A 7-Stage Growth Strategy That Has Helped Over 100,000 Businesses Scale With Carl Gould

July 18, 2022

Episode 96: A 7-Stage Growth Strategy That Has Helped Over 100,000 Businesses Scale With Carl Gould

The Profit First REI Podcast

July 18, 2022

David Richter

Summary:

Meet the world’s leading authority on business and entrepreneurship, Carl Gould. Aside from being a serial entrepreneur, he’s also a keynote speaker, a best-selling author, and the CEO and founder of 7 Stage Advisors. A coaching and executive mentoring company with over 100 advisors in more than 15 countries around the world. Today, he’ll be giving a glimpse of his backstory, a comprehensive “how-to” guide for his business strategy, and some ideas behind building a legacy of wealth in the REI world.

Are you ready to take your company to the next level? If so, then we’ve got your back! Hang out with us in this episode.

Key Takeaways:

[3:44] What is the idea behind seven-stage advisors?

[5:11] The seven stages in real estate are: strategic planning, specialty stage, synergy stage, systems stage, sustainability stage, salability, and succession.

[9:21] Carl’s early lessons about money and his perspectives on money today

[10:48] The importance of value engagement through pricing

[13:27] The closer your cash flow is to your operating expenses, the more attention you pay.

[15:28] How does Carl apply systems to get his cash in order?

[20:54] What’s Carl’s opinion on having a bottom-line profit but running out of cash?

[24:01] If you’re in real estate, you must understand that the deal flow has to be there all the time.

Quotes:

[9:31] “All money is not created equal.”

[9:59] “Certain money is more valuable than other money.”

Links:

Carl Gould’s Websites: carlgould.com, carl360.com, 7stageadvisors.com

Carl’s LinkedIn- www.linkedin.com/in/carlgould

Tired of living deal to deal?

If you are a real estate investor or business owner who is tired of living deal to deal, and want to double your profits, head over here to book your no-obligation discovery call with me. Either myself or someone from my team will hop on a short call with you to get clear on your business goals, remove any obstacles holding you back, and map out a game plan to help you finally start keeping more of the money you work so hard to make. – David

Transcript:

Carl Gould:

People sometimes get hung up on the financials. It’s a spreadsheet and it’s this and that. Look when you play any other game, there’s a scoreboard. All it is is a scoreboard and you just want somebody to constantly update the scoreboard. So in real time, how much you’re winning or not winning the game.

Intro:

Welcome to the Profit First REI podcast, where real estate investors, master financial management, eradicate entrepreneurial poverty, and learn to be profitable from day one. Now for your host David Richter,

David Richter:

Hey everyone. It’s David Richter again with the Profit First REI podcast here with another special guest Carl Gould. And I am really excited to have him on I’ve got to see him at some of the masterminds that I’m a part of. And it’s cool because Carl is very well respected in those rooms has done a lot of things. He’s been a keynote speaker. He is a keynote speaker at a lot of different events. One of those events being ProfitCON, which is what Mike Michalowicz puts on for his close group. So he spoke at ProfitCON. So that fits right in with the profit. First I podcast he’s authored and coauthored books. He’s coauthored Blueprint for Success with Stephen R. Covey and Ken Blanchard. He has a best selling book, The 7-Stages of Small-Business Success, and then he’s also done Biz Dev Done Right which was the number one best seller on Amazon. So he’s done a lot of different things. He’s also trained and certified or accredited over 7,000 business coaches and mentors. So this is just, he has done a lot of things. He helps a lot of people in the small business world will break through barriers, get to where they need to be has written books. This is the, the consummate professional. So Carl, thanks for being on today.

Carl Gould:

Hey, thanks so much for having me. I’m really excited to be here.

David Richter:

Yeah. Excited to have you on and love that you’ve got that connection with Profit First, but before that, why don’t we dig into what you’ve done, where you are? Like, what got you started down the road of entrepreneurship? Like what, and like what has lot, sounds like lots has happened since you started, so why don’t you just

Carl Gould:

Elaborate

David Richter:

On what you’ve done?

Carl Gould:

Yeah. I mean, some people will say like stuff happens by accident. This happened literally by injury. I was going to school for accounting and finance at the university of Delaware. And I broke my leg pretty badly in my second year and I had to leave school. And I I was paying my own way, which means I wasn’t going back right away. And, and so I needed a way to make money. So what do you do when you’re broke and you can’t bend your legs in traction and you can’t move well, you start a business. Of course that’s what every logical person would do. So I started my very first company. It was a design build landscape company because I had done that in high school and I knew how to do that. And and I had that business for seven years and grew that business, sold it and started a construction company, grew that business and then sold that 12 years later.

Carl Gould:

But I started coaching in 1990 back when coaching wasn’t really an industry or anything like that. I was coaching with Tony Robbins and Steven Covey and you know, Franklin Covey planning system and, and situational leadership by Ken Blanchard and Dale Carnegie. And that sort of thing. NLP, Disk, you name it. If there’s a coaching system out there, I was learning it. So all through the nineties, I was coaching. And then once I, when I sold my second business in 2004 I right around that time, I started the business that I have today. So I was coaching all through the nineties. And then in 2002, I started 7 Stage Advisors, which is the business that I have today.

David Richter:

Awesome. So then yeah, you’ve done quite a few things there. And what is, so what is that seven, you know, what is, what are you focused on today? What does that do and what does that provide to a lot of the different people out there?

Carl Gould:

Yeah. Well, 7 Stage Advisors is based on our methodology, the 7 Stages of Business Success. And it’s a, it’s a growth methodology and it shows you a very, you know, very clear blueprint for how you go through the stages of development when you’re growing and scaling a business. And and so I latched onto that or very early in my career, cuz at the time there were no real systems for coaches. And so I was writing what would work for me. And we were doing a lot of disc assessments at the time and I realized, wait a minute, there is a personality of a company. It’s got four personality traits, just like we have four personality traits and where the, the personality of a business mirror, the personality its where you’re good. Your business is good where you’re not so good. Your business is not so good. And so you have strengths in blind spots and we created that methodology very early on in the nineties and that’s what we were, I was coaching on in the nineties and then I started certifying all those coaches starting in 2002.

David Richter:

Wow. Okay. So that’s awesome. I love that. And I think with the listening base here, that’s real estate investors. This is something that probably any business owner goes through those seven stages. Right? Doesn’t matter if they’re real estate, doesn’t matter if it’s a buy and pop shop, doesn’t matter if brick and mortar or fortune

Carl Gould:

500 doesn’t matter. Yeah. Everything in between. Cause there’s just search certain natural progressions you make. Yeah. So if you’re a real estate, I mean the seven stages matches, no matter what stage one is strategic planning, you’re a real estate investor. You gotta know what you’re doing. You gotta have a plan. Right. And then stage two is the specialty stage where you pick your niche in your specialty. So do you fix and flip? Are you a wholesaler? Are you do you do tax lean? Are you short sales? Like where is your niche or your expertise? Stage three is the synergy stage where you build your team, right? You need a team, right. Or unless you wanna do everything by yourself, stage four is the system stage. So you got this team to running around like crazy. They’re working their tail off, but do you have any good systems in your, in, you know, in your business?

Carl Gould:

What did Mike write the book clockwork, right, right. Does business work like clockwork? It’s gotta be a stage four company. Stage five is the sustainability stage. And that’s when the systems take over and your business runs with, without you, you can start thinking franchising. So now, now you do fixed and flip. Now you’re into short sales. Now you’re buying hold. Now you are now you’re corporate short term housing. Now you’re on an Airbnb or a luxury home rental business. Now you could do multiple revenue lines because your hub, your administrative hub is really systematized. Then stage six is saleability where you maximize the saleability of your business. Stage seven is succession where you can pass along your business to the next generation or sell it or have your managers buy you out. So it’s very, very relevant for real estate investing as well.

David Richter:

Awesome. Now with those seven stages, do you see that there’s one stage where most people get stuck on or is there, you know, like, or is it all stages like at different levels it’s different, you know? Or do you see something consistently like shoot this stage is just the one where, you know, most people have the hards SL going through this one.

Carl Gould:

Yeah. You picked it. The, the stage between three and four is what we call the graveyard of small business.

David Richter:

Okay.

Carl Gould:

There’s a little, 1%. You’ve gotta go through. The miracle 1% we call it because you’re going from a synergy company to a systems company. In other words, you’re a personality driven business stages. One, two and three are growth stages, stages four through seven are scale stages. So most real estate investors will remain at two and three. You know, they go out, they wholesale, they’ve got the team. But there’s not like a ton of systems. Hey David, every, every project’s different. How can you possibly have a system? Well, you can, but that’s for another day. So stage three is where you go from personality driven, meaning the owner’s involved telling everybody what to do. It’s kind of like a war room, like make this happen, make that happen to systems, right? So when a system’s driven business, you don’t talk directly to the person. You talk to your system, which talks to the person which then talks, you know, then, then which makes things happen. And so that’s a hard change for a lot of business owners to make because they have to give up control and they’re not always willing to do that. So that’s the graveyard. We gotta be very careful. You make it through three to four. You can go anywhere you wanna go.

David Richter:

Huh. That’s awesome. And that’s where we see a lot of businesses too. It’s like, you have to get those systems in place. And that’s what Profit First is. It’s a system for the finances. Like there has to be a change from no system running around like a chicken with your head cut off to something that’s actually helping you get to that place. Well, you are a wealth of knowledge here, especially for what you’ve been doing. Cuz I know that how many businesses so far have you, do you think that you’ve helped get through the stages or that you’ve worked with up to this point?

Carl Gould:

Yeah. Over 100,000 at this point.

That’s since 1990. Yeah.

David Richter:

That’s, that’s incredible.

Carl Gould:

We’ve had the privilege to work with a lot of small businesses.

David Richter:

Yeah. I was gonna say that you’ve whenever we go to these events, it seems like you have helped by either a lot of people in that room or like they’re they have used you and it’s just been incredible for them. So I just wanted to see how many of those businesses that’s a lot of businesses, a lot of lives changed and I love that, you know, like, okay, this is the graveyard between three and four because you gotta know what that is. And that control that you have to give up. So for this podcast, since it’s the Profit First REI, I like talking about money on it and maybe we’ll talk about some of the systems around it. But that’s where I like to ask a lot of people. Just kind of some deeper questions first. So let me ask you this. Carl, what early lessons did you learn about money versus how you think about money today and do they differ and how do you think, you know, like, do you have any different thoughts?

Carl Gould:

Yeah. Well I learned a few lessons. One of ’em was that all money’s not created equal.

David Richter:

Hmm.

Carl Gould:

Right. So if I, if I make money through a transaction a one time transaction, you know, it, it adds a certain amount of enterprise value, not a lot, but it ensures I have a job tomorrow. I made a little bit of profit.

Carl Gould:

If I have recurring revenue, that’s got a lot of enterprise value and almost guarantees that I’m gonna work with that person over and over again. So there’s, I learned that certain money is more valuable than other money. The other thing I learned was I learned was is you can almost, you can proportionately monitor how much your clients are engaged based on how much you’re charging them. In other words, if I charge you a little bit for a service and something goes wrong and I’m the provider, I have a problem. Hey Carl, you screwed that up. I paid you a dollar. You better get moving on it. However, if I charge you for that same service, $5 a premium, something goes wrong. We have a problem. Cause you paid my premium. You’re really invested. You probably have some sort of urgency going on. So you’re gonna help pave the way for me to make sure that I get, I get my work done.

Carl Gould:

So I learned the value of engagement through pricing, but I also learned that you can, you can make a profit and run outta cash. I learned that you can bring in a lot of money and have no profit and no cash. I learned you can have more month at the end of your money. <Laugh> I like to have more money at the end of my month. And I, and I learned, I, you know, it was funny. It came from an odd source cuz I took a business lesson from this movie. There’s a lot of lessons I could have taken from this movie and I did, but there, there was a business lesson. I remember there was a movie years ago called Schindler’s List. Oh yeah. I dunno if you remember that movie, right? Yeah. About Shindler, who saved a lot of Jews during the world war II, but he had a bookkeeper.

Carl Gould:

And I remember during the movie, every Liam Neeson’s character, right? Yeah. Every time Liam Neeson needed something, he had an idea, he’d go straight to his numbers guy and say, can I do it or can I not? Can I do it or can I not? And he would go through the numbers and say, here’s what you could do. And here’s how much of it you do or you can’t do this or you can only do this for a certain period of time. But I, I remember taking it away saying, wow, that person’s the key to my success. Hmm. If I know my numbers, you know, knowing the numbers is the key to my success. But if you’re a business owner that wants to grow beyond you being a stage two business where it’s just all about you you wanna have a team, you wanna have processes, you know, if you wanna continue to grow, you need that numbers person.

Carl Gould:

You need that person where that is gonna, that is gonna take the cash, put it where it goes. And I’m a big fan before, you know, Mike wrote Profit First. I was always a big fan of taking money and putting it in separate accounts because I came from the construction world. Hmm. And what happens in construction is you get a deposit for work. You haven’t done now in the construction world, they call that overbilling never really liked that term. I’m like, it’s not overbilling. You’re billed for this is progressive payment, right? You just didn’t do the work yet. But what happens is construction people companies get caught in this trap where they get their deposit for this job, job B, but they use it to pay off job a right, you know, and then job C pays off B and then they get into this juggling act that just, it’s hard to get out away from. So I learned early on take the money for what it’s intended and put it in an account and name it for what it’s intended, you know, in my system, you know, profit owners, owners pay on and on. So I used to have, and still do always have a bunch of accounts. Money comes in and I learned the lesson I learned was the tighter. My cash was to my cash flow was to my operating expense. The more attention I paid.

David Richter:

Hmm, yep.

Carl Gould:

The more cash I had in the bank. And I was like, oh, I can relax now. No, no, no. So I would always make it. So I just, I just a little bit more in my operating account than what my expenses, what my operating expenses were because I always paid attention. I was always like, all right, I can only use a certain amount. I gotta budget this. And I found out and it’s same thing. We, we work with fortune 500 CEOs and S of the board. And it’s the same thing. Whether you’re a small, mid-size large business. If money’s tight, you pay attention. Money’s not tight. You lay back a little bit. Yeah. So that was a big lesson for me. So I artificially, I still do it to this day. Keep it really tight because I wanna, I want, you know, I read those financials every single time they come in, I go through it once a month without fail because I know it’s tight. I don’t wanna bounce a check. I don’t wanna miss something. I don’t wanna miss a payment. Or I don’t want that phone call where I’m like, oh, we can’t do this until next week or whatever. So I’m always on top of it. So those are some of the major lessons I learned over the years.

David Richter:

That’s that’s awesome. And goes right in line with what we’re, what this podcast is all about. So, and I love what you said to, you know, like that you keep it tight. Now you might have money in other places, but it’s like, that’s already sectioned out for whatever that is. So that way it’s like, like you said, creating that artificial sense of urgency. So you don’t lose that edge because if we see that over and over again, if someone just has one account, it’s just that cash salad that they’re tossing all the time. So

Carl Gould:

The worst idea.

David Richter:

Yeah. Worst it is. It’s, it’s something we see over and over is one of the biggest mistakes. But with it, your seven stages of business. And with that, that model, what do you think it’s after stage two that’s when they start getting either a bookkeeper in place or like systems around the finances, like when would you say like they, Hey, if you’re a business owner, this is when you need this system, you know, like a system to at least get your cash in order.

Carl Gould:

Well, I think you are. I think the bookkeeper is the first hire you make, whether it’s an internal person or it’s outsource bookkeeping service or whomever, it’s the first hire you make because you’re going nowhere, unless your numbers are under control. I don’t care what it is. Your second hire is an executive assistant and you can make those two hires pretty close to each other. Yeah. But first and foremost, you can’t overpay for somebody who’s good at, at managing your numbers. So I’m, I’m looking at stage two is when you’re starting that, because in stage two, you become a special specialist, you become an authority and you could charge the maximum amount, right? Yeah. And so what you wanna do right away is you want that money managed because once you get into stage three, when you’re building a team and stage four and you’re systematizing, you need to have as much price.

Carl Gould:

You you’re, you’re charging the maximum pricing because you’re gonna need room in your profit margin, your gross and net profit margin to afford a layer of management, the problem. And the reason why people get stuck in stage three is they, they charge what they think they can get or what they think they’re worth. Yeah. They’re doing all the work and they’re doing it side by side with their employees. And then they say, oh my gosh, who is really driving the business instead of doing the tactical work. And they say, I need a manager and they realize, wait a minute, I don’t charge enough for the layer for a middle layer of management. And that’s where they get stuck. Right? And so they don’t have enough profit built in to actually separate themselves from the day to day activities. And so I like hiring a bookkeeper right. Outta the gate because now you have control and you know what your numbers are. It’s the best game of fantasy football you’ll ever play in your life. It’s like gamifying business. The, you know, people sometimes get hung up on the financials, like, eh, it’s a spreadsheet and it’s this and that look when you play any other game, there’s a scoreboard. All it is is a scoreboard. And you just want somebody to constantly update the scoreboard. So in real time, how much you’re winning or not winning the game.

David Richter:

That is really good. That is so good because we see that all the time people are in that they think they’re in that stage three or four, you know, or they’re going there. And it’s like, if they don’t have that, it’s like, we gotta take it back a couple steps and just get you to, to ground zero here. Because without those numbers, you, like you said, you’re not gonna be able to go anywhere that you really want to go. So we see that happen all the time. And I think it’s, I, I don’t know if you agree with this, but I think it’s one of the biggest sources of frustration in business owners where they’re like, man, I’ve got these people next to me. And like, we’re doing a lot of things. We’re making a lot of things happen, but I don’t seem to be gaining ground. And usually it’s because they don’t have a handle on that financial side or don’t know the scoreboard. Would you agree with that when you have worked with a hundred thousand businesses?

Carl Gould:

Yeah. The way, the way, the way we see it manifest David is that when we first start working with a company, we look at their pricing structure and they’re often their pricing structure is off. OK. Some, some things where they’re charging too much for some, not enough, they’re not intertwined, not bundling properly. Certain stuff is not recurring when it could be the pricing strategy is usually, you know, way off and, and that results in them not being ever being able to get ahead. Because either the cash, flow’s not there, meaning they’re not getting paid frequently enough. Or they’re not charging enough. So they, you know, I, cause I dealt with this in construction. I used to say that I was rich like four or five days of the year, you know? Cause in the construction world, you get progressive payments, right? Yeah.

Carl Gould:

So we’re doing this big project, progressive payment comes in, you real estate guys know, and what happens? You get this big chunk of money and you’re like, yes, either they get wired, it gets wired into your account or you, you get it in the mail. And you’re like, man. Right. And you’re, and you’re like, we’re going to dinner tonight, everybody. And then the next day you disperse everything. And you’re like, Ugh, I’m broke again. Yeah. You know, so I used to joke. I’m like, today’s our day, you know, we eat good today. And and because I didn’t, you know, I didn’t understand that well, but once I got a handle on it and understood how to spread the payments out more, more frequent payments, how to segregate the cash. I always had the money. I have a set and forget it system where, you know, money comes into the account, it’s automatically dispersed and I’m just dealing with the operating account. And then I wake up a month later after being in the weeds and working my butt off. And I realize, huh, there’s money for the taxes. Oh, we got money for payroll. Oh, we got money for this. Cause it was automatically going out there. So

David Richter:

Yeah, no, I like that. And that’s where I think a lot of people get tripped up. It’s like, yeah. Especially in the real estate world that happens all the time. They’re fixing and flipping and they get a big lump sum and it’s like, okay, feel great today. But we gotta, when when’s the next deal closing, and then that deal doesn’t close when they thought it would. And it’s three weeks later and then all that money’s gone. So yeah, I just, we see it all the time in the real estate investing world. But I, you also said something that I thought was interesting when you were listening on what the, what lessons you had learned that sometimes people have a profit, but they’ve run outta cash or they’ve got a, you know, they’ve got good assets, but there’s no there’s no profitability or, or cash or whatnot. And how do you see that happen and unfold in a business where they may have a bottom line profit, but there’s no actual cash in the accounts. And what do you see trip people up from that perspective?

Carl Gould:

Yeah. So I, I get a call one day from a president, one of our clients and he goes, he goes Carlisle. I don’t understand. He goes, we are selling more for more meaning, more product for higher price. We’re selling more for more, how am I outta cash?

David Richter:

Hmm.

Carl Gould:

And I said, well, let’s, let’s break it down. And what we learned was the he was selling more products and services for more, for more higher price. But what they were doing was over buying on their inventory, number one. And because they got busy, they hired a bunch of employees because they thought they were gonna, they needed them to fulfill the orders. As it turns out, we didn’t need to, we could have automated a few things. We could have dropped shipped. Some other things. There were some, there were areas of efficiency. And so all the money he was bringing on the front end, he was paying more on the back end in higher inventory costs. And higher payroll costs, you know? Okay. And so you know, you, when, when you grow, you have to make sure that the profit, sorry, the growth is profitable. And a lot of companies growth is not profitable. Yeah. Because what they do is they ramp up their expenses as fast as they, as they ramp up their sales. And that doesn’t have to be the case.

David Richter:

That is so good. Cuz we see that in the real estate investing world all the time, like, okay, I wanna do more deals, more marketing’s going out the door and like more deals being closed. But then like you said, they feel busy. So they hired another, you know, acquisitions manager and another dispositions manager and another executive assistant and this person in the transaction coordinator and like, yeah. And then their expenses are exceeding that growth. So if we see that all the time too, and if you don’t have a handle on that, you’re not gonna be able to grow profitably and you don’t know like, okay, do we actually have a margin here? Like then can we oh right. Or do we not have

Carl Gould:

Anything? Yeah. Yeah. And the other thing that happens is they might have, they might do have an intense period where they do a few deals in a row and they’re like, oh, oh, let me catch my breath. And they go a month or two before they do a deal. But guess what? The, the part of their business that didn’t take a break was their overhead. Right. So they made all this profit in the first six months. Then they, then it’s two months where they’re not doing a deal or they’re not closing or they don’t have something going on. And, but all of their overheads are there. And so it just ate into the profit that they just made in those past months. So, you know, so they get on this hamster wheel, feast and famine where they find out at the end of the year, they’re tired. They worked their tail off and they don’t have profit.

David Richter:

Yeah. Yeah. That’s what, that’s what we want to get rid of with profit. First. We want you to get rid of that mentality that you have to wait till the end of the year for hopefully that there’s some profit and being profitable from every deal, every single interaction that you do and scaling as you scale, no matter what you’re wanting to do. So I love that Carl has been incredible. Just have a last couple, few questions here is what since you’ve seen so many things in the business world, what advice would you give to the real estate investors on this? Just your best piece of advice that you give to business owners as you’re working with them?

Carl Gould:

Well, first from a real estate standpoint is the deal flow has to be there all the time, right? Yeah. The, the, the, you know, check with your account and check with your attorney. But the tax laws were written to benefit the, the real estate company that has momentum, that doesn’t stop. You know, you have 10 30, 1 exchanges, you have, you know, you have cost segregation and accelerated depreciation, but you can’t stop. You stop. And tho those things go away and you, you lose some of those things. And so what we find is is that, you know, people get into this business and, and they, and they don’t realize just how intense it is. And so they, they lose, they stop or they give up their momentum and the, and the financial benefits that are built right into the tax law for your benefit go away. And so and so when it comes to business, you know, it’s relentless, it’s merciless and you must stay on track and maintain your momentum, especially in a real estate business. It’s a momentum play. You know, there’s other businesses that are seasonal. You wanna play that game. That’s fine. But it doesn’t fully benefit you in the real estate, in the real estate investment game.

David Richter:

Yeah. No, that’s, that is great advice. I think that’s one of the things that most people realize very quickly if they’re in the real estate game, if they lose that momentum, it’s not only sometimes is it hard to get it back? They understand, like I gotta build this engine and I’ve gotta make sure that this is exactly what we need to do to keep moving forward. Yeah. So, well,

Carl Gould:

Now if I put on my construction hat for just a second, yeah. You real estate people out there, you know, you real estate investors, you have pre-production production and closeout of a, of a project, right? Yeah. So pre-production is all of the identifying the project, negotiating it, getting it in there, lining everything up, you know, getting your, permitting, all that sort of thing. Then there’s production, whatever work you’re doing on the place, then there’s closeout where we have seen the biggest problem is in the closeout. Hmm. When closeout drags on and you don’t get your final payment, you don’t finish off the project. And then you’re into the next project and this job takes a little bit longer, but you don’t get it sold. That’s where the drain seems to happen. So if I, so I would encourage you all to look back at your close out procedures and see how you could tighten those up as much as possible, cuz that’s usually where the creep is. Okay. And that’s usually where the drain of profit goes.

David Richter:

No. Yeah. That’s that’s really good too. So this has been incredible. There’s been a ton of gold nuggets here and you need to pick up Carl’s books. I’m sure. Are they on Amazon? Where can they find the books?

Carl Gould:

Amazon, you go on CarlGould.com and I could sell you right. Outta my private stock either way.

David Richter:

Okay, awesome. So there you go. Carl Gould. That’s G O U L D. So CarlGould.com. And then also, I know we just gave the website there, but I always like asking as my final question. Is there any way the listeners can provide value back to you? Is that connecting with you on a social media or going to your website, picking up the books or tell them how they can work with you if you want, you know, like if you are taking on clients now I know you’re are incredibly busy, so Dylan, that’s just whatever they can do for you.

Carl Gould:

Well, one of the things that I love to do guys, is I like to spread the word I like to do podcasts. And I also like to I speak a lot at conferences. So if any of you have a conference that’s coming up and you want, you wanna rock that concert hook me up and I’d love to be a speaker at your next event.

David Richter:

Awesome. There you go. And can they get ahold of you at carlgould.com and does there contact us or something there or,

Carl Gould:

Yeah, CarlGould.com contact us there or carl360.com. That’s my personal site and you can find me there as well.

David Richter:

Awesome. There you go. That’s how you can get in touch with Carl. As you can tell here, he is an amazing speaker has probably a story for any situation that has ever come up in the history of business cuz of how much he has been in deep dive with business owners. So this is someone that it can provide a lot of value to you and your base. If you’ve got a base out there that, or if you’re a part of a mastermind or something too, it’s gonna be a great speaker. So Carl, thank you so much. Thanks for being on the Profit First REI Podcast.

Carl Gould:

Thanks for having me. I really appreciate it.

Speaker 4:

Thank you so much for listening to today’s show. If you found this episode valuable, could you do me a quick favor? Could you give us an honest rating within iTunes and be honest, you could say whether you liked it or not. And obviously with iTunes, the more reviews and ratings we have, the better it is for other people that are searching for Profit First and a podcast. So we’d love to be ranked on there and that’s thanks to your help. So we would really appreciate that if you would like to go give us a rating. Also, if you’re looking to connect with us further, I would highly recommend checking out our Facebook group Profit First for real estate investors. And that’s literally what it’s called. So you can type in Profit First for real estate investors and you’ll be able to find <laugh>, you’ll be able to find our Facebook group right there.

Speaker 4:

So come join active real estate investors who are supporting each other and growing their businesses and profits together. That’s what that group is all about. The link should be in the description below. And if you’re interested in working with us and implementing Profit First in your real estate business, we offer coaching and guidance. So if you wanna work with someone who’s actually Profit First certified and who works right now currently with real estate businesses, you can actually go start your application process by going to simpleCFO.com forward slash apply, or just go right to simpleCFO.com. And there’s an apply button right on there. If you wanna actually start your Profit First journey with someone who can actually walk you through those step by step and help, you know, and grow your cash flow. Thanks again for joining us for another episode of the Profit First REI Podcast. See you next episode.

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Title: “Profit First Strategies with Jay Conner: The Power of Private Money”

Episode: 242

There are 15 reasons to love about borrowing private money over traditional money. One of them is making your own rules for your private money.

In this episode of Profit First for REI podcast, Jay Conner, a nationally renowned real estate investor and the king of private money. He talks about how private money works.

Jay helps you get your money from private lenders and will share with you the mindset that will get you money in the door without you ever having to worry about it.

Listen and enjoy the show!

Key Takeaways:

[01:01] Introducing Jay Conner

[05:00] Introduction to private money

[08:30] The Great News Phone Call

[11:23] Why don’t you use your own money?

[13:18] Maintaining relationships with private lenders

[15:40] Private money vs traditional money

[22:05] Things that make them want to recommend you

[25:18] Advice for real estate investors

[29:01] Connect with Jay Conner

Quotes:

[07:34] “If you are talking about private money and raising private money with an individual and you got a deal for them to fund, you already sounded desperate.”

[12:07] “If you want to scale your business, private money is the way to go.”

[16:05] “In this world of private money, we make the rules. We set the interest rate, we sent the length and all of that.”

Connect with Jay:

Website: https://www.jayconner.com/book-details/

Tired of living deal to deal?

If you are a real estate investor or business owner who is tired of living deal to deal and want to double your profits, head over here to book your no-obligation discovery call with me. Either myself or someone from my team will hop on a short call with you to get clear on your business goals, remove any obstacles holding you back, and map out a game plan to help you finally start keeping more of the money you work so hard to make. – David

Transcript:

Speaker 1 (00:00):

I got 15 reasons I love private money over traditional money. I won’t share all 15, but the biggest one is it puts you in the driver’s seat. The traditional way to borrow money is you go to the bank and get on your hands and knees and you’re begging and chasing. Well, they are making the rules right? Like the lender is making the rules. But in this world of private money, we make the rules, we set the interest rate, we set the length of the note and all that.

Speaker 2 (00:34):

If you’re a real estate investor who’s sick and tired of living deal to deal, then welcome home. Hear from everyday real estate investors just like you, and discover how they’ve completely transformed their business by taking a profit First approach. This is the profit first for REI podcast, where we believe revenue is vanity. Profit is sanity. It’s time to start making profit a habit in your business. So here’s your host, David Richter.

Speaker 3 (01:01):

We have Jay Connor back on the podcast. I love Jay Connor. He helps you get your money, the money from private lenders and that whole framework and process, but he does it from a passion and a place of heart. And servant Teachership. I feel like he goes out there and is a servant teacher of how private money works. Listen to this episode. He gives the magic question he tells about desperation and private lending, and I thought his perspective was so good, and then ultimately the mindset that will get you money in the door without you ever having to worry about it. So listen to this episode. Can’t wait for you to get value from it. Thank you for being a listener of the Profit First. RII podcast. Have a great episode. Hey, here’s the profit first RI podcast. Really excited to have Jay Connor back because he’s the came of private money. And this is where I love to go into this topic because I don’t care what kind of business you’re in, you probably need help with this, but especially if you’re in the real estate world, this comes up all the time at every event I’m at with every conversation I have. So we’re having the cane here talk about private money today. So Jay, thanks for being on the show.

Speaker 1 (02:07):

Hey David, thank you so much for having me come on here to talk about my most favorite topic. Of course, that being private money. And why is that? Because private money’s had a bigger impact on our real estate investing business than any other strategy that we’ve implemented in our business.

Speaker 3 (02:24):

Why did you go down that road though? I mean, you teach this all the time. You’re helping a ton of people, like anyone I’ve ever talked to that works with you is like he taught me how to do and I got money and it actually works. So I mean, how did you even go down that road where it made a difference on you and then you wanted to get it to others?

Speaker 1 (02:43):

Well, I actually backed into it. I didn’t do it on purpose. So here’s what happened. So my wife, Carol, joy and I, we’ve been investing in real estate, single family houses, other real estate full time here in eastern North Carolina since 2003. And here’s what happened. From 2003 until 2009, David, all I knew to do in my real estate investing business was rely on the local banks to fund my deals. I mean, all I knew to do was go to the bank, get on my hands and knees, put my hand underneath my chin, raise my skirt up so they could look at all my personal financial statements and stuff and actually beg to get my deals funded. That’s all I knew to do. And so I had a big wake up call in January of 2009 after being in this business here in Eastern North Carolina. I called up my banker.

(03:38):

I told him about these two deals I had under contract in Newport, these two single family houses. And David, I learned like that over the telephone that my line of credit had been shut down with no notice. My banker, his name was Steve, and the bank was bb and t at the time. I said, Steve, what in the world are you telling me? My line of credit is shut down. I got two deals under contract. You gave me no notice. Why is the bank closing my line of credit? He said, Jay, don’t. There’s a global financial crisis going on right now. I said, no, but now you just gave me a global financial crisis. Financial crisis, yeah, I ain’t got no way to fund my deals. And I got ’em under contract. So I hung up the phone and here’s what happened, David. I sat here and I asked myself a very important question.

(04:27):

And so I’m going to share this question with your audience right now. This question I’m going to share with you will help you solve any problem you’ve got. I don’t care if it’s business, financial, career, health, relationships. I don’t care what your problem is. By the way, David, these people going around and saying, any problem, you got some opportunity I want to throw up. I didn’t have no opportunity. I had a problem of not funding my deal. So here’s the question I asked myself. The question I asked myself was, Jay, who do you know that can help you with your problem? And when I asked myself that question, I immediately thought of my good friend Jeff, who lived in Greensboro, North Carolina at the time, and he was investing in real estate. And so I called him up and I told him what happened. And he said, well, Jay, welcome to the club.

(05:18):

I said, what club? He said, the club of the bank shutting you down and losing amount of credit. They shut me down last week. I said, well, how are you funding your deals, Jeff? He says, well, have you ever heard of private money? And I hadn’t. So Jeff told me about private money. He told me about self-directed IRAs and how people can use their retirement accounts and funds that they currently have and move them over to a self-directed IRA company and then loan that money out to us real estate investors, either tax deferred or tax free depending on the type of account they’ve got. Well, that just opened up my whole world. I’d never heard of that. And so what did I do? How did raise $2,150,000 in less than 90 days after being cut off from the bank? Well, here’s what I did, and here’s the secret sauce I put on my teacher hat.

(06:10):

So I put on my teacher cap, which is my private money teacher cap, and I just started teaching people in my own network what private money is, how they can earn high rates of returns safely and securely. And what’s interesting, Carol, joy and I, we got 47 private lenders right now. Not one of them had ever heard of private money and private lending. Not one of them had ever heard of self-directed IRA companies and what a third party custodian is. That’s important by the way, to establish a relationship with a self-directed IRA company because over half of my private lenders are using their retirement funds. And if I didn’t have that relationship to introduce them to move their retirement funds over, I’d be missing out on over half of my private money. So how did I go about raising all this money when I was cut off from the banks?

(07:02):

I led with a servant’s heart. I led with education. And here’s a really, really important point. I separated the activity. I separated the conversations of telling people what private money is and how they can earn high rates of return safely and securely and having a deal for them to fund. You see, desperation has got a smell to it. And when you talk about is that not true, David? Yeah, very true. So if you’re talking about private money and raising private money with an individual and you got a deal for them to fund, you’re already sounding desperate and you’re not even trying to sound desperate. So we don’t talk about deals and when we’re first exposing somebody to how they can earn high rates of return, we talk about private money. So how do we separate those conversations? Well, when someone has told me that they’ve got, let’s say they’ve got $150,000 they want to invest and get high rates of return conservatively, I’ll say, great, I’ll put your money to work for you just as soon as possible.

(08:11):

I don’t talk about a deal upfront. If they’ve got retirement funds that they want to get higher rates of return on, I’ll introduce ’em to the self-directed IRA company that I recommend. They’ll get their funds moved over. And so here’s what happens and here’s the magic sauce, David, I give ’em and I call ’em up with what I call the great news phone call. What in the world is the great news phone call? Well, the great news phone call is not a pitch. I’ve never pitched a deal in my life ever since I started raising private money in 2009. I pick up my handset with my cord attached to it here in North Carolina and I call some of your, don’t even know what that is. And let’s say, David, let’s say you’re one of my private lenders. So I’ll put my phone right up here and you’ll answer the phone and we’ll have a little chitchat and I’ll say, Dave, I got great news for you.

(09:06):

I can now put your money to work. I got a house in Newport with an after repaired value of $200,000. The funding requires 150. Closing is next Tuesday. You’ll need to have your funds wired to my real estate attorney next Monday. I’m going to have my real estate attorney email you the wiring instructions end of conversation. Notice I didn’t ask If you want to fund the deal, of course you want to fund the deal. You’ve been waiting for the phone call. I’ve told you the program. I’ve taught you the program, you know what kind of rate you get, what the maximum loan to value is, the program that I’ve taught you. And so now you’re waiting for the good news phone call, which I just gave you. And in addition to that, if you as my private lender, if you’ve moved your retirement funds over to a self-directed IRA company, you ain’t earning any money until I put your money to work.

(10:04):

You moved it at my recommendation. Now I’m ethically bound to put your money to work. You ain’t earning any money until you actually put her to work. So again, we separate conversations, we leave with a servant’s heart, we educate, and by the way, David, these people going around saying don’t just get the deal under contract. The money is show up. I want to throw up where is the money going to show up? Is it just going to rain out of clouds or something? No, get the money lined up and you can get it lined up fast. Just like me. There’s always going to be deals.

Speaker 3 (10:38):

Yeah. Oh man, that’s really good stuff. I love how you went down that road and it helped you personally. Now you’re just teaching a lot of people. I love that magic question. Who do you know that can help me with my problem? It’s that who, it’s not always the how. It’s the who did I know, and in that point it really helped you. I also run into a lot of times, I don’t know if you see this, where there’s someone who’s like, I could save a couple interest points if I just use my own money versus a private lender’s funds. What are your thoughts on that of always taking down your own deals versus going out there and putting the work into getting a private lender?

Speaker 1 (11:17):

Sure, I get that question all the time. They say, Jay, you making all that money? Why don’t you use your own money to invest in real estate? Why are you still borrowing private money? Well, here’s the answer. If you’re just going to do one deal, that’s a great use of your money. That’s a fantastic use of your money. But do you want to scale your business? I mean, right now we’ve got seven different projects going on, single family houses simultaneously. Well, I don’t want my money buried in seven houses or projects simultaneously, which here in our local market can easily be over 3 million with the prices of our homes. So if you want to scale and really, I mean most people have got a bottom of the bucket in their checkbook. So if you want to scale your business, then private money is the way to go. Another answer to that question is, do I want to pay myself 8% or do I want to use my money for something else,

Speaker 3 (12:22):

Right? Yep.

Speaker 1 (12:24):

So that’s a couple of answers to why I use private lending and why I’m still using 47 private lenders,

Speaker 3 (12:33):

Which is great. I love what you said. If you want to scale, it can run out of cash real quick. If you just keep using your own money where a lot of people have to choose between, okay, paying some percentage points or sleeping at night, and it’s like, I think I like your option a whole lot better, especially if you’re looking to grow. But I like how you said that one deal. That’s okay, but if you are looking to be a real estate investor, this is something you’re going to have to go down that road. Now, last time I asked you some questions about the private lending process. I don’t think I asked this one though, is how do you maintain a relationship with that many private lenders? You’ve got 47 people in your network that you call up with the good news call. So is it like how do you maintain a relationship with all those people?

Speaker 1 (13:22):

I mail ’em checks.

Speaker 3 (13:25):

I love that. That’s a great answer. Oh man. No better way to keep a relationship there.

Speaker 1 (13:33):

I mean, they love getting money in the mail, right? Yeah. They love mailbox money, so I mail ’em checks.

Speaker 3 (13:41):

So you mail ’em checks. So you’ve built a good enough business where you can keep 47 lenders busy and their money active.

Speaker 1 (13:50):

Well, to be totally transparent, I mean, it is a juggling act to tell you the truth. I mean, there’s more money than there is deals.

Speaker 3 (14:00):

Yep.

Speaker 1 (14:01):

There’s more money than there is deals. And so we got 47 private lenders. Some of them have got $30,000 with us, some of ’em have got a million dollars with us. I can’t buy a house for 30,000, but I can use 30,000 for rehab money. You can use private money, borrow private money in a junior position, you’ve got to disclose that. But I can put private money in a junior lien. But what comes into play there is what we call total loan to value. So I’m not going to be borrowing more than 75% of the after repaired value. I didn’t say the purchase price 75% of the after repaired value. But let’s say back to that example that we just talked about, David, where if I’ve got a after repaired value on a home of 200,000 for easy figuring, I can borrow up to 150,000. That’s 75% of the after repaired value. But if I buy it for a hundred thousand, which I do all the time, 50% of the after repaired value, I can have a private lender in first position at a hundred grand. I could have another private lender in second position at 50 grand. So add a hundred to the 50, now one 50 divided by 200,000 after repaired value, I got a total loan to value of still 75%.

Speaker 3 (15:27):

Yeah, I love that. And it seems like private money gives you flexibility and

Speaker 1 (15:32):

Options. Does that make sense?

Speaker 3 (15:34):

Yeah, that makes sense. A hundred percent.

Speaker 1 (15:37):

Oh, absolutely. Flexibility is where it’s all at. I got 15 reasons. I love private money over traditional money. I won’t share all 15, but the biggest one is it puts you in the driver’s seat. The traditional way to borrow money is you go to the bank and get on your hands and knees and you’re begging and chasing, well, they are making the rules, right? The lender is making the rules. But in this world of private money, we make the rules, we set the interest rate, we set the length of the node and all that.

Speaker 3 (16:14):

I love that. Flexibility is the ultimate play in real estate. You want to have flexibility and you want to be able to have that. So I love what you teach. Who is the person that you’re trying to teach out there? Is it the person that’s done one deal a thousand deals? Who are you trying to help the most with your business?

Speaker 1 (16:33):

Yeah, that’s interesting. At my live events, which is called the private money conference, and my live events, we have about 60% or so have already done deals. They’ve already done deals. They want to scale their business. They are real estate investors wanting to scale their business, and about 40% are looking to get their very first deal. So I’m helping everybody. I mean Stu and Harriet Baldwin from New York State, they enrolled and joined my mastermind membership community and they already had a portfolio of a hundred houses. They’d already raised over $2 million in private money, but they wanted to see how I went about it. Well, just one webinar that I recorded with them brought in 1.2 million in additional private private money. So I’ve worked with real estate investors that are brand new and those that are also seasoned to help them get more private money ready to go for their business.

Speaker 3 (17:33):

I love that. It sounds like a lot of people out there need private money, and even if you’re just getting started, if you don’t have the funds to do that first deal, like you mentioned, you do that first deal, that one deal at a time, it might be okay, but this sounds like a great spot where if you’re getting into it or if you’ve got lots of stuff going on, this could be another way to make sure your company can keep running without what you ran into with the banks back in 2007, eight or oh nine. Would you say that’s true as well?

Speaker 1 (18:04):

Absolutely. Absolutely. I mean, I’ve met very, very few people. In fact, I can’t even think of one. I haven’t met any real estate investor that says, I got enough money.

Speaker 3 (18:20):

Yeah, me either.

Speaker 1 (18:22):

I can’t use any more private money. However, David, you are looking at one right now. I got about almost $2 million right now, what I call sitting on the shelf waiting to be deployed. And I tell you what, I’ve had new private lenders come into my world that want to invest and just to prove to them that I can perform. I’ll take the new private lender’s money and pay off a current private lender, refinance the deal so I can get their money to work for ’em, right?

Speaker 3 (18:53):

Ah, yep, that makes sense. I like that. As you grow and scale, you might run into that issue and you make one lender a little bit happy. I mean, at least they’re getting paid off, but then they probably come back to you and say, I want you to put my money to work again. Do you have that come up a lot?

Speaker 1 (19:12):

Quite frankly, when I pay ’em off, they’re not happy.

Speaker 3 (19:17):

That’s why I said just a little happy, maybe a little bit.

Speaker 1 (19:20):

But when I pay ’em off, they’re not making any money on that money. In fact, with a new private lender, I’ll get ready to pay ’em off cashing out on a deal and I’ll call ’em up and say, Hey, just want you to know that you’re going to have a check coming in the mail from a real estate attorney’s trust account. We’re paying off this house. And they’ll say, Jay, can’t you just keep the money? And I’ll go, no, I can’t keep the money unless I’ve got your money secured by a property because we do not borrow unsecured funds. Now, here’s maybe a little advanced strategy for some folks, but I do substitutions of collateral or loan modifications all the time. If it’s a small amount of money that a private lender’s invested 30, 40, $50,000, and we use it for rehabbing a property. So when I’ve got another property I’m getting ready to start on, I’ll substitute the collateral and keep that 30 or $50,000 note in play. So they keep earning money on that money, but we will substitute the collateral just to a different project that we’re moving to.

Speaker 3 (20:25):

That’s awesome. So then sounds like you have a good problem. It’s like, I want that. Well, I think a lot of real estate investors would rather the problem, I have too much money versus I’ve got these deals and I can’t fund them. So I really like how you teach people that and where it could snowball into this, where it’s like, I’ve got 47 private lenders, I’ve got to go out there and get the deals for ’em. Absolutely. And I really like that. And

Speaker 1 (20:50):

For goodness sakes, you don’t start out with 47 private lenders. I started out with one, right? I started out with one and then that quickly became two and three and four and five because private lenders tell other people what’s going on. So I haven’t actively attracted private money for years because our current private lenders just keep sending us people. In fact, day before yesterday, day before yesterday, I got a phone call from the mother of a good friend of mine, his name’s Craig, lives in Newburg, North Carolina. Craig had told his mother about this investment thing that I got going on and she had never heard of it, which is really funny. I’ve been doing it now private money since 2009. So she calls me up and she says, Hey, my son’s been telling me about this investment thing you got going on. Tell me about it. So word of mouth gets around very, very quickly when you start doing business with private lenders the way I do.

Speaker 3 (21:53):

Yeah, I like that a lot. So in order to get people to talk like that, what are the biggest things that you do for your current private lenders that makes them want to recommend you?

Speaker 1 (22:07):

Well pay ’em on time.

Speaker 3 (22:08):

There you go. That’s a big one. Sounds like that would be a really great place to start.

Speaker 1 (22:12):

Pay ’em on time. But I also have three times a year I put on a party for our private lenders at the Dunes Club. So we have three times a year a VIP reception over at the Dunes Club on the beach, and it’s just an evening of private lenders getting together and we have a good old time and I feed them and give them all the soft shell crabs they want, and I tell ’em to bring their friends with them.

Speaker 3 (22:42):

Yeah, that’s awesome. So number one though, that anyone can do at any stage is pay people on time. So actually pay, would you say, what about communication? I hear that come up sometimes too. How do you do a good job on the communication with your private lenders as well?

Speaker 1 (23:03):

Well, it must be good enough. They never go away,

Speaker 3 (23:06):

Right? Yeah, that’s the big things I hear.

Speaker 1 (23:10):

Here’s one thing I have not delegated as far as communication. I personally, I mean my relationships with my private lenders are very, very important. So I personally pick up the phone, pick up the phone, and call my private lenders when I have got a deal for them to fund. I do not delegate that out. I could

(23:37):

Delegate that out, but I don’t, when I got a deal for them to fund, I’m the person on the phone keeping that relationship When I’m getting ready to pay them off. I don’t have a check just show up in the mail. Of course they got to sign a payoff instruction letter if a different closing agent is closing it for a buyer. But before any of that happens, I personally call ’em up and I tell ’em that we’ve got that property sold. We’re getting ready to pay you off. Or I’ll call ’em up and I’ll say, Hey, we’re getting ready to pay this property off, but I will keep your note open so you can keep earning money. I’m just going to substitute the collateral. We got some documents we’re going to email to you for you to sign and send back the communication. I’m personally involved in putting their money to work and letting them know when we’re cashing out and where they are on the deal.

Speaker 3 (24:31):

That’s awesome. Then since it’s the profit first I podcast here, I love this concept of the private money because you need your cash in your accounts. So to be able to run your business, do those things, and then setting up a separate account just for your private money lenders, so it makes it easier to do what Jay just told you to pay them back, to pay them back on time to be in good communication with them. So now this has been really good. Do you have any other advice before I ask you? How could they work with you? How can they get in touch with, because I know this is something that is needed desperately, that I send people your way all the time. I know I trust you to help people, but any other last minute advice here that you would give to the real estate investors listening to the podcast?

Speaker 1 (25:18):

Sure. I appreciate you asking that question. It’s going to be very hard to own a lot of real estate

(25:26):

Until you own the real estate between your ears. So what do I mean by that? People ask me, how do I start? How do I start raising money? I can tell you how you start raising private money. You get your heart right, you get your mindset right. So what do I mean by that? Well, what do you do? You lead with a servant’s heart, you lead with education, you put your private lender money hat on, you private lender, teacher hat on, and you leave with education, don’t pitch deals, and you really, really are concerned about the other person and realize, part of this mindset is realize you’ve got an opportunity to change people’s lives, right?

Speaker 3 (26:11):

That’s so good.

Speaker 1 (26:13):

We’ve got countless people that are particularly in their retirement years, that have thanked me and Carol Joy for making a difference in their retirement years to where they can, I mean, they don’t want to touch their principal. They want to live off of their principal investment. So they’ve been able to travel, go see grandkids, do all this stuff that they couldn’t do otherwise until they got involved in our program. So just know that you’ve got a way to really make an impact on other people’s lives. And lemme tell you another part of mindset. It ain’t about reaping. It’s not about reaping. It’s all about sowing. It’s all about sowing. I can’t be reaping all that private money and deals until I have sown and given and led with value first. So how you sow is how you’re going to reap.

Speaker 3 (27:08):

Yeah. Oh man, this is so good. I’m glad I asked that question because I hear the passion in your voice and I hear that you really care about the people you work with, the people that have private money lenders out there, you care about that relationship. I love what you said. Get your heart right, get your head right. I also think, like you said too, that if they don’t have that desperation has a smell. So if you’re out there, you’re desperate and you’re just going out there, then you won’t have people like you have that want to keep coming back, that want to continuously invest in you. So that was, I think, the best advice that you could give right there. Get it between your ears and get your heart right. I absolutely love that. And just to recap too, I love your magic question.

(27:55):

Who do you know that can help me with my problem? Then one day you’re going to wake up and you’re going to be like Jay, and you’re going to be helping other people with their problem. I’ve got money. I want to put it somewhere, and you’re the able to get them to where they can be. Desperation has a smell. I love that. And then honestly, I love that pivot. You are like, it’s not about the reaping, it’s not about the interest that I’m making or the profit I’m making for the deal. It’s more about sowing those seeds and ultimately you’re changing lives. That’s why you get private money, and it’s like that interest that you’re paying them is twofold. It’s like you get to sleep at night, you’re not using all your money and you’re getting to help someone else get a return that they wouldn’t be able to get anywhere else or in someone that they trust as well too, and that’s a little bit more tangible than the stock markets or all this other Bitcoin, some of that stuff that’s floating around out there. So this has been awesome. So how do people then, Jay, take that next step with you? Do you have a book? You talked about an event. What can people do?

Speaker 1 (29:01):

Absolutely. Well for your audience, David, I’ve got two gifts. First of all, I finished writing my book Where to Get the Money. Now, this is not a ebook. This is a book book that we actually send in the mail Autographic where to get the money. Now the subtitle is How and Where to Get Money for Your Real Estate Deals Without Relying on Hard Money Lenders or Traditional Lenders. It’ll walk you through step by step how to get all the private money you would want. Very, very easy to read. It’s $20 on Amazon, but you can get it for free. Being David’s audience, just cover shipping. You can go to www dot j Connor, J-A-Y-C-O-N-N-E r.com/book. So I’m an er, not an or. So that’s j Connor, J-A-Y-C-O-N-N-E r.com/book, and we’ll three day priority mail it out to you. Now, in addition to that, I’ve got an upcoming $3,000 per ticket live event right around the corner. But for your audience, Dave, I’m going to let everybody come for free with a measly $97 registration fee. This private money event. You can check it out at www.theprivatemoneyconference.com. The private money conference.com. That’s coming up right around the corner in June. Get on over there. Registrations are open, and I’d love to meet you in person at the private money conference.com.

Speaker 3 (30:31):

Awesome. I’m excited about that too. I love what you’re doing and you’re solving a big need that we hear all the time. Just like all people always needing to sharpen their acts when it comes to private money, you graciously have also invited me there to speak about Profit First. So I’m excited to get to tell people about that so they can get more private money and be more confident and not be desperate when they go and ask for people. So I’m really excited about that as well. So make sure we’re going to put those links there, but make sure either get his book or go to that event. I cannot endorse Jay Moore because I know how many people he helps, but then he also has the heart. You heard it right here. That’s how he wants to help you too. It’s very much a heart and a mission and a passion for him.

(31:13):

So Jay, thank you for coming on, for sharing your wisdom, your knowledge today. If you are listening to this episode and you feel stuck like, what the heck is going on? Where is my money? I don’t know what to do. I’m a little bit nervous to go out there and get private money. I can’t keep my own house in order. That’s where you could go to simple cfo.com where we can help you walk you through that process. We’ll link you up to Jay too. If you need private money or need to learn about private money, this is who we recommend. I recommend Jay to many people, so make sure that if you need that help you go to simple cfo.com. But Jay, again, thank you for being on the show and sharing your wisdom here today.

Speaker 1 (31:51):

David, thank you so much for having me. God bless you.

Speaker 2 (31:54):

This episode of the Profit First for REI podcast is over, but there are plenty more where that came from. Are you ready to learn how David and his team can help implement the Profit First system in your business? Schedule a discovery call@simplecfo.com right now. We’ll see you next time on The Profit First for REI podcast with David Richter.

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