THREE WAYS TO GROW A BUSINESS

Most people grow their business incrementally and linear, because they fix in only on
growing more clients. But, if you grow clients and you focus on increasing the size of the
transaction and you increase the frequency of each client’s purchase, you’ll increase your
revenue and income 100%, 200% or more.
If you work on all three ways to grow a business at the same time, and all you did was
improve all three ways by a mere 10%, it brings the power of geometry to bear. I have
this quick exercise I put people through—it shows that if you had 1,000 active—clients,
and if you had an average order of $100 for each time they were coming in, if they
bought two times a year, that works out to an annual revenue of $200,000.
# of Clients Transaction Value per Client Transactions per Year Total Income


1,000 x $100 x 2 = $200,000

But if all you did was increase those three categories by a mere 10% each…
# of Clients Transaction Value per Client Transactions per Year Total Income

1,100 x $110 x 2.2 = $266,200

It would increase your annual revenue to $266,200—a 33% increase. And if you
increased those three categories at the same time by 25%, it would almost double your
performance to $390, 625.

If you don’t focus on geometric growth, if you don’t work on the geometry of your
business, then you’re going to always work harder for your company than your company
will work for you. Your goal is to get your company working harder and harder for you
in a perpetual manner. To put systems in place that will sustain, thrive and survive so
you’re building an asset¾an asset that will be worth so many times more than the mere
increases in income, in earnings, in salary or in dividends that linear thinking produces.

POWER PARTHENON OF GEOMETRIC BUSINESS GROWTH

This concept is predicated on the very, very simple assumption that 99% of all companies
today, and 99% of all companies ten years ago, generate the vast majority of their
revenue, and income from one primary revenue activity. And that’s the dumbest thing in
the world, because with just one pillar supporting the entire revenue stream (it looks to
me like a diving board,) it is very, very, very precarious. A diving board has never been a
means for propelling anyone upward to growth on a sustained basis. You do go up for a
moment in time, but eventually you plummet back down. I try to get everyone I work
with to build pillars and pillars and pillars¾not unlike the Parthenon in Greece¾of
additional, complimentary revenue and income-generating approaches borrowed from
outside their industry. And if each one only adds 10% more… 15% more… 20% more…
the combined geometric effect can be hundreds and hundreds of percent growth. And
everyone thinks that my press and my track records are almost hyperbolically ludicrous.
They’re not. I’m just one of the few people who understands how much more you can
actually get out of an opportunity, out of an effort, out of a day.