Digital Social Hour: How I Built A $1 Billion Investment Portfolio | Chris Graebe DSH #782
Release Date: October 5, 2024
Host: Sean Kelly
Guest: Chris Graebe
Introduction: Chris Graebe’s Transformative Journey
In episode #782 of Digital Social Hour, host Sean Kelly sits down with entrepreneur and investor Chris Graebe to delve into Chris's remarkable journey from a party-driven lifestyle to building a $1 billion investment portfolio. Chris shares his personal transformation, the pivotal moments that shaped his path, and the strategic decisions that led to his success in the investment world.
From Party Life to Spiritual Awakening
Chris begins by recounting his early years in a small town in Indiana, leading a life filled with parties and rebellious behavior. He describes his transformation after a profound spiritual encounter.
Chris Graebe [00:34]: "My story is like Forrest Gump, man. I have literally done so many different things in my life... Had a pretty intense encounter, met Jesus, became a Christian, and everything changed."
This newfound faith led him to starring on MTV's Road Rules, a position that paradoxically aligned with his changed lifestyle. Chris discusses how he maintained his integrity despite the show's challenging environment.
Chris Graebe [01:56]: "I knew who I was and what was happening... I was not going to do this wrong on national television."
Balancing Faith and Career: Pastoring and Beyond
After his stint on MTV, Chris transitioned into pastoring for nearly a decade. He shares insights into balancing his spiritual commitments with family life, including a unique period where he managed a yo-yo performance act to entertain students worldwide.
Chris Graebe [05:12]: "I never picked up a yo-yo before, but these guys saw potential in me... It was a fun little stint, but I wanted to be home with my kids."
With five children, Chris emphasizes the importance of family over personal ambitions, advocating for long-term fulfillment over short-term gains.
Chris Graebe [06:11]: "Kids are the greatest barometer to someone's selfishness... it's just a wasteland. I think it's just one of the most selfish things you can ever do is to decide not to have a kid."
The Shift to Investing: Embracing Equity Crowdfunding
Chris's transition into the investment world began with an e-commerce venture in 2015, followed by his discovery of equity crowdfunding in 2016—a game-changer that democratized startup investments for non-accredited investors.
Chris Graebe [14:40]: "Equity crowdfunding is newer than crypto... It's only been eight years, and it's starting to gain traction."
He explains the mechanics of equity crowdfunding, highlighting its potential for significant returns compared to traditional venture capital.
Chris Graebe [16:33]: "I've invested in over 25 companies... 25 out of 27 are still in existence."
Notable Investments and Success Stories
Chris shares success stories from his investment portfolio, including Beatbox Beverage, which saw exponential growth post-investment.
Chris Graebe [17:21]: "They were doing around $7 million in sales when Cuban invested... last year they did $100 million in revenue."
Another highlighted investment is Cipher Tax, an innovative company disrupting corporate finance and tax sectors with AI-driven solutions.
Chris Graebe [21:31]: "They're going to disrupt corporate finance tax as we know it... their burn rate is almost nothing."
He also discusses Beehive, a newsletter platform that successfully raised $1 million from its audience in just two hours, showcasing the power of dedicated investor communities.
Strategic Investment Philosophy: Patience and Due Diligence
Chris emphasizes the importance of patience and thorough due diligence in equity crowdfunding, contrasting it with the high-risk nature of day trading and cryptocurrencies.
Chris Graebe [22:32]: "You have to have patience in this game. This is not day trading. This is long-term investing."
He outlines his meticulous investment process, which includes on-site visits, comprehensive assessments, and providing detailed reports to his investor community.
Chris Graebe [24:07]: "I fly to the companies, shoot videos, meet the team, check out the facilities... I deliver it to my members."
Future Outlook: Anticipating the Next IPO Boom
Discussing market trends, Chris predicts a resurgence in IPO activities post-2026, driven by companies scaling up and retail investors seeking growth opportunities.
Chris Graebe [27:28]: "After '25 or '26, we'll start to see IPOs pop again... especially for those in equity crowdfunding."
He advises retail investors to explore equity crowdfunding as a viable investment avenue, noting its potential for substantial returns compared to traditional investments.
Chris Graebe [28:20]: "People should definitely check out the world of equity crowdfunding... average person could invest a couple thousand bucks and see significant returns."
Advice for Entrepreneurs and Investors
Sean and Chris engage in a vibrant discussion about entrepreneurial strategies and investment approaches. Chris encourages diversifying investment portfolios and leveraging equity crowdfunding to support innovative startups.
Chris Graebe [36:29]: "You can pop probably a couple of shows... build a media company with multiple personalities."
He also offers mentorship to entrepreneurs, sharing insights on avoiding pitfalls like excessive cash burn and maintaining sustainable growth.
Closing Thoughts: Empowering Through Investment
As the episode concludes, Chris reinforces his mission to educate and empower everyday investors through equity crowdfunding. He invites listeners to explore investment opportunities alongside him, emphasizing the transformative potential of accessible investing.
Chris Graebe [40:09]: "If someone wants to learn about this world of startup investing, I'm here to educate and help them understand how it all works."
Sean wraps up the episode by encouraging listeners to visit Chris's platform and consider the investment opportunities discussed.
Key Takeaways
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Personal Transformation: Chris Graebe's shift from a party lifestyle to a spiritually grounded life set the foundation for his entrepreneurial and investment success.
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Equity Crowdfunding: A pivotal investment avenue democratizing access to startup investments, allowing non-accredited investors to participate and potentially reap significant returns.
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Strategic Investing: Emphasizing patience, thorough due diligence, and long-term vision over quick, high-risk trading strategies.
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Success Stories: Investments like Beatbox Beverage and Cipher Tax demonstrate the potential of equity crowdfunding to yield substantial financial gains.
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Future Opportunities: Anticipating a resurgence in IPOs post-2026, driven by sustained investment in innovative startups.
Learn More
For those interested in exploring equity crowdfunding and investing alongside Chris Graebe, visit The Crowd Co. and follow Chris on his social media channels. Dive into the world of startup investing with guidance from a seasoned entrepreneur and investor.
Join Sean Kelly and Chris Graebe on Digital Social Hour for more insightful discussions with industry experts and successful entrepreneurs.