Today I’m going to show you how to turn your dreams and ideas, into a concrete business plan, and a reality.
By showing you my dreams. And the business plan I’m executing right now – complete with all the numbers – that will bring them to life. If you’ve ever wanted to see behind the curtain, you’re in the right place, because…
I’m not going to just pull it aside… I’m going to tear the whole thing down and burn it.
As you’ll see, the result is a business that should produce around $450,000 per month in income.
BUT… I think you’ll be surprised to see what that money will actually be used for.
I have a feeling this will be one of the most insightful, and powerful lessons you’ve come across in a very long time. Please read it, and share. You’ll be glad you did.
How A Pen And A Plan Can Change The World…
Three weeks ago, I had the incredible opportunity to attend my first Tony Robbins event… His six-day marathon called, Date With Destiny.
It was an experience I’ll never forget. If you’re wondering if you should go, the answer is YES.
It was an intense process… We went from 9:30 AM, until 2:00 AM every day for six days… Without a formal break.
That schedule was intentional. It was designed to break you down physically and emotionally, so you could get to the core thoughts, beliefs, values, experiences, and emotions that have made you who you are today, and then change them in order to create your new destiny.
Part of the process was determining what you want your mission in life to be.
I’ve always had an idea of what mine was, but I’d never taken the time to consciously articulate it.
Here’s what resulted once I did…
“The purpose of my life is to lead others into their greatness, and create works that change the world for the better”
Short. Simple. Challenging. And a mission that will result in a life worth living.
When you know you’re mission, you can start to filter your decisions in life by asking yourself some simple questions…
“Does this have to potential to change the world for the better?”
“Is this a project that would be worth dedicating your life to?”
These are questions that have always served as the litmus test for my business pursuits, and the projects I’m working on right now pass with flying colors…
But there’s been a challenge…
One Project Is So Large, And So Grand of a Challenge,
That I’ll Have To Build a Bridge To Get There…
If you were to write down the recipe for an entrepreneur, you’d see the following ingredients listed…
Vision, boldness, tenacity, stubbornness, and ingenuity…
They are necessary traits when you come to realize that building a start-up, is akin to building a mansion, but all you have at your disposal is a blueprint, a hammer, and a few rusty nails.
Now you’ve gotta figure out how to take the few resources you currently have, whether that a bit of skill, a little money, a few hours of free time, or a ton of ambition, and figure out a way to turn those things into something infinitely bigger.
Well a few months ago, I had an idea for a product and a company that will have a massive impact on the world… In fact, I walked away from my former 8-figure business in order to pursue it full time.
As many of you know, eating clean, organic foods is something very important to me, as it is to many of you.
I’m horrified by what I’ve seen taking place here in the US over the past decade when it comes to our food supply.
Eating clean food has suddenly become a luxury.
Our farmland is filled with toxic pesticides and poisons. Our water reservoirs are running dry.
The average bunch of spinach you buy at your local grocery store has traces of more than 50 different chemicals and pesticides.
Our children are being raised on nothing more than dead foods in different shapes and colors, but all made from soy, corn, sugar, and wheat derivatives.
Our country is literally sick, and our food is to blame.
So three months ago, I started to develop a new hydroponic technology platform for growing produce.
Simply put, it will allow anyone in the world to grow enough organic herbs, fruits, and vegetables in their kitchen, to feed a family of four every month – for less than $30 per month.
It will cut organic food prices by more than 90%. It will reduce water usage by 95%, and pesticide use by 100%.
The impact it will have on the world is incredible, but such a vision is not without it’s challenges.
After dozens of meetings with industrial design companies and IP attorneys, it’s going to take about 12 months and $5 Million in capital to develop the prototype and get it to market.
The team at www.FrogDesign.com in NY will be heading up the development.
Then I’ll need to hire staff, get an office, secure manufacturing and support, build the IT infrastructure, marketing campaigns, and so forth…
While I will probably take on a few key investors who can bring the right experience and connections to the table, I’d like to fund as much of the project as I can myself.
Because we’re looking at a timeline of 12-18 month before that company will produce any revenue, I’ll need a way to pay my bills in the mean time.
So how do I do that?
You define your goal/destination, and start working backwards.
My end goal is clear…
I need $5,000,000 in funding to get the hydroponics company into a state of active revenue production. This will take 12-18 months of development, testing, and creating the infrastructure necessary to support our customer base and grow the company.
Based on my previous track record of creating more than five, multimillion-dollar product launches, and the support I already have lined up for this product…
I Realistically Expect To Produce $20,000,000+
In Sales During The First Week of Business…
And end up with first-year revenues in the $50-$100 Million range.
I’m going to raise half of the $5,000,000 from investors within the next 60 days, and fund the rest myself, which means I need to make an extra $2,500,000 in profits within the next 12 months.
That’s a significant under-taking. $2.5 Million in profit means you’re looking at a business that’s producing at least $6 Million in annual gross revenue.
It will need to be done with minimal staff to keep the profit margin as high as possible, and only take 3-4 hours per day, so at least half my time can go towards the hydroponics company.
So I’ve gotta figure out how to start a simple, elegant, and profitable business this year, that can realistically produce at least $2.5 Million in profit will serve as the funding to reach my final destination, which is taking the hydroponics business live in 2016.
But above all else, it has to be a business that helps me fulfill my mission…
“To lead others into their greatness, and create works that change the world for the better.”
My friends and co-workers know that I’m not driven by money. I’m driven by my mission. It’s what’s defined the last 10 years of my life, and been the source of inspiration for every company I’ve ever started.
Money comes as a result of fulfilling that mission successfully. Gratefully, I’ve been fairly successful.
So if I’m going to do something, it has to be able to meet my goals above, but also have a grand purpose.
As you can imagine, this has been no small task. It’s something that I’ve been pondering for months.
What finally brought about the answer, was asking the right question, which was…
“What would I dedicate my life to, if the hydroponics business was not an option?”
Well for the past few years, I’ve been deeply concerned about the moral decay and corruption we see around the world today.
Some of the most visible symptoms of this corruption took the world stage during the financial collapse of 2008, as countless laws were broken, and financial lives devastated.
Yet no one went to jail, and we the people were put trillions of dollars into debt to bail out the banks via quantitative easing.
This entire mess is what inspired me to start EVG in 2010.
We see the dive into moral decay all around us…
In business, in the foods we eat, in our government, and judicial systems…
Right and wrong… The rule of law… They are no longer the norm, but the exception.
So how can we change that?
99% of the people in this world, including our lawmakers and “leaders”, point the finger and blame the symptoms…
If we have gun violence, don’t address the root of the violence, just make guns illegal.
If kids are getting fat, don’t stop feeding them sugar, just replace it with a man-made chemical that causes cancer.
If kids are making poor grades, don’t address what’s taking place in the classroom, just lower the testing standard.
It’s all a fool’s approach to the world.
If you want to truly solve the problem, you must treat the cause, not the symptom.
So Here’s A Question For You…
What is the only effective way to change the destiny of a society without using the barrel of a gun?
The answer: You must change the values held within the hearts of the men who inhabit it.
If a generation of children grow up without a family… Without father’s who can provide discipline, or successful role models who can provide inspiration… Without knowing the difference between right or wrong, or hard work and a handout… What kind of world will we have within one or two generations?
It’s not hard to imagine, as we’ve already begun to see the result.
So rather than sit here and talk about it on a blog, I’ve decided to do what I can.
A few months ago, I paid a significant amount of money to acquire this domain: www.SelfMadeMan.com
And I’ve decided to turn it into a global stage and educational platform by hosting a humble podcast, which has a grand purpose.
The goal of the show is to provide a new generation of men around the world with access to mentors who can give them the the knowledge, wisdom, and leadership they need in order to fulfill their highest potential in every area of life… From business, to relationships, to health, to finance, and legacy.
A podcast is without borders, and without cost, which means it has the opportunity to make a real impact on a significant amount of people.
And while it is a great platform for providing content, a podcast is not a very profitable venture, and a noble mission does not replace the requirement for a sound business model.
So I needed a plan…
I needed to figure out a way to use all of the chess pieces that I had available on my game board together, so I could build the financial bridge I need to launch the hydro business.
Here’s what I came up with…
Any Profitable Business Model
Needs These Four Parts…
1: The first is a large market of people you’re extremely passionate about helping, and the knowledge and skills to serve them.
2: The second is the ability to provide that audience with free, high-value content on a consistent basis in order to build and maintain a relationship.
3: The third is an extremely high-value, front-end product that’s less than $99. This product is going to be someone’s first experience as a customer of your business. It needs to turn them into a raving, life-long fan by exceeding their expectations. You’ll know you’ve succeeded if they ask you why you’re not charging 10 times more for it.
100% of the revenue generated from the sale of this product will go back into marketing, in order to acquire more customers. This is called a, “self-liquidating offer.”
The ability to put all of this revenue back into marketing is what separates those who make money in a business, and those who don’t.
But if all of that money goes back into marketing, you need at least one more piece to actually make a profit, which is…
4: And finally, you need at least one high-priced back end product that sells for $300 to $5,000+. 100% of this revenue is kept as profit.
So Let’s Take A Detailed Look At The
Complete Model With Numbers…
The Market: I’ve chosen to serve is men who are interested in personal development, and improving every aspect of their life, from finances, to health, to relationships, to parenting.
Why just men? Why not everyone?
If you try to please everyone, you end up pleasing no one.
I see a very specific need when it comes to the lives of men today, and I fell confident I can help provide an awesome solution that can have a dramatic impact.
With that being said, I have a feeling women will love the podcast as well, especially if they have a husband or son in their life.
Free High-Value Content: The Self Made Man podcast will provide free content that will allow me to deliver a massive amount of value and build an on-going relationship with my audience on a weekly basis.
Front-End Product: A sizable portion of that audience will have an interest in becoming financially free by starting a business.
The single biggest area of expertise that I’ve developed in my adult life, is how to start and build successful online businesses and marketing campaigns.
Very few people can say that they’ve built two businesses to over $25,000,000 each in less than 8 years, built an email list of more than 1,000,000 readers, or held multiple 7-figure product launches.
This skill-set, and my ability to teach it to others, is the most valuable asset I can offer, so that’s what I’m going to do with the launch of “Mike Dillard Mentoring” next week.
Think of “Mike Dillard Mentoring” as a new and improved version of the coaching program I created last year called, “Live Free And Prosper”.
You can click here to read the Year-In-Review I posted about last week about it, along with some success stories from students.
This mentoring program will be available to anyone and everyone, and Members will have access to a brand new, private Members website with a community forum.
Each month, mentoring students will get the following:
- Two video sessions where I’ll be answering questions submitted by students. They could be website critiques, ad reviews, business model evaluations… You name it. Basically, you get to ask me any question you want, and I’ll produce the answer for you and the rest of the membership.
- A monthly webinar with one of my mentors on various topics, from business building, to investing, to tax reduction, asset protection, and even relationships.
- All of the 40 previous videos and training documents I’ve produced over the last year for LFP students will be included, for free.
- And the most valuable new addition which is something I’ve never done before… A monthly look inside my business as I grow it.I’m going to give you a summary of everything I’m doing to grow Self Made Man and MDM.How I’m getting my traffic, what problems I ran into, and even what the revenues, expenses, and profits were that month. Basically, you’ll get to look over my shoulder, see the numbers, and watch me build this company from scratch.
- An even better price. Last year in LFP, I charged $37 to $47 per month for something I could have charged $1,000 per month for. Well this time, I’m going to make the deal even better. Next week, people will be able to an entire year of business coaching from me inside this mentoring program, for just one single payment of $97.
That’s it. Each membership will automatically renew on a yearly basis for $97 unless you’d like to cancel, and comes with a 60-day money back guarantee so everyone can try it without any risk.
Does this meet my goal of offering 10X in value compared to the price?
Without a doubt.
Finally, that brings us to the fourth component of a solid, functional business model, which is an ultra-high value, appropriately priced back-end product for your best customers.
The monthly subscription business model that I used for LFP is the best that I’ve ever seen for beginners.
If there is one type of business that I’d encourage a new entrepreneur to pursue, it would be the same model I used for LFP… And The Elevation Group… And Magnetic Sponsoring…
All of them were based on a monthly subscription information product that I created around my passion.
The first was the, “What’s Working Now” monthly magazine I started seven years ago in Magnetic Sponsoring. It is priced at $37 and has had thousands of subscribers over the years.
The second continuity business I started was The Elevation Group in the financial education space. I started and ran this business from my bedroom for over a year.
That was priced at $97 per month, and we had over 8,600 members join in the first 7 days, resulting in $3.2 Million in sales the first week.
And last year I launched LFP which produced…
$241,759 In Income In The First 30 Days…
So this is clearly a business model I understand VERY, VERY well, and I continue to use it because I have yet to find anything with more benefits for someone who wants to run a simple, profitable lifestyle business.
So in March I’m going to launch an incredibly detailed, step-by-step program that will teach you how to create a monthly continuity business around your biggest interest, hobby, or passion.
The price will be around $3,000, and include your own version of my MDM Membership site, which has cost me around $7,500 in custom programming to develop over the past month. You’ll own it, so you’ll be able to change and customize it any way you want.
The goal of the program is to allow someone to start from nothing, and end up with a fully-functional membership business within 60 days.
So Here’s How The Numbers Should Add Up…
My goal is to acquire 100 front-end MDM customers per day at $97 each via Facebook advertising, and the Self Made Man podcast audience.
100% of that revenue will go back into the marketing budget, so I can basically spend up to $100 to acquire a customer. This is referred to as your “CTA”, or “cost-to-acquire”.
From previous experience, I can safely assume I’ll have a 5% conversion rate.
That means that I should acquire one new paid customer for every 20 leads, or “opt-ins” I generate.
$100 divided by 20 leads, means I can afford to spend up to $5 per lead in order to generate 1 customer for $100 or less.
So to generate 100 paid customers per day at a 5% conversion rate, I’ll need generate 2,000 leads per day.
2,000 leads X 5% = 100 customers.
I believe that 5 out of every 100 MDM customers will be interested in creating their own membership business.
5 x $3,000 = $15,000 per day in profit.
$15,000 X 30 days = $450,000 per month, or $5.4 Million per year, which is almost double what I’ll need to fund the hydroponics company.
But that’s not all…
If I’m acquiring 100 new front-end customers per day, that’s 3,000 per month, and 36,000 per year.
As it will be clearly stated during the sales video and checkout process, this membership will renew automatically every 12 months unless the person cancels.
What happens if only 50% of those people renew for a second year?
That would be 18,000 memberships renewed at $97, which produces an additional $1,746,000 in completely passive profit in year 2.
So Let’s Sum This Up…
Does the podcast provide an incredible amount of value, and meet my personal mission to lead others into their greatness, and create works that change the world for the better?
Does my Mentoring program meet the same requirements?
Does teaching a select group of people how to create financial freedom through their own monthly membership business meet the same requirements?
Will this plan of action realistically allow me to raise the kind of money needed in order to fund my hydroponics business, which will revolutionize the health of families around the world by reducing organic produce prices by over 90%?
So this is the big plan for 2015, and I’ll be documenting the entire process and my results inside Mike Dillard Mentoring starting on January 12th.
If you’re not on my email list, and you’d like to make sure you get the link when it opens, I created a VIP notification list for you here…
But in the mean time, let’s keep the training going…
In my next post this week, I’m going to walk you through the creation of the Self Made Man side of the business, including the formation of the LLC, my process for creating the company logo, who’s helping me build the website, and much, much more…
In the mean time, please share your thoughts and what you learned from today’s post in the comments below. If you got some value from it, please feel free to share.