Leadership, Team Performance, and Trauma Freedom with Annie Yatch

Title: “Leadership, Team Performance, and Trauma Freedom with Annie Yatch”

Episode: 197

Want to know more about Profit First and how it works best for business owners and becoming better leaders?


Listen to this Profit First for REI podcast episode as we interview Annie Yatch. She has been an entrepreneur for 15 years but originally started working in the Defense Intelligence Agency. 


Annie talks about trauma, trauma freedom, and how it affects potential leaders in the real estate industry! 


Enjoy the show!

Key Takeaways:


[00:54] Introducing Annie Yatch

[04:07] What is trauma? 

[06:08] Trauma and your calling

[12:41] Good saver, bad spender

[16:54] Where did Annie get knowledge about people’s behavior?

[22:50] Three big gaps in companies

[27:17] Profit First and role in trauma freedom 

[31:12] Connect with Annie Yatch



[04:06] “Trauma has to do with any time in your life that there is a perceived lack of control.”

[06:08] “If you figure out what your trauma is, you figure out what your calling is as well.”

[19:38] “Every problem that you experience in business is a behavior problem… a behavior you have to start, a behavior you have to stop, or a behavior you have to modify.”

Connect with Annie:


Website: https://reisalestools.com/ 


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


Speaker 1 (00:00):

That’s also why we have Profit First, right? Because I can tell you from my own experience, everything changed for me in business when I started using Profit First. So anyone who is listening, obviously you love David because he’s written this incredible book and because he has so much wealth of knowledge, but if you get this aspect of your finances figured out, everything in life gets easier, everything.

Speaker 2 (00:22):

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 R e I 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 (00:50):

This is by far, I believe my favorite episode of the podcast. I have Annie Yatch on today, and you will learn real things that will help you in your personal life, in your business life, but then also just the psychological effect honestly of Profit First and just some of the things to work through as a business owner and becoming a better leader. I’m super excited for you to listen to this. I’m inviting her back to be on again in just a few weeks. I want you to get as much as you can from Annie because she’s incredible. Listen to this episode. It is going to help you immensely. Thank you for listening. Hey everyone, it’s David Richter here. I’m here with Annie Yatch. I’m super excited about this. We have gone back and forth, I tell you so many times of trying to get that time nailed down. I’ve rescheduled. It’s been nuts. So I’m glad to have her here because I believe she’s going to talk about some of these that’s really going to help you today and on a deep level. So Annie, thank you so much for being a guest on the show.

Speaker 1 (01:45):

Oh, you’re so welcome. I’m glad we got this to happen. This is going to be a lot of fun,

Speaker 3 (01:49):

Right? I mean, you’re a wealth of knowledge leadership, team performance, and one of the things we’re going to talk about, trauma freedom, even saying those words together, it’s like, okay, what does that mean? But it’s also of like, okay, right. But it’s also exciting to me. I think so many people when it comes to their money have trauma around it and it’s emotional and it’s very personal. So we’ll definitely dive into that. But why don’t you give people just a quick background of who you’re, so they could get up to speed and then we could just dive right into it.

Speaker 1 (02:18):

Sure. Well, I mean, I’ve been an entrepreneur now, as crazy as it sounds for about 15 years. But I originally started working in the Defense Intelligence Agency after going to school for counter-terrorism and international security. So quite a far place from where I started off. But what I love about what I do now is about, I would say probably seven years ago, I started to identify that every single entrepreneur that I was running up against, they had all these really incredible teams and they’re trying to build their teams and they’re trying to build more money, more revenue. But what was stopping all of them was the fact that there was something unresolved that was traumatic in their childhoods between age five, typically in age 15. And what crazy about it was you could give a team all these great success principles. You could train them in sales, you could make sure that the team is performing high, but then if the c e O or the entrepreneur jumps back in to disrupt the process, which they always do, if they have unresolved trauma, they will never hit those levels of revenue or success or fulfillment that they’re looking for.


So I got very passionate as an entrepreneur. I’ve seen myself and my partner do this in the past. I was like, how do we make it so these entrepreneurs that are contributing so much to the world don’t end up thwarting their own progress or their team’s progress because of some unresolved and unknown traumatic experience that’s causing more harm than good in their subconscious thought?

Speaker 3 (03:38):

Okay, first thing that comes to mind is this psychology, like a psychiatrist or psychiatry or where does this fall under? I mean, you start talking about kids and when we were back then, and I’m sure that’s the immediate thing that most people think is like, okay, is this that?

Speaker 1 (03:56):

Yeah. Well, most people think, oh, it must be something really intense. Maybe there was a sexual assault or there was a death in the family, or maybe there was something else really intense that occurred. But really trauma has to do with any time in your life that there is a perceived lack of control. So I want to say that one more time. It’s just when there’s a perceived lack of control, it doesn’t mean that something horrifically awful happened, it’s just that you as a child perceived that you didn’t have control in a given experience and you ended up making up a story that you believed was true. And then you play that story out for the next 20, 30 years of your life, whether it’s true or it isn’t. And most times the story we make up as a five-year-old, seven-year-old is not based on reality. It’s just the best that we can do with the information we have. So when a lot of entrepreneurs come to me and they’re like, well, I don’t think I have any trauma. I had a really good childhood, I grew up really well. I always go back to those moments of perceived loss of control because that is the end to figuring out what their subconscious is doing that they’re not aware of.

Speaker 3 (04:54):

Wow. So then that lack of control, that trauma. So this is something, would you say that a hundred percent of people go through at least one point in their lifetime?

Speaker 1 (05:03):

Yes. I mean, you wouldn’t be a human being on earth if you hadn’t gone through some level of little, medium or big trauma in your lifetime. That defines our character, it defines our calling. Even if you choose to go deeper into your trauma learning,

Speaker 3 (05:14):

That makes sense because it can, your trauma for a lot of people have sprained a lot of good things to be able to say, we want to help. Now, this is not, you become Batman and you put on a bat suit and you go out there and fight crime because you want to go and write all the injustices. But I do like this. This is so great. I feel like so many people stop themselves from becoming who the person they were born to be. And it’s a lot of this and it’s like hitting the nail on the head. It’s almost the stuff that we already know subconsciously, but you’re speaking the words. I don’t know if you’ve ever heard that from the people you’re working with.

Speaker 1 (05:50):

I’ve heard it a couple of times, but I think that we’re all, as entrepreneurs, we’re all seeking our calling, right? Because want to create impact in this world. And what I’ve realized from working with probably, gosh, at this point, probably tens of thousands of people to resolve these issues, these traumas that show up, I’ve learned that if you figure out what your trauma is, you figure out what your calling is as well. And so for a lot of people in the real estate space, real estate is the tool to create the life that they want. But there’s a deeper and greater calling for almost everybody in this space. And what’s interesting is so many people in the real estate space have similar trauma patterns, and if they can resolve those, then they end up edging out all the competition. Which is why I think I’ve loved working the real estate space because everybody has, I people make decisions quickly. They take action quickly as long as they know what it is. And that’s really the key. How do we figure out what your subconscious has been hiding from you for the last 20, 30 years of your life so that it doesn’t limit you getting to that penthouse of everything you want?

Speaker 3 (06:51):

That is so interesting. So then since you have me here and for the entrepreneur that’s listening, I’m wondering if we could just do a little mini exercise. I think with what I’m doing today, I can a hundred percent resonate with that. It was the lack of control of money at some point in my life to be able to say, okay, we have to get control of it and know where it’s going and being able to predict a lot better. But I think mine was based probably insecurity, the fear of that loss of, okay, I can’t provide or something like that. And so that’s where it’s like, I want to help people with this, and I do. I feel like this is the calling that I’ve been put on this earth to do, but I can definitely, there’s lot. I would say for me personally, it was lots of trauma even though I had good parents, and it’s not like we were hurting for money.


There was just a lot of middle class mindset and going from that to being business owner where it was like blue collar, you just work a good job and kind of stretching the brain and be like, what the heck is this? I’ve never heard of anything like this before and I can take control where versus maybe I felt a lot of out of control back then. And then you get married and then you’re depending on another person and where’s their trauma coming into play and how are they just the whole money thing? I even write about that in the book. So yeah, I’m sure we could park there for a while too. And I won’t take, this is interviewing you, but I want to make sure that this is valuable to people.

Speaker 1 (08:18):

Well, I think everything you just said is dead on accurate because for any of us who have had money issues as children or who have lived with a single parent or who have felt like there wasn’t ever enough or that they couldn’t control their own money, they’re always going to have some money story that they create in their mind and it’s going to take them some time, energy, and effort to work their way out of it. Now, not everybody like you stepped into your calling so quickly sometimes it’s very confusing and people take a long time to figure it out. But for you, I think you really stepped into that pretty beautifully pretty quickly in your career, at least from what I know of you in comparison to many others out there. But I think when you add on, okay, I’ve got a business that I’m running, I’ve got a relationship that I’m in, I’ve got a family that I’m building, all of that compiles and it forces us sometimes into more of our subconscious thought because our subconscious thought runs 97% of our brain.


So this means that all the stuff that’s in that subconscious, it’s usually about 11 million data points a second. All of that is based on trauma that happened when we were a kid. So that’s the thing that’s so interesting. You might be taking action based on something that happened to you when you were five or six and you might not even be aware that you’re doing it. So this is where your relationships, and I’m glad you brought that up. In relationships, most times we attract a partner that has either a trauma that is similar to ours because we want to heal that trauma together, or we attract a partner with a trauma that’s the exact opposite of ours because we think that we’re going to heal through that. And a lot of that comes from what we experienced with our parents. So I’m just going to give you a real life example here.


When I was a little kid, my mom, she was a great mom. My dad was a great dad, but my mom lost her mom when she was 15. And so she grew up, and it wasn’t that she was neglectful, she had three kids and a dog under the age of five. There’s just a lot to do. But I ended up taking care of my sisters a lot and with my dad, my dad, he was a little bit less, I would say, comfortable with the feminine energy because there’s feminine energy, there’s masculine energy. And so I grew up believing that I would be somewhat neglected because we had so much going on in the family all the time that I probably didn’t get all the attention that I wanted. And I also believe that the feminine side of me was too much. And so I chose someone to be in relationship with who had the same exact dynamic. He was afraid of the feminine, and he was a little bit neglectful. And so you end up seeing how things from your parents that you’re not even aware you’re agreeing with or colluding with or taking from them, become part of your personality, part of that trauma story. And they limit you in your relationships and even in your business life. So everything is linked, even though most people are like, well, how is this linked back to business? How do you find these patterns? But I can see them because I’ve been doing this for so long.

Speaker 3 (11:07):

Oh yeah. Well, here’s a real life story for you. Whenever we get into, I feel like this business was created honestly the most to help me. I created this fractional C F O business. I needed other good people in my life to tell me am I thinking right or wrong when it comes to money and what the heck is going on here? And I have found myself making a lot of decisions out of fear in the past about money of okay. And whenever I do, I know it’s the wrong decision, and then it always comes back to bite me. So I love what you said there that the entrepreneurs stop by their trauma from getting to where they want to be or need to be. And I’ve seen that a lot in my own personal journey, and that’s where I’m like, yeah, this is created for me because I had a lot of money stuff just in my life and in my head, and it would conflict with my wife of because I thought I was better because I was the saver and she’s the spender.


If you had boiled it down to that and I had to work through that, that was a long process. I write about that in the book too, of I open up and be like, here we go. This is what I was thinking. And it’s like all this stuff was, it was not a true story. I love what you said there. The stories I was telling myself weren’t true. It’s like, ah, shoot. I’ve literally had this lens on this whole time and I just needed to take ’em off and they were scratched up. It just wasn’t the right thing that I should have been. It wasn’t the

Speaker 1 (12:27):

Right filter, right? It wasn’t the right filter, right? Yes. And it was like, oh my

Speaker 3 (12:31):


Speaker 1 (12:33):

You can save so many marriages and relationships just from what you wrote in the book about how you thought being a saver was great, and you thought maybe being a spender was bad, but it’s really not about good or bad. It’s about what are the stories that we have that tell us that being a spender is bad, being a saver is good. How do we unravel those that it’s not good or bad, we just have to change the communication around it and what we believe about ourselves. So it can never be condescending. It’s just like, well, we’ve had this story that we’ve been telling ourselves that I’m a great saver and she’s a port or she’s a bad spender, so do we want to change that story so we can have more harmony or do we want to stay in the old story or the old lie? That’s a big question. I always bring that up because I’m like, what do we want to be true? We have to ask yourself that question. What do we want to be true? And then we have to live into that answer, not into the lie that might be thorning us.

Speaker 3 (13:22):

I’m writing that down because I love stuff like this. What do I want to be true?

Speaker 1 (13:28):

What do I want to be true? That is literally the most important thing that anyone could get from this podcast. If they listen and they ask themselves that question because you’re going to get stuck. You’re going to get stuck, and you’re going to be like, well, this is what I’m thinking is going on, and what you’re thinking is going on. It’s a lie if you’re suffering. So most people will say to me, well, how do I know if I’m in a lie or if I’m in my truth, how do I know if I’m moving down the right path? And I’m like, well, if you’re suffering, then you’re living in one aspect of a lie. If you’re living in your truth, what is true for you? Then life feels easy. It feels liked. And so that’s where you really have to be clear on the language you’re using, the thoughts that you have to figure out if I’m in suffering or if I’m in the light.

Speaker 3 (14:08):

Yeah, no, that’s so good because I’ve seen that around, we started using that a little bit ago just because we saw someone else post. I’m like, I really like that. Where they would as a husband wife, sometimes say, preface, this is the story I’m telling myself. And it’s like, ah, that’s such a great framework to be able to say something like you’re telling the other person, this is not necessarily true, but this is what I’m telling myself. Can you correct? And you’re almost open to correction from the very first sentence. And I’m like, oh,

Speaker 1 (14:38):

You’re oh man, as

Speaker 3 (14:38):

Defensive, right? You’re not as defensive and

Speaker 1 (14:41):

You’re asking them to tell you whether it’s true or not so that you can learn and discover from them what they think is true. So it’s all a discovery process. It’s all about being curious with each other to figure out what are these stories that we’re telling ourselves? And then the other person gets to confirm or deny, and that gets you closer. It gets you more connected because suddenly now you have more intelligence on the other person and you have more ability to feel what they’re feeling,

Speaker 3 (15:05):

Right? I feel like a great book, crucial Conversations help me to do that because it likes master Your stories just gave a great framework for asking some of these questions. So I highly recommend that book. Do you recommend that book to people?

Speaker 1 (15:19):

Yep. I think that’s a great book. There are so many good books out there. I tell you, for any person that’s wondering what lies might I be telling myself? What do I think is true? What do I think is not, it’s really helpful. If you can read the book Letting Go, that’s a great one. I think it’s by Ian Hawkins. And then for men who are just questioning themselves in general, I think another fantastic book is way of the Superior Man. So most of the men that I coach in entrepreneurship, they all come to me because they’ve made a lot of money in their businesses, but their relationship might not be what it needs to be. It might be not great on communication. They might not be getting enough sex, they might not be feeling enough intimacy. They might not have that connection level that they want. And the very first book is I’m like, okay, where are the superior man? And I want you to identify what are these things are you not able to do naturally? And let’s talk about why, because those always link back to the lie that they’ve been telling themselves about how they get to show up in this world.

Speaker 3 (16:14):

Man, I love this. This is so good because I’ve only said this a couple times about guests and like, well, this might be the second time where we’re talking about the real stuff. This is the stuff where this is almost like the roots of the tree. You got to take care of the roots, and some of you have broken roots or just tangled up roots, or you have no idea and the tree’s not able to grow, and it’s like this is where she’s helping you do that. I have a question, just personal for me, and it’s my podcast, so here we go. Where did you learn all this? Was this through the past, all the different stuff that you’ve done before? How did you get to where you are today with this knowledge?

Speaker 1 (16:54):

Well, it was actually a very unique process. I think that’s why it’s part of my calling. I went to school for International Law and Counter-Terrorism, right? Yeah. So I went to school and I studied and mentored with people to observe other people’s behavior. And what I didn’t realize was I was obsessed with behavior change. I wanted to figure out how do you change someone’s behavior? Because the biggest problem I saw in business is that almost every problem in business goes back to a behavior that needs to start, stop, or be modified. And if you look through the lens of business as that, then you need to become literally the best behavior change consultant you can because if you can change the behavior of people on your team, then you can grow. So I started getting really into behavior change in neuroscience and things like that.


But to be honest with you, my ex-husband who is a Navy seal, he had a lot of issues with P T S D and other things like that. And so for 15 years I championed taking him from therapist to counselor to healer, anybody I could find to try to help him to get back to who he was. Because when you’re in the SEAL training, it really disassociates you. And so that was my mission for 15 years. So I went and saw every counselor, every therapist, every psychologist, every shrink, everything you can imagine with him and helped him through this process until he could be healed and be a little bit more whole. So when you go in that process, you identify, here’s some things that really work well, here are things that don’t work at all, and you try to almost fit it like a puzzle piece into what things work together well to get people out of their own, excuse my language, but out of their own way, right, out of their own way as quickly as possible.


And I found that therapy and things like that, it takes a long time. And we as entrepreneurs, we don’t have a long time. We have to be as short as sweet as possible to get to the root of the cause so we can change the behavior and make life better. So because I was so obsessed with behavior change and then I was so obsessed with saving my former partner’s life as best I could so that we could have a beautiful family together, that was what led the charge, and that’s what allowed me to take all these different puzzle pieces and put them together into a methodology that gives you basically an hour of therapy or it gives you 30 years of therapy in one hour. So I just like this to be super effective and efficient.

Speaker 3 (19:04):

Yeah, no kidding. That’s quite an effort. Nobody

Speaker 1 (19:07):

Needs to go through 15 years, right?

Speaker 3 (19:10):

Someone No, I’ve heard multiple people that are my friends that have gone through that and have just come out on the other side saying, this is the most life-changing thing I’ve ever been through. So you have testimonial after testimonials. So I want you to say that statement again though, because it was so good. You said, every problem in business is a behavior problem, and here’s the three things. Start, stop, or say that one more time. I just thought that was so powerful.

Speaker 1 (19:37):

Yes. Every problem that you experience in business is a behavior problem. So it’s either a behavior you have to start, a behavior you have to stop or a behavior you have to modify, modify. So this goes back to those six pillars of leadership that my former partner and I wrote a whole book on, and this is something that I think if you think about business with regards to behavior and behavior change, it makes the management of people that much easier because I think all of us, you always hear people say, God, I don’t want to manage a big team. I don’t want to manage all these people because they think it’s almost like a necessary evil to manage the people. But if you can be super curious about these behaviors and you just watch the behaviors, especially in your culture, because a culture is just the observable behaviors of your team. So if you can watch that and learn how to be the best behavior change consultant you can literally, there’s no limit to the growth that you’re able to experience.

Speaker 3 (20:33):

So okay, there’s just gold left. And so culture is the observable behavior of the team, which is so good because everyone and their mother talks about culture, but that’s boiling it down to the this is what the actual culture is, it’s the behavior of the team and how they’re actually behaving and are they doing the things that embody what you say you want to be and what you think your truth is and what you think the truth. Yeah. Okay. This is so good, Annie. I’m so glad you’re here. This is som so glad

Speaker 1 (21:02):

I’m here too.

Speaker 3 (21:03):

This is so fun, man. Thank you for inviting. Were you saying something you

Speaker 1 (21:07):

Said? Oh, I was just going to say there’s another thing that I think you’re going to find as pure gold too. So one of the things I’ve noticed, because I’ve worked with companies, gosh, from about a million upwards of 1.2 billion over the last 15 years, and what I’ve seen is that there are usually three big gaps in every single company, no matter the size. So before

Speaker 3 (21:25):

You get into the gap, yes. Yeah, I want you to go through that, but you said you guys wrote a book, give that book because if someone’s like, oh, she’s mentioned that they have a book, what’s their book?

Speaker 1 (21:34):

So it’s called How Leadership Actually Works, and it’s by my former business partner Larry Yatch, and he and I wrote it together over the past, gosh, from Learnings over the past 15 years. So it goes into the six pillars of leadership and how you can take your team from a lower functioning team to a higher functioning team just by focusing on these six pillars.

Speaker 3 (21:55):

And it’s a great book. I’ve read it, it’s amazing. Pick it up. Is it on Amazon? So

Speaker 1 (22:00):

People, it’s on Amazon and there’s actually a workbook attached to it, and the workbook is phenomenal. So if you get that, it just makes everything so much easier. The book is very dense, it’s got a lot of practical exercises in that workbook.

Speaker 3 (22:10):

If you’re going to lead anyone, I mean if you’re going to lead at home, I don’t care where you are, you lead someone, pick up that book, it will serve you. If this episode has helped you, please for the love of God, get into their mind. That’s what a book is, she said 30 years in one hour. That’s the super efficient course. If you want the one that’s a little less intense, pick up the book. That’s a little bit less intense with that. So that’s where it’s like, get the book, get Inside her mind. But Annie, keep going. I stopped you, but I wanted to at least make sure that you mentioned the book that you’ve got that out there too. You’re

Speaker 1 (22:42):

So wonderful. Well, I just want everyone to know because we’re all entrepreneurs and we’re always like, well, what are these big gaps and how do we fill? So what we identified was that there are really three big gaps in all companies. The first gap is a delegation gap. So almost everyone on every team, there isn’t a system or a process for how to delegate. And we found that if you teach people a system or process on how to delegate, and we took ours from the SEAL teams and we revolutionized it, basically backwards engineered it. If you have a process for that, then everybody holds themselves to a higher level when they hand off projects or when they accept projects. So that’s a big gap that gets to be filled. The second gap is this gap around feedback. All been trying to give or receive feedback, and it always makes us feel defensive.


I know that. And normally when you’re giving someone feedback, they’ve done something wrong and you’re trying to change their behavior. Again, if you do that in a way that’s connecting, they change their behavior and they want to be a part of everything you’re doing moving forward. If you give feedback in a way that’s disconnecting or makes someone defensive, you lost productivity in them for the next three to five days because they’re stuck in their brains around what it was you said. So feedback, that’s the second biggest gap. And then the third gap is around planning. So most organizations do not plan effectively. They plan for the perfect plan, and when that doesn’t work, they waste a lot of time trying to figure out, well, what should we have planned for? Or what are these contingencies plans that we hadn’t thought of before? So there’s a whole process to planning that we distilled from the SEAL teams like, well, if it works for the SEAL teams and they’re the highest functioning in the world, how do we bring this to more companies to save them time, energy, and effort? So that’s where that comes from. But those are the three ones I thought everyone should know.

Speaker 3 (24:21):

Oh man, yeah, you’re right. That was more gold. So that’s huge, the delegation gap, the feedback gap and the planning gap, the three big gaps that most companies go through, and I can definitely see that, and I feel like that’s where most entrepreneurs, especially that first one, it’s just letting go. At some point you have to let go, and then I like how you put it into overdrive a system for letting go. It’s not just about letting go, it’s about making it a real company and then systematizing it. Oh man, this is great. This is really great stuff.

Speaker 1 (24:55):

That’s also why we have Profit First, right? Because I can tell you from my own experience, everything changed for me in business when I started using Profit First. So anyone who is listening, obviously you love David because he’s written this incredible book and because he has so much wealth of knowledge, but if you get this aspect of your finances figured out, everything in life gets easier, everything. So I just wanted to say that too because it has changed my life to have Profit First in every business that I bought. Well

Speaker 3 (25:21):

Then let’s talk about that. Let’s park there a little bit. So tell me about your life pre-Pro First and post Profit first. How did it feel around money or what was going on

Speaker 1 (25:32):

Before? Well, I mean, I don’t want to say anything negative about anyone, but I think when you’re in a relationship, sometimes one person feels like they’re really good at something and they might tell you that you’re not great at it. So I heard for a long time that I just was not good with money, and it was one of those things where I was like, well, I don’t know. It doesn’t seem like it’s that hard, but maybe I’m not. And so I had this block in my mind that maybe I wasn’t good at it. So the first thing I did when I went through my divorce and I had to rebuild from scratch with business was I went to one of my good friends and she literally gave me your book and she’s like, you’re going to read this book and then we’re going to get it instituted in your company.


And I said, all right, just show me what to do. And I loved it. It’s a simple process. It’s so clear. It makes you feel really good as you’re doing the allocations, as long as you have someone that helps you figure out what are the percentages that you need to set aside for the different aspects of your business, it’s incredibly straightforward. It makes you feel incredibly powerful. So I went from feeling and thinking like, wow, maybe I am really bad with money to being like, Nope, I can save money as long as I’m making money, I can save it. And it’s really more about what you’re able to keep at the end of the day in business, and that’s what Profit First gave me. It gave me a lot of confidence in knowing what I could keep.

Speaker 3 (26:43):

Ooh, I like that. So that’s really good. So thank you for sharing your personal journey with Profit First. I love that. How would you say, since we’ve been talking about Trauma Freedom, all this stuff that we’ve been talking about today, how does Profit First help people overcome some of that with the money? Is it the system or is it like, because for you, it sounds like you felt like you weren’t good at it, then you actually said, Hey, it’s a system and I feel good and empowered. Would you say there’s other things like that, people that go through people’s head when it comes to the money and how Profit First could potentially solve that?

Speaker 1 (27:17):

Well, I think a lot of people, as long as they feel like they’re making money, they tend not to think that the structures that they put in place to keep the money are as important initially. Because when you’re in that survival mode, you’re like, just have to make more money, have to make more money, have to make more money, because you’re thinking about how do I make sure I make payroll? How do I make sure I cover expenses? But I think there’s a part of the brain, and this goes back to polyvagal theory, which is very involved stuff, so I’m not going to go super deep into it, but there’s a part of the brain that when the brain knows there’s a system or a process, it calms itself, and this goes back to the very core of everything, which is the nervous system. So in order for us as entrepreneurs to pull ourselves out of the chaos that we put ourselves in, because being an entrepreneur is somewhat chaotic, right?


There are thousands of variables that we don’t control at any one time, which means we’re putting ourselves into a traumatic environment where we are in moments of lack of control all the time. So when we put ourselves into that environment, our nervous systems can get very out of whack, and if our nervous system is out of whack, then we’re not able to make the best decisions. So I think that Profit First gives the brain almost like a polyvagal response where it allows the brain to calm itself because there’s a system and a process that’s consistent that you’re consistently practicing. When you have that, you’re able to make decisions through a filter that is calm and you’re not chasing the shiny objects. You’re like, wait, this is the amount of money I have. I know this to be a fact. This is the money I’ve saved.


This is the money I have for operating expenses. Everything just seems more simplified, and when things are more simplified, your system can be more calm and your decision-making is then not in fight or flight. So I think that what you do for all the clients that you work with and with the system of Profit First is you help calm an aspect of their nervous system that would, if they didn’t have this, would run rampant on their old stories and their old lies, and it would force them to make decisions from a place of fight or flight or fear instead of from a place of calm, consistent performance.

Speaker 3 (29:22):

Man, I am literally going to download this episode and listen to it again. This is incredible. I feel like, again, I’m saying it the exact same thing I said at the beginning. You’re saying things that it’s like, I feel it in the marketplace and with people that are doing this and the clients that we serve or the people that just come up to me and said, read your book, heard a podcast episode, whatever, and it’s like, I feel better. It’s like, there you go. There’s the scientific, the facts around it. It’s like it’s literally giving you that. I love what you said there. When there is a process, the brain calms itself, and so it’s like most people live in chaos when it comes to their finances because there wasn’t a process. You read Rich Dad, poor Dad, they all say Pay yourself first. I feel like Profit First actually said, here’s a system to do it. Correct. So it’s like, oh man.

Speaker 1 (30:06):

This is not only that. I feel like not only does it calm your nervous system, but it allows you to communicate effectively about your finances, which is the other missing piece. Most people, if they have a financial trauma or story around money, it all goes back to the fact that they weren’t communicated with about money in a way that served them and allowed them to feel confident. So I think Profit First not only gives you the system to calm your nervous system, but it gives you the communication ability and the way to speak about money so that anyone you talk to can understand it. It’s like it’s simplified.

Speaker 3 (30:41):

Oh my gosh, I need more Annie Yatch in my life. This is so good. My goodness, this is great. I’m

Speaker 1 (30:46):

So glad we had this time,

Speaker 3 (30:47):

Right? Yeah, that we finally got together on here, and I believe if you’re listening to You Need More, Annie, this is so good. So at least go pick up the book, get inside of her mind there, know how leadership actually works, but then also from there like, okay, Annie, you’ve dropped so much information, golden Nuggets here. Where can people find you to give value back to you and to become part of your world?

Speaker 1 (31:12):

Sure. Well, there are a couple of different places, David, because I’m always working on cool stuff. So the first place is on Instagram. I’m known under Northstar dot Annie. That’s my handle, and I put out a lot of great content there on everything from team performance, personal work you can do on yourself so you can be more calm, business performance, business leadership, and also that trauma freedom stuff we talked about. And then two different companies. I’ve got one called R e i Sales tools where we do sales training for your team, and we bring in all that leadership and sales training. And then we’ve also got Women Empires, which is about to launch, and that’s for all women who are entrepreneurs who want to uplevel their game financially with their sales and also with how they bring their calling into the world.

Speaker 3 (31:51):

Awesome. Well, there you go. Can you give those sites again, just so people know for I just want it one more time.

Speaker 1 (31:57):

Yes, yes. It’s North Star dot Annie for Instagram. It is r e i sales tools.com for that. Sales and leadership training for your team, and then it’s women empires.com that’s going to be launching in October, and it’s for all women who are entrepreneurs or wouldn’t want to be entrepreneurs who want to do it quicker and faster with a great vetted team.

Speaker 3 (32:20):

Awesome. Well, I can’t recommend Annie enough. She has truly helped so many of my personal friends, and then this was so helpful today, and then it was awesome going through your Profit First Journey and then also hearing about why a lot of people come up and say, Hey, profit First has really helped, not just with the money, but calming me down and not living in chaos as much. So that was awesome. The three gaps, again, delegation gap, the feedback gap, the planning gap, that was priceless there. Going through that and which one do you need to work on right now? I loved what you said. Every problem is a behavior problem in business. It’s a start, stop or modify. So that’s another one. The books that she recommended, she recommended, well, I say Get Hers. That’s number one. Then she recommended the two here, letting go, and then way of the Superior Man pick those books up too.


Then this has been incredible. I love what you said about culture, observable behavior of the team. It’s just been nuggets left and right. So go to her site, go on Instagram, follow her. This is such good stuff. This is what will really help you. I am going to say this. This is going to make no one mad. No one else is going to listen to it, who’s already been on the podcast, but this is my favorite episode so far of the podcast. This is awesome because we’re talking about the real stuff. The stuff that if you take from this podcast can help you as a human being unlock the potential that you really have. And I’m still working through that stuff and it’s like it’s a journey, and that’s where it’s like, but you got to get some clarity around it so you can start that journey and it’s like Annie can do that for you, get around her. This has been awesome, Annie. Thank you so much for being on today. This has been incredible.

Speaker 1 (33:58):

Thank you so much. And David, thank you for everything you’re doing for all the people out there. I was definitely an early adopter of Prop First, and I’ve been cheerleading you on in this entire journey. I think the work you’re doing with your clients is absolutely incredible. So thank you for that. And thank you for changing the game when it comes to how we think about our finances.

Speaker 3 (34:14):

I appreciate that immensely. And if you’re listening to this and you’re like, holy crud, yeah, I need that help with the Profit First system, or just getting that calmness or whatever it is, or you don’t have any clarity around the finances, go to simple cfo.com. We can at least get on a call together. Or if you want the book, all the links are there, just get some financial peace in your life. So that’s simple. cfo.com, remember to make profit a Habit in your business. Annie, once again, thank you for being a terrific guest on the show.

Speaker 1 (34:41):

Thank you, David. Have a great one.

Speaker 2 (34:44):

This episode of the Profit First for R e I 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 R e I podcast with David Richter.


Title: “Realize Your REI Potential with Jennifer Steward: Authenticity, Profitability, and Consistency”

Episode: 240

In this episode of Profit First for REI podcast, we are sitting down with Jennifer Steward of REI Data Source, to unveil the secret weapon you’ve been missing: authenticity. 

Jen will crack the code on how to project a winning image that seals the deal…But wait, there’s more! Learn the top revenue activities every entrepreneur should master and discover the power of consistent strategies to solve your REI problems.

This episode is your blueprint to a thriving virtual business. Don’t miss out!

Key Takeaways:

[0:50] Introducing Jennifer Steward

[6:07] Project an image of success from

time to time

[9:16] Some best revenue activities that every entrepreneur should know

[11:00] Leveraging every avenue that you can, get consistency, and make sure you’re solving current problems

[17:43] The golden ratio in social media marketing is: 90% business and 10% personal

[25:02] The benefits of running a virtual business


[4:20] “Authenticity is like a business repellant.”

[10:09]  “In a market where you can’t dind deals but there’s plenty of money, you have to be the person who knows how to find the deals.” 

Connect with Jennifer:

REI Data Source Website: https://www.reidatasource.net 

Jen’s Email: jen@reidatasource.net 

Phone Number: (469) 952-8011

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


Speaker 1 (00:00):

You need to just be able to solve the seller’s problem and just start with one exit strategy that you’re really confident in. And then once you master that, expand from there. And like you and I talked about, it’s who not how you don’t have time. Most likely to master all of those. So have a referral partner that you can build a relationship with and trust.

Speaker 2 (00:23):

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 (00:50):

Today we have Jennifer Stewart on which she is a go-getter. She’s out there, she’s doing lots of things. She’s in the cold calling space. She’s also a real estate investor. But then she’s also someone who I think has gone through a lot in her life and has come out on the other side stronger. And you can tell just from what she talks about and what she sees as the most successful real estate investors, what they do on a daily basis, on a monthly basis, it’s just good bottom line stuff to help you if you want to become someone who’s consistent in business, no matter what the market is doing. So I think this is going to be a really good episode. She gets into the nitty gritty and also just helping you get to where you want to be and making more money as a entrepreneur. Jennifer, welcome to the Profit First REI podcast. I’m so excited you’re here today.

Speaker 1 (01:37):

David, thank you so much for having me. I’ve been looking forward to this all weekend. What a great way to spend a Tuesday at noon and thank you. Thank you so much for having me today.

Speaker 3 (01:47):

Yeah, well I’m excited because we dance around in these different groups and we’re going to these events and you’re speaking a lot, you’re helping a lot of people out there, and I see you as someone who’s just very much, I hope this comes across, but just a very mature human being that has gone through a lot, but you haven’t just been a victim. You’ve been someone who said, I’m going to grow from what I’ve gone through, and that’s what I’ve just observed. And then honestly, there’s lots of my friends that respect you a lot too. I’ve gotten to know you well, so I’m excited about this one. So many things that I feel like we could go down, lots of roads here. So again, thank you for being on the show.

Speaker 1 (02:25):

I appreciate that. That’s very generous and kind observation. I think mature is a very polite word and I am just kind of overwhelmed with that kind assessment.

Speaker 3 (02:37):

Yeah, well, I don’t want to use any rude words for you here today, so we’re going to dive into it. No, but seriously I do. I see as someone who takes a lot of those lessons and applies them right away. I would also say too that you are not scared about sharing what you’ve learned and what you’ve gone through. Where do you get that deep sense of truth to share exactly what’s going on? And I don’t know if you’re a fan of the office or if you’ve ever seen that show. I like the Office, if you like the office. Where is it? I think it’s Kelly’s, Dayton, Daryl, and she says, he said, who says exactly what they’re thinking? What kind of game is that? And I’m like, that is Jennifer to a t. And I’m just wondering how did you get that as part of you? Because I think it’s so genuine, authentic, and it brings more people to you and they resonate. You’re saying what they’re scared to say.

Speaker 1 (03:30):

My business advisors have told me to do the opposite. They said

Speaker 3 (03:36):

Genuine, sorry. That’s great. Basically the

Speaker 1 (03:38):

More money you’re going to make, you have to play the game. And so what I’ll do, David being totally transparent, is I’ll turn that on and off depending on my revenue. So I know that sounds hilarious probably, but if my revenue gets lower, I will turn off the authenticity to a certain extent and go back into my polite game, the system mode. But whenever income is plentiful, I’ll go back to being more my authentic sharing self because number one, sometimes I get more business than I can possibly ever take down, and that’s overwhelming. And so I find that authenticity is like a business repellent, but it’s so much, it’s so stressful for me to be fake. It’s so stressful for me to be something I’m not. And that’s me being a little bit funny, but also kind of realistic as a business woman. And then there’s me as a person who has a soul and that person wants to connect. That person realizes that I’m not just here to make money, I am here to help people who are suffering. And I know that sounds cheesy and cliche, but it’s true. And lemme tell you, I don’t want to be one of those people who are suffering. So I will switch into a mode that is more polished, if that makes sense.

Speaker 3 (05:09):

That makes sense.

Speaker 1 (05:10):

Because I don’t want to starve. And so I do kind of go back and forth between, okay, I need to dial it back. And I think that people notice that if I was just all the time talking about what a person can overcome or the deep parts of our why and our feelings, then I think that would really drive away a lot of business. I’ve seen people who got up on stage and talked about aligning the chakras and they were never invited back. So you have to find a balance between being a compelling human who helps people overcome these internal struggles that we likely all face, especially as entrepreneurs, depression, anxiety, slow times debt overhead, really painful things that will keep up at night and destroy your health and destroy your relationships. And then we also need to focus on, unfortunately we have to project an image of success from time to time because I’ll tell you, I always get the most business whenever I’m on vacation, I can actively ask people to leave me alone while I’m on vacation.


And that’s whenever I get all the messages for, Hey, I want to do business with you. Because they see the success, they see that it works. When really that’s I’m spending the money, that’s whenever I’m the least successful because I’m not putting time into my business and the dollars are just flying out the window like someone who has an open wound. And so it’s funny because it’s whenever you’re doing the best that it doesn’t show, and whenever I’m making the most money, it’s usually whenever I look the worst, I haven’t had time to groom myself. I’m probably still wearing pajamas that day. And so it’s almost always the opposite as to who has money and who doesn’t. So the person you see with the super nice house and the super nice car, those people have confided in me, Hey, I have so much pressure, I feel like I’m going to lose it.


But those are the people that look up to and respect. And so that being said, David, if I was financially independent, 100% I would be genuine and deep and all the time, if that makes sense. It would be like, Hey, when you woke up today, did you thank God for just waking up? And what are some ways that you can lower your overhead? What are some ways you can increase revenue? Are you wasting time on non-revenue generating activities? Are you doing too much stuff for free? Those of us who are in real estate, I think we do too many things for free. And like you and I talked about, it’s not just your expenditures that are on your books, it’s also the expenditures that are on your time. And so I talked to my attorney last week about dropping non-revenue generating businesses that just aren’t converting because there’s hope in one hand and there’s numbers in the other.


And after a certain amount of time, you need to realize which businesses are covering for the businesses that are taking a loss. And so my lawyer kind of sat me down and I know you do this, and we had to look at which businesses are just not generating and which are carrying the ones that aren’t. And he said, just focus on the ones that are. And so that being said, whenever we wake up every day, if we are our real selves all day, it usually doesn’t translate into revenue. But when I have the luxury of being myself, David, I always want to reduce the suffering of others because that’s kind of all I’ve done my whole life is I’ve had to overcome and overcome and overcome and overcome to a degree that just feels, it could feel really unlucky if I let myself go there. But instead of feeling unlucky, I have to see the opposite side of it. So for all the extremely low probability things that happened to me, there’s also extreme low probability things that happened for me. And you have to see both.

Speaker 3 (09:11):

Right. That’s really good. That is really good. So since we’ve gone down this road, and especially for the real estate investors listening, what would you say are some of the best revenue producing activities they could be doing or that you see in your own life that you do that translates into that

Speaker 1 (09:29):

You have to fill a niche that nobody else is filling? You have to see a problem that everyone is facing a hitch in the giddy up that’s keeping everyone from making money. What I’m noticing right now, for example, people don’t have the money for down payments on their loans. So like we mentioned before the call, I’m offering a program where you can do a hundred percent financing as long as you’re one of my cold calling clients. And it blew up because people don’t have the money for a down payment right now, and my cold callers really aren’t that expensive. And so it solves that problem for them. And in the past, the biggest problem was finding deals. And in a market where you can’t find deals, but there’s plenty of money, then you have to be the person who knows how to find the deals.


And so you have to find what’s keeping people from making money today in the current market and then really, really leverage your social media and go speak, like you and I talked about before, go speak on those topics, mention it on social media, put it in your stories, tell people what you do, and then be really consistent with your message because people are watching, they want to see consistency. And it’s like my lawyer taught me, who’s Jeff Watson? If they see you being erratic and all over the place and not consistent in your message, then people don’t trust that they can go to you to solve these problems. And so that’s the big key is leveraging your social media and being really consistent in your message and making sure that you’re solving the problems of today. So those three things, consistency, solving the current problems and just making sure that you’re leveraging pretty much every avenue that you can.


And of course, always want to be competent and run an ethical business because you can spend 10 years building a reputation. And if you hire one bad employee or someone who makes you look bad or doesn’t deliver for a client, unfortunately bad news spreads like wildfire and just whatever you’re buying on Amazon, you’re going to pay more attention to the bad review than the good reviews because we’re looking for to avoid pain for good reasons. I mean, some things could take us out and set us back a decade if we make the wrong investment. And so it’s really, really important in a capital intensive business what we’re in to be someone who’s trustworthy, competent with very high integrity. Like you and I talked last week and I told you, I was like, Hey, I can’t be consulting on a topic that I don’t know about. Thank you for the inquiry. But that would be horribly unethical. And you have to do that. You have to turn down the fast money for the long-term play of having high integrity.

Speaker 3 (12:18):

Yeah, no, a hundred percent. That’s really good. I think that’s consistency, solving the problem for today and then getting the message out. So those are three steps there. And I think that’s where it’s like, it’s so simple, but it’s like that number one, you got to do it consistently and you got to move to where the market is. So I think that’s really good stuff because I can’t agree more because I think, do you think that a lot of real estate investors build themselves into a box and then when that solving the problem of what they used to do doesn’t solve it anymore, that they have a hard time pivoting to something that will and bring the revenue? Yeah,

Speaker 1 (12:57):

I mean you have your fast movers, your highly networked people who are poised to move, but for anyone who doesn’t want to hustle 24 7, it’s hard to pivot like that. I mean, at some point, I think human beings, we all want consistency, predictability. And one thing that’s really tough about this business, and I’m sure everyone notices, is how fast paced it really is. Now, if we were in the paper business, for example, David, how much do you think things change? Speaking of office space or not office space, the

Speaker 3 (13:35):

Office office,

Speaker 1 (13:36):

Yeah, yeah. I mean if we’re a paper company, how often do you think the industry changes? Right.

Speaker 3 (13:42):

It doesn’t really change. I don’t know.

Speaker 1 (13:44):

I mean maybe a paper guy comes and messages us and said, oh, you wouldn’t believe.


But it seems like from the outside looking in that real estate, every day there’s some new gimmicky stuff and you’re just like, I can’t handle this. I need to step away because I can’t handle one more gimmick. I can’t handle one more big change. It’s difficult. And so I think knowing the fundamentals, because I know people who make big money just using a yellow pad for their CRMs still, and some of these people are big names, and I don’t think he’d mind me saying, Adam Johnson, Leon Johnson’s son, he does a lot of deals just using a yellow pad. Courtney Frickey, she has her paper leads that she keeps in a file and only goes through them if she needs to. So a lot of these gimmicks just really aren’t the real deal. The real deal is not necessarily what software you’re using, it’s where are we in the market, are there more deals than money or is there more money than deals?


Those are really the main two shifts that if you pay attention to those in the market, you’re good. And people was like, oh, I do this with AI and I do that with ai. I haven’t seen AI do anything really amazing except for Google search type stuff. I mean, I’ve listened to the AI calls and they’re still not that great yet. And I keep hearing people say, oh, AI is going to be doing our acquisition management soon. Well, yes, true, but when I haven’t seen it yet and still, which problem is it solving the low money problem or the low inventory problem? And right now I think it’s market to market. It’s kind of like mushrooms and in certain markets we still have an inventory problem and other markets are more of a buyer’s market and we have more of a money problem. So you have to take it market by market, city by city and see which problem are you solving. Those are really the main two problems in real estate. And what I’ve seen is everything else is a marketing gimmick. As someone who does marketing myself, we try to repackage it to get people’s attention, but it’s kind of all the same stuff.

Speaker 3 (15:59):

Yeah, no, that makes sense. So would you say then the people like Adam and the people like Courtney, are those three things that you mentioned before consistent solve the problem for today and then the media and the messaging is that their key to success and as long as they’re consistent doing, what’s really is that or is there something that makes them different just because they go out there, and I love how you said with their CRM is a yellow legal pad, it’s none of the fancy stuff and all that where a lot of people get trapped in that rabbit hole. So that’s where my I’m wondering, yeah,

Speaker 1 (16:31):

Courtney’s really consistent on Instagram and she gets a lot of referrals. And Adam’s been in his market for 20 years, so he gets a lot of referrals. So you talk about consistency, it’s decades of consistency in Adam’s case, and Courtney has been doing it I think for 10 years, and she really gets out there in terms of, she speaks in front of realtors groups, she speaks at rhe, she holds her radio show, and she’s very consistent in her branding. She doesn’t just show herself boating on the weekend or shopping or whatever. And if you look back through her Instagram, you can see that in the past she did have more of showing her personal life. And Connor Steinbrook taught me, don’t show your personal life, just make your entire page about business. But there is one caveat to that. You don’t want to look like one of those VA generated pages where there’s no real person behind it.

Speaker 3 (17:23):


Speaker 1 (17:24):

Looks like a VA just runs my page and it’s just my VA who does everything. So I do post pictures of my family and going to the gym, and if I do go on vacation, I do post that. But too much of it makes people think you’re not available for business. So I would say the golden ratio that I’ve discovered is about 90% business and 10% personal, just to add that speckle of reality that you are a real person and not a va. And I think Courtney does that very well on her Instagram for example, and she doesn’t even have to spend money on marketing. She told me she doesn’t do that anymore. She’s a hundred percent referral based now and it’s taken being consistent

Speaker 3 (18:04):

And she does a lot of creative deals or that’s all she does is the creative type deals. She

Speaker 1 (18:10):

Does kind of everything. I know her to do flips, I know her to do. She’s mostly a buy and hold investor and she will do creative when she needs to. But I think I’ve had a lot of clients come to me over the years and try to curate a marketing plan where all we do is creative for them. And that is really tough. You’re going to have a low ratio of being able to do that. Typically creative should be something that comes organically from time to time. If you make that your only goal, and this was a guy with a lot of money, by the way, the one I’m thinking of. He had so much money, yet he was super focused on just doing creative. And I understand if someone has no money and they’re just focused on doing creative, but they get it in their head that this is the way to do it and there is no the way to do it.


You have to just solve the problem of the current seller who wants to sell, whether it’s a listing, whether it’s innovation, whether it’s a flip, whether it’s a wholesale, whether it’s long-term buying hold subject to seller finance, and anything else I’m missing in there. It shouldn’t just be, oh, I’m going to pull this list and I’m just going to do ovations or I’m going to do this campaign. I’m just going to do subject two. You need to just be able to solve the seller’s problem and just start with one, this is something I’ve taught for years. Just start with one exit strategy that you’re really competent in. And then once you master that, expand from there, and like you and I talked about, it’s who not how you don’t have time most likely to master all of those. So have a referral partner that you can build a relationship with and trust for innovations for subject to maybe even for seller financing or maybe master two, but mastering all of the above would be insanity. Even if you had been doing this for 50 years like Leon Johnson, that would be insanity. So be ready to leverage joint venture partners that you can trust with the right paperwork behind it. Of course.

Speaker 3 (20:02):

Would you say that if you go down that road, can you build a business like that? Meaning where a business is systems and other people where eventually you have a business that runs itself or runs it with the people in the processes you’ve put in place. It seems like with real estate, like you’re saying, I have to solve the seller’s problem right then and there. So it almost sounds like you need at those higher level people, you can’t just get the McDonald’s line worker that’s there or the robot or AI or something like that. That’s

Speaker 1 (20:33):

The challenge that I’ve run into. And I feel like conceptually it can be done, but then in psychology we have something called channel factors, these little things that get in the way of what sounds good on paper. And that’s usually where the human element comes in because I have staff of 180 people in my agency and I’ve learned little tricks to managing them. For example, this is going to sound weird, I don’t do company meetings because I just meet with them as I need to. I do spend a lot of time with them upfront, maybe a few hours, and then I never talk to them again except to tell them when a job has come in. And if they need more than that, they’re probably not a good fit. And I don’t do group meetings because I’ve had them all group up against me in the past to raise wages, basically wanting to unionize whenever my clients can’t afford that.


And I said, I’ll let the whole company burn down before I let you extort me in this way. And I did. And I did it privately. I didn’t tell anyone. I didn’t go public about it, but I just stopped the company for six months and just traveled. And it’s like I have plenty of money. And then they were suffering. And then once I was done traveling, they were like, Jen, please, please, I’ll come back. So who would think that there’s a human variable of needing to stop people from organizing against you, or it’s like Adam Johnson says, you have to make sure that you’re always in the way of a deal in order to get it done. So that’s why you can’t fully replace yourself for the most part unless you sell the company, is because at some point somewhere you need to add value. And yes, you can have an integrator, and yes, you can have a CEO, and yes, you can have a CFO, et cetera, but if you notice even in a C class corporation, you still have shareholders.


The shareholders are still in the way in some way because they own a part of the company. So no matter what, you have to make sure that you’re in the way of other people just taking over completely what you do and just pushing you out. And so that is the challenge. That’s where replacing, that’s what no one talks about. Everyone wants to sell these sexy business models where you’re just on the beach or whatever, but at some point you have to put yourself between yourself and someone else to make sure you’re still adding value or you’re just going to get pushed out. So another example is, I mean, you can just live like my older gentleman, friends who just own a bunch of mutual funds and they don’t manage anything. They just collect checks from the dividends, but you have to have millions in order to achieve that.


Lemme tell you, those are the people who have the most passive income that I’ve seen, and I know this is an REI podcast, but what’s great about real estate is you can start with a relatively small amount of money and then with appreciation, leverage that into millions, and then you can become the mutual fund, the note owner or your kids can get your portfolio, but it’s not as passive as just having your mutual fund dividends come in and as know the stock market goes up and down where rents typically, there’s not as much fluctuation in rents as there is in the stock market. And so all that being said, going back to what you asked, whenever you’re managing staff, there’s just going to be all these psychological factors that are not going to present themselves on paper with your staff is always the biggest challenge in running a company.


And so that’s why I don’t do company meetings because that’s whenever people get together, and pardon my language, I think it’s a poignant word. They start bitching and then that causes morale issues. All it takes is one person to start griping and then morale goes way down. And I don’t care how well you run your company, I don’t care if you are like you have in the background, I don’t care if you’re Mr. Rogers, as soon as someone starts griping and it takes hold, it’s game over. This doesn’t work if you run a brick and mortar business. But I have doctor friends, for example. They run brick and mortar businesses, and one of my doctor’s friends two weeks ago, his entire staff just walked out. They’ve been with them for 20 years and they couldn’t have organized like that if you keep them separate. If you’re running a virtual business, that’s one of the benefits is you can manage your staff. And I tell you, that has made my income extremely passive.


So if you take nothing else away from this by keeping my staff separated, I have generated true passive income for myself because all I do is bring the jobs, bring the clients, they work the clients, and then they do a good job and then I’m out. The only thing I have to do is keep bringing in new clients because there is always going to be some small amount of attrition no matter how good of a job you do for various reasons. So yeah, if you have a virtual business, keep your staff separate and that way they’re not coming together. And it’s amazing how peaceful things are. I have no drama. I have no complaints. I’ve known go well. so-and-so did this, and so-and-so said this, and so-and-so gets paid this and I want to get paid this. It’s like I have literally zero drama in my agency with my staff now, and that has just been amazing.

Speaker 3 (26:03):

Yeah, that’s the first time I’ve heard it put like that of keeping separate in that you don’t run meetings and you don’t get them together, which is very anti, a lot of the books out there and a lot of those systems and stuff that have the organizational meetings and that type of stuff, level 10 meetings or the level 10 meetings and all that, that goes along with it. So I love hearing a contrarian viewpoint, especially for someone who runs a virtual business like that and who’s gone through almost like you said, the utilization of that type of stuff. Yeah, I’ve been this for

Speaker 1 (26:37):

Six years, and so that’s enough time to where you’ve passed some task, kissed a lot of frogs and had every problem under the sun.

Speaker 3 (26:44):

Yeah, yeah, no kidding. So that’s very interesting. Well, this has been a lot of fun. I love the answers that you’ve given. I think there’s some really good value there too with being consistent, solving today’s problem and getting it out there, being consistent of getting out your message as well too. I also like that what you just went over that was so contrary to what other people say. That was really an interesting take. I want to, and I

Speaker 1 (27:10):

Would bet you my headaches are much smaller than theirs,

Speaker 3 (27:14):

Probably. Probably. I mean, well, most people have the headaches in business, and if you just have less than them that it probably wouldn’t take much if you just had just that many less. So that’s great. I love hearing that. What I wanted to talk

Speaker 1 (27:29):

Authentic draws better clients too. I did want to share that because I know I went on a bit of a rant and a ramble about that, but let me be pointing on one point is that by being my real self, David against my business advisor’s advice, the clients I have now, I have no drama with and I don’t know why I’m not smart enough, I guess to know why. But the ones who come to me whenever I’m going through times of being very authentic and just really sharing whatever it is, whatever business problems or personal problems that I may be facing and how I’m overcoming them, I get so many people, like you said, who may not do business immediately and it scares off a lot of people. But the clients who do come to me, we have no problems, no drama. They don’t blame me for a lack of success.


They just come in, show up, close their deals, and they stay long-term customers. So that is one benefit is I get fewer clients, but the ones that I do get, I have zero drama with, and we’re so simpatico that I work hard to make sure they’re successful and they don’t. Whenever I was being inauthentic and getting a lot more clients, we don’t have meetings about Jennifer, why am I spending this money and not getting any deals and then this, and they’re just being very nitpicky, but clients where I’m my authentic self, they come in and they just close deals, David, we don’t have to have awkward meetings that make me feel like crap about myself, feeling like I’m not really actually helping anyone and I’m just charging money and nothing’s happening for them. They come in and they’re like, Hey, Jen, I did this deal. I did this deal. Your staff is great. And so that was a crazy change to me. I thought, this is self-destructive behavior being this authentic, but I just felt compelled to actually help people. And then these clients are the most low maintenance clients I’ve ever had. So I would be curious what your take is on that in terms of why is it being authentic? First off, it’s interesting. It draws in less clients, but the ones that does draw in, I have zero drama, zero problems with, and they stay with me forever,

Speaker 3 (29:36):

Which is funny because what you’re describing now is in those books that tell you to have the meetings, it’s like it’s your core values. It’s the values that are shining through that. It’s people that resonate with you as a human being. So usually they’re going to be the ones, especially if you’re being authentic and being open and honest and sharing values that are just as a society, we look at and say, it’s mature what you’re doing. You draw those mature people in, so it’s like they’re going to be the ones that sit back, they do the deals, they get it done, and then they come to you and they be like, yeah, let’s keep moving forward. And that’s the low drama because projecting that out there as well too, just from what I can observe right there. But I really like that because very much of if you’re going to be yourself, you might bring in less, but you might bring more of the people that you want to work with. That’s what I took away from makes income

Speaker 1 (30:26):

More passive because that is always my goal. Low drama staff, low drama clients where we’re just doing deals. I’m providing excellent staff who are going to make sure that you’re getting in front of as many people as possible for as little money as possible, talking to those motivated sellers, getting good prices on data, getting good prices on your loans to close your deals, and just keep it simple. There shouldn’t be any insanity. There shouldn’t be a lot of complaints and craziness. And that’s not to say there’s never problems, but when there are, it’s like, Hey, Jen, we need to have a meeting because this caller’s gotten a little too lax and they’re just becoming too rote and they’re going through the motions too much. I had to have that call three months ago, but guess what? He didn’t leave. He didn’t blame. He said, Hey, let’s just fix, let’s just fix their script.


And so I told her, I said, Hey, you’re one of my best, and maybe you’re working too long hours. Maybe you need to take more breaks. Maybe we need to load you up with fewer clients because instead of listening to the seller, you are kind of just pushing through the script. I said, someone who started out cold calling myself, I noticed I would do that towards the end of my shift. And I said, so let’s just be aware that that’s what’s going on. But I didn’t blame or shame her. I just said, Hey, because I was sitting in that seat myself for so many years, David is a cold caller. I know what problems they face, and it makes me a better manager for them. And just say, Hey, it just sounds like you’re getting a little tired. And so take a 30 minute nap, take an hour nap and come back and you’ll see how all of a sudden, instead of just pushing through a script, you’re really an active listener.


But that’s the only problem client meeting I had to have in the last six months where before God, David, it seemed like it was every day. People were just pinging me with this is a problem and that’s a problem. This is a problem. And I think that’s what led to my heart attack last year at 38 years old, was just having all these clients with all these complaints and it was just driving me crazy. And now I don’t have any of that. And so just sharing my experience, whether it’s true or false or somewhere in between. It’s just my anecdotal experience.

Speaker 3 (32:36):

Well, no, that’s really good. I wish we more time, but I’m going to land the plane here. We’ll have to do another episode too about how you got through that and coming out on the other side. But if people want to get ahold of you for your cold calling and what you’re doing there and how would they get ahold of you if they want to start to work with

Speaker 1 (32:54):

You? Yeah, whether it’s the cold calling or like I said, the loans where we’re offering a hundred percent financing on both the rehab and purchase price. If they’re my cold calling client, they can just email me at jen, JEN at rre I data source.net. I’m also a really brave person who gives out my cell phone because as a cold caller, I’m not afraid to call you. You

Speaker 3 (33:18):

Can call me,

Speaker 1 (33:19):

I may think you’re a spam call and answer a little bit briskly, but my cell phone is (469) 952-8011. Feel free to call me there or Jen at REI data source.net.

Speaker 3 (33:32):

Cool. So that’s how you could get ahold of Jen, and that’s the email. And she gave your phone number as well too, so you could call her in and say, Hey, hey, just wanted to see if you answer the phone. I’m sure you will. Like you said, who does that? Right? Who? Their cell phone. Cell phone. And then who does that? And then actually answers too. I feel like today’s age, please go to voicemail. So that was good stuff. Lots of valuable information here, stuff that you could take and I think implement right away to become these type of people out there that are consistently successful. And that’s one of their keys to success is being consistent in solving today’s problem, building the message around that as well too. I really liked your insight of the type of client you draw in when you are your authentic self versus where you might get more, but it might be more headaches if you are not. So it’s like just lots of good practical things today. So that was a lot of good stuff. Thank you for sharing, Jen. I really appreciate all that you did here today.

Speaker 1 (34:26):

I appreciate it. David, thank you so much for having, thanks for asking great questions.

Speaker 3 (34:30):

And I wanted to say too, if you’re listening to this and you’re like, oh my gosh, I’m not making enough or whatever, first of all, call Jen, you can literally call her. She gave you her number. She can help you make more money if you need to keep the money too. If you’re like, I have no idea where my money’s going, don’t know what my overhead is, don’t know how much I’m making, how much I’m keeping, or I want to keep more, you can reach out to us@simplecfo.com. We want to help you get at least that stuff in place because if you don’t have any idea, you’re not running a business. So that’s where I want to help you at least be consistent in knowing where your money’s going too. That’s another consistency factor as well too there. But Jen, again, thank you so much for coming on and sharing, and if there’s anything that you need from Jen, you know how to get ahold of her. She gave you the email address and her phone number. Again, thank you so much for coming on today.

Speaker 2 (35:17):

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.