We had to close again three months later. So it's pretty brutal and it was much more difficult than we thought. And to be candid, if we didn't get the second tranche of PPP money that came out, we would have been in real trouble.
Acquiring Minds
From $1m to $25m in 6 Years
Excerpts · 708 segments · ~1:55:50 long
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Back to like, you know, we. I took, I took an enormous amount of risk doing this. Like, I put all my chips in the table. All of them.
Well, that half a million dollars you'd been making for years at your, with your search practice, I assume you had a pretty hefty balance sheet, personal balance sheet at that point.
Not that hefty.
Not that hefty.
Okay, not that hefty.
And. And you. And you spent it down on this.
I did. Well, you're right because I was not taking a pay, you know, even though we talked about the period thing, I got in for, you know, for Pure and Glendale, all in. I was probably in for 200 grand, but I'm also, you know, I need like 300 grand a year to live and I was hitting my savings. Right. And so opportunity costs and everything else.
The true investment for you is higher. The actual out of pocket cost to acquire these were probably 200 grand for both those. Right. And with some debt, 200 grand for both of those.
Okay, yeah. So. And then obviously the opportunity cost and me dip into my savings because I'm not making an earning or earnings or anything. Exactly. So then the California ones, though, I think I bought two of the spas for 50 grand each. But owner notes that I didn't to pay for a while.
The other one, I paid like 154 or something. But I also got their PPP money for three of the four spots. So I basically, in essence, got them for free.
And so why do you consider that that was so risky, even though there was a real risk that they would? Because you were basically having to subsidize.
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