The Sales Engagement Podcast
The Sales Engagement Podcast

Episode · 3 months ago

How to Start Creating Multiple Revenue Streams

ABOUT THIS EPISODE

Everything gets easier when you put in the hours up front. Whether you're buying real estate, starting a career, or launching a business, things snowball when you invest early.

Do it now. You can't start any younger.

In this episode, I interview Sam Silverman, Vice President of Sales at Prometric, about how to diversify your revenue streams to prepare for the future.

What we talked about:

  • How to scale your investments
  • Getting educated in your subfield
  • When to add employees
  • Three tips for getting started with multiple income streams

For more engaging sales conversations, subscribe to The Sales Engagement Podcast on Apple Podcasts, on Spotify, or on our website.

Welcome to the sales engage on apodcast. This podcast is brought you by outreach, the leading sales engagementplatform and they just launched out reach on our reach the place to learnhow outreach well does not reach learn how the team follows up with every leadand record time after virtual events and turns them into revenue. You canalso see how out reachin's account based plays, manages reps and so muchmore using their own sales engagement platform. Everything is backed by datapulled from out reach processes and customer base when you're done you'llbe able to do it as good as they do, and the outreach on io la on out reachto see what they have going on now, let's get into today's episode, hello and welcome every one to thesales engagement podcast. Thank you, as always for hanging out with us for thenext twenty five thirty minutes, or so it's going to be interesting, one we'regoing to take a little bit of a different approach, a little bit of adifferent angle today, but i know it will be an interesting discussion andif the listeners are anything like me, their ears are going to perk up whenthey hear the topic. But before we get to that, i want to introduce my guests,i'm joined by sam and silverman sam welcome an yeah thank god, and it'sfanny. You know you not act, have an interesting background from the days ofour ef fire you coming out race. I think during the first meeting i bookas scr at out race on your back with media vallet, so he yea dark hell, yeah,that's that is awesome. I didn't actual. I haven't actually made that thatconnection before, but a cuda's, forgetting that that meeting and yeah.Of course, you spent a great amount of san early on reged at out weeks. Nowyou've gone on to do some incredible things: man so kudos for that thecareer growth but those listeners- let's maybe start there. What is thatsuperhero origin story of sam soverin? How did you get to where you're attoday so alric was definitely a big part of it right to myself and a groupof kipper take ten folks came over from a smaller company and it's a more spaceall came on board there, a lot in the sr function of few managers and otheranother role, but really is not how to re startle at their grow right. Theyhave the you know, pampa office. They started hiring and scaling as on greatplace, to learn great place to really cut your teeth and kind of get exposedto the whole sales world it exposed to high growth or the a star. There did myhours for sure right, the first few months i was lost in an office drivingaway and it really paid off big fun like it was a place that it reallysudden the work it paid back in a big way so from there actually linked upwith an old boss prior to coming out reach where once a live person filthieror there from scratch. Taking all those learning strum out, reach built it fromzero to forty five, fifty peon about fifteen months globally. So the theglobal part was definitely a big challenge in terms of the differentcultures, different people, different markets, you have about a two and ahalf year run. There did a lot of great things and then from their move,actually involse again to a company called symmetric. Where bps. Here i ledour mid market bail, dork and off ffrom pita round that man quite a journey. Icome of follow up questions that what would be your one piece of advice forfolks that are maybe looking are just task with building out now a global tea,whether it's an scr team or a sales team? What was like one or two, yourlearnings from going global, find time to meet withsomeone local who understands the cultural differences right away. Thatwas a fake that i made at first. I just not fully understanding how differentpeople operate right. I'd had different cultures. What their norms are. Justpeople really focus on what people care about right, spending time with someone,who's, local and well respected and...

...like there will help you transition alot easier for me. You know it was almost doing things that have alwaysdone them there and i didn't work at first right because a big learningcurve in terms of you know, a lot of the system process are very similar,but the people aspect definitely send your time getting connected withsomeone have your first internally. We can help you navigate, that's not it atwhere you're figuring out what of these people like watch the culture like? Howdo you motivate someone right? People are very different right tounderstanding that when he person cares about what they're motivated by is soimportant. That's definitely something that i wish i would have spent a littlemore time up front doing the overall just know your people, and i know theculture and from there a lot of things, systems and process. You know set me topen of the things for exactly the same, but the nuances in the mark in thepeople or what makes the biggest difference great advice, great of us and then thelast follow up. Question on the background is: what is your advice forpeople making that transition from leading sales development team to nowyou're leading sales? What were some of those almost mindset shifts or thingsthat you had to overcome to make that leap? I think one of the biggest thingsif i'm looking at the sr work this rs, i viewed as its conversion right. It'syour output right, the overall amount of activities to do what it's calledemails- lington, social, whatever it may be right, multiplied by yourconversion and at first you can bust your ass and really put the output alot higher to make up for your gapping conversion, whereas in a selling roleyou can do it to a point, but it's a lot more getting dialed in about a pottess right understanding when you push and pull, but the biggest thing is justyou need to come in quickly make an impact for the people on your team tobuild the respect they have for you, especially being you know, having ashort tenure in certain roles than people on our ting a pad previouslyright. So, for example, i get people my team prove been selling for three fourtimes longer than i have right. So it's understanding quickly is how do you getyourself quick, win to buy the respect and credibility with the team and thenfrom there really looking how you dig- and i overall help them like if yournumber one goal is: how do i commin your pocket if you're keen right andhow do i make things easier for you? You gain a lot of respect reallyquickly from the ord that you need to get stuff done right. So i think that's.The biggest thing is put your tea first in terms of their earnings in terms ofwhat they care about in terms of making them feel they ave a place of comfortand a place they can do well and a walk of from the place in there. I love itgreat advice, all right, man, let's transition. So what do i want to talkabout for the bulk of this episode? Is we can call it side hustles? We cancall it multiple revenue streams. I certainly think from my lands and thepeople i'm talking to that it's more common than ever for employees atcompanies to have multiple streams of revenue coming in, and i think in afuture. That's constantly changing. I think. That's just smart, you know todiversify, were tore, told to the verse find the stock market we might as wellwith our own revenue streams, and i know that you do some a lot of realestate invested and i imagine a lot of our our listeners are maybe at a placewhere they, you know, hopefully, they've had a good quarter. A few goodquarters, maybe have some extra money lying around, don't know what to dowith it. Looking at different options, there's the stock market, there'sscripto, there's real estate, there's angel, investing, there's all thesedifferent options and we're going to spend you know the nextit a while just riffin on it. But let's start at the beginning: when did youstart going down this path of? Did it start right with real estate, or wereyou kind of this cross roads of have some surplus money? What do i do withit? Wakwere yeah yeah, so mina was, i grew up in new york city, so realestate. There was your only in decking real estate rightyou, the perception that it for the...

...people who have you know generationalwealth already where you can have you know, seers of the dollar thing, butinto something and moving to florida actually helps a lot right in terms ofgetting pectable mike. Okay, you ye got people doing this, so people gettinginvolved, and in my area it was you know, started having okay now makingmission checks your income and say les you do well. I jumps off a specismental role, the very very quickly right, realizing the confont effect ofokay, i'm doing well now it's no ball so ball and some from there, my god,let me get in something that starts paying me on a regular basis. So ibought a single family have but another another another another and all thosebad things do you think of real estate by most people, if you're, not askidana estate or eligere perfection, is you think of tendance toilets, termite,but all those things that are a freaking pain and i think a big thingthat is often lost, especially in a career that most of us in tis are not storiedemployees but the bay salary, but they make their money and their upside byperforming in their role. So in thinking of the single family house isthey were a good experience on looking at the head space. The head face is nottalked about enough in sales. Is that by allocating your effort and time andyour mind share to things that hopley aren't worth it by ten looking at theirturn on your time and your peak coble productivity, it was taking up way toomuch of my time and had space the return that i was getting so by asingle family house. They cast on er from two to three four hundred dollarsa month, nothing wrong with that, but you think of it. You know one pennantleaves after a year your cast book that is gone and your entire mind, like it'sdraining to deal with right, you're, managing compy managers, your managingtenants, your managing pronovost, all of those things that take away fromyour core function, which is, if you do well in sales, you are paid very wellfor it yeah! That's that is that balance right is you have to look atokay, where's, my main source of income coming in and then wherever you'respending time, you almost have to give yourself an hourly rat. You know youlike kay, i'm more five thousand dollars an hour, and then you can'treally deviate from that too much, and if you're spending these extra talareson these things that aren't generating as much then your your kind of you arelosing losing out. So when so, you start down the road to like cam goingto buy all these single family homes. You accumulate quite a few. Thegenerating summer turns not not a ton for you. Where did you go after thatyeah, so i started doing a lot more education, because in anything right,you look at scale, look at how to scale a fail tori how to scale a companyitself how to scale of business, and you have to have more in yestransaction right, more of anything presentees. If we're going from selling,you know s and b val that five ten thousand dollars is selling mokamillion dollar deals right. That progression is where you make yourmoney, how you scale off with still managing your time and effective, behourly rate so from there a pun of research on different avenues, fraycommercial rule- if they always hoped you now popped up, because it's themost money you can do in a transaction. It still makes sense right so and whenit's a commercial, specifically multi family proper, was i focused so fiveunits and above and the big difference there is that these poperies are valuedlike a business right. Think of your net off in income as your evisa andthink of your cap rate as the inverse of your revenue. Multiple. So thepoppies are really valued and you can force appreciation right like to say,for example, now out reach they goblin revenue their valuation. He jumped upin a big way right saying with a multi family of property, where, if you cango in there and raise the rents and drive operation efficiency, the valueof the property goes up a ercome of...

...fourteen to twenty four s for eachdollar that you raise in operana. So it's very, very tangible to go into thebusiness plan and drive value through there. So, in terms of on my end, it alot of research but realized that there's ways to get into fracturers ipof larger properties right where you're deathing at twenty five, fifty ozanainto a larger operation, to get a frata ownership out that property and be apart of that business plan where you're entirely hand off right so on and thoseexperiences that you're writing a check. You're, giving your devilin on theoperators or i'm a big believer, and you bound the people all day, long likein hiring like in investing and then from there you kind of evaluate eachdeal they bring to you and they seal the almos. Think of the is tern pie.Sales were you'll, see some grubs to a deal three and a quarter then fromthere. You know not again for for two three quarters from there: the biggestthing that i've seen these deals that it allows you to once you do. Your do, delano be sponsorand on the operator in the deal itself, your handsoff, which allows you to get back that pamaonche m yeah, and so i'm not overly,as i mentioned before, i'm not overly familiar with this world, i'm probablywhere you were at with your new york there mine said i live in bagtor and wewere just named, i think the second least affordable city in the worldother than hong kong, just under hong kong. Sorry, so i'm in that and it'sjust like a real estate, that'll be for another day. You know, let's playaround with with companies and stuff to start with, so would that be? What'scalled like a reat right is that is that what you're talking about whenyou're you're buying these fractional ownerships? So a similar concept rightyou'll see companies like fun rise and crowd doors to know collectively coolmoney together, but i think the biggest thing right is that, when you'relooking at one of these ceos, it's typically each individual deal is nowls right. We have a group of people putting to other that deal needs to owndifferent core functions right, whether it be capital raising the diligence,puppy management at the management etc, and your testing that specific deal thebiggest senis. I think you have in doing so. Its access, freya access, theperse putting together or if you go to one of these larger crowds or seeplaces you're putting your name you're right. You know you're wiring money andthat's it right. There's no communication, there's no peace of mindthere and the biggest thing you have to have is just the trust in the personand what you're doing to kind of hod back to what you're saying when lookingat you now living in a market say vancouver new york, part of californiathey're, not really insectible in looking at cash flow right. If yourgoal is to try your freedom back or to have the financial flexibility to liveon your own terms, a kind of build that that way so that you can go live offthe casco sell a market like that. Doesn't allow you to do that people. Ihave made a lot of money there on appreciation plays, but they're notreally areas where you can have. You know consistent income every month orquarter from them, so we're looking at you know it gives someone actor to dealin other areas right, for example, i i've holding in both florida, texas,arizona, colorado, idaho and a lot of pins lose for that market similar tohamster you invest with there's crypto sauce in the first fine within givenareas yeah yeah. That's that's cool. It sounds like this model that you'vemoved towards you, don't you're not hands on at all, so you don't need tobe in the city or anything question so for those listening or like okay, thissounds really cool. What a step one! So clearly, you met some some smart people.How did you meet those people? What advice would you give people who arelooking to hey? Maybe let's dip? My toes in this are sure. So the biggestthings that i did was i listen to all this from doasta podcast and what youhave on on. There's people going on...

...there talking about a topic but they're,really goale, to know the the work they're doing and from there you kindof get people they're like okay, they seem legit, he seems like god, she sibudget. You can go on there and no schedule a call and interview themright. Basically, interview them understand. You know what the look for,how they handlin right when something goes bad. How do you handle it right?What's here? What's your worst deal, you've done big. What's yourcommunications by like an investors so kind of on my and now ere, my focus isas love enoughe know in fourteen these, you personally and with i've, worked with eight differentoperators. What i'm doing a mayan now is looking for folks to colin bat, thelongside, where i'm actually getting the operators for them right kind ofmyself being a testame for it, as i think it's a huge opportunity forpeople to better understand what goes on in terms of these feel and give them.You know a secondary attitudes outside the market, but the biggest thing isjust trusting who you're investing with and then really betting the opera ofthemselves. Most of these feels you look at you'll, see, margin or terms interms of differences, either way most profile in the midst of high teas interms of contented interest or irr. So it's really neglible different, it'smore so on. You trust the person you're giving your your capital to and do youtruck word an x ban on a business plan, m yeah and just so i'm clear, becauseit sounds interesting and certainly after this conversation i'm going toprobably pick your brain more and dive into it. So is this then, so i from myworld, i recently went down this really cool path with you know max and gt fund,as i'm learning all about like venture capital and similar to you, you knowthat's what i did. I know a lot about go to market strategy. I know a lotabout startups, but i don't know a lot about valuing companies and all thisother stuff that goes into bento capital. But it's incredible what youcan learn from podcast these days and books and like youtube, video y, a l kwithin like three weeks it was like. Okay, i got the basics, i think youknow if you dive head first, but in vc land often the returns come quite a bitlater bit you're you're, making strategic bets on startups thathopefully have some sort of exit event in, like five. Six years, so so you'reoften waiting you know, and then you get paid out in terms of carry anddifferent things. You can charge amentes as well, but it's deferred inthis, but we're talking about with real estate. Are you getting monthlypayments like as soon as you invest in a deal you're getting like monthlyreturns? So typically, what you'll see is both of the ideals model for a fiveyear old period. Right with the goal is to purchase a value at property driveup, the rents decrease the operating cost. Therefore you know you're at yourend, o your met. Opera income is goes up. Brian. You sell that at a certainmultiple. So when looking at these feels ojis just sees round number sayon that, a hundred brand you're likely seeing but eight to ten percent castalfrom you know about three or six months in rittich. Offerers keep them cash onhand at first, but the goal of not doing a capital call right. So youinvested in to deal scott and you put in a hundred rand, like you, don'tmedona to be called sick, bunk flitters saying stop. We twents dollars more sotypically see you know a six month waiting window to get distribution fromthe operators, but in you're, seeing their month or quarterly paymentstypically take a ten percent and have a lot of these feels to work. Is thatyou're seeing call it eight percent referte turn right, basically thatevery year you that a hundred grand you know he bet o hundred gram one timeevery year, getting paid eight thousand dollars broken out month, layer,quarterly and then from there you tical see a profit split from the investorsto the...

...operating partners called us sentthirty right. Basically, you know we raised a hundred thousand dollars for adeal. You know we see her for three years and then so it we do you twentyfour thousand dollars off the bat than any leper proceeds after paying off thedeath, all the closing top etc it's fit. In a seven cent to thirty cents ratio,you'll tipical see a lot of a lot of scenarios like that where you'regetting test slow, but you you're mostly getting your bigger pop at theend upon fale and a five year old period. If the deal fell quicker you're,seeing your return jump up a lot, the both of the value is traded byrepositioning the asset, then selling it down the road. So if you can sell itand then shied the eggs itself price earlier, the percentage returns can gofrom the mid to high team to well well, above that, in terms of you know,condensing timeline. So i view this as far west risky been looking at angel,and that thing and look me, you know potentially go to market on you'll,have higher up in those areas right you're, not going to see a multiple oftwenty x and in a star like this ever but the way i model personally myfinances that every two years, their money- she double sorry ego five years,every five, every five years. Yes, like two and for two years, man, i'm in the ro business. That's cool man.That's really really interesting and you're totally right. You know, i thinkanyone who's looking into angel and besting or even so early stage fundssixty to seventy percent of startups fail right, so yeah. What you arelooking for is the kind of the few home runs that even that out and you getyour hundred thousand ten sand ex multiple on one or two and then itbrings it all. Brings it all home cool man. Well, that is super interesting.I've got a question for you more like a personal question, something i thinkabout a lot. So this is very interesting me. I get interested inthings very quickly. We've got this fund now i've got my crypto guy deep inthat world. You know there and i live in banier bc, so we have a prettythriving cannavat sector, so i've got a lot of like angel investments in canora.Comic is there's all these different things. I do have a you know a corporation set up to managethese. How do you structure your your time? I imagine you have a fewdifferent ll cs and i guess my actual question is: do you think you'll everhave employees just to help you manage moreopportunity right, like i look at sometimes thinking about like i guess ishould like maybe hire people, but it would kind of be crazy. I wouldn't havea job description. It wouldn't be a typical company, but you could thenkind of exploit more opportunities is what i see you ever think about that. So i what a fromfrom the va route,where you have an online virtual assistant for certain things, i'm outsore. You know i'm working getting the website bill. Work meetings, mark thinggoing all that thing outsource where i'm a huge believer and do the thingsare good at really well and like go very, very deep in certain areas, virchgoing very wide. So for me, like my focuses or sale and then work witheductor on raising capital and giving a good opportunities to invest in so forme, it's really those two poor function versus going wide and you know a whole variety of areas, andeven when look at the moly family deal that you know, the primaryresponsibility is on the capital in that's relations die with a asmanagement. You know mixed in there as well, but it's really more so on givinga great investor experience versus being start out and having your handsin every area of the deal, but that original question of the loc is one ofthe luxuries investin deals such as this is that your limited partner right,your liability, is chape at what you put into it. So, for example, you knowif you were a check for a hundred grain and to a deal. That's all your liablefor the deal of sealth sits in lls for...

...the entire asset, but then yourliability is calf just on potentially losing the money you put into it, butthere's no personal. Why ability? Beyond that got it? That's cool that it's reallyreally cool. I like it well to the listeners. I hope we gave you somethings to to think about here. I know i'm going to go. Do some some homeworkon this world now and it's definitely never never too early to start. You know youcould be a bedr that just started in listening tothis, and you can start laying that foundation early and just learningabout these different avenues, because, as you said once you have some success,it can compound very quickly and if you have these things ready to go all thebetter all right before i let you go. I always ask this this question, becausepeople are distracted. People are busy when they're listening to podcast. Ifpeople forget everything in this episode, except for three things, tother things we discussed here honestly just things that are really importantto you that you want to pass on to folks. What would you want? Those threethings to be so, i think one is put in the hours up front, but my looking atwith your starting or free or starting something do the hours up front. Itgets a lot easier if you do those hours that wrong, but if he makes a bigeffort, it's snowballs in a big way, while that that thing where the sailfor that being the one who's been giving the opportunities internally,like put the effort up front. Second, it's figure out what people hate doingand get really good at those things right, for example, you look at the frworld. It's not glorify roll o is, but if you can do well and it that's yourmeal ticket to steppings going for everyone doing yourcareer, so i get really good at things that people hate doing. I think thirdis just just overall compound effects right, like the the law of justcompounding interest, but whether that's getting better at bill orwhether it's in destin in something the earlier. You start the more committedyou are o doing it. Time helps heal almost everything, especially in realestate, is that it? If fou get an early getting you start when you're youngeryou have so much tention down the road just have these keep building in thebackground, that's what you're doing and allowing yourself to have the sexbuilt and freedom of not being tied to stay in a job that you may hate righthaving the ability to go to now. I want to go take three months off from afigure out what i want to do it a lot to flex building freedom to nomicdecisions based on need, but on want excellent, excellent advice. Man and i really like that- get really good atthings people hate doing that's. That is great advice, and i'm with you withthe do the work up front and i remember it can feel very, very difficult anddaunting at the beginning of your career to like get the boulder movingyeah. If you do that, work and you're running at it yeah exactly it picks upany quite quite quickly. It's a lot of things that people just aren't willingto do it right, a lot of people seeking the the finished product of somethinglike okay yeah. What is you to get here, or both the process like and there'susin, not a carful answer, just a lot of doing things to kind of suck atfirst until you get good at them and then you just get a lot easier, butyeah once you get it moving, your life becomes easier really quickly and youhave a lot more optional ty in both what you do and who you do it with. Soi think those are really important things that people last to finish lineopposed to like looking at how they get off the starting line, a lot bettertotally. What's that quote along the same lines? If you dothe hard things your life gets easy, you do the easy things your life getshard yeah! That's it's a good one, all right brother! Well, that was awesome.I love when i get to to learn stuff on this podcast to so. Thank you forjumping on thanks for sharing your your insights with us and it's all thelisteners that hung up. I hope you enjoyed that as much as i did and willsee you next episode. Co. Thank o. This...

...was another episode of the salesengagement podcast to help this get in front of more eyes and ears. Pleaseleave us a shining five star with you join us at sales engagement com for newepisodes, resources in the book on sales engagement to get the most out ofyour sales engagement strategy, make sure to check out out reached lio theleading sales engagement platform. So you on the next episode a.

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