Bedros Keuilian: Maybe they’re easy to reach because they’re in college and you can access them by marketing at their university but there is one fatal flaw. Most college students don’t have money so there has got to be a starving crowd that’s easy to reach with the finances available to afford your services. So once you’ve got that in the center of the triangle, then on each leg of the triangle, you write the following.
Leg number one is continuity or EFT that we just talked about. Leg number two is leverage or I will use the word that I created, “leveragable” and leg number three is multiple income streams.
So here’s what I figured out. There was no way I can make $1 million a year with just one personal training studio. Oh, you can but you really have to have everything dialed into a [0:00:56] [Inaudible] but I knew that if I had a personal training studio and I had a second personal training studio, it would be easier to make $500,000 with each of them than $1 million with one of them.
So all of a sudden I figured out that multiple income streams are better than a linear income stream. So leg number one is multiple income streams because today you can have info products. You can have boot camps. You can add online training. You can do in-home training and one-on-one training at a studio, group training programs. You can literally throw supplements in, affiliate programs.
So there’s all the different multiple income streams and if you have 10 different income streams and each of them only generate $100,000, well there’s a million.
Now the other component there has to be continuity because like I explained with [Indiscernible] a minute ago, unless you want to start from zero again at the first of the month, you’ve got to have EFT so that it’s like compounding interest. Each month, the numbers grow and grow and grow and the model that I use – in fact, I just did a Camtasia screen capture this morning and I’m going to put it on my blog and so your people can go to my blog later this weekend to see it.
But basically I talk about how you can take an ebook and add a membership site to it and how adding that membership site in 12 months can make you $100,000 a month but if you just rested on the [0:02:22] [Indiscernible] of selling that ebook and had no membership site, you had to sell a crapload of ebooks each month to get to that $100,000 but on the other hand, if you have a membership site of continuity, you just need to sell a few ebooks a day [Indiscernible] ebooks a month to get to $100,000 from that product.
So continuity is important. You can do it in your personal trainings, in your boot camps or your gym memberships, information products by having a membership site and then finally the third leg is leverage.
Well, if you have a personal training studio, that’s your ultimate goal, that’s awesome. You’re running it and [0:03:00] [Indiscernible] and you’re in charge. But why not start a boot camp and plug in an employee to run it? Now you’re leveraging that employee’s time and that person to run your boot camp and even if you’re doing a 50-50 revenue share for that boot camp, you’re getting 50 percent of the income from that boot camp by doing nothing but just setting it up, setting up the systems and [Indiscernible] and now you can also leverage technology so that ebook that we just talked about.
Once you’ve set it up and dial it in, even when you’re sleeping, you can leverage technology to create money for you while you’re sleeping. For example the product that you just launched, Kaiser. There have probably been days that you’ve woken up and you go, “Holy crap! I made it sell while I was sleeping,” right?
Kaiser Serajuddin: Yeah.
Bedros Keuilian: Yeah. You leverage technology. No one has to pick up a phone and take that order so you leverage technology. So you can leverage technology. You can leverage people and you can leverage money and by money, I mean you can use money to go to Elance or Rent-A-Coder or Guru.com and find other people to do the work for you.
So you can write your ebook as long as you can explain your content to them. There are web guys who charge you like 150 bucks to create your membership site and so you don’t have to do any of this. So as long as you can create that triangle of the Seven-Figure Formula, have a starving crowd that’s easy to reach, who can afford your services and then you plug in leverage, multiple income streams and continuity, I can virtually guarantee you seven figures within 12 to 24 months. Simple formula.
Kaiser Serajuddin: Yeah. No, excellent advice. Yeah, and it’s a formula that can work really for any business but when you apply to training, you really see – we can see some amazing things happen.
Bedros Keuilian: Yeah, absolutely. The thing is, we’re so used to – and it’s not our fault. I mean [0:04:53] [Indiscernible] training started. I don’t know the roots of personal training but I’m guessing some 20 years ago, big celebrities like Madonna decided they want to work out on their own so they hired some trainers and they paid by the hour, whatever, 200, 300 bucks. And in fact, I remember when I first got certified, I did real simple math. I saw an ad in Muscle and Fitness Magazine back in the early 90s that said, “Become a personal trainer. Earn up to $100 an hour.” So I did the math. I said, “Well, 100 bucks an hour. If I worked 8 hours a day, that’s 800 bucks. Ha! I could live with that.”
Well, no one tells us that one, there comes a point in time we’re not able to afford 100 bucks. Two, if I’m going to train for 8 hours in a day, I probably need 12 working hours to get to my next client or to get things done because there’s no way you can have eight consecutive clients back to back and if you did, probably your bladder will burst because you have to go to the bathroom.
Kaiser Serajuddin: Yeah.
Bedros Keuilian: Right? So there’s all these variables that no one tells us about and so we charge – actually today, I will go to someone’s website and I will see that they have a per session rate. Buy one session from me for $89. What the hell is one session going to give a client? A client can’t benefit from one session. They probably can’t benefit from three sessions and you’re not going to be able to pay your mortgage or your rent or car note on three sessions. So why the hell sell single sessions anyway?
Kaiser Serajuddin: Yeah, yeah.
Bedros Keuilian: So all of a sudden, all of this kind of started to make sense to me that one, we need to think like a business. Forget the one to two sessions. We need to sell big packages. We need continuity or EFT. We’ve got to niche. We’ve got to specialize to a market. Oprah Winfrey owns all the housewives throughout the world. She owns them and when she says, “Go buy this book,” that book will be sold out on Amazon, on Barnes and Noble, any website or bookstore you go to. She has a niche. Tom Leykis or Howard Stern, they have a niche. They cater to guys. Guys 18 to 35 who drink, who party, who want to get laid and when they say, “Go do X, Y and Z,” they’re the experts. They’re the specialists and these guys go do it. So [0:07:10] [Indiscernible] let’s create a niche. Be the specialist and not a generalist and make tons more money and it works.
Kaiser Serajuddin: Yeah. Some really good advice there, man, and I’ve been taking notes furiously too. You’re one of the guys I love to learn from and just glad that I could expose everybody to some of the stuff that you know. Now, in general, everyone can meet you and not only that but you put together a great conference where you have really a bunch of all-stars that are going to show everyone not only their [0:07:41] [Indiscernible] training but beyond. It’s coming up in early May. Can you talk about that? It’s a business summit, right?
Bedros Keuilian: Yeah, yeah, absolutely. And the way the whole Fitness Business Summit manifested itself is through – well, two parts – through my frustration and then by the fact that I got rejected. I got rejected by IDEA. I put out an application in 2006 [0:08:04] [Indiscernible] conference and they rejected my topic and they said, one, it’s too renegade and it’s too mavericky and by the way, that’s how I created the whole Renegade Fitness Marketing Workshop. They said it was too renegade of a topic.
It was very pushy and punchy and over-the-top for their market and really all it was, was about direct response and how to move people’s emotions because nobody buys on logic. So I don’t think it was edgy at all but anyway, that was their argument so they rejected it and so that very year, I went to the IDEA Conference and realized 95 percent of the presentations are not about meeting clients. It’s about getting another certification. It’s about learning to teach pole dancing, about the next spin class, about how to do [0:08:50] [Indiscernible] and that’s all fantastic. But if I don’t have a goddamn client, who am I [Indiscernible]?
Kaiser Serajuddin: Yup.
Bedros Keuilian: Right? So finally, I got so frustrated and I was so pissed off that I got rejected, that I said, “Forget it. I’m creating my own live event.” So in February of 2007, I created the Fitness Business Summit and we had 180 trainers show up from all different parts of the world and it was literally three days of just hardcore business growth knowledge and I rejected everybody who had spoken at the [0:09:25] [Indiscernible] or the NSCA conferences or the IDEA conferences. I said, “If you are not in the industry today actively making six figures or more in your niche, in a boot camp, running a personal training studio, doing in-home one-on-one training, doing online training, if you’re not making the money that you’re …