Young and Profiting with Hala Taha - Leila Hormozi: $100,000,000 Leadership, How to Build High-Performance Teams People Never Want to Leave | E203

Episode Date: January 2, 2023

Leila Hormozi worked for years at jobs where she never received a single raise or promotion. Because of her integrity and dedication, she learned how to exceed expectations. Now, Leila is a master CEO and widely considered a scaling & operations expert. In part 2 of this episode, Leila will break down her management philosophies and tell us how to attract top-tier employees. She will also explain the components of her accountability formula and why she calls herself a “chief accountability officer.” Leila Hormozi is a first-generation Iranian-American entrepreneur, investor, and philanthropist. Leila started her career in fitness, and today, she is widely known as a scaling, operations, and management expert. She had acquired a net worth of $100M by the time she was 28 years old. Today, Leila is the co-founder of the holding company Acquisition.com, alongside her husband Alex Hormozi. Together, they invest their monetary and intellectual capital into other businesses. Acquisition.com is responsible for over 85 million dollars in yearly revenue across various industries. In Part 2 of this episode, Hala and Leila will discuss:  - The qualities of world-class leaders - Creating a top-tier job title to attract the right employees  - Leila’s seamless, speedy hiring process - How to “buy people’s brains” - Spotting competitive greatness - Why we should strive to exceed expectations - Why Leila calls herself the “chief accountability officer” - The components of the Accountability Formula - Leila’s possible new podcast  - And other topics… Leila Hormozi is a first-generation Iranian-American entrepreneur, investor, and philanthropist. She is known for her expertise in scaling businesses through flexible infrastructures and creating management systems that create wonderful places to work, and performance to match. After the turnaround business experience, they packaged his process into a licensing model which scaled to over 4000+ locations in 4 years. Over that same four-year period, she founded and scaled three other companies to $120M+ in cumulative sales across four different industries (software, service, e-commerce, and brick & mortar) without taking on outside capital. After that, she ascended to a board position in each of her companies, allowing her the time to co-found Acquisition.com which acts as the holding company for all her business ventures, which at present, is responsible for over $85,000,000 in yearly revenue across a variety of industries. Resources Mentioned: Part 1 of Leila's Interview: https://podcasts.apple.com/us/podcast/leila-hormozi-from-six-arrests-to-%24100m-net-worth-how/id1368888880?i=1000591301552   Leila’s Website: https://www.acquisition.com/ Leila’s LinkedIn: https://www.linkedin.com/in/leila-hormozi-32a580a5/ Leila’s Twitter: https://twitter.com/LeilaHormozi  Leila’s Instagram: https://www.instagram.com/leilanhormozi/ Leila’s Facebook: https://www.facebook.com/leila.naghshineh More About Young and Profiting Download Transcripts - youngandprofiting.com   Get Sponsorship Deals - youngandprofiting.com/sponsorships Leave a Review - ratethispodcast.com/yap Watch Videos - youtube.com/c/YoungandProfiting Follow Hala Taha LinkedIn - linkedin.com/in/htaha/ Instagram - instagram.com/yapwithhala/ TikTok - tiktok.com/@yapwithhala Twitter - twitter.com/yapwithhala Learn more about YAP Media Agency Services - yapmedia.io/ Join Hala's LinkedIn Masterclass - yapmedia.io/course  Learn more about your ad choices. Visit megaphone.fm/adchoices

This episode of YAP is sponsored in part by Shopify. Shopify simplifies selling online and in-person so you can focus on successfully growing your business. Sign up for a $1 per month trial period at Shopify.com slash profiting. Well, Leila, these people treat me like shit. They don't give me raises. I'm not recognized. I understand that. I worked my fucking ass off for years in jobs that I never got to raise

and I never got a promotion. I did it because that's who I am. How I acted was more important to me for my integrity with myself than it was for the person I was working for. You are defined by the actions you take. And so if you act like a lazy person, you are a lazy person.

Who are you? I show up when nobody else gives a shit. The only way to stand out truly is to exceed expectations. Humans, when expectations match reality, we are neutral. We feel nothing. We feel that was how it's supposed to go. But the moment that somebody does beyond the job description

and exceeds expectations is when the boss will feel excited, feel elated, feel encouraged. What is up, young and profitors? You're listening to YAP, Young and Profiting podcasts where we interview the brightest minds in the world and turn their wisdom into actionable advice that you can use in your daily life. I'm your host, Halla Taha, aka the podcast princess.

Thanks for listening and get ready to listen, learn, and profit. Okay, so we spent a big portion of the interview on self-development. Now I really want to focus on business. So you've got a lot of management philosophies. You are such a rock star in this area. You've led numerous teams. You've found huge amounts of success. And everyone can technically be a manager,

but not everyone is a leader, even if they are in a management role. So first of all, what do you think the qualities are of a world-class leader? Three very important qualities in my opinion. One is industrialistness, your ability to work hard on the right work when the time comes. Second is enthusiasm, which is being able to seek out and pursue hard challenges without losing face, without losing energy. And then the third is competitive greatness. Competitive greatness is the love of a hard challenge when the hard challenge comes.

It's not you run away from it, it's that you run towards it because you understand what it will do for you. Those are the three aspects that when I'm, like I actually use these when I'm hiring, when I'm looking at leadership, I'm like, are they industrious? Are they enthusiastic?

Do they have competitive greatness? Because here's the thing, if you work really hard on the right stuff, but you lack any energy or enthusiasm, it's hard for me to be around you. They're like, oh, he's great, but you know, he's tough. If you're very energetic and enthusiastic, but you never get anything done, you don't really set a good example for other people in the organization. You're not going to be able to move things forward fast enough. And then lastly, competitive greatness is, what are you motivated by? And I think that the best leaders are not motivated by money.

They're motivated by a better version of the world themselves or others that they're constantly trying to pursue because they know it's, it means something to them. And that everyone has a different reason or meaning for that thing, but they all have that thing that they're chasing. And they know that through leadership is how they can get there. And so that's how I would define a good leader. So I found something really interesting when I was studying you, and it was about hiring.

And you said, you can't hire anyone who is a better person than you if you're the boss. And from my understanding, you've essentially turned down working with companies because you believe that top talent wouldn't actually work for the leader. Could you shed some color on that? I'll put it this way. There are situations in which top talent will go work for that person, but how long they stay is what I'm concerned with. Think about this, right?

Like, I have a certain level of character. I would never work for somebody who had worse character than me. And if I did, it would probably be for a very short amount of time and I wouldn't be loyal to that person. And so when we're looking at companies, that is 1,000 percent the biggest issue that I see, which is there are so many young entrepreneurs that have these insane opportunities, these insane companies, and they lack the integrity, maybe they lack the discipline, they lack the trust that I don't think that top true top talent would be easy to

recruit for them. And so I don't want to work with them. What are the signs of that? Like how do you tell like, oh, this person doesn't have integrity or like I'm assuming you meet them just a few times. That's tough one because I think that you might feel this, but it's like you can feel someone's intention when you're having a conversation. So like there's a lot of people that I talk to in business, for example, it's like when I'm at like an event, and I talk to them, I'm like, this motherfucker wants to suck the blood out of my brain. Like they just want all the information.

I talk to somebody else, I'm like, they just want me to like talk about them on social. Like you can feel someone's intention. And there's a lot of people I've gotten on the phone with, not an overwhelmingly amount, but enough that have success, but I can tell that the success is self-fulfilling. It's not for others, it's for themselves. They're not in it for others.

They're not in it for their clients. They're not in it for their team because they don't talk about that. You know, they talk about I, I, I, me, me, me. That doesn't create loyalty. That doesn't create an environment in which top talent wants to work for you. It's being selfishly driven. And one could argue that you are selfishly driven to help other people because it feels good to yourself.

But I would take that over being selfishly driven to have more money, have more status, have more power. And I can feel when I talk to somebody by the language that they're using, what they really want. And a lot of that comes from even asking them, like what's the point of the business? Why does the business exist? And a lot of them will say, well, you know,

I wanted to make some money and then this and, you know, and then it's the point of the business? Why does the business exist? And a lot of them will say, well, you know, I wanted to make some money and then this and, you know, and then it's always about them. It's like, you know, I really like this house. I like this car. I like this, I like this lifestyle. I like the lifestyle, right? Whereas I think the best leaders in the world are not building a company to pursue a lifestyle.

They're building a company to pursue a purpose. And they're building a company to pursue impact. Because that's what I think about. The question I ask myself every day when I wake up is my team supported, do they have clarity? Are my portfolio company supported? Do they have clarity? Those are the two questions that I think of in the morning. I don't ask myself, how does Laila gain more status and influence? I could give a fuck. Like I do this because I want people to know who I am because I hope that my true character shows through and they can see I'm not like an asshole boss. I really want to build a place where people love working

and I want to teach other companies to do the same because I too use Heaven City boss. So I know what it's like to work in an environment where I want to do myself every day, it's up. Yeah. And so that's really how you sense it is the language somebody uses. Are they talking about themselves more

They talking about the why the people the team the clients. Yeah, it's just a little nuance But you can tell when you're in the conversation Yeah, 100% so let's talk about the hiring process and dive deep into that you have a YouTube video called hundred million dollar hiring process And according to your video the first step in the hiring funnel is the application generation. So I know a lot of my listeners are entrepreneurs. A lot of people are struggling with hiring right now, so I thought we could spend a little time on it. So first of all, you say the job title and the application is sort of like a headline. So what are your top tips to attract the right clients with your job title? Yeah. So a lot of people get the job title wrong

because one, they don't know what right looks like, they don't have mentorship, they don't have advisors, and they also don't do research. So what I did when I was first starting out to understand what kind of job type I need is I would put in keywords, just into Google, of like, what's a job for somebody that does, and I would like say the top three things.

I might be kidding you. And then I would look at all the titles that would come up. And then I would Google those titles and read the job descriptions of each one. And then I would find out the one that had the most similar description to the job that I need somebody to do. And so I think that the reason is a lot of people

don't put in the time, the effort, they don't have the experience, but you can easily do that with literally using Google. Yeah. So it's like, it went and you read, you're like, okay, I don't know what this role is called, but you read 17 job descriptions on and then took the top three that you think it could be and compared them on six other websites. You're going to figure out probably the best name for the job.

I think it's just that most people aren't diligent about that because they don't understand why it's important. If you understand why it's important, it's a task worth doing. When you don't understand the importance, it's not a task worth doing it. But the reality is that most of the time when someone can't recruit, the number one thing that I'll change is the job title. I'm like, oh, it's not the right job title. So I'll give an example.

I'm hiring for, I'll say an administrative assistant to help my E18. So I put it out as administrative assistant, and the people I was getting were like, they had like one year of experience. So I was like, shit. Like, I need someone with more experience than that. So then I made it senior administrative assistant. I started getting people with five, six years of experience. Just the time you change in job title.

But if you look at salary.com, payscale.com, what's the difference between an administrative assistant and a senior, there's a difference in pay and an experience. And so it's gonna attract a different type of person. I think for a lot of people out there that are struggling with this, it's the exact same thing as a marketing funnel, as a client acquisition funnel. It's just a talent acquisition funnel. And that's the reason some people don't succeed in businesses.

They don't see the similarities between those two things, or they don't believe. They haven't accumulated the evidence to show them like this really works. I've just had enough at bats and I think that I got lucky in the beginning of believing it was important to try it enough times and see it work. Yeah, and I think that a lot of people don't realize that when there's a top talent person searching, they're searching for the job title that they know about. They're not going to read every single job post and research. You just find you, right?

You need to be able to be searchable for them. 100% they're looking for the name that resonates with who they identify with. Yeah, okay, so second part of the hiring funnel is nurturing. So talk to us about how we can have a frictionless candidate experience and what the indirect and direct experiences are during that process.

Yeah, so there's really two things during the hiring lead nurture process, I would like to call our candidate nurture process, which is indirect communication, which is if I search a company, what am I going to find online? Is it good? Is it bad? Because what candidates do is they go look at your reviews on Google, they go look at your client reviews, they go look at Facebook reviews, they go look at last or all of it, not just employee reviews, lots of customer reviews. You have to understand, like, because that's usually what pops up first.

So that's the first thing I'm asking is, what does it look like when they search your name? That's the indirect part of the funnel. And you can have a lot of say in that in terms of what kind of press you're putting out there, what your website looks like. You can control the narrative. A lot of people are just too lazy to do it.

And so the narrative is controlled by customers, by ex employees, et cetera. But if to do it. And so the narrative is controlled by customers, by ex-employees, et cetera. But if you take control, by controlling the narrative, by putting out content for your company, then you are going to control the narrative and most likely have a better indirect experience for that candidate. The other side is the direct communication,

which is what I see as a huge pattern is people think, I need to have so many tests and so many complicated things to make this candidate go through for this nurture process because I want to make sure I only get the smart ones, the smart people have unlimited opportunity and don't give a fuck about your funnel and don't want to take your 30 point test. That's just reality because guess what, they have five other jobs that are going to pay them the same if not more that don't have that test. And a lot of people would say, I just want the person with the character though. I'm like, you don't understand.

This is opportunity cost. Yeah, or they're gonna get poached on LinkedIn, like they're not even going through an application. I don't know. This is opportunity cost for them. I mean, they have so many opportunities. You have to understand, they don't give a shit about that.

And so a lot of people try to make it very complicated. They try to make it very, they try to think of it like the candidate should be coming to me versus how could I create a better experience for the candidate. And so I've just taken the same principles from customer experience and I put them into candidate experience, which is if I was trying to nurture a lead, how would I be talking to them? I do the same thing with people. If I think they're going to hire, like, I want to hire them. I'm like, I will be reaching out to them. I will be talking to them. I will be complimenting them. I'm not going to expect them to just always come to me. That's the first thing. And it does take somebody who doesn't have who has a good amount of humility. Because I think a lot of people think, my shit don't stink. They should be coming to me.

I'm like, nobody knows who the fuck you are. So let's just get over ourselves. Yeah. Can you talk to us about the importance of speed and hiring? The average top candidate gets a job in eight days. The biggest reason that any of our portfolio companies have lost a candidate is tiny. It'll interview someone on Monday, and then I get like a slack on like Thursday, and it's like, hey, I've got a candidate,

I want you to interview. I'm like, oh, do you speak with them? Like, what? How was it? Like, yeah, yeah, no, I met with them on Monday, and I'm like, it is just the same way that you would nurture a lead. That was a $100,000 customer is how you would want to nurture an employee because often you're paying

someone $50 to $200,000, right? Say your small business. How would you nurture a lead that was worth that much money? Let alone an employee who's going to stay for a long period of time. And so I think that we look at it the wrong way. We think that it's different than that, but it's actually the same. And candidates right now, especially, you know, I think that we look at it the wrong way. We think that it's different than that, but it's actually the same. And candidates right now, especially, I think it's going to change a little bit in the next coming months. But right now, the ball's still in a lot of people's courts where they have unlimited opportunity.

And so the companies that are out there that are getting the top talent are the ones that have more robust infrastructure and are able to go faster. But if a small company is equipped with this and they understand because when we first start to launch it was me and my assistant hiring. And I still was like, day of, we send rejection day of, we send follow up day of, we schedule, we schedule a meeting from a meeting. So it's like, we'd get done with interview and be like, cool, we want to do the next interview, let's schedule right now while we're on the call. Because we understood the importance of speed. And I think that anybody can do that. It's just a matter of

understanding the importance, which is if you're waiting more than eight days to hire somebody, you're getting worse candidates. Let's hold that thought and take a quick break with our sponsors. Young and profitors, do you have a brilliant business idea, but you don't know how to move forward with it? Going into debt for a four-year degree isn't the only path to success. Instead, learn everything you need to know about running a business for free Instead, learn everything you need to know about running a business for free by listening to the Millionaire University podcast. The Millionaire University podcast is a show that's changing the game for aspiring entrepreneurs. Hosted by Justin and Tara Williams, it's the ultimate resource for those who want to

run a successful business and graduate rich, not broke. Justin and Tara started from Square One, just like you and me. They faced lows and dug themselves out of huge debt. Now they're financially free and they're sharing their hard-earned lessons with all of us. That's right, millionaire university will teach you everything you need to know about starting and growing a successful business. No degrees required.

In each episode you'll gain invaluable insights from seasoned entrepreneurs and mentors who truly understand what it takes to succeed. From topics like how to start a software business without creating your own software, to more broad discussions such as eight businesses you can start tomorrow to make 10K plus a month, this podcast has it all. So don't wait, now is the time to turn your business idea into a reality by listening to the Millionaire University podcast. New episodes drop Mondays and Thursdays.

Find the Millionaire University podcast on Apple Spotify or Mondays and Thursdays. Find the millionaire university podcast on Apple Spotify or wherever you get your podcasts. Your dog is an important part of your family. Don't settle when it comes to their health. Make the switch to fresh food made with real ingredients that are backed by science with nom nom nom delivers fresh dog food that is personalized to your dog's individual needs. Each portion is tailored to ensure your dog gets the nutrition they need so you can watch them thrive. Nom-nom's ingredients are cooked individually and then mixed together because science tells us that every protein, carb, and veggie has different cooking times and methods.

This packs in all the vitamins and minerals your dog needs so they truly get the most out of every single bite. And nom-nom is completely free of additives, fillers, and mystery ingredients that contribute to bloating and low energy. Your dog deserves only the best, and Nom Nom delivers just that. Their nutrient packed recipes are crafted by board certified veterinary nutritionists, made fresh and shipped to your door. Absolutely free.

Nom Nom meals started just $2.40, and every meal is cooked in company owned kitchens right here in the US and they've already delivered over 40 million meals, inspiring clean bowls and wagging tails everywhere. Ever since I started feeding my dog Nom-nom, he's been so much more energetic and he's getting older, he's a senior dog, but now we've been going on longer walks and he's much more playful He used to be pretty sluggish and sleeping all the time But I've definitely noticed a major improvement since I started feeding him nom nom and the best part They offer a money back guarantee if your dog's tail isn't wagging within 30 days

They'll refund your first order no fillersers, no nonsense, just nom nom. Go right now for 50% off your no risk two week trial at trinom.com slash app. That's trinom.nom.com slash app for 50% off. trinom.com slash app. Yeah. So I heard you say something really cool, which was we're buying people's brains when we're hiring. So I'd love to understand how we assess people's brains for culture

fit, for skills. Is it really them taking a test or is it more of like a conversation that we have with them? Different people do it different ways. I tend to err more on the side of conversations and situational interviewing than I do hard testing. If you look at a lot of the practical tests people put together, those are typically the same format of questions that you would have for an interview anyways. So what I do is I think of okay what are situations in which somebody would exhibit the values that we have in the company. And then I will take those apart and I will break them down into questions. So competitive greatness for example example, if I wanted to figure out if somebody has competitive

greatness, I would ask them, why do you want to work? What motivates you? Why do you come to work every day? And if somebody says, money, it's not competitive greatness to me. And if a portfolio company, I say, why do you have your company? And they say, well, I want to make $10 million. I'm like, it's not competitive greatness to me. Competitive greatness is an unending process, right?

Is it a continuous cycle of self-improvement, knowing that the challenge itself is what creates who you want to be? Another example would be sincere candor, which would be, tell me, I'll give this one, you would think it's like easy and people could fake it, but nobody ever does. I say, tell me the last hard conversation you have,

and tell me how it went. And I swear, most of the time, nobody can think of it. how it went. And I swear most of the time nobody can think of it. I could tell you when I had a day ago. I could tell you when I had a hard conversation last night. You know what I mean? So it's, if I'm looking for someone who's sincerely candorous, I'm going to ask that and you're going to be able to tell by their reaction, not just what they say, but their reaction in terms of like, do they actually have that? Yeah. And then in terms of the skill side of it and their experience, it's asking people to recall how they drove results.

I think you can talk about the actions you took on a daily basis, but I don't really care about that. I want to know, tell me about results you drove for a company that are similar to the results I'm asking you to drive here and tell me how you did it. How did you go about it? Give me a summary of that. And that's typically what I'll ask.

So if I have somebody I'm hiring for director of customer success and I need them to reduce turn for a customer base, I'm going to say, tell me about a time that you reduce turn. How much did you reduce it by? And how did you go about doing that? And you can tell when someone's answering those questions. If somebody doesn't know how to do that and you have any as a CEO, of course, like I feel like I have to have knowledge of every department, like I have enough to know somebody's bullshitting me, or if like the answer they're giving is mediocre. What I'm looking for most of the time is that I learn something from that interview.

One, I wanna feel like the values are true to them. The other side of the experiential piece and the education is I wanna feel like they're able to teach me something on that interview. And so I leave being better for it. Does that make sense? Yeah, total sense. So I know that the end of the process is that you believe, as long as

you're a relatively small company, a thousand employees or less, it should end with a CEO interview. And I know that a lot of small entrepreneurs, even if they have 20 employees, they do not do every single interview. This was one of the biggest mistakes I made as a young entrepreneur. My business skill to 16 employees. And it started to have lower level employees, hiring my employees. And then it was like a mess. I had really bad talent for a little bit. And I had to let go a lot of my team when it was really hard. And so I learned that lesson first year in business.

Like I will never do that again. Talk to us about why that's so important. I believe that if you are truly a people first company, if you really believe that your employees and your team are the most important to the business, which I would argue in any sense the way they are, they are the business, then you would think that the CEO would show with the most valuable resource they have,

which is time, not money, time, how important those people are to them. And I don't think there's a more important way or a more impressive way than having the last interview. And basically, what I do on that interview is I show them that I'm not just here for you with this job, but you as a person, which is what are group personal goals? Do they align with the opportunity that we have within this business? And that's what I'm trying to figure out. And so I come on there and I want to set the tone for what their relationship is going to be like with us and be like with the business, which is it's not you're just a number here. It's not this. It's person first human first.

I want to show you why you're important and I'm showing you right now with my time. Yeah. Just like a parent if they have a kid is like cool you can pay for them to like go get ice cream with the kids and go to this really cool amusement park. But like there's nothing more meaningful than it being their time. Yeah, 100%. Okay. So, like we mentioned, a lot of people are having a little bit of trouble hiring right now. There's more opportunities to start businesses. It's easier than ever to kind of be a freelancer.

And so people have a lot of options. So I heard you say something that was really interesting to me, which was that we really need to create a bigger vision so that people actually feel they can fit within that if we really want them to work for us because they could just really work for themselves now. Could you talk to us about that? So I read the book by the CEO of Blackstone where he talks about it's just as easy to create a big company as it is to create a small company. And that really resonated with me because I think that the way he explained is that it is easier to recruit talent if you have a big vision than to recruit talent if you have a small vision because big talent doesn't want to work for a small vision.

And so that really hit home with me and it showed me that you can't have one without the other. It's almost I cannot even get top talent without a big vision. And you can't create the thing that creates the vision or fulfills that vision without the top talent. And so that really hit home with me. And I realized that you have to have a vision big enough that other people's visions for their own lives can fit inside of it. And to the degree of which somebody's vision for themselves fits inside the company is how long you'll keep them. Once they see that they've hit a point where their personal trajectory of their life

has, say, the business is here and they're here and then they go up here. Now there's a deficit. They're feeling like they're lacking something in the workplace because there's some kind of experience that they're not getting from the workplace that they're getting outside. And so I think the most important thing that we can do

is to be very explicit about the vision, be very explicit about where we're going and very diligent in making sure that when you bring people in, you understand how much runway they have. I will never tell somebody that they have a long runway if I know they don't. If somebody doesn't have a long runway, I will absolutely tell them. If somebody comes on to be an EA for me, I'm like, I don't really want you to go anywhere. I'd like you to just want to be an EA forever.

Because like, anyone that's on our administrative team, like, there's not a ton of upward trajectory, obviously promotions and raises and like small amounts, but becoming a director of operations or director of HR, that's going to create a huge hole for me to fill. And so I'm not really looking for that. Versus if I bring somebody into a new department, and I put them as head of business development and there's one person in there. I'm like, Hey, one day I'd like you to be VP of revenue or, you know, CR up. And so I hire according to that, which is what is their personal vision for themselves? What's my vision for the role? And I want to make sure that the two match. And I think

that a lot of times when we're recruiting, and the reason a lot of people can't get good talent is because they think that they're, they're like, oh, it's just money. I just can't afford to pay top talent. Okay, well, when we had Jim launch, I was able to get some really big talent that wouldn't have otherwise worked for us because we had enthusiasm, we had vision, and we had an ability to show those people how they would be able to grow within our organization.

And so we didn't have the biggest opportunity, but we could show them that their opportunity could at least fit inside what we did have in that company. And I think that a lot of people are just so focused on money and thinking about the competition that's trying to recruit people. I'm like, people want opportunity. That's what they really want. They want to see, it's almost like in the relationship, right? When you get with a guy or a girl or whatever, right, you get a new relationship. You're going to treat it differently if you think that you're going to be in that relationship for a long time, then you would if you think you're only

going to be there for a few weeks, a few months or even a year. It's the same way it goes for employment. And so it's reciprocated because if I feel that somebody really can feel like I can tell that they think their vision fits within the company, I see how they act. They see how I act. It's a much more trusting relationship. And you have a lot more loyalty with each other than you would otherwise.

And I think a lot of people just don't use that term to their advantage because one, they're probably scared to think too big. They're worried that they'll fail. The reality is you'll for sure fail if you don't think big enough that you can't retract the right talent to build something. So smart. And I heard you say before that basically people hop from job to job so they can level up in their career. They need to be able to hop in your company too from job title to job title. Is there a certain way that you kind of show that to your employees or something that you do to show them the trajectory or do you just give them new projects all the time?

Like, is it obvious? I think for executive level, it's a little bit different. Executive level, it's often showing the business, like I have the business projected for the next 10 years along with like an org chart for the next three. And so people can see what kind of responsibility they'll continue to assimilate as an executive team. For people under the executive team, there's two things that we're working on right now because you have to remember acquisition.com is pretty new. Competency maps. So competency map is basically showing you, here's the levels in our organization. So say there's six core levels. Here's the skills

and the traits needed for each level. And so if you want to get from one level to the next, here's the skills and the traits required to do so. And here's what the pay raise looks like as well. Here's what the opportunity looks like. Here's what your relationship with management looks like. And so I tried to do that within one, the organization as a whole, and then within each department that makes sense.

So two that are very typical would be media. So if you have a large media team, like we're building out one for our media team right now, to show everyone like, here's the levels needed to build out the media team. And here's all the room you have upward, like upward trajectory wise. Same with a sales team. That's a very traditional one is to show people

based on their experience, how much what their close rate is, all those things. Here's all the levels that you can get to. And here's how much you can make, along with the opportunity that you'll have in the company. And so it's called a competency map. If you it up you can find them for other companies and for a small company The thing is it's actually easier to make because you have less people and so you could even just show like if you don't even know break it down to like three levels Individual contributor manager leader individual contributor manager executive whatever it may be And I think that if you can just start by showing people, it shows them that you give a

shit. And I think that a lot of people are like, well, it's not going to be perfect. It's going to be as good as Laila is as she's describing. Okay, well, the point is that you give a shit. And that's what people want to see is that you're thinking about their future. Most bosses don't even think about the future of an employee. It's so true. So let's say we've used all your

guidance. We've hired a great team, but if you have a great team and know accountability, then you're at risk of not getting much done. So you talk about your accountability framework, you even go as far to say that instead of CEO, you call yourself the chief accountability officer. Could you talk to us about your accountability formula? Yeah, it's understanding that accountability doesn't exist without measurement, without feedback, and in a timely manner. And so a lot of the times, the two things that are missing

is the measurement, which is, are you showing someone where they fit on a spectrum? On a scale of one to 10, how well are they doing their job? Are you letting them know that they're only at a seven and what they have to do to get to a 10? That's one of the first things required for accountability. It's just like if we were a weight scale, so if I go and weigh myself, the scale is basically the accountability officer, as I would say, which is the scale gives them a number, it gives them feedback. Now, the way that we can amplify accountability, the only way that we can actually multiply it,

is by giving the person feedback of the measurement. So it's like, there's the measurement, which is telling them how good they're doing. And then it's how many times are you telling them and how many ways how good they're doing? Are you doing quarterly reviews? Are you doing one-on-ones? Are you having conversations with them?

Are you slacking them feedback? So like, for example, we just did a kickoff with a new partner company. And the first thing I did this morning was I wrote feedback to the person that conducts the kickoffs. I said, here's all my feedback for you. Here's how well I think you did. I actually thought this was the best one you ever did yet. Right. And so I'm telling him where he's at in terms of my expectations. And so the best thing that we can do as CEOs, entrepreneurs, people that employ other people is really just the feedback.

Like if there's one thing that you could do, because especially if you're a small business that the crux that is always, hey, I don't have a measurement, I don't have things in place yet, well, you can at least tell someone verbally in a qualitative manner how they're doing. And you can do it more than mumbling it on a call with them when they're not really paying attention in a way that doesn't even sound direct or like it makes any sense, right? Because that's what a lot of people do. The way that they give feedback is, oh yeah. And then, you know, next time you, you know, do that presentation, maybe,

maybe we just do it a little bit differently. And it's like they, they say it in a way that's very non direct. And I think the best way to get people feedback and to hold them accountable is to be as clear as possible. It's like when you measure yourself on the scale, it's not like it says, like, it's not like blurred. You're not like having to like lean in and really wonder what saying you're like is it say 150 or 155? Like you would be like, I don't know what the feedback is did my weight go up or down five pounds a lot is a big difference

I could have been up it could have been down and so when people are vague with their feedback to employees It's the same as the scale being that way and being vague. It's like a small amount of nuance makes a big difference And so you have to be very clear in your communication because a lot of the time someone's delivering critical feedback, the employee actually thinks that it's positive feedback because the way that they're delivering it is so poor. And so I think it's being explicit and being able to find your voice is a really important piece of that. And you don't do that unless you have app apps. And so in the beginning, you're in a suck at doing it and you just have to get better and better over time. We'll be right back after a quick break from our sponsors.

Hear that sound, young and profitors. You should know that sound by now, but in case you don't, that's the sound of another sale on Shopify. Shopify is the commerce platform that's revolutionizing millions of businesses worldwide. Whether you sell edgy t-shirts or offer an educational course like me, Shopify simplifies selling online and in person so you can focus on successfully growing your business. Shopify is packed with industry-leading tools that are ready to ignite your growth, giving you complete control over your business and brand without having to learn any new skills

in design or code. And Shopify grows with you no matter how big your business gets. Thanks to an endless list of integrations and third party apps, anything you can think of from on-demand printing to accounting to chatbots, Shopify has everything you need to revolutionize your business. If you're a regular listener, you probably know that I use Shopify to sell my LinkedIn secrets masterclass. Setting up my Shopify store just took me a few days. I didn't have to worry about my website

and how I was gonna collect payments and how I was gonna trigger abandoned cart emails and all these things that Shopify does for me with just a click of a button, even setting up my chat bot was just a click of a button. It was so easy to do. Like I said, just took a couple of days. And so it just allowed me to focus on my actual product and making sure my LinkedIn masterclass was the best it could be. And I

was able to focus on my marketing. So Shopify really, really helped me make sure that my masterclass was going to be a success right off the bat and enabled focus. And focus is everything when it comes to entrepreneurship. With Shopify single dashboard, I can manage my orders and my payments from anywhere in the world. And like I said, it's one of my favorite things to do every day is check my Shopify dashboard. It is a rush of dopamine to see all those blinking lights around the world, showing me where everybody is logging on on the site. I love it. I highly recommend it. Shopify is a platform that I use every single day and it can take your business to the next level.

Sign up for a $1 per month trial period at Shopify.com-profiting. Again, go to Shopify.com-profiting all lowercase to take your business to the next level today. Again, that Shopify.com-profiting Shopify.com-profiting all lowercase. This is possibility powered by shop

fly. Yeah, bam, if you're ready to take your business to new heights, break through to the six or seven figure mark or learn from the world's most successful people, look no further because the Kelly Roach show has got you covered. Kelly Roach is a best-selling author, a top-ranked podcast host, and an extremely talented marketer. She's the owner of NotOne, but six thriving companies, and now she's ready to share her knowledge and experience with you on the Kelly Roach show. Kelly is an inspirational entrepreneur, and I highly respect her. She's been a guest on YAP. She was a former social client. She's a podcast client. And I remember when she came on young and profiting, and she talked about her conviction marketing framework, it was like mind blowing to me.

I remember immediately implementing what she taught me in the interview in my company and the marketing efforts that we were doing. And as a marketer, I really, really respect all Kelly has done, all Kelly has built. In the corporate world, Kelly secured seven promotions in just eight years, but she didn't just stop there. She was working in 95. And at the same time, she built her eight figure company as a side hustle and eventually took it and made it her full-time hustle. And her strategic business goals led her to win the prestigious Inc. 500 award for the

fastest growing business in the United States. She's built an empire. She's earned a life-changing wealth. And on top of all that, she maintains a happy marriage and a healthy home life. On the Kelly Road Show, you'll learn that it's possible to have it all. Tune into the Kelly Road Show as she unveils her secrets

for growing your business. It doesn't matter if you're just starting out in your career or if you're already a seasoned entrepreneur. In each episode, Kelly shares the truth about what it takes to create rapid, exponential growth. Unlock your potential, unleash your success, and start living your dream life today. Tune into the Kelly Road Show available on Apple Podcasts,

Spotify, or wherever you listen to podcasts. Hey, ya fam! As you may know, I've been a full-time entrepreneur for three years now. Yet media blew up so fast, it was really hard to keep everything under control, but things have settled a bit, and I'm really focused on revamping and improving our company culture.

I have 16 employees, so it's a lot of people to try to rally and motivate. And I recently had best selling author Kim Scott on the show. And after previewing her content in our conversation, I just knew I had to take her class on master class, tackle the hard conversations with RadicalCander to really absorb all she has to offer. And now I'm using her RadicalCander method every day with my team to give in solicit feedback, to cultivate a more inclusive culture, and to empower them with my honesty. And I can see my team feeling more motivated and energized already.

They are really receptive to this framework, and I'm so happy because I really needed this class. With Masterclass, you can learn from the best to become your best, anytime, anywhere, and at your own pace. And we all know that profiting in life doesn't just mean thriving in business. With Masterclass, you can brush up on your art skills, or your cooking skills, or even your modeling skills, with over 180 classes from

a range of world class instructors. That thing you've always wanted to do better is just a few clicks away. On masterclass you'll find courses from many app all-star guests like Chris Voss and Daniel Pink. I've been taking their sales and negotiation classes and I've been feeling like a real shark lately. I've totally leveled up my sales skills. How much would it cost you to take a one-on-one class from the world's best? A lot. But with masterclass annual memberships,

it just cost you $10 a month. I have to say the most surprising thing about masterclass since I started this incredible journey on the platform is the value. For the quality of classes, instructors, the platform itself is beautiful. The videos are super high quality. You can't beat it gain new skills and as little as 10 minutes on your phone,

your computer, tablet, smart TV, and my personal favorite way to learn is their audio mode to listen on the go. That way I can multitask while I learn, get unlimited access to every class. And right now as the app listener, you can get 15% off when you go to masterclass.com slash profiting. That's masterclass.com slash profiting for 15% off an annual membership. Masterclass.com slash profiting. Yeah, and would you say that feedback should be continual and not just like once a quarter or once a year performance review?

100 percent. It's the only thing that can amplify and multiply accountability. It's the only thing that really strengthens it to a high degree is giving that feedback. And it's just the more you can normalize feedback, the easier people can take it, the more likely they are to act on it. But a lot of people avoid giving feedback and they create a culture of secrecy and of, you know, whispers and gossip. When the reality, if you give feedback on a regular basis, everyone gets used to it and then it doesn't feel bad. It's just like this bumper. It's something that's uncomfortable. Due to enough times, it's not uncomfortable anymore.

Yeah, and it's so important so that your employees actually get better at their jobs and continue to learn and improve instead of making the same mistakes over and over again. 100%. Okay, let's take it from the employee perspective. Let's take it from, you know, a lot of my listeners are entrepreneurs, but at the same time, a lot of them are corporate professionals. They want to level up in their jobs. They want to be seen by their boss, taken up for promotions.

So what can somebody do as an employee to really stand out? I get a lot of shit for this, but I believe in it, which is the only way to stand out truly is to exceed expectations. Humans, when expectations match reality, we are neutral. We feel nothing. We feel that was how it's supposed to go. So if somebody does their job exactly how it's laid out, I think to myself that was how it's supposed to go. Now if somebody does their job worse

than the job is laid out, I feel disappointed. I feel frustrated. I feel angry. The only time somebody will really stand out in job is if they exceed expectations. Meeting expectations is not enough. You don't stand out. job is if they exceed expectations. Meeting expectations is not enough. You don't stand out. Nobody feels anything from that. Like truly, your nervous system does not get excited by that. But the moment that somebody does beyond the job description and exceeds

expectations is when the boss will feel like truly, like actually feel excited, feel elated, feel encouraged. And so I think that a lot of employees say, doing my job is enough, doing beyond my job, takes too much effort. It's not always about the amount of work you're doing. It's how you do the work. Yes. You can exceed expectations in the way you do something.

Not even just, there's doing something and completing a mission, which is expected, but how you do it is also what's going to make a difference. So if you're told to make a presentation to train a team, you can make a presentation that can train a team and it could be sufficient, or it could have animations you could bring in a guest speaker. You could think about it like that.

To the degree at which you do every of your daily tasks is the degree at which you will impress the person, whether you exceed expectations on a consistent basis in the tasks you're doing, or whether you're not meeting expectations. Because just meeting them, you'll just blend in. I totally agree. There's this trend of quiet quitting I was talking about.

Basically what it is, is a lot of people have just said, I'm gonna do the bare minimum. And to your point, they feel like I should just do what I get paid for in that set. But if you do that, no one's gonna, like, as a boss, it's like, nobody wants an employee like that. You want an employee who's gonna be worth 10 times what you pay them, right?

And that's why you're going to promote them and let them lead and become a manager. So I feel like that's just a recipe for not moving in your job. It is. And I think here's the thing. I talked about this. And I got a lot of backlash in terms of people saying, well, Laila, these people treat me like shit. They don't give me promotions. They don't give me raises.

I'm not recognized. I understand them, but I just don't think that acting in despite of someone else's actions is going to help anybody. Because at the end of the day, for me, I had plenty of jobs before I had my own company. How I acted was more important to me for who I was, for my integrity with myself, then it was for the person I was working for. Because it's not about them. It's about me, who I am, how I work, how I show up when nobody else gives a shit. And so for me, it's not even about either of these things.

It's about who are you. Because you're not defined by how you think and feel. You are defined by the actions you take. And so if you act like a lazy person, and you don't work, you are a lazy person. It's like when people say, you know, if you feel, and nobody cares how you feel. They just care how you behave. And that is what you are identified with. You are identified with your actions. So people like, oh, he had good intentions. I'm gonna fuck. Intention doesn't equal impact. So it's like, well, you

know, this boss is gonna be approachable. I'm like, that says a lot about you because I can tell you that I worked my fucking ass off for years in jobs that I never got to raise and I never got a promotion. I did it because that's who I am. And I do everything with excellence. And so to me, it's the employees are shooting themselves in the foot because they are degrading their own character. I don't care about the boss piece. I'm just talking to you as a human,

which is like, why are you doing that to yourself? You're literally fucking yourself by doing that. Yeah, not to mention that like your vibe and your energy is that of a lazy person, you're gonna attract lazy opportunities. You're not gonna be even to be able to attract the things that you want in your life because you're not doing them. So I totally agree with that.

Okay, so closing this out, Layla, what a great interview. I heard you on Brook Castilla's show and you teased possibly starting a podcast that you wanna tell us about your possible new podcast. Yeah, if anyone out there's a podcast producer, that's the only reason I haven't launched it yet. Oh, I just so you know, we have a whole media company over here. Oh, okay.

Yeah, I, truthfully, that's all it is. I want to start a podcast. I want to call it build with Layla, build your business, build your life, build yourself, build your company. I think just talking about building in general. And I like that word. So hopefully it's to come by next quarter. I'm not sure yet, but it'll be a little different than the YouTube channel, but a lot of the same kind of content. Awesome. Well, let me know when it comes out so I can tell my listeners to tune in. All right. So we close out this interview with two questions that we ask

and then we round them out and summarize them at the end of the year. So the first one is what is one actionable thing that our young and profitors can do today to become more profitable tomorrow? Make a list of five things that you can do tomorrow that you've been avoiding because they're uncomfortable and do them. Despite how you feel, despite how you rest tonight, despite how you know your mood is tomorrow, commit to five things tomorrow that you've been avoiding, write them down and do them. Get uncomfortable, right? And what is your secret to profiting in life?

The ability to take action quickly after failure. So I think that a lot of times when we're getting uncomfortable and we're doing things that are uncomfortable, we fail, we stumble, I do not let that, I don't dwell on my failure, I don't find that to be productive, I can, I just get up and I go and I try it again immediately. Not the next day, not a week later, I try to do it immediately. And so I think that there's nothing wrong with failing, it's the fact that most people dwell on their failure for so long that that becomes their life when you could have just gotten up the next day and done it again. I love that. And where can everybody learn more about you and everything that you do? dwell on their failure for so long that that becomes their life when you could just gotten up the next day and done it again. I love that. And where can everybody learn more about you and everything that you do?

You can go to acquisition.com. We have some free courses on there for business. And you can opt in for our email list and we email out like just interesting nuggets. You could also go to at Layla Hormosi on Instagram, Layla Hormosi on YouTube, and Layla Hormosi on Twitter. And I am pretty active on those three platforms. Awesome, and I'm gonna stick all those links in the show notes. Thank you so much for your time today. Thank you for having me. Thank you for having me.

That Layla is such a rock star. She's so successful, yet so down to earth, super funny woman. I had a lot of fun talking to her for this extended series. And I really didn't joy hearing her come up story in part one. So if you miss that, make sure you go check it out because she had a really wild and crazy life, especially in her teenage years. And it was really interesting and inspiring to learn how she turned it all around and became so successful at such a young age. In part two of this series, I really

enjoyed hearing Lila's advice on managing and hiring people, especially her thoughts around accountability. So I thought I would stick on that for this outro and really dig a little deeper recapit so you guys remember it because I think this was one of the most important pieces of information. Laila believes that if you have people in your organization that are not getting things done with the jobs that they have been given and you as a leader are not getting the results that you want in business, which is a problem for many, many managers and business owners. Your team is not doing their job.

It often means that you lack accountability. It doesn't mean that you need more people, you don't need more marketing or more sales, you need more accountability, right? So I figured this would be a great thing to stick on in the outro because it's just such an important thing that is so relatable for everyone. Laila says accountability is the clue between action and results.

It is how you get your results. You have a responsibility to hold your team accountable. Layla has an amazing accountability formula. Its expectations plus measurement times feedback equals accountability. So I'm going to break that down for you guys. Expectations is telling people how something should be done. So typically this is like a job description or a project plan, right? It's a road map that shows people exactly what they should be doing in their role,

right? And measurement is how you measure if that expectation has been met. It's what good looks like. And here's the thing. You've got to reset expectations no matter how experienced your employee is. Because every company does things different and measure things differently. And if you want somebody to succeed, even though they've got an amazing pedigree and amazing resume, if you want them to succeed at your company, you need to clearly show them what good looks like for you. How will you judge them on their work, right? And feedback, that is the most important piece

of this puzzle. Feedback is letting people know how they can better meet expectations or measurements next time. Feedback is the only piece of all of this that can be amplified, so it's very, very important. Without feedback, people won't know what they're doing well. They won't understand if they're doing something poorly. They won't be able to move the needle.

So feedback allows you to close that gap so people get closer to what good looks like and also so people know if they're doing a good job. People love getting compliments, getting feedback positively as well. The more you tell people that they're good at something, the better they're going to be at it. That is just reality. So feedback works both ways. It is a hard conversation that you need to have sometimes to tell people how to be better,

so you can get the results that you want. And it's also a way to appreciate your employees and tell them what they're doing well, so they keep doing that extra well for you because they've got the confidence that they're doing it right. Accountability is a secret sauce element to any successful entrepreneur. And if you guys enjoyed this episode, I want you to tell your friends, let everybody know that young and profiting is your favorite way to listen, learn, and profit. And if you guys like to watch your podcast episodes, you can check us out on YouTube. We have all of our full episodes on there,

all these amazing guests that you hear in the app. You can also find us on video on YouTube, which is really fun to watch. So you can find us there, just search for young and profiting. You'll can't really miss us. And you guys can also find me on Instagram at Yapathala. I'm also on LinkedIn.

You can find me there by searching my name, Hala Taha. And I did want to shout out my amazing, young and profiting production team. Thank you for producing the show. My team rocks. I couldn't do this without you guys. And my listeners rock too. Freakin' love you guys.

Thank you so much for your support. Thank you for listening. Thank you for your reviews. Five star reviews on Apple. Make my day so go ahead and drop one. This is your host Halataah signing off. Are you looking for ways to be happier, healthier, more productive and more creative? I'm Gretchen Ruben, the number one best-selling author of the Happiness Project.

And every week, we share ideas and practical solutions on the Happier with Gretchen Ruben podcast. My co-host and Happiness Guinea Pig is my sister Elizabeth Kraft. That's me, Elizabeth Kraft, a TV writer and producer in Hollywood. Join us as we explore fresh insights from cutting-edge science, ancient wisdom, pop culture, and our own experiences about cultivating happiness and good habits. Every week we offer a try this at home tip you can use to boost your happiness without spending a lot of time, energy, or money.

Suggestions such as, follow the one-minute rule. Choose a one-word theme for the year or design your summer. We also feature segments like know yourself better where we discuss questions like, are you an over buyer or an under buyer? Morning person or night person, abundance lever or simplicity lever. And every episode includes a happiness hack,

a quick easy shortcut to more happiness. Listen and follow the podcast happier with Gretchen Ruben. Hey babe, what you got there? This is a check from Carvana. I just sold my car to them. I went online and Carvana gave me an offer right away. Then they just picked up the car and gave me this. Oh, that's a big check. Well, obviously you could put this towards your next car, or we could finally get that jacuzzi, or I could start taking tuba lessons, or I could quit my job and write my memoir. Or I can put it towards my next car with Carvana. Sorry, you're check, not mine.

Sell your car to Carvana. Visit Carvana.com or download the app to get a real offer in seconds.