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#653June 22, 20241:09:09

3 Things You Need To Outperform 99% Of Entrepreneurs

About This Episode

Shaan and Sam explore the "Force of Will" required for elite entrepreneurship, drawing lessons from Dana White's management of the UFC and Elon Musk's aggressive leadership at Twitter. The episode also dives into the economics of niche experiential fitness events and provides a tactical roadmap for transitioning a business from a growth focus to a profit-focused EBITDA model.

Episode Description

Episode 599: Sam Parr ( https://twitter.com/theSamParr ) and Shaan Puri ( https://twitter.com/ShaanVP ) talk about the best traits of a startup founder and lessons from how Dana White, Elon Musk, and Emmett Shear cut through the bullshit.

Show Notes

  • 0:00Top traits founders should take from Dana White
  • 5:351 - Brute force
  • 10:212 - Extreme bias for action
  • 14:55Quick audit of Dana White's gambling claims
  • 18:003 - Speed
  • 19:00Checklist for a perfect niche event business
  • 22:56IDEA: The Beer Mile
  • 24:45IDEA: Paddle Prison Break
  • 25:47IDEA: Skyline Scramble
  • 30:17Growth vs EBITDA vs cash flow
  • 32:27Shaan's Guide to Increase EBITDA
  • 34:19Step 1: create a EBITDA budget
  • 37:08Step 2: communicate the plan relentlessly
  • 37:48Step 3: Track and report
  • 38:04Step 4: Tie into incentives
  • 38:30Step 5: Repeat every 30 days
  • 40:02Next stage: Cash flow
  • 41:28The benefit of playing on Hard Mode
  • 43:38Is e-commerce dead?
  • 44:54Shaan's $30M dollar dream house
  • 47:56Shaan writes an essay
  • 49:43Sexier core principles
  • 1:00:53Culture: What people do when the boss isn't around

Key Takeaways

1

Challenge 'default speeds' by aggressively shortening timelines; Elon Musk proved a six-month project can be condensed into six days by questioning infrastructure assumptions and prioritizing speed over comfort.

2

When shifting from growth to EBITDA, create an 'EBITDA budget' that allocates specific percentages of every revenue dollar to departments and tie executive bonuses to profit targets rather than revenue growth.

3

Avoid 'Painted Chicken' values by choosing provocative core principles that have an explicit trade-off; a value is only meaningful if it costs the company something to maintain, such as Facebook's 'move fast and break things'.

Business Ideas Mentioned

The Burley Beer Mile

Boring Business

The Paddle Prison Break

Boring Business

The Skyline Scramble

Boring Business

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Guest Graveyard Mentions

DW

Dana White

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Quick Stats

Duration1:09:09
Guests0
Ideas Discussed3
Topics0