Accepting the Truth The Reality of Success (with Andy Frisella) Pt.3 Mar. ‘23 Ep 564

In this in-depth conversation, Alex Hormozi and Andy Frisella delve into the essential mindset and strategies for entrepreneurial success. Hormozi emphasizes the importance of being so exceptional that the market can't ignore you, gaining leverage through superior skills, and the rapid feedback loop inherent in entrepreneurship. Frisella echoes the sentiment, highlighting the honesty of paying customers and the brutal honesty of the market. Both stress the importance of accepting market feedback and iterating products accordingly. Hormozi, now an investor, discusses the detachment from business failures and the need for personal development through accepting harsh truths. They explore the concept of redefining roles within a business to mitigate personal failure and encourage thinking in terms of departments, even for solo entrepreneurs. Frisella shares his tactic of viewing himself as an employee to his own persona, aiding in decision-making and personal detachment from business outcomes. The duo also addresses the necessity of skill development, the fallacy of entitlement, and the power of becoming undeniable in your field. They advise listeners to focus on applied skills over mere acquisition of knowledge, and to seek real-world execution to truly advance. Hormozi and Frisella conclude by discussing the importance of reframing one's perspective on the entrepreneurial journey, embracing the process, and the power of storytelling in inspiring others.

• Being exceptional in your field can grant you leverage over others.
• Once you have leverage, you have the freedom to dictate terms and actions.
• Excellence in your area of expertise is a key strategy for business success.

"Have to be so good that they can't ignore you. And when someone can't ignore you, then everyone then acquiesces. They just comply. They're like, he's got. You have to gain leverage over other people because of how much better you are at the thing."

The quote emphasizes the importance of being so skilled and proficient that others have no choice but to acknowledge and respect your abilities, leading to gaining leverage in business and personal interactions.

• Business acumen is applicable to various life aspects.
• Entrepreneurship provides rapid feedback for personal growth.
• The market delivers immediate and honest reactions to business ideas and products.

"I love talking about business because it's like, I think if you can see, if you can see the business world clearly, then it applies to every other aspect in life. Because I think entrepreneurship is the single greatest pass for personal development because it's the fastest feedback loop."

Andy Forcella explains that understanding business principles can enhance understanding of other life areas and that entrepreneurship is an effective path for personal development due to the immediate feedback it provides.

• Friends may not provide honest feedback on business ideas.
• Paying customers offer genuine and valuable critiques.
• The market can be brutally honest, rejecting products regardless of the effort invested.

"That's what I'm saying. You go around and talk to your friends about your good idea, they're all going to tell you it's fucking good. Now launch the shit. And now we'll find out if it's really good if they get their credit card."

The speaker underscores the difference between friendly reassurance and the reality of market acceptance, suggesting that the true test of a business idea's merit is whether customers are willing to pay for it.

• Business involves a cycle of development, market testing, feedback, and adjustments.
• Success often comes after many failures and iterations.
• The journey to significant victories in business is arduous and requires resilience.

"The whole game of business is develop shit. Put it out. Find out what's wrong. Okay, that's wrong. Fix it. Put it out again."

This quote describes the iterative nature of business, where products are developed, tested, and refined repeatedly based on market feedback until they meet the standards of success.

• Early-stage entrepreneurs often intertwine their identity with their business.
• As an investor, one can view businesses objectively, without personal attachment.
• Separating personal identity from business performance can reduce the emotional impact of feedback.

"The problem is that when you're starting out, your identity is wrapped into the business. And so when you get feedback, you call it failure."

Andy Forcella explains the common issue of new entrepreneurs taking business feedback personally due to their identity being closely tied to their business.

• Small business owners often take on multiple roles within their company.
• Thinking in terms of departments can help disassociate personal identity from specific business functions.
• This mindset prepares entrepreneurs for future growth and hiring.

"If you redefine the work you're doing as the job title that it falls under, because in the beginning, when you're a small business owner, you are all the jobs, right?"

By redefining work according to specific roles within the business, entrepreneurs can better manage their responsibilities and prepare for the transition to delegating tasks to employees.

• Pretending to work for someone else can help with emotional detachment from the business.
• This technique aids in making objective decisions, especially regarding personnel.
• It allows entrepreneurs to focus on what's best for the business rather than taking things personally.

"So how I do this is still to this day, I do this. I pretend that I work for Andy Forcella."

Speaker B shares a personal strategy of disassociating from the business by pretending to be an employee of Andy Forcella, which helps in managing feedback and making tough decisions without emotional bias.

• Key personnel changes can cause significant shifts in a business's trajectory.
• Entrepreneurs must be leaders worthy of attracting and retaining top talent.
• High standards for employee performance are essential, and tolerance for mediocrity should be low.

"Because right now, you're one hire away from your entire business being transformed."

Andy Forcella illustrates the impact of critical hires on a business, emphasizing the potential for a single individual to catalyze significant positive change within a company.

• Employees must develop valuable skills to advance and demand higher compensation.
• Providing substantial value to a company can position employees to negotiate better terms.
• Skill acquisition and execution are crucial for both personal and business growth.

"Learn some fucking skills. Real simple, and then go execute them."

Speaker B stresses the importance of skill development for employees, highlighting that skills are the foundation for delivering value and justifying higher wages or positions within a company.

• Personal responsibility for one's own success is emphasized as crucial.
• The importance of skill acquisition and being proactive in learning is highlighted.
• Watching educational content instead of entertainment is suggested as a way to improve skills.
• The concept that people are not underpaid, but rather underskilled, is introduced.
• The need to accept reality and truth to achieve success is discussed.
• The idea that to be paid well, one must have a unique and undeniable skill set is stressed.

"What's good enough is I want to be here. What does the skill set of this person up here have?"

This quote emphasizes the importance of having a desire to improve oneself and acquire the skills necessary to be successful.

"You're not underpaid, you're under skilled."

This quote conveys the idea that compensation is tied to skill level, not just effort or presence at a job.

"The only motherfuckers that get rich are the undeniable."

This quote suggests that only those with exceptional, undeniable skills can command high compensation.

• Information overload is discussed as a potential issue for the younger generation.
• Implementation underload is identified as a bigger problem than information overload.
• The significance of executing knowledge rather than just consuming it is emphasized.
• The discussion shifts to the importance of practical experience to complement theoretical knowledge.

"I don't think it's information overload. I think it's implementation underload."

This quote suggests that the problem isn't too much information, but rather a lack of action taken on the information available.

"You will learn more in your 1st 100 cold calls than you will from every single book you have read."

This quote highlights the value of real-world experience over theoretical knowledge from books.

• The value of practical experience over theoretical learning from books is discussed.
• The point that one should "do" before they "read" is made to emphasize the importance of practical context.
• The idea that you can't fully understand information without having a point of reference or experience is highlighted.

"I don't think you should read books. I think you should do it and then read."

This quote suggests that practical experience should precede theoretical learning to provide context for the information.

"You have to have a point of reference."

This quote reinforces the need for practical experience to anchor new knowledge.

• The concept of investing in skills, even at a high cost, is discussed in relation to long-term payoff.
• The idea that proficiency in most skills can be achieved relatively quickly (20 hours) is introduced.
• The concept of overcoming the fear of feeling stupid as a barrier to learning new skills is discussed.

"That skill made me millions."

This quote illustrates the potential return on investment from learning a valuable skill.

"It takes 20 hours to learn to get proficient."

This quote presents a timeframe for acquiring proficiency in new skills, making the process seem less daunting.

• The role of personal responsibility in escaping poverty is stressed.
• The idea that one must admit fault and take ownership of their situation to improve it is discussed.
• The concept of "fronting the work" to achieve the job or status one desires is introduced.
• The importance of being so skilled that one becomes indispensable, or "undeniable," is emphasized.

"You stay in poverty until you learn all the lessons that poverty has to teach you. And the first lesson of poverty is my fault."

This quote highlights the importance of personal accountability in overcoming poverty.

"You have to be so good that they can't ignore you."

This quote encapsulates the idea that exceptional skill can force recognition and opportunity.

• The discussion challenges the notion that people inherently deserve better without taking action.
• The idea that one's current situation is a direct result of their actions is reinforced.
• The concept that to deserve better, one must take actions that produce better results is emphasized.
• The potential of individuals to create change in their lives by taking responsibility and action is highlighted.

"You deserve what the fuck you got because what you've done has produced what you have."

This quote stresses that one's current circumstances are the result of their past actions.

"We live in this multidimensional world that is a blank canvas for us to create in."

This quote suggests that individuals have the power to shape their own lives through their actions.

• Success is determined by inputs and outputs, not by what one believes they deserve.
• One's current situation, whether positive or negative, is the result of their own decisions and actions.
• Blaming external factors, such as one's upbringing or social movements, is unproductive.
• Creating a better life comes from taking action, not from feeling entitled to a better situation.
• The concept of 'deserving' is irrelevant to success; it's about what one creates through their actions.

The truth is it's inputs and fucking outputs. It's one plus one equals motherfucking two. And there's nothing that can change that.

This quote emphasizes the straightforward nature of cause and effect in achieving success. It dismisses the notion of entitlement and underscores the importance of personal responsibility.

You don't deserve better. You can create better, but you don't deserve it.

This quote asserts that success is not about what one thinks they deserve, but rather about what they actively do to create a better situation for themselves.

• A culture of entitlement, expecting luxuries just for existing, leads to disappointment and lack of success.
• Real success comes from understanding that it's earned through effort and not just by existing.
• Entitlement can hinder gratitude and appreciation for success when it is achieved.

In America, maybe other places, but here in the United States, we have a scenario where we have a culture that feels entitled to literally every luxury on the fucking planet for breathing.

The speaker criticizes the pervasive sense of entitlement in American culture, suggesting that it is unrealistic and counterproductive to expect luxuries without effort.

• Entrepreneurship is a long-term commitment that requires persistence and resilience.
• Initial expectations of quick success are often naive and need to be adjusted over time.
• Success is a product of continuous effort and learning, not a right or something that is deserved.
• Entrepreneurial success is like playing chess; it requires strategy, learning from failures, and perseverance.

I did not expect anybody to fucking do anything for me.

This quote from the speaker reflects the self-reliance and personal accountability that is necessary for entrepreneurial success.

I know the game. I know this is fucking chess, not checkers. I know how to play fucking chess very fucking well at this point in time.

The speaker compares entrepreneurship to a complex game of chess, indicating that success comes from understanding the intricacies of the business world and learning from experience.

• The term 'deserving' is viewed negatively and is considered irrelevant to success.
• Success is the outcome of actions taken, not a reward for simply existing.
• Eliminating the idea of deserving success leads to more gratitude when success is achieved.

I don't deserve shit. I deserve exactly what produces from the inputs that I put in, and that is fucking it.

This quote reinforces the theme that success is the direct result of one's actions and efforts, not something that is deserved based on arbitrary criteria.

• Blaming others for one's situation gives away personal power and control.
• Taking responsibility for one's life is the first step toward change and success.
• The act of blaming external factors can be an obstacle to personal growth and empowerment.

Where you place the blame is where the power goes.

This quote highlights the idea that assigning blame to others for one's circumstances effectively hands over control of one's life to those factors or individuals.

• Adversity and obstacles can be reframed as part of one's unique success story.
• Individuals who overcome significant challenges can inspire and guide others who face similar difficulties.
• The process of overcoming adversity can become a noble pursuit, leading to personal success and the ability to help others.

What one man can do, another can do. It's a real fucking thing.

This quote suggests that success is possible for anyone, regardless of their starting point, as long as they are willing to put in the effort and overcome challenges.

Your obstacles and your overcoming is the nobility.

The speaker concludes that overcoming one's personal challenges is a noble endeavor, both for the individual's success and for the potential to inspire and lead others.

• Victimhood is often seen as a way to gain attention and sympathy online, but it lacks genuine support.
• Repeatedly sharing negative stories can lead to others wanting you to move on and take action.
• There is no honor in remaining a victim and dwelling on past traumas.
• Overcoming challenges and achieving success is more noble than staying stuck in victimhood.
• Sharing a story of personal growth and success can inspire others.

Like, there is no nobility in victimhood, bro. There's attention in victimhood. There's shares in victimhood.

This quote emphasizes the idea that playing the victim may attract attention, but it doesn't bring true respect or nobility.

What you do about it? And I'm just the one telling you that everybody else thinks it.

Andy Forcella is challenging the listener to take action rather than seeking attention through victimhood, suggesting that others share this sentiment.

The nobility comes in overcoming the nobility, comes in creating such. It's what you said, success is the only revenge.

Andy Forcella speaks to the true nobility found in overcoming adversity and achieving success, framing success as the only form of true revenge.

• Personal stories can be powerful tools for inspiration and motivation.
• One's life story and the message it conveys can have a significant impact on future generations.
• It's important to live a life that serves as an example and inspiration for others, especially those from similar backgrounds.
• By sharing his own experiences, Andy Forcella emphasizes the importance of moving beyond past hardships and using one's story to inspire others.

That's the whole point of the journey we're on, dude, because stories are passed down generationally.

Andy Forcella talks about the lasting impact of stories and how they shape the lives and aspirations of future generations.

How can I make this so great that people fucking are inspired by it?

Andy Forcella expresses his desire to live a life that not only achieves personal success but also serves as a source of inspiration for others.

• Success should be viewed as an ongoing process rather than a finite goal.
• Finite games have clear rules and endpoints, whereas infinite games have unknown players and no fixed end.
• Applying a finite mindset to infinite games, such as life and business, can lead to failure.
• Recognizing that being in the arena is a form of success can lead to greater enjoyment of the journey.
• Acknowledging that every moment could be the "good old days" in the future helps appreciate the present.
• Gratitude can be difficult for ambitious individuals, but it's important to practice it.

So if you think about any worthwhile endeavor, they're actually not finite games. They're infinite games.

Speaker A redefines success by describing life's endeavors as infinite games, suggesting that the goal is to keep playing rather than to win.

By being in the arena, I was a success.

Speaker A expresses how redefining success allowed him to appreciate the journey and feel successful simply by participating.

It's always the good old days.

Speaker A reflects on how past struggles can be seen as the "good old days" and emphasizes the importance of appreciating the present.

• Practicing gratitude and perspective can enhance the enjoyment of life's journey.
• Considering that any experience could be the last time it happens can make moments more precious.
• Imagining oneself as an older person looking back can provide a fresh perspective on the present.
• Ambitious people may struggle with gratitude, but it's a muscle that can be developed.

Whatever we're doing right now, many times, it might be the last time you do it.

Speaker A encourages appreciation for the present by considering that any experience could be the last of its kind.

Imagine you are your 85 year old self... I'd be like, dude, this is fucking awesome.

Speaker A suggests a mental exercise where one imagines being their older self to gain a better appreciation for the present moment.

• The conversation ends with expressions of mutual respect and appreciation for each other's entrepreneurial skills.
• Speaker B acknowledges Speaker A's impressive business acumen and contributions to content creation.
• Speaker A expresses gratitude for being on the show and admiration for Speaker B's achievements.
• The speakers discuss the importance of enjoying the process and practicing gratitude.

I truly believe, bro, out of all the people I've come across, that you have one of the best entrepreneur brains going out there.

Speaker B compliments Speaker A on his entrepreneurial mindset and contributions, highlighting the respect between them.

You will build the iconic company because you won't stop.

Speaker A affirms Speaker B's determination and potential for creating a lasting company, showcasing the positive reinforcement exchanged.

The deepest stuff is the podcast.

Speaker A directs listeners to his podcast for deeper content, while also mentioning his active presence on other platforms like YouTube, Instagram, and Twitter, indicating where the audience can further engage with his content.