How To Build Wealth In 2025 | Codie Sanchez | Align Podcast #524
Align Podcast
Deep Dive
What was Codie Sanchez's experience with losing $12 million, and how did she handle it?
Codie Sanchez lost $12 million due to fraud in a company she invested in. She described the moment as a panic-inducing experience, but she followed her father's advice to 'pull out the nail' and focus on solutions. She assessed the situation, wrote down all possible options, and worked to turn the company around, eventually making money on it. The experience taught her to approach setbacks clinically and not emotionally.
What is the 'choose your hard' concept Codie Sanchez discusses?
The 'choose your hard' concept emphasizes that life involves difficult choices, and it's up to individuals to decide which challenges they want to face. For example, it's hard to be out of shape, and it's hard to stay fit—both require effort, but the outcomes differ. Codie applies this mindset to both personal and financial decisions, encouraging people to embrace the challenges that align with their goals.
What is Codie Sanchez's perspective on the psychology of money?
Codie Sanchez believes that money is often misunderstood and that people are conditioned to view it negatively. She emphasizes that money is a tool for freedom and that the desire for money, not money itself, is the root of evil. She encourages people to shift their mindset from scarcity to abundance and to focus on ownership and investment rather than just earning and spending.
What are Codie Sanchez's thoughts on investing in small businesses versus other asset classes?
Codie Sanchez views small business ownership as one of the best ways to generate consistent cash flow and achieve asymmetric upside potential. Unlike real estate, which is more about wealth preservation, or stocks, which are primarily for beating inflation, small businesses offer unlimited earning potential. She advises starting with businesses that align with one's skills and gradually expanding into other opportunities.
What is the Lindy effect, and how does it apply to business investments?
The Lindy effect suggests that the longer a business has been in existence, the higher the likelihood it will continue to survive. Codie Sanchez uses this principle to guide investment decisions, recommending that people focus on established businesses with a proven track record rather than new, high-risk ventures. Businesses that have survived for over five years are statistically less likely to fail.
What advice does Codie Sanchez give for building relationships with successful people?
Codie Sanchez advises against approaching public figures and instead recommends connecting with successful individuals in one's immediate circle, such as a boss or a mentor. She suggests showing curiosity, asking specific questions, and following up on advice given, such as reading a recommended book. Building a relationship through consistent, low-pressure interactions can lead to mentorship and opportunities.
What is Codie Sanchez's approach to learning and skill development?
Codie Sanchez emphasizes the importance of continuous learning and skill development as the foundation for financial success. She believes that investing in education and increasing one's skill stack is crucial before focusing on earning or investing. She advocates for practical, real-world education over credentials and encourages people to learn from those who have achieved what they aspire to.
What is Codie Sanchez's strategy for investing in businesses without risking all of one's capital?
Codie Sanchez recommends not using all of one's capital for the first business deal. Instead, she suggests learning how to involve other investors, use seller financing, or form partnerships to share the risk. This approach allows individuals to gain experience and confidence without putting themselves in financial jeopardy. She also advises starting with smaller, manageable deals and gradually scaling up.
What is Codie Sanchez's view on the future of business ownership in the U.S.?
Codie Sanchez believes that business ownership will become more normalized in the future, similar to how homeownership is viewed today. She sees a shift where more people will recognize the value of owning businesses and trading them as assets. She is working to democratize business ownership by teaching people how to acquire and manage businesses, making it accessible to a broader audience.
What is Codie Sanchez's perspective on the role of mindset in financial success?
Codie Sanchez highlights the importance of mindset in achieving financial success. She believes that people are often limited by their perceptions of what is possible and encourages them to adopt an abundance mindset. By focusing on opportunities, learning, and taking calculated risks, individuals can shift their financial trajectory and achieve greater wealth and freedom.
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