Uncovering the Secrets to Building a Multi-Million Dollar Business wtih Todd Merriott
“Even if you are on the right track, you’ll get run over if you just sit there.” - Will Rodgers, Actor and comedian
Uncovering the Secrets to Building a Multi-Million Dollar Business wtih Todd Merriott
In a recent episode of the REI Hacker podcast, host Benson delves into the entrepreneurial journey of Todd Merriott, co-owner and CEO of Crown City Homes. Todd’s story spans from teaching to painting, remodeling, real estate investing, and even cutting-edge AI security solutions. His experiences reveal the principles behind building a diversified business portfolio while navigating challenges and opportunities in the real estate market.
From Teaching to Entrepreneurship: Todd’s Early Journey
Todd’s career began as a teacher and baseball coach, but he quickly realized it wasn’t his calling. “About two weeks into teaching, I knew I did not want to do this. Had to stick out the year just because of the contract... I just couldn't sit there and do that,” Todd shared. Instead of committing to a career he didn’t love, he sought a profession where his efforts directly influenced his income.
A chance opportunity to paint houses launched his entrepreneurial journey, eventually expanding into remodeling and commercial construction work. These early experiences laid the foundation for Todd’s leap into real estate investing.
Real Estate Investing and Business Diversification
Entry into Real Estate
Todd was introduced to real estate through a Carlton Sheets infomercial, sparking a journey that began with flipping properties. He gained critical experience working with SPD Housing, navigating foreclosure auctions and house flipping.
Building Crown City Homes
In 2020, Todd co-founded Crown City Homes with his business partner Ben Allgeyer. Together, they’ve acquired 50–60 properties annually, leveraging creative selling strategies and foreclosure deals. Their partnership thrives on mutual respect and complementary skills. “We have a pretty mature approach to our differences... What he's good at and gifted at and loves to do is not necessarily the same thing that I love to do and I'm good at,” Todd explained.
Acquiring Service-Based Businesses
Diversification is a key strategy for Todd. Beyond real estate, he and Ben have acquired service businesses like Unique Painting to create steady cash flow. This approach reduces reliance on the unpredictable real estate market, mirroring the stability rental properties offer.
Innovating with AI Security Solutions
Todd also ventured into technology by co-founding Stone Mountain Security Solutions. The company uses AI-powered weapons detection technology to enhance public safety in schools, stadiums, and other venues. “The beauty of that technology is that it works on any camera all the time and will notify instantly... within three to five seconds,” Todd highlighted. This cutting-edge solution exemplifies his forward-thinking approach to business.
Insights on the Foreclosure Market
Current Trends
The foreclosure market has shifted post-pandemic. “I still don't think we're in a normal market. It has corrected some from the heated market, but it's not balanced, and there’s not enough activity,” Todd observed. Banks have become selective, focusing on foreclosures with significant equity to maximize returns.
Challenges in Foreclosure Deals
Foreclosure properties often lose equity due to legal fees and unpaid balances. Negotiating short sales or reduced payoffs with banks is crucial to making these deals profitable.
Ethics and Leadership
Todd places a strong emphasis on ethical business practices. Reflecting on his departure from a previous role, Todd shared, “When we left, I said, we're not going to compete with them, and we're not going to go after their people... We never called a single one of their investors or customers or anybody.” This integrity has been a cornerstone of his success, earning trust from partners and clients alike.
Diversification Is Key: Combining real estate, service businesses, and tech ventures creates multiple income streams.
The Right Partnership Matters: “What he's good at... is not necessarily the same thing that I love to do,” Todd’s partnership with Ben showcases how complementary skills and mutual trust drive success.
Invest in Hiring: Using tools like Predictive Index and a structured interview process ensures strong, aligned teams.
Adapt to Market Changes: Understanding foreclosure trends and negotiating effectively are crucial for profitability.
Innovate for the Future: AI-powered solutions like weapons detection technology position businesses for long-term impact and success.
Looking Ahead
Todd Merriott’s journey from teacher to multi-business owner showcases how strategic partnerships, diversification, and innovation turn challenges into opportunities. Whether through real estate, service industries, or tech, Todd’s entrepreneurial approach offers valuable lessons for anyone looking to build a multi-faceted business.
To hear more about Todd’s story and strategies, listen to the full episode of the REI Hacker podcast.
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