From Nothing to Everything ft. Albert Preciado | Coffeez for Closers with Joe Shalaby Ep. 45

Summary

Coffeez for Closers with Joe Shalaby Episode 45: From Nothing to Everything ft. Albert Preciado Release Date: October 11, 2024

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Introduction

In Episode 45 of "Coffeez for Closers," host Joseph Shalaby welcomes Albert Preciado, a self-made entrepreneur and CEO of multiple successful enterprises, including The Mortgage Guys, Ambiance Realty, and Driven Enterprises. Albert's journey from humble beginnings, surviving the 2008 mortgage meltdown, to becoming a prominent figure in the mortgage industry and the self-help space, serves as an inspiring narrative for entrepreneurs and professionals alike.

Albert Preciado [00:04]: "Starting from humble beginnings, he built a multi-million dollar empire and is now a driving force in not just the mortgage industry, but also the self-help space as well."

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Albert Preciado's Background and Journey

Albert shares his early life experiences, highlighting the challenges he faced growing up and how these shaped his entrepreneurial spirit. Born to hardworking parents who struggled to achieve their dream of homeownership, Albert developed a strong desire to prove himself and achieve success.

Albert Preciado [15:08]: "I wanted to prove you that it is for us."

Albert recounts his entry into the mortgage industry at a young age, becoming a loan officer at 19. The 2008 mortgage crisis was a pivotal moment, leading to personal hardships, including homelessness. However, Albert's resilience saw him through, eventually leading him to establish his own mortgage company, The Mortgage Guys, in 2013.

Albert Preciado [06:33]: "I end up selling all things, which net the net of that was 2 million bucks around there."

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Building the Preciado Empire

Albert outlines the growth of his business empire, consisting of Ambiance Realty, The Mortgage Guys, and Driven Enterprises. He emphasizes the importance of vertical integration, where each business complements the others, fostering a synergistic environment that propels the entire enterprise forward.

Albert Preciado [04:02]: "I started creating what I used to call my triangle because I have mortgage, I have real estate, and then I have driven, and then, you know, that's vertical integration."

Albert discusses the strategic challenges he faced, including scaling his businesses and navigating legal issues, ultimately leading him to sell properties to sustain his mortgage company during tough times.

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Morning Routine and Personal Habits

The conversation shifts to Albert's disciplined morning routine, which is segmented into three "mini days" to maximize productivity. Albert prioritizes personal development and business innovation in the early hours, reserving afternoons and evenings for meetings, events, and networking.

Albert Preciado [08:15]: "I get three days out of one. So my most important day is the morning."

Albert also shares personal rituals, such as never leaving home without giving his daughters a kiss, underscoring the importance of family amidst entrepreneurial pursuits.

Albert Preciado [11:53]: "I never leave home without giving the kiss to my three little daughters."

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Challenges and Adaptation in Business

Albert delves into the inevitable challenges of entrepreneurship, stressing the necessity of adaptation in a constantly evolving industry. He criticizes those who rely solely on decades of experience without embracing new technologies and strategies, likening such businesses to "dinosaurs" doomed by their inability to adapt.

Albert Preciado [20:07]: "The biggest challenge anyone can have right now is if they don't adapt."

He underscores the importance of leveraging modern tools like AI and social media to stay competitive, warning against complacency even with extensive experience.

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Philosophy on Haters and Social Media

Albert provides a refreshing perspective on dealing with negativity and criticism. He views haters as inadvertent promoters who enhance his social media presence due to their persistent engagement. Rather than being discouraged by negative feedback, Albert harnesses it as a tool for growth and algorithmic advantage.

Albert Preciado [24:43]: "Massive success."

He emphasizes that negativity often overshadows positive actions on social media, encouraging a resilient mindset focused on long-term success.

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Managing Family and Instilling Grit in Children

Albert discusses his parenting approach, balancing being soft with his daughters while instilling values of hard work and responsibility. He employs strategies like making children earn rewards through chores, fostering a sense of accountability and teamwork.

Albert Preciado [35:42]: "We teach them to earn things by doing things."

Albert highlights the importance of being present and supportive, allowing his wife to lead household decisions while he focuses on work, thereby creating a balanced family dynamic.

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Advice to Younger Self and Building Wealth

Reflecting on his journey, Albert offers sage advice to his 20-year-old self: avoid distractions like alcohol, drugs, and frivolous relationships, and focus instead on building businesses and acquiring knowledge through mentorship.

Albert Preciado [38:16]: "Stay away from drinking, from drugs, and from women and focused on reading, getting a mentor and building businesses."

He emphasizes the significance of equity in wealth building, advocating for entrepreneurship or positions that offer ownership stakes rather than traditional employment that limits financial growth.

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Conclusion and Mantra

Albert concludes with his guiding mantra, "You got to stay driven. When you stay driven, you're unstoppable." This philosophy encapsulates his relentless pursuit of success and serves as a motivational cornerstone for both his personal and professional life.

Albert Preciado [29:21]: "When you stay driven, you're unstoppable."

His unwavering drive, resilience, and strategic thinking have not only built a successful business empire but also inspired thousands to pursue their entrepreneurial dreams with passion and perseverance.

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Notable Quotes

• Albert Preciado [20:35]: "If you're going to stay broke, stay an employee."
• Albert Preciado [29:32]: "You got to stay driven. When you stay driven, you're unstoppable."
• Albert Preciado [39:43]: "Don't be a little."
• Albert Preciado [11:00]: "When you wake up, you wake up."

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Key Takeaways

1. Resilience is Crucial: Overcoming significant adversity can forge a formidable entrepreneurial spirit.
2. Adaptation is Key: Staying ahead in business requires embracing new technologies and strategies.
3. Leveraging Negativity: Negative feedback can be repurposed as a tool for growth and increased visibility.
4. Balanced Leadership: Effective entrepreneurship involves balancing professional ambitions with personal and family commitments.
5. Strategic Wealth Building: Focusing on equity and business ownership is essential for long-term financial success.

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Albert Preciado's story is a testament to the power of perseverance, strategic thinking, and unwavering drive. His insights provide valuable lessons for aspiring entrepreneurs and business leaders aiming to navigate the complexities of building and sustaining a successful enterprise.

Transcript

[A]

Foreign. What's up everybody?

[B]

And welcome to another episode of Coffees Proposers where we speak to industry leaders shaping the future. Today's guest is a self made entrepreneur who overcame adversity to become the founder and CEO of the Mortgage Guys, Ambiance, Realty and Driven Enterprises. Starting from humble beginnings, he built a multi million dollar empire and is now a driving force in not just the mortgage industry, but also the self help space as well. From surviving the 2008 mortgage meltdown to becoming a real estate investor and motivational speaker, he's an inspiration to thousands across the globe. Let's dive into his incredible journey and meet the one, the only, Albert Preciado.

[A]

Hey, thank you for the introduction that. Never had an introduction like that.

[B]

Thanks Albert.

[A]

You know you full time for that.

[B]

I know, thank you. You know, I get that a lot. I feel like my introductions are just the best in the space, you know.

[A]

Yeah.

[B]

I appreciate you coming down. I appreciate you making the time to meet with us here at our headquarters and I look forward to jumping on your show at one point. Albert, you know, you've always been on my radar. Not only just to meet, I've been a fan, I've been following you. I know you're doing a lot of big things in this, in the, not just the mortgage industry, but I love what you're doing with your brand. You know, you've built a massive brand. The Mexican Prince of Bel Air. Very, very catchy. And then all the conferences you're doing, you know, the driven conferences are rocking. You get big speakers out and you're really making an impact on people's lives and I appreciate that about you. So cheers to you, my brother.

[A]

Cheers for that. All right, so number one thing is you have a massive brand, you know, yourself. And the thing is that one of my rules is when somebody recommends or refers me to someone else, I, I don't think about it. So I'm just like, hey you, you know, like they were asking me, hey, let's sign into your Instagram. And you know when they tell you that, it's like, oh, they're gonna, it's almost like somebody taking out your wife on a date or, or something like that. But it's like something that. Imagine somebody jacks or steals your Instagram. I know it's terrifying, but it's like, what? One of the biggest lessons I've learned is, is to work with people or partner people with people or do things with people that are referred. So like when, you know, you come referred by Dan Fleishman he's like, you got to meet him. I think he text us in the group text. And I was driving, you know, and then I'm like, who is this guy? And I'm like, well, Dan said call him. So we call it. We spoke. Now I'm here, so thank you for having me here. And you know, you're awesome. You're killing it.

[B]

Yeah. And what's great about these relationships is like, who knows what's going, going to be born out of this relationship. Like what, what, what sort of ideas, what sort of synergies, what sort of partnerships are going to be born out of this relationship, you know? And that's what, that's what's exciting. That's what's exciting. Actually, Dan. It was Dan who said on my show, it's like the most powerful thing I have is the people on my phone.

[A]

Right.

[B]

You know, like your networks are truly your net worth.

[A]

And because at some point you stop looking for new people. You stop, like, let's say you, you need a lawyer. You don't Google top lawyer. You need somebody that's going to help you with mortgage company. You don't Google it. You get your phone and you're like, okay, let me ask my circle of influence. Hey, do you guys know top lawyer? Do you guys know a top mortgage person? Yeah, this guy. This guy. And boom. You just. Referrals only.

[B]

Yeah. And that's where we're at. Thankfully, we have that blessing where we can work with our inner circle.

[A]

You're like the Egyptian version of me here in Irvine.

[B]

Yeah, I should call myself the Egyptian principal area prince of Irva. Oh, it'd be Newport beach for me. Yeah. So I'd like to start the show off with a couple opening questions. And what's a like just the 20,000 foot overview of the Preciado empire.

[A]

You're talking about the headquarters, all your.

[B]

And all your companies. What do you, what, what do each one do?

[A]

What headquarters is like 20,000 square feet?

[B]

Oh, yeah.

[A]

The floor that we have right there.

[B]

Oh, it's literally.

[A]

Oh, on the sun. Nearly 20,000 square feet. So what we started creating was, I used to call it my triangle because I didn't before, you know, I started into business. I don't know much about business, but I'm just, I'm hungry. I'm hungry, I'm humble and I'm coachable. So I've always been like that. So I want to learn. But at first you got to make mistakes. So I'm starting, I'm calling it a A triangle, because I have mortgage, I have real estate, and then I have driven, and then, you know, that's vertical integration. So I started a vertical integrating a lot of businesses that feed each other. Yeah, Mortgage was my first company because I was a loan officer. I was a loan officer when I was 19, 20 years old. So I started in mortgage, and then I was just a loan officer. I was getting my commissions. And then 2008 happened. When 2008 happened, I lost everything, became homeless. I slept in the Ford Explorer for two months. So two months I was sleeping in the Ford Explorer with my now wife, Sil. And I just didn't want to quit. So I didn't want to quit the mortgage space. I stayed in the mortgage space, and then I recovered. And then slowly, you know, it started getting better. And then 2013, I get a call from a rep, a lender rep, her name is Gina Carr. And she tells me, hey, Albert, you should start a mortgage company. You're very, you know, you're an entrepreneur. And you think like an entrepreneur. And I didn't even think about it. Like, I didn't even. I wasn't even thinking about being a business owner. Although I did read the book rich dad, poor dad when I was young, you know, when I was 19 years old. And I always thought about it, but I never really thought I would ever be a business owner. So I said, let me go for it. Let me do it. I googled how to open up a mortgage company, and I just winged it. And then we start the mortgage guy. And then problem after problem after problem after problem. And long story short, I know you said I was a real estate investor. I was a real estate investor. I bought. Over time, I bought 18 properties. And then what happened is, year one, year two, year three, I'm going out of business in mortgage because it just doesn't make sense. I'm making less money than when I used to be a loan officer because now I have all the expenses, liability. I get the lawsuits, I get all the problems. So I end up selling all things.

[B]

We'Re working on solving.

[A]

Yeah, yeah, you're. You're always solving for X, solving for something. So I stop, I start selling each property one by one until I sell all of them, which net. The net of that was 2 million bucks around there. So I had $2 million that I got from selling all the properties just to pay and survive the whole mortgage upcoming. And then after. After a few. After years, right, we. We started. So 11 years Ambiance Realty has been active in business for nine years. For 11 years. That's the real estate company.

[B]

Yeah.

[A]

Mortgage guys is going on 13 years and then driven enterprise is going on nine years. So we started those three companies, we started doing the events and then the events helped us recruit more agents, helped us get more customers, and now we're here.

[B]

You've been doing a great job and then you've also done a great job with just the brand, the Albert Preciado brand, all over social media, big following. Big social media following. And it's very rare in our space. And I was talking about this with you earlier, there's just not a lot of people who have a big personal brand in our space.

[A]

Right.

[B]

You know, there's just, it's just not something that we have really embraced in our space. Obviously I've been campaigning a lot for that and I'm sure you have too. So we're going to see hopefully some massive changes and it's good to be leaders on that forefront in our space. And I also like to follow up that question is with, with another question, which is what is Albert Preciado's morning routine? What is your morning routine? What do you do every single morning?

[A]

It's changed over time. But what I, what I do is I get three days out of one. So my most important day is the morning. The first part, which is so I get day one is from 6 in the morning till 12. My second mini day is from 12 to 6 and my third mini day is from 6 to 12. So sometimes it's 6 to 12, you know, 6 in the morning till midnight, but sometimes it's 5am till 11pm So I sleep six hours. But my first mini day is my, my morning which is 6 to 12 on, on the average. And what I do though during those, during the first day is I focus on the important things. I, I work on myself, I work in the business. And what, what's working on yourself, Working out, you know, what's working in the business. Working on systems, on processes, on the next innovative campaign, what's going to be the next disruption that you're going to create? So that's what I like to do before 12.

[B]

Compartmentalize your day. Yeah, into three day.

[A]

Like, like I'm not going to do a podcast at 10 in the morning. I'm not going to take meetings at 10 in the morning because then that, I just lost my, my most important part of my day. So all of that training, meetings, podcasts, they have to happen after 12. So 12 to 6, that's the time for that. And then 6 to midnight is when I have dinners. And usually dinners, I either go with my wife or I like to have dinners with other future or current business partners. Because I feel like if you go to dinner just to have dinner, you're wasting an opportunity to create another relationship. So I like to take advantage of dinners.

[B]

That's awesome. That's awesome. So I like how you and I love asking that question because everyone does their morning routine different. And everybody just. Every time I ask that question, I.

[A]

Don'T do cold plunges. I don't do any of that shit.

[B]

You know, that's all. I don't think I've talked to one guy that goes, I wake up. Actually, no. Maybe I asked one person. He did. I've had so many founders and CEOs here, and everyone does their morning routine different. And there was only one guy that did the cold plunge.

[A]

Yeah.

[B]

And he had it in his house and he just got it installed. And he just got on that kick. Yeah, man. But I can't do. I'm from Egypt, man. We're like, We're. We don't do cold. You know, I do the sauna.

[A]

I mean, I. I rather get in the jacuzzi than a cold plunge.

[B]

Yeah, I mean, that sounds painful.

[A]

I don't need the cold plunge to wake me up. Like, when you wake up, you wake.

[B]

Up a cold shower, which I hate. We had the hot water not working yesterday. I had. I had to take a cold shower. And that. That was already, like, it was punishment.

[A]

Reminds me when I was broke. I don't need to remind myself that I'm broke. Jumping into a cold plunge.

[B]

Yeah, it's like, really dissatisfying.

[A]

I mean, if you need motivation and you need to get on a cold plunge to get motivated and to wake up, I think you have bigger issues. That's like, I wake up motivated. I'm like, shit. Like, I. You know, most of the time I wake up and I feel like shit. By the way, can we. Is it fine if I say or.

[B]

Yeah, it's fine. Yeah.

[A]

Yeah. So, like, I wake up. I wake up and I. And I feel like, wake up. First thing I do, take a piss. And then I'm like, okay, I'm up. So I want to feel better. I start my day, then I'm thankful that I'm alive because you get one more day of life. But every day, every day, I want to live it like it's my last day. So. Two things I always do. Every single day I live my life like, it's my last day, and I never leave home without giving the kiss to my three little daughters.

[B]

Give kiss to.

[A]

Yeah, kiss my daughters.

[B]

I smother those kids. Like.

[A]

Like, I kiss. I kiss him before I leave, and I tell them I'm gonna be right back. But I always want to give him a kiss because what if one day I don't come back? At least I left the house giving them a kiss.

[B]

Yeah.

[A]

Those are two rules that I never break. Never. I could be, like, somebody, could be. Something could be happening. That's crazy. Or I might be super late to something. I'm not. I'm not gonna leave the house without giving my three little daughters a kiss.

[B]

That's awesome. Now, I like to also ask, like, out of all the businesses you could have started or, you know, began with, why'd you start in the mortgage industry?

[A]

Because that's what I knew. I didn't know anything else. And I think when you start a business, you gotta start a business that you know, or you gotta partner with somebody that knows the business. Like, it would be dumb for me or for you to go start a restaurant business if you don't know anything about restaurants. It would be dumb for you to be, you know what? Let me start a solar business. You don't know anything about solar. Now, if you partner up with somebody that knows solar, then it makes perfect sense. But you gotta understand the business you're starting because it. Cause business is very hard, and it's already hard enough. And what people don't understand. I don't know if you've been through this, but when you start a business and you've been open and active for a decade, you're gonna get lawsuits. You're gonna be. You're gonna go through a lot of times where you're almost going out of business. You're gonna battle a lot of heart attacks. You're gonna get attack, attack. You're gonna get hated. You're gonna have everything. IRS problem, state of California. If you're in California problems, you're gonna get a lot of stuff that's gonna happen, and it's gonna be a battle. So what I tell people is I have a triangle that goes up in pain thresholds. So you gotta be a level six pain threshold to make it past 10 years. If you're level three, level four, you're not gonna make it level five. You know, maybe you make it past five years, but you gotta be a level six to make it past 10 years.

[B]

That's true.

[A]

Because somebody that's Been in business for five years, hasn't been tested yet. Like, people, people don't make it past one year, two years, three years, five years. Okay, now, now you get my attention. But let's, let's see 10 years. Because somebody that's, that has been flashing and showing a lifestyle or showing some success for three years, hasn't been tested yet. They're going to go through some stuff and, and I don't think they'll bounce back. It's very hard.

[B]

Yeah. I mean, the world of entrepreneurship is not getting easier, it's just getting more difficult.

[A]

Yeah.

[B]

What do you think, like, for you, what do you think was your source of inspiration to become an entrepreneur?

[A]

My parents, My parents always wanted to buy a house. And they had, my dad and my mom, they had like 40, $50,000 saved up. And this was back in 1990. So I'm about 6 years old and 6, 7 years old. Like, my daughter Italian now. And I remember we used to go, we were looking for a house in Burbank, you know? Burbank?

[B]

Yeah.

[A]

So we were looking for homes in Burbank, 1990. You. There's houses in Burbank for about 85, 90K. Now. You don't find anything in Burbank for under a million. So we were very close to finding a house, but my parents were ne. Never able to get it because they had a. They had a bad realtor, a bad loan officer, and they just didn't have the knowledge on how to do it right. And every time they had dreams, they fell short. I used to go paint homes with my dad. I was six years old. I used to go paint with him when they had, when we had holidays, weekends, days, whatever, spring break, we. I would go with him to work. And I remember he used to paint homes in Beverly Hills, Bel Air, and nice cars, you know, all green. And I remember I asked my dad one time, hey, dad, how come we don't live here? You know, how come we live in the ghetto? Like, why do we live in an ugly place where there's shootings, drug dealings? Why don't we live here where we come paint? And he explained to me, you know, rich and poor, there's like, there's the really wealthy rich people and then there's the middle class. Like, what's the difference between middle class and poor people? It's the same.

[B]

Well, now it's the same shit is middle class is poor in California.

[A]

Like, like I was speaking at an event and I said, who's. Who's who here is Poor and very. And people like, I get a few hands up and I'm like, who's middle class? And then a lot of people raise their hands and I'm like, it's the same shit. Like, there's no difference. So my dad explained to us, to me, you know, like, hey, there's a really rich people. And I said, well, dad, how come we don't live here? How come we can't do this? How come? Like, how do we do it? And he said, it's not for us. So I was always inspired because I told my dad, hey, I'm gonna prove you that it is for us. And I asked my dad, how do you do it? How can I do it, dad? And he said, if you work harder than everybody else and you never quit, maybe you could accomplish this. And I told my dad, okay, I'm gonna show you. I promise you that one day I'm gonna be really successful. I'm gonna be the most successful. I'm gonna be the millionaire, the rich. I don't even know if I said millionaire, but I told him, I'm gonna be the richest successful person in our family, and I'm gonna show you. So my dad and my mom, they're the best parents, like anybody can ask for. Like, we, we couldn't have asked my dad and my mom super ethical hard workers. And that's what I learned from them. Hard work and being ethical. And so I wanted to do it for them. I wanted to show them that it was possible.

[B]

So your resilience, your tenacity, your grit, and even your motivation to start your own company all came from your parents?

[A]

From my parents, yeah. And my parents sent me to school. I used to take the school bus. I used to go to Granada Hills.

[B]

And back then, that was the nicer part, huh?

[A]

It was. It was nice, yeah. Because I used to live in Echo park, but before Echo park became what it is today. So before it was. It was ugly, but Granada Hills back then was like, beautiful. And this is the first time I came across, like, white people because where I lived everybody was like, Latino.

[B]

Yeah.

[A]

And over there, I went there and everybody was white. Like, you're Egyptian, but, you know, you're. You're light skinned blue eyes.

[B]

I'm real familiar with Granada Hills. I used to go there too, all the time from Simi Valley.

[A]

I'm a brown, I'm a brown guy. So I'm a brown kid. I get to the.

[B]

I had reverse racism. So I grew up in a brown community. As the only white.

[A]

We had the opposite problem.

[B]

Yeah. And everyone made fun of me for being white.

[A]

Yeah, well, I had the opposite. People made fun of me because they called me wetback. They called. They told me, go back to Mexico.

[B]

Or you just go back to Echo Park. Nobody's making fun of you.

[A]

Right, Right. But I would have turned out. Maybe it would have. Maybe I would have end up being a gangster or something like that. 18th street or 18th street was. Was the one. Or Mara Salvatrucha was for Salvadorians. I don't know. But I. I got bullied and humiliated in school. So that also motivated me because I got bad grades. People made fun of me. ESL student. They put me in. In a special ed then esl because they noticed, well, he's not special ed, but he's. He's esl. He just doesn't understand. So I. I was even more motivated going through school and. And dealing through. Dealing with all the. The bad treatment. And I said, I'm gonna leave this high school, you know, Kennedy High School. That's where I went. And I'm gonna show all these people that I'm gonna be somebody. And I started working on all the stuff that I didn't like about myself.

[B]

Nice. So you didn't go to college. You just went straight to Grit?

[A]

I went to college and I dropped out from college.

[B]

Yeah. What college was it? Csun.

[A]

Glendale Community College.

[B]

Okay, so you've seen a lot of challenges. You've. You've overcome some extreme adversity. What sort of challenges do you foresee in the future with your. Your different businesses?

[A]

I don't. Well, you're always going to have challenges. I have challenges every day. But. But I think that the biggest challenge anyone can have right now is if they don't adapt.

[B]

Yeah.

[A]

So, you know people with a lot of experience, and they say, I have a lot of experience in mortgage. I've been in mortgage for 30 years. And they're, like, all excited and pumped up about it, but they're broke. You know, they're not making. They're making less money than they used to make 30 years ago.

[B]

Yeah.

[A]

And I'm like, dude, guys, you don't have experience. You don't have 30 years of experience. You have 11 years of experience. One year of experience repeated 30 times. You haven't grown. Like, you should be embarrassed. Like, if you have 20 years of experience. 30 years of experience. Even worse. Like, you should be embarrassed because you're in the same spot in 30 years. You should have grown, you know, like, every year. You should have Doubled. And I know there's recessions, there's bad economies, and it's all right to like drop for a few years, but you gotta level up still. You gotta recover and then keep going up. Because mortgage real estate is always like this. It drops, but it's always going vertical. So 30 years of experience is no good, especially in real estate and mortgage, if you don't adapt and pivot. And what do I mean by that? You got to start using AI, you got to start using technology, you got to start using social media. You. You got to get into all the new stuff. Because if you don't, your competitors, especially the fresher ones, the younger ones, they're going to take over.

[B]

Yeah, that's what's happening in our industry. You see a lot of mortgage professionals, they just don't want to adapt. Yeah, it's such an archaic business, you know, like the ideology of adapt or die just doesn't resonate. Like, personal brand. Why would I need a personal brand? Or. What do you mean, AI?

[A]

You saw what happened to the dinosaurs. That's what I call them, dinosaurs. They didn't adapt.

[B]

I actually, it's funny that you say that. It's kind of like they talk about this. I had the CEO of Blockbuster on here two days ago.

[A]

Yeah.

[B]

And I asked him the question. I'm like, so everybody wants to know what happened with Netflix and Blockbuster. So he. No, no, it's not that. Actually, it's funny because everyone think everyone uses them as the poster child for Adapt or Die. Everybody. Like when you, like if you were to use your analogy right now, you'd go look at what happened with Blockbuster and them not acquiring Netflix. Well, that's not really what happened. What happened was they. That it happened during the 08 crisis and they had a billion dollars on their balance sheet and they, and they were, they couldn't refinance the debt, so they just had to file. BK and they actually had owned a streaming company and because they couldn't get like the bailout, they just basically went under. What, they went belly.

[A]

A billion dollars in debt?

[B]

Yeah, they had a billion on the balance sheet. They couldn't, you know, refi. It was like that. The debt was too high, so they had to refi. They had to fire. He knew. He didn't, he did. He just didn't do the bankruptcy the right way. He could have done a better job with the chapter 11. That's what he, he said that on the show.

[A]

So I could, I mean, see that. That's another thing. Like a Lot of people don't understand that A lot of these structures there. There's chapter 11 bankruptcy that you could use.

[B]

He could have done that, but 100%, their board didn't. He. He had the board, and they didn't sign off. And so. So they could have. Blockbuster could have been much bigger than Netflix because they actually own streaming at the time, and Netflix didn't own streaming. They had already acquired a streaming company, but they just had. It was just bad timing. The crash ruined them.

[A]

So, you know, people don't. Don't know. Like, I love reading. Like, I used to read a book a week, and I did it for the longest years. Like, I went on big runs. And. And you got to study history, because history repeats.

[B]

Yeah.

[A]

And that's why contacts, like, your circle of influence is really important, because you could grab your phone and you could be like, hey, friend, bail me out. I need a million dollars. I need $5 million. I need this. I need that. Jeff Bezos, He. He starts Amazon, right? And. And what happens? He starts Amazon, I think it's 1995, and he needs money. He's going out of business. And you know what he does? He sells 20% of his company for a million dollars, man. And. And that 20 million. I mean, that. That 20% that he sold for $1 million. Guess how much that's worth now?

[B]

I don't even want to think about it.

[A]

Multiple hundreds of billions. Yeah.

[B]

Best investment ever.

[A]

People don't understand, though, that the Jeff Bezos of today wouldn't be alive or here if he didn't raise or sell 20% of his company for a million dollars. And that's why business is. It's the. It's the long game, and people don't get that. Like, I'm sure you have. You have a lot of followers. You do a lot of funny stuff on social media, too. I'm sure you have some haters, right?

[B]

Dude, if I don't have haters, I'm not doing social media.

[A]

Right.

[B]

If I don't have haters, like, then I'm failing.

[A]

Yeah. So. So, like, when they came here, you told me something. You said that Albert's a very. What?

[B]

Very, very polite guy.

[A]

Very polite guy, right? Not nice guy. Yeah, I don't. I don't. I'm nice.

[B]

So. And then, no, I'm like. But you got a lot of haters, too.

[A]

Yeah. So people don't see that. See, like. Like, my. My assistant today is telling me, hey, Albert, I don't. I want everybody to like you. I don't like you get a lot of negative comments. And you know what I do? I give Chanel bags to my employees. I fly them private. I buy them Rolexes, I lend them the Ferrari, I fly their family in, I give them cash prices. I treat them out to nice places. I mean, I can go extreme loyalty. Yeah, I could go on and on. I give them equity of the company. I, I just do a lot of great, Even employees, I give, I do a lot of great things. But people, only people focus on the bad things. So I tell my assistant, hey, you know what? People are always going to like, I have way so many people that love me way more than the people that hate me.

[B]

Yeah.

[A]

But the people that hate just stands like it, it shows more like it, it, it's, it gets more attention. Good stuff doesn't get too much attention. I do something good and I post it on my social media and people talk shit. I do something bad and people are, or I do something controversial and people are like talking, talking, talking. So like no matter what I do, just the negativity, all that stuff is going to stand out more. So I tell her, hey, you know what? When you have haters, that's just people that are jealous of you, that become envious, that become haters. And then one day they're going to be like, I used to know Albert. I used to fly private in with Albert in his jet. I used to be Albert, Albert's friend. I, I, you. And then it's going to be 10 years later. But what people don't, don't understand, they say, you know what business is, is not for everybody. It's like being in the army. Like it, it goes hand in hand. You could die any, any day and it's going to be very, very dangerous. And you're going to have a lot of people that are going to betray you, that are going to lie to you, cheat, gossip and just, they want to see you fail. But the biggest revenge is going to be massive success.

[B]

Massive success.

[A]

And that's what drives me.

[B]

I love the haters.

[A]

Yeah, me too.

[B]

Haters keep coming.

[A]

We should have a haters party.

[B]

Yeah, we should. Yeah, we'll do an event for the haters.

[A]

Like haters come in for free because they're the biggest cheerleader. They're the biggest cheerleaders that you'll find.

[B]

Because they're giving you free content. Like they're, they're posting on your stuff.

[A]

They'Re, they're helping your algorithm.

[B]

Yeah.

[A]

And you know that people that love you, they watch your content maybe one hour a day, or maybe 30 minutes a day, or maybe even a minute a day. So, for example, like, I barely met you, but you're a cool guy, man. I love what you stand for. I love what you do. I could tell you're a good human. I'll watch your content five minutes a day, two minutes a day.

[B]

I get two minutes of your time. That's awesome. We become like brothers at that point.

[A]

And I'll watch it and whatever I see, I'll make a nice comment because I'm just busy, you know, I'm busy. I'm creating, I'm posting stuff. I'm having people react to me. I'm not reacting to other people. But the haters, they watch your content like five hours a day. They wake up to you, they go to sleep to you. They're taking time out of their day to comment. A paragraph talking about you. That says more about them than you. Like, they are. They are obsessed with you. And I'm like, wow. Like, I'm using them. Like, I'm using them to increase my social media algorithm. Like, they're my fans. So I want to thank the fans. Like, the haters are the biggest fans. I love them. I appreciate it.

[B]

They work the hardest for you, really hard.

[A]

Yeah, they take time out of their day to just comment. So thanks for the comments.

[B]

On that note, is there like a mantra that you live by in your head, like, outgrown everybody or something? Like a mantra that just runs in your head every day.

[A]

You got to stay driven. When you stay driven, you're unstoppable. Once you lose your drive, you're gonna get stopped. So like me, I'm always driven. Like, I wake up driven. That's why we named the our event Driven. Because that's a big community, a large community of driven individuals. And if you're driven, you'll accomplish any of your dreams.

[B]

I love that. And you've managed to do that.

[A]

I mean, you people, like we were talking about, like, why do people, like, criticize or comment so much, hate things like that? Well, you gotta. You gotta understand where they're coming from. You know, like, there's people, there's people that haven't been tested yet. People that have a nice lifestyle for two years, three years there. They have a lot of followers and they're kind of like the new kids on the block. Yeah, but you have people that have been doing that for a decade or more. Like that, to me, is what gives you the credibility. They've been doing that for so long. So it comes to a point where they're like, hey, this guy has been driving Ferraris and Rolls Royces for five years. And it gets on their nerves. And then they leave your company, and then they want to see you fail. And then it's like, shit, it's already 10 years. He's still driving Ferraris and he's still there. And it gets more. And then they become. It's almost like they want to see you fail. They live their life. Their purpose is to. I want to see this person fail. Because why? Just because they're envious. Because they see in you what they want to have, but they are not willing to put. To sacrifice, to put in the hard work and to not give up. You know, most people give up on their dreams. So that's why when you're driven, you're unstoppable. Anything is possible.

[B]

It's not just the sacrifice. It's like the suffering. How much suffering you endured.

[A]

You battle heart attacks, you get attack. Like, it's a lot of things.

[B]

It's like, people don't know even now. Like, like, oh, he's got millions of followers. Like, people don't understand. Like, I get turned down every day creating content, like, because I'm doing man on the street content. Like, it's.

[A]

Yeah.

[B]

It humbles you.

[A]

Yeah.

[B]

Like, I'm like, here I am. I'm, like, here. I'm this big CEO with, you know, tons of employees or whatever. Like, yeah, hi, Mr. Shelby, whatever. And, like, on the street, like, I'm spit on. Yeah. And it's. It grounds me. But that.

[A]

But that, that. That. That also makes you better.

[B]

Yeah. Because you're not.

[A]

You're not scared of doing anything. You're not scared of approaching people or.

[B]

But that's what it takes if, like, people want to be creators. Like, you got to get out of your comfort zone. There is no comfort.

[A]

But you're a good sales guy. When people ask me, hey, Albert, how did you become great in sales? Because, like, I'm good in sales, you're good in sales. And the thing that I tell people is you gotta talk to strangers. So what I tell, like, for. Especially for men, I tell. And men or women. Like, let's say you're a man. And think about the worst sales guy you've ever met that doesn't talk, doesn't dress good, smells bad, doesn't comb his hair, and is just very, very insecure. And then, like, the biggest introvert. Right. So how do you get him good in sales? So I tell I tell these people, hey, find the best nightclub. What's the best nightclub here in Irvine or Newport?

[B]

Newport. We got one nightclub, it's called Time Nightclub. It's in Costa Mesa.

[A]

Limelight.

[B]

Time. Time.

[A]

Time. So Time Nightclub. So go to Time Nightclub. Yeah, and then what I want you to do is identify the three hottest chicks. All right? So find the three hottest chicks and then make it a must that you gotta close one of them tonight. And by closing, you know you're gonna close them, you're gonna get their number, you're gonna take her home, whatever. But practice the first night, you're gonna married. Well, don't take them home. Just play a game and get their number and. And then. And then. And then see how far you can go.

[B]

And that starts a lot with one self confidence, like, you have maintained good composure, good health, good fitness. Like a lot of married guys or a lot of people in the mortgage industry, like, let themselves go.

[A]

Yeah.

[B]

Eat junk. They eat fat. They don't. Definitely don't read the ingredients on anything. Like you were reading the ingredients on, like, you know what protein bar you're gonna eat.

[A]

What you don't track doesn't improve.

[B]

Yeah. So, you know, we got a lot of people, like, just like, let themselves go be slobs, guys. One of my mentors always taught me, you know, you always gotta be two weeks out of divorce, like, which means you got two weeks to hit the streets. That's your divorce, you know, like, you gotta be, like, on your A game at all times. Basically, like, ready, you know, because, you know, your wife could leave you at any time. You got to be ready to. So that. But that concept, that thought process applies to, you know, always being at peak performance. Performance, right. Always be at your peak performance, mentally, physically, emotionally, spiritually. Now you got three daughters. And one thing I like to always bring up with parents on this show is how are you instilling? Because me and you, we grew up dirt poor, so grit came almost naturally. It's almost like a superpower to be poor, Right?

[A]

Yeah.

[B]

One thing I always work on and try to improve because I got four kids, you got three kids. Is how are you instilling that same level of grit into your children?

[A]

Well, I'm not. I'm the first one to tell you I'm not perfect. I. I'm. I'm the. I'm soft with my girls. I'm the type that they're like, hey, daddy, I want. I want to have a treat. Hey, daddy, I want to get. I want some coins for My Roblox or.

[B]

Yeah, I need Robux is what you're talking about. You want Robux?

[A]

Is that what, Is that what it is?

[B]

Yes, Robux.

[A]

It's that game on the iPad where they buy coins and things.

[B]

You could spend, by the way, millions of dollars on that game.

[A]

Yeah, so I'm probably one of those. But, but so what, what I, what I do. So I'm, I get, I get soft with my girls, you know, because.

[B]

Easier to get softer with girls than boys.

[A]

But, but what I do is like sometimes I, I try to, I try to make them earn things. So I'm like, okay, well, we're gonna get some coins, but you're gonna do this. You have to clean up your room. You have to finish like they want. You want to get something sweet? Okay, well, you got to eat your food. But also we're very good because I let Sil, my wife, she's the one in charge at home, so she's in charge of what the girls are going to do, and then I'm in charge outside at work. So, like, she is. It's what mom says. But, but like, for example, I'll give an example. If you have, you have, you have kids as well. What do you do when one of your kids comes to you, whether it's girl or boy? And. Well, let's just say you're two boys, right? One of your boy comes and he says, hey, my brother hit me. What, what do you tell him?

[B]

We reprimand the boys, but they always hit each other, by the way. They're like, always. Actually my top, my 4 year old is always hitting every kid. Yeah, you know, he's fighting the whole.

[A]

But if one of your, your kids comes, like, whether it's the sister saying, hey, she comes crying and she tells you, my sister hit me. What do you tell your, what do you tell her?

[B]

Well, we do like a timeout thing, make them stand in a corner.

[A]

You believe, you believe her? What if. Well, because usually it's no, she hit me first and things like that.

[B]

No, we confirm. Yeah, we definitely confirm. Usually we catch them in the act too.

[A]

So like, one of my daughters comes and Berlin's like, italia, hit me. And I'm like, okay, hit her back.

[B]

Are you telling. Smack him back? Yeah, well, the girls fight, hit her, hit her back.

[A]

And she's like. And at first they're like, so, so then I'm like, well, you what, what are you gonna do when, when you're, when we're not here? Like, like you, you, you got you guys, you girls have to figure it out. Like you gotta. And then what we do is we also get them both in trouble. Okay, you hit her, you hit her back. Now both of you are in trouble. So no iPad for a week and they both get punished. So then it's like a team thing. So like, hey, if we're on the same team because if one of us does something bad to the other one, now you're both in trouble.

[B]

I like that strategy. Yeah, I like that strategy. Now I want to ask you this. You've built some good wealth already, right? If you were to go back to your 20 year old self, what would you tell your 20 year old self how to build. How. What would you tell your 20 year old self to build wealth?

[A]

Just stay away from drinking, from drugs and from women and focused on, on reading, getting a mentor and building businesses. You got to build businesses if you want to make a lot of money. You either have to be an employee or, or somebody that works for the company where you get equity, you get equity of the company or you got to go start your business. If you're going to be an employee and not get equity, then you're always going to be broke. So if you want to stay broke, stay an employee. Now you could be an employee, but you got to work for a company that gives you equity. If not, then you got to go out there and start a business. But you gotta have the, you gotta have the knowledge, the blueprint, the mentor.

[B]

Yeah.

[A]

And how do you do that? It's all written in books. Like things don't have to be recreated. Copy the blueprint, copy what works.

[B]

Yeah, I love that. You always invest in mentorship.

[A]

Yeah, I've invested over a. Not 8 billion, 8 million, 8 million bucks in mentorships. And I can, I can break down the way I did it, but stay away from drinking alcohol, stay away from drugs and stay away from women. Once, once you, you accomplish what you want to accomplish, then maybe you could celebrate a little bit. Maybe it's time for some. Go, go enjoy a nice glass of champagne. Go, go enjoy. Go to that. What's that club again?

[B]

Time.

[A]

Go to time and mess around with some, some hot chicks. But I mean, don't, don't waste your early years, your youth in that. Like use it, spend it at building a business. And that way when you, when you get older, you're gonna have something big.

[B]

I love that advice. Those of you who are 20 years old take that advice. That is golden nuggets right there. What's your favorite quote.

[A]

My favorite quote. Don't be a little.

[B]

That speaks volumes, by the way. Yeah. And like, for your girls, do you think it's still important for them to go to college?

[A]

No, they're not. They're not going to college.

[B]

No need, huh?

[A]

They don't even go to. They don't go to a normal school.

[B]

They go to home school.

[A]

Yeah, they. They get home school. The teacher comes to the house.

[B]

Did you get that concept from Grant Cardone?

[A]

No, I learned a lot from Grant. Like, I love Grant, but I think he. For sure he did that. I know he did that. And in the way I kind of did see it, he was one of the people that I saw that did that. But we. What made us decide to do that was number one. I. I don't like the way school is now. It's worse than it was before.

[B]

Yeah.

[A]

I don't like how there's a lot we could get into that in deep dive. But I just one, if somebody's gonna mess up your kids, it's gonna be me and. And mom, Me and Silver.