Prominent real estate mogul Grant Cardone has caused controversy with recent comments about entrepreneurship and business investing. On February 5, Cardone posted a video on Instagram expressing strong opinions about the pitfalls of starting a new business.
“I'm not going to start a business today. It's the most stupid and selfish thing a human being can do,” Cardone said, highlighting the challenges and unrealistic expectations faced by new entrepreneurs. “You can't work for others. How are you going to work for yourself? You don't even know what you're doing. You can't even pay the rent.”
He also scoffed at the idea of wanting to be his own boss, thinking he would set all the rules and have the freedom to make decisions.
“You are both slave and master – for free,” he said.
Cardone, known for his candid and often divisive advice, elaborated on what it means to be successful in business.
“A good business is a business that has cash flow. A good business is a business that scales.'' , not dependent on my technology, my body, or my time,” he said, emphasizing the importance of scalability and independence from direct involvement of the owner. He cited real estate and banking as exemplary sectors where such business models can be successful.
“Real estate is a great business,” he said.
For those looking to get into real estate investing without the complexities of direct ownership, the option of buying shares in publicly traded real estate investment trusts (REITs) or participating in crowdfunding platforms is a viable option. It becomes. These methods allow investors to own a piece of physical real estate, from rental units to commercial space, and provide an avenue to generate income while significantly reducing the responsibilities associated with property management. .
In addition to criticizing startup culture, Cardone advised against the typical entrepreneurship mentality of starting from scratch. He suggested another route to business ownership: buying an existing business.
According to Cardone, the U.S. market is saturated with small and medium-sized businesses, the majority of which are struggling or unprofitable.
“There are 32 million people…and 64 percent of these American small businesses are breaking even or losing money due to poor management,” Cardone said, adding that they are already losing money to customers. , insisted on acquiring companies with good cash flow and operational systems.
His stance of “buying a business, not starting one” reflects a pragmatic approach to entrepreneurship, focusing on existing opportunities rather than creating new ventures. Cardone's advice resonates with investors and entrepreneurs looking for sustainable business models in competitive and often unpredictable markets.
Regardless of people's opinions about Cardone, he has demonstrated the ability to create wealth. He was working as a car salesman when he stepped into his first investment, a single-family home in Houston. This foray into real estate investing taught him a lesson about the risks of relying on his one tenant after experiencing that his flow of cash suddenly stopped when the tenant moved out after seven months of his life. I did.
Learning from this experience, Cardone decided not to rely on a single tenant for income. Five years later, he changed his focus and invested in an apartment complex in San Diego. This move marked the beginning of a new strategy for his Cardone, using the proceeds from his first two properties to fund his third purchase.
Continuing with this strategy, Cardone gradually expanded its real estate portfolio. By 2012, his efforts had paid off in a big way, and his company was recognized for doing some of the largest private real estate transactions in Florida, particularly in the multifamily area.
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This article Grant Cardone Says The 'Dumbest, Most Selfish Thing A People Could Do' Is Start A New Business — You're Going To Be The Slave And The Master — For Nothing' — Here's What He Says To Do Both was originally published on Benzinga It was published on.com
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