10 KEYS to a TERRIBLE Business Partnership [GUARANTEED!]

How I got here…

21: Graduated Vanderbilt in 3 years Magna Cum Laude, and took a fancy consulting job.
23 yrs old: Left my fancy consulting job to start a business (a gym).
24 yrs old: Opened 5 gym locations.
26 yrs old: Closed down 6th gym. Lost everything.
26 yrs old: Got back to launching gyms (launched 33). Then, lost everything for a 2nd time.
26 yrs old: In desperation, started licensing model as a hail mary. It worked.
27 yrs old: "Gym Launch" does $3M profit the next 6 months. Then $17M profit next 12 months.
28 yrs old: Started Prestige Labs. $20M the first year.
29 yrs old: Launched ALAN, a software company for agencies to work leads for customers. Scaled to $1.7mmo within 6 months.
31 yrs old: Sold 75% of UseAlan to a strategic buyer in an all stock deal.
31 yrs old: Sold 66% of Gym Launch & Prestige Labs at $46.2M valuation in all-cash deal to American Pacific Group. (you can google it)
32 yrs old: Started making free content showing how we grow companies to make real business education accessible to everyone (and) to attract business owners to invest or scale their businesses.

Today: Our portfolio now does $200M/yr between 10 companies. The largest doing $100M/yr the smallest doing $5M per year. Our ownership varies between 20% and 100% ownership of the companies. Many of them we invested in early and helped grow (which is how we make our money - not youtube videos).

To all the gladiators in the arena, we’re all in the middle of writing our own stories. The worse the monsters, the more epic the story.

You either get an epic outcome or an epic story. Both mean you win.

Keep crushing. May your desires be greater than your obstacles.

Never quit,

Alex

*FULL DISCLOSURE*
I make content to make money - just - on a longer time horizon than most. I want to build trust with business owners so we can find the best ones and help them scale. And if they’re awesome, write them a check and go all the way as partners.

[corderomartin]

As someone who’s been through 2 failed business partnerships I can safely say I wish I had this video years ago🤦🏽

[BryceMatheson]

As someone who just got out of a terrible business partnership, this things ring SO true. I wish I had seen this video previously (but I doubt it still would've hit home as hard as being through the tough experience). The tik tok video you put out with the example of the Guitar Shop ("You like guitars, I like guitars, let's go into business!") was SO vivid for me, because THAT'S WHAT I DID. "You like this thing, I like this thing. Let's do it together." Wrong, wrong, wrong. Thanks for everything, Alex!

[javiasilis]

I've made many of the mistakes mentioned in this video throughout 5 past businesses. Thank you very much for outlining these.

[SimonGillmeister]

I can relate very strong to all of the points and I can recommend everyone to take those advices very serious.
A bad business Partnership can cost you big amounts of money, time and energy. I experienced it by myself.
So if you realize you are in a bad one, end it as fast as possible.
You will be suprised how fast thing can get better if those problems are removed. It's very hard but necessary.

[leoncastillosm]

A good business plan starts with choosing the right partner. But otherwise... better to be alone than in bad company.

[ryankorsz]

Underrated video. This is outside of the box thinking. Makes sense that it does interest many people.

[nathanyeo]

This inversion thinking process is brilliant. You explain it so simply.

[MarketingHarry]

Great framework! Based on my experience the most important thing for a successful partnership is good communication! Thank you for sharing such useful content!

[MarkDhamma]

Hey Alex! We met a couple of weeks back in Vegas. I love these inverted thinking videos! Please do more!

[eugene]

I love you Alex, thank you for all the great content you put out. It’s definitely helped me out, I’ve learned an absurd amount from you. 💜

[Ionic]

brilliant man, instant sub! This is exactly what I needed to hear for my current handshake business partnership! It's in the shitter right now but my frustrations are based in almost every point you've made in this video! thank you!

[incitenexus]

This is actually a phenomenal video. Perfect timing. Thank you Alex Hormozi

[nealgarner]

I find it's better to avoid partnerships all together. At least that's what I thought until watching this video. Interesting approach sir.

[LearntoMakeHonestMoneyOnline]

I'm a simple man.

When Alex Hormoni teaches about business, I listen! 👍

[hannahstenstrom]

I'm in a partnership & it works well for over 2 years now, but we have a lot of the things you said. One of us had money, we have opposite ways of approaching, but willingness to work together. We have a clear contract too. Clear expectations

[cato.]

Fantastic break down and wonderful examples.
Would you be able to go further down the rabbit hole about various contracts and how to best protect yourself before you sign?

Thank you again for your thoughts, time and knowledge, keep on crushing it.

[decodedreality]

Avoid partnerships at all costs. If you can't do it on your own, then just hire people but never give equity.

[GodWinsInTheEnd]

Your most entertaining video to date! (They're all amazing - but this one was particularly hilarious and absurd-in-a-good-way.)

[CheapSoda]

This is absolute gold and I'm currently stuck in a shit partnership with a person who contribues nothing (our first hire does the stuff he can do) and we have no written agreements and I've basically built the entire thing from scratch currently holding alot of resentment and he is totally oblivious. This was funny to watch.

[meego_marron]

Brother, you have a damn fast voice... great video