{"version":"1.0.0","segments":[{"speaker":"Average Joe Finances","startTime":0.177,"endTime":1.317,"body":"Hey,"},{"speaker":"Average Joe Finances","startTime":0.177,"endTime":1.317,"body":"how's it going everybody?"},{"speaker":"Average Joe Finances","startTime":1.317,"endTime":5.847,"body":"So today's guest is David Richter and"},{"speaker":"Average Joe Finances","startTime":1.317,"endTime":5.847,"body":"David is an active real estate investor."},{"speaker":"Average Joe Finances","startTime":6.087,"endTime":10.827,"body":"Who's been essential in closing over"},{"speaker":"Average Joe Finances","startTime":6.087,"endTime":10.827,"body":"850 deals over the last seven years."},{"speaker":"Average Joe Finances","startTime":11.427,"endTime":17.937,"body":"This is to include wholesale turnkey,"},{"speaker":"Average Joe Finances","startTime":11.427,"endTime":17.937,"body":"Burr owner, finance, rent rentals,"},{"speaker":"Average Joe Finances","startTime":17.967,"endTime":21.068,"body":"lease options and other different"},{"speaker":"Average Joe Finances","startTime":17.967,"endTime":21.068,"body":"exit strategies that you can think"},{"speaker":"Average Joe Finances","startTime":21.068,"endTime":24.998,"body":"of while growing and building a"},{"speaker":"Average Joe Finances","startTime":21.068,"endTime":24.998,"body":"real estate business from five"},{"speaker":"Average Joe Finances","startTime":24.998,"endTime":26.818,"body":"deals a month to over 25 deals."},{"speaker":"Average Joe Finances","startTime":27.813,"endTime":32.253,"body":"He realized that as much money was coming"},{"speaker":"Average Joe Finances","startTime":27.813,"endTime":32.253,"body":"in, it was going right out the door."},{"speaker":"Average Joe Finances","startTime":32.523,"endTime":36.363,"body":"So with that unique opportunity of"},{"speaker":"Average Joe Finances","startTime":32.523,"endTime":36.363,"body":"being in every seat as a real estate"},{"speaker":"Average Joe Finances","startTime":36.363,"endTime":40.923,"body":"investor, he found a calling in the"},{"speaker":"Average Joe Finances","startTime":36.363,"endTime":40.923,"body":"company's finance seat to help businesses"},{"speaker":"Average Joe Finances","startTime":40.923,"endTime":43.083,"body":"see where their money really went."},{"speaker":"Average Joe Finances","startTime":43.503,"endTime":48.513,"body":"David has helped real estate companies"},{"speaker":"Average Joe Finances","startTime":43.503,"endTime":48.513,"body":"completely turn around from going out"},{"speaker":"Average Joe Finances","startTime":48.513,"endTime":53.493,"body":"of business to building cash reserves by"},{"speaker":"Average Joe Finances","startTime":48.513,"endTime":53.493,"body":"using the profit first cash flow system."},{"speaker":"Average Joe Finances","startTime":54.003,"endTime":55.893,"body":"He wrote profit first for real estate."},{"speaker":"Average Joe Finances","startTime":55.893,"endTime":55.983,"body":"And."},{"speaker":"Average Joe Finances","startTime":57.288,"endTime":59.988,"body":"This book is a derivative"},{"speaker":"Average Joe Finances","startTime":57.288,"endTime":59.988,"body":"of the original profit."},{"speaker":"Average Joe Finances","startTime":59.988,"endTime":65.238,"body":"First by Mike  it's specifically"},{"speaker":"Average Joe Finances","startTime":59.988,"endTime":65.238,"body":"tailored for real estate investors."},{"speaker":"Average Joe Finances","startTime":65.568,"endTime":69.438,"body":"So his goal is to completely transform"},{"speaker":"Average Joe Finances","startTime":65.568,"endTime":69.438,"body":"the real estate investing industry."},{"speaker":"Average Joe Finances","startTime":70.068,"endTime":73.578,"body":"When it comes to how real estate"},{"speaker":"Average Joe Finances","startTime":70.068,"endTime":73.578,"body":"investors view their finances, he"},{"speaker":"Average Joe Finances","startTime":73.578,"endTime":77.838,"body":"wants to bring investors true financial"},{"speaker":"Average Joe Finances","startTime":73.578,"endTime":77.838,"body":"clarity, and freedom and help every"},{"speaker":"Average Joe Finances","startTime":77.838,"endTime":79.688,"body":"investor stop living deal with."},{"speaker":"Average Joe Finances","startTime":79.752,"endTime":83.725,"body":"David really excited to talk about this,"},{"speaker":"Average Joe Finances","startTime":79.752,"endTime":83.725,"body":"especially when you talk about for real"},{"speaker":"Average Joe Finances","startTime":83.725,"endTime":85.435,"body":"estate investors going from deal to deal."},{"speaker":"Average Joe Finances","startTime":85.675,"endTime":88.225,"body":"It reminds me of people that"},{"speaker":"Average Joe Finances","startTime":85.675,"endTime":88.225,"body":"live that nine to five life"},{"speaker":"Average Joe Finances","startTime":88.225,"endTime":89.623,"body":"that live paycheck to paycheck."},{"speaker":"Average Joe Finances","startTime":89.659,"endTime":91.489,"body":"This is going to be"},{"speaker":"Average Joe Finances","startTime":89.659,"endTime":91.489,"body":"really fun to talk about."},{"speaker":"Average Joe Finances","startTime":91.489,"endTime":92.689,"body":"So thanks for joining me today"},{"speaker":"David Richter","startTime":93.079,"endTime":95.339,"body":"Yeah thanks for having"},{"speaker":"David Richter","startTime":93.079,"endTime":95.339,"body":"me on Mike I really appreciate it."},{"speaker":"Average Joe Finances","startTime":95.739,"endTime":96.619,"body":"Hi right on."},{"speaker":"Average Joe Finances","startTime":96.628,"endTime":97.166,"body":"All right, David."},{"speaker":"Average Joe Finances","startTime":97.166,"endTime":100.63,"body":"So the first thing I want to talk about"},{"speaker":"Average Joe Finances","startTime":97.166,"endTime":100.63,"body":"it's the same thing I talk about or the"},{"speaker":"Average Joe Finances","startTime":100.75,"endTime":104.593,"body":"same question I ask everybody that comes"},{"speaker":"Average Joe Finances","startTime":100.75,"endTime":104.593,"body":"on my show and I shared a little bit"},{"speaker":"Average Joe Finances","startTime":104.593,"endTime":106.573,"body":"about you from your background that I had."},{"speaker":"Average Joe Finances","startTime":106.64,"endTime":109.7,"body":"So if you could dig a little"},{"speaker":"Average Joe Finances","startTime":106.64,"endTime":109.7,"body":"bit deeper and just tell us how"},{"speaker":"Average Joe Finances","startTime":109.7,"endTime":110.94,"body":"this all got started for you."},{"speaker":"David Richter","startTime":111.37,"endTime":111.86,"body":"Yeah."},{"speaker":"David Richter","startTime":111.86,"endTime":114.855,"body":"So I read rich dad, poor dad in college."},{"speaker":"David Richter","startTime":114.855,"endTime":117.615,"body":"So a good friend gave that to me and"},{"speaker":"David Richter","startTime":114.855,"endTime":117.615,"body":"that's where it really all started"},{"speaker":"David Richter","startTime":117.615,"endTime":119.825,"body":"the mindset, shift, everything."},{"speaker":"David Richter","startTime":119.855,"endTime":123.756,"body":"I was just going to go to school,"},{"speaker":"David Richter","startTime":119.855,"endTime":123.756,"body":"go to college, get a good education"},{"speaker":"David Richter","startTime":123.776,"endTime":125.346,"body":"and go out into the workforce."},{"speaker":"David Richter","startTime":125.346,"endTime":127.633,"body":"But once I read that book,"},{"speaker":"David Richter","startTime":125.346,"endTime":127.633,"body":"there was no turning back."},{"speaker":"David Richter","startTime":127.663,"endTime":131.244,"body":"So I bought a house, did my first"},{"speaker":"David Richter","startTime":127.663,"endTime":131.244,"body":"deal, did my first rental deal."},{"speaker":"David Richter","startTime":131.899,"endTime":132.619,"body":"Fixed it up."},{"speaker":"David Richter","startTime":132.739,"endTime":134.539,"body":"I bought it off the MLS, fixed it up."},{"speaker":"David Richter","startTime":134.569,"endTime":135.499,"body":"It was a HUD house."},{"speaker":"David Richter","startTime":135.889,"endTime":139.009,"body":"Then put a renter in there for"},{"speaker":"David Richter","startTime":135.889,"endTime":139.009,"body":"a few months, then actually"},{"speaker":"David Richter","startTime":139.009,"endTime":140.419,"body":"moved into that house too."},{"speaker":"David Richter","startTime":140.779,"endTime":143.659,"body":"We lived in it for a couple of years,"},{"speaker":"David Richter","startTime":140.779,"endTime":143.659,"body":"then the lease optioned it once we"},{"speaker":"David Richter","startTime":143.659,"endTime":147.739,"body":"moved out and then the tenant was"},{"speaker":"David Richter","startTime":143.659,"endTime":147.739,"body":"super tenant paid on time and then"},{"speaker":"David Richter","startTime":147.739,"endTime":149.299,"body":"cash me out like six months later."},{"speaker":"David Richter","startTime":149.299,"endTime":150.469,"body":"I'm like, this is awesome."},{"speaker":"David Richter","startTime":150.739,"endTime":152.611,"body":"So that's how I got"},{"speaker":"David Richter","startTime":150.739,"endTime":152.611,"body":"started in all of this."},{"speaker":"David Richter","startTime":152.611,"endTime":152.941,"body":"And then."},{"speaker":"David Richter","startTime":153.451,"endTime":154.351,"body":"During that time too."},{"speaker":"David Richter","startTime":154.351,"endTime":158.638,"body":"I was reading a ton way more, after"},{"speaker":"David Richter","startTime":154.351,"endTime":158.638,"body":"a re rich dad, poor dad and led me to"},{"speaker":"David Richter","startTime":158.638,"endTime":160.408,"body":"other real estate investors in my area."},{"speaker":"David Richter","startTime":160.798,"endTime":163.408,"body":"And that was where I started"},{"speaker":"David Richter","startTime":160.798,"endTime":163.408,"body":"working with investors in getting"},{"speaker":"David Richter","startTime":163.408,"endTime":164.968,"body":"around real estate investing."},{"speaker":"David Richter","startTime":164.968,"endTime":168.397,"body":"And that's really what kicked it"},{"speaker":"David Richter","startTime":164.968,"endTime":168.397,"body":"all off was a book starting that's"},{"speaker":"David Richter","startTime":168.407,"endTime":172.597,"body":"a as most real estate investors have"},{"speaker":"David Richter","startTime":168.407,"endTime":172.597,"body":"probably read rich dad, poor dad."},{"speaker":"Average Joe Finances","startTime":172.761,"endTime":172.969,"body":"Yeah."},{"speaker":"Average Joe Finances","startTime":173.042,"endTime":175.009,"body":"That's a we call that the purple Bible."},{"speaker":"Average Joe Finances","startTime":175.079,"endTime":177.839,"body":"Pretty much everybody that's in"},{"speaker":"Average Joe Finances","startTime":175.079,"endTime":177.839,"body":"real estate or really anything in"},{"speaker":"Average Joe Finances","startTime":177.839,"endTime":181.932,"body":"the finance community has heard"},{"speaker":"Average Joe Finances","startTime":177.839,"endTime":181.932,"body":"of, or read rich dad, poor dad."},{"speaker":"Average Joe Finances","startTime":182.532,"endTime":186.109,"body":"And it's a it's a pretty pivotal"},{"speaker":"Average Joe Finances","startTime":182.532,"endTime":186.109,"body":"book when it comes to just that"},{"speaker":"Average Joe Finances","startTime":186.109,"endTime":187.846,"body":"investing mindset right now."},{"speaker":"Average Joe Finances","startTime":187.93,"endTime":192.496,"body":"You're, you broke off from a profit first"},{"speaker":"Average Joe Finances","startTime":187.93,"endTime":192.496,"body":"that was written by Mike Michalowicz"},{"speaker":"Average Joe Finances","startTime":192.496,"endTime":196.698,"body":"right to, which was actually written for"},{"speaker":"Average Joe Finances","startTime":192.496,"endTime":196.698,"body":"businesses, to learn how to pay themselves"},{"speaker":"Average Joe Finances","startTime":196.698,"endTime":198.545,"body":"first, then pay for their expenses."},{"speaker":"Average Joe Finances","startTime":198.845,"endTime":203.583,"body":"So you have a book now that shows"},{"speaker":"Average Joe Finances","startTime":198.845,"endTime":203.583,"body":"you how to do this specifically"},{"speaker":"Average Joe Finances","startTime":203.613,"endTime":204.873,"body":"in the real estate realm."},{"speaker":"Average Joe Finances","startTime":204.899,"endTime":207.782,"body":"So I'd like to talk about that a little"},{"speaker":"Average Joe Finances","startTime":204.899,"endTime":207.782,"body":"bit because I actually had a guest"},{"speaker":"Average Joe Finances","startTime":207.782,"endTime":210.339,"body":"on the show a while back last year."},{"speaker":"Average Joe Finances","startTime":210.764,"endTime":212.586,"body":"That actually talked about profit first."},{"speaker":"Average Joe Finances","startTime":212.606,"endTime":214.336,"body":"I don't know if you"},{"speaker":"Average Joe Finances","startTime":212.606,"endTime":214.336,"body":"know him Rocky Lalvani."},{"speaker":"Average Joe Finances","startTime":214.394,"endTime":217.939,"body":"It was an awesome interview and he's"},{"speaker":"Average Joe Finances","startTime":214.394,"endTime":217.939,"body":"part of Mike's team and everything"},{"speaker":"Average Joe Finances","startTime":217.939,"endTime":219.049,"body":"too, which was really cool."},{"speaker":"Average Joe Finances","startTime":219.259,"endTime":223.276,"body":"So I really want to dive a little"},{"speaker":"Average Joe Finances","startTime":219.259,"endTime":223.276,"body":"bit deeper into, your side here"},{"speaker":"Average Joe Finances","startTime":223.276,"endTime":225.466,"body":"specifically in real estate."},{"speaker":"Average Joe Finances","startTime":225.466,"endTime":230.186,"body":"So can you explain what profit first"},{"speaker":"Average Joe Finances","startTime":225.466,"endTime":230.186,"body":"means for a real estate investor?"},{"speaker":"David Richter","startTime":230.556,"endTime":230.966,"body":"Yeah."},{"speaker":"David Richter","startTime":230.966,"endTime":233.146,"body":"So this is going to hold on."},{"speaker":"David Richter","startTime":233.146,"endTime":234.752,"body":"So this is gonna be a"},{"speaker":"David Richter","startTime":233.146,"endTime":234.752,"body":"little bit while on here."},{"speaker":"David Richter","startTime":234.752,"endTime":237.332,"body":"Cause I love this part because"},{"speaker":"David Richter","startTime":234.752,"endTime":237.332,"body":"you know how I told you a rich"},{"speaker":"David Richter","startTime":237.332,"endTime":238.982,"body":"dad, poor dad got me kicked off."},{"speaker":"David Richter","startTime":238.982,"endTime":243.842,"body":"This is another book that changed my"},{"speaker":"David Richter","startTime":238.982,"endTime":243.842,"body":"mindset around being a business owner,"},{"speaker":"David Richter","startTime":243.962,"endTime":248.282,"body":"being a true business owner and not"},{"speaker":"David Richter","startTime":243.962,"endTime":248.282,"body":"just struggling, going deal to deal."},{"speaker":"David Richter","startTime":248.762,"endTime":249.962,"body":"That's where I felt like."},{"speaker":"David Richter","startTime":250.432,"endTime":254.122,"body":"Rich dad, poor dad did a great job of"},{"speaker":"David Richter","startTime":250.432,"endTime":254.122,"body":"getting you on the right track and it"},{"speaker":"David Richter","startTime":254.122,"endTime":257.572,"body":"tells you to pay yourself, but then"},{"speaker":"David Richter","startTime":254.122,"endTime":257.572,"body":"profit first takes it a step further"},{"speaker":"David Richter","startTime":257.572,"endTime":258.832,"body":"and says, here's how you do it."},{"speaker":"David Richter","startTime":258.867,"endTime":260.967,"body":"As the, as any type of business owner."},{"speaker":"David Richter","startTime":261.357,"endTime":264.357,"body":"And that's where I wanted to take it a"},{"speaker":"David Richter","startTime":261.357,"endTime":264.357,"body":"step further for the real estate investing"},{"speaker":"David Richter","startTime":264.357,"endTime":267.807,"body":"community and say, here's how you do it"},{"speaker":"David Richter","startTime":264.357,"endTime":267.807,"body":"as a real estate investor, because my"},{"speaker":"David Richter","startTime":267.807,"endTime":270.987,"body":"background's in real estate investing"},{"speaker":"David Richter","startTime":267.807,"endTime":270.987,"body":"like like you mentioned, Mike, I've"},{"speaker":"David Richter","startTime":270.987,"endTime":272.667,"body":"been a part of a lot of different deals."},{"speaker":"David Richter","startTime":272.667,"endTime":273.897,"body":"So I've seen a lot of things."},{"speaker":"David Richter","startTime":274.287,"endTime":277.472,"body":"I was part of a company where we"},{"speaker":"David Richter","startTime":274.287,"endTime":277.472,"body":"grew to about 30 deals a month."},{"speaker":"David Richter","startTime":277.772,"endTime":281.503,"body":"And like we would have six, seven"},{"speaker":"David Richter","startTime":277.772,"endTime":281.503,"body":"figure months, but we had six,"},{"speaker":"David Richter","startTime":281.503,"endTime":283.843,"body":"seven figure expenses as well too."},{"speaker":"David Richter","startTime":284.113,"endTime":285.883,"body":"And that was like really depressing."},{"speaker":"David Richter","startTime":285.883,"endTime":287.366,"body":"So that's where I saw at the beginning."},{"speaker":"David Richter","startTime":287.435,"endTime":289.145,"body":"It doesn't matter what you're"},{"speaker":"David Richter","startTime":287.435,"endTime":289.145,"body":"making, it matters what"},{"speaker":"David Richter","startTime":289.145,"endTime":290.555,"body":"you're keeping and that's why."},{"speaker":"David Richter","startTime":291.195,"endTime":294.675,"body":"When I read profit first, that's what"},{"speaker":"David Richter","startTime":291.195,"endTime":294.675,"body":"really struck to me was like, here's"},{"speaker":"David Richter","startTime":294.675,"endTime":296.235,"body":"a system to actually keep the money."},{"speaker":"David Richter","startTime":296.745,"endTime":299.688,"body":"And I got there through a lot of"},{"speaker":"David Richter","startTime":296.745,"endTime":299.688,"body":"different, I could tell the whole"},{"speaker":"David Richter","startTime":299.688,"endTime":303.37,"body":"story of I started working with"},{"speaker":"David Richter","startTime":299.688,"endTime":303.37,"body":"another guy, a real estate investor"},{"speaker":"David Richter","startTime":303.4,"endTime":307.274,"body":"and helped him with his finances, get"},{"speaker":"David Richter","startTime":303.4,"endTime":307.274,"body":"clarity, you know, around  his numbers."},{"speaker":"David Richter","startTime":307.454,"endTime":311.444,"body":"He was able to, he found a lot of"},{"speaker":"David Richter","startTime":307.454,"endTime":311.444,"body":"his money was tied up with in his"},{"speaker":"David Richter","startTime":311.444,"endTime":313.274,"body":"portfolio and in his properties."},{"speaker":"David Richter","startTime":313.274,"endTime":314.804,"body":"And didn't even know it was there."},{"speaker":"David Richter","startTime":314.804,"endTime":318.224,"body":"Cause he didn't know his numbers and"},{"speaker":"David Richter","startTime":314.804,"endTime":318.224,"body":"was able to like refinance a lot and"},{"speaker":"David Richter","startTime":318.614,"endTime":322.904,"body":"out of his properties and actually get"},{"speaker":"David Richter","startTime":318.614,"endTime":322.904,"body":"back into a really good cash position."},{"speaker":"David Richter","startTime":322.904,"endTime":325.814,"body":"And he said, this has been"},{"speaker":"David Richter","startTime":322.904,"endTime":325.814,"body":"life-changing now I have my numbers."},{"speaker":"David Richter","startTime":325.814,"endTime":327.044,"body":"Now I have them going forward."},{"speaker":"David Richter","startTime":327.044,"endTime":329.294,"body":"Now I can, I feel like I'm"},{"speaker":"David Richter","startTime":327.044,"endTime":329.294,"body":"in control of my business."},{"speaker":"David Richter","startTime":329.294,"endTime":330.944,"body":"And that's what got me thinking."},{"speaker":"David Richter","startTime":330.944,"endTime":332.534,"body":"I want to help real estate investors."},{"speaker":"David Richter","startTime":332.534,"endTime":335.054,"body":"It's funny that you mentioned"},{"speaker":"David Richter","startTime":332.534,"endTime":335.054,"body":"Rocky because Rocky is one of"},{"speaker":"David Richter","startTime":335.054,"endTime":338.441,"body":"the CFOs on our team now that"},{"speaker":"David Richter","startTime":335.054,"endTime":338.441,"body":"helps, real estate investors."},{"speaker":"David Richter","startTime":338.916,"endTime":343.926,"body":"His background is real estate investing"},{"speaker":"David Richter","startTime":338.916,"endTime":343.926,"body":"too, but that's where I wanted to help."},{"speaker":"David Richter","startTime":344.166,"endTime":347.226,"body":"And what just real estate investors with"},{"speaker":"David Richter","startTime":344.166,"endTime":347.226,"body":"the number side, because it's something"},{"speaker":"David Richter","startTime":347.226,"endTime":348.576,"body":"that a lot of people don't touch on."},{"speaker":"David Richter","startTime":348.726,"endTime":350.376,"body":"Like we never really touch on that side."},{"speaker":"David Richter","startTime":350.376,"endTime":354.466,"body":"It's usually marketing sales, the"},{"speaker":"David Richter","startTime":350.376,"endTime":354.466,"body":"acquisitions, it's the, those, the"},{"speaker":"David Richter","startTime":354.466,"endTime":356.416,"body":"buzz words and no one's talking about."},{"speaker":"David Richter","startTime":357.126,"endTime":357.936,"body":"You're going to make money."},{"speaker":"David Richter","startTime":357.936,"endTime":359.226,"body":"How do you really keep the money then?"},{"speaker":"David Richter","startTime":359.256,"endTime":360.606,"body":"Like, how do you keep this money?"},{"speaker":"David Richter","startTime":360.606,"endTime":362.526,"body":"How do you buy your financial freedom?"},{"speaker":"David Richter","startTime":362.593,"endTime":365.724,"body":"Instead of living in the rat race and"},{"speaker":"David Richter","startTime":362.593,"endTime":365.724,"body":"just always focusing on like more and"},{"speaker":"David Richter","startTime":365.724,"endTime":369.995,"body":"more, because it's just, it can, you"},{"speaker":"David Richter","startTime":365.724,"endTime":369.995,"body":"can get tiring, as a business owner,"},{"speaker":"David Richter","startTime":370.062,"endTime":374.219,"body":"I then once I said, I wanted to start"},{"speaker":"David Richter","startTime":370.062,"endTime":374.219,"body":"my own business to help entrepreneurs,"},{"speaker":"David Richter","startTime":374.219,"endTime":378.184,"body":"I called a mentor of mine and he said,"},{"speaker":"David Richter","startTime":374.219,"endTime":378.184,"body":"that sounds like a good idea, helping"},{"speaker":"David Richter","startTime":378.184,"endTime":381.949,"body":"real estate investors with their finances"},{"speaker":"David Richter","startTime":378.184,"endTime":381.949,"body":"it's really needed, all this stuff."},{"speaker":"David Richter","startTime":381.979,"endTime":383.629,"body":"But he said, have you read profit first?"},{"speaker":"David Richter","startTime":383.959,"endTime":385.326,"body":"And I said, no, I've never read that."},{"speaker":"David Richter","startTime":385.396,"endTime":385.966,"body":"What is that?"},{"speaker":"David Richter","startTime":385.966,"endTime":388.066,"body":"So I read it, this was several years ago."},{"speaker":"David Richter","startTime":388.066,"endTime":389.746,"body":"So I read that book that evening."},{"speaker":"David Richter","startTime":389.746,"endTime":391.126,"body":"I downloaded it on audible."},{"speaker":"David Richter","startTime":391.216,"endTime":391.726,"body":"You have to read."},{"speaker":"David Richter","startTime":391.769,"endTime":393.252,"body":"Mike Michalowicz it's books on audible."},{"speaker":"David Richter","startTime":393.252,"endTime":394.002,"body":"They're hilarious."},{"speaker":"David Richter","startTime":394.002,"endTime":398.772,"body":"He's a great narrator of his books,"},{"speaker":"David Richter","startTime":394.002,"endTime":398.772,"body":"but read it on audible that night"},{"speaker":"David Richter","startTime":398.772,"endTime":402.012,"body":"took 10 pages of notes and said,"},{"speaker":"David Richter","startTime":398.772,"endTime":402.012,"body":"this is the framework that I want"},{"speaker":"David Richter","startTime":402.012,"endTime":403.212,"body":"to help real estate investors."},{"speaker":"David Richter","startTime":403.212,"endTime":406.512,"body":"So I did, I started implementing"},{"speaker":"David Richter","startTime":403.212,"endTime":406.512,"body":"the profit first framework"},{"speaker":"David Richter","startTime":406.512,"endTime":407.532,"body":"with real estate investors."},{"speaker":"David Richter","startTime":408.032,"endTime":410.342,"body":"Start a solid start working with them too."},{"speaker":"David Richter","startTime":410.732,"endTime":414.692,"body":"That's when I went to Mike Macau, it's"},{"speaker":"David Richter","startTime":410.732,"endTime":414.692,"body":"about seven, eight months later and said"},{"speaker":"David Richter","startTime":414.718,"endTime":417.898,"body":"Hey, I'd love to write the book for real"},{"speaker":"David Richter","startTime":414.718,"endTime":417.898,"body":"estate investing because there's a lot"},{"speaker":"David Richter","startTime":417.898,"endTime":421.348,"body":"of nuances, like after seeing all these"},{"speaker":"David Richter","startTime":417.898,"endTime":421.348,"body":"different types of deals, being a part"},{"speaker":"David Richter","startTime":421.348,"endTime":424.888,"body":"of all these different things, seeing"},{"speaker":"David Richter","startTime":421.348,"endTime":424.888,"body":"that work across multiple businesses, I"},{"speaker":"David Richter","startTime":424.888,"endTime":426.298,"body":"think there needs to be a blueprint for."},{"speaker":"David Richter","startTime":426.357,"endTime":427.857,"body":"The real estate investing industry."},{"speaker":"David Richter","startTime":427.857,"endTime":431.277,"body":"So let me dive into the"},{"speaker":"David Richter","startTime":427.857,"endTime":431.277,"body":"fundamentals of profit first."},{"speaker":"David Richter","startTime":431.277,"endTime":434.255,"body":"And then we could go into what maybe after"},{"speaker":"David Richter","startTime":431.277,"endTime":434.255,"body":"that, if you want to ask about how it"},{"speaker":"David Richter","startTime":434.255,"endTime":437.375,"body":"applies to real estate specifically, but"},{"speaker":"David Richter","startTime":434.255,"endTime":437.375,"body":"I want you to at least to get the core"},{"speaker":"David Richter","startTime":437.375,"endTime":442.145,"body":"message, because the core message is two"},{"speaker":"David Richter","startTime":437.375,"endTime":442.145,"body":"parts, the mindset, and then the action."},{"speaker":"David Richter","startTime":442.475,"endTime":446.315,"body":"So first the mindset that is the"},{"speaker":"David Richter","startTime":442.475,"endTime":446.315,"body":"there's a broken formula that"},{"speaker":"David Richter","startTime":446.315,"endTime":447.635,"body":"we've all been fed as business."},{"speaker":"David Richter","startTime":448.195,"endTime":452.183,"body":"Sales minus expenses equals profit,"},{"speaker":"David Richter","startTime":448.195,"endTime":452.183,"body":"bookkeepers accountants, just be that"},{"speaker":"David Richter","startTime":452.183,"endTime":454.763,"body":"to us or like other entrepreneurs"},{"speaker":"David Richter","startTime":452.183,"endTime":454.763,"body":"that don't know better, feed that"},{"speaker":"David Richter","startTime":454.763,"endTime":458.303,"body":"to us that tell you, you make"},{"speaker":"David Richter","startTime":454.763,"endTime":458.303,"body":"a sale, you pay everyone else."},{"speaker":"David Richter","startTime":458.303,"endTime":461.689,"body":"And their mother then hopefully you"},{"speaker":"David Richter","startTime":458.303,"endTime":461.689,"body":"have profit leftover at the end of the"},{"speaker":"David Richter","startTime":461.689,"endTime":465.363,"body":"day, or the end of the year, or whenever"},{"speaker":"David Richter","startTime":461.689,"endTime":465.363,"body":"that event that's supposed to take"},{"speaker":"David Richter","startTime":465.513,"endTime":470.016,"body":"place in some future, for you, you're"},{"speaker":"David Richter","startTime":465.513,"endTime":470.016,"body":"supposed to rake in that profit, but the"},{"speaker":"David Richter","startTime":470.016,"endTime":471.966,"body":"formula, the profit first formula says."},{"speaker":"David Richter","startTime":472.461,"endTime":476.751,"body":"Sales minus profit equals expenses,"},{"speaker":"David Richter","startTime":472.461,"endTime":476.751,"body":"which is just a subtle shift there."},{"speaker":"David Richter","startTime":476.751,"endTime":480.923,"body":"But with two variables, the profit"},{"speaker":"David Richter","startTime":476.751,"endTime":480.923,"body":"and expenses, meaning I make a sale,"},{"speaker":"David Richter","startTime":481.193,"endTime":485.543,"body":"I take my profit first and then what"},{"speaker":"David Richter","startTime":481.193,"endTime":485.543,"body":"I have left over are my expenses."},{"speaker":"David Richter","startTime":485.753,"endTime":489.683,"body":"And that's where the mindset can"},{"speaker":"David Richter","startTime":485.753,"endTime":489.683,"body":"really help you get into that"},{"speaker":"David Richter","startTime":489.683,"endTime":491.203,"body":"framework of, I don't have to."},{"speaker":"David Richter","startTime":491.798,"endTime":493.778,"body":"Be struggling and living deal to deal."},{"speaker":"David Richter","startTime":494.048,"endTime":497.252,"body":"And that's where it's like trying to"},{"speaker":"David Richter","startTime":494.048,"endTime":497.252,"body":"get just to, to that place, kinda like"},{"speaker":"David Richter","startTime":497.252,"endTime":501.272,"body":"Robert Kiyosaki does, he says pay yourself"},{"speaker":"David Richter","startTime":497.252,"endTime":501.272,"body":"first or the richest man in Babylon."},{"speaker":"David Richter","startTime":501.272,"endTime":504.332,"body":"A portion of all I have is mine to keep,"},{"speaker":"David Richter","startTime":501.272,"endTime":504.332,"body":"or these other books that we read as"},{"speaker":"David Richter","startTime":504.332,"endTime":506.309,"body":"entrepreneurs, which is why I feel that."},{"speaker":"David Richter","startTime":506.799,"endTime":509.109,"body":"And it's a little bit misleading"},{"speaker":"David Richter","startTime":506.799,"endTime":509.109,"body":"in those books because it doesn't"},{"speaker":"David Richter","startTime":509.109,"endTime":510.459,"body":"give you that's how two steps."},{"speaker":"David Richter","startTime":510.759,"endTime":514.299,"body":"That's why I love the framework of profit"},{"speaker":"David Richter","startTime":510.759,"endTime":514.299,"body":"first, because it's not just the mindset."},{"speaker":"David Richter","startTime":514.539,"endTime":515.919,"body":"It's not just that formula."},{"speaker":"David Richter","startTime":516.129,"endTime":518.409,"body":"It's also has here's"},{"speaker":"David Richter","startTime":516.129,"endTime":518.409,"body":"action steps to back it up."},{"speaker":"David Richter","startTime":518.439,"endTime":520.569,"body":"Like, how do I actually take profit first?"},{"speaker":"David Richter","startTime":520.749,"endTime":522.999,"body":"How do I make profit a"},{"speaker":"David Richter","startTime":520.749,"endTime":522.999,"body":"priority in my business?"},{"speaker":"David Richter","startTime":523.149,"endTime":524.769,"body":"How do I make profit a habit?"},{"speaker":"David Richter","startTime":525.159,"endTime":528.904,"body":"Because that's the big, that's"},{"speaker":"David Richter","startTime":525.159,"endTime":528.904,"body":"the nugget to take away is making"},{"speaker":"David Richter","startTime":528.904,"endTime":530.674,"body":"profit a habit in your business."},{"speaker":"David Richter","startTime":530.674,"endTime":533.374,"body":"And I'm not talking about some nebulous."},{"speaker":"David Richter","startTime":534.069,"endTime":538.389,"body":"Intangible untouchable profit"},{"speaker":"David Richter","startTime":534.069,"endTime":538.389,"body":"number that your CPA tells you at"},{"speaker":"David Richter","startTime":538.389,"endTime":541.029,"body":"the end of the year, because this"},{"speaker":"David Richter","startTime":538.389,"endTime":541.029,"body":"is how much you owe your taxes on."},{"speaker":"David Richter","startTime":541.126,"endTime":544.636,"body":"I'm not talking, I'm talking about"},{"speaker":"David Richter","startTime":541.126,"endTime":544.636,"body":"true cash profit in a bank account."},{"speaker":"David Richter","startTime":544.636,"endTime":546.766,"body":"So how do you get to that end state?"},{"speaker":"David Richter","startTime":547.126,"endTime":551.746,"body":"So that's where the second part, the"},{"speaker":"David Richter","startTime":547.126,"endTime":551.746,"body":"fundamental of profit first is how to"},{"speaker":"David Richter","startTime":551.746,"endTime":553.756,"body":"set that up, how to make it a reality."},{"speaker":"David Richter","startTime":553.996,"endTime":557.734,"body":"And I could go on and on about this,"},{"speaker":"David Richter","startTime":553.996,"endTime":557.734,"body":"but I'll give you the one big step."},{"speaker":"David Richter","startTime":558.154,"endTime":559.474,"body":"The one big step is."},{"speaker":"David Richter","startTime":560.054,"endTime":563.924,"body":"So right now, most investors,"},{"speaker":"David Richter","startTime":560.054,"endTime":563.924,"body":"entrepreneurs, business owners in"},{"speaker":"David Richter","startTime":563.924,"endTime":567.974,"body":"general, their biggest mistake with"},{"speaker":"David Richter","startTime":563.924,"endTime":567.974,"body":"their finances is having one big bank"},{"speaker":"David Richter","startTime":567.974,"endTime":572.612,"body":"account where all money goes in, all"},{"speaker":"David Richter","startTime":567.974,"endTime":572.612,"body":"money goes out and in your toss in a"},{"speaker":"David Richter","startTime":572.612,"endTime":576.689,"body":"cash salad every single day, every single"},{"speaker":"David Richter","startTime":572.612,"endTime":576.689,"body":"week, you have no idea what's coming in."},{"speaker":"David Richter","startTime":576.689,"endTime":577.559,"body":"What's going out."},{"speaker":"David Richter","startTime":577.739,"endTime":581.056,"body":"If if you look at your account one day,"},{"speaker":"David Richter","startTime":577.739,"endTime":581.056,"body":"you feel like a king the next day, you"},{"speaker":"David Richter","startTime":581.056,"endTime":584.836,"body":"feel like a popper because payroll ran"},{"speaker":"David Richter","startTime":581.056,"endTime":584.836,"body":"in the marketing ran and like where'd"},{"speaker":"David Richter","startTime":584.836,"endTime":586.539,"body":"all the money go, and it's that's where."},{"speaker":"David Richter","startTime":586.539,"endTime":588.971,"body":"You have one account you"},{"speaker":"David Richter","startTime":586.539,"endTime":588.971,"body":"will are not in control."},{"speaker":"David Richter","startTime":588.971,"endTime":590.951,"body":"You don't feel that control"},{"speaker":"David Richter","startTime":588.971,"endTime":590.951,"body":"as a business owner."},{"speaker":"David Richter","startTime":590.951,"endTime":592.541,"body":"And you're like, where is all my money?"},{"speaker":"David Richter","startTime":592.781,"endTime":596.801,"body":"And what, why don't I know where it is"},{"speaker":"David Richter","startTime":592.781,"endTime":596.801,"body":"because there's even a difference, even"},{"speaker":"David Richter","startTime":596.801,"endTime":598.571,"body":"if you know your books really well."},{"speaker":"David Richter","startTime":598.871,"endTime":602.722,"body":"If you're that 2% of entrepreneurs who"},{"speaker":"David Richter","startTime":598.871,"endTime":602.722,"body":"have the financial background or know"},{"speaker":"David Richter","startTime":602.722,"endTime":605.572,"body":"your numbers, they don't always match"},{"speaker":"David Richter","startTime":602.722,"endTime":605.572,"body":"up with the cash in the bank account."},{"speaker":"David Richter","startTime":605.902,"endTime":610.127,"body":"So that's where I love this framework"},{"speaker":"David Richter","startTime":605.902,"endTime":610.127,"body":"because profit first is not about the"},{"speaker":"David Richter","startTime":610.127,"endTime":614.117,"body":"financial statements, it's about managing"},{"speaker":"David Richter","startTime":610.127,"endTime":614.117,"body":"the cash inside of your accounts."},{"speaker":"David Richter","startTime":614.417,"endTime":617.357,"body":"Because like I said, the biggest"},{"speaker":"David Richter","startTime":614.417,"endTime":617.357,"body":"mistake is having that one account"},{"speaker":"David Richter","startTime":617.507,"endTime":618.707,"body":"because you have no control."},{"speaker":"David Richter","startTime":619.157,"endTime":623.867,"body":"That's where the whole system is"},{"speaker":"David Richter","startTime":619.157,"endTime":623.867,"body":"predicated on the envelope system."},{"speaker":"David Richter","startTime":624.017,"endTime":627.857,"body":"And if you've ever heard of the envelope"},{"speaker":"David Richter","startTime":624.017,"endTime":627.857,"body":"system like grandma's envelopes or Dave"},{"speaker":"David Richter","startTime":627.857,"endTime":630.947,"body":"Ramsey's made that popular, or like"},{"speaker":"David Richter","startTime":627.857,"endTime":630.947,"body":"maybe you have an envelope for your"},{"speaker":"David Richter","startTime":630.947,"endTime":635.987,"body":"personal finances or whatnot too, then"},{"speaker":"David Richter","startTime":630.947,"endTime":635.987,"body":"that's where you do this for business."},{"speaker":"David Richter","startTime":635.987,"endTime":637.927,"body":"You set up physical bank accounts."},{"speaker":"David Richter","startTime":638.122,"endTime":642.502,"body":"Make sure that you have those bank"},{"speaker":"David Richter","startTime":638.122,"endTime":642.502,"body":"accounts that are supporting you."},{"speaker":"David Richter","startTime":642.802,"endTime":645.412,"body":"That's where I also, so what"},{"speaker":"David Richter","startTime":642.802,"endTime":645.412,"body":"are those bank accounts?"},{"speaker":"David Richter","startTime":645.412,"endTime":648.292,"body":"Cause everyone always asks"},{"speaker":"David Richter","startTime":645.412,"endTime":648.292,"body":"there's five fundamental accounts."},{"speaker":"David Richter","startTime":648.562,"endTime":651.112,"body":"The first three, I call the golden trio."},{"speaker":"David Richter","startTime":651.412,"endTime":654.082,"body":"And this is how it differs in the"},{"speaker":"David Richter","startTime":651.412,"endTime":654.082,"body":"real estate investing book a little"},{"speaker":"David Richter","startTime":654.082,"endTime":655.522,"body":"bit because I put my spin on it."},{"speaker":"David Richter","startTime":655.912,"endTime":658.912,"body":"But the golden trio is I'm a huge."},{"speaker":"David Richter","startTime":659.947,"endTime":663.427,"body":"You air this where people can see, but"},{"speaker":"David Richter","startTime":659.947,"endTime":663.427,"body":"if they can't, I wear glasses used to"},{"speaker":"David Richter","startTime":663.427,"endTime":666.918,"body":"have braces, I'm the typical, like what"},{"speaker":"David Richter","startTime":663.427,"endTime":666.918,"body":"you would think of geek, nerd, whatever."},{"speaker":"David Richter","startTime":666.918,"endTime":668.358,"body":"I like embrace that fully."},{"speaker":"David Richter","startTime":668.358,"endTime":672.315,"body":"So I love the epic sagas, like"},{"speaker":"David Richter","startTime":668.358,"endTime":672.315,"body":"Harry Potter, star wars, I love"},{"speaker":"David Richter","startTime":672.315,"endTime":673.905,"body":"those big, yeah, there we go."},{"speaker":"David Richter","startTime":673.905,"endTime":674.385,"body":"I love it."},{"speaker":"David Richter","startTime":674.415,"endTime":674.655,"body":"Yeah."},{"speaker":"David Richter","startTime":674.655,"endTime":675.965,"body":"He's showing me his tattoo, right?"},{"speaker":"David Richter","startTime":676.005,"endTime":677.085,"body":"Your microphone, his tattoo."},{"speaker":"David Richter","startTime":677.085,"endTime":680.805,"body":"But I love those epic sagas and"},{"speaker":"David Richter","startTime":677.085,"endTime":680.805,"body":"because they've always got those three"},{"speaker":"David Richter","startTime":680.805,"endTime":684.525,"body":"main heroes, Lou Khan, Leah Harry,"},{"speaker":"David Richter","startTime":680.805,"endTime":684.525,"body":"Ron Harmani, like always pushing the"},{"speaker":"David Richter","startTime":684.525,"endTime":687.325,"body":"story forward for good you and your."},{"speaker":"David Richter","startTime":688.03,"endTime":689.35,"body":"That's your epic saga."},{"speaker":"David Richter","startTime":689.65,"endTime":690.76,"body":"That is your story."},{"speaker":"David Richter","startTime":690.76,"endTime":693.55,"body":"That is the thing that you're going"},{"speaker":"David Richter","startTime":690.76,"endTime":693.55,"body":"to tell your kids, your grandkids"},{"speaker":"David Richter","startTime":693.55,"endTime":696.37,"body":"one day, and hopefully it's not"},{"speaker":"David Richter","startTime":693.55,"endTime":696.37,"body":"going to be a crash and burn story."},{"speaker":"David Richter","startTime":696.37,"endTime":697.54,"body":"This is how you make it."},{"speaker":"David Richter","startTime":697.72,"endTime":700.63,"body":"So that way you can actually"},{"speaker":"David Richter","startTime":697.72,"endTime":700.63,"body":"be winning in the end."},{"speaker":"David Richter","startTime":700.9,"endTime":701.8,"body":"So how do you do that?"},{"speaker":"David Richter","startTime":701.8,"endTime":704.95,"body":"What are those golden trio accounts"},{"speaker":"David Richter","startTime":701.8,"endTime":704.95,"body":"for you to make sure you're winning"},{"speaker":"David Richter","startTime":705.16,"endTime":706.92,"body":"number one, a profit bank account."},{"speaker":"David Richter","startTime":707.52,"endTime":710.795,"body":"Number two and owner's"},{"speaker":"David Richter","startTime":707.52,"endTime":710.795,"body":"compensation account and number"},{"speaker":"David Richter","startTime":710.795,"endTime":712.565,"body":"three and owner's tax account."},{"speaker":"David Richter","startTime":712.955,"endTime":715.745,"body":"And I always get what's the difference"},{"speaker":"David Richter","startTime":712.955,"endTime":715.745,"body":"between profit and owner's comp"},{"speaker":"David Richter","startTime":715.985,"endTime":719.765,"body":"profit is something you take quarterly"},{"speaker":"David Richter","startTime":715.985,"endTime":719.765,"body":"to feel the reward of having a"},{"speaker":"David Richter","startTime":719.765,"endTime":723.275,"body":"successful business of having a"},{"speaker":"David Richter","startTime":719.765,"endTime":723.275,"body":"business that's truly cash profitable."},{"speaker":"David Richter","startTime":723.485,"endTime":726.815,"body":"And for the blood, sweat, and tears,"},{"speaker":"David Richter","startTime":723.485,"endTime":726.815,"body":"the time that you invest into it"},{"speaker":"David Richter","startTime":727.025,"endTime":730.792,"body":"trading 40 hours, working something for"},{"speaker":"David Richter","startTime":727.025,"endTime":730.792,"body":"someone else to 80 hours, working for"},{"speaker":"David Richter","startTime":730.792,"endTime":733.506,"body":"yourself, like making sure you feel that."},{"speaker":"David Richter","startTime":733.826,"endTime":737.306,"body":"Then owner's compensation is something"},{"speaker":"David Richter","startTime":733.826,"endTime":737.306,"body":"you take on a regular basis like"},{"speaker":"David Richter","startTime":737.306,"endTime":742.046,"body":"weekly or bi-weekly or monthly, where"},{"speaker":"David Richter","startTime":737.306,"endTime":742.046,"body":"you're physically paying yourself for"},{"speaker":"David Richter","startTime":742.046,"endTime":745.916,"body":"on a consistent basis for the work"},{"speaker":"David Richter","startTime":742.046,"endTime":745.916,"body":"you do inside the business, paying"},{"speaker":"David Richter","startTime":745.916,"endTime":749.276,"body":"yourself a salary or distributions,"},{"speaker":"David Richter","startTime":745.916,"endTime":749.276,"body":"or however you're set up right"},{"speaker":"David Richter","startTime":749.276,"endTime":751.226,"body":"now to pay yourself consistently."},{"speaker":"David Richter","startTime":751.526,"endTime":754.526,"body":"So that's what that second bank"},{"speaker":"David Richter","startTime":751.526,"endTime":754.526,"body":"account is owners tax, which"},{"speaker":"David Richter","startTime":754.526,"endTime":756.026,"body":"is pretty self-explanatory."},{"speaker":"David Richter","startTime":756.026,"endTime":758.936,"body":"But I want to make sure, because in"},{"speaker":"David Richter","startTime":756.026,"endTime":758.936,"body":"real estate, you've got property tax."},{"speaker":"David Richter","startTime":758.936,"endTime":759.926,"body":"This is different from property."},{"speaker":"David Richter","startTime":760.576,"endTime":764.236,"body":"Owner's taxes to make sure you, at the end"},{"speaker":"David Richter","startTime":760.576,"endTime":764.236,"body":"of the year, have the money in a separate"},{"speaker":"David Richter","startTime":764.236,"endTime":768.436,"body":"bank account to pay the IRS, especially"},{"speaker":"David Richter","startTime":764.236,"endTime":768.436,"body":"if you're an active investor and don't"},{"speaker":"David Richter","startTime":768.436,"endTime":770.056,"body":"have a ton of passive investments."},{"speaker":"David Richter","startTime":770.266,"endTime":772.876,"body":"If you're a very active, then you"},{"speaker":"David Richter","startTime":770.266,"endTime":772.876,"body":"need to make sure throughout the"},{"speaker":"David Richter","startTime":772.876,"endTime":774.366,"body":"year you're saving for your taxes."},{"speaker":"David Richter","startTime":774.366,"endTime":777.256,"body":"So that way, at the end of the year,"},{"speaker":"David Richter","startTime":774.366,"endTime":777.256,"body":"you're not scrambling to like, do three"},{"speaker":"David Richter","startTime":777.256,"endTime":782.265,"body":"more deals to cover your tax liability and"},{"speaker":"David Richter","startTime":777.256,"endTime":782.265,"body":"going bananas because now you owe $120,000"},{"speaker":"David Richter","startTime":782.265,"endTime":783.705,"body":"and I'm like, where did that come from?"},{"speaker":"David Richter","startTime":783.778,"endTime":786.598,"body":"So that's where making sure you"},{"speaker":"David Richter","startTime":783.778,"endTime":786.598,"body":"get that throughout the year."},{"speaker":"David Richter","startTime":787.078,"endTime":791.068,"body":"The other, the fourth bank account is"},{"speaker":"David Richter","startTime":787.078,"endTime":791.068,"body":"the income account, which is the control."},{"speaker":"David Richter","startTime":791.068,"endTime":792.328,"body":"I call it the control account."},{"speaker":"David Richter","startTime":792.658,"endTime":794.518,"body":"It's where money goes in."},{"speaker":"David Richter","startTime":794.578,"endTime":796.288,"body":"That's deposits, it's all income."},{"speaker":"David Richter","startTime":796.288,"endTime":801.118,"body":"Just go into that, holding bucket, that"},{"speaker":"David Richter","startTime":796.288,"endTime":801.118,"body":"bank account until you transfer it to"},{"speaker":"David Richter","startTime":801.118,"endTime":804.508,"body":"those other, the golden trio of accounts"},{"speaker":"David Richter","startTime":801.118,"endTime":804.508,"body":"and your operational expense of cat."},{"speaker":"David Richter","startTime":804.508,"endTime":807.898,"body":"So that's account is literally"},{"speaker":"David Richter","startTime":804.508,"endTime":807.898,"body":"for you now to see all money"},{"speaker":"David Richter","startTime":807.898,"endTime":811.618,"body":"go in, but then you transfer it"},{"speaker":"David Richter","startTime":807.898,"endTime":811.618,"body":"to those other accounts to see."},{"speaker":"David Richter","startTime":811.708,"endTime":811.798,"body":"Okay."},{"speaker":"David Richter","startTime":812.253,"endTime":813.693,"body":"I am now in control of my money."},{"speaker":"David Richter","startTime":813.723,"endTime":814.923,"body":"I tell where to go."},{"speaker":"David Richter","startTime":815.073,"endTime":817.443,"body":"Instead of it being in one"},{"speaker":"David Richter","startTime":815.073,"endTime":817.443,"body":"big bank account is going"},{"speaker":"David Richter","startTime":817.443,"endTime":818.943,"body":"in and out wherever it goes."},{"speaker":"David Richter","startTime":819.453,"endTime":821.343,"body":"So that's those four key ones."},{"speaker":"David Richter","startTime":821.343,"endTime":823.773,"body":"And then you already have the"},{"speaker":"David Richter","startTime":821.343,"endTime":823.773,"body":"OPEX or operational expense"},{"speaker":"David Richter","startTime":823.773,"endTime":825.273,"body":"account to pay your expenses from."},{"speaker":"David Richter","startTime":825.573,"endTime":829.653,"body":"So those are the five fundamental accounts"},{"speaker":"David Richter","startTime":825.573,"endTime":829.653,"body":"of profit first, which if you set those."},{"speaker":"David Richter","startTime":830.558,"endTime":834.873,"body":"Then you'll start to see the mindset"},{"speaker":"David Richter","startTime":830.558,"endTime":834.873,"body":"and the formula of profit first and from"},{"speaker":"David Richter","startTime":834.873,"endTime":838.233,"body":"Robert Kiyosaki and from the richest"},{"speaker":"David Richter","startTime":834.873,"endTime":838.233,"body":"man in Babylon and prom, every other"},{"speaker":"David Richter","startTime":838.233,"endTime":842.463,"body":"book under the sun that tells you to"},{"speaker":"David Richter","startTime":838.233,"endTime":842.463,"body":"pay yourself will start to make sense."},{"speaker":"David Richter","startTime":842.673,"endTime":847.893,"body":"It will, you'll start to see, this is how"},{"speaker":"David Richter","startTime":842.673,"endTime":847.893,"body":"I will be profitable now for my next deal."},{"speaker":"David Richter","startTime":848.013,"endTime":849.513,"body":"And then a thousand deals down the road."},{"speaker":"David Richter","startTime":850.003,"endTime":853.993,"body":"If I still am in this habit and making"},{"speaker":"David Richter","startTime":850.003,"endTime":853.993,"body":"profit a habit and transferring the money"},{"speaker":"David Richter","startTime":853.993,"endTime":858.493,"body":"to those accounts, that golden trio I'll"},{"speaker":"David Richter","startTime":853.993,"endTime":858.493,"body":"be doing it now and 10 years from now."},{"speaker":"David Richter","startTime":858.523,"endTime":862.633,"body":"And I'll actually be seeing an increase"},{"speaker":"David Richter","startTime":858.523,"endTime":862.633,"body":"in my actual cash in my business"},{"speaker":"David Richter","startTime":862.633,"endTime":865.903,"body":"to make sure that we are profitable"},{"speaker":"David Richter","startTime":862.633,"endTime":865.903,"body":"and taking it where we want to."},{"speaker":"David Richter","startTime":866.293,"endTime":867.793,"body":"That's the core of profit first."},{"speaker":"David Richter","startTime":867.793,"endTime":871.663,"body":"And if you're like, okay, one more thing,"},{"speaker":"David Richter","startTime":867.793,"endTime":871.663,"body":"Mike, it's the biggest objection, I get"},{"speaker":"David Richter","startTime":871.768,"endTime":873.598,"body":"it's five bank accounts are you nuts?"},{"speaker":"David Richter","startTime":873.838,"endTime":877.9,"body":"And it's no, if you can't do that, number"},{"speaker":"David Richter","startTime":873.838,"endTime":877.9,"body":"one, I told you, this is your saga."},{"speaker":"David Richter","startTime":877.904,"endTime":880.874,"body":"Those, that golden trios"},{"speaker":"David Richter","startTime":877.904,"endTime":880.874,"body":"for you, the business owner."},{"speaker":"David Richter","startTime":881.174,"endTime":884.654,"body":"But so if that doesn't convince you to"},{"speaker":"David Richter","startTime":881.174,"endTime":884.654,"body":"make sure that you actually have profit"},{"speaker":"David Richter","startTime":884.654,"endTime":889.934,"body":"and you're paying yourself at least set"},{"speaker":"David Richter","startTime":884.654,"endTime":889.934,"body":"up one bank account, call it profit."},{"speaker":"David Richter","startTime":890.044,"endTime":896.084,"body":"Transfer 1% do that simple step, like just"},{"speaker":"David Richter","startTime":890.044,"endTime":896.084,"body":"get in the habit of becoming a profitable"},{"speaker":"David Richter","startTime":896.084,"endTime":897.704,"body":"business owner from your next deal."},{"speaker":"David Richter","startTime":897.974,"endTime":902.024,"body":"If you would do that, like we're recording"},{"speaker":"David Richter","startTime":897.974,"endTime":902.024,"body":"this right now at the end of the year."},{"speaker":"David Richter","startTime":902.024,"endTime":905.11,"body":"I don't know when it'll air, but no"},{"speaker":"David Richter","startTime":902.024,"endTime":905.11,"body":"matter what, if you're listening to it"},{"speaker":"David Richter","startTime":905.11,"endTime":907.93,"body":"now, if you're listening to it in the"},{"speaker":"David Richter","startTime":905.11,"endTime":907.93,"body":"future, like whenever you're listening"},{"speaker":"David Richter","startTime":907.93,"endTime":910.45,"body":"to this, make sure that you set it up."},{"speaker":"David Richter","startTime":910.66,"endTime":912.23,"body":"So that way from your next deal."},{"speaker":"David Richter","startTime":912.44,"endTime":915.11,"body":"You become more profitable, even"},{"speaker":"David Richter","startTime":912.44,"endTime":915.11,"body":"if you haven't been profitable up"},{"speaker":"David Richter","startTime":915.11,"endTime":917.09,"body":"until now, just focusing on profit."},{"speaker":"David Richter","startTime":917.154,"endTime":922.257,"body":"I've seen businesses go from 70,000 losing"},{"speaker":"David Richter","startTime":917.154,"endTime":922.257,"body":"and 300,000 in the hole, like in a year"},{"speaker":"David Richter","startTime":922.467,"endTime":926.067,"body":"to turn around the next year of hundreds"},{"speaker":"David Richter","startTime":922.467,"endTime":926.067,"body":"of thousands in the black, just because."},{"speaker":"David Richter","startTime":926.527,"endTime":929.797,"body":"Focused on the right things,"},{"speaker":"David Richter","startTime":926.527,"endTime":929.797,"body":"asking themselves better questions."},{"speaker":"David Richter","startTime":929.797,"endTime":933.847,"body":"So if you will do nothing, but set"},{"speaker":"David Richter","startTime":929.797,"endTime":933.847,"body":"up that one account and transfer 1%"},{"speaker":"David Richter","startTime":933.967,"endTime":935.767,"body":"into there and get in that habit."},{"speaker":"David Richter","startTime":935.947,"endTime":937.327,"body":"I promise you a year from now."},{"speaker":"David Richter","startTime":937.447,"endTime":941.467,"body":"You'll say listening to that podcast"},{"speaker":"David Richter","startTime":937.447,"endTime":941.467,"body":"was a game changer for my business"},{"speaker":"David Richter","startTime":941.467,"endTime":945.037,"body":"because now I actually have more"},{"speaker":"David Richter","startTime":941.467,"endTime":945.037,"body":"cash in my account and I don't feel"},{"speaker":"David Richter","startTime":945.037,"endTime":947.137,"body":"chained to my business anymore."},{"speaker":"David Richter","startTime":947.497,"endTime":947.887,"body":"So there you go."},{"speaker":"David Richter","startTime":948.407,"endTime":951.887,"body":"That's the premise of profit first,"},{"speaker":"David Richter","startTime":948.407,"endTime":951.887,"body":"I could go into the real estate side."},{"speaker":"David Richter","startTime":951.997,"endTime":952.427,"body":"I do."},{"speaker":"David Richter","startTime":952.457,"endTime":956.147,"body":"There are extra things inside of"},{"speaker":"David Richter","startTime":952.457,"endTime":956.147,"body":"there that I talk about, but I always"},{"speaker":"David Richter","startTime":956.147,"endTime":957.497,"body":"wanted to get the core message."},{"speaker":"David Richter","startTime":957.767,"endTime":959.987,"body":"I have to get this message"},{"speaker":"David Richter","startTime":957.767,"endTime":959.987,"body":"out as much as possible."},{"speaker":"Average Joe Finances","startTime":960.13,"endTime":961.325,"body":"And"},{"speaker":"Average Joe Finances","startTime":960.13,"endTime":961.325,"body":"that's a lot to unpack."},{"speaker":"Average Joe Finances","startTime":961.325,"endTime":964.454,"body":"So I was sitting here writing down some"},{"speaker":"Average Joe Finances","startTime":961.325,"endTime":964.454,"body":"notes and right off the bat, just from"},{"speaker":"Average Joe Finances","startTime":964.454,"endTime":968.473,"body":"that your initial go at it, it reminded"},{"speaker":"Average Joe Finances","startTime":964.454,"endTime":968.473,"body":"me of the conversation I had with Rocky"},{"speaker":"Average Joe Finances","startTime":968.521,"endTime":970.209,"body":"last year, which is really awesome, man."},{"speaker":"Average Joe Finances","startTime":970.276,"endTime":973.156,"body":"One of the things that you had"},{"speaker":"Average Joe Finances","startTime":970.276,"endTime":973.156,"body":"mentioned is the envelope system, right?"},{"speaker":"Average Joe Finances","startTime":973.156,"endTime":975.196,"body":"And a lot of people are familiar"},{"speaker":"Average Joe Finances","startTime":973.156,"endTime":975.196,"body":"with that, especially people"},{"speaker":"Average Joe Finances","startTime":975.196,"endTime":978.496,"body":"that listen to my podcast between"},{"speaker":"Average Joe Finances","startTime":975.196,"endTime":978.496,"body":"that and sinking funds, right?"},{"speaker":"Average Joe Finances","startTime":978.496,"endTime":980.146,"body":"This is very similar to sinking funds."},{"speaker":"Average Joe Finances","startTime":980.202,"endTime":983.362,"body":"One of the things I use in my own"},{"speaker":"Average Joe Finances","startTime":980.202,"endTime":983.362,"body":"personal life is sinking funds."},{"speaker":"Average Joe Finances","startTime":983.362,"endTime":986.992,"body":"I have about seven bank accounts"},{"speaker":"Average Joe Finances","startTime":983.362,"endTime":986.992,"body":"that I use for all of my"},{"speaker":"Average Joe Finances","startTime":986.992,"endTime":987.922,"body":"expenses throughout the year."},{"speaker":"Average Joe Finances","startTime":987.922,"endTime":988.372,"body":"Pretty much."},{"speaker":"Average Joe Finances","startTime":988.401,"endTime":992.372,"body":"So holidays are coming up right"},{"speaker":"Average Joe Finances","startTime":988.401,"endTime":992.372,"body":"now as we're recording this."},{"speaker":"Average Joe Finances","startTime":992.372,"endTime":996.481,"body":"So I have a holiday and birthday fund,"},{"speaker":"Average Joe Finances","startTime":992.372,"endTime":996.481,"body":"guess where the money for all the presents"},{"speaker":"Average Joe Finances","startTime":996.481,"endTime":999.691,"body":"that are going under the tree and all that"},{"speaker":"Average Joe Finances","startTime":996.481,"endTime":999.691,"body":"stuff came from, it came from that account"},{"speaker":"Average Joe Finances","startTime":999.721,"endTime":1001.011,"body":"because that's where I put that money."},{"speaker":"Average Joe Finances","startTime":1001.043,"endTime":1001.551,"body":"I have."},{"speaker":"Average Joe Finances","startTime":1002.136,"endTime":1004.026,"body":"A pet and a vet account, right?"},{"speaker":"Average Joe Finances","startTime":1004.026,"endTime":1004.776,"body":"For our pets."},{"speaker":"Average Joe Finances","startTime":1005.136,"endTime":1008.436,"body":"I have a separate account"},{"speaker":"Average Joe Finances","startTime":1005.136,"endTime":1008.436,"body":"for car maintenance."},{"speaker":"Average Joe Finances","startTime":1008.706,"endTime":1011.829,"body":"I have a separate account"},{"speaker":"Average Joe Finances","startTime":1008.706,"endTime":1011.829,"body":"for miscellaneous expenses"},{"speaker":"Average Joe Finances","startTime":1011.829,"endTime":1012.549,"body":"throughout the year."},{"speaker":"Average Joe Finances","startTime":1012.759,"endTime":1017.379,"body":"So all these different accounts"},{"speaker":"Average Joe Finances","startTime":1012.759,"endTime":1017.379,"body":"that whenever I get paid, the money"},{"speaker":"Average Joe Finances","startTime":1017.409,"endTime":1019.119,"body":"automatically gets distributed right away."},{"speaker":"Average Joe Finances","startTime":1019.198,"endTime":1019.888,"body":"Not automatically."},{"speaker":"Average Joe Finances","startTime":1019.888,"endTime":1023.518,"body":"I have to manually go in there and"},{"speaker":"Average Joe Finances","startTime":1019.888,"endTime":1023.518,"body":"do it, but it all comes into that"},{"speaker":"Average Joe Finances","startTime":1023.518,"endTime":1026.315,"body":"one account, the profit account,"},{"speaker":"Average Joe Finances","startTime":1023.518,"endTime":1026.315,"body":"as you had mentioned before."},{"speaker":"Average Joe Finances","startTime":1026.342,"endTime":1031.552,"body":"So it's very similar to sinking"},{"speaker":"Average Joe Finances","startTime":1026.342,"endTime":1031.552,"body":"funds, but placed into a business"},{"speaker":"Average Joe Finances","startTime":1031.552,"endTime":1034.901,"body":"aspect, placed into just your"},{"speaker":"Average Joe Finances","startTime":1031.552,"endTime":1034.901,"body":"business, not your personal life."},{"speaker":"Average Joe Finances","startTime":1035.231,"endTime":1038.584,"body":"Now, the, your owners your"},{"speaker":"Average Joe Finances","startTime":1035.231,"endTime":1038.584,"body":"owner's account, right?"},{"speaker":"Average Joe Finances","startTime":1038.584,"endTime":1039.544,"body":"Your owner's compensation."},{"speaker":"Average Joe Finances","startTime":1039.544,"endTime":1039.664,"body":"Yeah."},{"speaker":"Average Joe Finances","startTime":1040.024,"endTime":1042.214,"body":"That would be how you're paying yourself."},{"speaker":"Average Joe Finances","startTime":1042.274,"endTime":1044.674,"body":"And then you would split it into"},{"speaker":"Average Joe Finances","startTime":1042.274,"endTime":1044.674,"body":"the different sinking funds."},{"speaker":"Average Joe Finances","startTime":1044.704,"endTime":1047.505,"body":"If you're strictly a business"},{"speaker":"Average Joe Finances","startTime":1044.704,"endTime":1047.505,"body":"owner, I'm talking about my active"},{"speaker":"Average Joe Finances","startTime":1047.505,"endTime":1048.645,"body":"duty paycheck from the Navy."},{"speaker":"Average Joe Finances","startTime":1048.645,"endTime":1050.025,"body":"I'm not even talking about my investments."},{"speaker":"Average Joe Finances","startTime":1050.48,"endTime":1052.55,"body":"So that's just that in general."},{"speaker":"Average Joe Finances","startTime":1052.55,"endTime":1055.32,"body":"So it's for those of you that are"},{"speaker":"Average Joe Finances","startTime":1052.55,"endTime":1055.32,"body":"listening and thinking, oh my goodness."},{"speaker":"Average Joe Finances","startTime":1055.32,"endTime":1056.263,"body":"That's so many bank accounts."},{"speaker":"Average Joe Finances","startTime":1056.263,"endTime":1059.365,"body":"Realistically, we've been talking about"},{"speaker":"Average Joe Finances","startTime":1056.263,"endTime":1059.365,"body":"that for a long time on this show,"},{"speaker":"Average Joe Finances","startTime":1059.365,"endTime":1061.255,"body":"especially when it comes to sinking funds."},{"speaker":"Average Joe Finances","startTime":1061.525,"endTime":1064.382,"body":"So now you're looking at it from"},{"speaker":"Average Joe Finances","startTime":1061.525,"endTime":1064.382,"body":"a business perspective which"},{"speaker":"Average Joe Finances","startTime":1064.422,"endTime":1065.432,"body":"is what's really awesome about."},{"speaker":"Average Joe Finances","startTime":1065.907,"endTime":1069.297,"body":"Mike Michalowicz with his book"},{"speaker":"Average Joe Finances","startTime":1065.907,"endTime":1069.297,"body":"profit first, and you taking that and"},{"speaker":"Average Joe Finances","startTime":1069.297,"endTime":1073.41,"body":"turning it into something strictly for"},{"speaker":"Average Joe Finances","startTime":1069.297,"endTime":1073.41,"body":"real estate investors which a large"},{"speaker":"Average Joe Finances","startTime":1073.41,"endTime":1076.95,"body":"majority of the people that listen"},{"speaker":"Average Joe Finances","startTime":1073.41,"endTime":1076.95,"body":"to my show are it's really exciting."},{"speaker":"Average Joe Finances","startTime":1076.98,"endTime":1079.82,"body":"And now that we've got the basics."},{"speaker":"Average Joe Finances","startTime":1079.824,"endTime":1083.206,"body":"I want to dive a little bit deeper"},{"speaker":"Average Joe Finances","startTime":1079.824,"endTime":1083.206,"body":"into how this relates to real estate,"},{"speaker":"Average Joe Finances","startTime":1083.206,"endTime":1085.916,"body":"but first there's, cause I wrote down"},{"speaker":"Average Joe Finances","startTime":1083.206,"endTime":1085.916,"body":"a lot of stuff as you were talking."},{"speaker":"Average Joe Finances","startTime":1085.916,"endTime":1089.966,"body":"The first question I want to ask you"},{"speaker":"Average Joe Finances","startTime":1085.916,"endTime":1089.966,"body":"before we get into that is, especially"},{"speaker":"Average Joe Finances","startTime":1089.966,"endTime":1093.326,"body":"for real estate investors right"},{"speaker":"Average Joe Finances","startTime":1089.966,"endTime":1093.326,"body":"there, they're working their numbers."},{"speaker":"Average Joe Finances","startTime":1093.326,"endTime":1095.614,"body":"They're, when you go to look at"},{"speaker":"Average Joe Finances","startTime":1093.326,"endTime":1095.614,"body":"a deal, the first thing you're"},{"speaker":"Average Joe Finances","startTime":1095.614,"endTime":1097.504,"body":"looking at is, okay, how much is it?"},{"speaker":"Average Joe Finances","startTime":1098.074,"endTime":1101.014,"body":"What can I pay to make it where"},{"speaker":"Average Joe Finances","startTime":1098.074,"endTime":1101.014,"body":"these numbers work for me?"},{"speaker":"Average Joe Finances","startTime":1101.224,"endTime":1103.217,"body":"And if I can't get to that"},{"speaker":"Average Joe Finances","startTime":1101.224,"endTime":1103.217,"body":"number then this isn't going"},{"speaker":"Average Joe Finances","startTime":1103.217,"endTime":1104.38,"body":"to be a good deal right now."},{"speaker":"Average Joe Finances","startTime":1104.597,"endTime":1105.797,"body":"How do you make that shift?"},{"speaker":"Average Joe Finances","startTime":1105.977,"endTime":1107.807,"body":"How do you make that"},{"speaker":"Average Joe Finances","startTime":1105.977,"endTime":1107.807,"body":"shift from going from?"},{"speaker":"Average Joe Finances","startTime":1108.017,"endTime":1108.48,"body":"Okay."},{"speaker":"Average Joe Finances","startTime":1108.526,"endTime":1112.726,"body":"I know that my expenses on this"},{"speaker":"Average Joe Finances","startTime":1108.526,"endTime":1112.726,"body":"rental property will be this much."},{"speaker":"Average Joe Finances","startTime":1113.236,"endTime":1116.266,"body":"I know that this is how much I'll"},{"speaker":"Average Joe Finances","startTime":1113.236,"endTime":1116.266,"body":"have to pay throughout the year."},{"speaker":"Average Joe Finances","startTime":1116.476,"endTime":1120.273,"body":"How do you make that shift of"},{"speaker":"Average Joe Finances","startTime":1116.476,"endTime":1120.273,"body":"paying yourself first versus paying"},{"speaker":"Average Joe Finances","startTime":1120.273,"endTime":1123.603,"body":"your expensive expenses first,"},{"speaker":"Average Joe Finances","startTime":1120.273,"endTime":1123.603,"body":"especially as a real estate investor."},{"speaker":"David Richter","startTime":1123.866,"endTime":1128.186,"body":"So one of the steps I left"},{"speaker":"David Richter","startTime":1123.866,"endTime":1128.186,"body":"out is one of the first things is you"},{"speaker":"David Richter","startTime":1128.186,"endTime":1129.776,"body":"have to know where you are right now."},{"speaker":"David Richter","startTime":1130.346,"endTime":1135.386,"body":"So you have to at least get a baseline"},{"speaker":"David Richter","startTime":1130.346,"endTime":1135.386,"body":"of, okay, are my expenses like 95%?"},{"speaker":"David Richter","startTime":1135.506,"endTime":1138.427,"body":"Because if they are, that's where"},{"speaker":"David Richter","startTime":1135.506,"endTime":1138.427,"body":"I need to know okay, this is a"},{"speaker":"David Richter","startTime":1138.427,"endTime":1142.272,"body":"red flag, that's the first thing"},{"speaker":"David Richter","startTime":1138.427,"endTime":1142.272,"body":"I think most investors, we do it."},{"speaker":"David Richter","startTime":1142.272,"endTime":1145.842,"body":"I know that even Robert Kiyosaki says"},{"speaker":"David Richter","startTime":1142.272,"endTime":1145.842,"body":"this, a lot of business people say"},{"speaker":"David Richter","startTime":1145.842,"endTime":1150.032,"body":"is, and it's because it's so true that"},{"speaker":"David Richter","startTime":1145.842,"endTime":1150.032,"body":"accounting is the language of business."},{"speaker":"David Richter","startTime":1150.262,"endTime":1151.052,"body":"It is."},{"speaker":"David Richter","startTime":1151.212,"endTime":1154.772,"body":"And knowing that language and"},{"speaker":"David Richter","startTime":1151.212,"endTime":1154.772,"body":"understanding it, knowing what, where"},{"speaker":"David Richter","startTime":1154.772,"endTime":1159.242,"body":"your money's going, and that's where"},{"speaker":"David Richter","startTime":1154.772,"endTime":1159.242,"body":"as a real estate investor, you need to"},{"speaker":"David Richter","startTime":1159.242,"endTime":1163.602,"body":"make sure you know, where your money is"},{"speaker":"David Richter","startTime":1159.242,"endTime":1163.602,"body":"going and you know exactly where you are."},{"speaker":"David Richter","startTime":1163.872,"endTime":1167.562,"body":"And that's where I feel like most"},{"speaker":"David Richter","startTime":1163.872,"endTime":1167.562,"body":"investors don't even want to look at."},{"speaker":"David Richter","startTime":1168.472,"endTime":1172.042,"body":"And the first step really is"},{"speaker":"David Richter","startTime":1168.472,"endTime":1172.042,"body":"getting where your baseline,"},{"speaker":"David Richter","startTime":1172.109,"endTime":1174.418,"body":"what is my in profit first terms?"},{"speaker":"David Richter","startTime":1174.418,"endTime":1178.108,"body":"My current allocation"},{"speaker":"David Richter","startTime":1174.418,"endTime":1178.108,"body":"percentages or my caps, what am"},{"speaker":"David Richter","startTime":1178.108,"endTime":1179.608,"body":"I currently doing in my business?"},{"speaker":"David Richter","startTime":1179.818,"endTime":1184.192,"body":"Because if you are at 95%, it's going to"},{"speaker":"David Richter","startTime":1179.818,"endTime":1184.192,"body":"be really hard to do, 50% to yourself."},{"speaker":"David Richter","startTime":1184.192,"endTime":1187.461,"body":"If you need that much, on every"},{"speaker":"David Richter","startTime":1184.192,"endTime":1187.461,"body":"single rental or every single deal."},{"speaker":"David Richter","startTime":1187.821,"endTime":1191.961,"body":"And just getting that baseline first,"},{"speaker":"David Richter","startTime":1187.821,"endTime":1191.961,"body":"because the whole point of this system."},{"speaker":"David Richter","startTime":1192.241,"endTime":1194.476,"body":"Is to get in the habit"},{"speaker":"David Richter","startTime":1192.241,"endTime":1194.476,"body":"of becoming profitable."},{"speaker":"David Richter","startTime":1194.476,"endTime":1197.536,"body":"So I would still set up a"},{"speaker":"David Richter","startTime":1194.476,"endTime":1197.536,"body":"profit account, still set up an"},{"speaker":"David Richter","startTime":1197.536,"endTime":1198.976,"body":"owner's compensation account."},{"speaker":"David Richter","startTime":1199.216,"endTime":1204.05,"body":"And if like you, this is a great example,"},{"speaker":"David Richter","startTime":1199.216,"endTime":1204.05,"body":"your situation of maybe you're building"},{"speaker":"David Richter","startTime":1204.14,"endTime":1208.801,"body":"a rental portfolio and you still have"},{"speaker":"David Richter","startTime":1204.14,"endTime":1208.801,"body":"W2 income or, from the Navy or you have"},{"speaker":"David Richter","startTime":1208.801,"endTime":1212.281,"body":"actual income from the Navy or whatnot,"},{"speaker":"David Richter","startTime":1208.801,"endTime":1212.281,"body":"you run across this all the time."},{"speaker":"David Richter","startTime":1212.491,"endTime":1216.339,"body":"So you don't have to pay yourself as"},{"speaker":"David Richter","startTime":1212.491,"endTime":1216.339,"body":"much as you're getting into real estate."},{"speaker":"David Richter","startTime":1216.339,"endTime":1216.429,"body":"And."},{"speaker":"David Richter","startTime":1216.484,"endTime":1219.847,"body":"And you don't have to pay yourself as"},{"speaker":"David Richter","startTime":1216.484,"endTime":1219.847,"body":"much from the rental side or from that."},{"speaker":"David Richter","startTime":1220.027,"endTime":1223.117,"body":"And we see that a lot, but we tell"},{"speaker":"David Richter","startTime":1220.027,"endTime":1223.117,"body":"people still set up the fundamental"},{"speaker":"David Richter","startTime":1223.117,"endTime":1228.397,"body":"accounts and at least set up 1% to go"},{"speaker":"David Richter","startTime":1223.117,"endTime":1228.397,"body":"into those accounts, at least at first."},{"speaker":"David Richter","startTime":1228.547,"endTime":1231.457,"body":"So that way, if you are heavily"},{"speaker":"David Richter","startTime":1228.547,"endTime":1231.457,"body":"expensed and you've got a lot of"},{"speaker":"David Richter","startTime":1231.457,"endTime":1235.807,"body":"expenses, you can start somewhere,"},{"speaker":"David Richter","startTime":1231.457,"endTime":1235.807,"body":"start small, and then every single"},{"speaker":"David Richter","startTime":1235.807,"endTime":1239.833,"body":"quarter can we bump the expenses down,"},{"speaker":"David Richter","startTime":1235.807,"endTime":1239.833,"body":"bump those profit percentages up."},{"speaker":"David Richter","startTime":1240.103,"endTime":1244.903,"body":"And once you're ready to retire, either"},{"speaker":"David Richter","startTime":1240.103,"endTime":1244.903,"body":"from the Navy or like from your W2 or"},{"speaker":"David Richter","startTime":1244.974,"endTime":1249.558,"body":"fire your boss or whatever, if, if someone"},{"speaker":"David Richter","startTime":1244.974,"endTime":1249.558,"body":"has a W2 job out there, then it's okay,"},{"speaker":"David Richter","startTime":1249.618,"endTime":1251.988,"body":"when it's ready for that time plan out."},{"speaker":"David Richter","startTime":1252.108,"endTime":1256.218,"body":"If that's two years from now, or if"},{"speaker":"David Richter","startTime":1252.108,"endTime":1256.218,"body":"that's two quarters from now, where do"},{"speaker":"David Richter","startTime":1256.218,"endTime":1258.513,"body":"I need to be percentage wise in order."},{"speaker":"David Richter","startTime":1258.713,"endTime":1262.013,"body":"And how many rentals or how many"},{"speaker":"David Richter","startTime":1258.713,"endTime":1262.013,"body":"deals do I need to be doing a month"},{"speaker":"David Richter","startTime":1262.283,"endTime":1264.113,"body":"in order to pay myself what I need?"},{"speaker":"David Richter","startTime":1264.503,"endTime":1268.223,"body":"That's where a lot of owners, I feel"},{"speaker":"David Richter","startTime":1264.503,"endTime":1268.223,"body":"like, just say, I'm doing this amount,"},{"speaker":"David Richter","startTime":1268.263,"endTime":1273.203,"body":"I'm doing 20,000 a month in deals, but"},{"speaker":"David Richter","startTime":1268.263,"endTime":1273.203,"body":"that doesn't mean 20,000 a month to you."},{"speaker":"David Richter","startTime":1273.35,"endTime":1276.326,"body":"Like that's where most investors follow"},{"speaker":"David Richter","startTime":1273.35,"endTime":1276.326,"body":"the track of you still have to pay"},{"speaker":"David Richter","startTime":1276.326,"endTime":1279.206,"body":"for marketing, you got to pay, are"},{"speaker":"David Richter","startTime":1276.326,"endTime":1279.206,"body":"you going to bring people on board?"},{"speaker":"David Richter","startTime":1279.234,"endTime":1280.718,"body":"Are you going to hire virtual assistants?"},{"speaker":"David Richter","startTime":1280.718,"endTime":1284.149,"body":"You know, it's like, that's where,"},{"speaker":"David Richter","startTime":1280.718,"endTime":1284.149,"body":"but what do you need in a month?"},{"speaker":"David Richter","startTime":1284.419,"endTime":1286.999,"body":"That's where a lot of business"},{"speaker":"David Richter","startTime":1284.419,"endTime":1286.999,"body":"owners, we need to know"},{"speaker":"David Richter","startTime":1287.029,"endTime":1288.469,"body":"first, where are we right now?"},{"speaker":"David Richter","startTime":1288.679,"endTime":1289.969,"body":"Where do we want to get to?"},{"speaker":"David Richter","startTime":1290.029,"endTime":1291.589,"body":"How fast do we want to get to?"},{"speaker":"David Richter","startTime":1291.589,"endTime":1292.999,"body":"And then reverse engineering."},{"speaker":"David Richter","startTime":1293.269,"endTime":1296.639,"body":"And then at least being in that"},{"speaker":"David Richter","startTime":1293.269,"endTime":1296.639,"body":"habit of, okay, this quarter."},{"speaker":"David Richter","startTime":1297.059,"endTime":1300.907,"body":"It might be when we first start,"},{"speaker":"David Richter","startTime":1297.059,"endTime":1300.907,"body":"everything might be 1% except for OPEX."},{"speaker":"David Richter","startTime":1300.921,"endTime":1304.041,"body":"Everything might be half a percent"},{"speaker":"David Richter","startTime":1300.921,"endTime":1304.041,"body":"except for OPEX, but get into"},{"speaker":"David Richter","startTime":1304.041,"endTime":1307.461,"body":"that habit next quarter, we'll"},{"speaker":"David Richter","startTime":1304.041,"endTime":1307.461,"body":"adjust and we'll get better."},{"speaker":"David Richter","startTime":1307.461,"endTime":1308.746,"body":"And what can I cut right now?"},{"speaker":"David Richter","startTime":1308.776,"endTime":1310.846,"body":"Can I put any more towards"},{"speaker":"David Richter","startTime":1308.776,"endTime":1310.846,"body":"these other accounts?"},{"speaker":"David Richter","startTime":1311.086,"endTime":1314.836,"body":"So that's where I tell people start"},{"speaker":"David Richter","startTime":1311.086,"endTime":1314.836,"body":"where you are and then plan out"},{"speaker":"David Richter","startTime":1314.866,"endTime":1318.796,"body":"where do you want to be and what"},{"speaker":"David Richter","startTime":1314.866,"endTime":1318.796,"body":"realistically can you do to get there?"},{"speaker":"Average Joe Finances","startTime":1319.036,"endTime":1319.396,"body":"Perfect."},{"speaker":"Average Joe Finances","startTime":1319.396,"endTime":1319.786,"body":"Perfect."},{"speaker":"Average Joe Finances","startTime":1319.786,"endTime":1319.936,"body":"Yeah."},{"speaker":"Average Joe Finances","startTime":1319.998,"endTime":1322.392,"body":"Even if you're just starting off"},{"speaker":"Average Joe Finances","startTime":1319.998,"endTime":1322.392,"body":"just a little bit, like you said,"},{"speaker":"Average Joe Finances","startTime":1322.392,"endTime":1327.199,"body":"just that 1% and even if you don't"},{"speaker":"Average Joe Finances","startTime":1322.392,"endTime":1327.199,"body":"necessarily need to, right now, you"},{"speaker":"Average Joe Finances","startTime":1327.199,"endTime":1329.059,"body":"start creating that muscle memory right."},{"speaker":"Average Joe Finances","startTime":1329.089,"endTime":1330.319,"body":"Of doing this."},{"speaker":"Average Joe Finances","startTime":1330.679,"endTime":1334.522,"body":"And, as you build your business and you"},{"speaker":"Average Joe Finances","startTime":1330.679,"endTime":1334.522,"body":"get ready to say, Hey, I'm going to fire"},{"speaker":"Average Joe Finances","startTime":1334.522,"endTime":1336.052,"body":"my boss or, Hey, I'm going to retire."},{"speaker":"Average Joe Finances","startTime":1336.052,"endTime":1339.754,"body":"Or, it's time to move on to the next"},{"speaker":"Average Joe Finances","startTime":1336.052,"endTime":1339.754,"body":"thing and be a full-time investor."},{"speaker":"Average Joe Finances","startTime":1340.174,"endTime":1343.201,"body":"That's, you've already built the"},{"speaker":"Average Joe Finances","startTime":1340.174,"endTime":1343.201,"body":"system it's already in place."},{"speaker":"Average Joe Finances","startTime":1343.501,"endTime":1344.632,"body":"And now all you have to do."},{"speaker":"Average Joe Finances","startTime":1344.681,"endTime":1346.991,"body":"Go all in on it at this time now."},{"speaker":"Average Joe Finances","startTime":1347.231,"endTime":1350.694,"body":"And, especially if you have a W2 job"},{"speaker":"Average Joe Finances","startTime":1347.231,"endTime":1350.694,"body":"right now, you can slowly just build"},{"speaker":"Average Joe Finances","startTime":1350.694,"endTime":1354.144,"body":"it up and build it up and build it"},{"speaker":"Average Joe Finances","startTime":1350.694,"endTime":1354.144,"body":"up and get it to the point where it"},{"speaker":"Average Joe Finances","startTime":1354.174,"endTime":1359.679,"body":"becomes almost its own self functioning"},{"speaker":"Average Joe Finances","startTime":1354.174,"endTime":1359.679,"body":"machine and or a well-oiled machine."},{"speaker":"Average Joe Finances","startTime":1359.679,"endTime":1362.685,"body":"Because each year that you're building it"},{"speaker":"Average Joe Finances","startTime":1359.679,"endTime":1362.685,"body":"up, you're adding a little more oil and"},{"speaker":"Average Joe Finances","startTime":1362.685,"endTime":1364.275,"body":"you're making sure that it's good to go."},{"speaker":"Average Joe Finances","startTime":1364.665,"endTime":1366.615,"body":"So I absolutely love that, man."},{"speaker":"Average Joe Finances","startTime":1366.638,"endTime":1367.205,"body":"I do."},{"speaker":"Average Joe Finances","startTime":1367.295,"endTime":1367.965,"body":"And it's."},{"speaker":"Average Joe Finances","startTime":1368.133,"endTime":1371.627,"body":"You're putting it into a perspective"},{"speaker":"Average Joe Finances","startTime":1368.133,"endTime":1371.627,"body":"that makes it more, reasonable"},{"speaker":"Average Joe Finances","startTime":1372.047,"endTime":1374.987,"body":"for somebody who's trying to"},{"speaker":"Average Joe Finances","startTime":1372.047,"endTime":1374.987,"body":"jump into something like this."},{"speaker":"Average Joe Finances","startTime":1375.407,"endTime":1379.59,"body":"And, I like what you said about, you have"},{"speaker":"Average Joe Finances","startTime":1375.407,"endTime":1379.59,"body":"to see where you're at first and then you"},{"speaker":"Average Joe Finances","startTime":1379.59,"endTime":1381.69,"body":"have to reverse engineer from that, right?"},{"speaker":"Average Joe Finances","startTime":1381.69,"endTime":1384.666,"body":"Because like you said,"},{"speaker":"Average Joe Finances","startTime":1381.69,"endTime":1384.666,"body":"if your expenses are 95%."},{"speaker":"Average Joe Finances","startTime":1385.611,"endTime":1389.211,"body":"You're probably this probably"},{"speaker":"Average Joe Finances","startTime":1385.611,"endTime":1389.211,"body":"isn't going to work right away."},{"speaker":"Average Joe Finances","startTime":1389.511,"endTime":1392.121,"body":"So that's the problem"},{"speaker":"Average Joe Finances","startTime":1389.511,"endTime":1392.121,"body":"you have to solve first."},{"speaker":"Average Joe Finances","startTime":1392.121,"endTime":1396.291,"body":"You have to get past that and figure"},{"speaker":"Average Joe Finances","startTime":1392.121,"endTime":1396.291,"body":"out a good way to lower your expenses."},{"speaker":"Average Joe Finances","startTime":1396.838,"endTime":1398.518,"body":"And increase that profit margin."},{"speaker":"Average Joe Finances","startTime":1398.788,"endTime":1401.371,"body":"So you can start implementing"},{"speaker":"Average Joe Finances","startTime":1398.788,"endTime":1401.371,"body":"this into your system."},{"speaker":"Average Joe Finances","startTime":1401.651,"endTime":1402.478,"body":"Absolutely awesome."},{"speaker":"Average Joe Finances","startTime":1402.478,"endTime":1402.808,"body":"David."},{"speaker":"Average Joe Finances","startTime":1402.808,"endTime":1403.768,"body":"So now."},{"speaker":"Average Joe Finances","startTime":1404.046,"endTime":1406.476,"body":"Getting more specific"},{"speaker":"Average Joe Finances","startTime":1404.046,"endTime":1406.476,"body":"into real estate, right?"},{"speaker":"Average Joe Finances","startTime":1406.476,"endTime":1410.265,"body":"Because now you've touched like"},{"speaker":"Average Joe Finances","startTime":1406.476,"endTime":1410.265,"body":"every flavor of real estate from"},{"speaker":"Average Joe Finances","startTime":1410.265,"endTime":1413.595,"body":"BRRRR to turn key to wholesaling."},{"speaker":"Average Joe Finances","startTime":1413.642,"endTime":1415.605,"body":"I'm sure there's some flips in there too."},{"speaker":"Average Joe Finances","startTime":1416.295,"endTime":1421.425,"body":"So with you touching like almost every"},{"speaker":"Average Joe Finances","startTime":1416.295,"endTime":1421.425,"body":"aspect of real estate, how do you tie"},{"speaker":"Average Joe Finances","startTime":1421.605,"endTime":1425.985,"body":"all of that in to a profit first method?"},{"speaker":"David Richter","startTime":1426.495,"endTime":1431.565,"body":"So in the book I"},{"speaker":"David Richter","startTime":1426.495,"endTime":1431.565,"body":"separate out buy and hold companies"},{"speaker":"David Richter","startTime":1431.625,"endTime":1433.365,"body":"like, and I want them all together."},{"speaker":"David Richter","startTime":1433.665,"endTime":1438.894,"body":"We'll use options, rentals, seller,"},{"speaker":"David Richter","startTime":1433.665,"endTime":1438.894,"body":"finance, like even if they're not,"},{"speaker":"David Richter","startTime":1438.92,"endTime":1442.276,"body":"the same type, like ones obviously"},{"speaker":"David Richter","startTime":1438.92,"endTime":1442.276,"body":"on terms and payments throughout,"},{"speaker":"David Richter","startTime":1442.276,"endTime":1444.166,"body":"and one's an actual straight rental."},{"speaker":"David Richter","startTime":1444.316,"endTime":1447.559,"body":"I want those in as the passive or"},{"speaker":"David Richter","startTime":1444.316,"endTime":1447.559,"body":"the buy and hold, like the long-term"},{"speaker":"David Richter","startTime":1447.559,"endTime":1451.369,"body":"strategy versus the active or the"},{"speaker":"David Richter","startTime":1447.559,"endTime":1451.369,"body":"fix and flip, or the selling company,"},{"speaker":"David Richter","startTime":1451.438,"endTime":1453.358,"body":"selling versus rental or buy and hold."},{"speaker":"David Richter","startTime":1453.718,"endTime":1457.705,"body":"So those are the two that I do, what is"},{"speaker":"David Richter","startTime":1453.718,"endTime":1457.705,"body":"the sale of the outcome or is holding"},{"speaker":"David Richter","startTime":1457.705,"endTime":1461.811,"body":"it the outcome and then hit it from"},{"speaker":"David Richter","startTime":1457.705,"endTime":1461.811,"body":"those angles because then the core"},{"speaker":"David Richter","startTime":1461.841,"endTime":1465.351,"body":"principles are still the same, but then"},{"speaker":"David Richter","startTime":1461.841,"endTime":1465.351,"body":"the setup is a little bit different."},{"speaker":"David Richter","startTime":1465.351,"endTime":1468.681,"body":"Like for both of them though, no matter"},{"speaker":"David Richter","startTime":1465.351,"endTime":1468.681,"body":"if you're a real estate investor on the"},{"speaker":"David Richter","startTime":1468.681,"endTime":1473.841,"body":"active or PA or the passive side, I would"},{"speaker":"David Richter","startTime":1468.681,"endTime":1473.841,"body":"have an OPM account, other people's money"},{"speaker":"David Richter","startTime":1474.201,"endTime":1478.551,"body":"where if you are taking money from private"},{"speaker":"David Richter","startTime":1474.201,"endTime":1478.551,"body":"lenders, hard money, lenders, banks,"},{"speaker":"David Richter","startTime":1478.551,"endTime":1483.041,"body":"whatever, for projects, for fixing flips"},{"speaker":"David Richter","startTime":1478.551,"endTime":1483.041,"body":"or for rentals, I would separate that."},{"speaker":"David Richter","startTime":1483.641,"endTime":1484.841,"body":"From those core accounts."},{"speaker":"David Richter","startTime":1485.051,"endTime":1489.161,"body":"So that way you're not mixing in"},{"speaker":"David Richter","startTime":1485.051,"endTime":1489.161,"body":"private lenders money or lenders funds"},{"speaker":"David Richter","startTime":1489.461,"endTime":1493.277,"body":"in with your operational expenses,"},{"speaker":"David Richter","startTime":1489.461,"endTime":1493.277,"body":"for the day to day, those are for"},{"speaker":"David Richter","startTime":1493.277,"endTime":1496.55,"body":"specific projects, make sure that"},{"speaker":"David Richter","startTime":1493.277,"endTime":1496.55,"body":"you have those, as separated out."},{"speaker":"David Richter","startTime":1496.55,"endTime":1499.976,"body":"So that's one thing that covers all"},{"speaker":"David Richter","startTime":1496.55,"endTime":1499.976,"body":"the realm of real estate investing."},{"speaker":"David Richter","startTime":1499.976,"endTime":1503.486,"body":"Because a lot of, no matter if you're"},{"speaker":"David Richter","startTime":1499.976,"endTime":1503.486,"body":"on the passive or active side, probably"},{"speaker":"David Richter","startTime":1503.486,"endTime":1507.416,"body":"going to get some private money or hard"},{"speaker":"David Richter","startTime":1503.486,"endTime":1507.416,"body":"money or whatever, some type of funds."},{"speaker":"David Richter","startTime":1508.016,"endTime":1509.156,"body":"So that's one big thing."},{"speaker":"David Richter","startTime":1509.276,"endTime":1510.626,"body":"The other thing is like on the."},{"speaker":"David Richter","startTime":1511.136,"endTime":1515.495,"body":"The buy and hold side, I'd say you should"},{"speaker":"David Richter","startTime":1511.136,"endTime":1515.495,"body":"probably have a PITI account, principal"},{"speaker":"David Richter","startTime":1515.495,"endTime":1521.045,"body":"interest taxes, insurance, because a"},{"speaker":"David Richter","startTime":1515.495,"endTime":1521.045,"body":"lot of places make you pay annually or"},{"speaker":"David Richter","startTime":1521.045,"endTime":1523.535,"body":"biannually like the taxes or whatnot."},{"speaker":"David Richter","startTime":1523.535,"endTime":1526.955,"body":"And sometimes it's not always escrowed"},{"speaker":"David Richter","startTime":1523.535,"endTime":1526.955,"body":"in with the property, especially"},{"speaker":"David Richter","startTime":1527.135,"endTime":1528.525,"body":"if you start to grow and scale."},{"speaker":"David Richter","startTime":1528.525,"endTime":1529.676,"body":"You might not have a mortgage."},{"speaker":"David Richter","startTime":1529.676,"endTime":1532.826,"body":"You might be taking it down with"},{"speaker":"David Richter","startTime":1529.676,"endTime":1532.826,"body":"a private lender first and then"},{"speaker":"David Richter","startTime":1532.826,"endTime":1537.506,"body":"refinancing it later on and with"},{"speaker":"David Richter","startTime":1532.826,"endTime":1537.506,"body":"a mortgage that has PITI wrote in."},{"speaker":"David Richter","startTime":1537.776,"endTime":1541.718,"body":"So I highly recommend having a"},{"speaker":"David Richter","startTime":1537.776,"endTime":1541.718,"body":"PITI account because even if you"},{"speaker":"David Richter","startTime":1541.718,"endTime":1545.179,"body":"have mortgages and they're already"},{"speaker":"David Richter","startTime":1541.718,"endTime":1545.179,"body":"allocated and escrowed for you, you"},{"speaker":"David Richter","startTime":1545.179,"endTime":1547.089,"body":"can know what am I paying out the."},{"speaker":"David Richter","startTime":1547.639,"endTime":1551.944,"body":"For my PITI, every single month, but"},{"speaker":"David Richter","startTime":1547.639,"endTime":1551.944,"body":"then also, if you aren't, if it's not"},{"speaker":"David Richter","startTime":1551.944,"endTime":1556.174,"body":"already escrowed for you, the tax, the"},{"speaker":"David Richter","startTime":1551.944,"endTime":1556.174,"body":"taxes and insurance, then you are saving"},{"speaker":"David Richter","startTime":1556.174,"endTime":1557.554,"body":"every single month inside of there."},{"speaker":"David Richter","startTime":1557.554,"endTime":1559.894,"body":"So at the end of the year, you"},{"speaker":"David Richter","startTime":1557.554,"endTime":1559.894,"body":"don't have this huge property tax"},{"speaker":"David Richter","startTime":1559.924,"endTime":1562.307,"body":"filling and you're like, shoot,"},{"speaker":"David Richter","startTime":1559.924,"endTime":1562.307,"body":"where'd all the money go for that."},{"speaker":"David Richter","startTime":1562.316,"endTime":1564.986,"body":"So there's the PITI"},{"speaker":"David Richter","startTime":1562.316,"endTime":1564.986,"body":"bucket that I recommend."},{"speaker":"David Richter","startTime":1565.196,"endTime":1567.206,"body":"I also recommend making"},{"speaker":"David Richter","startTime":1565.196,"endTime":1567.206,"body":"sure tenant deposits."},{"speaker":"David Richter","startTime":1567.206,"endTime":1571.316,"body":"That's usually a standard one for real"},{"speaker":"David Richter","startTime":1567.206,"endTime":1571.316,"body":"estate investing on that side then for"},{"speaker":"David Richter","startTime":1571.346,"endTime":1573.176,"body":"buy and hold I also recommend like a cap."},{"speaker":"David Richter","startTime":1573.273,"endTime":1577.404,"body":"Like capital expenditures or vacancy"},{"speaker":"David Richter","startTime":1573.273,"endTime":1577.404,"body":"turnover, like making sure the biggest"},{"speaker":"David Richter","startTime":1577.404,"endTime":1581.664,"body":"expenses for what you need to do for"},{"speaker":"David Richter","startTime":1577.404,"endTime":1581.664,"body":"the buy and hold that you have an actual"},{"speaker":"David Richter","startTime":1581.664,"endTime":1585.569,"body":"account for that, because we know that's"},{"speaker":"David Richter","startTime":1581.664,"endTime":1585.569,"body":"the biggest expense that you're going to"},{"speaker":"David Richter","startTime":1585.569,"endTime":1589.348,"body":"have throughout their lifetime of that,"},{"speaker":"David Richter","startTime":1585.569,"endTime":1589.348,"body":"of your properties and of your portfolio."},{"speaker":"David Richter","startTime":1589.358,"endTime":1592.378,"body":"So that's another thing that I"},{"speaker":"David Richter","startTime":1589.358,"endTime":1592.378,"body":"talk about in the book as well."},{"speaker":"David Richter","startTime":1592.768,"endTime":1594.504,"body":"So that's how I separated out."},{"speaker":"David Richter","startTime":1594.734,"endTime":1597.839,"body":"I also dedicate a whole entire"},{"speaker":"David Richter","startTime":1594.734,"endTime":1597.839,"body":"chapter of the book to how"},{"speaker":"David Richter","startTime":1597.839,"endTime":1599.189,"body":"reserves grow your business."},{"speaker":"David Richter","startTime":1599.669,"endTime":1602.849,"body":"Because I don't know if there's any group"},{"speaker":"David Richter","startTime":1599.669,"endTime":1602.849,"body":"of entrepreneurs and business owners"},{"speaker":"David Richter","startTime":1603.029,"endTime":1608.023,"body":"that love to just not sit on money, not"},{"speaker":"David Richter","startTime":1603.029,"endTime":1608.023,"body":"sit on any money and just have every"},{"speaker":"David Richter","startTime":1608.023,"endTime":1609.823,"body":"dollar out there working and investing."},{"speaker":"David Richter","startTime":1609.823,"endTime":1610.453,"body":"And I get that."},{"speaker":"David Richter","startTime":1610.753,"endTime":1611.533,"body":"That is great."},{"speaker":"David Richter","startTime":1611.773,"endTime":1614.413,"body":"But then at the end of the day,"},{"speaker":"David Richter","startTime":1611.773,"endTime":1614.413,"body":"if you want to grow your business,"},{"speaker":"David Richter","startTime":1614.623,"endTime":1618.082,"body":"you're going to have reserves because"},{"speaker":"David Richter","startTime":1614.623,"endTime":1618.082,"body":"there are going to be downturns."},{"speaker":"David Richter","startTime":1618.382,"endTime":1620.512,"body":"So whether that be a"},{"speaker":"David Richter","startTime":1618.382,"endTime":1620.512,"body":"downturn in the market."},{"speaker":"David Richter","startTime":1620.582,"endTime":1623.337,"body":"Or a personal downturn"},{"speaker":"David Richter","startTime":1620.582,"endTime":1623.337,"body":"that happens in your life."},{"speaker":"David Richter","startTime":1623.607,"endTime":1626.577,"body":"You're going to need to rely on"},{"speaker":"David Richter","startTime":1623.607,"endTime":1626.577,"body":"what you have in your business."},{"speaker":"David Richter","startTime":1626.787,"endTime":1630.027,"body":"So making sure that's there,"},{"speaker":"David Richter","startTime":1626.787,"endTime":1630.027,"body":"I also talk about this is how"},{"speaker":"David Richter","startTime":1630.027,"endTime":1631.317,"body":"you stop living, deal to deal."},{"speaker":"David Richter","startTime":1631.827,"endTime":1635.877,"body":"If you see you have money in an account,"},{"speaker":"David Richter","startTime":1631.827,"endTime":1635.877,"body":"that's not designated for some expense,"},{"speaker":"David Richter","startTime":1635.877,"endTime":1639.507,"body":"that's coming up and it's just there for"},{"speaker":"David Richter","startTime":1635.877,"endTime":1639.507,"body":"your peace of mind, even if you're that"},{"speaker":"David Richter","startTime":1639.507,"endTime":1644.587,"body":"type a risk taking all the time, it gives"},{"speaker":"David Richter","startTime":1639.507,"endTime":1644.587,"body":"you breathing room to make decisions"},{"speaker":"David Richter","startTime":1644.587,"endTime":1648.307,"body":"from your purpose and not from fear,"},{"speaker":"David Richter","startTime":1644.587,"endTime":1648.307,"body":"making sure that you're not making that"},{"speaker":"David Richter","startTime":1648.307,"endTime":1652.867,"body":"deal just because it's a slim deal and"},{"speaker":"David Richter","startTime":1648.307,"endTime":1652.867,"body":"like I have to have that next deal and"},{"speaker":"David Richter","startTime":1652.867,"endTime":1656.018,"body":"making the decision of no, I want this"},{"speaker":"David Richter","startTime":1652.867,"endTime":1656.018,"body":"deal because I know we can have this"},{"speaker":"David Richter","startTime":1656.018,"endTime":1657.608,"body":"exit strategy or this exit strategy."},{"speaker":"David Richter","startTime":1657.608,"endTime":1662.348,"body":"We can make this deal happen and make it"},{"speaker":"David Richter","startTime":1657.608,"endTime":1662.348,"body":"at this profit making better decisions."},{"speaker":"David Richter","startTime":1662.738,"endTime":1665.561,"body":"The other thing too is besides"},{"speaker":"David Richter","startTime":1662.738,"endTime":1665.561,"body":"that, the psychological effect"},{"speaker":"David Richter","startTime":1665.561,"endTime":1666.731,"body":"is a lenders,  love reserve."},{"speaker":"David Richter","startTime":1666.731,"endTime":1670.447,"body":"So if you're wanting to go out there,"},{"speaker":"David Richter","startTime":1666.731,"endTime":1670.447,"body":"build a bigger portfolio and can't get"},{"speaker":"David Richter","startTime":1670.447,"endTime":1674.793,"body":"a bunch of just, traditional mortgages"},{"speaker":"David Richter","startTime":1670.447,"endTime":1674.793,"body":"on the properties using private funds,"},{"speaker":"David Richter","startTime":1674.793,"endTime":1678.288,"body":"or like just doing private funds for"},{"speaker":"David Richter","startTime":1674.793,"endTime":1678.288,"body":"your fix and flip, they like to see"},{"speaker":"David Richter","startTime":1678.288,"endTime":1681.998,"body":"that you're a savvy business owner"},{"speaker":"David Richter","startTime":1678.288,"endTime":1681.998,"body":"and that you have money in an account"},{"speaker":"David Richter","startTime":1681.998,"endTime":1685.926,"body":"or money in different accounts, so"},{"speaker":"David Richter","startTime":1681.998,"endTime":1685.926,"body":"that helps you to grow your business."},{"speaker":"David Richter","startTime":1685.926,"endTime":1689.346,"body":"And it's just something that I hit"},{"speaker":"David Richter","startTime":1685.926,"endTime":1689.346,"body":"in the book because I do, this is one"},{"speaker":"David Richter","startTime":1689.346,"endTime":1694.716,"body":"thing where right now, as we record this"},{"speaker":"David Richter","startTime":1689.346,"endTime":1694.716,"body":"podcast, the real estate market is great."},{"speaker":"David Richter","startTime":1694.896,"endTime":1700.287,"body":"It's been great for I don't know, 14 years"},{"speaker":"David Richter","startTime":1694.896,"endTime":1700.287,"body":"or 13 years since 2007 and eight and nine."},{"speaker":"David Richter","startTime":1700.527,"endTime":1701.457,"body":"So it's been real."},{"speaker":"David Richter","startTime":1701.457,"endTime":1702.927,"body":"It's been getting better and better."},{"speaker":"David Richter","startTime":1703.432,"endTime":1705.022,"body":"But that's not always"},{"speaker":"David Richter","startTime":1703.432,"endTime":1705.022,"body":"going to be that way."},{"speaker":"David Richter","startTime":1705.022,"endTime":1708.583,"body":"So it's this is something where if you"},{"speaker":"David Richter","startTime":1705.022,"endTime":1708.583,"body":"can get in this habit, you can save"},{"speaker":"David Richter","startTime":1708.583,"endTime":1712.393,"body":"yourself a lot of the hurt and heartache"},{"speaker":"David Richter","startTime":1708.583,"endTime":1712.393,"body":"that the friends that I had personally,"},{"speaker":"David Richter","startTime":1712.393,"endTime":1715.033,"body":"that went down during that last downturn."},{"speaker":"David Richter","startTime":1715.213,"endTime":1718.033,"body":"And one of the reasons why I wrote"},{"speaker":"David Richter","startTime":1715.213,"endTime":1718.033,"body":"this book and I'm preaching this"},{"speaker":"David Richter","startTime":1718.033,"endTime":1721.273,"body":"message,  getting it out there"},{"speaker":"David Richter","startTime":1718.033,"endTime":1721.273,"body":"is, I want to make sure that."},{"speaker":"David Richter","startTime":1721.738,"endTime":1724.168,"body":"You have those reserves"},{"speaker":"David Richter","startTime":1721.738,"endTime":1724.168,"body":"and you get this in place."},{"speaker":"David Richter","startTime":1724.168,"endTime":1726.388,"body":"So that way you don't have to"},{"speaker":"David Richter","startTime":1724.168,"endTime":1726.388,"body":"go through something like that."},{"speaker":"David Richter","startTime":1726.388,"endTime":1730.288,"body":"And that, because the true test of a"},{"speaker":"David Richter","startTime":1726.388,"endTime":1730.288,"body":"business owner is not the good times."},{"speaker":"David Richter","startTime":1730.318,"endTime":1732.118,"body":"It's not riding out those bull markets."},{"speaker":"David Richter","startTime":1732.298,"endTime":1735.238,"body":"It's seeing if you can handle the"},{"speaker":"David Richter","startTime":1732.298,"endTime":1735.238,"body":"bear markets and if you can handle the"},{"speaker":"David Richter","startTime":1735.238,"endTime":1739.618,"body":"downturns and if you can handle the"},{"speaker":"David Richter","startTime":1735.238,"endTime":1739.618,"body":"rough circumstances, having a system"},{"speaker":"David Richter","startTime":1739.618,"endTime":1743.548,"body":"like this gets you through those"},{"speaker":"David Richter","startTime":1739.618,"endTime":1743.548,"body":"times, the goal is not to get big."},{"speaker":"David Richter","startTime":1743.548,"endTime":1745.708,"body":"The goal is to create"},{"speaker":"David Richter","startTime":1743.548,"endTime":1745.708,"body":"a sustainable business."},{"speaker":"David Richter","startTime":1745.948,"endTime":1748.768,"body":"The goal is to make sure you"},{"speaker":"David Richter","startTime":1745.948,"endTime":1748.768,"body":"can handle anything at any time."},{"speaker":"David Richter","startTime":1749.068,"endTime":1750.238,"body":"And this is a big thing."},{"speaker":"David Richter","startTime":1750.238,"endTime":1751.048,"body":"Having those reserves."},{"speaker":"David Richter","startTime":1751.478,"endTime":1752.888,"body":"The big piece of that puzzle."},{"speaker":"David Richter","startTime":1753.128,"endTime":1756.688,"body":"It's not the end all be all, but it's"},{"speaker":"David Richter","startTime":1753.128,"endTime":1756.688,"body":"the big piece of that puzzle for you."},{"speaker":"David Richter","startTime":1756.688,"endTime":1758.948,"body":"You still have to have marketing and"},{"speaker":"David Richter","startTime":1756.688,"endTime":1758.948,"body":"you still have to have the sales."},{"speaker":"David Richter","startTime":1758.948,"endTime":1762.638,"body":"You still have to have top-line"},{"speaker":"David Richter","startTime":1758.948,"endTime":1762.638,"body":"coming in, but you've got to, you"},{"speaker":"David Richter","startTime":1762.638,"endTime":1765.925,"body":"can't have a net with, like a bunch"},{"speaker":"David Richter","startTime":1762.638,"endTime":1765.925,"body":"of a bag with a bunch of holes in it."},{"speaker":"David Richter","startTime":1766.225,"endTime":1770.065,"body":"You have to have a bag that's sealed"},{"speaker":"David Richter","startTime":1766.225,"endTime":1770.065,"body":"tight airlock, make sure it's titanium"},{"speaker":"David Richter","startTime":1770.065,"endTime":1772.243,"body":"steel, like that way nothing can get out."},{"speaker":"David Richter","startTime":1772.243,"endTime":1773.913,"body":"So those are a couple"},{"speaker":"David Richter","startTime":1772.243,"endTime":1773.913,"body":"of things that I just."},{"speaker":"David Richter","startTime":1774.458,"endTime":1776.438,"body":"Really deep inside of this book."},{"speaker":"David Richter","startTime":1776.438,"endTime":1780.638,"body":"I also talk about a whole dedicate, a"},{"speaker":"David Richter","startTime":1776.438,"endTime":1780.638,"body":"whole chapter of like how to mess it up to"},{"speaker":"David Richter","startTime":1780.638,"endTime":1784.582,"body":"the system and like the mistakes I've seen"},{"speaker":"David Richter","startTime":1780.638,"endTime":1784.582,"body":"people try and make it too complicated."},{"speaker":"David Richter","startTime":1784.822,"endTime":1787.852,"body":"They don't start, it's they just"},{"speaker":"David Richter","startTime":1784.822,"endTime":1787.852,"body":"don't get past some of these hurdles."},{"speaker":"David Richter","startTime":1787.852,"endTime":1790.702,"body":"So there's a couple of those"},{"speaker":"David Richter","startTime":1787.852,"endTime":1790.702,"body":"things as well, too, that I've"},{"speaker":"David Richter","startTime":1790.702,"endTime":1791.782,"body":"seen in the real estate world."},{"speaker":"Average Joe Finances","startTime":1792.367,"endTime":1794.413,"body":"Yeah, David,"},{"speaker":"Average Joe Finances","startTime":1792.367,"endTime":1794.413,"body":"that is all very important stuff."},{"speaker":"Average Joe Finances","startTime":1794.493,"endTime":1797.953,"body":"I tie it back into what my"},{"speaker":"Average Joe Finances","startTime":1794.493,"endTime":1797.953,"body":"show's all about here too."},{"speaker":"Average Joe Finances","startTime":1797.958,"endTime":1799.292,"body":"Average Joe finances."},{"speaker":"Average Joe Finances","startTime":1799.292,"endTime":1803.693,"body":"And one of the things that we talk about"},{"speaker":"Average Joe Finances","startTime":1799.292,"endTime":1803.693,"body":"is just, when we have these sinking funds"},{"speaker":"Average Joe Finances","startTime":1803.693,"endTime":1806.696,"body":"and we have these different accounts,"},{"speaker":"Average Joe Finances","startTime":1803.693,"endTime":1806.696,"body":"There's an emergency fund in there as"},{"speaker":"Average Joe Finances","startTime":1806.696,"endTime":1808.549,"body":"well, and that emergency fund, right?"},{"speaker":"Average Joe Finances","startTime":1808.576,"endTime":1810.076,"body":"That is essentially your reserves."},{"speaker":"Average Joe Finances","startTime":1810.316,"endTime":1813.106,"body":"Now, if you take this and put it all"},{"speaker":"Average Joe Finances","startTime":1810.316,"endTime":1813.106,"body":"into a business perspective, and this"},{"speaker":"Average Joe Finances","startTime":1813.106,"endTime":1816.026,"body":"is what I really love about what you're"},{"speaker":"Average Joe Finances","startTime":1813.106,"endTime":1816.026,"body":"talking about and about what you did with"},{"speaker":"Average Joe Finances","startTime":1816.026,"endTime":1820.736,"body":"your book is that this all ties into the"},{"speaker":"Average Joe Finances","startTime":1816.026,"endTime":1820.736,"body":"way you would treat your own personal."},{"speaker":"Average Joe Finances","startTime":1821.336,"endTime":1824.846,"body":"Accounts and personal expenses,"},{"speaker":"Average Joe Finances","startTime":1821.336,"endTime":1824.846,"body":"tying it into your business."},{"speaker":"Average Joe Finances","startTime":1824.858,"endTime":1828.375,"body":"And having that same mindset as if you"},{"speaker":"Average Joe Finances","startTime":1824.858,"endTime":1828.375,"body":"know this is all your money you want"},{"speaker":"Average Joe Finances","startTime":1828.375,"endTime":1830.25,"body":"to be safe, you have to take risks."},{"speaker":"Average Joe Finances","startTime":1830.28,"endTime":1833.683,"body":"You have to, at any, anytime you"},{"speaker":"Average Joe Finances","startTime":1830.28,"endTime":1833.683,"body":"invest, you take risks, but how much"},{"speaker":"Average Joe Finances","startTime":1833.713,"endTime":1837.726,"body":"do you keep to the side and reserves"},{"speaker":"Average Joe Finances","startTime":1833.713,"endTime":1837.726,"body":"to, to mitigate some of that risk."},{"speaker":"Average Joe Finances","startTime":1837.795,"endTime":1839.352,"body":"And as you're talking about that."},{"speaker":"Average Joe Finances","startTime":1839.902,"endTime":1841.172,"body":"It's just going in the back of my head."},{"speaker":"Average Joe Finances","startTime":1841.172,"endTime":1844.482,"body":"I'm just like, wow, this is just having"},{"speaker":"Average Joe Finances","startTime":1841.172,"endTime":1844.482,"body":"an emergency fund for your business."},{"speaker":"Average Joe Finances","startTime":1844.564,"endTime":1850.198,"body":"And every time I bring real estate"},{"speaker":"Average Joe Finances","startTime":1844.564,"endTime":1850.198,"body":"investors on and we talk about just,"},{"speaker":"Average Joe Finances","startTime":1850.206,"endTime":1853.903,"body":"the different deals that they've had"},{"speaker":"Average Joe Finances","startTime":1850.206,"endTime":1853.903,"body":"and how they've, they've taken a profit"},{"speaker":"Average Joe Finances","startTime":1853.903,"endTime":1857.927,"body":"from this deal or they made this flip"},{"speaker":"Average Joe Finances","startTime":1853.903,"endTime":1857.927,"body":"and made this money, then reinvest that"},{"speaker":"Average Joe Finances","startTime":1857.927,"endTime":1859.427,"body":"money right away into something else."},{"speaker":"Average Joe Finances","startTime":1859.697,"endTime":1862.757,"body":"Or they did a BRRRR, they did a"},{"speaker":"Average Joe Finances","startTime":1859.697,"endTime":1862.757,"body":"cash out refinance, went and bought"},{"speaker":"Average Joe Finances","startTime":1862.757,"endTime":1864.587,"body":"something else, dumped all that money."},{"speaker":"Average Joe Finances","startTime":1864.617,"endTime":1866.984,"body":"Well they keep doing this a"},{"speaker":"Average Joe Finances","startTime":1864.617,"endTime":1866.984,"body":"hundred percent allocation"},{"speaker":"Average Joe Finances","startTime":1867.224,"endTime":1869.024,"body":"or it seems like that, right?"},{"speaker":"Average Joe Finances","startTime":1869.054,"endTime":1872.219,"body":"Nobody, every top ever talks"},{"speaker":"Average Joe Finances","startTime":1869.054,"endTime":1872.219,"body":"about, having money in reserves."},{"speaker":"Average Joe Finances","startTime":1872.219,"endTime":1874.319,"body":"Cause that's like the"},{"speaker":"Average Joe Finances","startTime":1872.219,"endTime":1874.319,"body":"unsexy side of real estate."},{"speaker":"Average Joe Finances","startTime":1874.455,"endTime":1876.075,"body":"Nobody really wants to talk about that."},{"speaker":"Average Joe Finances","startTime":1876.675,"endTime":1877.875,"body":"So I think it's important."},{"speaker":"Average Joe Finances","startTime":1878.175,"endTime":1881.57,"body":"And you shining a light on"},{"speaker":"Average Joe Finances","startTime":1878.175,"endTime":1881.57,"body":"that as you're talking about."},{"speaker":"Average Joe Finances","startTime":1882.12,"endTime":1885.702,"body":"What you wrote in your book of the"},{"speaker":"Average Joe Finances","startTime":1882.12,"endTime":1885.702,"body":"importance of having these reserves."},{"speaker":"Average Joe Finances","startTime":1885.972,"endTime":1888.702,"body":"Now I'm on my second page of notes"},{"speaker":"Average Joe Finances","startTime":1885.972,"endTime":1888.702,"body":"already as we're sitting here"},{"speaker":"Average Joe Finances","startTime":1888.702,"endTime":1891.468,"body":"chatting because you're just giving"},{"speaker":"Average Joe Finances","startTime":1888.702,"endTime":1891.468,"body":"me so many golden nuggets here."},{"speaker":"Average Joe Finances","startTime":1891.468,"endTime":1892.145,"body":"It's absolutely."},{"speaker":"Average Joe Finances","startTime":1893.23,"endTime":1897.94,"body":"And you talk about how reserves are good"},{"speaker":"Average Joe Finances","startTime":1893.23,"endTime":1897.94,"body":"for downturns and good for an emergency."},{"speaker":"Average Joe Finances","startTime":1898.3,"endTime":1903.61,"body":"And that is something that I guess"},{"speaker":"Average Joe Finances","startTime":1898.3,"endTime":1903.61,"body":"right now, as a real estate investor,"},{"speaker":"Average Joe Finances","startTime":1903.64,"endTime":1907.63,"body":"many of us are probably very"},{"speaker":"Average Joe Finances","startTime":1903.64,"endTime":1907.63,"body":"complacent because like you said,"},{"speaker":"Average Joe Finances","startTime":1907.66,"endTime":1909.27,"body":"the market's been good for how long."},{"speaker":"Average Joe Finances","startTime":1909.83,"endTime":1911.24,"body":"1314 years."},{"speaker":"Average Joe Finances","startTime":1911.51,"endTime":1913.55,"body":"It doesn't seem like it's"},{"speaker":"Average Joe Finances","startTime":1911.51,"endTime":1913.55,"body":"ever going to get bad."},{"speaker":"Average Joe Finances","startTime":1913.614,"endTime":1916.886,"body":"Let me knock on wood right now because you"},{"speaker":"Average Joe Finances","startTime":1913.614,"endTime":1916.886,"body":"never know when that's going to happen."},{"speaker":"Average Joe Finances","startTime":1917.02,"endTime":1919.512,"body":"Right now it looks like there's a"},{"speaker":"Average Joe Finances","startTime":1917.02,"endTime":1919.512,"body":"bubble building up and building up."},{"speaker":"Average Joe Finances","startTime":1919.932,"endTime":1922.73,"body":"It's just a matter of time"},{"speaker":"Average Joe Finances","startTime":1919.932,"endTime":1922.73,"body":"before it pops, it might happen."},{"speaker":"Average Joe Finances","startTime":1922.73,"endTime":1923.78,"body":"It might not, I don't know."},{"speaker":"Average Joe Finances","startTime":1923.78,"endTime":1924.89,"body":"I can't predict the future."},{"speaker":"Average Joe Finances","startTime":1924.89,"endTime":1927.71,"body":"All I can look as do is look"},{"speaker":"Average Joe Finances","startTime":1924.89,"endTime":1927.71,"body":"at these different indicators."},{"speaker":"Average Joe Finances","startTime":1928.69,"endTime":1931.9,"body":"And try to figure out if it looks like"},{"speaker":"Average Joe Finances","startTime":1928.69,"endTime":1931.9,"body":"something like that's going to happen,"},{"speaker":"Average Joe Finances","startTime":1932.23,"endTime":1933.88,"body":"we don't know until it actually happens."},{"speaker":"Average Joe Finances","startTime":1933.888,"endTime":1936.798,"body":"Cause if you think about it, some of"},{"speaker":"Average Joe Finances","startTime":1933.888,"endTime":1936.798,"body":"the indicators that show right now shows"},{"speaker":"Average Joe Finances","startTime":1936.798,"endTime":1938.388,"body":"that this should have popped already."},{"speaker":"Average Joe Finances","startTime":1938.435,"endTime":1940.329,"body":"It's pretty crazy when"},{"speaker":"Average Joe Finances","startTime":1938.435,"endTime":1940.329,"body":"you think about all that."},{"speaker":"Average Joe Finances","startTime":1940.629,"endTime":1942.523,"body":"So it's just something"},{"speaker":"Average Joe Finances","startTime":1940.629,"endTime":1942.523,"body":"you gotta be careful."},{"speaker":"Average Joe Finances","startTime":1942.523,"endTime":1945.496,"body":"You have to make sure that, yes,"},{"speaker":"Average Joe Finances","startTime":1942.523,"endTime":1945.496,"body":"you're still taking care of yourself."},{"speaker":"Average Joe Finances","startTime":1945.496,"endTime":1946.726,"body":"You're still taking your profit."},{"speaker":"Average Joe Finances","startTime":1946.726,"endTime":1949.156,"body":"You're still, you still have all these"},{"speaker":"Average Joe Finances","startTime":1946.726,"endTime":1949.156,"body":"other accounts to pay your expenses,"},{"speaker":"Average Joe Finances","startTime":1949.156,"endTime":1950.716,"body":"pay for marketing, things like that."},{"speaker":"Average Joe Finances","startTime":1951.586,"endTime":1952.606,"body":"But don't forget your reserves."},{"speaker":"Average Joe Finances","startTime":1952.606,"endTime":1956.627,"body":"Don't forget that emergency pot of money"},{"speaker":"Average Joe Finances","startTime":1952.606,"endTime":1956.627,"body":"in case there is a downturn because"},{"speaker":"Average Joe Finances","startTime":1956.747,"endTime":1960.767,"body":"like you said, a lot of people back"},{"speaker":"Average Joe Finances","startTime":1956.747,"endTime":1960.767,"body":"in oh 7 0 8 0 9, lost their shirts."},{"speaker":"Average Joe Finances","startTime":1960.864,"endTime":1963.474,"body":"When the market crashed"},{"speaker":"Average Joe Finances","startTime":1960.864,"endTime":1963.474,"body":"and they lost everything."},{"speaker":"Average Joe Finances","startTime":1963.894,"endTime":1968.004,"body":"And then there's some people that"},{"speaker":"Average Joe Finances","startTime":1963.894,"endTime":1968.004,"body":"had a lot of cash reserves and had"},{"speaker":"Average Joe Finances","startTime":1968.004,"endTime":1971.754,"body":"money off to the side and they just"},{"speaker":"Average Joe Finances","startTime":1968.004,"endTime":1971.754,"body":"rebuilt from the ground up and actually"},{"speaker":"Average Joe Finances","startTime":1971.754,"endTime":1973.074,"body":"was able to take those reserves."},{"speaker":"Average Joe Finances","startTime":1973.074,"endTime":1976.434,"body":"And it became a huge opportunity"},{"speaker":"Average Joe Finances","startTime":1973.074,"endTime":1976.434,"body":"because now they're buying."},{"speaker":"Average Joe Finances","startTime":1977.034,"endTime":1979.764,"body":"Properties for pennies on"},{"speaker":"Average Joe Finances","startTime":1977.034,"endTime":1979.764,"body":"the dollar at that point."},{"speaker":"Average Joe Finances","startTime":1980.034,"endTime":1984.561,"body":"And then over the next 10 to 13 years"},{"speaker":"Average Joe Finances","startTime":1980.034,"endTime":1984.561,"body":"those properties have tripled in value."},{"speaker":"Average Joe Finances","startTime":1984.921,"endTime":1987.121,"body":"And I think they're sitting"},{"speaker":"Average Joe Finances","startTime":1984.921,"endTime":1987.121,"body":"pretty fat and happy right now."},{"speaker":"Average Joe Finances","startTime":1987.217,"endTime":1989.317,"body":"Reserves is definitely"},{"speaker":"Average Joe Finances","startTime":1987.217,"endTime":1989.317,"body":"something that's very important."},{"speaker":"Average Joe Finances","startTime":1989.317,"endTime":1992.732,"body":"And something like I said is not"},{"speaker":"Average Joe Finances","startTime":1989.317,"endTime":1992.732,"body":"talked about a lot, especially"},{"speaker":"Average Joe Finances","startTime":1992.732,"endTime":1994.112,"body":"on different podcasts like this."},{"speaker":"Average Joe Finances","startTime":1994.116,"endTime":1995.046,"body":"Thank you for bringing that to."},{"speaker":"Average Joe Finances","startTime":1996.091,"endTime":1996.481,"body":"Yeah."},{"speaker":"Average Joe Finances","startTime":1996.481,"endTime":2000.294,"body":"As we go through your journey, David,"},{"speaker":"Average Joe Finances","startTime":1996.481,"endTime":2000.294,"body":"and everything that you've done there's"},{"speaker":"Average Joe Finances","startTime":2000.304,"endTime":2002.704,"body":"certain aspects of real estate, right?"},{"speaker":"Average Joe Finances","startTime":2002.704,"endTime":2007.188,"body":"So all the different things that you've"},{"speaker":"Average Joe Finances","startTime":2002.704,"endTime":2007.188,"body":"done between flipping wholesaling burrs"},{"speaker":"Average Joe Finances","startTime":2007.278,"endTime":2010.878,"body":"turnkeys, I just want to know, this"},{"speaker":"Average Joe Finances","startTime":2007.278,"endTime":2010.878,"body":"is just a curiosity question for me."},{"speaker":"Average Joe Finances","startTime":2011.088,"endTime":2013.698,"body":"What is your favorite real"},{"speaker":"Average Joe Finances","startTime":2011.088,"endTime":2013.698,"body":"estate investing strategy?"},{"speaker":"David Richter","startTime":2013.732,"endTime":2016.692,"body":"For the long-term"},{"speaker":"David Richter","startTime":2013.732,"endTime":2016.692,"body":"building wealth, I like lease options."},{"speaker":"David Richter","startTime":2016.952,"endTime":2018.002,"body":"I really liked those."},{"speaker":"David Richter","startTime":2018.032,"endTime":2023.492,"body":"And I've had, we had a portfolio of about"},{"speaker":"David Richter","startTime":2018.032,"endTime":2023.492,"body":"over 80 of them and about 20 rentals."},{"speaker":"David Richter","startTime":2023.492,"endTime":2027.18,"body":"So we had about a hundred portfolio,"},{"speaker":"David Richter","startTime":2023.492,"endTime":2027.18,"body":"and those were the ones with the"},{"speaker":"David Richter","startTime":2027.18,"endTime":2028.98,"body":"least maintenance, the least headache."},{"speaker":"David Richter","startTime":2029.01,"endTime":2032.73,"body":"And I felt like we were actually bridging"},{"speaker":"David Richter","startTime":2029.01,"endTime":2032.73,"body":"people into that home ownership of"},{"speaker":"David Richter","startTime":2032.76,"endTime":2035.759,"body":"here we go, here's, this is someone"},{"speaker":"David Richter","startTime":2032.76,"endTime":2035.759,"body":"who's a good person, but they."},{"speaker":"David Richter","startTime":2036.244,"endTime":2038.554,"body":"Their credit, isn't there"},{"speaker":"David Richter","startTime":2036.244,"endTime":2038.554,"body":"to go out and buy a house."},{"speaker":"David Richter","startTime":2038.794,"endTime":2041.814,"body":"So it was like really bridging them"},{"speaker":"David Richter","startTime":2038.794,"endTime":2041.814,"body":"into that which is a lot of where"},{"speaker":"David Richter","startTime":2041.844,"endTime":2043.284,"body":"entrepreneurs find themselves too."},{"speaker":"David Richter","startTime":2043.284,"endTime":2046.164,"body":"If they can't go out right away,"},{"speaker":"David Richter","startTime":2043.284,"endTime":2046.164,"body":"once they quit their W2 job."},{"speaker":"David Richter","startTime":2046.164,"endTime":2048.864,"body":"And they're not able to go out"},{"speaker":"David Richter","startTime":2046.164,"endTime":2048.864,"body":"and buy that new house or whatnot."},{"speaker":"David Richter","startTime":2049.284,"endTime":2051.32,"body":"So it's these are good"},{"speaker":"David Richter","startTime":2049.284,"endTime":2051.32,"body":"people that can do that."},{"speaker":"David Richter","startTime":2051.32,"endTime":2052.22,"body":"So I really like that."},{"speaker":"David Richter","startTime":2052.22,"endTime":2054.06,"body":"But then it's also a"},{"speaker":"David Richter","startTime":2052.22,"endTime":2054.06,"body":"wealth building strategy."},{"speaker":"David Richter","startTime":2054.06,"endTime":2058.214,"body":"I'm huge on now the multifamily and"},{"speaker":"David Richter","startTime":2054.06,"endTime":2058.214,"body":"like syndications things like that to"},{"speaker":"David Richter","startTime":2058.214,"endTime":2062.534,"body":"just at scale and being able to the"},{"speaker":"David Richter","startTime":2058.214,"endTime":2062.534,"body":"longterm wealth building as far as"},{"speaker":"David Richter","startTime":2062.534,"endTime":2064.829,"body":"active goes, I liked the wholesale."},{"speaker":"David Richter","startTime":2064.865,"endTime":2068.795,"body":"That was one thing that we did and we did"},{"speaker":"David Richter","startTime":2064.865,"endTime":2068.795,"body":"it well, it wasn't a bunch of headache"},{"speaker":"David Richter","startTime":2068.795,"endTime":2070.685,"body":"of project management and doing that."},{"speaker":"David Richter","startTime":2070.685,"endTime":2074.975,"body":"It was finding the deeply discounted"},{"speaker":"David Richter","startTime":2070.685,"endTime":2074.975,"body":"properties, getting that and helping"},{"speaker":"David Richter","startTime":2074.975,"endTime":2078.17,"body":"the seller that has, that situation"},{"speaker":"David Richter","startTime":2074.975,"endTime":2078.17,"body":"where it makes sense for them and"},{"speaker":"David Richter","startTime":2078.17,"endTime":2081.53,"body":"then turning around and then selling"},{"speaker":"David Richter","startTime":2078.17,"endTime":2081.53,"body":"it to one of the buyers that can go"},{"speaker":"David Richter","startTime":2081.53,"endTime":2082.88,"body":"out and make the property beautiful."},{"speaker":"David Richter","startTime":2082.88,"endTime":2084.29,"body":"So I love that from the."},{"speaker":"David Richter","startTime":2084.98,"endTime":2089.653,"body":"The cash, ATM making that the ATM and"},{"speaker":"David Richter","startTime":2084.98,"endTime":2089.653,"body":"then funding the real estate investing"},{"speaker":"David Richter","startTime":2089.653,"endTime":2091.333,"body":"portfolio and then building it from there."},{"speaker":"David Richter","startTime":2091.333,"endTime":2095.083,"body":"So those are, I know you asked for one,"},{"speaker":"David Richter","startTime":2091.333,"endTime":2095.083,"body":"but those are the ones that I like good."},{"speaker":"David Richter","startTime":2095.083,"endTime":2097.003,"body":"That went hand in hand for what we did"},{"speaker":"Average Joe Finances","startTime":2097.263,"endTime":2097.403,"body":"No."},{"speaker":"Average Joe Finances","startTime":2097.423,"endTime":2097.903,"body":"I love it."},{"speaker":"Average Joe Finances","startTime":2097.903,"endTime":2098.263,"body":"I love it."},{"speaker":"Average Joe Finances","startTime":2098.263,"endTime":2101.27,"body":"Especially what you talked about with that"},{"speaker":"Average Joe Finances","startTime":2098.263,"endTime":2101.27,"body":"first one with the lease options, right?"},{"speaker":"Average Joe Finances","startTime":2101.27,"endTime":2105.41,"body":"Because you're providing opportunity"},{"speaker":"Average Joe Finances","startTime":2101.27,"endTime":2105.41,"body":"for affordable housing for someone"},{"speaker":"Average Joe Finances","startTime":2106.07,"endTime":2110.461,"body":"that wouldn't necessarily qualify"},{"speaker":"Average Joe Finances","startTime":2106.07,"endTime":2110.461,"body":"for a mortgage at this time, but it's"},{"speaker":"Average Joe Finances","startTime":2110.461,"endTime":2113.911,"body":"giving them an option to essentially"},{"speaker":"Average Joe Finances","startTime":2110.461,"endTime":2113.911,"body":"rent to rent, to own eventually"},{"speaker":"Average Joe Finances","startTime":2113.93,"endTime":2117.63,"body":"and then take over the property"},{"speaker":"Average Joe Finances","startTime":2113.93,"endTime":2117.63,"body":"and buy the property in the future."},{"speaker":"Average Joe Finances","startTime":2117.63,"endTime":2119.448,"body":"What's really awesome about that is."},{"speaker":"Average Joe Finances","startTime":2119.472,"endTime":2123.269,"body":"In the given moment you're generating"},{"speaker":"Average Joe Finances","startTime":2119.472,"endTime":2123.269,"body":"cashflow for yourself and an"},{"speaker":"Average Joe Finances","startTime":2123.269,"endTime":2125.099,"body":"affordable housing unit for someone."},{"speaker":"Average Joe Finances","startTime":2125.669,"endTime":2130.201,"body":"And at the same time, ensuring in the"},{"speaker":"Average Joe Finances","startTime":2125.669,"endTime":2130.201,"body":"future that asset's going to sell, and"},{"speaker":"Average Joe Finances","startTime":2130.201,"endTime":2131.911,"body":"then you can move on to something else."},{"speaker":"Average Joe Finances","startTime":2131.977,"endTime":2133.084,"body":"And I really liked that."},{"speaker":"Average Joe Finances","startTime":2133.084,"endTime":2136.752,"body":"You're talking about how, I guess"},{"speaker":"Average Joe Finances","startTime":2133.084,"endTime":2136.752,"body":"the wholesaling was the ATM, that"},{"speaker":"Average Joe Finances","startTime":2136.752,"endTime":2140.952,"body":"was how you funded to get into"},{"speaker":"Average Joe Finances","startTime":2136.752,"endTime":2140.952,"body":"these other more passive deals when"},{"speaker":"Average Joe Finances","startTime":2140.952,"endTime":2143.652,"body":"you start to get into multi-family"},{"speaker":"Average Joe Finances","startTime":2140.952,"endTime":2143.652,"body":"syndications, which is actually what"},{"speaker":"Average Joe Finances","startTime":2143.692,"endTime":2145.392,"body":"I'm involved in right now as well."},{"speaker":"Average Joe Finances","startTime":2145.632,"endTime":2149.195,"body":"I like the whole passive aspect to"},{"speaker":"Average Joe Finances","startTime":2145.632,"endTime":2149.195,"body":"it, especially with how busy I am with"},{"speaker":"Average Joe Finances","startTime":2149.25,"endTime":2153.216,"body":"still being in the Navy and trying"},{"speaker":"Average Joe Finances","startTime":2149.25,"endTime":2153.216,"body":"to run this podcast and being a an"},{"speaker":"Average Joe Finances","startTime":2153.226,"endTime":2154.606,"body":"active real estate agent as well."},{"speaker":"Average Joe Finances","startTime":2154.606,"endTime":2160.022,"body":"So  my time is is worth a lot more to"},{"speaker":"Average Joe Finances","startTime":2154.606,"endTime":2160.022,"body":"me than anything else, because when"},{"speaker":"Average Joe Finances","startTime":2160.022,"endTime":2163.632,"body":"I have that little itty bit of free"},{"speaker":"Average Joe Finances","startTime":2160.022,"endTime":2163.632,"body":"time, I want that to be with my family."},{"speaker":"Average Joe Finances","startTime":2163.632,"endTime":2164.526,"body":"It's really awesome."},{"speaker":"Average Joe Finances","startTime":2164.565,"endTime":2168.897,"body":"To just see your mindset and how"},{"speaker":"Average Joe Finances","startTime":2164.565,"endTime":2168.897,"body":"you took these different investing"},{"speaker":"Average Joe Finances","startTime":2168.897,"endTime":2172.801,"body":"strategies or real estate investing"},{"speaker":"Average Joe Finances","startTime":2168.897,"endTime":2172.801,"body":"strategies to, work them into"},{"speaker":"Average Joe Finances","startTime":2172.801,"endTime":2174.701,"body":"one, one thing that works for you."},{"speaker":"Average Joe Finances","startTime":2174.751,"endTime":2175.711,"body":"Besides real estate."},{"speaker":"Average Joe Finances","startTime":2175.711,"endTime":2178.921,"body":"Again, this is another personal"},{"speaker":"Average Joe Finances","startTime":2175.711,"endTime":2178.921,"body":"question for me besides real estate."},{"speaker":"Average Joe Finances","startTime":2178.921,"endTime":2181.891,"body":"Are there any other asset"},{"speaker":"Average Joe Finances","startTime":2178.921,"endTime":2181.891,"body":"classes that you invest in?"},{"speaker":"David Richter","startTime":2182.268,"endTime":2185.128,"body":"Besides real estate"},{"speaker":"David Richter","startTime":2182.268,"endTime":2185.128,"body":"right now I build my I'm building"},{"speaker":"David Richter","startTime":2185.128,"endTime":2189.089,"body":"my business too, like I've got us"},{"speaker":"David Richter","startTime":2185.128,"endTime":2189.089,"body":"fractional CFO company, so that's what"},{"speaker":"David Richter","startTime":2189.089,"endTime":2191.699,"body":"I've been pretty laser focused on that."},{"speaker":"David Richter","startTime":2191.819,"endTime":2194.276,"body":"And helping the real"},{"speaker":"David Richter","startTime":2191.819,"endTime":2194.276,"body":"estate investing community."},{"speaker":"David Richter","startTime":2194.276,"endTime":2197.996,"body":"So besides real estate, it's also"},{"speaker":"David Richter","startTime":2194.276,"endTime":2197.996,"body":"building the business because there"},{"speaker":"David Richter","startTime":2197.996,"endTime":2201.08,"body":"you go, like rich dad, poor dad,"},{"speaker":"David Richter","startTime":2197.996,"endTime":2201.08,"body":"again, making sure we're getting on"},{"speaker":"David Richter","startTime":2201.08,"endTime":2204.748,"body":"the right side of that quadrant of"},{"speaker":"David Richter","startTime":2201.08,"endTime":2204.748,"body":"the cash, the cashflow quadrant the"},{"speaker":"David Richter","startTime":2204.748,"endTime":2207.178,"body":"business owner and the investor side."},{"speaker":"David Richter","startTime":2207.178,"endTime":2210.358,"body":"So making sure you have the rentals"},{"speaker":"David Richter","startTime":2207.178,"endTime":2210.358,"body":"or you're building those assets on"},{"speaker":"David Richter","startTime":2210.358,"endTime":2214.228,"body":"the, as an investor and then wanting"},{"speaker":"David Richter","startTime":2210.358,"endTime":2214.228,"body":"to build a business as well, too."},{"speaker":"David Richter","startTime":2214.468,"endTime":2216.198,"body":"So those are the things"},{"speaker":"David Richter","startTime":2214.468,"endTime":2216.198,"body":"that I'm doing right now."},{"speaker":"Average Joe Finances","startTime":2216.525,"endTime":2217.545,"body":"Yeah, that's fantastic."},{"speaker":"Average Joe Finances","startTime":2218.005,"endTime":2221.025,"body":"It's one of the things that I like to say"},{"speaker":"Average Joe Finances","startTime":2218.005,"endTime":2221.025,"body":"as well, too, because when people ask me"},{"speaker":"Average Joe Finances","startTime":2221.025,"endTime":2222.045,"body":"like, Hey, what else do you invest in?"},{"speaker":"Average Joe Finances","startTime":2222.105,"endTime":2223.365,"body":"I like to invest in my business."},{"speaker":"Average Joe Finances","startTime":2223.365,"endTime":2228.435,"body":"I like to take some of my profits and"},{"speaker":"Average Joe Finances","startTime":2223.365,"endTime":2228.435,"body":"put it into growing what I'm building"},{"speaker":"Average Joe Finances","startTime":2228.435,"endTime":2229.955,"body":"here with average Joe finances."},{"speaker":"Average Joe Finances","startTime":2230.024,"endTime":2232.694,"body":"And it's that, that right there is"},{"speaker":"Average Joe Finances","startTime":2230.024,"endTime":2232.694,"body":"just is awesome because you do, you"},{"speaker":"Average Joe Finances","startTime":2232.694,"endTime":2235.055,"body":"have to invest in your business and"},{"speaker":"Average Joe Finances","startTime":2232.694,"endTime":2235.055,"body":"you have to invest in yourself, for"},{"speaker":"Average Joe Finances","startTime":2235.055,"endTime":2236.585,"body":"personal growth and things like that."},{"speaker":"Average Joe Finances","startTime":2236.585,"endTime":2239.819,"body":"I'm not afraid to go buy a"},{"speaker":"Average Joe Finances","startTime":2236.585,"endTime":2239.819,"body":"coaching course if I feel like I"},{"speaker":"Average Joe Finances","startTime":2239.819,"endTime":2241.739,"body":"need it or to be in a mastermind."},{"speaker":"Average Joe Finances","startTime":2241.739,"endTime":2242.372,"body":"Those things."},{"speaker":"Average Joe Finances","startTime":2242.612,"endTime":2245.462,"body":"If it adds value to"},{"speaker":"Average Joe Finances","startTime":2242.612,"endTime":2245.462,"body":"me, then it's worth it."},{"speaker":"Average Joe Finances","startTime":2245.485,"endTime":2248.935,"body":"If it's going to help me be better,"},{"speaker":"Average Joe Finances","startTime":2245.485,"endTime":2248.935,"body":"then it's a hundred percent worth it."},{"speaker":"Average Joe Finances","startTime":2248.935,"endTime":2250.375,"body":"So fantastic."},{"speaker":"Average Joe Finances","startTime":2250.415,"endTime":2252.265,"body":"Invest in yourself,"},{"speaker":"Average Joe Finances","startTime":2250.415,"endTime":2252.265,"body":"invest in your business."},{"speaker":"Average Joe Finances","startTime":2252.342,"endTime":2256.372,"body":"Now, do you have any tips or tricks"},{"speaker":"Average Joe Finances","startTime":2252.342,"endTime":2256.372,"body":"that you would recommend to somebody"},{"speaker":"Average Joe Finances","startTime":2256.372,"endTime":2261.243,"body":"who's just getting started investing"},{"speaker":"Average Joe Finances","startTime":2256.372,"endTime":2261.243,"body":"in real estate and they're fresh."},{"speaker":"Average Joe Finances","startTime":2261.273,"endTime":2264.263,"body":"Like they just got themselves in"},{"speaker":"Average Joe Finances","startTime":2261.273,"endTime":2264.263,"body":"a good spot where their, their"},{"speaker":"Average Joe Finances","startTime":2264.263,"endTime":2266.143,"body":"consumer debt free and they can now."},{"speaker":"Average Joe Finances","startTime":2266.703,"endTime":2269.943,"body":"Afford to go buy that"},{"speaker":"Average Joe Finances","startTime":2266.703,"endTime":2269.943,"body":"first rental property."},{"speaker":"Average Joe Finances","startTime":2270.243,"endTime":2273.423,"body":"What would you say to somebody,"},{"speaker":"Average Joe Finances","startTime":2270.243,"endTime":2273.423,"body":"especially looking at it from"},{"speaker":"Average Joe Finances","startTime":2273.423,"endTime":2274.743,"body":"a profit first mentality?"},{"speaker":"Average Joe Finances","startTime":2274.743,"endTime":2276.963,"body":"What would you say to somebody"},{"speaker":"Average Joe Finances","startTime":2274.743,"endTime":2276.963,"body":"just getting started today?"},{"speaker":"David Richter","startTime":2277.133,"endTime":2277.642,"body":"Two things."},{"speaker":"David Richter","startTime":2277.642,"endTime":2278.452,"body":"One make offers."},{"speaker":"David Richter","startTime":2278.832,"endTime":2280.602,"body":"Get out there, don't be scared."},{"speaker":"David Richter","startTime":2280.602,"endTime":2282.181,"body":"Like That's how you get the deals."},{"speaker":"David Richter","startTime":2282.601,"endTime":2284.041,"body":"That's your biggest metric?"},{"speaker":"David Richter","startTime":2284.041,"endTime":2286.744,"body":"Or, I've heard it said different"},{"speaker":"David Richter","startTime":2284.041,"endTime":2286.744,"body":"things, but that's the one"},{"speaker":"David Richter","startTime":2286.744,"endTime":2287.914,"body":"key performance indicator."},{"speaker":"David Richter","startTime":2287.914,"endTime":2290.194,"body":"Like how many offers are"},{"speaker":"David Richter","startTime":2287.914,"endTime":2290.194,"body":"you making to get the deals?"},{"speaker":"David Richter","startTime":2290.584,"endTime":2291.874,"body":"Because that's how"},{"speaker":"David Richter","startTime":2290.584,"endTime":2291.874,"body":"you're going to build it."},{"speaker":"David Richter","startTime":2291.874,"endTime":2293.014,"body":"I don't care if you want one."},{"speaker":"David Richter","startTime":2293.434,"endTime":2296.263,"body":"This next year or a thousand,"},{"speaker":"David Richter","startTime":2293.434,"endTime":2296.263,"body":"that you want to go out there,"},{"speaker":"David Richter","startTime":2296.263,"endTime":2297.493,"body":"you have to make those offers."},{"speaker":"David Richter","startTime":2297.493,"endTime":2299.923,"body":"So get in front of people, talk to people."},{"speaker":"David Richter","startTime":2300.043,"endTime":2303.133,"body":"I don't care if it's networking and you"},{"speaker":"David Richter","startTime":2300.043,"endTime":2303.133,"body":"become in your building syndication, or if"},{"speaker":"David Richter","startTime":2303.133,"endTime":2306.883,"body":"it's like just talking with actual sellers"},{"speaker":"David Richter","startTime":2303.133,"endTime":2306.883,"body":"and buying one single family residence,"},{"speaker":"David Richter","startTime":2306.913,"endTime":2309.133,"body":"whatever it is, make offers also."},{"speaker":"David Richter","startTime":2309.893,"endTime":2312.083,"body":"Coincide with that because"},{"speaker":"David Richter","startTime":2309.893,"endTime":2312.083,"body":"you'll start making money."},{"speaker":"David Richter","startTime":2312.083,"endTime":2314.663,"body":"Once you make those offers and you"},{"speaker":"David Richter","startTime":2312.083,"endTime":2314.663,"body":"start getting the houses and you start"},{"speaker":"David Richter","startTime":2314.663,"endTime":2318.773,"body":"making the money set a profit first,"},{"speaker":"David Richter","startTime":2314.663,"endTime":2318.773,"body":"like from that first deal, set it up,"},{"speaker":"David Richter","startTime":2318.803,"endTime":2322.553,"body":"get those accounts in order, because"},{"speaker":"David Richter","startTime":2318.803,"endTime":2322.553,"body":"I love what you have there behind you."},{"speaker":"David Richter","startTime":2322.553,"endTime":2324.143,"body":"Mike, it says control your future."},{"speaker":"David Richter","startTime":2324.383,"endTime":2329.153,"body":"And that's where most business"},{"speaker":"David Richter","startTime":2324.383,"endTime":2329.153,"body":"owners, or no matter if they're just"},{"speaker":"David Richter","startTime":2329.153,"endTime":2330.773,"body":"getting started or way down the road."},{"speaker":"David Richter","startTime":2331.363,"endTime":2334.453,"body":"They don't lose sleep at night,"},{"speaker":"David Richter","startTime":2331.363,"endTime":2334.453,"body":"just because they're losing money."},{"speaker":"David Richter","startTime":2334.483,"endTime":2339.193,"body":"They lose sleep because they don't feel in"},{"speaker":"David Richter","startTime":2334.483,"endTime":2339.193,"body":"control profit first in the bank accounts."},{"speaker":"David Richter","startTime":2339.193,"endTime":2341.953,"body":"And that gives you"},{"speaker":"David Richter","startTime":2339.193,"endTime":2341.953,"body":"control back of your cash."},{"speaker":"David Richter","startTime":2341.983,"endTime":2345.219,"body":"That's the biggest thing people feel"},{"speaker":"David Richter","startTime":2341.983,"endTime":2345.219,"body":"out of control is the money because"},{"speaker":"David Richter","startTime":2345.219,"endTime":2347.049,"body":"you don't care what you just said."},{"speaker":"David Richter","startTime":2347.049,"endTime":2348.039,"body":"Invest in yourself."},{"speaker":"David Richter","startTime":2348.219,"endTime":2352.269,"body":"How many courses are there for"},{"speaker":"David Richter","startTime":2348.219,"endTime":2352.269,"body":"marketing, for sales, for operations?"},{"speaker":"David Richter","startTime":2352.964,"endTime":2356.107,"body":"Versus finances, like"},{"speaker":"David Richter","startTime":2352.964,"endTime":2356.107,"body":"versus the financial side."},{"speaker":"David Richter","startTime":2356.467,"endTime":2358.267,"body":"So that's where I wanted to."},{"speaker":"David Richter","startTime":2358.357,"endTime":2361.507,"body":"That's why I love this message"},{"speaker":"David Richter","startTime":2358.357,"endTime":2361.507,"body":"because this is a simple thing for"},{"speaker":"David Richter","startTime":2361.507,"endTime":2365.647,"body":"the average, Joe, the average Joe real"},{"speaker":"David Richter","startTime":2361.507,"endTime":2365.647,"body":"estate investor business owner person."},{"speaker":"David Richter","startTime":2365.947,"endTime":2368.067,"body":"It doesn't matter if you have"},{"speaker":"David Richter","startTime":2365.947,"endTime":2368.067,"body":"one deal or a thousand deals."},{"speaker":"David Richter","startTime":2368.597,"endTime":2370.457,"body":"I set this up and understand it."},{"speaker":"David Richter","startTime":2370.457,"endTime":2373.157,"body":"You don't need to know the balance"},{"speaker":"David Richter","startTime":2370.457,"endTime":2373.157,"body":"sheet or the profit and loss, like"},{"speaker":"David Richter","startTime":2373.157,"endTime":2376.547,"body":"with profit first, you need to know"},{"speaker":"David Richter","startTime":2373.157,"endTime":2376.547,"body":"cash and where's my money going."},{"speaker":"David Richter","startTime":2376.787,"endTime":2378.227,"body":"And how, where does it come into?"},{"speaker":"David Richter","startTime":2378.227,"endTime":2379.127,"body":"Where does it go out?"},{"speaker":"David Richter","startTime":2379.277,"endTime":2380.637,"body":"And do I actually have a profit?"},{"speaker":"David Richter","startTime":2380.637,"endTime":2383.249,"body":"It's like these types of things,"},{"speaker":"David Richter","startTime":2380.637,"endTime":2383.249,"body":"putting that power back in your hand."},{"speaker":"David Richter","startTime":2383.259,"endTime":2387.219,"body":"So number one, make offers, and number"},{"speaker":"David Richter","startTime":2383.259,"endTime":2387.219,"body":"two, set up profit first to make sure"},{"speaker":"David Richter","startTime":2387.219,"endTime":2391.229,"body":"that once those, that money starts rolling"},{"speaker":"David Richter","startTime":2387.219,"endTime":2391.229,"body":"in, you're controlling it from day one."},{"speaker":"Average Joe Finances","startTime":2391.521,"endTime":2392.721,"body":"Yeah, David, I love that."},{"speaker":"Average Joe Finances","startTime":2392.751,"endTime":2393.321,"body":"I love that."},{"speaker":"Average Joe Finances","startTime":2393.351,"endTime":2397.042,"body":"And it's super important, making those"},{"speaker":"Average Joe Finances","startTime":2393.351,"endTime":2397.042,"body":"offers because the deal's not just"},{"speaker":"Average Joe Finances","startTime":2397.042,"endTime":2398.092,"body":"going to show up on your doorstep."},{"speaker":"Average Joe Finances","startTime":2398.098,"endTime":2400.144,"body":"But one of the things you talked"},{"speaker":"Average Joe Finances","startTime":2398.098,"endTime":2400.144,"body":"about when you were talking about"},{"speaker":"Average Joe Finances","startTime":2400.144,"endTime":2404.163,"body":"making offers, It was like the second"},{"speaker":"Average Joe Finances","startTime":2400.144,"endTime":2404.163,"body":"piece you touched on was networking."},{"speaker":"Average Joe Finances","startTime":2404.188,"endTime":2408.208,"body":"You said, I don't care if the offers come"},{"speaker":"Average Joe Finances","startTime":2404.188,"endTime":2408.208,"body":"from you going around and just making"},{"speaker":"Average Joe Finances","startTime":2408.208,"endTime":2410.219,"body":"offers or, just through networking."},{"speaker":"Average Joe Finances","startTime":2410.459,"endTime":2411.389,"body":"And I think that's huge."},{"speaker":"Average Joe Finances","startTime":2411.419,"endTime":2418.139,"body":"I think networking is an underestimated"},{"speaker":"Average Joe Finances","startTime":2411.419,"endTime":2418.139,"body":"or under utilized method in real estate"},{"speaker":"Average Joe Finances","startTime":2418.139,"endTime":2420.779,"body":"investing, not really under utilized"},{"speaker":"Average Joe Finances","startTime":2418.139,"endTime":2420.779,"body":"because the people that have been doing"},{"speaker":"Average Joe Finances","startTime":2420.779,"endTime":2423.599,"body":"this for a little while, they're really"},{"speaker":"Average Joe Finances","startTime":2420.779,"endTime":2423.599,"body":"good at building their network up."},{"speaker":"Average Joe Finances","startTime":2423.599,"endTime":2426.678,"body":"And they know a lot of people in"},{"speaker":"Average Joe Finances","startTime":2423.599,"endTime":2426.678,"body":"the same going through the same"},{"speaker":"Average Joe Finances","startTime":2426.678,"endTime":2427.668,"body":"journey that they're going through."},{"speaker":"Average Joe Finances","startTime":2428.1,"endTime":2429.93,"body":"And I think networking is absolutely huge."},{"speaker":"Average Joe Finances","startTime":2430.29,"endTime":2431.7,"body":"I love building my network."},{"speaker":"Average Joe Finances","startTime":2432.02,"endTime":2436.659,"body":"It's one of the things that me selfishly"},{"speaker":"Average Joe Finances","startTime":2432.02,"endTime":2436.659,"body":"as a podcaster I've been able to do is"},{"speaker":"Average Joe Finances","startTime":2436.659,"endTime":2441.519,"body":"build an awesome network by bringing"},{"speaker":"Average Joe Finances","startTime":2436.659,"endTime":2441.519,"body":"awesome guests like you onto my show."},{"speaker":"Average Joe Finances","startTime":2442.359,"endTime":2444.099,"body":"'cause I love to keep"},{"speaker":"Average Joe Finances","startTime":2442.359,"endTime":2444.099,"body":"in touch with everybody."},{"speaker":"Average Joe Finances","startTime":2444.099,"endTime":2444.961,"body":"That's come on my show."},{"speaker":"Average Joe Finances","startTime":2444.961,"endTime":2447.979,"body":"We, in chat and as deals"},{"speaker":"Average Joe Finances","startTime":2444.961,"endTime":2447.979,"body":"come in and whatever, we, we"},{"speaker":"Average Joe Finances","startTime":2447.979,"endTime":2448.819,"body":"share that with each other."},{"speaker":"Average Joe Finances","startTime":2448.844,"endTime":2449.328,"body":"It's awesome."},{"speaker":"Average Joe Finances","startTime":2449.628,"endTime":2453.528,"body":"I get deal flow in my"},{"speaker":"Average Joe Finances","startTime":2449.628,"endTime":2453.528,"body":"inbox every single day."},{"speaker":"Average Joe Finances","startTime":2453.528,"endTime":2455.598,"body":"And it's because of the network that"},{"speaker":"Average Joe Finances","startTime":2453.528,"endTime":2455.598,"body":"I've built, not just through the"},{"speaker":"Average Joe Finances","startTime":2455.598,"endTime":2459.018,"body":"podcast, but through social media"},{"speaker":"Average Joe Finances","startTime":2455.598,"endTime":2459.018,"body":"and just going out to real estate"},{"speaker":"Average Joe Finances","startTime":2459.018,"endTime":2460.648,"body":"meetups and different things like that."},{"speaker":"Average Joe Finances","startTime":2461.178,"endTime":2462.198,"body":"Super important."},{"speaker":"Average Joe Finances","startTime":2462.468,"endTime":2463.338,"body":"Super huge."},{"speaker":"Average Joe Finances","startTime":2463.548,"endTime":2467.088,"body":"Especially if you want to scale"},{"speaker":"Average Joe Finances","startTime":2463.548,"endTime":2467.088,"body":"and grow, you could be by yourself."},{"speaker":"Average Joe Finances","startTime":2467.118,"endTime":2469.908,"body":"If you want, if you just, if you're"},{"speaker":"Average Joe Finances","startTime":2467.118,"endTime":2469.908,"body":"really like an introvert, you don't"},{"speaker":"Average Joe Finances","startTime":2469.908,"endTime":2472.578,"body":"want to get out there and talk to"},{"speaker":"Average Joe Finances","startTime":2469.908,"endTime":2472.578,"body":"too many people, but you're going"},{"speaker":"Average Joe Finances","startTime":2472.578,"endTime":2475.158,"body":"to have to talk to people eventually"},{"speaker":"Average Joe Finances","startTime":2472.578,"endTime":2475.158,"body":"you're going to have to meet people."},{"speaker":"Average Joe Finances","startTime":2475.158,"endTime":2479.358,"body":"And so big thing is go out there and meet"},{"speaker":"Average Joe Finances","startTime":2475.158,"endTime":2479.358,"body":"people, go out there and network, go to"},{"speaker":"Average Joe Finances","startTime":2479.358,"endTime":2484.866,"body":"a real estate meetup, go meet people like"},{"speaker":"Average Joe Finances","startTime":2479.358,"endTime":2484.866,"body":"David or like me and pick our brains."},{"speaker":"Average Joe Finances","startTime":2484.966,"endTime":2489.256,"body":"I pick everybody's brain as much as I can"},{"speaker":"Average Joe Finances","startTime":2484.966,"endTime":2489.256,"body":"cause I try to make sure that I am never"},{"speaker":"Average Joe Finances","startTime":2489.256,"endTime":2492.706,"body":"the smartest guy in the room and always"},{"speaker":"Average Joe Finances","startTime":2489.256,"endTime":2492.706,"body":"make sure that there's so many that are"},{"speaker":"Average Joe Finances","startTime":2492.706,"endTime":2495.496,"body":"just, that's doing way better than me,"},{"speaker":"Average Joe Finances","startTime":2492.706,"endTime":2495.496,"body":"which is pretty much everywhere I go,"},{"speaker":"Average Joe Finances","startTime":2495.706,"endTime":2500.326,"body":"because I try to make sure that, I'm"},{"speaker":"Average Joe Finances","startTime":2495.706,"endTime":2500.326,"body":"putting myself in situations where I'm"},{"speaker":"Average Joe Finances","startTime":2500.326,"endTime":2505.819,"body":"the little guy, and it's super important"},{"speaker":"Average Joe Finances","startTime":2500.326,"endTime":2505.819,"body":"to be able to surround myself with people"},{"speaker":"Average Joe Finances","startTime":2505.819,"endTime":2507.889,"body":"that are doing bigger and better things."},{"speaker":"Average Joe Finances","startTime":2508.321,"endTime":2512.215,"body":"Because it helps me strive"},{"speaker":"Average Joe Finances","startTime":2508.321,"endTime":2512.215,"body":"and aspire to that, that next"},{"speaker":"Average Joe Finances","startTime":2512.215,"endTime":2513.625,"body":"level, that next step right."},{"speaker":"Average Joe Finances","startTime":2514.165,"endTime":2519.701,"body":"Now, I have to ask you besides"},{"speaker":"Average Joe Finances","startTime":2514.165,"endTime":2519.701,"body":"your own, do you have a favorite"},{"speaker":"Average Joe Finances","startTime":2519.804,"endTime":2524.554,"body":"business, investing, or real"},{"speaker":"Average Joe Finances","startTime":2519.804,"endTime":2524.554,"body":"estate related book and or podcast?"},{"speaker":"David Richter","startTime":2526.526,"endTime":2527.986,"body":"Do I have to pick just one?"},{"speaker":"David Richter","startTime":2528.016,"endTime":2530.056,"body":"Cause I have a lot, I read a lot."},{"speaker":"Average Joe Finances","startTime":2530.082,"endTime":2532.995,"body":"Let's try to"},{"speaker":"Average Joe Finances","startTime":2530.082,"endTime":2532.995,"body":"stick it down to maybe maybe three"},{"speaker":"David Richter","startTime":2533.025,"endTime":2533.485,"body":"okay."},{"speaker":"David Richter","startTime":2534.625,"endTime":2535.105,"body":"Okay."},{"speaker":"David Richter","startTime":2535.345,"endTime":2540.565,"body":"As I think I could get it to three,"},{"speaker":"David Richter","startTime":2535.345,"endTime":2540.565,"body":"I love besides obviously profit first"},{"speaker":"David Richter","startTime":2540.565,"endTime":2542.155,"body":"and Mike Michalowicz it's and all that."},{"speaker":"David Richter","startTime":2542.455,"endTime":2543.485,"body":"And rich dad, poor dad."},{"speaker":"David Richter","startTime":2543.545,"endTime":2545.725,"body":"It's like already talked"},{"speaker":"David Richter","startTime":2543.545,"endTime":2545.725,"body":"about that enough."},{"speaker":"David Richter","startTime":2546.145,"endTime":2546.625,"body":"I would say."},{"speaker":"David Richter","startTime":2547.102,"endTime":2550.732,"body":"Number one, the road less"},{"speaker":"David Richter","startTime":2547.102,"endTime":2550.732,"body":"stupid by Keith Cunningham."},{"speaker":"David Richter","startTime":2551.032,"endTime":2552.742,"body":"It's an incredible business book."},{"speaker":"David Richter","startTime":2553.012,"endTime":2555.232,"body":"It teaches the process of thinking."},{"speaker":"David Richter","startTime":2555.622,"endTime":2561.292,"body":"You will not find a greater return on your"},{"speaker":"David Richter","startTime":2555.622,"endTime":2561.292,"body":"time than thinking several hours during"},{"speaker":"David Richter","startTime":2561.292,"endTime":2566.842,"body":"the week, dedicated to thinking any tells"},{"speaker":"David Richter","startTime":2561.292,"endTime":2566.842,"body":"you any gives great points inside there."},{"speaker":"David Richter","startTime":2566.842,"endTime":2568.792,"body":"Every single chapter"},{"speaker":"David Richter","startTime":2566.842,"endTime":2568.792,"body":"is set up individually."},{"speaker":"David Richter","startTime":2568.832,"endTime":2570.532,"body":"Like you don't have to read"},{"speaker":"David Richter","startTime":2568.832,"endTime":2570.532,"body":"it even straight through."},{"speaker":"David Richter","startTime":2570.772,"endTime":2574.072,"body":"You could go to a certain issue you might"},{"speaker":"David Richter","startTime":2570.772,"endTime":2574.072,"body":"be having in your business or whatever."},{"speaker":"David Richter","startTime":2574.402,"endTime":2575.622,"body":"And then he gives."},{"speaker":"David Richter","startTime":2575.722,"endTime":2579.405,"body":"Here's you know, some things to"},{"speaker":"David Richter","startTime":2575.722,"endTime":2579.405,"body":"do, but then here's questions"},{"speaker":"David Richter","startTime":2579.405,"endTime":2582.675,"body":"to ask yourself at the end and"},{"speaker":"David Richter","startTime":2579.405,"endTime":2582.675,"body":"they're deep thinking questions,"},{"speaker":"David Richter","startTime":2582.812,"endTime":2584.342,"body":"so I highly recommend that book."},{"speaker":"David Richter","startTime":2584.342,"endTime":2586.862,"body":"He's got another book too, so"},{"speaker":"David Richter","startTime":2584.342,"endTime":2586.862,"body":"I would recommend him and what"},{"speaker":"David Richter","startTime":2586.862,"endTime":2588.364,"body":"he does and Keith Cunningham."},{"speaker":"David Richter","startTime":2588.364,"endTime":2591.304,"body":"He's also got the ultimate"},{"speaker":"David Richter","startTime":2588.364,"endTime":2591.304,"body":"blueprint for an insanely successful"},{"speaker":"David Richter","startTime":2591.304,"endTime":2594.724,"body":"business, which is a really great"},{"speaker":"David Richter","startTime":2591.304,"endTime":2594.724,"body":"book, but so Keith Cunningham, I'm"},{"speaker":"David Richter","startTime":2594.724,"endTime":2596.234,"body":"also a big Russell Brunson fan."},{"speaker":"David Richter","startTime":2596.234,"endTime":2599.344,"body":"I think he gives a lot expert"},{"speaker":"David Richter","startTime":2596.234,"endTime":2599.344,"body":"secrets is another great book."},{"speaker":"David Richter","startTime":2599.674,"endTime":2605.164,"body":"If you are a real estate investor"},{"speaker":"David Richter","startTime":2599.674,"endTime":2605.164,"body":"or a business owner or wanting to do"},{"speaker":"David Richter","startTime":2605.164,"endTime":2609.836,"body":"anything, besides, besides a W2 job or"},{"speaker":"David Richter","startTime":2605.164,"endTime":2609.836,"body":"whatnot, you're going to learn marketing."},{"speaker":"David Richter","startTime":2610.196,"endTime":2612.986,"body":"You need to learn the"},{"speaker":"David Richter","startTime":2610.196,"endTime":2612.986,"body":"principles of marketing."},{"speaker":"David Richter","startTime":2613.286,"endTime":2617.366,"body":"So I would say expert secrets"},{"speaker":"David Richter","startTime":2613.286,"endTime":2617.366,"body":"and Russell Brunson his podcast"},{"speaker":"David Richter","startTime":2617.366,"endTime":2619.346,"body":"who is great marketing secrets."},{"speaker":"David Richter","startTime":2619.526,"endTime":2620.426,"body":"Then Dan Kennedy."},{"speaker":"David Richter","startTime":2620.966,"endTime":2623.426,"body":"He's also the godfather"},{"speaker":"David Richter","startTime":2620.966,"endTime":2623.426,"body":"of marketing as well, too."},{"speaker":"David Richter","startTime":2623.555,"endTime":2624.245,"body":"If you're listening to."},{"speaker":"David Richter","startTime":2625.2,"endTime":2630.787,"body":"No matter what, if you like business,"},{"speaker":"David Richter","startTime":2625.2,"endTime":2630.787,"body":"read his no BS series, you will laugh."},{"speaker":"David Richter","startTime":2631.057,"endTime":2631.777,"body":"You will cry."},{"speaker":"David Richter","startTime":2631.837,"endTime":2632.707,"body":"It is great."},{"speaker":"David Richter","startTime":2632.977,"endTime":2637.817,"body":"It is very, just direct to the"},{"speaker":"David Richter","startTime":2632.977,"endTime":2637.817,"body":"point he's got I think 14 or 15,"},{"speaker":"David Richter","startTime":2637.817,"endTime":2639.617,"body":"just in that specific series."},{"speaker":"David Richter","startTime":2639.617,"endTime":2644.351,"body":"It's no BS, wealth management and"},{"speaker":"David Richter","startTime":2639.617,"endTime":2644.351,"body":"wealth accumulation, no BS management"},{"speaker":"David Richter","startTime":2644.351,"endTime":2647.915,"body":"of ruthless management of people"},{"speaker":"David Richter","startTime":2644.351,"endTime":2647.915,"body":"in profits, no BS like a bunch of"},{"speaker":"David Richter","startTime":2647.915,"endTime":2651.485,"body":"different things, time management,"},{"speaker":"David Richter","startTime":2647.915,"endTime":2651.485,"body":"like just things as a business owner."},{"speaker":"David Richter","startTime":2651.985,"endTime":2654.205,"body":"That will help you invest in yourself."},{"speaker":"David Richter","startTime":2654.205,"endTime":2656.815,"body":"So those are some of the ones"},{"speaker":"David Richter","startTime":2654.205,"endTime":2656.815,"body":"that have really impacted me,"},{"speaker":"David Richter","startTime":2656.815,"endTime":2658.663,"body":"so I could keep going on and on."},{"speaker":"David Richter","startTime":2658.663,"endTime":2661.033,"body":"But those are probably the"},{"speaker":"David Richter","startTime":2658.663,"endTime":2661.033,"body":"three top, at least right now."},{"speaker":"David Richter","startTime":2661.213,"endTime":2665.053,"body":"I probably haven't read some of my"},{"speaker":"David Richter","startTime":2661.213,"endTime":2665.053,"body":"favorites are probably in the future so..."},{"speaker":"Average Joe Finances","startTime":2665.293,"endTime":2667.606,"body":"Yeah the"},{"speaker":"Average Joe Finances","startTime":2665.293,"endTime":2667.606,"body":"favorites that are sure to come."},{"speaker":"Average Joe Finances","startTime":2667.936,"endTime":2668.836,"body":"Sure, exactly."},{"speaker":"Average Joe Finances","startTime":2668.836,"endTime":2669.826,"body":"Yeah, absolutely."},{"speaker":"Average Joe Finances","startTime":2669.826,"endTime":2671.255,"body":"David that's fantastic, man."},{"speaker":"Average Joe Finances","startTime":2671.255,"endTime":2675.777,"body":"And You gave out some great information"},{"speaker":"Average Joe Finances","startTime":2671.255,"endTime":2675.777,"body":"just in this short time that we've"},{"speaker":"Average Joe Finances","startTime":2675.777,"endTime":2679.104,"body":"been talking from how you tied in"},{"speaker":"Average Joe Finances","startTime":2675.777,"endTime":2679.104,"body":"the original profit first, right?"},{"speaker":"Average Joe Finances","startTime":2679.104,"endTime":2682.679,"body":"When we talk about how to utilize that in"},{"speaker":"Average Joe Finances","startTime":2679.104,"endTime":2682.679,"body":"a business with those five main accounts"},{"speaker":"Average Joe Finances","startTime":2683.039,"endTime":2686.699,"body":"and then how you tied it into real estate"},{"speaker":"Average Joe Finances","startTime":2683.039,"endTime":2686.699,"body":"investing and having those specific"},{"speaker":"Average Joe Finances","startTime":2686.699,"endTime":2688.659,"body":"accounts as a real estate investor."},{"speaker":"Average Joe Finances","startTime":2689.489,"endTime":2692.366,"body":"Super important because one of the"},{"speaker":"Average Joe Finances","startTime":2689.489,"endTime":2692.366,"body":"things, that I never thought of,"},{"speaker":"Average Joe Finances","startTime":2692.636,"endTime":2695.936,"body":"because I haven't taken a hard money"},{"speaker":"Average Joe Finances","startTime":2692.636,"endTime":2695.936,"body":"loan yet for anything in real estate."},{"speaker":"Average Joe Finances","startTime":2695.936,"endTime":2700.166,"body":"So I never thought about having a"},{"speaker":"Average Joe Finances","startTime":2695.936,"endTime":2700.166,"body":"PITI account, which is super important"},{"speaker":"Average Joe Finances","startTime":2700.166,"endTime":2702.949,"body":"because everything I'm paying for"},{"speaker":"Average Joe Finances","startTime":2700.166,"endTime":2702.949,"body":"right now has a mortgage tied to it."},{"speaker":"Average Joe Finances","startTime":2702.975,"endTime":2704.055,"body":"So that's automatically done."},{"speaker":"Average Joe Finances","startTime":2704.055,"endTime":2704.625,"body":"It's the rest go?"},{"speaker":"Average Joe Finances","startTime":2704.625,"endTime":2705.705,"body":"I don't have to worry about it."},{"speaker":"Average Joe Finances","startTime":2705.825,"endTime":2706.635,"body":"It is what it is."},{"speaker":"Average Joe Finances","startTime":2706.728,"endTime":2710.729,"body":"But if you're, financing a property"},{"speaker":"Average Joe Finances","startTime":2706.728,"endTime":2710.729,"body":"through private means or anything"},{"speaker":"Average Joe Finances","startTime":2710.729,"endTime":2714.272,"body":"else, you still got to pay that"},{"speaker":"Average Joe Finances","startTime":2710.729,"endTime":2714.272,"body":"insurance and taxes on your own."},{"speaker":"Average Joe Finances","startTime":2714.542,"endTime":2718.052,"body":"So that's one of the things that I took"},{"speaker":"Average Joe Finances","startTime":2714.542,"endTime":2718.052,"body":"away as being a huge thing that you"},{"speaker":"Average Joe Finances","startTime":2718.052,"endTime":2721.622,"body":"need to be thinking about, especially"},{"speaker":"Average Joe Finances","startTime":2718.052,"endTime":2721.622,"body":"as you start to scale and you can no"},{"speaker":"Average Joe Finances","startTime":2721.622,"endTime":2726.352,"body":"longer do the normal methods of taking"},{"speaker":"Average Joe Finances","startTime":2721.622,"endTime":2726.352,"body":"out a regular mortgage to, to go"},{"speaker":"Average Joe Finances","startTime":2726.352,"endTime":2730.877,"body":"buy some property because you do get"},{"speaker":"Average Joe Finances","startTime":2726.352,"endTime":2730.877,"body":"capped out at 10, and it could even"},{"speaker":"Average Joe Finances","startTime":2730.877,"endTime":2733.307,"body":"happen before that based on your DTI."},{"speaker":"Average Joe Finances","startTime":2733.392,"endTime":2734.872,"body":"That's definitely"},{"speaker":"Average Joe Finances","startTime":2733.392,"endTime":2734.872,"body":"something that's important."},{"speaker":"Average Joe Finances","startTime":2734.939,"endTime":2739.177,"body":"At least that's going in my little"},{"speaker":"Average Joe Finances","startTime":2734.939,"endTime":2739.177,"body":"notes here in my wheelhouse that I'm"},{"speaker":"Average Joe Finances","startTime":2739.177,"endTime":2740.333,"body":"going to keep in the back of my head."},{"speaker":"Average Joe Finances","startTime":2740.383,"endTime":2741.343,"body":"So thank you for that."},{"speaker":"Average Joe Finances","startTime":2741.643,"endTime":2745.105,"body":"Speaking of that since you put out so"},{"speaker":"Average Joe Finances","startTime":2741.643,"endTime":2745.105,"body":"much good information people listening"},{"speaker":"Average Joe Finances","startTime":2745.105,"endTime":2749.425,"body":"to the show are gonna want to know"},{"speaker":"Average Joe Finances","startTime":2745.105,"endTime":2749.425,"body":"more about you, more about your book."},{"speaker":"Average Joe Finances","startTime":2749.665,"endTime":2751.705,"body":"So this is the most"},{"speaker":"Average Joe Finances","startTime":2749.665,"endTime":2751.705,"body":"important question of all."},{"speaker":"Average Joe Finances","startTime":2751.825,"endTime":2752.845,"body":"Where can they find you?"},{"speaker":"Average Joe Finances","startTime":2752.883,"endTime":2755.956,"body":"Do you have a website you can share"},{"speaker":"Average Joe Finances","startTime":2752.883,"endTime":2755.956,"body":"with us your, any social media accounts"},{"speaker":"Average Joe Finances","startTime":2756.136,"endTime":2758.956,"body":"and where can we buy your book?"},{"speaker":"David Richter","startTime":2759.386,"endTime":2759.896,"body":"There we go."},{"speaker":"David Richter","startTime":2759.896,"endTime":2761.846,"body":"I appreciate that very much."},{"speaker":"David Richter","startTime":2762.116,"endTime":2763.406,"body":"I love spreading this message."},{"speaker":"David Richter","startTime":2763.406,"endTime":2769.946,"body":"So if you go to simple C F"},{"speaker":"David Richter","startTime":2763.406,"endTime":2769.946,"body":"O solutions.com, if you go"},{"speaker":"David Richter","startTime":2769.946,"endTime":2772.296,"body":"there simpleCFOsolutions.com."},{"speaker":"David Richter","startTime":2772.296,"endTime":2776.006,"body":"Like chief financial officer, that's"},{"speaker":"David Richter","startTime":2772.296,"endTime":2776.006,"body":"where a lot of our stuff is housed."},{"speaker":"David Richter","startTime":2776.186,"endTime":2778.816,"body":"That's where it takes you"},{"speaker":"David Richter","startTime":2776.186,"endTime":2778.816,"body":"a link to our book page."},{"speaker":"David Richter","startTime":2778.996,"endTime":2780.946,"body":"To buy the book, which"},{"speaker":"David Richter","startTime":2778.996,"endTime":2780.946,"body":"it's on Amazon as well."},{"speaker":"David Richter","startTime":2780.946,"endTime":2783.706,"body":"You could go to Amazon and search"},{"speaker":"David Richter","startTime":2780.946,"endTime":2783.706,"body":"for a profit first for real estate"},{"speaker":"David Richter","startTime":2783.706,"endTime":2786.946,"body":"investing, but that's where we"},{"speaker":"David Richter","startTime":2783.706,"endTime":2786.946,"body":"house also bulk orders, because"},{"speaker":"David Richter","startTime":2786.946,"endTime":2790.636,"body":"we actually can give a discount on"},{"speaker":"David Richter","startTime":2786.946,"endTime":2790.636,"body":"bulk orders there on the website."},{"speaker":"David Richter","startTime":2790.936,"endTime":2795.166,"body":"Then it's also the place where we have a"},{"speaker":"David Richter","startTime":2790.936,"endTime":2795.166,"body":"podcast profit first REI podcast as well,"},{"speaker":"David Richter","startTime":2795.166,"endTime":2799.256,"body":"too, just a bunch of free info out there,"},{"speaker":"David Richter","startTime":2795.166,"endTime":2799.256,"body":"like how to implement, how to start."},{"speaker":"David Richter","startTime":2799.276,"endTime":2803.236,"body":"People that have implemented profit"},{"speaker":"David Richter","startTime":2799.276,"endTime":2803.236,"body":"first, like just giving you the shot"},{"speaker":"David Richter","startTime":2803.236,"endTime":2806.176,"body":"in the arm to make sure that yes,"},{"speaker":"David Richter","startTime":2803.236,"endTime":2806.176,"body":"you can do it as well too and here's"},{"speaker":"David Richter","startTime":2806.176,"endTime":2810.346,"body":"the people that have seen success and"},{"speaker":"David Richter","startTime":2806.176,"endTime":2810.346,"body":"seeing what it's actually done for them."},{"speaker":"David Richter","startTime":2810.796,"endTime":2812.846,"body":"So that's simpleCFOsolutions.com."},{"speaker":"David Richter","startTime":2812.866,"endTime":2815.926,"body":"That's also where if you want to work"},{"speaker":"David Richter","startTime":2812.866,"endTime":2815.926,"body":"with us, we've got the fractional CFO."},{"speaker":"David Richter","startTime":2815.926,"endTime":2818.646,"body":"If you're starting to go into"},{"speaker":"David Richter","startTime":2815.926,"endTime":2818.646,"body":"real estate investing because we"},{"speaker":"David Richter","startTime":2818.646,"endTime":2820.836,"body":"implement profit first as well, too."},{"speaker":"David Richter","startTime":2820.836,"endTime":2824.526,"body":"So that's where I would tell people"},{"speaker":"David Richter","startTime":2820.836,"endTime":2824.526,"body":"if you're looking for that, I do."},{"speaker":"David Richter","startTime":2824.526,"endTime":2827.226,"body":"If you don't mind, Mike, I'd like"},{"speaker":"David Richter","startTime":2824.526,"endTime":2827.226,"body":"to give them an email address."},{"speaker":"David Richter","startTime":2827.226,"endTime":2829.906,"body":"They could email if they want"},{"speaker":"David Richter","startTime":2827.226,"endTime":2829.906,"body":"some free tools as well, for"},{"speaker":"David Richter","startTime":2830.166,"endTime":2831.236,"body":"implementing profit first."},{"speaker":"David Richter","startTime":2831.246,"endTime":2834.814,"body":"Cause I give like a visual overview"},{"speaker":"David Richter","startTime":2831.246,"endTime":2834.814,"body":"of the bank accounts and like here's"},{"speaker":"David Richter","startTime":2834.814,"endTime":2838.444,"body":"some spreadsheets to actually where are"},{"speaker":"David Richter","startTime":2834.814,"endTime":2838.444,"body":"my now, where am I going type stuff."},{"speaker":"David Richter","startTime":2838.774,"endTime":2842.584,"body":"And if you email"},{"speaker":"David Richter","startTime":2838.774,"endTime":2842.584,"body":"lessstressmoreprofit@gmail.com,"},{"speaker":"David Richter","startTime":2842.794,"endTime":2845.959,"body":"it just bounces right back to"},{"speaker":"David Richter","startTime":2842.794,"endTime":2845.959,"body":"you and it gives you all that for"},{"speaker":"David Richter","startTime":2845.959,"endTime":2847.229,"body":"free and I just want to make sure."},{"speaker":"David Richter","startTime":2847.229,"endTime":2851.539,"body":"And also there's an ebook that I wrote"},{"speaker":"David Richter","startTime":2847.229,"endTime":2851.539,"body":"back then and an audio book too, as well."},{"speaker":"David Richter","startTime":2851.539,"endTime":2855.439,"body":"So as a real estate investor, because"},{"speaker":"David Richter","startTime":2851.539,"endTime":2855.439,"body":"I know we want our audio books, which"},{"speaker":"David Richter","startTime":2855.649,"endTime":2858.919,"body":"right now, if you're listening to"},{"speaker":"David Richter","startTime":2855.649,"endTime":2858.919,"body":"this and depending on when this is"},{"speaker":"David Richter","startTime":2858.919,"endTime":2863.209,"body":"coming out, the actual, I did record"},{"speaker":"David Richter","startTime":2858.919,"endTime":2863.209,"body":"for audible as well, too, for profit"},{"speaker":"David Richter","startTime":2863.209,"endTime":2864.349,"body":"first for real estate investing."},{"speaker":"David Richter","startTime":2864.349,"endTime":2867.404,"body":"So that will be out as well"},{"speaker":"David Richter","startTime":2864.349,"endTime":2867.404,"body":"which will be on Amazon."},{"speaker":"David Richter","startTime":2867.434,"endTime":2868.724,"body":"So there you go."},{"speaker":"David Richter","startTime":2868.724,"endTime":2872.061,"body":"That's what you can email"},{"speaker":"David Richter","startTime":2868.724,"endTime":2872.061,"body":"lessstressmoreprofit@gmail.com."},{"speaker":"David Richter","startTime":2872.321,"endTime":2873.701,"body":"If you want those free tools."},{"speaker":"David Richter","startTime":2873.701,"endTime":2875.871,"body":"And then you could go to"},{"speaker":"David Richter","startTime":2873.701,"endTime":2875.871,"body":"simpleCFOsolutions.com."},{"speaker":"David Richter","startTime":2875.891,"endTime":2878.921,"body":"That's where the book and"},{"speaker":"David Richter","startTime":2875.891,"endTime":2878.921,"body":"podcasts and everything else is."},{"speaker":"Average Joe Finances","startTime":2879.116,"endTime":2879.806,"body":"Fantastic."},{"speaker":"Average Joe Finances","startTime":2879.806,"endTime":2881.456,"body":"David, thank you so much for sharing that."},{"speaker":"Average Joe Finances","startTime":2881.456,"endTime":2885.416,"body":"Thank you so much for just providing"},{"speaker":"Average Joe Finances","startTime":2881.456,"endTime":2885.416,"body":"all the value that you have just in"},{"speaker":"Average Joe Finances","startTime":2885.416,"endTime":2887.295,"body":"this, in the short time that we spoke."},{"speaker":"Average Joe Finances","startTime":2887.297,"endTime":2888.287,"body":"Definitely appreciate it."},{"speaker":"Average Joe Finances","startTime":2888.317,"endTime":2892.607,"body":"And of course, thank you so much for"},{"speaker":"Average Joe Finances","startTime":2888.317,"endTime":2892.607,"body":"taking some time to talk with me today"},{"speaker":"Average Joe Finances","startTime":2892.607,"endTime":2896.417,"body":"and we'll make sure we have all those"},{"speaker":"Average Joe Finances","startTime":2892.607,"endTime":2896.417,"body":"links in our show notes to make it easier"},{"speaker":"Average Joe Finances","startTime":2896.417,"endTime":2898.434,"body":"for people to just click on it and go."},{"speaker":"Average Joe Finances","startTime":2898.733,"endTime":2901.642,"body":"As well as the email address so"},{"speaker":"Average Joe Finances","startTime":2898.733,"endTime":2901.642,"body":"they can get those free tools."},{"speaker":"Average Joe Finances","startTime":2901.653,"endTime":2902.748,"body":"Definitely encourage everybody."},{"speaker":"Average Joe Finances","startTime":2902.748,"endTime":2906.121,"body":"That's listening to this episode right"},{"speaker":"Average Joe Finances","startTime":2902.748,"endTime":2906.121,"body":"now to check out David's book, check"},{"speaker":"Average Joe Finances","startTime":2906.121,"endTime":2910.371,"body":"out his website, go see what they're"},{"speaker":"Average Joe Finances","startTime":2906.121,"endTime":2910.371,"body":"doing and and get these free tools."},{"speaker":"Average Joe Finances","startTime":2910.469,"endTime":2911.579,"body":"Frees my favorite price."},{"speaker":"Average Joe Finances","startTime":2911.579,"endTime":2914.759,"body":"So if you have an option to get"},{"speaker":"Average Joe Finances","startTime":2911.579,"endTime":2914.759,"body":"some free tools, jump all over that."},{"speaker":"Average Joe Finances","startTime":2914.759,"endTime":2919.393,"body":"So again, David truly humbled and"},{"speaker":"Average Joe Finances","startTime":2914.759,"endTime":2919.393,"body":"really appreciate you taking the time"},{"speaker":"Average Joe Finances","startTime":2919.393,"endTime":2921.353,"body":"to chat with me on a Saturday today."},{"speaker":"David Richter","startTime":2921.54,"endTime":2921.95,"body":"Awesome."},{"speaker":"David Richter","startTime":2922.0,"endTime":2922.57,"body":"Thanks Mike."},{"speaker":"David Richter","startTime":2922.57,"endTime":2924.684,"body":"It was a pleasure and I"},{"speaker":"David Richter","startTime":2922.57,"endTime":2924.684,"body":"love spreading this message."},{"speaker":"David Richter","startTime":2924.684,"endTime":2926.424,"body":"So just, I appreciate you having me on."},{"speaker":"Average Joe Finances","startTime":2926.724,"endTime":2928.044,"body":"Absolutely Aloha."}]}