Episode 37: From Roofing to Multimillionaire: A Journey of Financial Control

Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
If I'm in a plane, okay, and the guy next to me is
praying, okay, and just sohappens to use to verbalize
Allah Akbar, listen, and it justso happens, whatever.
whatever.
We won't need an air of worship, no, whatever.
Listen, if I am sitting thereand all of a sudden my neighbor

(00:23):
starts verbalizing Allah Akbar,that guy's getting his fucking
ass kicked.
Episode 37.
What's up?
Guys Haven't been.

(00:43):
Uh, it's been about a month.
Yeah, a little bit, yeah.
So today we have an interviewer, we're interviewing somebody.
He's missing right now.
He's finishing up a meeting inour conference room, so he'll
walk in when he gets done, butwe'll get the party started.
What has changed since lasttime we spoke?

(01:05):
Interest rates, Down Interestrates.

Speaker 3 (01:08):
Quite a bit.

Speaker 1 (01:12):
Which nobody was predicting.
You know what I was realizing,this whole shit?
Let me tell you something thatI've absolutely I am positive of
Nobody knows shit.
Nobody knows shit.
Let me tell you what happens.
Let me tell you what happensevery time.
Everybody makes predictions.
Right, stick it, they throw iton the wall.
Right, then somebody's gonna beright.

(01:35):
Yeah right, somebody's gonna beright.
So when that happens, the guywho actually predicted it, he's
the one that's right.

Speaker 3 (01:41):
That's what it doesn't mean that he knows shit.

Speaker 1 (01:44):
It just means that that's just the way it landed.
Everybody was predicting rateswere gonna go down next year.
Everybody, all the fuckingexperts that are shut up right
now I'm not gonna name them all,but I mean, like guys that know
, supposedly next year secondquarter, third quarter, rates
are gonna go down.
Rates are already going down,right, nobody knows shit.

Speaker 4 (02:02):
Well, but the thing is that when you say rates are
going down, the Fed hasn'treduced rates.
So what happens is that, asusual, the information that
people get is incomplete.
It doesn't even matter if it'saccurate or not, but they're
definitely not raising.

(02:23):
Well, they haven't raised rates.
There's a meeting coming up nowon the first couple of weeks of
December and it is widelyexpected that the Fed will not
raise the prime rate again, butwhat happens is that what nobody
understands is how it actuallyworks.
So, that's why, when you say,that's why we sit here and we're
like yeah, rates have gone down, you know like mortgage.

Speaker 1 (02:45):
I care about it, I get it, but I get it but nobody
understands what that means.

Speaker 4 (02:50):
People are listening to us and like what the fuck are
you guys talking about?
The Fed hasn't reduced ratesand it's like no man.
But what the Fed does is justone piece of this much larger
machinery.
That is what results in therate that you're quoted when you
go buy a house.
So what Jesus is saying andhe's correct is that two months
ago, let's say, if you went tobuy a house, the rate you were

(03:11):
being quoted is higher.

Speaker 1 (03:13):
People are getting stuff in the sixth Israel.

Speaker 4 (03:15):
Right Is higher than the rate you're going to be
quoted if you try to buy a housewith financing today.
But for most of the world theUnited States, the people that
hear about rates they're like no.
Rates aren't dropping.
Rates are insanely high rightnow and it's incomplete.
Forget about right or wrong,it's incomplete.

(03:37):
Everything is fuckingincomplete.
You just can't give peopleenough information because,
number one, they don't want tohear it and, number two, they
don't get it.

Speaker 3 (03:44):
Well, I think that it's that the information is not
easily attained either.
I mean, like I teach the stateagents on a regular basis, right
?
It's not that they don't wantto know, it's that nobody even
tells them because they justassume that they can't figure it
out.
Just like on most commercialmortgages, they're index based
rates.
The residential mortgages is anindex based rate and the index
is based upon, at least in themajor government.

(04:06):
The one's is the yield in the 10year treasury, which is set by
the bond market right, the rateat which people are buying and
selling these bonds and whatthey're paying for them.
So when the anticipation ofrate increases changes, people
change what their decisions areas far as investing in these
bonds go.
The anticipation is that theFed has maybe done raising rates

(04:28):
, so the outlook for these ratescontinue to go up has changed
and people now are makingdifferent investment decisions
than bond market, and this isallowing the rate on the 10 year
treasury bond to come down,which is resulting in our
mortgage interest rates being ina lower number.
It's not that crazy complex,but here's the thing if the Fed

(04:49):
does raise rates at the nextmeeting, watch them go higher.
Watch the rates go higher thanthey were.

Speaker 1 (04:54):
It's all connected.
It's all connected.
And yeah, the gentlemen, theguys that I was talking about
that, were quoting stuff.
We're just talking about likeour market, right?
Sure, our market.
And again, it's weird I alwayshave in my mind, whenever I talk
about something, I always gotto like almost exclude Miami
from it.
Right, because let me tell you,man, I have people from other

(05:16):
parts of the country and we'rein a nice little bubble here.
I mean we're in a nice place,we're in a nice bubble right now
.
I mean I'm not seeing, I'mseeing slowdown, but I'm not
seeing price decreases.

Speaker 4 (05:31):
No, in fact, there was an article the other day
that home sales in likeMiami-Dade slowed and were less
than, like you know, last yearat this time year before at this
time definitely, but priceswere continuing to rise and I
was just talking about it thismorning at a meeting I was in
before this that it's like JeffBezos moving to Miami and he's

(05:54):
bringing 40,000 employees with50,000 or 50,000 FIFA it just
took 40,000 square feet ofoffice space in Coral Gables.
They're bringing, like, theirlegal team over.
We are getting some World Cupgames in Miami in 2026.
We're going to get 10 games,but it's not a temporary office.

(06:14):
So you know, ken Griffin, withCitadel, these guys that come
here now, think about it.
If you do business with Citadela lot of business you need to
be close to Citadel.
So, like you know, it's likethe planets come and then all
the moves come, and then thelittle satellites come right,
and so it's like listen, it'snot going to get cheaper in
South Florida Now.
You may pay a little less ininterest if you wait, but you're
going to pay a little more inprice.

Speaker 1 (06:37):
So, you know, it's just what do you want to pay?
I got two people now that aremoving in from out of state.
I got two friends of mine thatare moving in, ones from
Maryland and ones from Ohio.
Right, dude, like it'sinteresting to see, interesting
to see what, how they see Miami.
Right, it's interesting to seewhat you know like and and and

(07:00):
again.
And when I tell them, when theyask me, well, what do you think
is going to happen with Miami,I'm like why are you?
Why are you here?
Yeah, exactly, well, imaginethat there's other, a lot of
other people just like you.
And then add Columbia, addChile, add, you know, whatever
country is having a fuckingissue at that particular moment,
right, coming in here, andthat's the issue that's my hand,

(07:23):
Although we are welcome from ayeah, right, but but it's, it's,
it's man, it's a weird place.
We're in a weird situation rightnow.
That's hard to understand tosomebody that's not from here
you know well, I think, thepoint you bring up.

Speaker 3 (07:40):
We are always one revolution away from a real
estate boom in Florida.
But the other piece of this isbecause people always really
want to know where is this goingright.
We are right now experiencingthe market that is driven by the
rates having peaked where theywere.
Article just came out, maybetwo days ago, that mortgage
applications have spiked way,way up because rates have

(08:07):
dropped a little bit.
And so this is the thing,because I fly all over the
country so I talked to thoseagents all over the US.
They're all in the same placewhere there's insufficient
inventory to match the currentready, willing, able buyers that
we have.
So if you just see right nowwhere we are, you say, hey, this
is the market, based uponinterest rates being close to
eight, that people are paying,and now rates have fallen, so

(08:29):
the prices were being supportedwith rates at eight.

Speaker 1 (08:32):
If rates fall, what are you going to anticipate is
going to happen?
Well, that's what I'm tellingthese guys.
I'm like, I'm like you know oneparticular friend of mine
that's moving in from, from Ohio.
They mentioned well, you knowour rates, rates are going to
drop.
And then I'm like do you knowwhat happens in Miami when rates
drop?
Do you have any idea whathappens in Miami?
You'll be paying $50,000,$100,000 over a praise value for

(08:55):
the same fucking house.
Sure, same fucking house.
You know so it's, it's, it's.
I don't know if that happenseverywhere else.
I mean, I'm sure it's, it's,it's, it's part of you know, the
whole not being enoughinventory in the whole situation
.
But at the end of the day,we're having serious inventory
issues right here.
And, by the way, like when,when you know so these people
are like, oh well, do I go?
You know they have the abilityto go.

(09:17):
You know all the way to 1.
Something million, this andthat.
Or you know we they talkedabout starter like, hey, what's
the low in this area here?
What's the lowest?
We can go?
700.
Yep, you know for, for, and, bythe way, these particular
people are coming from a hundredacre farm.

Speaker 4 (09:33):
We're going to get some shit in the comments about
that.
They're like you hear thesefucking assholes.
A million dollar house, a$700,000 house that's I came in,
but it's, it's the fuck.

Speaker 3 (09:42):
It's my amy, it's my amy.

Speaker 1 (09:45):
What do you?

Speaker 4 (09:46):
want me to tell you.

Speaker 1 (09:47):
Yeah, it's my amy.

Speaker 4 (09:48):
We'll get to work.
I mean, look the price.
The prices are based upon.
No, all listen, all desirablemarkets are expensive.

Speaker 3 (09:55):
Undescribable, I mean it's like San Francisco,
believe.

Speaker 4 (09:58):
I know.
I know you think it's adisaster and there's piss
everywhere and, fucking, there'sa dude.
There's a lot of, still a lot,of nice places in San Francisco.
I mean like let's be real, bro,you don't get off the plane and
you're at the war zone, but Imean come on, I mean listen.

Speaker 1 (10:10):
Okay, neither one of us have been there recently, but
I've had several people that Iknow they were from there,
including Uncle Leon Right.
Well, listen you got yourcomputer checked for some prices
and houses right now.
No, absolutely, but let's not,let's not come on.
Well, what I'm saying is we'retrying not to get political, and
I get it.
I mean, we're even trying notto argue.

Speaker 2 (10:27):
But when?

Speaker 1 (10:27):
you start fucking saying that there's not shit in
the streets in San Francisco.
What I've seen, what I'm sayingis.

Speaker 4 (10:32):
I said it's not like you get out of the fucking plane
and it's a war zone, bro, likeit's just not quite as bad as
it's as it's made out to be.
It's always been weird and yetwhat I'm saying is the price.
It's expensive.
So it's like every place thatpeople want to be is expensive.
You want to know why?
Because people want to be there.
I mean, it's not a complicatedconcept, Exactly.

Speaker 2 (10:51):
So you know, it's the same thing, it's like what
people tell me.

Speaker 4 (10:53):
New York is a fucking piece of shit.
I get it.
Try to buy a fucking place inManhattan.
Okay, you think it's priceyhere?

Speaker 3 (10:59):
Try to buy in Manhattan.
I mean, it's like people say tome can you see what I can get
in a pokey Florida?
And I'm like yeah, but you'rein a pokey Florida, right, but
you got to live in a pokey, yeah, exactly, so I get it, I get it
, but that's what you know.

Speaker 4 (11:10):
Again, that's what people don't understand.
It's it's a market decision.

Speaker 3 (11:15):
So let me tell you what buyer so why I demand baby
the prices are where the pricesare because someone has been
willing to pay it.
I always love these people.
I get it all the time that actlike oh, rents are unaffordable.
I'm like well, how the hell doyou think the rents got there?
Somebody agreed to pay that.
Yeah, like if nobody agrees topay the rent, the price can't go
up.
It's funny.

Speaker 4 (11:35):
Our conversation is kind of always lead us back to
the same place, like the peoplethat complain about rent prices,
but they think they likecapitalism.
They're like somebody's got tostop this.

Speaker 3 (11:44):
Somebody's got to do something.

Speaker 4 (11:45):
Somebody's got to, somebody's got to just control
these.
These landlords are out ofcontrol.
I'm like, hmm, that sounds good.
Yeah, that sounds verycapitalistic.

Speaker 1 (11:53):
Let me tell you, man, crush is my soul.
Let me tell you, crush is mysoul.
So I was talking to them,talking to our lenders,
yesterday.
Right, we're in an interestingsituation, right?
So credit card debt is thehighest it's ever been recorded
in the history of our country.
Late payments on cars are thehighest, which, by the way, I

(12:18):
saw the number the highest.
It was 9.1% of the amount,which I saw.
Pretty fucking.
Well, I thought of that one.
They said the highest ever waslike 30%, I mean less than 10%
of people are paying their part.

Speaker 4 (12:28):
Remember the source, bro, I got it.

Speaker 1 (12:29):
You know what, what, what source?

Speaker 4 (12:31):
Whatever source is giving you the statistic and
what their objective?
Oh, you mean like that theywant to make it seem like it's
the end of the fucking video.

Speaker 1 (12:38):
But, it still is the highest.
Number wise it is still thehighest, right, but also okay.
So again, just talking, youknow, talking to bankers and
lenders yesterday was I hadseveral of these conversations
yesterday right?
So if debt is up late, paymentsare up considerably and equity

(12:59):
in homes is the highest it'sever been in the history of our
country, what's going to happen?
Coming up and, by the way,spending right, thanksgiving
spending was up.
They're there, they're all the.
You said that article, thatretailers are expecting it to be
off the fucking charts, right?
So people are continuing torack up their credit cards,
right, it could be the highestever and they're going to

(13:20):
continue to do it, right?

Speaker 3 (13:22):
I'm hesitant.
I'm hesitant to go there withretail sales.
I because October was such abad retail month.
I think that what people weredoing was waiting for this the
Black Friday type sales andthey're predicating what their
anticipated sales are on whatthey saw in the early part of
the Christmas season.
I think that would be one tokind of wait and see.
You know like I'm not normallya big wait and see guy, but but

(13:44):
on this, because of all thereasons that you're saying, it
seems like there's gotta befallout, and I don't think the
fallout is gonna be peoplelisting their homes.
I don't know.
That's what I was gonna.
It's gonna be.

Speaker 1 (13:56):
Helox.
Yeah, it's gonna be Helox, Ithink Helox are going to and
that's what I'm prepping myselffor for a fuck load of Helox
coming up next.
And, as yesterday I was talkingabout it, I had meetings based
on it and everything I get here.

Speaker 4 (14:10):
I get here this morning, Can we translate that,
for like every Call my GoatingLines of Credits.
Yeah.

Speaker 1 (14:15):
So let me get this point across.
I'm here today and at 8.30 inthe morning, whatever I go to
Janelle's desk and she's like,oh, look, so-and-so, his agent
of ours is getting a Helox andbuying an investment property
with their equity.
Like first conversation, I hadright.
So yeah, Helox are.

(14:37):
It's basically a secondmortgage, that's like a credit
card.
I mean, that's the best way,the simplest way I could explain
First or second mortgage,depending on what.

Speaker 3 (14:44):
Well, yeah, but in this market, it's gonna be
second mortgage With the caveatthat the bank is usually gonna
make you take out the principalbalance right away up front and
keep the money out for a periodof time and charge you interest
on it.
But once you pay that moneyback, you can take and then use
it.
I wish.

Speaker 4 (14:59):
One of our lenders was here, who shall remain
nameless.
Remember the other day he triedto bust my balls with.
You're not supposed to use yourHelox till I go on vacation and
I'm like he's like, well, youcan put on the application that
you're gonna use it for vacation.
I'm like, yeah, how many Heloxapplications have you submitted
with that as the fucking use offunds, bro?

(15:19):
God bless man.

Speaker 1 (15:21):
So, but the reason why I'm calling it a second
mortgage right is because inthis market, so again it
operates as a second mortgage itis, but no, no, but let's add
another factor to this.
You don't have to be a fuckingbrain surgeon or a genius to
figure out what's gonna happenthis coming year.
Right, people are not gonnawant to refi out of their 3%
2.5% they're not gonna want to.

(15:42):
So what's gonna happen now isthat this is gonna give us
people are gonna start gettingthese Helox.
It's gonna give us a little bitof breathing room and people
are gonna continue to do whatthey fucking do, which is
continue to rack up their creditcards.
They're gonna max out that lineof credit real quick.
Okay, the next shoe to drop, Ithink it's gonna be when, I

(16:04):
don't know what's these Heloxgonna buy us?
Time wise, probably a year, andthen they're gonna have to sell
.
Then they're gonna have toeither refi or sell, right, no?

Speaker 4 (16:16):
there'll be a bunch of foreclosures.
People don't fucking understand.
I mean, it's like, first of all, there's no foresight.
Okay, like very few people lookahead, okay, and and and
listening.
You can't blame them becausethey're living, fucking check to
check.
So you know, that's not, you'rejust trying to figure out, bro,
how to go from here to there.
You know, it's like, sonobody's thinking about the next

(16:36):
shoe and this, and that it'sjust.
And I agree with your initialpoint, first of all, I'm not, no
, no, no, no, no, I'm fucking arobber.
Specifically, though, about thepredictions, and people make
predictions and nobody reallyknows what the fuck they're
talking about anymore.
So I've been saying for acouple years now that with
things like macroeconomics, likethese big outlooks okay, and

(17:02):
it's the same in politics okay,and political polling and things
like that, it's like the oldtried and true data points are
just less and less reliablebecause of how fast the world is
changing.
So it's like you just can't sitthere and it's like no, the
inverted yield curve.
Remember like two years agosomebody was like the yield

(17:23):
curve is inverted, the you knowthe end of the world is near and
it's like, first of all, no onehas any fucking clue what the
inverted yield curve.
Okay, so you're saying that andit's like most people are like
what the fuck is this guytalking about, Bro?
I don't even know.
They go out the same day.
They buy their fucking chicken.
But I'm very worried, but I'mvery worried about it.

Speaker 1 (17:41):
I don't know what to say Because the headline tells
me to be worried.
So they don't get it.

Speaker 4 (17:46):
And then, if you notice, the yield curve was
inverted and nothing happened.
The economy got stronger forlike then, and that was during
Trump.
Okay, the economy got strongerlike 16 times over.
So it's like they just whathappens is that there was a time
when change in all aspects oflife was far slower, so the

(18:08):
established knowledge like thescience, if you will was better
for longer.
Okay, better for longer.
So it's like.
And what happens is that youcan you see this frustration
with people and with talkingheads on every single point.
So it's like now, if you're ascientist or an expert, you're

(18:29):
not allowed to be wrong, likeeven for a second.
Like revising your position isevidence that you have no
fucking idea what you're talkingabout.
It's not about science.
It's like, think about it.
They used to operate on peopleand the surgeon didn't wash
their hands and fucking peopledied in fucking droves.
Were all those surgeons morons,Because they didn't know that.

(18:49):
Like now you're thinking, bro,they tell you there's a sign
everywhere you go, wash yourhands, wash your hands, wash
your hands.
So right.
So it's like you know back inthe day how many people died
because the fucking surgeondidn't wash his hands.
The surgery was a success,except for the infection that
the guy fucking put in the body.
They just wiped his ass Right.

Speaker 1 (19:05):
So you know, 30 seconds ago, with no toilet
paper, by the way, because therewas no toilet paper.

Speaker 4 (19:09):
Right.
But what's incredible is thatat that time, like nobody was
ever like oh, these fuckingdoctors don't know what the fuck
they're doing, they didn't youknow.
Now they wash their hands andsay you see that they were
idiots.
So it's the same with everysingle thing now.
So I'm not a fan of thealienation of expertise which is
what we're seeing.
Okay, like, nobody likesexperts anymore.
You're elite and you're afucking asshole and you went to

(19:31):
school.
It's like that meme I send youguys all the time, where it's
like the inside of a plane.
It's a little photo of like thefuselage of the airplane and
like everyone's sitting thereand this guy stands up and he's
like I'm tired of these smugpilots telling me what to do.
Who thinks I should fly theplane?
And everyone's like, yeah, youshould fly the plane.
And it's like dude, you know.
So there has to be a balance.

(19:52):
But I agree with what you'resaying about the predictions,
because the problem is that theexperts rely on 2008 crash.

Speaker 1 (20:01):
You go back and oh, this guy predicted that this was
gonna happen, brother, you knowwhat I'm saying?
Like well, again, it's no andit's Everybody was playing
around, you know.

Speaker 3 (20:09):
I think there's two pieces to this right Cause I
agree with what you're sayingand that's kind of the pushback.
I think the arrogance level ofthe experts has moved up to 11,
which makes yeah, like whenyou're wrong.
It's like, you see, I hate thatguy, he's wrong and so you know
, and I think you, in oursociety, everybody is putting
themselves forward as an expert.

(20:29):
So to stand out, you have to beuber confident that what you're
saying is, you know, handeddown from on high on you know on
stone tablets.

Speaker 4 (20:38):
This is how it is.
No, not just that, but the alsothe exaggerate.
Like the people's exaggeratednotion of their own cleverness
is also at an all time high.
Like everyone's a fuckingresearcher now.
I love that.
Like we got a guy.

Speaker 2 (20:51):
We deal with them every few days like no, I did my
research on this.
It's like oh, my God, this guydid his fucking research.
Can you imagine, bro, you press?

Speaker 4 (20:58):
Google.
You go to school for threefucking years, bro, to learn the
law, but like you're gonnaresearch it, you know what I?

Speaker 3 (21:04):
mean it's like, it's like it was all legal soon for a
good solid 15 minutes.

Speaker 4 (21:07):
Fucking eight man.
You know what I mean.
So it's like again, again.
But listen, lawyers get itwrong all the time.
Doctors get it wrong all thetime.
No, they do.
Remember the shitty NAR lawyers, according to you.
So you know.
I mean it's like look, it'stough.
It's a balance, but, as ageneral premise, things change

(21:30):
so fast now that it's verydifficult to make solid
predictions or to use, like theyou know, tried and true metrics
to make predictions.
You have to.

Speaker 3 (21:42):
If you're not adding in new variables, you're gonna
be wrong more often than notOkay, but and especially in an
environment where we're in rightnow, we have a global recovery
economic recovery from apandemic that's going on and
economy that has largelyswitched from a national economy
to a global economy.

(22:02):
You know, a butterfly farts inTaiwan.

Speaker 4 (22:05):
And it affects everything it affects everything
.

Speaker 3 (22:08):
now and you have this ripple effect, I mean you have
a Chinese real estate marketthat's absolutely collapsing.

Speaker 4 (22:13):
What is that?
You got people fucking tweetingAmerica first on their Chinese
mid-phone.
It's fucking amazing man.
It's again.
It's a weird time, you know.
I know we don't like to getinto the politics a lot, but
it's-.

Speaker 1 (22:27):
You know, I kind of feel like getting into politics
a little bit too.

Speaker 4 (22:31):
I mean it's just listen.
It's unfortunately, it's oneverybody's mind and when I was
a kid I used to.
When I was a kid, in college, Iremember studying political
science and I realized that inother countries, particularly
like South Central Americancountries, the politics in terms
of like their involvement, liketheir voter turnout, are

(22:54):
usually far higher than ours,like in the United States, you
know it's almost like for deathover there.
People weren't Right.
But it's funny you say thatbecause people like again in
college it wasn't such a thingLike that.
You liked politics was like arare character.

Speaker 1 (23:09):
I actually got it all the time and I'm like, dude,
are we just more?
Are we the older guys now?
Or is this really impacting usmore?
It's a combination of thatwe're older.

Speaker 4 (23:17):
But now if you look at kids, I mean like kids are
much more like into politics now.

Speaker 3 (23:21):
And so like they're more into causes.
I think, yeah, yeah, yeah,that's driving the politics.

Speaker 4 (23:26):
Well, but causes now are politics, because I mean
culture war is like the numberone political thing in the
United States, I mean, and, bythe way, other countries love
that, like that part.
I agree with all you guys, likethe Russians, the Chinese, all
these people.
They are absolutely lapping itup that we just cannot get our
shit together here on anything.

Speaker 1 (23:45):
Have you seen that?

Speaker 2 (23:46):
We're fucking worried about fucking the girl's video,
or boys wearing fucking playinggolf.

Speaker 4 (23:50):
Have you seen that video?

Speaker 1 (23:52):
Have you seen that video of a crow?
You know crows are like thesmartest animals, period.
Did you know that, Like it's aregular black crow?

Speaker 4 (23:58):
I mean, they pass it crazy.
I've heard they're smart.

Speaker 1 (24:00):
No, no like they're off the charts smartest.
So there's a video of two catson a roof right and then the
bird.
The cats are like kind of faraway from each other, they're
like there, whatever, butthey're not even in a fighting
stance or anything, they're justfucking there and the bird
comes and pokes one of themright Cat, gets pissed off,
pokes the other cat right, dude,and like literally, you got it.

(24:22):
This video is just an amazingthing.
Like he starts poking thesecats till they start fighting
each other, and then you can seeit Let.
The bird is the fucking crow'shappy.
He's flying around and he'slooking.
He stands and he's looking atthem fighting and then they stop
fighting and he starts pokingthem again, so they fight again.
I think that's what these guysare doing.

Speaker 3 (24:39):
I mean they're looking at us they're poking.

Speaker 1 (24:41):
They're like, oh shit , this is what's triggering it
right now.
And they're fucking with usthrough social media.

Speaker 4 (24:46):
No, not just that.
I tell you what part of theproblem and I was just talking
to my boss about it the otherday is freedom is a large
contributor to chaos anddisarray here, because it's like
so you say these things, peopleare like well, we were watching

(25:08):
TV and it was like this massivepro-Palestinian protest at one
of these college campuses andit's like down with Israel.
You see these signs and thesigns are very aggressive and
there's a lot of anxiety aboutthat issue right now and so, but
then and the people often makethese comments like they

(25:29):
shouldn't allow that, theyshouldn't allow that on these
campuses.
They should stop that.
That's tricky.

Speaker 1 (25:36):
But it incites violence.
But if you stop it, it's here,right and it's like, okay, so I
get it.

Speaker 4 (25:41):
So we don't like that .
But I mean remember the FirstAmendment I thought we were into
, like the freedom to haveassembly and to put, you know,
it's like you know, of speech.
So it's like, what do you wantto do?
You can't.
You know, it's like you'reupset, that.
And let me tell you somethingit's very problematic for the
Democrats right now becausethere are a lot of Democrat
voters that are anti-Israel andit just gets to the point that

(26:04):
these guys are politicians.
They got to stay in officeFirst.
You got to get in office andthen you have to stay in office
and listen.
A large segment of yourconstituency, you know, wants
you to put some breaks on yoursupport for Israel.
So what do you do at that pointif you're a politician.

Speaker 3 (26:21):
Figure out which group you don't mind pissing off
the most.

Speaker 4 (26:24):
Right and figure out which group you can piss off and
survive and stay in office.
That's really the thing.

Speaker 1 (26:30):
But let me tell you something.
So you guys know, my friends,you guys know I'm like as
pro-Jew as can possibly imagine,right, Like I have my
fascination and admiration.
You should use the word Israel.
No, no, I'm gonna go to that.
I'm gonna go to that.
So, just Jews as a whole, justwhat they've been able to
accomplish, I mean I think thatnobody's gotten their asses
kicked more than the Jews.
I mean it's arguably, you know,I mean there's no sector in

(26:52):
society that's gotten their asskicked and those guys are the
most successful by far.
Okay, that's the way I feelabout that.

Speaker 3 (26:58):
And I also administer maintain their culture while
having no no and a culture ofhard work.
Frugal they're frugal.

Speaker 1 (27:06):
They get made fun of that all the time, you know, but
just education and together.
I think that's stereotyping.
I think that's 100% of this.

Speaker 4 (27:13):
You gotta be careful, because you start stereotyping,
you get in trouble less.

Speaker 1 (27:16):
But that's the truth, though, now that we don't give
a fuck but yes or no, you gottatoe that line.
Sometimes you can't say youknow.
You can't say Chinese peopleare good at math, right.
You can't say that, right.

Speaker 3 (27:26):
Great gamblers.

Speaker 1 (27:28):
Are they really?
They love to gamble.

Speaker 3 (27:30):
They love to gamble in China, cause they're good at
math.

Speaker 1 (27:32):
So my point is but I also have-, I also have-.

Speaker 4 (27:34):
The word.
They is bad.

Speaker 1 (27:36):
Yeah, yeah, yeah Right.

Speaker 4 (27:36):
Like sometimes if saying they, them, you're like
the best.

Speaker 1 (27:39):
Yeah, yeah, they are the best.

Speaker 4 (27:40):
Hey, you're so sensible.
Thank you for using my pronounsand when you're, like they
referring to a group of peopleare like oh my God, this guy's a
fucking rey.

Speaker 3 (27:47):
What do you mean?
They let's clean it up then andsay, statistically, a greater
share of their population spendsthe favor games of chance.
So here's that.

Speaker 1 (27:56):
So I don't know if you guys have seen the videos,
okay of these Hamas guys.
Have you guys seen the raw,unedited videos of these guys
going into the houses andkilling shared people and
everything?
Well, you should.
I mean it's I've seen a few.
It's pretty horrific.
I mean it's.
They're going in there andthey're just straight up just
randomly shooting people withmachine guns.

(28:17):
Just I mean like if they werenot human, I mean that's the
best way I could describe it.
They're just going through itLike I would have a hard time
shooting a stuffed teddy bear.

Speaker 4 (28:27):
How about the one where they shot the dog?
You saw that.
Yeah, I sent you that one.

Speaker 1 (28:30):
I fucking pissed me off.
I mean, I know that humansmatter more than dogs.
But I don't know.
To me, you know, I have a, forwhatever reason.
I don't know if this makes me apsycho or whatever, but I see a
human getting shot and I see adog getting shot.
A dog getting shot will fuck myday out.
Yeah, like it will change mymood permanently for the entire
day Depends on the human A kidgetting shot.

(28:51):
Okay, well, okay, yes, yes, yes,yes, okay, yes.
So the An adult, I'm an adult,an adult Dog.

Speaker 3 (28:57):
Dogs tend to be innocent and you know that's
what it is, so maybe that's whatit is.
The innocence is the part thattriggers it right.

Speaker 1 (29:03):
So, again, dude saw that and it's crazy.
But I have a couple very goodlike decent Muslim Palestinian
type friends and everything likethat, you know, through sport.
You know that they kind of toldme their side of the story
right and I'm very, you know, Itry man.

(29:25):
You know it's almost like ifyou hear their side of the story
right, like this has been goingon.
I mean, one of them has told me, you know, I had a funny
conversation with one of them,you know cause.
He's like yeah, you know, it'sjust a real sector of the
population.
There's really really smallsector of bad Jews and a really
really small sector of badMuslims and those crazy,
basically those crazymotherfuckers, are the ones that

(29:46):
caused the issues for everybodyelse.
You know, we talked about likehe's like, we talked about the
like Allah Akbar, right.
When you guys hear Allah-huAkbar, whatever.
When you hear that right, Likewhat do you think?

Speaker 4 (29:59):
Yeah, that's to America.
It really means praise God orsomething like that.
God is great at that.

Speaker 1 (30:03):
Yeah, god is great Right and I'm like and again,
this is a super good guy.
I mean, we went you know it's afriend of mine, like I have,
you know, and I've had a lot ofactually Muslim friends and
they're generally really goodpeople.
Yeah, you know, you got, but Itold them I go, yeah, buddy, but
here's the fucking problem.
You're crazy.
People are really crazy, right,Like okay, so, like Cubans,

(30:24):
have our crazy people.
Just they commit Medicare fraud.
I mean they were funny, theywere funny, fucking pants right,
you know, and I mean, they wereway too much jewelry.
They were way too much jewelry.
Funny ass haircuts okay, andthey commit their genies as a
Medicare fraud.

Speaker 4 (30:41):
Yeah, fraud in general.

Speaker 1 (30:42):
They're not blowing fraud in general.
They're not blowing up, youknow, innocent people in a
fucking build and I go listen.
You know, let's talk about theterm.

Speaker 2 (30:51):
Allah.

Speaker 1 (30:51):
Akbar, right, if I'm gonna play, Okay and the guy
next to me is praying Okay, andjust so happens to use to
verbalize a la.
Akbar Dun dun dun Listen andjust so happens.
Whatever, whatever, we won'tneed an air of worship, no,

(31:11):
whatever.
Listen, if I am sitting thereand all of a sudden my neighbor
starts verbalizing a la Akbar,that guy's getting his fucking
ass kicked.
Okay, because I am going tothink you know what my buddy
said.
He goes yeah, me too.
He's like because, yeah,because what are you used to
seeing?
You're used to seeing somebodygetting their head chopped off.

(31:33):
A la Akbar, things blow it up.
You know what I mean.
So it's like one of thosethings that like.
So back to the Israel andPalestine thing.
Dude, that shit's been going onso long.

Speaker 4 (31:43):
No, listen, I'll tell you what great movie so great
movie Kingdom of Heaven.

Speaker 1 (31:47):
Yeah.

Speaker 4 (31:48):
Great movie man Ed Norton is, you know, the king of
Jerusalem.
He plays the king of Jerusalemat the time, during this period,
right after one of the Crusades, where Jerusalem was actually
open to everyone, to all faiths.
And you know, obviously therewas some battles because a new

(32:08):
king came he was actually aleper king, okay, so the guy had
leprosy and he had like a maskand he died young Mission.
And the next king wasn't sofriendly you know, christianity
was in charge at that time andhe wasn't so friendly to
everybody else.
And then there was a major warand the city was lost again and
that prompted yet anotherCrusade.

(32:30):
And so you know, this goes backthousands of years, it's true.
But what this whole pointreminds me of, and if you guys
might have seen it recently, yousaw how, like three weeks ago
or something like that I forgetwhat the name of the publication
was, but it's a well-knownpublication and they published
again Osama bin Laden's Letterto America.

(32:51):
Okay, which came out likeshortly after 9-11 and this and
that, and it was like why weattacked and the whole thing and
so.
And then all these kids in thecountry, like hundreds of
thousands of Americans, read theletter and then they come out
on TikTok and they're doingthese videos and they were like,
you know, there's one girl Iremember the video was like her.

(33:13):
She's like the caption is me.
You know, 15 years ago orwhenever, when Obama announced
that we killed Osama bin Laden,you see her, she's jumping up
and down.
And then she's like me, afterreading you know, osama bin
Laden's Letter to America, andshe's like oh my God, we
deserved it.
And blah, blah, blah, blah.
And I understand why.
And, by the way, hundreds ofthousands of Americans had the

(33:34):
sentiment, to the point that thepublication took the letter
down, and then you couldn't findit anymore and the whole thing.
And here's what happens.
Okay, if you sit here as anAmerican and you suggest that
America has never done anythingbad to the rest of the world,
you are a fucking liar.

(33:55):
Okay, now if you have the ballsto be here in America enjoying
what America has provided forAmericans, then listen, it's
really hard to fucking criticize, Like again, like you know,
you're in your SUV while youbitch about fucking global
warming.
I mean, these things just don'tmake sense.
And there's a movie thatconceptualizes this concept,

(34:19):
encapsulated in one sentence,and it's a few good men, with
Tom Cruise and oh fuck, what'shis name now?
The general Colonel Jessup andJack.
Nicholson, and when JackNicholson is on the stand, you
know they finally get him.
Yeah, and they get him to, theyget him to say something he's

(34:40):
not supposed to say and Iremember that he looks around
the courtroom and he says youfucking people.
Yeah, you don't have no ideawhat it takes to defend a nation
.
Okay, and as a kid, I rememberI watched that movie.
I was like 13 or 14 years oldwhen it came out.
I saw it in the movie theaterand I never forget I was with my
parents and we went to MollieAmerica's.

(35:02):
Okay, and I saw it.
Yes, bro, and I saw that movieand I always wanted to be a
lawyer.
After seeing that movie, I wascertain that's what I was gonna
be.
Okay, and I remember that, thatline, and I've never, ever
forgotten it because it's likeyou know what, for us to live
the way we live, we have tofucking kick ass and take names

(35:24):
all over the world.
We have to fucking trample onpeople all over the world.
We have to do the things we do.
And it's like listen.

Speaker 1 (35:31):
What the fuck do you want me to tell you?

Speaker 4 (35:32):
And by the way, if we stop, someone else is gonna
start doing it.

Speaker 1 (35:35):
We're not dealing with normal people either.
We're dealing with crazy people.

Speaker 4 (35:39):
We gotta out crazy, the crazy to keep what we have,
yeah, and it's like peoplefucking, they don't understand.
It's like you hear these kidsnow and they're like, no,
because the US.
And this is like listen, let meexplain something to you.
Okay, if you show up to one ofthese countries that you think
we oppress and you show up withyour bullshit, you are the first

(36:01):
one on the fucking choppingblock.

Speaker 1 (36:02):
Well, how about the LBGQ?
Whatever?

Speaker 4 (36:06):
Yeah, they're at a palace night.

Speaker 1 (36:08):
Yeah, you would be thrown from a building.
You know what they do to gaypeople they blindfold you
because they think it's funny.
They blindfold you before theythrow you off a building.
Why do you need to add theblindfold?

Speaker 4 (36:22):
Yeah, just to be an ex-dick.
I mean another reason, so thatyou go from like the.

Speaker 3 (36:27):
G-Force butterflies to sudden impact without knowing
what it's coming.
I mean it's only yeah.

Speaker 4 (36:31):
Listen, it's fucking crazy.
I'm telling you.

Speaker 3 (36:33):
I'm gonna toss this one, kik.
I kind of alluded to it, but Ireally think it's important One.
By the way, I saw that moviewith my father as well.
Colonel Jessup was his favoritecharacter and he hates the
non-fans.

Speaker 4 (36:41):
Yeah, he's the man.

Speaker 3 (36:42):
He's the freaking man .

Speaker 4 (36:43):
The man.

Speaker 3 (36:44):
That Jessup was this evil guy.
My father went to militaryschool the bag of oranges in the
middle of the night thathappens, yeah, you don't screw
up, because then everybody theytake care of it amongst
themselves, right.
Right, that's the thing.
But this is the question.
My brother always said that alot of the ivory tower thinking
is good, first order thinking,we should redistribute all the
wealth, okay.

(37:05):
What happens the day after that?
Nobody has a reason to go towork, everything stops, nobody
owns anything Like.
It all comes toppling down.
But it sounds great on paper.
Okay, so the US is not the one.
Who else do you trust to takeand be Like?
I mean, I would say lookingglobally at what we've done as a

(37:27):
country, I don't think anybodyelse after World War II gives
everything back.

Speaker 4 (37:32):
I mean a God knows, but nothing's with them.
It's like, by the way, I wasjoking about the whole thing
picking you know the same thing,the conversation with the
protest and this, and that wewere driving back from Bokeh and
we're talking about Gaza andwe're like, yeah, and somebody
was asking in the car, what's itmeant by this concept of the

(37:53):
open air prison?
Like when you hear that Israelkeeps all these people in an
open air prison, what's thatmean?
And I was like, well, what itmeans is that it's a very small
little fucking area that'scomplete fucking trash.
It's like the poorest.
I think it's like the poorestplace for capita in the world,
many times over.
Imagine, it's five miles wideby like 20 miles long and

(38:15):
there's two million people inthere, okay, and so they control
the water coming in, theycontrol the power, they control
the fuel, the food, the fuel,everything, and you can't leave.
So that's what's meant by thisopen air prison.
And then this other guy in thecar who's very smart and he's a
cynic and he's like, well, weshould probably start looking at

(38:36):
real estate there, becausewe're about to spend billions of
dollars to rebuild it.
So it's gonna be fucking greatnow it's like now it's gonna be
high rises and fucking, becausethat's what the United States
does.
We fucking bomb shit and thenwe go in there and rebuild it
and it's like so it's like theAmericans are attacking you.
It's like I got good news and Igot bad news.

(38:58):
The bad news is, americans areattacking.

Speaker 1 (39:01):
That's the bad news.
You go weather the storm.

Speaker 4 (39:03):
The good news is, if you make it, you're gonna get
all new shit.
And so it's again.
But this notion and it reallybothers me, man, like the kids,
the youth, this anti-Americansentiment that people have while
they're in America drives mefucking bananas.
And there's a differencebetween wanting your country to
be better and improvement forthe country and like, of course,

(39:25):
that's all good.
But man, this shit that youwere like actively anti-American
, you know, and like you knowpeople, like there was a
petition recently to change theAmerican flag, literally like
there was a famous artist.

Speaker 1 (39:38):
What sector was that?

Speaker 4 (39:41):
It's a wide variety of, I would say, left leaning,
it's the left leaning, it's theleft leaning sector.

Speaker 3 (39:47):
I mean it just, and this is the piece that always
troubles me the thing that usedto unite us was our love of this
thing that we had here, likehey look, we might politically
disagree, but this thing we gotgoing on here is so much better
than what we could do any placeelse.
Let's figure out how to bridgethe gap.
The position that, especiallyin college, that I was exposed

(40:11):
to was kind of this we're amorally wretched country.
That is completely irredeemableand I think when you start from
that place it breaks down anyhope of a narrative between the
other side, because the peoplethat appreciate what we have
here they don't wanna hear thatcrap.
I mean, I don't wanna hear thatmy relatives died, did not come

(40:34):
back from wars and you thinkthat everything that we did, I
mean exactly who would you whichpick the country?
That's the moral superior?

Speaker 4 (40:42):
No, no, and not just that.
But how about?
It's like also the obviousthings that people don't ever
take note of, which is?
It's like you're here and youcomplain about how it is in the
United States and yet I don'tsee.
And maybe it's our media, okay,Maybe it's the media, the
control, and they only show uswhat they want.
All this bullshit that you hear, but it's like.
Are there any other countrieswith like millions of people

(41:05):
trying to like cross the borderconstantly, like are there.

Speaker 1 (41:08):
I mean, I'm sorry, that's what I tell your lefty
boy.

Speaker 4 (41:11):
I'm like hey why is it so good?
It's like I just don'tunderstand.
Why are people fucking dying,risking their lives, bro, hey,
alligator, infested waterspaying these people called
coyotes that rape them and gettheir ass on the way here?
Why are they doing that?
Is there any other country thathas the fucking waiting list
and the fence jumping that we do?

Speaker 3 (41:32):
I mean I don't get it .
My brother put it perfectly.
He said to me one time myexplanation to people that want
to talk about socialism.
He said there's a raft halfwaybetween Cuba and Florida.
Which way are they paddling?

Speaker 4 (41:45):
Right, right, it's just fucking crazy, by the way,
your brother's the only rightleaning professor that I think I
know.

Speaker 3 (41:52):
Well, there is a small cadre that exists, but
they have been cowed intoscience.

Speaker 1 (41:57):
He's a professor in what Theology?

Speaker 4 (41:58):
Philosophy, philosophy, but, by the way.
So let's talk about that,because that's another thing.
So the other.
Now let me do my best tochastise the other side as well.
The problem is all these newconservatives that we have, all
these new super right wingers.
They're also very short onhistory, so it's like people

(42:19):
have no fucking clue how much ofthis we've seen before, and
there's even a cliche for it.
It's like if you don't knowhistory, you're doomed to repeat
it.
Okay, and it's like.
So there's a great book.
The book is called the DanteClub.
By the way, the book is notabout politics.
I haven't.
It's a great book, the DanteClub.
The author is a guy namedMatthew Pearl, and what this guy

(42:42):
, matthew Pearl, does is he'lltake historical events that are
somehow unresolved and thenhe'll write a book that's based
largely on the historical eventsand then he'll weave in his
fiction Like he'll tie off thestory.

Speaker 3 (42:58):
Also like Robert Gaines, like Guy Cloddy, yeah,
yeah, yeah.

Speaker 4 (43:00):
So very cool writing style, and this book is called
the Dante Club and it's, by theway, the book is not at all
political, but there's thisundertone in the book that's
fascinating, which is that whathappens in the Dante Club is
that in real life, in history,dante's Inferno, the book was
written in Italian, okay, so nowyou have all these publishing

(43:24):
houses, you all this shit, andyou have Google translate, right
, and you can bring it up inwhatever language you want, but
at the time that's not the wayit worked.
At the time, you neededscholars, and this is like in
the 1800s, when this ishappening, when the Dante Club
takes place.
You needed these scholars totranslate.
Translate all the books, thesebooks into English, for example.
Okay, and the United Statesbeing largely Protestant and

(43:48):
controlled by Protestants, likethere's only been one Catholic
president right.
They translated one of the trans, John F Kennedy well, they
didn't want to translate Dante'sInferno because it was too
Catholic.
Okay, so there were these groupof famous American poets and
scholars, one of them beingHenry Wadsworth Longfellow that

(44:08):
was part of the small group ofuniversity professors and it was
in, like Massachusetts areaHarvard, cambridge, yale, these
places that translated Dante'sInferno and they called
themselves the Dante Club.
Okay, and so they would meetonce a week to go through the
translation.
Now here's the fascinating partabout the book.

(44:28):
They were catching a lot ofheat in real life for doing that
because, again, the Protestantauthorities didn't really want
Dante's Inferno to be translatedinto English.
So in the book, all of a sudden,what starts happening is that
there start to be these murdersin Boston and the bodies would
be positioned so that they wouldbe found.

(44:51):
And in these horrible, horribledepictions okay, and the first
murder is of a judge, okay, andthis judge gets murdered and the
way his body is placed and thewhole thing, the investigating
authorities, the police and thedetectives they were horrified.
They didn't know what to makeof it.
They knew it was a serialkiller.

(45:13):
So the book's about a serialkiller, but all of a sudden,
longfellow and the guys in theDante Club, they realize what's
going on.
These bodies are being set upin a way that represents each
one of Dante's circles of hell,so what it meant is that the
killer has read Dante's Inferno.
Now, why were they interestedin that?

(45:36):
Because they felt they weregoing to be accused Because they
were among the very few peoplethat had read Dante's Inferno
and in fact they were activelytranslating it, so they launched
their own hunt for the serialkiller.
So like there's a detective andthe cop, so the book shifts
between the detectives and theway the law enforcement is

(45:58):
trying to find the killer, andversus how these professors were
trying to find the killer.
Okay, these poets, based ontheir knowledge of the book.
Fascinating book.
But the reason why I bring itup is because universities have
long, long been a place that isleft leaning.
Universities and professorshistorically going back

(46:22):
thousands, you know as long asuniversities have been around.

Speaker 3 (46:26):
It's a fairly risk averse type of occupation.
It tends to attract people thatare smart but don't necessarily
have the risk profile to go outinto the so is that having the
balls to be an attorney, you'regoing to teach attorney?

Speaker 4 (46:38):
But he's asking why they're typically left leaning.

Speaker 1 (46:41):
Yeah, he doesn't, I would say that the smart person
and you're kind of risk averse.

Speaker 3 (46:46):
So, richard, for example, your case.

Speaker 1 (46:48):
You're an attorney.
Yeah, right, you had the ballsto go out and actually be an
attorney.
Right, the attorney professor,the law professor that never
went onto the field.
Right, there's a bunch of those.
Right, there is so much money.
Right, that's the risk, that'swhat he's entering.

Speaker 4 (47:01):
That's the risk averse, yeah, but I don't see
why that in and of itself wouldmake those risk averse people
more left leaning.
I think what happens is.

Speaker 3 (47:10):
The left leaning politics typically is very
protective.
We've got to look after.
We need social security, all ofthese things that are kind of
like I'm like, hey, don't giveme fucking social security there
are based in more nice cities.

Speaker 4 (47:24):
They're the government workers.

Speaker 3 (47:25):
They're the government workers.
It's a more risk averse view oflife.
Like I want greater certaintyand I'd like the government to
provide that for me, as opposedto kind of the.
I'll provide my own certainty.
Thank you very much.

Speaker 4 (47:36):
I think that's where the break and I'll tell you what
most trial lawyers believe itor not, it's like known fact.
Most litigators are also leftleaning, really.

Speaker 1 (47:46):
Yes, and here's why because that fucks your theory
up.
No, yeah, it doesn't, and itdoes.

Speaker 4 (47:51):
Well, that's what I'm saying.
I think it's part of whatCadillac's saying, and then I
think part of it also is likethe amount of education, because
again, here's a good example ofit, and I was explaining the
same thing in the car when wewere coming back and talking
about the problem with rights.
Okay, the problem with rights,the responsibility yeah.
Which you don't often hear, isthat.
Look.
So the Constitution, the FourthAmendment of the Constitution,

(48:16):
protects the American citizensfrom what Unlawful searches and
seizure and, like you know, thetorture and things of that
nature.
Okay, what does that mean?
Okay, if you're driving downthe road and you have 10 pounds
of cocaine in your trunk and youget pulled over, cocaine is

(48:38):
usually measured in kilos.
Okay, in kilos, as soon as hisknowledge of cocaine is superior
to mine.
So you got 10 kilos of cocainein the trunk.
Officer pulls you over If thecop has.
And, by the way, then there's abunch of rules in criminal
procedure and in criminal law.

(48:58):
It's called a Terry stop is thecase, it was the case, called
Terry.
And there's a Terry stop andthere's all this criteria that
the officer has to go through tofirst detect a problem, ask
certain questions, et cetera, tothen be able to lawfully prefer
perform a search of the vehicle.
Okay, and what do I mean bylawfully?

(49:19):
I mean he's can't just decideget out of the fucking car.
I'm searching just because he'slooking at you, yeah.

Speaker 3 (49:24):
Yeah.

Speaker 4 (49:24):
Okay so, the profiling concept that we often
talk about.
You can't do that.
Okay so.
So you can't just look at theguy and say, oh.

Speaker 2 (49:32):
I think you're probably a drug dealer.

Speaker 4 (49:34):
So I'm going to search you, okay, and what
happens is that if you, if youviolate these, these rules, okay
, such that you then performedan unreasonable search and
seizure.
When you find the 10 kilos ofcocaine, okay, the guy gets
arrested.
What's the famous policeofficer phrase?
You can beat the rap, but youcan't beat the ride.

(49:56):
Okay, so you're gettingarrested.
When you're a criminal defenselawyer gets hired and you take
that case.
He's going to file a motion tosuppress the presentation of the
evidence of the cocaine.
And guess what?
He is going to win that motionto suppress.
In our example, we've assumedthat the search was unlawful and

(50:18):
this concept that you don't getto present the, that the
prosecution is now barred fromcoming into court and saying,
hey, we're charging this guywith possession of cocaine and
here's the cocaine we found onhim.
Okay, you're inability topresent that.
That doctrine is called, evenif there is cocaine, 100%.
In fact, especially and here'smy point, it's especially

(50:40):
because there's cocaine thisconcept, this doctrine is called
fruit of the poisonous tree,okay, just like the religious
thing.
Or you ate the fucking apple,okay, and so.
But here's what people don'tunderstand, people that don't go
to law school.
They're upset with this shit.
Okay, they hear that andthey're like criminals get off
on technicalities, you know,because it's like they want.

(51:03):
They people don't understand.
Until you go through thetraining in school, you're like
but they found the cocaine.
Like what the fuck do you mean?
We don't get to prosecute likethe guy, like this, does he even
?

Speaker 1 (51:13):
have it.
So if I had it, I'm right,right.

Speaker 4 (51:15):
Like does he get the cocaine back?
And it's like no, he doesn'tget the cocaine back.
But so there is that.
But right, but, but he's notgoing to jail for possession of
cocaine, because guess what?
The prosecution is presentedfrom presenting the cocaine Now.
Now, why does this matter?
Now, again, let's go back tothe average, the layman citizen,

(51:35):
who's upset that criminals getoff on these technicalities.
And here's what I tell peopleall the time Justice Scalia,
antonin Scalia, one of the mostconservative justices ever.
Okay, he's got a very famousopinion out there where, where
he says something to the extentof it is only by preserving the

(51:57):
rights of these people thatcommit these crimes that
law-abiding citizens rights areprotected.
Because here's what happens Ifyou are driving now let's take
the same example You're drivingdown the street and you look
like a drug dealer, whatever thefuck that means, I don't know
what it means, but you look likea drug dealer and the cop pulls

(52:17):
you over and guess what?
You're not a drug dealer, you'rea fucking saint.
And the cop takes you out ofthe car, slams you on the hood,
it turns all your cars up, bringthe fucking dog, all your shits
, on the side of the road.
You're embarrassed.
This happens in yourneighborhood.
Your neighbor Susan's like this.
She's driving by and she's likeoh my.

Speaker 1 (52:36):
God look at.

Speaker 3 (52:36):
Richard, right right, so holding right now you got a
cell phone, this and that Guesswhat, guess what?

Speaker 4 (52:43):
Because you have no nothing to to be arrested for.
You have no remedy.
Like you have no remedy, likewhat are you going to do?
You're going to go to thepolice for unreasonable search
and seizure.
You can't do that.
They have sovereign immunity.
You can't sue a cop forsearching you like that.

Speaker 1 (52:58):
By the way, people say that all the time to the
police, right and so and so,yeah, and so what happens is.

Speaker 4 (53:04):
What happens is we have to.
If we don't, like make surethat rights are protected, even
in a case where, like, thecocaine is there, then you don't
have rights, bro, you get it.
So it's like so.
So when you go to law school,all of a sudden, if you walked
into law school thinking, man,if I find you with cocaine, you
should be, you know, like,obviously you got to go to jail.

(53:26):
Then you go through criminalprocedure and you go through
evidence and you realize why itis and you're like, oh, the
constitutional protection, Fuck,that's pretty important.
And it's especially importantfor people that are not driving
around with cocaine, becausethis is what incentivizes police
officers to do the right thing.
They're incentivized to do theright thing because they know
that if they do the wrong thing,then criminals get away.

(53:48):
You follow, you know.
That's why I think in general,why do education?
Why does the?
Why does more educationcoincide with more liberalism or
left leaning thinking isbecause, man, you're given like
again, you're given theunderstanding of why things are

(54:08):
the way they are.
Like, if you're not educated,you know, you, just out there
bro, I have a.

Speaker 1 (54:12):
what did that make it where?
That okay.
So if the more educated personleans that way because they are
more educated, wouldn't thatalmost make it the right way?
Like the more educated way makeit the right way?
So, and that's not the case,because socialism has been
proven to fail time and timeagain.

Speaker 4 (54:30):
So let's, let's, that's tricky so let's talk
about that for a minute, becausethis is where I think Cadillac
makes the great point.
Which is the problem is thatthere is a difference between in
in life.
Okay, it's part of, in my view,god's irony.
There's a difference betweentheory and practice, okay, and
so what happens is that intheory, a lot of these things

(54:51):
are sound great.
They're great concepts thateverybody should have enough and
listen, a full-time job shouldpay for your enough shit, and
all these things.
In practice, it becomes alittle bit more complicated,
okay, now, now what I think most, let's call it, you know, super
educated socialists would sayWait, gal tried everything

(55:11):
possible to get out of thisinterview thing and show it up
45 minutes later.

Speaker 1 (55:14):
I'm going to get you out.
Go in here.
We're.
We're.
We started already, but how?
You doing Rich Barba.
Good to meet you, josh, theother white guy in Miami.
All right, go ahead.

Speaker 4 (55:26):
Finish, um well we were just talking about why.
Why universities tend to beleft leaning and why they crank
out more more left leaningthinkers than than otherwise,
and so these um.

Speaker 3 (55:44):
I love.
I love what you're saying, Rich, and I think that the the one
thing and this is where historyis so important the founders had
such a tremendous fear ofgovernment oppression, of being
oppressed by government, thateverything was set up Like, if
we got to go one way or theother, let's, let's set things
up so maybe a criminal gets away, so that the government can't
overreach, can't oppress theindividuals by taking rights

(56:07):
away.
But that that that makes thatmakes great sense.
I I'll never forget when I wentto get my my concealed weapon
permit years and years ago wasmy favorite classes.
You should give these classes,man.
It was great, the guy.
The whole first part of it wasabout castle law and the Magna
Carta and the idea that you know, when people were trying to get
this idea of like having rightsthemselves and saying, well,

(56:27):
like the king, they're going tothe king.
Like, well, the king's like allright.
Well, fine, what kind of rightsdo you want?
Well, look, you know, nobodywould ever come in your house
and like grab you and take youout, right, well, my house is
kind of my castle I mean, it'snot as big as yours but like,
I'd like to have it.
Yeah, like I'd like to have it,like that's a place that they
can't just come and grab me,like they got to get, they got
to go through a process right,and this, this slow movement

(56:51):
from you know, people were justbasically chattel almost, and
that served as the whim of thedivine appointed ruler to the
place where people had this ideaof individual rights has been a
long time coming, but withanything there's a point of
diminishing return Absolutely,and I think that's the place
where people are trying tocontinue, trying to have a
relevance in life, to continuethese great battles for equality

(57:15):
, and all that has now maybegone too far.
There's, there's, there's nolonger any, any juice left to
squeeze there, or what juice isleft isn't going to be good
juice when we do squeeze it Kindof yeah, no, I don't disagree.

Speaker 4 (57:29):
And like, and when you say, Jesus, you know,
socialism has never workedanywhere and all that this is.
These are indisputable facts,but I think what I think these
people would say okay is like,for example, Marx, okay, but
who's, you know, widely believedto be the father of socialism.
Right when, when Marx was,which was your old dog's name,

(57:50):
Mark C yeah, so when, when, yeah, had a Y, though it was very
important distinction.
So so when you, when, when hewas writing, there was already
the notion of socialism alreadyexisted, he didn't invent it.
Okay, Now, he actually hatedexisting here, their two for

(58:11):
existing socialist, because hefelt that they were what's
called utopian socialists,meaning that they had this
bullshit view of you know this,this paradise where you wake up
in the morning and you fuckingpaint and then in the afternoon
you want to fucking play theflute, and you know, and
everyone has all these things.
And then and he had, and he hadthis what he felt was this

(58:32):
concept called son Scientificsocialism, okay, which he felt
that it was inevitable.
Okay, that what happens is thatyou capitalism could not
sustain itself for a variety ofreasons.
And, by the way, what kind ofcapitalism was he referring to?
He was referring to AdamSmith's capitalism, pure
capitalism, which, by the way,we do not have, sure, okay, so

(58:56):
the notion that we have purecapitalism is can people are
like no, we're, we're strictlycapitalist?
It's like, meanwhile, you gotsocial security and you got
public school and you got, like,the United States, post office,
and these things are notpresent in Adam Smith's
capitalism.
And so what happens?
is Does anybody have anywhere inthe world?
No one, no one.
And in fact, and who do we haveto thank for the victory?
In my, my opinion, okay of likewhy this has been the most

(59:17):
successful form of economicgovernance in the world, was a
guy named Keynes, okay.
So John Maynard Keynes, aBritish guy.
And so Adam Smith was like theinvisible hand.
You leave the economy alone,you leave people alone.
The invisible hand willregulate, you know, the economy
and everything will be great.
And Marx was like no fuck thatthere's a ruling class.

(59:39):
You guys, you control thesurplus.
You make it impossible and, bythe way, that won't happen
forever, because the workersoutnumber you and the more
things become accessible, theless you can control and
eventually it's just going tocollapse on itself.
And Keynes was like both ofthese fucking guys are wrong,
okay.
And Keynes was like you have tohave an occasional government

(01:00:00):
intervention in the economy topreserve this form of capitalism
.
It doesn't work on its own, soit's more efficient.
Keynes would have said for thegovernment to do things like
handle the road building, okay,and the road repairing, even if
they sub it out, and they haveto have, like, public schools
and we have to have these things.

(01:00:21):
And so it's like we have theseelements that are contrary to
capitalism in capitalism and, bythe way, the term for that was
neocapitalism.
Okay, so that's what we have.
It's a version of capitalismthat has some of these
ingredients in there.
So, just to answer your question, you know Marx would tell you

(01:00:41):
no communist country is actuallycommunist because they don't
have advanced capitalism.
Marx believed that you have tohave advanced capitalism to be
able to achieve communism andthat's why the Russians threw an
entire generation of people atindustrializing.
Like you know, people don'trealize what Stalin did.
He was fucking horrible.
You talk about fucking aterrible guy, bro.

(01:01:01):
That guy threw like 100 millionRussians at turning Russia from
an agricultural country to anindustrial country in five years
.
He industrialized the countryand by throwing an entire
generation at Russians at itaway.
Yeah, and because he believedthis concept that Marx and Lenin
were promoting, that you haveto have advanced cap.

(01:01:22):
You can't achieve communismwithout advanced capitalism.
So, and listen, I don't know ifit's true or not, but I'll tell
you what.
Like, think about it.
Cell phone Okay, when theyfirst came out, we all first
started walking around with cellphones.
What was the price of thefucking cell phone, remember?
And making the calls and this,and that Now they give you the
fucking phone.
Yeah Right, and that's theconcept that he's saying that

(01:01:42):
the technology just becomes, soit proliferates to the point
that, like you have to findsomething else to make money on.

Speaker 3 (01:01:50):
And the big problem for me always because I'm not a
big kid, by the way do you wantto introduce?

Speaker 4 (01:01:53):
Gal.
Yeah, I wanted to finish theconversation, yeah.

Speaker 1 (01:01:56):
All right, so let's introduce everybody.
We got kind of not start thewhole podcast, but we got out of
kind of like a little reset, soI want to introduce you to
everybody here.
Richard, friend of mine for toolong, what was 20 years now?

Speaker 4 (01:02:08):
Yeah, I know it's been a rough.
I say he knows you well.

Speaker 1 (01:02:13):
So he's an attorney, a real estate attorney, because
I basically almost forced him tobe a real estate attorney.
He was a regular ambulanceJason before Right.
He is now technically Richard.
Would you consider yourself themost powerful real estate
attorney in Florida?

Speaker 4 (01:02:29):
No man.

Speaker 3 (01:02:30):
Absolutely I mean listen, man just paint the
target.

Speaker 4 (01:02:34):
No no, no, fuck you.
There's an argument for that.

Speaker 1 (01:02:37):
There's an argument for that.
No, that's ridiculous.
Don't be humble now.
No, no, if we were outside hewould be like fuck you the
microphone's on.
So he's humble all of a sudden.

Speaker 4 (01:02:48):
We say more than enough.
We make more than enoughcancelable offenses on this
podcast.
That would just be another one.

Speaker 1 (01:02:54):
So my partner, the title company.
We've done thousands andthousands of deals.
Mr Cadillac is a world renownedreal estate, a real estate
instructor for the NationalAssociation of Real Tourist
Travels all over the country,you know, teaching real estate
to fucking places like Wichita,kansas and Montana.

Speaker 3 (01:03:14):
Instructor of the Year for Cody Wyoming.

Speaker 1 (01:03:16):
Instructor of the Year.

Speaker 3 (01:03:17):
Yeah.
Instructor of the FloridaAssociation of Real.

Speaker 1 (01:03:19):
Tourists.
This is a second book publishedauthor.
You know me, so let me tell youso, gal he cheats.
That's a hard act to followabout.

Speaker 2 (01:03:28):
You're an awful ridiculous player of all time.

Speaker 1 (01:03:32):
So, gal, he tried everything possible.
He's really good with thiscalendar, but today he
double-booked for whateverreason.
Right, he was late even to thedouble-booking, just so that.

Speaker 2 (01:03:40):
To be fair, yeah, because you sent me the invite
in central time.

Speaker 1 (01:03:44):
Yeah, I was in Oklahoma when I sent it, so I'll
give you that, I'll give youhalf an hour there.
But so, gal, he is a unique.
So we're starting to.
You know, this is like ourWe've done some interviews, but
we're starting to do interviewsa little bit more now.
So I love to shit on the excusemakers in this world, right, as

(01:04:06):
you do too.
I mean, we align in almosteverything, right as far as
that's concerned, right.
So a lot of people, when theysee a rich person anybody who
would see your house in thefucking keys, basically right,
would be like, oh, this guy,either he inherited the money or

(01:04:27):
he got lucky.
And listen, I'm not going tosay that there's always luck in
business, and there really is.
I mean there's, but the harderyou work, the luckier you get.
So you know, gal's an extremely.
So what I want to get out ofthis interview, right, is what
you would consider I mean, we'vetalked about a lot of this

(01:04:48):
stuff already Would you wouldconsider the keys to success?
How do you become a fuckingroofer right to a person worth
well over?
I could say these numbers alittle bit.

Speaker 2 (01:04:59):
I'm curious what number you're going to say yeah,
yeah.

Speaker 4 (01:05:04):
Over 100.

Speaker 1 (01:05:08):
Over 100 million.
Let's call it.

Speaker 4 (01:05:12):
Any story Jesus tells the walk gets a mile longer,
gets a foot deeper.

Speaker 1 (01:05:17):
He's definitely well over 100 million.
So how do you get from Now?
Did you start out of Mexican oryou were always white when you
started roofing?

Speaker 2 (01:05:28):
I started in Mesa.

Speaker 1 (01:05:31):
So tell me a little bit about how you started.
You know just a regular, youknow worker, a roofer.

Speaker 2 (01:05:39):
Yeah, well, kind of going back even before my
professional career, I think.
Is the microphone close enoughto him or no One of the things
that I can remember.
You know, even in college,which I only went for two years,
but I can remember like wakingup in the middle of the night

(01:05:59):
and I had a recorder beside mybed that I would just you know
and I'd be worried about youknow what am I going to do next?
So I've always been this hadthis like insatiable appetite to
kind of advance, right Eventoday, Were you a good student?
I was, so I was smart, I gotgood grades.

(01:06:20):
But it's like the adage right,the A and B students will always
work for C and D students.
I wasn't a C and D student butI did as minimal as I possibly
could to get.
I did by heart, anaticallygreat and to the point that's
actually why I left school.
I remember I was sitting in a200 level English class
listening to the guy you know,the professor and I'm like this

(01:06:43):
is a waste of my fucking time.
I cannot sit here for fouryears Like I have to go make
money and there's other shit Ican do.

Speaker 1 (01:06:49):
There's shit happening right now that I need
to be a part of Right.

Speaker 2 (01:06:52):
So I think that's one thing for me, right, and it's
not a requirement to besuccessful.
But I just had this likewhatever the and the opposite of
complacency is my entire life.
So I think that's one thing.
And then I tell people, all thetime for me, and I think for
most a lot of kids, particularlytoday, spend like the 20 to 30

(01:07:13):
year timeframe hanging out,partying, doing whatever I
didn't.
I did that like from like 14 to18.
And I was just to the grind allthe time at 20 years old or
whatever right.
And then obviously today, likeeverybody wants it now, kind of
in sync gratification.
That's just not the way itworks, right.

(01:07:33):
There's a you know, I think youcan.
This is where I think I gotlucky.
I found an industry that wasreally good by accident, right,
Like I didn't.
I can't say that I thoughtthrough.

Speaker 1 (01:07:45):
You didn't grow up wanting to be a Roofer.

Speaker 2 (01:07:46):
Yeah, or even I mean I grew up so where I grew up,
rural kind of mid-Atlantic onthe Eastern Shore of Maryland
everybody that had money and itwasn't like big money but upper
middle class were watermen,farmers or construction workers,
right, what's water Likeseafood industry?
Oh God so.
Crabs, shrimp, fish oh God.
So.

(01:08:08):
I didn't grow up in a city, solike my kind of expectations
were kind of in those threefields.
So I was in construction inhigh school and college and
whatever.
So that's just what I knew howto do and I wasn't like super
formally educated so I wasn'tgetting into finance.

Speaker 1 (01:08:25):
I've learned finance throughout my career but but at
this point your knowledge offinance is pretty fucking high
level.

Speaker 2 (01:08:35):
It is, but you have to right, Because when you start
selling businesses and buyingbusinesses and consolidating and
you just learn yeah, Iforcefully sat through a couple
of his.

Speaker 1 (01:08:46):
We've been on the car on a road trip.
I've sat through hour longconference calls with him, with
financing and it's high, highlevel knowledge of finance and
just business as a whole.
And you didn't study business,nope, right.

Speaker 2 (01:08:59):
This is all stuff that which I think, like to me,
that's the point right, like youdon't have.
I've been talking to people andespecially with my kids right
now, like kind of going back andforth.
Like you know, does it makesense to send them to college?
We don't.
My wife and I don't believethat the juices work to squeeze,
so to speak.
But I think you have to bereally intentional about like

(01:09:20):
being able to source theknowledge from somewhere.
And what I worry about is likethat's me, like I'm always
looking for kind of the nextthing I can learn.
But if your kids aren't likethat, like if it's not part of
their personality, then you'relike okay, well, maybe they do
need to be in this structuredenvironment.
So I kind of go back and fortha lot.

Speaker 1 (01:09:39):
Yeah, and when you had the lefty stuff that we were
talking about a little whileago and I didn't know what
you're talking about today, well, that, yeah Richard's talking
about.
It's always been like that.
Even that, though, it's alwaysbeen like that, so it's not.

Speaker 3 (01:09:49):
It's just the ratio is skewed significantly more
that way.
I think social media brings itout more than that.
I'm trying to remember what itwas.
It was a book written by acentrist and a guy on the left
about college, talking about howthe ratio of left-leaning
professors to right when asurvey was sent out was like
seven to one and now it's like49 to one or something like that

(01:10:10):
.
I mean, my brother knows.

Speaker 2 (01:10:12):
Yeah, but it makes sense though.
Right, he's down.
Yeah, he's down.
Well, we're trying to figureout what Professors are just
people that have never doneanything right and they tell you
how to do stuff right.
So it's just like a governmentbureaucrat, right?
They never actually, so theyyou know, somebody with that
personality has a tendency to belike the back to school movie.

Speaker 4 (01:10:28):
All the professors are like fuck these guys, we're
signing off.

Speaker 3 (01:10:32):
I mean it's kind of like it's kind of like my
general contractor's license.
When I go for C for my generalcontractor's license, the
classroom is a sausage fest,it's all dudes and nothing
precludes a woman from getting ajob.
But there is a tendency thatthat particular type of
occupation tends to bring in acertain demographic.
I think it's the same thingwith college professors that

(01:10:55):
it's just that type of structureappeals to people that have
certain political leanings.
I think those two thingsactually cobble together.

Speaker 1 (01:11:05):
So, going back to what do you think?
So you started off inconstruction.

Speaker 2 (01:11:12):
So yeah.
So in high school I was a Mason.
Early college I was a Mason I.
You know, I go to college, Iget fed up with this professor
and I'm like I can't sit hereand do this.
So there was a couple littlelegal issues in there at the
same time and I had a buddy thatworked for I don't think down

(01:11:32):
here you guys have Ryan Hems,but they're like a top ten
builder.

Speaker 1 (01:11:35):
We got up north a little bit like Central Florida.

Speaker 2 (01:11:38):
He was a superintendent for Ryan Hems and
they were struggling withFinnish carpenters and I had
never done it before.
I'm like, fuck it, I can figurethis out.
It's hanging trim on a stack,but let's not overlook that.

Speaker 1 (01:11:50):
That right there, I think, is if there was a gene
for self-employed people and I'msure if it's studied, it is
it's the figure it out Figure.
Okay, I'll do it and I'llfigure it out later.
These professor types are likelet me figure it out first and
then I'll do it.
You know what happens, I'll doit.

Speaker 2 (01:12:08):
So that there's a gene.
I have employees all the timethat I'm like you are.
I mean, if you just had alittle bit of confidence and
we're like, fuck it, I'll figureit out, right, this guy's the
limit.
They just it's just not.

Speaker 1 (01:12:18):
It's not in their DNA , it's just not.

Speaker 4 (01:12:20):
It's funny.
I just on that exact point, Isaw a guy.
Man, where did I see this?
I was just watching a guy talkabout how, from the minute you
walk into school, they beat outthe entrepreneurial spirit from
you.
It's like school is designed tocreate employees, and the reason

(01:12:45):
for that is because, forexample, I want to say it was
like it's either publiceducation, trust or something
like that.
The original the government isgoing to get involved in
education was started by HenryRockefeller and one of the guys
like famous phrases was that I'mnot in the business of creating
business owners, I need tocreate employees, and it's like

(01:13:08):
everything is set up to help yoube a good employee.
But not right, but not to belike an entrepreneur.
So it's like, you know, the guythat was having it was on
Instagram, I think.
Now that I remember and the guythat's like having the speech
about this, he's like thinkabout it, you got to raise your
hand to take a piss.
It's like, hey, can I go to thebathroom?
And it's like can I go to thebathroom?
I got to fucking take a piss,you know what I mean, what the

(01:13:29):
fuck is this and I mean,obviously you need some
structure.
But it's funny you say thatbecause people they just it's in
them that they can't.
They just can't do it.
They don't think that way, youknow, they don't.
It's like they want to be toldwhat to do.

Speaker 1 (01:13:42):
By the way, no matter because I've had, I have these
people here.
I remember I train people for aliving.
At the end, I recruit them, soI interview.
There's not one agent.
We got 500 agents.
There's not one agent that Ihaven't interviewed.
That's the one thing I don'tmiss, no matter what I delegate
the fuck out of everything.
I interview every single personthat comes into the business.

Speaker 2 (01:13:58):
Do you do predictive index?
No, I tried it might be toohard to do with.

Speaker 1 (01:14:03):
I did.
I did try it and it neverworked.
My predictive index at thispoint it's in my.
I could tell you pretty much.
I mean I'm wrong every once ina while but I could tell you who
has it and who doesn't.
You know, and who has thementality and it.
And I'm telling you the IT guys.

Speaker 2 (01:14:17):
So I, one of my companies, we just started doing
it really heavily, all all hot,not field guys but but all
middle management up and atfirst and I hadn't had a ton of
exposure to anything come fromcorporate America, so I was like
this is bullshit.
You can answer your ownquestion, like you know.
But I will tell you it is atleast in my experience so far.
It's a game changer in terms ofone balancing your team,

(01:14:39):
particularly leadership team,right, because if everybody's a,
you know, the same thing it'snot you know, but two it it
helped and I'm not like I don'tnot hire somebody because
they're in a certain category,necessarily, but you know who
they are.
You can't, it helps you watchout and help you know, helps you
work on their careerdevelopment.
What do I need to?
What do I need to help him withor her with, or whatever?

(01:14:59):
So I think it's prettyinteresting actually.

Speaker 3 (01:15:02):
Put them in the right place.

Speaker 2 (01:15:03):
Yeah, put them in the right place and pair them with
the you know whatever theircareer development is Set the
system up and everything takencare of.
Because they're telling you, Imean, through that predictive
index, they're telling you whatthey are good at or aren't good
at, right so, and whatenvironment they need to be in,
and that kind of thing.
So it's I'm, you know, earlydays, but pretty big believer.

Speaker 1 (01:15:22):
Yeah, yeah.
So I tried it.
We had a questionnaire and thewhole situation and it ended up
being wrong more than it wasright Really, and to me,
remember, you got to hire thesepeople.
They're for me, they're 10, 99s, so it's if I'm wrong I could
sit back and watch theexperiment and see oh fuck, I
was wrong you know what I mean,and it's not really going to
cost me anything.

Speaker 4 (01:15:42):
You also got to remember most of the people at
Jesus is giving these questionsto like.
They don't speak the language,so they probably didn't know
what the fuck they wereanswering anyway, I mean, listen
the language?

Speaker 1 (01:15:51):
he keeps on saying that, but the language here is
Spanish.
That's the fucking.

Speaker 4 (01:15:54):
That's what he's getting wrong.
Your index question was in.

Speaker 1 (01:15:56):
Your questionnaire was in Spanish, Probably a lot
of my stuff in Spanish.
Um, all right, so meetings areI know cause?
Yeah, I never know, what all mymeetings.

Speaker 4 (01:16:04):
Do you know that?
How many classes have you givenhere in English?
No, no, I know it's right,exactly.

Speaker 1 (01:16:10):
So, um, before the, I don't want to get, I don't want
to get in with this guy.

Speaker 4 (01:16:12):
He's triggering me, so I have more mature now and I
see it coming, so I'm going togo ahead and ignore it and
continue with the other.
I would say I'm disturbed.

Speaker 1 (01:16:26):
Hey are you turning?

Speaker 2 (01:16:31):
All right, so right home, so yeah.
So then I start doing, crank itall the way down.
Interior Carpentry for RyanHolmes.
Hire a couple guys didn't knowshit One how to do the work and
two how to run a business.

Speaker 1 (01:16:46):
So you didn't get hired by them, you, they hired
your company.
You started a company realquick.

Speaker 2 (01:16:50):
Yes, started LC, that's where you're
self-employed.
Yeah, and study.
At what age?
At what?

Speaker 1 (01:16:53):
1920?
.

Speaker 2 (01:16:55):
I was, yeah, 19.
Right, yeah.
So this is where I learned,like, the valuable lesson of
DSOs.
So, ryan, what's DSO Day salesorder, so how quickly you can
divert cash.
So the way Ryan Holmes works,or any of these big track
builders, is they take theselittle subs, they drag them out
90, 120 days.

(01:17:15):
Find some reason why not to payyou.
So what ended up happening therewas I quickly realized like I
couldn't actually make moneydoing this, like they're just
you were just making wages,basically.
So I left, I started doing somecustom building still
residential Met a guy who hadjust sold a business, a fiber

(01:17:38):
cement business, to the roofingindustry basically, and he
wanted to invest some money,build some spec homes, whatever.
So he started building spechomes.
Market tanked a little bit, hegot skittish, bailed out and I
was kind of left with the skillset but no real sustainable
business.
So I went to work for thecompany that he sold roofing

(01:17:59):
materials or sold his businessto the sold roofing materials.
So then over the next course ofI guess eight, 10 years or so, I
kind of hopped around a lotwithin that roofing industry and
sales I was single at the timeso most of the companies that
they would do with me is theywould.
I could move around, so theywould send me into a region that

(01:18:20):
was at a screwed up saleschannel.
I would fix it.
Move on to the next.
So I spent time in New York,atlanta, tampa.

Speaker 1 (01:18:28):
You're technically starting from the ground up.
You're starting, I mean, likeit's all the way in the body.
You started with materialsfirst.

Speaker 2 (01:18:34):
Yeah, in materials.
And then I realized, well, theguys actually make him only, or
the contractor, so I need to getcloser to that.
So I went from the manufacturerdown to distributors, to reps,
you know, kind of held all thesedifferent positions, all while
kind of learning the entireindustry, and I think I tell the
story nonstop to acquisitionsor whatever.
But the unique thing about myexperience was and this is true

(01:18:56):
of any fragmented business is aguy told me one time all these
guys are doing it differentlyand all of them are doing it
Right.
So that's roofing, that's HVAC,that's anything right.
So, you know, there's roofersthat do big box Walmart, there's
guys that do government,there's guys that do you know,
residential, whatever right, andthey're all going to win,
they're all going to make money.
Well, coming from the kind ofthe manufacturer side, I got to

(01:19:20):
see how they all did things andthen ultimately decide, you know
, start to imprint how I wouldrun a roofing company if I ever
owned one.
So anyway, I met my wife inFlorida, we moved back to
Maryland.
Where are you from?
I'm from Tampa.
Yeah, we've back to Maryland.
I started a rep firm sellingmaterials.

(01:19:41):
Ultimately, one of my customershad kind of his right hand
leave.
They were a small, you knowfour million-ish in revenue,
multifamily re-roof contractor.
Had his right hand leave,couldn't find a replacement,
asked me to buy the business.
I bought the business, sold myrep business, bought that
business, scaled it and thenultimately sold it to private

(01:20:01):
equity, which I'm actually stillinvolved with.
Right One thing that you knowI'm assuming there's going to be
entrepreneurs listening to this, right.

Speaker 1 (01:20:08):
So one thing that we talked about the other day that
I found very interesting right,because you've been on both
sides of it, you've prepped yourcompany to be sold right.
Right, you had to make changesto it and the way you ran it and
the way you structured it Inorder.
You don't you run.
One thing you mentioned was yourun.
There's two ways to run acompany just to run it right, to

(01:20:31):
make money, and then to prepareit to be sold right.
Correct, talk a little bitabout that.
Like, you know, what's thedifference between just, you
know, running a mom-and-pop shopto preparing a company to be
sold, to be able to beattractive enough for these
private equity guys.

Speaker 2 (01:20:45):
That's a kind of a two-part question, right,
there's things you have to do,like.
So if you're selling a house,you get a stage of house, you
get a paint.
You know that stuff has tohappen no matter what you do,
but to maximize value,particularly in an institutional
capital world, right.
So if you're trying to sell toa financial buyer, right.
So whether that be you know, asponsor, private equity,
whatever it is, you know thoseguys aren't operators.

(01:21:08):
All they want to do is eitherinfuse cash, so capital, or
human capital right, people andscale the business.
So the key in maximizing valueis creating a scalable business.
That is, you know, has it's notoverly complicated, right.
You do one thing, you do itwell.
You can throw cash at it andscale it.

Speaker 1 (01:21:29):
So I got five offices now and this is how I got the
five and this is how we'll getthe six, seven, eight, nine, 10.

Speaker 2 (01:21:33):
Yeah, and you got to be able to tell the story and
you have to.
They have to believe that ifthey just start cashed at it, it
will flourish, right.
So what I see because I do alot, that's primarily what I do
now is mergers and acquisitions,right because once you sold,
now you're looking at, youdidn't sell all of it.

Speaker 1 (01:21:46):
You sold a portion of it.
Now you're looking at buy.
Yeah, we're still building theplatform You're out there
hitting yeah, you're out therehitting people up and looking at
companies and figuring out ifyou're going to buy them or not,
right, yeah?
And diving deep into that andthat business and some others
too.

Speaker 2 (01:21:59):
But what I see people do and this is look, I get it
right.
If you're running a businesswith no intention of selling it
in a local market, you're justkind of thinking of how can I
make more money?
What do I like to do that typeof thing.
So, as an example, I looked ata company in Southwest Florida
that had they were primarily aroofer, but they had a crane

(01:22:19):
business, an HVAC business and alittle bit of a residential
business, which, if you're justrunning in your own little
market, you're trying to do asmuch, that's fine.
The problem is your message isdiluted and it's not scalable.
So you're diminishing yourvalue from a financial sponsor
because they don't want to do 10things, they want to do one

(01:22:41):
thing and throw money at it andmake it blow up.
So I think if you're trying toset your company up to maximize
value, that's one thing.
The other thing that you justhave to do generally is, which
most small business andentrepreneurs don't do, is
financial management, financialliteracy and kind of like you
know.
You know you have to dofinancial literacy and clean

(01:23:01):
books and month-end hard closeswithin 10 days, and so there's
some key positions thatcompanies don't have that they
all need to have.
Right, you need to have a CFO orat least a really strong
controller, and the other thingthat happens a lot of times in
small business which was true ofmine was the business was
dependent on me, so it's likesuper kind of owner-operator

(01:23:24):
centric, which, you know, myopinion always was, until I went
to sell, was well, that's theway to maximize profits, right,
which is true.
Right, if I have my hands oneverything, I can maximize
profits, which is true, and Ididn't care about work-life
balance.
I think that's the biggestbullshit fucking term I've ever
heard of.
But if you want work-lifebalance, go work for somebody.
So that wasn't an issue for me,but so I never really was.

Speaker 1 (01:23:49):
But to dive into that a little bit, because you know
there's one way that people putit look, if you're in your, if
you have to be in your businessevery single day, you have a job
right.
If you set up your business sothat if you could leave and it
runs without you, you have abusiness right.
I agree, and that's basicallywhat it comes out.
And that's basically what itcomes out.

Speaker 2 (01:24:08):
You can't advance if you're not, you can't work.
You can't work in the business,you have to work on the
business, on the business, yeah.
However, the same thing thoughIf you're the, if there's nobody
near your level of you knowCompetency, competency in your
organization you are not goingto maximize your value because

(01:24:29):
you know that's risky right.
It's just risky right.
What if you die?
The business fucking dies.
So that's typically what yousee in these lower middle market
businesses.
It was true of mine.
It's not today, but it's justone of those things that people
just don't get to.

Speaker 4 (01:24:43):
So and, by the way, you live out of the business in
all the wrong ways.
Like you know, like it's, likehe says clean books, like I say,
listen, you know law firm.
Unfortunately, small practice,like I used to maintain, is not
something you can sell, becausethe reality of the matter is
that I'm the business, so youknow, and so what happens is

(01:25:07):
it's like when you're looking,when someone's looking to buy
the business, right, and they'relooking at the financials, you
know there's all these thingsthat buyers consider an ad back,
right.
So, oh, right, now Richard payshis car out of the business.
But when we buy the businessand Richard's not here, then,
like, richard's car is not here.
So if we're spending a hundredgrand a year on Richard's car,
you can add that back to thebottom line.

(01:25:28):
Okay, but the problem is, likeyou have to replace the Richard
Right, so like, what do youreplace it with, and does it
cost more?
Does it cost less?
So it's like, it's kind of likewhat you're saying.
You know that the business hasto be able to operate
independent of, like any one setof either one person or one set
of persons.
You have to be able to, like,have interchangeable parts.

Speaker 3 (01:25:48):
Yeah, and it's actually one of the key ideas my
father left me with, because myfather ran a very big
industrial operation in New YorkCity for you know, 40, 50 years
.
He said the last skill, thehardest one to learn, is the
ability to duplicate yourself,the ability to take and make
yourself irrelevant so that youcan go on to the next thing or
work on other things, whileeverything is all, the plates

(01:26:09):
are still spinning.

Speaker 2 (01:26:10):
And I think that.
So here's my thought orexperience on that.
I think that's a utopianconcept, right, because you
can't.
And then this is where peopleget hung up.
I certainly got hung up here.
You can't replace yourself,right?
I mean you can, you can replaceyourself at, you know, 80, 70
percent, right, but you can'treplace yourself.
Typically in a business, whereI got hung up and most people

(01:26:34):
get hung up is that once youscale, if you're replacing
yourself at 80 percent andyou're scaling like, yeah,
you're going to lose someefficiency, you're going to lose
some, you know, maybe somemargin slip or whatever it is,
but if you can do 10 times more,that's what I couldn't get
comfortable with when I was asmall business and that's where
most people get hung up, right,well, I'm not going to give up
If I can make you know 10 morepoints, but I can only do you

(01:26:56):
know 10 million dollars inrevenue, then yeah, Well, I
think and it's one, I see it alot in the train that I do
Agents.

Speaker 3 (01:27:02):
They get locked into perfectionism Like it's got to
be perfect and I say I've onlysaid perfectionism is a trap.
It is a trap, and it's actuallya self-limiting belief that
gives you an excuse for doingless than your capable of.
It's like oh, I can't send itout unless it's perfect.
That excuses your lack ofvolume.
And so, for me, excellence iswhat's pursued.

(01:27:22):
I pursue excellence ruthlesslyand whatever I have to do to get
as much quality product out asI possibly can.
That's the only path forward.
I don't have that job to whatyou're saying, but it sounds
yeah, no, no.

Speaker 2 (01:27:33):
We have an adage don't let great get in the way
of good enough.
And the only caveat to that isyou run into it, particularly in
the construction industry.
You run into a lot ofbusinesses that are run by
people that aren't businesspeople and their goal, their
priorities, were never it.
Actually, I think it parallelsto kind of conservative versus

(01:27:54):
Democrats in many cases.
Right, their priorities arejust different, right.
So you know, and that's probablya long slippery slope to go
down, but if you're a craftslippery slope to the right guys
if you're a craftsman and youdon't care about scaling a
business or prop, you knowthere's a lot of those too, so
they're like well, I wanted tobe perfect because that's, you

(01:28:14):
know, that's the goal.
My goal is profit, right?
Yeah, now you have to maintainquality, obviously, to have
sustainable profit as well.

Speaker 3 (01:28:22):
But it's just the order of priority.

Speaker 2 (01:28:24):
Yeah, the order of priority.
I see that too.
But you're right though, youdefinitely see people that you
know.
They at least say they want toscale and grow a business, and
then they get it.

Speaker 1 (01:28:35):
And personality wise.
I mean, you're hung out withyou enough to know you're pretty
goddamn good at reading peopletoo, Like when you get, when you
, when you're, you know, meetingwith these people and you're
looking to buy their company.
I mean, is there a personalitytrait that you're looking at
Because you're going to have tobe a little bit married to them
for a while, because you don'tjust get rid of them right away?

Speaker 2 (01:28:53):
I mean, you don't buy them On tokens and add-ons.
We certainly do.
I'd prefer to have rolloverequity because you know they're
running a business unit, ideally.
Or a second man up, right, yeah.
And if I don't know as muchpersonality as you know cultural
fit, right.
I can't take a company that'snot.
You know, we're super direct,kind of a locker room type

(01:29:13):
atmosphere.
Get it done.
You know, have big show, broadshoulders, tough skin.
If it's a super soft company,it's just going to fail when
they integrate.
So I mean, I do look at that.
You know all of the kind of theway it's put together on a tuck
in.
So there's two types ofacquisitions that happen in the
private equity or institutionalcapital world.

(01:29:35):
There's platforms, so that'syou know, a bigger company that
somebody can get behind growing,and then there's just tuck-ins.
A tuck-in or add-on you don'tcare that much about how well
put together they are, becauseyou have the platform you're
going to bolt it to.
It also garners less in termsof value.
So I think it just kind ofdepends on what you're looking

(01:29:59):
at.

Speaker 1 (01:30:00):
Right.
So it's not really apersonality thing, it's just
more like the way they've runtheir company and with their
culture.
It would be the most.

Speaker 2 (01:30:05):
Yeah, culture is probably the biggest thing.
Are they going to be able totake my managers because they've
been white-gloved for 10 years?

Speaker 1 (01:30:10):
type of thing.
Right, are they going to beable to take orders from your
guys?

Speaker 3 (01:30:13):
basically at the end of the day.
So the tack-on would besomething like if it's a market
that they have that they're in,that you want to get into kind
of thing, is that what we're soadd-on?

Speaker 2 (01:30:21):
I'll give you an example right.
So the original company that Isold was in the Mid-Atlantic.
We were the platform Banker tothe Stars.
We've added a couple of otheracquisitions that are tuck-ins
to the platform.
So now they operate under ourbanner.
So all the senior leadership,the C-suite shared services
functions sit at the platformcompany.

(01:30:41):
The tuck-ins are usuallysmaller, less sophisticated,
they're on QuickBooks that typeof thing.
So that's kind of thedifference.

Speaker 3 (01:30:50):
Can you bring them in what?
Just to expand into othermarkets?
That's kind of my question.
What would be the reason?

Speaker 2 (01:30:55):
Yeah, so the whole name of the game in
institutional capital isobviously growing equity value.
But it's kind of the playbookis double EBITDA in a certain
period of time and then get acouple additional turns of
multiple.
The way you do that is eitherit's really to have predictable

(01:31:16):
revenues so that can bethroughso in my case, to answer
your question more directly,geographic diversification is a
pillar of our strategy.
So I'm not buying companies inthe markets I'm in, I'm buying
them in other markets, and thenthe other piece is kind of
diversifying revenue a littlebit.
That way you're minimizing risk.
So we're buying some companiesthat do some other adjacent but

(01:31:39):
slightly different things thatwe do in other markets.

Speaker 4 (01:31:43):
Let me ask you this because I'm sorry to interrupt,
but I've been dealing with a newgroup of clientele let's call
it that is, high net worthindividuals.
They think that what they wantto do is acquire companies, but
what I find is the problem isthat it's like number one.

(01:32:03):
We all suffer from thewhenyou're buying, everything is
worthless and when you'reselling, everything is worth a
zillion mentality, and thenthere's an incredible level of
impatience, are they?

Speaker 2 (01:32:19):
operators.

Speaker 4 (01:32:20):
No.

Speaker 2 (01:32:21):
So why don't they just invest in a fund?

Speaker 4 (01:32:24):
Well, because they're control freaks, and so when you
put money in a fund, you'renobody, you're one of many.

Speaker 2 (01:32:31):
We all have other funds, small funds like the GP,
whatever.

Speaker 4 (01:32:36):
So I guess my question is when you acquire a
business that, like you say, Ijust want to put money behind it
so that the business can grow,what is your timeline on the
return?
What is an acceptable return?
You're going to buy somethingfor 10 million bucks.
How long do youand is it okayto wait for the 10 million to
come back before now you'remaking money on that.

Speaker 2 (01:32:58):
Yeah, there's no cash flow in any of this and for me
and this is all personalpreference For me the business
that I sold, that I still own48% of it's a traditional
private equity fund.
So they've taken capital frominstitutional pension funds
whatever right and their horizonis about 10 years from the

(01:33:21):
raise of the capital to exit.
We will exit probably in fouryears three to four years, so it
just depends how quickly youcan get, but the runways are
generally 10.
I have another one that I'mdoing privately in pool
construction business, becauseI'm doing two things at once and
it's my capital.

(01:33:41):
I don't have to return it toanybody.
I'm taking that one a littleslower just because but it
actually went faster anyway.
Well, it was a shit show when Ibought it and people I put in
place fixed it in a year, but wehaven't really done it yet you
were okay waiting 10 years, butit came back a lot faster than
that.

Speaker 4 (01:33:58):
Well, and not just that, but the other thing I'm
hearing too is that, like, whenyou deploy the capital, it's
actually not just sat in thiscompany's bank account, but it's
used to make improvements andbring in the correct people, and
so you're spending the moneyinitially.
I'm just validating the thingsthat I complain to my superiors
about, because it's like ohwe're going to buy this for.

(01:34:20):
They just wanted to know itwe're going to buy it for 50
bucks and then we got to put itanother 50 bucks to make it work
and I'm like, yeah, that'stypically the Because it's not
working, like with the fuck.

Speaker 2 (01:34:28):
So they're not using any.
Typically, what people do isthey buy a company with equity
and they finance growth withdebt.
So if I'm your clients, I'mbuying a company with equity,
whatever it is, and then youhave to have the capital
partners in place to finance thegrowth with debt, because

(01:34:49):
financing growth with equity isa bad use of capital, because
it's For all the reasons thatyou're saying so.
It sounds to me like they don'thave the right debt partners to
fund the growth.

Speaker 4 (01:35:01):
Yeah, or even an appetite or just.

Speaker 3 (01:35:03):
I think it's more the appetite, conceptual
understanding, I mean.

Speaker 4 (01:35:08):
Yeah, it's the conceptual understanding,
because it's like dude, it'slike guys, what do you think?
Where you're fucking up abusiness printing cash, You're
going to buy a cheap and you'regoing to get your money back in
a year and it's going to hit youin the head with cash.
It's just not the way itfucking works.

Speaker 3 (01:35:19):
It's amazing to me at a special I also don't.

Speaker 2 (01:35:21):
I'd never buy a business looking to get any cash
flow out of it.
If there's cash flow, fine,we're probably going to be
invested.
Anyway, my whole deal is on theexit.
I don't anticipate anything.

Speaker 1 (01:35:32):
Right.

Speaker 4 (01:35:33):
That's the.

Speaker 3 (01:35:33):
Building for the exit .
It amazes me how poorlyunderstood debt really is the
idea that you can get somebodyto agree to a payment and,
regardless of the upside, I getto participate in 100% of the
upside and their payment staysthe same.
I mean what we've seen in realestate.
I mean in real estate people ontheir homes.
They put 3.5% down but they'reexperiencing appreciation on

(01:35:56):
100% of the purchase price ofthe asset, with only 3.5% of the
capital the use of debt, opm,baby, other people's money, it's
just such a beautiful thing,especially when you have the
confidence that you do to growthe business.
I know I'm going to beat thepercentage, the interest rate,
on the growth.
Why would I let a partnerparticipate in that?

(01:36:17):
Why wouldn't I use debt?
I'm with you, man.
That's awesome.

Speaker 2 (01:36:21):
Yeah, but that's a whole skill in industry too is
having the right debt partnerthe right structure and knowing
what market is Right now.
It's getting crazy with that.

Speaker 1 (01:36:33):
Before selling your Okay, so again, being with you
as much as I am and hearing yourconversations, I mean you guys
are fucking as corporate ascorporate gets.
I mean you guys are, there's alot more corporate.

Speaker 2 (01:36:44):
I mean you're pretty fucking corporate.

Speaker 1 (01:36:45):
So my question is did you corporate yourself before
you sold, or selling has madeyou?

Speaker 2 (01:36:54):
Both.
I did what I could stomach todo before.
We sold Some of it's real, someof it's positions that help you
grow, some of it's insurance,basically.
So, again, like I said aboutthe entrepreneur middle market

(01:37:14):
guy getting in his own way, so Ijust hired a COO that's taking
over as CEO and I'm second backto an exact chair role in the
year we hired this guy and itwas my idea.
I wanted to do this anyway, butevery day I'm impressed with
how fucking awesome this dude is, how good he is, how much

(01:37:36):
better than me he is.
That's awesome.
Now there's industry stuff thathe doesn't know, whatever.
But in terms of corporate,there is really talented people
out there that will accelerateyour business, and knowing,
being open to finding them,knowing how to find them and
paying them is paramount, yeahso you, you did.

(01:38:02):
I did a little bit, but not aton like so I did.
We always had really strongfinancial control and management
.
We had a you know a little bitof a disjointed tech stack.
We really upgraded that.

Speaker 1 (01:38:14):
Post close, I never had a HR person they brought
that, or you had an idea of whatyou wanted to bring.
Because you're, because it wedid it.

Speaker 2 (01:38:21):
They didn't bring anything, but we collectively
like, in order to Createmultiple expansion, to be able
to bot as an example.
Right, so you and a company intown a and I'm in town B.

Speaker 3 (01:38:34):
Your part your integration, your technology
integration is a big part.

Speaker 1 (01:38:38):
It is because it's that's the scalable part and I
continue to just both thateverybody's connected and
everybody's communicating andeverybody's speaking on the same
channel, right?

Speaker 2 (01:38:45):
So that stuff that you didn't have efficiency and
because there's stuff you knowat ten million dollars there's
things you can do, the ways youcan run a business.
You can't run a hundred milliondollar business the same way.
So you need technology, yeah,so you know that all came, you
know, after the acquisition.
I Knew it, I just we weren'tthere.
So I would say, I guess tomaybe circle back on that, most

(01:39:09):
of the stuff, most stuff you seetoday riding the car with me,
is Post acquisition right, oh,like all right right including
largely most of my understandingof Finance right not accounting
like, yeah, you always got a noaccounting if you really the
finance side.

Speaker 1 (01:39:30):
Last, thing well, you got a, you got you sure you're
gonna be for the JC one.

Speaker 4 (01:39:35):
I would love to be.
It just depends on when we doit.

Speaker 1 (01:39:39):
What's the cool?
It okay.
So two more questions to wrapit up.
What is?
Did you think you were gonna beas successful as you are?

Speaker 2 (01:39:48):
No, no Right.

Speaker 1 (01:39:51):
I was your oh shit man.
If I can do, by the way, Idon't even think you've said his
name.
Michael, gal I did.
I said, oh yeah, you're right.
All right, michael.

Speaker 4 (01:39:59):
I'll put it.

Speaker 2 (01:40:00):
I'll put it on all the.

Speaker 1 (01:40:00):
I'll put it on all the yeah, I'll put it on all I
didn't.

Speaker 4 (01:40:05):
Who is the wizard?
People are listening like.

Speaker 3 (01:40:11):
I've been on 30 some odd episodes.
Nobody's heard my first name.

Speaker 2 (01:40:17):
So I bought.
I'll tell you how little I knewabout where it was going when I
bought the company the roofingcompany Talk about.
I Bought it at four million inrevenue.
It was a strong company, hadhad good margins, but tiny right
tongue customer concentrationwas like 80% and I wrote a

(01:40:37):
business plan and I wrote it upto 16 million in revenue, which
I thought was kind of a sweetspot, you know, with what I knew
at the time, you know, and kindof verbatim, we achieved
everything we wanted to alongthe way.
But I went from, we went fromfour million, just in terms of
revenue, from four million to 45million in seven years and Then

(01:41:02):
you know, we'll be 150 millionthis year.
So no, I had no idea and Inever.
The reason I sold it hadnothing to do with me wanting to
monetize the business.
I wanted to go on anacquisition mode and and you
like that part of it.
Well, I just the, we wereworking in geography and my guys
were killing and they were, youknow, 20% year.

Speaker 1 (01:41:22):
But it seems like almost like you.
You're dude, you know likeyou're, you're.
Yeah, the roofing was thevehicle to get for you to get to
what you really like and whatyou really enjoy, which is
buying fucking companies andrestructuring.
Is that fair to say?

Speaker 2 (01:41:36):
Um, so I like it.
I like operating businesses too, though I love like.
So, like this new venture, thepool company.
Like I like lower middle marketbecause it's just, it's so easy
, right, there's low hangingfruit.
Like little companies do shitwrong, they do shit wrong and
it's so easy to fix it.
So I like operating companies.
But To build, like, significantwealth, you know, and you're

(01:42:00):
just playing with more chipswhen you start buying companies
and scale, I mean the arbitragethat you get when you, when you
buy companies, is yeah, you know, and the day after you close,
you just made 30 million dollars.

Speaker 1 (01:42:14):
Just because of the arbitrage that.
So last last question what youknow?
Because, look, you know it allsounds pretty right now and look
, I get it with my agents allthe time like they're like, oh,
you know they'll throw.
Like, oh, you're leaving atthree o'clock like motherfucker.
You weren't here when I waswigging up fucking five o'clock
in the morning, working 14 hours, the whole situation, you know.
So it's kind of like you knowit's.
It's real cool to look at itnow and and see your lifestyle

(01:42:36):
now in the whole situation.
But there's a lot of fuckinghard work and a lot of sacrifice
to get it right.
So what's that one moment thatyou're like fuck man, it was
really all fucking worth it?
I mean, you know, like what'sthat one cool moment, I think?
I think I know what it is, butyou know like what's that one?
You know like holy shit youknow.

Speaker 2 (01:42:53):
So I actually never had one.
It's funny.
So when we and look when I sold, we were making you know, 10,
50 million dollars a profit ayear, so it's not like I didn't
have money going up to selling,but I was in the keys with my
wife when, when you know, when,it actually closed, right, and

(01:43:13):
my CFO Sends me the wire Like apicture snap and we were sitting
at a Eating a cheeseburger atjust lunch place and it was, it
was actually anti-communistbecause I was like I don't feel
anything today.

Speaker 1 (01:43:31):
But I just burger doesn't taste anything, it is
the reason.

Speaker 2 (01:43:35):
But it's much cheaper .
I say this all the time is, forme, money was never the goal,
money was the scoreboard.
Yeah, yeah, like I don't dothings I don't.
I don't operate in In to try toget the next dollar or whatever
.
I just that's just the story.
I just want to be the best inevery business I have or you

(01:43:57):
know Whatever it is.
So I don't.
I thought it would be like, ohshit, this is really cool, but
it really wasn't.
So I I wish I had a coolerstory than that.

Speaker 1 (01:44:10):
No, I kind of knew, I kind of knew that was the story
and I kind of you know.
So, all right, man, um any anyquestions?

Speaker 2 (01:44:16):
guys, you guys have a great week, yeah.

Speaker 1 (01:44:19):
All right, y'all thanks bud Appreciate it.

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.css-14f5ked{margin:0;word-break:break-word;display:-webkit-box;-webkit-box-orient:vertical;box-orient:vertical;-webkit-line-clamp:2;overflow:hidden;}Episode 37: From Roofing to Multimillionaire: A Journey of Financial Control

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.css-r6mb8g{margin:0;word-break:break-word;display:-webkit-box;-webkit-box-orient:vertical;box-orient:vertical;-webkit-line-clamp:1;overflow:hidden;}1. Stuff You Should Know

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Episode 37: From Roofing to Multimillionaire: A Journey of Financial Control

1. Stuff You Should Know