$100k/mo With TikTok, Without Creating Any Content (Plus Stock Market Tips)

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Hi everyone, I'm Ryan Daniel moran. Welcome to capitalism.com today we're going to talk about the red hot stock market and it hitting new highs. We'll talk about new opportunities in E commerce and we'll talk about the connection between loneliness and entrepreneurship. This and more today on this Week in Capitalism. All right, before we jump in today, I want to share a few wins from some members in our community who are crushing it right now. From first of all, Alejandra inside of the capitalism incubator just had a $40,000 month. She's only got one product and she's seen consistent growth. I want to give a shout out to Alina who launched just two months ago and she's getting a consistent 50 sales a day. That's to the tune of about $1,500 a day in sales. That means she's halfway to a million dollar business. Just takes a hundred sales a day. At $33000 a day, that's a million dollar business. And Alina is already half launched. Two months ago, Miguel did a pre launch on a product that doesn't even exist yet. He did $20,000 in sales, more than that actually. And he didn't even have a product ready yet. He got $20,000 in sales in just one week. And my favorite win from the week, new member Danielle launched her product with just a drawing. She doesn't have product ready yet. She doesn't have anything ready. She only has a drawing of her product and she did almost $5,000 in sales. That's an epic win. Congratulations to everybody who's seeing progress in the capitalism.com community. I'm super proud to be part of your journey. If you want to start your road to $1 million, you can download our free resources, our best podcast, a free course and newsletter over@capitalism.com million. Just go over there and you'll get our best stuff for free. All right, so the big news this week was that the stock market hit fresh highs and it's at record levels. The S&P 500 is at record we've never seen before. And this is surprising to a lot of people because interest rates are still super high. There's some concern over whether or not there's going to be this mysterious recession or not. And then there's things like AI which could put us all out of business and have the robots take all our jobs. Yet it was AI that actually drove all of the momentum higher. The company Nvidia posted record profits. In fact, they broke a record for the stock Market, they saw an increase in valuation of over $200 billion in one day. That is called a good day. The interesting thing here is that Nvidia broke the record set by Meta earlier this month. So we have these big valuations, we have record profits, we've got record highs in the stock market. And all of this is kind of happening faster than most people thought. A lot of people thought that the economy wouldn't recover, that the stock market wouldn't recover, at least until interest rates started to come down. But if you look at the notes from what the Fed is saying, they're expecting interest rates to stay high for quite some time. So what do we make out of all of this? What do we do about all of this? There's a few lessons that we can learn from this. First of all, in all downturns, you have the most speculative assets that go down first. So if you look at the last downturn, crypto crashed first. Then it was tech stocks, then it was the rest of the stock market, Then came businesses and real estate. That's where we are in the cycle. We've seen the most speculative assets come down and the most conservative assets have more of a soft landing. But now we're starting to see the opposite happen. You see crypto starting to reach its previous highs from a couple years ago. And the weird thing is that nobody's talking about it. That means that there's the beginning of a real bull run starting in the most speculative assets. Now you're seeing tech stocks, the next most speculative assets, be the thing that are taking the stock market to new highs. That means that we're right in the middle of a cycle. It means that things that are easy to invest in, like stocks and crypto, because you can just set up an account and fire your money over there and hit a button and invest, these things are starting to go up again. We probably still have about a year of softness in real estate and in business valuations. And those things probably won't turn around until interest rates start to come down. So keep that in mind the next time there's a downturn, because what you will see is that speculative assets move first. Those are the things that hit bottom first. And then if you want to speculate or you want to try to find what you're going to put money into, you can keep in mind the order of things and how they both come down and then come up through the economy. The second big lesson that is important to note here is that, as a rule, things tend to go up. I'VE made the mistake of waiting for the bottom of the stock market. I've made the mistake of trying to time the market or wait for a stock to get to its perfect valuation before I pounce. But when I remember that things tend to go up over time, that the stock market will probably be higher in 10 years, in 15 years than it is now, and Bitcoin will probably be higher, the government will probably spend more money, the economy will probably expand, things tend to go up over time. When you know that, then you simply wait for good opportunities rather than the perfect opportunity. Because the perfect opportunity almost never happens There was a great podcast posted recently by Morgan Housel. He is the author of the Psychology of Money and the topic of the podcast we was Compounding optimism is this idea that most of us cannot easily see a future that compounds in the right direction. It compounds positively. But we can all envision a future in which there is a sudden event that puts us out of business, or an event that erodes our money or makes inflation go way up, or there's a war. We can foresee sudden downturns. And we have a bias to seeing negat. But over time, things tend to get better. In fact, almost everyone would agree that the world is better by objective measures than it was 50 years ago. If we look at just economic stats, the stock market is way higher, people's incomes are way higher. There's way more opportunities today than there were 50 years ago. But we have a hard time seeing that happen moving forward. We have a hard time seeing how things get that much better over the next 50 years. But that's probably the most rational perspective. Instead, because we have lizard brains that evolved tens of thousands of years ago, we're more prone to look at sudden bad news. This is why it's tempting to fall into conspiracy theory. This is why it's tempting to hold back from investing. This is why it's tempting to not take that risk and start that business. Because, right, we all feel like we're just one misstep away from everything going kaput. When in reality, markets are probably going to expand, things are probably going to go up in value. And if we know that things are going to go up continuously over time, then it's really always a good idea to invest, start a business, be aggressive in our businesses, take strategic risks, build relationships. These are the things that make our lives and our own personal economies go up over time, and it's always a good idea to do them. On a practical level, let me tell you how I respond to Something like this. I am definitely prone to waiting for the market to come down, or waiting for stock prices to come down, or waiting for the perfect opportunity. In fact, my background is in Austrian economics. We're obsessed with there being another economic meltdown happening every two weeks. But practically waiting for the perfect time doesn't produce the best returns. So instead I've decided it's just a much better idea for me to put money into long term investments every month. And the way that I practice it is putting aside some money every month just to keep it going into long term investments, but then also taking a portion of my profits from my company. And every quarter or every year then I can wait for a bigger opportunity or a more timely opportunity to buy that stock or invest in that business, or that special opportunity that came my way that is proprietary to the people that I know. So I do a little bit of both of consistently investing over time while also keeping some money on the sidelines. So. So I can pounce when I feel like there is a opportunity that has really high upside and low downside. Now let's talk about some of the new opportunities that exist in E commerce. Because if you're watching this and you don't yet have a $1 million net worth, then there are two opportunities to fix that. One is if you just consistently invest into the S&P 500 and it has its consistent average returns of about 9 and a half percent which has been the average return over the last 50 years. If you do that, then you will probably build up a million dollar net worth over time. In fact, if you just invested $541 a month into the S&P 500 at its average returns over 30 years, you would have a million dollar net worth. Now of course, nobody wants to wait 30 years to have their million dollars. So I think a faster way to get there is is to build a business and invest the profits. What I have seen work for the most number of people to build a million dollar business is in E Commerce because if you have four products that do 25 sales a day at a $30 price point, that's a million dollar business. In a lot of cases, if you have a million dollar top line business, that's a business that can be sold for about a million dollars. I have helped hundreds of people navigate that process of either building a million dollar business, selling $1 million business, growing the business that they have, and there are new opportunities in E commerce right now that are creating really amazing results. In fact, my book is called 12 months to 1 million. And I have sort of joked that I might need to rename the book six months to 1 million because there are so many good opportunities right now in E Commerce to build a million dollar business, that results are happening faster than I have ever seen in my career. And 12 months to a million dollar business was already pretty good. Now, just like the pattern that we see in the stock market or the economy where there is a period in which the speculative things go down first and then the more conservative things and then you have a bottoming out, then you have this wide open west period where there's new stuff and there's new opportunities and then you see a maturation of a market. We're seeing that happen in E Commerce right now. Over the last five years or so, you saw a maturation or a consolidation of a lot of brands on Amazon and Shopify. Those were the big plays that you could make if you were starting an E Commerce company. And there were still plenty of opportunities. We had plenty of people who are building million dollar businesses even during that time when there was a lot of competition. But when the market fell out, meaning that interest rates went up, you saw a lot of people go out of business because you had a lot of big private equity groups and aggregators who had raised a ton of money and they were buying up everything. Trouble was they didn't have any good operators. And then interest rates went way up and so their businesses really, really suffered. So you had less money flowing into E Commerce, you had fewer opportunities for people to get a foothold and you saw the market kind of just tank. In fact, I was sitting at dinner about a year ago with someone who most of you would recognize their name. They're really big in the E Commerce space. They have a very famous brand that has done really well. And he was like, I'm not so bullish on E Commerce right now. And I was like, I am, I am. Because valuations are so down, that means that we're about to have a wide open west period. Every market goes through the same predictable pattern. You have a wide open west period in which idiots can get rich. There is so much opportunity and so little competition that you can just jump in and get rich. You kind of saw this in crypto a couple of years ago. You didn't even have to be good. You could just say your company was in crypto and you could raise millions of dollars and get a whole bunch of customers and get a bunch of pr. Well then you go through a consolidation period. And that consolidation period is when the winners win, the losers lose, and then that is followed by the downturn, when all of the bad ones are getting flushed out, and then you have proper winners and a new Wide open West period. I know that was confusing. It doesn't matter. Here's what you need to know. Right now we're at the beginning of a new Wide Open west period. I said this a year ago on the podcast. I said it's looking like because west, we're at that final stage of the downturn, that what will come next is a new Wide Open west period. You should be ready for this. You should be looking for this. And we're starting to see it take shape. There are new platforms for the first time in years. TikTok Shop is a brand new platform that has more upside than I have seen in just about any opportunity since Amazon first created Amazon FBA. And if you're old enough to remember 2008, when Amazon FBA was just starting, when Internet marketing was just starting to flourish, when Facebook ads was just starting, if you're old enough to remember any of that, you might remember that at the beginning of those new platforms, there's all kinds of new opportunities. Almost anybody can jump in and take advantage of the mispriced attention. That is what TikTok shop is right now. In fact, on a recent call inside of our capitalism incubator, which is where we help brands build their valuation and prepare for exit, I literally grabbed my laptop and shook it and said, I wish I could grab all of you by the collar and say, you must take advantage of this opportunity because I have so much conviction about what is happening in the market right now. There's also some brand new platforms like Flip Shop, which I'm sort of curious about just watching, because it actually has a chance to be a significant player in this space. And at the same time, there's still less competition on Amazon than there was a couple of years ago because some people got flushed out of the marketplace. So what we have right now is this brand new fresh Wide Open west period in which we're seeing some of our members have $100,000 days. I shared at the top of today that there are members doing $20,000 launches and their products aren't even ready yet. I am seeing brands add $100,000 a month in revenue after being stuck for years. One of the brands that we invested in at the Capitalism Fund is a brand that was kind of plateaued and stuck for like the last two and a half years. They just had their first Six figure month ever last month because they launched a new product, they did some basic marketing, they got a little bit of exposure on TikTok shop. Not a lot, but just enough. And they're their first ever six figure month. And it's like growing very quickly to the point where we can barely keep up with inventory. We have to slow down advertising because we can't fulfill all the orders that are coming in. We had another brand in our portfolio do just a little bit of TikTok advertising and they grew their top line sales by about $20,000. It was actually $750 a day and it's been less than a month. So it wouldn't be fully accurate to say it's $20,000 a month. But as soon as they turned on a little bit of effort with TikTok shop, their daily sales increased by like $750 a day. That means there's a wide open west period. That means that there is opportunity for new entrepreneurs and new businesses to get a foothold and to get growth again. And this marriage between Amazon and TikTok is fascinating to me. What's also interesting about this is that influencers are now cheaper than they've been in years because there's fewer people advertising through influencers. There's more big audiences out there, so there's more opportunity to build relationships with people with followings and people with influence and people with audience. So we have this very interesting time in which we have some decreased costs, we have less competition and we have new platforms for growth and we're just seeing things pop right now. So if you are looking to start a business and build a million dollar business over the next year or so, if you have a business and you want to grow it, now's a really good time to consider pouncing. If you want to find out what we do and how we can help. You can find more in the description of this video. If you're just starting, you can download all our free stuff over@Capitalism.com million but it happens to be my opinion that right now were at the beginning of a wide open west period. When I first started teaching e commerce, I was basically just documenting the growth of the brands that I was starting. And I documented all the way to a million dollar top line and ultimately an eight figure exit. I sold that company at a $16 million valuation and I documented the whole process, taught a bunch of people what we were doing and how it was working and help people build their businesses. And if you could go back and see what was going on in that timeframe. 2013, 14, 15. It was just such a wide open west period that you could come in and take advantage of the growth of the platform and the low competition and the increased demand. And again, it was like you could be idiots got rich because it was just so obvious. The play. That is how I am feeling about E commerce again. And I haven't felt this way about it in several years. Yes, there's been opportunities, yes, I've made moves in the space. Yes, I've invested in companies in the space. But right now I'm like, man, you'd be a fool not to get into this right now because things are expanding so fast. And I have two decades of experience of looking at marketing trends and where things are about to go. And I'm like, the getting is good right now, so really good. Time to be in it. Okay, I wanna wrap today by talking about loneliness and entrepreneurship. I went for a long walk with a friend yesterday and we were just sharing about where we are in the journey of entrepreneurship and both of us were really surprised at how similar our journeys felt recently. I was feeling one way, he was feeling another way, and they were really similar. And it was this idea of we often have these fears in our mind about being scared to death or I'm afraid I'm going to lose everything, or I'm one mistake away from everything, just going to zero. And I've had many conversations with friends over the last month who feel the same way. But the interesting thing is that all of us thought that we were the only ones with these thoughts. And it's because we're in this grand experiment of working from home, working on laptops, working on our phones and, and there are times that you can go through a two to three day period without seeing anyone in person, but be working with your team and working with employees and working with customers and selling things and seeing numbers on a screen, but not actually having any human interaction or connection. See, when we feel disconnected, when we feel unplugged from a community, it's really easy to fall into the trap of thinking that you're the only one with your thoughts. You're the only one with your scary, neurotic thoughts that everything is going to go away. You're the only one with the the fears about what's going to happen to your profitability next month. You're the only one wondering if you're going to make it. That is so common among entrepreneurs. And yet when we aren't connected with one another, when we aren't supported by a proper support network. It's easy to think that we're the only ones with those thoughts, and that makes them perpetuate. It makes it louder, it makes it worse. It makes it harder. In fact, what I was talking about with my friend yesterday is that when we feel alone and when we feel like we're the only one with these scary thoughts, the temptation is to guard ourselves against them, to put up a front and make sure that nobody ever figures out that you don't know what you're doing, that you're a fraud, that you have fears, that you're a failure. And if anybody finds out, then you're going to be exposed. You're going to be alone and destitute and have no value to offer to the world. This is a common train of thought for entrepreneurs who feel alone. The ironic thing is that as soon as we shared our struggles with each other, or as soon as I listened to my peers who are going through similar times, or when I'm going through a dark time and I share it with somebody close to me that I trust, very quickly I find out that other people have gone through a similar challenge, that other people genuinely care about me and want me to grow through it, and that other people often have ideas or perspectives that are very helpful. So the worst thing that we can do is keep everything inside. The worst thing that we can do is think that we're the only one with these fears. The best thing that we can do is share it with other people, to ask for help, to rely on people close to us. But how do you do that when you feel alone and you're working behind a computer and you don't see humans for three days at a time? I think this is the challenge of our generation. We're seeing the biggest surge of the number and the success of entrepreneurs ever in history. We have more opportunities than we know what to do with. We're like mosquitoes at a nudist colony. There's opportunity everywhere, and we. We don't even know where to start yet. We're sitting behind screens, yet we are alone, working from home. And we think that all of these challenges are new to us and unique to us. We will find a way to solve these problems. In fact, one of my missions is to at least attempt to make entrepreneurs feel less lonely in their journey. And I think more about collaboration than I do about competition. One of the things we're working on@Capitalism.com is a marketplace where entrepreneurs can put up their pitch deck and they can put up their vision, they can put up the problem that they want to solve in the world. And investors and advisors and influencers can come be a part of that business journey. So you have a real support structure, you have real network of people who have the same interests as you and is to see that mission be successful. I also have visions of working on an app that will simply allow me to make a list of people that I want to spend more time with. I put in my calendar of when I'm free, they do the same thing. And when there's a match, it says you two are free. Do you want to have dinner at this place? There should be an app that does that. This is a problem I want to solve. Just loneliness, especially for entrepreneurs. Because I've noticed that when I feel cut off or I feel alone, I feel isolated. My temptation is to try to take. I will feel safer if I sell more. I will trick somebody into buying something. I'll work really hard on that copy to make sure it converts. Because I'm secretly afraid that I'm going to run out of money and I'm going to be alone and destitute. So I'm going to try and get in the short term. The other experience is that when you're plugged in with other people, when you're connected to people who can support you, you just want to create out of abundance. Because if you love who you're surrounded with and you feel supported and safe around them, you're not afraid of failure anymore. You're like, hey, let's all go home big together. Let's go big or go home together. Let's fail big or succeed big together. You think about creating, you think about abundance, you think about sharing, you think about partnership. So the more that you're plugged in with other people and you feel like you're creating something, contributing to something, the more that you actually can produce. You're no longer trying to take, you're no longer trying to squeeze, you're no longer trying to trick, you're not trying to optimize that headline. You're thinking about creating as much value as possible. And that's when you get everything that you want. And so if I can make the journey a little bit less lonely for a handful of people and I can make the mission of capitalism about collaboration and creation and abundance and bringing people together, we not only will change the narrative about what capitalism is from being a dog eat dog world to more of a collaborative creative process, we not only edify my favorite definition of capitalism, which is when a great number of strangers get together to serve one another. But we also liberate each other to be able to create from a place of abundance, which is what we ultimately want from this journey. Freedom is being able to create from a place of abundance, of not needing the result, but being able to just produce things that align with our values and the difference that we want to make in the world. I think the way that we get there is by community collaboration and fostering creativity. And that's what I'm here to do@capitalism.com I'm Ryan Daniel Moran. Thanks for watching this week in Capitalism. If you want to start your road to 1 million, the best place to start to get all our free stuff, all our best stuff for free is over@capitalism.com million. Thank you so much for watching. I'll see you next time. Take care. If you found value in this podcast and you're ready to go Deeper, here are three resources where we can help you. One, you can grab my book 12 months to 1 million on Audible or Amazon. It has over a thousand reviews and it's the playbook to building a seven figure business. Second, you can join our community of entrepreneurs who are following a plan to build a 1% net worth by building businesses and investing the profits. You can get plugged in@capitalism.com 1. And third, if you're looking to go deeper and build a seven figure business that you can sell, you can work closely with us inside the Capitalism incubator and you can get on the waiting list and find out what we do over at capitalism.com Inc. That's capitalism.com Inc.