#127 · AI Agency Pricing Models: Flat vs. Revenue Share

youtube ↗Cold Email

I'm planning on doing cold email outreach scraping Facebook ad library. I want to send an email to Loom to each person. I'm offering an autoresponder to help real estate agents with contacting leads as soon as they fill out a form. What would be the best return on my time? Cold emails, personalized texts, or creating Loom videos, free trial set agent, sending that in the email.

Return on your time would be trading a little bit of your money for said time through getting these cold email platforms and using AI to personalize your icebreakers and send them out. If you just think about strictly return on time, that would be the way. But in your case, Lucas, from experience, because you're in maker school, I know you're at the very start line of your business and don't have a lot of access to capital right now. For you, it's not about return on time; you can do things that are poor return on time because you have a lot of time. Something that would be a poor return on time would be things like custom Loom videos. Despite being poor return on time, they're a lot higher intent. So there's a difference between efficiency and effectiveness. Right now you're asking about efficiency, best return on time. What you should really be asking about is effectiveness given 12 hours a day. Why not just work all of that time to bootstrap your first client, and once you have some revenue coming in, focus on scalability.

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Related answers

youtube ↗Cold Email

I’m offering a missed‑call recovery AI dispatcher for towing businesses and am hitting Facebook DM limits with cold outreach. Should I change niches or keep going?

If you're using Facebook for this, it's essentially game over--Facebook DMs are extremely difficult, limited to about 10 messages per day per account, and you'll quickly end up in message requests. By contrast, a cold email account lets you send 25-30 emails daily and costs only $2-$4 per month, whereas a Facebook account runs around $50 per month due to verification overhead. Therefore, you need an intermediate step to obtain their email addresses, then conduct cold email outreach. Calling is also effective, especially for towing businesses that are often on the road; you can't reliably email auto shops, so walking in or calling works. This approach isn't perfect, but it's workable. Regarding my own situation: I've realized I need to set up ads. Yesterday I hung out with Jackie Chu in Vancouver, who's now ranking for businessman and is a brilliant guy--I plan to send him a message. I also met Tom Wang, who's really cool, and Tony, founder of Bessie. Their advice was to run retargeting ads from Maker School; they said not doing so would be idiotic. I agree and will implement that, with help from my team and the school. My strategy is to list the problems my community faces, pick five or ten, and record a video addressing each. The videos will reiterate that Maker School is 100% free if you don't land your first client within 90 days, with a full refund. We also have $20,000 in discounts; most people use about 10%, giving roughly $2,000 off, which means a new member gets an immediate 10x ROI in the first month before even getting a client--so there's no reason not to join. I'll track video completion percentages to gather more data. My offer is strong and the product quality is high, so I'll put it in front of as many people as possible. I'm also excited that a friend is onboarding people for Claro, and I'll meet school guys later today for a coffee-shop flyover activity and other fun. Overall, I'm amped up about everything happening, and I believe ads could unlock insane growth if executed well. As for my channel stats: my main YouTube channel currently shows 471,066 subscribers, which is abysmal growth; other metrics indicate decent growth elsewhere--my paid offer has 7,234 sales, my Maker School rank is still two, and we're making good money, though subscriber growth isn't what I expected because I'm not creating viral head-type videos. I'll keep growing at a steady clip and hope to reach 500k subscribers by year-end.

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youtube ↗Cold Email

What is the best strategy for sending cold emails, when did you start your first campaign, how many days did you send them, and after how long did you get your first client?

I started cold emailing around 2018‑2019 with my business partner Gurinder; those early attempts didn’t work well. I kept sending emails for about three to four years before I made any money, and it was probably closer to two years before I saw real revenue. The breakthrough came in roughly 2021 with what I called 'one second copy': I ran many cold email campaigns and offered free sample articles that were produced cheaply using AI, which hardly anyone else was doing at the time. That got me attention from big companies like Kixie. The best cold‑email strategy is to front‑load value—give the recipient more work or benefit than you’re asking for. Instead of asking for free labor, identify a problem they’re suffering from, solve it, and attach the results to your email. For example, I once rewrote 40 YouTube titles for a follower, provided a one‑click doc, and they saw immediate CTR improvements. That’s how successful, ‘rich‑people’ cold emails work: you save them time or make them money, not the other way around.

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youtube ↗Lead Generation

What is your strategy for finding clients or leads for a content creation and scheduler app targeting small businesses and social media agencies? Should I focus on SMBs, agencies, or both using cold email outreach?

Great question. I should make it abundantly clear that when you have a hammer, everything looks like a nail. My hammer is cold email, so I try to solve every problem with it. Cold email isn’t always the most effective marketing method, but it’s like a video game where you keep playing the main character because you’re best at it. I would definitely use cold email. I’d start by pitching these SMA agencies. I’d go to Apollo and filter for 1‑11 staff, looking for digital marketing, digital agency, or creative agency. I’d use the OR operator to pull as many as possible—probably a list of 30 k to 50 k in the United States alone. Then I’d blast out my offer with the software, giving a free demo. I’d position it as if I’d read the person’s whole life story and built the software just for them. I’d mention that I’ve been following what they’re doing at [their company] and that I used to run a digital marketing agency (maybe I still do). I’d share that I’m suffering from XYZ problem and that this software is the solution I came up with. I’d want to put it in front of them to see if it has value. I’m 100 % confident that running their clients through my system will generate outsized returns, so much that I’m willing to guarantee it and give it away for free just to hear their thoughts. If they’re open to a quick call, we could jump on it. I’d approach this at the higher‑agency level, positioning myself as an agency owner talking to agency owners, not as a SaaS person trying to sell something. I’d get on as many calls as possible and frame them almost as partnerships: give them a trial of the software, let them solve their current problems with it, then use that feedback to improve the software faster and better. Once I have a ready‑to‑go version, I’d charge premium prices. And yes, I’d go straight cold email, starting with agencies because they tend to have more money than SMBs.

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youtube ↗Cold Email

What do you recommend for getting US or Canadian clients from Colombia or other Latin American countries with a full‑stack AI service, given that cold‑emailing for three weeks hasn’t produced results?

The main thing is to understand that three weeks is far too short to see meaningful results from cold email. Consistent outreach usually takes three months to start showing traction. Reframe your expectations and multiply your timeline by three or four. Most prospects won’t even see your email for a week or two, and you need at least 60 days to assess performance. I suggest joining a community like Maker School for structure, then iterate on your outreach weekly, scaling up rather than making tiny tweaks. Complement cold email with a more reliable client‑acquisition channel such as Upwork or freelancer.com, where you may earn less per job but have a higher win rate. Use the income and momentum from those platforms to bootstrap more scalable outreach methods later.

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