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All right, guys, Welcome back eyl Nostalgia Audition Audition.
Yeah for sure.
So if you were rocking with earning your lisia, you know that if you're a Day one supporter, Day one listener, you know that the first ten out of twelve episodes that we did something lone Elf Lines didn't. We didn't have any guests. We had a whole format of how we how we created your legion. It wasn't built on guests. It was built on case studies and breaking down trending topics like in like pop culture was related to business, telling stories. It was a whole thing that we had
and it really became really popular. People liked it and we kind of just fell into having guests. By default, it was inevitable it was to have guests, so we just had it. Then we just fell in love with having guests and we just been doing that ever since, for months and months and months. But everywhere we go all of our Day one listeners and supporters have always acts like, can we get at least one episode how it used to be without any guests?
Man? Is it they originated? Yeah, back to where we started.
Next week will be back with our regularly scheduled guests. We got a lot of dope interviews with different guests in the Oven, but we wanted to bring it back to where it originally started. We actually kind of missed the format and it was actually really dope.
So it took me back to the times where it was like, Yo, Tuesday, let's have a meeting, but we're gonna talk about Thursday, let's finalize it and come up with the ideas, and Saturday let's just shoot. It's like that routine kind of changed now, but it's good to come back to it, man, because we always we always gonna have ourselves.
Yeah, it's like riding a bike, like we always have myself.
Now, this is something I'm excited about because we got a lot to talk about and we wanted to just kind of just break it up a little bit and just just just give you guys us. Yeah.
Man, So so that's who we're gonna do this episode.
But before we start, by the time you guys here, this will be like a few days until our big DC takeover, and that's gonna be crazy. It's gonna be crazy. I ain't gonna talk about it too much.
So much.
But there's a few tickets left for the workshop. VIP is sold out by the time you hear this. We might be able to get a couple more tickets. I don't know, but workshop, we still have some tickets, a couple of tickets available for that, and it's gonna be a vibe man, we're looking forward to Wenna.
Put the list of people who's gonna.
Be Yeah, everybody's gonna be there, Man Max Maxwell, ash Cash, Wall Street Trapper, Rashana Scott, Mobile homes Elite, ut MG, the Mortgage Guy, Andy from Y two K Credit Solution, Derek Falcon from Homemade Sabine, The Purpose Attorney, Miss Business.
It's gonna be it's gonna be crazy.
So that's like twelve episodes in the.
So yeah, so, like I said, we we gotta plug it. Hopefully we see you there. If not, we catch you in the next one. We're gonna release information on the next one pretty soon. But all right, so we're gonna jump right into this episode with a trending topic something that actually we put it on Instagram like a month and a half ago and we asked like should we cover this, and overwhelming everybody wanted us to cover it, but we just didn't have enough time because.
You call, I remember you put it up on like a Thursday, and like Friday was like, yeah, we got to cover this on Saturday, and I'm like, yo, we got a few people lined up that we got an interview. I don't know if we can do it. We're like, yo, let's do it on Instagram Live. I'm like, nah, this needs more than Live, this needs this needs a segment.
Yeah, So we didn't really have time, but we just kept it in the back burner. So we're gonna cover that. In the first segment. We're gonna cover that, and it's in regards fashion, licensing, ownership, TRADEMARKT trademark and all that stuff. And then in the second segment, we're gonna talk about multiple streams of income important E y L is multiple streams of income. So we're gonna give you the blueprint
and you know, full transparency is our whole theme. And then the third segment, we're going to talk about some different financial topics that people a lot of times aren't fully.
Aware of, and we're gonna test your expertise. Man, like this questions I had. I'm like, we've never even had these conversations. So it's gonna be dope. I get to do some questions at you.
All right, So we're gonna start this off with a throwback from the past, everybody's favorite segment that.
It's the only right we do it forty episodes.
You gotta give him the intro, like you always do.
Ladies and gentlemen, boys and girls without further ado story time.
Here's a little story that must be to listen up, gangsters and honeys with your head done.
Best storyteller stuff man Rader.
So first and foremost. You know Kanye West. That's uh our brother.
We can't throw him away.
He Kanye West. You went to his concert?
I go to a lot of I've been to a number of his concerts. I remember the first time I saw him. He was opening up for Usher on a Confessions tour. That's how far back.
But he went to his most recent concert. Yeah, I was at the La Jesus Is King.
We told that story alive. Yeah, I went. I went to Sunday Service.
Man, he went to Sunday Services because we was at Complex cam Me, Mike Jamore you. We was at Complex con in l A and Long Beach and he had his show and you bought tickets to the show.
All of us.
Yeah, man, And he was about to go is in Inglewood and you got in the uber and nobody else got it.
Listen, let's paint this picture. It was like three o'clock. I'm like, yo, the show starts at at four, Like I'm calling this uber right now. Guys, it's a forty five minute ride to Inglewood. Y'all coming with me, and everybody's like. I was like, I'm calling the uber. We all walked outside. I got into uber. I looked back. I saw y'all standing on the curve. I said this, I'm closing this door. It's gonna be a one man journey.
And I looked and y'all took two steps backwards and I closed the door and I said, I'm going.
Yeah, was in fact shout out to ye no disrespect, no disrespect.
Yeah, it left me.
Ya just wasn't in vis. You gotta be mentally prepared for that.
And I'm not mad at it. I told you when and I doubled back. I came back. I was like, you know what, some things you need to experience by yourself. I kind of I needed that, man. It was an emotional moment.
Shout Sunday shot, Yeah, you went by yourself, but shout out to complex content.
I was.
But I say that to say, we're gonna talk about Virgil Ablow. Yeah, right, and Virgil if you don't if you don't know, is he just recently took the.
Head job at the hell designer of Louis.
Louis Vaitton, I think the men's Louis Vuitton, right, And yeah, so he's he's big in fashion obviously, but before that, he has a brand called off White. Off White, if you're not familiar, is huge. Just it's it's one of these things where all of the rappers, where all the athletes wear it, and it costs a thousand dollars for a T shirt.
It's crazy.
It's like, you know, off White, It's like a thing.
But so I mentioned Kanye West because Virgil comes from Kanye's tree. So when we talk about Kanye's tree, we talk about his musical tree, right, people that have come from him. So the big Seawans of the world, the John Legends of the world, kid Cuddies of the world, these are all people that come from Kanye's tree. No no, no, we can't put drinking there. No no, no, we can't play with Drake like that. But so so shout out to the six Guard. So so that's so d so.
But but music is crazy, his his his his branches is crazy in music. But even more impressive is his fashion. So people, I would say more impressive. The people come from under Kanye in fashion is Jerry Lorenzo Fair of God, Virgil Ablow who we just talked about don Ce who worked the Jordan brand and what else did he do?
He still has it and he has the rs VP shop. Yeah, he has a couple of deals he did. Uh, he did a deal with the NBA where he likes in some of this stuffy.
And Virgil and Kanye actually moved to the all of them literally for like six months, and they interned Louis So it's crazy.
So a right, Louis Vautan don Actually no, Louis Vuitton don.
Yeah, he got his whole name from that whole vibe. So what happens? Okay, So Virgil starts a company called off White, and off White blows up. Off White becomes a really big thing, and it's one of those things, like I said, where everybody's just it's like you got to get off White.
Sure it started before like he built the buzz because he had that pirate there was like this pirate's vision that fashion line that he had done, but it was he was pointing it on other pieces of cold and so you might see a Champion sweatshirt, but it had like the Pirates stuff on it, so push your tea obviously that makes sense, right, He's part of that that crew that conglomerate at Kanye Conglomerate. So they was wearing it and then that Pirates became a big thing, like Jay,
whar is it? That was big? And then somebody saw the light in him.
Yeah, that's a fact.
So Marcelo Brown, Berlin Burlin, Marcelo Marcello, Yeah, Marcelo Burlin recruits him to come to Italy, right, and so Mark he owns the New Guard group. Yeah, him, he has two parts, which is a fashion conglomerate, right, So he takes him to Italy and he shows him their manufacturing factories. So yeah, we started laughing because it's like when Kanye.
Remember when Kanye was on Sway and he was like he was talking and nobody really understood what he was talking about, and he was like, I can't produce this level. I can't produce and they like why would you? Like what are you talking about? And he's like, yo, got dance to sweat.
They only gonna give us tea shirts a hat.
And so he's like and even Charlman was like what do you Nobody really knew what he was talking about. He didn't really do a good job of explaining what he was talking about, but he was just saying like he didn't have the factories to produce, and it just didn't go over well.
Right.
But it's crazy because it's like when Virgil, they said, when he when he went there and he saw the factories. I don't know what they with these factors like magical fits, like Willie Walker in the Chalcoling factory. So he saw these factories and he realized that he couldn't compete Get down later type vibe. So he saws his company and you know what's crazy is that shout out to Dapper Dam. But when Dapper Dam was on the Breakfast Club when
that's what really started this whole vibe. Dapper Dam was on the Breakfast Club and Charlemagne kept pushing him like, yo, why don't you just own your own joint?
Like why are you working for Gucci? You've done so much for this company. You brought the street with and Contour together, like create your.
Own, create your own things.
So then he kept pushing them on that, and then that was like, well, who what black designer owns.
Their own outright?
Like on a high level, on a very high level, and he was like off white Virgil, and then he was like does he does he? So then Charlamagne was like, well, what does that mean?
What are you saying.
He's like, I'm not saying anything. He's like, through your research, I promise you. Like as soon as I saw that, and then one week later this whole story. I was like, yo, I'm doing the research and then we found this, I'm like so surprised. It turns out that he doesn't own off white. New Guard Group owned off white right majority state. So what happens is that he sold it to the New Guard Group. All right, it happens all the time
people sell that company. But what makes this interesting is that he still has control over it in a certain way because he kept the licensing right. So this is very important. This, this is this is where the story gets interesting. So he sold the company to the New Guard Group, but he kept licensing rights. So what happens is that New Guard was in control of development, distribution, and manufacturing, so they they wach everything everything right, but
but he was in control of licensing. So in order for them, in order for them to put it in any store, or to sell it. Effectively, they have to rent the licensing rights from him and then they split. They don't they didn't say what their agreement was as far as the split, but they split. Let's just say
hypothetically the fifty to fifty split. And so he still makes money, but he's not actually doing anything which actually works out for him now just he could focus and to see his energy on running Louis Vatan.
Yeah, and that's the beautiful thing about licensing and trademarking is that he can do it with this one and right now, this group that this deal that he has with New Guard and we'll talk about who they sold it to, is that this one's exclusive. But the next time, and like we said, we don't know the terms of the money in the contract. We don't know the terms of the years either. But as soon as this deal is done, he can license to New Guard, he can
license to this person. He could I mean, he can do it as many times or with whoever you want.
So the licensing thing is extremely It's an interesting conversation, especially when it comes to fashion, because people don't fully understand, like, you know, who's huge in fashion, so Disney, You never really think about it like this and shout out the Prince Darnell, another ey L alumni, he was. He was in a store I think like a month ago. He did a whole Instagram clip about this. But Disney licensed their characters out all the time, all the time, especially fashion.
They're real big in fashion. So we talked about like back in the day with Iceberg with Goofy, and Goofy was on all the sweaters. They're not using Goofy just saying I want to use Goofy. No, you can't do that. It's a selling you got a license it.
So they did. They had Mickey too. I remember they I remember the sweater. Vicky had the one. So they had Mickey, they had Goofy, Peanuts. They also licensed that. But it's like they have to pay to use those characters.
Yeah.
And the crazy thing is like, so when you go in the mall, because you see especially now it's Holliday time, you see a bunch of shirts with Snoopy, Mickey, especially Mickey Mouse, Mickey Mouse Mini Mouse.
They're huge.
You never really tried, you never really paid attention, right, But if you go and you look at the tag, they're not gonna say Disney right.
You could go in Old Navy right now and find the Mickey Mouse t shirt or Urban Outfitters.
And all of these, all of these different companies that put those characters on it, they have to pay Disney, right, so they license their characters out on Fashion. They license all this stuff out too.
Music.
Yeah, they like the Netflix. Right before they started their own streaming service, all of the Marble catalog was on Netflix, right. Netflix is paying Disney big money, big money to use this.
It's the reason why now like with Disney Plus that all like Black Panther's not on Disney Plus yet, or like Star Wars, the New Hope is not on Disney Plus yet because the licensing agreement hasn't run out. As soon as it does, that'll be on Disney Plus. Netflix will never see another Disney product.
Yeah.
So it's the same thing with fashion and some of your top favorite designers they don't own right. You think they do because it's the name, because it's the name, But larger corporations like the New Guard Group, they own it, right. So this happens all the time. Also, we talked about as far as even in real estate. So Trump is a guy, Yeah, Donald.
Trump in New York City. You know, like especially maybe ten years prior to today, when you drove down the West Side Hiway, it was nothing but buildings that said Trunk Tower, Trump Tower, Trump Tower, Trump Tower. He doesn't own the building, the land itself. He just licensed his name to put it on the building, which in turn people associate with the lifestyle. It's like, this is high luxury. I'm living in the Trump Tower. I have money, I
have high luxury. There's a certain lifestyle that comes with it.
Yeah, he did that probably the best, honestly, I mean, hate it and love it. But you gotta always look at a business case study, right, You got to take emotions out when you're looking at business. So whether you know, politics is very divisive. So whether you love them, whether you hate them, whatever, you gotta look at the business model behind it. Like all of this stuff from his ties, a lot of his golf courses, all of those buildings, those Trump Tower, very few of those. Does he actually
own the casino too. He licensed his name. People pay him because he built the brand around Trump, the name Trump, and now it's like, okay, just the name on itself, I can make money via value. So this is what makes the Virgual deal interesting because it's like, okay, like we said, people sell their companies all the time. We talked about Kylie Jenner recently selling fifty percent of our company. So he sold the company, but he also is making money on the back end because he licensed.
It, right, And that's one of the things they said, especially in fashion, if anyone's trying to start something, owning the trademark is probably the most valuable thing you can have in fashion because you that lives on forever. Like this least agreement that you might have eventually they're renting, but that lives on forever. As soon as that agreement is done, you can find seven different partners to now license with, and then that lives on in perpetuity. Like
keep that. He you know what he does. He owns his masses. We always talk about music. Yeah, Virgil owns his masses.
But so, but now what happens is that so New Guard Group gets brought. So it happens, okay, So Virgil has to deal with New Guard Group, right, and he sells him a percentage of a large percentage of the company, but he keeps the licensing agreement.
Right.
They do all of the work, they manufactured, they distributed, they do everything, he gets paid and they have a good relationship, I'm assuming, right, But now New Guard Group gets brought by G three three, which is another fashion conglomerate company. So now this way it becomes a little complicated because it's like, Okay, it's like a record label. We HAVET Mickey facts only saying he got dropped by one record label or his record label got acquired by
another record label. Right, So it's like you might have a good understanding with an executive at RCA, but now yeah, so now it's a whole different, you know, relationship. So it's the same thing with this, right, So it's like, Okay, you might not be on the same page, right because now you got the company that you sold, the two
guys acquired. Right, So I'm assuming that you know, obviously Virgils seasoned, and I'm assuming he has a good counsel and he's around good people that's given him good advice and he's noledge with himself. So now what you do is you put a termination.
Clauset, a termination provision really, so it's like what that means is like if a brand, if the company decides to put out stuff that does not represent the brand any further. Then he has the right to say, you know what, we don't want to do business anymore since you've sold it the company and we lost our agreement. If you can't match what we are expectations going forward, if we're not a high luxury brand and going forward we end up in like a TJ Max or something, are deals terminated.
Yeah, it's very important.
So that's very important because you always gotta I always give the analogy of like when you go to the movies, like before a movie starts, they they always say, like, disit an exit right when you get on a plant, when you get on a plane, before the plane takes off, they tell you where the exit rolls are, and they tell you like the procedure like if if an emergency happens, right, So if you really on point, before you go to any building, you always got to recognize the exit before
you because it's like getting out is more important than getting in. You have to you have to identify an exit preferably before you even get in, right, because you don't want to get somewhere and you don't know, then you got to kind of like knock around and run where's the exit. So, if you like presidents, right, they already mapped out the exit strategy before they actually getting out the secret services job. So in business is no different. Before you do a deal, you got to figure out
the exit strategy. Hopefully it doesn't go bad, but you always got to think what if it does. Right, It's like getting It's like in a prenumptial agreement when you getting married. What's that Well, hopefully, hopefully, hopefully you never have to use it, but just in case fifty percent chance that it, you know, it doesn't work out, you know, you got to your walking papers already established. So that's
extremely important for entrepreneurs. And this is a very high level case, but any level of business ship partnership, whenever you are doing business with somebody, you always got to have a exit built in because if not, now you.
Get screwed, you get stuff or dropped. Yeah, n G. Three.
So they also own Donna Karen right, So that Donna Karen stories is interesting as well because.
It's like the flip side of the Virgil situation.
Right, Right, she didn't she didn't license her.
Name, right, she didn't license her name and she got acquired. She actually got acquired by lvm A.
Lvm A shot the Wall Street Trapper. We talked about that in episode and they just did with Tiffany's. They just bought Tiffany's for sixteen billion.
LVMH one of the largest companies in the world.
The largest high fashion.
One of the largest, well Apple is the largest, right right right, my fashion fashion, Yeah sure, so LVMH, like I said, we talked about that in episode forty four, Wall Street Trapper. But they own Louis Vuitton, Hennessy, Moat, a bunch of different stuff Tiffany's. Now they own a long list of high fashion and just high lifestyle item. So she sold, she sold her company to them in two thousand, four hundred and fifty million.
That's a lot of money.
But that took out the game, right, but they still use her name.
She sold her brand and her entity, so Donna Carrott International, which encompasses DKY and everything else that comes with Donna Karen.
But now so they sold did to G three another G three acquire in twenty and fifteen for six hundred and fifty millions. They made two hundred so they made two hundred midle.
But during that like when they sell it, she steps down, right, So she steps down from her position. I think when she sold it to LVMA, she stayed on its head designer twenty fifteen. She steps down. So now she has nothing to do with the brand.
No, she's done, But the brand still makes money.
The brand is super profitable, like last year, I think five hundred and seventy million in profit. She gets none of it, and she has no say in a brand that has her name, Like she could walk into any store to say Donna Karen is like wait, they made that, and she could do nothing. Even though it has her name on it, she can't use it.
So yeah, so that's interesting because, like I said, a lot of times people don't fully understand, like when they just see headlines in the news. But these are things that I think any entrepreneur can learn from because it's like, Okay, he's so it's a very savvy move that he did where he sold the company, but he kept the licensing right right, So now he's still gonna make money in perpetuity as long as he keeps that agreement.
The next deal is gonna be silly.
And yeah, as long as the company keeps growing, he can renegotiate next time and even more.
Yeah, because that's the thing. It's like when you see this is an exclusive deal, so like you'll see off White like they just did the Ikea drop. Did you see that they put the off White Ikea furniture?
Nah?
It was crazy. So like that sells out like that, Like the branch just grows once this deal is over. Whenever it is, like, can you imagine the lineup of people who are coming to knock on that door to use the license. It's gonna be ridiculous. He could do it like right now. It's exclusive, so he can only use through New Guard. But I can't imagine, like what's gonna happen when he's a free agent and it's like, yo, who wants to use the license? He's gonna be out as world.
You know.
Sometimes you get paid on front in the back end.
Yeah, man, And and the little Eton stuff is moving crazy.
Yeah, that's a fact. That's a fact. So yeah, we gotta get more on your leisure.
That's a fact. Make it happens, get on it. We got to make that happen.
All right. So that's the case study breakdown on Virgil.
So the next second we're gonna talk about multiple streams of income, how to how to get money from different avenues.
It's important, man, you can't you can't just have one in this day and age. So we got one. You're done.
Let's do it all right. So now we're going to talk about multiple streams of income.
That is I mean, I get that question. I'm sure you get a bunch of I get that. Especially in the education field. Teachers every day it's like, yo, I need to make more money. How am I going to do this? What do I do? How are you doing it? I'm like, we got something for you.
Real life got multiple streams of income. It's no longer option, It's a.
Necessity in this world that we live in. So we're going if you're a member of e y L University, shout outs to all of our EYO earn out the students that's enrolled. Ey L University is the dopest platform right now online. It's crazy. We did a whole course. We did an our course on multiple streams of income. That's actually out right now. So we're going to do is try to condense this like fifteen minutes, but if you want the like full hour version, you can just
check out earn your leision dot com. We also have a course on it about how to create a podcast.
With details, product placement, all that.
It's dope, it's dope, so yeah, we yeah, this would be like the abbreviated version, and if you want the full version, you can just check out Eyo University for sure. But so, right, when it comes down to like having multiple streams of income, right, I think it's important to first understand and shout out to Derek Falcon another one
of our legendary episodes that you don't. A lot of times people are under the misconception that you need like five seven different things because they say the average millionaire has anywhere between five to seven streams. So a lot of times people look at that and it becomes like overwhelming because it's like we're so try. The average person is just trained to work a job to get money. So now it's like, Okay, I gotta work seven jobs
or I gotta like create seven totally different businesses. So I gotta do like construction, plumbing, real estate, I gotta be a stock market invest I gotta do all these different things.
And it's like who has enough time?
Right, But one thing I really liked about with Derek Saitning and really resonated with us, is that you don't need multiple avenues to create multiple streams of income. You just need one lane that you do really well and you can create multiple streams of income off of that one lane.
It's like what we said, like we got to build a foundation. If you think in the sense of a tree, the tree is gonna be the foundation of what you're gonna do, right, So like from that you're just gonna start building branches from it.
Yeah, so all right, So yeah, so we're not gonna give you a case study or theory. We're gonna give you the real deal. This is this is just all I mean, this is ours platform in blueprint. But I mean, you know everybody's blueprint is gonna be different. But we can just we could speak best about what we personally know.
Right, So, and they've been here to see it, so like y'all been here watching it, y'all seen it from January to now, We're just gonna give you really in detail, like how this works.
Yeah for sure.
So the thing with Earn your Lisia is that all right, So Earn your Lisia started in January of twenty nineteen and it was a podcast, right, and it was you know, we started the Instagram page was the first thing we did. And we launched Instagram and we turned into like a daily discussion board pretty much of like different financial topics.
We post different things on Instagram and people give their feedback on it and we do different write ups and it's like a whole you know, financial board discussion on different all different areas of finance.
Right.
So but that was all done in relationship to build the podcast. Right, So we created a podcast, right, we didn't know anything about That's the thing about this too, is that we didn't know.
We're not even our year yet, Like we're we just.
Had a phone call and we're like we're learning still, Yeah, eleven eleven months and we're still learning. So we think where earner Leasia is that? Okay, So it started. It's just a podcast and we had to figure out how can you monetize a podcast because there's no blueprint on how to do it. You just kind of figure out
how you go, right. So, but now we have a few different streams from early lesion, Like I think we gonn talk about like five six different streams that we have from earn leisure income streams from early leasure right now right, So all right, So as the podcast grew, the first the first thing that we started to monetize was audio.
Right.
So if you listen to this, you know that you know we give Spotify, Anchor from time to time other brands. You know, it's part of the episode. Right, So those are ads that we do and we're not doing it for charity. Obviously, we get we get conversated for that, right. So how you get compensated in the podcast world is what's called CPM.
Right.
So CPM is like per thousand plays what you get. So if you get standard, the good thing with post is that it's usually like standard. It's like twenty five dollars twenty on, like twenty to twenty five. It's like usually standard, right, industry standard.
And when the platform we use was Anchor. Obviously if you listen to this, we did it on Anchor and we didn't have to go find them. They provided us with the ads based on the audience listening. So they saw that there was a thousand people listening to the first episodes, they sent us one ad. They see this four thousand people. Then they sent us two ads. So the more people we had engaged in listening, the more ads they sent
to us. And you know it, so like you hear, you got to go back and listen to the original ads. So the original was a funny bit.
They're not a crazy thing is At first I didn't even want to take the ad because I'm like, when I saw it was twenty dollars CPM per.
Thousand thousand, that's how it works every thousand.
So when we first started, we was averaging like two thousand a week or something like that, So I'm like, why are we even doing this for forty dollars? And then I read something like just do it because it builds up over the cost of time perpetuity. Does I can tell you it does. And the crazy thing about it is that now with like anchor like it's the dynamic ads, right, So what happens is that not every
time somebody listens to a podcast, we get paid. So you can go back and listen to episode one and as long as there's an AD and placed in it, we're gonna get paid for that. So that's pretty cool because it's like, now as as our audience grows, right, we are revenue grows as well, so we get paid. So that's one way how we get paid, right, And then so that was the first way how we started
to monetize the podcast. And then you know, from that, we figured, okay, now we have an audience, but we always love fashion and we always you know, it was like, okay, what's the next thing that we should do and actually to promote the podcast as well, and we came up with a couple of different slogans with the slogan the slogan that really stuck and became our signature with Assets of Aliability.
Had I remember sitting down and we wrote down, like you said, let's come up with ten, come up with ten, and we put them out and it was like, all right, well let's use these three. And we had three. So if you had the day one people, you know, when you went to the site, there was a bunch of different shirts. And as we moved on and we realized like that's not really gonna move, we stuck with three.
Yeah, the most popular, Access overliability. So and that just became our trademark. We tried a couple different things, but that became our trademark. And so the thing about merch. Everybody sells merch. It's popular, it's like the first thing you want to do, right, But merch can be a kind of a tricky thing. So how we use What we use is print Fall, right, So print Fall is a company that allows you to not hold any inventory.
It's only demand. So like you order it, it's they make it. Pretty much like what we said in the last segment. They make it, they distribute it, and all we do is create the file which is the assets over alliabilities, which is ours. They printed up and they send it out to you.
Yeah, so it's an interesting business model. It's pros and cons with everything because they take a percentage of pretty hefty percent. We're working on that so, I mean, we probably could make a lot more money if we just did it ourselves. But the thing about it is a lot more work and it's a lot more capital. It doesn't cost us anything. That's the good thing about print Falls. That doesn't cost anything.
We don't have to buy sweatshirts, we don't have to buy shirts.
One hundred dollars a month I think just to actually run the site. But other than that, there's no there's no money, there's no overhead so as somebody buys the shirt, they print it, they ship it.
It's a whole. It's a whole.
Literally, Like we created our own store on Shopify. It goes on print full and we put our designs up there and people just when they order. I remember we got our first order. I was like, oh wow, this is great, and then ships you. We don't have to store anything.
That's another thing to it. Especially when it comes to business. A lot of times it's like and this is this is this. There's no really no right or wrong answer on this, but especially if you're doing a lot of different things, sometimes it's better to take less money to free your time up right, because it's like, like I said, we could do it ourselves, but that's a lot more time, Like we actually have to find somebody to actually make it.
For printing press, you have to hold a bundle of different merch we have to ship it, we have to track it, we have to you know, do all of those things. It's not and especially as more people start to order shirts, it becomes it's been too much. It's difficult. So with print Fall they kind of do all of that for us. Like I said, they take their percentage for doing all of that stuff, but we're still get compensated.
So that was that was another revenue that was like the second revenue stream that we did I didn't.
And then the next one was a proud of the pay program And that was kind of just happened in a comment. Somebody was like, hey, you guys on Patreon, and at the time I remember I text you, I'm like, yo, what is Patreon? And then we did the resource sholder. It was like, oh, this could be a way that we could give bonus content. We can put out a different variety of things and features for our audience, and so like that became another source of income. So we created five different ta.
Yeah, Patreon, Patreon is a whole bob you actually you talking about Patreon. I don't even know what patreon was. Comed is likeyea, we should do a Patreon. Like what is patreon? And Patreon is a is a is a platform for creatives for people to support on a financial level. And the cool thing with Patreon is that it's a real community, where like Patreon, you get you can add
different tiers to it. So like we have different tiers to our Patreon and like depending on what tear you're in, Like, you get add free episodes, you get episodes before the podcast drops. You get FaceTime conversations with us. Yeah, the FaceTime conversations is lit. So get you get direct conversations with us, you get you get discounts on the merch. You get access to Eyo University.
Yeah, that's new. So like that was one of the things and we sent the message out. It was like, yo, we got something to coming, we got something to coming, and we were building it. So like now it's like now they get to see what we have building. Everybody that's in a Tier four or five, they get to have access to Eyo University.
So that makes it even dope. Yeah, and this this, this, this is the whole.
The whole thing with the Business show is that you want to just create different ideas because you might not be able to copy every single thing, but you want to just spark your brain. So for me, I'm always big on cross promoting, right, So I'm like, okay, look if we got Patreon, right, and you also have to add value like all these different report I want to
stress that too. Never do anything just to make money, right, you gotta have like real value, like the merch is something that we truly believe in, Like we really believe in the merch and I think the reason why as Overliabilities has taken off because it's a dope slogan and it's really powerful and like three words, it really means a lot, Like it's assets overliabilities, Like you know what
I'm saying. So it's like, if you're going to spend money to wear a merch, like, you might as well wear something that you like and it's stylished.
That's like it's dope.
Like that was our thing. It was like, Yo, if we're going to create something that people are gonna wear, it might have it should have a message on it, and it should be a message that resonates with our community and all communities. Really yeah, like that's what the intent was when we did the Merchant and like let's make money. We're not a clothing brand, but we want to have a message every time we go outside we know people are watching exactly.
And also with the Patreon too, it's like we don't I wanted to set up Patreon as a way for people just to support the podcast. That's like charity and event we want to actually give them value as well, right, so that's why we had the phone conversations. That's why we added free access to Eyo University. That's why we
actually discounts on the merch. But now with the Patreon, you get discount on the merch, but it leads back to the merch, right, which is like cross promoting right exactly so, and everything always leads back to the podcast.
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Podcast is the mothership, which is free. But that's the cool thing about it too. Where the podcast is free, but from something that is free, we're able to create multiple different income streams where we can actually profit.
So that's another thing.
To a lot of time people think like just because you're not actually getting paid for something right away, or something doesn't look like you can actually make money from it, you gotta look deeper. It's not just like fact, you gotta go ABC D E F like you know what I mean, like to say, okay, the podcast, we could The podcast is really just to get us out there. As far as on our revenue, of course, the podcast is to educate, that's most important. But as far as
our revenue, stream. Now we can monetize the podcast even though people don't pay for the podcast because of ads. But even if we had no ads at all, we can still monetize off of the podcast.
Because of the visibility and allows us to do other things.
And it's not like we had to create seven different things. We still have the mothership, the tree, which is the podcast, and all these branches coming off of it. And that's true what you said. We we didn't do it for money, right, So like when we had Patreon, we had like two members the first month, right next month we had seven. Like we just kept grinding, like kept putting out the contact,
putting out value, making those phone calls. Now we're up to like over one hundred and fifteen or something like that. And it was like just being consistent and spreading the word and given the value. Like I think that was massed, right. He was like, Yo, just give it away.
Give it give it away, give it away, give it away. And then people are, well, they want to pay for they feel guilty not to. And that's why, like I said, proud to pay with Nipsey when he had his one hundred dollars, it wasn't so much. It's just him selling a mixtape one hundred dollars. That was a whole experience. You got tickets to a concert, you got merch. It was.
It was bundled together and it was very well done and people were proud to because people want to support, but they just got to have something good that they can support, Like nobody wants to support something that's just trash. And then so so then the next revenue stream comes via of YouTube. So YouTube is something that we're still figuring it out. But I encourage any creative, any creative of anybody that's thinking about starting anything, you got to
get on YouTube. People don't fully understand the power of YouTube.
Spoke. We spoke about this before. But that's the thing.
It would just be fully transparent. We didn't start on.
YouTube first, Like seven episodes wasn't wasn't on you. People had to really convince us to get on YouTube.
Why you're not there?
The first seven episodes was just audio because it's like it's a lot more work. You gotta film it, and you gotta upload it, you gotta edit this. It's a whole process. But YouTube, YouTube is interesting because it's like YouTube also. All right, So the monetization for YouTube is you have to have a thousand watch hours.
Yeah, so one thousand watch hours and four thousand.
Before you come out to so watch hours is like how many how many hours somebody has watched your video? So you need a thousand watch hours and you need four thousand subscribers and then you can start to monetorze through YouTube studio. And YouTube is another thing where it's like, you know, the first YouTube check that you'll see is like let's say, like for us, it's.
Like one hundred watch it. I mean we watched that for like one hundred dollars. Yeah, and then it's like six months later to like four thousand YouTube So god well, and this time next year it will be four times that, you know what I'm saying. But the good thing with YouTube is like once again the audio. Once a video is in YouTube, especially if it's like gets a lot
of traction, it's there forever. So I was just telling like Alex goot Energy from Trucking episode thirty nine, I'm like, yo, your video is gonna live forever because it has like fifty nine thousand views right now or whatever. But a year from now, somebody types in Trucking, they'll find that video, right, and then they watch it and then we get paid.
And the cool thing, and this is I spoke about this on a social media episode that we did, is that a lot of times people with especially with like YouTube and things of that nature, numbers are not the most important thing. Numbers are not the most important thing. What I mean by that is that, like our forty thousand subscribers that we have right now is probably more valuable than a lot of people that have a million two million subscribers because our content we get paid at
a higher CPM. What that means is that, like our content is clean, content is business.
That's important.
So companies they love that to advertise, right, It's like the business is like the number one space advertisers. So I was speaking to somebody who has a YouTube channel, but it's a wrap show and they bring rappers on stuff like that, you know. So he was telling me his CPMs for his show is like three dollars, four dollars, but he has like a million subscribers. His videos get like two hundred thousand views, right, But he's not really making money because it's like three dollars where we might
get ten thousand, twenty thousand views per episode. We have forty thousand subscribers, which is way less than what he has right, right, but we're making more money because our CPMs could be thirty dollars twenty five dollars.
And that's another thing that's beautiful about YouTube is that the CPM fluctuates, so like depending on the content, like a video like mobile homes, you could get maybe forty five dollars per CPM, which is per thousand, or like Alex right, it could be forty seven dollars or as in the audio space, it's just pretty stays the same
standard at twenty five dollars. So like, that's another beautiful thing about YouTuber is it changes and depending on the content, And that's that's key what you said too, is having clean content, because if we had profanity laced conversations, right, people wouldn't be putting money out to put on ads.
And I think we ran into that one time when we had an episode with We're Talking about Marijuana, which was a business podcast and it was a business lesson, but just the fact that we had marijuana in our title, it kind of changed.
We didn't get paid for that, but that's something too for a lot of cret Like I said, all of this stuff is just free information, free knowledge because these are things that we learned. We literally learned all this stuff on the fly. So you know, if you're starting a YouTube channel, if you're thinking about monetizing online, the's are good, good things to know. Because we didn't notice, Like we didn't know that we put cannabis on marijuana
in the title. That's a red flag for YouTube. The video went out, people saw it, but we didn't get.
Paid on it.
We got that little yellow sticker.
They're very big on that. They're very big on that industry. They've shut down pages. They shut down some big cannabis pages. We ran six hundred thousand subscribers, a million subscribers, they shut their pages down. So it's just it's important to understand what you're doing because like you could just be doing something and I fully understand what you're doing, and it's like you got you built up a million and two million followers subscribers, but now it's hard for you
to monetize it. Where you see somebody with one hundred thousand, I said, it's on social media. I know a girl who had one hundred thousand, one hundred and fifty thousand subscribers on Instagram that was getting paid fifteen thousand dollars for an Instagram post. Where we know a lot of Instagram models, bartenders that have millions of followers that can't they can't figure out how to make money because the only people that's going to advertise on their page is
lingerie and just promoting parties. They're limited, right, even like a John Henry. John Henry doesn't have that many followers, haves like one hundred and twenty thousand followers. Kill he's making a killing killing. He's making a killing because it's clean. He got a clean look. It's you know what I mean, it's just the whole it's the whole package. He's very he's very friendly to advertise it. So not to say
that you have to be that. I mean you could, you could still make money, but not be but just know that just just just be aware of it. Like I'm not telling you to change your your whole platform and to become something that you're not, but just be aware of it.
You should be aware because that will be the reason why the monetization is a lot less.
Yeah, So just know it's good to know that not the fact. So and then we also do live events. Now, the live events is another way how we're monetizing. But the thing, like I said, the thing about is that we're always adding value. Right, So this is a business podcast. We're never gonna apologize for making money. That's the whole point. Like we should never be ashamed to be entrepreneurs. But as long as you're as long as you're creating value, that's the most important thing.
Right.
So just from that, that's five different revenue streams that we named off of the podcast. Right, So now we don't have to we don't have to get five different jobs. We don't have to create five different businesses, even though they are kind of separate of each other, but they're all under the mothership of earn your leading, and they all hover under the podcast. The podcast is what leads everything, right, we know that, and that's important too. Never go away from.
What feeds you.
A lot of times people get successful and one thing and then they stop paying attention to that. Like, the podcast is always going to be high quality. We're always going to do our best with the podcast because we understand, like the podcast is what got us to this point. But we can't stay limited to the podcast. Like if we did that, we'd be doing ourselves and our supporters are disservice because that's not what we preach, Like we
preach to have no limit to expand your horizons. So if we just stayed just doing a podcast, we wouldn't be a good example. Like what I'm saying, like we got to set an example. It's like it's more than just like we're just not getting up here just talking about it. We actually are implementing a real business.
Yeah, and we had a few more, Like we have a few more even even like in the summer when we do our summer programming. That's another stream of income for us. We have a couple of things that we're going announce to the top of twenty twenty that we we're just continuing to build off of the mothership all e your leisure, but all things that help people. So yeah, man, we gotta keep creating. And it don't be surprised if you see like us doing trucking, Like we get a truck,
we're gon we're getting all this information. So every time we hear something and we learn it's like yo, we should do No, it's a fact we even talking about our book.
We gotta get we got we gotta get back to writing that book. But the book, that's another thing that we're like that we're looking to launch. And we got the blueprint of the book from Ash Cash episode episode twenty six. So it's like a lot of times, like when you listen to earn your leisure, don't just listen and just be entertained. Man, it's application. Like I said, like we're living proof, like we're we're literally applying things that we are learning.
You know what the best part is, Like not once did you say like I'm a financial advisor too, Like people forget that part, Like yeah, so like yeah, that your financial advisor. I'm a teacher. But these things that we're doing, like outside of that, that's like non different streams.
You need to have like ten ten different joints going because you never know, you never know when something can dry up. Like you know what I'm saying, You never know when something can dry up. So it's like I've seen it and I learned that early on just from watching people that I grew up with older people, And it's like you get laid off from your job and your screw you had a bad month from your job, and it's like you damn there on a homeless line, like you know what I'm saying. So now it's like
we're having multiple streams. It gives you a cushion, it gives you a buffer, and it's like, all right.
Well you can feel it.
You can feel the freedom, you feel less pressure to you, you.
Can feel the freedom of it. It's like, you know what, I'm not relying on anything. I have so many things that if this doesn't work, I got this. I got it. You can feel the freedom like I can feel it personally. It's like, Yo, this is crazy. This is different. Like this feels like twenty nineteen doesn't feel like twenty eighteen. It feels different.
It does.
And so yeah, so that's our but that's our journey. And not to say that you have to start a podcast, but it's like that's something that fit in what we were doing. So it's like what fits in what you're doing?
Yeah, And on Early Legion University, I broke down how you can earn it in education because a lot of times I have conversations with people in my profession and they're like, Yo, how do you have time? How do you have time, and I went through like five or six different things streams of income just from being an educator. It is things that you probably are overthinking that you can do that don't require much time.
Yeah.
So all right, so yeah, that was that, And like I said, that was kind of the abbreviated version. The full version is on Earn Your Legion University, where we kind of just dorove into a lot of different things. But I just wanted to just let people know that it's always something more, no matter what you're doing, it's always something more. And when you're looking to start a business, see if that business is scalable, like the podcast is scalable,
because we don't. It's very low inventory. That's another thing too, it's very low inventory. It can reach people from New York to Australia. We're not limited geographically, and it provides us opportunities to create multiple different launching paths.
That was the first question Deryk fal Can ask me walk when we did his interview. The first thing. He sat down on my coudun and was like, yo, y'all gonna scale this first thing. He asked. I'm like, good question, and we went and we still.
We come up with new ideas how we can scale. So, like I said, that's our blueprint, but what's your blueprint? Right, Like if you are restaurant owner, how do you scale that? How do you create multiple different streams? Derek gave the blueprint for that, but it's like if you if you have a gym, how do you create multiple different streams off that gym? Like even Alex right, he has a trucking, but he makes more money off of his portal and now he has merch So so yeah, so that's that's
the rundown multiple streams of the income people. It's it's not something that is optional at this point in time, is mandatory and it's all about being creative and understanding how you can build different branches off of one tree. So we're gonna close it out with some education as far as investing in different things.
All right, it's fun.
Yeah, so we're gonna it out. We're going to close it out with something that is easy for me. Like I said, a lot of times people don't fully understand, Like everybody thinks do the podcast full time, but I actually have a financial planning firm, independent firm.
Who was your first client?
You were?
Thank you for sure, wealth wealth management firm. So that's what I do like outside of this So yeah, retirement planning, investing, things of that nature. So one thing that always gets people's attention when we talk about is the self directed IRA. So I wanted to talk about that because you know, we talk about real estate a lot on this show, and we bring on different real estate investors and things of that nature, and we always you know, have to
give people different options. So funding, when it comes to funding, that stops a lot of people from investing in real estate. So we you know, talk about two or three K loans and hard money loans and conventional loans and things of that nature. But another way that people can can invest in real estate that not a lot of people are fully familiar with is via their retirement account. Because if you think about it, I've spoke about this before.
Most for the average American middle class, American lower middle class, whatever, they don't have a tremendous amount of money saved in a savings account. They don't have money. They might probably have no investment outside of retirement like they don't have I.
Mean, I know people straight up that don't know what an IRI is.
Well, yeah, that but I'm just saying as far as the money that they have saved is in retirement. So it's not uncommon for a teacher to have half a million dollars in their pension plan or their four or three B plan by the time they retire, or it's not uncommon for somebody to work in corporate America for twenty years and to have four hundred thousand dollars or even like one hundred thousand in a couple of years,
Like it adds up. The good thing with four in one case is that the money is taken right out of your paycheck, so it's easy. Everybody knows about it. Like when you sign up for a job, they do you, they sign you up for and then you've worked, like I said, a union job, you have a pension. People have money in retirement accounts. Long story short, Yeah, and that's the one place where a lot of people that's like their only source of like real save somebody.
If they're saving, they're like, yeah, I have a four one.
Yeah.
So what happens is that is that a lot of times what happens I see all the time is that people like they might leave their job or whatever they want to buy a home, and they have an old retirement account, like a old four one K, and what they do is that they cash it out because that's the only real money. They cash out their four one K and they use that for a down payment or they use that to buy a home. The problem with that is that now not only do you deplete your retirement account,
but you get taxed crazy. Like if you take money out of a retirement account, but for fifty nine and a half from most retirement accounts, you pay a ten percent penalty, you pay state tax, and you pay federal tax. So you could be paying up to fifty to fifty five percent of the money in taxes.
Right. So that's that's a lot of money. That's you're liable.
We had a tax issue in this house, man.
Yeah, so's it's important to understand that.
So a lot of times people don't fully understand that you can actually use retirement money to actually purchase property.
Right. So how you do that is via what's called a self directed eye.
So before we go there, right, because this is important, what's the difference between an IRA and a self directed IRA?
So all right, an IRA is what it stands for is the individual retirement account.
Right.
I think we spoke about this in another episode one time. But so IRA can be set up two different ways. You can set an IRA up just with money out of your pocket, and like you can fund it every year, like if you are self employed, or if your job doesn't have a four one K, or if you make under a certain amount of money, you can just put money to an IRA every year. Right now, you put like six thousand dollars on IRA.
There's a max on it.
Yeah, for the year. Okay, but now what's very populus. What's called the IRA rollover. So when you what happens is that now you leave your job, right and now you have an old four one K and old pinch plan, an old four three B whatever, TDA whatever, and you can roll that into an IRA.
Right.
So the reason why it's called the rollover is that it's going from one what's called tax qualified vehicle to another tax qualified vehicle. You're not paying taxes on it for your retirement. The only difference is that the four one K is set.
Up by your job. The IRA is set up individually.
You can set up you know with a bank or through a financial advisor or you know online there's different ways to set it up.
Right.
So most of the time when I when people do IRA rollovers, they're rolling into what's called the traditional IRA. Traditional IRA is investing in more traditional investments stocks, stocks, mutual funds, things of that nature. Right, So it's invested in the stock market, in bonds, things of that nature, and it grows over the cost of time. So let's say you had a job you work at and T for fifteen years. You have one hundred thousand dollars in
a four month kN you left. You left, So now when you leave your job, the four one k is pretty much frozen in the sense not the way. It's not growing. It's still growing relative to how any investments do. But you can't borrow from it, right, you can't add money to it, you don't have any advice on it. You're not you're not working there anymore. And a lot of times people move and they don't update the address, so it becomes difficult to manage if you're not working
there anymore. So this is why the rollover is so appealing because now you get to pick and choose your investments. You can add money to the IRA if you want, you can work with somebody that can help you out, like in advisor things of that nature. So that's that's what that's what the IRA is, just taking control over the money. So now you have that, you have it in the i RA, right. So now as it's in the i RA, it can be invested in like let's say it's invested in mutual funds, right or an.
Annuity or whatever.
It was just the regular IR traditional So the money's invested, you're not paying any taxes on it as long as it stays in and it's just like how it would be with your four to one K, except you're kind of picking and choosing investments for yourself.
Okay, So it's that's.
The easy So if I'm not picking it, then it would be a financial advisor or like I saw, like a custodian.
Most of the time, it's a through like somebody will help you out with it. So whether that be a financial advisor, whether that be somebody at a bank, credit union, or you know. Usually you can do it yourself too if you go online like you can Fidelity, but a lot of times people just don't feel comfortable doing things themselves.
They might want help, so somebody will help you out with it that they, you know, kind of guide you on like what makes sense, This is a good investment and this is the reason why things of that nature. So that's what most people do, Like probably like ninety five percent of people, they'll roll in money into a traditional IRA. But another option that you have is that you can roll into what's called the self directed IRA. So, so traditional IRIS allows you to invest in traditional investments.
Like like I just said, the self directed IRA allows you to invest in a broad range of different things. Everything from bitcoin to commodities.
Is a bunch of possibilities, all kinds of different stuff.
And one of the things, so somebody said, like you can invest in a horse holding firm.
Yeah, you can invest in all kind of different things. But it self directed IRA. And one of one of the most popular things that people use self directed IRA is.
For is real estate.
So a self directed IRA allows you to invest money in real estate. Right, So what happens is that you have one hundred thousand dollars and instead of like if you don't roll into a traditional IRA, you can roll it into a self directed IRA. Now that's self directed IRA.
You can buy a home, or you can buy an apartment or whatever, or use that money to you know, buy different forms of real estate, and the money's not tax because the whole point of keeping it within the IRA is that you avoid you're avoiding paying.
Tax tax when you take it out, or tax.
When you take it out when you when you take receipt of it, we call taking receipt of the money, right, so like when you take receipt of it, that's when the money goes to a bank account, like when you physically receive it. As long as it's under the umbrella of the IRA, you never actually have you don't have receipt of it, so you're not you're not paying any taxes on it. That's the benefit of rolling a fall one came to an IRA and keeping it in the IRA. Right,
you're not paying any taxes. Whenever you take money out, you're going to get taxed. If you take it out prematurely, you get a ten percent penalty tax. But at any point in time you take money out of an IRA or four one care, you pay a state and federal tax, the federal taxes with federal tax bracket you're in at that time, and the state tax depending on what state tax with state you're in and it's treated like ordinary income, and you can borrow.
That at any time, but just know that there's gonna be a penalty borrow what you can borrow money from the IRA.
You can't borrow money from the IRA. You can take money once a year from the IRA, but it's a sixty day rule where you got to put the money back in.
Okay, good enough.
So what happens is that with the self directed IRA, right now, you can use that money stays in the IRA, but you can buy a real estate. So like let's say you used one hundred thousand and you bought a home, used all of it to buy a home for one hundred thousand in cash. Right, So now that one hundred thousand is pretty much like your retirement. So the one hundred thousand rolls to two hundred thousand over the course of time. You're not paying any taxes as it's growing. Right,
So you sell that home. Now you made a hundred thousand dollar profit. Right now, you put that back into the self directed IRA. Now it's not tax Now you have two hundred thousand dollars. Now you can buy more
real estate or you can invest something else. Right, So it's another way to invest in real estate with your retirement account as opposed to investing with like a lot of times people think that they have to cash out their retirement to invest in real estate because most iras will not allow you to invest in real estate.
It's self directed IRA, all right, So what's the process of setting up an IRA, because it's you're doing it yourself. I'm assuming right, self directed.
Self directed IRA. Yeah, so the process is set up, all right, The process is set up a IRA.
Period. This is the process is set up an IRA.
You do an application for the IRA company, right, So, now that that sets up your IRA account. Like let's say you set up an IRA with Franklin Simpleton. Right, you're doing an application with Franklin Templeton and you're setting up an IRA. Right now, you have an IRA number, let's say it's one three, five seven zero. That's your IRA number. You have an account. All of that stuff
is set up, but it's not funded yet. So what happens is that now you have to do a conference call with the fall one K company that shures you the easiest way you do a conference call, and usually like you do with your advisor, if you're working with an advisor and like most companies nowadays, like it's fidelity, they'll do it over the phone where they can initiate the transfer over the phone. So you say, okay, I have an IRA. I want to roll my old four one K into an IRA. And they ask you, like,
who's the check made out to. You'll say like Franklin for John Doe, Franklin Templeton for a benefit of John Doe, right, and they say like what's the address. Most a lot of times they'll send it directly to your house, or sometimes they'll turn it to the company, but they'll cut the check. They'll do it over the phone. They'll cut the check and then you deposit that until your IRA account. Now your IRA is funded.
Right.
Sometimes some companies have paperwork where they have like their own paperwork and you fill out the paperwork, you send it back to the company and then they send the check. So it depends either they do it with the phone or the paperwork. But that's how you set the IRA up. It's very simple. It's at the IRA up. It's it's two part process. You have an application and then you contact the company and you tell a company where they's send the money to pretty much. That's how you set
the IRA up. So when it's self directed IRA, it's the same process. It's just that there's less companies. There's like mostly trust companies that do this. So like with IRA, there's a bunch of hundreds, probably a thousand companies that you can do IRA where it's very very common traditional IRA. Everything from insurance companies to investment companies to banks, credit unions. You can set up IRA up with pretty much any
financial institution. You can set up a traditional IRA up right, But there's a limited amount of companies that do self directed iras.
Right.
Well, it's just it's just less, you know, I guess it's just it's it might be I'm not really sure, but probably I'm sure is more involved.
I Mean, when I'm listening to it, it sounds like this is like one of them things like this is strictly for love, man, Like this is not something that the average person.
Well, well we're gonna get to that. We're gonna get to that the pros and cons, because there's constant, like everything in life. Well, like just a few companies that I'm not endorsing any companies because I don't work with I don't set up self directed iras for people, but just to kind of give you Like if you google cel directed iras, there's a lot of companies that will come up, so like Equity Trust, Goal Star Trust, and
Trust Group. Those are different companies. But like I said, you could just google and do your own research, not to give those companies like any endorsement, but that's just that's just yeah, that's just that's just a couple of companies name.
But when would be a good time to consider doing the self director.
So before we even get to that, So how you set up the self directed IRA is that you you go online, you contact them, and you set it up with them, and they'll walk you through the process of like who the chech needs to be made out to you, an account number and all of that. So it's the same thing I just explained, but you have to do it this to yourself as opposed to like a lot of times with the i RA you have help because it a avisor that will help you out with you
yeah most of the time. But in this process you're gonna have to like kind of navigate this yourself. So of course you want to be properly educated, you want to do your research. But the thing with the show is just to provide information. It's not to say to do one thing or another, but it's just to provide information.
So there's some drawbacks with the with self thrected IRA because the thing with the self directing IR like, if you have a regular IRA right now, the money is invested in the stock market, you don't really have to do anything like I mean, you can just monitor it and make sure you're in a good fund or a good investment, but it's not gonna cost you like money, right Like if you buy a real estate property, if you buy a home right now, you buy that home
for one hundred thousand dollars, but you just it's not a huge Just let that go. Because now the boiler might break, right so now you gotta pay money to fix the boiler. Or the house might need to be painted. Now you gotta pay money to fix this upkeeping the house. No matter what, there's still upkeep, you gotta cut the grass. There's always gonna be something. So it's gonna cost you money, exactly.
It's important for people to understand that it's buying a house is gonna cost you money without like there's no way around it. So when you have your retirement account tied into that, A lot of times people you know, you're not investing your four one K into an IRA, a regular IRA with the expectation that you're gonna have to pay five thousand dollars a year just to keep up that IRA. There's fees involved with an IRA, but that's taken out of the amount. It's not like you're
coming out of your pocket with a house is different, right. Also, a lot of times people buy homes and the especially with investment properties, they're doing that to actually have income. So they buy a home and they want to have income come from that right to like support their lifestyle. But any money that you generate from the self directed IRA property has to go back into the self directed IRA. If it doesn't, then you get taxed on it. So
that's also important for people to understand. It's more of a long term play. So, like I said, so.
That's not like obviously your primary residents, I'm assuming primary residence. What when you're investing in the real estate or could it be no.
It could be anything. It doesn't have to be a primary residence. It could be a rental, it could be a primary it could be a different different things, but it's just like all things in life. You want to put together game plan, you want to put together game plan, you want to be fully knowledgeable. But like I said, at the whole point of the podcast is just to give information and then from the information that you can
decipher and say, okay, this makes sense. But a lot of times we're forcing too doing things because we just we don't know. So for most people, the self directed IRA probably wouldn't be the best fit because it's more work involved everything that I just named, But in some cases it could potentially make sense. So just wanted to let people. I spoke about that in a few different settings like live settings, and it's always it always gets
a good reaction. So I wanted to cover that in a podcast, and I knew that you know today obviously that we didn't have a guest, I thought it would be a good a good time to actually cover that topic.
You talk about real estate so much shout out.
I want to thank you for coming man, this is this is This has been a learning experience. Like just when you think you know somebody fact follow me on the ground, but can you give everybody if not? That was great man. And like I said, obviously we talk every day, but we don't have in depth conversations like this,
so like when we even have to. When I was preparing for this, I'm like, I have questions because it's like I don't know these things, Like this is your expertise, so this is dope that we have to do this like that, there's about ten questions segment.
That we Like I said, it's just a little little tippets.
I think that's something that we want to try to just throw a little gyms in there on the podcast every once in a while, like from your area of expertise, from my area of expertise, Like we can do like one per episode, like you know, once a month something like that, where you can just kind of like little tippets, little financial tippits to kind of help people out in the day to day life. And I think that that's something that could be beneficial.
Yeah, man, I'm sure that people are going to take a lot from.
This, hopefully hopefully hopefully for sure.
So so yeah, I mean I think that that's that's that's that's a good nostalgia, a trip down memory.
If you're like, can y'all bring it and what happened to the NASA intro. Listen if you all listening to us right now, we've covered like trademarket so that that you can be between the lines. We love NOAs shot the basketball. That is who I wanted to be when I was eleven years old. So we love nos. We just gotta we couldn't figure out how to get the music.
You gotta get Knaves on the podcast is doing all kinds of different things in the venture capital space right now.
I get him on the podcast.
But before we go once again once again, but mind the d C hop out on us.
Man.
We got crazy Saturday is gonna be Rashaanna Scott, Mobile Home Investors and Wall Street Trapper. Sunday our very first live podcast, the Capital one Arena with Max Maxwell, Ash Cash, Derrek Falcon from Homemade. Then we got a networking event after that. Then we got the game, the Wizards Clippers game. Everybody that comes to the podcast has tickets to the game.
Sunday night, d C. It's on, y'all, y'all, gott tell us what to go.
Park. I think Park is, That's what I think Park, So d C.
I can't wait. I can't wait to touch the town man, I'm gonna come a little early. Actually, run run around, yeah, runing around the d m V for a little bit. And eyl University yet the university. Shout to everybody on eyl University. Everybody's tuning in of our guest webinar hosts.
We got the credit due. We had Sabine, obviously we have Matt. They're doing a tremendous job. We actually did to webinars ourselves. Andre Hatchett, shout out to him, he did the mobile notary. It's amazing, man. Like every week we learned so much more. So, shout out to everybody that is a member of e y L you and shout out to everybody that's on Patreon. As we mentioned earlier, that's our proud to pay program. And I just want to give a quick shout out to some of our
new members. Kay Dean, who's a Tier four member, so you're going to have access to e y L University. Dawayne who's a new member, a Tier four guy, so he'll he'll be getting ey L University. And Sama. We spoke to her. Remember a few months back, we supposed to Samiya. She actually upgraded her tears so she went from a one test nationally that tier four now so she's gonna have access to e y L University. And John he's a new member. He actually just joined as
we came on to do this episode. So shout out to everybody on Patreon dot com. That's how probably pay program. We already explain how it works, five different tiers. Each tier has a different thing, and now four and five you have access to e y L University, So take advantage of that. And like we said, most importantly, man, you're gonna get the information, but the application is definitely up to you, so make sure you take advantage of that. And our merch man shout out to everybody that's.
Supporting to merge the merch hoodies.
We both got the hoodies out right now and we're gonna we're gonna be dropping some some new merchant y lu whole new collection. Yo University is something that we're really excited about because it's online learning platform. But it's different because it's not just like courses. It's it's zoom classes. So these are like real like you can we have a different speakers from everything from two or three like the same podcast people that we have like they're like give.
And even more. Yeah, they do classes for it because we do a class.
Also, when you watch the podcast, it's not live, right, so it's tough to if when you have a question. I know a lot of people pause the video or pause the audio and like write down like they had a question like uyol University. You could just literally raise your hand and have that question answered. So it's interactive. So make sure that if you're on e y l u dot com, go to e y l University and see what it's all about.
No, it's a vibe.
It's a whole viby University is a new wave, the coolest way to learn on the internet right now.
It's dope.
It's just dope all the way around. So I'm really excited about that. And that's what we're pushing right now. And also jay Z that's our guy.
You know that. Yeah, since we've been doing this, y'all know that.
And so the book tip of this week is jay Z Made in America by Michael Eric Dyson.
He does Mikero. Eric Dyson's interesting he does. He did his book on nas.
He like breaks down like these lyrics and it's like, yeah, he's kind of like what we do we need to get him on the podcast.
He's in DC too.
Yeah, he breaks down like hip hop and then like pop culture. It's like a whole vibe that he does. So he just did the jay Z book that's his latest.
It was dope because Jay actually allowed him to use some of the lyrics in the book. So it's dope that he used them and did a whole bunch of chapters on him. So check that out for sure.
Yeah he Oh, here you have it man, another one in the books. Ernest, we love you, five of them, mant thank you for rocking with us. We'll see you next week. Peace please.
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