Trump, Building a Business with $500, and Investing in Real Estate | #FFLTV Ep 1

– What’s up, everybody? This is Ryan Daniel Moran. Today we’re talking
about Trump, real estate as an income stream, starting
a business on $500 a month or less, and we’ll look at
a travel accessories brand. Let’s do it! (cheerful electronic music) Thank God the election is finally over. I’ve been asked my opinion
on how this affects entrepreneurs, but really what this means on a grander scale, I’ve
been mostly quiet about this because honestly, I just don’t wanna add to the noise of it all, but
there are a couple things that I don’t think are
being addressed in the wake of the election of Donald Trump that I think we need
to start talking about. The first is a piece
of good news that I see out of the riots or the
protests that are happening in the response to the
election of Donald Trump. I hope and I think, it
appears that there is a now responsibility of those
particularly on the left and those who disagree with
Donald Trump to be more active, apart from government. It should be the case that we take matters into our own hands when we want to see change in the world, and that if we’re waiting
for the right politician, the right guy or the right
girl every four years, to get elected, that’s
a really bad strategy for creating the world that we want. So I feel very encouraged
by the response of those who disagree with the election of Trump in their ability or their desire
now to become more involved outside of influencing
government, by volunteering more, by sharing their opinions,
by getting more involved. That’s the way it should
be because we create change in this world not through
government but by you taking responsibility for the things that you want to change,
especially in the case of defending those who you
want to be a champion to. A lot of this election
was, talked about those who didn’t have a shot, those at the lower end of the socioeconomic ladder,
those who are minorities, and the fear of what would
happen if people felt emboldened to discriminate against those individuals, and that leads me to the
second piece of good news that I hope comes out of this crazy combative election
season, and that’s this. And this is coming from a
white, successful, straight male that has no idea what it’s like
to be discriminated against. I have no idea what it
is like to be bullied for anything else than being a
dork, a 29 year old dork. I know what that’s like. But that does not compare to
being discriminated against because of race or sexual
preference or ethnicity or whatever it is. So it’s my job, first
of all, I had the luxury of looking at the
election based on policy, so I preferred the
policies of Donald Trump versus his opponent, but
it’s my responsibility, and it’s people like me who
have the responsibility to say, “Yes, I hope we have a flatter tax system. “I hope we have less regulation. “I hope we get rid of a
terrible healthcare bill “that was passed a few years ago.” But it is also my responsibility
to say if there are individuals who are
disenfranchised, or if there are people who are discriminated
against because of any reason, it’s my job to say, “I
will stand with you.” if there are individuals
who feel emboldened to discriminate against my
neighbor, my friends, whoever, it’s my job to stand with that person. So I hope that Donald Trump
is a successful president in a lot of the things that he set out. Until or up to the point,
if people feel emboldened to discriminate, it’s
my job and it’s your job to stand up for that
person, to speak for those who can’t speak for themselves. That is our responsibility
to do something about it, and my hope is that we all take
more personal responsibility out of it, rather than just
hoping that whoever you elect four years from now will
create a healing environment. It’s your job and my job
to stand up for those who are discriminated against. That’s how we’ll create
change in this world. (cheerful electronic music) I believe the fastest
way to financial freedom is to build a business
and invest the profits, so let’s jump into some questions
on how to do exactly that. – (mumbles) Asks, if you only
had an extra $500 a month, how would you start a business? – So look, real simple,
this is an easy one. If you’ve got a limited
budget and you have no idea how you’re gonna launch a business, every dollar of that
budget needs to go into some sort of audience building. If you have the eyeballs,
you have everything. The reason why some businesses
just launch out of the gate is because they can pull a
lever and put their message, put their business in front
of hundreds or thousands of people and the right people. I don’t care if you’re blogging, if you have an information product, if you’re selling physical products, if you sell service, if
you’ve got a (mumbles), I don’t care what it is, the
biggest thing that determines if you’re gonna succeed or fail is, can you get whatever it
is that you wanna monetize in front of the right people? So if you’re on a limited budget, the best thing you can do
right now is to be able to put all of the right
people into one place. When my buddy Shawn and I
launched our yoga business, which we sold a couple of years ago, we had this question of, okay, what do we do to make sure
that we can take sales from day one? So all we did was run Facebook
ads to a Facebook page. We spent like $10 a day and
built up a few thousand likes, and this is back in the day when likes actually meant something
and people saw your posts, but we had a few thousand people in there, and that’s why, day one,
when that product hit Amazon shelves, we were able
to take sales right away. Now if you don’t have a product yet, if you’ve only got $500,
you’re probably not gonna do a big inventory buy, so
still, the best thing you can do is put the people that you want to serve into one place. Run Facebook ads to an
email list and start promoting affiliate products to them. Start advertising one video
on Youtube to build up the audience, so when
it comes time for you to do the information product,
you can put up a video, and you’ve got 50,000
subscribers that you built up from that $500 that you
spend for six months building up the audience. You pull that lever, now
you’ve got the eyeballs and you can send them wherever you want. You could have the ugliest
sales page in the world. You could not even have
the product made yet, but you could pre-sell
it on an ugly sales page if, of course, you have the
eyeballs in the first place. So that’s the chicken egg
issue, and my recommendation, built up the eyeballs and
then you can pull the lever, make the sales however you want. I just recorded a podcast
today with Kirsten Ross. We were talking about Kickstarter. She said the number one thing that drives Kickstarter success is if
somebody has an audience. If they have the eyeballs. So heck, build up the audience, figure out what the product is later. You can run a Kickstarter, send the audience to the Kickstarter, you get all the funding that you need for the business roll
out, you buy the inventory and now you’re in business
because you spent $500, you lost $500 a month
building up the audience. That’s the work that most
people aren’t willing to do. And that’s the work that will put you ahead of everybody else. – Paul Carey asks, would you
advise buying an investment property with a mortgage,
or would you wait until you had the cash already in the bank? – So first thing’s first,
I never recommend investing money that you can’t afford to lose, but from a strategy perspective,
I’m gonna be a little bit hypocritical here, but
I believe that debt, one of the most powerful
things that you can do in a good investment strategy. Now, I buy real estate, I
make my money in business, I park a lot of it in real estate. I tend to pay cash for
the properties that I buy. The only reason I do that though
is for speed of execution. I hate details. I’m really bad at details. So going and getting a
mortgage on every property drives me crazy. So I’m more likely to
pay cash for a property, refinance it later when
I’m in the mental space of pulling that cash out, so I want to invest it somewhere else. But if you can get
anything to ROI with debt, you’re way better off getting the mortgage or getting the debt to buy the investment. We call that ROI arbitrage. You’re gonna pay four and
a half percent to the bank on your mortgage but if
the property gives you nine, 10%, you’re
benefiting from that spread. It’s absolutely what you should do. You also get the benefit of
an additional tax write-off because you get to write off the mortgage as a tax write-off, so you
actually save some of that money on your taxes. Plus, you don’t tie up
$100,000 in a house. You tie up $20,000 in the
house as the down payment, which gives you $80,000 of potential money that you could put into the next property and the next property. So anything that you can
do with debt, usually, if you can make the ROI
work, that’s usually a better financial decision, but I’m speaking as a hypocrite because I usually pay cash for things, but only for the speed of execution. But anything that you
can invest with debt, as long as you can predict the ROI, it’s usually a better
idea to go with debt. So to answer the question directly, no, you don’t have to wait ’til
you have the cash in the bank. You can do it as soon as you can prove that the ROI will cash flow
even with the debt in place. If I could go back in time and
talk to my 22 year old self, the amount that, I bought
real estate during the crash, but I only bought a little
bit, and the reason for that is cuz I waited until I had the cash, I did not go out and utilize
debt to buy real estate when it was down here, and I wish I had. I mean, if I could go back and
tell my 22, 23 year old self, “Look, I know you have the cash, “but instead of buying
three houses or four houses “with the cash, go out and buy
15 and leverage some debt.” Oh. The net worth that would
have created today, I wish I could go back and do that. In today’s environment, everything is so, the market is here. I don’t know if I would do that now, but if I could go back when I could have really doubled down in my holdings, I would be in much better position now, so I recommend going, like, leverage somebody else’s
money to make the investments you wanna make, cuz if I
could go back six years and do that, I’d do it all day long and twice on Sunday. (cheerful electronic music) This is the part of the
show where we look at one of our student’s
businesses and find out what they’re doing well, where
could they make more money, and where there greatest
opportunities are right now. So today’s submission comes
from Darren Hutchinson, he’s one of our tribe members. Our tribe is our incubator, where we take brand owners, audience
builders, investors, partner them together. We help people get funding
if they need funding, we look at their
businesses, help them grow, and create networking
opportunities for them. And Darren’s company is called Lockwood. They sell leather iPhone cases. He says his ideal customer
are male professionals and entrepreneurs age 25 to 45
who appreciate versatile tech and travel accessories inspired by classic and minimalistic design. Right now he’s selling between
10 and $20,000 a month. He’s hoping to grow to about
300 to $400,000 a year, which would be about a
doubling or a tripling of his business. All right, Darren, so I am
looking at your business. First of all, I wanna
give you kudos for having a really clear idea for
who it is that you serve, rather than the products that you sell. Big, big difference
identifying who you sell to and what you sell. Problem I see, however,
is there’s a disconnect between those two. You’re very clear about who
it is that you’re selling to, but you’ve really only got one product. I’m looking at you on Amazon,
and all of your products are leather iPhone cases. They look great, by the way. They’re perfectly tailor made to the person that you described, but it’s really hard to see
Lockwood as anything more than just a leather iPhone case company. If you really wanna serve
the male entrepreneur who travels, let’s look at,
what are the three to five products that individual might buy? That’s how we’re gonna
create a brand out of this. My guess is that the thing
limiting you right now is a lack of capital. iPhone cases are super cheap to source, they’re super easy to roll
out, cuz you could have one for the 6, the 6S, the iPhone 7, that’s an easy, predictable
product to sell. My question to you is, what other products can we roll into that line
and if capital is the problem, this is the type of
business that if you are very clear on who you are marketing to, it might be worth going out
and getting a capital partner who puts out 30 to $50,000
so that you can roll out product two, product three. So what else does a
traveling male entrepreneur want to buy besides just
a leather iPhone case? You’re sitting on a
really cool opportunity to basically be a high-end
travel accessory company. I think the name Lockwood
is an awesome name for what it is that you’re looking to do for that target market,
but we’ve gotta increase the number of products and the perception that the marketplace has of us, and it’s not gonna happen if
you have just iPhone cases. I’m looking at your
website, There’s nothing for me to be able to say, “Ah, this is for me.” I am a male entrepreneur who travels. There’s nothing on your
website that makes me say, (snaps) “That’s for me.” There’s no picture of
somebody who looks like me, there’s no obvious buy
button in the top right. I don’t even know what
the product line is, and my guess is, product
line’s not on here because right now it’s just iPhone cases. So my recommendation, again,
I think you are heading in the right direction with who you serve, and the types of products that
you’re going to serve to them cuz the iPhone case looks awesome. My recommendation would
be, make a list now of the next three products
you’d roll out to that person, and if capital is the biggest restraint, go out and get a capital partner, and I would start featuring
the products that will serve that target market
here on the website so people like me, who
are your target market, come to your website,
see your store and say, “That’s for me, I wanna
be part of this business.” Then you can go out and
advertise on the podcasts that service that market,
the Youtube channels that service that market. The blogs that talk to that market, and that’s where you’re
gonna have your audience to drive into your business
and really set you up as a legitimate brand. The hidden lesson in that analysis is that your ideal customer hangs out somewhere, and that could be on blogs,
it could be following certain people, and if we
know how to get in front of those people, we can make
any type of magic happen. So what Darren is doing really well is, he knows who that is. There’s just a disconnect
between the products that service that community
and who he wants to serve. So we can bridge that gap by
expanding the product line and then going out and
finding the audience members that are hanging out on
other channels or following certain individuals, and we make our money by bridging those two together. We take the audience that’s
hanging out following somebody and the products that you have, and that’s where business happens. So if you run a business
and you’re not sure how to scale this thing to where you want, the question that you
simply need to ask is, who is it that I’m serving, and where do they already hang out? And if I could get in front of them, would they wanna hang out with me? Does my product line clearly communicate who it is that I serve and
how I make their lives better? And that’s what marketing is, it’s bridging those two gaps together. A lot of business owners
are sitting on goldmines and they don’t know it just
because they’re not going out and putting their stuff in
front of the right people. We can do that very easily
by spending the $500 a month, whatever it is, to get
in front of those people, or making the strategic
relationships that we need in order to bring our product in front of our ideal customers. If you’re a tribe member,
you can submit your business to be analyzed here on the show, or if you are a brand
builder, an audience leader, or an investor, you
can apply for the tribe at Hey, a quick plug. We’re getting together
with some of the smartest brand builders and investors on the planet here in Austin, Texas,
December 9, 10, and 11, to go through the zero to 100 million and every stage in between. We’re gonna have an
investment panel that looks at the economy, how to reduce tax burdens, and how they’re investing
for passive income. We’ve got $100 million
panel of individuals who have run $100 million businesses, that are now starting a new company and saying, “This is how we’re gonna scale “this new project.” Tom Bilyeu, the founder
of Quest Nutrition, as well as Peter Diamandis, John Mackey, the founder of Whole Foods, and a bunch of other brand
builders and investors, will be sharing their best strategies for building businesses and
investing the profits. I hope to see you here for
Freedom Fast Lane Live. You can grab your spot at It’s December 9, 10, and
11 here in Austin, Texas. As always, I believe that
entrepreneurs and capitalists are the best shot we have at
solving the world’s problems. The best way to solve a problem, to change your financial future, to serve your community, to help out the people you wanna help, is for you to be
successful and the best way that you can do that
is to start a business, build a business, and invest the profits. So keep on changing the world and we’ll see you on the next show. (cheerful electronic music)

30 thoughts on “Trump, Building a Business with $500, and Investing in Real Estate | #FFLTV Ep 1

  • not a smart way to start the video of your new series… some of the people that you are praseing are burning the American flag… you should be more specific.. I love you man, your content is gold! love the rest of the video!

  • Rayne I'm launching my amazon business with the launch strategy of the Facebook pags, what do you mean when you say : When likes actually mentioned something…?

  • Nice virtue signalling, talking about some discrimination that's not going to happen in the real world, maybe in the left's Gargamel fantasy.

  • Ryan, I just watched a video by you from 2 years ago about your amazon business. I've been determined to become a self made millionaire for years now. I've tried many things but have failed. I did have a successful e-vape business going once but amazon began prohibiting those kinds of products. I'm a local truck driver, I'm 26 years old and have a 2 year old daughter. I've been dreaming of being my own boss since I was young. Im miserable working for others. What can I do? I wish I could pay you to be my personal mentor or something. Thanks for your speeches they always make me feel like there's still hope.

  • Dude sir, I'm glad I've taken the time to watch a number of your videos now. A couple months ago I would've been like other commenters saying "rich white guy" or "moran" and all that crap without listening to a single word.

    Some people are afraid to include even a touch of politics — and I really like what you had to say about Trump, protesters, and our own individual civic duty on not relying on the government to do every last little thing for us. Way to be respectful and allow for a diversity of perspectives. Even when unrelated to financial income, you share a richness in your words. Quite thankful you're on planet earth.

  • dude…I already respected you although are policy beliefs vary I have always thought you were a smart guy but having the guts to start off this video this way was amazing! thanks for your transparency!

  • Ryan, I have been watching your videos for a year now.   I spent almost fifteen years in the Marine Corps, and I have been exposed to some pretty impressive people.  You my friend, are one sharp guy.  Thank you for continually putting out amazing content.

  • wait what? standing up for those who discriminate, lol?? Well, no Mister. Life starts even deeper than money. Capitalism is just the manifesting change for every such individual growing strong enough emotionally, mentally and spiritually. The more the merrier.
    But otherwise the content makes sense.

  • Man, I need the hook up on one of those FFL TableTennis Paddles!

    Keep rocking and congrats on being the #2 in the category!

  • A little too much virtual signaling here. What does the color of your skin have to do with you creating a successful business? Way more SB loans if you are a minority. There would be a case to be made that being a minority would increase your chance of having a successful business.

  • Prioritizing eyeballs in business above everything else is what has turned this world into total shit. Product or service is a tag on..not important because you can sell anyone any kind of shit once you have their attention. Like this vid, grab people's attention with a click bait title and then talk total shit that says nothing but how to entice other people into listening to you talk shit. It's a chaotic pyramid scheme, multi-level-marketing cesspit.

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