If the year 2020 has taught us anything – it is this. Change is coming. Change is inevitable. How you adapt is crucial. If you don’t, it could be fatal. This week on Flipping Genius we will talk about how making the right changes can make you a lot of flipping money!
It is an election year. To hear most people talk – it is THE election year. As I am recording this – October 27th, 2020 – we are one week away from the presidential election that has filled our eyes and ears for what seems like years. By the time you are listening to this, those results may already be decided – or, since podcasts are live forever – the result of this 2020 election may seem irrelevant. …However, I can’t help but believe the results of this election will bring with it change. Whatever the results…
I listened to one of my favorite podcasters talk about the election the other day. He promised at the outset to tell who he was planning to vote for. That intriguing promise probably tricked more people than me into listening until the end to see who he was going to choose. I was interested because I knew if he disclosed the truth he was risking losing at least half of his audience. In the end, he wound up telling his audience that he planned to vote for the American people. It might sound like a little bit of a cop out, but he made a very good point along the way.
He said that if you are convinced that the election of either of the candidates was going to change your future, then he felt sorry for you. He said he believed that only you could do that for – or to you. He admitted that political changes could change the environment we work within, but it is up to choose how that change affects us. And he believed that the entrepreneurial spirit of Americans could adapt and overcome anything. I believe that too. So, like Matt McWilliams, I choose to believe in all of us.
I know this is beginning to sound a little bit like a pep rally. I’m not going to apologize for that – because sometimes I think we need that. Sometimes, we need to be uplifted. I try to do some of that in some of the videos I post on the Flipping Genius YouTube channel. If you haven’t seen them – take a look. I usually title them “coaching up” and that is exactly what I am trying to do. And not just for you. For me too.
Last week I bought a piece of crap vehicle that will probably wind up losing me money. That happens from time to time – and I don’t like it any more than anyone else. But how you respond – how you react is vital.
If you’ve listened before, you have no doubt heard me talk about the guys I depend upon to keep from making too many blunders like that one. And who help me from making a bad investment worse by throwing more money at it. Thankfully, Garry Hargrove – who we heard from again in episode 39 – stopped me before I got too deeply invested in this one.
I’m going to elaborate on this one a little bit, because I think that everyone can learn from my pain. That reminds me of something I say a lot when I am singing one of the divorce songs I’ve written. I always introduce the song by saying I wrote this song about a couple friends of mine who were going through a divorce. Then I say, if you are going to write a song about a divorce, it is a lot cheaper to write about somebody else’s. …Well, that’s how mistakes are too – right? It is a lot better to learn from somebody else’s.
SOooooo, last week I won the auction on a 2006 Dodge Durango. Now that word WIN did not seem to fit too well by the time I managed to get it running. I did get it running wit a jump box and some gas, but just long enough to roll it out of the auction yard, so my tow guys could take it to my mechanic. Still the old girl looked pretty good and I was – as I usually am – optimistic Dennis, Garry, John and the guys over at Dennis Johnson Automotive (they still aren’t paying me anything for these advertisements) – I was still optimistic they could get her running right for a few hundred buck and make me a sweet profit. Because – of course – I bought it cheep. I think I only had $675 in it even with auction fees.
HOWever – that’s where I was wrong. Garry called me with the bad news, that it needs a new engine and a new radiator. That, combined with the fact that it has a rebuilt title and about 85,000 more miles on it than were reported on the auction preview reports – made this, what I call A MISTAKE.
Well, so far, I know he only part of this story that will probably be interesting to you is that it is MY MISTAKE and not yours. And I can understand that. However – HOWEVER – remember all that talk I gave you about adapting to change and entrepreneurial spirit and such. Well, yes cutting your losses is one important step – but there’s more to it than that.
I am going to a break. And be sure you listen to the break, because it is actually – coincidentally – about what is very likely going to be a solution to this mistake - THIS UNEXPECTED CHANGE IN CIRCUMSTANCES – that I have been presented with. So, hang tight and when we come back, I am going to, quite possibly, give you a whole new way to deal with CHANGE.
Team Townley ITEX - hand delivers new business to their clients
OK – now for the magic. There are some things we do flipping cars that really does seem like magic to me at times. And I am sure I have talked about that before – “the thousand dollar car washes” and just combinations of making the right changes in the mechanics and appearance of a vehicle that can make it worth so much more to somebody else than it was before we worked our – MAGIC. And that stuff is great.
By the way – the next episode – I am going to have a guest who is SUPERSONIC good at that type of stuff. Not only doing it – but teaching it as well – I will tell you more about that at the end of the show today – BUT – let’s get back to the magic that I was talking about during that break.
And this is not an advertisement. ITEX is a sponsor of this show – and I thank God for them, because they are helping us build this – but I am talking about ITEX and Barter now because it is a magic that I use so well that it, quite possibly be the best thing I do in the car flipping arena.
See, the magic that is definitely my strong suit in Car Flipping is and always will be my marketing. I use the bartering channel of my enterprises as a tool that separates me from my competition. You may think I am crazy for telling you all of this right now – because this really is sort of “my magic” – but I am not frightened. I am not scared to share. It is not because I believe I am the greatest – like Mohammad Ali or something like that. He was the greatest – and in his business there was only room for ONE greatest at a time. However, in our business – in business in general – especially in the United States – there is room for so much greatness that I don’t think anyone should ever be afraid to share what they know. I believe it makes me better and gives you a greater opportunity for success at the same time.
Whew! This is a pep rally! OK – here is the magic I mentioned – the new way to deal with change that I promised before the break. You’ve heard me – if you have listened before – or if you just heard me a couple minutes ago – you have heard me talk about my friend Gene Townley and ITEX. Now if I haven’t explained that clearly enough I am going to do it quickly one more time – because I am pretty sure it is the way I am going to create DELISCIOUS lemonade from that damn rotten lemon; the Dodge Durango I bought last week.
ITEX is the largest barter exchange in the country. A barter exchange is where a group of businesses - in this cases tens of thousands of us – agree to do business together without exchanging cash. Instead we agree to exchange a common currency that is regulated by an intermediary. In the case of Gene and his team, that intermediary is called ITEX. A huge company that is traded on the New Your Stock Exchange.
The idea is as old as time. A farmer trades 3 chickens to a blacksmith to shoe his horse. Or a bar owner allows a workman to drink in his establishment in exchange for his building an addition on the bar. However, as well as that might work sometimes – what if the workman doesn’t drink alcohol? …or what if the blacksmith is a vegetarian? …See, having the intermediary in place creates an environment where nearly anyone can barter with anyone else as long as they have something that someone else is interested in bartering for.
However – sometimes there is a bit of an imbalance in the barter world when it comes to that what is the normal supply and demand in the world outside of barter. And that, my flipper friends is often where you will find someone like me. …or better yet – exactly me.
One of the businesses that I am involved in, of course, is the car business. And in most times there is a very limited supply of passenger vehicles available inside of barter exchanges. There are a variety of reasons for that – mostly because people have so much cash tied up in them.
So, since there – as usual – is a shortage of vehicles in the barter exchanges that I am involved in – it is very possible that I can sell my Dodge Durango for somewhere around three to four times what I paid for it via one of the exchanges. I estimate that either in an outright sale or via an auction format in one of these exchanges, I will sell this vehicle for between $2,000 and $3,000.
I will fully disclose all that I know about the vehicle in advance and provide photos of every angle of the vehicle. If possible, I will also provide a video of the vehicle running.
Now, you might wonder why anyone would pay so much for it in its current state. That would be because they either don’t value their barter money very highly – and/or they have a way to repair it inexpensively and plan to sell it for top dollar – either back into the exchange as a road ready vehicle or retail it to the public for cash.
On the other side of this transaction my $2,000 or $3,000 will be put to work for me buying things I need for my business and personal life – everything from beach house rentals to business cards to vehicle detailing to accounting services – all at a value that is pretty much exactly dollar for dollar he same value as the general public gets for their cash.
You might ask me then why don’t I just FLIP every vehicle through ITEX. That is a simple answer. There are limitations to what you can do with barter. I have yet to find a gas station I can pay with it. Despite my best efforts, I’ve yet to convince my mechanics to accept it. They say they have to pay the bank in cash. That’s true. You’ve heard the old adage “Cash is King”. True true. But as another bartering friend of mine often says, “If cash is king, then barter is queen.”
I need to take one more, quick break and when I get back I am going to share some more adapting secrets. These are some ideas – and some introductions that I am really excited about sharing with you! I will be back in 66 seconds. Promise…
Nick's Ristorante offers the finest dining experience in North Alabama
I hope you found that last part as interesting as I was trying to make it. This stuff has made me hundreds of thousands of dollars. I’m serious. So, if you have questions about this – or anything I talk about on Flipping Genius – please send them to me at email@example.com and I will be happy to clarify or elaborate.
I think this is the sort of stuff I get most excited about. Now, don’t get me wrong – sometimes it is just time to punt on a vehicle if it is really bad – but this particular one we are talking about still has some upside potential – so that is why I am considering this. I will provide updates on this project in the future too. And if you want me to do a study on it – here, I know what – send me an email and use the title DURANGO and I will send you a study of this one – including what I bought, what we did to it, how we sell it and what the net profit or loss is. This will be fun. …Well, especially if I can do what I just said. Send it to that same email address – firstname.lastname@example.org and include DURANGO as the title and I will include you in the response.
Now, I want to tell you about a couple more things that are going to help me help you make more money! Remember FLIPPERS THAT IS THE Number 1 goal of this podcast.
I had a visit with an old friend of mine this morning. We are working on a deal that will make both of us some money in the car world. He has not been on the Flipping Genius podcast yet – but we are working on it. He is just too flipping busy! But what a story his will be – and one you can duplicate! I swear. What an awesome thing to be at his place today. One of my oldest friends in the car flipping business. When we first met, he had been laying in mud and wet grass in his yard working to get a car ready to sell. Today he showed me around his ever-expanding shop. 5 bays, 4 offices and room for growing. There had to be 50-60 cars there and he just bought a RV that is worth $60,000 easy. Now I am sure he didn’t give 7 grand for it - - - but that is why we need to talk to him!! You heard me talk about Henry waaaay back in Episode 12 when he paid for my groceries so I wouldn’t have wait in a long line at the beginning of Covid-19. Henry Thornton and I are working on getting him on this mic so he can tell us – what is truly and American Success Story!
AND – I never really listened to any podcasts, except one about my favorite college football team the Wisconsin Badgers – until about a year ago. When I got started – I had accidentally found a voice who introduced me to this format of learning and inspired me. His name was Jeremy Fisher and he had a couple podcasts that were educational, motivational and inspirational. Before Jeremy I had never even heard the term “Side-hustle”. Jeremy – although he is probably younger than some of my shoes - taught me things about business that I just never heard before!
I listened to everything Jeremy Fisher produced and everyone he suggested. It motivated me to want to create this – The Flipping Genius podcast – the Flipping Genius YouTube Channel – the Flipping Genius Used Car Facebook Groups in 18 different cities in the United States …and all it is starting to grow into. A tool to help our listeners improve their lives. A way to share ideas for our listeners to make more money and BE PREPARED FOR CHANGES – NO MATTER WHAT!! I am telling you all this for a reason Flippers! And that reason is because the next episode of Flipping Genius – Episode #42 is going to be amazing! Because on Episode #42, I get to introduce all of you to Jeremy Fisher!! My conversation with Jeremy himself will be out first thing on Wednesday morning November 4th! At 6 AM – the day after the election. …And no matter what happens the night before that – we will be bringing you new ways, new ideas, new adaptations to whatever changes come our way!!
I CAN NOT WAIT!!
Remember to SAVE Flipping Genius where you are listening right now. If you can subscribe – hit subscribe, so you are alerted every time a new episode drops. If you can leave me a 5 star review on Apple podcasts – or wherever you listen – please leave a 5 star review. Please share Flipping Genius on Social media, by email, or however else you can think of with whoever you think will benefit. …If you would like to join our team as a contributor – a Team Member – go to our web site www.FlippinGenius.com and click the yellow text right at the top that says CLICK HERE TO BECOME A FLIPPING TEAM MEMBER. Anything you can do to help is greatly appreciated! It really is! Like I said before – if you have questions – send them to email@example.com and I will answer them personally if at all possible. If you would like to share a success story, an idea for a future episode or anything else – just send it to that same email address firstname.lastname@example.org
PLEASE BE sure to visit the Resources Page at www.FlippinGenius.com and look for every resource I can think of to help you make more money and save more money as a car flipper! We keep growing that and we have an amazing addition coming to the list of resources coming this week! Naturally I get a few bucks here and there from some of the businesses on there for affiliate marketing – but it doesn’t cost you more – in fact the bigger our audience gets the more discounts I am able to negotiate for you - So go there and buy your parts, buy your tools, find your auctions, run your VIN checks. AND tell your friends about Flipping Genius!
Thank you for listening almost to the end. If you stay until I shut up, you get to hear me sing an original song I wrote called This Old Chair. I think it is pretty good – let me know what you think. Seriously I would like to know.
Thank you for our Team Members. I really appreciate your loyal support of the Flipping Genius podcast an I am working hard to make this make you more money.
Here is my song: This Old Chair…
Let’s work together… Let’s make some money… Let’s all become Flipping Geniuses