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How to build a $1M solo Coaching Business (with AI)

Dan Harrison36:01

Transcription

If you are an established high ticket coach or consultant trying to grow your business, there's a really good chance that all of the business advice you're getting and consuming right now was written for a 25-year-old with no kids. I mean, if you think about it, Alex Hormosi is only just now about to have his first kid. And do you think that his perception and advice is going to change? I'm 41 with two daughters, seven and three, and I've been in this online business game for a decade. And in this video, I'm going to show you a new model that is emerging for more mature, more established online coaches, consultants, and service professionals who want to build an AI first business. And nine months ago, I burned everything down to rebuild with an AI first model. And over the course of that time, I've built the lifestyle founder operating system. I've discovered a new model in the process, and I've scaled all the way back up to 70K months. Only this time, the profit margins are way better. Oh, yeah. And the best part is that this is what my calendar looks like right now. I have 10 hours of one-on-one delivery. I have three hours of group. I have two hours in the community and that's about it. And about 15 hours a week of of real work delivering for my clients. Everything else is either handled by AI or my human executive assistant. Shout out Gabby. And um I'm left with a bunch of white space in my calendar to actually create. And I didn't get here by accident. I got here by getting it very very wrong. First of all, because I built the business that Hormosi told me to build when I won the school games and competed in his 100 competition, which I placed 11th in, by the way, but it was all about big teams, funnels, sales calls, stacked back to back. And it was crushing me because I wasn't listening to like my own intuition or considering my own life or what I really wanted or what stage of business that I was in. and I outsourced my thinking and decision-making and I got cooked by it. A lot of people are doing that with AI right now by the way, but that's not this video. Uh, because eventually it crushed me and I burned it all down. And nine months ago, uh, everything shifted.

In this video, I want to unpack this new model that I've rebuilt that is run 80% by AI agents and where I discovered that the weekly workshop was one of the highest leveraged things that I could put in my entire business. And before I get into it, I've put the whole thing on a notion doc and the full breakdown plus some cool AI prompts and resources to help you scale your business. It's free and it's in my school community and the link is in the description. So, you can go grab that now and you can follow along. All right. So, how to build a million-dollar solo coaching or consulting business with AI. And to be clear, this is the question that I was asking myself nine months ago when I let go of my team and I decided that I was going to figure out how to build an AI first company. And over the last nine months, I have grown my coaching business back to 70K months with just one executive assistant and a team of AI agents, except now I have more time on my calendar and my profit margins are way better. All right. Now, through this process over the last nine months, I've had to overcome some challenges and learn and grow. And some of those were around um the offer and my own calendar. All right. Uh, actually getting traffic and the right kinds of traffic and then the AI agents and the system. And so in this video, I'm going to unpack, you know, some of the lessons that I've learned through these overcoming these challenges. And then I'm going to share with you like I'm going to break down the entire system exactly how it works. I'm going to break down the finance, the team, uh, the flow, and yeah, what's what's working right now. I'm just going to show everything. All right.

So, first let's start with some of the challenges that appeared over the last nine months. First one was really about the offer and I had to break down the offer because everything had changed. The market had changed, the expectations had changed. Uh, and as a result, I really had to define like a new offer. I had to find a new price point. I had to find, you know, find a a match with what the market actually wanted. And then lastly, I had to find a way to deliver like a ton of value without my time and without, you know, a client success manager. So, that was kind of the first challenge. The next one was all around like my calendar. My calendar looks great now. uh, you know, it has I basically have two these purple this is family time so I got lots of family time I've got lots of open space these are like my my mornings and just Tuesdays and Thursdays are my kind of like stacked busy day um but I had to figure that out before that it was just like not enough time mostly just not enough time and so I I looked through my business I was like where are all the leverage points and you know, spoiler alert, but figuring out the weekly workshop system is like the highest leverage thing that I could have added to my entire business. Um, okay. The next problem and challenge was the traffic. So, you know, I lost my Instagram account and I uh needed to find new traffic sources and so uh my ads weren't working, but that was a function of like my offer not being strong. And then I would have content that didn't get seen um that was only amplified when I lost my Instagram account. All right. And then I had to learn all about AI agents. And so I was overwhelmed. You know, I I had cool tools that I would find from, you know, the interwebs, but it wasn't like a system. And so that was a big that was a big lesson in distinction and something to be mindful of is there's there's so many cool ways that you can use AI, but they're all irrelevant unless they are a part of a system that is producing a particular outcome or result. Um, yeah. I mean, I I wasted a bunch of time doing random And I'll tell you a little bit about it, but yeah, I I got stuck, you know, vibe coding just random stuff that didn't matter. And then there was like the system itself. So, actually thinking through like what are all of the pieces of the system and can I track it and is it simple and do I actually understand what's happening when I look at it? And um this is a big part of what what I built with the lifestyle founder operating system. All right.

So these were these were the challenges like some of them that as I overcame them it unlocked new levels of growth. And so I'll just share a couple like kind of like a timeline or a little bit about you know this as a story. The first thing that happened was I made a big bold decision to go all in on AI. So I let go of the team and I was like I'm doing this. I bought a Mac Mini. Um, Open Claw, Hermes agent, I'm I'm all in. Then the next thing I did, which is pretty smart, is previously I w I had not been doing sales calls, but I decided I was going to do sales calls again. And then I realized that all of those transcripts were gold, right? So from client calls and from prospect calls, I basically just for a good six weeks did a ton of sales calls so I could collect all of the data and I could find an offer that the market actually wanted and and understand what people were frustrated with and challenged by and just wish different. All right. And um then sometime around there my Instagram account got deleted which turned out to be a good thing. One is like my own mindset around it. I knew it was going to be a good thing and then it was okay. So what happened was I discovered two new traffic channels and sources and one was the low ticket. Um, so previously I'd done everything free. Free calls, free workshops, free communities, free free free, free free free. And that's fine and works, but then I found a way better thing. And ultimately by by running a paid workshop community, I unlocked an infinite ad budget. And then I went over to YouTube and I discovered a new totally aligned content platform for me. I would much prefer shoot these kind of videos where I can unpack ideas that take a little bit to, you know, explain than trying to just do like a quick one-minute clip. And uh, you know, I don't have a D-Rock or somebody filming me all the time. So, uh, you know, that type of content, this type of content just feels more aligned for me. And um a cool thing about this is uh I can actually see because I have good systems and tracking I can see how much more revenue YouTube actually generates for me and it's kind of it's quite shocking. Uh, so then somewhere in that process I ran a workshop and it worked really well and it worked so well in fact that I didn't want to wait another month and so I built a system around it so that I could do workshops every week and then I systemized that with AI and then these are like all of the pieces that unlocked and then I that this allowed me to simplify everything and now I'm in a situation where I'm optimizing and I can scale and I have a new goal which I'll explain shortly. All right.

And uh some of the other things like I find that a big part of building a business that's maybe beyond something that you've built before is mostly it's you know your own beliefs. And I was just like reaffirmed for that when I lost my Instagram account and my belief was this is actually a good thing because then I I found the good thing. It was it's a great thing and just like I'm aware of how much our lens and our language and our view and our perspective determines the results. Right? I'm going to show you some strategies and like a system, but I could give these to two people and if they have different mindsets, they will get different results from them. And so that was just, you know, an insight that I learned or remembered for myself. And some of the mindsets or, you know, beliefs that that I had that maybe you have um that have shifted over the last nine months are you need complex funnels to scale. Specifically thinking of the low ticket funnels where you've got the upsell and the downsell and the roundabout sell and then the you know 20 email automation flow like all the different things and uh I now like I don't believe that I have zero traditional funnels in this model. I I I do not have one traditional funnel. Everything I do runs through a school community. So I have no crazy automations. I just have a simple offer doc and I have three school communities and then some AI agents. All right. Oh, I should move my face from here. All right. And another myth that I believed was free communities build trust and free scoop free school communities are kind of dead. Uh, not entirely. You know, there's a place for them specifically when you're starting or validating a new offer. Um, but mostly engagement is pretty garbage and it attracts it does attract freebie seekers. And here's a crazy stat. 0.9% of members in my free community of which I had 13,000 people in converted into a paying client versus when I had a $47 community. 6.7% of those communities not only paid to be there but upgraded into the next offer. Right? So that was like glaring and obvious and like oh those are some numbers. Now and then again the caveat is I had an offer and a message match and so if you don't have that then you use the free community to find it and then you flip it to paid. All right so free communities build trust. Uh, payment is a filter for money or is not a filter for money. It's a filter for commitment. And I have seen this to be true just in engagement and quality of leads. So if you have poor quality leads and you're running to a free community or free free free, you might consider shifting to paid like paid lead magnets basically. Uh, you need more sales calls. That is true in the beginning when you're 25 and you're young and you're hustling. But if you are an actual expert, sales calls become a bottleneck and they fill up your calendar and a lot of people don't show and then they're a waste of time and then your solution is, you know, maybe I got to hire somebody and then you have new problems. Okay, what I found to be the most elegant solution with this is to learn how to sell one to many. And by that I mean run workshops. Um, they work really, really well. And instead of doing multiple sales calls all throughout the week, I just do one weekly workshop. And every week it's about 10% of the people who show up become a client. Okay. Next one was AI replace like I don't want to lose the humanness out of my business. And this is this was a big lie that I what I realized is AI isn't going to remove the human thing. In fact, it's going to allow me to be more human because my brain isn't tied up doing all the things that we don't need to do anymore. And so, like, I'm a way better coach now than I was before because I have enough time, space, and capacity to actually care instead of like doing all this other because I have to and now I don't and I can just care about my clients. And so, AI is replacing all the things that prevented me from being more human. Uh, you just need to hustle harder. That's the advice for the 21-year-old with no kids, mortgage, or unlimited energy. Um, and or have unlimited energy. If you're 40 plus with a family, you don't need more volume. You probably just need a more mature model. And I'm not saying that volume is not important. It very much is. Most people grossly underestimate the volume that is required to achieve your goals. But I would say it's more so like where you're going to direct that volume. For example, you could do it chasing people in the DMs or you could do it creating a few really high quality pieces of content. So there's like a more mature model and you can apply these mature pieces into your business and find more leverage. It's like you have the benefit of age and wisdom, right? and you need a big team to scale and that might have used to be true but it's certainly not with AI. All right.

So, so these were some shifts in my mind that that have allowed this new model to emerge and let me just flip this around and then we can dive in and I'll unpack exactly what are the pieces, how does it work. All right, so 9 months ago this was the goal. This was what I wanted my calendar to look like. I wanted to build a million-dollar coaching business and I wanted it to be run mostly by AI and we are uh what 85% of the way there and um see a very clear path forward from here. So let me show you the pieces. Let's start with what are all the pieces and I'll show you how it works and where they go together. So when it comes to traffic, all right, the ones that I use right now are school, Instagram. I did get my account back. Uh, YouTube, email, and ads. And a couple little interesting points here. So, school now has a feature called growth boost. In one of my communities, I have twice as much traffic coming from school than from spending over $10,000 a month in ads. Okay? Okay. So, the the size of traffic that school is able to direct towards your communities and your offers is pretty freaking amazing. Uh, and this is a huge thing that a lot of people like I don't think they fully get or understand how awesome this could be. All right. As a traffic source. Yep. YouTube is new, so I'm learning that. uh, email. I have a 17,000 people and then obviously running ads. Now, where am I driving this traffic to? Well, there's typically three spots. Uh, so I have a you know I have a focus or the system generates leads every day, customers every week, and clients every month. And um this has been interesting. So leads, this is my free community. Zoom a bit. Uh, so this is my free community of 13,000 people in here. Then this is the new community I launched about three months ago. I already have uh 1100 people in here and this is $47 one time. There is a very good chance that I will flip this to a recurring um revenue community like uh a membership, but I probably won't do it until we have at least 2,000 members because the system right now is working real good. And um this was a big unlock. Like talk about good timing. I launched this and school released their growth boost feature where if you had a paid community, they're basically running uh paid ads to our communities. And um this was generating a ton of sales when they first launched that. So that was that was awesome. And then community number three is my client community. And so we have 75 members in here and members pay uh like so up until recently I've been more focused on um pay in full options. Uh, but I will likely be changing this towards more monthly and recurring. Um, and we have you know a couple different options here. So we have leads every day, customers every uh week and clients every month. And how I sell. So the other asset that I use is just a simple offer doc. So it's on notion. Uh, I don't do sales calls and this is a key asset to have. Uh, the funnel like I call it the school engine because it is I don't have any traditional funnels. I just have school communities and the tracking is really good on meta. Um, it keeps everything simple. I'm able to like it's pretty cool to see, you know, 13,000 leads and then this is a community with my buyers and they all have I have information on them, their emails, their their Instagram accounts. Yeah. To me, it's just like way more value than a than a funnel. Okay.

So, I have these three communities and then um here's some of the math. All right. So, here's here's how I'm thinking through uh this. So leads um are free and the next one. So customers into the $47 community, right? So uh last two months we've had $500 sales come through um which is $23,000 in $47 customers. And what's actually been happening is uh 6 point so almost 7% of members are upgrading into what I have which is a trial and this is a 30-day paid trial. It's a,000 bucks. And so conservatively uh 20 people out of 500 converting would be another 20 grand. And now they're in a trial. And then 50% of members who take the trial are continuing on. Uh, and again I have like different offers. So this is this is an illustration, right? But 10 people at 5K that's 50,000 there. And then continuing on after the 16-week uh program, if 50% continue on, there's like a backend stacking uh of recurring revenue. And so this model is $96,000 a month. And these numbers are already happening, right? So we've already done 500 for the last two months. We we we've had um at least 20 per month into our trials. And now we're starting to see the conversion on the back end of the 30-day trials. And those are happening. And we don't have enough data yet on the continuation offer. So this is a somewhat of a guess. But then if you look at the expenses. All right. So now for the team, this is my team. I've got Gabby. I've got the AI operating system or quantum DAN. All right. And then myself. And how this looks is so the team is five grand um as a base. Uh, then there's some softwares, right? So, uh, three school communities, a platform called Scoot, which is a CRM, Claude subscription, um, there's a couple other ones, but, uh, go high level, right? So, it's about $1,000 in softwares. Subtract that. So, you're at 90,000 profit after. So, owners pay in profit 60% there. I'm overpaying some tax, so we're putting 20% towards tax. advertising expense 135 and then operational little miscellaneous uh expense here and that's a nice little nice little model. All right. So, monthly profits, owner pay, you can that's the model. That's where we are getting to. Um, which is also like yeah, I think that's interesting to look at. Sometimes you look at n you see 90,000 you're like you think of it in terms of like that's take-home or that's pay. People don't often look at profit or even break this down. So, maybe that's interesting to know. Uh, but this is the team. The one other thing that I would say here too is like out of profits or operating expenses is like where we would do um, you know, we might pay bonuses or yeah, there's like there's other things that are in here but this is high level. All right.

So this is the team and this is the goal. So uh I've been thinking about this and I think what's important so I've played school games. we've won that game. And for me, like one of the reasons I I love school is it just feels like a game. It feels like I'm playing a you know, a game. And they do a great job of gamifying it. And business to me has always been a game. And so um if the if the game aligns with the ultimate game that I'm playing, which is to create a business that gives me a lifestyle, then I'm inclined to play. Okay? And so the way that the game so school has just updated and changed the games that they're playing. They're not really doing the school games anymore. Instead, they have if you are over 100K in monthly recurring revenue, you're part of an elite platinum community. And you get to hang out uh I think there's twice a year you get to go mastermind with those people. So, I'd like to be in that community. I think that would be cool. I'd like to connect with other, you know, million-dollar school community owners. And because of the lifestyle, like my LFOS system, switching to a monthly recurring revenue focus can still make sense. So, I'm not entirely sure, but the game that I want to play is that would be a stretch for me is hitting 300K in monthly recurring revenue without hiring a big team, doing sales calls, spending more than 15 hours a week in delivery, or sacrificing my lifestyle, freedom, soul, or family in any way or health. So, uh this is the this is the goal. This is the game that we're going to play. And I believe I have the vehicle to make it happen. And I won't go into detail on this, but this is uh the model that I know if I can solve where you have leads every day, customers every week, clients every month, and you deliver epic client results, there's no reason why you wouldn't have a million-dollar business. Okay? And then we have these projects around the outside of how we go about solving those problems and being able to do that. And this is what I've done in my own business. This is what I help my clients with. And this is the model. And then what it actually looks like right now. By the way, it looks a little bit different depending on like stage or season of business that you're in, but this is pretty much how mine looks. So, we have all these different traffic sources, right? And YouTube and Instagram right now are are I'm running no paid traffic to my free community, but I do have pe like resources and things to give away for free. And I just use my free school community. I put everything in there. You can go get one resource. If you want the resource from this video, go to the school community. You'll get that plus like a whole ton of other stuff. So, tremendous value in there. And it just it makes it easy to give away resources. It's always the same link. So, everything goes in here. Then for paid ads, uh, there there's paid ads and school community with their growth boost and my email because I got their email here. I'm directing towards Claude for Coaches which is a paid community and also from the free community. So everything is kind of going into the paid community. And then once a week I run a workshop uh or last week I just did a live Q&A. Okay. And typically on these we're getting anywhere from 50 to 100 people to show up live and on those uh workshops I make an offer. about 10% of them take them up or I'll invite people to apply to work with me. We're getting to a spot now where we can't there's not that many um I'll be capping this. We're hitting uh capacity. Oh, and then also this arrow is showing that I'm I run retargeting ads and they all come to this. And instead of like a VSSL funnel or something, I just it's a school. It's my school community where my main clients are. And if you zoom in, you can see it says here, uh, want the details of my offer, watch this video, request to join the group, answer a few automated questions via school DM. This is Quantum Dan. So, this is one of my agents. Uh, I'll show you all of them, but this is one of my agents where when they request to join, Quantum Dan kicks in, he qualifies them, and if they're qualified, we'll send them the offer doc. That all happens automatically without me. So, they watch this video, they have a little chat with AI. um if they're qualified and good, I will typically come in with some sort of a bonus or incentive and uh drop a Loom video after reviewing their questions and then get responses like this where I'm in. They come into the community. There's typically a 30-day love it or leave it. You know, make sure that it's a good fit and afterwards they can choose to continue with us or not. this model just working real good. Okay, so that's the model.

And the last thing is what makes this possible is really the lifestyle founder operating system, which this just looks like a bunch of numbers, but if I come in here and give you a little tour, let's see. So, this is the lifestyle founder operating system. This this is what I built and has felt like an unfair advantage for the last few months. And only just now I actually uh, you know, hired a software developer to make sure that we could do this the right way and properly not just like a vibe coded sloppy thing. Uh, but this is now available for my clients and we're able to give this to them as a locally hosted dashboard where they can connect it to their Claude account. they can connect their emails and calendars and notion and anything everything Instagram and be able to pull all of that data forward and have an actual working dashboard. Um, automating all of the tracking process was a cool project where, you know, a lot of people didn't fill in their numbers or don't know their numbers, but now with AI that can all be automated and you can't really hide you I can see all of my clients stuff. I can see what's working, what's not um at a glance and know exactly how to help and coach and and provide uh feedback. I won't click on clients, but there's an entire clients dashboard that tracks uh where everything's at. And then this is pretty cool. So, these are all of the agents. And if you see over here, see if I can zoom in. So, over here we have onboarding agents. And this is what builds the brain. All right? So this builds out the brand, the offer, the um the avatar and your business summary that all gets stored into the hub and then you have access to uh this is basically quantum DAN. So he this is all of the frameworks, anything that you would need to create ads, um, uh emails, video sales letters, scripts, um, lead magnets. There is a framework and a process where you can just have a conversation with Quantum Dan and you'll be able to create those assets and that's cool but these are mostly like GPTs. These agents are the actual team. So then you can have conversations with um executive assistant, media buyer, social media manager, tech officer, video editor and they they can actually do the tasks on your computer. you can schedule these tasks and um this is your whole like team. All right. Uh, and as we're rolling this out over the next 16 weeks, we also have uh the content system, the ad system, and then uh a a dashboard where you can see all of the working agents and what tasks they're they're working on. And so this is the system with all of the AI agents that's replaced my entire team. And so if I just come back here, you know, uh, and kind of to recap on the things that are working right now and some of the lessons I've learned and and how to, you know, how to build a million-dollar solo coaching business with AI, maybe that's a little bit more clear here with you where there is the offer. One of the best things I did with that was actually talking to people, getting the transcripts, and then adjusting my offer to uh make sense for like be something that they actually want. The calendar was I'll show you here's like a little bit of math that's interesting. Okay, if one-on-one gets like everybody's like, "No, I got to scale and I got to get my group programs." But like literally the unscalable things are the things that people will happily pay more money for. It gets people the best results. And if you're a good coach, like lean into that and actually coach people, be a stand for people, you know, challenge people's beliefs and And that's hard to do without actually giving some time. Uh, the problem with one-on-one isn't one-on-one, it's that people don't pay properly or they don't price their services properly. And so, as an example, let's say you charge well and the benefit of this is why it's for typically more mature or like established coaches because you already have assets in place and things like that. But um if you had let's say you were just going to do a group program and you had 80 people in your group but instead you offered one extra like 30-minute one-on-one call. I'm telling you that one 30-minute coaching call if you're a good coach goes a long way in client retention in actually getting people results in being more connected with the members who are actually in your group and 80 people half an hour each is 40 hours a month which is 10 hours a week. All right. So instead of just doing group and think I just got to do group, you can add one-on-one if you're smart about it. Okay, so um that was the the calendar fix. How do you deliver epic results without having your whole calendar be filled? The traffic challenge uh what we figured out was running low ticket paid community uh worked amazing when you have the right offer and messaging. And then YouTube, people who spend more time with you, well, they pay you more money. And if you're still watching this video and you want to learn about our programs or if this system will work for you, the descriptions are in the link. And if you go through school, like school will track and let us know that you came from YouTube. All right. The next one is the AI agents, which I shared with you, you know, last nine months I've been building it. Now there's a dashboard where the AI agents actually run the business. and then the system itself and actually understanding all the pieces and how it works. But it's it's pretty simple. It's there's no funnels. There's just communities. You have traffic. You have free community. You have a paid leads customers workshop into clients AI system sell by chat with a doc into a program. So that is the model. how to build a $1 million solo coaching business or consulting business with AI agents who support the whole system. And there's you can see that there are moving models and this is the new a new model that is emerging that leverages workshops that leverages AI agents that leverages selling by chat that leverages hybrid delivery and I am excited to help legit experts and established coaches and professionals build this model because it's it's pretty fun. And so if that's you, you know, click the links. Uh, you can apply to learn more, reach out, subscribe, join the free community. That's it for this video. Uh, and would love to know what you like, what you learned, what you caught. Drop it in the comments and I'll see you in the next.