Too many folks set the bar way too high with entrepreneurship. The next million dollar company. The next sexy startup.

Forget all that.

Why isn’t the goal to build something that pays you good $ every year and requires only a few hours of your time per week to make it happen?
When you start a business your goal shouldn't be to get an article in TechCrunch or raise VC $.

It should be to make $1,000 as quickly as possible with as little risk as possible.

Trade your time for money to test an idea.
Speaking of ideas.....

Business ideas are OVERRATED.

The only thing a brand new, world-changing idea will get you is an interesting Twitter bio and very shitty odds of success.
We only hear about the unicorns like Jobs and Musk.

The successful entrepreneurs in your town all have something in common...

They did common things uncommonly well.

They did something that someone else was already doing and they just did it a little bit better.
Young entrepreneurs hear the same advice over and over again...

Change the world. Do something you're passionate about. Thing BIGGER.

That advice is BULLSHIT.

Shoot for the stars and the odds you'll end up with a JOB.
Business is about momentum.

Learn the ropes on something simple. Make some money. Hire a laborer to help you. Answer the phone. Do what you say you're going to do.

And slowly grow. The next opportunity will be bigger. And the next one bigger than that.
And then you wake up 10 years later with a ton of experience and a bank account full of cash.

And guess what...

You're in a position to go big and try to change the world.
Here is a really simple way to figure out what opportunity to go after:

sweatystartup.com/idea-generatio…

And remember...

START small. So small your grandma just nods her head and smiles when you tell her what your business idea is.
Also - if you’re interested in small business and entrepreneurship…

I have a podcast called The Sweaty Startup.

Ive released two episodes in the last two days. Both great listens.

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More from @sweatystartup

1 Jul
If you curate your feed correctly Twitter has 100x the insights per hour of any other platform (books included).

The best way to make this happen is to follow people who are A) experienced and B) post very disciplined and direct content on Twitter.

A list of the best:
@craigclemens

Has been very successful in the real world and transfers the learnings to twitter in an easy-to-digest format.
@Codie_Sanchez

Contrarian takes that you might not always agree with, but you can count on her to challenge your thinking where it matters.
Read 25 tweets
29 Jun
A lot of people reach out to me asking how to buy a storage facility and what size to go after.

Here's a thread to get you started.
If you're an individual investor you want to start out small. $500k range is perfect to get huge value because its too big for most single family investors and too small for big players (my team only looks at $1MM and up now).

That means about 7-15k rentable square feet.
How much cash do you need?

At least 30% of the purchase price. You can raise it from friends / family / investors if you have less. Thats what we did on our first few deals.

I also like to have an extra $50-100k in the bank for surprises.
Read 11 tweets
27 Jun
Owning a company is 90% just managing the emotions of people.
Launching a crypto is 90% managing the emotions of your friends who bought it and lost their money.
Being a good parent is 90% managing the emotions of your kids and yourself.
Read 5 tweets
17 Jun
How to turn $1MM into a lot more:

Buy a $2MM self storage facility. You’ll need $600k cash.

Use $60k of your own cash (10% co-invest) and raise the $540k from limited partners.

You own 10% of the deal but 1/2 the upside (the carry).

Do this 10 times.
With $20MM of self storage purchased it’s time to work your magic.

You didn’t use all of your money - you gave $400k left.

Invest 1/2 that in a few good management hires.

Keep the last $200k in reserve.

Drive revenue and cut costs by managing the facility really well.
On each $2MM property you can raise NOI from about $150k (a 7.5 cap) to $180k (a 9 cap).

The 10 properties now generate $1.8MM in income.

Now it’s time to sell them all.
Read 7 tweets
14 Jun
We've used "seller financing" on two self storage deals in the past year.

And it raised our cash on cash return by 20%+.

And lowered the amount of capital we needed by $500k.

Here's a THREAD about a deal of mine and how this magical debt structure can work.

👇👇
My method is simple. In the late stages of negotiation I submit two offers:

One at a lower price.

And one at the exact price the seller wants but with him holding back 10-20% of the purchase price in the form of a 2nd mortgage (with a second position to your bank loan).
Contrary to popular belief seller financing rarely includes the seller holding back 70-80% and acting as your bank.

Two reasons:

#1 most have some debt on the property.

#2 most want most of their money now.
Read 12 tweets
9 Jun
A thread on how real estate investors, developers and operators can make millions a year and pay almost nothing in TAXES by using depreciation, bonus depreciation, and 1031 exchanges.

A thread on how it works:
Depreciation is the act of slowly, over time, deducting the initial expense of an asset against your taxable income. Generally over a 27.5 (residential) or 39 (commercial) yr time frame. So each year you can write off 2-3.6% of the purchase price against your income.
Thats a big deal. We're buying a new property, a $3MM self storage facility. Thats a $60k a year write off against about $260k in NOI and 200k in cashflow on a $3MM deal.

It makes 30% of our cashflow tax free.

Very powerful but there is much more to it...
Read 21 tweets

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