THE BIG Big Completed.pdfgarage that eventually becomes big. The reason authors like to write about...
Transcript of THE BIG Big Completed.pdfgarage that eventually becomes big. The reason authors like to write about...
THE BIGWhy It’s Easier to
Build a Big Company Than a Small One!
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 1
Ideas That Can Change Your Life™ in Business
The Big Why It’s Easier to Build a Big Company
Than a Small One!
James Skinner, Mark Victor Hansen, and Roice Krueger
“The Big” is about building big companies. It’s
about playing big in life. It’s about helping out the
planet in a big way. And the best part is big is
easier than small! Who would have thought?
___________________________________________
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 2
Ideas That Can Change Your Life™ in Business
The Big
The Authors
JAMES SKINNER is the founder of two global financial
groups that manage billions of dollars of assets. He is
also recognized as one of the world’s foremost business
thinkers and appears regularly on Japanese television.
MARK VICTOR HANSEN is the co-creator of the Chicken
Soup for the Soul empire and is the best-selling nonfiction
author of all time. His goal is to make the planet work
for all humanity!
ROICE KRUEGER co-founded Franklin Covey, the
world’s largest training company, and has supervised
consulting projects for 80 percent of the Fortune 500.
NOTE: Ideas That Can Change Your Life™ is a
collaboration of three of the world’s most amazing
authors, speakers, and thinkers. The first person “I” may
refer to any of the authors.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 3
Ideas That Can Change Your Life™ in Business
The Big
“The Big” i s one o f our most request ed presentat ions .
We hope you enjoy “si t ting in .” Welcome!
Big Companies Are Easier to Build Than Small
Companies!
We want to teach you how to become exceedingly well-
off in an abbreviated amount of time. Would that be
good? Everyone say, “Yes!”
Then let’s talk about The Big.
In the process of living my life I’ve noticed that
when it comes right down to it, newspapers essentially
write about everything that is not happening in the
world. Does that make sense? By that, I mean they write
about the news: rare and unusual events that stand out
from what is generally happening.
For example, war is an unusual event. If you look at
the number of countries that are actually at war with one
another, there are very few; but reporters write about
those areas instead of writing, “The world is at peace
today.”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 4
Ideas That Can Change Your Life™ in Business
The Big
Book authors do the same thing. They write lots of
books about things that seldom happen.
One of the topics they love to write about is the
success story of someone who starts a business in their
garage that eventually becomes big. The reason authors
like to write about this is that it is actually very, very
rare. Does that make sense?
Think about most big companies; how do they get
big? The answer is they start big.
Now, everyone say, “Start big!”
Get a list of the top 1,000 companies in the world
and see how many of them were ever small.
In the process of building several businesses (I first
built a couple of small businesses, and then I built a
couple of really large businesses), I realized it’s actually
easier to build a big company than a small company!
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 5
Ideas That Can Change Your Life™ in Business
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Everyone say, “Easier!”
So, how exciting would it be to know that you can
actually build a big company with less work than it takes
to build a small company? Is that exciting?
And how exciting would it be to know that you
could build a billion-dollar company as fast as you can
snap your finger? Snap! How many of you would like to
make more than $1 million in one day? It’s easy! Are you
ready?
What we have found is that there is actually a very
orderly process for creating a big company, a big
business.
There are eight points. Everyone say, “Eight
points!”
We’re going to go through these very quickly.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 6
Ideas That Can Change Your Life™ in Business
The Big
1. People with Big Goals Build Big Companies!
The first thing you need if you ever want to have a big
company is a big goal. That’s because people with small
goals go out and build small companies. And the reason
that people with small goals go out and build small
companies is that they see themselves as small.
I want you to take out a pen and write down on a
sheet of paper how much money you would like to
have. Write it as a number, with no words. How much
money would you like to have? In dollars, yen, euro—it
doesn’t matter. Have you got the number written down?
Now my question is Why didn’t you write one more zero?
How hard is it to write the next zero? It should be easy,
but it’s actually very hard.
When I was with leading entrepreneur Roger
Hamilton in Bali for ten days, he and I decided to write
a book called The Promise; and he said, “The size of your
future is the size of your business promise.”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 7
Ideas That Can Change Your Life™ in Business
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Marriage is essentially a promise, right? And so it is
with business. Business is just a promise for future
delivery, and then you’ve got to deliver it.
To start off, we’re asking you to think in a new way.
You do that by asking a different question.
I called up a good friend of mine a couple of years
ago and I said, “How would you like to have $100
million?” He was driving to work in his car, and he
almost had a traffic accident. The conversation got even
more interesting from there.
“Well, I’d love to have $100 million,” he said.
“How many projects do you have going on right
now that have the potential to give you $100 million?”
He parked his car and sat for ten minutes thinking
about the fact that he didn’t have a single project going
that even had the potential to give him $100 million.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 8
Ideas That Can Change Your Life™ in Business
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“You’re in deep doo-doo,” I said. “You’d like to
have $100 million, but you haven’t even got one thing
going on that even has the potential to do it.”
2. All You Need is a Big Idea!
So, you need to start with a big goal, which will lead you
to the next thing: a big idea. Big companies are built
with what? Big ideas. And another word for idea is a
story or a promise. And the great thing about ideas or
stories is that they are free.
Your big idea is absolutely free to you. It’s going to
cost someone else a couple million dollars one day in
the near future, but for you it’s free!
So, if the story you come up with is not working,
what do you do? Get a different story!
How much does that cost you? Nothing!
I want you to know that the whole process of
creating a big company costs you nothing! You’re going
to get very excited about this in a minute.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 9
Ideas That Can Change Your Life™ in Business
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Let’s give you an example. A few years ago, some of
my partners and I created a big idea. We said, “We’re
going to become the first hedge-fund company on earth
that does away completely with a fixed management fee.
We’re only going to charge you a fee if we make you
money.”
Is that an easy story to understand?
So you have people from hedge fund “A” who
come to sell you some funds, and they say, “We’re going
to charge you a fixed percentage of your assets every
month whether we make money for you or not, and
we’re also going to charge you a performance fee.”
Or you can come to us, and we say, “We’ll just take
the performance fee.”
Since then, because we started out big and had big
goals, I wouldn’t even go to a meeting if there wasn’t at
least $100 million on the table. Anything less was
pointless. And it has worked. Today, when someone
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 10
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gives me $100 million and we make a ten percent return
(that’s $10 million on top of the $100 million
investment), my firm gets 20 percent of that (or $2
million in one year from one client!).
So, get a big idea. I’ll show you next that once you
have a big idea, you don’t have to know or do anything!
Are you getting excited yet?
You don’t have to know anything!
Are you now really excited?
Everybody say, “I’m excited!”
3. Big People Make You Successful!
Get excited! You don’t have to do anything and you
don’t have to know anything! When you have a big idea,
it will attract big people because big people like to do
big things.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 11
Ideas That Can Change Your Life™ in Business
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For example, I sat on a plane recently; and I said to
myself, “Boy, at four o’clock this morning, my knees
were shaking and I’m writing out a big idea on selling a
billion books.”
The guy next to me overheard me and said, “I have
a way to sell a billion books.”
“Well, yours is probably the same as mine,” I said.
At the time, I thought there would really be only one
idea.
Well, Mark had one way to do it. James had another.
Then Roice had a completely different idea about how
to do it. Then our friend Roger Hamilton came up and
said, “I’ve got a way to sell 10 billion books and end
illiteracy.”
Do you see that once you’ve got a big idea, you
mass-attract (by the Law of Attraction) the people to
you who know how to make that idea happen? Does
that make sense?
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 12
Ideas That Can Change Your Life™ in Business
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Now I’m going to tell you how you know in advance
whether your business will work. Or if someone comes
to you and says, “I’m starting a company. Would you
like to invest?” I’m going to tell you how you know in
advance whether their business will work or not. Would
that be useful to you?
This will save you lots and lots of money and it will
save you lots of heartbreak because you will know, in
advance, whether your company will be big. The only
question you need to ask is “How many big and
successful people are leaving their day jobs because they
want to participate in this idea?”
Back when we started our hedge-fund company, I
didn’t know whether it would work or not. I’ve never
known whether my businesses would work. But I’ve
learned not to judge that way anymore. Now, I just look
around and see how many people are leaving their day
jobs to be part of this big idea.
So when the head of alternative strategies for one of
the world’s largest banks said, “I want to leave my day
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 13
Ideas That Can Change Your Life™ in Business
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job and join you,” I said, “Hmm, interesting!” And then
when the regional director of one of the largest banks in
the U.K. said, “I want to leave my day job and come and
work for you,” I said, “Hmm, interesting!” And then
when the head of one of the world’s leading private
banks said, “I want to come and help you run your
business,” I said, “Hmm, I know it’s going to work!”
You don’t have to know anything! You don’t have
to do anything!
The Big People that are attracted to your idea can
make it all happen for you!
Remember when Bill Gates had a big idea: He said
I’m going to get a computer in every house. So what followed is
that the smartest students and the smartest people
around wanted to come and join him. He paid them not
with money but with options in the growth of the
company. Then he gave all these really smart people
1,600 projects to work on each year, and the company
got big from there.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 14
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4. We Live in a World With Too Much Money!
So, once you have a big idea with big people, it makes it
very easy to do the fourth step, which is you get some
big capital.
Everyone say, “Beaucoup bucks!”
There are people today who have too much money,
and they have no place to put it. I’m not kidding. One
of the largest investment banks in the U.S. recently
launched a private-equity fund and raised $30 billion in
one day. Now for those of you who cannot do the math,
that is $30,000 million!
What that means is that if we give $1 million to each
of 3,000 entrepreneurs to invest in a new business, the
fund manager has only done 10 percent of his job!
It’s a problem! The fund manager has to find a place
to put $30 billion! He needs your big idea! He (and the
economy at large) has lots and lots and lots of cash. But
he doesn’t have enough big ideas. He doesn’t have
enough engines.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 15
Ideas That Can Change Your Life™ in Business
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For the first time in human history, we have excess
liquidity. There is too much money! Everyone say, “Too
much money!”
So, we went to a private-equity guy, and we thought
we were being very ambitious: We said, “We would like
to give you 10 percent of our company.” You have to
remember, there was no company yet—just an idea and
some people! OK, so we said, “We would like to give
you 10 percent of our company for half a million U.S.
dollars.” He said, “OK,” and wrote the check. We were
stupid! Half a million dollars doesn’t solve his problem!
You need to ask for $10 million or $50 million so that
you can be a part of his budget!
Everyone say, “Budget!”
You need to know this word whenever you deal
with big companies, which you’re going to be doing a lot
because we are talking about “Big.”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 16
Ideas That Can Change Your Life™ in Business
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We are talking about billions. We’re talking about
how you make a ton of money in one day.
The people who are in big companies operate based
on budgets. And if you only take a half a million dollars
of his money, you are not a solution—you are just
another problem. You need to be a line item on his
budget.
Everyone say, “Line item!”
A line item means they actually track you as an
individual line on the budget. As soon as you’re a line
item, they can’t get rid of you! Because to get rid of you
they need permission from the board of directors! And
nobody, no division manager, wants to have to go to the
board and explain why a line from the budget has
disappeared. They lose their jobs over stuff like that.
Now think about this for a moment. The original
founders of the business basically invested nothing. And
they own 90 percent of the business. Then venture
capitalists invested half a million and now own 10
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 17
Ideas That Can Change Your Life™ in Business
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percent of the business. So how much is the business
worth on day one? $5 million!
Now if you’ve got 90 percent of $5 million, how
much have you got? $4.5 million. And if you share that
with two other partners, how much do you personally
have?
You have $1.5 million each just for telling the
story—in one day!
You’re supposed to clap about now!
You can make $1.5 million just for telling a story.
And if they don’t give you at least $1.5 million for telling
a story, tell a better story!
When I was on the board of one of the world’s
biggest airlines—Evergreen Airlines—I came up with a
million-dollar idea and gave it to the chairman, Dell
Smith, and he said, “Do you understand that that’s
worthless to me?”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 18
Ideas That Can Change Your Life™ in Business
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“Why?” I said.
“Each of the many, many planes I own, including all
the ones rented to UPS, costs $170 million.”
A million dollars is like a penny to him.
When you’re thinking big, you get to play with big
money. When you borrow $1,000 at the bank, the bank
owns you. But when you borrow $100 million, you own
the bank.
I want to tell a true story about a friend of mine. His
name is Teiichiro Hori. He produced the Tokyo
Olympics, then he produced the two most successful
pavilions at the Osaka International Exposition, and
then he produced the two best-selling TV shows in
Japanese history—and it wasn’t enough. He needed to
do something even more interesting.
He went to a friend of his and said, “I have an idea,
I have a story, I have this really cool thing I want to do,
but I need $500 million and I need it tomorrow.”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 19
Ideas That Can Change Your Life™ in Business
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Now here’s the thing: If you try to borrow $50,000
from a bank, how many people have to sign the form?
At least four people. And it takes weeks! Or months!
They’re getting better these days, so maybe weeks. And
then maybe they don’t give it to you.
Now if you want $500 million, how many people at
the bank can give it to you? One! How many people
need to sign for it? One! The bank president is the only
one at the bank who can do it for you.
So my friend went to the president of the bank, and
said, “I need $500 million, and I need it by tomorrow.”
The bank president said, “What do you need it for?” He
said, “I want to build Disneyland in Tokyo.” The bank
president said, “That’s cool,” and he signed the form!
It’s a true story. My friend Teiichiro Hori needed to
show the Disney people that he had $500 million in
capital or they were going to take it to China first.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 20
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Big companies play with big partners! What this
all begins to attract to you is big partnerships.
When we wanted to get into the funds business in a
big way, we immediately went out and started working
with all of the world’s largest investment banks.
When you have big partners, you have big capital
and big people. And it smells like a big business. It looks
like a big business. It tastes like a big business. It is a big
business!
This is how big businesses are created.
People who are playing big go out and tell a big
story to other big people, and they get big capital, and
they bring together big partnerships; and all of a sudden
they have a big company.
5. Big Distribution Makes You Rich!
There’s one more thing that you absolutely need. Are
you ready? Because making $1.5 million in a day is not
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 21
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really very interesting. It’s not. What do you do
tomorrow? You don’t want to get bored, right?
This is the killer. This is where all the little guys in
the garage muck it up and where Bill Gates got it right.
I’m now going to give you the genius of Bill Gates
in one line. Everything that made Bill Gates rich in one
line . . . would you like to know? Here it comes, and I
wish I were joking. Are we giving this stuff away for free
today? We’re nuts!
The genius is big distribution.
I have a friend named Robert Kiyosaki, author of
Rich Dad, Poor Dad. Brilliant guy, right? Why is he so
brilliant? He’s brilliant because he partnered with AOL
Time Warner for all of his distribution.
Now for AOL Time Warner to make Robert
Kiyosaki rich, how serious do they have to be about his
project? Very? No, not at all! They snap their fingers:
Poof, he’s rich! They don’t have to put the full might of
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 22
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their empire behind him! They just go “poof,” and he’s
rich!
Say, “Big distribution!”
You know, if you want to meet a lot of rich people,
go find everyone who sells stuff to Wal-Mart.
There was a guy named Mr. Simplot. Mr. Simplot is
a very simple man in a very simple business. And he
lives in a very simple place called Idaho. He produces a
very simple thing called “potatoes.” A long time ago he
met a really crazy traveling salesman named Ray. And he
said, “Ray, I will sell you all your potatoes.” And Ray
said, “That sounds good; that’s one less problem I have
to worry about.”
But Ray’s last name was Kroc. And he was operating
a little company called “McDonald’s.” And the Simplot
potato became the standard potato for McDonald’s.
Billions of dollars in potatoes!
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 23
Ideas That Can Change Your Life™ in Business
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Everybody gets so messed up thinking they need a
big business opportunity.
Opportunity is the only thing in business that is
unlimited. Your capital is limited. Your manpower is
limited. Your management talent is limited. Your time is
limited. But opportunity is everywhere, even in simple
things like potatoes.
I live in Singapore on “Embassy Row,” and my
neighbor two doors over is building a new house—
50,000 square feet—on Embassy Row. The first time I
saw it, I thought they were building a new government
building. It’s not. It’s his house. And he made his entire
fortune selling frozen spring rolls. Some of you may
know this man. He’s a billionaire, from frozen spring
rolls!
The other night I was invited to a dinner at a great
club in Newport Beach, and the guy that I sat with was
telling me about a time just ten years ago when he
walked into a 7-Eleven. Now if you remember, ten years
ago all the windows used to fog up so you couldn’t see
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 24
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the Coca-Cola, you couldn’t see the candy, you couldn’t
see the magazines. So this guy figured out how to do
double-paned glass and signed an exclusive contract that
made him a multimillionaire in the first year, and he
immediately had to hire hundreds of people—all that
just because he figured out a way to make it so the
window wouldn’t fog up and people would buy more
stuff.
Point to your temples and go, “Hmm, that’s
interesting.”
All you’ve got to do is have the idea. Did he execute
the idea? No. All he did was have the idea and then hire
the people to execute it.
He got paid for his thinking.
Let’s get back to big distribution. The reason Bill
Gates is richer than a guy named Jobs is not that he has
a better operating system. We can get shot in Seattle for
saying this stuff, but it’s true. It’s because he went to all
the computer manufacturers and said, “We’ll just install
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 25
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our operating systems on all your computers and take
away one of your problems.” So he got huge
distribution. His distributors were IBM, NEC, Fujitsu,
Sony—all of them! That’s why he’s the richest man on
earth: because he has the biggest distribution and none
of it is his!
Same thing: Some of you have read about Dr. Andy
Grove, one of the founders of Intel, who says, You need
to create a strategic inflection point. Anyway, he came up with
a little logo that says “Intel Inside.” He got every
computer manufacturer to want to put that logo on their
boxes, and it made him $10 billion. Distribution!
6. Everybody in the World is in the Business of
Helping You!
So, you have a big goal. You want to play big. You start
telling it to people. If lots of powerful people want to
leave their day jobs and come work for you, you know
it’s a great idea. If not, you tell a different story because
they’re the ones who are going to make you rich. When
you have some big people, you go out and get some big
capital. Then you go out and get some big partnerships,
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 26
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great suppliers, great people to work with, and great
banks. Then you get some big distribution. You’re a
done deal!
Now here’s the thing I want you to get: Everybody
in the world is in the business of helping you.
That’s where you’re supposed to say “Oooooh” and
“Aaaahhh.” Why?—because you’ve never heard this
before.
OK, I’m going to tell you something that I
guarantee you’ve never heard before. What business are
your customers in? They are in the business of what?
What do customers do? They buy! Your customers are
in the business of buying stuff from you.
How cool is that?
Customers are in the business of shopping!
Purchasing departments are in the business of
purchasing. And people have to buy stuff. Stop making
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 27
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the customer the enemy. They are in the business of
buying.
How many of you are confident that you could go
one week without buying something?
None of you. I dare you to go one week without
buying any electricity, any water, any food, any clothing,
any lodging—nothing. You won’t make it.
Your ancestors could survive in the jungle without a
flashlight—but you’d be toast! You need to shop.
So, shoppers are in the business of shopping.
Employees are in the business of working for you.
Suppliers are in the business of supplying. Distributors
are in the business of distributing. And the coolest thing
of all is that venture capitalists are in the business of
giving you all the money you need to do it in the first
place!
7. You Will Make So Much Money You’ll Have to
Give it Away Just to Get Rid of It!
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 28
Ideas That Can Change Your Life™ in Business
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This brings us to number seven, which is big charity.
Everyone say, “Big charity!”
Paul Newman is an actor who gets $20 million a
movie. At 82 he still very active in his acting career by
making multiple appearances in TV and movies every
year. A couple of years ago he didn’t like the salad
dressing at a restaurant; so he went home, made his own
salad dressing, and began to give it away to his friends.
They all said, “Paul, this is so good we want to buy it.”
He said, “Well, I don’t want to be in that business.” But
he started selling it and donated 100 percent of the
proceeds to charity to help kids with terrible diseases.
He started calculating the total amount of money it
would take to cure this disease worldwide, and it was
$100 million a year, so he just started a restaurant.
First, he had a big goal. He said, “I’m not going to
borrow the money or ask anyone for the money; I’ll
create the money.”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 29
Ideas That Can Change Your Life™ in Business
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Everyone say, “I’ll create the money!”
He had a big story. He said, “What I’ll do is I’ll do
the first five-star organic Italian restaurant. We’ll do it in
Westport, Connecticut, and we’ll get the biggest people
to contribute to it, people that are already successful”
Now, he’s got big capital, so he’s going to franchise it—
he’s going to open up thousands of franchises across the
country. He’s got partners, he’s going to have big
distribution, and he’s going to make $100 million that all
goes to charity—and that gives him the biggest legacy
that I know of in that area.
Now the really cool thing about giving money away
is that it doesn’t cost anything. Do you get that? It’s a
little bit complicated.
I want to tell you a little story. Several years ago,
when I was just starting out with my company, it was
November, and I said to my assistant (we were the only
two people in the company), “I want to take 100
orphans to Disneyland next month for Christmas.”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 30
Ideas That Can Change Your Life™ in Business
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“Have you looked at the bank book lately?” she said.
“We don’t have any money!”
How many of you have ever felt like you don’t have
any money? I’m going to tell you what my mother
taught me: “You don’t need more money—you need
more faith!”
So I said to my assistant, “Don’t worry about it. You
get the kids. The money will show up.”
She had a funny look on her face. “OK. It hasn’t
worked that way for me in the past, but if you say so.”
So she went out and visited all the orphanages and
found us 100 orphans to take to Disneyland. In the
meantime, I started meeting with people like you. I’d
say, “Oh, we’d like to help some people. We want to
take 100 kids to Disneyland. What I want you to do is to
sponsor one child to play at Disneyland for one day. So
you’ve got to pay for their ticket and their lunch. Would
you be willing to do that?”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 31
Ideas That Can Change Your Life™ in Business
The Big
And everyone said, “Sure!”
Then I would say, “There’s one more thing I want
you to do. I want you to actually come to Disneyland
and play with the kid. Are you willing to do that?”
And everyone said, “Sure!”
There were some people who couldn’t come after
all. They said, “I have a board meeting that day. I’d
really love to come, but will you just take some of my
money?”
I said, “Sure!” You know we have to pay for the
buses and some of that other stuff.
And when we were all done, my cost of taking 100
children to Disneyland was minus $2,000!
Do you know what that means? The cost was minus.
That means there was $2,000 left over!
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 32
Ideas That Can Change Your Life™ in Business
The Big
We couldn’t use all the money that people gave us,
so we gave the $2,000 to the orphanages to buy hats and
gloves for the kids.
Then there was the tsunami in 2004. Everyone was
talking about Indonesia and Phuket, but there were
some other places that were hit, like India. So we
immediately sent an emergency medical team of
paramedics to India. We just told a bunch of people we
wanted to send this emergency medical team to India,
asked what we needed to do, and explained that we
needed some money. They all gave us some money.
There was so much money left over that we bought two
fishing boats for the village.
Link an idea like this with a really big business, and
you can change the planet.
Here’s one more story: We published Chicken Soup
for the Soul 1 and 2, and later Chicken Soup for the Teenage
Soul and others. Well, one day I got a call from Saul
Price, who runs Costco, the biggest competitor of Wal-
Mart.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 33
Ideas That Can Change Your Life™ in Business
The Big
He said, “Look, I’m selling 20,000 of your books a
week, and everybody thinks it’s a cookbook. So we
would like a cookbook.”
I said, “Look, Saul, I love ya and I appreciate you
selling all those books, but we don’t do cookbooks.”
He said, “The first order is a quarter million.”
I said, “Saul, I can do a cookbook.”
Now, we don’t do any books unless there’s a charity
tie-in, so we said, “Look, by Thanksgiving we’ll sell a
quarter of a million books, but what we’re going to do is
put ‘Feed L.A. on Turkey Day’ in the front of the
book.”
We went to the Union Rescue Mission in L.A. and
told them what we were planning.
We started getting calls from the biggest health food
store in L.A., which at the time was Mrs. Gooch’s, and
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 34
Ideas That Can Change Your Life™ in Business
The Big
she said, “I’ll provide all the turkeys.” Then we got a call
from Whole Foods: “We’ll provide all this, we’ll provide
all that”; and we provided money just to make sure
everyone at the mission had clothes and more. So many
people came, and we did the distribution. When you
think big, it is amazing what you can do!
8. Multiply It!
The final part of the story is to multiply whatever you
are doing. Replicate it. Find ways to do it again and
again. Find ways to make it 100 times bigger and 100
times faster than it was before.
When we started the Franklin Covey organization,
we had a big idea called “The Seven Habits of Highly
Effective People,” which basically was it’s time to stop
focusing on personality, or how we appear on the surface, and to
start focusing on character, or how we really are underneath.
Stephen Covey’s idea attracted a lot of big people,
including some of the world’s best presenters and video
producers who turned this into the best-selling training
course in history.
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 35
Ideas That Can Change Your Life™ in Business
The Big
We were doing a lot of good in the world, but it still
needed to be multiplied.
We decided the best way to do this was to replicate
our work around the world. We ended up having
licensees in 70 countries!
There are so many ways to multiply. Licenses, new
markets, different countries, extensions of your product
line—the list goes on!
We found out that the knowledge needed to run a
hedge fund could be applied to running capital markets
or private-equity businesses as well.
Once you build something big, the law of
accelerating returns kicks in. You accelerate faster and
faster. The next big thing becomes easier.
Everybody say, “Accelerating returns!”
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 36
Ideas That Can Change Your Life™ in Business
The Big
Konosuke Matsushita in Japan had built more than
1,800 companies by the time of his death. Only one of
them was ever a small company—the first one. Once he
learned how to do it big, there was no reason to start
small. He multiplied the system he had created in sector
after sector.
Be Big!
So there you have The Big. It’s all you need to make a
big company.
Remember: A big company is easier to make than a
small company.
You just need a big goal. You need to see yourself as
somebody who’s going to do something big and
meaningful in the world, because that is why you were
born.
Then you need to get a big idea, you tell the story,
and if the story is not attractive to people, you get a
better story. And it’s free! And the really great thing
about the story is that it doesn’t even need to be your
© 2007, James Skinner, Mark Victor Hansen, and Roice Krueger, All rights reserved. 37
Ideas That Can Change Your Life™ in Business
The Big
story. You can go to others and say, “What are you
bothered about?” They might say, “Oh, I wish I had
someone to solve my window problem.” They’ll give
you the story!
Then you go out with the story, and it attracts some
big people.
Once you have the big people, you attract big
capital. Ask for big money; it’s easier. W. Clement Stone
said, Always ask for more than you need, borrow it for longer
than you need, and pay it back faster.
Once you have some big capital, you’re poised to
have some big partnerships. Remember, you don’t
actually need to do anything. Design companies are in
the business of designing. Manufacturers are in the
business of manufacturing. Employees are in the
business of being employed. Everybody is in the
business of doing this for you.
Then you get big distribution, which will make you
mega wealthy without doing anything. You don’t
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Ideas That Can Change Your Life™ in Business
The Big
actually have to sell anything because there are people
who make their entire livelihoods selling stuff for you.
And then, if you’re going to be that big, there’s no
possible way that you’re going to use all the money. It
can’t be done. When you’re making $1 million a day,
how do you spend it? There’s no person alive who can
shop that much without dying. So you need to go out
and do some big charity and save the planet. And then
multiply your efforts to become a force for good in the
world.
We wish you well on your journey to The Big!
With best wishes,
James Skinner, Mark Victor Hansen, Roice Krueger
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