WEBVTT - Arnold Schwarzenegger's Secret Weapon 0:00:02.000 --> 0:00:04.840 Welcome to a special bonus episode of Masters in Business. 0:00:05.400 --> 0:00:08.560 I'm Jason Kelly, chief correspondent from Bloomberg Quicktake and the 0:00:08.600 --> 0:00:11.720 host of Bloomberg Sports Well. He's got one of the 0:00:11.760 --> 0:00:15.280 most recognizable voices in the world and has spoken some 0:00:15.320 --> 0:00:19.240 of the most memorable lines ever in movies. It's show time. 0:00:25.800 --> 0:00:30.520 I'll be back before Reese or Lebron Arnold was the 0:00:30.560 --> 0:00:34.199 original multi hyphen it famous for being a bodybuilder, a 0:00:34.240 --> 0:00:38.800 movie star, and governor of California, and quietly a very 0:00:38.840 --> 0:00:43.680 successful businessman. Very carefully chosen. The people that I work 0:00:43.760 --> 0:00:47.640 with is Arnold. It's kind of my model to be 0:00:47.880 --> 0:00:53.200 people who do have that business gene. Then it becomes 0:00:53.320 --> 0:00:56.480 very hard to work. And I learned from Arnold they 0:00:56.520 --> 0:00:59.960 have to have that instinct. For more than forty years, 0:01:00.240 --> 0:01:03.800 he pioneered a strategy of not just endorsing, but investing, 0:01:04.360 --> 0:01:07.759 buying real estate and airplanes, and partnering on everything from 0:01:07.800 --> 0:01:12.840 Planet Hollywood to Hummer. His secret weapon an adviser and 0:01:12.920 --> 0:01:16.479 banker named Paul Walkeder that Schwarzenegger met in the early 0:01:16.640 --> 0:01:21.160 nineteen eighties. Schwartzenegger encouraged walk Her years ago to ditch 0:01:21.240 --> 0:01:25.280 investment banking and hang out of Shingle in Santa Monica. Walkeder, 0:01:25.840 --> 0:01:29.240 through his firm Main Street Advisors, has continued to advise 0:01:29.400 --> 0:01:33.080 Arnold and subsequently used that same template to work with 0:01:33.120 --> 0:01:36.880 clients from Lebron to Billie Eilish, helping create companies like 0:01:36.959 --> 0:01:40.959 Beats by Dre and Lobos Tequila in the process. I 0:01:41.040 --> 0:01:42.800 recently got a chance to sit down with Paul and 0:01:42.880 --> 0:01:46.160 Arnold in l A to talk about their partnership, how 0:01:46.160 --> 0:01:49.760 the world of entertainer and athlete investment has exploded, and 0:01:49.760 --> 0:01:52.800 what even the non famous can learn about building wealth. 0:01:54.840 --> 0:01:58.320 Talk to me more about that notion that you saw 0:01:58.600 --> 0:02:02.280 very early on, theory early in your career that you 0:02:02.320 --> 0:02:06.920 wanted to have a serious business in addition to what 0:02:06.960 --> 0:02:09.960 you were doing as an athlete as an entertainer. Why 0:02:10.120 --> 0:02:14.440 what opened your eyes to that early on? I was 0:02:14.600 --> 0:02:18.640 fascinated about the fact that you can't make so much money, 0:02:18.639 --> 0:02:20.560 for instance, in real estate. So I got into real 0:02:20.680 --> 0:02:23.600 estate and um and it was also at the time 0:02:23.600 --> 0:02:26.040 where we had a high inflation, and so the real 0:02:26.120 --> 0:02:28.240 estate went up every year but ten percent and fIF 0:02:29.120 --> 0:02:31.600 So if you own a million dollar building, it went 0:02:31.680 --> 0:02:34.720 up a hundred and fifty thousand dollars. So at that 0:02:34.800 --> 0:02:37.440 time you could have booked your ass off. And we've 0:02:37.520 --> 0:02:40.000 never made a hundred and fifty thou dollars and there's 0:02:40.040 --> 0:02:42.359 an investment. You don't have to do anything, just wait 0:02:42.639 --> 0:02:45.240 until the years over and then you have the properties 0:02:45.280 --> 0:02:47.560 worth a hundred and fifty thousand more. So it was 0:02:47.639 --> 0:02:50.880 it was clear to me that I was interested in investing. 0:02:50.919 --> 0:02:54.160 But also remember that I studied business when I was 0:02:54.240 --> 0:02:58.000 in back in Austria, and there will be specialized specifically 0:02:58.360 --> 0:03:03.200 in marketing and in selling. And little didn't know then 0:03:03.320 --> 0:03:07.440 that in life, no matter what you do, it always 0:03:07.520 --> 0:03:11.960 involves around marketing, how to populicize and how to sell. 0:03:12.480 --> 0:03:14.560 It doesn't matter if you're in a business of movies, 0:03:15.040 --> 0:03:17.400 or if in a business of art and paintings, or 0:03:17.400 --> 0:03:21.240 if in sports, if you clothing. No matter what business 0:03:21.320 --> 0:03:23.639 you're in, you have to go and let the world 0:03:23.800 --> 0:03:27.840 know that this product exists and only then are you 0:03:27.880 --> 0:03:30.800 able to sell. And then you have to also be 0:03:30.919 --> 0:03:36.000 a good businessman. So I, somehow, through some miracle reason, 0:03:36.360 --> 0:03:38.480 I had this early training from the time I was 0:03:38.560 --> 0:03:41.320 fifth into the time I was eighteen in Austria, where 0:03:41.320 --> 0:03:44.680 it was actually a salesman studied business in the school 0:03:45.040 --> 0:03:48.280 and studied, you know, how to do business, how to 0:03:48.560 --> 0:03:51.360 make money, how to do the accounting and offer this stuff, 0:03:51.520 --> 0:03:53.800 and so that was very helpful. But the rest of 0:03:53.840 --> 0:03:56.240 my life. I never knew then that I would use 0:03:56.280 --> 0:03:58.360 those kind of talents the rest of my life. So 0:03:58.400 --> 0:04:00.800 I was always was interested in business, and therefore I 0:04:00.800 --> 0:04:03.600 had this kind of great advantage. So they've when I 0:04:03.640 --> 0:04:06.680 started making a lot of money in the show business, 0:04:07.080 --> 0:04:09.280 I knew what to do with this money, and I 0:04:09.520 --> 0:04:14.000 knew how to go and hey through my investments for 0:04:14.200 --> 0:04:18.560 the taxes and never really worry about, you know, having 0:04:18.600 --> 0:04:21.520 an offshore corporation, any of those kind of things that 0:04:21.520 --> 0:04:24.080 that that I despise, all of the stuff that that 0:04:24.200 --> 0:04:26.680 you try to avoid paying taxes. Always was a guy 0:04:26.720 --> 0:04:30.240 that was interested in paying taxes, but I always wanted 0:04:30.279 --> 0:04:32.440 to make sure at the same time that investment money 0:04:32.440 --> 0:04:34.480 so that I make up for that. But those kind 0:04:34.480 --> 0:04:37.760 of payments that you give the I s Paul, That's 0:04:37.800 --> 0:04:41.400 that's atypical, to say the least right for someone to 0:04:41.680 --> 0:04:45.279 come into a career thinking that some people come up 0:04:45.279 --> 0:04:48.360 I mean, you have deep experience here. What were your 0:04:48.400 --> 0:04:52.279 observations of Arnold in those sort of early days, having 0:04:52.320 --> 0:04:55.080 come to the table with that kind of expen well, 0:04:55.200 --> 0:04:57.280 it was clear to me from the beginning that he 0:04:57.480 --> 0:05:00.320 was interested in business. I don't think it would have 0:05:00.360 --> 0:05:02.360 ever worked out for us to work together if you 0:05:02.480 --> 0:05:04.880 weren't interested in business, if he had just said, I 0:05:04.880 --> 0:05:07.640 don't know anything about business, go figure it out. The 0:05:07.680 --> 0:05:11.080 fact is he was a partner to me in it, 0:05:11.160 --> 0:05:13.840 and he came with a very different perspective than I had. 0:05:14.480 --> 0:05:17.360 So I've learned a lot over the years from him 0:05:17.400 --> 0:05:19.880 and other people. I think I have much more of 0:05:19.920 --> 0:05:22.760 a marketing gene now and I understand all that, but 0:05:22.839 --> 0:05:25.560 coming in I was more of a financial person, and 0:05:25.640 --> 0:05:29.440 so I learned a lot about marketing and sales and 0:05:29.480 --> 0:05:32.039 things like that from him. I always say that whoever 0:05:32.120 --> 0:05:36.280 that guy was that taught Arnold sales in Austria, and like, 0:05:36.520 --> 0:05:39.520 you know, whatever year that was, they should should build 0:05:39.520 --> 0:05:41.800 a statute to him or something, because he was obviously 0:05:41.839 --> 0:05:45.200 really good. But you know, Arnold was always had that 0:05:45.680 --> 0:05:49.960 uh sales and marketing gene. And I was saying I 0:05:50.000 --> 0:05:52.520 was saying before that I don't know if he was 0:05:52.560 --> 0:05:54.320 the first person, but I think he might have been 0:05:54.320 --> 0:05:56.599 the first person who kind of traveled around the world 0:05:57.040 --> 0:05:59.720 promoting his movies. Because first of all, he had a 0:05:59.720 --> 0:06:03.359 global perspective, which I also did, and when I was 0:06:03.400 --> 0:06:08.279 a banker investment bank a lot of clue then as well. 0:06:08.440 --> 0:06:12.119 I worked at Israel, I worked at UP so that thing, 0:06:12.200 --> 0:06:16.560 which was unusual for most Americans. So he had a 0:06:16.600 --> 0:06:20.560 global perspective. But also he was always thinking about selling. 0:06:20.600 --> 0:06:22.720 It was like, if you if you do something or 0:06:22.760 --> 0:06:24.800 you make something and you can't sell it, what's the 0:06:24.839 --> 0:06:27.679 point and so and that was true of his movies. 0:06:28.120 --> 0:06:30.120 And so he was on Johnny Carr. That's how I 0:06:30.160 --> 0:06:33.159 first knew who he was because I wasn't. I mean, 0:06:33.600 --> 0:06:36.440 look at me, I think I was a bodybuilding I'm 0:06:36.480 --> 0:06:40.560 actually not, but this is a podcast. Yeah, I'd see him. 0:06:40.800 --> 0:06:43.159 I've seen him on Johnny Carson many times, and I 0:06:43.279 --> 0:06:46.280 just found him so interesting because he was such a 0:06:46.279 --> 0:06:48.919 great salesman and he would do this thing with Johnny 0:06:48.960 --> 0:06:51.360 Carson and I watched. I was a big Carson fan, 0:06:51.839 --> 0:06:54.640 so I kind of knew his rhythm where Arnold would 0:06:54.680 --> 0:06:59.000 just segue right into selling and Carson always got the 0:06:59.080 --> 0:07:01.000 joke and he always has kind of led Arnold to 0:07:01.040 --> 0:07:03.520 the point where Arnold could go, oh, and by the way, 0:07:03.560 --> 0:07:05.279 I'm just coming out with a movie, and it was 0:07:05.520 --> 0:07:08.040 like an inside joke between the two of them. And 0:07:08.120 --> 0:07:11.400 so I think when you asked that question, I wouldn't 0:07:11.440 --> 0:07:14.200 have been as interested in what we were doing if 0:07:14.240 --> 0:07:17.200 I didn't feel that he had a business gene and 0:07:17.240 --> 0:07:20.960 would be business partner. He just didn't. And obviously I 0:07:21.000 --> 0:07:24.800 have certain skills and finance and things that I have, 0:07:25.440 --> 0:07:28.080 but some of the stuff he talked about, like all 0:07:28.120 --> 0:07:32.640 the planet Hollywood stuff before I started, that was really 0:07:32.680 --> 0:07:34.760 one of the things we worked on while I was 0:07:34.800 --> 0:07:39.200 still an investment banker before and I think we together 0:07:39.360 --> 0:07:41.280 did a great job on that, and it was a 0:07:41.320 --> 0:07:44.160 great thing. And I remember once he called me and said, 0:07:44.160 --> 0:07:48.040 I want to buy Santa Clarita Studios. Drive up there 0:07:48.040 --> 0:07:49.920 and look at it, which is way the hell up 0:07:49.920 --> 0:07:53.000 and Antelope Valley in your Magic Mountain, And I was 0:07:53.080 --> 0:07:55.400 just like, what is complain? You know, what is this? 0:07:55.640 --> 0:07:58.120 Actually probably wouldn't have been a bad today, it would 0:07:58.120 --> 0:08:00.679 have been an incredible asset that so he was always 0:08:00.760 --> 0:08:03.480 thinking like that, you know, I was thinking about investing, 0:08:03.560 --> 0:08:09.120 thinking about business, thinking about market and yet your peers 0:08:09.160 --> 0:08:12.440 were not obviously keeping honest here Arnold like they would 0:08:12.520 --> 0:08:13.960 make a movie, didn't sort of move on to the 0:08:14.000 --> 0:08:17.800 next one. They weren't going and pitching it around the world. 0:08:17.840 --> 0:08:21.320 They weren't maybe as aously courting the Carsons of the 0:08:21.320 --> 0:08:24.440 world to do that. Might do some endorsements here and there. 0:08:24.480 --> 0:08:30.120 But what did you see that that was missing? Well, 0:08:30.120 --> 0:08:32.400 I don't think there was anything missing with those guys. 0:08:32.440 --> 0:08:35.520 I think they were very, very talented actors. That but 0:08:35.600 --> 0:08:38.319 that was the craft, that was their talent. They were 0:08:38.360 --> 0:08:43.440 extraordinary actors, but they were not necessarily businessman. So them 0:08:43.720 --> 0:08:46.240 when the agents said, look, I can get you those 0:08:46.320 --> 0:08:48.360 days a million dollars with a lot of money, I 0:08:48.360 --> 0:08:50.880 can get the million dollars a movie, those guys were 0:08:51.000 --> 0:08:54.080 very happy. But they didn't think about it beyond okay, theft, 0:08:54.600 --> 0:08:56.880 if you pay taxes and then you have my staff 0:08:57.000 --> 0:09:01.559 have my right off maybe business us or the expenses 0:09:01.600 --> 0:09:04.240 and that all those kind of things. They didn't think that. 0:09:04.440 --> 0:09:06.120 It was just oh, I'm so happy that they get 0:09:06.120 --> 0:09:08.160 this money, and that was it. And there was a 0:09:08.200 --> 0:09:10.880 business manager that then took care of the money. And 0:09:10.920 --> 0:09:13.520 you know, who knows what they were doing, right, I mean, 0:09:14.720 --> 0:09:17.960 it was like a lot of those actors eventually lost 0:09:18.080 --> 0:09:20.839 the money and they had nothing, and oh the I 0:09:21.000 --> 0:09:23.480 s in the millions of dollars and so so. But 0:09:23.559 --> 0:09:26.120 this is because they were actors in the businessmen. I 0:09:26.240 --> 0:09:30.520 happen to have the talent at first. I came from business, 0:09:30.920 --> 0:09:33.920 then I went into bodybuilding, then I went into acting, 0:09:34.000 --> 0:09:37.320 So I have a totally different approach. Also, let's not 0:09:37.440 --> 0:09:41.640 forget that I have the advantage of having come from Europe. 0:09:41.960 --> 0:09:44.559 So when you come from Europe and you've traveled now 0:09:44.640 --> 0:09:47.920 with bodybuilding, the entire world doesn't matter. If you go 0:09:47.960 --> 0:09:51.560 to Australia or to African countries, or you go to 0:09:51.640 --> 0:09:54.680 Asian countries, European countries. You all over the place in 0:09:54.760 --> 0:09:57.800 order of America, South American, North America in orders, so 0:09:57.920 --> 0:10:01.240 you covered the world. When went into show business and 0:10:01.240 --> 0:10:04.440 they started doing movies, I remember they be set down 0:10:04.440 --> 0:10:07.160 with Universal Studio and they said, okay, if you're gonna 0:10:07.200 --> 0:10:10.680 go and send you with Conan the Barbarian to France 0:10:11.760 --> 0:10:16.800 and uh to Germany and to Japan. So I said, 0:10:17.000 --> 0:10:19.480 my only three countries. They said, well, this is our 0:10:19.520 --> 0:10:22.719 biggest bias, and the other ones are not really up 0:10:22.760 --> 0:10:25.000 to par with our movies that do their own movies 0:10:25.080 --> 0:10:27.400 noticed stuff. I said, well, isn't it time that we 0:10:27.520 --> 0:10:30.839 go and promote our movies also in the countries they 0:10:30.880 --> 0:10:34.920 are not yet very independe official and bring a lot 0:10:34.960 --> 0:10:37.240 of profits. And they said, no, no, no, I don't 0:10:37.280 --> 0:10:39.200 want to do that. Actors don't like to fly around 0:10:39.240 --> 0:10:42.360 the world. Anyway, I said, was let's were not a 0:10:42.480 --> 0:10:45.040 map and let's go on the side. Now which countries 0:10:45.080 --> 0:10:47.280 we should go? I would like to go to ten countries, 0:10:47.600 --> 0:10:51.120 just to make it up ten countries and they said 0:10:51.320 --> 0:10:53.839 you would I said yeah, it's all of a sudden, 0:10:53.880 --> 0:10:56.120 they said, yeah, well, actually we always wanted to stand 0:10:56.120 --> 0:10:59.160 someone to Norway into Finland and the Nordic countries in 0:10:59.240 --> 0:11:01.480 Europe also would like to go, and have you go 0:11:01.559 --> 0:11:04.520 to Italy? How about Spain? And said, yeah, Spain. We 0:11:04.600 --> 0:11:06.679 shot the movie Coming to but Bar, and of course 0:11:06.679 --> 0:11:08.520 we should go to Spain, and then then we go 0:11:08.600 --> 0:11:10.559 to Japan and then we go So now we made 0:11:10.640 --> 0:11:13.640 up ten countries. And they called me back after this honor. 0:11:13.720 --> 0:11:16.160 This was such a hit. Now those countries want to 0:11:16.240 --> 0:11:19.160 buy other movies of ours in blap bla, So I mean, 0:11:19.200 --> 0:11:21.280 it was like a no brainer. For me that you 0:11:21.360 --> 0:11:26.000 say the world it's the marketplace, not just the United States, 0:11:26.040 --> 0:11:29.840 not just Japan, not just Germany. The world is the marketplace. 0:11:29.960 --> 0:11:33.559 And if it isn't yet there, let's build it. And 0:11:33.640 --> 0:11:36.920 I of course thought about it a bit selfishly at 0:11:36.960 --> 0:11:39.120 the same time, because I said to myself, if the 0:11:39.240 --> 0:11:42.760 studio is paying for me to travel around the world 0:11:43.200 --> 0:11:45.760 to promote the movie, well who is this going to 0:11:45.840 --> 0:11:48.120 benefit and the staff of the movie I'm going to 0:11:48.240 --> 0:11:50.880 benefit from that. And so I always looked at it 0:11:50.880 --> 0:11:54.199 as kind of like in a synergy in a synegy way, 0:11:54.720 --> 0:11:58.040 that you have to go and think about your own career, 0:11:58.120 --> 0:12:00.360 your own name, how to build that up. So I 0:12:00.400 --> 0:12:05.800 think that those talents of marketing, publicity, business, and then 0:12:05.880 --> 0:12:10.079 the national vision of that is because of my background, 0:12:10.800 --> 0:12:13.680 and I don't expect other people to have to naturally, 0:12:14.040 --> 0:12:16.439 if it doesn't matter if you're a lebron or if 0:12:16.440 --> 0:12:19.120 your mark spits, or if your shoe nameth or anything 0:12:19.160 --> 0:12:22.160 like that, any of those speaks athletic names, you know 0:12:22.240 --> 0:12:25.440 you don't you don't get good in those areas just 0:12:25.480 --> 0:12:29.080 because you're a great athlete, right right, And so let's 0:12:29.120 --> 0:12:32.240 talk about plann at Hollywood because as you look back, 0:12:33.320 --> 0:12:37.960 what was in your mind when that came across, well, 0:12:38.120 --> 0:12:40.880 the original office and a lot of the deals that 0:12:41.120 --> 0:12:44.120 I have done was always we would like it to 0:12:44.400 --> 0:12:47.920 endorse this, and all you have to do is take 0:12:47.960 --> 0:12:50.840 a picture with it and we take a picture together 0:12:51.480 --> 0:12:54.840 and you come to the original opening of you know, 0:12:55.080 --> 0:12:58.960 bags ship rest around us or whatever it is, whatever 0:12:59.000 --> 0:13:02.079 product is, and uh, and that's it. It makes a 0:13:02.080 --> 0:13:05.480 certain amount of money, and I always felt kind of 0:13:05.520 --> 0:13:10.880 like it's not as organic. I didn't want to be 0:13:11.400 --> 0:13:14.360 just doing a commercial and get the money. I always 0:13:14.360 --> 0:13:16.600 felt like I should get involved. To Planet Hollywood was 0:13:16.640 --> 0:13:19.080 one of those, because you mentioned it a good example 0:13:19.360 --> 0:13:21.280 where I said, well, you know, I don't want to 0:13:21.320 --> 0:13:23.640 just do a commercial or I don't want to just 0:13:23.840 --> 0:13:27.719 do an endorsement, but why don't I get involved? And 0:13:27.760 --> 0:13:32.640 they have a certain small ownership of the business, and 0:13:32.679 --> 0:13:34.719 so they said, oh, would you want to do that, 0:13:34.800 --> 0:13:36.960 and they said yes. I said, give me no money. 0:13:37.920 --> 0:13:40.320 I don't want no money. I said, I'm not cash poor. 0:13:40.840 --> 0:13:43.480 I said, luckily, I've always invested my money. Well, so 0:13:43.559 --> 0:13:45.920 I said, I'd like to take a little risk myself. 0:13:46.520 --> 0:13:49.200 I see, I'm not scared of risks, and they said, 0:13:49.280 --> 0:13:52.280 you would do it Jesus business thinking kind of a 0:13:52.320 --> 0:13:54.680 mentality you got there, and I said yeah, I said, 0:13:54.720 --> 0:13:56.720 let's just do that. And they said wee we made 0:13:56.720 --> 0:14:00.480 this deal. And then I helped them. Attended came part 0:14:00.520 --> 0:14:04.960 of the business, part of the decision making. And then 0:14:05.080 --> 0:14:07.040 I talked to me into that we should also have 0:14:07.480 --> 0:14:11.240 stall loan, and then we should have Bruce Willis and 0:14:11.360 --> 0:14:13.640 will we go back, and the list went on and on, 0:14:13.640 --> 0:14:15.800 and all of a sudden, we had like twenties celebrities 0:14:16.160 --> 0:14:19.640 that were able to travel all over the world and 0:14:20.320 --> 0:14:25.120 create sometimes up to forty fifty thousand people participating in 0:14:25.160 --> 0:14:28.920 an opening of a planet Hollywood, I mean in London. 0:14:28.960 --> 0:14:31.360 They said, we haven't seen that many people since the 0:14:31.400 --> 0:14:34.800 Beetle Beetles performed, And so this is the kind of 0:14:34.800 --> 0:14:38.560 crowds that we got. It was all because celebrities were involved. 0:14:38.840 --> 0:14:41.920 It looked organic. It didn't look like just an indorsement. 0:14:42.240 --> 0:14:45.000 It looked like they were really involved because they went 0:14:45.120 --> 0:14:49.640 to the various different locations and openings. They're moving memorabiliers 0:14:49.920 --> 0:14:53.280 were inside the restaurant. So there was like a real 0:14:53.440 --> 0:14:56.720 feeling like we have given up all of our memorabilities 0:14:56.960 --> 0:14:59.240 to scatter them all over the world, which we did, 0:14:59.760 --> 0:15:01.640 and then they had to make copies of that because 0:15:01.680 --> 0:15:04.520 of course the restaurant business grew so fast in orders, 0:15:04.520 --> 0:15:06.760 so this was like a huge coup. And you know, 0:15:06.880 --> 0:15:09.200 by the time I sold this whole thing, you know, 0:15:09.960 --> 0:15:12.920 tens of millions of dollars with no investment of it. 0:15:13.120 --> 0:15:15.600 So people were then shock and said, gieve, you made 0:15:15.640 --> 0:15:19.480 the second most amount of money of anybody in the 0:15:19.640 --> 0:15:22.360 business in the planet, Hollywood business. How did you do that? 0:15:22.960 --> 0:15:24.960 I said, well, I said, I'm a businessman. I know 0:15:25.040 --> 0:15:27.320 exactly how to do it and when to sell in 0:15:27.400 --> 0:15:30.040 order stuff. And of course Paul was right there, Main 0:15:30.160 --> 0:15:33.760 Street Advisors was right there and every step of the 0:15:33.760 --> 0:15:37.000 way helping me. Laid on after we went business already 0:15:37.000 --> 0:15:39.520 for a while and in order. So it's the same 0:15:39.560 --> 0:15:42.040 thing with Autumn b K. They came to me and says, 0:15:42.080 --> 0:15:44.640 we would like to do a watch with you, and 0:15:44.680 --> 0:15:47.600 then of course one of the greatest watch companies, and 0:15:47.640 --> 0:15:50.320 I said, well that would be great. I said, let's 0:15:50.320 --> 0:15:52.560 do watch. What can we do together? And they said, well, 0:15:52.680 --> 0:15:54.640 you tell us, they said, what I'm doing a movie 0:15:54.760 --> 0:15:59.240 right now? End of Days. I say, how about creating 0:15:59.600 --> 0:16:04.600 a black watch the royal oak, which I love. I said, 0:16:04.640 --> 0:16:07.120 the royal oak, and we make it all black. And 0:16:07.120 --> 0:16:09.200 they said, the way it's a don't all black? Would 0:16:09.200 --> 0:16:13.520 not sell people like colors. I said, ah, then let's 0:16:13.560 --> 0:16:17.240 go and make the numbers yellow if you like color. 0:16:17.680 --> 0:16:20.720 They said that it's just too simply, wouldn't work out 0:16:20.720 --> 0:16:23.400 a Rather, it was the big thing. Said that's the 0:16:23.440 --> 0:16:25.520 watch that we're gonna do. It's gonna call be called 0:16:25.600 --> 0:16:28.880 the End of Days watch, and that's it and that's all. 0:16:29.760 --> 0:16:32.360 And then they said, oh god, okay, we want to 0:16:32.360 --> 0:16:35.040 do watch me no matter what they say, Okay, okay. 0:16:35.040 --> 0:16:37.480 So they did it and they immediately called me back 0:16:37.520 --> 0:16:39.960 when the watch came out and says, we are sort 0:16:40.000 --> 0:16:43.320 out anyone's through the roof. How did you know that? 0:16:43.560 --> 0:16:50.560 So anyway, the bottom line is I realized that you 0:16:50.600 --> 0:16:55.120 can make millions of dollars in the watch business if 0:16:55.160 --> 0:16:59.200 you involved in the design. I went over there to 0:16:59.240 --> 0:17:04.080 automobic to the factory and they put on my white 0:17:04.119 --> 0:17:07.560 coat and the mask around the mouth, and how the 0:17:07.680 --> 0:17:12.280 scientists they are round around the mechanics noticed stuff so 0:17:12.320 --> 0:17:15.040 that there's nothing that gets down on any of the 0:17:15.119 --> 0:17:17.840 mechanisms of the watches, and it's a gimmick, probably a 0:17:17.880 --> 0:17:20.000 lot of it, but I mean that the bottom line is, 0:17:20.280 --> 0:17:22.560 you know, I went to the whole thing and to 0:17:22.640 --> 0:17:26.040 show people that are actually sitting there with the watch 0:17:26.119 --> 0:17:29.160 designer and we're designing the watch, because at that point 0:17:29.200 --> 0:17:32.800 now we were designing the Terminator three watch, and so 0:17:32.880 --> 0:17:34.879 this is how it went from one watch to the 0:17:34.920 --> 0:17:37.040 next week. Then after that we did the sixth Day 0:17:37.080 --> 0:17:39.960 Watch and the Day's Watch, the Terminator Watch, and when 0:17:40.240 --> 0:17:43.520 every movie did the watch. Now the millions of dollars 0:17:43.560 --> 0:17:47.960 that I get paid for this was actually not for myself. 0:17:48.720 --> 0:17:51.600 It was for the after school programs. So I said 0:17:51.600 --> 0:17:55.080 to myself, I'm gonna go and have my favorite charity 0:17:55.160 --> 0:17:57.320 we just started in the nineties, and said, all of 0:17:57.359 --> 0:17:59.480 the money that I'm gonna make with the watches, I'm 0:17:59.480 --> 0:18:03.399 gonna put into the charity after school programs for those kids, 0:18:03.520 --> 0:18:06.159 because the kids are best investment, right. So that was 0:18:06.200 --> 0:18:09.080 the idea and all of my Bika was very very 0:18:09.080 --> 0:18:12.120 happy with that idea that I wasn't selfish just thinking 0:18:12.119 --> 0:18:14.920 about myself, So they made any deal that I wanted 0:18:14.960 --> 0:18:17.080 to make, I said, tells so many millions of dollars 0:18:17.080 --> 0:18:19.000 for this watch, tells so many millions of dollars, but 0:18:19.119 --> 0:18:21.120 this watch, and they just paid it because they said 0:18:21.119 --> 0:18:22.399 it's for a good cause. I know this is not 0:18:22.480 --> 0:18:25.560 taking it themselves. So this is another concept. Okay, did 0:18:25.600 --> 0:18:28.360 the way you go, you know, kind of against synergy 0:18:28.600 --> 0:18:30.920 where you go beyond just you know, making money, but 0:18:31.119 --> 0:18:33.239 how you can donate the money and their whole thing. 0:18:33.320 --> 0:18:35.159 But anyway, it was in the watch business, it was 0:18:35.240 --> 0:18:38.719 like that. And with the airplane deal, I remember it 0:18:38.800 --> 0:18:41.639 was like that when the Singapore Airline says said, you know, 0:18:41.720 --> 0:18:44.320 we don't want to own all of our planes. We 0:18:44.400 --> 0:18:47.000 want to go and have someone else buy the plane, 0:18:47.320 --> 0:18:50.240 remember that, Paul. And then they said, you won't have 0:18:50.280 --> 0:18:53.000 someone else buy the plane. Some institution and pensions or 0:18:53.040 --> 0:18:57.520 whatever they buy the plane and we least it. So 0:18:57.640 --> 0:19:01.679 I said, why shouldn't I have a Singapore Land plane? 0:19:01.960 --> 0:19:03.600 You know I have the money to buy it was 0:19:03.600 --> 0:19:09.000 a hundred exactly. So to we bought a plane and 0:19:09.119 --> 0:19:12.600 Paul made the deal. We palled, we bought the plane, 0:19:13.040 --> 0:19:17.000 and we had the most extraordinary investment. Because now not 0:19:17.119 --> 0:19:20.679 ten years later then it is it is you know, 0:19:20.880 --> 0:19:23.560 you have to plane. Now the least is over. Now 0:19:23.560 --> 0:19:25.680 you can go and sell it. But they now it's 0:19:25.720 --> 0:19:28.399 it's of course it's a devalued down to sixty million 0:19:28.440 --> 0:19:32.320 dollars hundred thirty four million dollars, but now the plane 0:19:32.359 --> 0:19:34.399 still sort for a hundred million to night, I mean 0:19:34.440 --> 0:19:37.560 the extra forty million dollar investment, not even talking about 0:19:37.600 --> 0:19:39.560 all the write offs that you had, because I had 0:19:39.600 --> 0:19:42.359 my own private plane of course that I flew around 0:19:42.359 --> 0:19:44.879 with all the right offs there. So this was a 0:19:45.080 --> 0:19:49.680 huge deal. But we literally tripled out quite tripled our 0:19:49.760 --> 0:19:52.040 money in the short period of time. So anyway, so 0:19:52.080 --> 0:19:54.439 there's the kind of things that I do and then 0:19:54.520 --> 0:19:57.359 Paul helps me with and the idea of it all 0:19:57.640 --> 0:20:03.199 is that all. And I think we're celebrating kind of 0:20:03.240 --> 0:20:07.280 like Main Street Advices because it has been now in 0:20:07.400 --> 0:20:11.040 operation for how long twenty five years now, And we 0:20:11.119 --> 0:20:13.960 talked about that how he now for twenty five years 0:20:14.240 --> 0:20:20.320 has helped other celebrities that don't have the talent of this, 0:20:21.119 --> 0:20:24.600 not because they're idiots, they're smart, but it's just a 0:20:24.680 --> 0:20:27.919 special talent. It's like having a talent of playing basketball, 0:20:28.000 --> 0:20:31.359 being a bodybuilding champion of wait, and then they don't. 0:20:31.440 --> 0:20:33.480 You're not born right away with the same talent of 0:20:33.520 --> 0:20:37.120 being a businessman and understanding numbers. And so Paul has 0:20:37.160 --> 0:20:40.639 been helping those guys. Uh. And Paul can tell you 0:20:40.680 --> 0:20:44.240 about the whole list of celebrities that then music, that 0:20:44.400 --> 0:20:48.359 then sports, then you know, in various different sports people 0:20:48.400 --> 0:20:50.879 that are record produces, people that are in the record 0:20:50.920 --> 0:20:54.760 business in different business but their talent is to produce records, 0:20:55.320 --> 0:20:59.520 not necessarily how to do business and in artists and 0:20:59.600 --> 0:21:01.320 all of the and stuff. So Paul can talk more 0:21:01.320 --> 0:21:02.840 about that. But I mean, I mean that is the 0:21:02.920 --> 0:21:06.600 fascinating thing about Paul is that he adopted to this. 0:21:06.640 --> 0:21:08.720 It was a new idea, but I knew he's gonna 0:21:08.720 --> 0:21:12.760 adopt and then only adopt, but also then add his 0:21:12.920 --> 0:21:16.000 intelligence and his know how do the whole thing and 0:21:16.040 --> 0:21:19.399 then make two and two become six. You know, so 0:21:19.480 --> 0:21:26.000 he defined math. I would say, uh, not being modest 0:21:26.000 --> 0:21:29.160 about it, I'm honest about it. I think I've very 0:21:29.240 --> 0:21:33.119 carefully chosen the people that I worked with, is Arnold. 0:21:33.480 --> 0:21:37.639 It's kind of my model to be people who do 0:21:37.880 --> 0:21:41.760 have that business gene and they may not have the 0:21:41.880 --> 0:21:46.000 finance background or the some of them may be great 0:21:46.000 --> 0:21:47.960