PODCAST

Business Roundtable

Matt Battaglia

Business Roundtable with Matt Battaglia - The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving. We Profile the current Players weekly in an Interview format to give you an inside look, to learn from their own experiences. - Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech (AI, VR, Biotech, Chips, Electric Battery), Blockchain / Crypto, Real Estate, Legal, Vehicles, Franchising, Farming, Sales, Charity Please Subscribe. Thanks for Listening. - More Info: https://www.economicknight.com/podcast-brt-home/

BRT S03 EP20 (119) 5-15-2022 –  Blockchain Mass Adoption thru Casper Labs w/ Mrinal Manohar
BRT S03 EP20 (119) 5-15-2022 – Blockchain Mass Adoption thru Casper Labs w/ Mrinal Manohar   Things We Learned This Week Casper is designed to accelerate enterprise & developer adoption of blockchain technology today and evolve to meet user needs in the future.Blockchain: key features are missing in the industry, that hinders enterprise adoption, ease of use + speedBlockchain – best form of copy / data / IP protection (Smart Contracts)Blockchain will cost more because the security, and copy protection is betterFees in Blockchain are expensive & inconsistent, there is a need to standardize and make predictable       Guest: Mrinal Manohar, Casperlabs CEO https://www.linkedin.com/in/mrinal-manohar-84422a9/ https://casperlabs.io/ https://casperlabs.io/company/meet-our-team https://www.youtube.com/results?search_query=Casperlabs+CEO%2C+Mrinal+Manohar   Mrinal Manohar is co-founder and CEO of CasperLabs. Mrinal Manohar has an extensive career as both a computer programmer and a finance professional. Before founding Casper, Mrinal was a principal and the technology/media/telecom sector head at Sagard Capital, a ~$1b long-only hedge fund. Mrinal also previously served as a private equity associate at Bain Capital in Boston, and as an associate consultant at Bain & Company. Mrinal has been personally investing in the blockchain industry since 2012 as a seed investor in Ethereum, Blockstack, Basis, Maker, Filecoin, and more. Mrinal holds a Master of Science degree from Carnegie Mellon University.   Why Casper? The Casper Network is the first live proof-of-stake blockchain built off the Casper CBC specification. Casper is designed to accelerate enterprise and developer adoption of blockchain technology today and evolve to meet user needs in the future.   Enterprises need to be blockchain ready in 2022. CasperLabs works with enterprises of all sizes to ensure they are ready to integrate a secure and trusted blockchain. Blockchain technology is on the brink of its next breakthrough. But from the perspective of developers who actually decide if, when, and how to use a particular blockchain, the key features are missing in the industry, and that hinders enterprise adoption of blockchain technologies.     Davos -May 23-25 World Economic Forum There is a lot of thirsty talk about Metacask and its recent $2.3 million-dollar sale of a Macallan whiskey cask NFT.    Blockchain Hub Davos will host several events over the three days as key stakeholders gather and discuss the latest trends in the Digital Asset Ecosystem, DeFi, Blockchain Enterprise Solutions and NFTs in media, art and sports. Panel discussions and networking will also take place daily. Guests will enjoy drinks and food throughout the day. As part of the festivities, CasperLabs will also be conducting an auction of a premium single-malt whiskey cask. The winner will also receive a bottle of the rare whiskey with unique Casper branding. The auction comes following a successful partnership with MetaCask to build the world’s first digital marketplace for premium whiskey cask investment. A double-size cask of 1991 Macallan Single Malt Scotch was recently sold for a record $2.3M on the blockchain in the form of an non-fungible token (NFT).   Notes: Casper Labs crypto coin - OSPR CTO - Medha Parikar Mrinal background - Computer Science, worked on Wall Street, then Bain Capital in PE and M&A, Investing in crypto and Bitcoin since 2012, Early investor BC and ETH   Casper Labs, started in 2017 – idea, created by 4 people, then hired 10 developers Self funded initially, then Raise funding Full Deck, 2 months coding   Block chain – best form of copy protection Digital assets copied easily Best b/c distributed Platform (shared) for collaboration Transactions – finance Sharding –spread out computational storage workload Gas fees – energy use, ease of use B2B adoption. Example: like HTML Cross Chasm Analogy Private block Con – block chain will cost more because security/copy protection is better. No referee in system – faith in many economic incentives. Hacks – fringe, external Block chain – multiple watchmen Example: 2008 financial crisis. In block chain, everyone would have seen Block chain is technical, transparent – harder to hide. Casper Labs built network more efficient – faster and easier. Security to network Proof of work – lots of energy, code and data, inefficient.  70% consensus 80/20 – proof of stack – opposite, more efficient Create a block – transaction, 70% consensus to create block from network Staking – like putting up a band and earn fees on it. Cheaters (double spend) are punished. Fees – in block chain expensive and inconsistent. Need to standardize and make predictable. Coin base – fees to move money. 1-4% + fee to network (to minors) who supply hardware and secure network. Fees in banking / trading used to be higher percentage to basis points now. Volume goes up,  price goes down. Fees down, energy down over time with proof of stack. ETH (for 5 years) shift to proof of stake from proof of work - different hardware Casper wants mass insurance, finance, smart contracts. AWS and AZURE – cloud, both big and small companies can use, can scale. Open permission-less product. Block chain – language and coding, most people are unfamiliar. Documentation is bad. Hard to test, most blockchain not enterprise ready. Forward sustainability – cannot change past - ok. Bug – future cannot be changed Smart contract – automatic, but cannot update yet. Need to modify. Solve bug of future change for enterprise. Asset class creation – new industry of block chain – need attorneys, banks, consultants, coders, security. Smart contract – fractional ownership in real estates. Casper Labs.io – Casper.network (Swiss) Twitter Enterprise Partners – with big corporation Davos 5/23-25. World Economic Forum education about Casper and block chain leaders of industry and leaders of government. NFT – should be linked to actual and unique digital or  real (hard) asset with value . Method copy protection, authentic certification. McCallum whisky cask NFT (200 liters = 300 bottles) Napter / Metalica controversy of circa 2002 would not happen if had NFT. How many artists did not get paid for their work? No residual fees – now can have fee ongoing with NFT – 5%for ALL sales Can be multi party – artist has say in sale Interlectual Property Change IP world IP We – Patent Marketplace – open and transparent. Know owners and license in easy manner. License tech directly. Art Forgers will be put out of business. Block chain will be like the internet in the future – take 10 years. Internet, websites, torrent, file share, java, flashplayer  - all complex in past – now streaming – Netflix, HTML, smart phone, YT. Simplicity is one of the most complicated thing to do. Get quote. Automate everything for user. Crazy innovators – need to thank them. BC – digital gold, hi tech store of value BC and ETH are the block chain now but could be overtaken. Energy and storage will improve – All of the above and renewables Need more predictable energy – Need block chain specific hardware Google built their own machines to process. Set of chips and hardware for specific hardware Casper Labs.io – for developers section Open source code and paper.         Crypto / Blockchain Topic: https://brt-show.libsyn.com/category/Crypto-Bitcoin-Blockchain   Best of Blockchain / Crypto: Here   Tech Topic: https://brt-show.libsyn.com/category/Tech-Startup-VC-Cybersecurity-Energy-Science   Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT     Thanks for Listening. Please Subscribe to the BRT Podcast.      Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Yesterday
1 hr 12 mins
BRT S03 EP19 (118) 5-8-2022 –  From Seed to Success in Cannabis Cultivation w/ Ryan Douglas
BRT S03 EP19 (118) 5-8-2022 – From Seed to Success in Cannabis Cultivation w/ Ryan Douglas   Things We Learned This Week Cannabis Cultivation: ops setup, farm, greenhouse, or indoor facility, need a Master GrowerMaster Grower: an informal/unofficial certification or status within the legal cannabis industry. It is conferred by several different organizations both in classroom settings and online to prepare individuals to oversee all aspects of a marijuana growing enterpriseCannabis Startup: take 3 years ETA, funding of $2 to $10 million+Facility Setup: size of 10k to 20K square feet, land selection, use of space, climate control, lighting, tech monitorMITA-AZ, the Arizona Marijuana Industry Trade Association, the state’s first and largest industry trade association.       Guest: Ryan Douglas, Douglas Cultivation https://douglascultivation.com/ https://douglascultivation.com/services https://www.youtube.com/results?search_query=ryan+douglas+cannabis https://www.linkedin.com/in/ryandouglascultivation/   THE RYAN DOUGLAS DIFFERENCE Unprecedented Credentials in the Industry   As Master Grower from 2013 to 2016, I directed cultivation for Tweed Inc., one of Canada’s largest producers of cannabis and the flagship subsidiary of Canopy Growth Corporation. As one of the company’s first employees, I helped drive the organization’s early success by designing the production facility, selecting the genetics, and hiring and training staff to produce 70,000 plants and process 6 tons of dry cannabis annually.    My work at Tweed has been featured in Vice, New York Times, Bloomberg News, and on National Public Radio.    Deep Roots in Horticulture - Before entering the cannabis industry, I spent 15 years as a commercial greenhouse grower of ornamental and edible crops. As Head Grower for a commercial greenhouse near Boston, I developed and executed a production plan for raising 600,000 plants annually.   These experiences, along with consulting projects across the globe, have provided me with a rich toolkit of best practices for helping clients launch and expand their commercial grow operations.   Book: From Seed to Success – How to launch a Great Cannabis Cultivation Business in Record Time https://douglascultivation.com/seed-to-success Launching a cannabis cultivation facility is no different than starting any other commercially produced agricultural crop, but the excitement and potential for big profits can lead to lapses in judgment that prove devastating for many start-ups.  An entrepreneur does not need to be an expert grower to launch a thriving cultivation business, and most problems can be avoided through the application of basic business principles and good management practices. By utilizing the advice, checklists, and templates found within this book, cannabis entrepreneurs can skip the typical start-up mistakes and enjoy the shortest path from seed to success.       Notes:   Ryan Douglas – Cannabis Consultant Ryan background - Master Grower with Tweed, Inc, Articles, interviews, speaking A Master Grower is essentially an informal/unofficial certification or status within the legal cannabis industry. It is conferred by several different organizations both in classroom settings and online to prepare individuals to oversee all aspects of a marijuana growing enterprise. Horticulture background pre-Cannabis, growing crops Cultivation consultant – 4 years North America Book – From Seed to Success – potential yield forecast pg 45. 20 K pounds/year Land selection - Ch. 4 – location, discretion, security, distance. Cannabis Industry – uses of Hemp Starting a Cannabis business – mentality, 3 year time line Startup Funding - $2 million seed. Money is recaptured. VC and expansion – where to get money - Benzinga Investor conference in FL to find funding Existing business – advisor to optimize businessNew companies – strategy, plan, setup. Ryan consults on smaller projects – 6 months to 1 yr + ETA – probably more like $10 – 20 million startup $, and retail, to create special extraction Ryan works with start-ups at beginning. Plan fundraise, and strategy Growing techniques – define a master grower – 5 harvests per year Product quality and regulations – best way to grow. 100K square foot facility. Build and use of space, greenhouse or farm. CBD – pass, grow hemp and high THC flower. Tech used – Genetics. Cultivation Team, Grower. Grow Pods. Cap ex – pg 35 Operations challenges – Business plan and licensing. Business risks pg 12. Single or double grows Facility setup = greenhouses, vertical farming, hydroponics, lighting – grow lights, temp, humidity. Hybrid – conditions like AZ (warm) Canopy Growth Canada Cannabis Conference – MJ Business Con in NV (fall) Facility example - 100K sq ft. is large, average 10K sq ft.                                                                                                         5K half to plant products, other half, walkways, offices. $400 sq ft to construct and equipment ETA – 18 months for construct and retrofit harvest. Research with legal and realtors for land zoning and location to city States w/ Low taxes, but good commute (45 minutes) to facility, near a city Climate – warm, CA, AZ, dry. Indoor facility control 100% - 68 degrees and 50% humidity. Tech sensors and thermostats – CO2 sensor HVAC units to cool room, de-humidification, water system – CO2 supplementation Large facility – 2 work shifts, 8 hours each none at night Indoor has more control, but takes more energy. Cannabis grows more indoors Greenhouse – combo of indoor / outdoor techniques for growing Harvest – growing 2-3 months, 3-4 times a year or 5-6 harvests are possible / year Sweet spot – client has license, funding and facility     Connected at 3/30/2022 MITA AZ event - Hosted by Demitri Downing Clip from: BRT S03 EP13 (112) 3-27-2022 – Cannabis Supply Chain & License Structure in AZ w/ Demitri Downing of Marijuana Industry Trade Association (MITA AZ) Full Show Link: HERE   Guests: Demitri Downing w/ MITA AZ https://mita-az.org/ https://www.linkedin.com/in/demitri-downing-5250531/ Demitri Downing is a former prosecutor and industry registered lobbyist who is part of the original vanguard of Arizona medical marijuana industry leaders. Dedicated to building a vibrant and successful market, Downing has distinguished himself as a vested industry expert and influential trailblazer. With a strong understanding of both policy and operations on a local and international level, Downing was instrumental in drafting Prop 205, Arizona’s 2016 legalization bill and currently serves as an advisor to the 2020 Arizona recreational initiative committee. In May of 2016, seeing the need for strong State level industry associations, Downing founded MITA-AZ, the Arizona Marijuana Industry Trade Association, the state’s first and largest industry trade association.     BRT Flashback Clip BRT S02 EP 36 (83) 9-5-21 BRT Still Growing – Best of Cannabis 2021 Clips from BRT shows talking about the Cannabis Industry in 2021 BRT Revisits some Cannabis topics and shows from 2021, including farming, tower gardens, investing, Harvest Health, Copperstate Farms, AZ legalization, M&A, dispensaries, and more…   Full Show: Here   More on the topic of Cannabis Farming – BRT S02 EP03 01-17-21 (50) Tower Farming and Cannabis Business Guests: Troy Albright, Rph of True Garden (f 2013) & Rx Formulations https://truegarden.com/ True Garden Tower Framing & greenhouses has a location in Mesa, AZ. They have local grown food distributed to local restaurants and markets. Troy's background is as a chemist and pharmacist who worked in alternative medicine previously. Full Show: Here     BRT S02 EP15 (62) 04-11-2021 Cannabis Farming to the Flower Shop Guest:  Ryan Hurley of Copperstate Farms https://www.copperstatefarms.com/ https://thecannabisindustry.org/board-members/ryan-hurley/   Ryan Hurley is General Counsel at Copperstate Farms, the largest medical cannabis grower in the Southwest. Prior to joining Copperstate, Ryan was a partner at Rose Law Group, Rich, Hurley in Scottsdale, AZ where he led the firm’s Marijuana Practice Group. He has a background in land use and zoning law, environmental and water issues, renewable energy and a wide variety of regulatory compliance and administrative law issues. National Cannabis Industry Assoc., like the Chamber, in Colorado, and Ryan is on the board & a founding member in AZ.   Copperstate Farms is one of the largest greenhouse cannabis producers in North America, with over 1.7 million square feet of canopy and 40 acres under glass. We bring best practices from big agriculture, consumer packaged goods, and pharmaceutical industries to cannabis. We are building a culture where our employees view Copperstate Farms as one of the best places to work.   Full Show: Here       Cannabis Topic: https://brt-show.libsyn.com/category/Cannabis-Hemp-Marijuana   Best of Cannabis: https://brt-show.libsyn.com/size/5/?search=best+of+cannabis     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement       Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
May 11 2022
1 hr 7 mins
BRT S03 EP18 (117) 5-1-2022 –  AZ Bio & Tech Incubators w/ Russ Yelton
BRT S03 EP18 (117) 5-1-2022 – AZ Bio & Tech Incubators w/ Russ Yelton   Things We Learned This Week Tech Incubator: startup incubator is a collaborative program for startup companies — usually physically located in one central workspace — designed to help startups in their infancy succeed by providing workspace, seed funding, mentoring and training.AZ State supporters of Tech: AZ Tech Council, The Flinn Foundation, NAU, ASU, UA, CEI Gateway Tech, AZ Bio, NACET – Moonshot, AZ Advances, & many funding VC & Angel groups – ATI, Desert Angels, Canyon AngelsBiotech industry growing in AZ the past 2 decades in Flagstaff and TucsonFail & Fail Fast – good rule for tech co’s and incubators - Need capital and investors to fund incubators at Universities, plus community (City) supportAZ Bio – students talking research and tech, internships       Guest: Russ Yelton, Pres., Yelton & Associates Immediate Past Chairman, AZBio Board of Directors http://www.yeltonandassociates.com/ https://www.azbio.org/azbio-board-of-directors/russ-yelton https://www.linkedin.com/in/russ-yelton-46a9412/ https://twitter.com/ryelton   Russ Yelton Bio: Russ Yelton served as Chairman of the AZBio Board of  Directors from January 2015 to December 2017.  He has been an active board members since being elected in 2009. He is currently president of Yelton and Associates.  The firm provides economic development services as well as early stage business solutions. Yelton and Associates has experience both domestically and internationally and has assisted thousands of entrepreneurs to raise funding and bring their products to a variety of markets. The firm  also has a long history of assisting municipalities with the development of co-work, incubators and accelerators as well as loan funds, student focused entrepreneurial programming as well as shared facilities. As a Board Member at Pinnacle Transplant Technologies, Inc., Yelton provides executive level leadership to a rapidly expanding tissue bank and medical device company. Yelton served as Pinnacle Transplant’s CEO from 2014 to 2017.  Pinnacle Transplant Technologies is a multi-service tissue bank dedicated to ethical participation in the donate life process. U.S. Food and Drug Administration (FDA) registered and American Association of Tissue Banks (AATB) accredited, Pinnacle only works with federally chartered Organ Procurement Organizations (OPOs) and agencies accredited by AATB to help safeguard our employees, provide superior allografts for transplantation and assure reverence to our donor families. Prior to joining Pinnacle Transplant Technologies, Yelton was President and CEO of the Northern Arizona Center for Entrepreneurship and Technology   located in Flagstaff.  NACET is a business incubation program that assists companies with commercializing their technologies in both domestic and international markets.  NACET is supported by the City of Flagstaff and Northern Arizona University where it functions as the Technology Transfer Office for NAU.  Clients in NACET’s program received individual business consulting, access to mentors, venture and angel capital and domestic and international student research teams. Prior to coming to Arizona in 2009, Yelton oversaw the creation of a business incubation program in Asheville, North Carolina in an abandoned 141,000 sq feet former BASF manufacturing plant.  That program, located at a community college, included a commercial food kitchen, biotechnology space with wet, dry and core laboratories, light manufacturing and executive offices. Yelton received his Bachelor of Science in Business Administration at Appalachian State University, a Masters of Business Administration from Western Carolina University and Doctoral studies in Educational Leadership also at WCU.  In addition, he received a European Union Grant in 2008 to complete Evaluation of Sustainability Training from Vienna University of Economics and Business Administration.   AZBio:  Supporting Arizona’s Life Science Industry for 19 Years (2003 – 2022) Learn more about Arizona's bioindustry: www.azbio.org | Facebook: AZBIO |Twitter: @AZBio @AZBioCEO We’re part of a movement to create sustainable funding for life science innovation in Arizona. Learn more at www.AZAdvances.org  MOVING LIFE SCIENCE INNOVATIONS ALONG THE PATH FROM DISCOVERY TO DEVELOPMENT TO DELIVERY OUR VISION OF THE FUTURE: Arizona is a top-ten life science state. OUR MISSION: AZBio supports the needs of Arizona’s growing life science ecosystem. Arizona’s bioscience industry is growing rapidly and reached nearly 30,000 jobs spanning 2,160 business establishments in 2018. Industry employment has grown by 15 percent since 2016—twice the growth rate of the nation—with each of the five major subsectors adding jobs during the period. Arizona’s universities conducted nearly $580 million in R&D activities in bioscience-related fields in 2018, fueled in part by steadily increasing NIH awards to Arizona institutions since 2016. Venture capital investments in Arizona bioscience companies increased in 2019, and during the 2016-19 period totaled $349 million. Arizona inventors have been awarded 2,178 bioscience-related patents since 2016, among the second quintile of states in patent activity.   Flinn Foundation https://flinn.org/ https://flinn.org/about/general-information/board-of-directors/ The Flinn Foundation is a privately endowed, philanthropic grant-making organization established in 1965 by Dr. Robert S. and Irene P. Flinn. Its mission is to improve the quality of life in Arizona to benefit future generations. The Foundation aims to advance the state’s bioscience sector, provide a top-notch education to high-achieving students at an Arizona public university, boost the fiscal and creative capacity of the state’s arts and culture organizations, and develop future state-level civic leaders. Grants are awarded to nonprofit organizations to advance interests in the biosciences, Flinn Scholars, and arts and culture. In civic leadership, the Foundation supports and administers the Arizona Center for Civic Leadership and its Flinn-Brown Fellowship in partnership with the Thomas R. Brown Foundations of Tucson. These philanthropic activities intersect wherever possible, a recognition of the importance of ecosystem thinking. The Foundation also leverages the additional capacities of a private foundation through its professional resources. These are exemplified by what’s informally known as the Flinn Foundation’s “5 C’s”—to convene interested parties, collaborate and generate partnerships among groups with mutual interests, catalyze solutions, communicate progress and outcomes, and consensus-build among stakeholders. The Foundation often convenes leaders in workshops and educational forums at the Flinn Foundation Conference Center within its office building in Phoenix.     Notes:   Russ has a tech background, from back east (North Carolina) – originally worked at NAU when he first got to AZ in 2009, working with tech incubators and bioscience   Russ is a consultant and board member, and involved in AZ Bio (since 2009), AZ Tech Council, Chair of The Flinn Foundation, Pinnacle Transplant Technologies, CEI Gateway Tech & more…   NACET – Moonshot – Russ there in 2009,  https://www.moonshotaz.com/   Investment by incubators, tech community, established business, university and cities in tech and small business   Biotech industry growing in AZ the past 2 decades in Flagstaff and Tucson   Pinnacle Transplant – https://www.pinnacletransplant.com/ Founded in 2010, Pinnacle Transplant Technologies recognized the need to establish a processing and distribution facility that would enable medical professionals to acquire safe quality allograft tissue for transplant. The company manufactures innovative allografts produced to the highest standards of quality and safety. With a dedication to customer service, we are devoted to being the most responsive and accommodating Tissue Bank in the industry.   Regan Med –   Life Science – Gore, founded in Flagstaff - https://www.goremedical.com/STEM-educational-programs   Medical device – drugs Tucson, AZ   What is a business incubator? A business incubator is a workspace created to offer startups and new ventures access to the resources they need, all under one roof.   A startup incubator is a collaborative program for startup companies — usually physically located in one central workspace — designed to help startups in their infancy succeed by providing workspace, seed funding, mentoring and training.   Startup incubators are usually nonprofit organizations, often associated with universities and business schools who extend invitations to students, alumni and members of the community to take advantage of the program. Some popular incubator programs include Y Combinator, TechStars and Excelerate Labs.   Fail and fail fast – good rule for tech co’s and incubators   Patents and IP plus legal battles   Need capital and investors to fund incubators at Universities City and University – community, mentors group advisors, workforce   Tier 2 company- grow companies Build $28K accelerator   Open Book Accounting – run like any business with expenses and revenue, looking to be a viable company developing products or be shut down Build team – invest in teams Board different at each funding stage: 2-3 years 3-5 years to get incubators   CEI – Gateway Community College Incubator seed spot UA – tech park Mining –   Life Science and Bio Tech – FDA, regulations, legal   Jim Goulka – ATI and Desert Angels. Canyon Angels ATI sidecar fund – White Hat Investor – Sept/Oct. Bio-science week.   AZ Bio – State Biotech Flagstaff, Tucson Flinn Foundation – Bio Science road map Dr. Flinn – philapothry and grant, scholarship   Policy -  R&D tax credit – Angel Investing Credit 35% tax credit for Life Science investment. Low reg and low taxes in AZ, so tech industry has been growing with state help Entrepreneurial eco system Big University and community college (labtechs)   Collaborative gene – Hill Labs board at ASU, help students in sciences and health types of tech Taproots – company using AI treat Alzheimer’s   AZ Bio – students talking research and tech, internships Edison Program ASU funds students #1 reason startup leaves because of funding AZ Advances – Evergreen Fund   Prep before you present CEI will help prep         AZ Tech Council Shows: https://brt-show.libsyn.com/size/5/?search=az+tech+council   Tech Topic: https://brt-show.libsyn.com/category/Tech-Startup-VC-Cybersecurity-Energy-Science   Best of Tech: https://brt-show.libsyn.com/size/5/?search=best+of+tech     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement       Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
May 3 2022
49 mins
BRT S03 EP17 (116) 4-24-2022 –  Money for the Rest of Us w/ David Stein
BRT S03 EP17 (116) 4-24-2022 – Money for the Rest of Us w/ David Stein   Things We Learned This Week Investment vs. Speculation vs. Gambling: You must understand the difference and recognize which camp the product you’re considering is inThe three drivers of asset class performance: These all relate to cash and earnings,  cash flow, cash flow growth and change in valuation, and how each impacts the future price of an asset classThe Efficient Market Hypothesis vs Adaptive Market Hypothesis: which combines behavioral finance w/ EMHWayfinding: An alternative to traditional rebalancing of asset allocation - use current market conditions to help evaluate where you should increase / decrease your exposure, depending on how the asset is doing currentlyModern Portfolio Theory vs. The Asset Garden Approach when adjusting asset allocation, focused on diversification between return drivers - Like landscaping, there are rules of thumb, but there’s freedom to create and build the portfolio. And it’s much easier to make changes.       Guest: David Stein, Money for the Rest of Us https://www.linkedin.com/in/jdstein/ https://moneyfortherestofus.com/ https://moneyfortherestofus.com/about/ Book: https://moneyfortherestofus.com/how-to-invest-book/   David Stein’s Bio: David helps individuals become better and more confident investors through his writing, audio, and video. He hosts the personal finance podcast Money For the Rest of Us. The show reaches more than 40,000 listeners per episode and has over 10 million downloads. The podcast has received mention from The New York Times, Forbes, The Chicago Tribune, and the U.S. News and World Report.  David also provides investment insights and model portfolios to 1,000 members of the Money For the Rest of Us Plus community.   David Stein author of Money for the Rest of Us 10 Questions to Master Successful Investing Prior to launching the podcast, David was Chief Investment Strategist and Chief Portfolio Strategist at Fund Evaluation Group, LLC, a $33 billion investment advisory firm. At FEG, David co-headed the 21-person research group. He co-founded the firm’s $2.2 billion asset management division where he developed its investment philosophy and process and was the lead portfolio manager. David’s former advisory clients include The Texas A&M University System, the University of Puget Sound, and the Sierra Club Foundation.   David splits his time between Idaho, Arizona, and locations around the globe. In his free time, he loves to bike, fly fish, hike, read, and spend time with his family.   Money for the Rest of Us – 10 Questions to Master Successful Investing book was published in 2019 by McGraw-Hill and is available in hardcover and e-book formats as well as an audiobook. Money For the Rest of Us Plus is the premier investment education platform (membership) that can teach you to manage your financial assets like a professional. Membership gives you access to step-by-step video lessons, spreadsheets, and written materials to guide you as you build a diversified portfolio plan and adapt it as market conditions change.Re Guides & Resources – Investing, Rebalance / Asset Allocation, Tail Risk, Inflation, REITs, TIPs, Gold, Oil, Bonds, Farm Investing, Frontier Markets & more…   His podcast, Money for the Rest of Us is “about money, how it works, how to invest it and how to live without worrying about it.” - with the goal of “demystifying investing for nonprofessionals, so they can invest more confidently”. David’s resources, book, etc. is all for the do it yourself investor to provide info, advice and a community.     Notes:   David invests in ETF’s, REITs, MLPs, and other low cost funds mainly, with some other investments like Bonds, Bank Loans (variable rate bonds), Land, Gold (5%) or Crypto, he is not picking individual stocks though. Example: Vanguard VT total market fund.     Money for the Rest of Us Book subtitle: 10 Questions to Master Successful Investing Everyone should ask as they think about various asset classes -   What is it?Is it investing, speculating, or gambling?What is the upside?What is the downside?Who is on the other side of the trade?What is the investment vehicle?What does it take to be successful?Who is getting a cut?How does it impact your portfolio?Should you invest?   Other Ideas from his book and writings: Investment vs. Speculation vs. Gambling:  You must understand the difference and recognize which camp the product you’re considering is in Investing consists of "opportunities that have a greater likelihood of being profitable." Speculation consists of "opportunities where the investment outcome is highly uncertain,"  Gambling is something else altogether – "opportunities that have a greater likelihood of losing money." The danger of using historical returns:  It’s the present and the future that matter, not the past, look at the possible future outlook for different asset classes The three drivers of asset class performance:  These all relate to cash and earnings,  cash flow, cash flow growth and change in valuation, and how each impacts the future price of an asset class Bond yields to maturity:  Understand bonds, the impact of maturity periods, and how to include potential default risk A bond's yield to maturity (YTM) is the internal rate of return required for the present value of all the future cash flows of the bond (face value and coupon payments) to equal the current bond price. YTM assumes that all coupon payments are reinvested at a yield equal to the YTM and that the bond is held to maturity. Maximum Drawdown Risk:  What is drawdown risk and the historical months to recover loses, and your exposure, how it impacts your investments in bad times A maximum drawdown (MDD) is the maximum observed loss from a peak to a trough of a portfolio, before a new peak is attained. Maximum drawdown is an indicator of downside risk over a specified time period. Drawdowns present a significant risk to investors when considering the uptick in share price needed to overcome a drawdown. The Efficient Market Hypothesis:  Per David it’s flawed, and prefers Adaptive Market Hypothesis, and how it differs from the efficient market hypothesis The efficient market hypothesis (EMH), alternatively known as the efficient market theory, is a hypothesis that states that share prices reflect all information and consistent alpha generation is impossible. According to the EMH, stocks always trade at their fair value on exchanges, making it impossible for investors to purchase undervalued stocks or sell stocks for inflated prices. Therefore, it should be impossible to outperform the overall market through expert stock selection or market timing, and the only way an investor can obtain higher returns is by purchasing riskier investments. The adaptive market hypothesis (AMH) is an alternative economic theory that combines principles of the well-known and often controversial efficient market hypothesis (EMH) with behavioral finance. It was introduced to the world in 2004 by Massachusetts Institute of Technology (MIT) professor Andrew Lo. Evaluating Investment Vehicles:  All investments analysis needs to include liquidity, costs, structure and pricing, David likes closed-end funds and ETF’s vs picking individual stocks   Wayfinding:  An alternative to traditional rebalancing of asset allocation - use current market conditions to help evaluate where you should increase / decrease your exposure, depending on how the asset is doing currently When we know exactly where we are going, having step-by-step directions to our destination can be extremely helpful. The only requirement is to follow the steps. The American explorers Lewis and Clark were wayfinders. They didn’t have a map as they explored the western United States looking for the easiest route to the Pacific. When you are wayfinding, you need to be prepared for the unexpected. Investors are wayfinders. They only have a general sense of what might happen. There are no guarantees we will reach our destination. We get in trouble as investors when we forget we are wayfinders and believe outcomes are certain. That if we just follow the correct formula, we will reach the wealth level we desire. No precise location, no map, Lewis & Clark analogy, no one knows market direction, uncertain   Modern Portfolio Theory:  David does not believes this works, prefers “The Asset Garden Approach” when adjusting his asset allocation, focused on diversification between return drivers - Like landscaping, there are rules of thumb, but there’s freedom to create and build the portfolio. And it’s much easier to make changes. The modern portfolio theory (MPT) is a practical method for selecting investments in order to maximize their overall returns within an acceptable level of risk. A key component of the MPT theory is diversification. Most investments are either high risk and high return or low risk and low return. Dollar-Cost Averaging vs. Lump Sum Investing:  this delves into the psychological side of investing, and how to allocate money consistently to keep investing, David prefers lump sum investing, and argues dollar cost averaging underperforms over time Dollar-cost averaging (DCA) is an investment strategy in which an investor divides up the total amount to be invested across periodic purchases of a target asset in an effort to reduce the impact of volatility on the overall purchase. The purchases occur regardless of the asset's price and at regular intervals.   Reversion to the Mean – Momentum ETF & Growth Emerging Market – lower P/E, higher dividend P/E vs long term historical average Case Shiller CAPE Ratio Lower P/E = higher returns over 10 years US Stocks are 60% of global stocks Risk more important than volatility Risk Tolerance & asset allocation depending on your age and investing time horizon   Investors David likes: Howard Marks – Oaktree Capital, talking risk in his Memos & books Book – Wisdom of Finance by Mihir Desai Rob Arnott of Reasearch Affiliates, contrarian value investor https://www.researchaffiliates.com/about-us/our-team/rob-arnott     *some info c/o of Investopedia     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here       Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Apr 29 2022
1 hr 7 mins
BRT S03 EP16 (115) 4-17-2022 –  Designing Tech Products w/ David Schie of Linear Dimensions
BRT S03 EP16 (115) 4-17-2022 – Designing Tech Products w/ David Schie of Linear Dimensions   Things We Learned This Week Linear Dimensions develops machine learning systems for the fast grow consumer wearables mktWearables & health industries growing to $130 by 2030 b/c of advances in AI, Cloud, Chips, AR, VREEG – headsets and sensors, get feedback to brainMicrochip, sensors – built by Linear ie: heart rate monitor, of small sizeTurnkey Develop – draw up plans, product definitions, prototype, testing, software, manufacturing and ship       Guest: David Schie, Founder / CEO of AI Storm aistorm.ai / www.lineardimensions.com https://www.linkedin.com/in/david-schie-9b02784   David Schie is a tech industry veteran who runs two companies – AI Strom (started 2018), and Linear Dimensions (c 2011) with their HQ in Texas. Prior to staring Linear he worked as a VP at Semtech, and Micrel Semiconductor before that, and worked at Maxim Integrated Products. Linear Dimensions develops machine learning systems for the fast growing consumer wearables market. Linear is focused on powering and interfacing sensors and microelectromechanical systems (MEMs) for use in industrial, communications, and biotechnology devices. Linear's innovations include flexible analog front ends (AFEs), mixed-signal integrated circuits including ARM based SoCs, and extraction and security algorithms & software. Linear continues to define the future of the wearables industry, as presented by Linear CEO, David Schie in his keynote speech at CES 2014. Our collaborative industry partners such as BodyMedia/Jawbone, Orbital Research, Freescale Semiconductor, and others, bring next generation solutions to market. Product examples include physiological and heart rate monitors, head worn wearable devices, ECG and EEG harnesses and bands, and other sensor based products. In addition to customers in consumer fitness tech and digital health, we also support developments for governmental agencies such as NASA, DMEA, Navy, AFRL, and the Air Force. Linear Dimensions is headquartered in Houston, TX.   Notes: Founder/inventor – bring ideas and design to Linear Microchip, sensors – built by Linear Example: heart rate monitor, of small size Develop, clinical trials, make products and ship. Chip design Turnkey develop – draw up plans, product definitions, prototype, testing, software, manufacturing and ship Research what if questions, prototypes and test Has backend delivery and manufacturing in Asia Engineering only is not profitable Some requests are difficult, if not possible Example: glucose or alcohol measurements, heart wave form, blood monitoring, camera on glasses. Startup raises money, kickstarter and go to Linear Dimensions to design and see if even possible. Early design always has a budget Repeat customers – Silicon Co Big and small companies as clients Linear has a lot of patents Big companies can have multiple departments Products – Wearables with cameras and sensors Optimal sensors, shoulder straps, car seats,medical devices, watches – sensors through light, can actually read blood and heart rate Muscle and eye movements, can combine sensors Measurements – of glucose, alcohol Identify people through sensors. Can be in cars, cards. Keychain data storage Chips for all of these devices Fit bit for dogs on harness Camera with AI – face recognition, security Security camera / sensors – can differentiate from animals and people. Monitor people for health reasons, can monitor farms and food growth. Improve pollution, health, society IOT and sensor work will be involved in many things (already being used). Healthcare – can monitor diseases early and catch more issues early. Non invasive monitoring (with AI) for more data. AI will look for anomalies with edge devices. Earlier you detect a health issue, save money on health care Need for more R&D and investment L/T to get prices down. Glasses – AR / VR, wearable goggles are big now, but features will be added to current glasses Example: glasses that read to you, monitor your eyes. IOT devices in cameras, smart city monitors Occupancy sensors and adjust thermostats AI been added to cameras Companies analyze data of how their products are being used. Clothing form factor Watches, jewelry, wrist bands Car sensors – check if people are falling asleep with multiple cameras and sensors. Edge computing and IOT data – trying to collect less data, just collect end data.     Link to David Schie’s 1st Guest spot on BRT 3/2021: HERE     Guest: Vardhman Sheth, Director of Design Engineering Linear Dimensions https://www.linkedin.com/in/vardhmansheth   Vardhman Sheth is the Director of Design Engineering at Linear Dimensions. Linear Dimensions is a product design company that develops custom and semi-custom system solutions for customers, including wearables, healthcare, industrial and medical products.    Vardhman studied Electrical Engineering at the University of North Texas with a focus on Signal Processing and Control Systems. His initial projects included working at startups as an intern before joining Linear Dimensions. Vardhman’s expertise lies in Hardware Designing, Firmware and Algorithms Development. He has worked on several products currently in the market, either in their prototyping stage or being used in research and development. For his current role, he is involved in the design and management of the company’s various electronic products. In his free time, Vardhman likes to travel and play outdoor sports.   Notes: Consumer design products One stop shop – of customer IP client has an idea for a product. Example: create wearable headset health wear product or finger sensor, forehead chest strap. Specialty in hardware, AI.                                        AP company wants to create a product : Design document and testingPrototypeManufacturing ETA – could be 6 months to a year or more. Design can go fast  but testing can be open ended and take a year  - depends on how complex design is. Works in a lab area at Linear Dimensions, then engineers build test prototype hardware boards, then outsource to China factory, then ship back. No carpet in lab, disturbs electronics. Some chips no short circuit protection, plus grounding precautions – no static. Wearable and health industries growing to $130 bill industry by 2030 because advancement in AI, Cloud, Chips, AR, VR Bio signals from pets – with harness and electronics GPS tracking industry part of more products. People want more info (data) with their health and body, when to hydrate and drink water , reduce stress, feedback ECG – Electro Cardiogram, body readings. EEG – headsets and sensors, get feedback to brain. Wearables will be common in everyday use , in health offices  and telemedicine – virtual appointments and telemedicine. Health monitors, band for wrist. Future patches will give signals to medical providers. VR – headset, manage body better with headset, not get nauseous, monitor health of a gamer. Bio - feedback.         Tech Topic: https://brt-show.libsyn.com/category/Tech-Startup-VC-Cybersecurity-Energy-Science   Best of Tech: HERE     Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Apr 19 2022
1 hr 6 mins
BRT S03 EP15 (114) 4-10-2022 –  Buying a Business Requires Due Diligence w/ Elliot Holland
BRT S03 EP15 (114) 4-10-2022 – Buying a Business Requires Due Diligence w/ Elliot Holland   Things We Learned This Week When Buying a Business – Need Inspection (called due diligence) of the financials to determine what you are buyingQuality of Earnings – financial audit of income statements, bank statements, taxes & cash flow Business Valuation is typically 3 – 4x Cash Flow / Profit3 Outcomes Post Audit of financials: accurate – yes; middle – off 10-15%; fraud – noStartup Model (new biz) vs. Acquiring an Established Business or a Business Model (Franchise)       Guests: Elliot Holland of Guardian Due Diligence https://www.linkedin.com/in/elliottholland/ https://www.guardianduediligence.com/ Elliott Holland is a Harvard MBA alum and founder of Guardian Due Diligence, which specializes in helping everyday people acquire businesses as investments to optimize ROI and create new millionaires. He can walk your audience through the business buying process, how to approach due diligence, how long it really takes, what’s involved, and how it’s different than the DD process you might be used to in other asset classes or investment types (see more in attached one page overview). He stops his clients from buying bad businesses and expedites his clients' process to buy great businesses. These are million-dollar investments often backed by personal guarantees - so it hugely matters that people get it right.    Notes: Elliot – has an MBA and background in corporate world, worked in private equity for 8 years working business deals, then started Guard Due Diligence to consult Elliot compares himself to a Home Inspector except for business buyers He reviews financials to determine Quality of earnings, a financial audit, review P&l, balance sheet, cash flow, bank statements, Quickbooks financials, taxes Process assumption is to not trust anything Business Seller gives you Due Diligence Process ETA – 6 weeks, get and review all docs, then deliver a report for the buyer to review with 50 – 200 items on a list and a summary 3 Outcomes Post Review of Due Diligence: Good: financials are accurate – rec of yes to buyer Middle: financials off 10-15%, rec to buyer to negotiate the price or terms Bad: Financials have bug issues, business may be a fraud – rec of no to buyer   Example of Sale Price - $2 million purchase w/ cash flow of $500 K, paying 4x CF (or 3 – 4x profit), make your money $ back in 4 years  Average Business Sale is $5 million in revenue w/ 5-30 employees in biz Private Equity sale could be $50 - $100 million w/ thousands of employees in biz   Elliot works with past Executives (or Entrepreneur) looking to buy a cash flowing business, usually in late 30s or 40s (age)   SBA Loan example – put down 20 % or $200K on a $2 mil purchase, then a loan of  $1.8 mil  w/ a Personal Guaranty   Broke line vs. bad business ? Negotiation - M&A type advising,  if profit sales #’s are less than shown in financials, then negotiate the price down (15%) or a seller note of 3-5 years, and Keep owner 1 yr vs. 3 months. Business Owner who is selling probably leaves after 3 months. GM & other staff likely stay. Max ROI – if buyer belives there is potential in the business to grow, may pay more for the business and keep owner for 2 years in advisory role. Guardian Due Diligence has a Sample Report of process to download at their website Other website - https://www.offerfromelliott.com/   3 Things to Consider before you go to Buy a Business: How much can you buy (afford) ? What Industries and actual Location (City or State) interest you? Are You Prepared for a Life Change?     Guest: Denver Nowicz, President - Wealth For Life http://wealthforlife.net/ https://www.linkedin.com/in/denvernowicz https://twitter.com/denvernowicz   Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.   Notes: Acquire Assets and work to create income streams (passive if possible) Taxes – largest expense for most professionals, what is your tax plan? Investing analysis, consider time lines, fees and taxes Executive leaves corporate world & decides to buy a business, first have a financial cushion, have monthly expenses covered, means less stress   Determine what is the monthly burn rate for money – ie monthly expenses, new business owners will have both personal and business expenses during business ramp up Passive vs. Active management for investments – passive is somewhat of a myth Tax team and advice, be protective with tax setup Corporate setup  - S Corp or C Corp S Corp = pass through earnings to business owner C Corp = business tax rate of 21% on earnings Write offs and depreciation of equipment Expansion plan and cash flow File self employed vs. S Corp., good to file as C Corp if larger sized company, $1 million or more Financing options – for established business or business model (franchise) is easier as you have cash flow from the business vs. startup with no revenue (need personal assets) If business has revenue / cash flow – banks will accept Build asset classes with income rental income with real estate stocks that appreciate, also can invest in stocks that pay dividends Passive investing – Less connection and distance to a deal, less risk and less work, but also less return. When you receive lump sum money or sell real estate or business – break up tax burden by setting up a trust first. Deferred sales trust – sell through a trust and pay taxes over a 10 year period Loans and lines of credit on assets like stocks or real estate Loans not reported as income and loan interest rate is lower than tax rate. Set up in 3 tax buckets – 1. Taxed (income)  2. Tax deferred (401K)  3. Tax free Use each bucket as needed. Learn the tax offset strategies and put yourself in tax free position. Real estate write offs and depreciation to save tax – check rules. Can refinance and pull money out of a property – not taxed. Check with professionals, CPA’s and attorney before doing any of this.       BRT Clip from Seg. 2 of 12/5/2021 Guest: Jon Ostenson, w/ Franbridge Consulting https://franbridgeconsulting.com/ https://www.linkedin.com/in/jonostenson Jon Ostensen discusses the Franchise industry on multiple levels; from being a broker, to purchasing a franchise, to investing and also the operation side of running your own. He gives numerous examples of opportunities in franchising - How much does it cost, the buy in process, and realizing franchises are more than just food opps. Jon is a consultant, owner/investor, author (The Franchise Path), and international speaker specializing in the area of non-food franchising. He serves as CEO of FranBridge Consulting where he helps clients in the process of introducing them to opportunities from the over 300 high growth brands that he represents. Additionally, Jon oversees FranBridge Capital where he and his partners own 18 territories across 5 property service franchises.   Full Show: Here     Business Buying Topic: https://brt-show.libsyn.com/category/Private+Equity-Valuation-MandA-Franchise-Business+Broker   Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement   Link to Taxes Show on 10/31/2021 w/ Denver: Here Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here Link to Shows, Denver was a Guest: Here   ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT   Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Apr 12 2022
1 hr 13 mins
BRT S03 EP14 (113) 4-3-2022 –  Options vs Stocks & Trading vs Investing w Tom Sosnoff of tastytrade
BRT S03 EP14 (113) 4-3-2022 – Options vs Stocks & Trading vs Investing w Tom Sosnoff of tastytrade   Things We Learned This Week Implied Volatility & Time Decay – options begins with volatility, on a clock so Mechanics (forget mind set) on how to setup a trade is keytastytrade is a media network based on Math (Probability & Statistics - Look at the Math), trading & focus on markets Limited Profitability & Unlimited Risk when you Sell Puts w/ 80% chance of success - Be a Seller of Options – let Market beat you, slight edgeTrade Small, Trade Often - Law of Large Numbers w/ 45 DTE Strike Price of 1 SD – Exit or Roll at 21 DTEOptions Trading Teaches Life Lessons – Important to: take risks, learn to take risks, make quick decisions, be decisive about those decisions.     Guests: Tom Sosnoff of tastytrade https://www.tastytrade.com/ https://twitter.com/tastytrade   Tom Sosnoff, founder and co-CEO of tastytrade Tom Sosnoff is an online brokerage innovator and financial educator. Tom is a serial entrepreneur who co-founded thinkorswim in 1999, tastytrade in 2011, tastyworks in 2017, helped to launch the award- winning Luckbox Magazine in 2019, and in 2020 he created the first new futures exchange in 20 years, The Small Exchange. Leveraging over 20 years of experience as a CBOE market maker, Tom is driven by the passion to educate self-directed investors. A true visionary, after his years on the floor he saw the need to build and design superior software platforms and brokerage firms that specialized in complex financial strategies. His efforts ultimately changed the way options and futures are traded and how digital financial media is produced and consumed. Currently, Tom hosts tastytrade LIVE and continues to drive innovation and know-how for the do-it-yourself investor. Tom has been named to Techweek’s Tech 100 list, Crain’s Chicago’s Tech 50, and has spoken at over 500 events across the globe. Tom received the Ernst & Young Entrepreneur of the Year Award and was been featured by prominent publications such as WSJ, IBD, Chicago Tribune, Crain’s Chicago, Traders Magazine, and Barron’s.   --- About tastytrade, Inc. tastytrade is one of the most-watched online financial networks, engaging investors and traders across 165 countries with daily, live, cost-free and commercial-free programming with over 100 million hours viewed. tastytrade offers over 50 original segments for all levels of traders. tastytrade’s data-driven research-based content teaches a logical, mechanical approach to investing and identifying opportunities based on probability and volatility. Investors are continually challenged with financial math, humor, and new market perspectives. tastytrade and its companies focus on empowering the individual investor through content, technology, and know-how. tastytrade is the parent company to several innovative financial companies. tastyworks, a brokerage firm creating and leading a financial revolution for the do-it-yourself investor       Notes:   Bio – options trading in 1980s, CBOE market maker, then built 2 co’s tastytrade & tastyworks (broker platform), history c 2011 – media platform sold 2021, $1 billion bought by IG Group 2021, Tom stayed on, runs tastytrade. TD Ameritrade, and 2012 purchase of Think or Swim (was IPO, public) Partners – Tony Battista, Kristi Ross, Scott Sheridan Think or Swim – started in 2001 w/ 7 people and 5 still with Tom. 10 years, went public, purchased by TD in 2009, $1 billion stayed 2 years, then started tastytrade with TD CEO as investor. Think or Swim – learned as they went, education, content. Finance is missing good content, does not understand financial media and technical analysis.   Efficient Market Theorist & efficient market pricing Media Network all math – quantitative and statistical logic. tastytrade 10 hours a day – live content. Focus on markets, math related and trading. Morning radio show about people working tp make money, having fun,  talks trading and Financial Mechanics Tony Battista, Tom Preston, are some of the 30 personalities total on-air. Talking math a lot, but Tom just ok at math. Jacob Perlman – math genius, Phd. tastytrade research team Audience is smart, challenge them don’t dumb it down. Capital Efficiency - Derivative (Options) Markets very efficient. Buffet Options Strategy – selling Puts, profit of $ billions, rarely discussed   Markets are 50/50, generally. S/T markets are emotional, can be over bought or oversold, but Tom trusts prices over L/T. No one knows direction of market and where price is going on stocks and market direction , 50/50 is a guess. Market is random with side of emotion, not a perfect distribution curve. Positive drift in market, market goes up over Long Term L/T More deviations vs. a model. Does not believe in traditional investor education Empower power with lots of info, not teaching people Content marketing in house, media to masses Stocks can go down, have to experience it Fear size (of a trade) - one thing Tom fears is size, bet big and wrong, large failure When Genius Failed (a book) - trades too big (leverage), collapsed the company   Law of large numbers – do something enough times, end up with expectation. Trade a lot with 70 - 80% probability outcome. Learn options by doing options Casino games have negative edge – can’t win, can never get ahead. Just for fun. Options trading teaches life lessons – Important to: take risks, learn to take risks, make quick decisions, be decisive about those decisions. Take risks to do something special Brain processing, faster than competition Working hard not enough Make a lot of decisions, learn to take risk and increase brain processing speed. Manage risk in life, finance and work probabilities, hard to predict things   Day 1 in Options – Mechanics most important thing to understand Mindset is BS, no emotional side to trading, no mindset to math. Mindset just a sales tool, that Financial world sells. Mechanics has strategy within it. Cannot manage positions or risk post trade. Need mechanics to set up trade right. Traders could be nice or mean, but all good ones make fast decisions before you even heard question. Trade plan – if goes this way, I will do this. Options – learn by doing; learn mechanics by doing a little at a time. Volatility – majority starts and ends with volatility with few exceptions. Implied volatility & Time Decay – always on a clock, option will expire Stock Trader - out wait your enemy, patience. Trader plays short volatility game. Enter trade – implied volatility rank is high Trade favorable, expected volatility move is high. Rank relative to itself, it’s inflated and has potential to contract. Volatility is a math equation and will mean revert. Price is not a math equation, does not need to revert to some number or average.   Tom would rather be a seller of options vs a seller, small advantage, likelihood of contraction after expansion. Fear has expanded, better chance to contract vs expand more. Analogy: own stock, own the asset. Sell options, collecting income (rent) on the assets. Sell covered calls, or out of the money put. Put – limited upside, unlimited downside, but 70% chance of profit. Put up $200 for $100 profit with 70% chance Put up $1000 for unlimited profit with 50/50 chance Have a choice – think through probabilities and bank roll. No math equation can tell you the right answers for sure. Tom back tests – selling out of money puts of S&P index out performs buying index with dividends, Use less capital, lower volatility in your P&L, make more money. More conservative strategy   Trade more, and small with higher percentage of success. 45 day position – DTE Days to Expiration. 21 day DTE is exit day per Tom, exit early after 24 days. Adjust, roll or close position. Increase probability to be profitable. Reduce outlier risk almost to 0. tastytrade spent millions on research Manage trades and exit early is mechanics, can always exit at 21 DTE 45 day position, 24 days in (21 DTE), make a decision – adjust, roll, close, extend contract (add duration) –roll Start new position 45DTE, buy more time at 21 DTE, move it no matter what work to be close to 50% at 21 DTE Casino Analogy – bet $100, won $50, take money and end bet. tastytrade content goal is: create methodology and strategies to have positive environment for self directed investor, requires time and resources. Learning curve faster now, can learn in a few months or a few years. 6-10 strategies Tom likes, short strangle – simultaneous sale of a call and a put. No tech analysis or charts, just watch screen.   Price Action  / Liquidity – trading hundreds of millions per day. Very liquid assets, very liquid underlyings (ir – Apple, Tesla, Indexes) does not trade non-liquid (microcap) Tom could do 60 trades a day (had 14K trades in 2021) On day of interview, did 110 trades. Self described “Trading Junkie” Account size in tastytrade - $25K average . Reserves – 50%, $12.5K in reserve. 1-3% of account size on a particular trade ($250 per trade), 5% on high and 1/5 size of a stock. Tom does not believe in option levels of industry. No noise, no CNBC or Bloomberg news. No (zero) belief in newsletters or trading bots, trading education is over rated. All tastytrade content is free, videos, newsletter, etc. Trade fees are low, $1 per, Tom does factor fees or taxes. Most options income is ordinary income - 1256 B tax – max of 25%. L/T 40%, S/T 60% Stocks are usually capital gains (20%) in taxes   Trades – 80% of business in under-lyings (standard big stocks / indexs) 1 STD – 16% of getting to that level, 2 STD -  5%, 3 STD – 1% 1 STD is Delta, Tom likes 16 – 22% Greeks – know Delta & Theta (can also learn Gamma, Vega) Directional Risk – rate of decline or time decay – Theta Change in price of option vs. stock – Delta, premium making or losing daily. Per Tom – need to trade more. Trade small, trade often. Counter thinking to stock trading of buy & hold. Per Tom, stock trader can evolve to an options trader with 1 downturn in market.   Buy & Hold stock investor (passive) is a ‘knuckle dragger’, does not have the  appreciation for capital efficiency - Stock investor ‘just hasn’t evolved yet’ – gotten to next level. Casino Games analogy – enter a casino, we have all these games, but you can just play the slots (buy stocks) Grow and realize capital efficiency of options indifferent to products and strategy. Tom owns stocks but trades options, crypto, stocks Facilitate opportunity. No limits, no fences. House Analogy - big meter in front of house, with home price & appreciation shown daily on the side of the house, no one would own a home. We don’t teach our kids to be passive, follow crowd and not think – don’t be passive with your money. Financial service firms and media convinced masses ‘buy & hold’ and we’ll handle the rest - Don’t be ‘only passive’ Future of investing is more than check a few boxes. Differences in asset classes   Final takeaway – life is short and goes by fast. Get comfortable taking risks and experiencing risks. Good Luck to Tom with his 500 trades this week.       Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement   ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT   Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Apr 5 2022
1 hr 4 mins
BRT S03 EP13 (112) 3-27-2022 – Cannabis Supply Chain & License Structure in AZ w/ Demitri Downing of Marijuana Industry Trade Association
BRT S03 EP13 (112) 3-27-2022 – Cannabis Supply Chain & License Structure in AZ w/ Demitri Downing of Marijuana Industry Trade Association   Things We Learned This Week Need for Strong State Level Associations in Cannabis industryAZ Cannabis License Structure of vertical integration should be broken upRecreational Medicinal should be open to more people & medicinal should not be taxedSpecial Committee is needed to analyze industry – use, marketing, regulations, laws, etc. – Alcohol Prohibition Model is out dated conceptSupply Chain Issues – AZ long term could be a Cannabis exporter nationally & then internationally     Guests: Demitri Downing w/ MITA AZ https://mita-az.org/ https://www.linkedin.com/in/demitri-downing-5250531/   Demitri Downing is a former prosecutor and industry registered lobbyist who is part of the original vanguard of Arizona medical marijuana industry leaders. Dedicated to building a vibrant and successful market, Downing has distinguished himself as a vested industry expert and influential trailblazer. With a strong understanding of both policy and operations on a local and international level, Downing was instrumental in drafting Prop 205, Arizona’s 2016 legalization bill and currently serves as an advisor to the 2020 Arizona recreational initiative committee.   In May of 2016, seeing the need for strong State level industry associations, Downing founded MITA-AZ, the Arizona Marijuana Industry Trade Association, the state’s first and largest industry trade association. He is also the co-founder of the Southwest Cannabis Conference and Expo, which hosted shows in Phoenix, San Diego, Dallas, and Miami. In addition, he has collaborated with other industry innovators to foster inclusivity and cultural and ethnic diversity in the cannabis space. As part Native American and Mexican, Downing is the founding member of the National Indian Cannabis Coalition (NICC), an organization focused on guiding native communities into emerging cannabis market opportunities and founding member of the Mexican Cannabis Business Alliance. Downing is also the co-founder of AMMA PAC, a patient’s first organization in Arizona, and co-founder of digital publication Arizona Cannabis Monthly.     Notes: Demitri Downing – is an AZ native, U of A grad who worked as a prosecutor from 1998 – 2010 prosecutor Has Relatives working in business and politics Demitri got involved in the Cannabis industry in 2012, & MITA-AZ was started in 2016 as a Cannabis and Marijuana Networking Association Nov. 2010  - AZ medicinal use, Aug. 2012 -  first licenses to start Nov. 2016 – bill failed for recreational use for adults consumer use Nov 2020 – legalized starting January 2021 for adult consumer use. Therapeutic cannabis use – per Demitri it’s all ‘adult use’, whether medicinal (30%) or recreational (70%) Recreational medicinal should be open to more people + medicinal should not be taxed. Cannabis Laws & Regs are different per state, states are silos vs common laws Recs Special committee to analyze industry – use, marketing, regulations, laws Demitri believes Marijuana industry is about Choice & Personal Freedom – right to drink alcohol, or coffee, smoke cigarettes and now cannabis Industry distribution has changed, Cartel and ‘the dealer’ at schools are gone now Supply chain is business industry Licensing system is done vertically in AZ – grow, cultivate, dispense Should be split up – dispensing, retail, farming and cultivation, manufacturing Prohibition concept (see Alcohol model) of Cannabis rules is outdated. Limited licensing currently – 1 license tied to every 10 pharmacies Demitri wants AZ to be exporter nationally and then internationally. Inter-state Model – current vs Intra-state Model - future Other states have different models – likes Oklahoma  - different licenses, not vertical. Q’s why even have a distribution license i.e. – why can’t cannabis be sold in other places like a bar and why not have more manufacturers? Get more licenses – merit based, specialized, limited, cost now is $20 million to buy license. Kick out wrong people and give more people opportunities – open access and open door, but limited. Mint – example of a AZ based group  Rules of marketing and advertising – Tax Issues with Federal 280 E reg, not legal, move to tax of 25% max Free market economics& Supply chain economics March 30, 2022 – MITA AZ has event, AZ Cannabis Week, business & networking https://mita-az.org/events/       BRT Clip from 11/28/2021 BRT - Best of Women in Cannabis 2021   Guest: Melissa Diaz w/ Rebel Rock - customized accounting solutions, HR, and M&A for the Cannabis industry in AZ https://rebelrock.co/melissa-diaz/ https://www.linkedin.com/in/melissa-k-diaz-cpa-10215623/   Melissa Diaz returns to BRT to talk about the Cannabis business one year removed from recreational legalization (11/2020). She covers topics on licenses, M&A moves and consolidation, sales growth, current regulations and legal challenges. She is so well connected in the Phoenix market and nationally that the insights are of the moment and from the ground. Melissa Diaz is one of the leading women voices in the Phoenix Cannabis industry. The Cannabis industry is so new, that pre-conceived business notions that usually favor men have not really taken a foothold. There are numerous dispensary and Cannabis support type business started and run by women in the last 5 years. Not only are there capitalism and growth opportunities, but also gender ones in this business.  Full Show: HERE       Cannabis Topic: https://brt-show.libsyn.com/category/Cannabis-Hemp-Marijuana   ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT       Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Mar 28 2022
1 hr 6 mins
BRT S03 EP12 (111) 3-20-2022 – Semiconductors & Cars w/ Rohan of On Semi
BRT S03 EP12 (111) 3-20-2022 –  Topic: Semiconductors & Cars w/ Rohan of On Semi   Things We Learned This Week Onsemi & Fresscale were a spinoff of Motorola, IPO in 2000 Onsemi makes tech for cars, power steering and AI sensors, plus more Many Tech and Car Co’s in Phoenix area: Rivian, Lucid, Atlas, Nicola, Intel, Onsemi, MicrochipAZ State has advantages that recruit these Tech Co’s - weather, government subsidies, low regs, no natural disasters, no disruption to supply chainChip Supply Chain issues – dates back pre-pandemic, circa 2019, did not keep up with demand, especially cars       Guests: Rohan Raghunathan –  Product Line Mgr – On Semi https://www.onsemi.com/ https://www.linkedin.com/in/rohan-raghunathan-1542a94   Rohan graduated from ASU with a degree in Electrical Engineering, and also attended Cornell Univ for his MBA. Prior to working at On Semi in 2019, he was at Pwc as a Management Consultant in tech, and a Product Engineer at Microchip. He also had his own startup called Bioscope.     Onsemi: Through both acquisition and robust internal development, onsemi has achieved leadership positions in several markets and technologies that fuel its growth, including automotive, industrial, and cloud power. In 2021, to better reflect its broad technology portfolio, differentiated product lines, and market leadership, ON Semiconductor rebranded itself as onsemi. Though there is a new look and feel, the company’s roots are foundational. In 1999, Motorola spun off its standard products semiconductor business into an independent company called ON Semiconductor. Motorola had been a pioneer in transistors, especially for commercial applications. In fact, a Motorola transponder relayed the first words from the moon to Earth in July 1969. Motorola also pioneered the automotive electronics industry, from the first mobile radios in police cars in the 1940s to automotive electric controls and semiconductors in the 1970s. However, Motorola wasn’t the only industry pioneer to provide the foundation for the modern-day onsemi. In 2016, onsemi acquired Fairchild Semiconductor to become a top semiconductor manufacturer. Fairchild was founded in 1957 to build transistors out of silicon rather than the more common germanium. It also pioneered the planar process, making transistors more easily, at a lower cost, and with higher performance and reliability. This planar process led Fairchild to develop the first commercially viable integrated circuit in 1960, which became the foundation for many of the innovations we enjoy today.     Notes: On Semi – Phx, AZ – spinoff of Motorolla in 1999, and had the IPO in 2000 Motorolla spun off to On Semi and Freescale in 1999 Microchip founded in 1989 in Chandler, AZ, and had their IPO in 1993 Many tech and car co’s in Phoenix area: Rivian, Lucid, Atlas, Nicola, Intel, On, Microchip Microchip – work with infrastructure, industrial, cars On Semi – sensors, eyes on trade Power 0 semi – on board charger lighting, power steering   Nvidia & Mobile Eye might make processor for brain, with other parts by SD Micro, & Texas Instruments Could be hundreds or thousands of chips in new car development Hybrids or EV Vehicle Level Z + of chips – Autonomous/AI car Future – more semis in cars, AI in trucks Many AI Car Co’s operate in AZ: Cruise, TuSimple, Waymo, Tesla, Uber   Many Semiconductor (microchip) Co’s in AZ: Intel, Microchip, TSMC – Taiwan Semi Next evolution is 5 Nanometer – AI /autonomous Data Center EV Car Co’s in AZ: Lucid, Rivian, Atlis Motors, Nicola   AZ State has advantages that recruit these Tech Co’s - weather, government subsidies, low regs, no natural disasters, no disruption to supply chain, I-10 and big freeways, easier with transportation AZ tech and industry really grew during WWII, connection with security, move major industries  inland from the coast and potential attack. More major tech establishing hubs in AZ   Big Tech Co’s like Google, Amazon, FB developing their own ASICs (in house components) Application specific- customized chips w/ fast processing & lower costs. Business model – IDM Integrated Device Manufacturer like a One stop shop Then TSMC came along in the 1990’s, changed process, Cost effective   Moore’s Law – tech gets faster and cheaper with better processing power over time, every 2 years, upgrade, and size becomes smaller – ie: I-Phone better than a computer in 1980’s AZ also big in defense industry Co’s: Raytheon, Lockheed, or adjacent like Honeywell   Semi are everywhere – every company is a tech co in some way now Semi/Microchips – cars, phones, fridge, kitchen, i-pad, TV, smart TV, interactive advertising, AI Mosfet – entertainment, traction, steering onboard applications OEM – Ford, GM, Tesla - Electrification of the car, regulations to reduce CO2 Make car lighter – electronic parts   AI – autonomous Improve steering and inner mechanics SmartCar – more sensors, improve safety. More chips. Could lower insurance. Change whole transportation industry. Car drives you.   Fabrication facility – very clean and sterilized. Make a chip wafer design – then cut into smaller chips, ‘dice’. Chip Supply Chain issues – dates back pre-pandemic, circa 2019 Different semi- or microchips, size going to 7 nanometer – size of chips and capacity. Some chips do not have to be as good range .25 micron to nanometer size could be 100x difference. Investments in new tech, and R&D     China Trade War had impact – 2018 Semi industry did not keep up with demand, especially cars. Demand shifter to computers and data centers/servers. Demand for cars returned 2021 and lack of supply last into 2023, cyclical of supply/demand. 5G, AI and infrastructure, capacity improving – doubled in 2 years.     BRT Clip from 3/1/2021 Tech Biz from New Tech of AI Sensors to How to Value a Tech Co Guests: David Schie, Founder / CEO of AI Storm aistorm.ai / www.lineardimensions.com https://www.linkedin.com/in/david-schie-9b02784   AI Storm is a AI company that makes the sensor tech used in common products for security cameras, traffic devices, and vehicles (cars). AI (Artificial Intelligence) common uses in everyday services that people are unaware of, and how the technology works. We also ponder the future uses of AI technology and how many industries it will be a part of in the next decade. Full Show: HERE   BRT Clip from 1/31/2021 Vehicle 2.0 - Tech Meets Transportation w/ Atlis Motors & TuSimple Guests: Mark Hanchett CEO & Founder of Atlis Motor Vehicles https://www.atlismotorvehicles.com/ LinkedIn: https://www.linkedin.com/in/mark-hanchett-amv Mark Hanchatt, CEO and Founder – started 2016, tech background, worked at Axon (Taser) Per Mark - I believe that to change the world we need to build it ourselves. We cannot wait for the government to force it, and we cannot wait for big corporations to innovate. To make this world better, we need to develop the products, technologies, and solutions that make the current standard obsolete. I believe dedication to this is what makes great products and great people. Full Show: HERE     Robert Brown - Senior Director of External Affairs at TuSimplehttps://www.tusimple.com/ LinkedIn: https://www.linkedin.com/in/robert-brown-797085150/ TuSimple is an autonomous (driverless) truck company using AI software to control the truck with a driver riding in the cab. They are operational on a test basis from Az to Texas, and expect to be live in 2024. Robert talks about the technology of the AI trucks, safety protocol, and the process to get Gov’t agreement. Then he tells of the future of the truck market, truck driver employment. Full Show: HERE     Tech Topic: https://brt-show.libsyn.com/category/Tech-Startup-VC-Cybersecurity-Energy-Science   More 'Best of Tech': Here ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT   Thanks for Listening. Please Subscribe to the BRT Podcast.      Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/ Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Mar 21 2022
1 hr 3 mins
BRT S03 EP11 (110) 3-13-2022 – 401K – Turns Spenders into Savers w/ Jean Smart of Penelope & Ted Benna ‘Father of the 401K’
BRT S03 EP11 (110) 3-13-2022 –  Topic: 401K – Turns Spenders into Savers w/ Jean Smart of Penelope & Ted Benna ‘Father of the 401K’     Things We Learned This Week 401K turns Spenders into Savers 401K provides Tax Deferral now, lowers Taxable Income Penelope serves Microbiz, business of 5 – 50 employees who are underserved by major financial institutionsSimplify choices, and streamline the 401K process, reduce fees so all size business can participateTed Benna – Father of the 401K, 401K may not be appropriate to all people or business, choose 401K or IRA based on needs & size of business         Guests: Jean Smart, Founder of Penelope https://www.penelope.co/ https://www.linkedin.com/company/penelopeco Jean Smart is the Founder/CEO. She has overseen the building of a cloud based recordkeeping system from scratch and they have begun to take on clients. I have helped them shape what they are offering using what I have learned working with small businesses. Their goal is to help micro female and minority owned businesses pick the right plan - not just a plan.     Notes: Background – Jean worked in financial industry in benefits department with small & big businesses. Jean is an Immigrant of Korean descent. Worked in family business – had no 401K, could have saved money, maybe $1-5K/yr. 401K plans - complicated, but great opps. , the larger companies 401K plans are robust Plan design, types of investments,  loans, investments, eligibility (F/T vs P/T) 60K funds to choose, complicated – rules and investments Small business defined as under 500 employees, 32 million small businesses. Micro plans – 5- 50 employees   Penelope – give less choice, 10 funds Vanguard – Target Date Funds with management make it simple Conservative setup vs. age of employee – example: 45 yr old employee has 20 year target date funds Target Date Retirement Funds 2020-2065 Automate – or can have blended average 401K – put in $20,500/yr or over 50, additional $6500 up to $27,000 Employee match 3% to 5% and up.   SEP IRA – self employed retirement plan for businesses of 5-10 people. Plan is a little different – put 50K+, also solo 401K – put up to $60K   401K for 10+ employees. Size of business affects what retirement plan business should use. Savings, Penelope story, benefit of saving, Most Americans can’t save $20K or $50K Some IRA options – good for smaller plans Smaller plans – 401K, Safe Harbor 401K, IRA, SEP, Simple Good to have options – 10+ employees 401K, less than 10, SEP or IRA $45K income, put $15K in 401K, taxable income of $60K. Also employee match, take the free money $.100 employees and less, less regulations. Use match to lower fees. Tax deferred – pay taxes when they take money out. Required minimum distribution (RMD) age is 72 to take money out and pay taxes. Penalties 10% at 59, if money taken out before 59. Employer pays cost of plan, Fees – employee costs, AUM fee Subscription based with low fee - $8 per month, $100 per employee Penelope.co (is her 10 yr old daughter’s name) is a micro business with a staff of 10 in multiple locations.  Remote environment (NY, CA, Europe). Started in covid, new business 2021. Outline platform – simple choices w/ 10 options, Vanguard Target Date SaaS Platform – B to B, enterprise type setup w/ Education  videos Capital Raise – Safe Harbor 401K – target fund is core plan   VC backed , has investors – 3 institutional investors with Seed 1, then seed 2 later in 2022 Respect the Founders, business owners – it’s hard. Modern day tech has more advantages and tools to help a small business. Guts – get numbers. TAM,CAC, product market fit super rewarding, small company, create business. No sleep, frenetic – but normalizes like solving puzzles.   Have to prove model works and add options (example: IRA), then Out of Stealth Mode to active PR and Press release, partnership event Women led businesses and immigrant businesses Demos and proving market fit 401K is for savers.       Guests: Ted Benna, Benna 401K http://benna401k.com     Ted Benna, Father of the 401K, has worked in pension and retirement benefits industry for 60 years, and literally wrote the book on the 401K. He was a pioneer in the early 80s in designing the early 401K Plans, and then getting them approved by the IRS to be the model still used today.   Books:  401K Forty Years Later (2018) – history of the 401K 401K & IRA for Dummies Updated Version (2021)   Notes: Pandemic, Inflation, Market is down Think long term with 401K, 15-20 years to retirement If closer to retirement, less risk exposure, less equity investment Ted Benna history with 401K, should not be sole plan for retirement, Diversify portfolio with life insurance, and real estate. Biggest benefit of 401K – turn spenders into savers People have other expenses, kids, house, bills, etc., hard to save $ money  Companies can help employees save more for retirement. 401K is tax deferred – lower taxable income today and pay taxes at retirement. Help lower taxes and speed up savings. 401K changes Ted would recommend – 50% workplace has no retirement plan, states like CA & OR are working to mandate this. 401K was hijacked by financial institutions. Fees are too high, need less expensive plans for small business employers with 2.75% fees. 401K is not always best solution for all business, may need IRA, alternative investments, depends on size   Jean Smart of Penelope created a transparent 401K plan with low fees and all disclosed. Ted Benna worked with Jean Smart at Penelope to design good plans w/ low fees. Get right plan for small business employers  - 401K may not be the best plan. 4 different types of 401K plans   Financial Advisors and services just sell 401K. Market for small businesses is not lucrative. People who work hard, but can’t fund retirement. Micro businesses need help, business with  5-20 employees, minority and female owned businesses.  Employers pay setup and maintenance fees. Employee pays .5% fee just for investment part.     Ted Benna 1st appearance on BRT Podcast in 8/2021 Topic: Ted Benna, the Father of the 401k Covers It All, History, pensions, Fees & More Full Show: HERE     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here   Thanks for Listening. Please Subscribe to the BRT Podcast.      Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Mar 15 2022
1 hr 10 mins
BRT S03 EP10 (109) 3-6-2022 –  Topic: Best of Host Matt on Business Topics – McDonalds, Apple, Disruption, 80/20
BRT S03 EP10 (109) 3-6-2022 – Topic: Best of Host Matt on Business Topics – McDonalds, Apple, Disruption, 80/20 Things We Learned This Week What Business Are You In? - McDonalds is a Real Estate Company Disruption in Business & Tech World - How to Handle The Innovator's Dilemma 80/20 Principle summed up is, 80% of outputs come from 20% of inputs – Focus on the 20%Steve Jobs 1997 Return to Apple – The Power of Focus & Simplify, Say No often, choose wisely       Seg. 1 of 2/9/20 show – MB on What Business Are You In? - McDonalds is a Real Estate Company   What Business Are You In? - McDonalds is a Real Estate Company   Replay Clip from 2/9/20, where Matt talks about the biggest franchise of all, and what their real business model is. McDonalds has built an business empire thru Real Estate, not burgers.  The Dollar Menu is designed to get customers in the door. McDonalds loses $ when people purchase from the dollar menu, it is a Customer Acquisition Cost (CAC). This is also called a ‘Loss Leader’, selling a product at a low cost to get customers. McDonalds then makes money when people buy more, and off return business. McDonalds is one of the biggest Real Estate companies in the world. The stock is valued on the $37 Billion in Real Estate they own. They make money as a landlord, because the franchisee is their tenant. The Founder – business movie biography of Ray Kroc. Kroc started as a milk shake salesmen to the McDonalds brothers in California, then went on to create the franchise system we know today. The first President of McDonalds Franchise (Harry Sonneborn) helped Kroc create the real estate model that the franchise was base on, and used to scale to a billion $ company. Internally McDonalds used the Brother’s Speedee Service System created pre-Kroc. The Question ‘What Business Are You In?’ comes from business consultant Peter Drucker. Business owners need to understand what problem or service they really offer their customers. Ie – Starbucks is in the Customer Experience business, not coffee, but the atmosphere of drinking the coffee   Full Show: HERE     Seg. 1 of 2/16/20 show – MB on Disruption in the Business World – The Innovator’s Dilemma   MB on Disruption in Business & The Innovator's Dilemma book by Clayton Christensen   Clayton Christensen’s book, “The Innovator’s Dilemma” Tech Disruption – technology changes and a small company startup can up-end big tech companies. Hence,  disruption - the power of disruption, why market leaders are often set up to fail as technologies and industries change and what incumbents can do to secure their market leadership for a long time. Innovator’s Dilemma – how can big companies stay up with tech changes and pivot without hurting core business? All businesses (including tech companies) have trouble with disruption.   Example: Blockbuster – rented movies, DVDs, lost market share to Red Box (vending movie rental), then both disrupted by streaming movies. Music industry went from records to cassettes to CDs to streaming (Napster). MySpace taken out by Facebook in social networks. Yahoo search taken out by Google (controls 75% of the search market) Kodak afraid to get out of film business and passed on digital film, lost market share.   To solve the Innovator’s Dilemma, big companies acquire smaller tech companies; have in house R&D to be ready for next tech wave. Steve Jobs of Apple was very influenced by  Innovator’s Dilemma  and took this idea seriously. If you do not try to put your company out of business (w/ disruption / new tech), someone else will. Jobs was not afraid to innovate, and cannibalize his own company and products to stay relevant. Apple created iPhone, and now computer is in your pocket Peter Thiel – “Zero to One” book - Great innovation is not A to B to C, it is vertical, jumps curves. Current smart phones have more computing power than a computer 20 years ago. Guy Kawasaaki (former Apple) Talk - “12 Lessons From Steve Jobs”   Full Show: HERE       Seg. 2 of 7/5/2020 show - MB on the 80/20 Principle     MB on the 80/20 Principle   80/20 Principle summed up is, 80% of outputs come from 20% of inputs Other examples - 80% of sales comes from 20% of sales people Microsoft – 20% of bugs caused 80% of problems 80% of client issues come from 20% of clients You make business decisions based on the stats, and data on how to manage process and clients.  Hence, you may fire bottom 10% of clients to cut out issues Very few things create a lot of your results – could actually be ratio of 90/10 or 70/30. Analyze who are top 20% of clients and get more of the top 20% types to grow business. Also named Law of the Few or Pareto’s Principle  Vilfredo Pareto studied land,  & farming in Italy, he realized 80% of land in Italy held by 20% of population. Joseph Juran  - expert in efficiency and quality coined “Pareto’s Principle” Richard Koch – wrote 80/20 Principle book in 1998. Koch was a Bain & Co. consultant – worked with Bill Bain. Koch said Bain was smart and lazy. Bain hired young brilliant and “cheap” talent, less accounts, but great customer service. Focus Time on Key 20% effective work for best results to grow business. ‘To Do’ List can only have a few high priorities per day, focus on important tasks     Full Show: HERE           Seg. 2 of 7/19/2020 show - MB on the Steve Jobs Return to Save Apple in 1997     MB on Steve Jobs Return to Apple – Power of Focus & Simplify   Apple is an iconic brand with Apple symbol with a bite – symbolizes we use computers to unlock knowledge. Iconic products – Mac, IPad, IPod, IPhone to become 1st Trillion $ company – few companies have hit that valuation ‘Dare to be Different’ Steve Jobs was forced out of Apple and created 2 companies – Pixar Animation (purchased later by Disney) and NEXT Computers, purchased by Apple in 1996 – Steve Jobs back in Apple. Apple was failing at the time. Steve Jobs was made CEO again, had to save the company. He got a loan of $150 million from Bill Gated at Microsoft , Microsoft and Apple were bitter rivals for the past 10 years.   First move – Simplify. Cut products and focus, make a list off of 10 items & cross off 7. Focus on 3 ‘Think Different’ ad campaign and Mantra. Products were beautifully designed, sleek and easy to use. Do less and do it better. Focus, then simplify. Then say NO often Very careful in deciding what NOT to do. Meanwhile, Microsoft was bloated and unfocused – would spend the next 10 years lost with Steve Balmer as CEO. In 2011 – new CEO at Microsoft and rebound with Cloud Business – last 8 years.   Jobs understood importance of not only what you do, but also what you don’t do. Opportunity Cost – if you put time and energy in one direction or business, you may miss out on a better business opportunity.  Pick your opportunities carefully in business and life. Pick your partners carefully. Know your business, product, the problems you solve. Team gets this also, so do your customers. Creates fans of the company, who are also customers.   Full Show: HERE       Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement   More - BRT Best of: https://brt-show.libsyn.com/category/Best+of+BRT   More 'Best of Investing': Here     Thanks for Listening. Please Subscribe to the BRT Podcast.        Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Mar 7 2022
40 mins
BRT S03 EP09 (108) 2-27-2022 – M&A from the Deal Room to a Science w/ Kison Patel
BRT S03 EP09 (108) 2-27-2022 – Topic: M&A from the Deal Room to a Science w/ Kison Patel   Things We Learned This Week Process of Valuation – old process of value may not apply, have to adapt Agile M&A – use software to keep real time updates in an M&A dealDeal Room – founder story, realized problems in industry, fix problems to Maximize sale value, then Prep business for sale M&A – diligence stage at the start, risk assessment by the team, then value creation for post dealIP – Intellectual Property – deals can be done for the IP, tech, trade secrets, customers, team / workforce & key people   Guest: Kison Patel, Founder and CEO of DealRoom Websites: https://www.mascience.com/      https://dealroom.net/ Amazon Book - Here LKIN - https://www.linkedin.com/in/kisonpatel   Kison Patel is the Founder and CEO of DealRoom, a project management software for complex financial transactions. In addition to that, he is also the Founder and CEO of Agile M&A, Founder of M&A Science - a community of forward-thinking M&A practitioners on a mission to perfect the M&A practice.     Kison is also the host of the M&A Science podcast, an educational podcast exploring the intricate world of M&A with industry leaders and practitioners. He helps men and women, the general public, or people looking for career paths and may consider a career in M&A. Books – M&A Tactics, Agile M&A, & LinkedIn articles   Notes: Kison Patel Bio – pre Agile M&A, was in Real Estate, 10 years in M&A as advisor in finance & hospitality. How valued – old ways of M&A pre 2000, security of info and paranoid attitudes, confidentiality and legal setup of deals. Agile update to M&A deal structure using software for real time updates Disruption – of your own company to evolve and improve, grow How tech plays a role Deal room started in 2012 – founder story, realized problems in industry, fix problems Maximize sale value, then Prep business for sale Buy Side and Sell Side Consulting, has experience in both areas Deal Room is project management in M&A deals. Keep up with info. Manage deals better with project management workflow and integration, post sale and pipeline functions - Lifecycle of a M&A deal. Industry was siloed – fix and recommend best practices. M&A – diligence stage at start, risk assessment by the team then value creation for post deal. Old school M&A process works in silos and not sharing enough info. Plan post sale work and create value. Big company buys smaller company – Why purchase? Customers, tech Figure out who stays, goes in an acquisition deal IP – Intellectual IP, tech, trade secrets, customers, team and workforce and key people. Contract and buy a business for tech talent or engineering talent for software, AI. Deals are not always about finances- Example: crowd stake corners a market with M&A department Example: Zoom went from database to full service platform – acquired for practibilities. Example: Toyota evolving into a software company. Buying business to get engineering talent. Old ways to integrate may not apply. Disruption- do not be next blockbuster. Pace of disruption increasing – example: pandemic. Agile Model – adapt business, change culture, change oriented shift from finance approach to people focused approach. Organizations cannot change organically fast enough, so buy other companies and merge into organization. Example: print media company switches to online publications. Review your business from outside view, failure points, identify problems. People need compelling reasons to change. Advisor Team – lawyers, CPA, CFO, Investment Bankers, HR, Tech Integrate what you buy and merge culture of main business with acquisition without ruining culture. ETA  of a deal – varies, could be years – dedicated team to manage. Buy Side – Defined strategy on why you are buying, avoids internal conflict – team is clear on buying. Model in synergies, distribution models for revenue growth. Sell Side – why selling? Get best price or legacy and take care of employees and continue business. PE firm selling off entity to cash out or Business sell off line that does not make $ anymore, or Business is failing and liquidates Investment Bank for auction process (deal broker for company deals). Letter of Intent – LOI – offer to buy. Exclusivity period – do due diligence pre-sale. Can be risky if skip this step. Key Value Drivers of a Deal – what is of value, and what can scale after         Private Equity / Adam Coffey Topic: Here   ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here   Melissa Diaz / M&A Topic: https://brt-show.libsyn.com/size/5/?search=melissa+diaz Franchising / Jon Ostenson Topic: https://brt-show.libsyn.com/size/5/?search=franchising Valuation Topic: https://brt-show.libsyn.com/size/5/?search=valuation     Thanks for Listening. Please Subscribe to the BRT Podcast.      Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Feb 28 2022
57 mins
BRT S03 EP08 (107) 2-20-2022 – Valuation of Cannabis Co’s w/ CPA Josephine Giordano
BRT S03 EP08 (107) 2-20-2022 – Valuation of Cannabis Co’s w/ CPA Josephine Giordano   Things We Learned This Week Risk Assessment in Cannabis industry and valuation as still federally illegal, and heavy cash business needing tight cash controls Business Valuation approach of Discounted Cash Flow is used, with more adjustments because of less historical dataCannabis License is the IP – difficult to obtain, as Biz technically does not ‘own’ the license, but buys seats on a board, hence banks will not lend on the License Cannabis Adjacent Business are doing very well (ie – Real Estate, Suppliers, Prof firms, banking), profiting off the growing industry, while not being hampered by as many regulationsCannabis Industry may be Recession Proof as it thrived during the Pandemic   Guest: Josephine Giordano, CPA, ABV, CFF, CFE, CBA, ASA, CDBV, CIRA, CICA, CTP, CCCE Director in the Financial Forensics and Business Valuation Services Group National Cannabis Practice Leader        BeachFleischman https://beachfleischman.com/about/leadership-team/josephine-giordano/     Josephine Giordano is a Director in the Financial Forensics and Valuation Services Group and National Cannabis Practice Leader at BeachFleischman PC. Ms. Giordano’s extensive experience includes the areas of internal audit, banking, regulatory compliance, fraud investigation, forensic accounting, public accounting/tax, business valuations, bankruptcy & restructuring, turnaround management, expert witness, court-appointed receiverships, and special master and compliance monitoring appointments. She also holds an MBA in corporate finance. She has been consulting and doing accounting for over 25 years, with the last five, working in Cannabis.   Notes: Adult use was legalized in 11/2020, and started ops 2/2021 Dept of Economic Research (AZ Dept of Rev) $1.2 billion in sales thru 11/2021, Adult total sales $520 million Medical (2021) - total sales $700 million; sales tax 459 million Sales tax $44 million, Excise tax $93 million 2022 expectations to be bigger Valuation of cannabis business  - new sector, does not have comparison data of 5+ years business sales. Compare current industry numbers and do estimates, guesstimate – especially if business not profitable. Challenge to determine FMV (Fair Market Value) Cannabis in AZ – buy board seats to control license, do not buy license Large MSO – multi state operators  - example: CureLeaf. Risk factors – Risk vs. ROI (Return On Investment) Company specific risk- regulations, banking and tax laws in cannabis. Tax risk – 280 E, cannabis is Fed. Illegal, so limited deductions, equals high federal tax, affects cash flow. Regulatory risk – Federal government can shut down. Apply risk component to income stream, higher risk will lower value Income approach and DCF model, discount cash flow vs future sales projections. If federal changes regulations and laws – then expense write off of tax, and other banking and legal expenses will be lower. Risk – with staff and Keyman Regardless of risk – MSO paying premium for access to license MSO knows risk and costs. Valuation numbers do not entirely make sense- CureLeaf deal late 2021, $12 million cash plus $1 million stock. Earnings and EBITDA are standard metrics that cannabis does not use vs standard co. like industrial (plumbing, A/C) Lending in cannabis deals – hard to get money, Cannabis could not PPP loans Banking regulations – cash business and has risk with theft and fraud. Can only use state banks vs national like Chase or B of A. Access to capital is tricky, how to get money to buy out partner. Canadian market doesn’t have good comps or data, different accounting rules vs. US. Banks want collateral, like real estate. Do not want to lend on license. Hard to determine the future earnings & cash. Private money will do lending with high interest rates of 10%. Barriers to entry – need cash money to get into industry, lots of cash, but lots of sales potential Legalization on Federal level – affects tax, banking, lending, expenses, cash flow. Operators – have to be good at business, operations, finances. Business Sale – due diligence, must be organized internally, especially financial info Investors want to see good books and efficient operation State regulators can strip or shut down a license for non-compliance.       Cannabis Topic: https://brt-show.libsyn.com/category/Cannabis-Hemp-Marijuana   ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here     Thanks for Listening. Please Subscribe to the BRT Podcast.    Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Feb 21 2022
55 mins
BRT S03 EP07 (106) 2-13-2022 – The Science of Hitting (TSOH) & Investing w/ Alex Morris
BRT S03 EP07 (106) 2-13-2022 – The Science of Hitting (TSOH) & Investing w/ Alex Morris Things We Learned This Week The Science of Hitting (TSOH) comes from the Ted Williams baseball book on batting and strike zone observations: ie – he tracked his average in each zone of the batter box, and had a higher average when he swung at pitches in a certain zone TSOH Investment Philosophy is Value Investing, classic Graham / Buffet style – buy high quality co’s w/ good mgmt, L/T trends, and a Moat - Buffet quote: Investing is a game with no called strikes…can just wait for your pitchLong Term Investment Horizon – looking 5 to even 10 years out, for earnings and sales growth Key Value Drivers for a stock - Earnings Growth & quality of earnings, Price & Sale increases, ‘volume growth’P/E Type Metrics & GAAP Accounting is helpful but may not be useful with R&D, future sales, and volume growth. Example: Netflix – analyze cash expenditures vs. financials which have improved , what are the L/T – trends   Guest: Alex Morris, TSOH Investment Research Blog - https://thescienceofhitting.com/p/my-investment-philosophy LKIN - https://www.linkedin.com/in/alex-morris-cfa-47b87027/ Twitter - https://twitter.com/TSOH_Investing     Alex Morris, CFA publishes equities research through the TSOH Investment Research Service on Substack. He has written investment related articles on Gurufocus and worked in the finance industry (RIA's) for the past 10+ years. He is a CFA® charterholder and graduated with my MBA from the University of Florida in April 2015. Prior to starting his TSOH service, he spent ten years as an Equity Analysts at financial firms. Alex started his investment career in college, and his first writing was published in Seeking Alpha. If you like to discuss investments (equities) or if you're interested in talking about the TSOH Research Service, please let him know. The TSOH blog and service is full of deep dives on stocks Alex is researching plus quarterly updates of his personal portfolio.   TSOH Investment Philosophy – summarized   Asset Allocation –  Structural vs Tactical & Cash portion L/T Holdings – Seth Klarman style, hold for years, compound the investment. Be a Long Term owner of a business vs short term speculation / trading S/T trading – competitive, market timing, tax treatment.                                                                 High Quality Businesses – Charlie Munger Intrinsic  Value – how to calculate? P/E and other market changes are minimal over L/T Mr. Market analogy – Ben Graham 4 Criteria: Industry with tail winds, top line growthHigh ROIC, Economic MoatGood Balance SheetRun by manager with L/T Horizon and skill. *capital allocation Not all TSOH picks have all 4 criteria. Chuck Akre quote – allocate dollars to business, occasionally get bargain prices. Many businesses are eliminated by these criteria – less than 100 5-15 positions   KPI’s  or Key Value Drivers  - Earnings Growth,  quality of earnings, Price & sales increases, ‘volume growth’ - Be warned - Shareholder re-purpose can be value trap   Concentrated Portfolio – Druckenmiller quote – 2 opps/yr, eggs in 1 basket, watch basket. Balance of patience and conviction Money managers and investment advisers can’t be patient. Munger story on horse track – winners bet seldom, but bet big on good opps Use a model to keep yourself honest and rational, but do not over-rely on the model Financial Model – careful with inputs and outputs. Guardrails   Opportunity Cost is too high when you find a good long term company to invest in Analyze Long term earnings growth and discount it for a valuation – identify key drivers of value creation for sales growth Berkshire Hathaway letters are big inspiration Own high quality business, with competitive advantages, in attractive markets w/ sustainable growth, strong balance sheet and good mgmt team Focus on the opportunity, and long term horizon - L/T over S/T     Notes –   Book Recs: One Up On Wall Street by Peter Lynch (How to analyze on business) Berkshire Hathaway Shareholder Letters (in full), or Essays of Warren Buffet (summary w/ lessons) Common Stocks & uncommon Profits by Phil Fisher Prefers Business Books – can learn more from reading bios like Spotify Story, or Air BnB   Read a lot, stock data, financial news stories, etc. – Be Well read, determine if info is noise or real info Analyze a company in a detailed fashion, but be unbiased, do not fall in love w/ the stock Costco example – volume is critical in low price biz, check sales per warehouse FB  / Meta example – has issues, security, regs, privacy Long Term Plan - Metaverse & VR, many years away, Bought Oculus (VR glasses co) Made $10 billion investment loss in Metaverse vs. $57 billion opp income in 2021, (EBIT) is normal Spinoffs – views them as financial transactions   Manager Analysis – manager drives business, really defines direction and thme of biz Lynch quote of ‘idiots’ running a business, does not apply anymore Good business sell during all Macro factors   ie: Costco – Alex doesn’t own, but great business   Mistakes – Buffet missed on Google and Amazon, Lynch missed on Amazon TSOH Blog: Returns and Lessons Learned – reviews past mistakes https://thescienceofhitting.com/p/returns-and-lessons-learned Failed with JC Penny stock buy. Missed on Costco and Google.   Microsoft – change in CEO, Balmer out. Satya Nadella in – revived company with Cloud business and compete with AWS., MicroSoft  - P/E was expensive 2014, but analyze business and it was cheap. P/E – Metrics and GAAP accounting is helpful but may not be useful with R&D and future sales and volume growth.  Example: Netflix – analyze cash expenditures vs. financials which have improved            L/T – trends  ie - Disney, Netflix – streaming wars (SPOD business) Netflix – 200 million subscribers worldwide on way to global business scale Sports only current ‘Watch Now’ show, streaming moving to sports PGA Tour went to Netflix, Direct TV losing – NFL Ticket will be up for bid Disney – IP with content to use in streaming content. Other competitors  - Comcast  / NBC Peacock has had little success in US and more issues with licensing worldwide, Sony licenses content Warner Media/ HBO MAX spin off and merge with Discovery Per Book on AT&T, mismanaged Warner Disney does not have enough adult content Branding – Coke, Pepsi , and ?? Only 2 big players in each industry.     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here   Thanks for Listening. Please Subscribe to the BRT Podcast.    Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Feb 14 2022
1 hr 13 mins
BRT S03 EP06 (105) 2-6-2022 – Adam Coffey - From Private Equity to The Exit Strategy Playbook
BRT S03 EP06 (105) 2-6-2022 – Adam Coffey - From Private Equity to The Exit Strategy Playbook Topic: Adam Coffey - From Private Equity to The Exit Strategy Playbook Things We Learned This Week Adam Coffey past experience in Private Equity (PE) puts him in a unique position to consult on buying, selling and running business from Purchase to ExitBuyer Types – Strategic and Financial -  Light On / Lights Off, what to do with the old business that was boughtPrepping the Business for Sale – takes 3 years, organization setup, due diligence prep, financial infoAdvisory Team – importance of building a good and experienced team of advisors (CPA, legal, investment banker, consultants), the wrong team could you lots of $Sales Process – Mgmt Meetings, due diligence, LOI, NDAs, and more due diligence     Guest: Adam Coffey, author of The Private Equity & Exit Strategy Playbook LKIN: https://www.linkedin.com/in/adamecoffey Website: https://adamecoffey.com/   Adam Coffey - CEO, board member, best-selling author, Forbes Business Council member, and an acclaimed guest speaker, Adam Coffey, is an inspiring and authentic leader who creates high-performance cultures and drives transformative growth.  Over the past 21 years, he has had the honor of serving as President and CEO of three national private equity-backed service companies, each in different industries. Two of the three companies he built achieved enterprise values of $1B. Throughout his career, Coffey has a proven track record of achieving notable outcomes for stakeholders. His career average at exit is 5x MOIC (Multiple of Invested Capital). Coffey is an active mentor to MBA candidates and is a regular, favorite guest speaker at UCLA. Coffey, who considers himself a blue-collar CEO, has a diverse background. He has led several commercial and industrial service businesses, is a licensed general contractor, a pilot, a former GE executive, an alumnus of the UCLA Anderson Executive Program, and a veteran of the US Army. Coffey’s first book, The Private Equity Playbook, was released in February 2019 and became an instant #1 Amazon Best Seller and private equity cult classic. His second book, The Exit Strategy Playbook was released in September of 2021 and also was a #1 Amazon Best Seller. He was named one of the “Most Influential Leaders” by the Orange County Business Journal in 2018, 2019 and in 2020 and 2021 was named to their prestigious "OC Top 50". Coffey makes his home in Westlake, TX with his wife and young daughter.   Exit Strategy Playbook Notes: Part One: The Universe of Buyers and Exit StrategiesAnalogy is “Lights On or Lights Off?” describing types of buyers like strategic buyers, financial buyers and alternative selling approaches. Some strategic buyers want the business for the tech, talent or intellectual IP. Some buyers want the customers, or geography of the business. Some Strategic buyers may take the talent and IP, and then close the business down over time (lights off), meaning they do not need redundancy like managers or HR, etc. A financial buyer does not work in this industry or have a tem. They would buy the whole business and look to keep the owner, management and tem together to keep running the business (lights on). Part Two: Prepping Your Business For Sale You have to prep your business for a sale, think 3 years ahead. You must present your company to various possible buyer groups and be organized. The importance of financial reporting, also includes; outsourcing; legal; serving up EBITDA; cash vs accrual GAAP; how to handle real estate holdings; operations; successor planning; and growth projections. Part Three: Build Your Advisory Team Coffey talks about the fact you need strong and experienced advisors in the sale process to prep for  the qualified buyer. He means tax advisors and accountants; lawyers; and a broker like an investment bankers/transaction advisor. He reviews costs, timelines and where each assists a seller. If you do not have a good team, the buyer could take advantage of you (especially if they are experienced), and the costs could be hundreds of thousands to millions $. Part Four: The Sales ProcessHow the process actually works from management meetings to the transfer of the business post sale. Selling a business is like a second job, you still run your company and need to maintain profits while meeting with buyers and advisors. There are different type of buyers and you need to determine the real buyer interest. You ramp up the process with the hot buyers and cool the process with lesser buyers. A good investment banker can manage the process. There are NDAs, LOI (letter of intent), disclosure of financial info, more due diligence, surprises, initial meetings, then detailed meetings. Thru the whole process the seller must be on his A Game.   Clip from Adam Coffey 8/2020 Guest Appearance on Private Equity: https://brt-show.libsyn.com/brt-ep-30-8-30-20-the-private-equity-playbook Peak behind the curtain of Private Equity, and learn how companies are bought, managed, financed, plus what metrics (EBITDA) are used for valuation. Unique perspective from someone who has run companies for PE Firms for the last 20 years. Learn the secrets, and why Execs at companies should consider working or selling to a PE Firm.     Private Equity Topic: https://brt-show.libsyn.com/category/Private+Equity-Valuation-MandA-Franchise-Business+Broker  Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here   Thanks for Listening. Please Subscribe to the BRT Podcast.    Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/     Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Feb 7 2022
1 hr 16 mins
BRT S03 EP05 (104) 1-30-2022 – Cannabis M&A from the U.S. to the Canadian Securities Exchange with Richard Carleton
Topic: Cannabis M&A from the U.S. to the Canadian Securities Exchange with Richard Carleton   Things We Learned This Week Cannabis is federally legal in Canada, stocks are listed on CSE (Canadian Securities Exchange)Cannabis Companies in U.S. are listed on the CSE to raise money $ MJ Biz Con in Las Vegas – epicenter of industry, annual event in November  each year, all facets of industry go Cannabis still illegal federally in U.S., state by state setup, and no movement on Fed regulationsM&A action in the U.S. was at an all time high, and there will be more because of supply and demand of Cannabis state licenses     Guest: Richard Carleton, CEO of CSE (Canadian Securities Exchange) https://thecse.com/en/about/our-people/management-team https://ca.linkedin.com/in/richard-carleton-3b460416   Richard Carleton was appointed CEO of the Canadian Securities Exchange in July 2011.  During his tenure, Richard and the CSE team have positioned the exchange to take a leading role in the provision of public capital to entrepreneurial companies; since 2014, the CSE has set a series of records for new listings, capital raised by issuers and trading turnover.  An early advocate for the cannabis industry, the CSE is the global exchange leader in the sector.  Recognized by the Financial Post Magazine as one of Canada’s “25 Cannabis Industry Power Players”, and a recipient of the American Trade Association for Cannabis and Hemp’s “Captain of Industry” Award in November 2018, Richard is a frequent speaker on early-stage company finance issues around the world, and involved in Canadian Securities for 30 years.   Notes: 2021 Year synopsis: US Cannabis biz and shareholders retail with limited institutional money involved, Challenges for US investors to invest limited access OTC markets -  example: Robinhood Canada Legal for medical use circa 2014, 2017 recreational use. Federally legal in Canada. Most large US operators on CSE, US companies operate in specific states, but listed on CSE for raising money, as Rules similar between CSE and US Stock Exchange   OTC markets to trade cannabis - Retail oriented with US companies and not much institutional US money vs. private equity from Canada investing. 2022 Year Outlook – expect more retail investors to get involved through ETF and more OTC, also big operators expand and buy more thru M&A, especially in NY and other east coast states new to Cannabis MSOS – ETF, can invest in.   MJ Biz Vegas – epicenter of industry, annual event in Nov each year, all facets of industry go. Asset valuations – recovery of share price for multiple cannabis stocks, sales increasing, raised money, 4.8 billion in 2021, good balance sheets, economies of scale Companies used invested capital for M&A to grow size of business and scale, sales plus. IRS ACT and US Federal Government made little progress on cannabis and still Federally illegal, so late 2021 assets and stocks were sold and gave back some value. Probably little movement on cannabis in 2022, though Stocks not getting love, fundamentals of sales and growth are good. More states in the US legalizing soon, especially in the East coast.   Big Themes – cannabis companies able to raise debts (bonds) at reasonable rates, vs. past 15%. In past few years, Canadian companies over invested in cannabis. US companies benefited from that experience and learned from Canada. $5.4 billion raised in exchanges. $4.8 million by US operators vs. 2020 $2 billion, 2018 #3.5 billion Secondary offerings vs. IPO (1st)   Private placement  - hold stock and buy at discount, but can dilute current shares. Offering with Prospectus – public offering – everyone can invest at the same rate, no hold period. * Early stage companies, pre-revenue, R&D companies, mining exploration companies * Tech, block chain / crypto, Life Science – psychedelic space and medical space, mental health. Cannabis industry paved the way for life sciences and mental health. Drugs and pharmacy applications and work for FDA approval – long process and lots of financial investment vs. cannabis / retail and quick turnaround – recreational.         Guest: Melissa Diaz w/ Rebel Rock - customized accounting solutions, HR, and M&A for the Cannabis industry in AZ https://rebelrock.co/melissa-diaz/   Melissa’s accounting experience as a CPA spans numerous industries, both domestically & internationally, including healthcare, hospitality and, of course, Cannabis. In addition to co-founding and serving as CFO to Rebel Rock, Melissa is CFO and Shareholder for High Rock Accounting, which places an emphasis on utilizing technology to strategically make day-to-day and long-term financial decisions, while pursuing company goals and compliancy. At High Rock and Rebel Rock, Melissa helps companies remain competitive and efficient in increasingly high-pressure and high-stakes environments. Starting in 2016 she started branching out into the Cannabis industry.   Notes: Regulations and Reform on the Fed level, Safe Banking Act – no movement or reform in cannabis, no Federal banking in cannabis. Can only bank with state charter bank, may not lend money. M&A activity in 2021 – 3x increase because it was tough to get loans, so private equity and other big players had money to buy in. Growth through acquisition – buy other business to build your organization.   In cannabis, tough to franchise since it is a state by state business. Sometimes the only way to get into a state is to buy in. No uniform regulations on Fed level. Do not Buy the Cannabis Operator License, technically buy seats on the board, then control license. Have to gain multiple seats to control the License. It is difficult to get a bank loan in cannabis, operator cannot use the license as collateral.   MSO – Multi State Operators REITS – investing in property, get 1st position. First mover has huge advantage. Example: Cureleaf – large MSO. Purchased Blume Dispensary for $211 million vs. $66 million. All cash deal want license IP and zoning/physical location. M&A – Mergers & Acquisitions Merger - 2 companies come together Acquisitions – 1 company buys the other company in a Stock or cash setup, ie - 50% cash / 50% stock. An acquirer may pay all cash if competitive because of supply and demand. 136 Cannabis Licenses in AZ plus some rural license. Example: Yuma or Gila Bend. The 136 core licenses in bigger cities are more valuable.   Large MSO Cannabis operators like Harvest, Verano, Cureleaf own many licenses – consolidated. Cannabis in AZ is a maturing market. Florida is similar. Alabama and Missouri are newer markets. Different states have different rules. Edibles and children packaging – child safety (gummies) Nationwide – more private equity, but slow because of risk.     Cannabis Topic: https://brt-show.libsyn.com/category/Cannabis-Hemp-Marijuana   ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here     Thanks for Listening. Please Subscribe to the BRT Podcast.      Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/     Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Jan 31 2022
1 hr 5 mins
BRT S03 EP04 (103) 1-23-2022 – Alternative Investments, Crypto + Trusts & Asset Protection
BRT S03 EP04 (103) 1-23-2022 – Alternative Investments, Crypto + Trusts & Asset Protection Topic: Alternative Investments, Crypto + Trusts & Asset Protection   What We Learned This Week Alternative Investments like Crypto, and techniques of Staking & MiningReal Estate Deals - AirBnB & BRBO, vacation rentals, use AirDNA site for infoAsset Protection - defend vs lawsuits, creditor protectionDeferred Sales Trust - Sec. 453 receive payments in installments to defer taxesTax & Estate Planning (w/ exemption)   Guest: Denver Nowicz, President - Wealth For Life http://wealthforlife.net/     Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.   Notes: Wealthy – Need to be careful, as to not lose wealth with potential opportunities that can be risky. With risk, always come potential for huge losses. How do you evaluate? Build financial structure first – offense/defense, then you have money to invest that could be lost.   Crypto – learn about all types of asset classes, Crypto has bi opportunities with big risks, so do your homework first like any investment Areas of Crypto that can be lucrative besides owning coins, like yield farming (loan $), staking (verify transactions) and mining for Crypto coins Blockchain is a digital ledger (based on primary nodes), you can see the transactions, so it can be stable Stocks are liquid, easy to get in & out, use exchanges and low fees. Crypto is not as liquid, hard to get out. Fees can be high in crypto liquidity pools, farming, staking. Coinbase – marketplace for Crypto that makes it easier to take possession, has more liquidity and can be exchanged to cash money USD. Crypto uses a digital wallet to take possession (digital file) and complicated long passwords Bitcoin – seen as digital energy, a store of value Ethereum – has value in Ether coin plus technical use as a programming source use in blockchain utility. Crypto is worth learning (especially staking and liquidity pools), but it is tough, so get a mentor   Framework – offense/defense Exit strategy – sell business or get stock option   Cash flow producing real estate rental properties can be competitive with low yields in long term rentals AirBnB and BRBO – short term rental setup, use website like Air DNA for research Can own an Air BnB property and be active investor. Passive Investor – invest in real estate deals, own multiple properties, also *get tax benefits of depreciation, more efficient Vs. REIT – no tax advantages, and have yearly income that is taxed. Syndicated Real Estate deals – passive deals to invest in big real estate deals as a group Leverage – get the most of your money, use little of your $, but control a lot of assets, control dollars with pennies invested, understand Arbitrage opportunities (buy at low level, sell at higher level) and leverage   Business Ownership – many advantages with corporate structure for tax write offs Understand tax brackets and tax buckets as a business owner and investor Business owners can save money long term with proper retirement and income planning, plus tax planning. Chasing Rate of Return - never going to get enough ROR to cover bad tax strategies at 35%. Stop unnecessary losses with taxes, have a long term plan to lessen the tax blow, and even eliminate .       Guests: Ike Devji & Michael Ferrin of Davis Miles Law Firm https://www.davismiles.com/ Ike’s expertise in the areas of asset protection, trusts, LLC,, off shore asset protection, and lawsuit protection strategies. Ike also covers areas business owners should consider when selling their business. He is an AZ resident for 40 years and graduated from University of Arizona who has spoken , taught classes and written numerous articles on asset protection.  Mike’s practice focuses on business and real estate transactions, business entity formation, business succession planning, contracts, estate planning and asset protection planning.   Notes: Asset Protection – protect assets like real estate or business vs lawsuits and creditors Estate Planning – protect personal assets and real estate, to leave to your heirs in orderly fashion, avoid probate or other legal issues with trusts, wills, and proper legal setup   Business Owners – if you plan to sell a business (exit strategy) or retire, plan early and have legal setup in order                                                                                                                                                        Sale Transaction – receive lump sum of money, or payments, want a setup to protect proceeds from creditors or taxes (capital gains tax of 20%) to pass to heirs, amount taxed is based on basis, and purchase price vs gain on sale, like real estate – be aware of depreciation / amortization recapture   Good Team of Advisors – CPA, Legal, etc. to confirm the corporate structure is in order, especially if selling to partners Distribution of Proceeds – think asset protection, can use a revocable trust for the proceeds Deferred Sales Trust – has tax and estate protection, thru Sec  453 of the tax code / installment sale, take advantage of Sec 453 and receive installment payments over time vs. one lump sum. Setup: Trust and 3rd party buyer to receive sale funds, then pay note to seller – defer payment of capital gains over time. , could be 10-20 year timeline for deferred sales trust.   Asset Protection / Misc. – other things to consider like insurance, umbrella policies, key-man insurance for top employees and mgrs, D&O insurance – director and officers insurance, IT security of internal docs, passwords Business Documents like buy/sell agreement & operating agreement, financial and returns in order *Buyers of Business would ask about all of these docs too    HNW Clients – Estate Tax Planning, and Crypto storage Estate Tax Exemption – the amount of money in a person's estate that is exempt from being taxed by the federal government. It is adjusted annually for inflation. In 2022 the amount is $12.06 million for an individual and $24.12 million for a married couple; but may go from $12 million / year to $5 million / year, which means Assets over $5 million could cost 40% tax.     Link to Taxes Show on 10/31/2021 w/ Denver: Here Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here Link to Shows, Denver was a Guest: Here     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here Legal Topic: https://brt-show.libsyn.com/category/Legal-Asset+Protection-Estate+Planning       Thanks for Listening. Please Subscribe to the BRT Podcast.   Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/     Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Jan 24 2022
51 mins
BRT S03 EP03 (102) 1-16-2022 – BRT - Retirement & Income Planning from SEP IRA, 401K, to Roth IRA + Tax Brackets to Buckets
BRT S03 EP03 (102) 1-16-2022 – BRT - Retirement & Income Planning from SEP IRA, 401K, to Roth IRA + Tax Brackets to Buckets   Topic:  BRT - Retirement & Income Planning from SEP IRA, 401K, to Roth IRA + Tax Brackets to Buckets What We Learned This Week Retirement & Income PlanningQualified Plans: ie - 401K & Roth IRASEP IRA for business owners, can defer 25% of income if setup correctlyTax Brackets - tiered system of 10%, then 12%, 22% up to 35% - with more income, pushed into higher bracket and you pay moreTax Buckets (3) - Taxed (W2 income), Tax Deferred (401K, IRA), Tax Free (Roth IRA, Life Insurance)   Guest: Denver Nowicz, President - Wealth For Life http://wealthforlife.net/   Denver is an advisor with nearly 20 years experience working with clients in investments and insurance, designing retirement plans with a combo of both. He takes us through different strategies for clients to get the best allocations for their money over the long term. It is the Combo Strategy of both Offense and Defense, the synergy of the mix, not ‘All or Nothing’.   Notes:   Tax deferral with 401 K, not tax savings Advisor suggests 401 K, get immediate benefit Vs. ROTH IRA (put 6.5 K) after tax at 59 ½ get money tax free   Tax Brackets – 10%, 12%, 22, 24,35 $430 K and above, taxed at 35%   If you move money to a 401K, save percentage on taxes, then pay taxes later in retirement. Cap Gains 15-20% on investment income   Save 15-20K / year on taxes over 25 years = 400 – 500K or more   Retirement – expenses will be 80% of pre-retirement income, unless you make more $, maybe 90%. If you earn $100K a year or more, taxes are biggest expense in retirement.   Build Tax Free Income – start now, have an Exit Strategy   Tax Buckets – Taxed – income, W2Tax Deferred – 401K, IRA pay taxes laterTax Free – ROTH IRA, insurance, Muni Free Bonds Balance funds in each bucket – 20% Taxed, 30% Tax Deferred, 50% Tax Free Combine tax buckets with income mapping  - where money comes from in retirement   Business Owners – SEP IRA has high limits, put up to $61K / year. Qualified Plan – owner has to balance with salary – 25% Earn 240K – put 61K tax deferred in SEP IRA Qualified Plans – has rules High income, big SEP IRA, then pay 35% tax on all money, withdrawals and gains.   Tax brackets are broad and dropping a bracket not as easy. RMD  - Required Minimum Distribution   Sell Business – use installment sales trust to lessen tax blow Layer money to lessen taxes   ROTH Conversions and 401 K Roth could pay huge amount in taxes. Pay taxes, down 25% When people do 401K plan, rarely do Long Term math. Under insurance umbrella, have tax advantages, grows tax free Take money out of policy as loans at 5% interest vs. 20-30% taxes   3 to 1 Tax Free Matching has similar setup to a mortgage with a house – you put in $250K and bank puts in $750K = 1 million dollar home. Earn more on $1 million vs. just your $250K. Earn more interest on larger asset over time. Conservative, banks like insurance. No loan docs, no personal guaranty. Most advisers talk stocks, stocks are good asset, but have risk and may be slow. Create income streams, diversification.     https://www.nerdwallet.com/article/taxes/federal-income-tax-brackets 2022 Fed Income Tax Brackets (for taxes due in April 2023)  Single filers Tax Rate          Taxable Income Bracket           Tax Owed 10%                  $0 to $10,275                            10% of taxable income 12%                  $10,276 to $41,775                    $1,027.50 plus 12% of the amount over $10,275 22%                  $41,776 to $89,075                    $4,807.50 plus 22% of the amount over $41,775 24%                  $89,076 to $170,050                  $15,213.50 plus 24% of the amount over $89,075 32%                  $170,051 to $215,950                 $34,647.50 plus 32% of the amount over $170,050 35%                  $215,951 to $539,900                 $49,335.50 plus 35% of the amount over $215,950 37%                  $539,901 or more                      $162,718 plus 37% of the amount over $539,900     https://www.cnbc.com/2021/08/18/61percent-of-americans-paid-no-federal-income-taxes-in-2020-tax-policy-center-says.html WEALTH 61% of Americans paid no federal income taxes in 2020, Tax Policy Center says The top 20% of taxpayers paid 78% of federal income taxes in 2020, according to the Tax Policy Center, up from 68% in 2019. The top 1% of taxpayers paid 28% of taxes in 2020, up from 25% in 2019. https://www.taxpolicycenter.org/ - tax stats and articles   Link to Taxes Show on 10/31/2021 w/ Denver: Here Link to Offense / Defense Show on 6/6/2021 w/ Denver: Here Link to Shows, Denver was a Guest: Here     ‘Best Of’ Topic: https://brt-show.libsyn.com/category/Best+of+BRT Investing Topic: https://brt-show.libsyn.com/category/Investing-Stocks-Bonds-Retirement More 'Best of Investing': Here   Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Jan 17 2022
48 mins
BRT S03 EP02 (101) 1-9-2022 – BRT Best of Business Part 1
BRT S03 EP02 (101) 1-9-2022 – BRT Best of Business Part 1 Topic:  BRT Best of Business Part 1   BRT is in Quarantine, so we Revisit some of the Best of Business, with clips spanning the show’s history. If you run a business and need tips, this is your show. Enjoy.   Topics: Sales, Marketing, Power of Storytelling, Leadership, Branding, Private Equity & Business Lessons from Hollywood movies     Seg. 1 Clip from Seg. 1 of 12/19/21 Show - Matt on Storybrand Book Building a StoryBrand, book by Donald Miller Storybrand discusses that familiar story of the ‘Hero’s Journey, and how a business can intertwine this into their marketing material, including the website. You identify with your customers thru their problems – even using common archetype symbols like a villain, guide and an internal feeling to overcome. Customers can relate to the story, and connect with your business as someone who can help them.  Full Show: Here   Clip from Seg.3 of 5/17/2020 show - Brad Fergusen of Sandler Sales https://www.brad.sandler.com/ Brad on traditional sales vs sales in the virtual world and tips to handle it Full Show: Here     Seg. 2 Seg. 3 of 11/22/20 Show – Joseph Michelli on Leadership and Marketing Guests: Joseph Michelli, Ph.D., CCXP, CSP New York Times #1 Bestselling Author, Certified Customer Experience Professional, Strategic Consultant, Certified Professional Speaker, TEDx Presenter - www.josephmichelli.com Joseph discuss his new book is Stronger Through Adversity – Leadership in Crisis. He interviewed executives from 141 top corporations (Microsoft, Salesforce, Starbucks, Target) Full Show: Here     Seg. 3 Clip from Seg. 3 of 3/22/20 Show – The Godfather: Business Lessons from the Hollywood movie Lesson 2: Remain Calm - 'It's nothing personal, it's only business', keep your wits about you, plan and organize your biz moves, there are solutions (often simple ones) if you are thinking clearly   Clips from Seg. 4 of 3/22/20 Show – The Dark Knight: Business Lessons from the Hollywood movie Lesson 1: What's the Problem - In business you need to be able to identify the real problems so you focus in the right areas - identify potential disruptive forces, & do not be in denial Lesson 3: Understand Your Value & Skills - get paid properly for your time, and skills, work with clients that can afford you and also respect your skills   Full Show: Here     Seg. 4 Seg. 3 of 8/30/20 Show – Adam Coffey on Private Equity Private Equity author of The Private Equity Playbook Peak behind the curtain of Private Equity, and learn how companies are bought, managed, financed, plus what metrics (EBITDA) are used for valuation. Unique perspective from someone who has run companies for PE Firms for the last 20 years. Full Show: Here   If you enjoyed this show, you may like: https://brt-show.libsyn.com/category/Sales-Marketing-Networking-HR   BRT Hollywood: HERE   More - BRT Best of: https://brt-show.libsyn.com/category/Best+of+BRT     Thanks for Listening. Please Subscribe to the BRT Podcast.     Business Roundtable with Matt Battaglia The show where Entrepreneurs, High Level Executives, Business Owners, and Investors come to share insight and ideas about the future of business. BRT 2.0 looks at the new trends in business, and how classic industries are evolving.  Common Topics Discussed: Business, Entrepreneurship, Investing, Stocks, Cannabis, Tech, Blockchain / Crypto, Real Estate, Legal, Sales, Charity, and more…  BRT Podcast Home Page: https://brt-show.libsyn.com/ ‘Best Of’ BRT Podcast: Click Here BRT Podcast on Google: Click Here BRT Podcast on Spotify: Click Here                    More Info: https://www.economicknight.com/podcast-brt-home/ KFNX Info: https://1100kfnx.com/weekend-featured-shows/   Disclaimer: The views and opinions expressed in this program are those of the Hosts, Guests and Speakers, and do not necessarily reflect the views or positions of any entities they represent (or affiliates, members, managers, employees or partners), or any Station, Podcast Platform, Website or Social Media that this show may air on. All information provided is for educational and entertainment purposes. Nothing said on this program should be considered advice or recommendations in: business, legal, real estate, crypto, tax accounting, investment, etc. Always seek the advice of a professional in all business ventures, including but not limited to: investments, tax, loans, legal, accounting, real estate, crypto, contracts, sales, marketing, other business arrangements, etc.
Jan 14 2022
49 mins