High ROI is both good and bad. What exactly do I mean by that? Well, when you first get started with

direct-to-seller marketing, usually most people are not going to spend very much money. They might

only spend $500 a month, $1,000 a month, $2,000 a month. And so they're not spending a ton of money.

And in many cases, they may not get a return because they don't get a deal, right?

So if you get no return, then your ROI was zero X, which for those you can't count is zero. Now, on the other hand, okay, let's say you spend $1,000 and you actually get a deal from it, and that deal makes you $20,000. Well, now all of a sudden, you've got a 20x ROI. I mean, everybody would say, man,

if I could give a dollar and get 20 back, I'm going to just put as many dollars as I can into it, right? Well, that's actually not what most real estate investors that I found do.

They might go spend $1,000, $2,000 a month, and they might get a deal every single month, and they never

increase their spending. And so part of that is why I'm saying, you know, good ROI is both good

and bad, because at some point, you actually don't want a high ROI. If you're currently

getting, say, a 10x ROI on your marketing, I'll get real estate investors who say that. They're like, Ryan, dude, I get 10x on my marketing. I'm killing it. I'm doing this. I'm doing that. My first question is, well, why are you only getting a 10x? You should be getting lower because you should be spending more money until you get to the point where it doesn't make sense anymore, where you start to get

those diminishing returns. And so to illustrate this point, let's say you were spending $5,000 a

month and that was producing 50K of wholesale in your business. I mean, that's an incredible return.

That's a 10x. All of us would be very happy with that. But I would say, well, dude, why aren't you trying to spend at least 10K or 20K? Now, maybe you don't get a 10x return anymore, but maybe you get a 5x, right? 5x of 20K means you make 100K. And at the end of the day, when you just look at the net of each, you spent 5K to make 50K, therefore you made 45K. And then on this one, you spent 20K to make 100K, therefore you made 80K. The person who made 80K made more money overall. And I don't know about you, but I'm in the business and making as much money as I can. So I would rather take the guy who has a 5x doing 20K to make 100K

versus the person who has a 10x doing 5K to make 50K. This person needs to spend more money.

So this is why I say having a high ROI is both good and bad. At some point, you've got to

start scaling to spend more. And I'll tell you, for us, the minimum ROI that we look for is a 3x in this business.

Anything below a 3x, you're in very bad territory once you start paying out commissions and everything else.

But a 3x is for me the minimum acceptable ROI I'm looking for.

And so in the grand scheme of it, right, to just play with

this example even more, what if I could spend $100,000, right? And then that made me 300,000.

Well, if I spend 100 to make 300, I'm going to make 200K overall. Well, I would rather make 200k than 45k or 80K. Therefore, the 3x works at the end of the day.

So, hi, ROI. If you're getting over 10x or you're doing something incredible, spend more money.

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