JV Partners – Sohail Khan
SUMMARY
Sohail Khan, the founder of the Million Dollar Partnering System, says you can substantially triple or quadruple your business without spending anything through joint ventures.
On this episode, he explains what JV partners are and how you can utilize them so you can build your business and create more income without spending money on ads to attract leads.
KEY TAKEAWAYS
A joint venture is an arrangement of mutual benefit between two or more people of businesses and who have complementary resources.Joint venturing means you can get access to anything you want by just partnering with other people who have complementary resources.
Starting to create joint ventures partnership:
- The first step is determining your target market and knowing where these people are.
- Find the influencer who controls that market who can give you access to that marketplace.
People spend money on paid ads to generate leads, but most of those leads are unconverted.
There is a big opportunity right now to do joint ventures by accessing unconverted leads.
You can do a partnership with companies to offer your product or services to their unconverted leads.
Things to look for when looking for a joint venture:
- Is the joint venture partner you’re approaching complimentary to your business?
- There has to be three wins; for your joint partner, for you, and for the customers.
Once you start understanding how joint ventures and strategic alliances work, you see joint venture opportunities everywhere wherever you go.
Three sides to a joint venture:
- Working with someone who has a big list.
- People with products.
- Arbitrage
If you’re a coach or a consultant and you have existing clients, you can do joint ventures between existing clients.
When you go to an event, there are only two questions you need to ask people. The first is an icebreaker question “How did you get started as a (whatever they are)?” The next question is “How can I help you grow your business?”
TRANSCRIPTION: JV PARTNERS – SOHAIL KHAN
Kamala Chambers
Welcome to training Tuesday. We’re going to be talking about how to build your business and create more income just through relationships. That doesn’t mean spending money on advertising or anything. Just through relationships called “jv partners” or “Joint Venture Partnerships.” So get ready to launch everyone.
Today, we have Sohail Khan on the show. He is the world’s premier jv partners Expert and the founder of the Million Dollar Partnering System. He’s a speaker, a coach, an author, and he works with corporate businesses and educational establishments worldwide. This guy runs 7-8-figure businesses. He knows his stuff. We got the best here to talk about jv partners.
Luis Congdon
All right, Thriving Launchers, we are here with Sohail Khan.
I’m excited to have you on the show today Sohail. Are you ready to launch?
Sohail Khan
Yes.
Luis Congdon
Awesome. It’s great to have you.
One of the things that inspire me about you is I listened to your story, and you do that stuff called “jv partners” or Joint Ventures. Some people over at Thriving Launch know what that means, and some of you don’t. I first want to start off today’s interview.
What are jv partners? Why does it matter? And who can use something like jv partners?
Sohail Khan
Okay.
JV partners are an arrangement of mutual benefit between two or more people of businesses and who have complementary resources.
What that means is that you can partner up with anyone or, you can get access to anything you want, any resource you want, any product, or any asset by just partnering with other people who have complementary resources.
I’ll give an example.
Examples Of JV Partners
Sohail Khan
Let’s say you are a dating coach or a relationship coach in the marketplace and you created a program that you want to get out there to other people. Partnering with a dating newsletter that has access to those resources that you need, which are pretty much the audience, is an easier sure-fire way and a targeted way to get access to all of those customers. Sometimes, there’s even no cost upfront.
JV partners beat other kinds of advertising, and the targeting is just 100% pure because you’re targeting those resources or those customers that you’re after.
JV partners allow people to reduce the advertising cost down to zero by just going out there and partnering with other people who have access to those resources that we need.
Kamala Chambers
What do you say is the first step to start creating JV partners
Sohail Khan
I think the first thing you have to determine is your core target market. Where are the people, customers, and clients that you are trying to target?
So once you’ve defined a target market and you know exactly where these people are, then you can go ahead and find the influencer or the president who controls that market who can give you access to that marketplace.
Luis Congdon
I want to do a recap briefly for you guys what Sohail said, and maybe you already got it.
JV partners are when you team up with someone else that could and can help you leverage your offer, your service, or your product that you’re offering.
Let’s say you’re a yoga teacher. Maybe you’ll team up with a company that sells yoga mats, and you sell their yoga mats, and they pay you per every sale. That’s JV partners. Or maybe, they sell the yoga mats and include with that is one of your DVDs, which helps you get a cut.
What Are JV Partners?
Luis Congdon
It’s when you partner up with someone else in your marketplace or even in different markets that are synergistic so that then, you can get your name and brand out there further.
Did I explain that properly?
Sohail Khan
Yes. I think it goes far beyond that.
The biggest opportunity right now out there is everyone is spending money on paid ads like Google ads and Facebook ads. People are generating leads, and they’re paying for leads. The biggest thing is that most of those leads aren’t being converted. Those individuals who come to that company or individual don’t exactly want that product.
There is a big opportunity right now to do JV partners by accessing unconverted leads.
For companies who can’t convert their products, their services, and do the partnership with them to offer your product or service to them to those unconverted leads. So, it goes far beyond that.
The premise people think of JV partners as “You mail for me. I’ll mail for you. You do a mailing to my list. I’ll do a mailing to your list.” But it goes ten times beyond that.
Luis Congdon
That’s fantastic.
I know in my business when we’ve had email drops, or we’ve made JV partners with other people, it’s incredible.
Over here at Thriving Launch, we’ve just skimmed the surface, and this is why we’ve brought you here.
I’ve had email drops from people like Todd Brown, one of the greatest marketing minds out there. When he emailed for us, and we partnered up in that way, it added a lot of new leads and conversions over to our site. It was fantastic. We’ve brought you on today to talk a little bit how to go deeper with that.
What To Look For In JV Partners
Luis Congdon
What’s one of the first things we should look for when we’re looking for JV partners?
Sohail Khan
I trained JV partners and brokers around the world.
What we do is we have a JV partners checklist that we go through. The first question we ask is “Is the JV partners that you’re approaching complementary to your own business?” because they have to have some synergy.
For example, a bicycle tire had approached a food manufacturer. They expect them to sell their bike tires to their customers. It doesn’t work. So I think the complementary aspect has to be there first. You have to look and see what sort of synergy there is, and it has to be three wins.
Sohail Khan
That is the first aspect to look at when you’re going out there looking for JV partners.
I talk a lot about something called “The JV partners mindset.”
Once you start understanding how joint ventures and JV partners and strategic alliances work, it’s absolute phenomenal because it opens your mind 360-degree view, and you see JV partners opportunities everywhere wherever you go.
I’ve built most of my businesses, seven figures and 8 figure businesses on the back of JV partners and strategic alliances. I’ve hardly spent any money on any paid advertising. That’s how powerful it is.
Kamala Chambers
I loved how you’ve framed this and made it so digestible for us. I know it’s a huge topic.
Say you have a company you feel is synergistic, the markets matched up, what would you do then? What’s your next step? How would you reach out?
3 Sides To A JV Partners
Sohail Khan
The next step always is to have a conversation with any JV partners you’re looking to team up with, but it has to be something that is an advantage to them also.
You just can’t approach people and say “I’ve got this great product. I think you should sell it because I think it’s a great product.”
There are three different sides to JV partners.
#1 JV Partners With A Big List
Sohail Khan
- We only work with someone who has a big list.
We would approach that customer and say, “We can help you maximize your revenue from making more money from existing customers.”
I’m responsible for this myself because I’ve done it in the past. I spent a lot of money acquiring new clients and on lead generation, but I don’t realize that they’re missing out on their existing customers. So that’s where JV partners can be of benefit.
If you’re approaching someone per se, “We have a great product. These are the conversion rates. There are the testimonials. We think that this product will highly benefit your current customers, and will help you maximize and acquire an additional income from providing that to existing customers so you can have an ongoing initial revenue stream.”
JV Partners With Products
Sohail Khan
2. We have people approach us with products.
For example, I’ve got this great product. Again, you go through the checklist. What is the product? Is it a digital product? Is it a physical product? What are the mechanisms behind delivery? Is it easy to deliver?
We’ve got loads of factors; conversions rates, the product, product cost, testimonials.
From that, we’ll find a distribution channel for them which will be your JV partner.
Now, approaching the JV partner is something that you need to target first of all. You need to understand that this is a product that will profoundly benefit the JV partner’s customers.
JV Partners With Unconverted Leads
Sohail Khan
3. The arbitrage.
This means approaching companies that have unconverted leads that we can use to partner other products to get sales so then, get a return on their investment on the leads and also, we can split the profits.
I’ll give you a good explanation of how to find the perfect JV partners.
Let’s use the example of widgets. So you’ve got a widget. The widget is what you sell. Now, what you need to define and write down is when a customer to you and buys that widget, what do they buy before and after they bought that widget from you? Those are your JV partners.
Whatever product customers will purchase before and after they buy your product, those are the ideal JV partners you need to find.
Luis Congdon
That’s very smart, and it makes me think of a video that I watched with Dan Kennedy.
For all of the Thriving Launchers listening, if you haven’t heard of Dan Kennedy, make sure to go to YouTube and look up Dan Kennedy because he’s one of the greatest marketing minds to have ever lived. He’s a fantastic marketer and understands marketing.
One of the things he talks about is the price to acquire a new client is a lot more than to keep that customer. So once you get that client and you have a client, you can make more a lot more sales to them. Especially once you’ve made one or two sales to somebody, you can keep selling them more stuff.
Who JV Partners Can Work With
Luis Congdon
The other thing he talks about is a lot of people miss out on the value of current clients because they’re not thinking about the process of their customers. Once a client has bought one or two things, their likelihood of buying more stuff increases. And so, we do need to offer our current customers other things that will help make their lives easier in whatever process that we’re offering even better.
I’m curious, does JV partners or JVing work for any industry or are there industries that this doesn’t work?
Let’s say you’re a coach, or a consultant, or an expert, can it work?
Sohail Khan
Yes, most definitely because if you look at a coach or a consultant and you have existing clients, you can do JV partners between existing clients, and you can go out and find JV partners for existing clients.
Let me give you a background.
I run a three-day program certifying JV partners. Now, when I first offered the program many years ago, we had a lot of people coming on the program who are looking for a business opportunity. They had money to invest. They want to change their career, and they want to do something entirely different.
Fast forward to the last couple of years. I’m having more consultants and coaches coming on the program because they want to have an additional revenue stream, and then I had to broke joint ventures for their clients.
So yes, it does work, and it does work for coaches and consultants as well.
Kamala Chambers
What’s one of your number one tips you’d recommend that you haven’t already mentioned?
I know you already had many good ones.
JV Partners Cut Your Costs In Acquiring New Customers
Sohail Khan
That’s a good question.
When Luis was talking about the Dan Kennedy principle, and this is what I teach a lot in my programs and with my clients.
Here are the figures. It cost six times as much to sell to a new buyer because that is the actual cost of acquiring a new customer. But once you’ve had that client, selling to the same customer cost you nothing.
Here’s the interesting thing.
If you get a JV partner to do the marketing for you and you acquire customer or clients, it costs you zero.
There’s no lead generation cost because someone else already has the marketing machine in place, and it’s generating those sales, and those customers will come to you.
That is how great joint ventures are.
Kamala Chambers
Before we close out the interview, is there any real message you want to leave people with about things they could go out and do today to start applying some of this things?
Sohail Khan
Yes.
The first thing that you need to be looking at is what synergies exist already in your own business and also looking at connecting with other people.
I could give you a tip when you go to an event. There are only two questions you need to ask people. The first question is an icebreaker question
For example, let’s say I’ve seen Peter at an event. I’ll ask Peter this question “Peter, how did you get started as a whatever they are?” That question builds rapport.
Then the next question after I would ask him is, “So tell me Peter. How can I help you grow your business?” And that’s the second question you would ask. From that, you find out exactly what people need when you go to events instead of pitching people.
JV Partners Is The Ultimate Marketing Strategy
Sohail Khan
This is the one I teach all my brokers and consultants, and I do this myself. I’ve got a few of my brokers and consultants at some big events right now, and that’s all we do.
Go out there, make as many connections as you can, talk to as many people, and bear in mind what you’re looking for as well.
On the JV partner side, you can substantially triple or quadruple your business without spending any money.
I learned this from reading Jay Abraham‘s book many years ago which is Getting Everything You Can Out of All You’ve Got. And then, he became my mentor in 2004.
If you look up the on the internet and you search anywhere, that’s all I do. All I talk about is joint ventures, and strategic mindset is because I love it.
Kamala Chambers
Luis, I know that this is something that you’re good at it. What I see you do is just exactly what we’ve been talking about here. It’s about creating a connection with people first. First and foremost is about looking for ways to serve others and create relationships.
Just curious if there’s anything else that you want to add to that.
Luis Congdon
Well, I think we touched on a lot of great points there.
That question asking people “What can I do to help your business?” is a fantastic way to generate learning more about the person’s business and also learn about what’s going on in that person’s business. And then, it’s a way for you to extract relevant information to see if there’s a synergy there.
Finding JV Partners By Giving Value
Luis Congdon
I think that’s a great question, and by asking these, you also come off as a person who is interested in providing value, and not somebody who’s going just to take. I thought that those were two fantastic questions to use.
Sohail Khan
Thank you.
Luis Congdon
Thank you so much for coming on the show today.
We appreciate you breaking down for us exactly what a JV is because I think a lot of people need to start utilizing that more often.
Businesses, anything that’s big in life, any big success requires other people. That’s exactly why I wanted to have you on the show today because a lot of individuals aren’t utilizing the resources that are around them, and JVing is a resource that I think a lot of individuals need to start jumping on today.
Thank you so much for joining us here on Thriving Launch.
Sohail Khan
Thank you for having me. It’s been great.
