“It’s my best deal ever” - Alex Hormozi on investing in Skool

About this video

Shaan discusses his investment and brand partnership with School, a platform for aspiring entrepreneurs. He breaks down his decision-making framework for brand endorsements—focusing on audience conversion rate and customer lifetime value—and explains why School aligned perfectly with his audience needs and business criteria.

Key takeaways

• Shaan evaluates brand deals primarily on audience conversion × customer LTV, not just cash component; brand endorsements are more constrained than capital since he has only 3-4 usable brand bullets before becoming a shell
• Shaan sought a product for the 70% of his audience wanting to start a business; it needed to be scalable, demand-constrained (not supply-constrained), and create network effects at the right business lifecycle stage
• School met Shaan’s criteria: Sam Parr invested roughly $10 million of his own capital, the platform showed organic viral growth compounding 20% month-over-month, and the nine-month deal negotiation resulted in mutual commitments that balanced both parties’ risks

Episode details: published August 20, 2024 · 12K views · 4:57 long. Summary written by Self Growth Videos from the episode itself. The business ideas, figures and results discussed are the hosts’ and guests’ own claims, shared as brainstorming and entertainment — not verified facts and not investment advice.

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