How to use debt - Ask The Pro

[Music] hey welcome to ask a pro grant cardone here I have my friend Curtis nalli nalli what does that work name come from um it's actually from from Ireland yes you look like are you Irish I would think so the red hair and the reason I have him here today is because he provides entrepreneurs that are having trouble trying to start a business up with capital so this question is asking me all the time man I got an idea for a business I got a business I want to start I got this great business I'm running out of dough grant I'll take your advice about how to sell my way out of this but sometimes a space that you need money and Curtis basically provides capital for companies startups entrepreneurs people that want to either invest in themselves in their company right yeah and I asked you before the show like like why wouldn't somebody just go to a bank because at the end of the day uh most entrepreneur is this I'm sure if anybody watching this is gon try to get a loan to start a business you get turned down whether or not you have a good credit scores or a good business plan 90% of the time the bank is gonna take the risk because they know the risk and starting a new company so they won't take the risk yes they won't take the risk on that client so then in turn the client typically will go out there searching on the internet run into our business or others and what we do is we take those people we help them gain capital at 0% for about a year to a year and a half so that way they can structure that and use that to build it so let's go back to the bank thing cuz I remember when I went to get my first real estate deal I went to two banks I knew this was a good deal I had perfect credit I mean I had as good of credit maybe it wasn't perfect like it like maybe it was oh you were late oh yeah fix everything right I don't know what a high credit score is but I had it and the real estate was great I went to two companies they literally laughs to banks and they literally laughed at me they're like nobody will do this loan for you the third guy not only wanted to do it for me said it was a good deal like you're like they almost look like they wanted to invest with me so what was the difference between how the first two look and the third one approved it but but I just also want to tell everybody like you get depleted as an entrepreneur on this first two experiences most people would make it to the third place and that's why I'm having you here today because I think a lot of people give up finding the third place 100 so what why did the first two banks what would be some reasons why they're like no way and the third banks like yes well typically because um you have to understand the banks so each individual Bank kind of has their own niche of which they go after some like if you focus on like a credit union in your area some credit unions are more about getting like traditional mortgages done while another yes or they they do your car loan is something where there's collateral exactly right and there's certain banks out there which is some of the banks that we target in that really work with entrepreneurs but the problem is most entrepreneurs can't go out there and find them because you can't like type in Google which banks work with entrepreneurs correct so what we do is we basically underwrite just like we are the bank and then we take that clients credit profile make sure that's in the perfect position of exactly where it needs to be then I bring it to the right bank so therefore the client gets the most leverage with that so do you sell this lot let or do you hold it on your own well so you're basically a broke you know where to bring it yes what you're doing your he's doing the work for you that that I didn't know about like what did I do I took my time and my energy and went from one place to the next place I literally drove and met people mm-hmm scared to death I'm 30 31 32 years old I'm terrified I don't I think my deal is good but I'm not sure I think that's what every entrepreneurs going when you start up right so what you're doing is you're doing those that work for me I wouldn't even know I was turned down at the first two banks exactly when you're doing it for me because I will go through and I will vet you essentially for the bank uh-huh and on top of on top of that I'll even make sure before you even get to the bank that your credits in the right position so if you have a bad credit score layup we've gotten uh like two weeks ago guy came to us 588 credit score and just give me the range of credit scores that are good and bad so the audience okay um 588 spree bad so it goes lowest you know you can get us 300 300 I've never even seen anybody with three I mean 300 you're like yeah Beck's come like you've never paid yeah you've never paid any more are you you could maybe never bard money exactly is that right yeah 100 looks like it's not always that I'm a criminal it's just that you know I've never ever bored money okay and then it could go where what's the next highest possible would be 850 850 which I is as high as FICO goes I wonder what mine is man is there a way for me to check mine right yeah absolutely how would I do God credit check total commas compel me I put Grant Cardone in their company so let me say a 303 maybe then what's the next level above the 300 um then bad credit is I have super super bad credit like no one will touch you 500 and lower like a so to 500 I have bad credit maybe 300 I had no credit yep so now at 500 I'm not I think this is important for people know you're an entrepreneur out there maybe you got some bad credit it happened in your pass by the way almost every super successful entrepreneur a business owner will go through some period of time where there's problems even in bankruptcy mm-hmm okay so I got 300 probably no credit 500 I've had some credit now but I didn't do well with it yep maybe late or didn't pay or bankruptcies or what describe this um well that's a complicated question because there's I mean 10 different things that make up a FICO 8 scoring Mona um but typically someone in the 500s would be someone that has charge-offs late payments um bad credit history very little credit history um which technically I mean if you're young you can't have no credit score like you don't exist in which case if you do pull up try to pull your credit score just says you have no score that's typically because you're either they're trying to pull me up right now right Johnny pull me up find out what my credit score yes yeah you got he'll have to have your San I tell you what I've heard you I can give it to you yeah I'll give it to you right now you don't you think I'm kidding I'm not kidding on this man I'll give you my social okay but but you guys I gotta give it to you I can't give it to everybody on the show okay I understand that I know exactly what we're doing hey I'm here doing it with you okay so look you guys out there right now I'm gonna ask you there's gonna be a great show I guarantee this is gonna get this gonna be our most one of our most viewed shows right here okay you know what the people next door have all this okay it's a little blow up and they're gonna ask you some stupid security questions about yeah let Katie pull it okay so we're gonna have the credit score so Gus if you guys and gals if you have if you're an entrepreneur you want money by the way Dave Ramsey says all debt is bad debt until you need it if you need money to do a deal look I'll borrow money at 18% if I have a deal that'll make me 50 right so all this stuff that you're told about your mommy and daddy pay off all your bills cut up all your credit cards when you need credit to do a deal that's called leverage you need that money this dude right here we're gonna work for you today I guarantee you John this will be one of our most viewed shows ever all right so I want to go back to some simple stuff dude and then we'll talk about how people can finally all right so then then I'm gonna go to three 300 to 450 then I'm a tickets to 650 650 is where you start helping people yes 630 650 right can you help can you help show somebody where to go between that 500 and that 650 to repair yes give me to that 650 yes um I can at least refer you to the right place okay there that way sometime not spending people to Gail exactly because there's a lot like I mean most people are gonna look look up like Lexington Law Firm which isn't the best um there's some good companies out there like radical credit repair the credit people like those are pretty did I give them to them right now let's have them reach out to you why don't you just do it for them okay you say hey I'm gonna send you to the right people to the repair companies because I imagine there's some people out there that rip y'all yeah and take people at 1% yeah so should somebody expect to pay to have their their their credit repair yes one other person is it worth it to get to pay 100 percent well why is that because at the end of the day when you're starting off in a business most people have no access to capital if you have no access to capital how are you gonna spend money on marketing and advertising how are you going to buy inventory how are you essentially going to survive as a business owner so if your credit is bad what are you gonna do other than maybe borrow money at six hundred percent Interest through a payday loan you know which is gonna interest go that out yeah really I thought that was usury that's that's the beautiful thing about payday loans they get around usually laws because of the states that they're in so I just finished doing a four hour event our own money you have to understand money to make a business work you have to understand money and part of understanding money in business is leverage leverage is when you're using debt this guy Kurtis gets debt he get he provides debt for small entrepreneurs startups or maybe even people they're trying to go to the next level because that is a former startup yeah right when I'm trying to move from maybe 100 grand to a multi-million dollar business when I'm an 850 score is it go as high as 850 yes when I go as high as 850 now the guy that's in between the 650 and the 850 maybe he's got his own business or maybe he works for somebody's making a couple hundred grand a year or a hundred grand a year now he's leaving that talk to me about that guy good credit always paid everybody starting his own business prutte he's got a family he's got a house he's got all the mortgage stuff that looks good but still can't get that yeah so typically what will happen is will that client will come to us we'll take a look at their credit report and we'll say okay this is your pre-qualification we'll just make some numbers up for argument's sake we can get you fifty to sixty thousand dollars to turn around times gonna be about 30 days and I'll show him usually about four different loan types but for most entrepreneurs what we try to focus on is getting that client introductory rates of 0% so he can leverage that money for about a 12 to 18 month window with no interest through the banks so therefore he can essentially instead of his major payments on the oh yes a 60 grand he's making 2% if there's 2% of the principal balance so 60 grand he's making $1200 payments mm-hmm a year yeah $100 payments a month yep I think no no no no um it would work out to probably be and eight hundred to a thousand dollars a month okay so for sixty grand I'm paying okay so it's twenty percent a year yeah I'm paying the balance down twenty percent of years that right yes yeah so with no interest which is the best money you can get out there now how are you getting paid on that deal um we get an acquisition fee go usually a portion of that sixty thousand comes toric Leone Linea America LLC comm lending America LLC calm when you hit their site ask a question or you call their make sure you say hey I'm a friend of Grant Cardone once I saw Curtis and GC my older brother's name was Curtis by the way really I'll dude was freaking so debonair he guy was like Cary Grant man yeah and I'm like if I could ever talk like my brother Curtis silver tongue yeah well did you get my credit score yet make sure they're doing it okay so so look if you're out there your small business owner maybe you're maybe he used to be you you had a great sales job or you were running a business and you're like I'm gonna go do this on my own and you don't know how to get some money you don't want it maybe maybe you don't want to use your money why would I come to you let's say I had 200 grand sitting in the bank but I'm like I don't want to use that money I want to go get 200 from Curtis and his friends would I do that is that a good thing 100% because I would rather if I have $200,000 liquid I would rather leverage that somewhere where it's going to make me money and I would then take the leverage from the bank at 0% and leverage it short on short-term investments rather that's bringing inventory into the business we're pushing it through advertisements okay connect in it so I can once I get this money they're gonna ask me what I'm gonna use it for and you're gonna do that job for me yes until I person so you're gonna be my pitchman mm-hmm you don't like that man I will Francisco's looking like like I'm gonna get a loan there's a head I will even show you our we show our clients how to talk to the bank's what to say to the banks but actually I can't speak to the bank for them I can do everything except to talk to the bank over the toe okay so the bank is gonna want to talk to me it's a yes what kind of credit score I got guys okay who can guess who can guess what my credit score is a fire uh-huh fire it's never perfect by the way I had a guy tell me the other day we're having this little squabble about 40 grand or something and he's like I'm gonna turn you over I'm like determine you turn me over to whoever you want to bro 40 grand when you over like five hundred million I mean they're expecting you know the banks do have some logic right they're low yeah yeah whatever said right that's a pretty good score huh oh it's great that's pretty good so this is what it says to me it says what what is this what does this mean the 74 to 100% um that has to do with your debt utilization that's what I'm guessing again I this isn't a full report so I don't know it's not even telling you what these numbers are based upon yeah but I'm assuming that's a debt utilization rates and what's this 300 that's as low as you can go just like you see it is a season a yeah okay so if you guys can guess first person who guesses the exact number I'm with Curtis I've never pulled my credit until you got here today okay this guy can get you in no interest loan no interest loan for not forever not forever a short term for up to 18 months zero percent you pay him an acquisition feed to go out and find the best bank to get you money look when you need money the rate is not the issue the payments are not the issue the issue is I need some money exactly now the question is what are you going to use that money for the first two things when Curtis comes to you or you come to Curtis it's gonna be like how much do you need - what are you gonna use it for cuz the bank's gonna want to know right exactly is that at that point do I need to really laid out plan or can you help me with I owe I will do everything from start to finish if you if you don't even have a clue what you're gonna use the money on I will build a plan for you bring you to the right bank and make sure that you get the best could they use it for let me just throw out some things could they use it for to buy a watch mm-hmm why do what come it would be a terrible it would be terrible to use it to waste it on the watch but they could could I use it to lease a car yes it'd be again terrible but unless I was using the car for business yeah and has your transportation sure could I use it for a piece of equipment yes much easier than the first day exact could I use it for - no accretions it for that could I use it to invest in card on capital yeah 100% really I've gotten tons of clients that were trying to park purchase card on you or any other University yeah but what about card on capital not my fund we could do it yeah no one's came to us asking for that service so maybe and maybe what you wanted you wanted to be part of the fun you knew you had some money coming at the end of the year maybe you got a I mean I bet you do a lot of that right ok that's it tons tell me about that so a lot of times people business owners will come to us and they have a lot of money tied up yeah it could be images it could be like we have a big accounts receivable here I'm sorry to keep you interrupted I just want to give them examples mm-hmm we have a bunch of accounts receivables that people sign for two and three years I could actually borrow against those yes November Sun so if your money's tied up often cases business owners will come to us and we'll get them the short turnout access to capital so then it gets accentually cash flow for them to push more inventory or buy or invest in maybe I'm waiting on money to come maybe I'm waiting maybe the IRS is going to give me a refund and I'm waiting on $18,000 but I need it now Adid if I can use it right now I don't have to wait another two months I can use it right now because I got an opportunity in front of me today I'm doing a real estate show about how to buy a hundred thousand dollar piece of property with twelve thousand dollars down but if you don't have the 12 grand I call Curtis up Curtis I need twelve thousand dude okay my money's tied up until if you go to the bank and tell the bank that story they're gonna laugh you know now also if I go there and start filling out credit applications does that hurt me if I do a bunch of yes tell me about this so um ten percent of your credit score is dictated by what are called inquiries yes yes you get the Starbucks inquiries son we'll go through and if you have too many of them if you have over about five to six inquiries in the six month period of time banks will look at you as someone what are you searching too much yes yeah even a couple right I mean like because this guy's not gonna go to the wrong places the the thing he talked about earlier was the niches where are the niche banks the first two banks that I went to in my real estate loan it didn't matter my credit score could have been 8550 my it wouldn't have mattered they weren't going to buy they we're gonna do the deals I could have had eight million dollars in the bank with them they weren't gonna do the deals because that's not the deals they did and Curtis knows who's doing deals for entrepreneurs yeah and or how to write that up so the underwriting you want all about underwriting yes so long so we will go through and actually underwrite for the bank so when you come to us I can actually look at your credit without pulling it so that way you don't get an inquiry and tell you these are the banks that we're going to go through to go to this is how many we're going to go to and this is exactly how the process works so therefore you don't have to walk into the bank and get a hard inquiry on your credit profile we can actually do it without yeah yeah and you're not to leave your business right now because look every time you leave your business you're leaving the top line of the business you hire a guy like Curtis the company the websites lending America llc.com is there another way from them to contact you yeah our telephone number is eight oh one three one two nine zero nine nine eight oh one three one two nine zero nine nine out of Utah right okay and by the way if you've ever liked if people wanted to send ten people to my attend X growth conference through the bootcamp mm-hmm could you get in the money yeah 100% so how did they justify that how did they tell the bank how do you go the bank say this guy wants to spend twenty thousand dollars for grant cardone so when I go to the bank I will I'm not gonna layer it that hey this guy's gonna spend $20,000 for the grant cardone uh-huh I'm going to go to the proper Bank so let's say is in Florida right I'm gonna will use via our credit union so I'll take him device start and I'll say grant needs a line of credit where Joe Smith needs a line of credit for $20,000 and he's gonna use this as a business expense for his company and they're going to go to an event called the growth con so I'll present that product to them to make a business event on to you so he's gonna get an education there exactly yeah and by the way he's sending his whole team for 20 grand he would send people to Harvard it would cost him 60 grana a person for five years per person so the website is lending America llc.com okay look the guy wants to help entrepreneurs that knee doh so that you guys don't feel like like when you go to a bank and they say no to you I remember walking out feeling like I'm a piece of garbage I had never not paid anybody everybody back I paid everybody back and I left there feel like I'm a piece of garbage I'm not worth it my business plan must be terrible the real estate I was looking at it's junk mm-hmm went to the second place guess how they said the same thing laughter there's nobody's going to give you this loan walked out feeling humiliated to save yourself the humiliation reach out to Curtis lending America llc.com what other tips do people need to have like they if I got bad credit scores just on car credit consumption credit like should I be using that kind of credit Visa MasterCard for watches and garbage no absolutely not you shouldn't so you're not pro all credit no I'm I'm pro leveraging capital to boost your top-line I'm Pro taking the bank's money for a short period of time and basically putting myself ahead by pushing it through marketing and advertising buying inventory starting a company investing into education I'm improve all of those things so if you can eat it yeah watch it if it gives you a sensation of feeling good probably bad credit true now if it's credit did like hey man it's gonna make my company go faster get me more places get in front of more customers maybe even have you confront beer more like if I'll use money to put me in fear I bought my jet I bought that jet cuz I'm like dude if I buy that jet it's sitting out there I got to go out and use it I got to go out into the marketplace I have to reach out so when debt is used correctly it should leverage you into more opportunities any any last words courtesy that you want to share with the audience I mean the biggest thing he's done a billion dollars by the way for startups I add 0% to at 0% interest and I think it's more like probably like 1.6 bill now but those are real numbers yeah we've done we've helped quite a few entrepreneur unsecured lines of credit unsecured term loans even for your education so rather than doing a traditional loan for to go to college yes what does that debt look like um I'm I'm a traditional college debt usually that debts gonna be secured it anywhere from six to twelve percent interest and it's going to have a term of usually about five to seven years problem with problem with student debt is this is if you can't default on it so it's impossible to default even if like you claim bankruptcy yeah it you can't claim bankruptcy on student loans so unsecured lines of claims are impossible to actually walk away from to default yes it's a positive walk away from the responsibility of a student loan how do i renegotiate that stuff that ought to be a way those guys will settle on something right no they'll never say will never settle they leverage Congress for that purpose so I mean they'll someone else can buy out your loan yeah but you buy it at a different interest rate you don't buy it at a lower principal amount it's an they will not settle with you they will they can come after and leverage your wages so I went to Harvard and let's say I got a hundred and twenty thousand dollars where that where the debt there's no way who has that money who do our traditional banks there's I mean I'll be like a well what's a traditional my Wells Fargo Bank of America US Bank please local branch it's not like I can walk into the local branch and talk to the guy there and say hey help me out it's all it's it's all done generally through a federal application so it's federal student loan so it's that money then was that money then put in a basket and then sold out as bonds that's why they can't just write at all yep and I if you try and like you can't negotiate it down they will literally leverage they will garnish your wages if you on student loans on that's what they're doing to you right John okay finish college Annie awesome okay all right okay so seriously folks the websites lending America LLC calm lending America LLC calm people be going back and looking at their like cleaning up their bad credit their Visa MasterCard they're like let's say Oh $28,000 right now could I go bought in and I mean I'm paying 18 could I borrow money from you pay the the 28 so this is what I do 18 months of relief you would come to me and I would basically restructure that $28,000 into 0% for a year to year um yes but typically you the might not it's not you student loans are a long-term play yeah if you're sure you can pay it off in a year or less than absolutely it's a good idea if you cannot pay it off in a year or less I wouldn't suggest okay folks there's a lot of things to learn about credit okay you live on this planet you're probably gonna use it all the big players know how to use it every big player I've ever met knows how to use debt it is part of the formula it's not taught in school it's not taught in college and in fact most the advice you get is to leave it alone you get all the big players I talked about this for four hours the other day all the big players use it you got to learn about it Curtis will help you he's not going to help you go get a 100 million dollar loan but he will help you at those start up at those critical pivotal points in your career I think your sweet spots what like 60 grand - yeah 60 to 80 thousand six eighty thousand I think you do is has a couple million dollars in loans um the highest that like in one loan that we can get done is about 200k o 200k yeah unless we have multiple partners then we can get millions yeah so if you need something in that 60 to 80 check him out do your research okay grab the data from he'll do that for free your credit score okay if you want to know how to increase that hitting okay his email you want to give your email out yeah that's uh best on email is support at lending America LLC or underwriting at lending America llc.com whoever posted the 825 first is the winner that's my credit score okay dang that's good for anything it doesn't matter does it it doesn't it matters when you need money you know III walked in I was I was looking to being a Mercedes actually when I when I moved to Miami and me and my wife walked in it was that seal it just come out oh that's a good car and I actually we went up there looking at an SUV for her and I wouldn't even in the market for myself and I saw this white as a Cl on the showroom floor I'm like dude I want that car right there I was all for my wife's car now and under mine and he's like well let me run your credit I'm like do you know I don't think you need to worry about my credit okay I'm either stroke to your check today about I didn't I didn't buy it but but I walked out of there cuz the guy asked me an offensive question like people get people get like very sensitive when it comes to credit score right don't 100% even the big shots even guys that have good credit scores are a little worried about I wonder if I can get this loan so look before you go through anything that makes you feel bad okay before you waste time going to banks that can't help you check out Curtis he'll help you Lending America LLC calm Lending America LLC calm thank you bro provisions are coming all the way from Utah guys been on a red-eye man made it be red yeah that's true if you got questions post below we'll make sure Curtis gets them to you okay fantastic [Music]

Channel: Grant Cardone

Views: 63,392

Keywords: grant cardone, yt:cc=on, companies to help you get a business loan, how to fund your business, funding your business, business funding, how to get a business loan, grantcardone

Id: KxJtykk64lg

Length: 28min 7sec (1687 seconds)

Published: Tue Jul 31 2018