Lessons and Insights I learned: Summary of “Million Dollar Weekend” by Noah Kagan

Image by Zhong Hong

Have you ever wondered what it takes to turn a regular weekend into a million-dollar business? Imagine the possibilities if you could harness the potential of those two days to create lasting wealth and impact.

In Million Dollar Weekend, Noah Kagan shares his transformative journey, offering invaluable insights into how anyone can leverage their weekends for extraordinary success.

Why did I read this book?

I came across this book because it was recommended by Tim Ferriss in one of his videos.

Then, I watched the How To Start a Business video on Tim’s YouTube channel. I was intrigued by the way Tim and Noah helped a yoga instructor expand her business.

This sparked my interest to read Million Dollar Weekend.

Here are the lessons and insights I gained from this book:

Make First Dollar First

I believe that many people’s wish to start a business is to make millions of dollars, make big money have all the freedom they want, and have an ideal lifestyle. So am I!

However, in reality, it is extremely, crucially important to have a first step to think about what problem you want to solve for society (I’ll talk about this later) and what number you can achieve first.

To start a business, you must think about what your freedom number is, and please make it realistic and achievable especially if you just started a business.

This is crucial because it sets you to have a clear goal of what number you want to make for your freedom. This is the same as Target Monthly Income in The 4-Hour Workweek by Tim Ferriss. What’s your TMI to become new rich?

Furthermore, if we do not know what the freedom number is, you would be like a donkey to pursue the money mindlessly. It turns out that the business is running you, not you’re running the business!

Here is one of my favourite quotes by Noah Kagan in this book:

Many struggle to make their first dollar because they are so focused on how to make their first million.

Founder First Mentality: The Million Dollar Mistake Entrepreneurs Make

Many people are so excited when they have the idea of putting their products into the world. This is nothing wrong by the way. However, there is one thing they do not notice.

You put the ideal product that you’ve invested tons of blood, sweat, time, effort and money into the marketplace does not mean that the people will pay you, and it is risky! Why?

This is because they fixate on their skills, experiences, and the brilliance of their invention, instead of solving customers’ problems!

Fan Deng, in his book, coined the term “inventor’s entrepreneurship” to describe this dangerous mindset.

Inventor entrepreneurship is dangerous because it prioritizes the inventor’s attachment to their creation over actually solving societal problems or meeting consumer demands.

In this book, Noah called this Founder First Mentality!

In essence, it’s a manifestation of the endowment effect — an inclination to overvalue what one possesses.

Consequently, the focus should shift from the product itself to the problem it solves. Successful ventures stem from a deep understanding of consumer pain points and a commitment to crafting solutions that resonate with them.

This shift in perspective — from self-indulgence to customer-centricity — is pivotal in navigating the unpredictable terrain of entrepreneurship and maximizing the likelihood of sustainable success.

Validate Business Idea: Preselling

In the world of business, nothing beats the pulse of preselling. It’s the lifeline that connects your dreams to reality.

Noah shared a down-to-earth 3-part framework to make it happen:

1. Listening, Really Listening

Imagine sitting across from your customer, not just hearing but truly listening. Ask them:

1. “What’s really bugging you right now?”
2. “How could having this solution change your world?”
3. “What feels like a fair price to you?”

Their answers aren’t just data points; they’re the stories of their struggles and hopes.

2. Give them options to solve their problem

Now, picture offering them options, watching their eyes light up with excitement. This is where you see if your solution sparks a fire in their soul.

3. Transition to sell, Like a Friend

When it’s time to seal the deal, do it like you’re talking to a friend. If they reject, you may try this framework price + benefit + time. For example “For $50 per year, I will save you 10 hours on your reading time, in just 30 minutes”.

But if they hesitate, don’t fret!

Turn their “no” into positive feedback and opportunity:

• Why not?: Understand what’s holding them back.
• Who do you think would love this?: Think of friends or family who might benefit.
• What would make this a total yes for you?: Find out what would make it irresistible.
• What would you be comfortable paying?: Get a sense of what feels fair to them.

In the end, preselling isn’t just about making a sale; it’s about building real connections and understanding. It’s about making your business feel human because that’s where the magic happens.

I heard a saying by Zig Ziglar, he said:

“If you believe your product or service can fulfill a true need, it’s your moral obligation to sell it.”

Never Entrepreneur Alone: Leveraging Networks for Success

To truly excel in your endeavours, it’s imperative to harness the power of networks. As Noah quoted:

“Great entrepreneurs have great entreprenuerial communities. There is no such thing as self-made. Everyone is team-made.”

These are the 3 ways to meet the right people to help you succeed in the business journey:

Get an accountability buddy:

Having an accountability buddy is more than just a casual arrangement; it’s a strategic move. The Hawthorne effect proves that our productivity increases when we know we’re being observed.

By partnering with someone who holds us accountable, we not only take our goals more seriously but also feel internal pressure to meet them.

For instance, committing to regular check-ins with a colleague or friend can significantly boost productivity.

Cultivating Connections with “Prefluencers”:

Prefluencers, as coined by Noah, are individuals dedicated to achieving similar goals before attaining fame or recognition.

Building relationships with these ambitious individuals can be immensely beneficial.

In Noah’s case, he connected with Tim Ferriss before he was famous and published The 4-Hour Workweek. He also connected with Ramit Sethi when he just started the I Will Teach You To Be Rich blog.

This can lead to valuable insights, mutual support, and genuine connections.

The key lies in identifying those who are actively pursuing admirable work, reaching out to them, and offering genuine assistance.

Expanding Your Network through Referrals:

While it may seem daunting, building a VIP network through referrals is a powerful strategy.

Noah suggests leveraging your existing connections to connect with individuals who excel in your field.

After meeting someone new, utilize a thoughtful thank-you email template that highlights key points from your conversation, outlines follow-ups, and expresses a desire to expand your network further.

In essence, nurturing meaningful relationships is not just about networking — it’s about strategically cultivating a support system that propels you towards success.

Remember, the quality of your connections can greatly impact your journey to success. Invest in relationships that inspire, challenge, and uplift you.

Here is the example shown by Noah:

Hi Noah,

Quick thanks for meeting with me. You = awesome.
Here are 3 epic lessons I took away from our chat:

- Look into haptics—great opportunity for biz growth (you mentioned it as the next billion-dollar industry . . . damn!)
- “To be successful, you need to start with things that DON’T scale”  Great quote you mentioned
- Companies to watch for are Mutual Mobile, Onnit, and Backlinko

Super grateful.
I’m curious: Are there 1–2 other people you believe I should meet?

Thanks again,
Andrew

⚡ Actionable Advice

1. Validate your business idea through preselling:

• Listen to potential customers attentively to understand their pain points and desires.
• Offer them options to solve their problems and gauge their level of interest.
• Transition to selling like you’re talking to a friend, using the “price + benefit + time” framework if they hesitate.

2. Set a realistic and achievable “freedom number” as your initial goal:

• Determine the target monthly income (TMI) you want to achieve for financial freedom.
• Having a clear goal prevents you from mindlessly pursuing money, ensuring you run the business, not the other way around.

3. Leverage your network and build strategic connections:

• Find an accountability buddy to increase productivity and stay motivated.
• Cultivate connections with “prefluencers” (individuals pursuing similar goals before gaining fame) for insights and mutual support.
• Expand your network through referrals by utilizing a thoughtful thank-you email template and expressing a desire to connect further.