Taylor Welch And Traffic And Secrets

For today’s episode, we have invited Taylor Welch, founder of a strings of companies – Traffic and Funnels,  Sales Mentor and Wealth Cap Holdings. He is also a publisher of the Sales Mentor. He has three best-selling books, with a latest book coming out called The Consultant Next Door. He is the real game changer for the real estate industry!

Brief Background of Taylor Welch

1:42

Taylor didn't grow up wanting to be an entrepreneur. He learned entrepreneurship from his wife. Taylor’s wife was a hairstylist, and he got into marketing because he wanted to help her get more clients, so he could quit his job be a stay at home dad basically.

3:32

Three levels of wealth discussed by Taylor Welch

• What you do- learn how to do the right things.
• Doing it the right way- You do the right things and you do them consistently
• What you own because of what you do - owning the right assets

Traffic and Channels

6:12

Traffic and funnels is the marketing consultancy side of the business. Taylor and Chris started that business in 2015. They charged their very first client for $3,000 to build a funnel for them.

Sales Mentor

6:43

It is the sales consultancy side of the business

Commonality of their Businesses

The main priority of all their businesses is cash production and to be able to set yourself up so that you have income.

Ability to generate income And Building Wealth 

8:17

If you don't have anything to play with, you're going to be stuck with the information but no implementation.

The Significance of Problem Value

9:26

If you try to sell a product, but you don't have a clear understanding what the problem is for the person buying, you'll never be successful at it because people ultimately are going to be much more reluctant to buy if they're not solving an issue.

9:44

You create more income if you solve a problem, and you charge more money for the problem you're solving, or you solve that same problem for more people.

Compound Effect of Time

14:08

Leaders or business owners get trapped in the mindset that the only way they can double their income is to double the amount of hours they work. What that causes is they just get stuck or burn out.

Biggest Challenge in Real Estate

17:16

The biggest challenge Taylor’s company had experience was when they were getting started and there were a lot of deals on the market. People thought that the real estate market was going to go down in 2020 but the reality the flow of deals is plentiful. But the biggest problem they had is getting the amount of volume inside of the buy box. A buy box is a set of principles for what they are and are not willing to invest in.

18:02

Taylor’s company’s buy box is very simple. They want to have the ability to create a portfolio with a limited cap of down payment. They want to be able to fully leverage out the deals with that minimal down payment and not go above 70% loan to value.

Box Buys

21:45

Taylor’s company buy real estate with the intention of hanging on to it. They don’t love the idea real estate being an income production thing, although it will produce income.

22:30

Every couple of months, they rebalance. So if they have five markets, what'll happen is, they have an acquisitions team that does really in one market. For example in Kansas, they will buy 20 houses from them in a week and a half. But they don't need all these houses in Kansas City. They bought them, but they don't need them. That’s going to take the portfolio out of balance. And what they do is flip 10 of those 20 in Kansas City, so that they can bring that balance back to where they want it to be.

24:07

After an investor gets three or four houses, they start splitting them up so they're not in one market.

24:18

Taylor’s real estate have people segregate into the fund so that they have a couple houses and a little bit of money into the SEC fund. It is the solid insurance that is going to protect you from any vacancies on the on the real estate side.

Risk Mitigation Strategies

26:04

The way that you get knowledge is through experience, and the way that you get experience is through risk. You’re going to need to take a little bit of a risk to avoid risk in the future. Taylor sees risk as an actual tangible asset.

26:41

You don't want to be completely risk averse. Their main strategy for the mitigation of risk is, if there's one area that you could get hurt, you want to build another separate area that will pay you if you get hurt. If we could get hurt of a renter not paying rent, we want to have another source of income that will pay us in the event of that renter not paying rent. They cover each other up.

Using Whole Life Insurance

29:31

Whole life insurance is one of the best long term vehicles we’ve ever had. Taylor wants his my policies to be able to be paid for when he knows that the cash is coming in.

30:30

Whole life offers you something that you need. You need a death benefit if you have a family or people care about you and people you care about that you want to be able to go on living after you're gone

Key Quotes

2:28-2:32

“When you learn the rules, the game gets fun. And winning is fun.”

7:53-8:01

“You don't have to have nine businesses or four businesses. You can have one business, but knowing what the outcome of the business is, and where you are in sequence is important.”

11:14-11:17

“When you figure out how to make money, you have to learn what to do with that money”

If you want to get in touch with Taylor Welch, connect with him on LinkedIn and also get a copy of his latest book “The Consultant Next Door”