WEBVTT - EYL #102 Money & Medicine 0:00:00.160 --> 0:00:03.560 With Robinhood, not only can you trade individual stocks and ETFs, 0:00:03.720 --> 0:00:07.560 you can also seamlessly buy and sell crypto at low costs, 0:00:07.800 --> 0:00:11.520 trade all in one place. Get started now on robin Hood. 0:00:11.520 --> 0:00:14.040 Trading Crypto involved significant risk. Crypto Trading is offered through 0:00:14.040 --> 0:00:16.000 an account with the robin h Hood Crypto LC. Robin Hunt 0:00:16.000 --> 0:00:18.439 Crypto is licensed to engagement virtual currency business activity by 0:00:18.480 --> 0:00:20.480 the New York State Department of Financial Services Crypto Health 0:00:20.480 --> 0:00:23.040 thro robin Hund Crypto ISS not FDFC insured or SIPC protected. 0:00:23.160 --> 0:00:26.000 Investing involves risk, including laws of principal securities. Trading is 0:00:26.000 --> 0:00:28.720 offered through an account with robin Hood Financial LLC member SIPC, 0:00:28.960 --> 0:00:30.080 a registered broker dealer. 0:00:30.800 --> 0:00:35.720 All right, guys, welcome back EYL. A few weeks ago, 0:00:35.720 --> 0:00:37.880 probably like a couple of months ago. Actually, we started 0:00:37.920 --> 0:00:39.640 because people always ask to all the time, like how 0:00:39.680 --> 0:00:41.040 do I get on the podcast? How can I get 0:00:41.080 --> 0:00:43.680 on the podcast? So we have a variety of different 0:00:44.240 --> 0:00:47.160 ways to bring people on the podcast. Like some people 0:00:47.520 --> 0:00:50.080 we know personally, some people get referred to, some people 0:00:50.120 --> 0:00:53.120 we reach out to. So what we wanted to do 0:00:53.840 --> 0:00:57.920 also is to have like kind of like like open 0:00:57.960 --> 0:01:00.280 audition for lack of a better word. Whereas we do 0:01:00.400 --> 0:01:02.720 Instagram Live and then people just come on and then 0:01:02.760 --> 0:01:05.480 they just talk, and then it's like they got a 0:01:05.520 --> 0:01:07.760 compelling story and something that we haven't covered. It's like, 0:01:07.800 --> 0:01:10.160 let's bring people like our supporters, like you know what 0:01:10.160 --> 0:01:11.800 I mean, because that's a way to actually engage the 0:01:11.800 --> 0:01:13.960 community as well. It's like, we have a bunch of supporters, 0:01:14.200 --> 0:01:18.480 so let's bring some of our supporters on and people 0:01:18.480 --> 0:01:19.600 that we may not have known about. 0:01:19.680 --> 0:01:21.759 So it keeps the community alive. That way, you'll always 0:01:21.760 --> 0:01:24.280 have people because either people are coming up with ideas 0:01:24.360 --> 0:01:27.720 or they're hearing ideas and they're actually saying, listen, next year, 0:01:27.720 --> 0:01:29.520 I'm gonna be on your show. And the response is 0:01:29.520 --> 0:01:32.000 always the same, I can't wait, Let's do it. Yeah yeah, 0:01:32.040 --> 0:01:32.600 so for sure. 0:01:32.640 --> 0:01:36.360 So Carl Pierre, he came on an Instagram Live about 0:01:36.520 --> 0:01:38.120 a month ago, maybe a month and a half ago, 0:01:38.560 --> 0:01:40.360 and when he came on, he was spending a lot 0:01:40.360 --> 0:01:43.480 of information about the healthcare industry and a bunch of stuff, 0:01:43.520 --> 0:01:46.800 and everybody that was on the live watching it. 0:01:47.080 --> 0:01:49.320 They agreed like you should get at them. 0:01:50.160 --> 0:01:52.600 So we set up a time and actually it was 0:01:52.640 --> 0:01:56.840 crazy because obviously I was before this whole COVID nineteen outbreak, 0:01:56.960 --> 0:01:59.080 so we couldn't do it in person. 0:01:59.120 --> 0:02:00.320 We had to reschedule it it. 0:02:00.600 --> 0:02:02.440 And now we're setting it up on a zoom, so 0:02:02.520 --> 0:02:06.800 I'm gonna do the introduction. So Carl, he's interesting because 0:02:06.800 --> 0:02:09.160 we haven't covered the healthcare industry and it's ironic that 0:02:09.160 --> 0:02:10.120 we're covering it now. 0:02:10.360 --> 0:02:11.920 It's like perfect time. 0:02:12.520 --> 0:02:15.359 But the healthcare industry makes up eighteen percent of the 0:02:15.800 --> 0:02:19.840 US GDC. It's a three point six trillion dollar industry, 0:02:20.240 --> 0:02:24.240 and it's so vast, like there's so many different fields 0:02:24.320 --> 0:02:26.120 within the healthcare industry. 0:02:25.760 --> 0:02:27.720 Right so we can only imagine that number is going up. 0:02:27.800 --> 0:02:29.880 Of course, So only thing that we hear on the 0:02:29.919 --> 0:02:32.520 news right now is healthcare because of obviously what's going 0:02:32.560 --> 0:02:39.040 on with COVID nineteen crisis. Yeah, exact epidemic, pandemic, pandemic. 0:02:39.720 --> 0:02:43.560 So but Carl's interesting because even before this, he's been 0:02:43.600 --> 0:02:47.040 an entrepreneur in the healthcare space. So he has a 0:02:47.080 --> 0:02:51.680 home nurse staffing company with over three hundred employees where 0:02:52.120 --> 0:02:55.919 they help people like elderly people thinks like long term 0:02:55.960 --> 0:02:59.360 care situation where they you know, they desploy nurses to 0:02:59.400 --> 0:03:02.480 people's Home. And then he also is called Avalanche Care. 0:03:02.600 --> 0:03:05.120 And then he also has a software company that he's 0:03:05.120 --> 0:03:09.320 built for medical payroll. That's pretty interesting. Call all time, yes. 0:03:09.720 --> 0:03:11.920 And then he has a new new venture called eight Book. 0:03:12.120 --> 0:03:14.880 So we at all that stuff. It's a lot going on, 0:03:14.960 --> 0:03:17.480 but first and foremost called thank you appreciate. 0:03:17.040 --> 0:03:19.920 It with something man, thank you, thank you for having me. 0:03:20.440 --> 0:03:21.840 Definitely watch the show. 0:03:21.880 --> 0:03:24.760 I've been paying attention, and uh, it's good to be 0:03:25.200 --> 0:03:27.440 to be able to split some game to the people 0:03:27.440 --> 0:03:30.480 and really show them that there's a pathway. 0:03:30.040 --> 0:03:33.160 To whatever level of success that you that you bought. 0:03:33.480 --> 0:03:35.240 And I'm going to try to at least show them 0:03:35.360 --> 0:03:39.960 the pathway through through health healthcare at least. And I 0:03:40.000 --> 0:03:42.600 also do so on my channel, which I'm not sure 0:03:42.600 --> 0:03:46.000 if you guys ever checked out, but I showed exactly 0:03:46.040 --> 0:03:48.160 how to invest in real estate, and I'm now showing 0:03:48.240 --> 0:03:51.440 my process of how to start a home care agency 0:03:51.560 --> 0:03:54.920 and scale it up, so anybody who's interested can continue 0:03:54.960 --> 0:03:58.160 to follow that story and really learn how to go 0:03:58.240 --> 0:03:58.760 about that. 0:03:58.760 --> 0:04:02.520 That's the e NTP life. Come on, man, we've been 0:04:02.520 --> 0:04:07.080 watching you, all right, So let's let's talk about the backstory. 0:04:07.160 --> 0:04:10.880 So you you know, West Indian descent shout out to 0:04:10.880 --> 0:04:16.080 the Haitian massive, So yeah, you know choice you're making. 0:04:16.240 --> 0:04:20.400 So you said that your your family, you come from 0:04:20.440 --> 0:04:23.960 a line of healthcare workers, right, which is not which 0:04:24.000 --> 0:04:32.320 is not uncommon for Indian furse, doctor, practitioner, things of 0:04:32.320 --> 0:04:36.440 that nature. So all right, but you said that you 0:04:36.480 --> 0:04:40.240 know your family with healthcare workers and you're you're a 0:04:40.240 --> 0:04:43.320 healthcare entrepreneur. So can you talk about that as far 0:04:43.360 --> 0:04:46.320 as your backstory into coming into the health field and 0:04:46.720 --> 0:04:50.279 what made you transition your family's trajectory from being a 0:04:50.320 --> 0:04:53.400 healthcare worker to being a healthcare entrepreneur? 0:04:54.240 --> 0:04:58.440 Gotcha? So well, I guess the story starts man. 0:04:59.760 --> 0:05:02.160 Mom was in nursing school while she was pregnant with me, right, 0:05:02.240 --> 0:05:05.000 so I always saw her work, and she was working 0:05:05.000 --> 0:05:07.880 in the hospitals in New York City during the AIDS epidemic, 0:05:08.240 --> 0:05:11.920 So it was a constant bit of conversation in the house, 0:05:12.040 --> 0:05:14.200 what's going on in healthcare? How to take care of yourself? 0:05:15.680 --> 0:05:18.080 What are the trends? And I saw her progress from 0:05:18.120 --> 0:05:22.640 being a staff nurse to floor supervisor to an assistant 0:05:22.680 --> 0:05:25.160 director of a nursing home. So she was always progressive 0:05:25.160 --> 0:05:27.640 in her career, and my father was a respiratory therapist, 0:05:27.880 --> 0:05:31.599 still working and he's dealing with a lot with COVID nineteen. Yeah, 0:05:33.240 --> 0:05:35.840 and he's a respiratory therapist. So every patient that's coming 0:05:35.880 --> 0:05:39.160 in to see him all coming to see him. So 0:05:39.279 --> 0:05:42.080 for them, their vision for all their children were was 0:05:42.400 --> 0:05:45.159 to work in healthcare and of course be a doctor. 0:05:45.240 --> 0:05:45.400 Right. 0:05:46.200 --> 0:05:50.960 So one of my brothers is a physician, and yeah, 0:05:51.000 --> 0:05:54.760 so essentially the idea was always that we would go 0:05:55.080 --> 0:06:00.279 the doctor route, right. So I did start thinking of about, 0:06:01.040 --> 0:06:05.760 I guess business until I was like about thirteen fourteen 0:06:05.839 --> 0:06:09.200 years old, because my mom started a nurse staff infirm. 0:06:09.560 --> 0:06:12.520 She was working at a nursing home and they were 0:06:12.600 --> 0:06:15.720 using what they call agency nurses, and she was like, well, 0:06:15.760 --> 0:06:18.240 why don't I just start when I don't, just start 0:06:18.279 --> 0:06:20.839 an agency and get my friends from other hospitals to 0:06:20.880 --> 0:06:23.520 work for me and be one of your providers. 0:06:24.000 --> 0:06:27.800 And that's where that company started. But my mom has 0:06:27.880 --> 0:06:29.120 like zero. 0:06:28.920 --> 0:06:32.120 Computer skills, so when it was time to create the documents, 0:06:32.200 --> 0:06:33.320 it was me making the documents. 0:06:33.320 --> 0:06:34.400 When it was time to create. 0:06:34.320 --> 0:06:38.120 Spreadsheets, to do the invoicing, to manage quick books, anything 0:06:38.120 --> 0:06:41.040 that was on a computer was me right, because I 0:06:41.080 --> 0:06:44.880 was the kind of computer geek of my household. So 0:06:44.920 --> 0:06:46.599 it's like, Oh, Carl, I need this, can you know 0:06:46.600 --> 0:06:48.159 how to make this it? Could you get get it 0:06:48.160 --> 0:06:50.919 out of the computer. So it was always me and 0:06:50.960 --> 0:06:54.520 my mom working on that side of the business. So 0:06:55.200 --> 0:06:59.279 when I went to college, I ended up expanding the 0:06:59.320 --> 0:07:05.039 business into Lowland, and every lesson that I took that 0:07:05.120 --> 0:07:07.880 I could kind of like learn from to bring that 0:07:07.960 --> 0:07:10.920 knowledge back to the business, I did, and I ended 0:07:11.000 --> 0:07:14.240 up studying health technology and management with a concentration in 0:07:14.320 --> 0:07:19.840 radiology radiological studies, and that was to become an X 0:07:19.920 --> 0:07:24.120 ray tech and a CATSCAN technologist and an MRI technologist. 0:07:24.320 --> 0:07:27.360 And I chose that path because I wanted to have 0:07:27.440 --> 0:07:32.600 flexibility in when I worked, right, because there's certain positions 0:07:32.600 --> 0:07:35.080 in healthcare that are twenty four seven and there's some 0:07:35.120 --> 0:07:36.840 of them that are only like nine to five, And 0:07:36.880 --> 0:07:39.960 I didn't want to choose a career path within healthcare 0:07:40.440 --> 0:07:41.800 that would narrow me down. 0:07:41.760 --> 0:07:44.000 To work in nine to five because I knew I needed. 0:07:43.720 --> 0:07:46.840 To have the nine to five the business hours free 0:07:46.960 --> 0:07:50.160 to expand on my business. So that was kind of 0:07:50.160 --> 0:07:52.360 the reason why I chose x ray because it's you know, 0:07:52.440 --> 0:07:55.960 their X ray techs are working all shifts, they're doing 0:07:56.000 --> 0:08:00.120 catscan at night, or they could flex into MRI. So 0:08:00.160 --> 0:08:01.880 I thought that that was going to be the best 0:08:01.920 --> 0:08:03.800 fit for me. And plus I knew that I would 0:08:04.000 --> 0:08:06.840 have work as well. And I never you know, and 0:08:06.880 --> 0:08:10.200 this is a message anybody who's thinking about going the entrepreneuribile. 0:08:10.800 --> 0:08:15.720 I never like to not have a guaranteed income from somewhere. 0:08:16.200 --> 0:08:19.160 And I felt like, I'm if I can work nights 0:08:19.160 --> 0:08:22.000 and I could work weekends and use all of my 0:08:22.280 --> 0:08:24.800 free time during the day to focus in the business, 0:08:24.800 --> 0:08:26.480 then I'm going to do that. But I'm never going 0:08:26.560 --> 0:08:29.960 to sacrifice the potential to earn. And that's one of 0:08:30.000 --> 0:08:33.080 the things that is pretty special about about healthcare is 0:08:33.080 --> 0:08:36.400 because you know, a nurse could work, you know, three 0:08:36.679 --> 0:08:39.400 three days a week, three thirteen hour shifts or three 0:08:39.440 --> 0:08:42.760 twelve hour shifts, be full time, and then have four 0:08:42.840 --> 0:08:45.640 days a week, you know, on a nurse's sally at 0:08:45.640 --> 0:08:48.440 that four days a week to focus on whatever else. 0:08:48.480 --> 0:08:51.599 It is that it's like a firefighter. It's like a firefighter. 0:08:51.640 --> 0:08:53.520 Like a lot of firefighters, they work like two twenty 0:08:53.520 --> 0:08:55.680 four hour shifts and then they got the rest of 0:08:55.679 --> 0:08:57.720 the week where they can do, you know, a variety 0:08:57.760 --> 0:08:59.360 whatever else they want to do in life. So it's 0:08:59.360 --> 0:09:01.360 like you can be a real estate entrepreneur, you can 0:09:02.040 --> 0:09:03.360 work another job if you want. 0:09:03.440 --> 0:09:05.840 It's like, you know, it's it's pretty flexible out So let. 0:09:05.720 --> 0:09:06.200 Me ask you this. 0:09:06.200 --> 0:09:09.360 As far as the healthcare industry is something that pretty 0:09:09.440 --> 0:09:12.000 much is recession proof, there's a shortage just like the 0:09:12.040 --> 0:09:15.520 only especially nurses, there's the only professional I think that 0:09:16.040 --> 0:09:20.679 is extremely on demand right now where everybody else is 0:09:20.800 --> 0:09:23.400 firing people and it's like they can't find enough nurses, 0:09:23.440 --> 0:09:27.319 especially where we're at in New York. So as far 0:09:27.360 --> 0:09:30.640 as that is concerned, right for an entrepreneur, because we 0:09:30.679 --> 0:09:33.199 don't get in the business model of it, how did 0:09:33.200 --> 0:09:35.600 you like, what was the steps for you to start 0:09:36.200 --> 0:09:39.480 your Your home is it? I don't have a misquote. 0:09:39.520 --> 0:09:42.760 It's a home nursing service home long term nursing service. 0:09:43.440 --> 0:09:45.120 Care agency, homecare. 0:09:44.760 --> 0:09:48.000 Agency, care service agency. And in New York they call 0:09:48.040 --> 0:09:50.760 them lixas and jos. It's two types actually, But it 0:09:51.320 --> 0:09:54.440 started first as a staffing firm, which is very simple 0:09:55.200 --> 0:09:56.080 to start a staffing firm. 0:09:56.160 --> 0:09:59.720 Just need to incorporate yourself. You need to have a contract. 0:09:59.720 --> 0:10:02.400 That's is that you're going to be providing, you know, 0:10:02.800 --> 0:10:07.040 contracted services, a rate sheet that says how much you're charging, 0:10:07.559 --> 0:10:10.520 and you're in business literally for less. 0:10:10.320 --> 0:10:11.080 Than a thousand dollars. 0:10:11.120 --> 0:10:14.800 You could start out a nursing agency, right because and 0:10:14.840 --> 0:10:18.920 it's it's actually mislabeled as a nursing agency because you're 0:10:18.960 --> 0:10:22.960 not taking a percentage of the wages of that employee. 0:10:23.000 --> 0:10:25.280 So like in New York City, we could get a 0:10:25.400 --> 0:10:30.439 license to be an agency through consumer Affairs, so and. 0:10:30.440 --> 0:10:31.920 That's a very easy process. 0:10:31.960 --> 0:10:34.600 But that's because you're charging a fee to the person 0:10:35.200 --> 0:10:36.800 that you that you're getting the job for. 0:10:37.640 --> 0:10:37.840 Right. 0:10:38.320 --> 0:10:41.440 A staffing firm is different because those people work for 0:10:41.520 --> 0:10:45.040 your company and you're assigning them to work in a hospital, 0:10:45.040 --> 0:10:47.440 in a nursing home or something like that, and you're 0:10:47.520 --> 0:10:50.120 charging the hospital of fee, taking your. 0:10:49.960 --> 0:10:51.800 Cut, and then paying your employee. 0:10:52.200 --> 0:10:55.720 So it's not by definition an agency, but they just 0:10:55.840 --> 0:10:57.520 refer to them as agency nurses. 0:10:57.920 --> 0:11:00.880 That's what technology is. Where did the idea for the 0:11:00.880 --> 0:11:03.280 staffing agency come? Right, So you're doing X rays? You 0:11:03.320 --> 0:11:06.640 deviated from the plan of being a doctor. Was it 0:11:06.840 --> 0:11:09.320 from the influx of people coming into the hospital and 0:11:09.360 --> 0:11:11.520 seeing that there was a shortage. Where did the influence 0:11:11.520 --> 0:11:11.959 come from. 0:11:12.280 --> 0:11:13.560 Well, the influence came from my mom. 0:11:14.360 --> 0:11:17.320 She just saw an opportunity for a money grab and 0:11:17.320 --> 0:11:20.360 she was like, well, if I know several nurses myself 0:11:20.480 --> 0:11:22.520 and I'm a nurse, so if I could start this, 0:11:23.120 --> 0:11:26.240 then I could just pull my friends together and we 0:11:26.280 --> 0:11:29.679 could provide services to these you know, understaffed hospitals and 0:11:29.720 --> 0:11:30.400 nursing homes. 0:11:30.480 --> 0:11:33.240 So that's where the idea came from. I got to 0:11:32.880 --> 0:11:33.840 give her that. 0:11:34.200 --> 0:11:38.160 But being exposed to that at fourteen years old made 0:11:38.280 --> 0:11:40.720 and seeing what the numbers were made it like, okay, 0:11:40.760 --> 0:11:42.600 this is a no brainer for me to kind of 0:11:42.640 --> 0:11:46.920 expand on that. But while we were in the staff 0:11:46.920 --> 0:11:49.680 in firm business, she also was like, well, since we're 0:11:49.679 --> 0:11:52.680 doing well here, there's another side to this business, which 0:11:52.679 --> 0:11:53.400 is home healthcare. 0:11:54.080 --> 0:11:56.240 And I see those companies and she worked. 0:11:56.240 --> 0:11:58.880 She would work, and that's my mom is I guess 0:11:58.960 --> 0:12:01.200 pretty genius. Would have work for them to kind of 0:12:01.280 --> 0:12:05.600 learn how they maneuver and get exposed to like where 0:12:05.640 --> 0:12:08.400 they get their contracts from, how what's the money flown. 0:12:08.880 --> 0:12:10.680 And then she was like, all right, let's look into 0:12:10.679 --> 0:12:12.920 getting a license. So while we were in high school. 0:12:12.920 --> 0:12:13.680 We were working with a license. 0:12:13.720 --> 0:12:16.319 A license didn't hit until two thousand and one. But 0:12:16.440 --> 0:12:19.680 the staffing firm business was going well. I had expanded 0:12:19.720 --> 0:12:22.960 to Long Island. We didn't do anything with the nursing agency, 0:12:23.040 --> 0:12:24.560 I mean with the home healthcare agency. 0:12:24.600 --> 0:12:27.720 It was just sitting there dormant. But something cool happened, 0:12:27.760 --> 0:12:28.480 which is New. 0:12:28.440 --> 0:12:31.720 York State stopped issuing the licenses, right, they capped out 0:12:31.760 --> 0:12:34.280 the licenses. So we saw a getting phone calls to 0:12:34.360 --> 0:12:36.280 buy a license, and the phone call first it was 0:12:36.280 --> 0:12:38.280 fifty thousand dollars. That it was one hundred thousand dollars, 0:12:38.320 --> 0:12:40.079 then it was two hundred and fifty thousand, there was 0:12:40.120 --> 0:12:41.600 four hundred thousand, and. 0:12:41.600 --> 0:12:44.960 We thought about selling it just to fuel the staffing firm. 0:12:45.000 --> 0:12:48.280 But it was like, wait, if we're getting offered four 0:12:48.360 --> 0:12:53.040 hundred k for this license to operate, there's money here, right, 0:12:53.080 --> 0:12:56.240 And that's when we pivoted into home healthcare. 0:12:56.400 --> 0:12:57.880 So what was what was the reason that New York 0:12:57.920 --> 0:13:00.000 State decided to stop issuing the license? 0:13:00.800 --> 0:13:02.640 Oh, the same reason why they're trying to scale back 0:13:02.640 --> 0:13:06.000 the agencies now. It's just too much oversight, right, So 0:13:06.120 --> 0:13:09.480 there's more than two thousand agencies in New York, right, 0:13:10.000 --> 0:13:12.480 every three years we get surveyed by the state and 0:13:12.520 --> 0:13:15.560 they have to send three nurses to your agency to 0:13:15.600 --> 0:13:17.199 review your medical records. 0:13:17.480 --> 0:13:19.800 So to do that to two thousand agencies, you need 0:13:19.840 --> 0:13:21.800 a lot of personnel. 0:13:22.320 --> 0:13:24.719 So it gets out of control every now and then 0:13:24.720 --> 0:13:27.480 where it's just too many people to monitor. So they're 0:13:27.520 --> 0:13:31.320 actually trying to force a consolidation within the industry, shrinking 0:13:31.320 --> 0:13:33.280 the number of licenses that are out there so it's 0:13:33.520 --> 0:13:36.240 easier for them to maintain oversight. 0:13:37.080 --> 0:13:41.319 So all right, so in a sense you have the 0:13:42.000 --> 0:13:44.480 company where it's like a middleman. In a sense, staffing 0:13:44.520 --> 0:13:46.240 is actually really big. We haven't even to talk about 0:13:46.240 --> 0:13:49.520 staffing on this podcast before. But so you recruit, you 0:13:49.559 --> 0:13:53.280 recruit people for jobs pretty much, and staffing you could 0:13:53.280 --> 0:13:56.000 do any you could do staffing in any type of it, staffing, 0:13:56.200 --> 0:13:59.040 NA staff and stuff like that. And then you you 0:13:59.160 --> 0:14:02.160 charge the high hospital and they pay you and then 0:14:02.160 --> 0:14:03.760 you paid a difference. How lucrative can that? 0:14:03.840 --> 0:14:03.920 Like? 0:14:04.040 --> 0:14:05.760 Is there what's the profit margins on those? 0:14:06.480 --> 0:14:07.800 So it could be. 0:14:08.160 --> 0:14:12.120 As much as fifty percent because it depends on what 0:14:12.120 --> 0:14:14.960 the hospital is willing to pay. In home care, the 0:14:15.000 --> 0:14:19.080 profit margins about eleven to thirteen percent because it's getting 0:14:19.280 --> 0:14:22.320 Medicaid dollars and the margins are small there, just like 0:14:22.360 --> 0:14:26.160 the margin for a hospital is only eight percent, right, 0:14:26.160 --> 0:14:28.280 hospitals are a functioning on eight percent margin. But with 0:14:28.360 --> 0:14:30.800 staffing itself, it can be as high as fifty because 0:14:30.840 --> 0:14:32.920 it's it's how desperate are they for staff and what 0:14:32.960 --> 0:14:35.400 are they willing to pay? So usually you're charging like 0:14:35.400 --> 0:14:38.320 a thirty percent markup over what you're paying. 0:14:38.120 --> 0:14:42.200 Your staff, So fifty percent the best case scenario, if 0:14:42.200 --> 0:14:45.520 they give you two hundred, you give the employee one hundred. 0:14:45.480 --> 0:14:47.040 And you take and you're taking one hundred. 0:14:47.720 --> 0:14:53.520 Yeah, clean, clean if if if that's what they negotiated, right, 0:14:53.600 --> 0:14:55.840 So with the nursing comp it's usually about thirty percent 0:14:55.880 --> 0:14:59.560 over because the hospital and the nursing facility is thinking, 0:14:59.600 --> 0:15:01.400 well do we pay our nurses? 0:15:02.040 --> 0:15:04.640 What about matching their payroll taxes? Right? 0:15:04.640 --> 0:15:08.160 That's another expense their workers comp and their healthcare expenses 0:15:08.200 --> 0:15:11.600 plus PTO. So when you're trying to you want to 0:15:11.600 --> 0:15:14.400 come in as close to their price or their overtime 0:15:14.440 --> 0:15:17.240 price as possible because they're either going to mandate their 0:15:17.240 --> 0:15:20.960 staff to work overtime or they're going to use an agency, 0:15:21.080 --> 0:15:23.120 and if you come in for like a dollar or 0:15:23.200 --> 0:15:25.520 two less than what that figure is, it's now a 0:15:25.600 --> 0:15:29.120 saving to that facility and they'll be interesting. So you 0:15:29.120 --> 0:15:32.720 can charge like thirty to fifty percent above because if 0:15:32.800 --> 0:15:34.480 it's at fifty percent, you know you're hitting the time 0:15:34.520 --> 0:15:37.280 and a half member right, and they're still going to 0:15:37.680 --> 0:15:39.680 they still may be short, so they still may go 0:15:39.760 --> 0:15:41.240 with you even though it's equal to their time in 0:15:41.240 --> 0:15:44.640 the half number. And that doesn't include the workers compon 0:15:44.680 --> 0:15:47.520 taxes that they're going to have to pay as the employer. 0:15:47.600 --> 0:15:50.280 So can we go back to that four hundred thousand 0:15:50.520 --> 0:15:52.400 offer for the license? Did you guys decide to sell? 0:15:52.520 --> 0:15:54.120 You decide, you know what, we got something great here, 0:15:54.160 --> 0:15:54.960 let's hold on to it. 0:15:55.480 --> 0:15:57.440 No, we got that's what we decided. We got something 0:15:57.480 --> 0:15:59.480 great care that's hold on to it. And at the 0:15:59.520 --> 0:16:04.800 same time, I'm the market crashed. So in the staffing business, right, 0:16:05.400 --> 0:16:07.760 you have a contract that says, all right, you're gonna 0:16:07.760 --> 0:16:11.840 pay me forty five dollars an hour for an LPN nurse, 0:16:12.640 --> 0:16:14.280 and I'm going to pay them and we're going to 0:16:14.360 --> 0:16:18.840 provide the service. But what ends up happening is that 0:16:19.320 --> 0:16:22.840 you have the terms that maybe every thirty days, every sixty, 0:16:22.880 --> 0:16:27.440 every ninety, so you're front running the payroll until you 0:16:27.480 --> 0:16:29.200 get reimbursed on your invoice. 0:16:29.320 --> 0:16:31.760 Right, you're not getting paid weekly from the nursing facility. 0:16:32.040 --> 0:16:33.400 They don't pay out weekly. 0:16:34.000 --> 0:16:37.600 So right before the market crashed, we were growing pretty 0:16:37.600 --> 0:16:40.840 aggressively and we had line of credits to float that money. 0:16:41.200 --> 0:16:42.720 So just like what's happening right. 0:16:42.600 --> 0:16:46.160 Now in this crash, the banks pulled back on those 0:16:46.200 --> 0:16:49.040 line of credits, so we couldn't even provide. 0:16:48.760 --> 0:16:49.880 As much service as anyway. 0:16:50.160 --> 0:16:51.440 So it's like, well, what are we going to do 0:16:51.880 --> 0:16:54.400 because now we can only provide like thirty percent of 0:16:54.400 --> 0:16:56.360 our services. And that's why we're even flirting with the 0:16:56.400 --> 0:16:58.480 idea of selling, because it's like if we've sold this 0:16:58.520 --> 0:17:00.560 for four hundred K, that helps us, you know, have 0:17:00.720 --> 0:17:04.760 worked bff for money. But then we thought like, well, 0:17:04.960 --> 0:17:07.639 the home healthy, it's get paid less than nurses, So 0:17:08.080 --> 0:17:10.800 let's just start spooling up that side of the business, 0:17:11.280 --> 0:17:15.040 making you know, smaller spread, but we can grow this 0:17:15.840 --> 0:17:18.480 beyond and people are thinking about paying you know, almost 0:17:18.520 --> 0:17:19.879 half a million dollars for the license. 0:17:20.000 --> 0:17:21.800 There's got to be some money here and that's where 0:17:21.840 --> 0:17:22.720 that pivot took us. 0:17:22.840 --> 0:17:24.800 Is that true just for New York State? Was that 0:17:24.840 --> 0:17:27.600 something that was happening throughout the country where licenses were 0:17:27.800 --> 0:17:28.439 being ceased? 0:17:29.240 --> 0:17:30.840 Oh no, no, no, that's that's New York State. 0:17:31.000 --> 0:17:34.280 Like right now in Florida where I am and expanding 0:17:34.280 --> 0:17:37.560 on my new venture, there isn't a monitory of the licenses. 0:17:37.600 --> 0:17:39.800 I'm applying for a license right now. Some states, I 0:17:39.800 --> 0:17:42.240 think Michigan doesn't even have a license to operate. 0:17:42.320 --> 0:17:45.800 You could just start a home care agency without any oversight, 0:17:45.840 --> 0:17:47.920 which is kind of nuts to me because New York 0:17:48.000 --> 0:17:53.439 is heavily regulated. California, of course heavily regulated. So you know, 0:17:53.520 --> 0:17:55.880 short answer is that it depends on your state. 0:17:56.520 --> 0:18:01.040 Yeah, because I was actually so a friend mine in Ohio. 0:18:01.440 --> 0:18:05.399 He has a health clinic and he was kind of 0:18:05.400 --> 0:18:07.480 explaining it to me, and it was it was crazy 0:18:07.520 --> 0:18:09.720 because he was saying, like with the healthcare industry, the 0:18:09.760 --> 0:18:11.919 common mistake that people make is that they think that 0:18:11.960 --> 0:18:16.159 they actually have to be in the field to actually be, 0:18:16.920 --> 0:18:20.400 you know, an entrepreneur and like open a type of business. 0:18:20.480 --> 0:18:22.400 But you don't have to be a doctor. You don't 0:18:22.440 --> 0:18:25.720 have to be a licensed doctor to have these type 0:18:25.720 --> 0:18:27.280 of business right, like that you have like you're not 0:18:27.320 --> 0:18:29.480 a licensed doctor right now, I'm not a. 0:18:29.440 --> 0:18:32.280 Licensed doctor, but in most states you have to have 0:18:32.920 --> 0:18:35.840 a licensed person like either a nurse or a physician 0:18:36.520 --> 0:18:37.680 on your founding. 0:18:37.359 --> 0:18:39.600 Team if you're gonna if you're gonna. 0:18:39.359 --> 0:18:42.000 Do a license film caurgency, but as a staffing firm, 0:18:42.280 --> 0:18:43.960 you could turn around and start once tomorrow. 0:18:44.119 --> 0:18:46.680 So your mom would your mom filled that role, right 0:18:46.680 --> 0:18:47.320 she was the nurse. 0:18:48.040 --> 0:18:51.160 Yeah, she was a nurse. So that's that's how it works. 0:18:51.560 --> 0:18:54.040 So you know, if you're thinking about getting into this business, 0:18:54.400 --> 0:18:57.520 like I get increased all the time on my channel 0:18:57.680 --> 0:18:58.760 where it's like how do I start? 0:18:58.840 --> 0:18:59.400 How do I start? 0:18:59.480 --> 0:19:01.800 So I started showing them step by step this is 0:19:01.840 --> 0:19:03.840 how you do it. So step one, if you're going 0:19:03.880 --> 0:19:06.640 to go and become a home care agency, you've got 0:19:06.640 --> 0:19:09.960 to just research your Department of Health website and find 0:19:10.000 --> 0:19:14.160 out are the issuing licenses, what is the application process, 0:19:14.520 --> 0:19:17.760 and what are the rules and regulations? Right because those 0:19:17.840 --> 0:19:20.199 regulations are going to dictate what your policies are and 0:19:20.240 --> 0:19:22.719