Digital Social Hour - Scaling to 177 on Turo & Paying $0 for Worst/Best Cars I Jose Moreno + Demario McCowan DSH #387

Episode Date: April 1, 2024

Jose Moreno and Demario McCowan come to the show to talk about scaling to 177 cars on Turo and Paying $0 for Worst/Best Cars. APPLY TO BE ON THE PODCAST: https://forms.gle/D2cLkWfJx46pDK1MA BUSINESS INQUIRIES/SPONSORS: [e-mail] SPONSORS: Deposyt Payment Processing: https://www.deposyt.com/seankelly LISTEN ON: Apple Podcasts: https://podcasts.apple.com/us/podcast/digital-social-hour/id1676846015 Spotify: https://open.spotify.com/show/5Jn7LXarRlI8Hc0GtTn759 Sean Kelly Instagram: https://www.instagram.com/seanmikekelly/ Digital Social Hour works with participants in sponsored media and stays compliant with Federal Communications Commission (FCC) regulations regarding sponsored media. #ad Learn more about your ad choices. Visit megaphone.fm/adchoices Learn more about your ad choices. Visit podcastchoices.com/adchoices

He just started ghosting me. Okay, well, this is what's going to happen now. So I'm trying to find his location. Get the car. I'm like, okay, well, why don't you just like bring. So we brought two choke trucks at the end and he still was like going to drive off. I'm like, this is just going to be unsafe. You know, someone's going to get hurt.

So I was like, I don't want to get sued on this. So we eventually got it. But this guy for three weeks kept the car on this. We've never had somebody do this. Damn. Wherever you guys are watching this show i would truly appreciate it if you follow or subscribe it helps a lot with the algorithm it helps us get bigger and better guests and it helps us grow the team truly means a lot thank you guys for supporting and here's the episode all right guys here with jose moreno and demario McCowan, car rental experts, 177 cars, guys. That is impressive.

How long did it take to scale to that? Two years. That's it? Yeah. Damn. Two years? So you were getting, what, 80, 90 cars a year? Yeah. Yeah, with both of us working.

That's nice. It made it work, yeah. How much capital did you need to get to that level? So we used a lot of other people's money, right? So out of the 177 cars, there's only a certain amount that we actually own. We do a lot of, it's called co-hosting, where investors are actually able to put their cars on our fleet and everybody makes money. Got it. So when I learned that and we learned that, that scaled things like 3X because I wouldn't buy 177 cars.

But to manage 177 cars with what we own is a lot better that way. Right, because if you're buying it, it's going to be expensive if you're putting down 20% on each one, right? Yeah. It's going to take a while to make your money back. Right, right. I mean, I jumped in the game with just having good credit. I always took care of my credit even though I didn't have any major ideas.

So then when I found out about two cars bought two cars with my credit zero down wow and then which which cars were those when you're starting out it's probably on the cheaper side right so i started with a small honda hrv and then i started with the lexus but the lexus don't really recommend starting with lexus is because you're paying for that type of car so i would recommend to start with hondas yeah i haven't heard many good things about Lexus's I started with Alexis to do they break down a lot well it's just the value of the car like the Lexus like how much you're paying for a Lexus versus how much you get right now like you could just do a Toyota not spend as much money and still make more money because people rather get a Toyota

than Lexus how do you guys feel about Tesla's because when I I was in Jersey, I rented one, and it was pretty cheap. I don't know how they make money, to be honest. Yeah, they're just dropping the prices. Yeah, it was like $40 a day. To try to compete. So many people said, oh, I'm going to do two-room by Tesla. So now there'll be how many Teslas are in two-room? Oh, my gosh.

There's so many Teslas in Vegas. They dropped the market. And a reason why I don't let necessarily like tesla right now is because if you look in the overall car market tesla's dropped like crazy everybody's been betting on tesla and maybe in the future but when it comes to the rental car space there's a high barrier of knowledge that someone needs to to actually drive the car it's not an easy thing if you've never driven a tesla and you go run a Tesla, you don't know how to open the door. Yeah.

No, for real. Open the door the first time through the process. And the regenerative brakes are like funky at first. Yeah. Oh, yeah. The brakes are like, it's just like, it's just one of those cars. So I don't think Tesla is a good car to rent out. And they're very expensive when you have to fix the parts because it's hard. You have to wait a long time to get the parts now.

Yeah. Even the cyber truck, we'll see how that does. i don't know it's gotten a few accidents already yeah i think the cyber truck will be good because it's like so scarce on how many there are out there so initially the people that have them running it up on on the platforms like toro are gonna win but in the long run you know tesla's value of their car has to kind of go up because it's just oversaturated with so many teslas you know especially if you got in the business when the prices were high and then after the price cuts then your exit's gonna be horrible and the repairs there's a learning curve right so we had a guest who would they put the charger around it's a thousand dollar repair what by the way yeah the charger wrong yeah wow that is crazy it seems like every brand is

launching an electric car right right now pretty much at this point but a lot of them are just flopping it seems like yeah i think like you know the people that are betting on evs now in the early stages i mean they're gonna have to come with all the any anything that you bet on early stages you're gonna have to ride in ups and downs but i think in the long term that's what they're trying to switch everything to so evs but why'd you guys pick san diego and vegas as your markets that's just where i was and he was here in vegas i scaled to i'll say around 60 cars oh yeah 60 cars he was around 50 and we had done some business together so we're going on forces and all the investors seen us doing it together.

So that's how we scaled so fast after that. It was just called that in effect. Getting 15 cars here, 12 cars here. It was just insane. I love it. And you guys recently raised a million dollars in funding? Yeah. So what we do is we help other businesses get money and get capital.

So we have a client. And he's actually one of our locations in florida in boca raton and we got a million dollars of funding so we got him uh five vehicles we got him uh mercedes g was it mercedes gt the tt mercedes gt we got him a lucid we got a bmw we got about five cars that cost about 450 000. and then um we got him something which is really cool it's a $200,000 line of credit and the cars, you don't have to hide that you're renting the cars out. They know it. And the cool thing on that is he can turn those cars back in and it's like a lease model.

So he got 200,000 on that and then everything else was just liquid. So it's going to help us. It's going to help that side of our fleet in florida gonna scale right now out there it's making like 25 000 a month damn just on nine cars that's crazy and with these four extra cars i'm thinking we're gonna make an extra probably like 15k a month holy crap how were you able to get him that much you have like bank statements or something yeah so he's been in the business he was making 25 000 for every month for for like three years. So it was a little bit easier, but the big thing when you're raising capital for rental car companies is, as soon as you tell them that's your rental car company,

they're like, we're not gonna give you a car. We can't give you a car. Too risky. Yeah, and he already had nine cars. So it's like, after you have three cars reporting your credit, the banks are like, well, what are you doing with this? Like, this is weird, no one has nine cars you know some people do west watson yeah so like other than that like there's a very

small amount of people that do so when they see that they're like okay this is high risk right and uh so how did it took about two and a half months to get all of that funding that's good to know because i'm looking to get more into cars and i put one under my business so does that matter at all yes some under your personal and some of your business yeah so like the personal credit there's like even with credit cards and cars right there's only so much your personal credit can handle right even if you make a lot of money they're like okay well this is still too risky but when you put stuff in your business that's almost like unlimited because you have the ability to say well here's my revenue i can get three cars or i can get four cars so i see it

in the funny world if you don't have a business in the long term you're actually not going to get as much capital so the car's smart in the business name the only downside is the interest bro because i heard all the business points are higher the the commercial loans, dude, I paid 10% on mine. Yeah. I was like, bro, if I rented this out, I don't even know if I'd make money at this point. 10% interest, bro. Yeah.

That is crazy. There's nothing stopping you too from just creating more businesses as well. So let's say you have one business and you max out the loans that you can get on there for the past six months, you still have your personal guarantee, but then you can open another business and do the same thing so you know there's some people there's a fleet loan

you can get four cars at once so if you have four lfc you get 16 cards right away yeah and you can stack the zero percent credit cards too right yeah yeah those people i know someone that's gotten millions of dollars just making 40 llcs stacking cards. The 0% interest cards are great because what I tell a lot of people now is like, we can actually just liquidate the funds and buy the cars. Because in the tour space, in the rental car space, if you default on your car for two months, they're going to come take it. Why? That quick?

Yeah. Some are even quicker. But two months, they'll start saying like, okay, we need the car back. But if you take that 0% interest card, say if I got a 50,000 Chase Business Inc. I take that and I go buy a $25,000 car. I own the car. They can't take the car. Now, you can mess your credit up with the credit card.

I'm not telling you to do that. But you own the car still. So even if you mess the credit card up, you still get the car versus going to go get the auto loan. You're going to pay higher interest. And if you mess up, they up you still get the car versus gonna go get the auto loan you're gonna pay higher interest and if you mess up they're gonna come take the car yeah I like the credit card strategy better because you have 12 months right before the interest starts getting in yeah and some you see 19 months no dad so it's pretty solid yeah by the time 18 months rolls around you already rented it out 100 times exactly when you have the title to you

have a lot of flexibility and we know some lenders with the title, they'll give you your car's 20,000. They'll give you 20,000 cash. And then you do rinse and repeat that process. Yeah. I like the business model. Cause if you're doing it the 0% way, I don't see much risk other than like people up your car,

I guess getting an accident or getting your car stolen. You're smiling. So there's probably some stories there. Yeah. Yeah. We got a lot of stories with that. I don't even want to tell them one of those good stories all right yeah one of the most recent ones we have a bmw it's a white one uh we have we're in the economy play with it so what that is long

term rentals rented out over a week usually they'll keep it a long time here in the car around six months or eight months a long time but then towards the end are you interested in coming on the digital social hour podcast as a guest we'll click the application link below in the description of this video we are always looking for cool stories cool entrepreneurs to talk to about business and life click the application link below and here's the episode guys you just started ghosting me i was okay well this is what's gonna happen now so i'm then trying to find his location he kept the car for two weeks or three weeks because i have a kill switch on there so i couldn't even shut off the car because it was on for three weeks

running it sleeping in it everything in the car how did the gas not run out he was pumping gas with it on yo what oh so if he turned it off he wouldn't have been able to turn it back on. Interesting. So you found him eventually? Well, I kept sending tow trucks. And every time the tow truck would get closer, I'd just take off. Wow. This guy was on it. So he's still on the run right now? We got the car back.

I didn't even know. I'm on the back end of the business. So he calls me. If he calls me, there's an issue. So he calls me like, yo, we got to go get the car. I'm like, okay, well well why don't you just like bring so we brought two choke trucks at the end and he still was like gonna drive off and like this is just gonna be unsafe you know someone's gonna get hurt so i was like i don't want to get sued on this so we eventually got it but this guy for

three weeks kept the car on this we never had somebody do this yeah must have been desperate if he was living out of it i could see why yeah that's crazy we saw a story that got on the news before we're like oh we kept it over two weeks that's crazy and then it happened to us that's not we had two trucks boxed up man he got away and we were like it's gonna be way too dangerous so i just have to play it cool and settle with them just to let go of the car wow and this was a turrell customer or private i heard those are riskier right yeah it's riskier but you're making four times the money right because no feet no thorough taking hot right or something and then you're listed on there you're dealing you're competing with host who are listening for $30 a

day and my cheapest car small Honda's I'm ready for three dollars a day yeah I've just heard so many horror stories with the private rentals man yeah hello cats getting stolen cars getting shot up like crazy stuff yeah i had a helicast stolen they locked it in a storage unit in la and nobody was gonna help me i had to you know i had to talk to the storage people and they finally let me get it out but it took days wow i guess i had the registration and the key right there they probably just didn't want a lawsuit because with the storage things you're not allowed to to go into into right if you're not the owner right damn so they were gonna and when they put in like storage units especially in california they're gonna ship the car out like or wait

yeah they're like let's like send the car out like cars go to mexico they won't return that's like the worst to give you in the west coast or like in texas or the bordering states that's like even on tro if your car goes to mexico highly unlikely you're not going to mexico to get that at that point yeah so most people get their cars taken that point what's like the biggest red flags when you're dealing with potential clients so some of the biggest red flags is they don't have any documents or they're trying to say oh i lost my license here's a picture or if they don't have insurance there's a lot of people that will rent without insurance they'll provide insurance but you're risking a lot because if you have a lawsuit it's going to go on your commercial policy if you

have one or you're renting on personal let's say i just have personal insurance i rent this to someone super wrong but then you're risking a lawsuit on your personal insurance which is going to affect you forever yeah yeah i feel that if someone showed me a photo of their id i probably wouldn't do it like you know what i mean it's crazy when you see all types of things people fake ids i see someone photoshop they photoshop a picture next to our car one time no way that's crazy what photoshopped yeah that guy photoshopped the id in his hand he photoshopped the id in his hand because he didn't have hilarious dude the fakes are so good these days I don't even know like you guys have a way to tell yes yeah so actually with our own website we

actually have something that verifies insurance so they can't fake insurance because they have to log into it and it shows us like this is valid. So it will kick them out if it's fake. Got it. And we have something that checks the IDs. So same thing like when you like go scan your ID for like a lot of the apps right now or like the government stuff, it scans their ID and it makes it scan their face. So that really helps us. We just got that software. We put that on our website.

So that's key. Yeah, that's so cute because the fakes are so good man I used to have one and it's candid to yeah that's a good thing yeah for real what's the most expensive car you guys own right now for the Ferrari Ferrari Californiaia t how much is that 2130 okay so i mean we've had we like to diversify but it's definitely you know once you start getting into like 200k to 50k and then there's a lot of people's personal insurance is not covering all the way up there and we really

just want to get volume so yeah so you found like a sweet spot you're not dealing with like the high end exotic customer range. Exactly. We have some. I mean, like in Florida, our location is – like each location is like a different use. So like a lot of the San Diego cars we have for Uber, Lyft drivers. Vegas is still kind of more for tourists. And then you got Florida. We have the Ferrari. We have the AMG GT.

So we'll make more money out there because it's still, it's warm rear round, you know? So yeah, I think like each market is different and that's like having five different locations makes it easier to say, okay, well, Hey, this car is not doing good in Vegas. Send it to San Diego. Like right now we actually have somebody moving a car from San Diego all the way to our alabama location alabama yeah damn yeah because the rental rates in alabama are interesting because they'll pay for a toyota coral and toyota camry at a higher rate than vegas because we have like vegas is very oversaturated san diego is oversaturated but when you get into areas like alabama it's like there's only so many

cars out in montgomery right i've never even heard about town yeah i mean in san diego we're putting a lot of we're starting to put a lot of high end including bmw ia to hellcat and just being so close to the border next to la so many issues ia crashed after four uh rental trips yeah okay stolen multiple times impounded multiple times so we i'll say okay in san diego we're just gonna put a lot of economy cars so we don't have to deal with so much of that and then my people go for you know luxurious vacations we have lucid as well a land rover out there so nicer luxury models i saw lucid uh vegas auto gallery what did you think of it man i haven't driven it yet lucids are nice

i like lucids um you know the tesla gang doesn't like lucids right but i like lucids they're really nice when you go up to it you're like okay this is a very nice car and that's like what you want in a higher-end car um even the dash inside of it when you sit inside of it is really nice compared to just like a regular tesla or even some of the higher-end teslas so i like lucid's um i think they're faster than tesla i'm not sure wow we'll see it's quite the statement that's gonna cause some controversy we'll see any car brands you guys think are overrated car brands that are overrated i would say i know the bmw i so many people try to get this car to rent it out i think it's like one of the worst cars right one it's very low so the chances of it like bottoming out like somebody

hitting something especially in cali is high the second thing is everybody i knew that has a bmw i8 has had it crashed and it to me it's just not it's not it's not a practical car like i think you can go get like a corvette and still make money longer term than dealing with like a BMW i8 so I'm over I'm over with the i8 what about you know seeing a lot of two-row hosts you know we have a lot of two-row with their business so we see them and the base thing would just be the Lexus is or luxury models like that you know accurate you're paying a premium you made $30,000 premium you not going to get more money so let's say toyota rents for 30 for example and then you'll get 45 or 50 for an acura or lexus compared and you're paying 30 000 premium

dealership right so you're looking at it purely just from a numbers point of view yeah that makes sense like low low mid it's like low grade luxury like lexus's and stuff and when you finance a lexus here's the thing that people don't understand every dealership is different on how they finance and lease cars when you go to a lexus like you can you're gonna lease a car or finance is 800 plus dollars versus going to this is why there's so many bmws if you really think about it when you go to bmw they have a better way to lease their vehicles. So you'll be able to get a BMW a lot of times cheaper than getting a Lexus. And more people are brand anonymous,

especially younger people are gonna look at BMW versus Lexus. So I think Lexus isn't a good brand to rent out at all. When it comes to, oh go ahead. Think you're better off buying a Mercedes with the same markups you're going to pay. You could get a Mercedes and you're going to get a much higher rate. I feel that when it comes to that debate of financing versus leasing, would you guys stand on that? So I think, you know, when you look at the business, the big key in this business is people need to understand that we're actually flipping cars, right? We're not really focused just on how much we're going to make when we're in it. I focus a lot, okay, how do we buy the

vehicles, right? So I like leasing. Most companies don't let you unless you do that $200,000 line of credit. I like it because the car depreciation, as soon as you drive it off the lot, when you finance it and it's new, it just plummets, right? It just goes down. You're losing instant money, right? Instant equity. So I also like, the only reason why people don't like leasing and why I never liked it at first was because there's a mileage cap. So people like, well, what am I going to do if the car's over mileage? But there's multiple ways to get a lease. You can sell it back. I sold my BMW back to BMW and they bought it and I didn't have to pay anything. I didn't turn it in early. You could turn the vehicle in or you can swap a lease on uh where you can literally have someone take over

your lease so i like it because there's multiple exits of that vehicle versus when you finance a vehicle you're gonna have to hold on to that car or you can sell it there's not many options you you know what i'm saying interesting so even if you're over mileage you can still trade it in or swap it yeah yeah so when you what people need to do is when they go to the dealership, they don't need to go say, Hey, I'm turning the lease in early because they're going to be like, okay, well you owe us money. You just say, Hey, I'm selling the car to you guys. And I didn't know that I actually made $5,000 on selling my Honda at the time to CarMax. I leased it. And they're like, yeah, we we're gonna buy the rights

and we're gonna buy the car from you and we'll give you this and i was like yo because if i had turned that car in i would have had to pay four thousand dollars because it was over my house it's a good hack right there wow yeah that's bars man i had no idea because i always worried about i used to lease cars and i always worried about the mileage i was like i gotta stay under yeah what i mean because i didn't know how much they were gonna charge yeah you don't like all right you're back like are you us like three thousand dollars like okay and you're already there yeah so real what about you man any car hacks so speaking about financing versus Lisa I agree with the leasing because a lot of people jump

into the business and they get an exotic or or a higher end car and they finance it but you have to think that you're locked into this for five years and right away especially higher end cars are going to lose value very very fast and when there's an accident the insurance only pays you out what it's worth so let's say you still owe 100 grand on that loan but the car is not worth 70 grand you're gonna have to pay the 30 grand so that's a huge thing that i see a lot that's a huge mistake that i see a lot yeah when you guys deal with accidents have you seen insurance companies come through man it's a roller coaster yeah it's hit or miss so it's very very you know you have to have everything down to a t but once you get that then it's pretty much smooth but also they're always changing or you can deal with you know right

now we're dealing with one and they're saying oh we have an administrative hold we're not paying for anything right now wow so oh you know a lot of a lot of money you know nearly six feet right now just in holds right now and they're one of the biggest companies it's called uh what is it lula things for insurance yeah yes for insurance and a lot of people utilize that for rental cars but right now they're uh dealing with some you know internal things where they are like well we don't know when we can pay you guys out and all these different things so yeah and because the way they do it is they're not actually an insurance company. They're more of a broker. So they're more like a middleman, which is smart.

But they're in a situation now that the insurance company, if the insurance company actually doesn't pay anybody, then everybody's paying insurance to Lula for how many months? So yeah, rental car insurance is very difficult to get. So moving forward, you find an insurance broker. You tell them your exact needs. That's what we've done in our newest locations. And that's worth the best. Because you find an insurance broker. They have ways to look for insurance that you don't.

And they can find something that's tailored to the rental car company. And do you put all the cars under one insurance policy? It depends either on location or the way we're set up. If we're not big enough at that location, then we'll put it on another one but once it gets big enough then we'll put it onto an actual its own policy right and what's the price based off of like for the monthly payments value and you know if it's a commercial policy or if you're doing a cheaper policy if the car is just on two-wheel then you can do a lower policy you know there's some that are 50 a month you just put it on two-wheel but you're not having that much protection dude the insurance on the g-bike

it's crazy oh yeah that's how i was not used to that yeah i'm gonna lie because you just when you buy a car you don't even think about it i mean you guys do obviously but just a normal person just doesn't even fact about in yeah and then you're like oh wait what especially vegas we have higher insurance in vegas because i guess all the crashes and stuff so i see a crash every day bro people don't know how to drive in vegas bro it's crazy i literally drive so like carefully me too i don't know who's drunk i don't know like what's going on behind me yeah like i i have the auto drive on my tesla i don't even use it oh yeah i don't use auto drive out here i don't do any of that like in cali you might be able to get away when you're on the free

race so so long in vegas i don't use any of that you literally have to be focused on the road and that's why our insurance rates are so high we have bars everywhere i actually somebody hit one of the cars that i was in near my house which is like in a residential area there was a little bar and i went to a store nearby and the guy was drunk and he came out and hit the car and i'm just bro, he's like stumbling. Yeah, we got to be one of the high states. Yeah. Because of the strip.

The strip, people are just blacking out and then driving home. Yeah. Any markets you guys got an eye on right now? To open, to expand? I think the Florida market and the Miami market is really enticing. A lot of people try to go out there and do it. They don't really make it because they don't have any market share. But I think that's where we're focused on.

We have some real estate out there as well. So I'm pretty excited about what we're doing. Because with nine cars making $25,000 on Turo, it's not easy. It's not. For two years. So I'm like, okay, we can pit more into this, even our Alabama location, because our numbers are better.

We're actually looking into smaller markets like the Alabama and the Florida market. The bigger markets like Vegas and San Diego, I'm trying to stay away from. To race to the bottom in the biggest cities just because there's so many people that heard about it. They want to come in. They're not making any money.

They're desperate to pay their car payments. they'll put a tesla at 30 a day hoping to make the payment yeah my jaw dropped when i was in even in jersey it was cheap i don't know if that's considered a big market but yeah 40 bucks a day that's crazy that's so low like they're literally losing money on there that's so low especially on tour and the big thing is like when we look at like the rental car market and this is why we do private rentals and I like it, Turo has a small market share. Like every business has a market share, right? They have a very small market share inside of the big market, which is where we're competing with Enterprise and Hertz. When you compete with them, it's a different ball game. You know, Enterprise is making a lot more money than a lot of people

on Turo, even just for their daily rates. And we can have a Tesla on Turo versus getting like a Camry on Enterprise. And the Camry, they're going to make more money because Enterprise has everything figured out already. Oh, they have airport locations. Huge airport locations. When you need your car fixed and you're at a reputable body shop, they're going to say, hey, and you're running through insurance? Well, we got a rental car.

It's just down the street for you. Like it's through Enterprise. Yeah, they're gonna say hey do you and you're running through insurance well we got a rental car it's just down the street for you like it's through enterprise yeah they're everywhere so that's that's another that's like another tip is like go when we go to local body shops and we go to local wrap shops and we just say hey listen if you have somebody that needs a car we have a bunch of cars we can we can break bread together because i'll bring it to your people yeah give them a little cut that's that's actually brilliant. Yeah. That's huge. Not only that, you have the space too. Some places will let you. That's how we're doing it in Alabama.

Partnering with a mechanic shop and they have a lot of space. We take care of their customers and they let us park our cars there. That's smart. Yeah. I know some people out here park their cars like on the strip, like in casino parking lots. It's kind of weird, right? I actually, listen, I had a slingshot that i had in vegas and i couldn't keep it out the house because it was uncovered it was raining and i parked it in uh

the palazzo parking garage bro for like two weeks at a time it wasn't rented and they used to tag it sometimes and i was just thinking that today because they actually put um where you have to pay now the palazzo and i'm like man i would have paid a lot of money just to keep this card out here there's very few free parking out here now yeah it's crazy man used to be always free for locals yeah now it's like nope 20 bucks for three hours literally even at the wind now you gotta pay and then a lot of them actually took away the local thing too so you still tell the id yeah like no id i'm like come on man they're getting us everywhere the gambling proceeds weren't enough for you guys people are losing their lives gambling

they want the it's just like every business like how do we get money more and more ways and it's just like oh we just set up pay for parking you guys do a little airbnb also yeah so we've set up around what is it three in miami how many we have in vegas now so we have four in vegas i thought they're banded here yeah so they they haven't banned it it's just different laws that you have to work around in vegas or have to go through um i had if you own real estate's a little bit different and we do some short-term rentals that are like it's not technically short term but it's 30 days and in the eyes of what they say it's 28 days in most places so if you're renting out 30 days you're not violating certain laws um so yeah

the airbnb space is pretty cool it's it's comparable to the the rental car space and what we do is you can rent our car and you can run our airbnb smart yeah little bundle package bundle yeah yeah in miami though we just got three units and then we have some big projects lined up that are gonna be very excited to see which market excites you guys more the car rental or Airbnb I like real estate I actually got my real estate license at 18 Wow so I was deciding between at the time like Airbnb or Turo the very interest the barrier to entry for Turo was a lot smaller economical but the laws so I got into that space. And so we

basically like my goal is to we funnel as much money back into real estate, it's something that's not going to go away. And when you when you buy a car, here's the thing, when you buy a car, it's going to depreciate unless you buy one of one or one of 100. Right? When you buy real estate, it's still depreciates theoretically, but it still goes up and appreciates so i get to write off the depreciation and i get to still make money more every single year it's an asset rather than a car is a liability right yeah and like even if you get the car and

it's making you money i still it's a depreciating asset that eventually i can only have a car for so long before it goes away but yeah The interesting thing we've learned is just social currency. So we started with the car rental business and, you know, you can enter as low as $5,000. We have cars that we bought for $5,000, $3,500. Yeah. And we're renting them out and they can make anywhere from $225 to $250 a week, which is not bad if your entry is $3,500.

But it's the same investors that helped us buy those cars. So and we've done good business in the cars we have these airbnb projects and then that's the social currency now you're able to raise more capital and once you can raise the capital then real estate's no-brainer yeah social currency is huge and you need it look what grant cardone did yeah raised four billion dollars yeah i love it guys it's been fun anything you want to promote or close off with yeah so if you guys are looking to, we basically teach people how to use popular side hustles, whether it's Turo, whether it's Airbnb, whether it's trading to get more social currency, to provide more value and to get investors. All the businesses that we started, I didn't go to the banks.

I went directly to people that I knew that already knew what we were doing. So if you guys want to get in it, we have a group, um, where it's 2199 a month. I made it economical. And all you got to do is text the word social to 702-602-6399. Again, 702-602-6399. And I have a free ebook basically showing how we started all these businesses um with under 1500 so we'll link it below thanks for coming on guys cool thanks for watching as always see you next time