Systems vs. Culture: The Core Mechanic Behind the Team Building Formula

Because I'm going to tell you something I heard on audio a long time ago. Building it is easy. Holding it together is a hundred times more difficult if you don't do it right. And almost nobody knows how to hold teams together. Almost nobody.

And that's why they're running around like ragdolls all the time, scrambling. I don't want you to have to do that. This is what I want to liken growing an organization to. I want you to do it like if you look at the way a church grows that's really hot, right?

Or if you've ever been in a company that turned from one person to 10 to 100,000. I started my company, right, with one vision. I got a few people to buy into it. Then I got 30 people to buy into it. That month we got 8,000 to buy into it.

That year we got 30,000. That was in the middle of problems. By year two? We're over 100,000. Today over 300,000.

There will be days when we're over a million, right? I could not possibly even know the people in my organization. I don't know all of your names. I haven't seen all of you. I haven't seen all of your faces.

A lot of you are new and you're here for the first time. Some people in my team I've sponsored and I don't even know who they are and they've been on every webinar I've done for the last three years, okay? That's something most people don't think about. You've got to build a relationship with your leaders. Well, what if there's too many of them and you can't?

Isn't that a better way? Why don't we create so many that we can't know them all, even with memory tricks? You know what I'm saying? Why don't we do that?

That's what you want to do, okay? That's the way you want to grow and there's some steps in it and there's some things that you can do. There's some things that will cause that to work in the way that you want it to work. Does that make sense to everybody in this room right now? Right?

That makes sense. So today, I'm going to give you the beliefs to do that. I'm going to show you how to change your beliefs too, okay? I'm also going to give you some strategies and I'm going to show you how to deal with things that come up. Today is going to be, the majority of the day is going to be how to deal with things that come up and the principles behind it.

Because when you're bringing in a lot of people, he asked, I want to learn how to bring in people. I'm sorry, I'm not teaching that in this. I'm teaching you how to deal with them because none of you know how to do that, right? Almost nobody, because nobody teaches it. They're too busy trying to teach people to sponsor.

Well, sponsoring is easy. I taught that in the previous course. It's the easiest thing ever once you get it, right? This is what to do with them when they come in, because if you just totally ignore them, they go away, which isn't a good thing, right? If you do nothing, they go away.

So you can't do nothing, right? And if you help them all, what happens? Your life sucks, and then their life sucks, and then their life sucks, and it duplicates, right? So let's put this together in a way that you guys can learn how to build a team through systems, okay? Through systems that are not dependent on you, which is your problem, by the way — what you're doing is dependent on you, and that's why nobody in your team ever grows beyond your sphere of influence, right?

If you learn to think about it like that, then you can take responsibility for it. And I always like, by the way, the responsibility model. If something's going wrong, consistently, you could either say, oh, it's, you know, the company or the product or the comp plan or the tools, or you could just say, what am I doing that's causing this problem to happen over and over and over again, just thinking it will go away. Problems don't just go away, you know what I'm saying? They don't just go away.

They don't. So I'm going to teach you how to teach your team to make a lot of money, and everybody here is welcome. So if there's people here who are building other downlines, other teams, I'll use you as examples, too. I want you to feel comfortable and safe here because we respect each other in this company, this niche. We respect each other.

And more importantly, I want to form a community around these concepts to where we're working together to help grow each other's teams, right? Because if we work together to grow each other's teams, we can help each other. We can help people overcome things rather than trying to do everything on our own. Because when you try to do everything on your own, you're not going to be able to do everything on your own. Not only can't you, but the problem with it is, then your team tries to do that, and if that's all your team and you and your whole organization is doing, your organization will never grow past a couple hundred people unless you're a superhuman, and then it might grow to 300 people.

And that's it. And in this business, with 300 people in your team, you make almost nothing. Right? You might have a big month, and then it's back small. Right?

And you just got to scramble all the time to deal with it. You know what I'm saying? So what we want to do really is liken it to this, okay? I want to help you build your organization in a way where you can get out of the way, and you can just give people the best.

When I started in this industry, it's a lot like my first car. You know, I started driving around at 21 years old, bought my first car in Phoenix, Arizona, didn't have insurance on it. I probably shouldn't say that in a video, you know. I was just hoping and praying that the cops would never pull me over. Luckily, in that car, they never did because I was afraid and I drove slow those days.

Right? They're trying to delete what I'm saying out of the conversation, right? So I had this car, right? And it broke down all the time. And on the way driving home, this car broke down on the highway, and I gave it to a Mexican family who finally, when I passed out on the side of the road, picked me up and drove me back down to Phoenix.

And I said, here, just take the car. And they were so excited, it was unbelievable because they knew how to fix it, right? So that was the car I had. Back in Miami earlier this year, we drove down there and we rented an Audi R8. Anybody here ever drove an Audi before?

Everybody drove an Audi? Right? You have? You've driven one? They're fast, aren't they?

Yeah. You put your foot on the gas, by the time your foot goes from touching the gas to the floor, it's at 60 miles an hour, no matter how fast you push it down. You sit in the car and you go like this, 60 miles an hour, right? That's how fast it is. It's unbelievable.

It's like driving around a Starship Enterprise on the road. You know what I'm saying? I'm a dork. I grew up watching Star Trek, you know, so dorks can do this too, right? Zero to 60.

Like that. Right? So that's what we're going to do together, is I want to form a community where we help each other build each other's teams using this information. Because most of our teams, they're dragged down, right, by people that just don't know how to build a business and have a life at the same time.

They don't know how to do it. So here's what we're going to learn today over the course of the day, kind of in this order, okay? Number one, I'm going to teach you guys the background. I'm going to teach you guys the background principles of why this stuff works, right? Now, I'm big on principles and there's a lot of reasons why.

I'm going to talk about why in a minute. I'm going to teach you the background principles of how this stuff works because if you know why it works, when stuff changes, you can still do it. If you don't know why it works, when stuff changes, it doesn't work anymore and you're stuck, okay? You're stuck. I'm going to teach you some formulas you can apply in different kinds of situations where stuff is going to come up as you're building your team.

I'm going to show you how to deal with it. I'm going to give you examples all through the day of dealing with everything that you could imagine happening as you build an organization. I'm going to show you how to apply those formulas in a way where you're not doing everything. Because if the problem is if you're doing everything, I promise you your team is never going to grow big ever unless you get lucky and somebody in there just works their ass off and doesn't listen to you at all. And that's exactly the opposite of what you want, isn't it?

That's the problem that most people have in this industry. So I'm going to teach you some principles, some formulas, some strategies. Strategies primarily focused at production. And production, I mean getting your team to produce too.

And learning what to do with them to cause them to produce. Right? To cause them to produce and to cause them to duplicate. And you're going to be able to take this and apply it and overlay it over everything that comes up ever. Now, you do need a team in order to do any of this stuff.

You do need to be recruiting or you need to be selling. And if you're not doing that or you don't have anybody in your organization, go back and learn what's in the top producer formula and learn these strategies on how to recruit. And as you're recruiting, come back and learn this stuff. Right? Because this is what to do when you get them to where you can maintain the level of freedom that you got in this to achieve.

Does that make sense? So formulas to build your organization. We're going to talk a little bit about culture today. Okay? We're going to talk about how to keep organizations together without having to hand-hold everybody.

We're going to talk about duplication and production systems with a primary focus on team building as you're building your organization. The best state that you could be in right now leaving this is having a laser focus on bringing in as many people as you possibly can personally to whatever you're in. As many as you can. Sometimes people say, how many should I recruit? Here's the answer.

As many as you possibly can. You want to build an organization fast or slow? Then you recruit as many as it's possible to recruit. That's what you want to do. Do that while applying these strategies and your team will start to grow differently.

It'll start to look differently. Does it make sense to everybody in here? Because this is what we're really doing with people. And I talked about this a little bit earlier in the weekend. I'm going to talk about it more through this.

I'm going to show you a little bit more on how to do it on a big level. What we're really doing when we're building teams — somebody in here said I want to teach my team to transform and rebuild. I want my team to transform and reach their goals. People say things like that all the time. Right?

What we're really doing when we help somebody achieve their goals is we're creating belief changes on the inside. Belief changes on the inside. Because belief changes on the inside produce action changes on the outside. Like an evangelist, sort of. You know what I mean?

Like an evangelist. You know, like I don't even go to church but I study these big organizations and stuff. And so an evangelist gets up and, you know, they say things like believing in — believing in God. Believe in you're saved. Right?

But they also say, well, you don't need to do anything, but when you believe, you do. Right? They say that. Which sort of drives me a little bit crazy listening to it. But the reality is when you believe something different, the way you act changes.

Right? The way you act changes. And a lot of you have been building your organizations without affecting people's beliefs. When you don't affect people's belief systems, when you don't get them to believe in themselves, when you don't get them to believe in what they can do, it doesn't matter what you teach them to do. They won't do it.

And if they do it, it won't work. How do I know that? I've got lots of people in my organization. Some people send people to the same capture pages, same sales pages, with the same list sources and sponsor nobody at all. Other people are using the same stuff and getting 10% conversions on their list.

Why? I'm going to teach you why. But just as a background, it's the energy that's around how they're bringing people together. How they're bringing people in that's different. You know, you look at somebody — we had AK up here earlier in the weekend, right?

When he brings people in, they are getting in. Right? You talk to Paul. Some of you guys know Paul Gardner, right? When Paul is bringing people in, they're getting in, or he's ground and pounding them, right?

He does MMA, right? He's just going to tackle them and hit them in the face. I mean, he is going to get them in no matter what. Right? So they can use the same presentation, same tools as somebody else.

I used to have, you know, we used to have these DVDs we passed out. Right? And you know what's interesting about that DVD? It didn't work at all. Right?

And here's why you know it didn't work. Mail out a thousand of them. See who joins. Nobody. Right?

But the guy who made that DVD was so convincing that if you would just pass these things out in this certain way it would work, that when you passed it out, you were staring people in the eyes, you were holding it and you were saying, you got to promise me you're going to watch this. Right? So I'm actually creating a placebo in a person for my energy. Right? For my energy.

Does that make sense to everybody in here? Doesn't make sense to most of you. Right? You're like, no, that does not make sense. So we're creating belief changes on the inside that affect people on the outside.

All right? That's what we're really doing when we're building a team, when we're building an organization as we're leading people. Now let's get into some core concepts, and then we're going to take a short break and we're going to get into some principles. Okay? Core concepts to understand what this industry is and how it builds.

And I want you guys to get this because if you don't get it, you're always going to wonder how stuff happens. Right? But if you get it, you don't have to wonder how it happens. You could just understand how it happens and you could change what's going on. So a couple of things that you really need to know to get the results that you want in your business.

Okay? Let's talk about them. Number one, who should be building systems for their team? Anybody know? Huh?

Yeah, maybe me. Right? Who should be building systems? Seriously. The leader?

What does it mean to be a leader? Yeah, somebody who has a team. Okay? So we got really ambiguous answers. How many people in here have once, at one time, gone to build a team system when you weren't successful at all?

Be honest. Who in here has done that or attempted to — be afraid to raise your hands? Right? Yeah, you. Yeah, we talked about that.

Right? Yeah, this guy over here, and we're not going to put him on the spot too much, but, you know, because he learned. He was not building massive success. He had a guy that was. So he's like, I need to build a team system to support this guy.

Right? To support him with what? How to get a guy and wait around while he does everything? You know, let's teach you how to do that. You know what I'm saying?

So a lot of people, they build systems, and they take this information. They're like, I'm going to go build a training system. I'm going to go build training products and stuff like that. Well, guess what you can't do if you're doing that? You can't do anything that's going to make you money.

You can't do anything that's going to make you money at the same time. Right? I actually don't like building systems. I'm going to be honest with you. I do it, and I don't like it, but I have to because I know how to do it.

Right? I actually don't like it, though. I don't enjoy doing it because doing it doesn't make me any money when I'm doing it. Right? So we've got to get away from this thing where you think I've got to be some sort of a guru to succeed.

Right? Here's who should be doing it. Somebody who's making a lot of money and producing big results. And when I say a lot of money, I'm going to put a definition on it. Right?

And then I don't think you should be doing it a majority of the time. That's going to be the minimum. And you say, that's a lot of money. You know, for a lot of people, it used to be to me, too. You know, I understand that.

Now I can't even pay my bills with that. Right? Lana just laughed at that. It's true. Right?

But here's the reality. Right? You're out there. You're trying to do something that's not making you any money. It's not making your team any money.

Right? What are you doing if you're making a training video? Right? For your team that's not there? Yeah.

You're sitting there planning a video that's not going to sell anything. That's not going to help your team sell anything. And even if you were going to teach them how to sell, you don't know how. Because if you knew how, you wouldn't be making that video. You'd be selling stuff.

Right? Does that make sense? So somebody producing big financial results. Somebody who's a proven leader and has proven to create leaders. Right?

Somebody who's proven not just to be a leader but to create leaders around them. That's different. Right? Somebody who's created some results. Sometimes they go out and they say, I want to teach people how to do this.

But they don't have any success in their organization whatsoever. Right? So you're going to teach people what? How to produce all the time and then build a team system and then be a slave making videos all day and night? Is that what you're going to teach people how to do?

We all learn to think differently. That make sense? So who should be doing it? People who are getting big results. Who are edified by their company.

Edified by their upline. Edified by their team. And who are being a team player. Right? And who are ready to do that.

That's who should be doing it. And some of them don't need to. A lot of our biggest leaders in my organization don't want to. For good reason. Neither do I.

Truth. Right? So who shouldn't? Probably you. So I want you to free yourself from that just for a second.

From the need to control everything. Stop it. Right? You don't need to control everything.

Right? Law of attraction principle. Let go of control. Or just let go of it.

You don't need to control everything. Because this is what we got a lot of times. Especially on the internet. Because that's where I live. You know, I live in this online world.

Because I live in a country that, you know, is away from most of my organization. I picked one where there's not very many people in my team. So I don't constantly have people running around saying, are you Dave Wood? Right? Happens to me a lot in a lot of weird places.

You'd be surprised. Right? Happened to me one time. I was in Mexico. Right?

I was in Mexico. And I was in this Hummer limo. And we were going out to this nightclub. Which you don't say nightclub in a Spanish country. It means something different than it means in the States.

Right? Now, if you say, I want to go to a nightclub, you end up going to a strip club rather than a discotheque. Which is what they call it in Central America. Right?

So just if you ever go there, you know. Some of you are like, I'm going to the nightclub. Right? Anyways, I'm in this limo. Right?

And I open the door at a club I had never been to in the middle of Mexico. And this guy goes, oh, my God. Right? I only had at the time about 150 people in Mexico. 500,000 down there.

And I literally could not believe it. And so what I did was I shut the door. And I was like, go, go, go. I'm on vacation. You know what I mean?

I came here because I didn't know anyone. Right? So in any case, you know, I live in a country where there's not. So you got to be able to do things that grow a little bit differently. Does that make sense to you?

You got to be able to grow things a little bit differently if that's what you're doing. Right? So for me, I don't want to build team systems. But nobody should be doing it, especially if they're broke.

You know, you're going to write an e-mail. I got started. I'm going to write an e-book on how I live in my mom's house after seven years of network marketing. You know? And I moved out of the van to move there.

And she gave me the money. This is how I did it. Buy it now. You know, as a part of my system. And then I'm going to make 800 instructional videos on how you can do exactly what I'm doing because it's so attractive.

So stop that. You don't need to do that to build organizations. Does that make sense to everybody in here? Right? So what's network marketing and how does it grow?

One second. Network marketing and how it grows. Well, these two things are confused a lot by people. And they're two different things. Producing is not duplication.

Okay? Everybody repeat after me. Producing is not duplication. They're different. Okay?

So what's the difference between the two? Producing is selling stuff. Okay? Duplication is selling stuff in a way that as you're selling it, reinforces itself by causing other people to sell it. Okay?

Does that make sense to everybody in here? We're going to talk about viral sustainability a little bit later on and how to create that in organizations. But duplication is building something in a way whereby selling it, the act of selling it causes other people to sell it. Does that make sense? Now that sounds confusing and it sounds like a mouthful.

And part of the reason why I think people outside the niche make fun of us so much. You know, somebody said, well, what do you do? And they're like, so wait, wait, you train people on how to train people, how to train people to get people to get people to get people. You know what I'm saying? It's like, well, yeah.

Right? But most people don't know how to do that. So what do they end up doing? They end up just selling stuff. Right?

You end up selling stuff. And it doesn't duplicate. Duplication is not a perfect mathematical growth pattern. You are never going to get five, we'll get five, we'll get five, we'll get five, we'll get five and have 78,000 people on the seventh level. Sorry.

Or anything remotely close. You might get one guy that then has 78,000 or 200,000 people. Right? But organizations don't grow like that. There's patterns in the way that they grow.

However, duplication is building something in a way when once you start it, it continues to go when you're not there. Does that make sense? It reinforces itself. What's the difference between... And here's a question for you.

Does residual income really exist in this niche? Who thinks it does? Residual income. Right? This is the image people generally have of residual income.

Right? Not how it works. Not how it works at all. I think we should actually just stop saying that. I just think it's not a good word for what we do.

Residual income is like insurance sales. Most of us in this niche don't sell insurance. If you do sell insurance through downline, maybe you actually have residual income. Right? But especially in this industry, I mean, companies kick people out and stuff.

Well, if they kick you out, your income wouldn't be very residual. A lot of people have had teams fall apart. So you, like, get 30 people. Right? Now, there's nothing wrong with that except for that income is not residual because people cancel all the time.

Oh, no, not my product. People never cancel my product. Really? Like, what is it that you sell that people don't cancel? Because people cancel everything.

Right? They cancel everything. So if you're expecting to get 30 people who just stay in forever, not going to happen. If you're expecting to have 100,000 people and they just stay there and nobody produces and everybody just orders on auto ship forever, not going to happen. There is no such thing as residual income.

We need to stop saying it. Right? Because that's really not what we're looking for. What we're looking for is making money while we're not doing anything. That make sense?

That is different than residual income. So let's talk about what we actually do. Productive income. Okay? And what's that?

It's income from people producing sales. Some of those sales are residual right now because people are continuing to order. Right? Most of it is from new people all the time. Right?

And you've got to be okay with that. And let me describe what I mean. I was in a company. They sold vitamins. Right?

And then I got out because I was burnt out because I was so sick of the meetings and stuff. You know? I think the people that continued to just be on the phone all day were like not just only taking vitamins. They were sprinkling it with some sort of illegal stimulant to stay alive. Right?

But in any case, so I'm in this thing and then I leave and I'm making money on the internet. And I'm making money on the internet. And this is a time when it was like you — I was producing a lot but nobody was ever duplicating. Not ever.

Right? Not ever. It was like I'd get one guy and he was producing two. But that's not duplication. It was two people that produce a lot.

Nobody else was doing anything. So it was me and this guy. Right? And then I eventually got like four of them. Right?

And nobody else in my entire organization was doing anything. Right? So that's a problem that most people have. Now here's the reality though.

So I meet this guy. Years later. And he had one of the bigger organizations in Israel. Right? And I asked him how big his team was.

He was like 70,000 people. At the time it was like mind boggling to me. I was like, 70,000 people? Right? Now I was curious because I know vitamin companies which have usually really bad retention.

It's not necessarily a bad thing. They just have, you know, on the retention scale vitamins are like, you know, down towards the bottom. Usually. People say I want to build a residual income because it's a traditional product that ships in the mail. It's not a residual income anyways.

That's usually what happens. That's what happened in my organization. Right? So in any case I asked this guy — 70,000 people.

That's amazing. I said let me ask you a question. How many of those people are replaced every six months? You know what he told me? That he needs to bring in 50,000 people.

Every six months. Or his organization goes backwards. So he has a team of 70,000 people maintained by 50,000 people every six months that are new. Now before you say oh wow that's so awful. That's normal.

Okay? That's how this industry grows. That's just how it is. And anybody who doesn't tell you that isn't honest about it. Now there's varying levels of it.

But if your organization gets big enough there is a cracking point to every level. Right? So if you have 10,000 people you need to replace a certain amount of them every month. Okay? If you have 100,000 people that number is higher.

If you have a quarter million people that number is higher. If you have 300,000 people it's higher. If you have 10 million people it's higher. Right? Now here's the key.

You can't possibly, and neither could this guy, bring in 50,000 people every six months. That's why if what you're doing is only surrounding a small level of I'm producing, you can't have a big team. Because you can't bring in 50,000 people every six months. That's done through duplication of an army. Now you can get your retention better than that.

There's some strategies to create retention. But the reality is that's what you're doing. That's why I call it productive income. Because if it's residual we just have to say well it goes from 70,000 people to 20,000 people. Because nobody's doing anything.

Not the case. So we're producing all the time. Right? Then you have to think differently, don't you? Because here's how you got to think.

This is what you got to realize. If your organization is being replaced every six months, 80% of it — and you can get better than this but I want you to think in these numbers here for a second — then whatever you're teaching has to be able to work with 50,000 new people every six months. If it doesn't, you can't maintain that and you'll never have it.

Does that make sense to you? Everybody in here does that make sense? Sort of. You're like that's mind boggling. Right?

It's the way it is. What do we do with the way it is? We try to fight it? We say oh no I don't ever quit my organization ever. Right?

Sorry. You get new people. People quit. I actually had an illustration drawn out for me a while ago. I don't have markers.

I think they're here. Okay? I had an organization diagram drawn for me a while back. You know, fascinating enough, it looked a lot like a pyramid. Okay?

And this is kind of the way that it looked. This was called the attrition triangle. Right? The attrition triangle works like this.

You've got new people. People that are just joining. Right? And they come in and out of your organization like this. They're like I'm going to be rich.

I'm not. I'm joining someone else. I'm going to be rich. I'm going back to my job. God told me to do it.

God told me not to do it. Right? Anybody ever have one of those? Yeah. God.

I had a vision the other day. You know. And an angel appeared in the vision and told me to join this business. So they get a feeling like God doesn't want them to do it anymore. You know what I mean?

That's like I've got a problem. You know. Because God is doing this. And so I can't change it.

God's not an idiot folks. You know what I'm saying? So in any case, I think if God knows everything, you know, he's not changing his mind every four minutes like people do. You know what I mean? I would think that if you could create a universe, right,

if you can create a universe like this or whatever, you know, I would hope that you're not changing your mind all the time. Because then you say,

I don't want this universe anymore. You know what I mean? Oh yeah, I want a universe, I don't like it.

You know what I'm saying? We're all screwed. You know what I'm saying? So God changed his mind in two days. Right?

I like to blame everything on other people. Right? So you got low level attrition. Right?

And then you get people making 100 bucks a month or something. Attrition slows down. Right? And then you get them making 500 bucks. Attrition slows down.

You're making 1,000 bucks. Attrition slows down. You get them making 5,000 bucks a month. Attrition really slows down. That's according to the DSA.

If you want to keep people around, you got to get them making 1,000 bucks a week. That's when they stop quitting in large numbers. Everybody else is constantly being replaced. They realize it's hard.

They think they don't want to do it. Right? I'll give you an example. I had a guy. Bought $1,000 of vitamins when I was in that vitamin deal in 2007.

Right? He never took one of the vitamins. And I know because he came to every meeting every week. You remember this guy? I can't remember his name.

Him and his wife, they came to every meeting every single week. Right? Never brought a guest. And one day I went to his house, which is a little apartment. And I saw his entire starter pack of vitamins sitting in his closet.

And he'd come to every meeting. I said, you don't take these? He says, no. I'm waiting to hand them out as samples. I was like, waiting for what?

You've been in six months. He says, I'm waiting for the right person. I was like, have you given any of them out? No. I'm waiting for the right ones.

Right? Sometimes people are like this who get in this business. They buy a course. They never go through the course. Right?

And it's no different. And you've got to learn to accept that because that's the way people are. Somebody gets in your business and they're excited and they buy something and they never use it. Right? Or they use it but they want to use it for something else.

And it's not what you want. And so you're frustrated because you want them to do something specific and they want to do something else. You know what I'm saying? But if you want the attrition to slow down, it only slows down at levels where people are making more money. Until then, it doesn't slow down at all.

Right? And there's nothing you can do to stop it. So you have to build your business a way that brings in a lot of people. And as you're bringing them in, it sustains itself through your systems and duplication. And if you don't do that, your organization can't get big because at very low levels, the attrition will be faster than you can replace it.

And that's what happens. If an organization sticks around you and never leaves you, it's because you've reached your limit to produce faster than the attrition. Okay? You say, I can't do that.

Yeah, you can. Because if the only person your organization is recruiting is you, right, if that's the only person and nobody else is even creating a little success, right, there's only one you. So what happens when the 30% attrition comes out against your ability to recruit?

Well, you might be able to maintain, like me. I could maintain, maybe 400 or more. 400 or 500 active frontline. Right? Which is a lot more than most people can maintain.

I used to have 400 or 500 active frontline with no downline at all. And nobody was doing anything. Nobody. Right? Because what I was doing was so damned complicated.

They couldn't. That make sense? Now, at higher levels, it slows down even more. But it doesn't stop. Right?

Every time people's income goes up, attrition slows down. But it never, ever stops. Because you're talking about large numbers of people. Yes, they do quit. Just slower.

And sometimes they die. You know what I'm saying? Right? You have a big organization, people die in it. Right?

They die in it. Right? Or they get sick of doing it and they quit. Or they say, I'm going to go find my inner child. Or they take a vacation for six months and they were kind of the ones holding it together.

And they just get sick of it eventually. And they stop and they do something else. Or a new hot deal launches and they think they're going to make more money by trying to recruit everybody in your organization to the new hot deal. Can you stop that? No.

It's impossible to stop. Policies and companies can't stop it. I know because I own one. Right? And we don't even try because we realize we can't stop it.

It's useless. It's like fighting the ocean. Right? What can you do if you stand in the ocean? You can ride the waves to shore.

You can let the waves knock you over. But try to stand there and move the waves. Right? Unless you're Moses and have a magical staff.

The waves don't move. Right? These are the forces of nature we're dealing with in organizations and with people. And they have to work within that model or your organization won't work. Let's talk about something else for a second.

Systems versus culture. Right? What's the difference? We talk about this all the time when we're, you know, teaching. People say you've got to have culture.

You've got to have culture. But nobody knows what culture is. Right? What systems are is they're production and duplication mechanisms. Marketing mechanisms put in place by a system or a company where somebody can come and utilize that system to train their team, to sell products, right, to duplicate their organization.

Culture are social mechanisms. Right? Social mechanisms. And there's a big difference between the two. What's the difference?

Systems don't keep people around. Ever. Not ever. Oh, I'm in this great system. It's so hot.

It's a hot deal. What happens three months later? The whole thing falls apart normally. Right? Why does it fall apart?

Because they have zero culture. Why do most big companies fall apart all the time? You look at all the bigger companies lately. Right? And what happens?

They grow really fast. It's like, and then they just self-implode. Why? Because they have zero culture. People are constantly amazed at my ability to keep people around.

Right? They're amazed by it. They don't understand it. Like why do people stay in your organization even when you have problems and stuff? Right?

Like I'm not doing literally anything personally. Right? Nothing. How many of you in here, you're in my team and I've called you in the last year? Right?

Lawrence. Chris. Right? Landon. I called you once.

And that was the first time I ever called you. Right? And you've been on my team for how long? Four years. He's been on my team for four years.

The first time I ever called him. Right? First time. Right? So I'm not doing anything to keep these people around personally.

So why do they stay around? They stay around because of culture. Right? And we're going to talk more about culture in the course that I'm doing here coming up in Charlotte.

Right? But basically what culture is, is social systems. Right? And the way that I like to describe it, it's like the different parts of a church that fit together. Right?

Because I grew up Mormon so it's easy to describe. And most people like grew up in religious families in North America. Right? And if you don't like churches, just imagine a church you don't like and then this is useful. Right?

But then you think about a church and how does it work? Well, you got like a prophet, a visionary leader. Somebody starts with like a vision or something. Right? Or something like that.

Right? And then you've got all of these different mechanisms that hold the thing together. Because churches work the same. People come in, people quit. You know?

I'm always fascinated by these guys that can fit like 10,000 people in a room every week. Like Joel Osteen. Right? It's amazing. And that's a lot of people to keep in a room every week.

There's a lot of mechanisms that go into play in something like that. What are some of them? Right? They meet every week. Together.

And there's new content that they're there to receive. Right? They're there and it's interesting every week. They've got music. They've got relationships with the people that are there.

There's a new sermon. You know what I mean? It might be the same old stuff but it's a different story. You know what I'm saying? You've got different parts of people that fulfill different roles in the organization that are all working together for a common vision.

Right? And everyone's important. See, you can look at somebody like Joel. And he's a great example. And Lawrence lives in Texas and he's Christian.

Right? You think he could keep by himself 10,000 people coming to a room every week? Oh, hell no. He's not that inspirational. He's smart but he's not that good.

You know what I mean? There's preachers I've heard that are just as inspirational where I've gone into a church with 50 people. They can't get more than 50 people in there. Right? You've got a set of rules.

These are the commandments. These are the 10 things you have to do. Look, if you're going to be a part of this church, here's the things you have to do. Moses came out and he said, there are 10 things you have to do. Right?

I agree with that. I grew up Mormon. You had to pay your tithing. It was required to do everything. They wouldn't even let you take the sacrament if you didn't pay tithing.

And they actually tracked it. They have a meeting with you every year where they get together. They review your financials and make sure you pay your tithing. They don't pass out collection plates. And everybody takes 10% of their income and goes and drops it into a box every week with no coercion.

And nobody makes money there. They're all volunteers. How in the hell do you keep that together? Right? Social mechanisms.

Right? Rules. And then you've got marketing mechanisms. Right? I grew up Mormon.

What do they do? They advertise on TV. Some of you guys think I'm in a certain religion or something. I'm not. I'm just fascinated by it because they're the best run volunteer organizations in the world.

Right? And I'm just like looking at this and I'm saying, gosh, I wish I could get 10,000 people together every week. I'm almost jealous of Joel. You know? It's really cool.

They're doing a good job. Right? So they got flyers everybody could hand out. Why? Because all of the new Christians coming in telling everybody about it and being obnoxious about it, they don't know how to explain it.

So they've got to be able to give them something. Right? You have 50,000 people coming through your organization all the time. You can't explain to everybody all the time how to build it. They can't explain it either.

You get a new person. You remember when you were new and tried to explain this for the first time how excited you were and how retarded you looked? You remember that? You know what I mean? There's a guy I had.

His name was Nigel and he came out to Costa Rica. Remember Nigel? You know Nigel. He came out to Costa Rica and I was talking to him and I can't remember his friend's name. What was his friend's name?

Dil. Nigel and Dil. Right? These two Asian guys that lived in England. Right?

And they came out to Costa Rica and they were telling me — I think it was Dil — he was telling me about how, you know, he was out and he met some girl and had a one night stand and as he woke up in the morning pulled out his computer and began to show her the plan. You remember that story? Right? You know, look how retarded new people look when they're trying to explain this. Not only do they look retarded.

Right? Not only do they look bad, they can't sell. Right? They can't sell at all. You guys realize that selling takes time to learn.

Right? Like 99% of the population — we're not talking about whether they have the ability, we're saying right now, 99% of them can't sell at all right now. You put them in front of a room with hungry prospects ready to buy and you say sell something. Right? They can't do it.

For me, it doesn't matter what it is. If there's people ready to buy in the room, I get up and I can sell anything. Right? I know how to sell. Right?

Well, when you're building an organization dependent on your ability to sell, what happens? You sell. That's it. I'm going to tell you that's not really better than a sales job. You might as well sell alarms door to door.

That's what you're going to do. It's not really different. Some sales jobs you get paid higher commissions. You know what I'm saying? If you're just going to sell, that's what you're going to do for a living?

Go sell. You know what I mean? You can sell stuff and actually make money rather than 5% down 10 levels or whatever. You know what I mean? You can actually go make money selling stuff if that's what you're going to do.

It's not fun, but you at least make money. You can go sell cars in a car lot. That's equivalent to most people in this industry because that's how they're building it. So you guys got to know this in advance as you start, because if you don't know it in advance, then you do what I did for years, which was spend years, number one, learning how to even sell. And then once I actually learned to sell and was doing it really well, what happened?

It was me. It was me. And that's it. That's all it was. Like you, you're experiencing that.

Maybe you've experienced it for a long time. For me, I just wouldn't accept that. I was like, this is bullshit. Now, I had a good life. I even sold in a way that didn't consume my day.

I kept together in a way where I was good at culture even then, even with 500 people. So I was good at culture but wasn't good at systems. And what happens when you have one without the other? Well, if you have systems with no culture, you duplicate fast and it falls apart all the time. You guys have experienced that, right?

If you have culture without good systems, what happens? You keep people around and they never duplicate. Right? Make sense? I've always been good at culture because I grew up religious.

And that's essentially what culture is. It's like religion. Right? It's like a cult. Right?

I like to say that because I think it's funny. But it's true. It's the same thing as religion. That's how you keep people around. You have a meeting every week with an inspirational story where you're always teaching something new with new stories and new metaphors.

And you're telling stories about the successful people. And you're bringing people out on stage and you're recognizing them. And you're always aiming at some vision that's far out in the future that nobody's ever realized. Nobody's ever preached towards yet. Right?

That's what culture is. Right? Well, if you do that with no systems, at least you can keep people around, which I've always been good at.

The problem is you're doing everything still. So you're like the preacher with the church with 50 people. That make sense? So let's talk about what it takes for you and what you need.

Right? Well, for yourself, what do you need? You need to have a vision. And your vision has to be attractive to people. Somebody said something like — I can't remember who it was over here, but I think it was you.

And you said something where you're like you want to motivate people to go to carnivals or something like that. Right? And the problem is I heard that and I listened to that and I said if somebody told that to me, right, I would not want to join that. Not ever. Right?

So you got to have a vision that's attractive. Right? When AK got up here the other day, his vision's a new level vision. Right? That is attractive to people.

Why? Because you can tell. You can tell when he says it, he means it. And because you get to be a part of something new. See, the size of a company almost has nothing to do with your ability to build it.

People think, oh, you got to get in something with momentum. Bullshit. The only people who make money when a company goes into momentum are people that know what they're doing and have teams or people that have big lists and big teams and take them from one thing to another thing. And the people that are jumping around from thing to thing to thing all the time, their lives suck. But here's the key.

Somebody jumps from thing to thing to thing all the time because that's how they have to maintain it. They don't know what they're doing. Because if they did, they wouldn't do that. Why are they doing that? They're doing that because if they don't, their income goes down.

Not because they have the secret. Not because they're going to build the biggest thing ever. Yeah, they'll build the biggest thing ever, but they don't have the culture so it falls apart every time they do it. Right? You guys know some people, they just jump from thing to thing to thing all the time.

They start new stuff all the time. They're like, this is a new hot thing. The way to the secret. I got an email from somebody I taught to market and I couldn't even believe it. I was like, you must have just listened to, you know, only the stuff on how to sell stuff here.

I was like — he's like, the secret is, the secret is, right? He said he got involved in the company I run, right? When it was hot and made some money. Well, then what happened?

He doesn't know how to build culture. He only knows how to sell stuff. Right? So his income went down because people won't stay around him. Because if you don't know how to build culture, people won't stay in.

They won't. Right? So people quit and so what does he do? He jumps in a new thing to solve the problem. So what do they do?

They quit. So what does he do? He jumps in a new thing to solve it. He will do that for the rest of his life if he doesn't learn how to build culture.

So you got to have a vision. You have a vision that's attractive to people. You have a vision that's got shared power. Right? A vision that's attractive to everybody in the room.

A vision that's attractive to your prospects. Where you stand in the room and you're not just selling your company or your products. You sell your company and your products, that's fine. But you're selling your vision, what you're going to do. That's what people are going to line up with you for.

That's why they're going to stay around you. You will have some occasions where somebody gets in, they fall in love with the vision of somebody else, your company, your upline, or whatever, and then they'll stay in. However, you'll never build a big team like that. And if you get lucky and get a guy and got a bunch of pass-ups or get a bunch of commissions because your comp plan allows you to off one person, don't think they'll be there forever. They might be.

They might not be. And if they leave, you're screwed. That's what you're doing. You know? What happens if they quit?

You don't know what to do. They'd be like, I'm so jealous of that guy. Even if that's what you do, right, what if they quit? You're dependent on that one person the one time you got lucky. See, Eli, when I was talking to you about you doing your thing, that's my problem with it, right?

Now, your producer's a good guy. Probably stay around, right? But he was building a system for that guy depending on him. That's his source of income, right? You cannot build a business like that, folks.

This is not a lotto. And if you don't know what you're doing, you won't hold it together almost ever. And if you do, you're lucky and you're the one guy that's lucky and you'll be the exception that's like one out of 80 million people or whatever's in there in network marketing, right?

You'll be the exception to the rule. Like, there's a family that has two legs in the Amway Corporation. One of them has, right, one of them has Dexter Yeager in it. The other one has Ron Puryear in it. Well, I'll tell you that person wasn't lucky.

They went diamond years and years and years ago early on, right? So they were actually building. They got two legs. One has Dexter Yeager. One has Ron Puryear.

That makes up like 80 or 85% of the Amway Corporation. That's like $12 billion a year or whatever down two legs. It's not bad. But if you try to be that guy, guess how many people there are like that? One.

That company has like 10 million people in it. There's one. Guess how many diamonds are in it? Thousands. So would you rather be the guy that depends on luck or would you rather be the guy that learns to go diamond?

See what I'm saying? So you gotta have a vision. Number one. Number two, you gotta have a strong source of motivation. Some of you guys, I've seen you for a while and you never do anything, right?

You keep coming and coming and coming, but you never do anything, right? I tell you what to do and I know you don't do it because you never do anything. You never bring anybody. You just keep coming. Now, there's nothing wrong with that because if you keep coming, eventually you're gonna get motivated or something.

Like I'm gonna say something and you'll be like, that's the thing that motivates me, right? Right? Or like you're coming and some other people are looking for the secret. You're just looking for motivation.

I'm gonna get motivated, right? Guys, you gotta learn to be motivated from the inside. Successful people, they don't need anybody to push them to work. Nobody gets up today because I live in another country.

I've been away from my company. So nobody calls me in the morning and says, David, wake up and go to work, right? Nobody has ever done that, right? And when they did do it, I was mad because I hated my jobs, right? So they'd tell me to get motivated and I'd say, go screw yourself, right?

That's why I had a lot of jobs, right? You gotta be motivated by something that's internal that doesn't change, okay? Because if your motivation changes, you won't be able to build teams anyway.

Nobody will want to be around you. If you're up and then you're down and then you need to hear a Tony Robbins seminar to get pumped up and then you're down next week and so you go, you know, to like another one and then you put in an audio and you're up and then you're down and you're all over the place and you're bipolar in your business all the time. You're excited and then you're not and then you want to join a new deal because it's so exciting and then you think the secret is that you learned the special secret and you try this new strategy and then you're not motivated tomorrow. Nobody wants to be around you. Nobody.

Right? Here's the next thing it takes: massive action. Okay? Massive action geared towards production. Towards producing.

And there's two ways we can produce. Okay? Two ways we can produce. We can produce in width. We can produce in depth.

Those are the only ways. Right? In this organization, you have the ability to sponsor people personally and sponsor people in depth. And that's it. What's sponsoring people in depth?

You get a person to get a person to get a person to get a person. You build down. What's width? You sponsor people personally. That's it.

Those are the only two things you can do. You need to produce. And you need to be flexible. You need to be willing to adapt as you're doing it because marketing conditions are going to change. The way your systems operate are going to change.

Stuff in your company is going to change. Your products from time to time will change. Right? So you need to learn to be flexible because if you're not, sometimes stuff will stop working and you just, you know, won't adapt. But what's the best model here?

People say, is it good to go wide or is it good to go deep? The only real answer — I'm going to talk about this a lot today — is both at the same time. Jeet Kune Do, attack and defend at the same time, right? Two things at once. Right?

That's the only thing that really, really works: everything that you do has got to result in producing both at once. And if it's not, your organization won't grow very big. So in other words, as you're sponsoring people, you always want to be thinking, how can I be sponsoring people in a way that's going to go deep and how can I be sponsoring a person in a way that's going to cause them to sponsor? Right? How can I sell products in a way that's going to get my customers to sell products?

How can I sponsor someone in a way that results in new people sponsoring down the line? And that's how you have to think. And if you ask the question, is the way that I'm sponsoring people done in a way to where when I bring people in, they can bring people in, or the way that I bring people in is causing them to bring people in, right, then your organization is not going to get big. Does that make sense?

So you got to be flexible. And you got to learn to think about people where they're at, right? It's like a baby walking, right? Babies don't start walking.

I didn't even actually know that babies don't know how to do anything when they come out until I had one. You know what I'm saying? I was like, they didn't know how to do anything. They can't even see color, right? When they're born.

I didn't know that because I was going like this, like my son's eyes, and I was wondering why I wasn't blinking. I thought he maybe couldn't see or something, right? I didn't know. Nobody ever told me babies can't see color, right? Because my hand is color, and so it would have to be a sharp contrast between black and white for him to blink.

So he wasn't blinking. I was like, why aren't you blinking? You know what I'm saying? Well, their optic nerve didn't develop. They can't see color yet, right?

And then they literally don't know how to move anything. You know, the baby was crying all the time, so we took it to a doctor, right? And we're like, he's crying all the time, right? And I was like, we don't understand it. And the doctor just said, oh, he gets uncomfortable when he has to poop, and he doesn't know why he's uncomfortable.

So babies don't even know when they have to poop. You know what I'm saying? Just something feels funny, and they don't like it, so sometimes they cry about nothing. You know what I'm saying?

Right? They just sit there, and they start crying, and you're like, are you hungry? What's wrong? What's wrong with you? You know what I'm saying?

What's going on? You know? They don't know they have to poop. It takes them three months to even understand the difference between having to poop and having to not poop. You know what I'm saying?

Your downline are like that when they're just getting started. So it's like you're building this organization, you know, I'm saying? And it's like you're trying to get them to speak Spanish and do mathematics, right? And they don't even know the difference between having to poop and not poop yet. They can't even see black and white in color yet.

You got to like make faces at them and do things that are going to work for babies. You know what I'm saying? Sometimes people say, oh, you're not teaching people all the things they need to know when they get started. Well, that sucks. That's why I didn't do that for a living, you know what I'm saying?

So you got to learn to think differently about people that are coming into your organization. Now, what does it take externally to produce, to actually have the elements in place that you need to create the results that you want? What does it really take? Leads, right? A way for you to get leads and a way for your team to get leads in a way that everybody can do.

We're going to talk about what everybody can do here as we go through this. We're almost to the principles. You guys got to have this background and understand it. You have a way to get leads and a way for your team to get leads and a way to follow up, right? Now, this is online, this is offline.

You got to have a way to follow up and what's follow up? Follow up is repeated exposures to people, and preferably your follow up is done in a way that doesn't involve you doing everything personally, but it's okay if that's what you want to do, right? Because we're going to be open to everybody here. I don't mind if somebody builds old school. I just don't want to do it, so don't ask me to do your three-way calls.

I'll talk about why later, right? You're welcome to do them. They do work and they do duplicate, right? They just violate something else I'm going to talk about later. Violation of your telephone, right?

I'm violated. All these people are calling me. It's awful. Anyways, anyways, you got to follow up, right? You got to follow up.

What else do you got to do? You got to have effective ways to sell stuff, right? You got to be effective at selling. Now, you don't have to be effective at selling necessarily but you've got to have something that's effective at selling. You got to have something.

Does that make sense to you? Right? You got to have something that's effective at upselling. Now, even if you're not in our business model where we have stuff that just costs more, everybody in direct sales upsells. I remember going to a seminar.

It was this guy named Randy speaking, right? And they were launching a new vitamin product, right? It was a joint thing. You know, you take this little gel pack and it was like for your joints. You know what I mean?

And it actually tasted awful but it actually worked really good. It was a good product. Like people would take it and be like I don't have to take my arthritis medicine. I don't have to take my arthritis medication anymore. Except for like half of it was, or maybe 95% of it was, placebo.

But in any case, that's called the commission effect on vitamins. You know what I mean? How good does this vitamin work? Oh, amazing. I have so much energy.

That was the joint one. Oh, I mean my joints feel so amazing, right? Placebo, right? Anyway, so they're launching this new thing, right? And he was like if you're serious about this business, you need to buy at least a minimum of 16 boxes of this product, right, to give a sample to everybody you know, right?

And he just went on and on upselling because that's what network marketing does. They launch a new product. You've got your existing team. The whole team buys the existing product and that's how you create promotional income in the future in your organization, right?

If you don't have any upselling, your life is going to suck. It's a rip. So sometimes people get turned off by that. They're like I don't like the fact that you upsell. It's like, you don't like the fact that you upsell?

You mean that you don't want to have any upsells in your team? Is that what you want to do? You know? You've got to learn how to build things in a way, right, where people will buy more stuff. Now the products have got to be quality but you've got to have upselling mechanisms in place.

The next thing that you've got to have is you've got to have duplication mechanisms in place. The next thing that you've got to have is you have to have cultural mechanisms in place, right? All of those things have to work together to create a big team. All of them. And if any one of them is missing in your business, your business will not be able to grow past you, right?

And if it's not going to grow past you and you're not going to learn it, you want to go do something else for a living, trust me. Because it just sucks. It's not really that awful. But it still kind of sucks because you're never really accomplishing what you want.

You're stuck, right? It's like you're in this kind of holding pattern all the time because you're only able to replace people personally as fast as they're quitting personally, and because you're so good at producing, you make a lot of money but they're all just kind of dropping out and now you just get to this place where this is all you've got. That make sense? That's not like the model of the people I was around when I was first in this niche.

I was around guys that had teams of half a million, a million people, two million people. You know what I mean? Teams like that. That's totally different. And those guys were actually free.

They weren't on the phone all day, right? They actually made you pay to get on a phone system, right, where you could send them a voicemail that they would check every two days and respond to you if you were producing, and otherwise they'd delete the message, and then they would send their response to their whole downline so everybody could hear the same message, so you weren't even allowed to have their phone number, right? And you paid for it and they made money from the thing they sold you, right? And if you didn't pay for it, they wouldn't talk to you at all and you wouldn't stay in communication, and everybody paid for it and they weren't on the phone, okay? Those guys were free.

They knew what they were doing, right? They also knew how to keep people together, but what was the problem there? Their duplication systems were awful, so the only people that succeeded there were superheroes, right? People like us, right? They could just recruit and recruit and recruit and who'd just go crazy.

Everybody that spoke on stage was like Tony Robbins. They were so inspirational, you know what I mean? My organization's not like that. Half the time people are like, you know, I'm speaking on stage, oh God, you know what I mean? Because they've never done it before.

That's what you can do when you have good duplication mechanisms — and then there were people around who were really good at duplicating teams but horrible at keeping them together. It was like the opposite. They grew fast but couldn't keep it together, right? So what happens? Every two years, they join a new deal, or they're all out of the business by now.

Because when their team falls apart, what do they do? They don't fix it. They join a new deal and take everybody because they think that's the solution, right? And it's their fault. Does that make sense to everybody in this room?

So these are the elements, right? These are the elements that we've got inside and these are the elements that we've got outside. This thing's flashing at me. Okay, a couple more things and then we're going to take a 15 minute break, okay? I'm almost done with this section here and then we're going to get into some principles and how to apply them.

Then we're going to get into some tactics and how to apply them. Then we're going into some strategies and how to apply them, okay? So a couple more things here that's just background information, kind of tying all this thing together. So what are we going to teach today, okay? First of all, this is background.

If you understand this stuff, you won't get mad at it. You know what I mean? You can just accept it. You can be okay with the way this builds and understand that's what it is, right? If you know what it is and you're okay with that, then you can build accordingly to the way that it actually is.

People will quit. You'll be replacing huge amounts of people when you've got a big team all the time. Right? And everybody quits at every level. It's okay when leaders leave because you'll build new ones.

Right? And you can build new ones faster than they leave. And you can bring in new people faster than they leave. And you can have teams that grow way beyond you in countries that you don't speak the language, right? In meetings that you're never in.

Right? You can do all of that. You can keep a core group of people around forever through everything, if you understand culture. It's actually pretty easy to do.

It's much easier than rebuilding all the time every time something goes wrong. Like most people do. And that's what almost everybody in this industry does. Don't they? Isn't that the truth?

How many people do you know that are actually really good producers? And they're good leaders. And they get people to follow them? But literally every four, five, six months, they're in the last deal of their life. I'm building this for the final run.

Right? And just in that language, there's a problem, isn't it? Well, what about the last one? What happened to that one? Know what I mean?

Well, you know, the company owners did this. Really? Because what about the one before that? Well, that one, you know, the product, it wasn't really something that had mass appeal. Okay, well, what about the one before that?

Well, that one, it was like this, you know, card thing. And I just didn't like the card thing. You know what I mean? Okay, what about the one before that? Well, you know, that one, they didn't let you market on the internet.

You know? It's like the only thing I see in all these things is you. You know what I mean? It's you. Sounds like, you know, I keep people around, to me.

People keep quitting, so you join a new deal. And it's always the company's fault. You know, it's like if you're in your 10th marriage, you know, or whatever. You know what I mean? Let's just be real here.

You know what I mean? Yeah, the first one, she was a bitch. The second one, you know what I mean, she was a psychopath. The third one, you know, she just wouldn't work out enough. The fourth one, you know, she didn't want to have any babies, you know.

The fifth, and she's like, you know, you're hard to live with, dude. You know? You know what I'm saying? So, I make fun of myself all day, right? So we're talking about principles, okay?

Formulas and strategies. What are principles? Principles are the background laws of why these things work, okay? Why your team works. So a lot of you guys have already learned some principles just here in the last few minutes, but we're talking about 14 specific ones.

And principle number one, okay: if you understand why things are happening, then you can think right and you can ask the right questions as you're doing things, and you're going to know what to do without even knowing the specifics — you'll be able to come up with your own strategies on doing stuff. That's why I'm always inventing stuff all the time, okay? Like people are like, where'd you come up with that? What training are you listening to?

On my own. I'm just coming up with this because I think a lot, because I think in terms of principles, right, scientific laws. You know, sometimes I sound like a whack scientist, but I actually study science and I think. You know what I mean?

So then you've got formulas of how to do things, right? Formulaic approaches to doing things, patterns you can run through to create different strategies of how to do things. Like if you think about recruiting, for example, in a formulaic pattern, right, then you can change the strategy up and it doesn't matter. If you think about closing in a formulaic pattern rather than thinking about it like a script, it doesn't matter what you say.

You just run through the formula. Make sense? That's why my closing lines are always different, because I'm just doing the same thing all the time. But I'm saying different words. Doesn't matter.

So if you understand formulas, you can do that. The formulaic approaches to doing things, and then strategies are just things — and here's the funny thing. Everybody comes to things like this and they want to know strategies. Everybody wants to just teach me strategies, right? No.

You know, I'll teach you some. I'll give examples of some. The problem with them is then you get this script book and you don't know why it works, right? You don't even know what's creating it, right? It's like having a chair with one leg on it — strategies — and you're missing the other legs and trying to sit there and balance, right?

And saying, I'm smart, please teach me more of this. You know what I mean? You need the other legs on the stool, right? And those are the more important ones because it's the background information, it's the background information on why things work.

Does that make sense to you guys? So you can use that and you can construct stuff. Right? And I'm going to give you some examples of that as we come back because we do things a little bit later in the day.

But here's what I want you to hold in your imagination for kind of the rest of the day: your goal, along with, I want you to become a person, right, that understands this business and is not subject to stuff that's just changing all the time, okay? I want you to become a person that can build this regardless of what's going on, okay? Regardless of what's going on. I want you to become a person that can invent new ways of doing things if you need to, because whatever you're doing stops working, right? I want you to be able to build a team and hold them around, right?

Hold them around while you keep yourself free, because if you could do it either way — one way with lots of phone calls, one way with none — which would you prefer? It's not what's better, they're just flavors of ice cream. I prefer the no phone call way, right? I think it's better. But some people, they like the phone, right?

Our buddy Cedric loves the phone. You tell him to take away the phone, he'll almost jab you in the eye. So mad. You know what I'm saying? He's like, get me off the phone.

Like, this is my friend. You know, it's like telling me to not talk to my mom. It's my phone. You know?

He has two phones, one in each pocket, right? And he answers them both for different companies he's recruiting into all the time. It's the most ridiculous thing I've ever seen. I was driving one time in the car. This is a true story.

Right? And I was in his downline company. And I was driving in his car out in Tampa, Florida. Right? And he picked me up at the airport when we were driving to his house.

And he was talking on the phone while he was driving with one knee, right, taking notes on the phone call. I was holding on to the door like this. Right? Taking notes on the phone call — when the person called, what their name was, what their phone number was, and what their desires and goals were. Like Chris was talking about how he takes notes on people.

Right? So he's taking notes. Right? Well, he's talking to this person, closing them. And this person starts to join.

Right? As he's closing them, he's writing what the person is joining for. Then his other phone rings. Okay? He says, I got to — hold on a second.

I got to go. He puts this on hold. Picks up this phone. This person wanted to join something else. Okay?

So he starts closing this person as he's taking notes. Right? Now he's driving with the other knee and he's got two phones on. One of them is on hold. He's taking notes.

And now he's closing this person into something else.

You know what I'm saying? And I'm sitting there and literally I was having such a hard time not ruining his calls with, you know, not laughing. You know what I'm saying? I was like, you got to be shitting me. This is just not normal.

You know what I mean? So he closes this person into something and then picks back up the call and finishes closing this person. And then he puts the other phone down. He goes, yes! And I was like, man, you just are the weirdest person I've ever met in my life.

Okay? So hold that in your mind. We'll take a 15-minute break. I'm going to come back.

We're going to talk through some principles and give you guys some examples of all this. But does this help? You guys excited about this? All right.

Folks, obviously the income examples discussed are extraordinary. The income claims presented are not intended to serve as a guarantee of income. Instead, they're designed to give you an idea of what's possible. Success in this business requires leadership, hard work, and dedication. Since we want to help you make an informed decision, we have gone above and beyond with our income disclosure document. If you want to see the average earnings, please visit the page at www.empowernetwork.com forward slash income dot php.