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Mark Haney: And now from the Marquee Media Studio
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Mark Haney: inside Mark Tank.
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Mark Haney: It's the Mark.
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Colton Paulhus: Haney Show.
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Mark Haney: Colton Paulus is in the house and we have a
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Mark Haney: brand new camera, so we are gonna look good.
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Mark Haney: If you are listening to this, it's the same
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Mark Haney: old audio, but if you are watching this on
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Mark Haney: YouTube, see if you can notice between the
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Mark Haney: old cameras and the new.
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Mark Haney: We have this three camera setup and one of
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Mark Haney: the cameras is brand new Scott, my man,
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Mark Haney: tells me it is better than the rest.
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Mark Haney: So, anyway, enough about me and my camera
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Mark Haney: setup.
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Mark Haney: This is about Colton Paulus and Anchored
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Mark Haney: Tiny Homes.
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Mark Haney: This is like one of the fastest growing
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Mark Haney: companies in the region and the product is
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Mark Haney: really interesting.
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Mark Haney: The story of Colton and him recruiting his
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Mark Haney: family in to build this business Super
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Mark Haney: interesting.
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Mark Haney: So we are gonna dive into all of that and
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Mark Haney: hopefully learn a little bit about how you
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Mark Haney: scale a company like you guys are doing.
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Mark Haney: It's really really incredible.
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Mark Haney: Welcome to the show, colton Yep.
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Colton Paulhus: Thanks for having me on.
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Colton Paulhus: I look forward to it.
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Mark Haney: Yeah, you and I have been kind of tracking
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Mark Haney: you from a distance.
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Mark Haney: We have known each other a number of years
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Mark Haney: and you have had some good ideas in the
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Mark Haney: past and kind of got them off the ground
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Mark Haney: and then you kind of maybe switched to
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Mark Haney: another idea or two and always impressed me
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Mark Haney: with your ambition.
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Mark Haney: But now the results are beginning to speak
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Mark Haney: for themselves.
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Mark Haney: So maybe just give me a little of the
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Mark Haney: background.
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Colton Paulhus: That's right.
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Mark Haney: Maybe just give us your origin story, if
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Mark Haney: you will.
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Colton Paulhus: Yeah, I was a sports growing up so I was a
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Colton Paulhus: college athlete, went to Colorado State,
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Colton Paulhus: played Division one football.
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Colton Paulhus: When I got out of college my first job was
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Colton Paulhus: actually selling insurance, so didn't
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Colton Paulhus: really know a ton about business.
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Colton Paulhus: I didn't really have the like door to door
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Colton Paulhus: knocking story selling things door to door.
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Colton Paulhus: I was focused on sports.
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Colton Paulhus: But then when I got out of college I came
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Colton Paulhus: home and got a sales job selling for
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Colton Paulhus: farmers insurance working for a guy by the
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Colton Paulhus: name of Bob Nielsen locally.
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Colton Paulhus: Actually fell in love with the sales
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Colton Paulhus: process.
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Colton Paulhus: I was like I could call someone sell
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Colton Paulhus: something, get a commission.
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Colton Paulhus: Call someone sell something, get a
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Colton Paulhus: commission.
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Mark Haney: A lot of people don't like that.
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Mark Haney: That's right I loved it.
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Colton Paulhus: I loved it.
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Colton Paulhus: It was like a, it was like a drug to me.
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Colton Paulhus: So I got really addicted to the sales
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Colton Paulhus: process, but you know, I wasn't really
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Colton Paulhus: living a quality of life that was that was
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Colton Paulhus: on par with my goals.
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Colton Paulhus: So I was drinking quite a bit, partying
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Colton Paulhus: really not living a life that I'm living
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Colton Paulhus: now, right, so anyway, so I got.
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Colton Paulhus: I ended up one night when I was working for
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Colton Paulhus: farmers insurance.
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Colton Paulhus: I ended up getting into some trouble.
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Colton Paulhus: So then what I did is I actually pivoted
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Colton Paulhus: from selling insurance to launching a
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Colton Paulhus: mobile app by the name of athletes
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Colton Paulhus: entourage.
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Colton Paulhus: So that was the second kind of business
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Colton Paulhus: that I started.
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Colton Paulhus: Athletes entourage was a mobile platform
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Colton Paulhus: connecting athletes to, you know,
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Colton Paulhus: professional athletes that wanted
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Colton Paulhus: mentorship and coaching and all that
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Colton Paulhus: different stuff, and then that never really
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Colton Paulhus: took off.
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Colton Paulhus: So I pivoted to more fit incorporated,
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Colton Paulhus: which was the same thing but fitness
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Colton Paulhus: influencers, and that had a little bit of
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Colton Paulhus: success.
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Colton Paulhus: I think I had maybe a hundred subscribers
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Colton Paulhus: at a time hundred and eighty five but never
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Colton Paulhus: really did what I wanted it to do.
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Colton Paulhus: And then I pivoted again to a company by
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Colton Paulhus: the name of Fresh Water Bottles, which was
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Colton Paulhus: a stainless steel water bottle company that
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Colton Paulhus: had a cause associated with it.
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Colton Paulhus: And then the fifth business that I started
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Colton Paulhus: was DMC media, which was just a local
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Colton Paulhus: marketing company.
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Colton Paulhus: All of these different businesses had a
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Colton Paulhus: little bit of success but never really had
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Colton Paulhus: the success that I wanted.
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Colton Paulhus: So then after DMC media, I ended up getting
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Colton Paulhus: married to my wife.
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Colton Paulhus: We were kind of building it together at the
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Colton Paulhus: time.
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Colton Paulhus: I think I had 15 clients, local businesses,
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Colton Paulhus: that we were supporting on a marketing
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Colton Paulhus: level.
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Colton Paulhus: And then what happened is I we stopped that
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Colton Paulhus: business.
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Colton Paulhus: I tried to get my insurance license one
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Colton Paulhus: more time and I actually got denied because
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Colton Paulhus: of my past.
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Colton Paulhus: So you know, there was a DUI, there was
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Colton Paulhus: things, I got expelled from a university so
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Colton Paulhus: the insurance committee actually denied my
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Colton Paulhus: license.
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Colton Paulhus: So I was doing really well.
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Colton Paulhus: I was selling for like six weeks because I
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Colton Paulhus: got approved tentatively and then they
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Colton Paulhus: looked at my file and denied it.
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Colton Paulhus: So I was kind of that emotion.
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Mark Haney: You like heartbreak.
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Mark Haney: You're like I put so much into this.
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Colton Paulhus: Yeah, there was a ton of time.
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Colton Paulhus: I actually failed the test twice, right, so
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Colton Paulhus: I put a ton of time into it.
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Colton Paulhus: I was recently married.
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Colton Paulhus: My wife was pregnant.
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Colton Paulhus: We were having our daughter at the time,
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Colton Paulhus: four months from now.
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Colton Paulhus: So I was panicked.
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Colton Paulhus: I'm like I got to provide for my family.
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Colton Paulhus: What am I going to do so anyway?
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Colton Paulhus: So I started researching different things.
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Colton Paulhus: I had always looked at different businesses
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Colton Paulhus: and wanted to start companies, but what
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Colton Paulhus: happened is I actually got an ad on
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Colton Paulhus: Facebook from a competitor, a tiny home
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Colton Paulhus: competitor and I kind of got gripped by it.
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Colton Paulhus: So I ended up researching what is a tiny
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Colton Paulhus: home?
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Colton Paulhus: How do you build them?
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Colton Paulhus: What does it look like?
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Colton Paulhus: All these different things?
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Colton Paulhus: And then I went to my dad and I said, hey,
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Colton Paulhus: do you think we could build tiny homes?
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Colton Paulhus: He said, yes, I threw up an ad on Facebook
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Colton Paulhus: and within three days we had 300 people
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Colton Paulhus: reach out.
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Colton Paulhus: So I kind of had that aha moment like OK,
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Colton Paulhus: this might, there might be a market here.
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Colton Paulhus: And then really, the rest was history.
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Colton Paulhus: We ended up meeting with four people at
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Colton Paulhus: like a Starbucks Pete's coffee I ended up
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Colton Paulhus: selling to people at this coffee shop over
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Colton Paulhus: the course of two weeks I think our first
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Colton Paulhus: contract was like 80,000.
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Colton Paulhus: The second one was 95.
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Colton Paulhus: And then really, the rest was history.
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Colton Paulhus: We started going all in January of 2020.
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Colton Paulhus: We landed a finance partner and then we
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Colton Paulhus: started selling five to seven of these a
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Colton Paulhus: month over the next 12 months, so walk.
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Mark Haney: Let me make sure I understand the time
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Mark Haney: frame, because this all happened in a
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Mark Haney: relatively short amount of time.
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Mark Haney: So the first five attempts.
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Colton Paulhus: That's what we'll call it.
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Mark Haney: That's over what span of time?
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Mark Haney: That was five years.
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Colton Paulhus: That was about five to six years.
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Colton Paulhus: Yeah, that's how I was thinking.
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Mark Haney: Happened.
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Mark Haney: Pretty well, you're, you were quick to
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Mark Haney: pivot or whatever.
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Mark Haney: How fast they say and that's really cool
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Mark Haney: that you were able to, I guess not meet
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Mark Haney: your expectations and make a new decision
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Mark Haney: really quick.
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Mark Haney: Did people ever accuse you of being like
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Mark Haney: flighty or indecisive?
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Colton Paulhus: All the time, Dude, what are you into now?
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Colton Paulhus: I mean.
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Mark Haney: I'm going to admit I even thought that at
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Mark Haney: one point.
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Mark Haney: I'm like I thought you were doing insurance.
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Mark Haney: What happened to the?
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Colton Paulhus: That's right yeah.
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Mark Haney: And I'm like, hmm, okay, I always thought
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Mark Haney: you were ambitious and so tracking.
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Mark Haney: But now you're onto something I've seen you
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Mark Haney: in the business journal getting recognized
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Mark Haney: for the high growth, and so maybe tell me
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Mark Haney: what the company looks like today, and then
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Mark Haney: we'll kind of back into some of the lessons
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Mark Haney: learned along the way.
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Colton Paulhus: That's right.
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Colton Paulhus: So the company now we have 72 employees.
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Colton Paulhus: We'll eclipse 100 million in system wide
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Colton Paulhus: sales this year, and so it's grown like
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Colton Paulhus: crazy.
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Colton Paulhus: And this has been four years.
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Colton Paulhus: So we went from zero to 100 million in
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Colton Paulhus: sales in less than four years and, like you
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Colton Paulhus: said, I started a ton of different things
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Colton Paulhus: and I still have a thousand ideas a week I
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Colton Paulhus: have to hone myself in.
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Colton Paulhus: Sometimes I'm like, hey, no, let's focus.
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Colton Paulhus: This is what's clicking, this is what's
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Colton Paulhus: working.
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Colton Paulhus: But yeah, it's been fun.
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Colton Paulhus: We've scaled it fast, built a great team.
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Colton Paulhus: I think one of the things I've learned
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Colton Paulhus: recently that I didn't do the first three
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Colton Paulhus: years is hire very skilled people, and I
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Colton Paulhus: feel like I waited too long because I'm
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Colton Paulhus: like, oh, that salary is high, you know,
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Colton Paulhus: can we afford that?
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Colton Paulhus: But I think now I'm realizing actually
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Colton Paulhus: pre-hiring those skilled people makes you
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Colton Paulhus: so much more money.
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Mark Haney: Yeah, you held off on it because, hey,
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Mark Haney: you're an early stage company, that's right.
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Mark Haney: You're not in a position to go hire the
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Mark Haney: best and the brightest, necessarily.
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Mark Haney: So you sort of cut back in those areas and
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Mark Haney: you're saying that was a mistake.
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Mark Haney: That was a mistake, did it cost you?
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Colton Paulhus: It cost us yeah.
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Mark Haney: And what?
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Colton Paulhus: Opportunity.
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Colton Paulhus: Opportunity, operational excellence,
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Colton Paulhus: because I'm more visionary right and then.
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Colton Paulhus: So we've really needed an integrator, or
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Colton Paulhus: multiple integrators.
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Colton Paulhus: There's a book Traction that I really like.
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Colton Paulhus: So I think we just waited too long to hire
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Colton Paulhus: skilled people in each category design,
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Colton Paulhus: permitting and construction and we just
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Colton Paulhus: wanted to do everything ourselves for a
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Colton Paulhus: while.
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Colton Paulhus: But now we've pivoted and we've done that
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Colton Paulhus: the right way, so it's been helpful.
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Mark Haney: Well, I remember I knew your mom and dad a
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Mark Haney: little bit and your dad built sheds.
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Mark Haney: At one point, if I remember correctly, he
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Mark Haney: had a successful business that built sheds,
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Mark Haney: and then, obviously, we went into the
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Mark Haney: financial crisis and then this surfaced
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Mark Haney: after the financial crisis.
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Mark Haney: That's right, you're the youngest son,
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Mark Haney: right?
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Colton Paulhus: No, I'm the oldest.
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Colton Paulhus: My brother is 29.
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Colton Paulhus: I'm 32.
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Mark Haney: Ok, so you come home and you guys get it
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Mark Haney: rocked and kind of put the shed business on
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Mark Haney: steroids with you're building tiny homes.
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Mark Haney: That's right, and maybe I'll stop for a
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Mark Haney: second and have you describe for our
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Mark Haney: audience what is an anchored tiny home.
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Mark Haney: Look like, what does it feel like?
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Mark Haney: What's the value there?
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Colton Paulhus: Yeah, so a tiny home.
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Colton Paulhus: We started the business with tiny homes on
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Colton Paulhus: wheels, so we were manufacturing, we had a
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Colton Paulhus: warehouse.
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Colton Paulhus: We had a 25,000 square foot warehouse at
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Colton Paulhus: one point.
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Colton Paulhus: But in 2020, California came out with a law
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Colton Paulhus: that said any residential lot can build
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Colton Paulhus: ADUs so accessory dwelling units.
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Colton Paulhus: So we pivoted again and saw the opportunity.
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Colton Paulhus: We started getting customers asking us
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Colton Paulhus: weekly do you build ADUs, do you build ADUs?
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Colton Paulhus: And finally I'm like, yeah, we build them.
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Colton Paulhus: And then we ended up just saying we kind of
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Colton Paulhus: created some models and went into that.
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Colton Paulhus: So we're actually not doing tiny homes on
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Colton Paulhus: wheels anymore.
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Colton Paulhus: So an ADU is an accessory dwelling unit, so
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Colton Paulhus: think of it as a backyard home.
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Mark Haney: So that's where you might put.
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Mark Haney: You've got a limited sized lot potentially,
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Mark Haney: and I think the ADU laws excuse me,
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Mark Haney: regulations require you to, or allow you to,
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Mark Haney: build something up to a certain number of
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Mark Haney: square feet.
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Colton Paulhus: Yeah, 1,200 square feet.
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Mark Haney: OK, so these are homes that are under 1,200
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Mark Haney: square feet.
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Mark Haney: They fit in, let's call it, your backyard
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Mark Haney: or somewhere on your property, and there's
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Mark Haney: a regulation that basically allows us, as
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Mark Haney: landowners or homeowners, to do that,
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Mark Haney: regardless of where our property is located
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Mark Haney: or anything like that.
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Mark Haney: There's not really the set of restrictions
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Mark Haney: you might have had in the past.
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Mark Haney: Now it's like no, you can put at least one
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Mark Haney: of these on your house.
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Colton Paulhus: Yeah.
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Colton Paulhus: So the state came in and took the control
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Colton Paulhus: out of the city's and county's hands.
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Colton Paulhus: So the state said no, every residential lot
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Colton Paulhus: has to allow.
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Colton Paulhus: Every city and county has to approve ADUs
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Colton Paulhus: on a residential lot.
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Colton Paulhus: Just because of the housing crisis that
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Colton Paulhus: we're in, we're not going to catch up with
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Colton Paulhus: single family homes.
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Colton Paulhus: They had to think of a different, new
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Colton Paulhus: alternative.
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Mark Haney: What a concept.
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Mark Haney: You can use your own land to build a place
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Mark Haney: and the state of California has allowed us
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Mark Haney: to do that.
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Mark Haney: That's cool.
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Mark Haney: It's interesting how people get cities in
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Mark Haney: different municipalities.
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Mark Haney: They put all these building restrictions
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Mark Haney: and codes on us.
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Mark Haney: And to have something that takes some of
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Mark Haney: those barriers away.
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Mark Haney: That's freeing and it has to be really
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Mark Haney: something that allows people to maybe have
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Mark Haney: their mother-in-law stay at their play or
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Mark Haney: have that have to be in the same house with
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Mark Haney: you.
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Mark Haney: Build your own little house or maybe even a
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Mark Haney: little rental.
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Mark Haney: I mean, what's the best?
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Mark Haney: So our breakdown is.
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Colton Paulhus: 70% is family, so aging parents, grandmas
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Colton Paulhus: getting old kids coming home from college,
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Colton Paulhus: and they just can't afford a $600,000,
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Colton Paulhus: $700,000 house.
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Colton Paulhus: So the family might own a piece of property
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Colton Paulhus: and they want to build a 800 to 1,200
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Colton Paulhus: square foot house.
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Colton Paulhus: I mean, we even sell 2,300 square foot ADUs.
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Colton Paulhus: So 70% is for family, 25% investor and then
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Colton Paulhus: 5% just a wealthier client that just wants
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Colton Paulhus: some more room on their property.
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Colton Paulhus: But when you think of investor, it's
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Colton Paulhus: actually not people with 40, 50, 60 rentals.
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Colton Paulhus: A lot of times it's someone that just wants
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Colton Paulhus: to supplement their mortgage.
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Colton Paulhus: So they might have a $3,000 mortgage
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Colton Paulhus: payment and they build an ADU and they can
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Colton Paulhus: cash flow $800 to $1,000 a month and all of
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Colton Paulhus: a sudden their mortgage payment goes down
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Colton Paulhus: or they have that free cash flow.
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Mark Haney: OK, so they are renting them to somebody to
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Mark Haney: help their cash flow.
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Colton Paulhus: OK.
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Mark Haney: So the only time I've been in a tiny, I
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Mark Haney: haven't been in your guys as tiny homes.
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Mark Haney: I was at a trade show like a little land
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Mark Haney: home and garden show back when I was
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Mark Haney: helping my concrete company sell concrete.
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Mark Haney: I would go to the home and garden shows all
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Mark Haney: the time and I remember walking into these
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Mark Haney: tiny homes and thinking this is really cool,
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Mark Haney: but they're tiny.
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Mark Haney: So you're saying they started about 2,300
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Mark Haney: square feet and that's I mean, that's 10 by
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Mark Haney: 20 or whatever 20 by 15.
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Mark Haney: That's right.
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Mark Haney: What can you get?
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Mark Haney: Can you even get a bathroom and a kitchen
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Mark Haney: and all that?
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Colton Paulhus: Yeah.
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Colton Paulhus: So our smallest model, that we tells 240
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Colton Paulhus: square feet, is a 12 by 20, and it's just a
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Colton Paulhus: small kitchen and a bathroom and it's a
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Colton Paulhus: studio.
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Mark Haney: OK, so you have a hide-a-bed where you have
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Mark Haney: one of those beds that tuck into the wall.
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Colton Paulhus: Yeah, okay.
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Mark Haney: Interesting, so, and then they go up to
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Mark Haney: 1200 square feet.
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Colton Paulhus: Most people are right around the five to
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Colton Paulhus: 800 square foot range, so one bed to two
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Colton Paulhus: bed unit is most of what our consumer is.
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Mark Haney: And are there walls?
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Mark Haney: I mean, are you, like you know, in the
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Mark Haney: small ones would I typically.
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Mark Haney: Would it be?
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Mark Haney: You say one to two bed?
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Mark Haney: Is that one to two bedrooms?
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Mark Haney: Or is that, you know, just a couple beds,
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Mark Haney: couple twin beds in one?
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Colton Paulhus: room, no one to two bedrooms.
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Colton Paulhus: Yeah, oh, okay, there's a wall separating
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Colton Paulhus: them.
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Colton Paulhus: So the way they lay it out, we get creative
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Colton Paulhus: and all kinds of stuff.
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Colton Paulhus: Maybe a 10 by 10, 10 by 12 bedroom, but
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Colton Paulhus: yeah, people put beds in them.
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Mark Haney: That's awesome.
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Mark Haney: And then they share the yard, potentially
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Mark Haney: for his common area to play or run around
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Mark Haney: or whatever.
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Mark Haney: That's really cool.
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Mark Haney: So what you mentioned maybe or maybe this
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Mark Haney: is my impression of what you said is that
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Mark Haney: we don't have enough housing in California,
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Mark Haney: or I guess across the country, across the
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Mark Haney: country, yeah.
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Mark Haney: So this helps solve that by just making it
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Mark Haney: more affordable, just to slap up a quick
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Mark Haney: home or put a really affordable home
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Mark Haney: together, correct?
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Colton Paulhus: Yeah, yeah.
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Colton Paulhus: So I mean it does two things right.
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Colton Paulhus: So it cuts the red tape from restricting
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Colton Paulhus: people right From building what they want
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Colton Paulhus: on their property.
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Colton Paulhus: And then the second thing is is it really
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Colton Paulhus: enables that entry level buyer to have
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Colton Paulhus: somewhere to live?
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Colton Paulhus: So you know, these big home home developers
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Colton Paulhus: are building anywhere from 1800 to 3,500
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Colton Paulhus: square foot homes, but that cuts out to
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Colton Paulhus: people that are making 60, 70, 80 grand a
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Colton Paulhus: year and they can't buy a house.
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Mark Haney: So how do you buy any?
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Mark Haney: How do you buy one of these ADUs?
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Mark Haney: So what's the purchase?
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Colton Paulhus: You can't buy them.
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Colton Paulhus: But maybe it's a family compound and
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Colton Paulhus: they're kind of putting money into one pot
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Colton Paulhus: where they can share some of the benefits.
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Colton Paulhus: So like, let's say, the mom is moving on to
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Colton Paulhus: the property, she sold a house in the Bay
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Colton Paulhus: Area, maybe had 160,000 in equity, and then
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Colton Paulhus: she puts that 160 into the kids property,
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Colton Paulhus: right?
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Colton Paulhus: So then they're kind of both benefiting,
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Colton Paulhus: right, I love that we're.
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Mark Haney: as you know I think you might know this
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Mark Haney: we're building a family compound right now
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Mark Haney: and we haven't done any tiny homes yet.
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Mark Haney: But when you said have your mom move out
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Mark Haney: there, that kind of that put me off a
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Mark Haney: little bit.
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Mark Haney: I want my mom passed away a while ago, but
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Mark Haney: I don't know I'm not sure I want my
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Mark Haney: mother-in-law.
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Colton Paulhus: Not a lot of people.
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Colton Paulhus: They live out there.
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Mark Haney: So it's like ah you know, hopefully my wife
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Mark Haney: is not listening to this podcast getting
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Mark Haney: any ideas.
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Mark Haney: I don't think I want a tiny home.
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Mark Haney: I wouldn't mind having a tiny home.
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Colton Paulhus: I think that'd be cool, but maybe for my
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Colton Paulhus: grandkids when they get older.
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Colton Paulhus: I don't know what my mother-in-law out
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Colton Paulhus: there Hopefully she's not listening.
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Mark Haney: Okay.
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Mark Haney: So the yeah, you really are addressing the
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Mark Haney: housing crisis that we have Interest rates
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Mark Haney: have come up Is that it's tough, tougher
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Mark Haney: and tougher to buy a home.
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Mark Haney: It's forcing us to want to, I guess, stay
475
0:16:06,066 --> 0:16:08,093
Mark Haney: in our homes longer, because if you've got
476
0:16:08,133 --> 0:16:10,010
Mark Haney: a home with, say, a three or 4% interest
477
0:16:10,071 --> 0:16:12,410
Mark Haney: rate, you're not really.
478
0:16:12,731 --> 0:16:14,606
Mark Haney: I mean, the market isn't set up so that you
479
0:16:14,627 --> 0:16:16,333
Mark Haney: can trade up really easily.
480
0:16:17,107 --> 0:16:18,091
Mark Haney: You trade up and you've got to.
481
0:16:18,565 --> 0:16:20,472
Mark Haney: You may have gone to an 8% interest rate
482
0:16:20,512 --> 0:16:20,773
Mark Haney: loan.
483
0:16:20,805 --> 0:16:22,230
Mark Haney: It's like, well, my God, I can't even go
484
0:16:22,270 --> 0:16:22,752
Mark Haney: sideways.
485
0:16:22,792 --> 0:16:23,153
Colton Paulhus: That's right.
486
0:16:24,147 --> 0:16:25,612
Mark Haney: So people you know, but you want to
487
0:16:25,672 --> 0:16:27,990
Mark Haney: continue to improve your lifestyle and make
488
0:16:28,031 --> 0:16:30,546
Mark Haney: changes, move to a tiny home so the
489
0:16:30,606 --> 0:16:32,192
Mark Haney: interest rates hurt or helped you.
490
0:16:32,965 --> 0:16:33,910
Colton Paulhus: I'd say it's neutral.
491
0:16:34,526 --> 0:16:38,777
Colton Paulhus: So it's hurt us in the more affluent buyer.
492
0:16:38,965 --> 0:16:40,591
Colton Paulhus: So someone that maybe owns more rental
493
0:16:40,652 --> 0:16:42,971
Colton Paulhus: properties wants to, you know, do a HELOC
494
0:16:43,011 --> 0:16:45,048
Colton Paulhus: and then add a rental unit so that it's
495
0:16:45,089 --> 0:16:45,490
Colton Paulhus: hurt us.
496
0:16:45,985 --> 0:16:48,171
Colton Paulhus: But when it comes to the parents and the
497
0:16:48,693 --> 0:16:50,888
Colton Paulhus: housing for family, it hasn't hurt us
498
0:16:51,210 --> 0:16:52,728
Colton Paulhus: because we're still the most affordable
499
0:16:52,849 --> 0:16:53,090
Colton Paulhus: option.
500
0:16:53,265 --> 0:16:54,992
Colton Paulhus: So when it comes to an apartment complex
501
0:16:55,445 --> 0:16:58,514
Colton Paulhus: that's 2000 to 3000 a month, versus a care
502
0:16:58,554 --> 0:17:01,913
Colton Paulhus: facility, versus financing an ADU on a
503
0:17:01,973 --> 0:17:04,512
Colton Paulhus: HELOC, it still is the most affordable
504
0:17:04,632 --> 0:17:04,833
Colton Paulhus: option.
505
0:17:04,925 --> 0:17:07,693
Colton Paulhus: You can finance a $200,000 ADU for 1800
506
0:17:07,713 --> 0:17:08,235
Colton Paulhus: bucks a month.
507
0:17:08,605 --> 0:17:08,806
Mark Haney: Okay.
508
0:17:08,826 --> 0:17:10,913
Mark Haney: So HELOC, home Equity Line of Credit.
509
0:17:11,345 --> 0:17:12,950
Mark Haney: So that's where you've got your first on
510
0:17:12,970 --> 0:17:16,210
Mark Haney: the house already and you decide you want
511
0:17:16,230 --> 0:17:17,534
Mark Haney: to put up a tiny home.
512
0:17:18,005 --> 0:17:20,653
Mark Haney: You go to a traditional bank and get a home
513
0:17:20,694 --> 0:17:24,972
Mark Haney: equity line of credit and then you know,
514
0:17:24,992 --> 0:17:27,567
Mark Haney: say you get a $150,000 line of credit, you
515
0:17:27,647 --> 0:17:30,088
Mark Haney: put some of it into this, into this tiny
516
0:17:30,149 --> 0:17:32,109
Mark Haney: home, and then you're not.
517
0:17:32,611 --> 0:17:34,448
Mark Haney: Typically you got a, is that interest only?
518
0:17:34,489 --> 0:17:34,991
Mark Haney: Or you got to pay.
519
0:17:35,031 --> 0:17:37,646
Mark Haney: Those are those termed out or how there's a
520
0:17:37,687 --> 0:17:38,631
Mark Haney: few different options.
521
0:17:38,725 --> 0:17:40,893
Colton Paulhus: There's variable rates, there's fixed rates.
522
0:17:41,545 --> 0:17:43,169
Colton Paulhus: Most of the time it's spread out over 20,
523
0:17:43,189 --> 0:17:43,791
Colton Paulhus: 25 years.
524
0:17:43,811 --> 0:17:44,934
Colton Paulhus: Oh okay, yeah, yeah.
525
0:17:44,954 --> 0:17:45,475
Mark Haney: Okay, that's cool.
526
0:17:46,405 --> 0:17:47,670
Mark Haney: And do you guys get involved when you sell
527
0:17:47,711 --> 0:17:49,732
Mark Haney: it typically directly to the consumer,
528
0:17:49,852 --> 0:17:50,053
Mark Haney: right?
529
0:17:50,145 --> 0:17:52,312
Mark Haney: So it's somebody who owns their own home
530
0:17:52,332 --> 0:17:52,934
Mark Haney: that's buying it.
531
0:17:53,165 --> 0:17:55,191
Mark Haney: There's no middleman in there, correct,
532
0:17:55,272 --> 0:17:55,532
Mark Haney: okay?
533
0:17:56,605 --> 0:17:58,591
Mark Haney: And do you help coordinate the financing
534
0:17:58,651 --> 0:17:58,992
Mark Haney: piece?
535
0:17:59,033 --> 0:17:59,835
Colton Paulhus: and all that kind of stuff.
536
0:18:00,005 --> 0:18:01,411
Colton Paulhus: We're truly a white glove service.
537
0:18:01,485 --> 0:18:04,274
Colton Paulhus: So we handle everything from finance to
538
0:18:04,314 --> 0:18:06,231
Colton Paulhus: design, to permitting to construction.
539
0:18:06,425 --> 0:18:08,012
Colton Paulhus: So we brought on a director of finance
540
0:18:08,125 --> 0:18:09,591
Colton Paulhus: that's a licensed mortgage officer.
541
0:18:09,985 --> 0:18:11,731
Colton Paulhus: We don't do the loans, we just play
542
0:18:11,792 --> 0:18:13,429
Colton Paulhus: quarterback and kind of figure out where it
543
0:18:13,469 --> 0:18:13,951
Colton Paulhus: needs to go.
544
0:18:15,328 --> 0:18:17,465
Mark Haney: So yeah, so in terms of that process, maybe
545
0:18:17,485 --> 0:18:20,334
Mark Haney: walk me through that process, because I'm
546
0:18:20,375 --> 0:18:22,653
Mark Haney: kind of not the loan process necessarily,
547
0:18:22,805 --> 0:18:24,351
Mark Haney: but how you quarterback that.
548
0:18:25,345 --> 0:18:26,428
Mark Haney: We hear about you.
549
0:18:27,030 --> 0:18:31,011
Mark Haney: We say, hey, you know I'm interested, you
550
0:18:31,292 --> 0:18:32,968
Mark Haney: do a site visit, how does it?
551
0:18:33,008 --> 0:18:33,229
Colton Paulhus: start.
552
0:18:33,545 --> 0:18:35,733
Colton Paulhus: Yeah, so we have an ADU expert that we call
553
0:18:35,774 --> 0:18:37,765
Colton Paulhus: him, that will come out to your site we
554
0:18:37,806 --> 0:18:38,869
Colton Paulhus: have 18 now.
555
0:18:39,271 --> 0:18:40,971
Colton Paulhus: They'll visit your site, measure for
556
0:18:41,072 --> 0:18:42,566
Colton Paulhus: utilities, kind of ask you what you're
557
0:18:42,586 --> 0:18:43,209
Colton Paulhus: looking for.
558
0:18:43,650 --> 0:18:44,413
Colton Paulhus: What's it for?
559
0:18:44,625 --> 0:18:46,272
Colton Paulhus: Do you want a one bed, a two bedroom?
560
0:18:46,666 --> 0:18:48,366
Colton Paulhus: We'll stake out their lot, you know, kind
561
0:18:48,386 --> 0:18:49,946
Colton Paulhus: of figure out what they can build, first
562
0:18:49,986 --> 0:18:51,826
Colton Paulhus: and foremost, with the setbacks, with
563
0:18:52,006 --> 0:18:54,426
Colton Paulhus: easements, with trees, power lines, all
564
0:18:54,466 --> 0:18:55,230
Colton Paulhus: those different things.
565
0:18:55,625 --> 0:18:57,232
Colton Paulhus: Once we figure out what they can build,
566
0:18:57,786 --> 0:18:59,352
Colton Paulhus: then we'll draft up a proposal.
567
0:18:59,665 --> 0:19:01,352
Colton Paulhus: And some people make us draft up five, six,
568
0:19:01,392 --> 0:19:03,110
Colton Paulhus: seven because they're not sure exactly what
569
0:19:03,151 --> 0:19:03,532
Colton Paulhus: they want.
570
0:19:04,447 --> 0:19:05,807
Colton Paulhus: And we're willing to do that because we're
571
0:19:05,827 --> 0:19:08,956
Colton Paulhus: a custom builder, and so we'll kind of walk
572
0:19:08,976 --> 0:19:09,945
Colton Paulhus: them through that whole process.
573
0:19:10,065 --> 0:19:11,972
Colton Paulhus: If they're interested, we'll ask them if
574
0:19:11,992 --> 0:19:12,834
Colton Paulhus: they have financing.
575
0:19:13,206 --> 0:19:15,227
Colton Paulhus: If they say no, not lined up yet, I do have
576
0:19:15,267 --> 0:19:17,308
Colton Paulhus: a local credit union, and then we'll say
577
0:19:17,328 --> 0:19:19,249
Colton Paulhus: okay, let's connect with our internal team
578
0:19:19,369 --> 0:19:21,447
Colton Paulhus: and at least we'll help, kind of guide you
579
0:19:21,467 --> 0:19:22,551
Colton Paulhus: through this process Got you?
580
0:19:22,651 --> 0:19:23,474
Mark Haney: What about the permitting?
581
0:19:24,367 --> 0:19:25,692
Mark Haney: So I'm, as I mentioned, I'm building that
582
0:19:25,732 --> 0:19:28,692
Mark Haney: family compound and I dealt with permitting
583
0:19:28,793 --> 0:19:31,772
Mark Haney: issues and crossing property lines because
584
0:19:31,812 --> 0:19:33,808
Mark Haney: it's like 74 acres and building multiple
585
0:19:33,828 --> 0:19:37,977
Mark Haney: houses and stuff, and so what are the
586
0:19:37,997 --> 0:19:40,067
Mark Haney: biggest hiccups that happen throughout that
587
0:19:41,050 --> 0:19:42,395
Mark Haney: new construction process?
588
0:19:42,807 --> 0:19:43,730
Mark Haney: Because it's a ground up?
589
0:19:43,991 --> 0:19:44,292
Colton Paulhus: house.
590
0:19:44,526 --> 0:19:46,340
Mark Haney: Yeah, so you mentioned it when we were
591
0:19:46,360 --> 0:19:49,393
Mark Haney: talking earlier, but PG&E SMUD, I wasn't
592
0:19:49,413 --> 0:19:52,113
Mark Haney: gonna say it PG&E's got me right now, man,
593
0:19:52,425 --> 0:19:54,712
Mark Haney: they've got me by the short hairs.
594
0:19:55,625 --> 0:19:57,672
Colton Paulhus: They're understaffed right now and they're
595
0:19:57,692 --> 0:19:58,334
Colton Paulhus: just slow.
596
0:19:58,746 --> 0:19:59,989
Colton Paulhus: They take a while to get back to us.
597
0:20:00,045 --> 0:20:01,852
Colton Paulhus: So we're implementing things where we
598
0:20:01,933 --> 0:20:04,467
Colton Paulhus: submit even before we have the permit, just
599
0:20:04,487 --> 0:20:05,695
Colton Paulhus: so we're getting way ahead of it.
600
0:20:05,835 --> 0:20:08,244
Mark Haney: I was wondering if you were having PG&E
601
0:20:08,826 --> 0:20:10,793
Mark Haney: issues or so and you say you deal with.
602
0:20:11,094 --> 0:20:12,119
Mark Haney: Well, you don't just build them in the
603
0:20:12,139 --> 0:20:12,882
Mark Haney: Sacramento area.
604
0:20:13,015 --> 0:20:14,400
Colton Paulhus: So it's smud PG&E.
605
0:20:14,982 --> 0:20:15,223
Mark Haney: I guess.
606
0:20:15,715 --> 0:20:18,604
Mark Haney: So what's the geographic footprint of the
607
0:20:18,664 --> 0:20:19,005
Mark Haney: company?
608
0:20:19,395 --> 0:20:21,542
Colton Paulhus: So we're all the way, kind of in the North
609
0:20:21,602 --> 0:20:23,336
Colton Paulhus: Bay all the way down, so we'll serve us
610
0:20:23,376 --> 0:20:26,763
Colton Paulhus: like the East Bay area, san Jose, silicon
611
0:20:26,803 --> 0:20:28,727
Colton Paulhus: Valley, all the way down to Sacramento.
612
0:20:28,847 --> 0:20:31,659
Mark Haney: Okay, so that geographic area that gets you
613
0:20:31,679 --> 0:20:32,802
Mark Haney: up to 100 million, that's right.
614
0:20:32,902 --> 0:20:34,405
Mark Haney: Okay, that's really cool.
615
0:20:35,535 --> 0:20:36,982
Mark Haney: You mentioned, I think, as we were walking
616
0:20:37,022 --> 0:20:39,593
Mark Haney: around earlier, that some of this is
617
0:20:39,674 --> 0:20:41,781
Mark Haney: turning into a franchise model.
618
0:20:42,995 --> 0:20:45,261
Mark Haney: Maybe walk me through how you came across,
619
0:20:45,321 --> 0:20:47,647
Mark Haney: how you decided to go that route, you know,
620
0:20:47,775 --> 0:20:50,202
Mark Haney: instead of just doing all these employees
621
0:20:50,222 --> 0:20:51,004
Mark Haney: and build them all yourself.
622
0:20:51,124 --> 0:20:53,922
Colton Paulhus: Yeah, so there was actually a customer that
623
0:20:53,982 --> 0:20:54,404
Colton Paulhus: reached out.
624
0:20:54,495 --> 0:20:55,940
Colton Paulhus: I was the original sales rep for the
625
0:20:55,980 --> 0:20:56,382
Colton Paulhus: company.
626
0:20:57,115 --> 0:20:58,500
Colton Paulhus: So I ended up meeting with this client,
627
0:20:58,580 --> 0:20:59,844
Colton Paulhus: talking to him about ADUs.
628
0:20:59,955 --> 0:21:01,620
Colton Paulhus: He wanted to build like 15 on different
629
0:21:01,660 --> 0:21:04,517
Colton Paulhus: rental properties and he was just like
630
0:21:04,577 --> 0:21:05,782
Colton Paulhus: enthralled with our business.
631
0:21:06,355 --> 0:21:07,599
Colton Paulhus: And then he told me he's like, hey, I've
632
0:21:07,619 --> 0:21:09,665
Colton Paulhus: been in the franchise business for 25 years.
633
0:21:09,936 --> 0:21:11,335
Colton Paulhus: That's what I've done.
634
0:21:11,395 --> 0:21:12,258
Colton Paulhus: And then so, anyway, so I started
635
0:21:12,319 --> 0:21:13,583
Colton Paulhus: researching day after day.
636
0:21:13,715 --> 0:21:15,282
Colton Paulhus: I'm like this might be a good opportunity
637
0:21:15,322 --> 0:21:17,914
Colton Paulhus: for us to grow and not need necessarily
638
0:21:17,954 --> 0:21:19,741
Colton Paulhus: maybe venture capital or private equity
639
0:21:19,841 --> 0:21:20,384
Colton Paulhus: right away.
640
0:21:20,636 --> 0:21:22,382
Colton Paulhus: I'm not saying that's off the table forever,
641
0:21:23,275 --> 0:21:25,624
Colton Paulhus: but so I just started researching after he
642
0:21:25,664 --> 0:21:27,210
Colton Paulhus: told me about it and walked me through,
643
0:21:27,231 --> 0:21:29,560
Colton Paulhus: ended up reaching out to kind of a
644
0:21:29,761 --> 0:21:31,829
Colton Paulhus: franchise brand builder that helps you with
645
0:21:31,869 --> 0:21:34,759
Colton Paulhus: your FDD, with your, you know, getting
646
0:21:34,799 --> 0:21:36,544
Colton Paulhus: legal, all that different kind of stuff.
647
0:21:37,235 --> 0:21:39,124
Colton Paulhus: And this was in 2021.
648
0:21:39,275 --> 0:21:40,960
Mark Haney: You weren't even considering franchising
649
0:21:41,020 --> 0:21:42,464
Mark Haney: until this guy started talking about it.
650
0:21:42,504 --> 0:21:43,795
Colton Paulhus: Wasn't, weren't even considering it, we
651
0:21:43,815 --> 0:21:45,259
Colton Paulhus: were just going to grow corporate and just
652
0:21:45,680 --> 0:21:46,743
Colton Paulhus: launch new markets.
653
0:21:48,255 --> 0:21:49,497
Colton Paulhus: And then he brought it up and I'm like man,
654
0:21:49,518 --> 0:21:51,381
Colton Paulhus: that's a really cool, interesting idea.
655
0:21:51,862 --> 0:21:52,944
Mark Haney: Yeah, it makes sense.
656
0:21:53,004 --> 0:21:54,587
Mark Haney: I had a guy on my show I may have even told
657
0:21:54,607 --> 0:21:57,340
Mark Haney: you about this we talked a while back is
658
0:21:57,721 --> 0:21:58,464
Mark Haney: Paul Porter.
659
0:21:59,255 --> 0:22:02,241
Mark Haney: He has Premier pools and they have a local.
660
0:22:03,203 --> 0:22:05,768
Mark Haney: There's a local Premier pools here, but
661
0:22:05,828 --> 0:22:08,981
Mark Haney: then he spun off and created a franchise
662
0:22:09,001 --> 0:22:11,726
Mark Haney: pool service and they grew like crazy.
663
0:22:11,787 --> 0:22:12,107
Colton Paulhus: Oh yes.
664
0:22:12,995 --> 0:22:14,461
Mark Haney: And it's like, if you can create that
665
0:22:14,582 --> 0:22:15,907
Mark Haney: system, you can.
666
0:22:15,927 --> 0:22:18,036
Mark Haney: I mean, because people, I get this all the
667
0:22:18,076 --> 0:22:18,317
Mark Haney: time.
668
0:22:18,377 --> 0:22:20,403
Mark Haney: Mark, hey, I got this service company, how
669
0:22:20,423 --> 0:22:21,185
Mark Haney: do I scale it?
670
0:22:21,355 --> 0:22:22,801
Mark Haney: Or I got a construction company, how do I
671
0:22:22,841 --> 0:22:23,323
Mark Haney: scale it?
672
0:22:23,535 --> 0:22:27,163
Mark Haney: And it's a lot of times it's very, very
673
0:22:27,303 --> 0:22:29,067
Mark Haney: difficult to scale some of these kind of
674
0:22:29,167 --> 0:22:30,978
Mark Haney: businesses, but basically you're creating
675
0:22:31,078 --> 0:22:31,740
Mark Haney: entrepreneurs.
676
0:22:31,801 --> 0:22:32,242
Mark Haney: That's right, Right.
677
0:22:33,895 --> 0:22:35,978
Mark Haney: So somebody who knows how to build a house
678
0:22:36,379 --> 0:22:39,965
Mark Haney: or do construction, they can basically take
679
0:22:40,085 --> 0:22:41,327
Mark Haney: your brand.
680
0:22:41,448 --> 0:22:42,149
Colton Paulhus: Is that what happens?
681
0:22:42,169 --> 0:22:43,998
Mark Haney: Yeah, they take your brand, your system,
682
0:22:44,038 --> 0:22:47,125
Mark Haney: your formula and apply it in their market
683
0:22:47,145 --> 0:22:49,781
Mark Haney: Totally, and you grew that way.
684
0:22:50,155 --> 0:22:51,318
Mark Haney: All you need to do is find these
685
0:22:51,379 --> 0:22:51,920
Mark Haney: entrepreneurs.
686
0:22:51,940 --> 0:22:53,505
Colton Paulhus: That's right, and you're building 41 of
687
0:22:53,525 --> 0:22:53,645
Colton Paulhus: them.
688
0:22:54,075 --> 0:22:54,516
Colton Paulhus: So we've grown.
689
0:22:55,018 --> 0:22:57,044
Colton Paulhus: In the last we launched in April of this
690
0:22:57,144 --> 0:22:59,839
Colton Paulhus: year, we've sold 41 territories so far.
691
0:23:00,160 --> 0:23:01,142
Colton Paulhus: Wow, it's insane.
692
0:23:01,303 --> 0:23:02,184
Colton Paulhus: And they're all in California.
693
0:23:02,666 --> 0:23:03,948
Colton Paulhus: No, these are actually nationwide.
694
0:23:04,015 --> 0:23:06,981
Colton Paulhus: So Austin, Texas, Tampa Bay, Florida,
695
0:23:07,141 --> 0:23:09,225
Colton Paulhus: Orlando, Florida, kind of all over.
696
0:23:09,686 --> 0:23:12,719
Mark Haney: Okay, yeah, so in terms of you are
697
0:23:12,739 --> 0:23:14,647
Mark Haney: describing your geographic footprint, was
698
0:23:14,667 --> 0:23:17,217
Mark Haney: that just for let's call that the company
699
0:23:17,378 --> 0:23:17,618
Mark Haney: owned?
700
0:23:18,321 --> 0:23:18,642
Colton Paulhus: builds.
701
0:23:19,075 --> 0:23:20,640
Mark Haney: And then you franchising the rest of the
702
0:23:20,680 --> 0:23:21,001
Mark Haney: country.
703
0:23:21,142 --> 0:23:23,723
Colton Paulhus: Yeah, so corporate some some people call it
704
0:23:23,743 --> 0:23:26,034
Colton Paulhus: company owned outlets, but it's corporate
705
0:23:26,094 --> 0:23:28,101
Colton Paulhus: and then franchising corporate is the one
706
0:23:28,121 --> 0:23:29,535
Colton Paulhus: that's going to do a hundred million, and
707
0:23:29,555 --> 0:23:32,161
Colton Paulhus: then franchising is so early that it's
708
0:23:32,181 --> 0:23:33,765
Colton Paulhus: probably going to do two, two and a half
709
0:23:34,125 --> 0:23:35,977
Colton Paulhus: top line, and then we have obviously our
710
0:23:35,997 --> 0:23:36,940
Colton Paulhus: royalties, our revenue.
711
0:23:38,235 --> 0:23:39,699
Colton Paulhus: So, yeah, that's that's what we're really
712
0:23:39,739 --> 0:23:41,544
Colton Paulhus: excited about is that part can grow.
713
0:23:41,884 --> 0:23:42,947
Colton Paulhus: It's kind of a blue ocean.
714
0:23:43,075 --> 0:23:44,419
Colton Paulhus: I don't know if you've read that book, but
715
0:23:45,041 --> 0:23:46,926
Colton Paulhus: nobody's really franchising ADUs.
716
0:23:47,316 --> 0:23:48,706
Colton Paulhus: It's so early on that we feel like if we
717
0:23:48,726 --> 0:23:49,855
Colton Paulhus: could scale this super fast, we could scale
718
0:23:49,955 --> 0:23:52,798
Colton Paulhus: this super fast, we can be the dominant
719
0:23:52,818 --> 0:23:53,079
Colton Paulhus: player.
720
0:23:53,119 --> 0:23:53,440
Colton Paulhus: Yeah.
721
0:23:54,235 --> 0:23:55,443
Mark Haney: And with your marketing background, I have
722
0:23:55,484 --> 0:23:56,974
Mark Haney: to imagine obviously it's helped you to
723
0:23:57,014 --> 0:23:57,998
Mark Haney: grow your business.
724
0:23:58,038 --> 0:24:00,866
Mark Haney: But to systematize the marketing because so
725
0:24:00,906 --> 0:24:04,257
Mark Haney: many construction people, marketing is not
726
0:24:04,478 --> 0:24:05,582
Mark Haney: necessarily their forte.
727
0:24:05,715 --> 0:24:07,821
Mark Haney: They may be good at swinging a hammer or
728
0:24:08,242 --> 0:24:09,735
Mark Haney: making sure things come together, they're
729
0:24:09,796 --> 0:24:13,238
Mark Haney: organized a lot of times, but marketing
730
0:24:13,699 --> 0:24:15,215
Mark Haney: business is like oh wow, you get this, so
731
0:24:15,235 --> 0:24:15,977
Mark Haney: you've got to built in.
732
0:24:16,338 --> 0:24:18,003
Mark Haney: You guys do lead generation and stuff like
733
0:24:18,023 --> 0:24:19,026
Mark Haney: that for your franchisees.
734
0:24:19,376 --> 0:24:20,862
Colton Paulhus: Yeah, that's our biggest component.
735
0:24:20,995 --> 0:24:23,944
Colton Paulhus: So we brought on a guy by the name of Clay.
736
0:24:24,555 --> 0:24:27,000
Colton Paulhus: He's our VP of marketing and he he was with
737
0:24:27,080 --> 0:24:28,824
Colton Paulhus: us from day one and he's really helped us
738
0:24:28,864 --> 0:24:29,125
Colton Paulhus: scale.
739
0:24:29,165 --> 0:24:31,357
Colton Paulhus: I mean, he's a genius, he's one of those
740
0:24:31,377 --> 0:24:33,158
Colton Paulhus: just marketing gurus, so we work really
741
0:24:33,198 --> 0:24:33,841
Colton Paulhus: well together.
742
0:24:34,716 --> 0:24:36,823
Colton Paulhus: Yeah, we handle all of the marketing for
743
0:24:36,883 --> 0:24:37,625
Colton Paulhus: our franchisees.
744
0:24:37,835 --> 0:24:40,825
Colton Paulhus: So they'll pay us kind of a flat fee for
745
0:24:40,845 --> 0:24:43,854
Colton Paulhus: the marketing costs and then we'll run all
746
0:24:43,874 --> 0:24:46,081
Colton Paulhus: of their Facebook, instagram, google and
747
0:24:46,122 --> 0:24:48,418
Colton Paulhus: paid media and then we'll actually book the
748
0:24:48,558 --> 0:24:50,223
Colton Paulhus: point, the appointments, on their calendar.
749
0:24:50,744 --> 0:24:53,681
Mark Haney: Okay, so the ADU seems, seems like a blue
750
0:24:53,781 --> 0:24:58,173
Mark Haney: ocean, very, you know, very big market that
751
0:24:58,855 --> 0:24:59,880
Mark Haney: a lot of people are going to see the
752
0:24:59,900 --> 0:25:01,067
Mark Haney: affordability piece on.
753
0:25:01,107 --> 0:25:03,779
Mark Haney: Hey, I can put a nice small home in my, in
754
0:25:03,799 --> 0:25:04,502
Mark Haney: my backyard.
755
0:25:06,016 --> 0:25:08,361
Mark Haney: And because they're newer, they're, it's a,
756
0:25:08,461 --> 0:25:10,285
Mark Haney: it's a, it's a newer, it's a newer concept.
757
0:25:12,017 --> 0:25:13,515
Mark Haney: There's almost unlimited growth.
758
0:25:13,775 --> 0:25:15,559
Mark Haney: I mean, there's just a ton of people that
759
0:25:15,579 --> 0:25:17,965
Mark Haney: are going to discover that this opportunity
760
0:25:18,045 --> 0:25:18,466
Mark Haney: exists.
761
0:25:18,546 --> 0:25:20,397
Mark Haney: That's right, and so you could have the
762
0:25:20,417 --> 0:25:22,362
Mark Haney: entire United States as your market.
763
0:25:22,463 --> 0:25:25,700
Mark Haney: That's right, and it take a long time to
764
0:25:26,081 --> 0:25:27,003
Mark Haney: saturate that market.
765
0:25:27,103 --> 0:25:27,705
Colton Paulhus: Oh, big time.
766
0:25:27,745 --> 0:25:30,346
Colton Paulhus: Yeah, because the thing is is new laws are
767
0:25:30,366 --> 0:25:31,857
Colton Paulhus: being passed nationwide, so, like different
768
0:25:31,877 --> 0:25:33,542
Colton Paulhus: cities and counties are starting to allow
769
0:25:33,643 --> 0:25:35,939
Colton Paulhus: ADUs, so we're still at the very, very
770
0:25:35,999 --> 0:25:37,864
Colton Paulhus: beginning of this being even approved
771
0:25:37,924 --> 0:25:38,526
Colton Paulhus: nationwide.
772
0:25:38,975 --> 0:25:40,640
Colton Paulhus: I think eventually it will be, because it's
773
0:25:40,700 --> 0:25:41,863
Colton Paulhus: happening month over month.
774
0:25:43,455 --> 0:25:45,001
Colton Paulhus: So, yeah, I mean, by the time we get to
775
0:25:45,061 --> 0:25:47,691
Colton Paulhus: scale, a competitor might just be so far
776
0:25:47,751 --> 0:25:49,840
Colton Paulhus: behind that we're the dominant player.
777
0:25:50,475 --> 0:25:52,926
Mark Haney: Do you have you looked into using tiny
778
0:25:52,966 --> 0:25:54,875
Mark Haney: homes to help solve the homeless crisis?
779
0:25:55,176 --> 0:25:56,438
Mark Haney: I mean, there's so many people that are
780
0:25:56,458 --> 0:25:59,964
Mark Haney: throwing ideas against the wall, but it's
781
0:26:00,124 --> 0:26:00,244
Mark Haney: it's.
782
0:26:00,585 --> 0:26:01,166
Mark Haney: It's different.
783
0:26:01,206 --> 0:26:02,187
Mark Haney: It's a difficult issue.
784
0:26:02,468 --> 0:26:03,910
Mark Haney: Yep, have people approached you about?
785
0:26:03,950 --> 0:26:04,812
Colton Paulhus: that they have.
786
0:26:04,992 --> 0:26:06,755
Colton Paulhus: It just has never really worked out because,
787
0:26:06,775 --> 0:26:09,023
Colton Paulhus: because Good idea, you know, our units are
788
0:26:09,043 --> 0:26:12,467
Colton Paulhus: anywhere from 90,000 to 300, 400,000, so we
789
0:26:12,607 --> 0:26:13,430
Colton Paulhus: are affordable.
790
0:26:13,500 --> 0:26:15,407
Colton Paulhus: But we're actually building a custom home,
791
0:26:16,080 --> 0:26:18,688
Colton Paulhus: whereas a lot of these homeless homes are
792
0:26:18,729 --> 0:26:21,721
Colton Paulhus: sheds or kind of cheaper options, and we're
793
0:26:21,741 --> 0:26:23,768
Colton Paulhus: not set up for the manufacturing to be that.
794
0:26:24,180 --> 0:26:25,444
Colton Paulhus: That's not what you guys are interested in
795
0:26:25,505 --> 0:26:25,966
Colton Paulhus: at this stage.
796
0:26:26,026 --> 0:26:26,649
Colton Paulhus: Okay, gotcha.
797
0:26:27,900 --> 0:26:28,121
Mark Haney: Okay.
798
0:26:28,181 --> 0:26:32,101
Mark Haney: So your dad you recruited your dad, you
799
0:26:32,181 --> 0:26:35,223
Mark Haney: recruited your brother Tell me about the
800
0:26:35,263 --> 0:26:36,026
Mark Haney: dynamics of work.
801
0:26:36,280 --> 0:26:38,186
Mark Haney: Like I know your dad, he's nobody to mess
802
0:26:38,246 --> 0:26:39,089
Mark Haney: around with.
803
0:26:39,500 --> 0:26:42,228
Mark Haney: Neither are you but like your dad's, like a
804
0:26:42,308 --> 0:26:43,451
Mark Haney: mountain of a man.
805
0:26:45,800 --> 0:26:49,260
Mark Haney: So, and you're the son, you're the kid, but
806
0:26:49,281 --> 0:26:51,008
Mark Haney: you're running the show right?
807
0:26:51,462 --> 0:26:52,245
Mark Haney: Well, we all are.
808
0:26:53,001 --> 0:26:55,509
Colton Paulhus: I'm more the visionary idea guy.
809
0:26:56,060 --> 0:26:58,722
Colton Paulhus: My brother's a true operations guy, so he
810
0:26:58,782 --> 0:27:01,841
Colton Paulhus: manages from the time the job, sells all
811
0:27:01,861 --> 0:27:04,103
Colton Paulhus: the way through the process and oversees
812
0:27:04,123 --> 0:27:05,046
Colton Paulhus: the team to do that.
813
0:27:06,040 --> 0:27:07,647
Colton Paulhus: And then my dad's the construction guru.
814
0:27:07,820 --> 0:27:09,161
Colton Paulhus: So we wouldn't be where we are on the
815
0:27:09,181 --> 0:27:11,068
Colton Paulhus: construction side of things without him.
816
0:27:11,561 --> 0:27:13,848
Colton Paulhus: And I think what we did early on is we set
817
0:27:13,888 --> 0:27:17,703
Colton Paulhus: the tone to say let's stay in our lanes and
818
0:27:17,964 --> 0:27:19,932
Colton Paulhus: let's stay in between the lines, right?
819
0:27:19,960 --> 0:27:21,601
Colton Paulhus: So I think a lot of family businesses, they
820
0:27:21,641 --> 0:27:22,726
Colton Paulhus: take things personal.
821
0:27:23,000 --> 0:27:24,642
Colton Paulhus: We will scream at each other and we'll have
822
0:27:24,682 --> 0:27:25,666
Colton Paulhus: an argue match right.
823
0:27:26,200 --> 0:27:28,448
Colton Paulhus: But it doesn't leave the office right.
824
0:27:28,780 --> 0:27:30,422
Colton Paulhus: So like we're like, hey, we still wanna
825
0:27:30,462 --> 0:27:31,947
Colton Paulhus: watch football on the weekends together and
826
0:27:31,987 --> 0:27:33,642
Colton Paulhus: hang out, we're not gonna take this
827
0:27:34,003 --> 0:27:36,711
Colton Paulhus: emotional moment in the business outside.
828
0:27:37,220 --> 0:27:39,167
Mark Haney: So that's an interesting thing.
829
0:27:39,848 --> 0:27:42,412
Mark Haney: There's a family business association here
830
0:27:43,334 --> 0:27:43,935
Mark Haney: in the Sacramento.
831
0:27:43,960 --> 0:27:44,609
Mark Haney: There's a couple of them.
832
0:27:44,670 --> 0:27:46,062
Mark Haney: I'm a member of them, even though ours
833
0:27:46,122 --> 0:27:48,570
Mark Haney: isn't quite a typical family business.
834
0:27:48,640 --> 0:27:52,051
Mark Haney: But there's a lot of those kind of issues
835
0:27:52,221 --> 0:27:54,600
Mark Haney: that I guess that we all contemplate.
836
0:27:54,861 --> 0:27:56,966
Mark Haney: I grew up in a family business and there
837
0:27:57,006 --> 0:27:58,920
Mark Haney: was obviously there screaming and yelling
838
0:27:59,000 --> 0:28:01,749
Mark Haney: and brothers and sisters and mom and dad.
839
0:28:02,340 --> 0:28:04,187
Mark Haney: My dad was on the volatile side compared to
840
0:28:04,207 --> 0:28:05,744
Mark Haney: the average and my mom wasn't gonna take
841
0:28:05,784 --> 0:28:08,285
Mark Haney: any crap off of anybody so you know, I grew
842
0:28:08,405 --> 0:28:09,369
Mark Haney: up in one of those families.
843
0:28:09,721 --> 0:28:11,408
Mark Haney: Sounds like there's some similarities,
844
0:28:11,520 --> 0:28:14,625
Mark Haney: that's right, but I'm wondering like?
845
0:28:14,786 --> 0:28:15,669
Mark Haney: What is there?
846
0:28:15,880 --> 0:28:18,288
Mark Haney: Is there like a rule that look, anything
847
0:28:18,308 --> 0:28:21,628
Mark Haney: goes, but it's all about the unity of the
848
0:28:21,668 --> 0:28:22,050
Mark Haney: family?
849
0:28:22,782 --> 0:28:25,489
Mark Haney: In terms of like that's?
850
0:28:25,549 --> 0:28:25,870
Colton Paulhus: first.
851
0:28:26,010 --> 0:28:26,331
Colton Paulhus: That's right.
852
0:28:26,984 --> 0:28:27,820
Colton Paulhus: That's by far first right.
853
0:28:27,920 --> 0:28:30,850
Colton Paulhus: It's faith, family and then business right.
854
0:28:31,000 --> 0:28:33,728
Colton Paulhus: And it's like we have huge dreams and we
855
0:28:33,768 --> 0:28:35,071
Colton Paulhus: have big goals but at the end of the day,
856
0:28:35,240 --> 0:28:36,525
Colton Paulhus: if we all hate each other at the end of the
857
0:28:36,626 --> 0:28:38,285
Colton Paulhus: day, why is it even worth it?
858
0:28:38,345 --> 0:28:39,048
Colton Paulhus: It's not worth it.
859
0:28:39,180 --> 0:28:41,501
Colton Paulhus: So we made a decision early on that we were
860
0:28:41,602 --> 0:28:43,763
Colton Paulhus: never gonna take offense and we were never
861
0:28:43,803 --> 0:28:46,204
Colton Paulhus: gonna take what happens inside the business
862
0:28:46,364 --> 0:28:47,147
Colton Paulhus: outside the business.
863
0:28:47,500 --> 0:28:47,761
Mark Haney: Okay.
864
0:28:47,841 --> 0:28:51,662
Mark Haney: So that's interesting because we, you know,
865
0:28:51,682 --> 0:28:55,222
Mark Haney: I remember growing up as a kid when my dad
866
0:28:55,242 --> 0:28:58,067
Mark Haney: had a TV shop and my parents would talk.
867
0:28:58,300 --> 0:28:59,806
Mark Haney: There's two things we talked about at the
868
0:28:59,846 --> 0:29:02,466
Mark Haney: dinner table, and it was the business and
869
0:29:02,547 --> 0:29:03,863
Mark Haney: football right, because we all played
870
0:29:03,903 --> 0:29:06,522
Mark Haney: football and here my sister didn't, but all
871
0:29:06,542 --> 0:29:08,041
Mark Haney: the boys we had played football and that
872
0:29:08,081 --> 0:29:09,447
Mark Haney: was the only thing that got my dad talking
873
0:29:09,480 --> 0:29:12,722
Mark Haney: If we're talking business winning or if
874
0:29:12,762 --> 0:29:14,266
Mark Haney: we're talking about football, which is, and
875
0:29:14,306 --> 0:29:14,627
Mark Haney: winning.
876
0:29:15,921 --> 0:29:18,401
Mark Haney: So I hear other people saying and I don't
877
0:29:18,441 --> 0:29:21,200
Mark Haney: know what your philosophy is on this to
878
0:29:21,241 --> 0:29:23,868
Mark Haney: compartmentalize, like, leave that at the
879
0:29:24,068 --> 0:29:27,105
Mark Haney: office and don't talk about it around
880
0:29:27,285 --> 0:29:31,287
Mark Haney: family dinner on Sundays, or is it okay to
881
0:29:31,348 --> 0:29:33,586
Mark Haney: come because you guys are really into this
882
0:29:33,980 --> 0:29:37,741
Mark Haney: where your wife and maybe even your mom and
883
0:29:38,484 --> 0:29:39,166
Mark Haney: is your brother married?
884
0:29:39,206 --> 0:29:39,909
Mark Haney: He just got married.
885
0:29:40,080 --> 0:29:41,946
Mark Haney: He just married, so sometimes the spouses
886
0:29:42,086 --> 0:29:45,305
Mark Haney: feel left out, as some of those deep
887
0:29:45,385 --> 0:29:47,050
Mark Haney: conversations at the dinner table.
888
0:29:47,380 --> 0:29:49,415
Mark Haney: Do you make a conscious effort to sort of
889
0:29:49,435 --> 0:29:50,180
Mark Haney: compartmentalize it?
890
0:29:50,240 --> 0:29:53,162
Mark Haney: Hey, don't bring, you know, building tiny
891
0:29:53,223 --> 0:29:55,269
Mark Haney: homes to the family dinners.
892
0:29:55,721 --> 0:29:56,866
Mark Haney: We do the best we can.
893
0:29:57,867 --> 0:29:59,259
Colton Paulhus: So like there is a rule, my wife would be
894
0:29:59,279 --> 0:30:00,919
Colton Paulhus: like, hey, okay, not tonight, not tonight.
895
0:30:02,784 --> 0:30:05,489
Colton Paulhus: But it's about 80, 20, so 80% of the time
896
0:30:05,529 --> 0:30:07,654
Colton Paulhus: we try not to, it will come up.
897
0:30:07,760 --> 0:30:09,086
Colton Paulhus: I mean, we're literally building this thing
898
0:30:09,106 --> 0:30:09,507
Colton Paulhus: together.
899
0:30:09,620 --> 0:30:10,928
Mark Haney: There's many things that happen.
900
0:30:10,940 --> 0:30:12,526
Mark Haney: There's so many growing a company,
901
0:30:13,000 --> 0:30:14,426
Mark Haney: especially an early stage company.
902
0:30:14,446 --> 0:30:15,581
Mark Haney: When you're growing like this, I mean
903
0:30:15,601 --> 0:30:17,988
Mark Haney: there's decisions that you just didn't
904
0:30:18,028 --> 0:30:20,025
Mark Haney: expect yesterday that you gotta make today.
905
0:30:20,085 --> 0:30:20,707
Mark Haney: That's right, yeah.
906
0:30:21,000 --> 0:30:22,547
Colton Paulhus: Or even at night sometimes we're at dinner
907
0:30:22,600 --> 0:30:24,086
Colton Paulhus: and it's like I just got this email.
908
0:30:24,126 --> 0:30:24,588
Colton Paulhus: What do I do?
909
0:30:26,065 --> 0:30:27,570
Colton Paulhus: So, yeah, but we've done a good job.
910
0:30:27,660 --> 0:30:29,407
Colton Paulhus: We try to keep it as separate as we can,
911
0:30:29,600 --> 0:30:30,865
Colton Paulhus: but you can't fully do it.
912
0:30:30,925 --> 0:30:31,829
Mark Haney: What do you guys fight about?
913
0:30:31,960 --> 0:30:33,627
Mark Haney: Just curious, and how does that go down?
914
0:30:33,900 --> 0:30:34,021
Mark Haney: Does?
915
0:30:34,061 --> 0:30:35,967
Mark Haney: Your dad play position power because he's a
916
0:30:36,027 --> 0:30:36,328
Mark Haney: father?
917
0:30:36,861 --> 0:30:39,402
Colton Paulhus: No, he actually doesn't surprisingly, but
918
0:30:40,424 --> 0:30:43,051
Colton Paulhus: just about ideas and speed of growth.
919
0:30:43,280 --> 0:30:45,267
Colton Paulhus: I'm kind of like a push-to-envelope guy.
920
0:30:46,362 --> 0:30:48,003
Colton Paulhus: So you know, and they're like, hey, let's
921
0:30:48,143 --> 0:30:49,829
Colton Paulhus: take this step first and let's do this.
922
0:30:49,900 --> 0:30:51,888
Colton Paulhus: And I'm like, hey, let's push the envelope,
923
0:30:51,940 --> 0:30:53,146
Colton Paulhus: we can build the biggest company.
924
0:30:53,500 --> 0:30:54,846
Colton Paulhus: So maybe like speed of growth.
925
0:30:54,860 --> 0:30:56,006
Mark Haney: So you're what gives everybody confidence.
926
0:30:56,040 --> 0:30:59,129
Mark Haney: You're the one that says, yes, we can,
927
0:30:59,289 --> 0:30:59,610
Mark Haney: that's right.
928
0:31:00,080 --> 0:31:02,218
Mark Haney: Who's the one that says, well, wait a
929
0:31:02,258 --> 0:31:02,440
Mark Haney: minute.
930
0:31:02,521 --> 0:31:04,201
Mark Haney: You know, hold your horses, gentlemen, my
931
0:31:04,241 --> 0:31:05,005
Mark Haney: dad and brother.
932
0:31:05,401 --> 0:31:07,261
Colton Paulhus: Oh, they're both a little bit like that, so
933
0:31:07,281 --> 0:31:08,124
Colton Paulhus: sometimes I'll get out-voted, right?
934
0:31:09,300 --> 0:31:10,585
Colton Paulhus: You need that balance, right?
935
0:31:10,826 --> 0:31:11,649
Colton Paulhus: Yeah, that's cool.
936
0:31:11,700 --> 0:31:12,564
Mark Haney: So it works out really well.
937
0:31:12,980 --> 0:31:15,327
Mark Haney: Okay, so in terms of like, did you guys
938
0:31:15,367 --> 0:31:15,889
Mark Haney: decide?
939
0:31:17,041 --> 0:31:19,661
Mark Haney: So you guys are obviously the next gen, but
940
0:31:19,701 --> 0:31:21,667
Mark Haney: you guys are you equal partners?
941
0:31:21,727 --> 0:31:22,490
Colton Paulhus: How did that go down?
942
0:31:22,620 --> 0:31:22,841
Colton Paulhus: We're all.
943
0:31:22,881 --> 0:31:23,765
Colton Paulhus: A third, a third, a third.
944
0:31:24,005 --> 0:31:24,507
Mark Haney: Oh nice.
945
0:31:24,700 --> 0:31:26,606
Colton Paulhus: We decided you know he had his contracting
946
0:31:26,646 --> 0:31:29,945
Colton Paulhus: business before and we just decided when we
947
0:31:29,965 --> 0:31:31,522
Colton Paulhus: started this business, let's go all in
948
0:31:31,562 --> 0:31:32,505
Colton Paulhus: together, yeah.
949
0:31:33,007 --> 0:31:33,408
Mark Haney: That's this.
950
0:31:34,020 --> 0:31:36,306
Mark Haney: So what's been the, I guess, the biggest
951
0:31:37,430 --> 0:31:40,000
Mark Haney: surprise from a challenge standpoint, like
952
0:31:40,020 --> 0:31:42,168
Mark Haney: from a difficulty standpoint, in building
953
0:31:42,188 --> 0:31:42,801
Mark Haney: this Cause?
954
0:31:42,822 --> 0:31:44,688
Mark Haney: Right now it sounds like, wow, everything's
955
0:31:44,708 --> 0:31:46,304
Mark Haney: going great, we made the decision to pivot
956
0:31:46,405 --> 0:31:48,444
Mark Haney: or, you know, start franchising, and we're
957
0:31:49,206 --> 0:31:50,189
Mark Haney: tracking for a hundred million.
958
0:31:50,680 --> 0:31:52,165
Mark Haney: I mean, everybody out there listening is
959
0:31:52,225 --> 0:31:54,845
Mark Haney: going dang dude that's fast.
960
0:31:56,504 --> 0:31:58,401
Mark Haney: What surprised you in terms of like having
961
0:31:58,562 --> 0:31:59,987
Mark Haney: a overcoming obstacle.
962
0:32:00,920 --> 0:32:03,990
Colton Paulhus: I would say everybody's dealing with this.
963
0:32:04,080 --> 0:32:06,206
Colton Paulhus: But finding good subcontractors and
964
0:32:06,266 --> 0:32:09,062
Colton Paulhus: contractors has been tough, so fine.
965
0:32:09,282 --> 0:32:10,707
Colton Paulhus: Recruiting so if you're out there, no
966
0:32:11,720 --> 0:32:13,708
Colton Paulhus: Recruiting enough subs has been tough.
967
0:32:14,181 --> 0:32:15,045
Mark Haney: What's sub is right now.
968
0:32:15,160 --> 0:32:18,650
Mark Haney: So I own a concrete company and I got a
969
0:32:18,710 --> 0:32:20,102
Mark Haney: security company that's kind of in
970
0:32:20,142 --> 0:32:22,189
Mark Haney: construction at some level at casinos.
971
0:32:23,861 --> 0:32:25,687
Mark Haney: But we have you know, we deal with subs a
972
0:32:25,727 --> 0:32:26,469
Mark Haney: lot as well.
973
0:32:26,940 --> 0:32:28,947
Mark Haney: What subs are the toughest to come by right
974
0:32:28,987 --> 0:32:29,088
Mark Haney: now?
975
0:32:29,740 --> 0:32:34,121
Colton Paulhus: I would say electricians and plumbers and
976
0:32:34,141 --> 0:32:36,142
Colton Paulhus: then finish carpenters are kind of our
977
0:32:36,202 --> 0:32:38,980
Colton Paulhus: biggest three bottlenecks right now, a
978
0:32:39,060 --> 0:32:40,701
Colton Paulhus: little bit on the concrete side and a
979
0:32:40,741 --> 0:32:42,922
Colton Paulhus: little bit on the framing side, not quite
980
0:32:42,962 --> 0:32:45,710
Colton Paulhus: as much as electrical plumbing and finish.
981
0:32:46,100 --> 0:32:48,404
Mark Haney: And it's because it's so big your dad and
982
0:32:48,424 --> 0:32:49,849
Mark Haney: brother aren't out there swinging a hammer
983
0:32:49,940 --> 0:32:50,729
Mark Haney: or doing anything like that.
984
0:32:51,800 --> 0:32:52,865
Colton Paulhus: Yeah, they're not ever out in the field.
985
0:32:52,940 --> 0:32:55,307
Colton Paulhus: We have, I think, nine or 10 project
986
0:32:55,347 --> 0:32:58,045
Colton Paulhus: managers, a construction operations
987
0:32:58,106 --> 0:33:00,707
Colton Paulhus: director, so it's at the scale where we're
988
0:33:00,847 --> 0:33:02,925
Colton Paulhus: truly working on the business as much as we
989
0:33:02,965 --> 0:33:03,266
Colton Paulhus: can.
990
0:33:03,487 --> 0:33:05,403
Colton Paulhus: You know so, but also have to field
991
0:33:05,443 --> 0:33:07,709
Colton Paulhus: customer calls and things like that.
992
0:33:07,990 --> 0:33:08,611
Colton Paulhus: That's great.
993
0:33:08,840 --> 0:33:12,042
Mark Haney: Well, okay, so maybe you can maybe give me
994
0:33:12,082 --> 0:33:13,848
Mark Haney: a little bit of what's the vision.
995
0:33:13,980 --> 0:33:15,103
Mark Haney: So you're at 100 million.
996
0:33:15,524 --> 0:33:18,131
Mark Haney: Your vision gets a lot bigger.
997
0:33:18,880 --> 0:33:21,621
Mark Haney: A lot of people they might set out, hey, we
998
0:33:21,641 --> 0:33:24,383
Mark Haney: wanna build a $100 million company and that
999
0:33:24,443 --> 0:33:25,648
Mark Haney: seems like it's so far away.
1000
0:33:25,780 --> 0:33:26,966
Mark Haney: Well, you guys are here four years later
1001
0:33:27,060 --> 0:33:28,426
Mark Haney: and you're on track to do that.
1002
0:33:29,581 --> 0:33:31,526
Mark Haney: Have you had, to like, expand the size of
1003
0:33:31,566 --> 0:33:32,889
Mark Haney: your dream a little bit, that's for sure?
1004
0:33:33,090 --> 0:33:33,711
Mark Haney: Which it looked like?
1005
0:33:34,360 --> 0:33:35,987
Colton Paulhus: I think it expands at each level.
1006
0:33:36,140 --> 0:33:37,406
Colton Paulhus: So at first it was like let's get to 10,
1007
0:33:37,820 --> 0:33:39,736
Colton Paulhus: let's get to 50, let's get to 100, right.
1008
0:33:40,300 --> 0:33:41,184
Colton Paulhus: So now we're here.
1009
0:33:42,720 --> 0:33:44,887
Colton Paulhus: We believe we can build a multi-billion
1010
0:33:44,927 --> 0:33:47,405
Colton Paulhus: dollar portfolio of companies over the next
1011
0:33:47,485 --> 0:33:48,268
Colton Paulhus: five to 10 years.
1012
0:33:48,761 --> 0:33:50,828
Colton Paulhus: And so what I mean by that is Anchored
1013
0:33:50,848 --> 0:33:52,824
Colton Paulhus: Tinyomes is going to be the bread and
1014
0:33:52,844 --> 0:33:55,282
Colton Paulhus: butter forever, right, and we're gonna
1015
0:33:55,302 --> 0:33:56,606
Colton Paulhus: scale this thing through franchising.
1016
0:33:57,260 --> 0:33:59,487
Colton Paulhus: But we just launched what's called Anchored
1017
0:33:59,547 --> 0:34:01,465
Colton Paulhus: Brands and then Hello Builder.
1018
0:34:01,580 --> 0:34:04,229
Colton Paulhus: So two of these entities are basically
1019
0:34:04,289 --> 0:34:06,465
Colton Paulhus: centered around helping service brands
1020
0:34:06,946 --> 0:34:08,330
Colton Paulhus: scale through franchising.
1021
0:34:08,840 --> 0:34:10,546
Colton Paulhus: So Anchored Brands is actually gonna be a
1022
0:34:10,646 --> 0:34:14,048
Colton Paulhus: portfolio of franchise brands in the HVAC,
1023
0:34:14,842 --> 0:34:16,781
Colton Paulhus: in all the service brands, and we're gonna
1024
0:34:16,822 --> 0:34:18,582
Colton Paulhus: kind of build this infrastructure to help
1025
0:34:18,622 --> 0:34:19,546
Colton Paulhus: those companies scale.
1026
0:34:19,600 --> 0:34:21,568
Mark Haney: Okay, so that's really interesting.
1027
0:34:21,640 --> 0:34:26,673
Mark Haney: So the Tinyomes piece is one leg of the
1028
0:34:26,733 --> 0:34:30,305
Mark Haney: stool, if you will, and I discussed pools
1029
0:34:30,565 --> 0:34:32,210
Mark Haney: about Paul Porter and Premier Pools.
1030
0:34:32,700 --> 0:34:36,053
Mark Haney: What other of these services are most ripe
1031
0:34:36,315 --> 0:34:39,847
Mark Haney: for franchising and maybe disrupting the
1032
0:34:39,887 --> 0:34:40,589
Mark Haney: traditional model?
1033
0:34:41,723 --> 0:34:42,286
Colton Paulhus: So a lot of it.
1034
0:34:42,681 --> 0:34:44,167
Colton Paulhus: So roofing has been huge.
1035
0:34:44,280 --> 0:34:45,885
Colton Paulhus: Roofing has grown tremendously over the
1036
0:34:45,926 --> 0:34:48,084
Colton Paulhus: last two years in the franchise space.
1037
0:34:48,960 --> 0:34:51,941
Colton Paulhus: Landscaping is another big one, like
1038
0:34:52,001 --> 0:34:54,608
Colton Paulhus: specialty electrical contractors is a big
1039
0:34:54,829 --> 0:34:57,582
Colton Paulhus: one, so high-end finishes that may be a way
1040
0:34:57,622 --> 0:34:59,101
Colton Paulhus: for you guys to get your subs to just
1041
0:34:59,181 --> 0:35:01,267
Colton Paulhus: create a leg of the stool that says
1042
0:35:01,368 --> 0:35:03,183
Colton Paulhus: franchising, for I don't know if Finnish
1043
0:35:03,203 --> 0:35:05,206
Colton Paulhus: Carpentry is gonna be a franchise but yeah,
1044
0:35:05,840 --> 0:35:06,767
Colton Paulhus: roofing, I could see that.
1045
0:35:06,847 --> 0:35:07,532
Colton Paulhus: Yeah, oh yeah.
1046
0:35:08,363 --> 0:35:08,926
Mark Haney: Okay, interesting.
1047
0:35:09,020 --> 0:35:10,787
Mark Haney: Yeah, I would think that it has to do with
1048
0:35:10,807 --> 0:35:12,424
Mark Haney: the things that people are more likely to
1049
0:35:12,464 --> 0:35:14,229
Mark Haney: wanna advertise and things like that.
1050
0:35:14,922 --> 0:35:15,986
Mark Haney: Yeah, landscaping.
1051
0:35:16,540 --> 0:35:19,329
Mark Haney: Yeah, so landscaping, roofing, plumbing,
1052
0:35:19,440 --> 0:35:21,888
Mark Haney: electrical HVAC, really any service brands
1053
0:35:22,280 --> 0:35:23,566
Mark Haney: and when you say service, are you talking
1054
0:35:23,586 --> 0:35:25,145
Mark Haney: about the recurring revenue type service
1055
0:35:25,166 --> 0:35:27,687
Mark Haney: brands or are you saying, more like the
1056
0:35:27,808 --> 0:35:29,805
Mark Haney: companies, that you're building something
1057
0:35:29,846 --> 0:35:32,165
Mark Haney: from start to finish and the transaction
1058
0:35:32,366 --> 0:35:32,527
Mark Haney: ends?
1059
0:35:32,940 --> 0:35:34,701
Colton Paulhus: More like the transaction would end Okay,
1060
0:35:34,721 --> 0:35:36,683
Colton Paulhus: more like the construction company, yeah,
1061
0:35:36,743 --> 0:35:38,761
Colton Paulhus: yeah, but HVAC and plumbing you can have
1062
0:35:38,801 --> 0:35:41,189
Colton Paulhus: kind of that monthly or annual service fee.
1063
0:35:41,720 --> 0:35:43,006
Colton Paulhus: So there will be that component.
1064
0:35:43,140 --> 0:35:44,505
Colton Paulhus: But we're just gonna help these companies
1065
0:35:44,605 --> 0:35:46,805
Colton Paulhus: franchise and then take a royalty at
1066
0:35:46,845 --> 0:35:48,223
Colton Paulhus: corporate Wow yeah.
1067
0:35:48,283 --> 0:35:51,547
Mark Haney: Wow, okay, what did I not ask you?
1068
0:35:52,002 --> 0:35:52,946
Mark Haney: What else do we need to cover?
1069
0:35:53,040 --> 0:35:54,706
Mark Haney: I feel like I was zipping through on my
1070
0:35:54,787 --> 0:35:57,186
Mark Haney: agenda, but I wanna make sure we stay on
1071
0:35:57,226 --> 0:35:58,009
Mark Haney: your agenda too.
1072
0:35:58,521 --> 0:36:00,729
Colton Paulhus: I just think I'm excited to be.
1073
0:36:01,100 --> 0:36:02,966
Colton Paulhus: I mean, I know you believe in this big time
1074
0:36:03,920 --> 0:36:06,188
Colton Paulhus: the Sacramento region and really growing a
1075
0:36:06,228 --> 0:36:07,784
Colton Paulhus: big entity out of Sacramento.
1076
0:36:08,380 --> 0:36:11,060
Colton Paulhus: I talk with Greg Connolly a lot and you
1077
0:36:11,080 --> 0:36:12,666
Colton Paulhus: know we wanna build a multi-billion dollar
1078
0:36:12,707 --> 0:36:14,707
Colton Paulhus: company to help put Sacramento on the map.
1079
0:36:14,900 --> 0:36:17,328
Colton Paulhus: Like I just really believe in helping this
1080
0:36:17,388 --> 0:36:20,522
Colton Paulhus: town become an entrepreneur's town, less of
1081
0:36:20,843 --> 0:36:22,942
Colton Paulhus: a government town right and I think there
1082
0:36:22,962 --> 0:36:25,301
Colton Paulhus: needs to be more people that see you know
1083
0:36:25,361 --> 0:36:27,168
Colton Paulhus: my success and we're at the ground floor
1084
0:36:27,601 --> 0:36:29,187
Colton Paulhus: and we've made mistakes and we're not
1085
0:36:29,207 --> 0:36:31,245
Colton Paulhus: perfect, but I do think, people like you
1086
0:36:31,285 --> 0:36:33,542
Colton Paulhus: sharing your story and that's why I'm
1087
0:36:33,562 --> 0:36:35,982
Colton Paulhus: trying to get kind of our company out there.
1088
0:36:36,022 --> 0:36:37,768
Colton Paulhus: More is, I believe, people need to hear the
1089
0:36:37,808 --> 0:36:39,665
Colton Paulhus: story of successful entrepreneurs in the
1090
0:36:39,705 --> 0:36:40,567
Colton Paulhus: Sacramento region.
1091
0:36:41,069 --> 0:36:42,502
Mark Haney: That's I love, that I mean that's the
1092
0:36:42,622 --> 0:36:45,721
Mark Haney: reason why I started the show in the first
1093
0:36:45,761 --> 0:36:51,622
Mark Haney: place is I felt like I, you know I didn't
1094
0:36:51,703 --> 0:36:52,185
Mark Haney: have that.
1095
0:36:52,980 --> 0:36:55,027
Mark Haney: Let's call it the older brother, or, you
1096
0:36:55,047 --> 0:36:55,148
Mark Haney: know.
1097
0:36:55,620 --> 0:36:57,127
Mark Haney: I mentioned, you know, my mom and dad.
1098
0:36:57,240 --> 0:36:58,666
Mark Haney: They got sick a long time ago.
1099
0:36:58,920 --> 0:37:02,089
Mark Haney: I didn't really have anybody that had had
1100
0:37:02,330 --> 0:37:02,931
Mark Haney: success.
1101
0:37:03,040 --> 0:37:05,868
Mark Haney: That was close in my life that I could sort
1102
0:37:05,948 --> 0:37:09,088
Mark Haney: of think about emulating or aspire to be
1103
0:37:09,148 --> 0:37:11,902
Mark Haney: like I didn't know those people and I think
1104
0:37:11,942 --> 0:37:14,049
Mark Haney: most small business people don't know those
1105
0:37:14,069 --> 0:37:14,250
Mark Haney: people.
1106
0:37:14,360 --> 0:37:16,789
Mark Haney: People don't really have good access to you
1107
0:37:16,829 --> 0:37:19,027
Mark Haney: know, like the great connolly's or you or
1108
0:37:19,067 --> 0:37:19,909
Mark Haney: Dale Carlson.
1109
0:37:20,120 --> 0:37:20,301
Colton Paulhus: Sleep.
1110
0:37:20,321 --> 0:37:20,602
Mark Haney: Train.
1111
0:37:20,642 --> 0:37:23,384
Mark Haney: It's like how do you, how do you find out
1112
0:37:23,465 --> 0:37:23,967
Mark Haney: how they did it?
1113
0:37:25,520 --> 0:37:27,301
Mark Haney: Okay, I wanted to start a show so that
1114
0:37:27,823 --> 0:37:29,869
Mark Haney: other people can start to feel that I love
1115
0:37:29,889 --> 0:37:33,550
Mark Haney: it, yeah, and that you know I now it's fun.
1116
0:37:33,680 --> 0:37:35,527
Mark Haney: Now it's like I'm sort of addicted to it
1117
0:37:35,567 --> 0:37:38,221
Mark Haney: too, Because you know, I keep learning and
1118
0:37:38,241 --> 0:37:41,570
Mark Haney: being sort of surprised by the innovative
1119
0:37:41,630 --> 0:37:44,547
Mark Haney: mindsets of young people, or even people
1120
0:37:44,587 --> 0:37:46,944
Mark Haney: that are, you know, older, my age type,
1121
0:37:46,984 --> 0:37:48,369
Mark Haney: people that drink these.
1122
0:37:48,440 --> 0:37:49,961
Mark Haney: There's still a lot of innovation, a lot of
1123
0:37:50,001 --> 0:37:50,705
Mark Haney: drive out there.
1124
0:37:51,120 --> 0:37:53,440
Mark Haney: People just need to feel like, well, if
1125
0:37:53,561 --> 0:37:55,443
Mark Haney: Colton Paulus and Mark, hey, if those
1126
0:37:55,463 --> 0:37:56,908
Mark Haney: schmucks can do it throw them in.
1127
0:37:57,220 --> 0:37:58,865
Colton Paulhus: That's right, I can do it too.
1128
0:37:58,925 --> 0:38:00,009
Colton Paulhus: Yeah, yeah, that's what.
1129
0:38:00,640 --> 0:38:02,127
Colton Paulhus: There's way smarter people, right?
1130
0:38:03,023 --> 0:38:05,324
Colton Paulhus: It's like I just stayed with it, yeah, he
1131
0:38:05,364 --> 0:38:05,947
Colton Paulhus: didn't quit.
1132
0:38:06,060 --> 0:38:06,462
Mark Haney: Look at him.
1133
0:38:06,482 --> 0:38:07,881
Mark Haney: A lot of people would have quit after.
1134
0:38:08,383 --> 0:38:09,560
Mark Haney: You know a couple of those setbacks that
1135
0:38:09,580 --> 0:38:10,143
Mark Haney: you mentioned.
1136
0:38:10,203 --> 0:38:14,007
Mark Haney: It's like oh geez, I'm just better go get a
1137
0:38:14,027 --> 0:38:15,681
Mark Haney: job with a state or something like that and
1138
0:38:15,701 --> 0:38:16,886
Mark Haney: he's like no, I'm staying.
1139
0:38:17,000 --> 0:38:18,004
Mark Haney: I'm gonna still dream big baby.
1140
0:38:18,044 --> 0:38:18,486
Colton Paulhus: That's right.
1141
0:38:18,586 --> 0:38:18,947
Colton Paulhus: That's right.
1142
0:38:19,440 --> 0:38:20,223
Colton Paulhus: I knew right.
1143
0:38:20,243 --> 0:38:22,180
Colton Paulhus: Just with the way my mind works and
1144
0:38:22,341 --> 0:38:24,280
Colton Paulhus: operates, I knew I always was gonna be an
1145
0:38:24,300 --> 0:38:27,069
Colton Paulhus: entrepreneur when I started in this journey,
1146
0:38:27,720 --> 0:38:29,367
Colton Paulhus: and so I just knew I was never gonna quit.
1147
0:38:29,480 --> 0:38:31,007
Colton Paulhus: And eventually, if you don't quit,
1148
0:38:31,240 --> 0:38:32,881
Colton Paulhus: something's gonna click Well.
1149
0:38:32,982 --> 0:38:36,065
Mark Haney: I appreciate that and I think you've
1150
0:38:36,125 --> 0:38:36,726
Mark Haney: inspired.
1151
0:38:37,549 --> 0:38:39,841
Mark Haney: Whatever our audience is, you know and I
1152
0:38:39,902 --> 0:38:43,003
Mark Haney: think that's a good takeaway is don't quit
1153
0:38:43,023 --> 0:38:44,589
Mark Haney: and you'll eventually figure it out.
1154
0:38:44,780 --> 0:38:47,288
Mark Haney: And you may have to pivot four, five, 10.
1155
0:38:48,100 --> 0:38:49,445
Mark Haney: The Lord knows, I pivoted a lot in
1156
0:38:49,485 --> 0:38:51,766
Mark Haney: nighttime and you're gonna be pivoting
1157
0:38:51,826 --> 0:38:53,731
Mark Haney: folks, but you don't quit.
1158
0:38:53,751 --> 0:38:54,820
Mark Haney: That's right you can figure it out.
1159
0:38:54,880 --> 0:38:55,483
Mark Haney: You can figure it out.
1160
0:38:55,960 --> 0:38:57,084
Mark Haney: Well, thanks for coming on the show today.
1161
0:38:57,124 --> 0:38:58,007
Colton Paulhus: I appreciate it, Mark.
1162
0:38:58,027 --> 0:38:59,341
Mark Haney: Thank you for having me Well.
1163
0:38:59,442 --> 0:39:00,785
Mark Haney: You're an inspiration, thank you, thanks,
1164
0:39:00,826 --> 0:39:01,006
Mark Haney: man.
1165
0:39:01,106 --> 0:39:01,508
Colton Paulhus: Means a lot.
1166
0:39:02,821 --> 0:39:03,697
Mark Haney: And to all you out there fighting the good
1167
0:39:03,718 --> 0:39:04,884
Mark Haney: fight for entrepreneurship and for the
1168
0:39:04,924 --> 0:39:06,682
Mark Haney: backyard advantage and, of course, all of
1169
0:39:06,723 --> 0:39:08,200
Mark Haney: you out there fighting the good fight for
1170
0:39:08,240 --> 0:39:10,728
Mark Haney: our freedom, our security and our way of
1171
0:39:10,788 --> 0:39:12,785
Mark Haney: life here at the Heaney Biz, at Mark
1172
0:39:12,825 --> 0:39:14,203
Mark Haney: Heaney's show and the Growth Factory.
1173
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Mark Haney: We're never above you, we're never below
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Mark Haney: you, always by your side.
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Mark Haney: This segment includes the personal
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Mark Haney: knowledge, experiences and opinions about
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Mark Haney: angel investing by seasoned angel investors.
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Mark Haney: This content is for informational purposes
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Mark Haney: only and should not be considered as legal,
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Mark Haney: tax, investment or financial advice.
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Mark Haney: Nothing in this segment constitutes a
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Mark Haney: solicitation, recommendation or endorsement.
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