S02E60 - Michael Ringel - How should entrepreneurs invest their money?

If you’re an entrepreneur, you may be thinking you should put all your eggs in one basket. In other words, you should build your business and sell it for a big chunk of change. Unfortunately in most cases, that’s not how it works. In this episode, we talk about diversifying your income in stocks, funds, fixed income, and your own business. Please welcome Michael Ringel.

Key Timecodes

• (00:39) - Show intro and background history.
• (03:03) - When did he start investing in the stock market?
• (05:28) - Understanding the math and science of investing as the key factor.
• (06:41) - Why did he change his strategy in the '90s?
• (09:26) - Investing in individual speculative tech stocks.
• (11:48) - The risk of bad advice from unreliable social media influencers
• (15:32) - Deep diving into his strategies and principles for investing
• (21:12) - Understanding his portfolio strategy.
• (22:29) - What criteria does he use to choose companies to invest in?
• (24:14) - The importance of research about companies and knowing the business
• (25:38) - How to mitigate risks by understanding the business model
• (26:26) - His tips for entrepreneurs building businesses
• (30:40) - The importance of structuring service businesses to grow healthy
• (33:29) - How to plan how to go out of business to retire or grow
• (36:23) - The importance of structuring parallel passive income and diversified investments to achieve financial independence
• (40:25) - The worst business or investment advice she ever received
• (40:57) - The best business or investment advice she ever received
• (45:42) - Guest contacts

Payback Time Podcast

Payback Time is a podcast for investors. The goal of this podcast is to help make investing approachable and easy to understand. We will interview beginner and experienced investors and ask them to share stories on how they got started, what challenges they faced, what mistakes they made, and what strategy works for them today. The overall objective is to provide you with a roadmap that helps you become a better investor.