EP 405July 26, 2026·103 min

How Dakota’s Doing 300 Deals Working 10 Hours A Week

The AI Sales Rep That Sets Appointments 24/7: https://objectionproofselling.com/ai-sales-agent-yt Maximize Your Tax Returns And Get Clarity On Your Financials With Our Tax Guys https://beccfo.com/ Build Real AI Tools For Your Business In One Day At REI Tech Unlocked: https://reitechunlocked.com/ BONUS GET 10% OFF ON INVESTORLIFT Use promo code DISRUPTORS. https://get.investorlift.com/disruptors/ WANT TO BE A 100 MILLIONAIRE OR ARE ONE? Click here: https://objectionproofselling.com/millionaire Dakota Bailey flew in from Fort Wayne Indiana on a scooter with a torn Achilles tendon to sit down with Steve Trang on the Disruptors Podcast and share how he went from making $10 an hour doing landscaping and barely surviving every winter to building a wholesale real estate operation doing 300 transactions a year while working only 10 hours a week on the business. In this episode Dakota breaks down the exact reason most wholesalers are overcomplicating their operations and why the lean six-person team he built after stripping the business back to its essentials is producing more net profit than the larger team ever did, how he transitioned from flipping 49 houses simultaneously with $5 million in debt to a wholesale model that lets him sleep at night, why the one acquisitions person he found changed everything and what the combine-style process looks like for finding someone who can handle 30 deals a month without hand-holding, and the mindset shift that happened when he became a father and realized the risk model he had built was not designed to survive if something happened to him. Dakota and Steve cover why most wholesalers think they need more people when the real answer is fewer better people, how Dakota kept his business profitable through every market shift since 2018 while most of his peers either scaled too fast and collapsed or quit when things got hard, the specific lesson he learned from stepping away and letting the team run it that almost cost him every

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Speaker 0: Before I got into car sales, I never made over, like, $30,000 in a year. And so my first year in sales, I made $84. And I was just like, I'm rich. I didn't have enough time because I'm running appointments on the side, selling cars while I'm there, and then I I couldn't do both really well. We're netting, like, a little over 1,000,000.

So it's like, just let it just let it do its thing. We're buying houses for, like, $20.30, $40,000. They're renting out for, like, 800, and we were able to get all of our money out every every single time, and so we're just using my income in order to get a 100% of our, money back. But I trained him, like, from the get go. He became a millionaire at 21.

Like, dude, he he did 37 transactions one one month by himself. Dude, I feel like we got a superstar team. Like, our team is super, super lean.

Speaker 1: Welcome, and thank you for joining us for today's episode of disruptors where millionaires are made. Today, we have Dakota Bailey with LTD Property Group and Dakota Fluent from Fort Wayne, Indiana to talk about how they're doing 300 transactions a year working ten hours a week. Guys, I'm on a mission to create millionaires. The information on the show alone is enough to help you become a millionaire. In the next five to seven years, if you'll take consistent action, you'll become one.

And before we jump in, if you're here to learn how real entrepreneurs are building real empires, make sure you hit that subscribe button because every week, we're we're dropping lessons that can help you create your first or your next million. And right now, you got a 100,000, 250,000, probably more just sitting inside your CRM. Resurrect all your old and dead leads with objection proof AI calling agent. Text cash to the phone number 33777 to unlock all the money that's just hanging out inside your Sierra. You ready?

Let's go. Alright. So first question is what was your life like right before you got into real estate?

Speaker: Oh, man. Right before real estate. I was actually selling cars right before real estate. Probably start off right before that, though, because, before I even got into car sales, I was doing landscaping, working, dude, like, sixty hours a week, making $10 an hour or something crazy. Didn't realize that I was supposed to be getting overtime pay.

So just barely surviving. And then every winter, I had to find another job. And so that's where I started right out of high school. But, man, like, I kinda loved it. And I I always convinced myself that it was fun, you know?

Anything that I'm doing, I'm like, dude, we're outside, like, it's it's good no matter what. So, from there though, I always had to find a winter job, and so every single winter, I'm like going to factories. I end up as a mechanic one time, and then I almost went to a trailer factory. I actually got a a prude for a trailer factory, which a lot of my family, did that. So I'm like, you know, maybe this is what I'm supposed to do.

I hear they make good money. And then the car sales guy, called me, and he's like, hey. I'd like to interview you. I'm like, well, I already got approved this other place. He's like, dude.

Like, which one would you rather do? I'm like, well, I could dress up nice and talk to people, or I can, like, go, you know, work really hard and do something similar to what I'm doing now. So I'm like, alright. Car sales sounds great. Yeah.

So I, got, an interview with him. I interviewed with him for two hours straight. Like, it just went really well. I didn't even realize that I could talk to people

Speaker: Mhmm.

Speaker: Because when you're landscaping, you don't really interact with a lot of people. And so after that, I interviewed with another guy after I interviewed for two hours and, For car sales? Yeah. For car sales.

Speaker: I'm surprised, I guess. That's strenuous.

Speaker: Well, I don't know if it normally is, but, like, apparently, this first guy was like, dude, I think you got it. He's like, I think you're gonna crush it. The next guy didn't believe in me so much, and so then he wanted to interview me as well. And, I'll never forget. He asked me, he's like, man, like, $300 a week okay gross to start for, like, two months straight?

I'm like, no. I don't think I can survive on that. He's like, well, you're not really bringing much to the table here. And that's what he said to me and, like,

Speaker: second guy?

Speaker: Yeah. The second guy. And I'm like, well, he's right because, you know, I was 20 years old and, you know, I did had no sales history, no anything. And so I'm like, yeah. He's right.

I have no, proof that I can even do this. But, I I ended up getting the job. And then after sales training, just started really killing it. And so that was what I did right before real estate. Did car sales for I mean, I think it was five years until I started, getting into real estate.

I read Rich Dad Poor Dad, and then I was like, dang. This that just changed my whole trajectory. So Yeah. Yep. Car sales was it.

Speaker: Yeah. You crushed it in that role? In the car sales? Yeah.

Speaker: Yeah. It went pretty well. My first year, back then, you know, before I got into car sales, I never made over, like, $30,000 in a year. And so my first year in sales, I made $84, and I was just like, I'm rich. I'm in Midwest Indiana, you know, like, dude, when you're in Indiana and you're making close to 6 figures, it was like, what was that?

$20.15? I was like, dude, I thought I was a baller. And so, did pretty well that year. The next year, I did 96. And then the next year, I made one sixty.

And that was just crazy for a car salesperson. I was selling Hyundais. And so it was it was pretty wild. You had to do a lot of volume. And so, yeah, that's what I did.

And, ended up getting, like, salesperson of the year four years in a row. So, yeah, it it went pretty well.

Speaker: Were you thinking about that guy who didn't believe in you the whole time?

Speaker: No. He ended up being a good guy. Okay. Yeah. No.

There was a lot of other people that were my enemies or wanted to be my enemy, but Yeah. Not that guy. That guy was the one who was actually the one training us. And, dude, you know what's crazy is, the first day we get in there, we had drumsticks, and we're just, like, drumming on the desk and playing music, and we're just, like, banging on them. And it was so fun.

And so I was like, dude, this was sweet. And so then I'm like, dude, I'm hooked. I'm like, this is great. And, that was the guy who told me he's like, I wasn't sure, you know, if if I was gonna be able to do anything. And so he's the one who questioned me up front, but then he ended up being, like, the most fun person and, like, the least serious person there is.

Speaker: Oh, really?

Speaker: And then it ended up getting more serious after he left. He actually went on to, do school of rock, and he so he started school of rock in Fort Wayne, Indiana. Mhmm. So that was pretty cool. But Gotcha.

Yeah. Okay.

Speaker: So you re reached that poor dad. And then from there, like, you made a big change, drastic change?

Speaker: No. It wasn't that big. It was more just like investing in real estate on the side. So I read Rich Dad Poor Dad, and I was like, okay. Making a lot of money is not all that I thought it was.

You know? I was making, you know, 6 figures in Midwest. I thought I was doing pretty well, but I was still working a crazy amount of hours. Mhmm. The car business, you work six days a week.

I was usually working twelve, thirteen, fourteen hour days. Like, it was just insane. And And so I was like, man, there's gotta be another way. So when I read Rich Dad Poor Dad, that was when there was an unlock on, like, okay. There's another way to do this.

And so then I just started using my income and then doing the BRRR method, to refinance out. And we're buying houses for, like, $20.30, $40,000. They're renting out for, like, 800, and we were able to get all of our money out every single time. And so we're just using my income in order to get a 100% of our, money back. And so we just did that a couple times and, just continue to build that.

So that's kinda how I got started, while I was in car sales anyway. Just use my income to leverage, the bank's relationship because a lot of times when you're on w two, banks will give you money super easy. Yeah. When you have your own business and you're writing stuff off, dude, they don't like to give you very much money. But when you were working a w two, it seemed like they would give me whatever I wanted, it seemed like.

Speaker: Yeah. So then when did you decide to go into, like, all in on real estate?

Speaker: And so that was actually about the time that I, saw you out in Vegas with Pineda. So I joined, Pineda's program in 2020, and he was just always telling me, he's like, dude, you gotta actually own a business and start flipping and, like, you gotta quit your job. And just kept pushing me. He's like, you gotta quit your job. You gotta quit your job.

And I'm like, no. This is like, you know, it's different over here in the Midwest. Like, properties are cheap, cash flow is great. I'm just gonna keep doing what I'm doing. Well, what happened was the trajectory was my income started going down in the car sales, and then the banks basically were saying like, hey.

We're not gonna give you money anymore based on your income because we had about 30 rental properties at that point. And so, yeah, they're like, dude, your income isn't covering these mortgages anymore. And so once the trajectory looked down and then the, rentals were not able to refinance, I was like, okay. It's probably time to jump. And then the last thing that really made up my mind, this was more an identity thing.

We were in the dealership, and I was usually the top performer. I made all my phone calls, and I was not the best salesperson. There's guys I mean, your guy, Ian, is a better salesperson than me, but I usually did better than other salespeople because of my resilience and because I just freaking worked so much harder than everybody. I put in so much more hours, a lot more calls, but I wasn't the best salesperson. I was just, like, average.

And so there was a time when we were going over all the leads and who didn't, follow-up or something, and there was this one time that they said the only person that didn't do this was Dakota, and that was the day I left. I was like, dude, I I cannot be known for this, and I didn't have enough time because I'm running appointments on the side, selling cars while I'm there, and then I I couldn't do both really well. And I'm like, dude, I will never be remembered as the guy that didn't get stuff, like, make their phone calls and do what they needed to do. And so I felt like I was letting the dealership down, so I'm like, I'm I'm out.

Speaker: So there was a meeting where they're like, hey. Here's all the people that weren't able to do what they were supposed to do as far as follow-up goes, and you're the only one on that list.

Speaker: It was more congratulating everybody else who did it well. And then I was the only one that didn't hit it, which was just so odd for me because I'm used to being, like, the top performer and always doing what I needed to do regardless if if I got the results. I was put in the work, and then this one, I didn't put in the work, and I was like, yeah. I can't do this anymore. And I made my I sold enough cars that I could make my own schedule, but it still felt kinda weird, like, leaving in the middle of the day to go do, like, refinances, sign paperwork.

Like, it just felt weird, you know? And so I'm like, I don't wanna feel like I'm sneaking around anymore either, but it was just the the final straw was that that, like, underperforming that just bothered me so much. I'm like, I cannot I cannot do that.

Speaker: I imagine though they were, like, arguing for you to stay.

Speaker: No. They knew.

Speaker: They knew?

Speaker: Yeah. They they they actually shook my hand. They were like, dude, I was wondering when you're gonna do it. I'm surprised you didn't do it a long time ago.

Speaker: Got it. So they knew how you you were doing with real estate. Yes. So you're probably the only person there with 30 properties Yes. Under under their belt.

A 100%. Gotcha.

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Speaker: Alright. So you go all in. Yep. This is in 2020?

Speaker: Yeah. 2021 at this time.

Speaker: 2021. Yeah. Okay. So you're already buying property. You already know what it's like.

Yep. How was the transition?

Speaker: Dude, the transition went so fast. So the first thing we did was I was like, okay. We're gonna hire an assistant. And then at that point, we're working out of my house, and the assistant was coming over my house. And I'm, like, leaving in my and she's, like, sitting in my living room.

I was like, okay. This is just really weird. So we gotta get an office space. Mhmm. So got an office space, and, we had the assistant.

And then, I was like, I watched, have you ever seen that show Undercover Billionaire? I have not. No? Okay. That was a good one.

Speaker: The last guest on the show was, like, on that show.

Speaker: No way. Yeah. Who was it?

Speaker: Oh, man. The name just slipped my mind. Dang. Dang it. It was just so terrible.

Speaker: That's alright. That's crazy, though. Yeah. Okay. So, yeah, I watched that show and then I was like, dude, this makes so much sense.

Like, Grant Cardone, the way that he did it was he just partnered up, found people to work for him, and then just pays them whatever they make money. I'm like, dude, this makes a lot of sense. Why don't why don't we do that? Why are we not hiring somebody? And so, hired a guy from a seminar.

He was in high school and then he just came over after high school and he's still with us. He's actually here on this trip. Mhmm. And after we hired him, dude, that freed me up so much because he's just calling people and texting them all day. And anytime he gets somebody close, he just come in there, and he'd and I just train him.

Mhmm. Then we go on appointments and but that just freed up all of my time to do all the back end stuff. So it just it took off so fast from there. So, man, I don't remember the exact numbers on how many deals we did that year, but I I think we went from doing maybe 20 a year to, like, at least doubling it once we got him. And, yeah, it just started taking off because when you hire your acquisitions guy, that's what I usually suggest people do.

Hire your acquisitions guy first because then you're getting all of the money to be able to fuel the back end. I see a lot of people that wanna just organize and get everything perfect before they even bring in any revenue and bring in the money. I'm like, dude, don't worry about it. You'll figure that part out once you're just bringing in so many deals that you need TC, you need Dyspo, you need the other stuff. And that's what happened to us.

We started just getting overloaded with deals, and it took everything we could just to, like, get them through the pipeline. Gotcha.

Speaker: Okay. So what challenges then you have? I mean, you have a little slightly different scenario where you're already doing real estate on the side and then you're full time. So what challenges did you have? Like, what what surprised you in the in this, first year?

Speaker: Oh, man. I think our biggest challenge, honestly, was the bookkeeping, which we still have issues with, dude. It's so crazy. When you're when you're doing four different things, nobody can real like, nobody understands what you're doing other than you, it seems like. Mhmm.

And then when you have it all in the same company, dude, it's a mess. So when you're doing rentals, flips, wholesaling, subject tos, all that stuff inside of them In the same? In the same. Yeah. In the same LLC, it's not good.

Yeah. Not good. And so that was a huge struggle. We were always struggling with the bookkeeping and knowing if we're making money or not. It's like, dude, I don't know.

I don't know if we're making money. Yeah. But we're still going and it's still working. And so that was a very difficult thing in the beginning. That was one of the biggest struggles I remember working on all all day and night.

From there, honestly, like, we didn't really struggle with, the building phase that the it all fell apart, like, kinda here recently, honestly, which is, you know, couple years later. And that came from just trying to put leaders in place and then kinda stepping away.

Speaker: But

Speaker: when in when the build up, dude, I mean, that was a lot of fun. It felt like well, here's what I'll say too. It was also during, like, 2020, 2021 where, like, you can make a lot of

Speaker: mistakes. Market.

Speaker: Yeah, dude. You can make a lot of mistakes, and, honestly, it doesn't matter. Well, particularly, you're also flipping.

Speaker: Yes. Right? So you were taking down the properties Yep. Which you were awarded if you took longer Yeah. To flip it.

Yeah. Okay. So

Speaker: Dude, actually, you just reminded me of some struggles that we had. Yeah. Dude, every single Monday, we had to find private money for properties that were closing on Thursday. Yeah. And I'll never forget this time when I was just I was so stressed out.

I don't usually get stressed out. I'm a person who can usually, like, I'm like, oh, we'll figure it out. I get myself into stuff, we'll figure it out. Well, this one, I kinda got stressed out because it was it was like a million dollars in the pipeline to close in the next thirty days

Speaker: and

Speaker: A million. Yeah. It was a million. You had

Speaker: to go find a million dollars. I

Speaker: had to find a million dollars in the next thirty days. We already had 2,000,000 out, and so we already borrowed 2,000,000 from investors. So we're maxed out. My home equity line of credit's maxed out. Like, credit cards, they weren't maxed out, but I don't like to use credit cards for properties, and we only had, like Especially No.

We got maybe $300,000.

Speaker: Yeah.

Speaker: We probably had $200 on credit cards at that point. They're, like, actually used. And so we probably had 300 left of, like, limits, and, we had to buy those. And and I will never forget that time because I was not sleeping. And every time you call a private money lender, you gotta be like, hey.

You know, I got a property closing. You know, it's 200,000. Do you wanna do it? Oh, yeah. You need to think about it.

No problem, dude. You yeah. Just let me know. I got other people that'll do it. If you don't like, you have to act, then you get off for it.

Oh, crap. Okay. Let's call the next person. And, like, you can't act like you need the money. Otherwise, like, nobody's gonna give you money.

Mhmm. And so I just remember freaking out about that. And I remember a conversation that I had with our transaction coordinators like, dude, it's not that big of a deal, you know. Just tell the people you can't buy their properties. Like, that's the worst thing.

I'm like, dude, for me personally, again, it's an identity thing. And I I think more about who I wanna be than, you know, the actions. I think the actions are an indication of who we are. And I'm like, I don't wanna be the kind of person that told these people we're gonna close their property and then not. Like, that that would be a big problem for me because that would change my identity because I gave my word to these people.

That and now we mostly wholesale, and so you can create contingencies, create the right expectations that, like, we're not telling them, hey. We're gonna close your property. We just set the right expectations, but back then, we weren't. And so I'm like, we cannot do that. And so long story short, we ended up finding the money somehow, and, it all worked out, which is just wild.

But we found it, but, dude, it was a struggle. And just, like, art racing every Monday and did that every week.

Speaker: You find it all from one place, multiple places? Multiple places.

Speaker: So what we did is we it's just action, dude. Like, that's really what it comes down to. It's just take a lot of action. But what we did is we went to our, we had an email list already of investors who said they were kind of interested, or you can go to the local RIA. Like, we had our local RIA, and we had all the email addresses from there.

So we just blasted out our properties. Hey, guys. We got these properties. Here's how much we're buying them for. Here's how much we need for lending.

And then people just started emailing and said, hey. I'll take that one. I'll take that one. I'll take that one. So we just blasted out an email, and that that created enough conversation that we got them all done.

Speaker: That's awesome.

Speaker: Yeah. It was crazy.

Speaker: Yeah. And it goes back to, like, you know, one of the tips I heard a while ago, which is, like, one of the best places actually to get private money is from Ria's. Mhmm. Right? Because there are people that have w two jobs Yep.

Or seeing the writing on the wall. Like, this what I have in my retirement is not gonna carry me through retirement. Yep. I better figure something out. So they go to Ria's.

A great place is for money.

Speaker: Yep. Or it's old, people who used to invest in real estate, and they just they wanna be in the game still, but they don't wanna actually do it. And so, like, I've seen a lot of people like that. We get a lot of our money from business owners who sold businesses, and, again, it's the same thing. They're like, they have a lot of money, but they don't they wanna be in the game, but not really in the game, you know?

Speaker: They don't wanna be a player.

Speaker: Yeah. Yeah. Exactly.

Speaker: Okay. So that was '21. '22, things got interesting. So how was your '22?

Speaker: I feel like '22 crushed as well, dude. Like, we were crushing it. It just continued to ramp up. Honestly, our first slowdown was just recently. So '22, if I remember right, was still, like, super hot.

When did interest rates change? Was it

Speaker: '22.

Speaker: It was '22 that it switched?

Speaker: Mid twenty two.

Speaker: It's been that long already?

Speaker: I know. It's nuts.

Speaker: Yeah. So we didn't we didn't really notice a big, change for us right away. But, also, like, in the Midwest, when when things get expensive, people move over to us. And so then we're getting California buyers. We're getting other people who whenever they can't find stuff in their areas, where are you gonna go?

Like, you're gonna go to Indiana, Ohio, it seems like. And so, honestly, like, we were still doing pretty well when interest rates first switched. I would say probably took a year or two until things started, like they started getting real picky. Okay. Buyers were just, like, insanely picky.

Speaker: Alright. So then when did you start figuring out because we're talking about, like, you're working sixty hours a week selling cars.

Speaker: Mhmm.

Speaker: Started working for yourself. Still working sixty hours a week? Oh, yeah. Yeah. At least.

So then when did you start figuring out a way to pull yourself out of the business and get the right help?

Speaker: Yeah. That's a very long story. So I started all of this with a business partner. So, it was a good friend of mine, from high school, and what we had to do was find a way to build this without putting my own money in. And so, otherwise, you know, the the, ownership would be different, and he didn't have money to put in.

So we found that whole burr method, and that was super fun. It was a fun little puzzle to figure out to, like, how can we build this without putting our cash in? So we did that, built it up. And then once we started flipping, we started, just like went from one company to the next, and it kinda transitioned on accident. We were only planning on doing rentals.

And then once we switched over to flipping, it was almost like assumed that we were gonna go into that business together too. And every business that starts after that was kinda like, yeah. We're just gonna do everything together. And so I started mixing everything, the resources and all of that together, which was, it it started becoming difficult. Man, I'm trying to think of the main point here.

What was the question?

Speaker: What was assumed? Was it assumed by you? By assume by assumed by him? Like,

Speaker: little bit You're

Speaker: on board with it, or you're like, I don't know if I'm okay with this, but I guess this is what we're doing.

Speaker: Yep. So we were we were both pretty much okay with it and then it started getting to a point, oh, I remember you asked me about, like, going from the transition from working a whole lot. Yeah. And so from that transition, what I started doing was like, I was like, okay, we're in a flipping business now. He started working a lot less than I did, and I was, like, okay.

What I'll do to solve this problem instead of just having a hard conversation with my friend is I will just hire out everything that I do. And so I was, like, okay. Let me just hire out the acquisitions. Okay. Let me hire out the TC.

Let me hire out the dispo. Mhmm. Well, the problem is the more you hire it out, the more I was needed to figure out how to build a process, how to do all of this. So and then what happened was resentment started building towards him because I'm like, dude, this is not solving the problem. I'm like, I'm thinking that I'm going to build a business.

We both are now out of the business and then the business just runs itself and we're both fifty fifty partners. Everybody's happy, but, yeah, neither of us have to work anymore, and we're all good. Yeah. And so that was my plan. It did not work out that way, and so it just started getting worse and worse and worse as more people started coming on and it started building.

And then he started working less, I started working more, and it got to a point where it was, like, $95.05, somewhere around there.

Speaker: So in theory, when you hire, you're working less. But you found out instead, What what was your immediate realization?

Speaker: Oh, a 100%. In the beginning, you're always working more, especially in the build phase.

Speaker: Yeah.

Speaker: Oh my gosh. In the build phase, you work you I mean, I'm sure that anybody who goes to hire anybody, they always say,

Speaker: you know, know, if you

Speaker: want anything done right, you gotta do it yourself.

Speaker: Mhmm.

Speaker: I don't necessarily believe that, but what I will say is when you're hiring somebody, you gotta teach them to do it, like, five times before they're gonna get in. So is it easier for you to do it yourself? In the beginning, a 100%.

Speaker: Mhmm.

Speaker: It's it's way easier for you to do it. But if you don't wanna do it, eventually, you do have to teach other people how to do it, but your workload, I would say, is about five times Yeah. Than if you just did it yourself. And then you take that, and then you finally feel like one position learns, and you go and you do that to the next one and the next one and the next one, and that's kinda what happened.

Speaker: So long as they don't you don't have to replace

Speaker: them. Exactly. Yeah. That that that becomes a whole another thing.

Speaker: Yeah. So what what I've heard and I haven't measured this myself. What I've heard is about four hours a week for every new hire. If you hire five people, like, you can just you just know. You got twenty hours this week.

You're committed to just training and managing. Yeah. 100%. Eventually, they get good, but in the beginning, you're always putting in more time.

Speaker: There's no doubt.

Speaker: Yeah. Okay. So resentment started growing. Yep. So how did you have that conversation?

Speaker: I had a a business coach actually at the time, and he was kinda, like, pushing me to have that conversation as well because he's like, dude, I can see it here. I can see the

Speaker: writing on

Speaker: the wall. Do what? Different than Ryan. Different than Ryan. Yeah.

Another business coach. Yeah. But this guy was a local guy, and he just, like, was asking me questions. And so, honestly, I just told him. I was like, hey, dude.

You know, this kinda feels like it's getting a little unfair. And so he's he's like, I get it. You know? He wasn't surprised. He was a little bit, like, hurt in a way, you know?

But I'm like, dude, it just feels like I'm, like, building all of these things, taking on all the stress, taking on all the financial, stress as well. So, like, in the if the companies needed money, what I would also do is loan the company money and then the I'm just a private money lender of the company. That way, it's not like me putting contributions in and changing the ownership. I'm putting it in as a lender. So it was like anytime we need a payroll, like, it was basically felt like I was doing a lot of it, and then You're the piggy bank.

Yeah. And then also splitting it fifty fifty, which to me, I remember Alex Wromosi said this thing, and I'll never forget it because it's it is the way that I felt. And so I don't think there's anything wrong with it, but he said, I don't count other people's money in a deal. And so he said he would not do certain deals, if the other guy was making more money than him, if he felt like he was working harder. And I agree with that because I think that's just ego talking.

So if, like, you're getting everything you want and that person's getting everything they want, even if what they're getting is a whole lot more, I don't really care as long as I'm still getting what I want. I was still getting what I wanted. He was still getting what he wanted, but it started getting to a point where, we were building a company now. We have people and the influence that he was having versus the influence I was having over them was starting to get very weird. I'm a Christian.

He's not. And so that was a that was a big kind of rub there. And then, like, he would say certain things while I wasn't there, and then people are questioned. They're like, okay. Like, we work with the code all the time, but, like, technically, that guy's an owner.

And so that was when things started getting weird. And then I'm also looking at, like, other guys, I couldn't pay them necessarily what I would like to pay them because I'm like, dude, we're I'm working with 50%, cut of what the company's actually doing. And so we we just had some disagreements with how money was gonna be distributed, different things like that, and, leadership, I would say, was the biggest one. And so what I had to do was put what was best for me aside because, honestly, I was fine with it. Like, just rolling, like, I don't really care if I make that much money for me.

I was I'm still living a good life. We're building I'm having fun building this with my best friend. Like, dude, it was it was great, and we had a really good time. But what I realized is was I was negatively affecting my team. And if I really want my team to win, then I have to have this hard conversation.

So it was more just realizing that I had to do that for the company and for the guys that that work for the company even if it wasn't in my best interest. So

Speaker: Yeah. So how did that conversation go? So you're saying it was hurt, but, like, clean break?

Speaker: No. There's dude, we're still we're still in the middle of it. That was probably '23.

Speaker: '23? Yeah.

Speaker: So What

Speaker: do you mean you're still in the middle? Like, you're still litigating it?

Speaker: Or No. No. No. No. No.

We're still friends, dude.

Speaker: Like, we're

Speaker: we're just still splitting things off. Got it. So so that's a whole another story. But, basically, it started off by trying to solve it because, like, we're both problem solvers. So we're like, dude, let's solve this.

You know what we'll do? We'll have you just come back in the business, and then you just do, like, your marketing stuff and, like, you know, you just you work, and then we're good. Just like, you don't have to work as much as me, but, like, at least put in something. Mhmm. He's like, okay.

So he started coming in, set it up. He's like, no, I don't wanna do this. He's like, this feels like a job. I'm like, okay. So then he's like, what what we'll do is we'll pay you for all your jobs that you're doing, and then, and then that'll make up for it.

I'm like, okay, we'll try that. So we started paying me like a $150,000 a year on top of whatever, and then I'm like, I don't like this, dude. This doesn't make sense because I'd rather keep it in the company if we can. And, like, for me, it just it didn't make sense that way. And so I just told him.

So we tried a bunch of different stuff for a year, and then I I just got to the point where I'm like, hey, dude. I'm sorry. Like, I'm gonna have to make the decision for us, but, like, I'm deciding that we're we're splitting off.

Speaker: Mhmm.

Speaker: And so that was just the flipping company. And so that was the main one because that's the one with all the people. And so we still owned all the rentals together, and I'm like, yeah. We can just keep the rentals together. It doesn't matter that much.

But now we're splitting off all the rentals because it's hard when we have different ideas about how we want to, you know, use money. And I'm kind of in this, different transition where I'm wanting to do, like, more lending and stuff. So, honestly, I'm getting to the point where I'm thinking about just selling all the rentals. Mhmm. He doesn't necessarily wanna do that, and so we're just splitting them off so we can kinda both do what we wanna do with our lives.

Speaker: But you still have a good relationship.

Speaker: Oh, yeah.

Speaker: Yeah. I mean, I think that's that's the the biggest thing. Right? It's not it's not necessarily even toxic. It's just a different vision.

Speaker: Mhmm.

Speaker: We don't know. Like, when you started, when you partnered with, you were 25?

Speaker: Yeah. I was yeah.

Speaker: What do you really know about business? Yep.

Speaker: Yeah. That was the hardest part was when you first start and you make a promise on what's gonna happen Mhmm. And then you get to somewhere new, I was holding on to that promise that I gave him because, like, I'm a man of my word and, like, it was so difficult when we're looking at stuff and things changed, like, a lot, like, a lot a lot. And it's not about the money that things change. It's our lives and where we wanna go with our lives.

And now if we continue to go off that promise that I felt like we've somewhat fulfilled. In the beginning, it was 80 rentals. We got up to there, and we wanted to make a $100,000 a year passively each. We did that. And so I felt like I fulfilled whatever that obligation was, but didn't necessarily feel that way.

But it's hard when you agree to do something and then stuff changes and you have to, like, say, hey, dude. We're not in the same spot that we were when we made that commitment. We're in a new spot now, but I think that's part of life, honestly. It's like Yeah. You know, you grow up, things change, and whatever you said before is not necessarily where you're at now.

It's not unloyal. It's more of, like, we're in a new spot.

Speaker: Yeah. It was tough. I went through that same thing. Right? My with my partnership with my wholesaling company was that I made a promise to them, and in the end, like, it didn't work out.

It was like, I'm the one that broke the promise. Mhmm. I didn't agree with the way things are going, but at the end of the day, I promised to give him, like, unfettered, like, you run the company as you see fit, and I'll support you. That was the promise. Right?

Because I thought we were we wanted the same things.

Speaker: Yep.

Speaker: Right? But in the end, I was like, I'm looking at you know, you go to Collective Genius. You see everyone in the room. You see what's possible. Yep.

Vision that we had in the beginning was no longer the vision. So

Speaker: Yep. How long how long were you in partnership for?

Speaker: Starting eighteen, ending twenty two, so four years. Okay.

Speaker: And was it a friend of yours beforehand or

Speaker: What's that? Was there

Speaker: were you guys friends before?

Speaker: No. He was an employee before. Okay. Right? He was employee.

He left, brought him back. It's like, dude, like, I think you can do this. Like, let's be let's be partners. Let's run this together. But, yeah, just you said visions change.

Or, what you knew when you started, it can be significantly different after four or five years. Yep. Yeah. Okay. So that happened.

You hired a bunch of people. Yep. And then you mentioned something about hiring a bunch of leaders, but not quite the right leaders. Well,

Speaker: it's so hard to know, honestly, especially with Collective Genius. So, like, it's been really cool being in there because we get to be amongst a lot of other leaders, and then we do what they say to do, but then, like, it's always interesting when, like, you read good to great. It's like, okay. You should always hire from within and, you know, do all these things. We're like, okay.

Let's do it that way. And then you do it. It doesn't necessarily work out, and then we listen to somebody else. Like, you gotta bring somebody in from the outside. Like, everybody's got all these different perspectives on what leadership is, how to do it, how to hire the right people.

And so what I would say is we found one way that didn't work, and that's what I told my team is like and I don't necessarily think that it's on them because our our team is so they're freaking beasts at what they do. Like, so I'll just tell you the whole story. We're building we probably got, like we we were up to, like, probably five acquisitions guys. We had two dispo guys. We had two TC, and then we had a COO, and then we had a person and sales manager.

And then we had a bunch of VAs who do all the back end stuff. And then, we're like, okay. Trying to organize all this stuff. Put a guy in leadership, and we have two guys in leadership. That was, our COO and our sales manager.

Well, those guys were like rock stars in their roles, which is why they got promoted.

Speaker: They won what seats?

Speaker: They were COO. He was in transaction coordinator beforehand. And then DISPO, he was in, he was in DISPO. He went to sales manager, which is over ACK and DISPO. Mhmm.

Speaker: And so So you this person crushed it in TC, this person crushed it in Dispo. Yep. And you move them up from within.

Speaker: Yep. Alright. Continue. Exactly. Yeah.

And I was like, dude, they're gonna be so good. And they did do well. I don't know if I'm doing very well at teaching them how to lead because now I'm going from a leadership role where I my job is to get the right people in the right seats. Now I gotta teach them how to lead other people without leading the other people. And it got it just gets so messy because I'm hearing information from them that the, other people say, you know, who they're managing, and it's not necessarily what those people actually are saying, but this what they're hearing.

And so then I'm taking mixed information. It just feels like we're playing telephone, and then all I wanna do is go direct to the people and then find out what's actually going on. So sometimes I do that as different. So I'm learning how to lead other people to lead other people, which has been the most difficult thing. So I feel like I've just not learned how to do that.

Mhmm. And I don't know how to teach other people how to do that if I don't know how to do it a 100%. And so it all kind of fell apart. Our COO was paid based on net profit. Our sales manager was paid based on gross profit.

I was hoping that they were gonna kinda, like, you know, argue it out, like, kinda like a CEO and a COO would. And I was just like, alright. I'll step away and I'm gonna build a couple other businesses, which was investor, which is a coaching community, investor lending. And I was like, they're gonna figure this out, you know, and they're what happened was, like, I think it might just be they're not as assertive as I am or, like, I don't know what the right word is, but basically, confrontational. They're they're pretty they're they're good at, like, having healthy conflict, but they ended up working more together than I thought they would and then, like, started just firing everybody and then cutting expenses and trying to, you know, save money more than grow, which I I knew that the COO was gonna do that because I think that's kinda how their minds work and how the the job role is supposed to go.

But I was hoping the salesman was gonna push to get more gross, profit. But, I honestly, I think that I just delegated my responsibilities to them is really what happened. And so I just did it the wrong way. And so now I learned and and I told them that. I said, guys, I learned that I messed up and I did this wrong.

Like, I don't see this as a failure on your guys' part. I failed you guys. And next time, if we go to this do this again, we're gonna do it differently because this one didn't work, but, yeah. So now we have six guys. We're just freaking crushing it, which is great.

Net profit's never been higher. There's so much less on the payroll, and, like, we're just freaking killing it, dude. The guy went back to TC. The other guy went back to Dispo. They're just freaking ripping them.

Like Yeah. It's so good. The scariest part about that, and this is what I would like tell for any viewers or anything, the scariest part about having one person in each role is you're one person away from having to be back in the business. Mhmm. And, that's a very vulnerable scary place to be in, especially for me because ACK leaves, I I gotta jump back in.

Dyspo leaves, I gotta jump back in. TC leaves, I gotta jump back in. And so I don't like that. But Yeah. We also are very profitable.

It's going very well. The guys are happy, and we're crushing it. And I'm, like, still, like, dude, we need to we need to leave, like, two or three of each no matter what. But it's a it's a difficult thing to know if we wanna build it or not. But at the end of the day, I just don't think you can have one person in a role.

Like, that thing is just too risky.

Speaker: So you learn what didn't work. Yeah. Did you figure out why it didn't work?

Speaker: I think proper expectations was definitely one of them. I'm not very good. Well, I wanna say I'm not very good because, again, that's an identity thing. I've not been great in the past at, SOPs and building them out that our COO is a freaking beast at that.

Speaker: You got a different COO now?

Speaker: No. Okay. No. I just step back in. And so I'm, like, that's why I'm working ten hours.

I was working, like, almost no hours at all other than, like, you know, in the meetings and stuff and, just kinda let them do their own thing. But that's another thing I learned is just more SOPs. And then, honestly, I don't think that I can ever I mean, this is maybe this is a limiting belief. I can't tell, but I don't think I can ever just take my eyes off of it completely. I just I was like, alright.

It's good. And I didn't really look into as much and, like, guide. And so I think that's my biggest lesson is I can never stop looking at everything.

Speaker: Yeah. I'm trying to think who has truly left the business and stayed out of the business. There are plenty of people that left the business, and business aren't pretty good for a while. But I can't right now think of anyone who left the business, sat in the owner's box, and just stayed in the owner's box. Everyone that we looked up to that's accomplished that has had to step back in.

Mhmm. Because it's a more challenging market environment today than it was three years ago. Yep. Yeah. Or I guess four years ago.

Yep. Yeah.

Speaker: Yeah. That's what I keep seeing is I'm like, dang. Like, it's unfortunate, and I feel like I failed, and we're still around. So that's a good news.

Speaker: I don't know. I failed. Still pretty young. Yeah. Right?

Speaker: Yeah. True.

Speaker: And I think, like, that's the that's the biggest thing. It's like from good to great. Right? Promote from within.

Speaker: Mhmm.

Speaker: And you hear someone else, like, hey, do it this way. Like, the the best example I had from all this was, like, you know, I read, multipliers. Right? I read all these leadership books. And all these books talk about, like, you got to let people you gotta give them room to fail.

You gotta create a vacuum from the filler. Mhmm. Right? Which is, like, alright. That's what every book says to do.

Yep. Which is fine because that means I get to just like Yeah. Yes. Figure out. Yeah.

Right? But then I hired a a a a leadership coach. It was Larry Yatch. And we had him on the podcast how lead he wrote the book How Leadership Actually Works. And he was talking about, like, well, here's how you actually lead people effectively, is you bring them in, give them a little bit to do, have them prove it, give them a little bit more to do, have them prove it, give them a little more to do, and have them earn all of that.

Right? And then all the while, give them a safety net, have systems in place where if they drop the ball, you know about it, and it doesn't harm the business.

Speaker: Yep.

Speaker: I was like, that makes total logical sense.

Speaker: That makes a lot of sense.

Speaker: No one says that. Yeah. Right? Like, why? Why Why does anyone say that?

Right? And he was he ran he was a Navy Seal, so they have a different process. Right? Yep. And he's like, well, because, like, you the people that write those books work for Google, work for Facebook.

The amount of caliber the talent they can hire are very different than the talent you and I can hire. Right. Right? Like, I look up a lot to Elon Musk, and the one thing there's a lot of things I admire about him. Right?

But the one thing I probably envy the most about him is that any company he starts, he can literally hire the best person in the world. Yep. Right? Like you and I were like, hey, let's let's go on LinkedIn. Yeah.

See what's in there. Let's see who's on who who's our who's our friend on Facebook who might be interested in this role. Yep. He can literally hire the best person in the world. And so, like, a lot of leadership books are based off of principles where, like, yeah, if you're in Silicon Valley, like like, if you're, like, Uber or Lyft or, like, Stripe or, like, you're on the come up Yep.

And, like, people wanna work there. They want the stock options. Yep. They see the IPO coming. Yep.

We don't quite have that same draw. 100%.

Speaker: Yeah. I feel like I I develop people more, and I'm trying to, like, be like, alright. If you don't got the skills, I'll teach you the skills instead of, like, finding somebody who's already there.

Speaker: Who's already done it? Yeah. Yeah. Yep. So alright.

So then now you are creating SOPs and you're you've got vacancies here. Yeah. So are you sitting in the COO for the foreseeable future? Are you actively looking to replace it?

Speaker: The gap between wholesalers who are winning right now and the ones who aren't is growing, and it's getting worse every single day. And you're not gonna like the reason why. It all comes down to how they're actually using AI. Because the information alone is not the problem. It's the time to figure it out that actually is, and we solve that.

Three days in Dallas, September 19 through the twenty first with myself, Stephanie Betters, and Jordan Fleming, we're gonna show you exactly how we built AI into our businesses and how you can do

Speaker: the same thing in yours.

Speaker: You come in unsure exactly where to start or what to do next, and you walk out with AI actually running inside your business and all the confidence to keep it going. And we don't just tell you how. We will be sitting next to you, building it with you live and in the room. And we got an amazing keynote speaker, the author of Second Command and Vivid Vision, Cameron Herold himself, who's built $300,000,000 companies like one eight hundred Gaijang. And on top of that, we got Facebook, Slack, and Salesforce, and they're gonna be sharing what they only talk about

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Speaker: No. I think I think I'm, honestly, I love it. That's the wildest part, dude. I think I do love it. I have a wife, a daughter, and then we're having another one coming in October.

Speaker: Oh, nice.

Speaker: Yeah. So I'm really excited about that, but I also do think that COO, it feels, like, pretty simple to me. I actually enjoy it. And so, like, I love hanging out with the guys. I love being part of the deals as much as possible.

But we've honestly got to a spot where I don't know much on the day to day. It's more when those things go wrong or if they have a question or if I overhear something and more correcting. Mhmm. And so that's why it's, like, gotten down to where I'm working so much less because I'm working on other stuff. So, honestly, I'll probably be doing that for the foreseeable future.

And we'll I mean, we'll see we'll see where it goes, man. I don't know. It's a tough decision on if I wanna continue to scale this business or just, like, have this one, you know, we we're netting, like, a little over 1,000,000. So it's like, just let it just let it do its thing and just make sure it doesn't go under. And so, like, if I got two people in each one, then I'll just let it do its thing.

If I'm working ten hours a week, it doesn't seem like that bad. I can like, I enjoy this. It feels like I'm doing it in, like, the back of my hand. So the ones that I really wanna build is probably the lending more than anything. Just it feels a lot more scalable.

It feels more simple, and I don't know. I just love it. And so that's the one that I think is the direction that I'm more wanting to build. But I also am not gonna let this one go because, like, this is the main one that's been the main one for a long time, and it's, like, our main guys. And so for me, it's more about the people that I'm with necessarily than the business.

Yeah.

Speaker: So let's talk well, let's talk about the other businesses in a moment. So before I talk about those other ones, I mean, working ten hours a week is is is crazy. So let's talk about who who are all the seats right now in the company?

Speaker: Yep. So we have a acquisitions. He's a freaking stud. He's the one who's been with us since he was 18 years old. He's 23.

He became a millionaire at 21. Freak. Like, dude, he he did 37 transactions one one month by himself. Wow. Like, he's a freak.

But I trained him, like, from the get go, and so he's he's just a stud. We have a dispo guy, Kane. He's been with us for a year and a half. He's a freaking stud too, just natural. He did, a lot of sales for fitness.

He had his own fitness company. He's a beast too. Ryan, he's our transaction coordinator. He's the one who's the COO. He's been with us.

He was actually, I worked with him in car sales, and he's been with us since 2021. He was, like, the third hire actually, and he was painting the walls. He ended up being just a natural, like, a natural TC. He's like Yeah. 10 out of 10.

Like, every single one that's in our role is 10 out of 10. So so I'm just getting excited, like, thinking about him because there's, like, freaking superstars. Dude, I feel like we got the superstar team. And then I'm trying to think if there's anybody else in the office. I mean, we got Christian.

He's our social media and, does PR. We have and then we have a lot of VAs that kinda help with all the back end stuff. So we have a marketing, guy who does our Facebook leads. He does all of our basically talking to all the vendors and all that stuff and does all the back end. We have a dispo, VA that helps with all the posting, and then we have a transaction coordinator VA, and we have a social media VA.

I mean, I have a personal assistant VA. So a lot of our lot of our, like, team is also built on VA's, which is man, they're ROIs and saying, I'm sure you have VA's, don't you? But did you build it all with, robots now?

Speaker: We're on our way to that, but no. I mean, I'm spending a lot of time with the robots, but, no. Today, we still have VAs.

Speaker: Yeah. Those ones are like that's been a crazy ROI. So now the office feels so much smaller, but, yeah, our VAs are our base too. So we basically have a VA for almost every single role, but honestly, like, that's it. Like, our team is super, super lean.

Speaker: So what are you guys doing for marketing?

Speaker: Basically all of them. I mean, TV, PPC, cold calling, texting, Facebook ads, bandit signs. Dude, I love bandit signs. Still still do bandit signs? Still do bandit signs, dude.

We just did some new ones that are really cool too. We put out like a monopoly. So we were doing a lot of cool designs with those. But, yeah, we still do bandit signs. We'll do anything, dude.

Anything that's working is, like, let's just roll it. Gotcha.

Speaker: So what are you outlaying in marketing a month? $4,045,000.

Speaker: 45,000? Yep. Which is crazy for one guy, but he's a stud. But it's it's working, but, man, I'm like, this is a lot for one guy.

Speaker: That's a lot of freaking leads Yeah. For one guy.

Speaker: Yeah. It's a lot.

Speaker: Yeah. I think that breaks you talk about, like, you know, this person says this, this person says that. You're violating the basically, every principle I think we've talked about in regards to I know. Acquisitions. But it's working.

Speaker: It's working. It's working, dude. I'm telling you. Only because this guy's a stud. And, like, we do have a lot of support, so our transaction coordinator is also taking calls when he can't.

We have, your system that's actually answering the calls whenever like, if he's on the phone call and a lead comes in, if it doesn't get answered within five minutes, then, your, AI bots call them. So, like, we have some other stuff set up to to prevent all of the overlaps, and then we have drip campaigns. So I would never ever ever recommend this for anybody just starting, but we have a lot of other systems in place. And I would say that acquisitions and sales is probably our strongest suit. Like, that's I mean, I came from car sales.

That's probably our number one thing. I'm not that great at marketing, but I was a pretty good closer, and I was really good at follow-up. And so we learned how to do that probably better than most people. And so we just built it out the systems that even if with one guy, like, we we got a pretty good system going.

Speaker: Yeah. But I think if that guy gets sick, you got two people. I know. You gotta replace them, not just you, but one other as well. Unless you're saying you could step in and do 30 deals a month.

Speaker: I could if I didn't have everything else going on. Like, that's the wildest part. It's like, we're talking ten hours only in this business. I don't work ten hours a week. I work a lot of hours a week, but only on this business if I work in 10.

So I would have to, move some things around. I could definitely do it, but the only way I would do it is if I'm have another guy beside me that I'm training up because I'm not gonna stay in that seat. Because it's just with a kid and everything, like, it's it takes a lot of time and energy, and you have to answer the phone whenever somebody calls. Otherwise, you're not getting it.

Speaker: And you also rolled in on a scooter.

Speaker: That's true.

Speaker: Yeah. So do you wanna talk about that? That surprise? That was wild. Yeah.

So, like, I'm on Facebook, and I see a picture of you on crutches. Yep. Right? So you're physically active or you were physically active.

Speaker: Yeah. Oh, I'm still physically active.

Speaker: You're still physically active? Well, you're gonna give me a time out for a little bit.

Speaker: No. No. I'm still doing push ups, sit ups, dips. I can't run.

Speaker: You're not playing you're not playing frisbee musicians.

Speaker: No. Yeah. I'm not playing frisbee, but I'm still gonna be active.

Speaker: Yeah. Gotcha. Okay. And so, there was you transitioned your business somewhere along the way, from just Flipsville. Yes.

What was the transition?

Speaker: Yeah. So that was the beginning of this year. I actually did a presentation now. No. Did you see that presentation by chance?

Speaker: I don't think so.

Speaker: Okay. Well, that's good. Then I can tell you now. Yeah. So, I had a daughter, and that was really when things just started changing my perspective on everything.

I start looking at risk a little bit different. And so what I was looking at was we had 49 flips the end of twenty twenty five going on all at the same time. I think we had, like, 5,000,000 in debt on those flips. You know? We had 49 flips going at one time.

Yeah. It was a lot.

Speaker: Including, like, listed and pending or just, like Closed.

Speaker: Like, that we own. And that's not even, like, what we have under contract, what's wholesales, all the rentals. That's, like, what we have closed on that we are currently have debt paying, you know, mortgage payments, monthly payments, all that stuff. That's a lot. Yeah.

It kinda freaked me out a little bit. And this is also the time when I'm stepping away, and I'm like, alright. You guys run it. Like, you guys kinda got this thing. And I I think that a lot of people get caught up in this trap, and I I definitely got caught up in it of I gotta keep building for the team.

Like, you know, they always say, your vision's gotta be big enough that everybody else can see their vision inside of yours. Right? Everybody says that. I mean, I I'm sure people have heard that before. If you haven't, I guess you heard it here.

Speaker: I've said it a bunch of times.

Speaker: Yeah. So everybody says that. So I'm just like, alright, dude. I gotta keep building this vision, building it bigger and bigger. Even if it doesn't make sense for me, like, I gotta be so big that it'll fit in theirs.

And so, like, these guys get paid on commissions, so I gotta make sure that I I maximize every opportunity, and that's kind of the way I I viewed it. And so when I looked at the risk, thinking about my daughter, like, everything that we're doing now, I'm like, dude, if something happens to me, I don't know what would happen to everything. The rental portfolio, these flips, like, I don't think that this is very savable. And so that's what I really started looking at is, okay, we got this debt, so let's call it 5,000,000. And then I probably got 5,000,000 in assets over here, like net worth on the rental side.

This could wipe this out if it goes wrong. So everything that I've built over the last, let's call it, ten years can be wiped out, and I'm stepping away from it. I'm like, I don't like this. And so I was almost trying to find a way out, it felt like. And so I'm like, you know what?

Let me just step out and make this somebody else's problem. It's kinda what it felt more like I was doing on

Speaker: accident. Mhmm.

Speaker: And then I was talking to Eric Brewer. It's at Collective Genius. And it was kinda let him know, hey. I'm planning on, you know, I don't really wanna grow this thing. Like, I'm good.

Like, why do we keep doing this? Because it felt like the more that we grew the the, flips, the more that the risk grew. I'm like, why do I wanna keep doing that? And so he's like, well, what would you say if your CEO, was saying that you didn't wanna grow anymore? Then what would you do?

I'm like, yeah. I'd probably let him go. He's like, yeah. You're that guy. I'm like, gosh.

Dang. That that one hurt. So I went down this, like, whole spiral thing of, like, okay. What do I do? Do I put somebody else in who wants to grow this thing?

I'm like, no. Because I'm still taking on the the leverage, it felt like. And so I decided that I wanted to switch over to wholesaling because it's so much less risk, and I will scale a wholesale company. Like, I don't mind scaling a wholesale company because it does not that it's not as scary. It's not as difficult as long as, like, I don't have to be a part of the day to day.

I don't mind scaling that infinitely if we wanted to. So decided that we're gonna switch over to that. We took some heavy, heavy losses the beginning of the year just to, like, get rid of them all. Mhmm. And so we were at a break even all the way up until this part of the bond.

Now we made a couple $100,000 for the year, so I think we're still still gonna end the year decently well. But, man, it was it got real scary, and that's kinda when everything shifted with the COO, the sales manager was because we already knew we're gonna take losses in q one. Well, then what happened was, we took some more losses in q two, and then it was just a breakeven and they were just freaking out. And they're like, dude, I don't think I wanna do this anymore. And so I stepped back in and everybody went back to their roles.

We're starting to make some more money now and then and things are back on track. But, and then now we only have five properties that we own, which it feels so good.

Speaker: Why were you taking losses?

Speaker: So that's a great question. Okay. So another part a system that I created to help with decision making was I was like, okay. What we're gonna do is we're gonna wholesale it first. If it doesn't wholesale, then we'll wholesale it.

We'll close on it, and then we will list it on the market for thirty days. In the meantime, while it's listed on the market, let's get some quotes, and then on the thirtieth day, we'll take it down and we'll flip it. But what ends up happening is we then get the worst of the worst. We got the worst stuff ever because nobody wanted to buy it on wholesale. Nobody wanted to buy it on the market.

Market. Now we're flipping the absolute worst properties ever, and then stuff comes up on inspection responses and stuff. And so I believe that that was also an error that I decided that was gonna help streamline the process. That way, the decision making was easier. But at at the end of the day, just left us with the crap properties, and so we end up losing some money that way.

So we took some fat losses.

Speaker: Yeah. Well, I understand that model because that's what I ran.

Speaker: You did the same thing? Yeah.

Speaker: I mean, I did the same thing. Because for me, the when I was wholesaling was that I was buying anything I couldn't wholesale. Yep. Which meant I was buying the ones that no one wanted. Yep.

Right? We priced it wrong on the on the initial buy. Yep. Right? But, yeah, if we couldn't wholesale, we bought it.

I mean, we would wholesale it. And then if we didn't get an offer we want in a certain amount of time, we would flip our way out of it. Yep.

Speaker: Did you lose it all?

Speaker: No. We I mean, we didn't generally lose money, but it was never the projected revenue. Yeah. It was whatever we projected on the board, if we had to whole tell our way out of it or flip our way out of it, we never hit the projected revenue. Right?

That was the thing. So, I almost say we lost money on that. I mean, there's obviously a few. Like, my very, very, very, very last deal I did was a deal that and I think this goes back to '22. I contracted it before the interest rates went up.

Yeah. I was like, I told him I would do it, but then I was like, man, like, this is really bad. Like, look. I told you I would buy this property, but, like, this market changed. It was a whole probate situation, so it took a long time to get this through.

So by the time, like, we we cleared probate and everything else, like, this market shifted bad.

Speaker: Yep.

Speaker: I can't buy this anymore. And they're like, well, we still need you to buy it. It's like, it needs to be at this price. And I was looking at it as, like, in this market, it's rough, but at 50¢ on a dollar, I should be okay, and it was not okay. So, but that was that was the last one.

But before that, yeah, I mean, just exiting that way. I and I felt good. Like, even though it wasn't the smartest model, I felt good because I couldn't wholesale it. I bought it. So the seller was was making decisions based off of my promise.

Yep. Gosh.

Speaker: Yeah. It's so tough because the model worked. I think so you just did your last one in 2022, is what you said?

Speaker: The last one I bought was in 2022. I think I exited in the end of twenty two, beginning in '23. Yeah. Okay.

Speaker: Yeah. So, like, it was working then. Great. Because, like, properties, you could just list and dude, people were just buying them like crazy. And so that model worked until it doesn't.

And that's another thing that I've learned is it feels like this and I don't know if this is business in general because I don't have a whole lot of other businesses, but it feels like something works for an amount of time and then you have to switch it up and, like, you have to find people who are not just following it, but who are able to see the bigger picture of, like, hey. It's time to switch based on what's happening. Mhmm. And I feel like that's really what happened is we didn't switch. We're just running the same play.

And and I think that could be another mistake I'm thinking about it is, like, maybe I didn't give people enough ownership or, like, control in order to make that shift of, like, hey. We're gonna change this model. We're not gonna do it wholesale, wholesale, you know, do that anymore because it just wasn't working in this market. But Yeah. Back then, dude, it was crushing.

That was crushing. It was making so much money.

Speaker: Yeah. But, I mean, the the visionary, the the owner of the business, like, you were saying you were carrying all the risk, right, with those 49 properties.

Speaker: Mhmm.

Speaker: But, also, like, you do the visionary can generally see around the corner before anyone else can. Yeah. So we get it's why we get paid the way we get paid. It's why we make money money we make. Yep.

So, like, we have incredible people in our organization, really, really good people in our organization, But I still need to be the one that's like, this is not looking good. I mean, like, I'll I'll take for example. Right? Like, the whole AI voice thing. And I wasn't even the one that was pushing.

I was Stephanie Betters that was, like, pushing me to do it. Right? But, like, once we down on went down this road, I was like, alright. Here's how it's gonna look. Here's how we're gonna shape it.

And everyone got behind it and and and pushed it forward, but I still needed to, like, point

Speaker: Mhmm.

Speaker: Where where we're going. Yep. And, like, the COO, sales manager, they're generally good at executing Mhmm. Not steering. Yep.

Speaker: So I'm curious on how you find that balance though of, like, giving them enough freedom to have their own ideas. And then also, like, hey, dude. No. We're going this way because this is what's gonna work and not be, like, a big a hole. Mhmm.

Or just don't worry about that. I don't know. That's why I'm like, I'm trying to find that balance between, like, dude, I don't know that's gonna work. And I also wanna give you enough freedom to, like, try some of that stuff because I'm open to new ideas. But based on what I'm seeing, I don't think that's gonna make sense.

You know, how do you find that balance?

Speaker: So I think Jocko, had a great great video about it. Basically, it was like, you guys come up with a plan. Mhmm. I will never I won't say no, but I will keep poking holes in this plan until you see it with the clarity I see it. Yep.

Right? So, like, I don't I I I'll have them do things, and, like, I don't agree with this, but, like, what's the worst that can happen? Like, okay. Fine. Like, they need to, you know, scrape their knees and so on.

Mhmm. But there's also, like, I don't think this is gonna work, and sometimes you just gotta ask them questions for them to get the clarity. And it actually goes both ways. Like, I have my operations person, and and I wanna do something. And she's like, this is a bad idea.

Yeah. And I was like, I

Speaker: don't know. This is gonna be good.

Speaker: And she'll ask, what about this? What if this happens? And I'm like, oh, yeah. Yeah. That's not a good idea.

Speaker: That's true. Yeah. I get I get sometimes caught up. I'm like, hi. Let me show you how to work.

And then and then I, like, I make it work with a lot of freaking stupid grit that took me so much more effort than what it should have. Yeah. So, yeah, I'm trying to find that balance, but, I feel like I give people enough opportunity. I just really what my desire is is for them to own whatever outcome. Mhmm.

And then once you own the outcome, like, hey, dude. Sure. Do it that way. But whatever happens, you gotta own it a 100%, and that's not necessarily the way that it always goes because also as the CEO, it's my job to own everything because I'm I allowed that. I allowed whatever to happen.

So it's just finding that balance is very difficult in my brain.

Speaker: Well, I think the key here is though, you already have really high functioning individuals.

Speaker: Mhmm.

Speaker: Yeah. You already have. So, like, that's that's part of your challenge. But, like, again, it goes back to what Larry was saying, which was, like, you gotta provide the resources wherever they fail Mhmm. They can't completely fail.

Exactly. Like, that's that last part. It's, like, let them fail. Yep. But have things in place wherever they fail.

And it's not easy. Like, I still struggle with this. Yeah. Yeah. Okay.

So you went from flip to wholesale because basically you saw, there's a lot of risk here, and this model no longer made sense.

Speaker: Yeah. For for me and my life personally, like, that's that's what my biggest, takeaway from all of it was is, like, dude, when I first got into this business, I don't know if you felt this way or anybody else, but when we first got into business, what do we get into business for?

Speaker: A lot of money and do what we want whenever we want.

Speaker: Yeah. Most most of the time, it's freedom. Yeah. Right? And then what's crazy is I feel as though I was sold this dream of freedom.

I got freedom monetarily, and then now I'm, like, trapped by obligation is kinda what it felt like in some ways. And so I wanted to, like, kinda switch this to where I don't feel like that because who decides that? I decide that because of my mindset. And so, I had to switch it up to remind myself that the business is here to help me and our team get what they want with their lives, not just the team necessarily. And, again, I I keep calling Alex Hornmosey, but I remember he said something that really resonate, and that is the biggest risk to your business failing is not AI.

It's not somebody else coming over. Your competitor's taking over. It's the CEO not wanting to do it anymore.

Speaker: Mhmm. It's

Speaker: it's the owner that says, alright. I'm done. That's the biggest risk. And I'm like, dude, I gotta remember that I should enjoy this. I I want to want to do this.

Mhmm. Otherwise, we don't have a company anyway. And so that was a good reminder for me.

Speaker: That's interesting. Can you give more context on that, about the CEO not wanting anymore? Are you talking about burnout?

Speaker: Yeah. Basically, burnout or, like, let's say I wanna I'm just like, alright. F it, dude. I quit. Yeah.

Like, well, guess what? We don't have a company anymore. And so at the end of the day, like, I have to be able to change the company in a way that does make sense, that I want to grow, that I want to push, that I wanna show up because the biggest risk to that business going out of business Yeah. Isn't anything other than me just being like, alright. I don't wanna do this anymore.

Speaker: Right.

Speaker: If I just keep going, we're gonna we're gonna figure this out. Would the the we will keep spinning, but if I get to the point where I'm like, dude, this doesn't make sense for me anymore. I don't know how sustainable the business is, at least right

Speaker: now anyway. So Yeah. I've seen that a few times. Or like, f it. Or not just I don't wanna do this anymore.

More often than not, it's typically, like, alright. Everyone's been fired. Yep. And I'm starting from stage one. Yeah.

Alright. We're back to square one.

Speaker: I would not I wouldn't do it. I I would just start another business. I would not if if if everybody left, I'd be like, alright, dude. I don't think I would wanna keep doing this business. Yeah.

Speaker: And then going back to, like, the the freedom part. I mean, there are times where I felt like, did I build a prison for myself from the inside? Yeah. Right? It's that, man, like, this no longer serves what I got in the business for.

Yep. Okay. So then along the way, you I'm guessing you built a pretty good following, building your wholesaling business. Yeah. I mean, you got you got a social media together right over there.

Yeah. So but talk to me about building your your your audience.

Speaker: Yeah. So, man, I feel like I've been building my audience since I was in a band in high school, dude. Every time I was in a band, anybody that was at the shows, I would just add everybody. And then when I was in car sales, I I did a Are you

Speaker: talking about, like, high school band or, like, a four person band?

Speaker: Oh, yeah. Like, a four person band. I was a guitar. Yeah.

Speaker: Oh, just wanted to make sure.

Speaker: Yeah. No. I wasn't I was a boxer in high school, so I didn't I wasn't, like, a drummer or anything like that. But, no. In a band, like, I played guitar in the band by, like, four or five people.

So from there, I was in car sales. I always used that, as a follow-up tactic. And so I got a lot of friends and following just from that. So every time I get a lead, dude, I just add them on Facebook. And I had people that I followed up with for, like, a year or two, and then they they thought they knew me basically.

Like, dude, I've been watching you. Like, they came in. It was the easiest sale ever because they felt like they knew me. And so I built a lot of people on Facebook. I got maxed out, like, 5,000 friends.

Honestly, Facebook is probably my highest engagement, but I don't I wouldn't say I have a high social media following. It's like maybe 7,500, on Facebook, three thirty five hundred on Instagram. It's not much, but the craziest part is like the people who do follow me, I feel like they're very engaged. Like, they I actually know the people. They've seen me.

They watch a lot of my stuff. And so I feel like I get a lot more engagement because I see guys with, like, couple 100,000 and they get, like, less than a 100 likes on this. I'm like, that's wild. But Yeah. Yeah.

I'd say the people that usually follow, like, legitimately like to see whatever I'm putting out.

Speaker: Yeah. So I blew up my IG around the time that Ryan Panayto blew up his IG. Right? Yep. And if there's one thing I wish I could do with my IG is I wish I can cleanse my follower my followers.

Really? Yeah. Because, like, I think I'm, like, 85,000 followers. But, like, a good piece of content for me now reaches like, if it's a really good piece of content, it reaches it'll reach half. 40,000 people.

Right? Yep. But on average, it reaches, like, 2,000.

Speaker: Yeah.

Speaker: And, like, the way that the algorithm works is based off a percentage of the people that watch your stuff. Right? So, like, if you got 200 followers, right, and 10 people watch it Yep. Well, all 200 are gonna see it.

Speaker: Right.

Speaker: I got 80, whatever, thousand. Like, I have to hit a lot of people Yep. For the rest of my audience to see it. So, like, I wish I could just cleanse it and just get rid of some of these followers that clearly are not in real estate anymore. They followed me back in 2019.

Speaker: Yep.

Speaker: Right? Like

Speaker: Definitely, like, everybody fell out of real estate. It seems like people are just like, you know what? We're we're not doing real estate anymore. They're like, I don't know what people are doing now. What are they doing?

Speaker: Let's see. I mean, AI. I think I think everyone's in AI now. Right? Because everyone, like, there was a little bit of, like, everyone's a social media expert.

Yep. And then there was phase of drop shipping.

Speaker: Yep. That went horrible for me.

Speaker: Oh, you got into that?

Speaker: I I went with Ryan, dude. I was Oh, yeah. Yeah. Didn't go well.

Speaker: Yeah. I I dabbled with it, but I I never went all in on it because I was like, you you you're trying to convince me. Like, the pitch here is that we're going to arbitrage better than Amazon. Like, this is the pitch.

Speaker: I didn't think about it that much.

Speaker: I was like, f it. I couldn't get behind that we're gonna be better than Amazon Yeah. At pricing. Yeah. I just I just couldn't get behind it.

But in that, I think today everyone everyone's, not everyone, but a lot of people that are failing became, I think, AI experts. Really? Okay. I think. I don't know.

That's what I see on my Facebook.

Speaker: Yeah. It's interesting because I feel like the guys who are still in real estate, who were in real estate in 2018

Speaker: Mhmm.

Speaker: Are usually doing pretty decent. Like, are we doing what we were doing before? Well, I guess we still are actually. Like, it's been it's been pretty on the upwards even with less people. Like, we've had some ups and downs, but if you're still in it, like, you're probably doing okay.

Speaker: Yeah. And I left it in '22 in part because of Jason Medley

Speaker: Okay.

Speaker: Right, at Collective Genius, is that he was basically saying, if you wanna do one thing, great. You gotta focus. Right? I mean, Harmosi, you brought it multiple times. Right?

Yep. Lady in the red dress. Yep. Right? She will kill you.

Yep. Right? Or you will be killed if you're if you're chasing the lady in the red dress. And so, like, for me, I had to to really get focused and think I just did it because if I didn't get focused, there's no way I could have built this AI thing that we built now.

Speaker: Did you build it in '23?

Speaker: This AI thing, I built it last year.

Speaker: Oh my gosh. So what did you go all in whenever you had that conversation with Medley? What was

Speaker: Sales training.

Speaker: Sales training. Okay. Yeah. That makes sense.

Speaker: Yeah. Like, it's like, you're you're the guy in sales training. Yep. Why are you doing anything else? Yep.

Like, just double down on that. And it was good. And, you know, I went from wholesaling and sales training, you know, working forty five hours a week. It wasn't crazy.

Speaker: Yep.

Speaker: Right? But then the time I got back was, like, fifteen hours. Like, I thought I was only buying back, like, a few hours. Yeah. Because I had a team and they were they were running.

Right? Like, on my calendar, I was only working two, three hours a week in my wholesaling business. But once I shut that thing down, what I realized was all the guiding minutes, all the emergencies, like, hey, you need to talk to this seller. Mhmm. This seller has got cold feet.

You need to call them. I was like, man. Right? Or, hey. We got a deal closing.

Buyer's backing out. You need to do you need to go get money. Mhmm. So all those things, they weren't on my calendar. Right.

But they were taking mental real estate.

Speaker: Yeah. That makes sense.

Speaker: Right? So that was that was the big thing. So I think when I was doing just sales training, I was only working, like, twenty five, thirty hours a week. But, like, it was, like, a solid 25, 30 of high productive, undistracted. Like, we were doing things for our clients, 23, 24 that we were never doing in 2122 Yep.

Which has made the experience better.

Speaker: Yep. So do you do you do, sales training just for real estate, or do you do it for overall all industries now?

Speaker: I mean, the intention, we wanna get to other industries, but, we do sales training for other industries, but it's it's like 98% real estate. But, like, right now, we're all there on the AI side. So Yeah. That's really that is, I'm working probably still, like, forty hours. Isn't that it's not crazy.

But that's go to bed, waking up, that's all I'm focused on. Right? I'm on x. I'm on Reddit. I'm just paying attention.

I'm a listen to podcasts. All day already is all I think about Yep. Is the AI side.

Speaker: So I'm curious, like, how hard was it for you to shut down the wholesale business then? Was that hard? Like, was that a hard decision or were you like, oh, that makes sense? Because, like, I got, like, five businesses, and I'm thinking about selling all of the rentals. Mhmm.

I have another business, a wedding business. I'm like, man, who could, like, definitely get rid of that one? I'd be fine with getting rid of that one. So I'm just thinking about, like, that, but I'm just curious because I I also don't let them go because I love the people. And so I was just curious on if that was difficult for you.

Speaker: The hardest thing for me was the identity part. Okay. Because I bought my first piece of real estate in 2005. Wow. So the identity so I'm all I'm a real estate guy.

I'm a real estate guy. I'm a real estate guy. I'm a real estate guy. Yeah. So in the end of twenty twenty three oh, so I think about it was '23 when I when when, so I probably bought my last one at '24.

So at the end of twenty three, when I made that decision, it was December 2023. And it was thanks to Cameron Harold as well. Right? He's been in the podcast a couple times. But that exercise, like, what what do I want my life to look like?

Mhmm. Right? Three years from now, what does what does my life look like? And real estate was nowhere on that thing.

Speaker: Interesting.

Speaker: Right? So that was the big thing. So I had to kill my identity. Right? Yep.

Jason Medley helped. Paul Sparks helped a lot. David Olds with EZRI helped a lot. I mean, I had friends in my ear forever. Like, hey, you need to stop it.

Just focus on one thing. Yep. But they're just friends. Right. Yeah.

But when, you know The networks. Yeah. The people you look up to. Right? Yep.

Your your business partners. Yeah. Right. I mean, Paul Sparks, he was a business partner at the time. And he was like, yeah.

You should probably just do one thing. Wow. So, like, we left that partnership. Right? So, yeah, there was that was the the identity was the hardest thing.

Mhmm. Oh, two things. Identity and what will other people say. Yeah. And I shouldn't have cared.

Right. I generally don't care. Yep. But if you shut it down, there's that bit in your ear, like, oh, we knew he couldn't make it or we knew he wasn't legit. Like, that was the the the thing in my ear.

Like, what are they gonna say? Yep. Right?

Speaker: So what about, like, the income and then how many employees? Was it hard for, like, the employees or did you move them to your other businesses?

Speaker: Oh, that part wasn't too hard about the employee side because I just moved them over. Like Okay. I just kept all the good people.

Speaker: Okay.

Speaker: And I I kept all the good people and just found them other things to do.

Speaker: There you go. Okay. Cool. And then what about, like, the income? Was there was it an income dip, or was it, like, a pretty smooth transition?

Speaker: It wasn't a lot of income we were walking away with.

Speaker: I mean and other other thing you had to remember too is, like, I've shut down a whole bunch of other things along the way. Right? I shut down my real estate brokerage. I shut down my title company, like, all on the way. Wow.

So it was just like

Speaker: How many deals were you doing with your wholesale company?

Speaker: We were never huge. We were never the biggest. Right? Like Five four or five deals a month. We were never huge.

We were just always, like, super profitable. Like, that was the deal. It was, like, make it profitable. Like, we do big deals. Yep.

That that was our deal. But, like, we were we've always said, like, we're never the biggest, but, like, we ran, like, a really good operation. We're super profitable. Okay. But by the time we got there, like, 22 just kicked all of our asses in Phoenix.

That's the reality.

Speaker: Oh, there's no doubt, dude. This side got hit hard.

Speaker: Yeah. And so I was fighting uphill battle. It was working. It was an uphill battle. Yeah.

But on this other side, like, I'm passionate. Like, this other side, like, we're doing it, but it was a job. Yep. It was obligation. Yep.

Right? And, like, I have to do it. Like, that was re really what I was like. I have to do this. Yep.

Right? On this other side, it's like, I love to do this. Yep. Right? People are reaching out to me on Instagram, on Facebook.

Hey. Will you work with my team? Right? Go to c g. Yep.

Hey. Can you help my team? On this side, I am chasing and hunting Mhmm. Like, convincing you to show up a title. Yep.

So, like, it was it wasn't that hard. Yeah. Right? Like, emotionally, mentally, all other stuff. It was just the identity stuff.

Speaker: Yep. Yeah. It makes so much sense. It's kinda how I'm feeling with that lending thing, dude. That's what's harder because, like, then people are calling you.

They want to do it instead of, like, we're convincing them, and then we're dealing with more sophisticated people who, like, understand exactly what we're saying. Like, the sellers, they say they don't understand even though they said they did, and then they get mad and they, like, they just it just feels like it's a a little bit more vindictive with sellers. It feels like, you know, and you're we're always the bad guy in this. That was serial.

Speaker: Yeah.

Speaker: That's what it feels like. And, like, I tend to kinda like that a little bit because I like proving people wrong in a way of, like, hey, dude. It doesn't have to be bad. Like, I can show you that we can still be adversarial and still do the right thing. And so I kinda love that challenge.

That's why I like car sales too. You You know, in car sales, you're always the bad guy, but it's like to I like to show that you can be a good person even doing that role and you don't have to lie or anything. But, man, it is so much easier. When somebody calls you and it's like, hey. I need money.

They already know it. They they want it, and it's just like it's the easiest thing ever. I'm like, dang. It's so hard to just not want to go more that direction where you're valued

Speaker: Mhmm.

Speaker: And people wanna do business with you.

Speaker: Yeah. They genuinely want to do business and, you know, you got money.

Speaker: Yeah. Yeah. Yeah. Exactly.

Speaker: Yeah. So alright. So you you, you're doing this on the way. Somewhere along the way, you started coaching people

Speaker: Yep.

Speaker: On how to do what you do. Yep. Talk to me a little bit about that.

Speaker: Yeah. So that just started earlier this year, and it was a very similar what you're talking about actually. People just kept asking like, hey. Can you come, teach my people sales training? I actually did sales training for Ryan Pineda's, team for a long time.

And so yeah. So I've been doing that. I still do it, actually. So I do it, every once, once a week for an hour, and I don't even know how that happened. Brian Davila.

Do you know him? Mhmm. Okay. So he just went up one day. He's like, Dakota is the new sales trainer.

I'm like, he didn't ask me or anything. I'm like, alright. He I'm like, he doesn't even

Speaker: That's a Brian thing. Yeah.

Speaker: I'm like, he doesn't even know if I know anything about sales. Like, he he'd never even tested me or anything. Like, he just threw me in, but it's been working out. So I helped a ton of people get, like, their first deals. And, I actually got, we rented a mansion here, and so we're having a whole event.

That's why we're here right now. We partnered up with, Andy Elliott and Eric Klein, and then we're doing this whole event.

Speaker: Yeah.

Speaker: But some of the guys from, Pineda's program who got their first deals and stuff, they just they're like, dude, I wanna continue to learn from you. And so they just, like, reached out and, like, can you teach me? I'm like, I don't really have anything right now. And, honestly, I'm, like, slammed, so I don't really want to. But once I got the business to where I have some more free time, then I'm like, okay.

I think this makes sense. And I love to help people. I love to help people who, you know, want to really do this and, like, who I believe in. And so, yeah, just created a community. It's been it's been going really, really good.

Ours is more I'm not focused on getting a lot of people. I'm more focused on getting, like, people who are wanting to contribute, help, and, like, really create where I'm not the main source of all the information. It's like Yeah. Everybody's kinda helping each other. And then I'm just more gathering the resources.

Like, I I bring Ryan Pineda on. I I should bring you on actually and then do some sales training too and then, talk about your AI. I just basically, bring people in where I'm not the the product. I don't wanna be the product. I don't wanna be the guy with the knowledge.

I wanna be the person who brings people together, and we create fun experiences. So Yeah.

Speaker: That's what I'm thinking. Probably do both really well, though. Yeah. Okay. So then when did lending come a piece of this?

Speaker: Yeah. So lending, started because I'm like, okay. We got $5,000,000 from private money lenders, and that's usually people's biggest problem is raising capital. And so I'm like, I also don't just want to, you know, give all this money back. And then these lenders also are living their best lives.

Sometimes dude, what's crazy is they're sending us videos of them on vacation and stuff. They're like, we're able to do this because of you. I'm like, why am I not living like that? But anyway, I'm thinking about, like, how can we still continue to use their money? And so it's just basically an arbitrage.

And so now we're just like, okay. We'll borrow their money at, you know, 12%, and then we'll lend it out and, you know, charge, you know, whatever we wanna charge for hard money loans. And so that made a lot of sense for us on the transition for okay. Now we have the deals that we're gonna wholesale. We're gonna wholesale 99% of our deals.

So now our investor community gets the first dibs on it. So now we're making money when we wholesale them to them. They're getting a good deal, and we'll lend on them. And we know they're getting a good deal because we're underwriting them upfront whenever we're wholesaling it to them. And so now everybody can win and we make money every single step along the way.

And it just feels super, like, the same same thing that we're already doing basically now. And so, that's basically how I started. I was like, dude, this makes a lot of sense, and it's been amazing. Have you ever read the book The Bankers' Code? Is that Nash?

I cannot remember who the author is.

Speaker: I think so. There's there's there's one that's, like, about life insurance policies and there's another one that's about so I can't say for sure. I think I did. Is it a big, like no. Okay.

Then that's a different one.

Speaker: No. It's a little black book.

Speaker: But, no. I have not.

Speaker: Brandon McCurdy told me to read that, and that's the book that kinda changed everything for me. After I read that one, I'm like, oh, dude. This makes me wanna do it even more. Because Rich Dad Poor Dad unlocked, like, another level in my mind on, like, okay, dude. We can get into real estate with none of our own money.

This is insane. And then I read Bankers Code. It felt like the same unlock. It was like, my mind just got blown. And so they talk about, there's consumers, producers, and bankers.

Mhmm. And so consumers are obviously the people who, you know, buying products, renting the houses. They're like the end person. And you have producers. Those are people like us.

We're the ones who take on all the risk. We take on all the headache, and yeah, you can get wealthy, but you're the one who's taking all the risk. The bankers, they fund both of them. They give the producer the money to make the product for the consumer, and then they give the consumer the money to buy it from the producer. Mhmm.

It's like and they do a no risk because they make you they make the producer make sure that they have net worth and equity to make sure that they're always protected. Collateralized. Yeah. I'm like, oh my gosh. So they're doing they they want us to have net worth because they wanna make sure that they're protected.

I'm like, dude, this is a I feel like I've been being cheated the whole time and, like, I'm building a net worth and, like, net worth doesn't spend. Yeah. And so, anyway, I just after I read that book, mind was blown. I'm like, dude, lending is the way to go. I think it's like, the the new path that gets me really excited.

So so that's exciting.

Speaker: Yeah. And then you learn about velocity banking.

Speaker: Right?

Speaker: What is that? Velocity banking is where you can take that money and you can lend it, like, nine times. Okay.

Speaker: Right? I've not learned about this.

Speaker: So, like, so I, Jack Bosch and I, we cofounded a bank in Scottsdale Community Banks just right up the street.

Speaker: What? Are you serious?

Speaker: Yeah. And I'm in this so I'm sitting in the meetings there. We're an investor. Right? We're not, like, the operators.

Mhmm. And I'm like I'm listening to these meetings. It's like, okay. So, like, we raised we have, you know, 50,000,000 deposits. We're lending 50,000,000.

The whole town's like, I thought we could, like, lend this multiple times. Yeah. What's the story? Right? And then in one of the meetings, like, alright.

We're at a hun or we're almost at a 100 mil, and we just need to get a 130, and then, like, we're gonna be great. I was like, what happens to a 130? They're like, at a 130, the Federal Reserve will now allow us to lend it multiple times. So it's like, let's do that. Yeah.

Right? So, like, at that point, right, for every dollar you're getting in the safety

Speaker: 10 times?

Speaker: You can lend it nine

Speaker: Nine? Times.

Speaker: Times. My gosh. Right? So, like, you're not you're borrowing it at you're paying 4%, right, on the CD. Yep.

And you're lending at six. Yep. But you're lending it nine times. That's crazy. That's six.

Speaker: That's crazy. Right.

Speaker: You just gotta get the Federal Reserve on here.

Speaker: So 130,000,000. Apparently. Okay. We're a little ways off, but

Speaker: Little ways. Yeah.

Speaker: We're a little ways. I think we got, like we're we're close to 2 mil right now. Dude, I thought it'd be such an easier transition than than it was too. I'm like, oh, yeah. These people have been lending with us for six, seven years.

And I'm like, dude, this is gonna be a no brainer for them. And they're like, well, we're not sure. You know, we've gotten into other funds. I'm like, this isn't a fund. I'll I'll do it with just you guys in it.

And, like, it was harder than I thought, but I got this one guy. He's like, dude, I've been with you a long time. He's like, there's not very many people I trust with a handshake deal. He's like, you're one of them. He's like, whatever you need, I'll give it to you.

And so Yeah. He's he's been our main lender, but it's been a hard transition than I thought it was gonna be.

Speaker: Yeah. But

Speaker: we need one thirty.

Speaker: One thirty. Well and I think the other thing too, right, is, like, two mil. So I've seen people get into coaching. Yep. And then it kinda like, they think it's easy.

Speaker: Yeah.

Speaker: Right? Because, like, the first five, ten, 20 people, they know you. They like you. Yep. Hey.

I'm in. I wanna can you help me? Right? Yep. And that's this is like the sirens.

Mhmm. You know, like, in the Greek mythologies. Right? And it's like, I'm a coach now. Mhmm.

And then well, the first fifteen, twenty people were really easy. Mhmm. But after that, you gotta spend money on marketing. You gotta spend money on outreach. You have to have payroll to go after these people and, like, oh, coaching is actually hard.

Yeah. Right? So 2,000,000 might be the sweet spot. Maybe next year, like, 5,000,000 would be the sweet spot. But, like, you've got enough money and you got enough audience and you can make this work.

Speaker: Yep. Right? And and the churn on that's why I'm not the coaching is more, like you said, it's the people who want help. Dude, I'm not out there to sell you. Like, I had a guy reach out to me actually.

He's like, I want some one on one coaching. And then afterwards, I told him what I'd offer. I'm like, I'll do $20 for three months, and then I'll come up there. He actually live, like, two hours away. I'm like, and you can come down to ours.

I'm like, he's like, well, why do you wanna do this? I'm like, I don't. I never even you're the one who asked me to do it. I just told you what it would, like, what would make sense for me. Honestly, I I don't wanna do this.

Like, it's not like I'm pitching and I want to do this. Coaching is more for the people who do wanna learn and, like, I'll teach everything I got. And anything I do, I'm gonna, like, make it the best that I can, but I'm also not pushing people. I'm not gonna spend a bunch on ads right now and try to get a bunch of people in. I'm more just, like, whoever wants in and who wants to be in a part of a really cool community where we're gonna do some fun stuff.

Great. And then if you're gonna join, you're also gonna contribute. You're gonna help other people when they ask questions. If they need paperwork, you're gonna help with that. So, like, I I have a lot of the stuff already built out, but it's more the community that that helps, like, build the, like, I guess, the value in it Yeah.

So the people are already there.

Speaker: So looking I mean, you're doing a lot right now. You got this journey. You're obviously going really hard. I mean, the fact that you Corey or Achilles had him last week and you're still here means, like, you're fully committed. You're doing this.

Yep. Why are you going so hard?

Speaker: Oh, man. That's a tough question. Why am I going so hard? Dude, I think that it'd be very difficult for me not to because I think that, it's kinda built in me in some ways. And I also wanna find out, like, what I'm capable of, I guess.

And so for me, that's always the the most fun part is, like, I believe that God gave me certain talents for a reason, and it's my responsibility to maximize and use those to the best of my abilities. And, man, I feel like I got a lot of, potential, but the biggest talent that I feel like I was ever given is resiliency. So it's just like the ability to bounce back, the ability to go hard when I get punched in the face. And so that's usually, like, the biggest reason and the biggest why is to, I guess, show other people and to be the example of, like, dude, I'll get punched in the face, and I'm gonna keep going. And so, like, don't be scared to to go out there and to think big and to fail and, like, freaking tear your Achilles tendon and and, like, figure it out because a lot of people, I think, limit other people on what they're capable of.

And I wanna show that, like, dude, you can if I'm doing it, you can definitely do it. It just takes a lot of grit and a lot of resiliency. So, I've I started thinking about that question a lot probably like eight months ago too. And I was struggling with like before when I was young, you're always like, dude, I'm gonna be this superstar and it's gonna be so great and everybody's gonna remember me. And like, you know, I don't know if you ever seen Troy.

Speaker: The yeah. With Achilles?

Speaker: Yeah. Yeah. So, like, that's one of my favorite movies, and I'll and I've been watching that since I was, like, 12 years old. And I just remember the kid in the beginning, he's like, you're gonna have to fight this giant.

Speaker: Mhmm.

Speaker: He's like, oh, I'd be really scared. I would not wanna fight that giant. And then Brad Pitt looks at him. He's like, and that's why no one will ever remember your name.

Speaker: Yeah. I remember that line. Yeah.

Speaker: And I always think about that, and I always thought about legacy. And, like, he that's the main thing that Achilles was after was, was, legacy and people always remember him after he's gone. And I feel like a lot of people think that, and I started just being real. I'm like, dude, nobody's gonna remember me.

Speaker: Mhmm.

Speaker: Honestly, like, nobody's gonna remember me. And so but what I wanted to do was reframe that. And so instead of thinking about will people remember me, a better question I ask is will people live better because of how I lived? Yeah. And that I definitely believe that I have an impact on.

And that usually comes from pushing hard, from resiliency, from showing how you show up whenever you do make mistakes, from freaking tearing your Achilles tendon, and I'm I'm not gonna stop working out. And so when I see other people doing that, that's when I get inspired that I wanna do more and, like, push. And so I wanna continue to do that for other people. So hopefully, other people will live better because of how I live in my life. So

Speaker: Yeah. That's powerful. And, yeah, that that line in. Obviously, right, people all remember Achilles.

Speaker: Yep.

Speaker: I mean, you and I both know Achilles very well. So I'm gonna make a quick announcement. We'll get through the rest of the questions. Guys, we're just a couple of months away from REI Tech Unlocked. We got Stephanie Betters, the founder of Left Main REI, Jordan Fleming, the founder of a smartphone, myself, Meta, which you might know as Facebook and Instagram, Slack, Salesforce, Twilio, what is it?

Property Leads, like all the biggest tech companies in general, plus in real estate, are all gonna be there. They're gonna have a tech playground. If you wanna go from, like, wondering about, technology, AI, which tools to use and so on, Hang out with the actual people doing it. It's gonna be in, Dallas in September. So go to reitechunlocked,uh,.com to find out more about the event.

So just a few more questions for you. You. So I guess for you right now, we've talked about how you wanna be remembered. You're talking about the impact. What is your epic life goal?

Like, what is, like, the big vision?

Speaker: Man, I feel like I've been asked that a lot, and that's a question that I've been thinking about a lot. And I don't just wanna say an answer and then, like, be held to it. And so that's something that I'm still working through and figuring out. And I feel like, for me, it's always just been hanging out with some really freaking cool people and pushing the limits on what we can do. Like, that's always been my vision.

And, also, you know, having my my wife who's here, and then, like, having kids and, like, that's what's been so difficult for me is everything that I imagined that I wanted, I now have. Yeah. And so, like, that's crazy and, like, that's really it it almost feels like, bad, which is kinda weird to even say out loud, but I've never had it where I had everything that I wanted, where I'm like, dang. I'm I'm around some really cool people. We're making a lot of money.

We have a amazing office. We have a beautiful house. I have a beautiful wife. We have kids. Like, things are really good.

I mean, my Achilles is messed up, so that sucks. Not gonna lie. Like, that was a that that that's unfortunate. But also, I'm like, I'm just so grateful, and it feels like it's time to enjoy it or be grateful for it. But then also that other side of me is going to that question that you're asking, which is like, okay.

What's next? But I I tend to live in the future and think about more of where I'm going that I don't necessarily enjoy so much of where I'm at. And so right now, I've been working to enjoy it a little bit more Mhmm. Because everything that I wanted ten years ago, like, I I have now. And so that's what I'm I've been working to do is just enjoy it a little bit more.

Speaker: Gotcha. And what do you struggle with most today?

Speaker: Probably that, if I'm being honest. It's like being present while everything's happening. You know? It's like, all my mind goes to is, okay. Once once this once this thing heals, you know, then we're gonna start going on vacation.

Once the baby gets old enough that she can walk, then, like, you know, then we'll get her out of the bed and, like, you know, you know, once the baby comes, then we're gonna start planning our life. It's more of, like, just waiting for certain outcomes as opposed to, living in the now and then, like, making the boat most of what's happening. I'd say, like, is my biggest struggle. Again, I live so much in the future that it becomes very difficult to be present. So, dude, that's a that's a struggle.

I don't know if you struggle with that at all.

Speaker: All the time.

Speaker: Yeah. Like, that's the biggest struggle for me. It's like, I just wanna enjoy it and, like, remember it, especially, like, with my daughter. I remember when my daughter was born, we took two weeks off, and I was just at home with her. And it was, like, it was the best.

It was, like, it was our first kid, and so there's nothing like just seeing a baby. And, like, there there was not a time when I was more present than when my wife was having the baby too, man. We were we were I was there. Yeah. And so, like, moments like that are what I wanna continue to create more of.

It gets more difficult when everything else is kinda spinning out of control. So that's that's the main thing that I'm struggling to work through and that I'm growing in is is being there, being present, and, making sure that I'm showing up for them too.

Speaker: Yeah. What is your superpower?

Speaker: Man, that's so hard. Because I I would normally say sales and but, honestly, around you, it's definitely not sales. You know? Or, like, Ian, you guys are like, you're way different. I told Ian this.

I told you that I told Ian this too, but Ian is so interesting because he doesn't seem like a sales guy Mhmm. And he doesn't look like a sales guy, which makes him such a dangerous sales guy

Speaker: Yeah.

Speaker: Because the the best salespeople, you're being sold and you don't know you're being sold. Mhmm. With me, you know you're being sold, but you're like, oh, I like him enough that if it I'll do it. But, like, I just look like a sales guy. I usually talk more like a sales guy, and so it makes me a little less effective.

So if I had to say my biggest superpower, honestly, I do think it's my resilience. I don't think there's that many people that will go through as many difficult things as I will and then like still be so positive. I'm like dude, alright, like my Achilles is messed up, alright, we're gonna see what I can do.

Speaker: Mhmm.

Speaker: Like, I'll just keep going. We'll figure out what I can do. So no matter what happens, I'm more like, alright, what can I do?

Speaker: So I'll ask you a question that I've been reflecting upon myself. Yeah. Because I feel the same way. I took a couple of different exams. So Phil Green, right, in San Diego and Eric Giddison.

We were talking about doing some stuff together, partnering. Right? Like, hey. We'll just wholesale together in Phoenix. Like, we were talking about that for a bit.

And so they're like, hey, we're gonna send you some personality stuff. You know, check it out. And when I took it, I was a 99 out of 99 on grit. Mhmm. Right?

And then there's another test I took, positive intelligence, where I was a zero out of 10 on victimhood. So, like, I own everything. Mhmm. And, like, doesn't matter what's going on, like, we're gonna figure this out. Yep.

I think I probably have the least amount of empathy and sympathy for anyone else who's going through tough times.

Speaker: Mhmm.

Speaker: Do you find that you ran that risk being a very high resilience person who figures things out, very low empathy and sympathy for people that are, like, overwhelmed.

Speaker: 100%. Yeah. That's, I think that's the risk, and that's you know, you asked my biggest struggle. Something I've been struggling with for years, and I noticed it probably three years ago. Yeah.

And so I just practice. I I mean, I did some weird stuff. Just, like, literally practicing, saying empathy statements out loud and, like, no joke. I said them out loud, at least 10 empathy statements every day for two years. Yeah.

And so I think I probably need to start doing that again, if I'm being honest. Yeah. I think I need to start doing that again because that's the main thing that I miss with with my wife, whenever we're talking is I just skip that step. Yeah. You know?

And we've talked a lot about that in counseling. We go to counseling every two weeks, and just it's always that one misstep of, like, I hear you or, like, hey, I get where you're coming from. I'm more, like, why don't you just look at it this way? Because it's reframing. Right?

Which is that's what makes you so good at sales too is because you just reframe the way that they look at things.

Speaker: A different story. Yeah.

Speaker: And then you look at it in a more positive way. Right. And then when you look at things in a more positive way, guess what happens? You feel differently about it because you told yourself a different story, and so it makes you feel differently. Mhmm.

And so I like to tell myself a empowering story, instead, and that does not necessarily work for people. And so yeah, man. It's a it's a struggle because, like, I can empathize and I can it's more of an understanding than it is an empathy, I would say. Like, I understand why they feel the way they feel, and that's what I I am finding the balance between I'm not going to say something that is not true

Speaker: Mhmm.

Speaker: And I'm also going to let you know that I hear you, I understand where you're coming from. And so that's more what I'm trying to do instead of like, hey, I feel the same way and I like I don't. I don't feel that way. I don't think that way. I don't think you should think that way because that the way that you're thinking right now is making you feel negatively.

And so why don't we look at it a different way? But also, I'm like, hey, I can understand why you feel that way and then reframing it.

Speaker: I've asked this question. Maybe I should stop asking this question. It's like, how does how is this serving you right now? Yeah. So yeah.

Speaker: Do you try that with your wife?

Speaker: I'm doing it less. Yeah.

Speaker: Did it work at one point ever?

Speaker: No. I don't think it's ever worked.

Speaker: No. Okay.

Speaker: Yeah. So but yeah. I was thinking about this this week actually. I was like, man, like, my wife is married probably, like, to the worst possible person in that I am a 100% objective, with, like, no opinions. Right?

It's just, like, here's the facts Mhmm. With zero, like, zero victimhood and, like, maximum, like, I I I tell myself empowering stories, like you said. No matter what happens, like, well, good. I'm glad that happened because now I get to do this. Yep.

Right? So anyway So

Speaker: I'm curious though, like, what what has worked with you you and your wife? Have you, like, practiced or, like, tried anything else now that is very effective? I'll let you know

Speaker: when I figure that out. Okay. It's a work in progress. What failure have you gone through in your business that you learned more than, learned the most or the greatest lesson from?

Speaker: Learn the greatest lesson from. Shoot, dude. Honestly, I mean, it's so hard when I haven't learned it yet. I just learned what not to do. Like, so that's usually what happens, though.

I can't think of one. I mean, I would say with my business partner, that was a big realization. I don't know, dude. I guess I look at things differently. So I look at business in the sense of, like, it's it's self development that's always unfolding.

And so what it's doing is it's shaping me, and I I that's the way that I look at it more than, like, okay. This one thing or this decision that I made is gonna that change it and more of like, okay. It's just changing me every day to new perspectives because it changes who I am based on what happens, which is weird because I usually don't let circumstances change me, but they do. And so, like, the whole thing with my business partner, that was that was that was huge.

Speaker: Mhmm.

Speaker: Because loyalty is one of like, it's a value of mine. And so that was I would say that was probably the biggest shift. Yeah. Because that was a very emotionally tough thing where it changed the way that I thought about the word loyalty. And so another one of my values is authenticity.

And so loyalty and authenticity, when you put those two together, get very interesting because what if you authentically don't want to be in partnership with that person anymore, but you're wanting to be loyal to them? It's like that's where some conflict happens. And so my identity kinda shifted, which we talked about earlier, in the podcast is what happened back then, where you're at, you make the best decision that you can, and you're the most honest, and you're very real about where you're at right there. Then seven years later, you have to be a 100% true with where you're at right there. That's being authentic, and that's still being honest.

That doesn't mean you're disloyal. And so that would be the biggest struggle. It's just that identity piece, but, yeah, that's really the way that I look at it. It's it's it's a good thing, but, man, it's a freaking it's a brutal process.

Speaker: A mentor of mine, Dan, I'm just butchering names right now. I must not gotten a good sleep last night. But, rigging the game, he said that changing your mind is not necessarily a a lack of, integrity. And the example he used was, like, let's say you and I plan on having lunch tomorrow Mhmm. And then at a certain location.

And then tonight, the restaurant burns down. Am I breaking my word if we don't have lunch inside that restaurant now? It's like, no. New information has been introduced, and we'll be made that promise if we had that additional information. Yep.

That's what's helped me Yep. Get through that.

Speaker: 100%.

Speaker: Yeah. So any last message you'd like to leave all the listeners? We went through a lot of stuff.

Speaker: Shoot. Last message for people. That feels like it's gotta be, like, super important. Man, I I would say the questions that you're asking me, I would definitely just tell the people to ask themselves. Like, be intentional with why you're doing this, what you're trying to create with your life, and, just make sure that it's actually serving you.

So if you feel like you're trapped in the business or anything like that, just take a look at your life, take a look at who's around you, and ask yourself, like, the really honest truth and say, are you living the life that you want to live? And if not, be intentional about what is going to be the right direction or what moves you have to make in order to get there. And, I think that your life will be so much better. So that would be the last message. Dude, just really write down and journal about it because it's the most important thing in my opinion.

Speaker: If someone wanted to connect with you, do deals with you, join your community, borrow money from you. What's the best way for them to get a hold of you?

Speaker: So Instagram is dakotabailey.investor with no vowels. So I n v s t r, and then Facebook. Those two are great. We have a YouTube, so you just look up Dakota Bailey investor as well. So those

Speaker: are some places. Thank you so much. Yes, sir. Appreciate it. Thank you, bro.

Thank you guys for watching. See you guys next time. Steve train.

Speaker: Jump on

Speaker: the Steve train. Disrupt us.

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How Dakota’s Doing 300 Deals Working 10 Hours A Week

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Like, dude, he he did 37 transactions one one month by himself. Dude, I feel like we got a superstar team. Like, our team is super, super lean.

Let's go. Alright. So first question is what was your life like right before you got into real estate?

I hear they make good money. And then the car sales guy, called me, and he's like, hey. I'd like to interview you. I'm like, well, I already got approved this other place. He's like, dude.

So I, got, an interview with him. I interviewed with him for two hours straight. Like, it just went really well. I didn't even realize that I could talk to people

Speaker: Mhmm.

Speaker: I'm surprised, I guess. That's strenuous.

I'm like, no. I don't think I can survive on that. He's like, well, you're not really bringing much to the table here. And that's what he said to me and, like,

Speaker: second guy?

Speaker: Yeah. The second guy. And I'm like, well, he's right because, you know, I was 20 years old and, you know, I did had no sales history, no anything. And so I'm like, yeah. He's right.

I read Rich Dad Poor Dad, and then I was like, dang. This that just changed my whole trajectory. So Yeah. Yep. Car sales was it.

Speaker: Yeah. You crushed it in that role? In the car sales? Yeah.

$20.15? I was like, dude, I thought I was a baller. And so, did pretty well that year. The next year, I did 96. And then the next year, I made one sixty.

And that was just crazy for a car salesperson. I was selling Hyundais. And so it was it was pretty wild. You had to do a lot of volume. And so, yeah, that's what I did.

And, ended up getting, like, salesperson of the year four years in a row. So, yeah, it it went pretty well.

Speaker: Were you thinking about that guy who didn't believe in you the whole time?

Speaker: No. He ended up being a good guy. Okay. Yeah. No.

Speaker: Oh, really?

Yeah. Okay.

Speaker: So you re reached that poor dad. And then from there, like, you made a big change, drastic change?

Speaker: No. It wasn't that big. It was more just like investing in real estate on the side. So I read Rich Dad Poor Dad, and I was like, okay. Making a lot of money is not all that I thought it was.

You know? I was making, you know, 6 figures in Midwest. I thought I was doing pretty well, but I was still working a crazy amount of hours. Mhmm. The car business, you work six days a week.

Speaker: Yeah. So then when did you decide to go into, like, all in on real estate?

Speaker: So there was a meeting where they're like, hey. Here's all the people that weren't able to do what they were supposed to do as far as follow-up goes, and you're the only one on that list.

Speaker: I imagine though they were, like, arguing for you to stay.

Speaker: No. They knew.

Speaker: They knew?

Speaker: Yeah. They they they actually shook my hand. They were like, dude, I was wondering when you're gonna do it. I'm surprised you didn't do it a long time ago.

Speaker: Got it. So they knew how you you were doing with real estate. Yes. So you're probably the only person there with 30 properties Yes. Under under their belt.

A 100%. Gotcha.

If you're doing at least three deals a month, click the link below and talk to our team.

Speaker: Alright. So you go all in. Yep. This is in 2020?

Speaker: Yeah. 2021 at this time.

Speaker: 2021. Yeah. Okay. So you're already buying property. You already know what it's like.

Yep. How was the transition?

I was like, okay. This is just really weird. So we gotta get an office space. Mhmm. So got an office space, and, we had the assistant.

And then, I was like, I watched, have you ever seen that show Undercover Billionaire? I have not. No? Okay. That was a good one.

Speaker: The last guest on the show was, like, on that show.

Speaker: No way. Yeah. Who was it?

Speaker: Oh, man. The name just slipped my mind. Dang. Dang it. It was just so terrible.

Speaker: That's alright. That's crazy, though. Yeah. Okay. So, yeah, I watched that show and then I was like, dude, this makes so much sense.

We started just getting overloaded with deals, and it took everything we could just to, like, get them through the pipeline. Gotcha.

Yeah. Not good. And so that was a huge struggle. We were always struggling with the bookkeeping and knowing if we're making money or not. It's like, dude, I don't know.

Speaker: But

Speaker: when in when the build up, dude, I mean, that was a lot of fun. It felt like well, here's what I'll say too. It was also during, like, 2020, 2021 where, like, you can make a lot of

Speaker: mistakes. Market.

Speaker: Yeah, dude. You can make a lot of mistakes, and, honestly, it doesn't matter. Well, particularly, you're also flipping.

Speaker: Yes. Right? So you were taking down the properties Yep. Which you were awarded if you took longer Yeah. To flip it.

Yeah. Okay. So

Speaker: and

Speaker: A million. Yeah. It was a million. You had

Speaker: to go find a million dollars. I

We got maybe $300,000.

Speaker: Yeah.

You know, I got a property closing. You know, it's 200,000. Do you wanna do it? Oh, yeah. You need to think about it.

No problem, dude. You yeah. Just let me know. I got other people that'll do it. If you don't like, you have to act, then you get off for it.

Oh, crap. Okay. Let's call the next person. And, like, you can't act like you need the money. Otherwise, like, nobody's gonna give you money.

But we found it, but, dude, it was a struggle. And just, like, art racing every Monday and did that every week.

Speaker: You find it all from one place, multiple places? Multiple places.

So we just blasted out our properties. Hey, guys. We got these properties. Here's how much we're buying them for. Here's how much we need for lending.

Speaker: That's awesome.

Speaker: Yeah. It was crazy.

Or seeing the writing on the wall. Like, this what I have in my retirement is not gonna carry me through retirement. Yep. I better figure something out. So they go to Ria's.

A great place is for money.

Speaker: They don't wanna be a player.

Speaker: Yeah. Yeah. Exactly.

Speaker: Okay. So that was '21. '22, things got interesting. So how was your '22?

When did interest rates change? Was it

Speaker: '22.

Speaker: It was '22 that it switched?

Speaker: Mid twenty two.

Speaker: It's been that long already?

Speaker: I know. It's nuts.

Speaker: Alright. So then when did you start figuring out because we're talking about, like, you're working sixty hours a week selling cars.

Speaker: Mhmm.

Speaker: Started working for yourself. Still working sixty hours a week? Oh, yeah. Yeah. At least.

So then when did you start figuring out a way to pull yourself out of the business and get the right help?

What was the question?

Speaker: What was assumed? Was it assumed by you? By assume by assumed by him? Like,

Speaker: little bit You're

Speaker: on board with it, or you're like, I don't know if I'm okay with this, but I guess this is what we're doing.

And then he started working less, I started working more, and it got to a point where it was, like, $95.05, somewhere around there.

Speaker: So in theory, when you hire, you're working less. But you found out instead, What what was your immediate realization?

Speaker: Oh, a 100%. In the beginning, you're always working more, especially in the build phase.

Speaker: Yeah.

Speaker: Oh my gosh. In the build phase, you work you I mean, I'm sure that anybody who goes to hire anybody, they always say,

Speaker: you know, know, if you

Speaker: want anything done right, you gotta do it yourself.

Speaker: Mhmm.

Speaker: So long as they don't you don't have to replace

Speaker: them. Exactly. Yeah. That that that becomes a whole another thing.

You're committed to just training and managing. Yeah. 100%. Eventually, they get good, but in the beginning, you're always putting in more time.

Speaker: There's no doubt.

Speaker: Yeah. Okay. So resentment started growing. Yep. So how did you have that conversation?

Speaker: I had a a business coach actually at the time, and he was kinda, like, pushing me to have that conversation as well because he's like, dude, I can see it here. I can see the

Speaker: writing on

Speaker: the wall. Do what? Different than Ryan. Different than Ryan. Yeah.

Another business coach. Yeah. But this guy was a local guy, and he just, like, was asking me questions. And so, honestly, I just told him. I was like, hey, dude.

You know, this kinda feels like it's getting a little unfair. And so he's he's like, I get it. You know? He wasn't surprised. He was a little bit, like, hurt in a way, you know?

So it was more just realizing that I had to do that for the company and for the guys that that work for the company even if it wasn't in my best interest. So

Speaker: Yeah. So how did that conversation go? So you're saying it was hurt, but, like, clean break?

Speaker: No. There's dude, we're still we're still in the middle of it. That was probably '23.

Speaker: '23? Yeah.

Speaker: So What

Speaker: do you mean you're still in the middle? Like, you're still litigating it?

Speaker: Or No. No. No. No. No.

We're still friends, dude.

Speaker: Like, we're

Speaker: Mhmm.

Speaker: But you still have a good relationship.

Speaker: Oh, yeah.

Speaker: Yeah. I mean, I think that's that's the the biggest thing. Right? It's not it's not necessarily even toxic. It's just a different vision.

Speaker: Mhmm.

Speaker: We don't know. Like, when you started, when you partnered with, you were 25?

Speaker: Yeah. I was yeah.

Speaker: What do you really know about business? Yep.

It's not unloyal. It's more of, like, we're in a new spot.

Speaker: Yeah. It was tough. I went through that same thing. Right? My with my partnership with my wholesaling company was that I made a promise to them, and in the end, like, it didn't work out.

Because I thought we were we wanted the same things.

Speaker: Yep.

Speaker: Right? But in the end, I was like, I'm looking at you know, you go to Collective Genius. You see everyone in the room. You see what's possible. Yep.

Vision that we had in the beginning was no longer the vision. So

Speaker: Yep. How long how long were you in partnership for?

Speaker: Starting eighteen, ending twenty two, so four years. Okay.

Speaker: And was it a friend of yours beforehand or

Speaker: What's that? Was there

Speaker: were you guys friends before?

Speaker: No. He was an employee before. Okay. Right? He was employee.

He left, brought him back. It's like, dude, like, I think you can do this. Like, let's be let's be partners. Let's run this together. But, yeah, just you said visions change.

Or, what you knew when you started, it can be significantly different after four or five years. Yep. Yeah. Okay. So that happened.

You hired a bunch of people. Yep. And then you mentioned something about hiring a bunch of leaders, but not quite the right leaders. Well,

Well, those guys were like rock stars in their roles, which is why they got promoted.

Speaker: They won what seats?

Speaker: They were COO. He was in transaction coordinator beforehand. And then DISPO, he was in, he was in DISPO. He went to sales manager, which is over ACK and DISPO. Mhmm.

Speaker: And so So you this person crushed it in TC, this person crushed it in Dispo. Yep. And you move them up from within.

Speaker: Yep. Alright. Continue. Exactly. Yeah.

Dyspo leaves, I gotta jump back in. TC leaves, I gotta jump back in. And so I don't like that. But Yeah. We also are very profitable.

Like, that thing is just too risky.

Speaker: So you learn what didn't work. Yeah. Did you figure out why it didn't work?

Speaker: You got a different COO now?

Speaker: No. Okay. No. I just step back in. And so I'm, like, that's why I'm working ten hours.

It's good. And I didn't really look into as much and, like, guide. And so I think that's my biggest lesson is I can never stop looking at everything.

Mhmm. Because it's a more challenging market environment today than it was three years ago. Yep. Yeah. Or I guess four years ago.

Yep. Yeah.

Speaker: Yeah. That's what I keep seeing is I'm like, dang. Like, it's unfortunate, and I feel like I failed, and we're still around. So that's a good news.

Speaker: I don't know. I failed. Still pretty young. Yeah. Right?

Speaker: Yeah. True.

Speaker: And I think, like, that's the that's the biggest thing. It's like from good to great. Right? Promote from within.

Speaker: Mhmm.

You gotta create a vacuum from the filler. Mhmm. Right? Which is, like, alright. That's what every book says to do.

Yep. Which is fine because that means I get to just like Yeah. Yes. Figure out. Yeah.

Right? And then all the while, give them a safety net, have systems in place where if they drop the ball, you know about it, and it doesn't harm the business.

Speaker: Yep.

Speaker: I was like, that makes total logical sense.

Speaker: That makes a lot of sense.

Speaker: No one says that. Yeah. Right? Like, why? Why Why does anyone say that?

And, like, people wanna work there. They want the stock options. Yep. They see the IPO coming. Yep.

We don't quite have that same draw. 100%.

Speaker: Who's already done it? Yeah. Yeah. Yep. So alright.

So then now you are creating SOPs and you're you've got vacancies here. Yeah. So are you sitting in the COO for the foreseeable future? Are you actively looking to replace it?

Three days in Dallas, September 19 through the twenty first with myself, Stephanie Betters, and Jordan Fleming, we're gonna show you exactly how we built AI into our businesses and how you can do

Speaker: the same thing in yours.

Speaker: in their private meetings. Meetings.

Speaker: So if you wanna find out more, comment REITech, and we'll get you signed up for a live event.

Speaker: No. I think I think I'm, honestly, I love it. That's the wildest part, dude. I think I do love it. I have a wife, a daughter, and then we're having another one coming in October.

Speaker: Oh, nice.

Yeah.

Speaker: Yep. So we have a acquisitions. He's a freaking stud. He's the one who's been with us since he was 18 years old. He's 23.

He became a millionaire at 21. Freak. Like, dude, he he did 37 transactions one one month by himself. Wow. Like, he's a freak.

He had his own fitness company. He's a beast too. Ryan, he's our transaction coordinator. He's the one who's the COO. He's been with us.

Speaker: We're on our way to that, but no. I mean, I'm spending a lot of time with the robots, but, no. Today, we still have VAs.

Speaker: So what are you guys doing for marketing?

Speaker: Basically all of them. I mean, TV, PPC, cold calling, texting, Facebook ads, bandit signs. Dude, I love bandit signs. Still still do bandit signs? Still do bandit signs, dude.

We just did some new ones that are really cool too. We put out like a monopoly. So we were doing a lot of cool designs with those. But, yeah, we still do bandit signs. We'll do anything, dude.

Anything that's working is, like, let's just roll it. Gotcha.

Speaker: So what are you outlaying in marketing a month? $4,045,000.

Speaker: 45,000? Yep. Which is crazy for one guy, but he's a stud. But it's it's working, but, man, I'm like, this is a lot for one guy.

Speaker: That's a lot of freaking leads Yeah. For one guy.

Speaker: Yeah. It's a lot.

Speaker: It's working. It's working, dude. I'm telling you. Only because this guy's a stud. And, like, we do have a lot of support, so our transaction coordinator is also taking calls when he can't.

Speaker: And you also rolled in on a scooter.

Speaker: That's true.

Speaker: Yeah. So do you wanna talk about that? That surprise? That was wild. Yeah.

So, like, I'm on Facebook, and I see a picture of you on crutches. Yep. Right? So you're physically active or you were physically active.

Speaker: Yeah. Oh, I'm still physically active.

Speaker: You're still physically active? Well, you're gonna give me a time out for a little bit.

Speaker: No. No. I'm still doing push ups, sit ups, dips. I can't run.

Speaker: You're not playing you're not playing frisbee musicians.

Speaker: No. Yeah. I'm not playing frisbee, but I'm still gonna be active.

Speaker: Yeah. Gotcha. Okay. And so, there was you transitioned your business somewhere along the way, from just Flipsville. Yes.

What was the transition?

Speaker: Yeah. So that was the beginning of this year. I actually did a presentation now. No. Did you see that presentation by chance?

Speaker: I don't think so.

Speaker: Okay. Well, that's good. Then I can tell you now. Yeah. So, I had a daughter, and that was really when things just started changing my perspective on everything.

Yeah. It was a lot.

Speaker: Including, like, listed and pending or just, like Closed.

Speaker: I've said it a bunch of times.

Let me just step out and make this somebody else's problem. It's kinda what it felt more like I was doing on

Speaker: accident. Mhmm.

Speaker: And then I was talking to Eric Brewer. It's at Collective Genius. And it was kinda let him know, hey. I'm planning on, you know, I don't really wanna grow this thing. Like, I'm good.

I'm like, yeah. I'd probably let him go. He's like, yeah. You're that guy. I'm like, gosh.

Dang. That that one hurt. So I went down this, like, whole spiral thing of, like, okay. What do I do? Do I put somebody else in who wants to grow this thing?

We're starting to make some more money now and then and things are back on track. But, and then now we only have five properties that we own, which it feels so good.

Speaker: Why were you taking losses?

So we took some fat losses.

Speaker: Yeah. Well, I understand that model because that's what I ran.

Speaker: You did the same thing? Yeah.

Speaker: I mean, I did the same thing. Because for me, the when I was wholesaling was that I was buying anything I couldn't wholesale. Yep. Which meant I was buying the ones that no one wanted. Yep.

Right? We priced it wrong on the on the initial buy. Yep. Right? But, yeah, if we couldn't wholesale, we bought it.

I mean, we would wholesale it. And then if we didn't get an offer we want in a certain amount of time, we would flip our way out of it. Yep.

Speaker: Did you lose it all?

So by the time, like, we we cleared probate and everything else, like, this market shifted bad.

Speaker: Yep.

Yep. Gosh.

Speaker: Yeah. It's so tough because the model worked. I think so you just did your last one in 2022, is what you said?

Speaker: The last one I bought was in 2022. I think I exited in the end of twenty two, beginning in '23. Yeah. Okay.

Speaker: Yeah. So, like, it was working then. Great. Because, like, properties, you could just list and dude, people were just buying them like crazy. And so that model worked until it doesn't.

That was crushing. It was making so much money.

Speaker: Yeah. But, I mean, the the visionary, the the owner of the business, like, you were saying you were carrying all the risk, right, with those 49 properties.

Speaker: Mhmm.

I was Stephanie Betters that was, like, pushing me to do it. Right? But, like, once we down on went down this road, I was like, alright. Here's how it's gonna look. Here's how we're gonna shape it.

And everyone got behind it and and and pushed it forward, but I still needed to, like, point

Speaker: Mhmm.

Speaker: Where where we're going. Yep. And, like, the COO, sales manager, they're generally good at executing Mhmm. Not steering. Yep.

You know, how do you find that balance?

Yeah. And I was like, I

Speaker: don't know. This is gonna be good.

Speaker: And she'll ask, what about this? What if this happens? And I'm like, oh, yeah. Yeah. That's not a good idea.

Speaker: That's true. Yeah. I get I get sometimes caught up. I'm like, hi. Let me show you how to work.

So it's just finding that balance is very difficult in my brain.

Speaker: Well, I think the key here is though, you already have really high functioning individuals.

Speaker: Mhmm.

Exactly. Like, that's that last part. It's, like, let them fail. Yep. But have things in place wherever they fail.

And it's not easy. Like, I still struggle with this. Yeah. Yeah. Okay.

So you went from flip to wholesale because basically you saw, there's a lot of risk here, and this model no longer made sense.

Speaker: A lot of money and do what we want whenever we want.

Speaker: Yeah. Most most of the time, it's freedom. Yeah. Right? And then what's crazy is I feel as though I was sold this dream of freedom.

It's not somebody else coming over. Your competitor's taking over. It's the CEO not wanting to do it anymore.

Speaker: Mhmm. It's

Speaker: it's the owner that says, alright. I'm done. That's the biggest risk. And I'm like, dude, I gotta remember that I should enjoy this. I I want to want to do this.

Mhmm. Otherwise, we don't have a company anyway. And so that was a good reminder for me.

Speaker: That's interesting. Can you give more context on that, about the CEO not wanting anymore? Are you talking about burnout?

Speaker: Yeah. Basically, burnout or, like, let's say I wanna I'm just like, alright. F it, dude. I quit. Yeah.

Speaker: Right.

Speaker: now anyway. So Yeah. I've seen that a few times. Or like, f it. Or not just I don't wanna do this anymore.

More often than not, it's typically, like, alright. Everyone's been fired. Yep. And I'm starting from stage one. Yeah.

Alright. We're back to square one.

Yep. Okay. So then along the way, you I'm guessing you built a pretty good following, building your wholesaling business. Yeah. I mean, you got you got a social media together right over there.

Yeah. So but talk to me about building your your your audience.

Speaker: talking about, like, high school band or, like, a four person band?

Speaker: Oh, yeah. Like, a four person band. I was a guitar. Yeah.

Speaker: Oh, just wanted to make sure.

I'd say the people that usually follow, like, legitimately like to see whatever I'm putting out.

Speaker: Yeah. So I blew up my IG around the time that Ryan Panayto blew up his IG. Right? Yep. And if there's one thing I wish I could do with my IG is I wish I can cleanse my follower my followers.

Right? Yep. But on average, it reaches, like, 2,000.

Speaker: Yeah.

Speaker: Right.

Speaker: Yep.

Speaker: Right? Like

Speaker: Let's see. I mean, AI. I think I think everyone's in AI now. Right? Because everyone, like, there was a little bit of, like, everyone's a social media expert.

Yep. And then there was phase of drop shipping.

Speaker: Yep. That went horrible for me.

Speaker: Oh, you got into that?

Speaker: I I went with Ryan, dude. I was Oh, yeah. Yeah. Didn't go well.

Speaker: I didn't think about it that much.

Speaker: I was like, f it. I couldn't get behind that we're gonna be better than Amazon Yeah. At pricing. Yeah. I just I just couldn't get behind it.

But in that, I think today everyone everyone's, not everyone, but a lot of people that are failing became, I think, AI experts. Really? Okay. I think. I don't know.

That's what I see on my Facebook.

Speaker: Yeah. It's interesting because I feel like the guys who are still in real estate, who were in real estate in 2018

Speaker: Mhmm.

Speaker: Yeah. And I left it in '22 in part because of Jason Medley

Speaker: Okay.

Speaker: Right, at Collective Genius, is that he was basically saying, if you wanna do one thing, great. You gotta focus. Right? I mean, Harmosi, you brought it multiple times. Right?

Yep. Lady in the red dress. Yep. Right? She will kill you.

Speaker: Did you build it in '23?

Speaker: This AI thing, I built it last year.

Speaker: Oh my gosh. So what did you go all in whenever you had that conversation with Medley? What was

Speaker: Sales training.

Speaker: Sales training. Okay. Yeah. That makes sense.

Speaker: Yeah. Like, it's like, you're you're the guy in sales training. Yep. Why are you doing anything else? Yep.

Like, just double down on that. And it was good. And, you know, I went from wholesaling and sales training, you know, working forty five hours a week. It wasn't crazy.

Speaker: Yep.

Speaker: Right? But then the time I got back was, like, fifteen hours. Like, I thought I was only buying back, like, a few hours. Yeah. Because I had a team and they were they were running.

You need to call them. I was like, man. Right? Or, hey. We got a deal closing.

Buyer's backing out. You need to do you need to go get money. Mhmm. So all those things, they weren't on my calendar. Right.

But they were taking mental real estate.

Speaker: Yeah. That makes sense.

Which has made the experience better.

Speaker: Yep. So do you do you do, sales training just for real estate, or do you do it for overall all industries now?

But that's go to bed, waking up, that's all I'm focused on. Right? I'm on x. I'm on Reddit. I'm just paying attention.

I'm a listen to podcasts. All day already is all I think about Yep. Is the AI side.

Speaker: The hardest thing for me was the identity part. Okay. Because I bought my first piece of real estate in 2005. Wow. So the identity so I'm all I'm a real estate guy.

Mhmm. Right? Three years from now, what does what does my life look like? And real estate was nowhere on that thing.

Speaker: Interesting.

Speaker: Right? So that was the big thing. So I had to kill my identity. Right? Yep.

Jason Medley helped. Paul Sparks helped a lot. David Olds with EZRI helped a lot. I mean, I had friends in my ear forever. Like, hey, you need to stop it.

Just focus on one thing. Yep. But they're just friends. Right. Yeah.

But when, you know The networks. Yeah. The people you look up to. Right? Yep.

Your your business partners. Yeah. Right. I mean, Paul Sparks, he was a business partner at the time. And he was like, yeah.

You should probably just do one thing. Wow. So, like, we left that partnership. Right? So, yeah, there was that was the the identity was the hardest thing.

Mhmm. Oh, two things. Identity and what will other people say. Yeah. And I shouldn't have cared.

Like, what are they gonna say? Yep. Right?

Speaker: So what about, like, the income and then how many employees? Was it hard for, like, the employees or did you move them to your other businesses?

Speaker: Oh, that part wasn't too hard about the employee side because I just moved them over. Like Okay. I just kept all the good people.

Speaker: Okay.

Speaker: And I I kept all the good people and just found them other things to do.

Speaker: There you go. Okay. Cool. And then what about, like, the income? Was there was it an income dip, or was it, like, a pretty smooth transition?

Speaker: It wasn't a lot of income we were walking away with.

So it was just like

Speaker: How many deals were you doing with your wholesale company?

Speaker: We were never huge. We were never the biggest. Right? Like Five four or five deals a month. We were never huge.

We were just always, like, super profitable. Like, that was the deal. It was, like, make it profitable. Like, we do big deals. Yep.

That's the reality.

Speaker: Oh, there's no doubt, dude. This side got hit hard.

Speaker: Yeah. And so I was fighting uphill battle. It was working. It was an uphill battle. Yeah.

But on this other side, like, I'm passionate. Like, this other side, like, we're doing it, but it was a job. Yep. It was obligation. Yep.

Right? And, like, I have to do it. Like, that was re really what I was like. I have to do this. Yep.

Right? On this other side, it's like, I love to do this. Yep. Right? People are reaching out to me on Instagram, on Facebook.

Hey. Will you work with my team? Right? Go to c g. Yep.

Hey. Can you help my team? On this side, I am chasing and hunting Mhmm. Like, convincing you to show up a title. Yep.

So, like, it was it wasn't that hard. Yeah. Right? Like, emotionally, mentally, all other stuff. It was just the identity stuff.

Speaker: Yep. Yeah. It makes so much sense. It's kinda how I'm feeling with that lending thing, dude. That's what's harder because, like, then people are calling you.

Speaker: Yeah.

They already know it. They they want it, and it's just like it's the easiest thing ever. I'm like, dang. It's so hard to just not want to go more that direction where you're valued

Speaker: Mhmm.

Speaker: And people wanna do business with you.

Speaker: Yeah. They genuinely want to do business and, you know, you got money.

Speaker: Yeah. Yeah. Yeah. Exactly.

Speaker: Yeah. So alright. So you you, you're doing this on the way. Somewhere along the way, you started coaching people

Speaker: Yep.

Speaker: On how to do what you do. Yep. Talk to me a little bit about that.

And so yeah. So I've been doing that. I still do it, actually. So I do it, every once, once a week for an hour, and I don't even know how that happened. Brian Davila.

Do you know him? Mhmm. Okay. So he just went up one day. He's like, Dakota is the new sales trainer.

I'm like, he didn't ask me or anything. I'm like, alright. He I'm like, he doesn't even

Speaker: That's a Brian thing. Yeah.

That's why we're here right now. We partnered up with, Andy Elliott and Eric Klein, and then we're doing this whole event.

Speaker: Yeah.

I wanna be the person who brings people together, and we create fun experiences. So Yeah.

Speaker: That's what I'm thinking. Probably do both really well, though. Yeah. Okay. So then when did lending come a piece of this?

I cannot remember who the author is.

Speaker: I think so. There's there's there's one that's, like, about life insurance policies and there's another one that's about so I can't say for sure. I think I did. Is it a big, like no. Okay.

Then that's a different one.

Speaker: No. It's a little black book.

Speaker: But, no. I have not.

This is insane. And then I read Bankers Code. It felt like the same unlock. It was like, my mind just got blown. And so they talk about, there's consumers, producers, and bankers.

Mhmm. And so consumers are obviously the people who, you know, buying products, renting the houses. They're like the end person. And you have producers. Those are people like us.

So so that's exciting.

Speaker: Yeah. And then you learn about velocity banking.

Speaker: Right?

Speaker: What is that? Velocity banking is where you can take that money and you can lend it, like, nine times. Okay.

Speaker: Right? I've not learned about this.

Speaker: So, like, so I, Jack Bosch and I, we cofounded a bank in Scottsdale Community Banks just right up the street.

Speaker: What? Are you serious?

Speaker: Yeah. And I'm in this so I'm sitting in the meetings there. We're an investor. Right? We're not, like, the operators.

Mhmm. And I'm like I'm listening to these meetings. It's like, okay. So, like, we raised we have, you know, 50,000,000 deposits. We're lending 50,000,000.

The whole town's like, I thought we could, like, lend this multiple times. Yeah. What's the story? Right? And then in one of the meetings, like, alright.

Right? So, like, at that point, right, for every dollar you're getting in the safety

Speaker: 10 times?

Speaker: You can lend it nine

Speaker: Nine? Times.

Speaker: Times. My gosh. Right? So, like, you're not you're borrowing it at you're paying 4%, right, on the CD. Yep.

And you're lending at six. Yep. But you're lending it nine times. That's crazy. That's six.

Speaker: That's crazy. Right.

Speaker: You just gotta get the Federal Reserve on here.

Speaker: So 130,000,000. Apparently. Okay. We're a little ways off, but

Speaker: Little ways. Yeah.

And so Yeah. He's he's been our main lender, but it's been a hard transition than I thought it was gonna be.

Speaker: Yeah. But

Speaker: we need one thirty.

Speaker: One thirty. Well and I think the other thing too, right, is, like, two mil. So I've seen people get into coaching. Yep. And then it kinda like, they think it's easy.

Speaker: Yeah.

Speaker: Right? Because, like, the first five, ten, 20 people, they know you. They like you. Yep. Hey.

I'm in. I wanna can you help me? Right? Yep. And that's this is like the sirens.

Mhmm. You know, like, in the Greek mythologies. Right? And it's like, I'm a coach now. Mhmm.

Yeah. Right? So 2,000,000 might be the sweet spot. Maybe next year, like, 5,000,000 would be the sweet spot. But, like, you've got enough money and you got enough audience and you can make this work.

So the people are already there.

Yep. Why are you going so hard?

Speaker: The yeah. With Achilles?

Speaker: Mhmm.

Speaker: He's like, oh, I'd be really scared. I would not wanna fight that giant. And then Brad Pitt looks at him. He's like, and that's why no one will ever remember your name.

Speaker: Yeah. I remember that line. Yeah.

Speaker: Mhmm.

Speaker: Yeah. That's powerful. And, yeah, that that line in. Obviously, right, people all remember Achilles.

Speaker: Yep.

So just a few more questions for you. You. So I guess for you right now, we've talked about how you wanna be remembered. You're talking about the impact. What is your epic life goal?

Like, what is, like, the big vision?

We have a amazing office. We have a beautiful house. I have a beautiful wife. We have kids. Like, things are really good.

Speaker: Gotcha. And what do you struggle with most today?

I don't know if you struggle with that at all.

Speaker: All the time.

Speaker: Yeah. What is your superpower?

I told you that I told Ian this too, but Ian is so interesting because he doesn't seem like a sales guy Mhmm. And he doesn't look like a sales guy, which makes him such a dangerous sales guy

Speaker: Yeah.

Speaker: Mhmm.

Speaker: Like, I'll just keep going. We'll figure out what I can do. So no matter what happens, I'm more like, alright, what can I do?

Speaker: So I'll ask you a question that I've been reflecting upon myself. Yeah. Because I feel the same way. I took a couple of different exams. So Phil Green, right, in San Diego and Eric Giddison.

We were talking about doing some stuff together, partnering. Right? Like, hey. We'll just wholesale together in Phoenix. Like, we were talking about that for a bit.

And so they're like, hey, we're gonna send you some personality stuff. You know, check it out. And when I took it, I was a 99 out of 99 on grit. Mhmm. Right?

I think I probably have the least amount of empathy and sympathy for anyone else who's going through tough times.

Speaker: Mhmm.

Speaker: Do you find that you ran that risk being a very high resilience person who figures things out, very low empathy and sympathy for people that are, like, overwhelmed.

Which is that's what makes you so good at sales too is because you just reframe the way that they look at things.

Speaker: A different story. Yeah.

Speaker: Mhmm.

And so why don't we look at it a different way? But also, I'm like, hey, I can understand why you feel that way and then reframing it.

Speaker: I've asked this question. Maybe I should stop asking this question. It's like, how does how is this serving you right now? Yeah. So yeah.

Speaker: Do you try that with your wife?

Speaker: I'm doing it less. Yeah.

Speaker: Did it work at one point ever?

Speaker: No. I don't think it's ever worked.

Speaker: No. Okay.

Right? So anyway So

Speaker: I'm curious though, like, what what has worked with you you and your wife? Have you, like, practiced or, like, tried anything else now that is very effective? I'll let you know

Speaker: when I figure that out. Okay. It's a work in progress. What failure have you gone through in your business that you learned more than, learned the most or the greatest lesson from?

Speaker: Learn the greatest lesson from. Shoot, dude. Honestly, I mean, it's so hard when I haven't learned it yet. I just learned what not to do. Like, so that's usually what happens, though.

Speaker: Mhmm.

That's what's helped me Yep. Get through that.

Speaker: 100%.

Speaker: Yeah. So any last message you'd like to leave all the listeners? We went through a lot of stuff.

Speaker: If someone wanted to connect with you, do deals with you, join your community, borrow money from you. What's the best way for them to get a hold of you?

Speaker: So Instagram is dakotabailey.investor with no vowels. So I n v s t r, and then Facebook. Those two are great. We have a YouTube, so you just look up Dakota Bailey investor as well. So those

Speaker: are some places. Thank you so much. Yes, sir. Appreciate it. Thank you, bro.

Thank you guys for watching. See you guys next time. Steve train.

Speaker: Jump on

Speaker: the Steve train. Disrupt us.

How Dakota’s Doing 300 Deals Working 10 Hours A Week

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How Dakota’s Doing 300 Deals Working 10 Hours A Week

Full Transcript

You Might Also Like

How Nick’s Built A $300M Year Business… Hauling Junk

How Brandon Used A New Hiring Process To Generate $4M

25% Of Your Budget Is Wasted The Other Problem Is Even Worse

Want to close more deals?

Never miss an episode