How Haynes Fired Twenty Three Staff and Ditched Three Offices to Build a Million Dollar Month Agency With Ten Clients

How Haynes Fired Twenty Three Staff and Ditched Three Offices to Build a Million Dollar Month Agency With Ten Clients

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Author: Jeremy Haynes | founder of Megalodon Marketing.

Table of Contents

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Haynes reveals why he fired 23 staff and ditched three offices to charge $15K monthly plus 10% rev share, how provisional equity clauses protect agencies when clients get bought out, and why private equity firms ran two of his million-dollar clients into the ground before handing equity back.

Jeremy Haynes had 27 staff, three offices in Beverly Hills and Miami, and a couple hundred thousand per month in net revenue. He was building to sell. Then he looked at his outlier clients. The ones already doing over a million dollars per month. He realized he could make double or triple his current income just by charging rev share on those deals alone. So he burned it down. Fired 23 people. Kept four. Got rid of all three offices. Went fully remote. And rebuilt the entire agency around one simple idea. Get paid at least $100,000 per month on almost every deal.

Why Ten Clients at One Hundred Thousand Per Month Each Was More Realistic Than Selling a Traditional Agency

Haynes was convinced the model was realistic and doable. At that point in his agency career, he’d already taken five to eight businesses past a million dollars per month. If he got 10% of that, it felt fair. Achievable. And far more lucrative than what he was currently doing.

The conditioning he’d developed around his financial mindset made this feel like one of the most realistic outcomes possible. Not a stretch. Just a clear path.

“I was convinced I could get paid at least $100,000 a month in almost every deal,” Haynes explained.

Here’s how the math worked. He wanted to make a million dollars per month. He didn’t want to work with more than 10 clients. Ten clients at $100,000 each equals a million per month.

Today he works with 15 because he’s become more efficient. But the core idea remains the same. Define the game. Play by specific rules. Focus exclusively on results, not time or effort.

Why Clients Only Care About Results Not Your Time or Effort or How Big Your Team Is

Haynes realized something critical early on. Clients didn’t care at all about his time and effort. They solely cared about results.

That changed everything. If clients only care about results, why offer a bunch of auxiliary services? Why have massive teams doing social media management, graphic design, video editing, press releases, chat bots, web development, and everything else under the sun?

He stripped it down. Advertising. Funnels. Marketing automation. Consulting. That’s it.

“We will only do the things that we agree has a very high probability to make them a million dollars a month,” Haynes noted.

If a client brings up an idea that doesn’t have a high probability of hitting that number, the answer is no. Even if the client insists. The agency knows what to do. That’s why the client hired them in the first place.

Everything gets executed in the most efficient way possible. No wasted time. No extra effort for the sake of looking busy. Just the minimum input required to get the maximum result.

How Twenty Three Perfect Client Traits and Financial Modeling Predict Who Will Hit Million Dollar Months

Not everyone gets to work with Haynes. The agency has 23 perfect client traits. They audit every potential client against this document. They share it openly. They tell prospects upfront that having all 23 traits damn near guarantees success.

Exceptions? Rare. And when they happen, they usually don’t play out well. When someone meets 23 out of 23 and is already doing $100,000 to $300,000 per month, the odds are sky-high they’re hitting a million-plus per month.

Those people desperately want to get to a million. It’s their next income goal. They recognize it. And they’re willing to do what it takes.

Once the traits check out, the next step is pricing. Not everybody agrees to pay a thick rev share. Some people get excited about it. Others hesitate when it comes time to cut six-figure monthly checks.

Then comes financial modeling. Very few agency owners use financial models. Haynes finds that shocking. It’s just basic math.

Take a $5,000 offer. To hit a million per month, the client needs 200 sales. If they have a 20% close rate, they need 1,000 calls. If they have a 60% show rate, they need 1,667 people to book. If cost per call is $150, ad spend needs to be roughly $250,000 per month.

That assumes everything stays static. Show rates, close rates, average order value. The model gets adjusted based on what the client is currently doing. If they’re only cash collecting $3,800 on a $5,000 offer, that changes the math drastically.

The model sets proper expectations. It shows the client exactly what they’ll need to spend. What their sales team will cost. What expenses will look like. What Haynes will get paid. And what they’ll actually net after taxes.

Some people think they’ll pocket $750,000 out of a million-dollar month. Then they see the breakdown. Ad spend, commissions, expenses, agency fees, taxes. Suddenly it’s closer to 30% to 40% net. Still great. But expectations matter.

Why Fifteen Thousand Per Month Plus Ten Percent Rev Share Creates Urgency and Accountability

Haynes charges $15,000 per month plus 10% rev share. The monthly fee gets deducted from what’s owed on rev share. If the client makes $200,000, they owe $20,000 total. They already paid $15,000. So they wire $5,000.

If they make $150,000 or less, they only pay the $15,000 monthly fee. No additional rev share.

Why charge a monthly fee at all? Skin in the game. Clients need skin in the game. Without it, they move slow. They don’t get logins fast. They don’t shoot ads fast. They don’t prioritize the relationship.

Haynes tried pure rev share. It didn’t work. Clients kicked back and waited. No urgency. No accountability. The $15,000 monthly fee creates urgency. It makes them prioritize. It makes them move.

“Them paying something will make them do the shit you need them to do faster,” Haynes said bluntly.

Rev share is calculated between the first and fifth of the following month. Bookkeepers on both sides work together to quantify what’s trackable back to the agency. Only revenue trackable to Haynes’ marketing counts. Not the client’s entire organization. Just the funnels, ads, and marketing the agency runs.

Some businesses work on payment plans or recurring models. In those cases, Haynes gets paid on an ongoing basis as revenue comes in. But if a majority of cash is collected upfront, they keep it simple. Frontend cash collected only.

Three Risks That Kill Rev Share Deals When Clients Sell to Private Equity or Listen to Friends

Risk one. Client sells the business. This has happened to Haynes three times. All three were private equity buyouts. And in every case, the agency became the biggest expense.

Private equity firms think they’re smarter. They have internal teams. They gut the existing structure. And in two out of three cases, they ran the business straight into the ground.

One client went from $1.7 million per month to $40,000 per month. Private equity shut it down, gave the equity back, and walked away. The founder called Haynes years later asking to rehire him. But he was toast. Not even enough for the monthly fee and ad spend.

Another went from $2 million per month to $300,000 to $700,000. Private equity jacked the cost per call up 500%. Operations fell apart. They handed equity back. The founder called Haynes. He took the deal back. That client still works with him today.

Now Haynes includes provisional equity clauses. If the agency contributes more than a certain dollar amount trackable back to them, they get 10% equity at the time of exit. Not when the transaction closes. When the shopping process starts getting serious.

That protects the agency from getting rug-pulled on six-figure monthly deals.

Risk two. Friend or mastermind. The client talks to someone making slightly more or slightly less. That person seeds doubt. “You’re paying them what? You could pay 10 people $10,000 each for that.”

Doubt festers. Could be weeks. Could be months. Eventually it comes out. The client doesn’t feel good about paying anymore. They think because revenue plateaued, they can remove the agency and nothing bad will happen.

Wrong. They fire the agency. Revenue contracts. Hard. Haynes reaches out. Opens the line of communication. Lets the client save face. Re-engages if they reach out first at a higher rate. If he reaches out first, he offers the same terms but is willing to walk if they don’t agree.

Risk three. Someone else can do it cheaper with the same authority. Another agency comes in. They’ve done similar deals. They pitch the client. They offer to do it for $30,000 less per month.

The client tries to replace Haynes quietly. Adds someone to the ad account. Asks for SOPs. Requests documentation of what the agency does daily.

Haynes calls it out immediately. “If you take that route and it fails, I’m charging you more when you come back. I’m also going to pull back right now and prioritize other deals.”

Then he goes nuclear. He tells the client he’s going to pitch every single competitor. Line up sales calls. Replace the deal by the end of the month.

“We’re going to go try to replace you if that’s the game you want to play,” Haynes explained.

Twice he’s pulled out and worked with competitors. Both times he made more money on the new deal than he would have on the original. And both original deals lost money after firing him.

From 27 staff and three offices to seven or eight remote employees. From a couple hundred thousand per month to potential million-dollar months with just 10 to 15 clients. From selling services to selling results. The model works because the rules are clear. Only take clients who can hit a million per month. Only charge what makes the juice worth the squeeze. Only do what produces the most revenue. And protect the downside with provisional equity, proper expectations, and the willingness to walk when someone tries to undercut the value. At 36 businesses taken past a million dollars per month, including two that hit $5 million-plus, Haynes proved the model scales. Now it’s just a matter of filling the remaining slots with the right people at the right price.

About the author:
Owner and CEO of Megalodon Marketing

Jeremy Haynes is the founder of Megalodon Marketing. He is considered one of the top digital marketers and has the results to back it up. Jeremy has consistently demonstrated his expertise whether it be through his content advertising “propaganda” strategies that are originated by him, as well as his funnel and direct response marketing strategies. He’s trusted by the biggest names in the industries his agency works in and by over 4,000+ paid students that learn how to become better digital marketers and agency owners through his education products.

Jeremy Haynes is the founder of Megalodon Marketing. He is considered one of the top digital marketers and has the results to back it up. Jeremy has consistently demonstrated his expertise whether it be through his content advertising “propaganda” strategies that are originated by him, as well as his funnel and direct response marketing strategies. He’s trusted by the biggest names in the industries his agency works in and by over 4,000+ paid students that learn how to become better digital marketers and agency owners through his education products.