Kevin O’Leary delivers his top tips for building businesses, pinching pennies as costs soar

'He's all about cutting through the BS,' says Bilt Rewards CEO about O'Leary

Kevin O'Leary delivers blunt-force business and personal finance advice on an upcoming episode of the digital game show "Rent Free" with Ankur Jain, CEO and founder of Bilt Rewards.

Entrepreneurs "deserve to burn in hell in perpetuity" for ignoring his most critical suggestion, the no-nonsense celebrity investor says to Jain at one point — while most Americans "don't need a lot of the crap they buy."

"Mr. Wonderful" told Jain his top tips for entrepreneurs seeking to woo investors with their business ideas, and for everyday Americans trying to maximize each dollar in an era of high inflation. 

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The advice — and the story behind it — were shared exclusively today with FOX Business. 

"Kevin has been doing this for years and he's all about cutting through the BS," Jain told FOX Business. 

Kevin O'Leary, chairman of O'Leary Ventures, speaks during the DC Blockchain Summit in Washington, D.C., on Tuesday, May 24, 2022. (Valerie Plesch/Bloomberg via Getty Images / Getty Images)

"His advice is so important right now when life is so expensive and people are trying to figure out how to get more value for their money and how to make more money." 

Jain founded Bilt Rewards in 2021 as the nation's first loyalty program that allows members to earn points on rent. 

On the game show "Rent Free," the more answers the celebrity gets right, the more rent Bilt pays, up to $2,500 a person. O'Leary won rent for seven people, Bilt Rewards told FOX Business.

"Kevin has been doing this for years and he's all about cutting through the BS.

O'Leary rose to wealth and celebrity, first in his native Canada, as a hugely successful entrepreneur and then television personality. 

He proved to be one of the shrewdest investors in the United States, too, as a frank but friendly deal-making whiz on television hit "Shark Tank."

Bilt Rewards founder and CEO Ankur Jain, left, discusses business and personal finance tips with celebrity investor Kevin O'Leary, right, of "Shark Tank" fame, during an upcoming episode of "Rent Free." (Bilt Rewards / Fox News)

Smart business and personal money-management skills are universal, as O'Leary preaches on television, in person and during his appearance on "Rent Free."

O'Leary's advice for entrepreneurs

Describe your business succinctly and powerfully. Investors are bombarded daily with requests for their mindshare and money. Their time is valuable — and their patience for ill-defined concepts is short. 

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"Be able to articulate your opportunity in 90 seconds or less," O'Leary said, praising Jain for summarizing one business concept in just 10 seconds.

Prove you have the skills to turn a concept into cash. "The truth is that great ideas are a dime a dozen," the investor said. 

"Execution skills are very rare. You have to combine both of those to work together" 

Ankur Jain speaks during Bilt Rewards X Wells Fargo Launch Event at SUMMIT at One Vanderbilt on March 28, 2022, in New York City.  (John Lamparski/Getty Images / Getty Images)

By pairing great ideas with great execution, "you're de-risking the deal for the investor," said O'Leary.

Know your numbers — no excuses. O'Leary lists key metrics that all entrepreneurs need to know about their business idea before bringing it to savvy investors.

"How big is the market? How fast is it growing? How many competitors are there? What’s the break-even analysis? What’s the cost of customer acquisition?"

"Articulate your opportunity in 90 seconds or less."

O'Leary believes a brilliant idea and the execution skills to match deserve only damnation without solid answers to all these bottom-line questions.

"If you don’t know your numbers and you get the first two [tips] right, you deserve to burn in hell in perpetuity and I will personally put you there," the investor said.

video

Kevin O’Leary plays Bilt Rewards’ Rent Free game show with Bilt’s founder and CEO Ankur Jain

Bilt Rewards is a loyalty program that rewards Americans for paying their rent on time. On "Rent Free," the more answers the celebrity gets right, the more rent Bilt pays, up to $2,500 a person. Kevin O'Leary won rent for seven people.

Advice for everyday Americans

Eliminate wealth-killing credit card debt. Credit cards are a major financial burden that destroy opportunities to grow wealth for millions of people. 

"Pay off their credit cards immediately, that's what they should do," said O'Leary of his top suggestion for struggling Americans. 

The average credit-card interest rate in the United States is 22%, according to industry reports — far outweighing the average gains of any common investment strategy.  (iStock / iStock)

The average credit-card interest rate in the United States is a savage 22%, according to industry reports, far outweighing the average gains of any common investment strategy. 

Money wasted paying credit card debt is money not growing on your behalf. 

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Stop making needless and impulse purchases. Most Americans have homes and closets cluttered with items they don't need and don't use — representing a needless drain on financial resources that's easy to fix.

"People don't need a lot of the crap they buy. Why do you have 40 pairs of shoes? You only wear two. Why are there 16 jeans here when you only wear four?" O'Leary said with increasing exasperation. 

Kevin O'Leary wears an FP Journe watch while speaking at WatchTime New York at Gotham Hall on Oct. 21, 2023, in New York City. O'Leary indicated to Bilt Reward CEO Ankur Jain that he purchases high-end watches as both an investment and to reward hims (Steven Ferdman/Getty Images / Getty Images)

"Thirty t-shirts? Fifteen baseball caps!? This is garbage you don't need."

Reward yourself for success. Instead of lavishing yourself with trophy purchases on a whim, O'Leary suggests using them as a carrot to gift upon yourself in the future for making sound financial decisions today. 

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"If you start thinking about rewarding yourself for great moments in your life, it's because you've achieved something," he said.

"Thirty t-shirts? Fifteen baseball caps!? This is garbage you don't need."

O'Leary has a passion for watches — and he's used them as incentive to celebrate his own career achievements. 

He's passed on his admiration for luxury timepieces to Jain, the Bilt CEO admitted. 

It's no surprise that O'Leary's gift to himself, however, is "a great investment, too."

High-end watches often increase in value over time. 

And, O'Leary adds, "Watches are never to be borrowed. You have to own them. You have to achieve some success. Then buy your piece."