Logo
    Search

    Michael Simanovsky - A Platform Approach to Real Estate - [Invest Like the Best, EP.344]

    enSeptember 19, 2023

    Podcast Summary

    • Streamlining Investment Research with TigusTigus provides a unified platform for fundamental investors, offering qualitative content sets, financial data, and more to streamline the research process. Understanding the capital cycle in real estate investing is crucial for making informed decisions and navigating the market effectively.

      Investing requires a significant amount of effort and resources to gather valuable insights. Tigus, a research platform for fundamental investors, offers a unified end-to-end solution to streamline the research process, combining robust qualitative content sets, up-to-date financial data, and more. Additionally, Mike Symanofsky, the managing partner of Conversant Capital, discussed the importance of understanding the capital cycle in real estate investing. The capital cycle refers to the idea that high valuations of assets encourage new entrants, leading to increased competition and eventually lower returns. However, an improving supply side picture can lead to returns in excess of the required cost of capital, making it an ideal time to enter a space. By keeping this cycle in mind, investors can make more informed decisions and navigate the market more effectively.

    • Understanding Real Estate Cycles through Capital Cycle FrameworkReal estate experiences overlapping financial, operating, and market cycles. Historical examples like senior living sector show how supply and demand imbalances impact the sector. Understanding capital cycles helps investors identify opportunities and risks.

      Real estate is a highly cyclical asset class with long supply and demand cycles. It requires significant capital investment and is sensitive to the prevailing cost of capital due to its reliance on debt financing. The capital cycle framework is an effective lens to understand real estate, as it can experience overlapping cycles of financial, operating, and market conditions. A historical example of this can be seen in the senior living sector. In the late 1990s, there was a significant supply surge, leading to a distressed period at the turn of the century. Post-GFC, capital returned to the sector, leading to a new supply cycle that extended until 2019. However, the senior living sector was less affected by the financial crisis than other asset classes, such as multifamily or office. Unfortunately, the sector was heavily impacted by COVID-19, with occupancy falling over 1,000 basis points due to tour restrictions and labor costs increasing in 2022. Overall, understanding the capital cycle in real estate provides valuable insights into the asset class's behavior and potential investment opportunities.

    • Senior living real estate: An attractive long-term investment opportunityThe senior living real estate sector presents a long-term investment opportunity due to a bottoming capital cycle, demographic trends, and potential supply constraints.

      The senior living real estate sector presents an opportunity due to the confluence of a bottoming capital cycle, demographic trends, and potential for supply constraints. The capital cycle is at a trough, with a large portion of underperforming assets potentially being converted into other uses or going out of business. The demographic picture shows a growing population of older adults, particularly those aged 80 and above, who will drive demand for senior living facilities. Supply growth may even go negative or flatline due to the current supply downturn. These factors make for an attractive long-term investment opportunity, especially for those who are excited about owning the assets for an extended period. Real estate, with its tangible nature and potential for steady income, drew the speaker's career due to its unique combination of asset value, income generation, and the ability to make a significant impact on people's lives.

    • Understanding Real Estate's Scalability and FlexibilityReal estate's long reinvestment runways, fragmented market, institutionalization, and need for affordable housing make it an attractive sector for investors seeking business growth, market navigation, and economic impact.

      Real estate is a tremendously scalable and flexible sector with long reinvestment runways. The speaker's experience at a distressed real estate firm before the 2008 financial crisis gave him a deep understanding of the market's downside and its potential for constant opportunity. Real estate is highly fragmented, with major players like Prologis controlling only a small percentage of the market. The sector's institutionalization over the last few decades has attracted some of the sharpest investors, making it an excellent place to find top talent. However, there is a significant need for affordable housing for the average American earning between $60,000 and $100,000 per year. The speaker believes that addressing this need could have a positive impact on the US economy. Additionally, no two crises are the same, and the housing market's response to the GFC highlights the importance of capital availability and flexibility during economic downturns. Overall, real estate offers a unique opportunity for investors to build businesses, navigate across public and private markets, and make a meaningful impact on the economy.

    • Office market facing a supply surplus and potential adjustmentsSpeakers predict office market adjustments, focusing on class A offices, and suggest targeting various returns through real estate investments in private markets.

      The office market is experiencing a surplus of supply, particularly in central business districts and suburban areas, due to trends that predate the COVID-19 pandemic. This surplus has been highlighted by the work-from-home phenomenon, leading some to draw parallels with the retail sector's "death" narrative. However, the speakers believe that the office market will eventually go through its own supply-demand adjustment, with class A offices potentially becoming more valuable as class B and C offices lose appeal. Regarding real estate investments, the speakers suggest that investors can target various returns depending on their risk tolerance and investment strategy. They prioritize seeking opportunistic returns and view private markets as a way to access unique opportunities, either by incubating platforms or investing in existing ones. For instance, their investment in Quinn Residences, a private platform for single-family rentals, was initiated before the pandemic and reflects their long-term interest in the space.

    • Emergence of Single Family Rentals as Institutional Asset ClassThe single family rental market emerged as an institutional asset class due to distress and dislocation, revealing potential for rental growth, limited new lot development, and the need for reliable operators. Opportunity lies in catering to renters aging out of multifamily and into single family, seeking larger, amenitized living experiences.

      The single family rental market emerged as an institutional asset class around 2010 due to significant distress and dislocation. This period of learning revealed the potential for rental growth, limited new lot development, and the need for a reliable operator. Despite consolidation among the best operators, the sector still faced challenges with disparate quality of homes. Observing the demographic trends, there was an opportunity to cater to renters aging out of multifamily and into single family, who desired larger, amenitized living experiences. The single family rental sector's unique characteristics, including the aging cohort and the lack of large, amenitized options, set the stage for the emergence of dedicated build-to-rent platforms.

    • Building a resilient real estate portfolio through thematic thinking and flexible capitalFocus on sectors with favorable long-term supply-demand dynamics and high-quality rental growth streams. Be a flexible capital provider and consider various investment strategies. Maximize returns and give investors access to private markets.

      Successful real estate asset management involves thematic thinking, evaluating asset-level returns, and building a platform with resilience, scalability, and optionality. The speakers discussed their approach to building a portfolio of 39 communities with over 5,000 homes by focusing on sectors with favorable long-term supply-demand dynamics and high-quality rental growth streams. They emphasized the importance of being a flexible capital provider and considering various investment strategies, from passive public equities to control-minded private real estate. Their goal is to maximize returns, not necessarily firm size, and they aim to give investors opportunities to co-invest and access private markets, which are much larger than public markets in real estate. Ultimately, their platform approach involves real estate businesses with a focus on building a strong management team and taking advantage of market opportunities.

    • Flexible and skilled team with the right incentives for best returnsSuccessful real estate investing requires a team that can adapt and skilled in various aspects, with incentives aligned for the best return opportunities. Despite careful consideration, risks such as misjudging capital cycles or supply and demand dynamics can still impact investments.

      Successful real estate investing, whether private or public, requires a flexible and skilled team with an incentive structure that seeks the best return opportunity. However, even with careful consideration and long-term trends, there are risks such as getting the capital cycle or supply and demand dynamics wrong. A notable mistake in public market investing was an investment in Macy's based on a real estate thesis, but the direction of the company's numbers ultimately proved more important than the special situation. Conversely, the best investment decision was finding a company undergoing transformation with the potential for a significant increase in return on invested capital.

    • From Complexity to Simplicity: Digital Bridge's Successful Business Model TransformationIdentifying and investing in businesses that simplify complex operations and focus on attractive asset-light, low-leverage profiles can lead to successful business model transformations and attractive long-term returns.

      Successful business model transformations occur when complexity gives way to simplicity. The example of Digital Bridge, a company acquired in 2020, underwent a significant pivot from having multiple businesses, including healthcare, hospitality, mortgage REIT, and Digital Bridge itself, to becoming a digital infrastructure asset manager. This transformation was challenging due to the complexity involved but became exceptional as the management team, led by Mark Gansey, successfully simplified the business model and focused on an asset-light, low-leverage profile. Data centers, a highly capital-intensive real estate asset class, are another example of complexity that can lead to simplicity and attractive investment opportunities. Despite the significant capital expenditures required for maintenance and the risk of obsolescence, data centers benefit from the digitization of the world and have the potential for high returns on investment (ROIC) in the long term. The key is to identify and invest in businesses that can navigate the complexity and successfully simplify their operations to deliver value to investors.

    • Understanding unique real estate sub-sectorsSuccessful real estate investment strategy requires deep understanding of specific sub-sectors and their underlying trends: data centers, marinas, cold storage.

      Real estate is not a one-size-fits-all investment. The speaker emphasizes that there are various sub-sectors within real estate, each with unique characteristics and investment opportunities. For instance, data centers are currently attractive due to the increasing demand for artificial intelligence and the risk of obsolescence in older assets. On the other hand, marinas can be a compelling investment due to regulatory supply constraints and rising consumption. Cold storage, another sub-sector, benefits from resilient demand dynamics as it caters to the food industry regardless of consumption trends. Overall, the key takeaway is that a successful real estate investment strategy requires a deep understanding of the specific sub-sectors and their underlying trends.

    • Cold storage and data centers: Two resilient real estate sectorsDespite economic downturns, cold storage and data centers show resilience and growth potential due to essential roles in food supply chain and tech advancements. Up to 38 gigawatts of demand for data centers by 2030.

      Certain real estate sectors, such as cold storage and data centers, have shown resilience and exciting growth potential despite economic downturns and changing market conditions. Cold storage, with its various applications and consolidation, has proven to be a resilient business due to its essential role in the food supply chain and last-mile delivery. Data centers, on the other hand, are experiencing significant demand due to the rapid adoption of AI and chatbot technology, which requires large amounts of computing power and data storage. The potential opportunity for data centers could be as large as the public cloud opportunity, with estimates suggesting up to 38 gigawatts of demand by 2030. Overall, these sectors, along with others like senior living and digital billboards, pique the curiosity and focus of investors due to their unique challenges and growth prospects.

    • Real Estate Growth Cycle and Energy NeedsReal estate investors face challenges in servicing energy needs at a reasonable cost, with obsolete facilities and limited public opportunities being major concerns. REITs, well-capitalized after a decade of delevering, are poised to benefit from improving fundamentals and receive premium valuations.

      The real estate industry is experiencing a significant growth cycle, but the ability to manifest this growth is dependent on the ability to service energy needs at a reasonable cost. Old and obsolete facilities are a concern due to their size and energy holding capacity. Private asset managers have already bought up most public opportunities, making it challenging for new investors. The most common pitfalls for real estate investors are cyclicality, operating leverage, and financial leverage. Real estate assets have high operating leverage due to their capital-intensive nature. During different points in the cycle, credit availability and valuations can lead investors to take on excessive financial leverage, which can be detrimental when cyclicality ensues. REITs, on average, have spent the last decade delevering and are now the best capitalized players in the market. As fundamentals potentially start to improve, REITs are poised to receive premium valuations, allowing them to play offense and compound NAV growth. If I could invite three guests to a dinner party for real estate investors, I would invite Sam Zell, who was a pioneer in real estate platforms, Charlie Munger for his multifamily portfolio and unique perspective on companies and markets, and Kevin Marchetti, the founder of Limbidge Logistics, for insights into day-to-day asset management and building a successful real estate business.

    • Identifying transformative situations in real estateSuccessful real estate investors adapt and focus on transformative opportunities, such as identifying cyclical inflection points and partnering with high-quality management teams.

      Successful real estate investing involves adaptability and a focus on identifying and investing in transformative situations. This was exemplified by an investor who built a large portfolio through persistent acquisition, starting from being approached in his neighborhood decades ago. To assess the potential of a real estate investor, it's important to understand their approach throughout various points in the real estate cycle. A defining moment in one investor's career came when they identified an opportunity for cyclical inflection in Las Vegas through Caesars' reorganization, seeing potential for significant value creation. The platform approach to building an investing firm in real estate or other sectors relies on identifying a high-quality management team and providing them with the necessary resources to execute and replicate the firm's strategies. This allows for a vertically integrated platform and the potential to become a strategic player, rather than just a financial buyer.

    • A shift in the real estate market with reduced credit, increased debt costs, and decreased equity flowsInvestors must consider asset durability, reinvestment runway, and team strength in current market of reacquitization following years of low rates and high capital inflows.

      We're currently experiencing a shift in the real estate market, marked by a reduction in the availability of credit, an increase in the cost of debt capital, and a decrease in equity flows. This has led to elevated spreads and declining asset values, particularly in sectors like multifamily, life sciences, self-storage, and industrial. When evaluating investment opportunities in this environment, it's important to consider the durability of the asset, the reinvestment runway, and the strength of the team. As for where we are in the cycle, the speaker sees the current market as a period of reacquitization following a few years of low rates, low risk premiums, and high capital inflows, which led to elevated valuations. With capital now flowing away from real estate, investors must be cautious and selective in building their portfolios.

    • Real Estate's Period of Deleveraging: Opportunities Amidst ChallengesDuring the current real estate market's deleveraging phase, opportunities lie in rescue financing, structured corporate financing, discounted publicly traded companies, and loan sales. Favored sectors include multifamily, life sciences, and industrial due to short-term supply issues. Patience and decisiveness are key.

      The current real estate market is experiencing a period of significant deleveraging, which may lead to meaningful asset and company-specific opportunities. Banks and borrowers are recalibrating their financial structures to align with changing economic conditions. This period, referred to as the "reacquitization of real estate," is expected to be characterized by pay down and extend rather than amend and extend. Opportunities include rescue financing for companies facing debt service coverage ratio issues, structured corporate financing, discounted publicly traded companies, and loan sales from banks and lenders. The favored sectors are those with short-term supply issues like multifamily, life sciences, and industrial. Despite the challenges, the lack of new development capital available could lead to a better supply picture in the future. John Wooden's philosophy of being quick but not hurrying is applicable to the current market situation, as it's important to make decisive moves but also be patient. Overall, this conversation highlights the complexity and multifaceted nature of the real estate market.

    • The impact of a mentor's validation and encouragementA mentor's belief in your abilities can give you the confidence to pursue your goals and start a business.

      The kindness and support of mentors can significantly impact one's professional growth. The speaker shared a personal story about how a mentor, Sunny Kelsey, validated his abilities and encouraged him to believe in his hustle and forward thinking, rather than relying solely on his large balance sheet, when he was considering starting his own asset management firm. This conversation gave the speaker the confidence he needed to take the leap into entrepreneurship. It serves as a reminder that mentors can provide valuable insights and validation that can lead to personal and professional growth.

    Recent Episodes from Invest Like the Best with Patrick O'Shaughnessy

    Martin Casado - Entering Uncharted AI Territory - [Invest Like the Best, EP.381]

    Martin Casado - Entering Uncharted AI Territory - [Invest Like the Best, EP.381]
    My guest today is Martin Casado. Martin is a partner at Andreessen Horowitz and first joined me on Invest Like the Best in 2022. So much has changed since then, and it was awesome to have Martin back to discuss all of the different implications of this AI revolution. Before joining a16z, Martin pioneered software-defined networking and co-founded Nicira, which was bought by VMware for $1.3 billion in 2012. He has studied, built, and invested in digital infrastructure his whole career which has primed him to go in-depth in this interview on the immense opportunities and challenges AI presents among creativity, policy-making, agentic systems, real-world data structures, and beyond. Please enjoy this conversation with Martin Casado.  Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:01:48) The Future of AI and Creativity (00:03:11) Economic Implications of AI (00:04:33) AI's Impact on Content Creation (00:08:21) Challenges in AI and Robotics (00:12:16) Human Data and AI Training (00:20:30) Investing in AI and Robotics (00:26:00) Defensibility and Competition in AI (00:33:22) Regulatory Considerations (00:35:26) Internet Era Parallels and Security Concerns (00:40:25) Open Source vs. Closed Source in Tech (00:43:45) Market Annealing and Category Creation (00:46:13) Data and Hardware Innovations in AI (00:55:55) Agents and the Future of AI

    Modest Proposal - AI Commoditization and Capital Dynamics - [Invest Like the Best, EP.380]

    Modest Proposal - AI Commoditization and Capital Dynamics - [Invest Like the Best, EP.380]
    My guest today is Modest Proposal, joining me for our third conversation and the first in a few years. Modest is anonymous online, but one of the more thoughtful investors I know, overseeing a large pool of capital in public and private markets. He offers insight into many different corners of today’s landscape, covering AI’s frontier models versus open-source models, overcapacity issues in transportation in our post-COVID world, the potential economic impact of GLP-1 drugs, and more. Please enjoy my conversation with Modest Proposal. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:04:00) Comparison to Mid-2000s Commodity Markets (00:07:18) The Role of AI and Power Consumption (00:09:29) NVIDIA and the Future of AI Investment (00:13:10) Commercialization of AI and Market Dynamics (00:23:14) Public vs. Private Market Performance (00:28:03) Post-COVID Capital Cycles (00:30:32) Capital Expenditures and Post-COVID Market Distortions (00:31:47) Amazon's Capacity Expansion and Market Inflections (00:33:45) Challenges in Displacing Market Leaders (00:37:50) Behavioral Barriers in GLP-1 Adherence (00:39:58) Public vs. Private Market Allocations (00:45:08) International Equities and Japanese Market Potential (00:47:35) Market Structure and Trading Dynamics (00:53:22) AI Models and Future Market Implications

    Robert Greene - Optimizing Your Reality - [Invest Like the Best, EP.379]

    Robert Greene - Optimizing Your Reality - [Invest Like the Best, EP.379]
    My guest today is Robert Greene, author of many books but perhaps most famous for his books "48 Laws of Power" and "Mastery." He has spent his life studying why people behave like they do and why some go on to build great things. I love his idea of finding your life's purpose, which we explore in detail. Please enjoy my conversation with Robert Greene. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:03:17) First Question - Exploring Reality and Human Behavior (00:07:41) The Concept of Masks and Social Roles (00:10:47) The Sublime and Social Conventions (00:13:48) Writing 'The 48 Laws of Power' (00:16:38) Defining and Understanding Power (00:18:01) Historical Figures and Adaptation (00:23:59) Modern Applications of Power Laws (00:31:57) The Boldness of Deception (00:32:54) Exploring Good and Evil (00:35:56) The Art of Seduction and AI (00:38:31) Defining Mastery (00:42:44) Discovering Your Life's Task (00:51:53) The Power of Observation (00:59:56) The Kindest Thing Anyone Has Ever Done for Robert

    Pat Grady - Relentless Application of Force - [Invest Like the Best, EP.378]

    Pat Grady - Relentless Application of Force - [Invest Like the Best, EP.378]
    My guest today is Pat Grady, a longtime growth investor at Sequoia and one of the firms senior leaders. Pat has been a part of a long list of legendary investments, ranging from Snowflake, Zoom, ServiceNow, Qualtrics, Okta, Hubspot, Notion, and OpenAI, among many others. There aren't many investors who reference as well at Pat, both inside and outside of his firm. We talk about investing, building an investing firm, and building enduring companies. Please enjoy this great conversation with Pat Grady. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:05:48) Doug Leone's Leadership and Changes (00:06:54) Creating Internal Pressure and Structure (00:10:46) Sequoia's Team Values and Family Influence (00:13:40) Assessing Founders and Investments (00:20:28) Winning Competitive Investments (00:24:45) Pat’s Early Career at Sequoia (00:29:38) Memo Writing and Investment Criteria (00:35:20) Evaluating Companies Through Three Business Criteria (00:40:15) Building Sustainable Competitive Advantage (00:47:48) Turning Bad Numbers into Good Investments (00:51:20) The AI Frontier: Market and People (01:01:13) Harvey: The AI Legal Assistant (01:05:33) Sequoia's Platform Strategy (01:17:16) The Importance of Teamwork and Performance (01:26:07) Legendary Potential: Relentless Application of Force (01:28:37) The Kindest Thing Anyone Has Ever Done for Pat

    Frank Blake - Leading By Example - [Invest Like the Best, EP.377]

    Frank Blake - Leading By Example - [Invest Like the Best, EP.377]
    My guest today is Frank Blake. Frank is the former chairman and CEO of Home Depot. I recently interviewed Home Depot co-founder Ken Langone and became fascinated by the business’s impressive lineup of leaders through the decades. Frank led the company from 2007 to 2014 and shares how he carried on the legacy of Ken and the others, upholding their culture of an inverted hierarchy and producing seven consecutive years of growth for the largest home improvement retailer in America. We discuss his hyper focus on solving their customer’s problems before their own, investing time into the employee experience, and his intentionality with how he is perceived as a leader. Please enjoy this discussion with Frank Blake. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:04:37) The Inverted Pyramid Leadership Model (00:08:38) Communication and Listening in Leadership (00:15:19) Lessons from Legacies of Great Home Depot Leaders (00:27:02) Frank’s Personal Leadership Journey (00:33:32) Reagan's Leadership Style and Influence (00:37:26) Key Responsibilities of a CEO (00:40:27) Delta's Leadership During COVID-19 (00:46:45) Financial Strategies in Asset-Intensive Industries (00:47:27) Home Depot's Strategic Shift (00:53:33) Competitive Dynamics with Lowe's (00:55:36) Building an Effective Board (00:58:16) The Impact of Home Depot on Employees' Lives (01:01:52) The Kindest Thing Anyone Has Ever Done for Frank

    Adam Sandow - The Power of Print Media - [Invest Like the Best, EP.376]

    Adam Sandow - The Power of Print Media - [Invest Like the Best, EP.376]
    My guest today is Adam Sandow. Adam is the chairman and CEO of SANDOW Companies and the executive chairman and founder of Material Bank. He has built an entire ecosystem of businesses and brands that have brought him into the game of media, materials, and beyond. From creating the beauty product subscription model to getting magazines in the hands of billionaires to transforming the design industry with overnight access to samples, when Adam starts a business he writes his own rulebook. We discuss the founding stories of his most interesting companies, his obsession with targeting pain points, and his philosophies for when to go all in and betting on himself. Please enjoy this great discussion with Adam Sandow. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best  (00:04:12) Building a Media Empire (00:06:01) The Birth of the Beauty Subscription Model (00:09:56) Revolutionizing Magazine Circulation (00:14:46) The Contrarian Approach to Media (00:16:08) The Origin of MediaJet (00:18:35) The Future of Print and Digital Media (00:27:25) The Genesis of Material Bank (00:35:23) Building a Compelling Model for Manufacturers (00:37:26) Innovative Logistics and Partnership with FedEx (00:40:32) The Importance of High-Quality Content (00:43:49) Building and Buying Media Properties (00:46:01) Creating Unique Value Propositions (00:54:22) The Role of Print in the Digital Age (00:58:41) Nurturing an Ecosystem of Businesses (01:03:37) The Kindest Thing Anyone Has Ever Done for Adam

    Howie Liu - Building Airtable - [Invest Like the Best, EP.375]

    Howie Liu - Building Airtable - [Invest Like the Best, EP.375]
    My guest today is Howie Liu. Howie is the co-founder and CEO of Airtable, a no-code app platform that allows teams to build on top of their shared data and create productive workflows. The business began in 2013 and now has use cases built out for over 300,000 organizations. As Airtable begins to integrate AI and the latest LLMs into its product, Howie has maintained a focus on an intuitive building experience, allowing anyone to build out their workflow within minutes or hours. We discuss the future of the platform in the era of AI, his perspective on horizontal versus vertical software solutions, and his crucial moments as a leader in building a critical component to the advancement of productivity. Please enjoy this discussion with Howie Liu.  Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:06:49) Exploring Horizontal vs. Vertical Software in the AI Era (00:11:00) The Future of Customized Applications (00:15:28) Perspectives on AI's Future and Enterprise Adoption (00:18:13) The Evolution of LLMs and Their Impact on Software Development (00:23:33) Harnessing AI for Business Transformation and Innovation (00:27:28) Reflecting on Airtable's Founding and Evolution (00:33:23) Airtable's Approach to Customer Engagement and Innovation (00:39:59) The Impact of AI on Platform Versatility and Market Penetration (00:46:00) Achieving Product-Market Fit and Initial Monetization (00:50:23) Scaling Up and Securing the First Unicorn Round (00:51:52) Rapid Growth and Organizational Scaling Challenges (00:55:00) Reflecting on Tough Decisions in the Business (01:02:55) The Role of Capital Allocation in Expanding Airtable (01:06:55) The Kindest Thing Anyone Has Ever Done For Howie

    Mark Groden - The Future of Flying - [Invest Like the Best, EP.374]

    Mark Groden - The Future of Flying - [Invest Like the Best, EP.374]
    My guest today is Mark Groden. Mark is the Founder and CEO of Skyryse, a company on a mission to make general aviation as safe as commercial aviation and change the future of flying. As you may know, helicopter accidents are far more likely than airplane accidents, and Skyryse is revolutionizing helicopter flight through a safer and simpler universal flying system. Mark is the quintessential example of somebody doing their life’s work and I have no doubt you will come to that conclusion for yourself after listening to his story. He’s determined, through Skyryse, to drive aviation deaths down to zero, and we discuss all of the details, big and small, that have laid the groundwork for realizing this dream. Please enjoy this conversation with Mark Groden. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, where we're changing the game in investment research. Step away from outdated, inefficient methods and into the future with our platform, proudly hosting over 100,000 transcripts – with over 25,000 transcripts added just this year alone. Our platform grows eight times faster and adds twice as much monthly content as our competitors, putting us at the forefront of the industry. Plus, with 75% of private market transcripts available exclusively on Tegus, we offer insights you simply can't find elsewhere. See the difference a vast, quality-driven transcript library makes. Unlock your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:03:53) From Childhood Fascination to Professional Pursuit (00:05:47) Understanding General Aviation vs. Commercial Aviation (00:07:05) The Safety Gap in General Aviation (00:10:27) The Evolution of Aircraft Technology and Safety (00:16:20) The Mechanic of Flying a Helicopter (00:21:40) Justifying the Existing Dangers of Helicopter Flight (00:24:45) The Future of Flying Cars and Urban Air Mobility (00:27:23) Economies of Scale in Aviation and the Path Forward (00:35:26) The Evolution of Autonomous Flight (00:37:58) The Promise of SkyOS: Revolutionizing Flight with AI (00:42:04) Piloting the Future: How Automation Empowers Pilots (00:45:43) Exploring the Business of Flight and Future Innovations (00:51:08) What Is Holding Back The Future of Flying (00:57:08) Mission-Driven Innovation: A Personal Journey (01:00:46) The Kindest Thing Anyone Has Ever Done For Mark

    Dev Ittycheria - The Database Evolution - [Invest Like the Best, EP.373]

    Dev Ittycheria - The Database Evolution - [Invest Like the Best, EP.373]
    My guest today is Dev Ittycheria. Dev is the CEO of MongoDB, the developer data platform with tens of thousands of customers in 100 different countries. He joined the company as CEO in 2014, taking it public in 2017, and is now approaching a decade of leading MongoDB to become a go-to choice for the most sophisticated organizations around the world. We discuss Dev’s philosophy for constructing an exceptional enterprise sales organization, why he feels a leader must be incredibly judgemental to drive excellence, and how he plans to guide MongoDB through another technological transition. Please enjoy this conversation with Dev Ittycheria. Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, the only investment research platform built for the investor. With traditional research vendors, the diligence process is slow, fragmented, and expensive. That leaves investors competing on how well they can aggregate data — not on their unique ability to analyze insights and make great investment decisions. Tegus offers an end-to-end platform with all the data you need to get up to speed on a company or market: up-to-the-minute financials, customizable models, management and culture checks, and, of course, our vast and growing library of expert call transcripts. Tegus is changing the world of expert research. Learn more and get your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:03:39) A CEO's Perspective Of The AI Revolution (00:05:50) The Evolution of Apps From Trivial to Transformative (00:08:12) MongoDB's Journey From Startup to AI Era (00:10:03) Building a Modern Database Company: MongoDB's Story (00:13:19) The Long-Term Vision for MongoDB  (00:15:51) Dev’s Formative Experiences as a Tech CEO (00:19:18) The Art of Enterprise Sales (00:25:28) The Development of Dev as a Leader (00:29:01) Getting the Most Out of Your Talent (00:33:17) Managing a Multi-Product, Multi-Channel Enterprise (00:37:29) Dev’s Recruiting Philosophy (00:43:12) The Role of Leadership and Mentorship in Career Growth (00:46:08) Dev’s Deepest Worry With MongoDB (00:49:35) Personal Investment Philosophy and Identifying Potential (00:53:52) The Art of Leadership: Accountability and Development (00:57:50) Learning from Legends: Andy Grove's Management Insights (01:02:54) The Power in MongoDB’s Business (01:06:13) Up Next for Dev and MongoDB (01:08:34) The Kindest Thing Anyone Has Ever Done For Dev

    Nico Wittenborn - Finding the Adjacent Possible - [Invest Like the Best, EP.372]

    Nico Wittenborn - Finding the Adjacent Possible - [Invest Like the Best, EP.372]
    My guest today is Nico Wittenborn. Nico is the founder of Adjacent, a venture firm that looks for what he describes as the “adjacent possible” for their next investment. Nico has zoned in on the consumer subscription market as his ideal candidate, making early investments in Calm App, Photoroom, and Oura Ring. Nico does virtually all steps of the investing process on his own as he believes this allows him to be as close to finding the truth as possible. We discuss sharpening your intuition, evaluating the subscription business model, and exploring the adjacent possible. Please enjoy this conversation with Nico Wittenborn.  Listen to Founders Podcast For the full show notes, transcript, and links to mentioned content, check out the episode page here. ----- This episode is brought to you by Tegus, the only investment research platform built for the investor. With traditional research vendors, the diligence process is slow, fragmented, and expensive. That leaves investors competing on how well they can aggregate data — not on their unique ability to analyze insights and make great investment decisions. Tegus offers an end-to-end platform with all the data you need to get up to speed on a company or market: up-to-the-minute financials, customizable models, management and culture checks, and, of course, our vast and growing library of expert call transcripts. Tegus is changing the world of expert research. Learn more and get your free trial at tegus.com/patrick. ----- Invest Like the Best is a property of Colossus, LLC. For more episodes of Invest Like the Best, visit joincolossus.com/episodes.  Past guests include Tobi Lutke, Kevin Systrom, Mike Krieger, John Collison, Kat Cole, Marc Andreessen, Matthew Ball, Bill Gurley, Anu Hariharan, Ben Thompson, and many more. Stay up to date on all our podcasts by signing up to Colossus Weekly, our quick dive every Sunday highlighting the top business and investing concepts from our podcasts and the best of what we read that week. Sign up here. Follow us on Twitter: @patrick_oshag | @JoinColossus Editing and post-production work for this episode was provided by The Podcast Consultant (https://thepodcastconsultant.com). Show Notes: (00:00:00) Welcome to Invest Like the Best (00:03:30) Intuition in Investment Decisions (00:05:08) The Philosophy of Adjacency in Venture Capital (00:12:51) Exploring Consumer Subscription Models (00:18:16) Common Mistakes In Subscription Pricing (00:22:41) Errors in Product Roll-Out Strategy (00:28:50) The Sucess of BirdBuddy (00:33:45) What It Means To Be a Great Product (00:38:21) Solo Investing vs. Being Part of a Big Firm (00:43:12) Building On Your Own Experience As a Founder (00:44:49) The Rise of Individual Investors and Their Impact (00:50:52) The Strategic Advantage of Staying Small in Venture Capital (00:52:02) Deep Dive into Founder Questions and Consumer Subscription Insights (00:54:09) Leveraging AI and Technological Advances for Growth (00:59:13) Exploring Future Investments and Market Opportunities (01:05:13) Areas to Explore On The Value Curve For Consumer Subscription  (01:12:32) Advice For Those Interest In Nico’s Path  (01:20:10) The Kindest Thing Anyone Has Ever Done for Nico

    Related Episodes

    Bonus: How to Use the 2023 Housing Correction to Get RICH with Real Estate

    Bonus: How to Use the 2023 Housing Correction to Get RICH with Real Estate
    The 2023 housing correction could be the PERFECT time to invest in real estate. Don’t believe us? Maybe you’ll be more convinced by Dave Meyer, VP of Data and Analytics at BiggerPockets and real estate investor who got his start right after the 2008 housing market crash. For a fresh-out-of-college Dave, this was one of the scariest purchases he could have ever made. Right off of the Great Recession, no one knew which way the housing market would head, but because Dave took an educated, data-backed risk, he’s been rewarded handsomely with passive income. And if you’re like most new real estate investors, you want to find financial freedom and spend more time doing what you love while building wealth in the background. Now, with skittish sellers and high mortgage rates scaring away many would-be-homebuyers, you can pick up real estate deals that could propel your wealth forward for years to come. And in this webinar, Dave will show you EXACTLY how to find, analyze, and finance your real estate deals. He’ll also dive deep into the data behind today’s housing market and prove why now may be one of the BEST times to buy real estate in years. Now is YOUR time to start building wealth. Don’t sit on the sidelines while others are reaching financial freedom. Become a BiggerPockets Pro member and get access to exclusive rental property calculators, lease templates, property management software, and access to bootcamps that will take your knowledge to the next level. Sign up for BiggerPockets Pro and use code “INVEST23” for 20% off and a special gift from Dave!  In This Episode We Cover: How to find financial freedom in ANY housing market (even in 2023!) The housing market correction that could be a BIG OPPORTUNITY for buyers Whether or not buying in today’s housing market is a smart move to make Mortgage rate fears and how to combat a high monthly payment with seller concessions Strategies that work in today’s real estate market and the five ways to profit with real estate How to analyze a rental property investment with the BiggerPockets calculators And So Much More! Links from the Show Find an Investor-Friendly Real Estate Agent BiggerPockets Youtube Channel BiggerPockets Forums BiggerPockets Pro Membership BiggerPockets Bookstore BiggerPockets Bootcamps BiggerPockets Podcast BiggerPockets Merch BPCON2023 Listen to All Your Favorite BiggerPockets Podcasts in One Place Learn About Real Estate, The Housing Market, and Money Management with The BiggerPockets Podcasts Get More Deals Done with The BiggerPockets Investing Tools Find a BiggerPockets Real Estate Meetup in Your Area Dave's BiggerPockets Profile Dave's Instagram Hear Dave on the “On the Market” Podcast Subscribe to the “On The Market” YouTube Channel BiggerPockets Rental Property Calculator Estimate Rent Easily with the BiggerPockets Rent Estimator Join BiggerPockets Pro and Use Code “INVEST23” for 20% off and a special gift from Dave Books Mentioned in the Show Real Estate by Numbers by Dave Meyer and J Scott Click here to listen to the full episode: https://www.biggerpockets.com/blog/real-estate-bonus-housing-crash Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

    How Much Should You REALLY Pay Your Managers - Assisted Living Investing - Ep 32

    How Much Should You REALLY Pay Your Managers - Assisted Living Investing - Ep 32

    In this episode, Brett talks about how much you should pay your managers for your Assisted Living. Brett operates his Memory Care Mansion with the Two Manager System. This ensures that he never has to come into his Assisted Living to cover for someone because he knows that he’ll always have a manager there. This system is only possible with his 16-bed Memory Care Mansion because if you operate a small RAL, you won’t make enough money to have two managers, let alone a single manager.

    Brett pays a lot to have good managers because of his objectives. Brett wants to never be bothered with the drama of his home, have the best care and amenities in his city, only work a couple of hours a week, and have his managers run every operational step that goes into keeping his home running smoothly. Watch this episode to learn the best way to find, or promote, these managers and how to know what is too much to pay for a manager and what’s too little to pay for a manager depending on their experience!

    #Investing #RealEstate #AssistedLivingInvesting

    Follow me:
    Facebook: https://www.facebook.com/brett.chotkevys
    Youtube: https://www.youtube.com/@Brettchotkevys1
    Check out some FREE Resources HERE: https://www.PALM.University

    Assisted living investing, Residential Assisted Living, small facilities, passive income, myth debunking, challenges, limitations, active involvement, owner-operators, staffing, emergencies, quality care, scalable business model, 16-bed luxury memory care mansion, informed decisions, behind-the-scenes insights, thriving niche, One and Done, Financial Freedom, Active Income, Making a Difference, Long-Term Exit Strategy, Real Estate, Retirement Planning, Memory Care Mansion, Investment Opportunities.

    Intro Music by Alex_Kizenkov via Pixabay

    From Dreams to Reality: Lamborghinis and Financial Freedom with guest Nebo Bandovic

    From Dreams to Reality: Lamborghinis and Financial Freedom with guest Nebo Bandovic

    Join us in this insightful episode as we explore the world of real estate investing through the unique perspective of first-generation Americans. Our special guest Nebo Bandovic is sharing his inspiring journey of achieving success in the real estate industry while navigating the challenges and opportunities that come with being first-generation immigrant.

    In this episode, you'll discover:

    The powerful stories of resilience and determination that drive these real estate investors.

    Practical tips and strategies for anyone interested in starting their real estate investment journey.

    How cultural backgrounds and values infulence their approach to real estate investing.

    The importance of building a diverse and inclusive real estate community.

    Whether you're a seasoned investor or just beggining to explore the world or real estate, this episode offers valuable insights and motivation. Don't miss the opportunity to learn from our exceptional guest and gain a deeper understanding of the intersection of real estate and first-generation American experiences.

    671: Will the “Silver Tsunami” Flood You with Cash Flow? w/Isabelle Guarino-Smith

    671: Will the “Silver Tsunami” Flood You with Cash Flow? w/Isabelle Guarino-Smith
    Assisted living investing isn't your typical type of rental property investing. When someone thinks “I want to get rich in real estate,” they’re often not considering setting up a home for seniors, those in medical decline, or medical patients. Investors almost prematurely dismiss any idea of RAL homes (residential assisted living) if they have no medical background and no personal need to do it themselves. This can become a costly mistake, especially when the evidence adds up on why assisted living could be the most recession-proof real estate investment out there. Isabelle Guarino-Smith is one of the investors that decided to go down this path. Without any medical experience of her own, she led her family business to become a successful assisted living brand throughout the state of Arizona. When her grandmother needed care many states away, Isabelle’s father realized that building not only a better facility, but a more profitable portfolio, was a smart move to make. And this risk has paid off significantly, as Isabelle now takes home a five-figure monthly cash flow from each of these properties. She knows that the “silver tsunami” is coming in quickly and that capitalizing on this niche now could mean even great profits in the future. But, this isn’t all about the money for Isabelle and her team. She’s seen how much better care seniors can get in smaller facilities and that this type of investment doesn’t just pay itself back in profits, but in knowing that you’re making a difference in the lives of those who need it most. In This Episode We Cover: How to transition from residential real estate investor to assisted living specialist  The three types of senior housing facilities and the only one worth investing in The “silver tsunami” that’s on the way and how to capitalize on it before it’s too late Financing options for assisted living investments and how to raise capital Renovation tips, common costs, and how much you can expect to make on your first facility And So Much More! Links from the Show BiggerPockets Youtube Channel BiggerPockets Forums BiggerPockets Pro Membership BiggerPockets Bookstore BiggerPockets Bootcamps BiggerPockets Podcast Get Your Ticket for BPCon 2022 Listen to All Your Favorite BiggerPockets Podcasts in One Place Learn About Real Estate, The Housing Market, and Money Management with The BiggerPockets Podcasts Get More Deals Done with The BiggerPockets Investing Tools Find a BiggerPockets Real Estate Meetup in Your Area David's BiggerPockets Profile David's Instagram Dave's BiggerPockets Profile Dave's Instagram Rob's BiggerPockets Profile Rob's Youtube Rob's Instagram Rob's TikTok Rob's Twitter Here’s Why You Should Consider Investing in Senior Living Should You Invest In Senior Housing (And Is Now the Right Time)? Genworth’s Cost of Care Survey Books Mentioned in the Show: Rich Dad Poor Dad by Robert Kiyosaki The Pumpkin Plan by Mike Michalowicz The 5am Club by Robin Sharma Connect with Isabelle: Isabelle’s Website Click here to check the full show notes: https://www.biggerpockets.com/blog/real-estate-671 Interested in learning more about today’s sponsors or becoming a BiggerPockets partner yourself? Check out our sponsor page! Learn more about your ad choices. Visit megaphone.fm/adchoices

    608: The “Golden Trio” Every Real Estate Investor MUST Have to Truly Profit First w/David Richter

    608: The “Golden Trio” Every Real Estate Investor MUST Have to Truly Profit First w/David Richter
    The Profit First system was revolutionary when introduced by Mike Michalowicz. In simple terms, Profit First allowed small business owners to take home bigger paychecks, reinvest in their business, and scale with ease, oftentimes while doing even less. The age-old adage of “do more work, make more money” was turned on its head by simple accounting practices. In reality, the business owners who were doing the most work were making the least, while business owners who truly knew their numbers worked less, made more, and had more money to invest. After reading Profit First, David Richter knew that this same system could be applied to real estate investing. David grew a rental portfolio himself by learning from a local mentor. This mentor had a growing team, a scaling business, but was making less and less with every deal done. As David investigated more real estate investors’ businesses, he found that this wasn’t an isolated case. Most investors were making low wages, working far more than at the jobs they had quit, and had inflated businesses, to say the least. With some simple accounting practices, which David describes in this episode, real estate investors can turn their business into Profit First powerhouses using very simple steps. If you’ve been feeling burnout from a barrage of deals, but aren’t seeing the profit you’ve worked so hard for, you’ll want to pick up David’s new book, Profit First for Real Estate Investing! In This Episode We Cover The Profit First formula and why most real estate investors calculate profit all wrong The biggest mistake that real estate rookies make when starting their businesses  Why more deals doesn’t automatically equal more money in real estate The rockstar team member that can make or break your business The “golden trio” of accounts that every investor should have set up Redefining the “pay yourself first” method of making money  And So Much More! Links from the Show BiggerPockets Youtube Channel BiggerPockets Forums BiggerPockets Pro Membership BiggerPockets Bookstore BiggerPockets Bootcamps BiggerPockets Podcast Grab Your Tickets for BPCon 2022 Invest in David and Rob’s Next Property David’s YouTube Channel David’s Free Giveaway for BiggerPockets Listeners Our Interview with “Profit First” Author, Mike Michalowicz Books Mentioned in the Show: Profit First for Real Estate Investing by David Richter Lifeonaire by Steve Cook Rich Dad Poor Dad by Robert Kiyosaki Profit First by Mike Michalowicz The Road Less Stupid by Keith J. Cunningham The Book on Rental Property Investing by Brandon Turner The Book on Managing Rental Properties by Brandon Turner Connect with David: David’s Instagram David’s BiggerPockets Profile Connect with Rob: Rob’s Youtube Rob’s Instagram Rob’s TikTok Rob’s Twitter Rob’s BiggerPockets Profile Connect with David Richter: Simple CFO Solutions Click here to check the full show notes: https://www.biggerpockets.com/blog/real-estate-608 Learn more about your ad choices. Visit megaphone.fm/adchoices