Real Money Talks

Dave Hare is here to talk about money rules and due diligence. Dave and I do a lot of projects together, and I am going to have him on the show on a regular basis. We are also going to use our new marina in Texas as an example of how a deal gets done. But first, we are going to talk about due diligence and money rules and how the rules come about for people.

You can find Dave here:

Loral’s Real Money Talks

Ask Loral

Show Notes 

• [01:17] It's all about planning. These aren't deals that close in 30 days or less. These can be stressful and time consuming, and you could end up walking away from the deal.
• [02:10] Make sure that your investment plan is part of your money rules not part of someone else's rules.
• [02:53] How investing starts with money rules.
• [03:06] What is your exit strategy. Refinance or short term play? Begin with your leadership team.
• [03:33] Do you have a strong operation and finance team? Bring in someone who knows operations and who has an equity play. These answers are the key when speaking with bankers and investors.
• [04:19] Who has oversight on the books? Is the business or investment family owned?
• [04:59] Think of deals as a fix and flip.
• [05:46] Dave ran the numbers on a deal and realized a family member had been stealing from the rest of the family. This was a deal they had to walk away from.
• [06:24] Dave and Loral do thorough background checks on everybody involved when doing deals.
• [06:49] Numbers may or may not make sense. Make sure there are long term leasing options and good relations. Assets are your future. They need to support the business going forward. Look at the story behind the story.
• [08:04] Don't close before you find the story behind the story.
• [09:19] Dave found the marina business through networking. He signed up for meetups etc. He found this contact at one of Loral's events.
• [10:48] Get yourself out there. If you want to do it do it and get out there and make yourself known.
• [11:25] The marina deal, due diligence, background checks, Dave's due diligence list is 12 pages long. It lets the people on the other side know that you mean business.
• [12:25] Create a letter of intent before making a purchase agreement. A letter of intent is a non-binding contract. This gets the discussion going and let's you start working on due diligence and financing.
• [13:38] Look at the owners background and story, the customer base, the boats, the buildings, and everything you can look at.
• [14:09] How each person on the team brings something unique to the business. Never go alone especially on your first business. There is something that you will miss.
• [14:43] Have team members with experience, and have someone who understands finance and accounting.
• [15:29] You need to seek out smart knowledgeable people for your team. The buddy clubs aren't going to work because they don't have enough skill set on the team.
• [16:23] You have to understand what someone brings to the table and what their exit strategy is.
• [16:52] The components of the deal. Knowledge and experience will get you a seat at the table. Equity side and debt side.
• [17:36] They approached the owner who wanted to do a quick sale. Seller financing under 50% of the value of the property. Then they had to go out and find the 55% of the loan with equity partners with an option to refinance. They are doing about a million dollars in renovations. They want to rebuild the area back to it's 1950's glory days of farmers markets and bands etc.
• [19:34] They structured the deal with the sellers financing. This helps motivate the seller. They were also able to do a second position with the owners. The did have to pay another 1/4 percent and walk away fully financed.
• [20:38] Deal creativity. Carry backs etc. Use creative deal structures with the use and return of the money. First money in gets more, because they have taken the highest risk.
• [21:36] The rehab money won't get equity. There is quality of money. When you first start a deal, you have to give something up.
• [23:08] They have a one-year note that gets double digit returns.
• [23:36] The important thing is background checks. You have to do them. Don't be afraid to walk away if you need to.
• [25:30] We are here to teach you the reality of owning real assets.

Links and Resources:

Ask Loral

Loral’s Real Money Talks

Shark Tank

Dave Hare is here to talk about money rules and due diligence. Dave and I do a lot of projects together, and I am going to have him on the show on a regular basis. We are also going to use our new marina in Texas as an example of how a deal gets done. But first, we are going to talk about due diligence and money rules and how the rules come about for people.

You can find Dave here:

Loral’s Real Money Talks

Ask Loral

Show Notes 

• [01:17] It's all about planning. These aren't deals that close in 30 days or less. These can be stressful and time consuming, and you could end up walking away from the deal.
• [02:10] Make sure that your investment plan is part of your money rules not part of someone else's rules.
• [02:53] How investing starts with money rules.
• [03:06] What is your exit strategy. Refinance or short term play? Begin with your leadership team.
• [03:33] Do you have a strong operation and finance team? Bring in someone who knows operations and who has an equity play. These answers are the key when speaking with bankers and investors.
• [04:19] Who has oversight on the books? Is the business or investment family owned?
• [04:59] Think of deals as a fix and flip.
• [05:46] Dave ran the numbers on a deal and realized a family member had been stealing from the rest of the family. This was a deal they had to walk away from.
• [06:24] Dave and Loral do thorough background checks on everybody involved when doing deals.
• [06:49] Numbers may or may not make sense. Make sure there are long term leasing options and good relations. Assets are your future. They need to support the business going forward. Look at the story behind the story.
• [08:04] Don't close before you find the story behind the story.
• [09:19] Dave found the marina business through networking. He signed up for meetups etc. He found this contact at one of Loral's events.
• [10:48] Get yourself out there. If you want to do it do it and get out there and make yourself known.
• [11:25] The marina deal, due diligence, background checks, Dave's due diligence list is 12 pages long. It lets the people on the other side know that you mean business.
• [12:25] Create a letter of intent before making a purchase agreement. A letter of intent is a non-binding contract. This gets the discussion going and let's you start working on due diligence and financing.
• [13:38] Look at the owners background and story, the customer base, the boats, the buildings, and everything you can look at.
• [14:09] How each person on the team brings something unique to the business. Never go alone especially on your first business. There is something that you will miss.
• [14:43] Have team members with experience, and have someone who understands finance and accounting.
• [15:29] You need to seek out smart knowledgeable people for your team. The buddy clubs aren't going to work because they don't have enough skill set on the team.
• [16:23] You have to understand what someone brings to the table and what their exit strategy is.
• [16:52] The components of the deal. Knowledge and experience will get you a seat at the table. Equity side and debt side.
• [17:36] They approached the owner who wanted to do a quick sale. Seller financing under 50% of the value of the property. Then they had to go out and find the 55% of the loan with equity partners with an option to refinance. They are doing about a million dollars in renovations. They want to rebuild the area back to it's 1950's glory days of farmers markets and bands etc.
• [19:34] They structured the deal with the sellers financing. This helps motivate the seller. They were also able to do a second position with the owners. The did have to pay another 1/4 percent and walk away fully financed.
• [20:38] Deal creativity. Carry backs etc. Use creative deal structures with the use and return of the money. First money in gets more, because they have taken the highest risk.
• [21:36] The rehab money won't get equity. There is quality of money. When you first start a deal, you have to give something up.
• [23:08] They have a one-year note that gets double digit returns.
• [23:36] The important thing is background checks. You have to do them. Don't be afraid to walk away if you need to.
• [25:30] We are here to teach you the reality of owning real assets.

Links and Resources:

Ask Loral

Loral’s Real Money Talks

Shark Tank

Most entrepreneurs struggle with learning and doing many things at the same time. Especially, when they are just starting out. They are also usually short on time and soon learn that outsourcing and finding people who specialize in the one thing that they need is the best way to go. Still, that leaves them with the issue of finding and managing tons of different specialists.

Today, I talk with a friend and colleague of mine who has developed a solution for this very problem. Alexander Ford offers a done-for-you solution where he finds, hires, and manages all the specialists for you. This solution results in cost savings. He also develops an incremental strategy so that new businesses can focus on what they need most, and in the correct order.

"A results focused strategy is more efficiently executed with a partner that implements your specific plan."

In This Episode of Real Money Talks: 

• Challenges of finding and hiring specialists without prior knowledge
• Developing an incremental strategy that serves your business best
• Having a results focused specialty developed by a knowledgeable partner
• Creating a hard infrastructure and modernizing technology
• Turning a website into a “cash register”

Subscribe, Rate & Share Real Money Talks!

Loral Langemeier is on a mission – to educate and empower the Real Money Talks community on how to have those important money talks that are straight, to the point, and can be applied to every aspect of your life. So, tune in every Monday, Wednesday, and Friday on iTunes to learn, ask Loral a question, and create your path to financial freedom! Don’t forget to leave a review and grab your free gifts on AskLoral.com!

Most entrepreneurs struggle with learning and doing many things at the same time. Especially, when they are just starting out. They are also usually short on time and soon learn that outsourcing and finding people who specialize in the one thing that they need is the best way to go. Still, that leaves them with the issue of finding and managing tons of different specialists.

Today, I talk with a friend and colleague of mine who has developed a solution for this very problem. Alexander Ford offers a done-for-you solution where he finds, hires, and manages all the specialists for you. This solution results in cost savings. He also develops an incremental strategy so that new businesses can focus on what they need most, and in the correct order.

"A results focused strategy is more efficiently executed with a partner that implements your specific plan."

In This Episode of Real Money Talks: 

• Challenges of finding and hiring specialists without prior knowledge
• Developing an incremental strategy that serves your business best
• Having a results focused specialty developed by a knowledgeable partner
• Creating a hard infrastructure and modernizing technology
• Turning a website into a “cash register”

Subscribe, Rate & Share Real Money Talks!

Loral Langemeier is on a mission – to educate and empower the Real Money Talks community on how to have those important money talks that are straight, to the point, and can be applied to every aspect of your life. So, tune in every Monday, Wednesday, and Friday on iTunes to learn, ask Loral a question, and create your path to financial freedom! Don’t forget to leave a review and grab your free gifts on AskLoral.com!

In the past, people could acquire their needs and made their trade through the barter or the exchange method. Back then, life was simple, and people’s needs were undisputedly more fundamental than the needs of this present generation. As time passed by, people changed. And with that, their needs also evolved. Today, money has undoubtedly become one of the necessities of life. It has become a need to survive. We are so accustomed to using money in our daily lives we don’t even stop to wonder where it came from or what it does.

Today on the Real Money Talks podcast, I’m going to share with you that the money available to you depends on how you make it – you can earn it as an employee, as an entrepreneur, or as both. Remember that how you make your money significantly impacts everything else – your taxes, deductions, relationships, and even the way you contribute to the community. My hope is that at the end of this episode, after knowing and understanding the banking system and money works, you will be able to make an educated choice about how you want money to come to you and the payoffs that go with choosing how to acquire it the wise way.

The safest thing is to get smart, to get knowledge, to get confidence, and to get access. That’s security.

In This Episode of Real Money Talks: 

• A brief history of the Federal Reserve Bank and the foundation of what set the world banking system in order
• How money comes to you – the difference between a corporate bank account and a personal bank account
• How you can maximize your tax strategy by understanding how the banking system works
• Ways you can make money by maximizing tax savings and investing in double-digit returns
• How to look “attractive” to financial institutions
• Why you need a personal relationship with the bank or the banking officers despite the quick and easily accessible online banking made available nowadays

Resources Mentioned:

• The Creature from Jekyll Island book by G. Edward Griffin

Subscribe, Rate & Share Real Money Talks!

Loral Langemeier is on a mission – to educate and empower the Real Money Talks community on how to have those important money talks that are straight, to the point, and can be applied to every aspect of your life. So, tune in every Monday, Wednesday, and Friday on iTunes to learn, ask Loral a question, and create your path to financial freedom! Don’t forget to leave a review and grab your free gifts on AskLoral.com!

In the past, people could acquire their needs and made their trade through the barter or the exchange method. Back then, life was simple, and people’s needs were undisputedly more fundamental than the needs of this present generation. As time passed by, people changed. And with that, their needs also evolved. Today, money has undoubtedly become one of the necessities of life. It has become a need to survive. We are so accustomed to using money in our daily lives we don’t even stop to wonder where it came from or what it does.

Today on the Real Money Talks podcast, I’m going to share with you that the money available to you depends on how you make it – you can earn it as an employee, as an entrepreneur, or as both. Remember that how you make your money significantly impacts everything else – your taxes, deductions, relationships, and even the way you contribute to the community. My hope is that at the end of this episode, after knowing and understanding the banking system and money works, you will be able to make an educated choice about how you want money to come to you and the payoffs that go with choosing how to acquire it the wise way.

The safest thing is to get smart, to get knowledge, to get confidence, and to get access. That’s security.

In This Episode of Real Money Talks: 

• A brief history of the Federal Reserve Bank and the foundation of what set the world banking system in order
• How money comes to you – the difference between a corporate bank account and a personal bank account
• How you can maximize your tax strategy by understanding how the banking system works
• Ways you can make money by maximizing tax savings and investing in double-digit returns
• How to look “attractive” to financial institutions
• Why you need a personal relationship with the bank or the banking officers despite the quick and easily accessible online banking made available nowadays

Resources Mentioned:

• The Creature from Jekyll Island book by G. Edward Griffin

Subscribe, Rate & Share Real Money Talks!

Loral Langemeier is on a mission – to educate and empower the Real Money Talks community on how to have those important money talks that are straight, to the point, and can be applied to every aspect of your life. So, tune in every Monday, Wednesday, and Friday on iTunes to learn, ask Loral a question, and create your path to financial freedom! Don’t forget to leave a review and grab your free gifts on AskLoral.com!

The cannabis industry is one of my favorite subjects, and it will be a regular topic on this show. Ben my partner in the cannabis industry is here to talk about how he went from being a corporate guy to operating a dispensary and more in this exciting new industry.

We talk about some of the requirements and licensing details along with compliance of state and local jurisdictions. We also touch on hiring the right political consultants and understanding the ins and outs of creating a business that is scalable. We also talk about  the importance of giving back and helping the community.

• [01:14] Ben has been fascinated by the industry in the last five years. He didn't know anything about it, but he kept getting pitched to.
• [02:07] He had a negative perception about marijuana and didn't know anything about it. Then he started learning about the medicinal benefits and was introduced to some opportunities in Colorado.
• [02:44] His first deal was in Colorado. He was first introduced through an attorney. After meeting patients, I quickly became fascinated by this space.
• [03:49] He then met other people in the space through this attorney. Entrepreneurs and dispensary owners who had their own little grow space. The regulations evolved before his eyes because it changed so rapidly.
• [05:03] Ben quickly learned who was growing their business and had good a operational process.
• [06:25] The trend of the truth in any business that you are learning about.
• [07:08] How there are so many expert consultants who haven't really actually built a marijuana business or built a business from the ground up.
• [07:59] There are a lot of moving parts in this space. Time is money and making the right move is critical. Getting the license can be a complicated process and it may involve a political aspect.
• [09:27] Even if the state provides you a license you need approval by your local jurisdiction. This includes a suitable location allowed by the local jurisdiction, and it has to meet the separation requirements.
• [10:36] You also have to be the type of operator that they want in their city. You have to get to know the people making this decision and help them to understand why you are different.
• [12:21] The people making these decisions want the best for their community. Separate yourself out as the best applicant by looking like a professional. You also want to be someone who is going to operate legally.
• [14:46] They also want people who are going to help and give back and improve the community. Be sincere and legitimate about what you are going to do. Have a realistic executable plan.
• [16:16] The importance of having a person on your team in the political camp. Each jurisdiction needs someone who understands the local market and the process. Be selective when choosing your political consultant. You want someone who has respect and trust of local politicians.
• [20:29] How a consultant can put you in front of the right people, but it is actually the package that you put together that gets you the license.
• [20:57] How do you get in line to get a license? It all starts with asking questions and finding the state and local processes and filling out the application.

Ask Loral

The cannabis industry is one of my favorite subjects, and it will be a regular topic on this show. Ben my partner in the cannabis industry is here to talk about how he went from being a corporate guy to operating a dispensary and more in this exciting new industry.

We talk about some of the requirements and licensing details along with compliance of state and local jurisdictions. We also touch on hiring the right political consultants and understanding the ins and outs of creating a business that is scalable. We also talk about  the importance of giving back and helping the community.

• [01:14] Ben has been fascinated by the industry in the last five years. He didn't know anything about it, but he kept getting pitched to.
• [02:07] He had a negative perception about marijuana and didn't know anything about it. Then he started learning about the medicinal benefits and was introduced to some opportunities in Colorado.
• [02:44] His first deal was in Colorado. He was first introduced through an attorney. After meeting patients, I quickly became fascinated by this space.
• [03:49] He then met other people in the space through this attorney. Entrepreneurs and dispensary owners who had their own little grow space. The regulations evolved before his eyes because it changed so rapidly.
• [05:03] Ben quickly learned who was growing their business and had good a operational process.
• [06:25] The trend of the truth in any business that you are learning about.
• [07:08] How there are so many expert consultants who haven't really actually built a marijuana business or built a business from the ground up.
• [07:59] There are a lot of moving parts in this space. Time is money and making the right move is critical. Getting the license can be a complicated process and it may involve a political aspect.
• [09:27] Even if the state provides you a license you need approval by your local jurisdiction. This includes a suitable location allowed by the local jurisdiction, and it has to meet the separation requirements.
• [10:36] You also have to be the type of operator that they want in their city. You have to get to know the people making this decision and help them to understand why you are different.
• [12:21] The people making these decisions want the best for their community. Separate yourself out as the best applicant by looking like a professional. You also want to be someone who is going to operate legally.
• [14:46] They also want people who are going to help and give back and improve the community. Be sincere and legitimate about what you are going to do. Have a realistic executable plan.
• [16:16] The importance of having a person on your team in the political camp. Each jurisdiction needs someone who understands the local market and the process. Be selective when choosing your political consultant. You want someone who has respect and trust of local politicians.
• [20:29] How a consultant can put you in front of the right people, but it is actually the package that you put together that gets you the license.
• [20:57] How do you get in line to get a license? It all starts with asking questions and finding the state and local processes and filling out the application.

Ask Loral

If you have the intention to make money, your talents and hobbies are a great starting point. Launching a business by doing something you’re good at implies that you are serious about making money. The perks of having better tax strategies come in once you have established your business. If your sales start to weaken, assess the kind of service you provide and take it from there.

In today’s episode, I share with you the upper hand in serving over selling. I also discuss how being in service to others gets you the sale. You will make a remarkable difference if you choose to serve to sell rather than selling just for the profit.

I want you to get clear in your DNA that you serve lives, and that’s why you sell hard.

In This Episode of Real Money Talks: 

• Where money comes from
• How your thoughts and energy affect the outcome of your financial situation
• Reasons why you should serve others with a lower price offer
• What happens when you don’t make the sale

Subscribe, Rate & Share Real Money Talks!

Loral Langemeier is on a mission – to educate and empower the Real Money Talks community on how to have those important money talks that are straight, to the point, and can be applied to every aspect of your life. So, tune in every Monday, Wednesday, and Friday on iTunes to learn, ask Loral a question, and create your path to financial freedom! Don’t forget to leave a review and grab your free gifts on AskLoral.com!