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Speaker 2: All right, guys, Welcome back eyl Nostalgia Audition Audition.
Speaker 3: Yeah for sure.
Speaker 2: So if you were rocking with earning your lisia, you
Speaker 2: know that if you're a Day one supporter, Day one listener,
Speaker 2: you know that the first ten out of twelve episodes
Speaker 2: that we did something lone Elf Lines didn't. We didn't
Speaker 2: have any guests. We had a whole format of how
Speaker 2: we how we created your legion. It wasn't built on guests.
Speaker 2: It was built on case studies and breaking down trending
Speaker 2: topics like in like pop culture was related to business,
Speaker 2: telling stories. It was a whole thing that we had
Speaker 2: and it really became really popular. People liked it and
Speaker 2: we kind of just fell into having guests. By default,
Speaker 2: it was inevitable it was to have guests, so we
Speaker 2: just had it. Then we just fell in love with
Speaker 2: having guests and we just been doing that ever since,
Speaker 2: for months and months and months. But everywhere we go
Speaker 2: all of our Day one listeners and supporters have always
Speaker 2: acts like, can we get at least one episode how
Speaker 2: it used to be without any guests?
Speaker 4: Man? Is it they originated? Yeah, back to where we started.
Speaker 2: Next week will be back with our regularly scheduled guests.
Speaker 2: We got a lot of dope interviews with different guests
Speaker 2: in the Oven, but we wanted to bring it back
Speaker 2: to where it originally started. We actually kind of missed
Speaker 2: the format and it was actually really dope.
Speaker 4: So it took me back to the times where it
Speaker 4: was like, Yo, Tuesday, let's have a meeting, but we're
Speaker 4: gonna talk about Thursday, let's finalize it and come up
Speaker 4: with the ideas, and Saturday let's just shoot. It's like
Speaker 4: that routine kind of changed now, but it's good to
Speaker 4: come back to it, man, because we always we always
Speaker 4: gonna have ourselves.
Speaker 3: Yeah, it's like riding a bike, like we always have myself.
Speaker 2: Now, this is something I'm excited about because we got
Speaker 2: a lot to talk about and we wanted to just
Speaker 2: kind of just break it up a little bit and
Speaker 2: just just just give you guys us. Yeah.
Speaker 3: Man, So so that's who we're gonna do this episode.
Speaker 2: But before we start, by the time you guys here,
Speaker 2: this will be like a few days until our big
Speaker 2: DC takeover, and that's gonna be crazy. It's gonna be crazy.
Speaker 2: I ain't gonna talk about it too much.
Speaker 3: So much.
Speaker 2: But there's a few tickets left for the workshop. VIP
Speaker 2: is sold out by the time you hear this. We
Speaker 2: might be able to get a couple more tickets. I
Speaker 2: don't know, but workshop, we still have some tickets, a
Speaker 2: couple of tickets available for that, and it's gonna be
Speaker 2: a vibe man, we're looking forward to Wenna.
Speaker 4: Put the list of people who's gonna.
Speaker 2: Be Yeah, everybody's gonna be there, Man Max Maxwell, ash Cash,
Speaker 2: Wall Street Trapper, Rashana Scott, Mobile homes Elite, ut MG,
Speaker 2: the Mortgage Guy, Andy from Y two K Credit Solution,
Speaker 2: Derek Falcon from Homemade Sabine, The Purpose Attorney, Miss Business.
Speaker 3: It's gonna be it's gonna be crazy.
Speaker 4: So that's like twelve episodes in the.
Speaker 2: So yeah, so, like I said, we we gotta plug it.
Speaker 2: Hopefully we see you there. If not, we catch you
Speaker 2: in the next one. We're gonna release information on the
Speaker 2: next one pretty soon. But all right, so we're gonna
Speaker 2: jump right into this episode with a trending topic something
Speaker 2: that actually we put it on Instagram like a month
Speaker 2: and a half ago and we asked like should we
Speaker 2: cover this, and overwhelming everybody wanted us to cover it,
Speaker 2: but we just didn't have enough time because.
Speaker 4: You call, I remember you put it up on like
Speaker 4: a Thursday, and like Friday was like, yeah, we got
Speaker 4: to cover this on Saturday, and I'm like, yo, we
Speaker 4: got a few people lined up that we got an interview.
Speaker 4: I don't know if we can do it. We're like, yo,
Speaker 4: let's do it on Instagram Live. I'm like, nah, this
Speaker 4: needs more than Live, this needs this needs a segment.
Speaker 2: Yeah, So we didn't really have time, but we just
Speaker 2: kept it in the back burner. So we're gonna cover that.
Speaker 2: In the first segment. We're gonna cover that, and it's
Speaker 2: in regards fashion, licensing, ownership, TRADEMARKT trademark and all that stuff.
Speaker 2: And then in the second segment, we're gonna talk about
Speaker 2: multiple streams of income important E y L is multiple
Speaker 2: streams of income. So we're gonna give you the blueprint
Speaker 2: and you know, full transparency is our whole theme. And
Speaker 2: then the third segment, we're going to talk about some
Speaker 2: different financial topics that people a lot of times aren't fully.
Speaker 4: Aware of, and we're gonna test your expertise. Man, like
Speaker 4: this questions I had. I'm like, we've never even had
Speaker 4: these conversations. So it's gonna be dope. I get to
Speaker 4: do some questions at you.
Speaker 2: All right, So we're gonna start this off with a
Speaker 2: throwback from the past, everybody's favorite segment that.
Speaker 3: It's the only right we do it forty episodes.
Speaker 4: You gotta give him the intro, like you always do.
Speaker 2: Ladies and gentlemen, boys and girls without further ado story time.
Speaker 3: Here's a little story that must be to listen up,
Speaker 3: gangsters and honeys with your head done.
Speaker 4: Best storyteller stuff man Rader.
Speaker 2: So first and foremost. You know Kanye West. That's uh
Speaker 2: our brother.
Speaker 4: We can't throw him away.
Speaker 3: He Kanye West. You went to his concert?
Speaker 4: I go to a lot of I've been to a
Speaker 4: number of his concerts. I remember the first time I
Speaker 4: saw him. He was opening up for Usher on a
Speaker 4: Confessions tour. That's how far back.
Speaker 2: But he went to his most recent concert. Yeah, I
Speaker 2: was at the La Jesus Is King.
Speaker 4: We told that story alive. Yeah, I went. I went
Speaker 4: to Sunday Service.
Speaker 2: Man, he went to Sunday Services because we was at
Speaker 2: Complex cam Me, Mike Jamore you. We was at Complex
Speaker 2: con in l A and Long Beach and he had
Speaker 2: his show and you bought tickets to the show.
Speaker 3: All of us.
Speaker 2: Yeah, man, And he was about to go is in
Speaker 2: Inglewood and you got in the uber and nobody else
Speaker 2: got it.
Speaker 4: Listen, let's paint this picture. It was like three o'clock.
Speaker 4: I'm like, yo, the show starts at at four, Like
Speaker 4: I'm calling this uber right now. Guys, it's a forty
Speaker 4: five minute ride to Inglewood. Y'all coming with me, and
Speaker 4: everybody's like. I was like, I'm calling the uber. We
Speaker 4: all walked outside. I got into uber. I looked back.
Speaker 4: I saw y'all standing on the curve. I said this,
Speaker 4: I'm closing this door. It's gonna be a one man journey.
Speaker 4: And I looked and y'all took two steps backwards and
Speaker 4: I closed the door and I said, I'm going.
Speaker 2: Yeah, was in fact shout out to ye no disrespect,
Speaker 2: no disrespect.
Speaker 3: Yeah, it left me.
Speaker 2: Ya just wasn't in vis. You gotta be mentally prepared
Speaker 2: for that.
Speaker 4: And I'm not mad at it. I told you when
Speaker 4: and I doubled back. I came back. I was like,
Speaker 4: you know what, some things you need to experience by yourself.
Speaker 4: I kind of I needed that, man. It was an
Speaker 4: emotional moment.
Speaker 2: Shout Sunday shot, Yeah, you went by yourself, but shout
Speaker 2: out to complex content.
Speaker 3: I was.
Speaker 2: But I say that to say, we're gonna talk about
Speaker 2: Virgil Ablow. Yeah, right, and Virgil if you don't if
Speaker 2: you don't know, is he just recently took the.
Speaker 4: Head job at the hell designer of Louis.
Speaker 2: Louis Vaitton, I think the men's Louis Vuitton, right, And yeah,
Speaker 2: so he's he's big in fashion obviously, but before that,
Speaker 2: he has a brand called off White. Off White, if
Speaker 2: you're not familiar, is huge. Just it's it's one of
Speaker 2: these things where all of the rappers, where all the
Speaker 2: athletes wear it, and it costs a thousand dollars for
Speaker 2: a T shirt.
Speaker 3: It's crazy.
Speaker 5: It's like, you know, off White, It's like a thing.
Speaker 2: But so I mentioned Kanye West because Virgil comes from
Speaker 2: Kanye's tree. So when we talk about Kanye's tree, we
Speaker 2: talk about his musical tree, right, people that have come
Speaker 2: from him. So the big Seawans of the world, the
Speaker 2: John Legends of the world, kid Cuddies of the world,
Speaker 2: these are all people that come from Kanye's tree. No no, no,
Speaker 2: we can't put drinking there. No no, no, we can't
Speaker 2: play with Drake like that. But so so shout out
Speaker 2: to the six Guard. So so that's so d so.
Speaker 2: But but music is crazy, his his his his branches
Speaker 2: is crazy in music. But even more impressive is his fashion.
Speaker 2: So people, I would say more impressive. The people come
Speaker 2: from under Kanye in fashion is Jerry Lorenzo Fair of God,
Speaker 2: Virgil Ablow who we just talked about don Ce who
Speaker 2: worked the Jordan brand and what else did he do?
Speaker 4: He still has it and he has the rs VP shop. Yeah,
Speaker 4: he has a couple of deals he did. Uh, he
Speaker 4: did a deal with the NBA where he likes in
Speaker 4: some of this stuffy.
Speaker 2: And Virgil and Kanye actually moved to the all of
Speaker 2: them literally for like six months, and they interned Louis
Speaker 2: So it's crazy.
Speaker 4: So a right, Louis Vautan don Actually no, Louis Vuitton don.
Speaker 2: Yeah, he got his whole name from that whole vibe.
Speaker 2: So what happens? Okay, So Virgil starts a company called
Speaker 2: off White, and off White blows up. Off White becomes
Speaker 2: a really big thing, and it's one of those things,
Speaker 2: like I said, where everybody's just it's like you got
Speaker 2: to get off White.
Speaker 4: Sure it started before like he built the buzz because
Speaker 4: he had that pirate there was like this pirate's vision
Speaker 4: that fashion line that he had done, but it was
Speaker 4: he was pointing it on other pieces of cold and
Speaker 4: so you might see a Champion sweatshirt, but it had
Speaker 4: like the Pirates stuff on it, so push your tea
Speaker 4: obviously that makes sense, right, He's part of that that
Speaker 4: crew that conglomerate at Kanye Conglomerate. So they was wearing
Speaker 4: it and then that Pirates became a big thing, like Jay,
Speaker 4: whar is it? That was big? And then somebody saw
Speaker 4: the light in him.
Speaker 3: Yeah, that's a fact.
Speaker 2: So Marcelo Brown, Berlin Burlin, Marcelo Marcello, Yeah, Marcelo Burlin
Speaker 2: recruits him to come to Italy, right, and so Mark
Speaker 2: he owns the New Guard group. Yeah, him, he has
Speaker 2: two parts, which is a fashion conglomerate, right, So he
Speaker 2: takes him to Italy and he shows him their manufacturing factories.
Speaker 2: So yeah, we started laughing because it's like when Kanye.
Speaker 2: Remember when Kanye was on Sway and he was like
Speaker 2: he was talking and nobody really understood what he was
Speaker 2: talking about, and he was like, I can't produce this level.
Speaker 2: I can't produce and they like why would you? Like
Speaker 2: what are you talking about? And he's like, yo, got
Speaker 2: dance to sweat.
Speaker 4: They only gonna give us tea shirts a hat.
Speaker 2: And so he's like and even Charlman was like what
Speaker 2: do you Nobody really knew what he was talking about.
Speaker 2: He didn't really do a good job of explaining what
Speaker 2: he was talking about, but he was just saying like
Speaker 2: he didn't have the factories to produce, and it just
Speaker 2: didn't go over well.
Speaker 3: Right.
Speaker 2: But it's crazy because it's like when Virgil, they said,
Speaker 2: when he when he went there and he saw the factories.
Speaker 2: I don't know what they with these factors like magical fits,
Speaker 2: like Willie Walker in the Chalcoling factory. So he saw
Speaker 2: these factories and he realized that he couldn't compete Get
Speaker 2: down later type vibe. So he saws his company and
Speaker 2: you know what's crazy is that shout out to Dapper Dam.
Speaker 2: But when Dapper Dam was on the Breakfast Club when
Speaker 2: that's what really started this whole vibe. Dapper Dam was
Speaker 2: on the Breakfast Club and Charlemagne kept pushing him like, yo,
Speaker 2: why don't you just own your own joint?
Speaker 4: Like why are you working for Gucci? You've done so
Speaker 4: much for this company. You brought the street with and
Speaker 4: Contour together, like create your.
Speaker 3: Own, create your own things.
Speaker 2: So then he kept pushing them on that, and then
Speaker 2: that was like, well, who what black designer owns.
Speaker 3: Their own outright?
Speaker 2: Like on a high level, on a very high level,
Speaker 2: and he was like off white Virgil, and then he
Speaker 2: was like does he does he? So then Charlamagne was like, well,
Speaker 2: what does that mean?
Speaker 3: What are you saying.
Speaker 2: He's like, I'm not saying anything. He's like, through your research,
Speaker 2: I promise you. Like as soon as I saw that,
Speaker 2: and then one week later this whole story. I was like, yo,
Speaker 2: I'm doing the research and then we found this, I'm
Speaker 2: like so surprised. It turns out that he doesn't own
Speaker 2: off white. New Guard Group owned off white right majority state.
Speaker 2: So what happens is that he sold it to the
Speaker 2: New Guard Group. All right, it happens all the time
Speaker 2: people sell that company. But what makes this interesting is
Speaker 2: that he still has control over it in a certain
Speaker 2: way because he kept the licensing right. So this is
Speaker 2: very important. This, this is this is where the story
Speaker 2: gets interesting. So he sold the company to the New
Speaker 2: Guard Group, but he kept licensing rights. So what happens
Speaker 2: is that New Guard was in control of development, distribution,
Speaker 2: and manufacturing, so they they wach everything everything right, but
Speaker 2: but he was in control of licensing. So in order
Speaker 2: for them, in order for them to put it in
Speaker 2: any store, or to sell it. Effectively, they have to
Speaker 2: rent the licensing rights from him and then they split.
Speaker 2: They don't they didn't say what their agreement was as
Speaker 2: far as the split, but they split. Let's just say
Speaker 2: hypothetically the fifty to fifty split. And so he still
Speaker 2: makes money, but he's not actually doing anything which actually
Speaker 2: works out for him now just he could focus and
Speaker 2: to see his energy on running Louis Vatan.
Speaker 4: Yeah, and that's the beautiful thing about licensing and trademarking
Speaker 4: is that he can do it with this one and
Speaker 4: right now, this group that this deal that he has
Speaker 4: with New Guard and we'll talk about who they sold
Speaker 4: it to, is that this one's exclusive. But the next time,
Speaker 4: and like we said, we don't know the terms of
Speaker 4: the money in the contract. We don't know the terms
Speaker 4: of the years either. But as soon as this deal
Speaker 4: is done, he can license to New Guard, he can
Speaker 4: license to this person. He could I mean, he can
Speaker 4: do it as many times or with whoever you want.
Speaker 2: So the licensing thing is extremely It's an interesting conversation,
Speaker 2: especially when it comes to fashion, because people don't fully understand, like,
Speaker 2: you know, who's huge in fashion, so Disney, You never
Speaker 2: really think about it like this and shout out the
Speaker 2: Prince Darnell, another ey L alumni, he was. He was
Speaker 2: in a store I think like a month ago. He
Speaker 2: did a whole Instagram clip about this. But Disney licensed
Speaker 2: their characters out all the time, all the time, especially fashion.
Speaker 2: They're real big in fashion. So we talked about like
Speaker 2: back in the day with Iceberg with Goofy, and Goofy
Speaker 2: was on all the sweaters. They're not using Goofy just
Speaker 2: saying I want to use Goofy. No, you can't do that.
Speaker 2: It's a selling you got a license it.
Speaker 4: So they did. They had Mickey too. I remember they
Speaker 4: I remember the sweater. Vicky had the one. So they
Speaker 4: had Mickey, they had Goofy, Peanuts. They also licensed that.
Speaker 4: But it's like they have to pay to use those characters.
Speaker 3: Yeah.
Speaker 2: And the crazy thing is like, so when you go
Speaker 2: in the mall, because you see especially now it's Holliday time,
Speaker 2: you see a bunch of shirts with Snoopy, Mickey, especially
Speaker 2: Mickey Mouse, Mickey Mouse Mini Mouse.
Speaker 3: They're huge.
Speaker 2: You never really tried, you never really paid attention, right,
Speaker 2: But if you go and you look at the tag,
Speaker 2: they're not gonna say Disney right.
Speaker 4: You could go in Old Navy right now and find
Speaker 4: the Mickey Mouse t shirt or Urban Outfitters.
Speaker 2: And all of these, all of these different companies that
Speaker 2: put those characters on it, they have to pay Disney, right,
Speaker 2: so they license their characters out on Fashion. They license
Speaker 2: all this stuff out too.
Speaker 4: Music.
Speaker 2: Yeah, they like the Netflix. Right before they started their
Speaker 2: own streaming service, all of the Marble catalog was on Netflix, right.
Speaker 2: Netflix is paying Disney big money, big money to use this.
Speaker 4: It's the reason why now like with Disney Plus that
Speaker 4: all like Black Panther's not on Disney Plus yet, or
Speaker 4: like Star Wars, the New Hope is not on Disney
Speaker 4: Plus yet because the licensing agreement hasn't run out. As
Speaker 4: soon as it does, that'll be on Disney Plus. Netflix
Speaker 4: will never see another Disney product.
Speaker 3: Yeah.
Speaker 2: So it's the same thing with fashion and some of
Speaker 2: your top favorite designers they don't own right. You think
Speaker 2: they do because it's the name, because it's the name,
Speaker 2: But larger corporations like the New Guard Group, they own it, right.
Speaker 2: So this happens all the time. Also, we talked about
Speaker 2: as far as even in real estate. So Trump is
Speaker 2: a guy, Yeah, Donald.
Speaker 4: Trump in New York City. You know, like especially maybe
Speaker 4: ten years prior to today, when you drove down the
Speaker 4: West Side Hiway, it was nothing but buildings that said
Speaker 4: Trunk Tower, Trump Tower, Trump Tower, Trump Tower. He doesn't
Speaker 4: own the building, the land itself. He just licensed his
Speaker 4: name to put it on the building, which in turn
Speaker 4: people associate with the lifestyle. It's like, this is high luxury.
Speaker 4: I'm living in the Trump Tower. I have money, I
Speaker 4: have high luxury. There's a certain lifestyle that comes with it.
Speaker 2: Yeah, he did that probably the best, honestly, I mean,
Speaker 2: hate it and love it. But you gotta always look
Speaker 2: at a business case study, right, You got to take
Speaker 2: emotions out when you're looking at business. So whether you know,
Speaker 2: politics is very divisive. So whether you love them, whether
Speaker 2: you hate them, whatever, you gotta look at the business
Speaker 2: model behind it. Like all of this stuff from his ties,
Speaker 2: a lot of his golf courses, all of those buildings,
Speaker 2: those Trump Tower, very few of those. Does he actually
Speaker 2: own the casino too. He licensed his name. People pay
Speaker 2: him because he built the brand around Trump, the name Trump,
Speaker 2: and now it's like, okay, just the name on itself,
Speaker 2: I can make money via value. So this is what
Speaker 2: makes the Virgual deal interesting because it's like, okay, like
Speaker 2: we said, people sell their companies all the time. We
Speaker 2: talked about Kylie Jenner recently selling fifty percent of our company.
Speaker 2: So he sold the company, but he also is making
Speaker 2: money on the back end because he licensed.
Speaker 4: It, right, And that's one of the things they said,
Speaker 4: especially in fashion, if anyone's trying to start something, owning
Speaker 4: the trademark is probably the most valuable thing you can
Speaker 4: have in fashion because you that lives on forever. Like
Speaker 4: this least agreement that you might have eventually they're renting,
Speaker 4: but that lives on forever. As soon as that agreement
Speaker 4: is done, you can find seven different partners to now
Speaker 4: license with, and then that lives on in perpetuity. Like
Speaker 4: keep that. He you know what he does. He owns
Speaker 4: his masses. We always talk about music. Yeah, Virgil owns
Speaker 4: his masses.
Speaker 2: But so, but now what happens is that so New
Speaker 2: Guard Group gets brought. So it happens, okay, So Virgil
Speaker 2: has to deal with New Guard Group, right, and he
Speaker 2: sells him a percentage of a large percentage of the company,
Speaker 2: but he keeps the licensing agreement.
Speaker 1: Right.
Speaker 2: They do all of the work, they manufactured, they distributed,
Speaker 2: they do everything, he gets paid and they have a
Speaker 2: good relationship, I'm assuming, right, But now New Guard Group
Speaker 2: gets brought by G three three, which is another fashion
Speaker 2: conglomerate company. So now this way it becomes a little
Speaker 2: complicated because it's like, Okay, it's like a record label.
Speaker 2: We HAVET Mickey facts only saying he got dropped by
Speaker 2: one record label or his record label got acquired by
Speaker 2: another record label. Right, So it's like you might have
Speaker 2: a good understanding with an executive at RCA, but now yeah,
Speaker 2: so now it's a whole different, you know, relationship. So
Speaker 2: it's the same thing with this, right, So it's like, Okay,
Speaker 2: you might not be on the same page, right because
Speaker 2: now you got the company that you sold, the two
Speaker 2: guys acquired. Right, So I'm assuming that you know, obviously
Speaker 2: Virgils seasoned, and I'm assuming he has a good counsel
Speaker 2: and he's around good people that's given him good advice
Speaker 2: and he's noledge with himself. So now what you do
Speaker 2: is you put a termination.
Speaker 4: Clauset, a termination provision really, so it's like what that
Speaker 4: means is like if a brand, if the company decides
Speaker 4: to put out stuff that does not represent the brand
Speaker 4: any further. Then he has the right to say, you
Speaker 4: know what, we don't want to do business anymore since
Speaker 4: you've sold it the company and we lost our agreement.
Speaker 4: If you can't match what we are expectations going forward,
Speaker 4: if we're not a high luxury brand and going forward
Speaker 4: we end up in like a TJ Max or something,
Speaker 4: are deals terminated.
Speaker 3: Yeah, it's very important.
Speaker 2: So that's very important because you always gotta I always
Speaker 2: give the analogy of like when you go to the movies,
Speaker 2: like before a movie starts, they they always say, like,
Speaker 2: disit an exit right when you get on a plant,
Speaker 2: when you get on a plane, before the plane takes off,
Speaker 2: they tell you where the exit rolls are, and they
Speaker 2: tell you like the procedure like if if an emergency happens, right,
Speaker 2: So if you really on point, before you go to
Speaker 2: any building, you always got to recognize the exit before
Speaker 2: you because it's like getting out is more important than
Speaker 2: getting in. You have to you have to identify an
Speaker 2: exit preferably before you even get in, right, because you
Speaker 2: don't want to get somewhere and you don't know, then
Speaker 2: you got to kind of like knock around and run
Speaker 2: where's the exit. So, if you like presidents, right, they
Speaker 2: already mapped out the exit strategy before they actually getting
Speaker 2: out the secret services job. So in business is no different.
Speaker 2: Before you do a deal, you got to figure out
Speaker 2: the exit strategy. Hopefully it doesn't go bad, but you
Speaker 2: always got to think what if it does. Right, It's
Speaker 2: like getting It's like in a prenumptial agreement when you
Speaker 2: getting married. What's that Well, hopefully, hopefully, hopefully you never
Speaker 2: have to use it, but just in case fifty percent
Speaker 2: chance that it, you know, it doesn't work out, you know,
Speaker 2: you got to your walking papers already established. So that's
Speaker 2: extremely important for entrepreneurs. And this is a very high
Speaker 2: level case, but any level of business ship partnership, whenever
Speaker 2: you are doing business with somebody, you always got to
Speaker 2: have a exit built in because if not, now you.
Speaker 3: Get screwed, you get stuff or dropped. Yeah, n G. Three.
Speaker 2: So they also own Donna Karen right, So that Donna
Speaker 2: Karen stories is interesting as well because.
Speaker 4: It's like the flip side of the Virgil situation.
Speaker 3: Right, Right, she didn't she didn't license her.
Speaker 4: Name, right, she didn't license her name and she got acquired.
Speaker 4: She actually got acquired by lvm A.
Speaker 2: Lvm A shot the Wall Street Trapper. We talked about
Speaker 2: that in episode and they just did with Tiffany's. They
Speaker 2: just bought Tiffany's for sixteen billion.
Speaker 3: LVMH one of the largest companies in the world.
Speaker 4: The largest high fashion.
Speaker 2: One of the largest, well Apple is the largest, right
Speaker 2: right right, my fashion fashion, Yeah sure, so LVMH, like
Speaker 2: I said, we talked about that in episode forty four,
Speaker 2: Wall Street Trapper. But they own Louis Vuitton, Hennessy, Moat,
Speaker 2: a bunch of different stuff Tiffany's. Now they own a
Speaker 2: long list of high fashion and just high lifestyle item.
Speaker 2: So she sold, she sold her company to them in
Speaker 2: two thousand, four hundred and fifty million.
Speaker 4: That's a lot of money.
Speaker 3: But that took out the game, right, but they still
Speaker 3: use her name.
Speaker 4: She sold her brand and her entity, so Donna Carrott International,
Speaker 4: which encompasses DKY and everything else that comes with Donna Karen.
Speaker 2: But now so they sold did to G three another
Speaker 2: G three acquire in twenty and fifteen for six hundred
Speaker 2: and fifty millions. They made two hundred so they made
Speaker 2: two hundred midle.
Speaker 4: But during that like when they sell it, she steps down, right,
Speaker 4: So she steps down from her position. I think when
Speaker 4: she sold it to LVMA, she stayed on its head
Speaker 4: designer twenty fifteen. She steps down. So now she has
Speaker 4: nothing to do with the brand.
Speaker 3: No, she's done, But the brand still makes money.
Speaker 4: The brand is super profitable, like last year, I think
Speaker 4: five hundred and seventy million in profit. She gets none
Speaker 4: of it, and she has no say in a brand
Speaker 4: that has her name, Like she could walk into any
Speaker 4: store to say Donna Karen is like wait, they made that,
Speaker 4: and she could do nothing. Even though it has her
Speaker 4: name on it, she can't use it.
Speaker 2: So yeah, so that's interesting because, like I said, a
Speaker 2: lot of times people don't fully understand, like when they
Speaker 2: just see headlines in the news. But these are things
Speaker 2: that I think any entrepreneur can learn from because it's like, Okay,
Speaker 2: he's so it's a very savvy move that he did
Speaker 2: where he sold the company, but he kept the licensing
Speaker 2: right right, So now he's still gonna make money in
Speaker 2: perpetuity as long as he keeps that agreement.
Speaker 4: The next deal is gonna be silly.
Speaker 2: And yeah, as long as the company keeps growing, he
Speaker 2: can renegotiate next time and even more.
Speaker 4: Yeah, because that's the thing. It's like when you see
Speaker 4: this is an exclusive deal, so like you'll see off
Speaker 4: White like they just did the Ikea drop. Did you
Speaker 4: see that they put the off White Ikea furniture?
Speaker 2: Nah?
Speaker 4: It was crazy. So like that sells out like that,
Speaker 4: Like the branch just grows once this deal is over.
Speaker 4: Whenever it is, like, can you imagine the lineup of
Speaker 4: people who are coming to knock on that door to
Speaker 4: use the license. It's gonna be ridiculous. He could do
Speaker 4: it like right now. It's exclusive, so he can only
Speaker 4: use through New Guard. But I can't imagine, like what's
Speaker 4: gonna happen when he's a free agent and it's like, yo,
Speaker 4: who wants to use the license? He's gonna be out
Speaker 4: as world.
Speaker 2: You know.
Speaker 3: Sometimes you get paid on front in the back end.
Speaker 4: Yeah, man, And and the little Eton stuff is moving crazy.
Speaker 2: Yeah, that's a fact. That's a fact. So yeah, we
Speaker 2: gotta get more on your leisure.
Speaker 4: That's a fact. Make it happens, get on it. We
Speaker 4: got to make that happen.
Speaker 3: All right. So that's the case study breakdown on Virgil.
Speaker 2: So the next second we're gonna talk about multiple streams
Speaker 2: of income, how to how to get money from different avenues.
Speaker 4: It's important, man, you can't you can't just have one
Speaker 4: in this day and age. So we got one. You're done.
Speaker 2: Let's do it all right. So now we're going to
Speaker 2: talk about multiple streams of income.
Speaker 4: That is I mean, I get that question. I'm sure
Speaker 4: you get a bunch of I get that. Especially in
Speaker 4: the education field. Teachers every day it's like, yo, I
Speaker 4: need to make more money. How am I going to
Speaker 4: do this? What do I do? How are you doing it?
Speaker 4: I'm like, we got something for you.
Speaker 3: Real life got multiple streams of income. It's no longer option,
Speaker 3: It's a.
Speaker 2: Necessity in this world that we live in. So we're
Speaker 2: going if you're a member of e y L University,
Speaker 2: shout outs to all of our EYO earn out the
Speaker 2: students that's enrolled. Ey L University is the dopest platform
Speaker 2: right now online. It's crazy. We did a whole course.
Speaker 2: We did an our course on multiple streams of income.
Speaker 2: That's actually out right now. So we're going to do
Speaker 2: is try to condense this like fifteen minutes, but if
Speaker 2: you want the like full hour version, you can just
Speaker 2: check out earn your leision dot com. We also have
Speaker 2: a course on it about how to create a podcast.
Speaker 4: With details, product placement, all that.
Speaker 2: It's dope, it's dope, so yeah, we yeah, this would
Speaker 2: be like the abbreviated version, and if you want the
Speaker 2: full version, you can just check out Eyo University for sure.
Speaker 2: But so, right, when it comes down to like having
Speaker 2: multiple streams of income, right, I think it's important to
Speaker 2: first understand and shout out to Derek Falcon another one
Speaker 2: of our legendary episodes that you don't. A lot of
Speaker 2: times people are under the misconception that you need like
Speaker 2: five seven different things because they say the average millionaire
Speaker 2: has anywhere between five to seven streams. So a lot
Speaker 2: of times people look at that and it becomes like
Speaker 2: overwhelming because it's like we're so try. The average person
Speaker 2: is just trained to work a job to get money.
Speaker 2: So now it's like, Okay, I gotta work seven jobs
Speaker 2: or I gotta like create seven totally different businesses. So
Speaker 2: I gotta do like construction, plumbing, real estate, I gotta
Speaker 2: be a stock market invest I gotta do all these
Speaker 2: different things.
Speaker 3: And it's like who has enough time?
Speaker 2: Right, But one thing I really liked about with Derek
Speaker 2: Saitning and really resonated with us, is that you don't
Speaker 2: need multiple avenues to create multiple streams of income. You
Speaker 2: just need one lane that you do really well and
Speaker 2: you can create multiple streams of income off of that
Speaker 2: one lane.
Speaker 4: It's like what we said, like we got to build
Speaker 4: a foundation. If you think in the sense of a tree,
Speaker 4: the tree is gonna be the foundation of what you're
Speaker 4: gonna do, right, So like from that you're just gonna
Speaker 4: start building branches from it.
Speaker 2: Yeah, so all right, So yeah, so we're not gonna
Speaker 2: give you a case study or theory. We're gonna give
Speaker 2: you the real deal. This is this is just all
Speaker 2: I mean, this is ours platform in blueprint. But I mean,
Speaker 2: you know everybody's blueprint is gonna be different. But we
Speaker 2: can just we could speak best about what we personally know.
Speaker 4: Right, So, and they've been here to see it, so
Speaker 4: like y'all been here watching it, y'all seen it from
Speaker 4: January to now, We're just gonna give you really in detail,
Speaker 4: like how this works.
Speaker 3: Yeah for sure.
Speaker 2: So the thing with Earn your Lisia is that all right,
Speaker 2: So Earn your Lisia started in January of twenty nineteen
Speaker 2: and it was a podcast, right, and it was you know,
Speaker 2: we started the Instagram page was the first thing we did.
Speaker 2: And we launched Instagram and we turned into like a
Speaker 2: daily discussion board pretty much of like different financial topics.
Speaker 2: We post different things on Instagram and people give their
Speaker 2: feedback on it and we do different write ups and
Speaker 2: it's like a whole you know, financial board discussion on
Speaker 2: different all different areas of finance.
Speaker 3: Right.
Speaker 2: So but that was all done in relationship to build
Speaker 2: the podcast. Right, So we created a podcast, right, we
Speaker 2: didn't know anything about That's the thing about this too,
Speaker 2: is that we didn't know.
Speaker 3: We're not even our year yet, Like we're we just.
Speaker 2: Had a phone call and we're like we're learning still, Yeah,
Speaker 2: eleven eleven months and we're still learning. So we think
Speaker 2: where earner Leasia is that? Okay, So it started. It's
Speaker 2: just a podcast and we had to figure out how
Speaker 2: can you monetize a podcast because there's no blueprint on
Speaker 2: how to do it. You just kind of figure out
Speaker 2: how you go, right. So, but now we have a
Speaker 2: few different streams from early lesion, Like I think we
Speaker 2: gonn talk about like five six different streams that we
Speaker 2: have from earn leisure income streams from early leasure right
Speaker 2: now right, So all right, So as the podcast grew,
Speaker 2: the first the first thing that we started to monetize
Speaker 2: was audio.
Speaker 3: Right.
Speaker 2: So if you listen to this, you know that you
Speaker 2: know we give Spotify, Anchor from time to time other brands.
Speaker 2: You know, it's part of the episode. Right, So those
Speaker 2: are ads that we do and we're not doing it
Speaker 2: for charity. Obviously, we get we get conversated for that, right.
Speaker 2: So how you get compensated in the podcast world is
Speaker 2: what's called CPM.
Speaker 3: Right.
Speaker 2: So CPM is like per thousand plays what you get.
Speaker 2: So if you get standard, the good thing with post
Speaker 2: is that it's usually like standard. It's like twenty five
Speaker 2: dollars twenty on, like twenty to twenty five. It's like
Speaker 2: usually standard, right, industry standard.
Speaker 4: And when the platform we use was Anchor. Obviously if
Speaker 4: you listen to this, we did it on Anchor and
Speaker 4: we didn't have to go find them. They provided us
Speaker 4: with the ads based on the audience listening. So they
Speaker 4: saw that there was a thousand people listening to the first episodes,
Speaker 4: they sent us one ad. They see this four thousand people.
Speaker 4: Then they sent us two ads. So the more people
Speaker 4: we had engaged in listening, the more ads they sent
Speaker 4: to us. And you know it, so like you hear,
Speaker 4: you got to go back and listen to the original ads.
Speaker 4: So the original was a funny bit.
Speaker 2: They're not a crazy thing is At first I didn't
Speaker 2: even want to take the ad because I'm like, when
Speaker 2: I saw it was twenty dollars CPM per.
Speaker 4: Thousand thousand, that's how it works every thousand.
Speaker 2: So when we first started, we was averaging like two
Speaker 2: thousand a week or something like that, So I'm like,
Speaker 2: why are we even doing this for forty dollars? And
Speaker 2: then I read something like just do it because it
Speaker 2: builds up over the cost of time perpetuity. Does I
Speaker 2: can tell you it does. And the crazy thing about
Speaker 2: it is that now with like anchor like it's the
Speaker 2: dynamic ads, right, So what happens is that not every
Speaker 2: time somebody listens to a podcast, we get paid. So
Speaker 2: you can go back and listen to episode one and
Speaker 2: as long as there's an AD and placed in it,
Speaker 2: we're gonna get paid for that. So that's pretty cool
Speaker 2: because it's like, now as as our audience grows, right,
Speaker 2: we are revenue grows as well, so we get paid.
Speaker 2: So that's one way how we get paid, right, And
Speaker 2: then so that was the first way how we started
Speaker 2: to monetize the podcast. And then you know, from that,
Speaker 2: we figured, okay, now we have an audience, but we
Speaker 2: always love fashion and we always you know, it was like, okay,
Speaker 2: what's the next thing that we should do and actually
Speaker 2: to promote the podcast as well, and we came up
Speaker 2: with a couple of different slogans with the slogan the
Speaker 2: slogan that really stuck and became our signature with Assets
Speaker 2: of Aliability.
Speaker 4: Had I remember sitting down and we wrote down, like
Speaker 4: you said, let's come up with ten, come up with ten,
Speaker 4: and we put them out and it was like, all right,
Speaker 4: well let's use these three. And we had three. So
Speaker 4: if you had the day one people, you know, when
Speaker 4: you went to the site, there was a bunch of
Speaker 4: different shirts. And as we moved on and we realized
Speaker 4: like that's not really gonna move, we stuck with three.
Speaker 2: Yeah, the most popular, Access overliability. So and that just
Speaker 2: became our trademark. We tried a couple different things, but
Speaker 2: that became our trademark. And so the thing about merch.
Speaker 2: Everybody sells merch. It's popular, it's like the first thing
Speaker 2: you want to do, right, But merch can be a
Speaker 2: kind of a tricky thing. So how we use What
Speaker 2: we use is print Fall, right, So print Fall is
Speaker 2: a company that allows you to not hold any inventory.
Speaker 4: It's only demand. So like you order it, it's they
Speaker 4: make it. Pretty much like what we said in the
Speaker 4: last segment. They make it, they distribute it, and all
Speaker 4: we do is create the file which is the assets
Speaker 4: over alliabilities, which is ours. They printed up and they
Speaker 4: send it out to you.
Speaker 2: Yeah, so it's an interesting business model. It's pros and
Speaker 2: cons with everything because they take a percentage of pretty
Speaker 2: hefty percent. We're working on that so, I mean, we
Speaker 2: probably could make a lot more money if we just
Speaker 2: did it ourselves. But the thing about it is a
Speaker 2: lot more work and it's a lot more capital. It
Speaker 2: doesn't cost us anything. That's the good thing about print Falls.
Speaker 2: That doesn't cost anything.
Speaker 4: We don't have to buy sweatshirts, we don't have to
Speaker 4: buy shirts.
Speaker 2: One hundred dollars a month I think just to actually
Speaker 2: run the site. But other than that, there's no there's
Speaker 2: no money, there's no overhead so as somebody buys the shirt,
Speaker 2: they print it, they ship it.
Speaker 3: It's a whole. It's a whole.
Speaker 4: Literally, Like we created our own store on Shopify. It
Speaker 4: goes on print full and we put our designs up
Speaker 4: there and people just when they order. I remember we
Speaker 4: got our first order. I was like, oh wow, this
Speaker 4: is great, and then ships you. We don't have to
Speaker 4: store anything.
Speaker 2: That's another thing to it. Especially when it comes to business.
Speaker 2: A lot of times it's like and this is this
Speaker 2: is this. There's no really no right or wrong answer
Speaker 2: on this, but especially if you're doing a lot of
Speaker 2: different things, sometimes it's better to take less money to
Speaker 2: free your time up right, because it's like, like I said,
Speaker 2: we could do it ourselves, but that's a lot more time,
Speaker 2: Like we actually have to find somebody to actually make it.
Speaker 2: For printing press, you have to hold a bundle of
Speaker 2: different merch we have to ship it, we have to
Speaker 2: track it, we have to you know, do all of
Speaker 2: those things. It's not and especially as more people start
Speaker 2: to order shirts, it becomes it's been too much. It's difficult.
Speaker 2: So with print Fall they kind of do all of
Speaker 2: that for us. Like I said, they take their percentage
Speaker 2: for doing all of that stuff, but we're still get compensated.
Speaker 2: So that was that was another revenue that was like
Speaker 2: the second revenue stream that we did I didn't.
Speaker 4: And then the next one was a proud of the
Speaker 4: pay program And that was kind of just happened in
Speaker 4: a comment. Somebody was like, hey, you guys on Patreon,
Speaker 4: and at the time I remember I text you, I'm like, yo,
Speaker 4: what is Patreon? And then we did the resource sholder.
Speaker 4: It was like, oh, this could be a way that
Speaker 4: we could give bonus content. We can put out a
Speaker 4: different variety of things and features for our audience, and
Speaker 4: so like that became another source of income. So we
Speaker 4: created five different ta.
Speaker 2: Yeah, Patreon, Patreon is a whole bob you actually you
Speaker 2: talking about Patreon. I don't even know what patreon was.
Speaker 2: Comed is likeyea, we should do a Patreon. Like what
Speaker 2: is patreon? And Patreon is a is a is a
Speaker 2: platform for creatives for people to support on a financial level.
Speaker 2: And the cool thing with Patreon is that it's a
Speaker 2: real community, where like Patreon, you get you can add
Speaker 2: different tiers to it. So like we have different tiers
Speaker 2: to our Patreon and like depending on what tear you're in, Like,
Speaker 2: you get add free episodes, you get episodes before the
Speaker 2: podcast drops. You get FaceTime conversations with us. Yeah, the
Speaker 2: FaceTime conversations is lit. So get you get direct conversations
Speaker 2: with us, you get you get discounts on the merch.
Speaker 2: You get access to Eyo University.
Speaker 4: Yeah, that's new. So like that was one of the
Speaker 4: things and we sent the message out. It was like, yo,
Speaker 4: we got something to coming, we got something to coming,
Speaker 4: and we were building it. So like now it's like
Speaker 4: now they get to see what we have building. Everybody
Speaker 4: that's in a Tier four or five, they get to
Speaker 4: have access to Eyo University.
Speaker 3: So that makes it even dope. Yeah, and this this, this,
Speaker 3: this is the whole.
Speaker 2: The whole thing with the Business show is that you
Speaker 2: want to just create different ideas because you might not
Speaker 2: be able to copy every single thing, but you want
Speaker 2: to just spark your brain. So for me, I'm always
Speaker 2: big on cross promoting, right, So I'm like, okay, look
Speaker 2: if we got Patreon, right, and you also have to
Speaker 2: add value like all these different report I want to
Speaker 2: stress that too. Never do anything just to make money, right,
Speaker 2: you gotta have like real value, like the merch is
Speaker 2: something that we truly believe in, Like we really believe
Speaker 2: in the merch and I think the reason why as
Speaker 2: Overliabilities has taken off because it's a dope slogan and
Speaker 2: it's really powerful and like three words, it really means
Speaker 2: a lot, Like it's assets overliabilities, Like you know what
Speaker 2: I'm saying. So it's like, if you're going to spend
Speaker 2: money to wear a merch, like, you might as well
Speaker 2: wear something that you like and it's stylished.
Speaker 3: That's like it's dope.
Speaker 4: Like that was our thing. It was like, Yo, if
Speaker 4: we're going to create something that people are gonna wear,
Speaker 4: it might have it should have a message on it,
Speaker 4: and it should be a message that resonates with our
Speaker 4: community and all communities. Really yeah, like that's what the
Speaker 4: intent was when we did the Merchant and like let's
Speaker 4: make money. We're not a clothing brand, but we want
Speaker 4: to have a message every time we go outside we
Speaker 4: know people are watching exactly.
Speaker 2: And also with the Patreon too, it's like we don't
Speaker 2: I wanted to set up Patreon as a way for
Speaker 2: people just to support the podcast. That's like charity and
Speaker 2: event we want to actually give them value as well, right,
Speaker 2: so that's why we had the phone conversations. That's why
Speaker 2: we added free access to Eyo University. That's why we
Speaker 2: actually discounts on the merch. But now with the Patreon,
Speaker 2: you get discount on the merch, but it leads back
Speaker 2: to the merch, right, which is like cross promoting right
Speaker 2: exactly so, and everything always leads back to the podcast.
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Speaker 2: Podcast is the mothership, which is free. But that's the
Speaker 2: cool thing about it too. Where the podcast is free,
Speaker 2: but from something that is free, we're able to create
Speaker 2: multiple different income streams where we can actually profit.
Speaker 3: So that's another thing.
Speaker 2: To a lot of time people think like just because
Speaker 2: you're not actually getting paid for something right away, or
Speaker 2: something doesn't look like you can actually make money from it,
Speaker 2: you gotta look deeper. It's not just like fact, you
Speaker 2: gotta go ABC D E F like you know what
Speaker 2: I mean, like to say, okay, the podcast, we could
Speaker 2: The podcast is really just to get us out there.
Speaker 2: As far as on our revenue, of course, the podcast
Speaker 2: is to educate, that's most important. But as far as
Speaker 2: our revenue, stream. Now we can monetize the podcast even
Speaker 2: though people don't pay for the podcast because of ads.
Speaker 2: But even if we had no ads at all, we
Speaker 2: can still monetize off of the podcast.
Speaker 3: Because of the visibility and allows us to do other things.
Speaker 4: And it's not like we had to create seven different things.
Speaker 4: We still have the mothership, the tree, which is the podcast,
Speaker 4: and all these branches coming off of it. And that's
Speaker 4: true what you said. We we didn't do it for money, right,
Speaker 4: So like when we had Patreon, we had like two
Speaker 4: members the first month, right next month we had seven.
Speaker 4: Like we just kept grinding, like kept putting out the contact,
Speaker 4: putting out value, making those phone calls. Now we're up
Speaker 4: to like over one hundred and fifteen or something like that.
Speaker 4: And it was like just being consistent and spreading the
Speaker 4: word and given the value. Like I think that was massed, right.
Speaker 4: He was like, Yo, just give it away.
Speaker 2: Give it give it away, give it away, give it away.
Speaker 2: And then people are, well, they want to pay for
Speaker 2: they feel guilty not to. And that's why, like I said,
Speaker 2: proud to pay with Nipsey when he had his one
Speaker 2: hundred dollars, it wasn't so much. It's just him selling
Speaker 2: a mixtape one hundred dollars. That was a whole experience.
Speaker 2: You got tickets to a concert, you got merch. It was.
Speaker 2: It was bundled together and it was very well done
Speaker 2: and people were proud to because people want to support,
Speaker 2: but they just got to have something good that they
Speaker 2: can support, Like nobody wants to support something that's just trash.
Speaker 2: And then so so then the next revenue stream comes
Speaker 2: via of YouTube. So YouTube is something that we're still
Speaker 2: figuring it out. But I encourage any creative, any creative
Speaker 2: of anybody that's thinking about starting anything, you got to
Speaker 2: get on YouTube. People don't fully understand the power of YouTube.
Speaker 3: Spoke. We spoke about this before. But that's the thing.
Speaker 4: It would just be fully transparent. We didn't start on.
Speaker 2: YouTube first, Like seven episodes wasn't wasn't on you. People
Speaker 2: had to really convince us to get on YouTube.
Speaker 4: Why you're not there?
Speaker 2: The first seven episodes was just audio because it's like
Speaker 2: it's a lot more work. You gotta film it, and
Speaker 2: you gotta upload it, you gotta edit this. It's a
Speaker 2: whole process. But YouTube, YouTube is interesting because it's like
Speaker 2: YouTube also. All right, So the monetization for YouTube is
Speaker 2: you have to have a thousand watch hours.
Speaker 4: Yeah, so one thousand watch hours and four thousand.
Speaker 2: Before you come out to so watch hours is like
Speaker 2: how many how many hours somebody has watched your video?
Speaker 2: So you need a thousand watch hours and you need
Speaker 2: four thousand subscribers and then you can start to monetorze
Speaker 2: through YouTube studio. And YouTube is another thing where it's like,
Speaker 2: you know, the first YouTube check that you'll see is
Speaker 2: like let's say, like for us, it's.
Speaker 5: Like one hundred watch it. I mean we watched that
Speaker 5: for like one hundred dollars. Yeah, and then it's like
Speaker 5: six months later to like four thousand YouTube So god well,
Speaker 5: and this time next year it will be four times that,
Speaker 5: you know what I'm saying. But the good thing with
Speaker 5: YouTube is like once again the audio. Once a video
Speaker 5: is in YouTube, especially if it's like gets a lot
Speaker 5: of traction, it's there forever. So I was just telling
Speaker 5: like Alex goot Energy from Trucking episode thirty nine, I'm like, yo,
Speaker 5: your video is gonna live forever because it has like
Speaker 5: fifty nine thousand views right now or whatever. But a
Speaker 5: year from now, somebody types in Trucking, they'll find that video, right,
Speaker 5: and then they watch it and then we get paid.
Speaker 5: And the cool thing, and this is I spoke about
Speaker 5: this on a social media episode that we did, is
Speaker 5: that a lot of times people with especially with like
Speaker 5: YouTube and things of that nature, numbers are not the
Speaker 5: most important thing. Numbers are not the most important thing.
Speaker 5: What I mean by that is that, like our forty
Speaker 5: thousand subscribers that we have right now is probably more
Speaker 5: valuable than a lot of people that have a million
Speaker 5: two million subscribers because our content we get paid at
Speaker 5: a higher CPM. What that means is that, like our
Speaker 5: content is clean, content is business.
Speaker 4: That's important.
Speaker 2: So companies they love that to advertise, right, It's like
Speaker 2: the business is like the number one space advertisers. So
Speaker 2: I was speaking to somebody who has a YouTube channel,
Speaker 2: but it's a wrap show and they bring rappers on
Speaker 2: stuff like that, you know. So he was telling me
Speaker 2: his CPMs for his show is like three dollars, four dollars,
Speaker 2: but he has like a million subscribers. His videos get
Speaker 2: like two hundred thousand views, right, But he's not really
Speaker 2: making money because it's like three dollars where we might
Speaker 2: get ten thousand, twenty thousand views per episode. We have
Speaker 2: forty thousand subscribers, which is way less than what he
Speaker 2: has right, right, but we're making more money because our
Speaker 2: CPMs could be thirty dollars twenty five dollars.
Speaker 4: And that's another thing that's beautiful about YouTube is that
Speaker 4: the CPM fluctuates, so like depending on the content, like
Speaker 4: a video like mobile homes, you could get maybe forty
Speaker 4: five dollars per CPM, which is per thousand, or like
Speaker 4: Alex right, it could be forty seven dollars or as
Speaker 4: in the audio space, it's just pretty stays the same
Speaker 4: standard at twenty five dollars. So like, that's another beautiful
Speaker 4: thing about YouTuber is it changes and depending on the content,
Speaker 4: And that's that's key what you said too, is having
Speaker 4: clean content, because if we had profanity laced conversations, right,
Speaker 4: people wouldn't be putting money out to put on ads.
Speaker 4: And I think we ran into that one time when
Speaker 4: we had an episode with We're Talking about Marijuana, which
Speaker 4: was a business podcast and it was a business lesson,
Speaker 4: but just the fact that we had marijuana in our title,
Speaker 4: it kind of changed.
Speaker 2: We didn't get paid for that, but that's something too
Speaker 2: for a lot of cret Like I said, all of
Speaker 2: this stuff is just free information, free knowledge because these
Speaker 2: are things that we learned. We literally learned all this
Speaker 2: stuff on the fly. So you know, if you're starting
Speaker 2: a YouTube channel, if you're thinking about monetizing online, the's
Speaker 2: are good, good things to know. Because we didn't notice,
Speaker 2: Like we didn't know that we put cannabis on marijuana
Speaker 2: in the title. That's a red flag for YouTube. The
Speaker 2: video went out, people saw it, but we didn't get.
Speaker 3: Paid on it.
Speaker 4: We got that little yellow sticker.
Speaker 2: They're very big on that. They're very big on that industry.
Speaker 2: They've shut down pages. They shut down some big cannabis pages.
Speaker 2: We ran six hundred thousand subscribers, a million subscribers, they
Speaker 2: shut their pages down. So it's just it's important to
Speaker 2: understand what you're doing because like you could just be
Speaker 2: doing something and I fully understand what you're doing, and
Speaker 2: it's like you got you built up a million and
Speaker 2: two million followers subscribers, but now it's hard for you
Speaker 2: to monetize it. Where you see somebody with one hundred thousand,
Speaker 2: I said, it's on social media. I know a girl
Speaker 2: who had one hundred thousand, one hundred and fifty thousand
Speaker 2: subscribers on Instagram that was getting paid fifteen thousand dollars
Speaker 2: for an Instagram post. Where we know a lot of
Speaker 2: Instagram models, bartenders that have millions of followers that can't
Speaker 2: they can't figure out how to make money because the
Speaker 2: only people that's going to advertise on their page is
Speaker 2: lingerie and just promoting parties. They're limited, right, even like
Speaker 2: a John Henry. John Henry doesn't have that many followers,
Speaker 2: haves like one hundred and twenty thousand followers. Kill he's
Speaker 2: making a killing killing. He's making a killing because it's clean.
Speaker 2: He got a clean look. It's you know what I mean,
Speaker 2: it's just the whole it's the whole package. He's very
Speaker 2: he's very friendly to advertise it. So not to say
Speaker 2: that you have to be that. I mean you could,
Speaker 2: you could still make money, but not be but just
Speaker 2: know that just just just be aware of it. Like
Speaker 2: I'm not telling you to change your your whole platform
Speaker 2: and to become something that you're not, but just be
Speaker 2: aware of it.
Speaker 4: You should be aware because that will be the reason
Speaker 4: why the monetization is a lot less.
Speaker 2: Yeah, So just know it's good to know that not
Speaker 2: the fact. So and then we also do live events. Now,
Speaker 2: the live events is another way how we're monetizing. But
Speaker 2: the thing, like I said, the thing about is that
Speaker 2: we're always adding value. Right, So this is a business podcast.
Speaker 2: We're never gonna apologize for making money. That's the whole point.
Speaker 2: Like we should never be ashamed to be entrepreneurs. But
Speaker 2: as long as you're as long as you're creating value,
Speaker 2: that's the most important thing.
Speaker 3: Right.
Speaker 2: So just from that, that's five different revenue streams that
Speaker 2: we named off of the podcast. Right, So now we
Speaker 2: don't have to we don't have to get five different jobs.
Speaker 2: We don't have to create five different businesses, even though
Speaker 2: they are kind of separate of each other, but they're
Speaker 2: all under the mothership of earn your leading, and they
Speaker 2: all hover under the podcast. The podcast is what leads everything, right,
Speaker 2: we know that, and that's important too. Never go away from.
Speaker 3: What feeds you.
Speaker 2: A lot of times people get successful and one thing
Speaker 2: and then they stop paying attention to that. Like, the
Speaker 2: podcast is always going to be high quality. We're always
Speaker 2: going to do our best with the podcast because we understand,
Speaker 2: like the podcast is what got us to this point.
Speaker 2: But we can't stay limited to the podcast. Like if
Speaker 2: we did that, we'd be doing ourselves and our supporters
Speaker 2: are disservice because that's not what we preach, Like we
Speaker 2: preach to have no limit to expand your horizons. So
Speaker 2: if we just stayed just doing a podcast, we wouldn't
Speaker 2: be a good example. Like what I'm saying, like we
Speaker 2: got to set an example. It's like it's more than
Speaker 2: just like we're just not getting up here just talking
Speaker 2: about it. We actually are implementing a real business.
Speaker 4: Yeah, and we had a few more, Like we have
Speaker 4: a few more even even like in the summer when
Speaker 4: we do our summer programming. That's another stream of income
Speaker 4: for us. We have a couple of things that we're
Speaker 4: going announce to the top of twenty twenty that we
Speaker 4: we're just continuing to build off of the mothership all
Speaker 4: e your leisure, but all things that help people. So yeah, man,
Speaker 4: we gotta keep creating. And it don't be surprised if
Speaker 4: you see like us doing trucking, Like we get a truck,
Speaker 4: we're gon we're getting all this information. So every time
Speaker 4: we hear something and we learn it's like yo, we
Speaker 4: should do No, it's a fact we even talking about
Speaker 4: our book.
Speaker 2: We gotta get we got we gotta get back to
Speaker 2: writing that book. But the book, that's another thing that
Speaker 2: we're like that we're looking to launch. And we got
Speaker 2: the blueprint of the book from Ash Cash episode episode
Speaker 2: twenty six. So it's like a lot of times, like
Speaker 2: when you listen to earn your leisure, don't just listen
Speaker 2: and just be entertained. Man, it's application. Like I said,
Speaker 2: like we're living proof, like we're we're literally applying things
Speaker 2: that we are learning.
Speaker 4: You know what the best part is, Like not once
Speaker 4: did you say like I'm a financial advisor too, Like
Speaker 4: people forget that part, Like yeah, so like yeah, that
Speaker 4: your financial advisor. I'm a teacher. But these things that
Speaker 4: we're doing, like outside of that, that's like non different streams.
Speaker 2: You need to have like ten ten different joints going
Speaker 2: because you never know, you never know when something can
Speaker 2: dry up. Like you know what I'm saying, You never
Speaker 2: know when something can dry up. So it's like I've
Speaker 2: seen it and I learned that early on just from
Speaker 2: watching people that I grew up with older people, And
Speaker 2: it's like you get laid off from your job and
Speaker 2: your screw you had a bad month from your job,
Speaker 2: and it's like you damn there on a homeless line,
Speaker 2: like you know what I'm saying. So now it's like
Speaker 2: we're having multiple streams. It gives you a cushion, it
Speaker 2: gives you a buffer, and it's like, all right.
Speaker 4: Well you can feel it.
Speaker 3: You can feel the freedom, you feel less pressure to you, you.
Speaker 4: Can feel the freedom of it. It's like, you know what,
Speaker 4: I'm not relying on anything. I have so many things
Speaker 4: that if this doesn't work, I got this. I got it.
Speaker 4: You can feel the freedom like I can feel it personally.
Speaker 4: It's like, Yo, this is crazy. This is different. Like
Speaker 4: this feels like twenty nineteen doesn't feel like twenty eighteen.
Speaker 4: It feels different.
Speaker 3: It does.
Speaker 2: And so yeah, so that's our but that's our journey.
Speaker 2: And not to say that you have to start a podcast,
Speaker 2: but it's like that's something that fit in what we
Speaker 2: were doing. So it's like what fits in what you're doing?
Speaker 4: Yeah, And on Early Legion University, I broke down how
Speaker 4: you can earn it in education because a lot of
Speaker 4: times I have conversations with people in my profession and
Speaker 4: they're like, Yo, how do you have time? How do
Speaker 4: you have time, and I went through like five or
Speaker 4: six different things streams of income just from being an educator.
Speaker 4: It is things that you probably are overthinking that you
Speaker 4: can do that don't require much time.
Speaker 3: Yeah.
Speaker 2: So all right, so yeah, that was that, And like
Speaker 2: I said, that was kind of the abbreviated version. The
Speaker 2: full version is on Earn Your Legion University, where we
Speaker 2: kind of just dorove into a lot of different things.
Speaker 2: But I just wanted to just let people know that
Speaker 2: it's always something more, no matter what you're doing, it's
Speaker 2: always something more. And when you're looking to start a business,
Speaker 2: see if that business is scalable, like the podcast is scalable,
Speaker 2: because we don't. It's very low inventory. That's another thing too,
Speaker 2: it's very low inventory. It can reach people from New
Speaker 2: York to Australia. We're not limited geographically, and it provides
Speaker 2: us opportunities to create multiple different launching paths.
Speaker 4: That was the first question Deryk fal Can ask me
Speaker 4: walk when we did his interview. The first thing. He
Speaker 4: sat down on my coudun and was like, yo, y'all
Speaker 4: gonna scale this first thing. He asked. I'm like, good question,
Speaker 4: and we went and we still.
Speaker 2: We come up with new ideas how we can scale. So,
Speaker 2: like I said, that's our blueprint, but what's your blueprint? Right,
Speaker 2: Like if you are restaurant owner, how do you scale that?
Speaker 2: How do you create multiple different streams? Derek gave the
Speaker 2: blueprint for that, but it's like if you if you
Speaker 2: have a gym, how do you create multiple different streams
Speaker 2: off that gym? Like even Alex right, he has a trucking,
Speaker 2: but he makes more money off of his portal and
Speaker 2: now he has merch So so yeah, so that's that's
Speaker 2: the rundown multiple streams of the income people. It's it's
Speaker 2: not something that is optional at this point in time,
Speaker 2: is mandatory and it's all about being creative and understanding
Speaker 2: how you can build different branches off of one tree.
Speaker 2: So we're gonna close it out with some education as
Speaker 2: far as investing in different things.
Speaker 3: All right, it's fun.
Speaker 2: Yeah, so we're gonna it out. We're going to close
Speaker 2: it out with something that is easy for me. Like
Speaker 2: I said, a lot of times people don't fully understand,
Speaker 2: Like everybody thinks do the podcast full time, but I
Speaker 2: actually have a financial planning firm, independent firm.
Speaker 4: Who was your first client?
Speaker 3: You were?
Speaker 2: Thank you for sure, wealth wealth management firm. So that's
Speaker 2: what I do like outside of this So yeah, retirement planning, investing,
Speaker 2: things of that nature. So one thing that always gets
Speaker 2: people's attention when we talk about is the self directed IRA.
Speaker 2: So I wanted to talk about that because you know,
Speaker 2: we talk about real estate a lot on this show,
Speaker 2: and we bring on different real estate investors and things
Speaker 2: of that nature, and we always you know, have to
Speaker 2: give people different options. So funding, when it comes to funding,
Speaker 2: that stops a lot of people from investing in real estate.
Speaker 2: So we you know, talk about two or three K
Speaker 2: loans and hard money loans and conventional loans and things
Speaker 2: of that nature. But another way that people can can
Speaker 2: invest in real estate that not a lot of people
Speaker 2: are fully familiar with is via their retirement account. Because
Speaker 2: if you think about it, I've spoke about this before.
Speaker 2: Most for the average American middle class, American lower middle class, whatever,
Speaker 2: they don't have a tremendous amount of money saved in
Speaker 2: a savings account. They don't have money. They might probably
Speaker 2: have no investment outside of retirement like they don't have I.
Speaker 4: Mean, I know people straight up that don't know what
Speaker 4: an IRI is.
Speaker 2: Well, yeah, that but I'm just saying as far as
Speaker 2: the money that they have saved is in retirement. So
Speaker 2: it's not uncommon for a teacher to have half a
Speaker 2: million dollars in their pension plan or their four or
Speaker 2: three B plan by the time they retire, or it's
Speaker 2: not uncommon for somebody to work in corporate America for
Speaker 2: twenty years and to have four hundred thousand dollars or
Speaker 2: even like one hundred thousand in a couple of years,
Speaker 2: Like it adds up. The good thing with four in
Speaker 2: one case is that the money is taken right out
Speaker 2: of your paycheck, so it's easy. Everybody knows about it.
Speaker 2: Like when you sign up for a job, they do you,
Speaker 2: they sign you up for and then you've worked, like
Speaker 2: I said, a union job, you have a pension. People
Speaker 2: have money in retirement accounts. Long story short, Yeah, and
Speaker 2: that's the one place where a lot of people that's
Speaker 2: like their only source of like real save somebody.
Speaker 4: If they're saving, they're like, yeah, I have a four one.
Speaker 3: Yeah.
Speaker 2: So what happens is that is that a lot of
Speaker 2: times what happens I see all the time is that
Speaker 2: people like they might leave their job or whatever they
Speaker 2: want to buy a home, and they have an old
Speaker 2: retirement account, like a old four one K, and what they
Speaker 2: do is that they cash it out because that's the
Speaker 2: only real money. They cash out their four one K
Speaker 2: and they use that for a down payment or they
Speaker 2: use that to buy a home. The problem with that
Speaker 2: is that now not only do you deplete your retirement account,
Speaker 2: but you get taxed crazy. Like if you take money
Speaker 2: out of a retirement account, but for fifty nine and
Speaker 2: a half from most retirement accounts, you pay a ten
Speaker 2: percent penalty, you pay state tax, and you pay federal tax.
Speaker 2: So you could be paying up to fifty to fifty
Speaker 2: five percent of the money in taxes.
Speaker 3: Right. So that's that's a lot of money. That's you're liable.
Speaker 4: We had a tax issue in this house, man.
Speaker 3: Yeah, so's it's important to understand that.
Speaker 2: So a lot of times people don't fully understand that
Speaker 2: you can actually use retirement money to actually purchase property.
Speaker 3: Right. So how you do that is via what's called
Speaker 3: a self directed eye.
Speaker 4: So before we go there, right, because this is important,
Speaker 4: what's the difference between an IRA and a self directed IRA?
Speaker 2: So all right, an IRA is what it stands for
Speaker 2: is the individual retirement account.
Speaker 4: Right.
Speaker 2: I think we spoke about this in another episode one time.
Speaker 2: But so IRA can be set up two different ways.
Speaker 2: You can set an IRA up just with money out
Speaker 2: of your pocket, and like you can fund it every year,
Speaker 2: like if you are self employed, or if your job
Speaker 2: doesn't have a four one K, or if you make
Speaker 2: under a certain amount of money, you can just put
Speaker 2: money to an IRA every year. Right now, you put
Speaker 2: like six thousand dollars on IRA.
Speaker 4: There's a max on it.
Speaker 2: Yeah, for the year. Okay, but now what's very populus.
Speaker 2: What's called the IRA rollover. So when you what happens
Speaker 2: is that now you leave your job, right and now
Speaker 2: you have an old four one K and old pinch plan,
Speaker 2: an old four three B whatever, TDA whatever, and you
Speaker 2: can roll that into an IRA.
Speaker 3: Right.
Speaker 2: So the reason why it's called the rollover is that
Speaker 2: it's going from one what's called tax qualified vehicle to
Speaker 2: another tax qualified vehicle. You're not paying taxes on it
Speaker 2: for your retirement. The only difference is that the four
Speaker 2: one K is set.
Speaker 3: Up by your job. The IRA is set up individually.
Speaker 2: You can set up you know with a bank or
Speaker 2: through a financial advisor or you know online there's different
Speaker 2: ways to set it up.
Speaker 3: Right.
Speaker 2: So most of the time when I when people do
Speaker 2: IRA rollovers, they're rolling into what's called the traditional IRA.
Speaker 2: Traditional IRA is investing in more traditional investments stocks, stocks,
Speaker 2: mutual funds, things of that nature. Right, So it's invested
Speaker 2: in the stock market, in bonds, things of that nature,
Speaker 2: and it grows over the cost of time. So let's
Speaker 2: say you had a job you work at and T
Speaker 2: for fifteen years. You have one hundred thousand dollars in
Speaker 2: a four month kN you left. You left, So now
Speaker 2: when you leave your job, the four one k is
Speaker 2: pretty much frozen in the sense not the way. It's
Speaker 2: not growing. It's still growing relative to how any investments do.
Speaker 2: But you can't borrow from it, right, you can't add
Speaker 2: money to it, you don't have any advice on it.
Speaker 2: You're not you're not working there anymore. And a lot
Speaker 2: of times people move and they don't update the address,
Speaker 2: so it becomes difficult to manage if you're not working
Speaker 2: there anymore. So this is why the rollover is so
Speaker 2: appealing because now you get to pick and choose your investments.
Speaker 2: You can add money to the IRA if you want,
Speaker 2: you can work with somebody that can help you out,
Speaker 2: like in advisor things of that nature. So that's that's
Speaker 2: what that's what the IRA is, just taking control over
Speaker 2: the money. So now you have that, you have it
Speaker 2: in the i RA, right. So now as it's in
Speaker 2: the i RA, it can be invested in like let's
Speaker 2: say it's invested in mutual funds, right or an.
Speaker 3: Annuity or whatever.
Speaker 2: It was just the regular IR traditional So the money's invested,
Speaker 2: you're not paying any taxes on it as long as
Speaker 2: it stays in and it's just like how it would
Speaker 2: be with your four to one K, except you're kind
Speaker 2: of picking and choosing investments for yourself.
Speaker 3: Okay, So it's that's.
Speaker 4: The easy So if I'm not picking it, then it
Speaker 4: would be a financial advisor or like I saw, like
Speaker 4: a custodian.
Speaker 2: Most of the time, it's a through like somebody will
Speaker 2: help you out with it. So whether that be a
Speaker 2: financial advisor, whether that be somebody at a bank, credit union,
Speaker 2: or you know. Usually you can do it yourself too
Speaker 2: if you go online like you can Fidelity, but a
Speaker 2: lot of times people just don't feel comfortable doing things themselves.
Speaker 2: They might want help, so somebody will help you out
Speaker 2: with it that they, you know, kind of guide you
Speaker 2: on like what makes sense, This is a good investment
Speaker 2: and this is the reason why things of that nature.
Speaker 2: So that's what most people do, Like probably like ninety
Speaker 2: five percent of people, they'll roll in money into a
Speaker 2: traditional IRA. But another option that you have is that
Speaker 2: you can roll into what's called the self directed IRA. So,
Speaker 2: so traditional IRIS allows you to invest in traditional investments.
Speaker 2: Like like I just said, the self directed IRA allows
Speaker 2: you to invest in a broad range of different things.
Speaker 2: Everything from bitcoin to commodities.
Speaker 3: Is a bunch of possibilities, all kinds of different stuff.
Speaker 4: And one of the things, so somebody said, like you
Speaker 4: can invest in a horse holding firm.
Speaker 2: Yeah, you can invest in all kind of different things.
Speaker 2: But it self directed IRA. And one of one of
Speaker 2: the most popular things that people use self directed IRA is.
Speaker 3: For is real estate.
Speaker 2: So a self directed IRA allows you to invest money
Speaker 2: in real estate. Right, So what happens is that you
Speaker 2: have one hundred thousand dollars and instead of like if
Speaker 2: you don't roll into a traditional IRA, you can roll
Speaker 2: it into a self directed IRA. Now that's self directed IRA.
Speaker 2: You can buy a home, or you can buy an
Speaker 2: apartment or whatever, or use that money to you know,
Speaker 2: buy different forms of real estate, and the money's not
Speaker 2: tax because the whole point of keeping it within the
Speaker 2: IRA is that you avoid you're avoiding paying.
Speaker 3: Tax tax when you take it out, or tax.
Speaker 2: When you take it out when you when you take
Speaker 2: receipt of it, we call taking receipt of the money, right,
Speaker 2: so like when you take receipt of it, that's when
Speaker 2: the money goes to a bank account, like when you
Speaker 2: physically receive it. As long as it's under the umbrella
Speaker 2: of the IRA, you never actually have you don't have
Speaker 2: receipt of it, so you're not you're not paying any
Speaker 2: taxes on it. That's the benefit of rolling a fall
Speaker 2: one came to an IRA and keeping it in the IRA. Right,
Speaker 2: you're not paying any taxes. Whenever you take money out,
Speaker 2: you're going to get taxed. If you take it out prematurely,
Speaker 2: you get a ten percent penalty tax. But at any
Speaker 2: point in time you take money out of an IRA
Speaker 2: or four one care, you pay a state and federal tax,
Speaker 2: the federal taxes with federal tax bracket you're in at
Speaker 2: that time, and the state tax depending on what state
Speaker 2: tax with state you're in and it's treated like ordinary income,
Speaker 2: and you can borrow.
Speaker 4: That at any time, but just know that there's gonna
Speaker 4: be a penalty borrow what you can borrow money from
Speaker 4: the IRA.
Speaker 2: You can't borrow money from the IRA. You can take
Speaker 2: money once a year from the IRA, but it's a
Speaker 2: sixty day rule where you got to put the money
Speaker 2: back in.
Speaker 4: Okay, good enough.
Speaker 2: So what happens is that with the self directed IRA,
Speaker 2: right now, you can use that money stays in the IRA,
Speaker 2: but you can buy a real estate. So like let's
Speaker 2: say you used one hundred thousand and you bought a home,
Speaker 2: used all of it to buy a home for one
Speaker 2: hundred thousand in cash. Right, So now that one hundred
Speaker 2: thousand is pretty much like your retirement. So the one
Speaker 2: hundred thousand rolls to two hundred thousand over the course
Speaker 2: of time. You're not paying any taxes as it's growing. Right,
Speaker 2: So you sell that home. Now you made a hundred
Speaker 2: thousand dollar profit. Right now, you put that back into
Speaker 2: the self directed IRA. Now it's not tax Now you
Speaker 2: have two hundred thousand dollars. Now you can buy more
Speaker 2: real estate or you can invest something else. Right, So
Speaker 2: it's another way to invest in real estate with your
Speaker 2: retirement account as opposed to investing with like a lot
Speaker 2: of times people think that they have to cash out
Speaker 2: their retirement to invest in real estate because most iras
Speaker 2: will not allow you to invest in real estate.
Speaker 4: It's self directed IRA, all right, So what's the process
Speaker 4: of setting up an IRA, because it's you're doing it yourself.
Speaker 4: I'm assuming right, self directed.
Speaker 2: Self directed IRA. Yeah, so the process is set up,
Speaker 2: all right, The process is set up a IRA.
Speaker 3: Period. This is the process is set up an IRA.
Speaker 2: You do an application for the IRA company, right, So,
Speaker 2: now that that sets up your IRA account. Like let's
Speaker 2: say you set up an IRA with Franklin Simpleton. Right,
Speaker 2: you're doing an application with Franklin Templeton and you're setting
Speaker 2: up an IRA. Right now, you have an IRA number,
Speaker 2: let's say it's one three, five seven zero. That's your
Speaker 2: IRA number. You have an account. All of that stuff
Speaker 2: is set up, but it's not funded yet. So what
Speaker 2: happens is that now you have to do a conference
Speaker 2: call with the fall one K company that shures you
Speaker 2: the easiest way you do a conference call, and usually
Speaker 2: like you do with your advisor, if you're working with
Speaker 2: an advisor and like most companies nowadays, like it's fidelity,
Speaker 2: they'll do it over the phone where they can initiate
Speaker 2: the transfer over the phone. So you say, okay, I
Speaker 2: have an IRA. I want to roll my old four
Speaker 2: one K into an IRA. And they ask you, like,
Speaker 2: who's the check made out to. You'll say like Franklin
Speaker 2: for John Doe, Franklin Templeton for a benefit of John Doe, right,
Speaker 2: and they say like what's the address. Most a lot
Speaker 2: of times they'll send it directly to your house, or
Speaker 2: sometimes they'll turn it to the company, but they'll cut
Speaker 2: the check. They'll do it over the phone. They'll cut
Speaker 2: the check and then you deposit that until your IRA account.
Speaker 2: Now your IRA is funded.
Speaker 3: Right.
Speaker 2: Sometimes some companies have paperwork where they have like their
Speaker 2: own paperwork and you fill out the paperwork, you send
Speaker 2: it back to the company and then they send the check.
Speaker 2: So it depends either they do it with the phone
Speaker 2: or the paperwork. But that's how you set the IRA up.
Speaker 2: It's very simple. It's at the IRA up. It's it's
Speaker 2: two part process. You have an application and then you
Speaker 2: contact the company and you tell a company where they's
Speaker 2: send the money to pretty much. That's how you set
Speaker 2: the IRA up. So when it's self directed IRA, it's
Speaker 2: the same process. It's just that there's less companies. There's
Speaker 2: like mostly trust companies that do this. So like with IRA,
Speaker 2: there's a bunch of hundreds, probably a thousand companies that
Speaker 2: you can do IRA where it's very very common traditional IRA.
Speaker 2: Everything from insurance companies to investment companies to banks, credit unions.
Speaker 2: You can set up IRA up with pretty much any
Speaker 2: financial institution. You can set up a traditional IRA up right,
Speaker 2: But there's a limited amount of companies that do self
Speaker 2: directed iras.
Speaker 3: Right.
Speaker 2: Well, it's just it's just less, you know, I guess
Speaker 2: it's just it's it might be I'm not really sure,
Speaker 2: but probably I'm sure is more involved.
Speaker 4: I Mean, when I'm listening to it, it sounds like this
Speaker 4: is like one of them things like this is strictly
Speaker 4: for love, man, Like this is not something that the
Speaker 4: average person.
Speaker 2: Well, well we're gonna get to that. We're gonna get
Speaker 2: to that the pros and cons, because there's constant, like
Speaker 2: everything in life. Well, like just a few companies that
Speaker 2: I'm not endorsing any companies because I don't work with
Speaker 2: I don't set up self directed iras for people, but
Speaker 2: just to kind of give you Like if you google
Speaker 2: cel directed iras, there's a lot of companies that will
Speaker 2: come up, so like Equity Trust, Goal Star Trust, and
Speaker 2: Trust Group. Those are different companies. But like I said,
Speaker 2: you could just google and do your own research, not
Speaker 2: to give those companies like any endorsement, but that's just
Speaker 2: that's just yeah, that's just that's just a couple of
Speaker 2: companies name.
Speaker 4: But when would be a good time to consider doing
Speaker 4: the self director.
Speaker 2: So before we even get to that, So how you
Speaker 2: set up the self directed IRA is that you you
Speaker 2: go online, you contact them, and you set it up
Speaker 2: with them, and they'll walk you through the process of
Speaker 2: like who the chech needs to be made out to you,
Speaker 2: an account number and all of that. So it's the
Speaker 2: same thing I just explained, but you have to do
Speaker 2: it this to yourself as opposed to like a lot
Speaker 2: of times with the i RA you have help because
Speaker 2: it a avisor that will help you out with you
Speaker 2: yeah most of the time. But in this process you're
Speaker 2: gonna have to like kind of navigate this yourself. So
Speaker 2: of course you want to be properly educated, you want
Speaker 2: to do your research. But the thing with the show
Speaker 2: is just to provide information. It's not to say to
Speaker 2: do one thing or another, but it's just to provide information.
Speaker 2: So there's some drawbacks with the with self thrected IRA
Speaker 2: because the thing with the self directing IR like, if
Speaker 2: you have a regular IRA right now, the money is
Speaker 2: invested in the stock market, you don't really have to
Speaker 2: do anything like I mean, you can just monitor it
Speaker 2: and make sure you're in a good fund or a
Speaker 2: good investment, but it's not gonna cost you like money,
Speaker 2: right Like if you buy a real estate property, if
Speaker 2: you buy a home right now, you buy that home
Speaker 2: for one hundred thousand dollars, but you just it's not
Speaker 2: a huge Just let that go. Because now the boiler
Speaker 2: might break, right so now you gotta pay money to
Speaker 2: fix the boiler. Or the house might need to be painted.
Speaker 2: Now you gotta pay money to fix this upkeeping the house.
Speaker 2: No matter what, there's still upkeep, you gotta cut the grass.
Speaker 2: There's always gonna be something. So it's gonna cost you money, exactly.
Speaker 2: It's important for people to understand that it's buying a
Speaker 2: house is gonna cost you money without like there's no
Speaker 2: way around it. So when you have your retirement account
Speaker 2: tied into that, A lot of times people you know,
Speaker 2: you're not investing your four one K into an IRA,
Speaker 2: a regular IRA with the expectation that you're gonna have
Speaker 2: to pay five thousand dollars a year just to keep
Speaker 2: up that IRA. There's fees involved with an IRA, but
Speaker 2: that's taken out of the amount. It's not like you're
Speaker 2: coming out of your pocket with a house is different, right. Also,
Speaker 2: a lot of times people buy homes and the especially
Speaker 2: with investment properties, they're doing that to actually have income.
Speaker 2: So they buy a home and they want to have
Speaker 2: income come from that right to like support their lifestyle.
Speaker 2: But any money that you generate from the self directed
Speaker 2: IRA property has to go back into the self directed IRA.
Speaker 2: If it doesn't, then you get taxed on it. So
Speaker 2: that's also important for people to understand. It's more of
Speaker 2: a long term play. So, like I said, so.
Speaker 4: That's not like obviously your primary residents, I'm assuming primary residence.
Speaker 4: What when you're investing in the real estate or could
Speaker 4: it be no.
Speaker 2: It could be anything. It doesn't have to be a
Speaker 2: primary residence. It could be a rental, it could be
Speaker 2: a primary it could be a different different things, but
Speaker 2: it's just like all things in life. You want to
Speaker 2: put together game plan, you want to put together game plan,
Speaker 2: you want to be fully knowledgeable. But like I said,
Speaker 2: at the whole point of the podcast is just to
Speaker 2: give information and then from the information that you can
Speaker 2: decipher and say, okay, this makes sense. But a lot
Speaker 2: of times we're forcing too doing things because we just
Speaker 2: we don't know. So for most people, the self directed
Speaker 2: IRA probably wouldn't be the best fit because it's more
Speaker 2: work involved everything that I just named, But in some
Speaker 2: cases it could potentially make sense. So just wanted to
Speaker 2: let people. I spoke about that in a few different
Speaker 2: settings like live settings, and it's always it always gets
Speaker 2: a good reaction. So I wanted to cover that in
Speaker 2: a podcast, and I knew that you know today obviously
Speaker 2: that we didn't have a guest, I thought it would
Speaker 2: be a good a good time to actually cover that topic.
Speaker 3: You talk about real estate so much shout out.
Speaker 4: I want to thank you for coming man, this is
Speaker 4: this is This has been a learning experience. Like just
Speaker 4: when you think you know somebody fact follow me on
Speaker 4: the ground, but can you give everybody if not? That
Speaker 4: was great man. And like I said, obviously we talk
Speaker 4: every day, but we don't have in depth conversations like this,
Speaker 4: so like when we even have to. When I was
Speaker 4: preparing for this, I'm like, I have questions because it's
Speaker 4: like I don't know these things, Like this is your expertise,
Speaker 4: so this is dope that we have to do this
Speaker 4: like that, there's about ten questions segment.
Speaker 3: That we Like I said, it's just a little little tippets.
Speaker 2: I think that's something that we want to try to
Speaker 2: just throw a little gyms in there on the podcast
Speaker 2: every once in a while, like from your area of expertise,
Speaker 2: from my area of expertise, Like we can do like
Speaker 2: one per episode, like you know, once a month something
Speaker 2: like that, where you can just kind of like little tippets,
Speaker 2: little financial tippits to kind of help people out in
Speaker 2: the day to day life. And I think that that's
Speaker 2: something that could be beneficial.
Speaker 4: Yeah, man, I'm sure that people are going to take
Speaker 4: a lot from.
Speaker 3: This, hopefully hopefully hopefully for sure.
Speaker 2: So so yeah, I mean I think that that's that's
Speaker 2: that's that's a good nostalgia, a trip down memory.
Speaker 4: If you're like, can y'all bring it and what happened
Speaker 4: to the NASA intro. Listen if you all listening to
Speaker 4: us right now, we've covered like trademarket so that that
Speaker 4: you can be between the lines. We love NOAs shot
Speaker 4: the basketball. That is who I wanted to be when
Speaker 4: I was eleven years old. So we love nos. We
Speaker 4: just gotta we couldn't figure out how to get the music.
Speaker 2: You gotta get Knaves on the podcast is doing all
Speaker 2: kinds of different things in the venture capital space right now.
Speaker 3: I get him on the podcast.
Speaker 2: But before we go once again once again, but mind
Speaker 2: the d C hop out on us.
Speaker 3: Man.
Speaker 2: We got crazy Saturday is gonna be Rashaanna Scott, Mobile
Speaker 2: Home Investors and Wall Street Trapper. Sunday our very first
Speaker 2: live podcast, the Capital one Arena with Max Maxwell, Ash Cash,
Speaker 2: Derrek Falcon from Homemade. Then we got a networking event
Speaker 2: after that. Then we got the game, the Wizards Clippers game.
Speaker 2: Everybody that comes to the podcast has tickets to the game.
Speaker 4: Sunday night, d C. It's on, y'all, y'all, gott tell
Speaker 4: us what to go.
Speaker 3: Park. I think Park is, That's what I think Park,
Speaker 3: So d C.
Speaker 2: I can't wait. I can't wait to touch the town man,
Speaker 2: I'm gonna come a little early. Actually, run run around, yeah,
Speaker 2: runing around the d m V for a little bit.
Speaker 2: And eyl University yet the university. Shout to everybody on
Speaker 2: eyl University. Everybody's tuning in of our guest webinar hosts.
Speaker 4: We got the credit due. We had Sabine, obviously we
Speaker 4: have Matt. They're doing a tremendous job. We actually did
Speaker 4: to webinars ourselves. Andre Hatchett, shout out to him, he
Speaker 4: did the mobile notary. It's amazing, man. Like every week
Speaker 4: we learned so much more. So, shout out to everybody
Speaker 4: that is a member of e y L you and
Speaker 4: shout out to everybody that's on Patreon. As we mentioned earlier,
Speaker 4: that's our proud to pay program. And I just want
Speaker 4: to give a quick shout out to some of our
Speaker 4: new members. Kay Dean, who's a Tier four member, so
Speaker 4: you're going to have access to e y L University.
Speaker 4: Dawayne who's a new member, a Tier four guy, so
Speaker 4: he'll he'll be getting ey L University. And Sama. We
Speaker 4: spoke to her. Remember a few months back, we supposed
Speaker 4: to Samiya. She actually upgraded her tears so she went
Speaker 4: from a one test nationally that tier four now so
Speaker 4: she's gonna have access to e y L University. And
Speaker 4: John he's a new member. He actually just joined as
Speaker 4: we came on to do this episode. So shout out
Speaker 4: to everybody on Patreon dot com. That's how probably pay program.
Speaker 4: We already explain how it works, five different tiers. Each
Speaker 4: tier has a different thing, and now four and five
Speaker 4: you have access to e y L University, So take
Speaker 4: advantage of that. And like we said, most importantly, man,
Speaker 4: you're gonna get the information, but the application is definitely
Speaker 4: up to you, so make sure you take advantage of that.
Speaker 4: And our merch man shout out to everybody that's.
Speaker 3: Supporting to merge the merch hoodies.
Speaker 2: We both got the hoodies out right now and we're
Speaker 2: gonna we're gonna be dropping some some new merchant y
Speaker 2: lu whole new collection. Yo University is something that we're
Speaker 2: really excited about because it's online learning platform. But it's
Speaker 2: different because it's not just like courses. It's it's zoom classes.
Speaker 2: So these are like real like you can we have
Speaker 2: a different speakers from everything from two or three like
Speaker 2: the same podcast people that we have like they're like give.
Speaker 3: And even more. Yeah, they do classes for it because
Speaker 3: we do a class.
Speaker 4: Also, when you watch the podcast, it's not live, right,
Speaker 4: so it's tough to if when you have a question.
Speaker 4: I know a lot of people pause the video or
Speaker 4: pause the audio and like write down like they had
Speaker 4: a question like uyol University. You could just literally raise
Speaker 4: your hand and have that question answered. So it's interactive.
Speaker 4: So make sure that if you're on e y l
Speaker 4: u dot com, go to e y l University and
Speaker 4: see what it's all about.
Speaker 3: No, it's a vibe.
Speaker 2: It's a whole viby University is a new wave, the
Speaker 2: coolest way to learn on the internet right now.
Speaker 3: It's dope.
Speaker 2: It's just dope all the way around. So I'm really
Speaker 2: excited about that. And that's what we're pushing right now.
Speaker 2: And also jay Z that's our guy.
Speaker 4: You know that. Yeah, since we've been doing this, y'all
Speaker 4: know that.
Speaker 2: And so the book tip of this week is jay
Speaker 2: Z Made in America by Michael Eric Dyson.
Speaker 3: He does Mikero. Eric Dyson's interesting he does. He did
Speaker 3: his book on nas.
Speaker 2: He like breaks down like these lyrics and it's like, yeah,
Speaker 2: he's kind of like what we do we need to
Speaker 2: get him on the podcast.
Speaker 4: He's in DC too.
Speaker 2: Yeah, he breaks down like hip hop and then like
Speaker 2: pop culture. It's like a whole vibe that he does.
Speaker 2: So he just did the jay Z book that's his latest.
Speaker 4: It was dope because Jay actually allowed him to use
Speaker 4: some of the lyrics in the book. So it's dope
Speaker 4: that he used them and did a whole bunch of
Speaker 4: chapters on him. So check that out for sure.
Speaker 2: Yeah he Oh, here you have it man, another one
Speaker 2: in the books. Ernest, we love you, five of them,
Speaker 2: mant thank you for rocking with us. We'll see you
Speaker 2: next week. Peace please.
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