"Why Start Over When My Current Business Works?" — Transcript

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1. 0:00I am a dentist. Our dental practice does
2. 0:03about $20 million
3. 0:04a year.
4. 0:06And I want to be you. I want to
5. 0:09>> want to be me.
6. 0:10>> [laughter]
7. 0:10>> The the
8. 0:12the the Jim Launch version, but in
9. 0:14dentistry.
10. 0:15So, what we want to be able to do
11. 0:18>> Ed knows that joke. Sorry, keep going.
12. 0:19>> Yeah. Okay, so what we want to be able
13. 0:21to do is invest in other dental
14. 0:24practices and uh
15. 0:26help them grow and flip them and get in,
16. 0:28get out. So, the way that we thought
17. 0:31that we would have warm
18. 0:33uh leads is through social media.
19. 0:36>> Mhm.
20. 0:36>> So, what is stopping me is I'm trying to
21. 0:39build a team
22. 0:41that can pretty much take our content
23. 0:45and put it in front of the right dentist
24. 0:48that
25. 0:49>> So, how many how many offices do you
26. 0:51have right now?
27. 0:51>> Three.
28. 0:52>> So, you have three offices, you're doing
29. 0:5320. Are you doing cosmetic and
30. 0:55>> It's pretty much general dentistry, but
31. 0:57yeah, it's got some cosmetic and it's
32. 0:58got, you know, some of the bigger cases,
33. 1:00but
34. 1:01>> So, you've got those three, six or seven
35. 1:03million each. Cool. You want to do the
36. 1:05Jim Launch of dentistry.
37. 1:07What goal are you optimizing for?
38. 1:10>> I would say the the goal overall would
39. 1:13be to go from 20 million to say 35
40. 1:16million, although it'll be different
41. 1:18businesses. So, you know, if we're able
42. 1:21to you know, take and start, you know,
43. 1:24cuz I don't really want to like hang on
44. 1:25to these practices. I just want to grow
45. 1:27and then get out.
46. 1:28>> You mean and sell them?
47. 1:29>> Yeah. Yeah.
48. 1:30>> Okay.
49. 1:31>> Yeah.
50. 1:31>> Why don't you
51. 1:31>> want to invest in them. I don't want to
52. 1:33actually purchase the whole thing.
53. 1:35>> Why?
54. 1:36>> speed. What we're thinking is because of
55. 1:39licensing and everything between the
56. 1:40states and stuff.
57. 1:41>> Yeah.
58. 1:42>> It kind of limits us to local if we're
59. 1:44going to buy the whole thing versus if
60. 1:46we just get in there and help the
61. 1:47dentist grow their practice. I just
62. 1:49don't want to be paid as like a
63. 1:50consultant. I'd rather be invested in
64. 1:53the practice and then
65. 1:55you can either sell it back to them if
66. 1:57they're not looking to retire or
67. 1:59there's that aging population of
68. 2:00dentists that have kind of ridden their
69. 2:02practices down into retirement and they
70. 2:04don't really have anybody to sell it to.
71. 2:06Their Their practices aren't profitable
72. 2:07enough to support a younger generation
73. 2:10and they're not really
74. 2:12you know, uh corporate dentistry is not
75. 2:14interested in them because they're not
76. 2:15automated. So So
77. 2:17what stops you from just like
78. 2:20opening
79. 2:21two more practices?
80. 2:23Nothing stops you from opening two more
81. 2:25practices.
82. 2:25>> like that would be so much better.
83. 2:28Like this is an entirely new business.
84. 2:31I I think the model that what that
85. 2:33you're describing will not be fun.
86. 2:35I'm telling you it will not be fun.
87. 2:37Um because you will want control
88. 2:40and they will not execute and you will
89. 2:42hate life.
90. 2:43And then you will pay money in and then
91. 2:45you'll be like keep the money, please go
92. 2:46away.
93. 2:47Um I'm just telling you what's going to
94. 2:49happen. Like it like there's a reason
95. 2:50that everyone who gets into it buys
96. 2:53majority control and it's because they
97. 2:55suck it If they were you, they would be
98. 2:57you and they're not you. So
99. 2:59they're not going to magically become
100. 3:00you.
101. 3:00>> Right.
102. 3:01>> So you already have a team like you were
103. 3:03actually at What's interesting is like
104. 3:05you're right at the point where your
105. 3:07business is about to get fun
106. 3:10and then you're you're doing something
107. 3:11different because right now you're
108. 3:12finally like above, right? With three
109. 3:14you've got like team in place and so
110. 3:16it's like to me this is like when it got
111. 3:17easiest when you need to go hard rather
112. 3:19than when you need to do different. So
113. 3:21it's like why like why not just say like
114. 3:22okay, let's go to
115. 3:2435 million to use your numbers.
116. 3:27We'll open up two locations this year
117. 3:28and we'll be there.
118. 3:30>> Okay.
119. 3:31>> Cuz like that will be a significant more
120. 3:32valuable enterprise than selling
121. 3:34one-offs and they'll definitely not
122. 3:35going to buy it back from you for more
123. 3:37money than you bought in for cuz they'll
124. 3:38hate you.
125. 3:42>> Wait.
126. 3:44>> [laughter]
127. 3:45>> What we were thinking was as
128. 3:47>> help you grow it and then I'm going to
129. 3:48get blood money from you back
130. 3:50>> cuz you couldn't afford it. You couldn't
131. 3:51afford to pay me back and I've made you
132. 3:53this money, and now you just get to give
133. 3:54me all It's like it's
134. 3:56It works in here. I don't think it'll
135. 3:57work out here.
136. 3:58>> Out there.
137. 3:59>> Yeah.
138. 4:00>> What about if we targeted the
139. 4:03dentists that are looking to retire
140. 4:04within a year or two, and tried to help
141. 4:07them basically cuz we we could probably
142. 4:10take them and just put them on the side.
143. 4:11>> Why don't you just like
144. 4:13buy their practices for nothing?
145. 4:15>> Well, that that that's an option, too.
146. 4:17>> I've Yeah, I know
147. 4:17>> It just It It makes it a little bit more
148. 4:20local just because, you know, we
149. 4:23because of licensing, but
150. 4:26>> What about the licensing thing?
151. 4:27>> So, you when you're a dentist, you're
152. 4:29licensed to practice in states, and so,
153. 4:32you know, if if you're going to go and
154. 4:34buy practices, then you got to go
155. 4:35through the whole licensing thing, which
156. 4:37is
157. 4:37>> I do, right.
158. 4:38>> Couldn't you get a dentist that has a
159. 4:39license in that state?
160. 4:40>> Could, but then you're a little bit like
161. 4:42they kind of got you by the balls.
162. 4:47>> [laughter]
163. 4:48>> I mean, how many dentists do you have
164. 4:50per per location?
165. 4:52>> Uh three or four.
166. 4:53>> Okay. So, I mean, it's hard for four
167. 4:55people to have you by the balls. It'd be
168. 4:57a lot of hands.
169. 4:58>> Yeah, yeah. A smaller practice would
170. 5:00only have one one dentist, yeah. Big
171. 5:02balls.
172. 5:03>> [laughter]
173. 5:03>> Yeah. But, you know what I'm saying?
174. 5:04Like it's it's it's it's easy to have a
175. 5:06mutiny when there's one, hard when
176. 5:07there's four.
177. 5:08>> Right. Yeah.
178. 5:09>> So, I think I think I mean, if I were
179. 5:11you,
180. 5:12>> Yeah.
181. 5:12>> one is I would probably continue to
182. 5:14expand locally. That would be my first
183. 5:16thing.
184. 5:17And there's probably an old dentist in
185. 5:18your area without any needing to do the
186. 5:20other expansion stuff. And a very clean
187. 5:22exit is like I own this whole market.
188. 5:24That's a great exit.
189. 5:25Um alternatively, you can just go to the
190. 5:28adjacent market or whatever, and and
191. 5:29build up from there. That'll test your
192. 5:31chops in terms of your ability to
193. 5:33execute. I don't think in any way it'll
194. 5:35be harder than what you're you were
195. 5:36talking about before.
196. 5:38>> Yeah.
197. 5:38>> You have a high likelihood of success
198. 5:39with this, and you'll get way better
199. 5:40returns.
200. 5:41>> Got you.
201. 5:42>> Yeah.
202. 5:43>> Cool.
203. 5:43>> I can't give you every single SOP,
204. 5:44that'd be ridiculous. It'd be like this
205. 5:46long. But, these are the top five SOPs
206. 5:47that we have used to scale that Leila
207. 5:49actually put [music] together for us cuz
208. 5:51she's really been the one who operates
209. 5:52the business. And so, yeah, I don't know
210. 5:54what's inside of it. But, um it's good.
211. 5:56So, you should check it out cuz Leila
212. 5:57made it and she makes good stuff.
213. 5:58[music] It's free.