November 29, 2024 • 24 mins
Ultimate Jet Guide's Tom Lelyo shares times when he failed and provides tips on how you can fail forward to find success as a Jet Broker! This episode covers how to push yourself as a Jet Broker and analyze failures in your sales process to course-correct moving forward.
Episode Highlights:
- 😵💫 My Stories: Sharing real-world experiences I've had failing forward as a Jet Broker
- 💡 Turning Failure Into Success: Why failure is a necessary step to growth, and how successful people rise above it.
- 🎯 The Power of Self-Expectations: Setting realistic yet challenging expectations when starting out in private jet sales.
- 🚀 The 10x Rule for Sales Success: How adopting Grant Cardone’s “10x Rule” can dramatically increase your sales efforts and results.
Thank you for taking the time to invest in yourself today!
🤝 Join our FREE Private Online Community for aspiring Jet Brokers: https://circle.jetlifeaero.com
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Being a Private Jet Broker is a life changing opportunity for those seeking a career in an industry that has low competition and extremely high commissions.
Let's book a call so you can discover how to get your FIRST SALE and start a new career in Aviation - https://www.theultimatejetguide.com
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Transcript
Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
It just happened to one of our brokers.
He was calling through a market.
He put a note on let's just sayit was a CJ.
He put a note on there tofollow up in three weeks.
Three weeks went by.
He got busy with another market.
He didn't follow up for fiveweeks and by the time he
followed up he saw that it waslisted with another broker.
But that's a failure that wecan learn from.
Hello and welcome.
(00:27):
My name is Tom Lelio.
I'm your ultimate jet guide andon this channel we help buyers
and aspiring brokers to sellprivate jets with no experience
necessary.
Today, we're pulling back thecurtain on failure.
Failure is just one of thosethings that you have to come
across in anything that you'redoing.
I love the quote where it asksabout what's the difference
(00:49):
between sinners and saints.
And saints are just sinnersthat got up one more time.
And the same thing is true.
Successful people are justthose people who refuse to give
up and, most importantly, learnfrom their mistakes, because you
can refuse to give up and notlearn from your mistakes and
you're just going to keepfailing over and over again.
And so if you're experiencingfailure, if you're experiencing
disappointment today we're gonnatalk about times where I've
(01:10):
faced failure and disappointment.
How do we discipline thosedisappointments so we can find
ourselves becoming more and moresuccessful moving forward?
So let's talk about it, let'sget into it.
What's going on?
Joshua Hayden, nick, pastor,vincent, it's awesome.
So step one we're going to talkabout expectations, and these
expectations come to yourself,self-expectation, and you know
(01:34):
others, and then clients.
So let's talk aboutself-expectations first.
When we're talking aboutexpectations of self, I think
it's really important,especially as you're first
starting out as a private jetbroker, to have this idea that
it's going to take a lot morethan you think it is.
And when I first startedJetLife Arrow, I thought I'd be
(01:56):
selling jets right away, and itjust didn't work out that way.
I had sold 20 jets every yearfor the past three years and I
thought I'd be on track to doanother 20 the following year,
because the industry was justbooming and booming and booming.
And reality is it took a lotmore work.
What I found out was when Iwould go out on my own and I was
no longer with a brokerage.
(02:17):
Now.
I had to handle all theoverhead.
I had to pay for the jetnetsubscriptions, I had to pay for
the email.
I had to pay for the marketing,the controller ads, the
trade-a-plane ads, and itstarted to add up.
So not only was I not makingthe volume of calls I needed to
make because I was distracted,but also I was paying out more
money.
There was more investment on mypart.
(02:38):
So, even though I got 100% ofthe commission check, I mean, I
was basically back to 60-40,where the company was getting
60% of the paycheck and I wasonly getting 40% because I had
to build up the stream ofrevenue so that it would start
to make sense.
So, with regards toexpectations, one of the ways
(02:59):
that you can fend offdisappointment and one of the
ways that you can get your mindright is to just 10x.
I love Grant Cardone's book,the 10X Rule, and I think we
have it here somewhere.
Speaker 2 (03:10):
Yeah.
Speaker 1 (03:12):
So the 10X Rule is a fantastic book because it says
the only difference betweensuccess and failure is the 10X
Rule.
And what it does.
Is it really just kind of helpsset your mind clear that if you
think you need to make you know100 calls a day, you should be
shooting for 1000 calls a dayand just shoot for 1000 and
you'll blow way past 100.
(03:33):
And the volume or the effortthat you put out if you put out
a 10x effort, comes back to youmuch more.
If you put out a 10X effortcomes back to you much more.
It gets your mind right thatlike, why would I expect to have
someone list their jet with me?
So let's take a step back.
Let's talk about how to get alisting for a private jet.
(03:56):
You have to.
You're brand new into theindustry.
You've taken the course, you'velearned about the market.
You've become knowledgeableabout the aircraft, the market,
how things work, the process ofselling a jet, and now you're
going to call a random strangerwho's a multi-multi-millionaire,
super successful person.
You're going to call them outof the blue.
You're probably going tointerrupt their day.
(04:17):
Maybe they're in a meeting,maybe they're with their family,
and you're going to talk tothem.
You're going to be like hello,my name is Tom, I know you don't
know me, but will you trust mewith your multi-million dollar
asset to sell it for you?
Great Thanks, that's what we'retrying to do.
And so people who come to meand want to learn how to be a
jet broker, sometimes we make it.
(04:38):
Look, I want it to beaccessible for people because I
was able to do it with noexperience necessary.
But it's going to take acertain mindset, a 10X mindset,
to actually be successful atthis.
So when I tell you, guys, yougot to make 50 to 100 calls a
day, I mean it and I reallywould.
I think you should make morethan that.
But people will come in andthey'll make 10 calls a day, or
(05:00):
five calls a day, or 20 calls aday, and then after 30 days,
they're like Tom, I don't have alisting.
It's like okay, well, first ofall, I told you between 50 and
100 calls a day.
Second of all, if you have a10x mindset, you're trying to
make 100, 200 calls a day.
Okay, but people come inwithout a 10x mindset and they
come in with a 1x mindset andthey want to do the bare minimum
(05:22):
possible to get the biggestresult, but you got to pay the
price.
I was telling this to somebodyyesterday on the phone.
Listen, it's cool that you arealready in aviation, you're a
pilot and you're thinking aboutmaybe starting a detailing
business and maybe you'll alsodo jet broking on the side.
I'm like that's cool and somepeople can make that work.
But listen, you got to pay theprice.
You got to make the phone calls, you got to get kicked in the
(05:47):
face.
You got to do the learning.
You got to do the education.
There's no shortcuts here.
I can help you with trying tomake it as simple and accessible
as possible, but at the end ofthe day, you need to take
responsibility for your own life.
And it was great for me becauseI had a family I had to take
care of, so I couldn't fail.
And some of our successfulbrokers right now I mean the
reason why they're successful isbecause they quit their jobs
(06:08):
and they have a family tosupport and now they're rocking
and rolling or they just had areal passion for aviation.
They were teachable, they werecoachable and they wanted to
learn and now they're sellingjets.
So one of my failures, like Isaid, was expectation of myself.
I can look back to the timeswhere business was slow, a
business wasn't doing well and Iwas just letting myself off the
(06:29):
hook.
Another place of failure let'sbring this back here would be
the expectations that others hadon me, and what I mean by
others is like, mostly friendsand family, you know, and I was
letting their expectations of meum, give me an excuse so that I
didn't have to work as hard,and and and you know, at the end
(06:50):
of the day, I think we need totake personal responsibility for
the outcome we want to see anddon't let our friends and family
like.
The people you surroundyourself with is the level at
which you're going to play.
So if you're surroundingyourself with players that are
making 50, 60, $70,000 a yearand they're happy, well, guess
what?
You're going to be happy making50, 60, $70,000 a year.
But if you're surroundingyourself with people making a
(07:12):
hundred thousand dollars, sixfigures, or if they're making
six figures per month, likethat's the level you're going to
play at.
So be aware of who you'resurrounding yourself with, and
and and that's the level you'regonna play at.
And then, lastly, expectationsfrom clients.
So where I failed my clientsbecause of expectations.
There are times where I haven'tgone above and beyond.
(07:32):
There are times where a clientwas expecting me to catch
something in a document.
Even though I'm not a lawyer,things don't get caught, and
that you know that's.
That's a pain in the butt.
I've already shared with youwhere I put a listing on there
and the listing on thecontroller said it included a
life raft, and then we closed onthe deal and nobody noticed
(07:55):
that and the life raft wasn'tincluded in any of the documents
or anything like that.
But then a week later I get acall from the new owner hey,
where's the life raft?
I mean, that cost me a couplethousand dollars to remedy that.
So the lesson there is payattention to the details, slow
down.
And there's really no hugeemergencies in private jet
(08:17):
brokering, which is nice,whereas with charter you can
have a spur of the momentemergency because someone can't
get somewhere there becausetheir flight's grounded.
But with private jets, for themost part in the selling, the
acquisition of them, there's noreal imminent emergency.
So take your time, slow downand make sure you review
everything that you're talkingwith.
So expectations is one stagewhere I failed.
(08:37):
Another one and I've kind ofalluded to this is agreements,
okay, so I'll show you where wefailed on the listing agreement.
I'll show you where we failedon the listing agreement, I'll
show you where we fell on theacquisition agreement and I'll
show where we failed on the APA.
So, on the listing agreements,the purpose of a listing
(08:58):
agreement is to make sure thatyou get paid.
Okay, so we don't want to, wedon't want to work for free.
The listing agreement does afew things.
Number one it gives youexclusivity, so that you are the
exclusive broker and you arethe only person that is
authorized by the owner torepresent the aircraft for a
transaction.
That's important.
Number two it describes howlong you're going to be
(09:18):
representing this person for.
So, 120 day listing.
And number three, it describesthe commission and how it's
outlaid.
And where I have failed withthese listing agreements is
number one sometimes not gettingit, not getting a listing
agreement, and then the sellergoes ahead and sells it without
me.
Now I don't get paid.
So, again, don't be in a hurry.
Talk to the seller.
Build a relationship with theseller If he's not willing to
(09:40):
give you a listing agreement, anexclusive listing agreement.
Number one maybe you're notexplaining listing agreements
correctly.
And number two, you don't haveenough rapport.
This business is aboutrelationship, it's about
building rapport.
So you don't really want tomove forward with a transaction
or a deal or a relationshipuntil you have that relationship
settled in.
So I would keep that in mind ifyou're having trouble getting
(10:01):
someone to sign an exclusivelisting agreement.
And lastly, people have asked meTom, they're not signing my
listing agreement.
Well, I would ask you thequestion why should they?
Why should they?
Why should they choose you overanybody else in the world?
Well, I'll sell their jet forthem.
Well, so are anybody else.
Well, I'll do my best job.
Well, so are anybody else.
So take a step back and thinkabout who are you?
(10:25):
Who do you serve?
What problems do you solve?
Who are the people that you'resolving the problems for?
And really dial in so you canspeak directly to that audience.
And then, when you're on thephone with someone, you can
speak to them like listen, Iknow you own a Citation 5.
I've sold almost 100 legacycitations in my career.
I know the legacy citations, Iknow the upgrade path.
(10:48):
So I know people that want tobuy your plane from a Citation 2
or an S2 or a 1SP.
I know where people are goingfrom the fives.
I know that they're comparingthe fives to you know, maybe, um
, maybe they're comparing themto excels, maybe they're
comparing them to hawkers,phenom 100, three hundreds, um,
lear jets.
So, like I know that, what thebuyers are thinking about, uh, I
understand that your enginesare almost, uh, come time for an
(11:11):
overhaul.
Well, there's options that wecan do, whether it's a engine
extension program or we do a hotsection instead.
Like I understand this stuff.
So I'm speaking directly to aCitation 560 owner.
I'm not speaking to just anyowner that owns a jet.
Like, I'm very specific and youknow I tell them listen, the
benefits of working with me isnumber one.
I'm a full-time professional,not a pilot or a mechanic with a
(11:34):
hobby.
You call, I'll answer the phoneand that's important.
The benefit to you is you'reworking with someone that you
know like and you can trust.
Not only that, but my corevalues are really important to
me Honesty, integrity andhumility, just to name a few.
I don't know very many brokersthat even talk about values.
Values are important to me.
If you want a broker that hasvalues and cares about those
(11:54):
values, then I think you shouldwork with me.
And, last but not least,there's no charge.
There's no fee to work for meupfront and I know a lot of
brokers will say that but thenthey nickel and dime you for
photos, maintenance fees,cancellation fees, management
fees, et cetera.
This is really truly no risk toyou.
The benefit is there's no risk.
You don't pay until we sell theaircraft.
So let's get started.
(12:17):
And so I know my the peoplethat I'm talking to and I speak
to them directly, and that helpsus get the exclusive listing
agreements actually sold.
So the failure on my part iswhen I don't get those signed.
The other failure can be on thelisting agreements.
You know, sometimes you justput in there what happens if
they sell the plane.
But we also want to put inthere what happens if they sell
the plane.
Well, you also want to put inthere what happens if they lease
the plane or they take theplane and trade.
(12:39):
And that's something toconsider because if it's not
spelled out, I mean I guesstechnically they don't have to
pay you for a lease.
So you want to make sure thatthat's going to be in there.
Another thing that might be inthere is when does the exclusive
listing agreement start?
Does it start when it's signed.
But what if the person doesn'tget you the specs and the photos
and everything that you need toactually list it for sale?
What if they don't get you themaintenance report and all that
(13:00):
information for another 30 days?
Did you just take 30 days outof 120 days?
You got to put it in there.
When does the clock start?
That's important.
So a couple of failures therethat hopefully that's helpful to
you.
All right, let's talk about theacquisition agreement.
So the acquisition agreement iswhen you agree to work for
somebody on the buyer's side andthere's a couple of things that
(13:23):
you can kind of fail.
Number one don't get it.
I have, and, just to be clear,probably for every three
acquisitions that I do, one ofthem I have a full agreement
with.
It's not the best and I'm justsharing this with you in full
transparency.
I'm not the greatest at this,but I know there's a level of
(13:45):
which I aspire to be at and thatis always getting an
acquisition agreement.
Because, number one it helpsyou with exclusivity.
You're the only personauthorized to work on behalf of
the buyer.
That's good for the buyer.
That means that they havesomeone always in the corner.
Now there's a confusion that Icame across yesterday.
I was talking to somebody aboutthis and this doesn't mean that
if another broker brings them aplane that they can't buy that
(14:07):
plane.
They absolutely can buy thatplane, but now they have
somebody that's working on theirbehalf.
So if another broker brings hima plane, we can discuss a
reduced commission because Ididn't find the plane for you,
but I'm still going to be yourguy.
You're not going to just take arandom plane from a random
broker and just trust him on it,and then how is he going to
balance between representing theseller and representing you?
(14:28):
So the acquisition agreementmake sure you understand
exclusivity doesn't mean thatthey can't buy from anybody else
.
It just simply means thatyou're going to be with them
through that process.
And if you want to negotiate areduced commission if you don't
find the plane, that's totallyup to you.
But I think it's important toalways get the acquisition
agreement, because if somebodycalls me and says, yeah, I got a
buyer, okay, well, do you havean acquisition agreement signed?
(14:49):
Well, no, okay.
Well, they lose status status.
They lose status in the eyes ofthe owners.
They lose status in the eyes ofother brokers that are trying
to do the deal.
So get that acquisition signed.
And if they won't sign it, workharder to understand why and
then fix the problem.
If you guys just don't have agood enough relationship, well,
you got to build thatrelationship.
It's like asking somebody outon a date the first time you
(15:11):
meet them.
You can't just ask them out tomarry them If you're on a date.
You can't just ask them out tomarry them.
Right.
If you're on a date, you can'tjust ask them to marry them
right away.
You got to build that rapport.
So work to build that rapport.
And you can build that rapportby floating them.
Market reports.
By floating them hey, here'swhat's on the market now.
Here are my thoughts on it sothey can see you in action.
Maybe you float them a few offmarket options, but you take the
tail number off, you take theidentifying information off.
(15:33):
You kind of do use generic,like instead of saying it's got,
you know 8,648 hours on it, youjust say it's got, you know
just under 10,000 hours on, it'sa late 1990s model with this,
this kind of avionics, paint andinteriors and eight and a nine,
and you just kind of float them.
You know generics that beforeyou give them the full
maintenance report and all theinformation on it.
(15:54):
You you just ask them listen,are we in business together?
If you buy this plane, are yougoing to pay me a commission?
You got to have thoseconversations.
And then, last but not least,let's talk about the aircraft
purchase agreement.
This is where a lot of peopleare going to find failure and
it's hard.
We're not lawyers and I alwaystell my clients to have a lawyer
(16:15):
take a look at this.
But even if you have lawyerstaking a look at things, things
can get hairy and it doesn'tnecessarily stop somebody from
suing somebody.
So go through the APAs verycarefully.
That's one of the things we'dgo over with the Jet Life Arrow
course how to become a broker,and you can start the course for
free.
You can go totheultimatejetguycom sign up.
(16:37):
You'll get a link to the Circlecommunity and there's a free
broker course right there.
I think we quickly do anoverview of the documents, but
then, if you want to take theactual course, we do go through
in-depth on how to put togetheran aircraft purchase agreement.
So that is that, all right.
Last but not least, the fortuneis in the follow-up, and the big
(16:58):
, the big mistake here is justnot doing it.
I kind of alluded to it withexpectations of self, but you've
got to got to follow up with,with your peoples Now.
Follow-up does not mean pester,it does not mean annoyed, it
does not mean badger.
It means continually providingvalue to the people that are
open.
(17:18):
The other important thing, too,is like when you're making cold
calls or when you're makingconnections with people, what
we're looking for is problems,and if they don't have a problem
, then our solutions won't helpthem.
So we're not going to badgerthem with like hey, we can help
you sell your jet.
Hey, we can help you sell yourjet.
Hey, we can help you sell yourjet, because they don't want to
sell their jet, so why would youkeep it?
It's like getting an ad onYouTube or getting an ad at a
(17:42):
commercial that has nothing todo with you.
You just ignore it, you skipover it.
But what about those targetedads, ads that actually speak to
you, that when you went to awebsite and then you went on
Facebook and also you got an adfrom that website, you don't
mind it as much.
You might not be ready to buyright now, but you're also like
okay, cool, I saw this, I wasinterested in this and now I'm
(18:07):
getting ads for it.
So your follow-up has to besimilar to that where you talk
to somebody.
You gain some common ground,figure out some ways and be
creative.
Can you add there's a couple ofdifferent ways to add value.
Can you add there's.
There's a couple of differentways to add a value.
Can you add okay, this could be, uh, like a market report.
This could be news.
This could be introductions.
Network is especially good ifyou're working with first time
(18:30):
buyers.
You know, um, this can be opcosts for upgrades.
Okay, information is one way tofollow up Not my favorite, but
it's definitely one way to do it.
I prefer entertainment, so I'llsend videos, usually funny.
You can send topicalentertainment, like holidays,
(18:52):
and if you're going to doholidays, like let's back up for
a second, can we like add some,like everyone's going to send
them, like a happy 4th of July,okay, and it's going to have an
American flag on, it's going tobe great.
What can you do to go above andbeyond?
Like, go to YouTube for asecond and find a 4th of July
video, or find a 4th of Julymeme or something that actually
means something to you and whenyou send it out to them, send it
(19:15):
via text message and be likehey, bill, happy 4th of July.
My grandfather was in the armyand I watched a lot of military
videos with my dad.
It really instilled in me asense of patriotism.
I'm really proud to be here inthis country and I just wanted
to share this video with you.
Boom, send, okay, share alittle bit about yourself, give
(19:36):
them some entertainment based onthe holiday and off you go.
So I think that's another wayto follow up.
Also, you can consider and Ialluded to this the mediums that
you're going to use to followup.
You can use email, phone call,text, social media.
(19:56):
If you can find them on socialmedia, that's a great way to
connect with people.
You can do in-person.
You can do a delivery If youwant to do I like to do edible
arrangements sometimes ordeliver a pizza to somebody.
Okay, all different ways tofollow up.
So, and again, these are themain ways.
(20:19):
It just happened to one of ourbrokers.
He was calling through a market, he put a note on let's just
say it was a CJ and he put anote on there to follow up in
three weeks Three weeks went by.
He got busy with another market.
He didn't follow up for fiveweeks and by the time he
followed up he saw that it waslisted with another broker.
(20:39):
It happens you get somebodywarmed up, excited, ready to
list, you forget to follow upand then somebody else swoops in
and they're like, yep, I'mready to go.
It's like, uh, but that's afailure that we can learn from,
and so I hope this is helpful.
If anybody has any questionsthat we can learn from, and so I
hope this is helpful.
If anybody has any questions,I'll stay on for another minute
or two to answer any of yourquestions.
In the meantime, I definitelyencourage you guys to check out
(21:00):
the Circle community that we dohave.
If you're an aspiring jetbroker, you can check it out
right here.
Speaker 2 (21:03):
Thank, you so much for watching.
If you haven't already, go tocirclejetlifearrowcom and check
out our online community foraspiring brokers and current
brokers.
Here you'll find discussions,all things aviation-based things
that you're going to want toknow as an aircraft broker.
You can also check out our freetraining as well as more
(21:26):
resources that are available tohelp you to become a better jet
broker.
That's circlejetlifearrowcom tobegin your journey within the
broker community, absolutelyfree.
Speaker 1 (21:38):
I'm really excited about the Circle community, by
the way, because I think we'reup to 180 members right now, so
it's really cool to watch thatgrow.
I encourage you to check it out.
It's a great place to start Ifyou're thinking about becoming a
jet broker.
I don't think there's anywhereelse on the planet or in the
internet that is like this whereyou can ask questions about
becoming a jet broker.
You can take video lessons onhow to become a jet broker.
(21:59):
It's all there for you.
Because aviation changed mylife, I want to help other
people by changing their life.
Quick question oh, cool, cool,cool, cool.
So, coming in from the Instagram, is it normal to give LOIs
before getting exterior pics ofthe aircraft?
That's an interesting question.
Normally, if somebody isinquiring on an aircraft, you do
(22:21):
have exterior photos of it.
If somebody is asking for anoffer, before they send you
photos of the aircraft, it mayjust be that you're not talking
to the actual owner.
You're talking to someone inbetween a broker or somebody,
and they want to make sure thatyou're legit and they're going
to try and back-to-back the deal.
(22:42):
So if you're going to offer amillion dollars, they're going
to send an offer to the owner at$800,000, see if he'll take
$800K and then he'll take the$200,000 spread from your offer
to make his commission.
And I'm not saying this in anefarious way, I'm just saying
(23:02):
this is a real thing.
That could be the case.
It is an off-market aircraft.
So if it's an off-marketaircraft, that's probably what's
going on is you're not talkingto the owner.
If you're talking to the ownerdirectly and that's the problem
with off-market aircraft it'salways a guy who knows the guy,
whatever, whatever.
And you have to sift throughall that, especially if it's not
in the United States.
So what I would say is ifyou're dealing with off-market
(23:24):
stuff, you want to be talking tothe owner.
If you're not talking to theowner, talk to the broker and
just be like straight up withthe guy, like dude, like you're
really.
Are you back to backing this?
Just tell me so I can navigatethis appropriately.
Don't be shady about it.
There's got to be a way to getexterior photos, and so maybe
work with a broker and see ifyou can pull up photos on JetNet
(23:45):
.
A good broker will kind of dothat for free.
Actually, if you want, I'mhappy to.
Okay for a global oh, gotcha,gotcha, gotcha.
Well, hey, dude, why don't yousend me a DM?
Connie or La Connie I'm sorry,I don't know how to pronounce
your name Send me a DM inInstagram and let's talk about
it some more.
But overall, there shouldn't bea problem getting exterior
photos.
(24:05):
They should not require aletter of intent before they
send photos, unless it has to dowith privacy reasons, in which
case a non-disclosure would befine.
So you can send them anon-disclosure, like you won't
disclose to anybody whatairplane this is, and get the
photos before the LOI.
(24:26):
Because what if the photos showthat's completely in pieces?
Well, that changes the LOI.
So I'm not going to pay you $10million or whatever it is for
an airplane that's in pieces.
I need something so I can makean offer.
I need to see something.
So hope that was helpful foryou guys.
I appreciate you.
I will see you guys next week.
Live on the show.
Catch you later.
It just happened to one of our brokers.
He was calling through a market.
He put a note on let's just sayit was a CJ.
He put a note on there tofollow up in three weeks.
Three weeks went by.
He got busy with another market.
He didn't follow up for fiveweeks and by the time he
followed up he saw that it waslisted with another broker.
But that's a failure that wecan learn from.
Hello and welcome.
(00:27):
My name is Tom Lelio.
I'm your ultimate jet guide andon this channel we help buyers
and aspiring brokers to sellprivate jets with no experience
necessary.
Today, we're pulling back thecurtain on failure.
Failure is just one of thosethings that you have to come
across in anything that you'redoing.
I love the quote where it asksabout what's the difference
(00:49):
between sinners and saints.
And saints are just sinnersthat got up one more time.
And the same thing is true.
Successful people are justthose people who refuse to give
up and, most importantly, learnfrom their mistakes, because you
can refuse to give up and notlearn from your mistakes and
you're just going to keepfailing over and over again.
And so if you're experiencingfailure, if you're experiencing
disappointment today we're gonnatalk about times where I've
(01:10):
faced failure and disappointment.
How do we discipline thosedisappointments so we can find
ourselves becoming more and moresuccessful moving forward?
So let's talk about it, let'sget into it.
What's going on?
Joshua Hayden, nick, pastor,vincent, it's awesome.
So step one we're going to talkabout expectations, and these
expectations come to yourself,self-expectation, and you know
(01:34):
others, and then clients.
So let's talk aboutself-expectations first.
When we're talking aboutexpectations of self, I think
it's really important,especially as you're first
starting out as a private jetbroker, to have this idea that
it's going to take a lot morethan you think it is.
And when I first startedJetLife Arrow, I thought I'd be
(01:56):
selling jets right away, and itjust didn't work out that way.
I had sold 20 jets every yearfor the past three years and I
thought I'd be on track to doanother 20 the following year,
because the industry was justbooming and booming and booming.
And reality is it took a lotmore work.
What I found out was when Iwould go out on my own and I was
no longer with a brokerage.
(02:17):
Now.
I had to handle all theoverhead.
I had to pay for the jetnetsubscriptions, I had to pay for
the email.
I had to pay for the marketing,the controller ads, the
trade-a-plane ads, and itstarted to add up.
So not only was I not makingthe volume of calls I needed to
make because I was distracted,but also I was paying out more
money.
There was more investment on mypart.
(02:38):
So, even though I got 100% ofthe commission check, I mean, I
was basically back to 60-40,where the company was getting
60% of the paycheck and I wasonly getting 40% because I had
to build up the stream ofrevenue so that it would start
to make sense.
So, with regards toexpectations, one of the ways
(02:59):
that you can fend offdisappointment and one of the
ways that you can get your mindright is to just 10x.
I love Grant Cardone's book,the 10X Rule, and I think we
have it here somewhere.
Speaker 2 (03:10):
Yeah.
Speaker 1 (03:12):
So the 10X Rule is a fantastic book because it says
the only difference betweensuccess and failure is the 10X
Rule.
And what it does.
Is it really just kind of helpsset your mind clear that if you
think you need to make you know100 calls a day, you should be
shooting for 1000 calls a dayand just shoot for 1000 and
you'll blow way past 100.
(03:33):
And the volume or the effortthat you put out if you put out
a 10x effort, comes back to youmuch more.
If you put out a 10X effortcomes back to you much more.
It gets your mind right thatlike, why would I expect to have
someone list their jet with me?
So let's take a step back.
Let's talk about how to get alisting for a private jet.
(03:56):
You have to.
You're brand new into theindustry.
You've taken the course, you'velearned about the market.
You've become knowledgeableabout the aircraft, the market,
how things work, the process ofselling a jet, and now you're
going to call a random strangerwho's a multi-multi-millionaire,
super successful person.
You're going to call them outof the blue.
You're probably going tointerrupt their day.
(04:17):
Maybe they're in a meeting,maybe they're with their family,
and you're going to talk tothem.
You're going to be like hello,my name is Tom, I know you don't
know me, but will you trust mewith your multi-million dollar
asset to sell it for you?
Great Thanks, that's what we'retrying to do.
And so people who come to meand want to learn how to be a
jet broker, sometimes we make it.
(04:38):
Look, I want it to beaccessible for people because I
was able to do it with noexperience necessary.
But it's going to take acertain mindset, a 10X mindset,
to actually be successful atthis.
So when I tell you, guys, yougot to make 50 to 100 calls a
day, I mean it and I reallywould.
I think you should make morethan that.
But people will come in andthey'll make 10 calls a day, or
(05:00):
five calls a day, or 20 calls aday, and then after 30 days,
they're like Tom, I don't have alisting.
It's like okay, well, first ofall, I told you between 50 and
100 calls a day.
Second of all, if you have a10x mindset, you're trying to
make 100, 200 calls a day.
Okay, but people come inwithout a 10x mindset and they
come in with a 1x mindset andthey want to do the bare minimum
(05:22):
possible to get the biggestresult, but you got to pay the
price.
I was telling this to somebodyyesterday on the phone.
Listen, it's cool that you arealready in aviation, you're a
pilot and you're thinking aboutmaybe starting a detailing
business and maybe you'll alsodo jet broking on the side.
I'm like that's cool and somepeople can make that work.
But listen, you got to pay theprice.
You got to make the phone calls, you got to get kicked in the
(05:47):
face.
You got to do the learning.
You got to do the education.
There's no shortcuts here.
I can help you with trying tomake it as simple and accessible
as possible, but at the end ofthe day, you need to take
responsibility for your own life.
And it was great for me becauseI had a family I had to take
care of, so I couldn't fail.
And some of our successfulbrokers right now I mean the
reason why they're successful isbecause they quit their jobs
(06:08):
and they have a family tosupport and now they're rocking
and rolling or they just had areal passion for aviation.
They were teachable, they werecoachable and they wanted to
learn and now they're sellingjets.
So one of my failures, like Isaid, was expectation of myself.
I can look back to the timeswhere business was slow, a
business wasn't doing well and Iwas just letting myself off the
(06:29):
hook.
Another place of failure let'sbring this back here would be
the expectations that others hadon me, and what I mean by
others is like, mostly friendsand family, you know, and I was
letting their expectations of meum, give me an excuse so that I
didn't have to work as hard,and and and you know, at the end
(06:50):
of the day, I think we need totake personal responsibility for
the outcome we want to see anddon't let our friends and family
like.
The people you surroundyourself with is the level at
which you're going to play.
So if you're surroundingyourself with players that are
making 50, 60, $70,000 a yearand they're happy, well, guess
what?
You're going to be happy making50, 60, $70,000 a year.
But if you're surroundingyourself with people making a
(07:12):
hundred thousand dollars, sixfigures, or if they're making
six figures per month, likethat's the level you're going to
play at.
So be aware of who you'resurrounding yourself with, and
and and that's the level you'regonna play at.
And then, lastly, expectationsfrom clients.
So where I failed my clientsbecause of expectations.
There are times where I haven'tgone above and beyond.
(07:32):
There are times where a clientwas expecting me to catch
something in a document.
Even though I'm not a lawyer,things don't get caught, and
that you know that's.
That's a pain in the butt.
I've already shared with youwhere I put a listing on there
and the listing on thecontroller said it included a
life raft, and then we closed onthe deal and nobody noticed
(07:55):
that and the life raft wasn'tincluded in any of the documents
or anything like that.
But then a week later I get acall from the new owner hey,
where's the life raft?
I mean, that cost me a couplethousand dollars to remedy that.
So the lesson there is payattention to the details, slow
down.
And there's really no hugeemergencies in private jet
(08:17):
brokering, which is nice,whereas with charter you can
have a spur of the momentemergency because someone can't
get somewhere there becausetheir flight's grounded.
But with private jets, for themost part in the selling, the
acquisition of them, there's noreal imminent emergency.
So take your time, slow downand make sure you review
everything that you're talkingwith.
So expectations is one stagewhere I failed.
(08:37):
Another one and I've kind ofalluded to this is agreements,
okay, so I'll show you where wefailed on the listing agreement.
I'll show you where we failedon the listing agreement, I'll
show you where we fell on theacquisition agreement and I'll
show where we failed on the APA.
So, on the listing agreements,the purpose of a listing
(08:58):
agreement is to make sure thatyou get paid.
Okay, so we don't want to, wedon't want to work for free.
The listing agreement does afew things.
Number one it gives youexclusivity, so that you are the
exclusive broker and you arethe only person that is
authorized by the owner torepresent the aircraft for a
transaction.
That's important.
Number two it describes howlong you're going to be
(09:18):
representing this person for.
So, 120 day listing.
And number three, it describesthe commission and how it's
outlaid.
And where I have failed withthese listing agreements is
number one sometimes not gettingit, not getting a listing
agreement, and then the sellergoes ahead and sells it without
me.
Now I don't get paid.
So, again, don't be in a hurry.
Talk to the seller.
Build a relationship with theseller If he's not willing to
(09:40):
give you a listing agreement, anexclusive listing agreement.
Number one maybe you're notexplaining listing agreements
correctly.
And number two, you don't haveenough rapport.
This business is aboutrelationship, it's about
building rapport.
So you don't really want tomove forward with a transaction
or a deal or a relationshipuntil you have that relationship
settled in.
So I would keep that in mind ifyou're having trouble getting
(10:01):
someone to sign an exclusivelisting agreement.
And lastly, people have asked meTom, they're not signing my
listing agreement.
Well, I would ask you thequestion why should they?
Why should they?
Why should they choose you overanybody else in the world?
Well, I'll sell their jet forthem.
Well, so are anybody else.
Well, I'll do my best job.
Well, so are anybody else.
So take a step back and thinkabout who are you?
(10:25):
Who do you serve?
What problems do you solve?
Who are the people that you'resolving the problems for?
And really dial in so you canspeak directly to that audience.
And then, when you're on thephone with someone, you can
speak to them like listen, Iknow you own a Citation 5.
I've sold almost 100 legacycitations in my career.
I know the legacy citations, Iknow the upgrade path.
(10:48):
So I know people that want tobuy your plane from a Citation 2
or an S2 or a 1SP.
I know where people are goingfrom the fives.
I know that they're comparingthe fives to you know, maybe, um
, maybe they're comparing themto excels, maybe they're
comparing them to hawkers,phenom 100, three hundreds, um,
lear jets.
So, like I know that, what thebuyers are thinking about, uh, I
understand that your enginesare almost, uh, come time for an
(11:11):
overhaul.
Well, there's options that wecan do, whether it's a engine
extension program or we do a hotsection instead.
Like I understand this stuff.
So I'm speaking directly to aCitation 560 owner.
I'm not speaking to just anyowner that owns a jet.
Like, I'm very specific and youknow I tell them listen, the
benefits of working with me isnumber one.
I'm a full-time professional,not a pilot or a mechanic with a
(11:34):
hobby.
You call, I'll answer the phoneand that's important.
The benefit to you is you'reworking with someone that you
know like and you can trust.
Not only that, but my corevalues are really important to
me Honesty, integrity andhumility, just to name a few.
I don't know very many brokersthat even talk about values.
Values are important to me.
If you want a broker that hasvalues and cares about those
(11:54):
values, then I think you shouldwork with me.
And, last but not least,there's no charge.
There's no fee to work for meupfront and I know a lot of
brokers will say that but thenthey nickel and dime you for
photos, maintenance fees,cancellation fees, management
fees, et cetera.
This is really truly no risk toyou.
The benefit is there's no risk.
You don't pay until we sell theaircraft.
So let's get started.
(12:17):
And so I know my the peoplethat I'm talking to and I speak
to them directly, and that helpsus get the exclusive listing
agreements actually sold.
So the failure on my part iswhen I don't get those signed.
The other failure can be on thelisting agreements.
You know, sometimes you justput in there what happens if
they sell the plane.
But we also want to put inthere what happens if they sell
the plane.
Well, you also want to put inthere what happens if they lease
the plane or they take theplane and trade.
(12:39):
And that's something toconsider because if it's not
spelled out, I mean I guesstechnically they don't have to
pay you for a lease.
So you want to make sure thatthat's going to be in there.
Another thing that might be inthere is when does the exclusive
listing agreement start?
Does it start when it's signed.
But what if the person doesn'tget you the specs and the photos
and everything that you need toactually list it for sale?
What if they don't get you themaintenance report and all that
(13:00):
information for another 30 days?
Did you just take 30 days outof 120 days?
You got to put it in there.
When does the clock start?
That's important.
So a couple of failures therethat hopefully that's helpful to
you.
All right, let's talk about theacquisition agreement.
So the acquisition agreement iswhen you agree to work for
somebody on the buyer's side andthere's a couple of things that
(13:23):
you can kind of fail.
Number one don't get it.
I have, and, just to be clear,probably for every three
acquisitions that I do, one ofthem I have a full agreement
with.
It's not the best and I'm justsharing this with you in full
transparency.
I'm not the greatest at this,but I know there's a level of
(13:45):
which I aspire to be at and thatis always getting an
acquisition agreement.
Because, number one it helpsyou with exclusivity.
You're the only personauthorized to work on behalf of
the buyer.
That's good for the buyer.
That means that they havesomeone always in the corner.
Now there's a confusion that Icame across yesterday.
I was talking to somebody aboutthis and this doesn't mean that
if another broker brings them aplane that they can't buy that
(14:07):
plane.
They absolutely can buy thatplane, but now they have
somebody that's working on theirbehalf.
So if another broker brings hima plane, we can discuss a
reduced commission because Ididn't find the plane for you,
but I'm still going to be yourguy.
You're not going to just take arandom plane from a random
broker and just trust him on it,and then how is he going to
balance between representing theseller and representing you?
(14:28):
So the acquisition agreementmake sure you understand
exclusivity doesn't mean thatthey can't buy from anybody else
.
It just simply means thatyou're going to be with them
through that process.
And if you want to negotiate areduced commission if you don't
find the plane, that's totallyup to you.
But I think it's important toalways get the acquisition
agreement, because if somebodycalls me and says, yeah, I got a
buyer, okay, well, do you havean acquisition agreement signed?
(14:49):
Well, no, okay.
Well, they lose status status.
They lose status in the eyes ofthe owners.
They lose status in the eyes ofother brokers that are trying
to do the deal.
So get that acquisition signed.
And if they won't sign it, workharder to understand why and
then fix the problem.
If you guys just don't have agood enough relationship, well,
you got to build thatrelationship.
It's like asking somebody outon a date the first time you
(15:11):
meet them.
You can't just ask them out tomarry them If you're on a date.
You can't just ask them out tomarry them.
Right.
If you're on a date, you can'tjust ask them to marry them
right away.
You got to build that rapport.
So work to build that rapport.
And you can build that rapportby floating them.
Market reports.
By floating them hey, here'swhat's on the market now.
Here are my thoughts on it sothey can see you in action.
Maybe you float them a few offmarket options, but you take the
tail number off, you take theidentifying information off.
(15:33):
You kind of do use generic,like instead of saying it's got,
you know 8,648 hours on it, youjust say it's got, you know
just under 10,000 hours on, it'sa late 1990s model with this,
this kind of avionics, paint andinteriors and eight and a nine,
and you just kind of float them.
You know generics that beforeyou give them the full
maintenance report and all theinformation on it.
(15:54):
You you just ask them listen,are we in business together?
If you buy this plane, are yougoing to pay me a commission?
You got to have thoseconversations.
And then, last but not least,let's talk about the aircraft
purchase agreement.
This is where a lot of peopleare going to find failure and
it's hard.
We're not lawyers and I alwaystell my clients to have a lawyer
(16:15):
take a look at this.
But even if you have lawyerstaking a look at things, things
can get hairy and it doesn'tnecessarily stop somebody from
suing somebody.
So go through the APAs verycarefully.
That's one of the things we'dgo over with the Jet Life Arrow
course how to become a broker,and you can start the course for
free.
You can go totheultimatejetguycom sign up.
(16:37):
You'll get a link to the Circlecommunity and there's a free
broker course right there.
I think we quickly do anoverview of the documents, but
then, if you want to take theactual course, we do go through
in-depth on how to put togetheran aircraft purchase agreement.
So that is that, all right.
Last but not least, the fortuneis in the follow-up, and the big
(16:58):
, the big mistake here is justnot doing it.
I kind of alluded to it withexpectations of self, but you've
got to got to follow up with,with your peoples Now.
Follow-up does not mean pester,it does not mean annoyed, it
does not mean badger.
It means continually providingvalue to the people that are
open.
(17:18):
The other important thing, too,is like when you're making cold
calls or when you're makingconnections with people, what
we're looking for is problems,and if they don't have a problem
, then our solutions won't helpthem.
So we're not going to badgerthem with like hey, we can help
you sell your jet.
Hey, we can help you sell yourjet.
Hey, we can help you sell yourjet, because they don't want to
sell their jet, so why would youkeep it?
It's like getting an ad onYouTube or getting an ad at a
(17:42):
commercial that has nothing todo with you.
You just ignore it, you skipover it.
But what about those targetedads, ads that actually speak to
you, that when you went to awebsite and then you went on
Facebook and also you got an adfrom that website, you don't
mind it as much.
You might not be ready to buyright now, but you're also like
okay, cool, I saw this, I wasinterested in this and now I'm
(18:07):
getting ads for it.
So your follow-up has to besimilar to that where you talk
to somebody.
You gain some common ground,figure out some ways and be
creative.
Can you add there's a couple ofdifferent ways to add value.
Can you add there's.
There's a couple of differentways to add a value.
Can you add okay, this could be, uh, like a market report.
This could be news.
This could be introductions.
Network is especially good ifyou're working with first time
(18:30):
buyers.
You know, um, this can be opcosts for upgrades.
Okay, information is one way tofollow up Not my favorite, but
it's definitely one way to do it.
I prefer entertainment, so I'llsend videos, usually funny.
You can send topicalentertainment, like holidays,
(18:52):
and if you're going to doholidays, like let's back up for
a second, can we like add some,like everyone's going to send
them, like a happy 4th of July,okay, and it's going to have an
American flag on, it's going tobe great.
What can you do to go above andbeyond?
Like, go to YouTube for asecond and find a 4th of July
video, or find a 4th of Julymeme or something that actually
means something to you and whenyou send it out to them, send it
(19:15):
via text message and be likehey, bill, happy 4th of July.
My grandfather was in the armyand I watched a lot of military
videos with my dad.
It really instilled in me asense of patriotism.
I'm really proud to be here inthis country and I just wanted
to share this video with you.
Boom, send, okay, share alittle bit about yourself, give
(19:36):
them some entertainment based onthe holiday and off you go.
So I think that's another wayto follow up.
Also, you can consider and Ialluded to this the mediums that
you're going to use to followup.
You can use email, phone call,text, social media.
(19:56):
If you can find them on socialmedia, that's a great way to
connect with people.
You can do in-person.
You can do a delivery If youwant to do I like to do edible
arrangements sometimes ordeliver a pizza to somebody.
Okay, all different ways tofollow up.
So, and again, these are themain ways.
(20:19):
It just happened to one of ourbrokers.
He was calling through a market, he put a note on let's just
say it was a CJ and he put anote on there to follow up in
three weeks Three weeks went by.
He got busy with another market.
He didn't follow up for fiveweeks and by the time he
followed up he saw that it waslisted with another broker.
(20:39):
It happens you get somebodywarmed up, excited, ready to
list, you forget to follow upand then somebody else swoops in
and they're like, yep, I'mready to go.
It's like, uh, but that's afailure that we can learn from,
and so I hope this is helpful.
If anybody has any questionsthat we can learn from, and so I
hope this is helpful.
If anybody has any questions,I'll stay on for another minute
or two to answer any of yourquestions.
In the meantime, I definitelyencourage you guys to check out
(21:00):
the Circle community that we dohave.
If you're an aspiring jetbroker, you can check it out
right here.
Speaker 2 (21:03):
Thank, you so much for watching.
If you haven't already, go tocirclejetlifearrowcom and check
out our online community foraspiring brokers and current
brokers.
Here you'll find discussions,all things aviation-based things
that you're going to want toknow as an aircraft broker.
You can also check out our freetraining as well as more
(21:26):
resources that are available tohelp you to become a better jet
broker.
That's circlejetlifearrowcom tobegin your journey within the
broker community, absolutelyfree.
Speaker 1 (21:38):
I'm really excited about the Circle community, by
the way, because I think we'reup to 180 members right now, so
it's really cool to watch thatgrow.
I encourage you to check it out.
It's a great place to start Ifyou're thinking about becoming a
jet broker.
I don't think there's anywhereelse on the planet or in the
internet that is like this whereyou can ask questions about
becoming a jet broker.
You can take video lessons onhow to become a jet broker.
(21:59):
It's all there for you.
Because aviation changed mylife, I want to help other
people by changing their life.
Quick question oh, cool, cool,cool, cool.
So, coming in from the Instagram, is it normal to give LOIs
before getting exterior pics ofthe aircraft?
That's an interesting question.
Normally, if somebody isinquiring on an aircraft, you do
(22:21):
have exterior photos of it.
If somebody is asking for anoffer, before they send you
photos of the aircraft, it mayjust be that you're not talking
to the actual owner.
You're talking to someone inbetween a broker or somebody,
and they want to make sure thatyou're legit and they're going
to try and back-to-back the deal.
(22:42):
So if you're going to offer amillion dollars, they're going
to send an offer to the owner at$800,000, see if he'll take
$800K and then he'll take the$200,000 spread from your offer
to make his commission.
And I'm not saying this in anefarious way, I'm just saying
(23:02):
this is a real thing.
That could be the case.
It is an off-market aircraft.
So if it's an off-marketaircraft, that's probably what's
going on is you're not talkingto the owner.
If you're talking to the ownerdirectly and that's the problem
with off-market aircraft it'salways a guy who knows the guy,
whatever, whatever.
And you have to sift throughall that, especially if it's not
in the United States.
So what I would say is ifyou're dealing with off-market
(23:24):
stuff, you want to be talking tothe owner.
If you're not talking to theowner, talk to the broker and
just be like straight up withthe guy, like dude, like you're
really.
Are you back to backing this?
Just tell me so I can navigatethis appropriately.
Don't be shady about it.
There's got to be a way to getexterior photos, and so maybe
work with a broker and see ifyou can pull up photos on JetNet
(23:45):
.
A good broker will kind of dothat for free.
Actually, if you want, I'mhappy to.
Okay for a global oh, gotcha,gotcha, gotcha.
Well, hey, dude, why don't yousend me a DM?
Connie or La Connie I'm sorry,I don't know how to pronounce
your name Send me a DM inInstagram and let's talk about
it some more.
But overall, there shouldn't bea problem getting exterior
photos.
(24:05):
They should not require aletter of intent before they
send photos, unless it has to dowith privacy reasons, in which
case a non-disclosure would befine.
So you can send them anon-disclosure, like you won't
disclose to anybody whatairplane this is, and get the
photos before the LOI.
(24:26):
Because what if the photos showthat's completely in pieces?
Well, that changes the LOI.
So I'm not going to pay you $10million or whatever it is for
an airplane that's in pieces.
I need something so I can makean offer.
I need to see something.
So hope that was helpful foryou guys.
I appreciate you.
I will see you guys next week.
Live on the show.
Catch you later.
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