Podcast: Download (Duration: 42:47 — 13.0MB)
On this episode of the Investor Financing Podcast, Beau interviews Justin Sloan, Chief Executive Officer at Sloan Capital, as they talked about real estate, syndication, starting a franchise business, and owning a territory.
Timestamps:
[00:10] Opening the show by talking about the topic for this episode which focuses on syndication, franchise business and ownership.
[01:00] Beau welcomes Justin onto the show, shares his backstory and explains his credentials
[02:54] Justin tells us how he started in real estate
[04:20] How did Justin met the CEO of Everbowl, a Southern California-based quick-serve restaurant with a focused menu of build-your-own Craft Superfood bowls.
[05:25] Real estate investors should diversify
[06:11] How intimidating is it when going through the Franchise Disclosure Document?
[06:33] Buying a territory for growing brands
[08:55] As a territory owner, Justin committed to open 50 stores over a multi-year period in Texas
[09:49] Everbowl is currently searching for more franchisees
[10:40] Franchise model versus starting a business from zero
[11:00] Elaborating what franchise really is and its’ advantages
[12:58] A model or concept that an operator can be semi-passive
[13:50] The ultimate goal of Justin’s team
[15:37] “You cannot be a good coach and leader unless you learn the systems”
[16:04] How did Justin start in franchising business?
[17:10] “Don’t ask people to do anything that we’re not willing to do ourselves”
[18:00] Working with investors who are looking for scalable consistent operations
[18:46] Know how to start and exit a business
[21:24] Being a passive investor is the way to go
[21:37] The real win for Justin is writing checks to some of the best syndicators in the world
[24:35] The importance of diversification to avoid big losses when downturn happened
[25:37] Revenue sources from sustainable human needs
[28:03] How does Justin split up cash flows and equity?
[30:38] Conveyor belt of restaurants
[31:35] “Everything takes longer than you want”
[34:43] If your rent is 20% percent of your sales, you’ll never make a penny with that store
[35:43] Structuring leases to be successful
[37:30] The reason why Justin is interested to invest with things that will work now and in the future
[38:44] Where to go to find out more about Justin
[40:44] Ways to understand how to pick out the best franchise system