AZ Tech Roundtable 2.0

Chaos Theory – Flash Crash and Machines Running Wall St

w/ Denver Nowicz - BRT S 01 EP10 4-12-2020

 

Guest: Denver Nowicz, President - Wealth For Life

http://wealthforlife.net/

https://www.linkedin.com/in/denvernowicz/

https://twitter.com/DenverNowicz

 

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

Notes: 

Tax Protection

Selling a Business

3 to 1 Lender Match

 

Chaos theory is a complicated mathematical theory that seeks to explain the effect of seemingly insignificant factors. Chaos Theory is considered by some to explain chaotic or random occurrences, and the theory is often applied to financial markets as well as other complex systems such as predicting the weather. Chaotic systems are predictable for a while and then appear to become random.

 

 

Flash Crash of 2010

Flash Crash 5/2010 – computer selling, 998 DOW loss / 9%

 

Background - per Wikipedia 

On May 6, 2010, U.S. stock markets opened and the Dow was down, and trended that way for most of the day on worries about the debt crisis in Greece. At 2:42 p.m., with the Dow down more than 300 points for the day, the equity market began to fall rapidly, dropping an additional 600 points in 5 minutes for a loss of nearly 1,000 points for the day by 2:47 p.m. Twenty minutes later, by 3:07 p.m., the market had regained most of the 600-point drop.[13]: 1 

At the time of the flash crash, in May 2010, high-frequency traders were taking advantage of unintended consequences of the consolidation of the U.S. financial regulations into Regulation NMS,[4][14] designed to modernize and strengthen the United States National Market System for equity securities.[15]: 641  The Reg NMS, promulgated and described by the United States Securities and Exchange Commission, was intended to assure that investors received the best price executions for their orders by encouraging competition in the marketplace, created attractive new opportunities for high-frequency-traders. Activities such as spoofing, layering and front running were banned by 2015.[16] This rule was designed to give investors the best possible price when dealing in stocks, even if that price was not on the exchange that received the order.[17]: 171 

 

More: https://en.wikipedia.org/wiki/2010_flash_crash

 

 

MB on Covid 19 as a Possible Black Swan Event, & Mean Reversion

 

Black Swan Events – virus scare 2020, financial crisis / housing crash 2008, Dot Com bubble

Chaos Theory – Jurassic Park quote from Dr. Ian Malcolm ‘life finds a way’

 

Mean Reversion - Things do not stay good forever, stocks do not just keep going up, things are not bad forever

 

Chinese Farmer by Alan Watts -  

https://wellsbaum.blog/alan-watts-story-of-the-chinese-farmer/

 

 

Notes:

The concept of black swan events was popularized by the writer Nassim Nicholas Taleb in his book, The Black Swan: The Impact Of The Highly Improbable (Penguin, 2008). The essence of his work is the world is severely affected by events that are rare and difficult to predict. The implications for markets and investments are compelling and need to be taken seriously.

A black swan event in the stock market is often a market crash that exceeds six standard deviations, making it exceedingly rare from a probabilistic standpoint. Some have argued that stock prices are "fat-tailed" and that such events are, in reality, more frequent than the statistics would let on.

 

Examples of Past Black Swan Events

The crash of the U.S. housing market during the 2008 financial crisis is one of the most recent and well-known black swan events. The effect of the crash was catastrophic and global, and only a few outliers were able to predict it happening.

Others are the: DotCom Bubble of 2001, 9/11, and the Fall of the Hedge Fund,  LTCM in 1998 because of the failures of the Russian Government. 

 

 

Mean Reversion is a financial theory positing that asset prices and historical returns eventually revert to their long-term mean or average level.

 

More on Machines Running Wall St. - 

 

https://www.youtube.com/watch?v=uff9vqpcok4

13 Stock Market Realities Exposed By Coronavirus Market Crash Fears

Mar 12, 2020

3 Stock Market Realities Exposed By Coronavirus market crash fears focuses on the new world stock market that's driven by the fastest technology ever.

Wealth Specialist John Duncan shares how the Coronavirus has exposed huge stock market realities that have been under the radar until this buying and selling stock market frenzy began. Magic of how to protect your money from a stock market crash is understanding how the stock market has changed.

Here are the list of 13 Stock Market Realities covered in video:

1. The market is now basically run by supercomputers - Causing crazy opening and closing bell sessions - Algorithms are triggering buys and sells -Sheer volume of transactions is off the charts
2. Margin calls are behind many of the end of day sell offs

  Machines are driving Wall Street's wild ride, not humans

by Chris Isidore   @CNNMoneyInvest  February 6, 2018

https://money.cnn.com/2018/02/06/investing/wall-street-computers-program-trading/index.html

Wall Street's recent wild ride isn't driven by nervous portfolio managers, retirees looking at their 401(k) statements or any other human traders. Instead, machines are making the trading decisions.

Computer programs execute buy and sell orders based on complex algorithms and formulas, without a human involved in the process.

On a typical trading day, computers account for 50% to 60% of market trades, according to Art Hogan, chief market strategist for B. Riley FBR. When the markets are extremely volatile, they can make up 90% of trades.

 

* some Notes & info c/o of Investopedia 

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

National Crisis & How It Changes Business

- BRT S01 EP9 4-05-2020

 

Guest: Denver Nowicz, President - Wealth For Life

http://wealthforlife.net/

https://www.linkedin.com/in/denvernowicz/

https://twitter.com/DenverNowicz

 

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

Denver talks about the need to Build Different Streams of Income

 

 

 

Business Lessons - Managing a Business in a Crisis

Being Adaptable

Learning New Skills 

Operating in a Leaner Way

 

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

Business Topic: 

https://brt-show.libsyn.com/category/Business-Consulting-Bus+Lessons-Management-General 

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

 

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

BRT Sampler - Best Of Early 2020

- BRT S01 EP8 3-29-20

 

Things We Learned This Week

• What Business Are You In? - McDonalds is a Real Estate Company
• Why You Should Own Assets - appreciate and act as an Inflation Hedge, Banks like Assets

• Disruption in Business & Tech World - How to Handle The Innovator's Dilemma

• How to Navigate the Market with Real Diversification (in the Pandemic Crash)

 

 

1. Seg. 1 of 2/9/20 show – MB Solo – What Business Are You In? - McDonalds is a Real Estate Company
2. Seg. 2 of 2/9/20 show – Interview w Denver N / Wealth for Life of https://wealthforlife.net/ – Why You Should Own Assets
3. Seg. 1 of 2/16/20 show – MB Solo - Disruption in the Business World
4. Seg. 1 of 3/22/20 show – Interview w Denver N / Wealth for Life of https://wealthforlife.net/ – How to Navigate the Market with Real Diversification (in the Pandemic Crash)

 

 

What Business Are You In? - McDonalds is a Real Estate Company

Replay Clip from 2/9/20, where Matt talks about the biggest franchise of all, and what their real business model is. McDonalds has built an business empire thru Real Estate, not burgers. 

The Dollar Menu is designed to get customers in the door. McDonalds loses $ when people purchase from the dollar menu, it is a Customer Acquisition Cost (CAC). This is also called a ‘Loss Leader’, selling a product at a low cost to get customers. McDonalds then makes money when people buy more, and off return business.

McDonalds is one of the biggest Real Estate companies in the world. The stock is valued on the $37 Billion in Real Estate they own. They make money as a landlord, because the franchisee is their tenant.

The Founder – business movie biography of Ray Kroc. Kroc started as a milk shake salesmen to the McDonalds brothers in California, then went on to create the franchise system we know today. The first President of McDonalds Franchise (Harry Sonneborn) helped Kroc create the real estate model that the franchise was base on, and used to scale to a billion $ company. Internally McDonalds used the Brother’s Speedee Service System created pre-Kroc.

The Question ‘What Business Are You In?’ comes from business consultant Peter Drucker. Business owners need to understand what problem or service they really offer their customers.

Ie – Starbucks is in the Customer Experience business, not coffee, but the atmosphere of drinking the coffee

Full Show: HERE

 

 

Guest: Denver Nowicz, President - Wealth For Life http://wealthforlife.net/

 

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

Why You Should Own Assets

In The Founder movie when Ray Kroc was having trouble getting a loan, he was telling the bank about current sales, and future sales. The bank kept asking him what Assets he has. 

Banks like to own Assets, Tier 1 Capital like cash, real estate, life insurance.

People (customers) put money in the bank, and get an interest rate of half percent % (.005), and bank turns around and loans out money at 3 – 5%. Because of Fractional Reserve Banking, only need  to keep 10% in reserves and can loan out the other 90% to make that loan spread of 2/12 to 4% + on the customer’s deposits. 

Business Owners put all of their money $ in the business (all eggs in one basket), but do not acquire Assets (Real Estate, Gold, Stock, etc) outside of the business. Wealth looks ok on paper when looking at the business valuation, but in reality a business owner’s net worth may be less than thought.

If the business is not worth what is on the balance sheet, big problem. If the business is not worth what is on the balance sheet, big problem.

Business Owners struggle to leverage their cash flow to grow wealth. Market and Business Cycles can hurt business owners and cash flow.

Wealth Creation is in the Assets, as the Assets appreciate more than cash and inflation.

Debt can be used to acquire Assets (Leverage) in the right way to build long term wealth. Can also get write offs with debt and interest. If you buy Real estate, more write offs which lessons taxes.

Full Show: HERE

 

 

 

 

Seg. 1 of 2/16/20 show – MB on Disruption in the Business World – The Innovator’s Dilemma

MB on Disruption in Business & The Innovator's Dilemma book by Clayton Christensen

Clayton Christensen’s book, “The Innovator’s Dilemma”

Tech Disruption – technology changes and a small company startup can up-end big tech companies. Hence,  disruption - the power of disruption, why market leaders are often set up to fail as technologies and industries change and what incumbents can do to secure their market leadership for a long time.

Innovator’s Dilemma – how can big companies stay up with tech changes and pivot without hurting core business? All businesses (including tech companies) have trouble with disruption.

 

Example: Blockbuster – rented movies, DVDs, lost market share to Red Box (vending movie rental), then both disrupted by streaming movies.

Music industry went from records to cassettes to CDs to streaming (Napster).

MySpace taken out by Facebook in social networks.

Yahoo search taken out by Google (controls 75% of the search market)

Kodak afraid to get out of film business and passed on digital film, lost market share.

 

To solve the Innovator’s Dilemma, big companies acquire smaller tech companies; have in house R&D to be ready for next tech wave.

Steve Jobs of Apple was very influenced by  Innovator’s Dilemma  and took this idea seriously.

If you do not try to put your company out of business (w/ disruption / new tech), someone else will.

Jobs was not afraid to innovate, and cannibalize his own company and products to stay relevant.

Apple created iPhone, and now computer is in your pocket

Peter Thiel – “Zero to One” book - Great innovation is not A to B to C, it is vertical, jumps curves.

Current smart phones have more computing power than a computer 20 years ago.

Guy Kawasaaki (former Apple) Talk - “12 Lessons From Steve Jobs”

 

Full Show: HERE

 

Seg. 1 of 3/22/20 show – Interview w Denver N / Wealth for Life of https://wealthforlife.net/ – How to Navigate the Market with Real Diversification (in the Pandemic Crash)

 

Markets are inefficient, and often irrational. Humans are emotional and tend to panic when they see scary headline on CNBC. People sell on fear of a recession, disregarding the fact that many of these big companies will not go out of business. 

Trading in the Markets have changed with all the super computers and algorithms involved in daily stock trading. Computers can create huge sell offs in the market, because of the programs and indicators they operate off of - artificial intelligence. 

Financial Advice should be more holistic. Too much advice is based on buying stocks, vs growing your overall net worth. To grow wealth, one must have cash flowing assets. You want to put yourself in a solid financial position owning different assets (like real estate, stocks, etc.) so you can handle economic downturns. 

The stock market value is all on paper until you sell, so it is inefficient on capturing gains. The wealthy may only have 20 - 30% of their money in the stocks. It is hard to be consistent and disciplined in your investing. You need ways to generate cash, and lock in gains. 

It is important to understand Market Cycles, and how they work, plus how long they will last. Howard Marks writes often on this topic, in his memos or the book he wrote on the topic (here is a summary). If you can recognize these cycles, it helps in investment planning. 

Tiger 21 Club - Follow this super investor group for ideas, and how they diversify their investments. Allocation usually has 25% in real estate, 25% in stocks, 25% in private equity, 10% in cash, and the rest is Bonds or other investments. 

https://tiger21.com/

 

Full Show: HERE

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

 

Investing Topic: https://brt-show.libsyn.com/category/investing

More - BRT Best of: https://brt-show.libsyn.com/category/Best+Of

 

Real Estate Topic: https://brt-show.libsyn.com/category/Real+Estate

https://brt-show.libsyn.com/size/5/?search=best+of+real+estate

 

Business Topic:

https://brt-show.libsyn.com/category/Business-Consulting-Bus+Lessons-Management-General

 

 

Please Subscribe to the show.

Thanks for Listening.

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

How to Navigate the Market with Real Diversification (in the Pandemic Crash) & Lessons from Hollywood

- BRT S01 EP7 3-22-2020

 

What We Learned This Week

• Assets - Own different Cash Flowing Assets to Diversify
• Market Cycles – Understand what Market Cycle the Market is in, is there a Bubble?
• Tiger 21 Club - Follow this super investor group for ideas
• The Godfather - Negotiation - 'I am going to make him an offer he cannot refuse'
• The Dark Knight - What's the Problem - In business you need to be able to identify the real problems

 

 

Guest: Denver Nowicz / Wealth for Life  https://wealthforlife.net/

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

 

Markets are inefficient, and often irrational. Humans are emotional and tend to panic when they see scary headline on CNBC. People sell on fear of a recession, disregarding the fact that many of these big companies will not go out of business. 

Trading in the Markets have changed with all the super computers and algorithms involved in daily stock trading. Computers can create huge sell offs in the market, because of the programs and indicators they operate off of - artificial intelligence. 

Financial Advice should be more holistic. Too much advice is based on buying stocks, vs growing your overall net worth. To grow wealth, one must have cash flowing assets. You want to put yourself in a solid financial position owning different assets (like real estate, stocks, etc.) so you can handle economic downturns. 

The stock market value is all on paper until you sell, so it is inefficient on capturing gains. The wealthy may only have 20 - 30% of their money in the stocks. It is hard to be consistent and disciplined in your investing. You need ways to generate cash, and lock in gains. 

It is important to understand Market Cycles, and how they work, plus how long they will last. Howard Marks writes often on this topic, in his memos or the book he wrote on the topic (here is a summary). If you can recognize these cycles, it helps in investment planning. 

Tiger 21 Club - Follow this super investor group for ideas, and how they diversify their investments. Allocation usually has 25% in real estate, 25% in stocks, 25% in private equity, 10% in cash, and the rest is Bonds or other investments. 

https://tiger21.com/

 

MB on Business Lessons from the Hollywood Movies

From marketing to negotiating, these classics are full of insights that business owners can apply quickly. 

The Godfather

1. Negotiation - 'I am going to make him an offer he cannot refuse', build relationships to have currency with people, do favors for people, build allies, in case you need help later 
2. Remain Calm - 'It's nothing personal, it's only business', keep your wits about you, plan and organize your biz moves, there are solutions (often simple ones) if you are thinking clearly
3. Loyalty - 'Don't ever take sides with anyone outside the family', remember who your allies and partners are, careful not to make short term alliances that 

The Dark Knight

1. What's the Problem - In business you need to be able to identify the real problems so you focus in the right areas - identify potential disruptive forces, & do not be in denial
2. Good vs Bad Decisions or Partners - making choices to solve short term issues, riding out some volatility, being careful not to create bigger problems long term - being adaptable & anticipate future issues, being organized & calm 
3. Understand Your Value & Skills - get paid properly for your time, and skills, work with clients that can afford you and also respect your skills   

 

 

If you enjoyed this show, you may like:

https://brt-show.libsyn.com/size/5/?search=marketing

BRT Hollywood: HERE

 

 

Sales / Mktg Topic: https://brt-show.libsyn.com/category/Sales-Marketing-Networking-HR

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

History of Business - Great Inventions - Containerization to Robert Noyce & the Circuit

- BRT S01 EP6 3-08-2020

 

MB talks about 2 great inventors and their impact on business, and world economics from trade to industry. 

 

Malcolm McLean and Containerization Leads to World Trade

Malcolm McLean, a trucker created modern containerization, the standard for freight shipping from trucks to boats. 

 

Malcolm Purcell McLean (November 14, 1913 – May 25, 2001; later known as Malcom McLean) was an American businessman. He was a transport entrepreneur who developed the modern intermodal shipping container, which revolutionized transport and international trade in the second half of the twentieth century. Containerization led to a significant reduction in the cost of freight transportation by eliminating the need for repeated handling of individual pieces of cargo, and also improved reliability, reduced cargo theft, and cut inventory costs by shortening transit time.

https://en.wikipedia.org/wiki/Malcom_McLean

 

From:

https://www.freightwaves.com/news/economics/flashback-friday-legacy-of-malcolm-mclean

McLean’s container had its biggest impact in shipping. Container ships now spend 80 percent of their time at sea; before containers this time was around 50 percent (with 50 percent of time loading and unloading cargo).

Beyond that accomplishment, McLean created a system that goes beyond shipping containers. Container ships now fly the flags of many nations and carry the brands of numerous companies. But they trace their heritage to McLean’s converted oil tankers. In addition, specialized rail cars and trucks were designed to  haul shipping containers via land.

 

 

From:

https://www.pbs.org/wgbh/theymadeamerica/whomade/mclean_hi.html

 

While his name is relatively unknown today, this North Carolina trucker invented container shipping, an method now indispensable to the modern world of global trade.

Start in Trucking Malcom McLean was born into a North Carolina farming family in 1914. Struggling to assist his family during the Great Depression, he started a small trucking company to transport farmers' goods and supplies. His resourcefulness enabled him to expand to thirty trucks by 1940, and he was eventually able to sell McLean Trucking, a $12 million company with over 1700 trucks, by the mid-1950s.

 

Truck to Ship to Truck His years in the transportation business showed McLean the need for an easier method of shipping goods. He had watched dock workers unloading goods from trucks and transferring them to ships, and marveled at the inefficiency of the process. "Wouldn't it be great," he asked himself, "if my trailer could simply be lifted up and placed on the ship?" In 1955, he gambled big on a container venture, buying two oil tankers and securing a bank loan to buy $42 million worth of docking, shipbuilding, and repair facilities. He refitted the ships and designed trailers to stack below or on the decks. In April 1956, his first container ship, the Ideal X, departed Port Newark, New Jersey, headed for Houston.

 

Sea-Land McLean named his new company Sea-Land, and rushed to expand it, exposing the business to financial instability. The venture required a lot of capital. His aggressive investment was rewarded by the Port of New York Authority's decision to develop a new container port in Elizabeth, New Jersey, anointing cargo shipping as the method of the future. McLean's cargo shipped faster and cheaper, because loading and unloading were shortened at each end of the voyage. The sealed cargo reduced the pilfering that went on at various stages of the cargo's journey and also reduced the labor required. The Vietnam War aided his efforts to expand into Asia, and as more ports adapted to the containers, shipping was revolutionized. Nearly every imported consumer good imaginable owes its lower price to the container revolution. McLean sold Sea-Land for $160 million in 1969. He produced more inventions in his lifetime, including a means of lifting patients from a stretcher to a hospital bed. In 1978, restless, McLean returned to shipping, introducing enormous "econoships" to carry cargo at the equator while smaller ships came and went from them, picking up and delivering containers. McLean died in 2001, relatively unknown considering the broad impact of his innovation.

 

https://www.maersk.com/

Maersk Line in 1999 purchased Sea-Land Corp. - the predecessor of the spin off from RJ Reynolds who owned McLean's shipping co.

 

 

Robert Noyce and the Invention of the Semiconductor, Microchip, Circuits

  Robert Noyce was an American scientist, businessman, and engineer. He helped to create the world's first microchip, the Monolithic Integrated Circuit, and then used his business expertise to found two massively influential technology companies: Fairchild Semiconductor and Intel Corporation.      

Robert Norton Noyce (December 12, 1927 – June 3, 1990), nicknamed "the Mayor of Silicon Valley", was an American physicist and entrepreneur who co-founded Fairchild Semiconductor in 1957 and Intel Corporation in 1968. He is also credited with the realization of the first monolithic integrated circuit or microchip, which fueled the personal computer revolution and gave Silicon Valley its name.[nb 1][1]

 

https://en.wikipedia.org/wiki/Robert_Noyce

 

 

https://www.smithsonianmag.com/smart-news/silicon-valley-owes-its-success-tech-genius-youve-never-heard-180961395/

Silicon Valley Owes Its Success To This Tech Genius You’ve Never Heard Of

Robert Noyce was one of the founders of Silicon Valley

 

 

He graduated Phi Beta Kappa with a BA in physics and mathematics from Grinnell College in 1949 and a Ph.D. in physics from Massachusetts Institute of Technology in 1953. He studied the first transistors, developed at Bell Laboratories, in a Grinnell College classroom.

After graduating from the Massachusetts Institute of Technology in 1953, he took his first job as a research engineer at the Philco Corporation in Philadelphia, Pennsylvania. He left in 1956 for the Shockley Semiconductor Laboratory in Mountain View, California.

Noyce and Gordon E. Moore (a chemist and physicist) founded Intel in 1968 when they left Fairchild Semiconductor. The relaxed culture that Noyce brought to Intel was a carryover from his style at Fairchild Semiconductor. He treated employees as family rewarding and encouraging team work. His follow-your-bliss management style set the tone for many Valley success stories.

https://www.computer.org/profiles/robert-noyce

 

 

 

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

 

Tech Topic:

https://brt-show.libsyn.com/category/Tech-Startup-VC-Cybersecurity-Energy-Science

 

 

Business Topic:

https://brt-show.libsyn.com/category/Business-Consulting-Bus+Lessons-Management-General

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

 

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

Urban Land Institute Event on Real Estate

- BRT S01 EP5 3-1-2020

 

Topic: ULI Trends Day 2020 Event

Recap Urban Land Institute Event on Real Estate, Business, Trade & Economy in Phoenix Market

https://arizona.uli.org/uli-resources/trends-day-2020-recap/

 

MB recaps the ULI Trends Day 

 

ULI Arizona - 15th Annual Real Estate Trends Day Conference

Wed. Fe. 26, 2020 - JW Marriot in Phoenix, AZ 

Sponsor - Perkins Coie 

Trends Day is a one-day deep dive bringing together 25+ top industry experts to discuss the most current state and national real estate trends with a focus on what to expect in the future, where the best opportunities can be found, and how these components affect both public and private sector partners.

Trends Day is certainly the best “state of the state” conference with over 1,000 attendees.

 

Speakers: 

Economist: Ali Wolf

Director of Economic Research, Meyers Research LLC

 

Keynote: Platon Internationally Acclaimed Photographer;

Arts and Culture Board Member, World Economic Forum (DAVOS)

 

 

 

Guests: Jim Belfiore of Belfiore Real Estate Consulting & AZ Dealmakers Event

https://belfioreconsulting.com/

https://www.linkedin.com/in/jim-belfiore-05b02a7

Clip from Real Estate in Phoenix Market, excerpt from 2/9/20 Interview

Jim Belfiore is founder and President of Arizona’s leading full service market research firm, Belfiore Real Estate Consulting. He is widely considered Arizona’s foremost housing market expert, with more than 20 years of experience in Arizona housing research, supporting developers, homebuilders, equity and debt lenders, appraisers, investors, and brokers with off-the-shelf data and advisory products and custom market feasibility and advisory reports. In mid-2019, the company launched a new mobile app device, now offered in iOS and Android versions.

Full Show: Here

 

 

Matt on (MB on) Relationships in Business, Analyzing an Industry, Doing Market and Sales Research, Industry Sites & Publications

 

 

 

Real Estate Topic: https://brt-show.libsyn.com/category/Real+Estate

https://brt-show.libsyn.com/size/5/?search=best+of+real+estate

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

The Restaurant Business in Phoenix

w/ Brandon Brown of Phoenix Business Journal

- BRT S01 EP4 2-23-2020

 

Guests: Brandon Brown w/ Phoenix Business Journal

https://www.bizjournals.com/phoenix/bio/24441/Brandon+Brown

www.bizjournals.com/phoenix

-

Restaurant Business Overview - Experience & Breakdown

Restaurant business stats / trends

Sam Fox Restaurants Sells Out to Cheesecake Factory

 

National Statistics

The size and scope of the U.S. restaurant industry

Restaurant Industry Facts at a Glance

Download our one-pager (PDF).

• $863 billion: Restaurant industry's projected sales in 2019.  3.6% increase
• 1 million+: Restaurant locations in the United States.
• 15.3 million: Restaurant industry employees.
• 1.6 million: New restaurant jobs created by 2029.
• 10%: Restaurant workforce as part of the overall U.S. workforce.
• 9 in 10: Restaurant managers who started at entry level. 
• 8 in 10: Restaurant owners who started their industry careers in entry-level positions.
• 9 in 10: Restaurants with fewer than 50 employees.
• 7 in 10: Restaurants that are single-unit operations.

 

CBC – Why Restaurants Fail

60% Fail Year 1, 80% fail by year 5

Reason # 1 location and awareness

Like all bus, need op capital to survive until profitable

Can’t pay $15k / mth in rent for good location and sell low profit burger food

Yelp reviews do not help, no time for or trial period anymore

 

More Info:

Savvy Restaurateur Sam Fox Sells His Business To The Cheesecake Factory

https://www.forbes.com/sites/michelinemaynard/2019/07/31/savvy-restaurateur-sam-fox-sells-his-business-to-the-cheesecake-factory/?sh=79f1007f3394     

7/2019

he surprised the food world on Wednesday by announcing he was selling his entire business to The Cheesecake Factory, already set to take on two of his brands.

The deal is worth $353 million — $308 million paid up front in cash, and an additional $45 million to be paid over the next four years.

 

 

 

Real Estate Topic: https://brt-show.libsyn.com/category/Real+Estate

https://brt-show.libsyn.com/size/5/?search=best+of+real+estate

 

Business Topic:

https://brt-show.libsyn.com/category/Business-Consulting-Bus+Lessons-Management-General

 

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

Disruption in the Business World & Innovator's Dilemma 

- BRT S01 EP3 2-16-20

 

Things We Learned This Week

• Disruption in the Business & Tech World - How to handle the Innovator's Dilemma
• All Business is Tech Biz - adapt to new ways of doing business, SaaS, Zoom, Remote Work
• Zero to One - Jump Curves to Innovate Tech
• Business Life Cycle has shortened, no longer have 5 - 7 years to grow the Co to capture the market
• Business Owners need to Diversify & Acquire Assets - multiple Income Streams

 

 

Guest: Denver Nowicz, President - Wealth For Life http://wealthforlife.net/

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

Disruption in Business and How to Manage Finances

Yellow cab passed over by UBER. Peloton threatening gyms, but competition is high – may not work. Nordic Track and Mirror.

Business life cycles are shorter now, tough to grab market share, grow and have mote.

Technology forcing so many businesses out. Barriers to entry are lower, need less capital money to start business.

Kaizen Japanese model of business efficiency and growth, take 7 years, may not have 7 years anymore.

The 100 year company like GE may not exist anymore.

Guy Kawasaki – 12 Lessons From Steve Jobs. Rarely does the market leader become the next generation – Ice picker did not create the ice box. The ice box did not create the refrigerator.

No barrier to keep competition out of market anymore, especially if you have capital. Is cost to get more market share worth it? Business owner must adapt and be aware of disruption. Build multiple streams of income – 90% of businesses do not sell. Amazon acquired other businesses to build new revenue streams. First killed off book stores like Borders, then took market share from Walmart, then AWS/Cloud business. Business still making cash, what to do, give yourself the dividends, distribute money, have a tax plan and reinvest money. Diversify to other assets to keep and grow net worth.

 

 

Guy Kawasaki – 12 lessons from Steve Jobs – discusses Ice 2.0

Ice Pickers did not move on to Refrigerator

12 lessons for entrepreneurs Guy Kawasaki learned from Steve Jobs: Experts are useless. ( Customers cannot tell you what they need. Biggest challenges beget the best work. Design counts. Big graphics. Jump curves, not better sameness. "Work" or "Doesn't Work" is all that matters.

 

 

Summary: Zero To One is an inside look at Peter Thiel's philosophy and strategy for making your startup a success by looking at the lessons he learned from founding and selling PayPal, investing in Facebook and becoming a billionaire in the process.

 

 

Guest: Eric Almassy 

LinkedIn: https://www.linkedin.com/in/eric-almassy-4b10097

 

Eric talks disruption and tech challenges for business & sales

 

Tech Adjacent – older workers and sales people have to adapt. Business and sales have to know tech and saas services, emails, websites, social media, zoom calls – communication has changed. No more cold calls, less face to face, no drop in, harder to reach people. Email still personal and record sale and business process.

 

 

 

MB on The Innovator's Dilemma book by Clayton Christensen

 

The Innovator’s Dilemma is a business classic that explains the power of disruption, why market leaders are often set up to fail as technologies and industries change and what incumbents can do to secure their market leadership for a long time.

Clayton Christensen’s book, “Innovator’s Dilemma”

Tech disruption – technology changes and small company’s startup up-end big tech companies. Hence,  disruption.

Innovator’s Dilemma – how can big companies stay up with tech changes and pivot without hurting core business?

All businesses (including tech companies) have trouble with disruption. Example: Blockbuster – rented movies, DVDs, lost market share to Red Box (vending movie rental), then both disrupted by streaming movies.

Music industry went from records to cassettes to CDs to streaming (Napster).

To solve Innovator’s Dilemma, big companies acquire smaller tech companies; have in house R&D to be ready for next wave.

Steve Jobs  of Apple was very influenced by  Innovator’s Dilemma  and took this seriously.

If you do not try to put your company out of business, someone else will.

Jobs was not afraid to innovate and cannibalize his own company and products to stay relevant.

MySpace taken out by Facebook. Yahoo search taken out by Google (75% of market)

Apple created iPhone, and now computer is in your pocket

Peter Thiel – “Zero to One”  book. Great innovation is not A to B to C, it is vertical, jumps curves.

Current smart phones have more computing power than a computer 20 years ago.

 

Disruption Notes:

Blockbuster to red box to streaming services

Kodak had digital photo but did not want to cannibalize bus

Xerox had personal computer idea – gave it to Jobs, and stuck to copiers

“12 Lessons From Steve Jobs” by Guy Kawasaki

Kodak afraid to get out of film business and passed on digital film, lost market share.

 

 

Tech Topic: https://brt-show.libsyn.com/category/Tech-Startup-VC-Cybersecurity-Energy-Science

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

Real Estate & the Phoenix Market

w/ Jim Belfiore of Belfiore Real Estate

- BRT S01 EP2 2-9-2020

 

Guests: Jim Belfiore of Belfiore Real Estate Consulting & AZ Dealmakers Event

https://belfioreconsulting.com/

https://www.linkedin.com/in/jim-belfiore-05b02a7

 

Things We Learned This Week

• Phoenix Real Estate Market - lack of housing will lead to home prices rise, & apt rent hikes
• AZ Deal Makers Event
• Developments in West Valley & 303 area, Lower 202, Coolidge, I-17 & Happy Valley
• Why You Should Own Assets - appreciate and act as an Inflation Hedge, Banks like Assets
• What Business Are You In? - McDonald's is in the Real Estate business

 

 

Jim Belfiore is founder and President of Arizona’s leading full service market research firm, Belfiore Real Estate Consulting. He is widely considered Arizona’s foremost housing market expert, with more than 20 years of experience in Arizona housing research, supporting developers, homebuilders, equity and debt lenders, appraisers, investors, and brokers with off-the-shelf data and advisory products and custom market feasibility and advisory reports. In mid-2019, the company launched a new mobile app device, now offered in iOS and Android versions.

 

From 2000 to 2005, Jim served as VP of Market Research and Investment Mgr for one of the largest off-balance sheet financing organizations in the US, co-underwriting an estimated $1.5 Billion of residential real estate in the top 20 U.S. metropolitan areas, including Phoenix. Prior to this, he helped build the largest multi-family brokerage firm in the U.S., helping it to expand from 8 to 23 offices, as its National Research Director.

 

Jim currently serves as Vice-Chairperson of The Care Fund, an organization dedicated to paying living expenses for Arizona families and their children. He has previously served on the Board of Directors of the Phoenix Chapter of Lambda Alpha International, as the 2011 and 2012 Program Chairperson, and he currently services on the Steering Committee for Urban Land Institute’s Arizona District UrbanPlan program.

 

Jim regularly speaks at major industry events; in early 2019, his company hosted the 10th Annual AZ DealMakers event, an event that is drew more than 820 registrants. The 11th Annual AZ DealMakers event, scheduled for January 2020, is expected to attract nearly 1,000 attendees. He has been quoted in major national, regional, and local publications, and has been selected as an Arizona Business Leader by AZBigMedia for 8 consecutive years.

 

 

Notes:

 

AZ Dealmakers -  annual real estate event, homebuilder’s industry and land developers talking about Phoenix market.  Mortgage interest rates are low, more diverse housing for young people and retirees. Elliot Pollack – economist in AZ, focus on housing shortage, home values will appreciate, 89 million new home owners.

Offer Pad CEO Jerry Coleman – serial entrepreneur changed industry with ease of selling homes and improve services, turnkey opp., tech disruption.

Jordan Rose – Rose Law Group. Works in real estate development.

20 communities being built, 4500 homes, sell in a few years.  New housing community building west side near 303.

2006 – market peaked, crashed in 2007-08 and market shrunk. Challenges to home builders.

I-17, Happy Valley – new home building

Master Plan Community – land use and set up for future development

Glendale & 101

Scottsdale Kierland and DC Ranch/Silverleaf

Golf Course – seven in Desert Mountain

More affordable housing –

Lower 202 (new highway), connect with I-10, plus malls, AMC, Target, Frys, etc.

Freeway building – smaller plans, state route 24 on east side.

Sales tax – ½% pays for freeways/infrastructure

Pinal County needs more freeways

Coolage, AZ – building 8 communities

San Tan valley and Queen Creek

Supply shortage 2020, labor pool shortage so building is slow for high demand. Home prices increase 2021 & 2022, 10% +. Rent increases in apartments. Building products and costs increasing.

 

 

 

Guest: Denver Nowicz, President - Wealth For Life http://wealthforlife.net/

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

Why You Should Own Assets

In The Founder movie when Ray Kroc was having trouble getting a loan, he was telling the bank about current sales, and future sales. The bank kept asking him what Assets he has.  

Banks like to own Assets, Tier 1 Capital like cash, real estate, life insurance.

People (customers) put money in the bank, and get an interest rate of half percent % (.005), and bank turns around and loans out money at 3 – 5%. Because of Fractional Reserve Banking, only need  to keep 10% in reserves and can loan out the other 90% to make that loan spread of 2/12 to 4% + on the customer’s deposits.  

Business Owners put all of their money $ in the business (all eggs in one basket), but do not acquire Assets (Real Estate, Gold, Stocks, etc.) outside of the business. Wealth looks ok on paper when looking at the business valuation, but in reality a business owner’s net worth may be less than thought.

If the business is not worth what is on the balance sheet, big problem. Most believe they can sell the business for retirement, but may not work out. 

Business Owners struggle to leverage their cash flow to grow wealth. Market and Business Cycles can hurt business owners and cash flow.

Wealth Creation is in the Assets, as the Assets appreciate more than cash and inflation.

Debt can be used to acquire Assets (Leverage) in the right way to build long term wealth. Can also get write offs with debt and interest. If you buy Real estate, more write offs which lessons taxes.

 

 

What Business Are You In? - McDonalds is a Real Estate Company

Matt talks (MB on) about the biggest franchise of all, and what their real business model is. McDonalds has built an business empire thru Real Estate, not burgers. 

The Dollar Menu is designed to get customers in the door. McDonalds loses $ when people purchase from the dollar menu, it is a Customer Acquisition Cost (CAC). This is also called a ‘Loss Leader’, selling a product at a low cost to get customers. McDonalds then makes money when people buy more, and off return business.

McDonalds is one of the biggest Real Estate companies in the world. The stock is valued on the $37 Billion in Real Estate they own. They make money as a landlord, because the franchisee is their tenant.

The Founder – business movie biography of Ray Kroc. Kroc started as a milk shake salesmen to the McDonalds brothers in California, then went on to create the franchise system we know today. The first President of McDonalds Franchise (Harry Sonneborn) helped Kroc create the real estate model that the franchise was base on, and used to scale to a billion $ company. Internally McDonalds used the Brother’s Speedee Service System created pre-Kroc.

The Question ‘What Business Are You In?’ comes from business consultant Peter Drucker. Business owners need to understand what problem or service they really offer their customers.

Ie – Starbucks is in the Customer Experience business, not coffee, but the atmosphere of drinking the coffee

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

Real Estate Topic: https://brt-show.libsyn.com/category/Real+Estate

https://brt-show.libsyn.com/size/5/?search=best+of+real+estate

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

Thanks for Listening.

Please Subscribe to the BRT Podcast. 

 

 

Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.

 

Business, Sports, Investing in Phoenix - the Start of BRT

w/ Denver Nowicz of Wealth for Life

- BRT S01 EP1 2-2-2020

 

Guest: Denver Nowicz, President - Wealth For Life

http://wealthforlife.net/

https://www.linkedin.com/in/denvernowicz/

https://twitter.com/DenverNowicz

 

Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.

 

 

How to Exit Your Business, and Manage Cash Flow

MB and Denver talking business valuation, exit strategy, cash flow, and strategies to help business owners

 

 

Barrett Jackson Annual Car Auction in Scottsdale, AZ, WM Phoenix Golf Open, Sports Gambling, & The Super Bowl

 

WM Phoenix Open 

Dubbed “The Greatest Show on Grass,” The WM Phoenix Open at TPC Scottsdale has no problem living up to its name. In addition to playing host to the greatest players in the game, the tournament is the PGA TOUR’s best attended event – drawing nearly 500,000 enthusiastic spectators each year.

As one of the first events on the PGA TOUR calendar, The WM Phoenix Open kicks off the year with a bang. Unlike any other tournament in the world, spectators become central to the event – helping to transform the famous 16th hole into “The Coliseum” – and the loudest hole in golf.

Formerly known as The Phoenix Open and The FBR Open, the event has been hosted by TPC Scottsdale Stadium Course since 1987. The tournament benefits The Phoenix Thunderbirds – one of the region’s most prominent charities – and helps to generate millions of dollars in donations to the area’s most deserving organizations annually.

More Info: HERE

 

 

Barrett Jackson Annual Car Auction in Scottsdale, AZ

Whether it's a feature article or a press release, Barrett-Jackson never has a shortage of stories to share. After all, a new story breaks on the auction block every three minutes. From the incredible collector cars to our electrifying and world-class lifestyle events, Barrett-Jackson wants to keep you in the know. Barrett-Jackson is a true collector car marketplace where high-visibility cars are presented to thousands of bidders. The action plays out in front of hundreds of thousands of visitors and more than six million television and digital viewers worldwide.

Collector car features, docket listings and Barrett-Jackson press releases are added to Barrett-Jackson.com nearly every day. For early access to news, we encourage you to register to receive our RSS feed, eNewsletters and to follow us on popular social media.

• Exciting, market-defining "No Reserve" format. Exceptional sell-through rate.
• Four prime venues: Arizona, Florida, Connecticut, Las Vegas.
• Electrifying moments unfold in front of more than 6 million TV and digital followers.

More Info: HERE

 

 

Matt talks Investing:

Good Investments vs Bad Investments & Price vs Value Business

 

 

 

Link to Taxes Show on 10/31/2021 w/ Denver: Here

Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here

Link to Shows, Denver was a Guest: Here

 

 

‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT

Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement

More 'Best of Investing': Here

 

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Business Roundtable with Matt Battaglia

The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. 

Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more… 

BRT Podcast Home Page: https://brt-show.libsyn.com/

‘Best Of’ BRT Podcast: Click Here

BRT Podcast on Google: Click Here

BRT Podcast on Spotify: Click Here                   

More Info: https://www.economicknight.com/podcast-brt-home/

KFNX Info: https://1100kfnx.com/weekend-featured-shows/

 

Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.