Alright guys, so a lot of people access how do they make a podcast? I'm let you in on a secret on the easiest most productive way to start a podcast and get it up and running and that is the app called anchor is free. They have all kind of cool creation tools that allow you to record and edit your podcast right from your phone or computer. They will distribute your podcast for you to all of the major Outlets including spot.Why Apple Google many more and you can make money from your podcast with no minimum listenership is everything you need to make a podcast in one simple easy place. So if you're interested in starting a podcast Go download the free anchor app or go to Anchor dot f m-- to get started. Let's do it. All right guys, welcome back episode 32 URL we bet on more podcast. So before we start it was a couple of days left for to RSVP this town Houston. We on the way August 22nd, so if I have time, Guys hear this you'll have two days a day and a half to RSVP. So go to the link in our Instagram page are by our website only to.com under the events tab. Yeah, and it's right there. It's free. It's a networking event in H-Town. So Houston's got a special feeling all the surrounding areas Texas need you to come out and show your love. You will be looking forward to that is going to be it's been a ready a great response people have been real hospitable offering a lot of things to us. So if you missed this one, you played yourself man. Don't miss it. It's gonna be James Harden we can out there too. Yeah just found that out if anybody got some connects some parties and some concerts. So he's doing his third annual concert. So yeah, hopefully we get some guests from that sure we going to be there. So let's do it. So all right, we're going to jump right into it. So this is a highly anticipated episode. Yeah something that people have an accent as to cover for a while. Yeah something that is on its practical, but it's needed information is needed. So we're going to talk about cars. The car industry is not to allow different things. We're going to talk about how to make a living in car industry. We've got to talk about how to buy a car leasing a car the differences between buying and leasing what you should look for. All of these things are important because when you like grow up nobody really teaches you this thing right? It's like passed down towards like people that supposedly know. Yeah, just because my my uncle and my dad had a car they must know about calling you by your first call you bring somebody. With you they may know what to do. They may not know what to do. You may get ripped off. You don't really know. It's like it's like you're walking in blindfolded like everything else that we come on a podcast don't white there's no blueprint for it. Right? So this what we gonna do today, we can give you some blue cream. You can give you some information about the car industry and sales in general to because it's important when you talk about sales, you're not just talking about something called you talking about selling anything, right? I mean everybody sells something and one way or another whether you're selling yourself whether you're someone service The Asana product as an entrepreneur as a business person just as any regular day person you have to engage in sales at some point is these these skills translate across mediums? So it's very important. Yeah. Yeah. So without further Ado we have a very special guest Christian survey who is one of the sales manager one of the top Mercedes-Benz dealerships here where we live where me and we actually got our car from yeah, so we'll be needing this count ha ha ha ha ha. What about that? In the car industry and just a really good story. So first and foremost, thank you. No, thank you guys for having it at 20 years in the game 22:17. Yeah. So yes, so we got to jump right into it, right. So we get a lot of feedback on Instagram recently about leasing cars buying cars right now. You have a wealth of information being in a car industry for well over 10 years, right? Well the Years now at this year actually 20 years in the car industry from the bank to the dealership side. Yeah, you worked every every facet basically every facet. So, alright, so we're going to get into your backstory. But before we get to the back story, I want to just go right into it because people take this like very personal. I noticed a second real personal thing. Like it's like we got like a thousand comments over video that we posted in people with like no that's a terrible idea to never least a common people like know you should never buy a car people arguing with each other about the stop fighting on So it's like I realize it's one of those things is very emotional for people and nobody wants to feel like they made a mistake. Yeah, so if you bought a car is like you don't want to admit that that might be a bad you bought at least to call you might not want to say that's a bad idea. So everybody's like, you know, so my personal opinion on it is that you know, there's no right shoe that fits all feet. Right leasing is a great option for a lot of people buying a car could be a great option for a lot of people buying a used car payment option for a lot of people. With our pockets. We just try to provide information, right? So just so we know that we've done both. Well, yeah personally we've done put some our story. So yeah, so my personal journey in causes when I when I graduate from college right out of my first time getting a car, I don't have a car before that when I graduated from college, I came home and the first car that I had I wanted a luxury car. So I brought I wrote a used Infiniti G35 infinite. Yeah, you're like a couple years, but it was it was nice corner. Sit down today, so I had a G35 and it was nice and I had that cough about five years. I had a terrible interest rate because I have any credit and so I'm just trying to figure it out as I go. So in year 5 Started to like fall apart tires and they start buying tires and like transmission and a whole bunch of everything started falling apart on right so my I need a new car. So when I was I wanted now it's time to upgrade. So I wanted a BMW dealership and I'm about to get a BMW so I went to the dealership. I'm I want to buy one buy a car. I'm thinking like I want to buy a car owner Rent-A-Car only some calling upon God we heard that that line. Well, it's all Jesus. He's alright. We don't buy we don't least we got old cars. You should yes, like we grew up thinking like yeah, you gotta buy the clock JZ really tainted our ring. Shout shout TJ. I saw God why Tom? Yeah. He said that line. We don't least we bought a whole call as you shouldn't so we like we got black are like a food. That's what mentality was having. So when I went to the dealership that the guy he was telling me he's like nobody on fires called everybody that comes here has money nobody's by 90% of people here at least in college. So I'm like why I started to dig deeper into it. Then I started to understand why he said that as far as like tags business benefits and all the different things that come the benefits that come with Lisa. So then my last two cars at least I had at least a BMW now I'm leasing events and whole know what I'll do next. Yeah, I'll probably end up leaving really like around that same time before you had a car. He was driving everybody's car like this article you'll need your car. So he was driving cars and he I brought him with me when I got my second car was to be in. Love you, and we had a crazy story at the dealership, but they I was financed it and I got the payment out. They were like, I never forget when he crashed your car the first before I got off the line. Yeah, we crashed it. Yeah, right. Yeah, as soon as I don't they like that just leave it will come back another day. So I crash it as well. They crash as soon as I got it was like $562 for the payment. I was like 24 years old. I was like man, you're financing that cause I was like, wow, that's a lot. Yeah, I'll say that's a lot but you know what? Let's just go for it and like you said we was cruising. It was a nice car. And yeah for five like that those BMW they had just changed. The body is like 2004. It just changed her body. I got in 2006 and every time something was wrong in the car like it with the sensor will go off and sensors will go off. I was like this is just getting annoying and every time you fix the sensor it was like $360. I was like wow, this is crazy. Finally. I paid it off. It was like 2012 and I'm like what am I gonna do with this car? Like it was a $50,000 car. I looked at the value of it because I Driving it everywhere 2 miles was crazy. I was they would like will give you six thousand dollars for this day. And I was like what right after six years of pain and then like the parts. Like I said the parts themselves, like that's one thing that I learned is like no matter how old the car is the parts don't depreciate sort of like if you bought it in 1986 and you need new parts the parts still cost the same and I was like, you know what this is it man and the final straw my son was born. Born and I had a BMW 525i at that time. It was still coming in real world. They have four-wheel driving all the cars and I was coming up the hill in my house and the car started rolling back. It was snow on the ground and my son literally the third day like that's a bring your kid home and we like went into oncoming traffic and I was like, this is it I'm done. I'm never driving this car again. I'm never buying a car again. That's the end of the story and I literally walked them up the hill and have to call down the street. He never got back in. Ernie Leeds is brought to you by skillshare. Skillshare is an online learning community with thousands of amazing classes covering dozens of creative and entrepreneurial skills. You can take classes in everything from photography and creative writing to design productivity and more. So whether you're returning to a longtime passion project challenging yourself to go outside your comfort zone or simply exploring something new skills here has classes for you. They offer a wide range of courses. You can study film and video marketing freelancing entrepreneurship and our personal favorite. The class were enrolled in right now. Now music production. I got to actually watch and learn how to mix and master music with young Guru. That's right rod Nation Zone and Jay-Z's personal engineer. Yeah. I know how much we love Jay. So getting to learn from Guru the guy that curated is sound is definitely worth checking out. We learned a lot of new tricks that were actually applying to our podcast right now. So join the millions of students already learning on skillshare today with a special offer just for our listeners get two free months. That's right skills here is offering Ernie Leisure listeners two months of unlimited access to thousands of classes. For free to sign up go to skillshare.com Leisure again. Go to skillshare.com Leisure to start your to free months. Now that skillshare.com Leisure. So so yeah, so we're going to go into the details of leasing versus buying I'm gonna say it from my standpoint as far as the business owner before first. I want to give you the floor, right? All right, so can we talk about the difference between Leasing and buying a car? What are some key differences in leasing a car and buying a car? Well on at least most people, you know here that a lot people say, well you don't own the car, right? But the truth is do you want to own a vehicle that's going to lose value right occur. Very rarely the cars go up in value. So that's why leasing is so prevalent 7080 percent. Like you said a people least the vehicles when you're financing the vehicle you do, you technically owned it, but the bank owns it while you're financing. So until you pay it off the vehicle still belongs to the bank title. The title is held by the bank. You're not the owner of that vehicle. That's something that's that's a common misconception. You don't want to call you the way yeah until you finally paid off and then when you do paid off more people want to trade it in they want to trade in right away. So by the time you own it now is old exactly what another thing with the with the leasing that people don't fully understand. So like for me personally, right the reason why at least is that some of the business owner. Yeah, right, so I get better to actually mean for leasing a car exactly where as like with the least. I could write off the insurance the gas and the lease payment formula. It won't get too complicated in a buyer. I can write that off on my taxes. And if I owned the car, then I can only have to go by the depreciation. Correct? Because it's the own I get less of a tax benefit for owning a car. So it's in my benefit to least the car because it's pretty much a write-off. Yeah for me and I don't have to worry about maintenance right so I never haven't gotten all I haven't paid for oil change and I can't remember when or at least everything is paid for and warranties to yes, and then I get A new car every three years now. I always feel like if you want to everybody's personal preferences different. You can't force your views on someone's right. Like if you want to keep a car for 10 years, that's your right. You should you can do that. I don't want to do that because so I know it's going to cost me a lot more money to buy a car and then buy a new car every three years as opposed to leasing your car and then getting a new car every three years and The Upfront is less. Yeah, right. Yeah. Absolutely if you Analyse you only pay Let's say the taxes right when you're financing a vehicle you pay tax in the whole price of the car or Analyse you only pay tax and let's say the monthly payment depending on the state and where you're registering the car. Let's say that New York you only paying tax on the monthly payment. All right, so I think that's something that people could and as far as for me. I don't drive a lot. So 12,000 miles. I never go over 12,000 mile. I usually hit like 11:10 5 so it's perfect for me. Yeah, but you were saying even if you do go over 12,000 let that's a big. Misconception also is a lot of people think that if I drive a lot of mileage I shouldn't be leasing. You know, you hear a lot of people come in and they say, you know, I do fifteen twenty thousand miles a year. I shouldn't at least things not for me. I think the contrary it's the way I look at it is when you're leasing a vehicle, even if it's a high mileage least, you know your true cost of ownership. Like you said what maintenance right you know that you're going to have this car three years, you're going to 15,000 miles a year. You'll have 40 to 45,000 miles. Most warranties are let's say four year 50,000 mile bumper to bumper warranty. She'll still covered. Under your warranty is your enemy so you'll be able to look at and say hey, you know what? I know exactly what you would be paying every month for this car. As long as I have my lease now when you're financing a car and you're putting high mileage on the car, the two things that lower the value of the car quickest is the amount of mileage you put on it and and the condition of the car. So let's save the vehicle was in an accident. So if I'm leasing my car and someone in my next door neighbor's buying their vehicle in their financing their car in 3 years, I have a lot more flexibility of what I can do. I don't have to worry about if my car was in an accident or you know, there's somebody keep my card that a garbage truck come down the street and hit my car because their value has dropped now. So now you're playing this guessing game of wait a minute. What is my car now worth and you run into a situation where you finally pay off your car you put money into the vehicle try to fix it and they turn around say hey your cars worth $6,000. Now, the other thing that we talked about was that technology is moving so fast, so things get Antiquated quick. So that's why leasing is nice because In three years, you may not need a small sedan right. Now your 3 years your life changes. You have a family you have kids now. I want to ask you V my lease is up. I come out of the policing got go into the brand-new SUV if I want to check for the Honda Accord anymore. Exactly. Yeah. No, that's true technology changes even like the vehicle I have now. Like I saw the mm mm 20 modem like wait. Yeah that is ridiculous. Like I need that technology now, so it's like you can just come in every three years man. That's that's a huge benefit in leasing one of the things That is important when you're leasing or financing is credit. Yep. How does that work? Does is there a specific Bureau that car dealerships use or the bank with positive? So it varies between manufacturers so different banks. So let's say if you're going to Honda Honda Financial Toyota has Toyota Motor Credit Mercedes-Benz has Mercedes Benz Financial they all have different criterias. Right? So it's not it's not a blanket as far as what they use some people use TransUnion some people use Equifax other manufacturers use what's called an auto score. So an auto score means your Automotive History. So even if you had some trouble on your credit, but they saw let's say for whatever reason you had some medical bills or something happened, but you always pay your car note on time the bank may look at that and say hey, wait a minute. Did they miss some payments over here, but they always paid their car on time. So that means that hey, you know what this person needs that car. They need to get to work. They need to provide for their family. So no matter what happens. They're going to take care of that monthly payment. And another thing. I want people to think to a lot of time people look at it like, okay. Well, I'm not a business owner and we talked about luxury cars just because we have lunch because but it's the compensation for any type of cop doesn't matter. Well also people have to realize is that you don't have to be a full-time entrepreneur to be entrepreneur because the tax system, I can't stress this enough. The tax system is set up for entrepreneurs and investors. It's not set up for employees, right? So as an entrepreneur you get all kinds of benefits you can write off meals you can write off travel you can write off almost any I think realistically as long as it makes sense don't get what it is. What and cars is one of the things that you can write off. Right? Sure. So if you work in a regular job and you might have a side hustle, why not get that incorporated get LLC get to see quote whatever you want to do and get a tax ID opening a bank account. Now you have a business. So now you can lease that from your side hustle business and you can deduct the same deductions. Like if you work the regular job, right? Like now that goes against the any money that you make on that and so I say that to say you have to think like business people and you don't even have to actually be a full-time business owner salespeople as well. Yep, right if you're a 1099 or if you are in some sort of form of sales where you can take the doctrines, like real estate stuff like that insurance, you sell insurance the same thing. So a lot of times people, you know, they have negative views towards things because they don't they have a lack of understanding it once you have a lack of understanding and like I said now if you still Used to do that then it's your decision be country understand why a lot of times we make decisions based out of ignorance not knowledge, right so on. Yeah, exactly. So one of the things I want to ask you was you said MSRP versus price, right? What's the difference was the selling price? Alright. So yeah, so you have MSRP right? Yes. That's what's on the window sticker. Right? So the manufacturer suggests the retail price of the vehicle. That's MSRP manufacturer's suggested retail price. That's what they recommend. You should be selling that car for now. The selling price is what you negotiate, right? Whatever. However, you can reduce the selling price of the vehicle. That's what that comes down to is it was that the same thing as the cap cause so no cap cost. Let's say you're leasing or financing the vehicle. The final cap cost is the selling price plus anything else. So whatever money the bank is lending you okay, whatever to lease or Finance is still lending certain amount of money. So let's Analyse if you rolled your taxes into your payment that's going to add to your cap cost if you negotiated a $50,000 selling price and then you rolled your taxes of two thousand dollars into the least. $52,000 cap cost. Okay. And is that negotiable? Well, it's based on what you negotiate as far as you'll say you're selling price. Okay, so that whatever fees you put into it. Those are negotiable those legs say taxes and DMV fees things like that. So, all right we talked about. Okay talk about leasing a car but mine cause I might want to buy a car right and you would say most the time if you do want to buy a car is made it makes more sense to buy used cars. I always recommend people if you are going to buy a car buy a certified pre-owned now. Listen, this Vehicles, you can find out these lots that are Not authorized. Let's say Mercedes-Benz dealerships or Toyota dealership me personally. I think you're better off going to you may pay a couple of dollars more but you're getting it from the manufacturer. So you have the backing of with manufacturers. Just give you an idea most companies when they certify a vehicle the vehicle goes through. Let's say, you know a hundred and fifty Point hundred sixty point inspection. So not only will they inspect the vehicle to make sure that it's in certain condition. So they'll eliminate things like let's say there's a place frame damage to the car if the car is frame damage. Doesn't qualify for certification. So it's eliminated most dealerships won't even take that car. They'll send that car out and that's what you'll see the vehicles on these other side lines, right and they're selling those Vehicles. Is this really no recourse when they when it comes to something happened to the car not to mention the fact that once that car goes through the certification a lot of Manufacturers will put new car interest rates on those cars. So typically pre-owned cars are used cars will have a higher interest rate than a new car. But if it's certified you get a better interest rate. So like right now like let's say you have one point nine percent. You can't get one nine nine percent on a used car, you know anywhere else and I mean if the vehicle certified that's the way to do it me personally the vehicles as you guys all heard this people say, oh, well the vehicle loses value as soon as you drive it off the lot. Now what happens is really it's once it's registered the vehicle loses value. That's when that's when the vehicle loses value. That's normally when you're driving off the lot. That's when you got a brand new. So yeah, when you're buying a car brand new it initially loses its value when you drive it off a lot or the It was titled. Okay. So now you're buying a vehicle whose going to that's going to depreciate in value. That's what your card does. It's going to go down in value. So you're financing a car has losing value and already took a big hit right when you're buying a new opposed to a certified pre-owned that the initial depreciation is already happened. It's already taken place. But you know that car was taken care of the manufacturer the dealership, you know is putting themselves behind that vehicle saying hey, we know this vehicle we've inspected this vehicle. We know this vehicles in good shape. We're willing to even put a new car rate on it. So you have some more confidence when the buying that type of vehicle? Okay. All right. There was another thing that we saw when we were reading it was gap insurance. Now, that's something that doesn't come on a finance but it does come on a lease yet New York State leases all have gap insurance. Now what happens people don't realize that if a vehicle is less a total or stolen any negative equity. So if your insurance company says hey, your car was worth $10,000 but you owe the bank 12 or 13 without HAP insurance, you're responsible for that negative equity is your negative balance you're responsible for that amount. So that's why all New York State leases will have gap insurance. All right. So for people that going to the dealership and they only know like what question is a little intimidating because you don't really know if you're getting ripped off or not. You just want me to like what questions should they ask like, how do you know if you're getting a good deal or how can you get the best deal everything negotiable? Everything's negotiable. So, how can you get the best deal? So here's what it is. I mean It's the car business has this bad reputation right the sometimes we make it harder than it has to be as a consumer. Now, if you know, there's a vehicle you want. There's so much information out there. You can go online you can do research you can find out what the cost of the vehicle is. But the end of the day, I always recommend trying to buy local try to buy where you're going to be servicing your vehicle and they want to take care of you when you have a problem. Yes, you can go to any manufacturer can go to any dealership and try to get get help or have your vehicle serviced but a lot of times. You buy local they have more of an interest in taking care of you because you know what you purchase from them. They're going to take care of you first, right? If you came to my dealership and you bought the car in Jersey right or another dealership, but another customer came in and he bought his car here. Who would you expect me to take care of right better or first right? If I have one loaner car left? I'm going to give it to the guy who's loyal to me saves buying cars me as far as the price goes. Listen is a lot of information online. You can go you can look up what the cost of the vehicles are. I do recommend. This you want to shop around but at the end of the day once you have a bottom line number go into your local dealership say hey, this is this is what I got. Can you guys match you get close to it? Beat it Whatever It Is What? What size do you recommend like Kelly Blue Book or Kelley Blue Book's great, you know, there's a lot of information. If you go to Google you can search CarGurus, they'll give you all types of information. What about what's up residual value? All right. Mr. Joe values what the bank the bank sets what's called a residual value a residual value is the estimated value of the vehicle at the end of the lease. Okay, so that's what the bank. Is assuming or hoping that the vehicle is going to be worth once your lease is over. Now that's determined by the mileage. Right? How many miles Les Miles you put on a car the higher your residual value is going to be the good thing about the residual is that you want to have a high residual value the higher the residual value means that the vehicles going to depreciate lesser. You're paying a smaller monthly payment cuz your monthly payment is based on the depreciation. Okay. So let's to give you mathematics right from okay. If the car is has a selling price of let's Say $50,000. Right? Let's say it's an MSRP of $50,000 just use round numbers and the residual values 50 percent. So it's $25,000 is what the vehicle going to be estimated to be worth at the end of the lease. All right, so you're going to pay that difference between the 50,000 in the 25,000 is depreciation. But let's just say you just negotiated your price down to 45,000. So now you're shrinking the depreciation because it's between 45 and 25 opposed to the 45 and 50 you're paying on that depreciation to me. Okay, and what about the cap reduction that cap Quest reduction? That's the money down here. That's what your initial investment to bring your payments down. So you'll see a lot of times people come in. They say well I saw an ad that said 349 a month. But in that fine print is said 3299 tap cost reduction or money down. So a lot of times people come in they say well, I don't want to put any money down. That means you're still giving your taxes your first month's payment your bank for your plates up front. It's not mean it doesn't mean you're not coming up with anything out of pocket. That just means Means you're not putting on a cap cost reduction. So to give you an idea. Let's say in a 36 month lease a thousand dollar cap Quest reduction is equivalent to roughly $30 in your monthly payment. So if you're at, you know, let's say for your at 450 a month and you want to get down to 2 for 20 you prediction thousand dollars down to get you down to that monthly payment after you've negotiated your best deal. Now, some people are opposed to putting money down. It's all a personal preference. Some people let's say they know they want this particular car and maybe their company gives them an allowance. Our vehicle or they just want to keep the payment below a certain budget because they want to you know work the numbers in there for their monthly payments, right? They may put that money down me personally. I don't put money in the Middle East because I'm okay with my monthly payment and I'd rather have the money in my pocket. That's the way I look at it. Sometimes the dealerships have things built-in right specials like that. Like yeah, there are specials where they have incentives from the manufacturer if they're trying to move particular product, you know, some people come in and say well wait a minute. Why is this car $55,000 and this cars $55,000. Let's say two different. Two different models right one, maybe an SUV once the sedan and the prices are different. Right? And what happens is we may have a lot more sedans in inventory and there's not a lot of these SUVs around everybody's buying SUVs. So the magnet manufacturer says, hey, let's help the dealership move these vehicles by putting additional incentives on it their payment below is this specific time of year that that happens. Like I always see like it's like a summer sale or when you learn something every manufacturer has different Sales Event. So let's just say for Mercedes know The end of the year is a big-time also in June or July. You'll see some some nice sales events, but the way I look at it, it's all based on what you need, right depending on when you need your car is when you want to work your best deal did the payments fluctuate to a point where it's hundreds of dollars difference between those sales events. Not necessarily don't normally to 30 40 $50 difference in the monthly payment. So if you need a car listen, you want to go into the dealership you want to build a good relationship with your dealership. And if you spend some time work the deal obviously make sure that you're there for a reason. A lot of times people come in they go. You know what just give me your best price. I'm leaving that that makes it a little bit more difficult and I get it. I get it people get focused as far as the numbers go I untie totally understanding you want but my thing is this we want to give people great deal. We want you to buy cars, right? It's not about the car business has this, you know, Persona of being like, oh they're going to rip me off. That's not the case anymore. Listen, I'm sure there are people out there who take advantage of people but that's not the case in most Highline dealerships almost, you know, Mom and Pop Is why they really love to take care of people and then you could arm you could buy a car at the end of the leash, right? If you want now you can buy your vehicle out at the end of the lease. Well, that's one thing people ask me a lot. Look I want to lease this Con and I want to buy it. It'll be fun. Right but at least with the optional but now yeah, so my thing is this if you're going to buy the car by the car now. All right. Now here's the thing we go back to that residual value. Yeah, you want that residual value to be high you almost wanted to be unrealistically high because that means your monthly payment on your going to on your lease is going to be Lower now, here's the thing now at the end of the Lisa Lopes and you say well I'm going to buy you're buying it at that very high residual value. You have the option to buy it at that price. Okay. So now you're basically any savings that you took advantage of because that residual value is high. You're basically giving it right back to the bank got another thing too is far as what leasing a car the monthly payments are usually lower than if you buy that Jacqueline only a lot that's not thing people have to understand to it's like it's okay not to own everything for me personally. I don't necessarily want to own a car because I'm gonna lose money on it. Yep, right so I don't want to own something that I'm a Whose value in so that's like owning a house that you know is going to go down in value. But what's the point of owning a rather in it? Yeah. I have to have somewhere to live my don't want to own a house where I know up on my pay a hundred thousand and then ten years or Twenty Thousand. Well, that's why I tell people if that's a there's an area that you want to live in for whatever reason the views or whatever is the school's whatever the case of you want to live there. But the let's say the real estate agent said, hey great news. This house is x amount. This apartment is x amount of dollars and every year it's going to go down in value. You're gonna say we'll wait a minute. I don't why would I buy that that you better you better off renting it right? You say this? I want to live here for three years, but guess what in three years from now, I want to go move to the suburbs and I like the views where I am, but I can't see myself raising a family here, right you rather rent that apartment and rent thing is like that that case like it's like leasing where you have the option to walk away from it the end of those three years. Now, there's something called a lease end cause that's like something that's like a hidden cost that I actually found out about so like if I have a Mercedes and I Lisa But at the end of the lease I decide you know what I want to go to BMW there's a price for that so they have what's called a disposition fee. Alright, that's basically a fee to turn in the vehicle. Now, here's the thing. If you go with another BMW a lot of times, they'll just waive that fee right now. There is a reason why they charged it's not just a penalty for leaving the brand they have to keep my once you surrender that vehicle. They have to pick up that vehicle. They have to condition it for resale. So things like that that they go through this paperwork that has to be processed in order to do it. And obviously it does give you some sort of Incentives to stay with the brain, right? So if I stayed in is that cause I wasn't in the same way that most manufacturers wait, I learned that I don't know that I learned that when I was trade my car. Yes, I have to stay with him or saying we try and we are trying I got but before we go, I have one other question. I just saw recently online with somebody said that they own they sold their car back to a dealership after they leased it. How does that work? So Very rarely does it happen where the vehicle has a higher value than the residual value? Okay. So let's say the residual value like we talked about 25,000 the guy kept it in great shape you are they drove it when we put minimal mileage on the vehicle cars garage kept and all of a sudden for some reason is that there's a high demand for that particular vehicle. Let's say this $30,000 actually the book value for that car and it was 25 he can turn on to dealership said hey, I know my buyout is x amount of dollars. Would you be willing to buy that car for me in order for me to trade it? To now they have some money that they can put towards another vehicle. Also. T-Pain's are the know it was it was Matthew Knowles. Oh and that pulled the T-Pain bought the Bugatti 1.2 million. He didn't get he lost for yeah, he lost $1,000. He blew and blew the engine or something like that. And so the back to the dealership for you honey. He lost $1,000 gift. He brought the car and then sold it six months later. Yeah. I mean it's rare that that happens, you know, like I said cars are depreciating assets, but it's very rare that that'll happen. All right. So now you got the 100. One may be 103 as far as exactly so now we don't go into careers in the car industry when I highlight it and give people some information as far as that's concerned the next segment. Ernest you currently paying off student loan debt interested in improving your financial literacy or looking for new ways to earn income and today's ever-changing digital landscape. Well on the talk money with the mesh lakhani podcast mesh will follow Paper Trails chat with experts break down complex ideas and bring Clarity to the mystical Financial phenomenon. Each episode will be filled with compelling stories covering a broad range of subjects from buying Bitcoin dealing with student loan debt and everything in between. Listen to talk money with mesh lakhani on Spotify or wherever you listen to your favorite podcast and learn how to spend invest in earn in today's economy. Alright, so now we're going to go into careers in the car industry. And I think that it's important to give people different options. Especially we spoke before about we did a college episode we speak on College a lot and to say colleges and for everybody and we know that realistically everybody kind of go to college even finish college, right, but you can still be successful in this world. You can still do there's a lot of different things you can do a lot of Trades and the car is choose one industry in particular what you want to certainly need a college degree to be successful, right? So, can you tell your story? Because you have an interesting story you grew up in Queens went to school in Brooklyn some tough Martens. Please get the money the city especially especially in that in that period of time East New York. It's pretty tough neighborhood. And you said you got a GED right? Yep, so, all right. So can you talk about your journey from growing up and to get into the car industry? You know, my thing was I went to school at a public school friend Kaitlyn and Brooklyn New York, one of the toughest schools in Brooklyn first school of metal detectors and It was rough listening. I grew up, you know kind of hanging out wrong crowds and stuff. And then at one point, you know, it's tell you exactly what happened. I had a child at an early age and I realized wait a minute. I can't keep doing this. I need to be able to provide for my family and I ended up getting a job through a job fair at Chase Auto Finance on the banking side of the car business and I was doing well is able to pay my bills take care of my family and through speaking to dealerships and helping dealerships on a daily. I was recruited by a dealership and buy a Lexus dealership actually just because I would always help him out always go above and beyond to make sure he was taken care of and he said you know what how much you make over there at that time was making about $40,000 a year and I was good. I was happy with that was getting my check every week and I worked for Chase and I was in my mother had my business card on her refrigerator. She was excited about it. Yeah. I was an executive right so This person said hey, you know what, you can make six figures in the car business the way you handle yourself and where you take care of people. If you keep that in mind, you can make six figures in the car business and I still kind of like kind of brushed it aside and I was like, yeah, whatever things change for me at the bank side and all of a sudden things that things happened. I said, wait a minute. You know what let me give this a shot. I left the bank side of it. I went to the car dealership actually went to a dealership and I interviewed with a couple of people. And first thing they told me was wait a minute. You don't have experience. You can't come work in High Line. You can't work at a high-end brand go get Toyota Honda experience or go work at Nissan dealership, you know and then learn the business and then come back and the gentleman interviewed me. I'm actually still good friends with to this day. He actually he lives in the area. He has some restaurants now up here, but I told him I said listen if you give me the opportunity and you teach me I will work harder than anyone here. I will I'll I will work and I will learn the business and I'll take care of clients, but I want you to teach me the sales side. I understand the customer side of it. I understand the bank side of it just teach me the sales side of it and I'll be good and he did it gave me an opportunity and I thank him every time I talked to him and he put me on a path where you know, it wasn't about you know, taking advantage of people and that's what I told my mom when I was coming into the business. She's like going to be a car salesman like nobody wants to be a cart. Nobody grows up saying Hey, I want to be a car salesman. But you know what? I saw there was a void right? There was something missing and that's what I said. You know what I'm gonna be knowledgeable. I'm going to be I'm going to be upfront and I'm going to be honest and that's it. And if I can't be successful doing that then I'll find something else. But that's the approach. I took from day one. I wanted to help my customers buy a car instead of selling them a car and that was my biggest, you know, the the biggest catapult and My Success my career is you know my God, we were talking earlier my the first client I ever sold the car to I still sell them cars, you know, he's following me through every manufacturer I've worked for and you know, he just trust me he sends his family his friends because he goes, you know what the way you take care of me? I'm going to send you business. So I realized that the This is long-term. You weren't you know, a lot of people say well I'm going to sell this car and I'm going to make x amount of dollars. I can go on vacation of this that doesn't happen anymore this business a long term business. If you're in it for two or three years you're not going to do. Well me person has to this is what I'm going to do as a career and I've been able to luckily, you know build a really nice life and Great Oak a business and you know have great relationships with my clients and my reputation is number one. So wherever I go nobody can ever say well that guy, you know, he screwed me or whatever it was. You know, he took advantage of me nobody. I never have to hide my face in a restaurant. Or anything people instead, they send me bottles of wine when I'm having dinner and they see me in a restaurant. It's bigger than selling cars you did you smelling like a relationship it is I just to give another story like let's say during Hurricane Sandy, you know my dealership when I worked in Brooklyn. We were right on the water during Hurricane Sandy and people lost everything. Like when I tell you people in that area lost everything right and then shortly after people were coming into the dealership. They lost their cars, right and they come into dealerships in my car was totaled it was washed. Get away and you know, the people were like, you know struggling and what to do and they said that getting their car was the first step in helping them get back on their feet because now they can go to the laundromat, you know, they can go to Home Depot. They can go to you know, stay with a friend or something. So it's such a big part of your life. Think about Transportation how much without transportation how life changes made without life is different whether you're driving a Honda Mercedes. Listen that does you know, everybody makes great cars, right? But without the car it's like even living over here. If you don't have your car your car's in the shop for two days and it'll give you a car you're calling other people saying I need to get to the store or you know, or you're staying in you're not going out tonight. We call it a weekend on the B line is difficult, especially I mean if you live in New York City Manhattan Brooklyn, you don't really need a car that's different, but for the vast majority of the country and even the world probably not having a car is a tremendous burden. This is how it is. Having a car is freedom. It is like my son. My son's 22 years old when he got his car the first thing I told myself go get lost. He's like, what do you mean? I'm like just drive you can go anywhere. Like you can get in your car. You have a credit card. You have a phone just go those much first priority at seven just go experience what's out there? So that's what it that's to me. You know, I don't look at it as selling cars. I'm helping people buy cars. That's that's the key to how I've been successful and I think That's why customers look at me and they go you know what? I trust this guy with my buying decisions. All right. So for somebody that's looking to get into the car industry. Is this still a lucrative industry like can how much can you make something cars like on will talk about the management side, but just as a car salesman, what's the a realistic goal that somebody can can obtain? So here's a cool thing of the by the car business you really are self-employed even though you work for a dealership or you work for you know a group you determine? How much you make that's it, you're really self-employed. But somebody else is paying for your building. They're paying for your phone the paying for your product right there put the cars in front of you. All you got to do is sell it. Now. I know sales people that make fifty sixty thousand dollars a year and they sit next to a guy and this is no exaggeration who makes four hundred thousand dollars a year to mention be telling Carl commission-based. So it's all commission-based. Hello. Some dealerships will have a small salary some dealerships. Don't me? Personally? I don't I wouldn't want to work for a company who paid me a high salary. Because I want to determine how much I want to make sure how much I can how much I can generate. So being that it's commission-based working at a high-end car dealership. Obviously, you'll make more right that's not so there are some people in let's say in a Honda store Toyota store that will make more money than the guy that a because it is not in jail cell because it's the it's the volume the amount of vehicles that they sell the amount of effort they put in listen, if you come in late every day, if you leave early, you know, if you're you know hanging out you're buying you know, 30 $40 lunches. You're not gonna To do well so on cars and I mean so one thing we talked about actually when we first met was, you know, your circle of five and I tell my sales people look at the five people that you spend the most amount of time with and you can do this in any industry you can do as a cars you can do in relationships, whatever you want to do it and if you look at the top performers, they hang around top performers. If you look at the guys who are at the bottom of the list and you know, there's always a board that list how many cars yourself guys at the bottom of this normally hang out together. So look at your circle of five and then make adjustments. One thing we talked about addition by subtraction of this some person in that in that Circle of five that's not pulling their weight delete them and put somebody else in that spot and you'll see you'll start to grow subtract the weak things about the chain. Yes the facts so commission how much commission do they get? Okay, it all varies at all that some very some dealerships will pay 10 15 percent of the profit right or they'll pay, you know this dirty 40% but now here's what's happening dealerships understand that, you know prices so important and people want to negotiate the price now, so what the matter of the day Dealerships do is they put volume incentives? So they realize that you may not make as much money in the car because you want to take care of your customer. You want to get them good deal, right? So what they do is manufacture says, hey, we want to give you an incentive if you sell x amount of cards, you make X, you know x amount of money. So now it's out of which is cool because the amount of money that you're going to sell the car for kind of is taken away from the salesperson, right? They don't have to worry about I need to make x million dollars. I saw the code now, they're saying hey, let's just sell the car even if I you know, am giving away a car. I know it's going to help me get to my volume bonus, which is that comes from the deal. Chip and incentives in a matter of fact that's important because because yeah because if you ask human nature if you can 20 percent of the profit profit might be 5000 or it can be two thousand or could be 10,000. Obviously you're going to try to push the profit to the highest amount. That's not how you're going to make more money. But but with why I always tell people look without losing the sale don't lose the sale like you've got to take care of people if the person's going to be buying a car whatever you work. Make sure you're the one selling the car and then what you want to do is you To make sure you create an experience where they're like wow like this person is awesome. If you didn't if you sold the car and you to make any money in the car, that's okay that's going to happen. But you want to take care of that person you want to take care of your clients. So they'll say hey, you know what? Let me send you somebody else. Let me send you another client. I have a co-worker's interested in the car also, and that's why like I said, I always tell people I give great deals and then even better service. So how do people separate them so good every time I go into a car dealership you seem like they either Point me somebody but it's like People in it's just the luck of the draw whoever like so how does one person make $400,000 person make 50. Like how does that happen? That doesn't happen from the from the door the person who's making that kind of money and I'll get them wrong that 400,000. That's a rarity. It's just you know, I know somebody who doesn't and he's just incredible. He's just consistent heat sacrifices a lot to be in the position where he's in that's not normal. But if you're going to do that, you have to work you have to make sacrifices and with anything if you're going to be successful you're going to make sacrifices, right? Now in the dealership structure where happens is people come in the door normally most dealerships will have a rotation to have an up list, right? We're depending on who's up next. We'll take that customer some dealerships. You've seen it where you pull into a parking lot this Five Guys out standing outside at the radio approach your vehicle. So, you know different situations for each dealership is where it's like, you're right. I've gone to dealerships. It'll be whoever is at smoking a cigarette right now. Like, oh how you I'll be with you in a second. Yeah, right. One of the things you said is interested in understanding your customers and you have a very Very interesting technique of how you read and understand customers as they're working on to talk about that. Well, one of the things that we train and we kind of somebody taught me was neuro-linguistic programming trying to identify your client and that helps you by helps helps them by the car. If you can identify somebody's communication the way they communicate or their buying habits that's going to make the job a lot easier for you and the client because now you're going to be talking the same language language, right? So, you know, like we talked about it if someone calls in and says I want this specific car in this specific color. I want 36 months won't 15,000 miles a year. I want you know, they know exactly what they want. And then you're trying to tell a person. Well, I need you to come in in order for me to give you a number you're rubbing that person the wrong way nowadays and we talked about this patients is no longer a virtue people want things instantly. I could pick up my phone and buy a car if I really wanted to write so every you know, we don't go to the supermarket anymore. We don't go we don't go to shopping centers anymore. Everything is delivered right to your home. So you want it quick so identify your client if you get a client It's like that who's speaking a certain language speak to him in his language. So I think is hey, you know what sir? Sounds like you're really busy. Let me see how I can make this process as easy as possible. Maybe even deliver the car to your home or office. Would that be beneficial to you? And that person said, you know what? Yeah, I don't have time to get into the dealership. I don't have time to visit different dealerships. I just want to get a price. I want to get a good price. I want to be taken care of after I buy the car. So one thing I want to talk about before we go on to the next segment is that so all right. Somebody wants to get involved in the car industry, right? How do they do that? Like would you just welcome to on don't say hire me or like well, I'll tell you the way I did it. I'd basically well this is dating myself, but I opened up a yellow pages and find out that's a big number and I called what the retention was the retention rate for cars. So it's funny. I've heard different numbers with retention right now. I've heard 30 percent effort 70% not to me. That's In this business. Nobody quits jobs. Most people quit management. That's the way I look at it. But for the most part if a store takes care of you they take care of you the staff if they really, you know, pay attention to what the people want and I would sit as a manager. Take care of yourselves people first write this if you take care of your staff, the staff will take care of the customer. So sure I'm in a different way. I'm going to management role. My customers actually my sales person. Obviously ultimately it's the customer right? I want to make sure they're taken care of if I take care of my guys, they'll take care of my customer. If I don't care about my guys, they're not going to care about the customer. So that's an any terminal of the street and the industry. So, you know, if you're in a good store that treats you right and they treat the customers, right? There's no reason to leave and I mean Most people I've gotten offers from other dealerships when you know, I was at another store. I got offers and they offer me more money higher positions, but I was I was loyal to where I was and I had my book of business and I had no reason to leave. All right. So in the next step, I'm going to very important topic sales. We haven't really talked about sales yet. It's a business podcast. So there's no way that we can have a business but I'll cover in sales. So if you want to talk about sales in the next in the next segment What's up, y'all? So if you're listening to this you obviously like podcast and you probably like music just as much on Spotify. You can listen to all your favorite artists and podcasts in one place for free. You don't need to premium account Spotify has a huge catalogue of podcast on every topic including the one you're listening to right now on Spotify. You can follow your favorite podcast. So you never miss an episode premium users can download episodes to listen to offline wherever you are and it's really easy to share what Been listening to with your friends on Instagram if you haven't done so already be sure to download the Spotify app search for Ernie Leisure on Spotify or browse podcast in the your library tab. Also, make sure to follow us so you never miss an episode of Ernie Leisure again. Alright, so now we're going to a very important topic for business but not just business. I once again, I can't stress this enough sales people have a bad reputation. Any type of sales people, right? They feel like you like pushy or you're taking advantage of somebody but sales makes the world go round. Everything is being sold. If you buy groceries somebody selling that to you and one way or another it's not a hard sell because you need to buy it right might be a soft sell but it's still a cell. So if you go to a job interview have to sell yourself if you trying to impress. Meet you have to sell yourself. Right like it's all it's all sales. It's all sales. So all right, obviously as a car salesman in the car industry, you have to master the art of selling if you're going to be good, right? So we talk about selling we talk about some objectives how to overcome them and different things that you've seen in the industry. Yeah. Absolutely. I mean one of the things I like we talked about earlier was if your goal is to help somebody it's a lot different than trying to sell. Somebody right? So asking questions, you know, you've all heard this what people say. Oh sell me this pen, right if we want to go to Wall Street, it is funny because I've never heard the actual pitch when somebody said, you know, somebody's pain they go. Okay. Do you need a pen or you want to write a check? Whatever is I was on an interview once and I got and really cool guy who I love dearly. He's your friend of mine. One of the hardest interviews. He told me the hardest interview ever give anybody and it was it was a lot of fun and he turned to me this before Wolf of Wall Street. He said to me. Hey sell me the stapler. I'm going to put in front of me and handed me a stapler and he looked at me and I sat back and I looked at the stapler. I started laughing and took the staple and I put it down. I said, let me ask you a question before I show you stapler that I have. Let me ask you a question about what you're going to use in the staple of for how many pages are you stapling at a time? You speaking three papers for papers. Are you stapling three or four hundred papers at a time? Because the stapler I have here may not be the right statement for you. So I started asking questions to find out what it is. He's looking to accomplish before I started selling him that stapler or that pain, right? So are you signing important documents? Are you just they just need some do you lose pens frequently, right? I'm not gonna sell somebody $500 pain if they is known for selling the losing their pens frequently. I'm going to sell you a pack of pens for $500, right? So this way if you lose them, it's okay right also, you two packs for $250, right? So that's me. It's ask the questions up front that's going to help you help the customer find out what the customer wants. Let's say the customer is Driving, you know you want to ask them what they currently use the vehicle for who's in the vehicle? Somebody may say well I'm a real estate agent. Okay, do you show clients houses? Do you pick them up and take them over there? Yeah, I do. Okay. So is that person Prime for a coupe or a car with a small back seat? Probably not that may want an SUV or a larger sedan, right? So then you kind of just help guide them to what it is is just options and let them make the decision. Yeah, I think that's very important because so if anybody's not my financial advisor, that's what I do for a living. So we learned early on like I've been doing it for 11 years sober early on I had training right and I long story short. I see it happened a lot in my business, especially for new people that come in right because it's commission-based. So you're hungry to make a sale. All right, and you end up trying to sell somebody a product that they may or may not need right but you doing what's in the best interest of you you're not doing. Was in the best interest of semi-automatic and it comes across right? So my thing is like it's like going to the doctor. I can't subscribe medication without actually know what's going on. Exactly like the first meeting that I have a first conversation I have with my clients. I don't actually talk about any product at all because I don't know what's appropriate. I need to know what's going on is there's yeah and then from that if you need to buy something you're going to sell yourself because once I explain the process and The things that may be beneficial to you then you'll say okay it actually I need to do this like yeah, you need to psychologically when you know, you need to do something. It's much easier than trying to convince. Somebody exact something. That's the biggest mistake. I see with sales especially like I said young salespeople people just getting in the business is that there's they push yeah, you don't have to push can't push? Yeah awkward. I got this question before both you when you see doubt and somebody like what's the step right? Because I'm sure there come times and car salesman went in Europe. Question is for sure. They'll be doubt in people aren't sure what's the next technique. So the way I look at it is if someone's not sure right if they have that doubt it's because we haven't answered all the questions and it may be a question that they don't know they have and that's what you have to uncover the objections. So you're going to ask some questions that are going to lead in to the customer saying hey, you know what? This is what this is actually what the real issue. It's an underlying issue that's holding them back. Yeah, and for me, I know forget the most important. Anything one of the most important things I learned early on is somebody told me about the hidden objection help Jackson is when they don't tell you. Yeah. Nobody people are very funny. Right as far as it's human nature. You don't want to hurt somebody's feelings but witnessing a train like that, right? So instead of this happens all the time outside of business to you. Take a girl on a date you don't hear back from she doesn't tell you that your breath stink. That's why she doesn't want to talk to me again, right? So just Interview. Yeah hidden objection. It happens all the time and sales when people don't express what really is holding them back. So that's up to you as a salesperson to get in the Forefront of The Hitting objection. Yeah, right. So that's difficult because you don't know what it is. Right, but you got to kind of use your creativity and say okay usually comes down to a few different things money is 90% of the time with the issue is right, and somebody can't afford to pay. Something they won't tell you they can't afford to do it. It's just undo it. But and then they won't respond to you yet your emails or text messages instead of just being out front and just saying look right now, I don't have enough money. Yeah. Nobody wants to be so embarrassed Mmm Yeah. So that's up to you to get them different options. But losing Versa that so that's where I think that's what I think they teach ourselves always have three options. Yeah. This is a very important three options and if it's on paper, it should be color coded. Green blue red or red blue green red blue green because reason being read is a no-go. We're psychologically trained for that. Right? So if you stop it, right light, everything right is no guess what teachers use the microwave is as well lose a very neutral color and green is go you want to do the highest priced item is green. The lowest price item is red. And then the realistic with they probably can afford in the blue. Wants to do the lowest option nobody psychologically. Nobody ever wants to the lowest. Nobody wants to be the dumbest person around here. If I want to be the fattest. You're okay being a second. Yeah. That's what you say. Everybody's okay with being second up your roots don't want to you're okay being a second dumbest person in the class, right? You just want me to dumbest person. Yeah, you're okay buying the second like somebody said it's about the wine. Like when you go to a restaurant them the the wine that sells the most is the second cheapest because nobody was about The cheapest wine. Nobody wants to know no one wants to look like they can't afford to buy the second cheapest right? You don't really break. The bank is still in your price range. And you feel good about yourself. Yeah, that's a trick for salespeople. It's all about positioning. You can sell anything if you position it correctly, right and you don't make people feel like they're going out of their budget. They're right in line. It's all about you gotta, you know, kind of stroke the ego so I say that to say when you give somebody options That's the way to get out in front of the hitting objection because if the prices are hitting objection is, okay. Now, I've given you three prices what I know. You definitely can do one you probably should do and what you really can't do. That's my take on it. Yeah. Yeah, I never heard the color thing but same thing with us, we give three three options. And other thing you want to do is going back to certified pre-owned. If you're giving a customer in a lease or if you're showing a customer Finance on a vehicle our pre-owned car and you hit him with a number A lot of times the finance numbers in be a lot higher than at least payment so giving them an option. So hey, I know you didn't you mention you want to finance but just so you know, if you were to lease out a brand new car. This is what the payment would be and sometimes I say wait. That pain is a lot lower than this Finance option and it gives them that flexibility to say. Hey. Yeah, that's pretty my target area, you know and asking questions like you said if you know what they're currently paying for their car, you kind of understand where they're okay being so so now that you've cleared the Dell, right? How do you become the Mariano of this deal? Like how do you close this deal? How's it done for both of you? Well, you know, it's every customers different. I'll tell you that so it's I've went into deals. You know, one thing we do is you always see like a manager will come in if the salesperson can close a deal a lot of people think that At oh, this is the closer. This is the guys. It's not the case. It's just sometimes it's a different face. I don't know if that's the same thing. If you guys had that in the financial industry for somebody else will follow up and just touch base. Sometimes somebody's willing to tell me something that they just didn't want to say to the salesperson and they make they may say, you know what this is really what I wanted to be. So we meet every customer that comes in if they're not able to close it and like I said, if you really look out for the person that's going to increase your chances of helping the customer and be able to close deals more often if you like you said 90% of the time it is price and you have Work the numbers you have to take care of people. So yeah, I think it depends on the personality to make so you can't be what you're not and you kind of have to play to your strengths. Some people are naturally just really aggressive people, right? That's not me. I'm more of a laid-back person. So my selling style is is passive passive, but it's very important that at some point you have to close. Yeah, you can't just strengthens out forever because it'll fall apart. So knowing when to close is a very delicate Thing like for me personally, my sales process is a to meeting process, right? The first meeting is just I gather information the second meeting I present and then at the end of the second meeting, there's a close at that point, right? Everybody's different some people like to close in the first meeting to me. That's too aggressive. Right some people stretch it out to three meetings to me that takes too long. So I think mastering your sales process for yourself is important and knowing who you are as a person. Me personally, I'm not like I said, I would strongly recommend not to be pushy or some people like that. Right? It's like our relationship some people like people that are aggressive some people like people that are laid back you really, you know, you kind of end also every client isn't for you. That's something that's important as well. Right? You can't chase money because ultimately a bad client is not worth the money that you're going to get like this true. It's not worth it in the long run because they're going to be caught. Are you two gonna be hounding you and the stress and this evening the the service work that it may take you might make a little bit of money, but it's going to cost you way more time. So I tell people all the time the first meeting. I have a people I say this is for me to feel you out to see if you're a good fit for me and for you to see if I'm a good fit for you. I'm not trying to get every single person that walks into my door when you take that approach another psychological trick here. Is it reason why the pretty girl or the Some guy whatever they always have people lined up to date them reason being is because they're hard to get psychologically once you actually get the girl. You're it's not the same the girl that constantly reject you we chase after that the girl that we can easily get you look right past the same thing with sales. I know to get Bernie Madoff when I watch this movie and I read some stuff and they were saying that when he became so big too. Get money like he would turn people down. They would say they were begging they wanted they wanted to work with. Yeah, because now if he's approaching it like give me your money. I need your money. They're looking at it like know psychologically. He's like, I don't need your money when somebody tells you that they don't need you you want them or not. So that's another trick for sales people to understand as well. You have to kind of position yourself to make it seem like you're the real asset your clients need you more than you need your clients. Well that comes to inventory. Also, so you'll see that with certain Vehicles. Like let's say the g wagon a big SUV a Mercedes-Benz people are paying top dollar for that car because you just can't get it and you got people calling around the dealership saying hey, do you have this car in stock? Whatever it is. I'm going to pay it because I want that particular car. So it does Drive the market. Yeah. Sure. Yeah, that's that's some hacks. That'll psychological packs right there. Holy gotta clean. It's funny. You mentioned not being pushy but to that point, I'm not a pushy type of Person that I think you guys could see that I'm pretty easygoing. But sometimes you need to nudge people right? I can't tell you how many times the person was everything loose perfect the car the color The Price Equipment dealership. Everything was just right and they just were still hesitant. It's like this fear of commitment, right? And sometimes you just have to let people know say listen. It's okay to say yes, and I'm telling you I can't tell you how many people I've asked people said. Let me ask you a question. If you said yes right now what would happen? And they go nothing. I'd have the car like would you be comfortable with the monthly payment? Yeah, would you be happy with the mother? Would you be making life-changing decisions over that monthly thing? They don't know I'd have a brand-new car and I go so let's do it and I go okay. Hey, look, he's they go. Okay, and they're surprised that like, you know what I just bought a car and then take those are the happiest people in the world because sometimes they need that little nudge not pressure but nudge to say yes. This is true that the fact that you just said that made me think of like I've taken a few people like you know that I'm Become the person that oh, you must know about cars and I'm like, oh this deal is done here to come the keys and then like for real, I'm like, yeah, you just got a new car like for real like yeah. Yeah. We're Sailors were psychologically trained to be fearful. Yeah ever since we're kids were like told not to talk to strangers and then like we, you know, we go to school all day and then we it's like so we're not use very few people like me. I'll do anything only kid make a lot of bad decisions that way but sometimes it works out well for the most part. People are very scared. That's another thing as a Salesman you need to understand that that people are scared to do anything. Nobody wants to do anything. You want to just stay in their comfort zone and do what they've been doing any time some somebody does something that they haven't done or something. That's uncomfortable. It takes a lot of courage to do that and we've been saying that like your life starts when your comforter so what is this day people will do business more. So with people that they like and feel comfortable with and somebody that's knowledge, but that's another mistake that people make Lots of people leave with knowledge and information they have all these facts and nobody a nobody understands what they're talking about. Nobody cares what you're talking about and B, they don't care people will make bad decisions based off of people that they like look at love people do all the time relationship. So the key is to get somebody to like you once you once they like you you pretty much can you do whatever you want now? You can't abuse that power because you kind of use it but it's more important to work on those skills than it is. Of course, you have to have knowledge. But if somebody likes you they buy into you as a person now the rest you can kind of just goes in a direction you want to go? Yeah, people don't care how much you know until they know how much you care and that's playing this and it's all about relationship. It's true. So, alright. Well that was a lot a lot of times on a lot of different topic no pads wear out. Yeah for sure. So how can the people contact you if they want to buy a car? I know you do some other stuff is So yeah, what should I do some Consulting for so long as it is, you know any industry that has to do with customers. That's really what you know, I enjoy doing it. I enjoy taking P tank are people so well there is restaurants or hotels or you know, even furniture stores. I've done stuff with where we help them in their helping to make the customers process easier. That's what I do. But yeah my Instagram, you know C CH 1 1 6 feel free to hit me up on that. Well, how about your client was you got any famous clients? I got some yeah, I guess. Some pretty cool clients and there's a long time and yeah, I've got some basketball players some really cool people. Yeah, are you leaving now? So yeah I said, oh really? Yeah, exactly. Most important Yeah, man. So we just gonna give a big shout-out to everybody that's on patreon are proud to pay program. We got some new members this week Elliot Miguel, Brittany, Alana and Jason. Thank you for your support patreon, as you know has five different. You can join any T that you would like, you know, it allows us to do things like we're about to do in Houston. But what we've done in Atlanta what we've done in LA in Brooklyn, you know, come to the People Meet chop it up with everyone. Hopefully you get to network and find somebody in that meeting that can help you out in your future. So patreon allows us to do that. So continue to support that as patreon.com backslash n your leisure. Our merch is up on our site. We actually don't have some new merch coming very Very soon. So be on the lookout for that. We have some other initiatives that we're actually going to launch it a very near future you want. Yeah working on a lot of things right now and it's a little bit you why y'all University. We really can't get into it right now, but very very very short. So no way we'll be laying out the whole blueprint for eyl University. We are excited. So yeah, that's going to be that's going to be dopes met David amazing. That's a way to you know, because the podcast so everything we do is informational base, like people want more information in terms. Active only so much that we can get in one hour podcast, right? So this is going to be more interactive. This is going to be you know, all educational base platform. And another thing along those lines. Is that a lot of time people hit me up DME question people know at this point on financial advisor. So what we did is I made my calendar available on our website only do.com. My calendar is up. So if you have a question related to investing you got inheritance, you got a rollover that you want to do. You left your job. You want life insurance you can go Go on your leisure.com and you can book a 30-minute consultation with me. It's free and it's a lot easier to me than responding to DMs. I get a lot of dams and it's just difficult. But as I said, if you're looking to invest if you're looking for some financial planning help if you're looking for some guidance, you can go on the website but a 30-minute consultation on my calendar. And then now we can take it from there and the book tip for this week is the closest survival guide from Grant Cardone about them. Yes out the credit card. He's a he's an interesting person is interesting person. But yes, he gave you a shout-out to on Twitter, right? Yeah, he posted something he had a him and I had a chance to meet real cool guy very positive and especially the car industry to he's very well known in the car industry. Yeah, so he posted that book and it's good not just for car salesman anybody that's looking to you know, like we talked all the stuff that we talked about today. So I highly recommend that and yeah, thank you guys for rocking with us. We will see you next week. Peace.
Christian Charvet has an inspiring life story. He grew up in some of the toughest neighborhoods in New York City and turned to the streets as an adolescent. In his early 20s, he turned his life around. He got his GED, worked his way up in the car industry, and is now one of the top Mercedes Benz sales managers in the country. He has over 20 years of experience in the car business, his client list reads like a who’s who in New York’s power circle. In episode 32 we went in-depth on everything you need to know about cars. We broke down the advantages of leasing and buying, we explained the different tax breaks associated with each, we looked at buying new vs used, and we explained all the technical car buying terms. Christian also gave insight into different career paths within the automotive industry, a sector that you can earn six figures in without a college degree. We also went in-depth about the art of selling. We explained different psychological traits to look for from customers and how to master the art of closing. We explained how mastering and understanding selling is vital to everyone, not just salespeople. Guest IG: @cch116 Book Tip: Closers Survival Guide    ---   This episode is sponsored by  · Anchor: The easiest way to make a podcast. https://anchor.fm/app  · Talk Money With Mesh Lakhani Podcast: On The Talk Money with Mesh Lakhani podcast, Mesh will follow paper trails, chat with experts, and break down complex ideas to bring clarity to the mystical financial phenomena behind your finances. 