In this episode of The Rich Dad Radio Show, hosted by Tyler Jorgenson, listeners were treated to an in-depth conversation with Tom Rauen, the founder and owner of 1-800 T SHIRTS, and co-founder of multiple successful ventures, including Dimension Brewing, Shirt Lab, and a powerful real estate investment firm, Rauen Capital. During the episode, Tom shared invaluable insights into the intersections of artificial intelligence (AI), real estate investing, and the entrepreneurial spirit.
The Influence of AI in Business
AI has become a pivotal topic in modern business. Tyler opened the discussion by asking Tom about his predictions on AI and its importance for listeners.
"Do not be scared of AI, but be familiar with it. It's coming fast and will progress rapidly,"** Tom advised. He views AI as a tool that will make processes easier and more efficient while replacing mundane, repetitive tasks. For Tom, AI isn't something to fear but rather a catalyst for freeing up time that can be used for more meaningful activities and experiences.
A Journey through Entrepreneurship
Tom Rauen's entrepreneurial journey is nothing short of inspiring. From humble beginnings selling t-shirts in high school and college, Tom grew his business into a nationally recognized t-shirt company, 1-800 T SHIRTS. His transition from a small business owner to a significant investor in real estate illustrates his ability to adapt, learn, and expand.
Tom emphasized the importance of progressing through various stages of a business, from being self-employed to becoming an investor. **"I worked my way through all the cashflow quadrants. I couldn't just be the business owner; I had to become an investor,"** he noted. This mindset propelled him to diversify his income streams and secure long-term financial stability.
Real Estate Investment Strategy
Tom delved into the nitty-gritty of his real estate endeavors, sharing valuable strategies and lessons. He highlighted the shift from using his t-shirt business to support initial property investments to focusing on Triple Net Lease properties, which he finds more manageable given his busy schedule. The Triple Net Lease model, where tenants cover taxes, insurance, and maintenance, aligns with Tom's operational hands-off approach.
"I'm able to look at a property that's maybe been on the market for a long time... Having that creative side of my brain look at these properties, I'm able to uncover some deals that other people probably overlook,"** Tom explained. This ability to spot overlooked opportunities reflects his unique approach to both business and real estate.
Building a Diversified Real Estate Portfolio
Rauen Capital, Tom's real estate investment firm, has successfully expanded its portfolio across various states, focusing heavily on Iowa. **"We know the markets, the neighborhoods, and the people. It allows us to be very specific and focused,"** Tom said. This regional expertise gives Rauen Capital a competitive edge and the ability to offer investors stable, profitable opportunities.
Tom candidly discussed the importance of building community among investors. **"We're looking for business owners, high net worth individuals, and those wanting passive income,"** he mentioned, emphasizing the value of creating relationships and offering experiences beyond mere financial transactions.
Marathon Running and Business Endurance
Tom also shared personal anecdotes about his passion for running ultra-marathons and how the discipline and endurance required for his athletic pursuits parallel his business endeavors.
"No matter how much you prepare, once you reach that starting line, you don't know what's going to happen. It taught me to think on my feet, have patience, and face unexpected challenges head-on,"** he reflected. This mindset transcends into his approach to business, helping him navigate through unforeseen challenges and seize opportunities.
Conclusion
Tom Rauen's success story is a testament to the power of diversification, innovation, and strategic thinking. His insights into the roles of AI, creative problem-solving in real estate, and the importance of endurance in both business and life offer valuable lessons for entrepreneurs and investors alike.
For those interested in learning more about Tom Rauen and his ventures, you can visit Rauen Capital at rauencapital.com or follow his Instagram at @fastfoodlandlord.
Tyler Jorgenson, filling in as the host of The Rich Dad Radio Show, also invites listeners to explore his work at https://bernmedia.co, helping professionals create impactful podcasts.
Stay tuned to The Rich Dad Radio Show for more enlightening conversations and expert financial advice.
Timecodes:
00:00 Introduction
00:25 Meet Tom Rauen: Entrepreneurial Journey
01:18 Building a T-Shirt Empire
02:52 Navigating Business Challenges and Real Estate Ventures
04:55 Diving into Triple Net Lease Properties
12:49 The Role of AI in Real Estate and Business
24:10 Unique Marketing Strategies and Creative Problem Solving
28:45 Conclusion and Final Thoughts
Disclaimer:
The information provided in this video is for educational and informational purposes only. It should not be considered as financial advice or a recommendation to buy or sell any financial instrument or engage in any financial activity.
The content presented here is based on the speaker’s personal opinions and research, which may not always be accurate or up-to-date. Financial markets and investments carry inherent risks, and individuals should conduct their own research and seek professional advice before making any financial decisions.