S1: Welcome back to Building Billions. I am jonesing to do
S1: this episode. I'm so excited. I don't think I've ever
S1: been this optimistic and energetic about the future, about what
S1: we're up to, about the change that can be created
S1: across this country, across this world. I'm just I'm pumped
S1: and I'm pumped because I went to the series events,
S1: series of events. Also, I worked out like I finished
S1: two minutes ago, so I'm a little out of breath,
S1: but I just it's too good not to start right now. Uh,
S1: we went to the series of events that just wrapped
S1: up yesterday, hosted by the Milken Institute. Now, I had
S1: heard of Michael Milken before, uh, and as we got
S1: introduced from an awesome team member of ours to the
S1: Milken Institute, we were invited, starting back in. August to
S1: this Milken event, and I had no expectations of what
S1: this was back in August in the Hamptons. And it
S1: was a really cool forum. It's the same form in
S1: the Hamptons as it was that we just went to
S1: in Palm Beach, and then we trickle down from Palm Beach,
S1: which is about an hour outside of Miami, to do
S1: the same thing there. So what happens is these mega
S1: wealthy people. Open their homes up for people who are
S1: doing cool things, to sit on a panel, and for
S1: people in government and business and finance and education, to
S1: sit and listen to this conversation about different topics. And
S1: you're allowed to ask questions and really just get a
S1: more broad based understanding of a variety of different topics
S1: that you might not. I don't have access to. Like,
S1: I'm not sitting there listening to, um, conversations around economic
S1: competitiveness or the future of AI and health care from
S1: the people who are actually creating those things. Like, that's
S1: that's not what my day to day looks like. You
S1: know what my day to day looks like? I'm answering
S1: emails from my team members, and I'm talking to our clients,
S1: and I'm building spreadsheets and looking at data. My day
S1: to day is not looking at global economic trends and
S1: emerging technologies and the impact of, you know, regulatory changes
S1: to all of that stuff. So it's super cool to
S1: go to these things because first of all, I learn
S1: a shit ton. Second of all, the people there are
S1: doing amazing things in this world, and it's so inspiring
S1: to me to be around people who are doing amazing things.
S1: So I want to share some of my takeaways. One
S1: of the things that is also important for me to
S1: share is, um, let's see Chatham House. So they follow
S1: what's called Chatham House rules. I just literally googled that
S1: and Chatham House rules. According to Google, when a meeting
S1: is held under the Chatham House rule, participants are free
S1: to use the information received, but neither the identity nor
S1: the affiliation of the speakers, nor any other participant may
S1: be revealed. Okay, that's super interesting because I was about
S1: to tell you guys some people, but now apparently I
S1: can't do that. So I'm going to tell you what
S1: I learned. And when I tell you that I learned
S1: these things, I learned it from the people who are running.
S1: Multi-billion dollar funds. VC funds, private equity funds, hedge funds
S1: or people who are invested hundreds of millions in healthcare
S1: and AI and technology and have made wealth there. So
S1: I can't say any names. The names are freaking impressive. Uh,
S1: so here we go. It's good to share the takeaway.
S1: So it started on Saturday. Well, really? We went to
S1: dinner Friday night. Friday night was beautiful. I've never been
S1: to Palm Beach before. And just the grandiose ness of
S1: Palm Beach. You know, you've got the palm trees and
S1: these gorgeous buildings with large pillars and. It was just stunning.
S1: It was absolutely stunning. The dinner was beautiful and amazing
S1: and it was to raise money for prostate cancer, which
S1: is an incredible cause. Uh, so Monday I'm sorry. So
S1: Saturday rolled around, and the first session that I went
S1: to was on United States Economic Competitiveness, which I studied
S1: macroeconomics in college. So this is naturally something that is
S1: pretty interesting to me. Uh, and one of the main
S1: topics on this panel was. As long as innovation in
S1: healthcare is taking place and the average lifespan is increasing
S1: across the world, but specifically in the United States, how
S1: do we create a education model for adults to continue
S1: to uplevel their skills? While AI is a massive disruptor
S1: in this space, and man, I wish I could say
S1: who was there. This is such a bummer. Um, somebody
S1: who is at the forefront of research in H.R. was
S1: just giving all of these stats about the workforce, the
S1: population being in whole and the aggregate disengaged. We are
S1: paying more. So we've got three factors disengagement across the
S1: population of workers. Uh, we are paying more to workers
S1: due to inflation and and productivity is down, which all
S1: three of these factors combined is really not a promising picture.
S1: So what is the solution? Well, how do we inspire.
S1: The middle aged worker to want to learn new skills.
S1: If we could solve that problem, the United States stays competitive.
S1: The world we become more productive. The talent challenge that
S1: many of us business owners feel goes away, because we
S1: would have a workforce of people who not only wanted
S1: to learn, but also had access to tools to educate themselves.
S1: And instead of a 45 year old educating themselves, what
S1: is a 45 year old do? Well, most 45 year
S1: olds get entertained from TikTok, from Instagram, from Netflix. So
S1: what is our responsibility? And I, I've really been putting
S1: a lot of thought into this. Our responsibility, my responsibility
S1: to educate and to make. Learning and information, exciting and inspirational,
S1: and to instill belief in people who might have been
S1: stuck in the same career for 20 years. But if
S1: their life lifespan is going to increase, which it is.
S1: There's a lot of years left for this group of
S1: workers to learn new things and to be productive, because
S1: they are going to have to be because they are
S1: not going to have a financial cushion to fall back
S1: on in two decades, like previous generation or one decade
S1: like previous generations, they are going to have to figure
S1: this whole. Making money thing and continuing to say valuable
S1: to the workforce. But the only way that they do
S1: that with AI coming in and with what is it?
S1: AGI uh, coming in is by education and learning skills
S1: that are valuable. And so I've just been marinating on
S1: the different ways that I can do this. But you
S1: as a business owner, how are you educating and making
S1: education fun for your your workforce that falls all of
S1: your team members, but specifically the workforce that falls between
S1: 30 and 55. What are you doing? Ideally, you're talking
S1: about this is where if you have not been to
S1: a ten x 360, you need to come to a
S1: ten x 360. You need to figure out how to
S1: run your business in a different way so that you
S1: can engage your team. And they are inspired and are
S1: interested in educating themselves to get valuable skill set to
S1: achieve their goals. But this isn't just a your business
S1: and your productivity and your goal problem. This is a
S1: nationwide issue. You are contributing to the competitiveness of the
S1: United States economy. It's so much bigger than just our
S1: small businesses, and that was one of the resounding themes
S1: that I just kept hearing and kept resonating with throughout
S1: the course of this event. I'm gonna keep rolling. Um,
S1: the conversation that morning got a little bit dicey and
S1: a little hairy. Some people were asking questions that got
S1: very targeted, um, politically. And the Milken Institute is bipartisan.
S1: So one of the moderators reset and said, with all
S1: of this data, with all of this stuff that's being
S1: thrown out, we need to get back to why we're
S1: talking about this. He said our objective is to change
S1: the course of history. Nothing happens if we don't show up.
S1: Nothing happens if we don't show up. If you and
S1: me do not show up. If we do not inspire,
S1: if we do not create opportunities for education, if we
S1: do not live our lives in a way that is
S1: an example and creates opportunities for other people, nothing happens.
S1: It is. It is incumbent upon us. It is not.
S1: This next election cycle is not elected government officials. It
S1: is us. Nothing happens if we don't show up. So
S1: you might feel like, oh man, how am I supposed
S1: to help solve this? Education problem with lifespan increasing for
S1: 45 year olds. You do what you need to do
S1: to inspire people that you know to believe in themselves.
S1: You do that through how you show up every single day.
S1: Your impact is not small. My impact is not small.
S1: We cannot continue to convince ourselves that how we show
S1: up doesn't matter. It matters. It matters significantly. And I
S1: do believe that we can change the course of the
S1: country and the course of history through the way that
S1: we show up today in 2024, I believe that I
S1: hope you believe that too. I urge you to think
S1: about what your real responsibility is to change the direction today.
S1: What is your real responsibility, and how can you take
S1: responsibility for a piece of it? Okay. That was US competitiveness.
S1: There was another panel right after that. Your metabolism, your health,
S1: really talking about the impact of metabolism and your microbiome, uh,
S1: the and your hormones and all that stuff. It was
S1: very health related. Uh, one takeaway I got from this
S1: was the importance of drinking water, the importance of hydration
S1: for the core functions of your body, and the recommended
S1: guideline from somebody who works, uh, medical doctor who works
S1: with the medical school in Florida. I'm blanking on the
S1: name of it. Uh, for men, if you're a man,
S1: you should be drinking half your weight and ounces a
S1: day of water. If you're a woman, you should be
S1: drinking a third of your weight in ounces of water
S1: a day. Uh, everything else in that session got a little, like,
S1: dense and also so water. And we know this whole foods,
S1: stop eating packaged foods, stop eating things that come in
S1: a bag, stop eating, uh, deli meat, stop eating salami.
S1: Anything that comes that is prepackaged, that is salted. I
S1: don't know if you knew this. I did not know this, that, uh,
S1: according to the World Health Organization, lunch meat and packaged
S1: meat like salami and ham and turkey is considered a
S1: class one. That's one. It's up there with tobacco and alcohol.
S1: Just tobacco for, uh, cancer causing. Uh, I will find
S1: this actual study. Give me just, like, one second here. Okay,
S1: I found it. Uh, Ham. Bacon, salami. Is it, uh,
S1: and those, like, sausages. Group one carcinogen known to cause cancer.
S1: Which means there's a strong evidence that processed meats cause cancer,
S1: according to the World Health Organization. I eat a lot
S1: of stuff like that, so no freaking more. Okay, on
S1: to the next. This was my absolute favorite session, and
S1: to be honest, this completely shocked me because I had
S1: no interest the night before in going to this event.
S1: The event was called. Brunch a conversation with leaders in
S1: art and culture. And then the description. What drives the
S1: collector's vision, what they collect, how they collect, why they collect,
S1: and how that vision intersects with public and cultural institutions.
S1: What will this generation's museums, leaders, artists, educators, and philanthropists
S1: bring to art institutions, and how will they positively impact
S1: their communities? I honestly told Brian I was like, I
S1: don't think we need to go to this. There's nothing
S1: here for me. I do not know anything about this.
S1: I do not care to know anything about this. But
S1: the number one rule of success, according to Grant Cardone,
S1: is show up. So we showed up. First of all,
S1: the home that this event was in was one of
S1: the most gorgeous homes I've ever been to in my
S1: entire life. Just walking in that home was an inspiration.
S1: It was a moment that I will never forget in
S1: my entire life. It was spectacular. Being in spaces that
S1: inspire you is so important because it changes your perspective.
S1: Looking at a nice home on Instagram is different than
S1: walking through one, especially when the owners are there and
S1: they're approachable people and they're wonderful people. And you would
S1: know them if I shared with you who they are,
S1: but I'm not going to do that. So. Art. One
S1: takeaway on this for me was, is that the things
S1: that you think that you don't like, the things that you.
S1: Like maybe judge a little bit, like I might be
S1: a little judgy of art. I'm like, oh, what's the point?
S1: People just, like are wasting their time. This are kind
S1: of my internal thoughts about art. Those things are normally
S1: the things that you just don't understand because if you
S1: understood it. You would likely appreciate it if there's a
S1: whole group of people that love this thing, especially people
S1: who are sophisticated and educated and wealthy. If they love
S1: this thing, there is likely something to it. So before
S1: you just get all negative in speaking to myself here,
S1: before you just get negative and think that it's not
S1: for you and it's just for other people, you should like,
S1: don't knock it till you try it. And I feel
S1: this way with other things that are like, quote unquote wealthy,
S1: like horses. I know nothing about horses in the equestrian
S1: industry and polo. I probably just don't understand it. And
S1: if I had somebody who was telling me about it
S1: that really appreciated, I'd probably appreciate it and also find
S1: joy and fulfillment through it. So listening to these panelists, uh,
S1: these panelists have some of the world's largest collections and
S1: have spent hundreds of millions, if not over $1 billion
S1: on their art collections and sit on the boards of
S1: some of the most known museums in the world. Uh,
S1: and they all talked about why they love art and.
S1: What I loved about one of the men said was,
S1: you have to be obsessive. It's like art. I thought
S1: of this as a passion, and what I didn't understand
S1: is how competitive it really is, and how difficult it
S1: is to get these certain pieces and to to locate
S1: things and then negotiation. And like anything, the relationships that
S1: have to be built to know what is good, what
S1: is worthwhile. What is legit, how to access those pieces.
S1: There's fraud involved. There's so many dynamics that I didn't
S1: understand when he said, you have to be obsessive. It's like, wow,
S1: the same principles that I know to be true about
S1: business are true in art. And another gentleman said, Art
S1: is beauty. Life is ugly and beautiful. Choose what you
S1: focus on. So true. You could be anywhere and choose
S1: to focus on how ugly things are and how difficult
S1: they are, and war and troubles and problems. Or in
S1: the same. Space and time. You could choose to look
S1: at what's beautiful and what's changing history and what's making
S1: a statement, and that is art. And so I loved
S1: him saying that, uh, and just listening to their perspectives
S1: on why they collect and the impact that art has
S1: on culture and the way that they choose to use
S1: art to spend time with loved ones. Like, I'd love
S1: to go to museums with Brandon. I'm going to start
S1: going to museums with Brandon, because we can start to
S1: learn what we like and understand more about this, uh,
S1: but also the groups of people that you will meet
S1: through having a hobby like this. Most of them talked
S1: about how they use art as an outlet while they're
S1: building their businesses. Again, some of the largest hedge funds,
S1: VC funds in the globe, the founders of those acting
S1: CEOs of those were the the panelists, and they use
S1: it as this different outlet from business. It's similar, but
S1: it's a hobby and it gives them access to a
S1: different crowd of people, different thoughts, different. Different perspectives. I
S1: was like, who doesn't want that? Who doesn't want to
S1: also be competitive and great in another area of life
S1: that they can have domain expertise in? I can be
S1: a great business owner, I can be in great shape,
S1: and I can have hobbies that include art, where I'm
S1: meeting new and interesting people. And so it was just
S1: very fascinating to me to listen to them. And I
S1: was beyond inspired by what they've created. How much? They
S1: spend with their money and their time in the art world,
S1: and how proud and happy they are with that investment.
S1: And it really opened my eyes up. To that possibility
S1: for my own life. Okay, there were a couple other
S1: panels that day, but I am. Get a skip to
S1: the good stuff. So yesterday there were. Let's see here.
S1: There were four panels yesterday. Uh, two of them on
S1: artificial intelligence in technology and then also in health care.
S1: And the other two were on, uh, challenges and opportunities
S1: and venture capital. Super freaking cool. That was one of
S1: my favorites. And, uh, why it was one of my
S1: favorites is they were talking about the cycle that we're
S1: in right now where there's not a lot of investment
S1: going on there. There was in 2021 when the market,
S1: due to Covid and the pandemic, was really just screaming.
S1: And now they have founders where their business two years
S1: ago was worth $1 billion, and today it's worth $100 million.
S1: And the panelists are the investors in many of these
S1: large companies, large, large companies, all companies that you would know.
S1: And talking about the fact that most of these companies
S1: are run by kids, young people who have never been
S1: through tough cycles like this. And one of the comments
S1: that a gentleman made was faster. Entrepreneurs accept reality. The
S1: faster entrepreneurs accept reality, the better. So many entrepreneurs he
S1: was sharing just put their head in the sand and
S1: don't accept what their actual value is today. And he
S1: said they're shocked when they go through cycles. Where are
S1: you and what are you worth today and when? You
S1: can accept that, you can make decisions based on where
S1: the cycle is today, because the cycle is different than
S1: it was 18 months ago, and decision making and spending
S1: and where you're investing your team's time is different than
S1: 18 months ago. You cannot continue to operate like 18
S1: months ago today. And he also made this comment of
S1: back 18 months ago. He's like, you should be thinking
S1: about where you're spending your time, where you're prioritizing your
S1: resources efficiently because a negative cycle, a down cycle is
S1: going to happen. And he said just most of them
S1: didn't listen and got caught up in how good everything was,
S1: that they didn't stay prudent. And now there's reduction in forces, uh,
S1: you know, layoffs taking place because they weren't prudent back then.
S1: And listening to his advice and you know how. Obvious
S1: is that. But I think all of us have had
S1: an experience in life where we just thought things were
S1: always going to be good and we didn't use our
S1: resources wisely. And today, knowing the market that we're in,
S1: how can you set yourself up to accept where you're
S1: at right now? Totally accept. Come to full acceptance of
S1: what you are worth, what your business is worth, what
S1: the value of your assets are worth so that you
S1: can make decisions in order to grow. That instead of
S1: choosing to believe that, oh, at some future point in
S1: time it's going to look different. Well, it's only going
S1: to look different if you make different decisions today to
S1: create value. Uh, one of the panelists was also talking
S1: about the executive chairman role, especially in some of these
S1: large tech companies. And I know most of you do
S1: not have executive chairmans or structure a board structure or
S1: any sort of structure like that in your business. You're
S1: the CEO founder. Owner operator of your business. Uh, but
S1: with as he was explaining this executive chairman role, he
S1: made such a simple statement that is relevant to you,
S1: which is give control away of things that you aren't
S1: good at. And that's what the executive chairman should be doing.
S1: And that's what he was recommending other team members do.
S1: And I thought that was a beautiful recommendation for you
S1: as well. Give control of things you aren't good at.
S1: Let somebody competent do those things. None of them were
S1: up there who were phenomenal at product, at technology, at finance,
S1: at accounting. Like somebody else ran those things and they
S1: remembered what their job is. What is your job? And
S1: do that thing and give control of the other things
S1: to people who are better at those things than you. Okay.
S1: The last couple pieces here. One of the panelists is
S1: known for the way that he structured his business model, uh,
S1: because he did it so innovatively and so differently than
S1: his competition. And he's really a pioneer in his space.
S1: And he said the way that he thought about this
S1: was through becoming a solution provider to both the investor
S1: and the bank. Most companies, like his most investment firms,
S1: are the solution provider just to the investor and to
S1: the business that they're investing in, but not to the bank.
S1: And this particular entity is a solution provider. He he
S1: viewed himself as a solution provider to both. So they
S1: created interesting, different ways to entice banks that their competition
S1: did not. And they've become a market leader in this.
S1: So how can you become a solution provider to maybe
S1: not just your customer, maybe you're also a solution provider
S1: to your vendor? Or I know we have a lot
S1: of home services businesses who are struggling to find talent.
S1: Like how do you become not just a solution provider
S1: to your client, but a solution provider to the best
S1: talent in your market? How do you provide the solution
S1: to them? What is the problem that they have and
S1: how do you provide that solution? Fascinating. Okay. Um, the
S1: other panels that I went to yesterday were, uh. The
S1: leaders note that was a different one, a challenge. But
S1: we are talking about the VC one. Uh, artificial intelligence
S1: driving data forward. Uh, health care and bioscience. This one
S1: was fascinating. I'll just. I'll land on one of my
S1: favorite takeaways from the, uh, artificial intelligence driving data forward. Uh, panel.
S1: Super simple formula for value creation. You might want to
S1: write this down or type it or make a note
S1: wherever you are if you're driving and walking. This gentleman
S1: said value equals. Outcome over cost. And value equals outcome
S1: over cost. And the simplicity of that made me think
S1: about going back to the first day of creating valuable
S1: team members to solve the problems of our workforce. How
S1: do we create? How do they create value and get educated?
S1: Be taught that true value means that the outcome, the
S1: result is greater than the cost of that result. And
S1: to me, there's so many different ways as a business
S1: owner that you can apply this value equation and be
S1: thinking about solutions that you are providing back to the
S1: solution providers. I'm really going to do a good job
S1: tying this whole thing together. I can just feel it.
S1: I love it when this happens. Um, how do you
S1: how do you become a solution provider that is creating value?
S1: By prioritizing the outcome and having the outcome outweigh whatever
S1: the cost is? And I love just the simplicity of
S1: this value equation, because there's a bunch of value equations
S1: out there that I think can be confusing to people.
S1: But if you were to make a mantra in your organization. Guys,
S1: we are creating value. How can we create value? That equals.
S1: Outcome over the cost. Encouraging yourself and your leadership team
S1: to be thinking about this as it relates to the
S1: products and services that you offer. How you are staying
S1: competitive against people in your marketplace. How you are getting talent.
S1: What value are you creating that for them? Gives a
S1: perfect example of this. We had a team member who, uh,
S1: decided not to move forward with us because they were
S1: concerned that they weren't going to be able to be
S1: as present of a parent. And their value was being apparent,
S1: but to us, their value was inordinate and so we
S1: walked them through. Okay, what is the outcome that you're
S1: looking for? You're looking to be a very present mother. Okay.
S1: Let's talk about what is being a present mother mean. Okay.
S1: We can help you in these areas like you can. Prioritize.
S1: Two hours on Monday, Tuesday, Wednesday, Thursday, Friday this time,
S1: and maybe not get to do the pickup at 330.
S1: Maybe that's not going to be the pickup. You're not
S1: going to be the pickup person. But if you could
S1: spend this time and the weekends doing really special activities
S1: while also having a career where you're showing your kids
S1: how much of a badass you are and an example
S1: that you can be and actually produce something that they
S1: are proud that, like their mom is responsible for. Would
S1: the cost of creating something great over, uh, the. Okay
S1: with the cost of that. Would the outcome of that
S1: outweigh the cost of maybe not being the pickup person?
S1: With the outcome. Outweigh the cost. Because is the cost
S1: really just the pickup person? Like? Is that is that
S1: what's going to be the thing that stops this outcome,
S1: that really creates value for all of us? And having
S1: this conversation and going through it like this, you can
S1: you can influence people to make choices that look different
S1: through working with you. You can. Really have conversations about
S1: how to help them prioritize so that they can do
S1: it all. I believe that people can do it all.
S1: I believe it is a responsibility of people who have
S1: high potential to do it all. So really breaking down
S1: this value equation and walking people through what is the cost,
S1: what is the outcome and the fact that that creates value.
S1: It became just like super simple to me. And then
S1: the last piece on this is there was a gentleman who.
S1: His work is all about precision, and if I could
S1: tell you what his work is, you would fully understand
S1: what I mean by that. Uh, and he just kept
S1: saying over and over again, precision matters, precision matters, precision matters.
S1: Showing up, doing it the right way, having processes, having systems,
S1: having a culture where when you say something, it gets
S1: done and you ensure that it gets done matters. Precision
S1: matters in your environment. It does not matter to just
S1: let everything be loose and you say something, but then
S1: you go back on it or you don't follow up
S1: and you're not disciplined. No. Like it's okay that you
S1: create an environment where precision matters. When I step onto
S1: an airplane, I want to know that the pilots went
S1: to a school where precision matters when your customer does
S1: business with you. You should want them to feel like
S1: there's precision in the way that you run your operation.
S1: Not that it's sloppy and not that you know that
S1: Joe is slacking off. Or maybe he's drinking on the job.
S1: Like no precision freaking matters and feeling okay with expecting
S1: precision instead of oh, it's okay, we can be loosey goosey.
S1: He really inspired me to just say, this is the line.
S1: I'm drawing the line because precision does matter, and people
S1: in this world of chaos and confusion want to do
S1: business with companies that are willing to take enough of
S1: a stand to say precision is important, and doing things
S1: the right way is important. And I'm going to choose
S1: to be a business owner who does things the right way,
S1: because I can confront people who aren't doing things the
S1: right way. All right, I gotta run, I appreciate you.
S1: I hope this was helpful. Let me know what your
S1: takeaways are. Uh, and share this. Share this episode. If
S1: you found value in this, we'd love to have this
S1: episode be shared to a friends family. Anybody who is
S1: going through the process of building something, wanting to believe
S1: in themselves, wanting to change the world, I will leave
S1: with this. Nothing happens if we don't show up, nothing happens.
S1: So how can you show up?