So what the heck is going on with Grant Cardone claiming bankruptcy and why did 42 new hires get laidoff in the year 2020? Are Cardone Capital investors getting paid?
As you continue reading this post you will discover the 100% truth as to why Grant made the decisions he did, let’s get into it…
(Story) How I learned the truth about Grant
As I was working on this blog I got an email from the legendary “Billy Gene is Marketing” because I am on his list. In the email was a link to Billys’ podcast where he interviewed Grant Cardone.
Billy and Grant keep it 100 and that podcast episode is exactly what I will be summarizing below…
Email:
Podcast Episode Summary
Is Grant Cardone Bankrupt?
The short answer is no.
Grants Explanation as to why:
Right now, the trend in the world is corona/wuhan/lock-down/5G ect. Plus everyone’s attention is now on Donald Trump to see what he is going to…
So Grant says “How do we get attention, we gotta do something to bust through man, nobody can hear us, no matter how hard I work, nobody can hear us…”
Basically Grant wants PR, publicity…
So him and his team are trying to think of deals that they can do, and what they realize, is that people are so focused on the chaos, that in order to get peoples attentions, he has to make an even greater chaos…
Which is genius in my opinion as long as no one gets hurt.
Now Billy asks Grant the MORAL question…
“If you are not going bankrput, was is right, to worry your investors with a bankruptcy message WHILE they see the world ending (Corona-Lockdowns) because your company Cardone Capital takes average joe investor money. So to someone that’s 59 years old who just gave you $20,000, was it right to do this marketing publicity stunt?”
Grants Answer:
” I can go bankrupty, and that would not affect the investors. They’re backed by real-estate. I am separate from the ownership of the real-estate that backs the investors”
(Which basically means YOUR investment is NOT inside Cardone Capital as a business, nor is your capital in Cardone Capitals real-estate. YOUR MONEY is in separate properties that are protected and managed outside of Cardone Capital. Thus when Cardone goes down, you are not affected.)
Now Billy asks: “Your name is hotter than ever, but is that a good thing?”
Grant goes on to say ” I don’t know”. He also mentions “I don’t recommend people do this as a strategy” because Grant was trying to switch peoples attention to him and “control the narrative”.
Which means he wants to create his own press and be able to control his business even when people are in panic mode. At least that’s my interpretation.
What do you think? Comment below your thoughts and share this post on Facebook.
8:40 Billy FLIPS the script and puts Grant in his investors shoes, pushing on and asking, “If you were an investor, would your stunt be funny?”
Grants Brush Off Answer:
Before I gave somebody money, I would know them so well that I would know exactly what they did.”
And he goes on to explain that “the people who know him, understand that he markets one way, but invests his money a different way.”
Does Grant Cardone Feel Remorse? Did he mess up even a little???
Grant: “I don’t think so. Not even a little bit. I’ve been paying investors for years.”
Grant Carode Layoffs and WHY?
Before the Coronavirus was announced in the United States, Grant got a call on from a connection of his saying that the country is about to go remote. And after that the USA will be shutdown. So Grant had some notice which plays a HUGE rolls in his decisions of course.
RIGHT WHEN Grant gets back to the office he has a meeting with his executive staff, and asks, “Who did we hire in January and February?”
The reason Grant laidoff 42 people is because, with the lockdown, it is nearly impossible to train, manage, educate and instill culture remotely. (Which makes sense, Live is a different learning environment)
So Grant was preparing his business for the economic crash.
Grants goal is to be able to take advantage of the collapse because in previous crashes he didn’t do so.
If he doesn’t fire people, the business will die and everyone hurts. But if he fires a few people, leads the remaining people, he can survive long enough to come back for the people who were laidoff.
IMPORTANT NOTES: The 42 people that were laidoff, where new hires that were not assimilated into the culture yet.
The people laidoff are able to file for unemployment and 40 of the 42 have a job with Grant as soon as the lockdown is over.
What did the 42 people say!?
No one liked it and they felt blindsided. Which is easy to understand, but if they are kept hired, Grant will not survive the crash and will have to let everyone go. So it’s hard for everyone.
Billy Asks Grant: “Do You CARE?”
Grant explains: Yes. of course. But the timing was bad. The haters are just judging from a distance without trying to make any moves for themselves.
Also later in the interview Grand explains that he is making deals with his renters.
For example is someone owes 1 year, they can pay 6 months now, keep their place and have the rent owed added to the back end.
So he is trying to save his people, while making money in whatever way he can. Coming to a negotiation is more like it.
Has Grant Cardone Had Coronavirus?
He says he had CV in January.
Grant Cardone 10X Masks Explained…
So you may have seen the 10X medical mask being sold by Grant. This is his attempt to create a “loss leader”, which is a product you break even on or lose some money selling, in order to sell additional products and services. In this case he was driving traffic to his website for leads and potential investors.
It’s something all top brand do and is very powerful in marketing. So it makes sense. And people are buying masks so its a HOT product from an e-commerce stand point. So he was capturing the trend.
Did Grant Cardone Sue Kevin David?
No. Someone else sued Kevin though.
How much is Grant spending on Ads NOW?
Over 1 million per month. Many products also had to be re-branded to suit the current times and crisis.
What’s NEXT for Grant Cardone?
Grant is planning on expanding is multi-family homes and hire more people over the course of the lockdowns. Currently he has about 8,000 units and plans on growing to 28,000 units.
Grant Cardone Capital Bankruptcy Conclusion
It is a marketing ploy to get attention during chaotic times. Cardone Capital investors are getting paid and are backed by real-estate. But most importantly listen to the podcast yourself here. You will get so much more for the actual recording PLUS it’s hilarious.
However time will tell whether Grant is making the right moves.
Do you agree with how Grant is gaining publicity, comment below…
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