank if you can get lower financing than your credit cards first but use those if you need to. Then go to friends and family and strategic partnerships, before resorting to an investor.
Also on this episode he responds to questions like where to start first, how to build your team and outsource in a way that grows your business, as well as his predictions for the next 10 years. You’ll hear answers to all of those questions, and a few more - plus why he says retail is absolutely dead! Check it out on this edition of Life on Fire TV.