The Game with Alex Hormozi · 2025-11-07 · 53 min · 10,539 words

The Business Game No One Tells You About. Hormozi Hotline. | Ep 908

Listen to the original audio · Transcribed with NVIDIA Parakeet · Timestamps stay in sync with the live audio

Let's talk about whatever. And by whatever I mean ideally key man-related topics. You don't understand the value of enterprise value. Of course you build net worth without taxes, but it's fictional numbers that can't liquidate. I like cash flow, hard cash.

Thanks to BLCCTGJ. Let me tell you why enterprise value fucking matters. Enterprise value is important for a variety of reasons. Enterprise value dictates how valuable something is. So Stripe, for example, is not publicly traded, but people are willing to invest money in it, and so the founders can get liquidity.

And so what you want is to be able to spend something. But the thing is is that that comes from the position of not of already not having enough. So let me explain. Once a business actually has enterprise value, it usually has already generated or had the ability to generate more than sufficient cash flow for the owner, which means that all the excess cash flow that the that the business generates is going to be transferred to the owner in a tax inefficient manner.

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