THE SAVVY DENTIST PODCAST WITH DR JESSE GREEN

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EP 05 HOW TO SCALE AND GROW USING LESSONS FROM REAL ESTATE WITH PHIL HORAN

JesseGreen:

Ladiesandgentlemen,welcometotheprogram.Todayweareinforarealtreat.WearespeakingtoareallygoodfriendofmineandsomeonewhoIhaveadmiredandrespectedforanenormousamountoftime.ImetPhilHoranwhoisthefounderofHelloRealEstateprobablyacoupleofyearsago.I'vebeenwatchinghisjourneywithenormousinterest.He'sputtogetheranamazingbusiness.HelloRealEstateisreallyshakingupthewaythatrealestateissoldinAustralia.Infact,it'sshakingitupsomuchsothatthere'sbeennumerousnewsarticleslikeningHelloRealEstatetoUberintermsofthedisruptionthatthey'recausingtotheindustry.Phil'salsotheauthorofafabulousbookcalledIfYouLoveYourRealEstateAgent,Don'tBuyThisBook.That'sareallyinterestingread.I'vereaditandIcancertainlycommendittotheaudience.Phil,howyougoingmate?Welcometotheshow.

PhilHoran:

I'mfine,Jesse.Thankyouforhavingmeontheshow.

JesseGreen:

Mate,it'sabsolutepleasure.Wereallyappreciateyoutakingthetimeoutofyourdaytohaveachattous.Mate,HelloRealEstateisreallykickingsomegoals.Youmustbecompletelystokedwiththewayit'sgoing.

PhilHoran:

WesureareJesse.Westarteditjustovertwoyearsagonow.WenowhavethirtylicenseesinAustralia.WearelicensedinsouthAustralia,NewSouthWales,theACT,Victoria,Queensland,andwesternAustralia.Ourfootprintisreallygrowing.We'reabouttolaunchwithsixlicenseesinwesternAustraliabythefirstofMay.Thingsaregoingfantastically.There'sbeengreatuptakeoftheserviceandquitealotofinterestfromthebusinesscommunitytojoinHelloRealEstate.

JesseGreen:

Mate,that'sfantastic.I'mreallycuriousPhil,becauseHelloRealEstate,obviouslyyou'vebeenaroundrealestateforalongtime.BeforewegetintotheHellostory,I'mwonderingifwecandivealittledeeperintothePhilHoranstory.What'syourbackground,mate?Howdidyougettothispoint?

PhilHoran:

MybackgroundJesseisIownedmyfirsthousewhenIwastwenty-oneyearsold.I'mnowsixty-two,sothatwasalongtimeagoandnotmanypeopleattwenty-oneownedtheirfirsthousethen.

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JesseGreen:

Notmanydonow.

PhilHoran:

I'vealwayshadagreatinterestinrealestate.AlthoughI'vebeeninvariousdifferentbusinesses,whatevermoneyI'vemadeI'vealwayspointedtheinvestmenttowardsrealestate.I'vedoneeverythingfromrenovatingandsellinghousingrightthroughtomajorcommercialdevelopments.IdidquiteabigoneonKingStreetWharfinSydneywhichwasapre-Olympicdevelopment.IsyndicatedthroughsomepartnershipsthatIhadintheUAE.Realestatehasalwaysbeenapassionofmine.Inlate2010IdecidednottotravelasmuchandnotdoworkoverseassoIthencametotheconclusionIneededtodosomethingquitedifferentand,again,realestatepoppedup.Ithoughtthebusinesswasripefordisruption.Withmypropertydevelopmentbackground,I'vedealtwitheveryrealestateagentontheplanetItellsomepeople.I'veboughtandsoldundereverydifferentguisethatyoucouldthinkof,vendorfinance,renttobuy,cash,allsortsofdifferentways.I'vehadalotofexperiencewithrealestateagents.

InterestinglyJesse,oneparticulareventhappened.Thiswashighonmymind,oneeventhappenedthatreally,reallyencouragedmetomoveaheadwithHello.IwassellingmyownhouseinAdelaideHills.IhadabeautifulpropertythereMaryandIowned.Wedecidedwe'regoingtochangeourlifestyleanddosomedifferentthings.Aroundtwomilliondollarmark.Onedaytheagentsatdownwithmeandhedescribedindetailthefivegroupsofpeoplewhohadjustbeenthroughmyhouseatanopeninspection.Hewentintodetail.TherewasaladywhowasateacherfromWallawhowasmovingtoAdelaide.ThehouseisinAdelaide.Itwasfascinatingbecausewhathedidn'tknowisIhadbeensittingdowntheroadinmycarandnotasinglepersonwenttotheopeninspection.

JesseGreen:

Oh,you'rekiddingme.

PhilHoran:

No,it'strue.Insteadofhittinghimovertheheadwithachair,Iwasjustfascinatedandthoughtitisquiteamazingthatapersoncansoconvincinglypaintthesewordpicturesofpeople.I'msuretheywerepeoplewhohadbeentootheropensandhejustdrewfromhismemorytodescribepeoplethathe'dmeteitherthatweekendorwhatever.ThatwasthedefiningmomentwhenIthoughtthisisanindustrythatA,isdeludingitselfandB,IthinkIcoulddoagreatjobindisruptingit.That'sreallythebackgroundandthat'showIcameabouttodoHelloRealEstate.

JesseGreen:

Cool.MyunderstandingofHelloRealEstatePhil,andwe'veobviouslyhadsomediscussionsthroughoutourfriendshiptogether,butHelloRealEstateit'safixedfeerealestatebrokerage.There'sotherfixedfeeagenciesoutthere.WhatisitabouttheHellomodelthatreallysetsitapart?

PhilHoran:

Jesse,theindustry'sreallydividedintotwoparts.Oneisthefranchiseoperatorsandtheindependents.Theindependentsnow,bytheway,outnumberfranchiseoperatorsalmostthreetoone.

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JesseGreen:

Wow.

PhilHoran:

There'sbeenahugeexodusfromthefranchiseoperators.Thenthere'sthesectionofthemarketwhichiscalled,inindustrytermsIrefertothemasFSBO's,whichreallymeansforsalebyowner.Thosecompaniesarefocusedongettingyoulistedonrealestate.comondomain.Theycangiveyousomeonlineassistance.Youcandownloadsomecheatsheets.Youcandoallsortsofthings.TheproblemwithFSBO'sistheyhaveasixtypercentrevisionrate.Sixtypercentofthepeoplewholistlikethatactuallygobacktoarealestateagent.Theyfinditsodifficult.

WhatIthoughtisweneedareallynicebridgebetweenthetwo.Wecertainlyarenotadoityourselfrealestateagent.We'reveryhandson,allofourpeoplearelicensed,thecompany'slicensed.Weprovidetoeveryclientamentor.Thementorisreallyoursecrettosuccess.There'sapersonwhocomesalong,alicensedperson,whoworkswithyouthroughthewholejourney,fromthemomentyoudecidetosellrightthroughthewhenyoubankyourcheck.Thatisareallyimportantpartofourbusiness.Thatpersonal,handson,wecallithightech,hightouch,causeweusealotoftechnology,istherealsecrettothedifferencethatHelloofferstheclients.

JesseGreen:

Phil,clearlyHello'sgainedalotoftractionandthere'sbeen,asIsaidintheintroduction,quiteafewnewsstoriesaboutHelloRealEstateindicatingthatit'ssettoshakeuptheindustry,settochangethewaythatwedobusiness,andasIalsoindicatedhasbeenlikenedtosuchgiantsasUberandAirbnb.WhatI'mcurioustoknowisasyou'regoingthroughthisprocessclearlyyouhadthatexperienceinyourAdelaideHillshomewhenyou'relookingtosellit,andobviouslytheagenthadtoldyouafewforfees.Atonepointasyou'rethinkingupanewwayofdoingthingsandyou'rethinkingthere'sgottobeabetterwayofdoingthis.Howcanwechangethings?Howcanwedoitbetter?Atonepointwhenyou'reconsideringthis,howdoyouknowwhenyou'resittingonareallygoodideathat'sworthpursuingasopposedtosomethingthat'sjustalittlebitleftfieldandfranklyalittlebitkooky?AtwhatpointdoyoukindofgoIknowthatI'monawinner?Howdidyoutakethatleapoffaith?

PhilHoran:

Jesse,wewereadvisedbyallandsundrytogetmarketresearchanddofocusgroupsanddoallsortsofthings.Iactuallydidn'tdoanyofthat.WhatIdidwasIbookedtwoshoppingcentercourtsbacktobackfortwoweeks,onceagaininsouthAustraliawherewedidourproofofconcept.WewenttoTwoTreePlazawhichisinthenorth,lowerpropertyprices,slightlylowersocialeconomic,andwewenttotheshoppingcentredownsouthclosertothesea,higherpropertyprices...Weliterallystoodthereforaweekwithsomeofmystaff.Weputsomeofourbrandedcarsthere.Wehadloungersforpeopletositon.Wehadnothingforthemtosign.Wemadenoattempttohardsellanyone.Wesimplyengagedpeopleinconversation.Thosetwoweekswereavery,veryvaluablepartofthedecisionbecausepeoplewent,"AbsolutelyIwoulddoit,aslongassomeoneistheretohelpmeI'llbemorethanhappytodoit."Thatmessagekeptcomingthroughandthrough.Ineedsomeonetohelpme.OnmyownIwouldn'thaveagoatit.Withsomeone,Iwoulddefinitelyhaveagoatit.

Thattwoweekswasthedefiningmoment.Iusedtheinformationwegotasfeedback,plusthefactwewerealreadysellinghousesinsouthAustraliaquitesuccessfully,tomakethedecisiontorelocatetoNew

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SouthWales.I'mfromSydneyoriginally.I'vespentalittlebitoftimeinAdelaideandIdecidedIwanttogobacktoNewSouthWalesandreallylaunchthebusinesswhichwedidinthebeginningof2013.

JesseGreen:

Mate,that'sfantastic.Justfortheaudiencememberslisteningwhomightbethinkingabouthowtheycandothingsdifferentlyintheirbusiness,whatI'mhearingyousayisyou'vegonetotestthemarketessentially?

PhilHoran:

You'vegottotestthemarket.Youmusttestthemarket,yeah.

JesseGreen:

Yeah,soyou'vegonetothemarket.You'veaskedthemforfeedback.Inessence,you'verunasurveyiswhatI'mhearingyousay.You'vebasicallysurveyedthemarket.

PhilHoran:

Yeah,itdoesn'tcomeunderthetruesurveyparameterslikethewholeideaoffocusgroups,etcetera.Itjustdoesn'tcomeunderthat.Talkingtopeople,andalsoindevelopingthebusinessIdidmentoringmyself.Iwentandhelpedpeopleselltheirownhomes.Thatwasaveryvaluableexperience.

JesseGreen:

Fabulous.

PhilHoran:

Firsthand,seetheirreactiontobuyers,seebuyersreactionstospeakingdirecttothevendorortheownerofthehouse,wasanoutstandingexperience.Thatreallygalvanizedthewholedecisiontoreallymoveforward.

JesseGreen:

AtthatpointPhil,you'vegoneandyou'vespokentothemarket,you'vetestedit,you'vepokedandprodded,sotospeak.Atthatpoint,you'vegotthisknowledgenowthatyouthinkokay,I'vegotagoodidea.Iknowthatthere'samarketforthis.Iknowthatthere'sanappetiteforit.Clearly,that'sgoingtostillrequirealeapoffaith.I'massumingthatyouhadtotakealeapoffaithsomewhereandputsomemoneytoitortakethatbitofapunt.Howdidthatgo?

PhilHoran:

Absolutely.IactuallysoldmyhousetodevelopHelloRealEstate,soyesthatwasabigleapoffaith.AlsoitwasaleapoffaiththatinvolvedmywifeMary.Wehadtomakeitasamutualfamilydecision.Leapsoffaithneedtobetemperedwithrealinformation.Youseemanypeoplewhodevelopinventionsandpatentsandwhojustsopassionatelybelieveinitwhenthey'vegotnoevidencetosayit'sevengoingtowork.That'snotaleapoffaith.That'sfolly.

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JesseGreen:

Yeah.

PhilHoran:

Youneedtotemperitwith...Ibuiltthebusinessquiteslowly.Ididn'trushintoit.Itookmytime.Iacquiredsomequiteamazingassetsquiteearly.Forinstance,Igotthedomainnamehello.com.auveryearlyinthedevelopmentofthebusiness.Thatwasahugecoup.It'samatterofbalancingitout.Ifyoudon'tabsolutelylovewhatitisyou'reabouttodomyadviceisdon'tdoit.

JesseGreen:

That'safabulouspieceofadvice.Foranyonelisteninghere,oneofthekeythingsIthinkjusttotakeoutofthatistakingthatleapoffaithwithouttestingthemarketbeforehand,asPhilsaid,isreallypotentiallyfoolishandyoucanendupgettingcaughtinabitofstrifethere.Clearly,you'vetakenthetimetodothat.That'sfabulous.

OneofthethingsPhil,aswe'vebeentalkingoverthelastcoupleofyearsandI'vebeenobservingHelloRealEstate'sprogressandgrowthisI'vebeenreallyimpressedbytheamountofgoodpeopleyousurroundyourselfwith.WhatIknowforallbusinessesreallyisthattherecomesapointwherethefounderortheownerjustcan'tdoeverythingthemselves.OneofthethingsthatIknowasdentistsweoftengetcaughtupwithiswetendtobe...Wecanbecontrolfreaks,tobecandid.Wetendtoliketodothingsourselves.Weliketobeincontroloftheoperation.Myobservationisthepeoplewhomanagetoscalethebusinessandtobuildsomethingthat'senduringandlonglastinginevitablybuildateamaroundthem.I'mcurious,howdidthatgoforyou?You'vesurroundedyourselfwithsomereallyhighcalibrepeopleI'maware.Howhasthatprocessbeen?

PhilHoran:

It'sessentialJesse.Ifyou'regoingtobuildabusiness,particularlyattheratethatHelloisbuildingandalsoinamarket,we'reinaverycompetitivemarket,youhavetogetpeoplethataresmarterthanyou.That'sreallyimportant.ThemomentyousitdownattheheadofthetableandthinkI'mthesmartestpersonintheroom,yourbusinessisprobablydoomed.Youneedtogetspecialistsinvariousareas.Everything'sahorsesforcoursesapproach.Youneedtogetpeoplewhohavesomemarketingexperience.Youneedtogetpeoplewhoareexperiencedinbusiness.

Forinstance,I'vejusthadagentlemenjointheboard,hisnameisDarrenCole.DarrenhasamassiveCVintherealestateindustry.HewasthepersontaskedwithdoingthejointventurebetweenLandmarkandHarcourtsinVictoria.HeheadedupLandmarkHarcourtsforthreeyearsinVictoria.He'shadbigstintswithLJHooker,bigstintswithElders.He'sveryexperienced.He'salotyoungerthanme,buthe'sveryexperiencedintheindustry.I'mnotintimidatedbythosesortsofpeople.IembraceandIenjoyhavingthosesortsofpeoplewithme.Darrenhadanamazingamountofexperienceinhisbusinessandguidance,particularlymovingtothenextstagewhichwe'reabouttodo.We'reabouttoopenupintwoothercountriesbeforetheendofthisyear.Choosingthosepeopleisreallyimportant.

I'vebeenreadingabookrecentlycalledTheVirginWay,oneofRichardBranson's,Ithinkhislatestbook.Whathesaysinthereisyoureallyshouldneverhavetofireanybody,thereasonbeingisyoushouldchoosethemcorrectlyinthefirstplace.Youneedtotakealotoftime.Youneedtothinkaboutwhothepersonisthatyou'regoingtogettodoacertainjobwithinyourbusinessorbecomeacertainlevelofpartnerwithinthebusiness.Youneedtobereallybalancedaboutthat.LastyearIhadafewdisastersin

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thatarea.YouknowI'vehadquiteabighealthissueandIdidhavetohandthereinsoverinsomeareasthatIwasn'thappyto.Iobviouslypaidapriceforthat.However,that'salsoagreatlearningcurve.I'vegotanamazingteamwithme.Theladywhostartedwithmedayone,TrishMillwoodisstillwithme.She'sonourboard.She'soneofourlicensees.There'safantasticdepthwithinHelloofpeoplethathavebeenloyalandarealsoverysmartandcommitted.

JesseGreen:

Yeah.Justtotouchonapoint,Phil,oneofthethingsIjustwantedtodrilldownalittledeeperin,youindicatedtomeobviouslyhiringsmart,intelligent,capablepeopleisessential.Icouldn'tagreemorewiththat.Ialwaysliketosurroundmyselfwithsmartpeopletooandjustsoakitup,really.Theinterestingthingthatyoumentionedwashavingspecialistknowledge.Oneofthethingsthat,again,IthinkisreallypertinentisI'mgatheringandI'massuming,socorrectmeifI'mwrong,thatacrossyourteamthoughisquitebalanced.You'vegotabalancedarrayoftalentacrosstheteam,eventhoughyou'llhavespecialistsinindividualroles.Isthatafairassessment?

PhilHoran:

Yeah,that'sabsolutelycorrect.Unlessyou'reabigmultinational,duplicationisn'tverysmart.Youneedpeoplewhohavegotaparticulartalentinaparticularareaandthentryandgetotherstocomeinwhocomplementthosepeople.DarrenColeforinstance,isbringingwithhimapersonwhohasbeenthegeneralmanagerinDarren'sbusinessesforthelastfourteenyears.

JesseGreen:

Oh,wow.

PhilHoran:

Hewillheadup,he'llbecomeournationalgeneralmanagerinthemiddleofthismonth.It'simportantthatyougetthatreallynicemixofpeoplewhohavegotdifferentskillsets,differentpersonalities,butarehappytointegrateintoateamapproach.Theymustbeteamplayers.Ifpeoplearen'tteamplayersyoucan'tbuildabusiness.

JesseGreen:

Cool,fantastic.Again,you'reputtingpeopleinroleswherethey'replayingtotheirnaturalstrengthsandabilities.They'rebringingallthattothetableasopposedtotryingtocompensateforaweaknessyoujustputsomeoneinarolewherethey'renaturallygoingtoshine.

PhilHoran:

That'scorrect.

JesseGreen:

Cool,lovely.JustfromHelloRealEstate'sperspective,howmuchhasthatcontributedtotheaccelerationofyourgrowth?Youguyshavehadsomesignificantandrapidgrowth.Iwassmilingtomyselfwhenyousaidyouthoughtyou'dgrownthebusinessfairlyslowly.ThethingIknowaboutyouPhilisyou'reavery

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quickimplementer.Youtakeknowledge,youimplementitreallyquickly.How'sitbeenbringingthatteamonboardandwhat'sbeenthecontributionsofthatteamtoHello'srathermeteoricrise?

PhilHoran:

Gettingtheteamtogetherhasbeentheessentialpartofthis.Ittookawhile.WhenIsaygrewthebusinessslowly,ittookawhiletogettherightteam.Nowthatwehaveagreatteaminplacethebusinessisgrowingmonthonmonth.We'recurrentlyuptothirtylicenseesinAustralia.We'vegotprobablyanotherthirtyapplicationsthatareliveatthisminute.Weexpecttohavebytheendofthisyearwe'llhavemorethanahundred.Wewillgrowthebusinesstoowithinthenextthreeyearstoprobablyaroundseventoeighthundred.

JesseGreen:

Wow.

PhilHoran:

That'sprettyamazingwhenyouthinkthatRayWattinAustraliaonlyhavesevenhundredandfiftyorso.Yeah,there'sabalancingacttoit.Can'tgrowtooquick,butifyou'vegottherightteaminplaceyoucanobviouslymovewithaspeedthat'sdetermined.

JesseGreen:

Yeah,cool,whichisfantastic.Ikindoflikenthattomanaginggrowthisabitlikedrivingacar.Ifyoutakethecornertooquicklyyou'reliabletowipeout.

PhilHoran:

Absolutely.

JesseGreen:

Whichisadeliberatesegue.Ihavetoconfess,thatwasaverydeliberateseguebecausePhil,Iknowyouhaveapassionforrallycardriving.Notonlyapassion,you'reverygoodatit.Walkmethroughthat.Howdidyougetintorallycardriving?What'sbeenthestorybehindthat?

PhilHoran:

Okay.IgotintoitprobablybecauseIlostmymind.

JesseGreen:

Ireckon.

PhilHoran:

Fromalittleboy,Ilovedthewholeideaofmotorsport.MymomanddadlivedwithinearshotofWarwickFarmRacecourseinSydney.Iusedtoclimboverthefence,swimacrosstherivertowatchweretheTasmancarsinthosedaysortheequivalentofFormulaOne.IsawBrabhamandHumeandClarkandalltheseguysraceatWarwickFarm.Itwasinmyblood.Backaround1979Idecidedlook,Iwanttodosomethingthat

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willreallybedoableinterms,becausemotorsportsareexpensive,soIwentrallying.Ihadaprettyfastrise.Youstartoffasagradefourrallydriver.Ittakesyousomeyearstogettogradeone.Iwentfromfourtooneinthefirstyear.

JesseGreen:

Oh,wow.

PhilHoran:

ThenwentonveryquicklytobegivenoneoftheNissanWorkscars,theDatsunStanza.Igotanamazingnavigator,ladycalledSuzieWisemanwhowasthenthePRladyforMercedes-BenzAustralia.

JesseGreen:

Oh,wow.

PhilHoran:

Suzieisstillawonderfulfriendandsupportertothisday.Infact,she'saninvestorinHello.

JesseGreen:

That'sfunnyhowit'scomefullcircle,isn'tit?

PhilHoran:

Yeah,it'salifetimefriendship.Ilovedmyrallying.Ididitforfourteenyears.Strangelyenough,thecarthatIhadwasquiteaspecialcar.Someone'sboughtthatcar,agentlemeninVictoria.He'srebuildingit.HeandIareinsomediscussionsformetodrivethecarthisyearinOctoberorNovember,IthinkitmightbeNovember,inthererunoftheSouthernCrossRally.Suzie,wholivesinTexasnow,isthinkingofcomingouttonavigate.There'sabigcirclecomingaroundintermsofmymotorsportcareer.Iwouldlovetodoitifsomeofthestarsalignwewilldefinitelybethere.Ifthecargetsfinishedintime,soI'mabouttoputanapplicationinoranentryinfortheSouthernCrossRallythisyear.Ilovedrallying.

It'sallaboutteamworkandit'soneofthethingsthatyoucantakealittlebitofaleafoutoftherallybookintermsofbusiness.Ifyou'resittinginacarwithsomebody,particularlyatthehigherendofthesportwhichIcompetedat,forthosewhodon'tknowweusedtodriveonpacenotes.Pacenotesarethelargestleapoffaiththatanyonecanhaveinateammember.WhensomeonesaysthatcrestaheadisflatandImeanjustgoflat,youdon'tevenflexyouracceleratorfoot,that'saleapoffaith.There'salottobelearntfromrallying.Recently...

JesseGreen:

Youmusthave...Imeanthetrustyou'replacinginthatperson,Phil.You'reliterallyputtingyourlifeintheirhands.

PhilHoran:

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It'salifeanddeathtrust,lifeanddeathtrust.WerecentlyhadaseminarwithHelloandIinvitedamysteryguestspeaker.Thisyoungladywassittinginthefrontrowattheseminar.Nooneknewwhoshewas.Shewasimpeccablydressed.She'saverybeautifulyounglady.Imadetheanalogythatsayingthatonlyarealestateagentcansellyourhouseisalmostlikesayingwomencan'tdrivecars.IintroducedMollyTaylor.MollyTaylorisEuropeanladiesrallychampion.She'sveryyounglady.She'stwenty-eightyearsold.ShelivesinSydney.Hermom'sinCanberra.Hermom'safriendofthefamily.Mollygavethisamazingpresentationabouthowteamworkisessentiallytorallying,fromtheservicecrewthroughtothenavigatorthroughtothemanagerthroughtothesponsors.Thatsportingnucleusisreallyimportantanditdoeshavealotofparallelsforbusiness.Ihaveusedalotofthoseparallelsforbusiness.

JesseGreen:

Yeah,andofcourseyou'reallengagedinthesamegoalandeveryone'sgottheirroletoplay,ofcourse,butultimatelyit'sthatcommonalignmentofpurposereally,isn'tit?

PhilHoran:

That'scorrect.

JesseGreen:

Fantastic.Mate,whatwasthescariestmomentyou'veeitherhadinrallyingorinbusiness?What'sbeenoneofthosemomentswhereyou'vejusthadtokindofholdonfordearlife?

PhilHoran:

Allright,thescariestmomentinbusiness,asyouknowJesseIspentfifteenyearsinthemiddleeast.IactuallygotarrestedinBeirut.Igotarrestedfortakingphotosofsomesoldiersinbattledresswhoobviouslyweren'tsupposedtobewheretheywere.Itwasnotonlyscariest,butitwasalsoveryembarrassingbecauseIwaswithaclient.Ididn'tthink.Ishouldhavethoughtaboutit.Iwasfor,notforlong,twentyorthirtyminutes,detainedbysoldiersinbattledresswithrocketgrenadelaunchersstrappedtothemwhilsttheydismemberedmycamerawhichwasallthathappenedaboutit.Thatwasveryscarybecauseatthosedays,thatwas1997,thewarhadjustended,itwasaverydangerousplacetobeandIwasthereestablishingsomebusinesses.InrallyingI'mquitefortunateIhadonereallybadaccidentearlyinmycareer.Noonegothurt.Thecarwasabasketcasebutnoonegothurt.It'soneofthosethingsthatI'vebeenveryluckywithsofar.

JesseGreen:

Fantastic.IjustwanttocomebacktoHelloforasecondandthinkingaboutthebusinessjourneyandyour...Thistiesintotherallycarjourneyaswell.Asyou'vegonethroughthisparticularjourney,whatchallengeshaveyoucomeupconstantlythatyouthinkwouldbeapplicabletoprettymuchanybusiness?Obviouslytherewillbesomenuancesasitappliestorealestateversusparticularlydentistry,butwhatwouldbesomeofthechallengesthatyouthinkyou'vecomeupagainst?Iguessfollowingonfromthat,whatwouldyoudodifferentlyifyouhadyourtimeover?

PhilHoran:

Thebiggestchallengethatanyone,particularlyinthiscountry,isgoingtofindwithdevelopingtheirbusinessisgettingfinance.GettingfinanceisverydifficultinAustralia.Thebanksarenotatallattunedtoanysortofrealventurecapital.Privateequityoperatorsareverygreedy.Asyou'veseenwhat'shappened

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withDickSmith,there'sawholelotofrealserioushurdlesandproblemswithfinanceinAustralia.It'sprobablythebiggesthurdle.

TheotherhurdlethatI'vefoundintherealestateindustry,peoplearesowillingtojustsimplytellmisleadingandfalsestatementsaboutyouandyourbusiness.CoupleofinterviewsthatIhadtheyweretagged,theChannelNineinterviewerwastaggedbyaguyfromtherealestateInstituteofNewSouthWaleswhosimplyturnedaroundandsaid,"Look,thesepeoplespendfifteenminutesmentoringtheirclients."Well,that'sabsolutelyfalseandmisleading.Wespendthewholetime,fromthemomenttheydecidetoselltheirhouseuntiltheybanktheircheckmentoringthem.Industriescanbeverycruel.Theydon'tcarewhattheysay.Youneedtobevery,verycareful.Becautiousofpeoplebearinggifts.Ifyougointoacertainindustrybecautiousabouttheotherplayersinthatindustrybecausemanyofthemwillmakeoutthey'lltryandhelpyou.Theyhavenointentionofhelpingyou.

JesseGreen:

Wow,that'sinterestingisn'tit?Okay.IntermsofthingsyoumightdodifferentlyifyouweretostartyourHelloRealEstatejourneyagainfromscratch,whatwouldbethethingsyoumightdoalittledifferently?

PhilHoran:

Jesse,there'snotalotIwoulddodifferently.FromafinancingpointofviewIwouldhaveprobablyputadifferentfinancingsysteminplacebeforeIlaunchedintheeasternstates.InawayIunderestimatedwhattherealcostwouldbe.Althoughwe'vesurmountedallthatnow,butIwouldcertainly...It'salwaystheutopianviewofanyonestartingabusiness.You'vegottohaveenoughfinance.You'vegottohaveenoughcapitalbehindyou.Theproblemisunlessyou'veprovenyoursystemorprovenyourbusiness,you'rejustnotgoingtoattractanycapital.It'sabitcartbeforethehorse.You'vejustgottosomehowbalancethatout.

JesseGreen:

Yeah,soforyouguyslisteningintheaudiencethereit'saboutmanagingcashreallywell,isn'tit?

PhilHoran:

Youmustmanageyourcash,yeah.

JesseGreen:

LikeallgoodbusinessesPhil,oneofthethingsthatdentistsIthinkneedtodoisnotjustmanagetheircashbuttohaveprojections,haveforecasts,betrackingthatyearmonthinmonthout,seewheretheyareagainsttheirforecastsandthelike.I'massumingthat'sjustprettystandardgoodbusinesspracticereally.Sometimesit'snotascommonasitmightotherwiseseem.

PhilHoran:

That'sabsolutelyJesse.Inthisdayandageyoureallyneedtomanageyourcash.Youneedtohaveagreataccountingsystem.WeactuallyuseZerothroughoutourbusinessplusallthelicenseesallworkonZero.Weusealotofveryhightechplatforms.We'vebackedintosomeamazingpartnerships.WehaveagreatpartnershipwithRPDataandCoreLogic.Wearenowontheirplatformforthecustomerrelationshipmanagementsystem.We'vegotsomereallyfantasticpartnerships.That'sanotherthingIliketosay,

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partnershipsareawaytobuildabusiness,particularlyintheerathatwenowworkin.Youcan'tbeeverythingtoeverybody.Thequickestwaytothetargetistogetyourselfareallygoodpartneranddoareallysoundbusinessarrangementwiththatpartnerandworktogetherandhaveasmuchinterestinhelpingthembuildtheirbusinessastheyaretohavingbuildingyourbusiness.Youcanexpandveryquickly.

JesseGreen:

Mate,that's,foranyonelisteningthere'sjustacoupleofreallyterrificgoldnuggetsofwisdomthathavejustcomeoutofPhil'smouththere.IjustwanttomakesureIhighlightthese,lesttheybenotcaptured.ThefirstthingIjustwanttomentionisyoucan'tbeallthingstoallpeople.That'sareallycriticalthing.OneofthethingsthatIseeinourprofessionisthatasdentistswesometimeswanttopleaseeveryone.Ithinkwhenitcomestounderstandingyouridealcustomer,orinourcaseyouridealpatient,youneedtounderstandthat'slikethrowingyourdartatthebullseyeonthedartboard.Whenitcomestomarketingandallthosethingsit'saboutzeroinginonwhoyoutrytohelp.ThesecondthingPhilthatyousaidwhichwasincrediblypowerful,washarnessingtheuseofpartnershipsandusingthattoaccelerateyourbusiness.We'vecertainlydonesomegoodthingswithpartnersaswellandit'sbeenmassive.Thanks,mate.Thatisabsolutetwenty-fourkaratgoldthere.Thankyou,pal.

PhilHoran:

Thankyou.

JesseGreen:

Good.Mate,Iwantedjusttogoontoaslightlydifferenttacknowandtalkalittlebitaboutyourhealth,ifthat'scool.Youdidindicateyou'dhadsomechallengesthere.Idon'twanttodiveintothepersonalstuff,butIknowfromsomeofourconversationsthatyou'vehadwithmeoverthelittleperiodoftime,you'vebeenactuallyabletotakethosebusinessskillsthatyou'vebeendevelopingandapplythemtohelpalotofotherpeoplewhohavehadsomehealthchallengesaswell.I'mwonderingifyoucangiveusabitofanoverviewofsomeofthat.

PhilHoran:

I'mhappytosharethatwithyou,Jesse.InFebruary2015Iwasdiagnosedwithveryhighlevelaggressivecancer.Theprognosiswasreallyquitedevastating.TheworstthingaboutitwasIdidn'tevenknowIhadit.

JesseGreen:

Yeah.

PhilHoran:

Iaskedmysurgeonwhathewoulddoifhewasinmyposition.HeactuallysaidtomethefirstthingthatIwoulddoisIwouldgototheNetherlandsandseeProfessorMorentz.Iaskedmoreaboutthis,what'sthestoryofProfessorMorentz.TurnsoutthattheNimerganMedicalInstituteintheNetherlandshaddevelopedaspecialscanningsystemfordetectingcancersandinparticulardetectingsecondarycancerswhichIwasdiagnosedashaving.AtEasterTimTimeIwhiskedofftoNimerganIwenttothemedicalcentre.Ihadthetesting.It'saproductcalledComidex.It'sasystemcalledComidex,whichineffect,mostMRI'scutyouintofiveoreightmillimetreslicesfortheimages.Thisonecutsyouintoonemillimetreslices.

JesseGreen:

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Oh,wow.

PhilHoran:

Theycandetectverysmallcancers,veryearlystagesecondaries,awholelotofthingstheycandowiththisparticularsystemthatcan'tbedonewithothertraditionalMRIscanning.Thegreatthingaboutitisthematerialortheinfusionthattheyputintoyourbodytodothisisactuallyabioproduct.Allthathappensistwodaysafteryou'vehadityouhaveaheightenedironlevelinyourblood.Anyway,cutalongstoryshort,thatwasvery,verybeneficialforme.TheimagesthatweretakenintheNetherlandswereusedtoactuallydomyplanningattheMaterHospital.TheradiotherapythatIhadtohavewasalldoneasaresult,verytargeted,highlevelradiotherapyusingtheComidexsystem.

JesseGreen:

Wow.

PhilHoran:

IgotinfurtherdiscussionswithmysurgeonProfessorPhillipStrickerwho'salsoontheGarvanInstituteboardandIwon'tboreeveryonewiththewholestory,butitturnedoutthatIwasabletoconvincethegentlemanfromtheNetherlandstovisitAustraliaandnegotiatewithProfessorStrickerinrespecttohowwecouldbringthiswholesystemtoAustralia.TheendresultofthatwasthatinJanuaryofthisyeartheystartedclinicaltrialswithComidexinSt.Vincent'sHospitalinSydney.Ifeelreallyproudofthat.

I'mhappywiththatcauseit'snotjustforprostatecancerandsomeofthebonecancerIhad,it'sforanytypeofcancer.It'shereinAustralianow.TheRamseyFoundationIthinkputaboutoveroneandahalfmilliondollarsintotheclinicaltrialsystem.It'sveryreal.It'shappening.ItwillbeavailableforpeopleIbelievethroughMedibanksometimelaterthisyear.ThatIfeelveryhappyabout.Isawanopportunity.Ididn'tbenefitinanywayfinancially.I'mnotinvolvedinanywaywiththeproject,butIwashappytoinawayfacilitatethearrangementswiththeGarvanandSt.Vincent's,etcetera.Yeah,Iwasveryproudofthat.

JesseGreen:

Firstly,Phil,Ithinkyoushouldbeenormouslyproudofthat.That'sawonderfulcontribution,notjusttotheSydneysiders,buttoIthinkAustralianhealthingeneral.Firstly,IthinkonbehalfofeveryonelisteningIwouldsaythankyou.Ithinkthat'sjustawonderfulexampleofhowtakingsomeskillsthatyou'velearnedthroughoutyourlifeinsomanydifferentareasandapplyingthemtoasituationthatdoesn'tordinarilykindof...Youdon'tnecessarilythinkyouwouldhavetoapplythoseskillstothatsituation,butcertainlyyou'vebeenabletonegotiatethingsandgetthingsinplace.Nowasaconsequenceofthatnotonlythankfullyyourhealthisingoodshape,butthehealthofmanyotherpeopleaswell,soterrificwork,mate.Ireallycommendyouforthat.That'swonderful.

PhilHoran:

Thankyou,Jesse.

JesseGreen:

Mate,we'regoingtowrapupinalittleminute,butIjustwantedtoaskyouaquestionwhichI'vebeenmeaningtoaskyouthisfor...It'snotsinceI'veknownyou.It'snotlongafter,anyway.It'saquestion

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thatIalwaysfindintriguing.Ifyouweregoinghaveadinnerpartyandyoucouldinvitehalfadozenorsogueststositaroundthetableandhaveamealwithandhaveagoodconversationwith,I'mcurioustoknowwhowouldbeyourtopsixorsopeopleyou'dliketoshareamealwith,breakbreadwith,haveaconversationwith,andreallygettoknowandunderstandthemandhowtheydothings?

PhilHoran:

Jesse,thefirstpersonI'dinvite'syou.That'sallveryself-serving,butwe'vehadagreatrelationshipandImeanthatquitesincerely.ThebuddysystemthroughKPRwasfantastic.I'mhonouredtohavemetyou.

JesseGreen:

Thankyou,mate.

PhilHoran:

ThenthesortofpeoplethatIwouldhave,IthinkalotofRichardBranson.Ithinkthatthewayhegoesabouthisbusinesseshehashiswonderfulmixofintensecasual.Inotherwords,he'sabletoremaincalmbutalsodisruptindustriesanddoallsortsofthings.Iwouldnow,inviewofmyexperiencewithcancer,IwoulddefinitelyinviteProfessorPhillipStricker.He'sleadingthewayinsomeamazingadvancesinmedicalscience.Healsoisveryopen,whichisstrangeforasurgeon,toalternativemedics.Ihave,soundsposh,butIhaveawellnessdoctor.DoctorDanielWeberwholooksafterawholelotofissuestodowithmytreatmentandPhillipStrickerhasbeenindirectcontactwithhim.He'shappytotalktohim.Mostpeoplewriteoffalternativemedicineasadversarialtowardsmedicalscience,whereasProfessorStrickerhasn'tdonethat.They'rethetypesofpeoplethatIwouldinvite.

Alsosomeoftheoutstandingwomenwhohavedonesomeamazingthingsforbusiness.There'slotsofthem.NaomiSimpsonwithRedBalloon.JanineAlicewithBoostJuice.There'ssomeamazingwomenwhohavedonegreatthingsinbusinessthatIthinkhavenotonlycontributedgreatlytobusinessinthiscountry,butthey'vealsocontributedgreatlytothesocialfabric.Ithinkthat'sthethingthatgetsmissedallthetime.Everyonegoes,"Oh,thispersonmadealotofmoney,"or,"Thisperson'shighlysuccessful,"butmyquestionalwaysiswell,whathavetheydonewithit?Whathavetheyactuallydonetohelpsomebodyordosomethingworthwhiletothewholesocialfabricofthecommunity?Ithinktherethebalanceis.PeoplelikeRichardBransonhavedonethat.ProfessorStricker'sdoingthatallthetime.IknowNaomiSimpsonandJanineAliceareinvolvedinsomereallygreatworkinthatrespect.

They'rethetypesofpeoplethatIwouldwanttohaveatmydinnerpartybecauseIthinkthatthatbalanceisimportant.Makingmoneyisnotthatimportant.Whatisimportantiswhatyoucandowithit,whatyoucanactuallyachieveforyourself,yourcommunity,yourfamily.There'sawholelotofnuancesthatgowithsuccessinbusiness.

JesseGreen:

Phil,that'sareallywonderfulwaytoroundouttheconversationbecauseItellyouwhat,ifthedefinitionofsuccessistorunacommercialenterprisethatisA,successfulandprofitable,butalsocontributingreallypositivelytothesocialfabricofthecommunity,well,man,Ithinkyoutickallthoseboxesandthensome.Congratulationstoyou,toHelloRealEstateandagain,thankyouforalltheworkyou'vedoneinthemedicalspace.That'sterrific.Ireallycommendyouforit,mate.Thankssomuchforjoiningustoday.

PhilHoran:

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Thankyou.

JesseGreen:

It'sbeenwonderfultohearthesewordsofwisdom.I'mreally,reallylookingforwardtoseeingwhatthenextchapterofHellolookslikeandlookingforwardtocatchingupforacupofcoffeenexttimeI'mdrivingpastyourplace,mate.

PhilHoran:

Thankyou,Jesse.Ilookforwardtoitaswell.Thankyouforhavingmeontheshow.

JesseGreen:

Thanks.Cheers,mate.