I have been listening to too much of talks about Cardone capital and that is when I decided to take a closer look at what’s happening inside. I have watched almost every video that is posted by Grant Cardone about his Cardone Capital and other knowledge that he likes to share. While there is always basics that he talks about, there are other shitty things that make no sense like retail is dying. I mean, you can refine his videos by taking out unnecessary noise and get what you can actually find anywhere on the internet. This man is cleaver and sure is a great entertainer.
However, this is not the end of my research. What was fishy in the videos was that I found one person who was accused of not paying a fee of $1500 for an online course appeared in the other video where Cardone was asking him not to smoke marijuana. So, either that person was hired and a paid actor or was among this staffs whom he pays for shooting with him. In any case, it is still a shady marketing practice.
Later, I decided to sign up with the website but there were many problems that I had to go through. The link was difficult to find and whenever I tried to sign up, the email was bounced back. At the end, I had to use the website form to get the thing done. I thought that I would be put in the mailing list as the reputation of Grant Cardone is too great regarding hard selling. And, that is what happened. My inbox started filling with promotional mails and various other newsletters that I never demanded for. Not just that, the emails were sent to many people by putting all the email addresses in CC instead of BCC. Later, the team did apologize telling that it was some technical glitch. That happened after two days of the mistake.
According to his claims that he made on Monday’s show, he has spent nothing once the entire investment is complete. He sold 833000 million of stocks that is all he had. I have also gone through the SEC filings and made out that the company is pretty new with the minimum investment of $10,000. According to the company’s policy, all the investment decision rights are in the hands of Grant Cardone. Once you invest in his plans, you are no where in the picture when it comes to check where your money is been put.
The company invests the money put by investors in multiple multi family homes but has also the right to invest it in any other real estate investment without asking for your permission, only based on the discretion of the manager.
According to the rules, the company plans to sell in 10 years while in the meantime, you remain the investor for all those years. If the sell is made with profit, you receive your share of profit. However, the company has the right to obtain lines of credit or incur increased interest rates for obtaining financing for properties. In these situations, your investment value can shrink to a great difference.
Again, there are lots of other loop holes that make this investment completely risky. You will be investing in properties without any right to vote for your choices. Moreover, you will not be able convert it in liquidity form before 10 years since investment. And, the worst of all, if the company goes bankrupt, your investment won’t be protected under the law.
Now, if you think that Grant Cardone is making any investment of his own which he claims on the Monday shows on real estate, then you are completely misjudging this person. Let’s say, he brings a property by purchasing it for $10M. Later, he decides to scale the opportunity and bring investors telling that the total cost is $18M. So, he got his money back and still remained the highest percentage owning owner of the property. In addition, he also earns syndicate fee. In short, he is making 80% return on his investments and a long term ownership and management fee.
The company is so suspicious that the investors never get the statement of their investment. Every month, they receive a check and that is all. So, investors never know what they are investing into and the company does not take responsibility of sharing that detail as well.
You have no right to ask about the profits the investment made or where the money was put. All you know that the company would share the percentage after 10 years. But, what if the company declares itself bankrupt and leaves you in the middle.
I have been trying to get off their mailing list from a long time. However, these guys always find a way to my inbox. Not only the Cardone capital is uses shady marketing practices, most of the deals are made to believe making huge success while that are doing just well. The values that the company is based on is purely made to benefit Cardone Capital.
Crowdfunding into multi family homes may be in surge today. What if it backs fire? Is there a proper plan for the same? This company is trying its best to make people believe that they are receiving huge benefits by joining the company. But, the truth is that the investors are only paying to make the manager, Grant Cardone rich and big. His reputation as a celebrity is also hard to beat.
However, I really believe that there are many crowdfunding companies that have better proposition than what Cardone is selling. This guy is a scammer and a shady marketer. That is what he is. A clever prick who knows his way out of every mess. Check out his videos and you will be able to read between the lines. He is just an entertainer and no investor. And, a big fraud.