April 10, 2025 • 36 mins
How can gym owners achieve financial freedom and retire comfortably? Traditional retirement plans are not always the best answer for gym owners, and relying solely on gym income can be risky.
To tackle this question, Chris Cooper sits down with Joey Mure from “Wealth Without Wall Street,” a podcast and online community designed to educate people on how money truly works.
Chris and Joey discuss how gym owners can become financially independent, invest wisely and build wealth beyond their gyms.
Joey introduces alternative wealth-building strategies such as syndication, land flipping and infinite banking. He also breaks down legal ways to minimize what you owe in taxes and keep more of your hard-earned money working for you.
Gym owners, it’s time to start planning for your financial future—tune in to hear how.
Use the link below to access free resources and take the financial freedom quiz.
Links
Free Resources
Gym Owners United
Book a Call
05:24 - Where to invest your money
12:45 - Passive income from your business
19:05 - Small ways to get started
22:29 - How syndication works
25:28 - Infinite banking breakdown
32:41 - Free resources for listeners
Mark as Played
Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:02):
Hey, I am Cooper and this is the Run a Profitable
Gym podcast. Today I'm talkingwith Joey Muray from Wealth
Without Wall Street. A lot ofpeople who listen to this
podcast also listen to theWealth Without Wall Street
podcast. And so it's a realhonor to have Joey on the show.
Today we're gonna be talkingabout the number one thing that
I think Jim orders really needto be thinking about more, and
that is, how are they evergonna retire? How are they
(00:23):
gonna achieve financialfreedom? Most of us, when we
started , Jim , we're happy tohave bought ourselves a job
that we'd really love and, andwe're almost, we feel guilty
for thinking beyond that. Like,what if this could pay me as
much as I need? And a littlebit more? What if it could pay
me enough to pay for myretirement? What if I could
actually become wealthy doingthis? It seems like too much to
ask because we love our jobs somuch, we're dedicated to
(00:46):
service, but yet we also knowthat we have to take care of
our families and take care ofourselves long term . Today
we're gonna be talking withJoey about exactly how you
would go about doing that, andI'm gonna be sharing some tips
from my book, millionaire GymOwner two. Joey, welcome to run
a profitable Gym .
Speaker 2 (01:01):
Oh man. So glad to be on today.
Speaker 1 (01:03):
Yeah. Anybody who you know for them who haven't
heard your podcast, and youknow, I think the majority of
listeners to this podcast alsolisten to Wealth Without Wall
Street, but can you just maybeshare a little bit of a mission
of Wealth Without Wall Street
Speaker 2 (01:14):
And Chris, we exist to help people who want to
become financially free, getthere faster, and we do that
through helping people tofigure out how to set up their
own personal cash flow systemto invest in passive income
assets and become a betterinvestor. Once you can do that,
and freedom is on the otherside.
Speaker 1 (01:35):
That's awesome. So the listeners to this podcast
are all entrepreneurs.
Everybody understands, youknow, basically it's up to them
to be able to create wealth,create a business, but we all
love our jobs. I mean, and Ithink we might be unique in
that, that everybody that ownsa gym loves their job, and
sometimes we feel a little bitguilty about wanting more, you
know, we, we even feel a littlebit guilty about talking about
(01:56):
that, that p word profit ,Joey, like, can you put this in
context for us? Like, why do weneed to start caring about this
stuff almost from the day weopen our gym?
Speaker 2 (02:06):
Well, I think it, it boils down to you , first of
all, you have to want it. So toyour point, Chris, I mean,
there's some people that aremaking enough in their gym to
where it is paying for theirlifestyle. They enjoy the time
that they're, they're giving toit. It's not too much, it's not
too little, it's just that kindof, that right place. But I
don't necessarily think thatthat person has to begin
(02:29):
thinking about financialfreedom. The only reason that I
would say is like, as you , asyou grow, so like we've talked
to tons and tons of yourstudents and, and they are
getting better every singleyear. So the profit has to go
somewhere. And at that pointthen it becomes, okay, well if
(02:50):
I'm going to continue to expandand I'm gonna continue to grow
and and level up myself, mymoney has to level up, right?
And also think about this, ifwhat I'm doing today is not
sustainable forever, then mymoney has to start making its
own. It has to go to work too.
(03:10):
Like, I can go to work today,but there may be something down
the road that prevents me frombeing able to work at the same
level or in the same intensity.
And my money has to be workingjust as hard as me to be able
to help offset that. So there'sa either a defensive or an
offensive way that I thinkpeople need to start thinking
about this subject.
Speaker 1 (03:31):
I think for me it was more the defensive, you
know, okay, I'm making justenough. We're scraping by, but
I can't keep doing this untilI'm 80 years old. And so I need
to start making a plan now. Andwhen I started looking around
at that point, and you know,this was 2008, I really
couldn't figure it out. And soI started with Rich Dad, poor
dad. But what we're gonna betalking about today are a bunch
(03:52):
of different options thatreally didn't exist for me back
then, or I didn't know aboutthem. And that's why I wanna
present them to gym owners nowso that they can start thinking
about this stuff before it's 10years after they should be.
Speaker 2 (04:04):
Oh , I love that.
And, and I love the fact thatyou are recognizing, I mean ,
like most entrepreneurs, a lotof the Wall Street type of
products, or even in your lakeof the woods, the Bay Street
products that are out there,they don't they don't
line up with entrepreneurs,right? Because they require you
(04:25):
to put money into them and nottouch them until you're in your
sixties or seventies. And it'slike, well, wait a minute, I'm
used to cashflow today. I'mused to putting money in effort
in and getting more money backright into my business. Well ,
what other things could I bedoing with my money outside of
my business that could gimmethat same level of like profit
(04:48):
or that same level of immediatecash flow ? 'cause that's,
that's what pays the bills,right? , it's not hope
and deferring, it's today. Howdo I get cash flow today?
Speaker 1 (05:00):
Okay. And we're gonna get into those
specifically. There's one morecategory of gym owner that I
want to make sure that weaddress here. And these are the
people whose gym areprofitable, but they're leaving
too much money in theirbusiness because they don't
really know what else to dowith it. And so they're
subjecting themselves to overtaxation. Let's face it, like
if it's in the business, I'mgonna be shopping on the rogue
(05:21):
barbell website with it, youknow, it's kind of burning a
hole in my pocket. What shouldthese people be doing with
their money? And we're gonna ,we're gonna address this, but
first Joey, like, what are thedifferent options that are
available to us?
Speaker 2 (05:32):
Well, I'll tell you this, the, the , you you just
gave me the bit of bait thatmost people just jump on and
they just wanna tell you allthe cool things that they're
investing in. And I wanna getto that. But I wanna back up
one second and answer yourquestion two ways. The, the
first is, what does that gymowner do that's got money just
(05:52):
built into their businessthat's burning a hole in their
pocket? One, they have toinvest in themselves to become
a better investor. Because toyour point, the reason why we
leave so much money in ourbusinesses is there's lots of
different reasons. But one ofthem in particular is, to your
point, I don't know what elseto do with it. I, it, it seems
(06:13):
risky to start investing insomething else. And I love what
you shared with me about yourstory on another time we talked
is you, you just immediatelysaid, what do I know? And I
bought the building that my gymwas in so that I could have
that as a recurring revenuestream. Again, that's a great
application for that personyou're talking about is start
(06:34):
with something that you know,but don't stop there. Right?
Start investing in coaching.
Why do people see benefits fromyour program? Because they
stopped and they said, I don'tknow everything that there is
about running a profitable gym. And so I'm gonna invest in
myself by taking this on. Andwhat happens results? Well ,
(06:55):
the same is true with becomingan investor. Nobody goes out
and becomes a land investorovernight where they're
flipping and making 72% yieldon every pro property that they
buy and sell. But it can bedone very simply if you just
stop and invest in yourself.
And then the second way I wasanswering this question is you
(07:16):
say , what all places couldpeople invest in? Well, the
first thing is you have to knowwhat sort of investor you are.
And, and so one of the thingsthat we learned, this is Russ
and I, after building 50,000 amonth in passive income, we
look backwards and we said,okay, what did we do? Well,
what did we not do well? Howcan we compress time for other
(07:39):
people so that they can get tothis result a lot faster? And
one of them was, we started torecognize there's certain
investments that line up withour personality that may not
resonate with you, Chris, theymay not resonate with that next
gym owner who's listening. Uh ,but there's some things that
would really resonate well withyou or that gym owner that
(08:00):
don't with us. And it's reasonlike God's creating us to see
the world differently. He'sgiven us resources, he's given
us experiences. And thosethings have to be factored into
what you invest in when mostpeople just chase what's the
ROI ? What's the, what's the ,uh, the investment that I'm
going to put it in, that'sgonna give you the most money
back? And they're notconsidering that they are more
(08:24):
important than the investmentitself. 'cause if you disagree
or you misalign, it willactually take years off of your
financial freedom journey. Andwe wanna make sure that those
align from day one.
Speaker 1 (08:37):
You remind me of, you know, my stock advisor is
sending me an email everysingle day saying, you need to
be buying into Eli Lilly, themakers of Ozempic, and I just
cannot do it. You know, so ,uh, that , you know, that's a
simple example. But let's talkabout where we start, Joey.
Like where does the journeybegin?
Speaker 2 (08:53):
The first thing I would tell you is what, what
happened for us is a differentmindset. And it came into what
does everybody around you inthe world, they, they try to
get you to put their your moneyaway for a long period of time
and hope that it's like this aaccumulation strategy. Well, if
I just take this money now andI put it over here, it gets a
(09:16):
little bit of interest and thenI roll that into the next thing
, it gets a little interest andit keeps building until quote
unquote retirement. And now Ican start peeling off dollars
off the top and hope it doesn'trun out before I die. Right?
So, so first of all, thatstrategy is flawed , uh, in
very , in a lot of differentways. But the, the one one I'll
(09:38):
just point to is nothing elsein your life works that way,
right? You have to have cashflow to pay the bills. So we
want to , the , the differencemaker is the way you think
about financial freedom has tobe when your passive income
exceeds your monthly expenses.
If you just literally stop andthink for a second, the
(10:00):
financial world wants you toactually think it's way more
complex than that. Oh, you'renot smart enough. You know ,
Chris, you should be, you know,thinking about your portfolio
analysis and they throw out allthese big words and these big
things, diversification andthis, and you're like, well, I
guess this guy knows what he'sdoing. He's smarter , he's done
schooling for this or that orwhatever. But the reality is,
(10:24):
if I give you the scorecard andhow many people , uh, gym
owners we're competitive,right? Like you, you want to
get in there. You know, if Ican have the score, I know how
to win. Well, here I'm givingyou the score . If your passive
income, the things that yourmoney goes to work for, that
comes back to you in cash flowproduces more than what your
(10:45):
monthly expenses are everymonth, you are completely free.
Right? Think about that. If Ihave $10,000 a month coming in,
in passive income and I have$9,000 a month in monthly
expenses, mortgage, creditcards, you know , uh, taxes,
whatever the case is, I do nothave to show up on anybody
(11:06):
else's schedule tomorrow. Ionly look at my calendar and I
decide what goes on it . Yourgym would not require you to be
present if that, if it waspassively coming in and your
expenses were less than it was.
This is the freedom score. Andif we can do that, that's a
mindset shift, but it's also asimplicity thing. 'cause now I
(11:28):
can start making decisions withwhat my money's doing to, to
play into that scorecard. So nolonger is someone said , Hey
man, you know, you put moneyinto this , uh, this real
estate deal in , you know, in ,in 10 years it may return , uh,
you know , a hundred thousanddollars more. Well, okay, does
that produce a passive incomefor me today? No. Does it
(11:52):
reduce a monthly expense? No,I'm out, I'm not doing that
deal. I don't care how cool itmay sound or like, you know ,
might get some status from itor whatever. It's, I'm keeping
score differently so I can makedecisions differently.
Speaker 1 (12:06):
That makes sense.
And , and honestly, Joey, likehaving parents who are retired,
I can see this mindset ofscarcity that's, that's present
from this way of thinking. Youknow, they start at age 20,
they're buying mutual funds andstocks according to their
financial person after they'veretired. They're, you know,
very, very, very careful withthe money because they don't
(12:26):
wanna draw down too much andthen they wind up passing away
with like a whole bunch ofmoney left over . It makes no
sense. , what you've,what you've just said makes a
ton of sense. I mean, when yourpassive income exceeds your
expenses, then you're free .
Makes, makes sense. And I thinkentrepreneurs have already
taken a massive first steptoward that.
Speaker 2 (12:44):
Oh, there's no doubt your business could be the
greatest asset that becomespassive for you. I mean, you've
already put the blood, sweatand tears into it didn't even
potentially take a lot of cashto get started, but it took a
lot of blood. You put a lot ofsweat equity into that deal.
But as you be , as you levelup, like within your course, in
(13:06):
your, your programs, Chrispeople, the people we're
talking to, they've leveled up,right? They, they didn't start,
they're not where they startedwith you. And now they've
become to a point where they'relike starting to think way
differently about, man , maybethere's key people I could put
into place in my gym that wouldallow me to open up a second or
(13:27):
third gym, and now I can nolonger be the guy that's
greeting you at the door, who's, uh, selling you your
membership, who's doingpersonal training, who's doing
all the things. You're nolonger the technician. You're
the business owner and thebusiness owner, as Robert
Kiyosaki, you , you pointed outhim out earlier, he talks about
(13:48):
that's where the, the wealth isbuilt, is in the, in the third
and fourth quadrants, right?
The business owner and theinvestor quadrant, not the
employee or the self-employed.
We wanna get to that beatquadrant. And your program is
getting people to that point.
So now their biggest asset ispassive. And that's, that's
(14:09):
huge. But they can't end therebecause if you're creating more
and more profit, it's gotta gosomewhere. And that's where you
have to become that investor.
Speaker 1 (14:16):
That's awesome, man.
Okay, Joey, we're dying to knowwhere it should go..
Speaker 2 (14:21):
Well, if you're, if you're with me so far, you're
like, okay, I'm with you.
Wealth without Wall Street, Idon't want someone else , uh, I
don't wanna abdicate that tosomebody else. I'm smart
enough, I can do this. Thenit's like, man, get your
investor DNA and then start tofilter down to one of these.
Okay? So one of my favoritethings for people is something
that we started in 2020 is theland flipping or land
(14:46):
investment business, okay?
Where we go out and, and thisis our team. We hired a team
that does this, but they go outand they buy , uh, raw pieces
of real estate from owners thatare absentee. So for instance,
I may be buying a piece ofproperty in Texas, but the
owner is in Nebraska, okay?
(15:08):
They don't, they don't livethere. They don't live nearby.
They may have inherited it andthey're presently behind on
their taxes. So what does thattell me? It tells me they're
not present and they reallydon't care that much because
the taxes are behind or theycan't afford it. So that's like
the perfect opportunity. It'slike, Chris, if I walked up to
(15:29):
you at your house and I lookedin your garage and I said, man,
what , how much would you takefor that weed eater over there?
And you're like, I haven't eventouched that weed eater in 10
years. It's just been hangingthere because I don't, I don't
do anything with it. I'm belike, I'll give you 10 bucks.
You're like, sold. Well, thatthing may be worth a hundred
bucks, but you don't care atthat point. 'cause you're like,
(15:51):
I'm not motivated, I'm notinterested. That's just like
the, the buy the sellers of theland that we buy, they'll sell
it to us for 20 to 30 cents onthe dollar because they're ,
they kind of meet thatcriteria. Well then our team
takes that, that property, theyput it on land.com , they put
it on Land Moto , they put iton all these , uh, Facebook
(16:12):
marketplace, Craigslist, andthey list it for sale on terms,
okay, so give you an example. Ibuy a piece of property for
$2,000 and I sell it for 10,000on terms, which is, you know, a
thousand a month, or excuse me,a hundred dollars a month for a
hundred months or whatever thecase. Like, we just do the math
(16:34):
we own or finance it. So itmakes it very possible for that
person to then buy theproperty. There's no, there's
very little, you know, barrierto entry. But now we've, you
know, like I said, five Xed ourinvestment because we've, we've
made this whole transactionhappen. We do that over and
over and over. We build a , amassive loan portfolio. And
(16:57):
that one business right now isyielding almost 35,000 a month.
So I'm, I'm a big fan of landflipping. If, if that interests
people, they wanna go even morepassive. Chris, there's all
sorts of syndications, right?
Things like apartment , uh,complexes that you can get into
syndications with otherinvestors and buy into, be
(17:18):
hands off and then they pay youcashflow for the use of your
money. Those are applicable inapartments, mobile home parks ,
um, storage units, like allsorts of real estate
syndications exist. And we'vegot our hands in some of those.
Um, I would say most of thethings that we get interested
(17:38):
in are business relatedbecause, and I think most
entrepreneurs are kind of arewith us on that because they
like to be in an advisory rolebecause they take some of the
experience they've had in thisone business, they can apply it
to another as long as they'renot the operator, the
technician involved.
Speaker 1 (17:56):
So, so how does that work, Joey? Can you give us an
example of that last one?
Speaker 2 (17:59):
Yeah, so , um, we started a short-term rental
business in 2020 as well. Andum, what that was is we
installed an operator and wesaid, Hey, this is the type of
model that we want to do. Goout and find this type of unit.
We're going to, in our case, werented apartments or homes, and
(18:21):
then we turned around andfurnished them and then put
them on Airbnb or VRBO . And wemade the arbitrage the
difference between the rentalpayment and what we could get
on a short term like nightlybasis. And, and that, that was
paying us , um, almost $200,000a year at its peak. And then we
sold that business , uh, oncewe had like 27 units to our
(18:46):
operator , uh, a little over ayear ago. But that to me was
something we really enjoyedbecause we were just the owner.
We had an operator that wasdoing all the day to day , and
so we could be hands off butstill be involved. And so
that's another example ofpeople , uh, from our
community, they're doing stufflike that as well.
Speaker 1 (19:05):
Let's talk about bridging that gap. The first
time when I read Rich Dad, poorDad, I realized, okay, Chris,
you should buy a building. Theloan payment's gonna be both of
what you're paying in rentanyway. But still, I had to
have this down payment and ittook me about two and a half
years to save up. I think I hadto have $70,000 , uh, to get
the building going. Are therelike smaller gaps that, that
(19:28):
people can cross or are thereeasier ways to start than that?
Speaker 2 (19:31):
Uh , in terms of just rather than having a large
down payment? Is that whatyou're asking? Yeah.
Speaker 1 (19:35):
Or you know, I've got $10,000 or I've got
$20,000. How do I get started?
What's the first thing I shouldlook at?
Speaker 2 (19:41):
Oh, man. Well, again, I, I hate to be like
that guy. That's, I'm nottrying to be ambiguous, but the
type of person's gonna dictatethis. But we have people , um,
like for instance, they may getinto that land business as a
way to build capital becauseyou can get into properties
for, you know, 500 to athousand dollars and then turn
(20:01):
them into four times that interms of revenue, that's a,
that's a low barrier of entryto get into. Uh , we have other
people , um, I just recentlybought three content websites
that are affiliate branding,kind of like websites. They
were already making money. Ijust bought them and then
essentially swapped outthe bank account behind it and,
(20:25):
and then started to look forways to improve it. And , um,
you know, just as an example,one of 'em I bought was 16,000
and it has , it has yieldedalmost 10,000 in terms of
return within the first 11months. That to me is a really
high , uh, rate of return. It'svery hands off . There's,
(20:47):
there's multiple people you canhire to run those. And , um,
and like I said, low barrier ofentry in terms of the amount
required upfront to get into.
The other thing I would say issometimes it's just private
loans. One time I did a privateloan to somebody who had a car
that was worth about $20,000and he just needed a short term
(21:09):
loan, and it was only 10 grandhe wanted, well, I I used to be
in the mortgage business and Ilooked at the collateral and I
was like, Hey, it's a nice car.
It's worth a lot more than whathe wants to, to lend. I can be
added to the insurance of hiscar so that if it got totaled,
I get paid. And that thingyielded me almost 27% over the
(21:31):
course of a year now because Iused , uh, my infinite banking
system, which , uh, you know, Iknow Chris, you and I have
talked about that before, itactually yielded a lot more of
return because I used leverage,but that was one of my favorite
things I ever did. It was onlya $10,000 entry to get
involved. And , and people arealways looking for capital.
Speaker 1 (21:53):
Okay. So , uh, you know, to recap, I think one of
the most important points hereis that you're taking the cash
that you have and you'reinvestigating in something
that's gonna keep paying youfor a very long time. And
that's, that's the principlethat I didn't understand years
ago. But you know, what Joey'stalking about with these
websites, et cetera, and , andthe loans is they're gonna wind
up paying him back way morethan his initial investment. I
(22:15):
think when people watch thesehome reno or flip shows, they
think, okay, well I'm gonna puta hundred thousand dollars into
this rundown house. I'm gonnafix it, which I don't know how
to do, and then I'm gonna sellit for way more, which I don't
know how to do. And , you know,but that's not it. Right? So
maybe just kind of touch on howa syndication works and then
we're gonna come to InfiniteBanking after that.
Speaker 2 (22:34):
Sure. So syndications are very hands off
and think about it as , uh,let's say I'm buying an
apartment complex and there's agroup of us investors, there's
first of all a group thatoperates the investment. They
know how to, how to find theproperties that need a little
bit of work. They already havecash flow involved, but they
(22:55):
see an opportunity to forceimprovement to that property.
Okay? So an example might be,hey, this is a hundred unit
apartment complex and it hasn'tbeen updated, or the, the units
haven't been renovated. So theaverage rent is $600 a month
for each one of these units.
(23:16):
But if I can renovate them overa period of the next 24 months,
I can force the rents to gofrom 600 to $800 a month. Well,
the way an apartment complexworks is it's valued off of its
net operating income, theamount of income that it's
producing. So if I can force itfrom 600 to 800 per unit, that
(23:38):
just increased the valuation ofthat property by a significant
amount. And so then I couldsell that property 2, 3, 4
years later for a massivereturn or massive profit. Well,
in a good syndication, and Iwill tell you, make sure you do
your due diligence, becausethat's the hard part about
syndications. Do your duediligence on the front end, but
(24:00):
in a good one, you're able toget cash cashflow today every
single month, and a largeequity percent at the end. So
think about it as in a , abusiness, you are building it
and you're getting cashflowtoday, but you decide to sell
it, let's say five years fromnow. All of a sudden that value
has gone like this and you geta big chunk at the end. That's
(24:23):
how a syndication that's runproperly. Um , really helps you
to, to, you know, be hands off, but to make sure you're
getting the passive income.
Speaker 1 (24:32):
Where do people find these syndications and like
what is the, the barrier toentry? Is it 50,000, a hundred
thousand, 10,000?
Speaker 2 (24:38):
Yeah, that, I would say that that's some of the
challenges is number one, yougotta find the right operators,
people who have a long trackrecord. This comes from
networking, it comes from beingin masterminds of people who
are already doing this. Thoseare things that I would say are
like the barrier of entry. Thesecond is you have to be an
accredited investor, which in,in the US means that you make
(25:02):
200,000 or more per year onyour own, or 300,000 as a, as a
joint, like a , a , you andyour wife or you and your
spouse make more than 300,000 ayear. And so there's income
restrictions and typicallythere's a 50 to a hundred
thousand minimum before theywould allow you to be a part of
(25:23):
that , um, that partnership. Sothose are the, the challenges
with syndications.
Speaker 1 (25:28):
Okay, let's talk about infinite banking. And the
, the timing on this is amazingbecause I was literally talking
to my 17-year-old last nightand I'm like, oh , Joey Mure is
coming on the podcast tomorrow.
We're gonna be talking aboutinfinite banking. Well, what's
that? So me trying to explaininfinite banking to a
17-year-old , uh, I was like,ah , maybe you should just
listen to the wealth about WallStreet Podcast. But what I'm
(25:50):
hoping is that you can explainit so that my 17-year-old would
understand it after listeningto this show.
Speaker 2 (25:56):
Well , I will , uh, that's a challenge in and of
itself. 'cause I have a16-year-old and an 18-year-old
in men . It has been achallenge. So I'm , I'm, I'm
with you. My heart goes outhere . Here's what I'll tell
you. Infinite banking is a alot, there's a lot of , uh, the
words sound difficult, but whatI'll simplify too is when
(26:18):
you're making profit in yourgym, the money has to go
somewhere. Okay? It's, it cango into checking or savings.
Those are like the only optionsthat we're going to store the
money in. Now, this is not aninvestment because investments
are the things we've alreadytalked about your business ,
um, syndications , uh, we havea vending business. Where's a ,
(26:42):
a land business? Those are theinvestments, but the cash has
to be stored somewhere beforeit goes into those investments,
right? So here's what wedecided after reading the book,
become Your Own Banker 15 yearsago, is we want the place that
we store our money to be themost, like the best
(27:04):
characteristics that we couldhave for our money. And the
author of that book, NelsonNash, who is one of our
personal mentors, we spent 10years with him before he passed
away , um, three or four yearsago. He said, quit thinking
about where to store your moneylike everybody else. He said,
think like a bank become abanker. Well, where do banks
(27:27):
store their money? And youknow, if you think about that,
you're like, well, banks havethe high , like the biggest
buildings in any city. You godown there , they're , they're
, the sky rises , right? Andyou're like, man, they must put
money in real estate becausethey take your money on deposit
and they lend it out. Andthat's their business model.
They make everything inbetween. But the reality is
(27:49):
what do they then do with theirprofit? Well, they put it not
in just real estate, that isone place, but the other place
that they put money in thesafest, they call it tier one
capital. If you look at theirbalance sheets, and I would
challenge you go to fd.gov oryour regulatory agency and look
up your bank and they'll showyou their ba their balance
(28:12):
sheet. The largest number ontheir balance sheet is in cash
value life insurance. Andyou're like, wait a minute,
I've, you're talking about likewhole life insurance. And I'm,
I'm saying yes, which I would ,I worked for Wells Fargo,
Chris, and for 11 years, andwhen I was learning this, I
(28:32):
went to all the executives ofthe bank that I worked at here
locally in Alabama. And I waslike, Hey, what do you think
about this idea? Become yourown banker, like putting money
into cash value life insuranceinto whole life insurance. And,
you know, not one of them saidit was a good place to put
money, like zero of theexecutives I talked to. And
(28:56):
then I simultaneously pulled uptheir balance sheet Wells
Fargo's balance sheet, andthey're putting $19 billion
into cash value life insurance.
And guess what? Thoseexecutives were the very people
who the bank was insuring toput that kind of money in. So
(29:18):
it was mind blowing , Chris, Iwas like, wait a minute. The
people who are being insureddon't even understand that this
is where their bank has deemedthe safest place to put money.
But the reason is theyunderstand one thing when you
put money in as a safety spotto, to put that money for
(29:38):
savings, it has to be liquidmeans I can get access to it
any time it has to be safe.
Like it's not subject tovolatility in the market or
otherwise, and it's taxefficient. These policies,
these insurance, you know,contracts that people put money
into are actually growing taxdeferred and available to
(30:01):
access tax free forgenerations. So when I, I can
use this money tax free mywhole entire life, and then
when I die, I actually leave aninheritance to my family that
is also tax free . So there'snever a tax on this money,
okay? So that's a huge thing.
And then the last thing, thisis the, the key that Nelson
(30:24):
unlocked in this becoming ownbanker. When I put money into
these policies and properlystructured, I can go to the
insurance company at any time,and this is great for your gym
owners, Chris. They say, youknow what, it is time to expand
and buy that property that ourgym's in. And they don't go to
a bank, they go to theinsurance company and they say,
(30:46):
Hey, I've got a hundredthousand in my life insurance
policy. I'd like to borrowmoney from the insurance
company to go put down on thisproperty. And guess what
happens? The hundred , they ,let's say they needed 70,000
for that down payment, ahundred thousand is still
growing on their behalf in thatpolicy because the insurance
(31:09):
company allows 'em to take aloan against it like, like an
equity line in your house. Theequity still grows, but you now
have that money at work. So theridiculous unfair advantage
about infinite banking is Ihave money growing in two
places at once. I have moneygrowing in my policy and in
(31:32):
whatever assets I've chosen toinvest in, whether it's my
business, whether it's out in aland business, whether it's in
a vending machine business,whatever we're doing, which
Russ and I have done some crazystuff and you could hear it on
our podcast, but all of it hasbeen leveraged through these
massive number of policies thatwe've built over the years
(31:54):
because of this one concept.
And without this concept, wewould not be getting invited
onto awesome shows like yoursto talk about creating 50,000 a
month in passive income. Um ,because we, we had to put this
in place first and it's madeall the difference.
Speaker 1 (32:12):
Now that's, it's interesting because , um, you
know, obviously I was talkingto my 17-year-old about setting
this up for him so that when heis done school and he wants to
be an entrepreneur, he'll beborrowing from himself instead
of going to the bank, pat inhand, can I have some money to
start this business? And whilethe rules are slightly
different in Canada, they'renot dramatically different, you
know? Right . It's a great,great plan. Now this will sound
(32:35):
is , you know, I , people arelistening to this while they're
driving and they're trying tokeep score in their head and
stuff, but is there somethingmore concrete that we can give
them? Joey, I know your teamhas made them up a dual or a
landing page or something.
Speaker 2 (32:48):
Yeah, I mean, this is something that's interesting
to you. We, we have tons offree resources. We actually
have a quiz that will show youhow close you are to financial
freedom. Uh, if you go towealth without Wall
street.com/chris Cooper , justkeep it really simple, right?
Wealth Without wallstreete.com/chris Cooper , you
(33:09):
get all access to those freeresources and we have
connection points with ourteam, our free community,
whatever you're looking for, wehave it all listed there.
Speaker 1 (33:19):
Yeah. So just to be clear listeners, like this is
not an affiliate link that, youknow, Joey gives me 25 cents
every time you go to the , thisis our, our genuine offer to
help you. Um , because I wantmore gym owners thinking about
this next level. When westarted talking years ago about
gym owners making a hundredthousand dollars a year, that
was more than double theindustry average. And a lot of
people thought that could neverhappen for me. But changing
(33:41):
that mindset is actually whatchanges the industry because
eventually people startedsaying, how can that happen for
me? And it's gonna be the samewith wealth, I think to really
make our industry grow andflourish and to put more power
into the hands of the best gymowners, we need to give them a
way to expand their, impact,their reach, create better
careers, open more locationsand stuff. And I really like
(34:04):
what Joey and Russ have donehere. So if you go to wealth
without Wall street.com/chrisCooper, thanks for the vanity
URL , um, you'll first,you'll get a little quiz, which
I think is super cool, and thenyou're gonna get some free
resources, just like you'reused to getting from Two Brain
.
Speaker 2 (34:19):
Yes. Yeah. And we're, we're always help happy
to help people along theirjourney, whatever that may look
like.
Speaker 1 (34:24):
That's great, man.
Okay. Well, the wealth of theWall Street podcast is a very
popular one, especially amongour tinkers. And if , uh, you
know, Joey and Act , Joey andRuss are actually gonna be
speaking at Tinker in Marchwhen they take a trip down to
Nashville area. So we're reallyexcited for that. But in the
meantime, if people are reallyinterested in the wealth of the
Wall Street Knowledge Banktalking to you, where should
(34:47):
they go, Joey?
Speaker 2 (34:48):
I would go right to that same , uh, page because
there's actually , um, there'semails, there's social
connections, and our communityis a free app that you can
connect with other people onthe same journey. There's over,
I think we're up to like almost9,000 people who are engaged in
this process at variousdifferent levels. Wow. And so I
(35:11):
think just like within twoBrain , you guys are
surrounding yourself with otherpeople who are like-minded, who
are trying to get to the samegoal. And your actual like
ability to get to success isdramatically increased when you
change your environment. And sothat's what , uh, we built the
community for. So it, it istotally free to join.
Speaker 1 (35:33):
Oh man, that's so great. Thank you Joey. You
know, my favorite thing aboutwealth without Wall Street,
other than you and Ross just ashumans, that's my favorite. But
my second favorite thing is,you know, the help first ethos
of we learned this thingourselves, we want to give it
to other people so that theyknow it too. And that comes
through in everything you do.
So thanks so much for beingthat way.
Speaker 2 (35:53):
Oh man. It's great to be on a show with
like-minded people, so anytime. I really appreciate
Speaker 1 (35:58):
It. Thank you.
Hey, I am Cooper and this is the Run a Profitable
Gym podcast. Today I'm talkingwith Joey Muray from Wealth
Without Wall Street. A lot ofpeople who listen to this
podcast also listen to theWealth Without Wall Street
podcast. And so it's a realhonor to have Joey on the show.
Today we're gonna be talkingabout the number one thing that
I think Jim orders really needto be thinking about more, and
that is, how are they evergonna retire? How are they
(00:23):
gonna achieve financialfreedom? Most of us, when we
started , Jim , we're happy tohave bought ourselves a job
that we'd really love and, andwe're almost, we feel guilty
for thinking beyond that. Like,what if this could pay me as
much as I need? And a littlebit more? What if it could pay
me enough to pay for myretirement? What if I could
actually become wealthy doingthis? It seems like too much to
ask because we love our jobs somuch, we're dedicated to
(00:46):
service, but yet we also knowthat we have to take care of
our families and take care ofourselves long term . Today
we're gonna be talking withJoey about exactly how you
would go about doing that, andI'm gonna be sharing some tips
from my book, millionaire GymOwner two. Joey, welcome to run
a profitable Gym .
Speaker 2 (01:01):
Oh man. So glad to be on today.
Speaker 1 (01:03):
Yeah. Anybody who you know for them who haven't
heard your podcast, and youknow, I think the majority of
listeners to this podcast alsolisten to Wealth Without Wall
Street, but can you just maybeshare a little bit of a mission
of Wealth Without Wall Street
Speaker 2 (01:14):
And Chris, we exist to help people who want to
become financially free, getthere faster, and we do that
through helping people tofigure out how to set up their
own personal cash flow systemto invest in passive income
assets and become a betterinvestor. Once you can do that,
and freedom is on the otherside.
Speaker 1 (01:35):
That's awesome. So the listeners to this podcast
are all entrepreneurs.
Everybody understands, youknow, basically it's up to them
to be able to create wealth,create a business, but we all
love our jobs. I mean, and Ithink we might be unique in
that, that everybody that ownsa gym loves their job, and
sometimes we feel a little bitguilty about wanting more, you
know, we, we even feel a littlebit guilty about talking about
(01:56):
that, that p word profit ,Joey, like, can you put this in
context for us? Like, why do weneed to start caring about this
stuff almost from the day weopen our gym?
Speaker 2 (02:06):
Well, I think it, it boils down to you , first of
all, you have to want it. So toyour point, Chris, I mean,
there's some people that aremaking enough in their gym to
where it is paying for theirlifestyle. They enjoy the time
that they're, they're giving toit. It's not too much, it's not
too little, it's just that kindof, that right place. But I
don't necessarily think thatthat person has to begin
(02:29):
thinking about financialfreedom. The only reason that I
would say is like, as you , asyou grow, so like we've talked
to tons and tons of yourstudents and, and they are
getting better every singleyear. So the profit has to go
somewhere. And at that pointthen it becomes, okay, well if
(02:50):
I'm going to continue to expandand I'm gonna continue to grow
and and level up myself, mymoney has to level up, right?
And also think about this, ifwhat I'm doing today is not
sustainable forever, then mymoney has to start making its
own. It has to go to work too.
(03:10):
Like, I can go to work today,but there may be something down
the road that prevents me frombeing able to work at the same
level or in the same intensity.
And my money has to be workingjust as hard as me to be able
to help offset that. So there'sa either a defensive or an
offensive way that I thinkpeople need to start thinking
about this subject.
Speaker 1 (03:31):
I think for me it was more the defensive, you
know, okay, I'm making justenough. We're scraping by, but
I can't keep doing this untilI'm 80 years old. And so I need
to start making a plan now. Andwhen I started looking around
at that point, and you know,this was 2008, I really
couldn't figure it out. And soI started with Rich Dad, poor
dad. But what we're gonna betalking about today are a bunch
(03:52):
of different options thatreally didn't exist for me back
then, or I didn't know aboutthem. And that's why I wanna
present them to gym owners nowso that they can start thinking
about this stuff before it's 10years after they should be.
Speaker 2 (04:04):
Oh , I love that.
And, and I love the fact thatyou are recognizing, I mean ,
like most entrepreneurs, a lotof the Wall Street type of
products, or even in your lakeof the woods, the Bay Street
products that are out there,they don't
line up with entrepreneurs,right? Because they require you
(04:25):
to put money into them and nottouch them until you're in your
sixties or seventies. And it'slike, well, wait a minute, I'm
used to cashflow today. I'mused to putting money in effort
in and getting more money backright into my business. Well ,
what other things could I bedoing with my money outside of
my business that could gimmethat same level of like profit
(04:48):
or that same level of immediatecash flow ? 'cause that's,
that's what pays the bills,right?
and deferring, it's today. Howdo I get cash flow today?
Speaker 1 (05:00):
Okay. And we're gonna get into those
specifically. There's one morecategory of gym owner that I
want to make sure that weaddress here. And these are the
people whose gym areprofitable, but they're leaving
too much money in theirbusiness because they don't
really know what else to dowith it. And so they're
subjecting themselves to overtaxation. Let's face it, like
if it's in the business, I'mgonna be shopping on the rogue
(05:21):
barbell website with it, youknow, it's kind of burning a
hole in my pocket. What shouldthese people be doing with
their money? And we're gonna ,we're gonna address this, but
first Joey, like, what are thedifferent options that are
available to us?
Speaker 2 (05:32):
Well, I'll tell you this, the, the , you you just
gave me the bit of bait thatmost people just jump on and
they just wanna tell you allthe cool things that they're
investing in. And I wanna getto that. But I wanna back up
one second and answer yourquestion two ways. The, the
first is, what does that gymowner do that's got money just
(05:52):
built into their businessthat's burning a hole in their
pocket? One, they have toinvest in themselves to become
a better investor. Because toyour point, the reason why we
leave so much money in ourbusinesses is there's lots of
different reasons. But one ofthem in particular is, to your
point, I don't know what elseto do with it. I, it, it seems
(06:13):
risky to start investing insomething else. And I love what
you shared with me about yourstory on another time we talked
is you, you just immediatelysaid, what do I know? And I
bought the building that my gymwas in so that I could have
that as a recurring revenuestream. Again, that's a great
application for that personyou're talking about is start
(06:34):
with something that you know,but don't stop there. Right?
Start investing in coaching.
Why do people see benefits fromyour program? Because they
stopped and they said, I don'tknow everything that there is
about running a profitable gym. And so I'm gonna invest in
myself by taking this on. Andwhat happens results? Well ,
(06:55):
the same is true with becomingan investor. Nobody goes out
and becomes a land investorovernight where they're
flipping and making 72% yieldon every pro property that they
buy and sell. But it can bedone very simply if you just
stop and invest in yourself.
And then the second way I wasanswering this question is you
(07:16):
say , what all places couldpeople invest in? Well, the
first thing is you have to knowwhat sort of investor you are.
And, and so one of the thingsthat we learned, this is Russ
and I, after building 50,000 amonth in passive income, we
look backwards and we said,okay, what did we do? Well,
what did we not do well? Howcan we compress time for other
(07:39):
people so that they can get tothis result a lot faster? And
one of them was, we started torecognize there's certain
investments that line up withour personality that may not
resonate with you, Chris, theymay not resonate with that next
gym owner who's listening. Uh ,but there's some things that
would really resonate well withyou or that gym owner that
(08:00):
don't with us. And it's reasonlike God's creating us to see
the world differently. He'sgiven us resources, he's given
us experiences. And thosethings have to be factored into
what you invest in when mostpeople just chase what's the
ROI ? What's the, what's the ,uh, the investment that I'm
going to put it in, that'sgonna give you the most money
back? And they're notconsidering that they are more
(08:24):
important than the investmentitself. 'cause if you disagree
or you misalign, it willactually take years off of your
financial freedom journey. Andwe wanna make sure that those
align from day one.
Speaker 1 (08:37):
You remind me of, you know, my stock advisor is
sending me an email everysingle day saying, you need to
be buying into Eli Lilly, themakers of Ozempic, and I just
cannot do it. You know, so ,uh, that , you know, that's a
simple example. But let's talkabout where we start, Joey.
Like where does the journeybegin?
Speaker 2 (08:53):
The first thing I would tell you is what, what
happened for us is a differentmindset. And it came into what
does everybody around you inthe world, they, they try to
get you to put their your moneyaway for a long period of time
and hope that it's like this aaccumulation strategy. Well, if
I just take this money now andI put it over here, it gets a
(09:16):
little bit of interest and thenI roll that into the next thing
, it gets a little interest andit keeps building until quote
unquote retirement. And now Ican start peeling off dollars
off the top and hope it doesn'trun out before I die. Right?
So, so first of all, thatstrategy is flawed , uh, in
very , in a lot of differentways. But the, the one one I'll
(09:38):
just point to is nothing elsein your life works that way,
right? You have to have cashflow to pay the bills. So we
want to , the , the differencemaker is the way you think
about financial freedom has tobe when your passive income
exceeds your monthly expenses.
If you just literally stop andthink for a second, the
(10:00):
financial world wants you toactually think it's way more
complex than that. Oh, you'renot smart enough. You know ,
Chris, you should be, you know,thinking about your portfolio
analysis and they throw out allthese big words and these big
things, diversification andthis, and you're like, well, I
guess this guy knows what he'sdoing. He's smarter , he's done
schooling for this or that orwhatever. But the reality is,
(10:24):
if I give you the scorecard andhow many people , uh, gym
owners we're competitive,right? Like you, you want to
get in there. You know, if Ican have the score, I know how
to win. Well, here I'm givingyou the score . If your passive
income, the things that yourmoney goes to work for, that
comes back to you in cash flowproduces more than what your
(10:45):
monthly expenses are everymonth, you are completely free.
Right? Think about that. If Ihave $10,000 a month coming in,
in passive income and I have$9,000 a month in monthly
expenses, mortgage, creditcards, you know , uh, taxes,
whatever the case is, I do nothave to show up on anybody
(11:06):
else's schedule tomorrow. Ionly look at my calendar and I
decide what goes on it . Yourgym would not require you to be
present if that, if it waspassively coming in and your
expenses were less than it was.
This is the freedom score. Andif we can do that, that's a
mindset shift, but it's also asimplicity thing. 'cause now I
(11:28):
can start making decisions withwhat my money's doing to, to
play into that scorecard. So nolonger is someone said , Hey
man, you know, you put moneyinto this , uh, this real
estate deal in , you know, in ,in 10 years it may return , uh,
you know , a hundred thousanddollars more. Well, okay, does
that produce a passive incomefor me today? No. Does it
(11:52):
reduce a monthly expense? No,I'm out, I'm not doing that
deal. I don't care how cool itmay sound or like, you know ,
might get some status from itor whatever. It's, I'm keeping
score differently so I can makedecisions differently.
Speaker 1 (12:06):
That makes sense.
And , and honestly, Joey, likehaving parents who are retired,
I can see this mindset ofscarcity that's, that's present
from this way of thinking. Youknow, they start at age 20,
they're buying mutual funds andstocks according to their
financial person after they'veretired. They're, you know,
very, very, very careful withthe money because they don't
(12:26):
wanna draw down too much andthen they wind up passing away
with like a whole bunch ofmoney left over . It makes no
sense.
ton of sense. I mean, when yourpassive income exceeds your
expenses, then you're free .
Makes, makes sense. And I thinkentrepreneurs have already
taken a massive first steptoward that.
Speaker 2 (12:44):
Oh, there's no doubt your business could be the
greatest asset that becomespassive for you. I mean, you've
already put the blood, sweatand tears into it didn't even
potentially take a lot of cashto get started, but it took a
lot of blood. You put a lot ofsweat equity into that deal.
But as you be , as you levelup, like within your course, in
(13:06):
your, your programs, Chrispeople, the people we're
talking to, they've leveled up,right? They, they didn't start,
they're not where they startedwith you. And now they've
become to a point where they'relike starting to think way
differently about, man , maybethere's key people I could put
into place in my gym that wouldallow me to open up a second or
(13:27):
third gym, and now I can nolonger be the guy that's
greeting you at the door, who's, uh, selling you your
membership, who's doingpersonal training, who's doing
all the things. You're nolonger the technician. You're
the business owner and thebusiness owner, as Robert
Kiyosaki, you , you pointed outhim out earlier, he talks about
(13:48):
that's where the, the wealth isbuilt, is in the, in the third
and fourth quadrants, right?
The business owner and theinvestor quadrant, not the
employee or the self-employed.
We wanna get to that beatquadrant. And your program is
getting people to that point.
So now their biggest asset ispassive. And that's, that's
(14:09):
huge. But they can't end therebecause if you're creating more
and more profit, it's gotta gosomewhere. And that's where you
have to become that investor.
Speaker 1 (14:16):
That's awesome, man.
Okay, Joey, we're dying to knowwhere it should go.
Speaker 2 (14:21):
Well, if you're, if you're with me so far, you're
like, okay, I'm with you.
Wealth without Wall Street, Idon't want someone else , uh, I
don't wanna abdicate that tosomebody else. I'm smart
enough, I can do this. Thenit's like, man, get your
investor DNA and then start tofilter down to one of these.
Okay? So one of my favoritethings for people is something
that we started in 2020 is theland flipping or land
(14:46):
investment business, okay?
Where we go out and, and thisis our team. We hired a team
that does this, but they go outand they buy , uh, raw pieces
of real estate from owners thatare absentee. So for instance,
I may be buying a piece ofproperty in Texas, but the
owner is in Nebraska, okay?
(15:08):
They don't, they don't livethere. They don't live nearby.
They may have inherited it andthey're presently behind on
their taxes. So what does thattell me? It tells me they're
not present and they reallydon't care that much because
the taxes are behind or theycan't afford it. So that's like
the perfect opportunity. It'slike, Chris, if I walked up to
(15:29):
you at your house and I lookedin your garage and I said, man,
what , how much would you takefor that weed eater over there?
And you're like, I haven't eventouched that weed eater in 10
years. It's just been hangingthere because I don't, I don't
do anything with it. I'm belike, I'll give you 10 bucks.
You're like, sold. Well, thatthing may be worth a hundred
bucks, but you don't care atthat point. 'cause you're like,
(15:51):
I'm not motivated, I'm notinterested. That's just like
the, the buy the sellers of theland that we buy, they'll sell
it to us for 20 to 30 cents onthe dollar because they're ,
they kind of meet thatcriteria. Well then our team
takes that, that property, theyput it on land.com , they put
it on Land Moto , they put iton all these , uh, Facebook
(16:12):
marketplace, Craigslist, andthey list it for sale on terms,
okay, so give you an example. Ibuy a piece of property for
$2,000 and I sell it for 10,000on terms, which is, you know, a
thousand a month, or excuse me,a hundred dollars a month for a
hundred months or whatever thecase. Like, we just do the math
(16:34):
we own or finance it. So itmakes it very possible for that
person to then buy theproperty. There's no, there's
very little, you know, barrierto entry. But now we've, you
know, like I said, five Xed ourinvestment because we've, we've
made this whole transactionhappen. We do that over and
over and over. We build a , amassive loan portfolio. And
(16:57):
that one business right now isyielding almost 35,000 a month.
So I'm, I'm a big fan of landflipping. If, if that interests
people, they wanna go even morepassive. Chris, there's all
sorts of syndications, right?
Things like apartment , uh,complexes that you can get into
syndications with otherinvestors and buy into, be
(17:18):
hands off and then they pay youcashflow for the use of your
money. Those are applicable inapartments, mobile home parks ,
um, storage units, like allsorts of real estate
syndications exist. And we'vegot our hands in some of those.
Um, I would say most of thethings that we get interested
(17:38):
in are business relatedbecause, and I think most
entrepreneurs are kind of arewith us on that because they
like to be in an advisory rolebecause they take some of the
experience they've had in thisone business, they can apply it
to another as long as they'renot the operator, the
technician involved.
Speaker 1 (17:56):
So, so how does that work, Joey? Can you give us an
example of that last one?
Speaker 2 (17:59):
Yeah, so , um, we started a short-term rental
business in 2020 as well. Andum, what that was is we
installed an operator and wesaid, Hey, this is the type of
model that we want to do. Goout and find this type of unit.
We're going to, in our case, werented apartments or homes, and
(18:21):
then we turned around andfurnished them and then put
them on Airbnb or VRBO . And wemade the arbitrage the
difference between the rentalpayment and what we could get
on a short term like nightlybasis. And, and that, that was
paying us , um, almost $200,000a year at its peak. And then we
sold that business , uh, oncewe had like 27 units to our
(18:46):
operator , uh, a little over ayear ago. But that to me was
something we really enjoyedbecause we were just the owner.
We had an operator that wasdoing all the day to day , and
so we could be hands off butstill be involved. And so
that's another example ofpeople , uh, from our
community, they're doing stufflike that as well.
Speaker 1 (19:05):
Let's talk about bridging that gap. The first
time when I read Rich Dad, poorDad, I realized, okay, Chris,
you should buy a building. Theloan payment's gonna be both of
what you're paying in rentanyway. But still, I had to
have this down payment and ittook me about two and a half
years to save up. I think I hadto have $70,000 , uh, to get
the building going. Are therelike smaller gaps that, that
(19:28):
people can cross or are thereeasier ways to start than that?
Speaker 2 (19:31):
Uh , in terms of just rather than having a large
down payment? Is that whatyou're asking? Yeah.
Speaker 1 (19:35):
Or you know, I've got $10,000 or I've got
$20,000. How do I get started?
What's the first thing I shouldlook at?
Speaker 2 (19:41):
Oh, man. Well, again, I, I hate to be like
that guy. That's, I'm nottrying to be ambiguous, but the
type of person's gonna dictatethis. But we have people , um,
like for instance, they may getinto that land business as a
way to build capital becauseyou can get into properties
for, you know, 500 to athousand dollars and then turn
(20:01):
them into four times that interms of revenue, that's a,
that's a low barrier of entryto get into. Uh , we have other
people , um, I just recentlybought three content websites
that are affiliate branding,kind of like websites. They
were already making money. Ijust bought them and then
essentially swapped out
(20:25):
and then started to look forways to improve it. And , um,
you know, just as an example,one of 'em I bought was 16,000
and it has , it has yieldedalmost 10,000 in terms of
return within the first 11months. That to me is a really
high , uh, rate of return. It'svery hands off . There's,
(20:47):
there's multiple people you canhire to run those. And , um,
and like I said, low barrier ofentry in terms of the amount
required upfront to get into.
The other thing I would say issometimes it's just private
loans. One time I did a privateloan to somebody who had a car
that was worth about $20,000and he just needed a short term
(21:09):
loan, and it was only 10 grandhe wanted, well, I I used to be
in the mortgage business and Ilooked at the collateral and I
was like, Hey, it's a nice car.
It's worth a lot more than whathe wants to, to lend. I can be
added to the insurance of hiscar so that if it got totaled,
I get paid. And that thingyielded me almost 27% over the
(21:31):
course of a year now because Iused , uh, my infinite banking
system, which , uh, you know, Iknow Chris, you and I have
talked about that before, itactually yielded a lot more of
return because I used leverage,but that was one of my favorite
things I ever did. It was onlya $10,000 entry to get
involved. And , and people arealways looking for capital.
Speaker 1 (21:53):
Okay. So , uh, you know, to recap, I think one of
the most important points hereis that you're taking the cash
that you have and you'reinvestigating in something
that's gonna keep paying youfor a very long time. And
that's, that's the principlethat I didn't understand years
ago. But you know, what Joey'stalking about with these
websites, et cetera, and , andthe loans is they're gonna wind
up paying him back way morethan his initial investment. I
(22:15):
think when people watch thesehome reno or flip shows, they
think, okay, well I'm gonna puta hundred thousand dollars into
this rundown house. I'm gonnafix it, which I don't know how
to do, and then I'm gonna sellit for way more, which I don't
know how to do. And , you know,but that's not it. Right? So
maybe just kind of touch on howa syndication works and then
we're gonna come to InfiniteBanking after that.
Speaker 2 (22:34):
Sure. So syndications are very hands off
and think about it as , uh,let's say I'm buying an
apartment complex and there's agroup of us investors, there's
first of all a group thatoperates the investment. They
know how to, how to find theproperties that need a little
bit of work. They already havecash flow involved, but they
(22:55):
see an opportunity to forceimprovement to that property.
Okay? So an example might be,hey, this is a hundred unit
apartment complex and it hasn'tbeen updated, or the, the units
haven't been renovated. So theaverage rent is $600 a month
for each one of these units.
(23:16):
But if I can renovate them overa period of the next 24 months,
I can force the rents to gofrom 600 to $800 a month. Well,
the way an apartment complexworks is it's valued off of its
net operating income, theamount of income that it's
producing. So if I can force itfrom 600 to 800 per unit, that
(23:38):
just increased the valuation ofthat property by a significant
amount. And so then I couldsell that property 2, 3, 4
years later for a massivereturn or massive profit. Well,
in a good syndication, and Iwill tell you, make sure you do
your due diligence, becausethat's the hard part about
syndications. Do your duediligence on the front end, but
(24:00):
in a good one, you're able toget cash cashflow today every
single month, and a largeequity percent at the end. So
think about it as in a , abusiness, you are building it
and you're getting cashflowtoday, but you decide to sell
it, let's say five years fromnow. All of a sudden that value
has gone like this and you geta big chunk at the end. That's
(24:23):
how a syndication that's runproperly. Um , really helps you
to, to, you know, be hands off, but to make sure you're
getting the passive income.
Speaker 1 (24:32):
Where do people find these syndications and like
what is the, the barrier toentry? Is it 50,000, a hundred
thousand, 10,000?
Speaker 2 (24:38):
Yeah, that, I would say that that's some of the
challenges is number one, yougotta find the right operators,
people who have a long trackrecord. This comes from
networking, it comes from beingin masterminds of people who
are already doing this. Thoseare things that I would say are
like the barrier of entry. Thesecond is you have to be an
accredited investor, which in,in the US means that you make
(25:02):
200,000 or more per year onyour own, or 300,000 as a, as a
joint, like a , a , you andyour wife or you and your
spouse make more than 300,000 ayear. And so there's income
restrictions and typicallythere's a 50 to a hundred
thousand minimum before theywould allow you to be a part of
(25:23):
that , um, that partnership. Sothose are the, the challenges
with syndications.
Speaker 1 (25:28):
Okay, let's talk about infinite banking. And the
, the timing on this is amazingbecause I was literally talking
to my 17-year-old last nightand I'm like, oh , Joey Mure is
coming on the podcast tomorrow.
We're gonna be talking aboutinfinite banking. Well, what's
that? So me trying to explaininfinite banking to a
17-year-old , uh, I was like,ah , maybe you should just
listen to the wealth about WallStreet Podcast. But what I'm
(25:50):
hoping is that you can explainit so that my 17-year-old would
understand it after listeningto this show.
Speaker 2 (25:56):
Well , I will , uh, that's a challenge in and of
itself. 'cause I have a16-year-old and an 18-year-old
in men . It has been achallenge. So I'm , I'm, I'm
with you. My heart goes outhere . Here's what I'll tell
you. Infinite banking is a alot, there's a lot of , uh, the
words sound difficult, but whatI'll simplify too is when
(26:18):
you're making profit in yourgym, the money has to go
somewhere. Okay? It's, it cango into checking or savings.
Those are like the only optionsthat we're going to store the
money in. Now, this is not aninvestment because investments
are the things we've alreadytalked about your business ,
um, syndications , uh, we havea vending business. Where's a ,
(26:42):
a land business? Those are theinvestments, but the cash has
to be stored somewhere beforeit goes into those investments,
right? So here's what wedecided after reading the book,
become Your Own Banker 15 yearsago, is we want the place that
we store our money to be themost, like the best
(27:04):
characteristics that we couldhave for our money. And the
author of that book, NelsonNash, who is one of our
personal mentors, we spent 10years with him before he passed
away , um, three or four yearsago. He said, quit thinking
about where to store your moneylike everybody else. He said,
think like a bank become abanker. Well, where do banks
(27:27):
store their money? And youknow, if you think about that,
you're like, well, banks havethe high , like the biggest
buildings in any city. You godown there , they're , they're
, the sky rises , right? Andyou're like, man, they must put
money in real estate becausethey take your money on deposit
and they lend it out. Andthat's their business model.
They make everything inbetween. But the reality is
(27:49):
what do they then do with theirprofit? Well, they put it not
in just real estate, that isone place, but the other place
that they put money in thesafest, they call it tier one
capital. If you look at theirbalance sheets, and I would
challenge you go to fd.gov oryour regulatory agency and look
up your bank and they'll showyou their ba their balance
(28:12):
sheet. The largest number ontheir balance sheet is in cash
value life insurance. Andyou're like, wait a minute,
I've, you're talking about likewhole life insurance. And I'm,
I'm saying yes, which I would ,I worked for Wells Fargo,
Chris, and for 11 years, andwhen I was learning this, I
(28:32):
went to all the executives ofthe bank that I worked at here
locally in Alabama. And I waslike, Hey, what do you think
about this idea? Become yourown banker, like putting money
into cash value life insuranceinto whole life insurance. And,
you know, not one of them saidit was a good place to put
money, like zero of theexecutives I talked to. And
(28:56):
then I simultaneously pulled uptheir balance sheet Wells
Fargo's balance sheet, andthey're putting $19 billion
into cash value life insurance.
And guess what? Thoseexecutives were the very people
who the bank was insuring toput that kind of money in. So
(29:18):
it was mind blowing , Chris, Iwas like, wait a minute. The
people who are being insureddon't even understand that this
is where their bank has deemedthe safest place to put money.
But the reason is theyunderstand one thing when you
put money in as a safety spotto, to put that money for
(29:38):
savings, it has to be liquidmeans I can get access to it
any time it has to be safe.
Like it's not subject tovolatility in the market or
otherwise, and it's taxefficient. These policies,
these insurance, you know,contracts that people put money
into are actually growing taxdeferred and available to
(30:01):
access tax free forgenerations. So when I, I can
use this money tax free mywhole entire life, and then
when I die, I actually leave aninheritance to my family that
is also tax free . So there'snever a tax on this money,
okay? So that's a huge thing.
And then the last thing, thisis the, the key that Nelson
(30:24):
unlocked in this becoming ownbanker. When I put money into
these policies and properlystructured, I can go to the
insurance company at any time,and this is great for your gym
owners, Chris. They say, youknow what, it is time to expand
and buy that property that ourgym's in. And they don't go to
a bank, they go to theinsurance company and they say,
(30:46):
Hey, I've got a hundredthousand in my life insurance
policy. I'd like to borrowmoney from the insurance
company to go put down on thisproperty. And guess what
happens? The hundred , they ,let's say they needed 70,000
for that down payment, ahundred thousand is still
growing on their behalf in thatpolicy because the insurance
(31:09):
company allows 'em to take aloan against it like, like an
equity line in your house. Theequity still grows, but you now
have that money at work. So theridiculous unfair advantage
about infinite banking is Ihave money growing in two
places at once. I have moneygrowing in my policy and in
(31:32):
whatever assets I've chosen toinvest in, whether it's my
business, whether it's out in aland business, whether it's in
a vending machine business,whatever we're doing, which
Russ and I have done some crazystuff and you could hear it on
our podcast, but all of it hasbeen leveraged through these
massive number of policies thatwe've built over the years
(31:54):
because of this one concept.
And without this concept, wewould not be getting invited
onto awesome shows like yoursto talk about creating 50,000 a
month in passive income. Um ,because we, we had to put this
in place first and it's madeall the difference.
Speaker 1 (32:12):
Now that's, it's interesting because , um, you
know, obviously I was talkingto my 17-year-old about setting
this up for him so that when heis done school and he wants to
be an entrepreneur, he'll beborrowing from himself instead
of going to the bank, pat inhand, can I have some money to
start this business? And whilethe rules are slightly
different in Canada, they'renot dramatically different, you
know? Right . It's a great,great plan. Now this will sound
(32:35):
is , you know, I , people arelistening to this while they're
driving and they're trying tokeep score in their head and
stuff, but is there somethingmore concrete that we can give
them? Joey, I know your teamhas made them up a dual or a
landing page or something.
Speaker 2 (32:48):
Yeah, I mean, this is something that's interesting
to you. We, we have tons offree resources. We actually
have a quiz that will show youhow close you are to financial
freedom. Uh, if you go towealth without Wall
street.com/chris Cooper , justkeep it really simple, right?
(33:09):
get all access to those freeresources and we have
connection points with ourteam, our free community,
whatever you're looking for, wehave it all listed there.
Speaker 1 (33:19):
Yeah. So just to be clear listeners, like this is
not an affiliate link that, youknow, Joey gives me 25 cents
every time you go to the , thisis our, our genuine offer to
help you. Um , because I wantmore gym owners thinking about
this next level. When westarted talking years ago about
gym owners making a hundredthousand dollars a year, that
was more than double theindustry average. And a lot of
people thought that could neverhappen for me. But changing
(33:41):
that mindset is actually whatchanges the industry because
eventually people startedsaying, how can that happen for
me? And it's gonna be the samewith wealth, I think to really
make our industry grow andflourish and to put more power
into the hands of the best gymowners, we need to give them a
way to expand their, impact,their reach, create better
careers, open more locationsand stuff. And I really like
(34:04):
what Joey and Russ have donehere. So if you go to wealth
without Wall street.com/chrisCooper, thanks for the vanity
URL
I think is super cool, and thenyou're gonna get some free
resources, just like you'reused to getting from Two Brain
.
Speaker 2 (34:19):
Yes. Yeah. And we're, we're always help happy
to help people along theirjourney, whatever that may look
like.
Speaker 1 (34:24):
That's great, man.
Okay. Well, the wealth of theWall Street podcast is a very
popular one, especially amongour tinkers. And if , uh, you
know, Joey and Act , Joey andRuss are actually gonna be
speaking at Tinker in Marchwhen they take a trip down to
Nashville area. So we're reallyexcited for that. But in the
meantime, if people are reallyinterested in the wealth of the
Wall Street Knowledge Banktalking to you, where should
(34:47):
they go, Joey?
Speaker 2 (34:48):
I would go right to that same , uh, page because
there's actually , um, there'semails, there's social
connections, and our communityis a free app that you can
connect with other people onthe same journey. There's over,
I think we're up to like almost9,000 people who are engaged in
this process at variousdifferent levels. Wow. And so I
(35:11):
think just like within twoBrain , you guys are
surrounding yourself with otherpeople who are like-minded, who
are trying to get to the samegoal. And your actual like
ability to get to success isdramatically increased when you
change your environment. And sothat's what , uh, we built the
community for. So it, it istotally free to join.
Speaker 1 (35:33):
Oh man, that's so great. Thank you Joey. You
know, my favorite thing aboutwealth without Wall Street,
other than you and Ross just ashumans, that's my favorite. But
my second favorite thing is,you know, the help first ethos
of we learned this thingourselves, we want to give it
to other people so that theyknow it too. And that comes
through in everything you do.
So thanks so much for beingthat way.
Speaker 2 (35:53):
Oh man. It's great to be on a show with
like-minded people, so anytime. I really appreciate
Speaker 1 (35:58):
It. Thank you.
Popular Podcasts
Stuff You Should Know
If you've ever wanted to know about champagne, satanism, the Stonewall Uprising, chaos theory, LSD, El Nino, true crime and Rosa Parks, then look no further. Josh and Chuck have you covered.
Dateline NBC
Current and classic episodes, featuring compelling true-crime mysteries, powerful documentaries and in-depth investigations. Follow now to get the latest episodes of Dateline NBC completely free, or subscribe to Dateline Premium for ad-free listening and exclusive bonus content: DatelinePremium.com
On Purpose with Jay Shetty
I’m Jay Shetty host of On Purpose the worlds #1 Mental Health podcast and I’m so grateful you found us. I started this podcast 5 years ago to invite you into conversations and workshops that are designed to help make you happier, healthier and more healed. I believe that when you (yes you) feel seen, heard and understood you’re able to deal with relationship struggles, work challenges and life’s ups and downs with more ease and grace. I interview experts, celebrities, thought leaders and athletes so that we can grow our mindset, build better habits and uncover a side of them we’ve never seen before. New episodes every Monday and Friday. Your support means the world to me and I don’t take it for granted — click the follow button and leave a review to help us spread the love with On Purpose. I can’t wait for you to listen to your first or 500th episode!