I've read 613 business books - these 17 will make you RICH

Summary

This video script honors the late Charlie Munger, a revered investor, and explores the impact of reading on wisdom. It categorizes influential books into four spheres: mindset, health, wealth, and skills. The speaker recommends essential reads for each category, emphasizing the importance of primary sources, simple life lessons, and practical financial strategies. The script concludes by advocating for applied knowledge in building skills, particularly in business operations and marketing, to achieve entrepreneurial success.

Takeaways

• 📚 Charlie Munger, a renowned investor, emphasized the importance of reading for wisdom, which aligns with the speaker's belief in the transformative power of books.
• 🔍 The speaker struggled to find valuable books early in their entrepreneurial journey, highlighting the need to discern which books offer substantial insights.
• 📈 The speaker categorizes influential books into four spheres: mindset, health, wealth, and skills, suggesting a holistic approach to personal development.
• 🧘 'Letters from a Stoic' by Seneca is recommended for its foundational insights into stoicism, emphasizing the value of primary sources in understanding philosophies.
• 🤝 'The Four Agreements' by Don Miguel Ruiz is praised for its profound life lessons, such as being impeccable with one's word, which is crucial for personal integrity and self-esteem.
• 📚 '12 Rules for Life' by Jordan Peterson offers rules for self-mastery, with a focus on comparing oneself to their past rather than others, promoting personal growth.
• 🌱 'Mindset' by Carol Dweck introduces the concept of a growth mindset, encouraging the belief that abilities can be developed through effort and learning.
• 💪 'Outlive' by Peter Attia provides a comprehensive framework for a long and healthy life, emphasizing the importance of proactive health measures for quality longevity.
• 💰 'The Psychology of Money' by Morgan Housel aims to reshape one's perspective on money, suggesting that one's financial mindset is pivotal to wealth accumulation.
• 📈 'Economics in One Lesson' by Henry Hazlitt is recommended for a basic understanding of economics, which is fundamental to making informed financial decisions.
• 🏡 'Traction' by Gino Wickman offers an Entrepreneurial Operating System (EOS) to provide structure to new businesses, helping to avoid common pitfalls of unstructured growth.

Q & A

Who is Charlie Munger and why is he significant in the world of finance?

Charlie Munger was a renowned investor and the Vice Chairman of Berkshire Hathaway, alongside Warren Buffett. He is significant in the world of finance for his wisdom and contributions to investment strategies, often being referred to as a 'business Yoda'.

What is the importance of reading according to Charlie Munger?

According to Charlie Munger, reading is a key habit of all wise people. He emphasized that throughout his life, he has not known any wise individuals who didn't read all the time, highlighting the importance of continuous learning and knowledge acquisition.

What are the 'Four Spheres of Influence' mentioned in the script?

The 'Four Spheres of Influence' mentioned in the script are mindset, health, wealth, and skills. These categories are used to organize the recommended books that have played a significant role in the speaker's life.

What is the main theme of 'Letters from a Stoic' by Seneca?

'Letters from a Stoic' by Seneca is a primary source of Stoic philosophy. It offers wisdom in easily digestible sound bites, emphasizing the importance of understanding fear and the power of the imagination in our lives.

What are 'The Four Agreements' by Don Miguel Ruiz?

The Four Agreements are simple yet profound life lessons: be impeccable with your word, do not take anything personally, do not make assumptions, and always do your best. These agreements are meant to guide one's actions and thoughts for a better life.

What is the core message of '12 Rules for Life' by Jordan Peterson?

The core message of '12 Rules for Life' by Jordan Peterson is about self-mastery and personal growth. One of the key rules is to compare oneself to who they were yesterday, rather than to who someone else is today, emphasizing personal development over comparison.

What is the 'growth mindset' as introduced in the book 'Mindset' by Carol Dweck?

The 'growth mindset' is a belief that one's traits, characteristics, and skills can be developed and improved over time. It contrasts with a 'fixed mindset,' which assumes that abilities are static. The growth mindset encourages a view that learning and effort can lead to mastery.

What is the main focus of the book 'Outlive' by Peter Attia?

'Outlive' by Peter Attia focuses on providing a comprehensive framework for not only extending life but also improving its quality. It covers core categories such as exercise, sleep, nutrition, mental health, and relationships to ensure a long and healthy life.

What is the significance of the book 'The Psychology of Money' by Morgan Housel?

The significance of 'The Psychology of Money' by Morgan Housel is that it addresses the mental and emotional relationship people have with money. It aims to change unhelpful beliefs and attitudes towards money, which can unconsciously sabotage financial success.

What are the key takeaways from 'How to Get Rich' by Felix Dennis?

The key takeaways from 'How to Get Rich' by Felix Dennis include the importance of continuous learning and curiosity as pathways to wealth. The book emphasizes that anyone not busy learning is busy dying, and fostering a willingness to learn can lead to wealth accumulation.

What is the main principle behind the book 'Traction' by Gino Wickman?

The main principle behind 'Traction' by Gino Wickman is the Entrepreneurial Operating System (EOS), which provides a framework for implementing structure in a business. It helps businesses identify and simplify their processes to achieve better results and avoid common pitfalls that come with growth.

What is the theory of constraints as presented in 'The Goal' by Eliyahu M. Goldratt?

The theory of constraints in 'The Goal' by Eliyahu M. Goldratt is the idea that every process has a single constraint that prevents it from achieving higher performance. Identifying and addressing this constraint is key to improving the overall throughput and efficiency of the process.

What skill does '$100 Million Offers' by Alex Hormozi teach for business success?

'$100 Million Offers' by Alex Hormozi teaches the skill of creating compelling offers that are so good, customers feel stupid saying no. It focuses on the art of crafting offers that drive sales and customer engagement.

What is the primary focus of '$100 Million Leads' by Alex Hormozi?

The primary focus of '$100 Million Leads' by Alex Hormozi is on the step-by-step process for generating leads in a business. It provides a systematic approach to attracting customers, which is essential for business growth and success.

What is the importance of copywriting as highlighted in 'Ogilvy on Advertising' by David Ogilvy?

The importance of copywriting in 'Ogilvy on Advertising' by David Ogilvy is that it is a powerful craft to influence perception, conjure desire, and drive action using the written word. It is a critical skill for converting leads into customers and can make a significant impact on sales and marketing efforts.

Outlines

00:00

📚 The Power of Reading and Book Recommendations

This paragraph introduces the video script by highlighting the legacy of Charlie Munger, a respected investor known for his wisdom and emphasis on the importance of reading. The speaker shares his own journey in identifying valuable books, which he categorizes into four spheres of influence: mindset, health, wealth, and skills. The paragraph sets the stage for a detailed discussion on books that have significantly impacted the speaker's life and entrepreneurial success, promising a breakdown of these books into the aforementioned categories.

05:00

🧘‍♂️ Mindset Development Through Stoicism and Self-Mastery

The speaker delves into the first sphere of influence, mindset, by recommending four books that have shaped his thinking. 'Letters from a Stoic' by Seneca is praised for its foundational role in stoic philosophy, advocating a direct approach to primary sources for a deeper understanding. 'The Four Agreements' by Don Miguel Ruiz is commended for its simple yet profound life lessons, emphasizing the importance of one's word and self-esteem. '12 Rules for Life' by Jordan Peterson, despite being a controversial figure, offers valuable insights into self-improvement. Lastly, 'Mindset: The New Psychology of Success' by Carol Dweck introduces the concept of a growth mindset versus a fixed mindset, advocating for the belief in one's ability to learn and develop.

10:01

💊 Prioritizing Health for a Long and Prosperous Life

Transitioning to the health sphere, the speaker endorses 'Outlive' by Peter Attia as the definitive guide to living a longer and better life. The book provides a comprehensive framework that encompasses exercise, sleep, nutrition, mental health, and relationships, offering practical advice that can be immediately implemented. The speaker emphasizes the importance of not just living longer, but ensuring the quality of life in the later years, making 'Outlive' the sole recommendation for this section.

15:03

💰 Mastering the Wealth Sphere: From Basic to Advanced Money Knowledge

The speaker addresses the third sphere, wealth, acknowledging the stress and impact money has on life. The paragraph is divided into two parts: basic and advanced money knowledge. For basic understanding, 'The Psychology of Money' by Morgan Housel is recommended to change one's perspective on money, 'I Will Teach You to Be Rich' by Ramit Sethi offers actionable steps for financial automation, and 'How to Get Rich' by Felix Dennis provides entertaining insights from a billionaire's journey. The advanced section includes 'Economics in One Lesson' by Henry Hazlitt for a fundamental understanding of economics, 'Tax-Free Wealth' by Tom Wheelwright to understand the importance of tax management, and 'What Every Real Estate Investor Needs to Know About Cash Flow' by Frank Gallinelli, which is useful for any entrepreneur, not just those in real estate.

🛠️ Skills Acquisition: Business Operations and Marketing

In the final paragraph, the speaker discusses the importance of skills, particularly in business operations and marketing. 'Traction' by Gino Wickman is highlighted for providing a structured operating system for businesses, emphasizing the need for a strong foundation to avoid failure at growth inflection points. 'The Goal' by Eliyahu M. Goldratt introduces the theory of constraints, a valuable tool for identifying and removing barriers to growth. '$100 Million Offers' by Alex Heros is recommended for product design, teaching how to create compelling offers. For marketing, '$100 Million Leads' is praised for its step-by-step lead generation process, and 'Ogilvy on Advertising' by David Ogilvy is commended for its teachings on the art of copywriting, a skill crucial for converting leads into customers.

Keywords

💡Charlie Munger

Charlie Munger is a renowned investor, business magnate, and vice-chairman of Berkshire Hathaway, known for his partnership with Warren Buffett. In the video, he is referred to as a 'business Yoda,' indicating his wisdom and influence in the world of finance. His emphasis on the importance of reading as a habit for the wise is highlighted, setting the stage for the video's focus on book recommendations.

💡Stoicism

Stoicism is an ancient philosophy that teaches the development of self-control and fortitude to overcome destructive emotions. The video introduces 'Letters from a Stoic' by Seneca, one of the philosophy's key texts, as a foundational book for understanding stoicism. It is presented as a source of wisdom that can shape one's mindset, which is a central theme of the video.

💡The Four Agreements

This book by Don Miguel Ruiz is highlighted in the script as a profound guide for personal development. It offers simple yet impactful life lessons, such as 'be impeccable with your word,' which the speaker emphasizes as a key to building self-esteem and personal integrity, tying into the overarching message of the video about the power of reading to transform one's life.

💡Jordan Peterson

Jordan Peterson is a Canadian psychologist and author known for his controversial but insightful perspectives. His book '12 Rules for Life' is mentioned as a source of self-mastery advice, with a specific rule emphasized: 'Compare yourself to who you were yesterday, not to who someone else is today,' which underscores the video's theme of personal growth and mindset.

💡Growth Mindset

The concept of a 'growth mindset' is introduced through Carol Dweck's book 'Mindset.' It contrasts with a 'fixed mindset' and suggests that abilities and intelligence can be developed through dedication and hard work. The video uses this concept to encourage viewers to adopt a belief in their potential for continuous learning and improvement.

💡Outlive

The book 'Outlive' by Peter Attia is presented as a comprehensive guide to health and longevity. It discusses the importance of various factors such as exercise, sleep, nutrition, mental health, and relationships in achieving a long and healthy life. The video uses this book to emphasize the second sphere of influence, which is health.

💡Psychology of Money

The term 'Psychology of Money' refers to the book by Morgan Housel, which addresses the mental and emotional relationship people have with money. The video mentions it as a crucial first step in mastering wealth by changing one's perspective on money, which is essential for financial success.

💡How to Get Rich

'How to Get Rich' by Felix Dennis is highlighted as a book offering insights from a billionaire's perspective on wealth creation. The video quotes a lesson from the book, emphasizing the importance of continuous learning and curiosity as pathways to wealth, which aligns with the video's theme of learning from influential books.

💡Tax-Free Wealth

This book by Tom Wheelwright is mentioned as a guide to understanding taxes and how they impact wealth retention. The video stresses the importance of knowing about taxes to 'keep more of what you make,' which is a critical aspect of the wealth sphere discussed in the script.

💡EOS (Entrepreneurial Operating System)

EOS refers to the Entrepreneurial Operating System, a framework introduced in the book 'Traction' by Gino Wickman. The video describes it as a system that provides structure to businesses, helping entrepreneurs avoid common pitfalls and grow their businesses effectively, which is part of the skills sphere of influence.

💡Theory of Constraints

The Theory of Constraints is a concept from the book 'The Goal' by Eliyahu M. Goldratt. It suggests that every process has a limiting factor that, once identified and improved, can increase the overall performance of the process. The video uses this theory to illustrate a valuable skill in business for continuous improvement and growth.

Highlights

Charlie Munger, a highly respected investor, emphasized the importance of constant reading for wisdom.

The speaker struggled to find valuable books early in their entrepreneurial journey.

The importance of reading primary sources to build a strong foundational understanding.

Seneca's 'Letters From A Stoic' is recommended for its wisdom and digestible format.

The Four Agreements by Don Miguel Ruiz is suggested for its profound and simple life lessons.

Jordan Peterson's '12 Rules for Life' offers valuable insights on self-mastery.

Carol Dweck's 'Mindset' introduces the concept of a growth mindset versus a fixed mindset.

Peter Attia's 'Outlive' provides a comprehensive framework for living a longer, better life.

The significance of changing one's mindset towards money to improve financial outcomes.

Morgan Housel's 'The Psychology of Money' helps to reshape one's perspective on money.

Ramit Sethi's 'I Will Teach You To Be Rich' offers practical steps for automating finances.

Felix Dennis' 'How to Get Rich' shares entertaining and insightful lessons from a billionaire.

Basic understanding of economics is crucial for everyone, as explained in 'Economics in One Lesson'.

Tom Wheelwright's 'Tax-Free Wealth' educates on the importance of tax strategies for wealth preservation.

Frank Gallinelli's book on real estate investing is useful for understanding business finance.

Gina Wickman's 'Traction' provides a system for implementing structure in a business.

Eliyahu Goldratt's 'The Goal' introduces the Theory of Constraints for business improvement.

Alex Hormozi's '$100 Million Offers' teaches how to create irresistible offers.

Hormozi's '$100 Million Leads' is a step-by-step guide for generating business leads.

Ogilvy on Advertising by David Ogilvy is a foundational book on the art of copywriting.

Transcripts

so one of the greatest investors the

world has ever seen recently passed away

at the ripe old age of 99 years old and

if you were to ask most people on the

street they would have no clue who this

guy was but Charlie Munger was revered

in the world of Finance as a sort of

business Yoda and he said something once

that's really stuck with me he said in

my whole life I have known no wise

people who didn't read all the time none

zero and this is proven true time and

again in my own personal experiences but

something I really struggled with at the

beginning of my entrepreneurial Journey

was just figuring out which books are

actually worth reading I mean a book can

transform your life but the harsh truth

is that most books are nothing more than

300 pages of fluff surrounding one

interesting idea well I'm here to cut

the fluff and I'm going to share with

you some of the books that played a

pivotal role in my life and that I've

used over the last 12 years in building

a 100 million doll

[Applause]

Empire

now on a side note I recently did a

video breaking down the 12 books that I

reread every single year so I'm going to

leave those off this list but you should

go check out that video when you're done

with this one to see my 12 favorite

books of all time all right for this

video I'm going to break these down into

categories based on what I call the four

spheres of influence which are mindset

health wealth and skills so let's dive

in with the first sphere of influence

which is your mindset the first book on

the list is from one of the grandfathers

of the stoic philosophy senica this book

is called called letters from A stoic

now stoicism has gained a lot of

popularity over the past decade thanks

to the efforts of guys like Ryan holiday

who've done just an incredible job

translating these ancient works for

modern audiences and don't get me wrong

those books are great but if you really

want to understand something you got to

get as close to the source material as

possible for instance if you want to

learn economics you go read Wealth of

Nations and Communist Manifesto if you

want to learn about biology and

evolution go read the Origin of Species

or the e day of creation reading from

what's called primary sources is the

best way to build up a lattice work of

understanding around a topic because

you're starting at the ground floor in

building up your own knowledge base

rather than just relying on somebody

else's interpretation and then summary

of that topic so if you really want to

learn about the stoic philosophy I

recommend you go straight to the primary

sources one of which is this book

Letters From A stoic by senica one of

the things I love about it is it's just

a treasure Trove of wisdom broken down

into easily Digest ed sound bites and

this is one of my all-time favorites we

are more often frightened than hurt and

we suffer more from imagination than

from reality all right the next book for

developing your mindset is The Four

Agreements by Don Miguel Ruiz I think

the world would generally be a better

place if everybody was required to read

this book as a child the lessons are

simple yet profound and universally

applicable they are be impeccable with

your word do not take anything personal

do not make assumptions and always do

your best now you might hear those and

think those are incredibly simplistic

and there's no reason to dig any deeper

but in my experience the most impactful

lessons in life are the simplest my

favorite lesson from this book or at

least the one that's played the biggest

role in my life is that first one be

impeccable with your word truly I

believe that you could accomplish

literally anything in the world if you

just do this one thing become the type

of person who always does what they say

and this does doesn't just apply to the

things we say to others in fact the most

important promises are actually the ones

we make with ourselves and yet those are

the ones we most often break I can't

overstate how big of a problem this

actually is because when we break the

promises we make with ourselves we pay a

price that's really hard to see in the

moment it's the price of your

self-esteem because at the end of the

day self-esteem is just the reputation

you have with yourself you cannot break

the promises you make to yourself

without consequence you will always know

and and that's why it's so damn

important that you become impeccable

with your words the next book on our

list is the 12 rules for life by Jordan

Peterson now Jordan is a bit of a

lightning rod for drama and I know he's

not everybody's cup of tea however I

personally find his perspectives and

insights to be deeply well considered

well thought out and in good faith which

means I believe he's genuinely trying to

have hard conversations in Earnest so

that we as a global Collective can move

forward toward a better and brighter

future

now regardless of whether or not you

agree with his political beliefs I think

there's a lot to learn from him in

regards to self-mastery after all he's

spent 30 years as a clinical

psychologist trying to help people

become better versions of themselves and

this book is just a distillation of all

that learning into Simple Rules we can

use to govern Our Lives my favorite of

the 12 rules is this one compare

yourself to who you were yesterday not

to who someone is today this is a lesson

that I pretty much have to relearn every

single day all right all right the

fourth book on this list when it comes

to developing mindset is aptly named

mindset by Carol D this is one of the

most important books on the topic of

mindset and I do not say that lightly in

it world-renowned psychologist Carol DW

introduces the world to a simple yet

profound concept called the growth

mindset now to really understand the

growth mindset you have to understand

its antithesis the fixed mindset the

fixed mindset is the belief that our

traits our characteristics and our

skills are fixed and unchangeable people

who say things like I'm just not a math

person or I'm bad at learning languages

are falling victim to the fixed mindset

the growth mindset by contrast believes

that anything can be learned and

developed so instead of saying I suck at

this and therefore will always suck at

this the key to the growth mindset is a

simple word called yet yet changes

everything when you say I'm not good at

math yet you're signaling one of the

most important beliefs any of us can

adopt which is with enough time effort

and intention you can m Master

practically anything now there's a lot

more Nuance to this book than I can give

Justice here so definitely go check it

out in the meantime let's move on to our

second sphere of influence health I have

read hundreds of books on exercise and

nutrition over the years and without a

doubt the best book I've read is outlive

by Peter AA this book lays out a

comprehensive framework for Not only

living longer but living better I mean

what's the point of living until you're

100 if the last 20 years of your life

are spent in absolute misery unable to

get out of bed and do the things that

you love that is not a li I think

anybody wants for themsel so it's

important you start doing the work now

but that begs the question what exactly

should you be doing right now to ensure

you live a long healthy awesome life

well Peter rtia breaks it down into core

categories including exercise sleep

nutrition mental health and

relationships this book is a tour to

force but written in a way that you can

start applying immediately and because

this book is so damn good it's the only

one I'm going to recommend in this

section so let's just move on to the

third sphere of influence which is

wealth money is by far the thing thing

that's caused me the most stress in my

life it's probably because it's the one

that impacts pretty much every aspect of

our lives and yet it's the one that if

you're like I was you know the least

about so let's take our heads out of the

sand and change that by learning the

rules and strategies for winning the

money game to do that I'm going to break

this down into two different parts we

have basic money knowledge and then

Advanced money knowledge okay so we're

going to start with basic money

knowledge because you can start applying

the lessons from these books to your

personal financial situation immediately

the first book Is the psychology of

money by Morgan howel the first step in

winning the money game is just to change

how you think about money and this is so

important because most of us have

accumulated all sorts of unhelpful

baggage and misguided beliefs around

money that are unconsciously sabotaging

our efforts to get ahead listen how you

think about money influences how you

feel and ultimately act around money and

unfortunately most of us were taught how

to think feel and act towards money by

people who were not winning the money

game as a general rule do not take

advice from someone you wouldn't trade

places with which means don't take

Financial advice from somebody who isn't

winning the money game if you do you're

going to adopt their same thoughts

beliefs and actions that are keeping

them from winning the money game so step

one on your financial journey is to

break this cycle and learn a new way to

think around money which is where this

book comes in psychology of money here's

one of my favorite quotes from this book

saving is the gap between your ego and

your income all right now the next book

in developing your basic money knowledge

is I will teach you to be rich by RIT

sethy this is one of the very first

books on personal finance that I read

when I decided to turn my life around

all those years ago now the beauty of

this book is that it's not just Theory

REM meet lays out a stepbystep plan with

actionable next steps you can start

taking today to automate your finances

and this is important because as RIT

himself says in the book it's more

important to get started than to spend

an exhaustive amount of time researching

so read this book understand the plan

and start implementing I promise you're

going to be further ahead in 6 months

than you are now all right so the third

book on basic money knowledge I'm going

to share with you it has practically

zero actionable steps but it is my

all-time favorite book on the topic of

money it is called how to get rich by

Felix Dennis so most of the people

writing books on money are either

millionaires or want to be millionaires

very very very few billionaires have

ever written books on money and so when

they do it's generally worth paying

attention to what they have to say now

unfortunately most billionaires are

actually kind of lame and they have zero

personality so the books they write

often suck but this is not one of those

books this book how to get rich by Felix

Dennis is one of the most entertaining

books I've ever read and I'm not just

talking about money books here the

reason this book is so well written and

interesting is because Felix Dennis

spent his entire life immersed in the

publishing industry and he did some

pretty wild things with his life now

you've maybe never heard of Felix Dennis

but chances are good you've heard of his

magazines like Maxim or men's fitness or

computer buyer this book is the rambling

insights of a man who managed to to

Summit the money mountain and then spent

the last few years on Earth just sharing

what he learned along the way of all the

lessons he shares in his book my

favorite is the following anyone not

busy learning is busy dying for as long

as you Foster a willingness to learn you

will ward off sorosis of the brain and

the hardening of the mental arteries

Curiosity has led many a man and woman

into the valley of serious wealth all

right so now that we've laid the

foundation here are three books for

developing your Advanced money knowledge

first up is economics in one Lesson by

Henry Haslett I'll be honest I did not

enjoy learning about economics in high

school or college it always seemed like

this overly convoluted and esoteric way

of understanding the world that

politicians and economists created just

to make themselves feel smart and

important and that may be true but it's

also true that economics impacts

absolutely everything we do in life it's

everywhere affecting all things at all

times remaining ignorant of that truth

only makes our lives harder than

necessary and it puts us at a dis

Advantage relative to those who do

understand economics so do yourself a

favor arm yourself with a basic

understanding of Economics by checking

out this book It's relatively short it's

easy to consume but it packs a mighty

punch all right the second book on

Advanced money knowledge is taxfree

wealth by Tom Wright all right all right

I can see your eyes already glazing over

At The Mention Of taxes but listen up

because one of the most important

lessons to be learned when it comes to

winning the money game is this it's not

about how much you make it's about how

much you keep keep and like it or not

the biggest expense you will incur in

this lifetime are taxes so if you want

to keep more of what you make you must

develop a basic understanding of taxes

now unfortunately most books written

around taxes are about as exciting as

having your teeth drilled at least with

this book taxfree wealth it feels like

they gave you some anesthesia so go

check it out okay now the last book on

our quest to develop Advanced money

knowledge is what every real estate

investor needs to know about cash flow

by Frank gallinelli don't be deterred by

the title of this book book it it's

actually really really helpful even if

you're not interested in real estate in

fact if you're any sort of entrepreneur

I highly recommend you check out this

book because accounting is the language

of business the better you speak the

language the better you'll be able to

communicate with the locals okay so as

you might imagine the problem with books

on accounting and finance they're often

very dry and boring and I'm not going to

pretend like this is a riveting Frolic

through fields of Dandy lines but here's

what I like about this book it's short

it's clear it's very concise so suck it

up buttercup if you want to play the

money game at the highest levels this is

the price of admission okay now a lot of

people like to say that knowledge is

power but that's actually not true

knowledge is potential power it's

useless if we don't apply it now the

beauty of Applied knowledge is that it

leads to our fourth sphere of influence

which is skills now here's the truth I

don't actually think reading books is a

great way to learn most skills in almost

all cases you're better off just doing

the thing and getting more reps after

all you can't learn to ride a bicycle by

reading about it you just just have to

go and try to ride the damn thing with

that said there are a few skills which

due to their nature are kind of helpful

to read about especially when it comes

to what I call the three legs of

business now the way I think about this

is that all businesses have three legs

of the stool they have a marketing

function operations function and a

finance function marketing gets to

customers operations creates the product

and delivers it to the customer and

finance manages the bank accounts to

keep marketing and operations out of

trouble now we've already discussed the

finance leg in the previous SE so let's

turn our attention to the skills we need

for marketing and operations okay so

let's start with two books on operating

a business that I've used to build

multiple eight figureure businesses the

first is traction by Gina Wickman this

is the closest thing you're going to

find to an out-of-the-box operating

system that you can immediately plug

into your business in fact this book

will teach you a framework called EOS

which stands for entrepreneur operating

system and this is a very helpful system

especially when you're new because one

of the biggest struggles all

entrepreneurs ultimately face is a lack

of structure you know when you're

working for somebody else and collecting

a paycheck chances are there's already

systems and processes in place all you

got to do is follow the system and it

will produce the desired result I mean

you just show up at this time you do

that thing for this long then move on to

that thing for this long and then you

you call it a day but you don't have any

of that structure when you're building

your own thing in the beginning you're

going to be tempted to just slap

something together on your own and don't

get me wrong that can work but when you

go that route You're Building Systems

and processes for what you can see

immediately in front of you and spoiler

alert in the beginning of your journey

you can't see very far this means you're

going to eventually hit an inflection

point where the systems you built to get

you here are insufficient to get you

there and to be honest this first

inflection point is what breaks most

businesses if you want to avoid this

then just start from day one by

implementing a proven process and it

might seem like Overkill in the

beginning but if you do everything right

you're eventually going to grow into it

and then you're going to be glad that

you did all right the second book that's

going to help you with your business

operations is called the goal by El

Yahoo gold Rat this book is not so much

a system as it is a framework for

thinking through the obstacles that are

going to keep your business from growing

it's called the theory of constraints

and like all the best theories it is

simple profound and universally

applicable the core concept is this

every process has a single constraint

and the total throughput of the process

can only ever be improved when that

constraint is removed another way of

thinking about this is that the chain is

only as strong as its weakest link so

all the time and energy we put into

improving any Link in that chain that is

not the weakest is a waste because those

links are not the limiting factor the

difficulty in business in life is that

it's not always so clear which link is

the weakest so learning to identify the

constraint in any system it's one of the

most valuable entrepreneurial skills

because it unlocks a road map for

continual Improvement and therefore

growth this book the goal it's going to

help you do that so go check it out okay

so now I personally lump product design

into the operations bucket and by far

the best book I've read on this topic is

$100 million offers by Alex Heros if you

want to learn how to make offers so good

people feel stupid saying no then go

grab a copy of this it's like 9 cents on

Amazon I wish this book had been

available when I started my

entrepreneurial Journey as it almost

certainly would have helped me get to a

$100 million company way faster than we

all ultimately did but I'm psyched it's

here now because even with a decade of

experience behind me I've still learned

a ton in this book that I've used over

the past couple of years to make a lot

more money than I otherwise would have

now speaking of making money the way

that you do this in a business is by

selling customers a product or service

but the question then becomes where

exactly do you get the customers well

this is where marketing comes in and

honestly there's no shortage of great

books out there that will help you

develop this particular skill but here

are two of my personal favorites first

is another horoi book it's called $100

million leads this book only came out a

couple months ago so unfortunately it

was a little late to help me on my

learning curve but damn if I would have

had this book 10 years ago it would have

saved me so much trial and error not to

mention a ton of Heartache because at

the end of the day in the life of an

entrepreneur there's nothing quite so

disheartening is having a great product

that you can't find customers for this

book is the step-by-step process for

generating leads periods there's nothing

like it and by acquiring the skill of

generating leads on demand you pretty

much have a money printing machine as an

entrepreneur you can't afford not to

know how to generate leads but once you

know how to find them you got to learn

how to convert them into paying

customers and to do that there is no

skill in the world more valuable than

copywriting my favorite book on this

topic is Ogie on Advertising in by David

oleby so copyrighting is a skill by

which we use the written word to

influence perception conjure desire and

drive action and olivie himself was one

of the grandfathers of this powerful

craft he practically pioneered the

process by which we engage educate and

convert leads into customers using

nothing more than the written word and I

don't know about you but I find that

there's something almost magical about

the fact that you could sell practically

any product in the world if you just

wrote down the right sequence of words

on a piece of paper and put it in front

of the right customer at the right time

to be a great copywriter requires clear

thinking a deep understanding of human

psychology and the ability to

communicate a message with impact this

book o Leon advertising is a great first

step in learning what I consider to be

one of the most valuable skills in the

world and if you take the lessons from

this book you combine it with all the

lessons from all the other books on this

list then it's just a matter of time

until you build your own $100 million

Empire so good luck so what are you

waiting for go read a book hey what's up

guys I hope you enjoyed the video if you

did and you want to go even deeper then

you should check out my Weekly

Newsletter called the hyperfocused

entrepreneur every week I do a deep dive

into business investing and personal

development to help you on your journey

to maximizing your return on life it's

absolutely free so go sign up I'll drop

a link down in the description I'll see

you guys in the next

[Music]

video

[Music]

he