Time May Be Money, But It Won't Help Build Wealth

The way Dutch Mendenhall sees it, you’ll never achieve financial freedom by trading time for money.

The founder and CEO of real estate investment trust (REIT) RAD Diversified REIT Inc. says that rather than relying on your employer to help you build your nest egg, investing when you’re young is the best way to build wealth.

“If it’s only your time and only your effort, your income will be limited,” Mendenhall said. “If you use other people’s time and money to work for you, you start to break free.”

Mendenhall said the first step toward wealth building is investing in yourself, and any efforts you make in that endeavor likely will pay off in five years.

“You have to expand your own ability to produce income, or you will never have enough to invest,” he said.

RAD Diversified invests in residential, commercial, construction and farmland. Since its inception, RAD and its companies have amassed more than $100 million in diverse property assets since its inception in 2019.

Mendenhall speaks from experience. As a baseball coach at the University of San Francisco, he earned $30,000 per year. When he became a headhunter, his salary soared to $250,000.

“I thought I was on my way, but I paid $90,000 in taxes and living in Orange County is expensive,” he said. “I saved $50,000 that year.”

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Finding A Better Way

Mendenhall knew there had to be a better way to achieve his financial goals, so he started investing in real estate and created RAD Diversified to educate people about how to build wealth and give them an opportunity to invest.

RAD buys real estate, does rehabs where necessary, leases the properties, collects rents and distributes income as dividends to shareholders. RAD Diversified earns revenue from rents and interest in certain investments as well as capital gains from increases in the value of its real estate portfolio.

When RAD Diversified first offered its stock in October 2019, the value was $10. Its value has increased 140.8% to $24.08 since then. It has about $69.4 million in assets under its umbrella. Mendenhall expects the company to reach $1 billion in assets in the next five years.

“It’s us and 6,000 other investors who built this portfolio,” he said. “Crowdfunding is an industry where you can raise and bring money together to start a business. Americans can invest in other Americans. What American doesn’t want to make money from investing in others?”

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