There are two sides of this Breaking news. Please read the entire post before making your judgement.
Back From The Dead – almost literally
A new education and property sales venture has surfaced; Real Estate Worldwide (www.REWW.com.)
This is a venture between Nouveau Riche founder and multi-level marketing guru, Jim Piccolo and Kent Clothier Jr. partner at Memphis Invest and 1-800-Sell-Now et al.
Clothier is the marketing face of REWW while Piccolo is to remain behind the scenes to run strategy and the MLM network designed to sell careers in education sales, real estate investment education and investment properties.
NOVEAU IS BETTER THAN NO-VAUX
Many investors got their first taste of real estate with Piccolo and Nouveau Riche, a reportedly profitable real estate investment education multilevel marketing company before it closed. Thereafter, Piccolo launched Bizzibiz.com as an Internet marketing MLM.
Nouveau Riche went quiet in 2009 – 2010 timeframe has but recently reappeared in the footnotes on Clothier Jr.’s emails, identifying him as having some interest in Piccolo’s former company. Clothier Jr. is the owner of 1-800-SellNow and Find-Cash-Buyers-Now as well as a 25% partner in Memphis Invest.
Piccolo and Clothier Jr., and by association Memphis Invest have joined to leverage Nouveau Riche and Piccolo’s expertise in MLM network marketing, education and real estate concierge experience to launch a network recruiting to sell real estate investment education, Internet marketing and investment property sales.
The website pitches education and Memphis Invest properties that are to be distributed by a MLM network. Memphis Invest claims to sell the highest-priced investment properties in any market in which it operates. This appears necessary to support heavy marketing and affiliate fees each investor is expected to pay as part of the property purchase and for the use of Memphis Invest’s services.
The west coast headquarters for www.REWW.com is at 8502 East Princess Dr Scottsdale AZ 85255 the offices of Bizzibiz.com which is reported to have just exited bankruptcy. As Piccolo explains it this company was run into the ground during a forced absence as a result of a life threatening illness.
Piccolo has well documented past issues both civil and criminal, plus a recent signing of consent decree with the State of Arizona to settle liabilities arising while he was chairman of a company. This company was accused of selling unregistered securities to investors who lost more than $5,000,000 arguably due to market timing and a failure to register the underlying trust deeds thus rendering them securities and not real estate notes. (All public record.) Piccolo is to pay restitution.
Piccolo is a multilevel marketing icon. Clothier Jr. is using Piccolo’s MLM expertise is planning to build the next generation MLM estate education network. (see compensation plan – http://www.youtube.com/user/incomeexperts?feature=mhee )
Based on content on the www.REWW.site, (Authority tab) they are also planning to be a sales arm for Memphis Invest.
The problems that can arise when selling through a large commission split driven by multilevel payment structures is that aspiring investors often have less than realistic expectations. This typically requires more hand-holding and basic customer service than is required for a mature investor. Serving these novice landlords inevitably displaces service resources from real clients unless massive investment is made in staff and system resources.
Recently Clothier sent out an email asking for folks to register to be part of a new real estate wealth launch… no name. I registered and got a call from a long time Piccolo acolyte who know me who introduced www.REWW.com using Piccolo’s name as a point of familiarity. That is when I found out about the arrangement between Clothier Jr. and Piccolo.
I asked why Piccolo was not apparent on the web site and he volunteered Piccolo’s PR problems and the logic of Kent Jr. being the marketing face. Was this disclosure unintentional? Read into this what you may.
DISCLOSURE & UPDATE
I am Andrew Waite, the publisher of Personal Real Estate Investor Magazine. Our mission is to help give respectability and recognition to real estate investment. We believe there are many inexpensive and even free ways to obtain a good real estate investment education. We also believe using non-standard accounting strategies to inflate earnings when selling rental real estate is not an acceptable practice and reduces the return on a client’s investment. A poor investment outcome for an investor of any level hurts our industry.
Kent Clothier Jr. and Memphis Invest have both been clients of the magazine. When we began to carry other Memphis based advertisers this upset the principals who found Personal Real Estate Investor Magazine no longer fit their marketing plans. They also shared derogatory (and dated) public record about competitors in an attempt to put us off carrying one specific competitors advertising.
At the same time we had sent an overseas client to visit with them and give them a chance to provide properties to these overseas buyers. This professional identified that their return on investment calculations omitted a number of critical numbers. We asked them help us understand this, along with a number of other issues.
At that point Memphis Invest chose to engage a lawyer and threaten us with litigation if we pursued further questions or misstated facts.
The professional who rejected their calculations has gone on to buy hundreds of homes for clients in Memphis and other location where net yields were preferable.
PREI Magazine as a publisher has had a past relationship with Piccolo & Nouveau Riche. We are pleased to report our direct experience was excellent. Piccolo is a very charming and charismatic host.
Piccolo was concerned our differences with Memphis Invest & Kent Jr. were not desirable to their REWW launch so he offered to host a reconciliation meeting with Clothier Jr. (8/14/12) where he told us that if we were prepared to “ignore the past and move on from here,” we could possibly earn www.REWW.com business. Clothier Jr. also offered us an “olive branch” covering past differences.
The meeting produced no measurable results so as of this date Personal Real Estate Investor Magazine has declined to accept any business with REWW, Kent Jr.’s companies or Memphis Invest.
Guaranteed, we are off their Christmas list!
— A. Waite GUEST AUTHOR
Verification done by Duncan
The is what Reed said about the founder of NR: “James Phillip Piccolo filed Chapter 7 bankruptcy in Phoenix on 8/27/90 (petition #2:90-bk-09050-RGM). On 6/16/92, a Phoenix grand jury indicted James Phillip Piccolo for Theft, a class 3 felony and Trafficking in stolen property, first degree, a Class 2felony, namely, the theft of a 1981 Mercedes Benz and the sale of its parts (No.CR92-91584). Piccolo pled guilty on 12/7/92 and was found guilty by Judge David L. Grounds of the Superior Court of Arizona, Maricopa County.” (all of which supposedly stemmed from a divorce fight)
THE BELOW IS AN EMAIL I RECEIVED TO POST AS AN OFFICIAL STATEMENT FOR CLARITY FROM KENT CLOTHIER JR
I read your post this morning and I was a little taken back by it’s aggressiveness.
If you are on my list, as I am assuming you are by your post, then you know I pride myself on being a “tell it like it is, no B.S.” guy. I’ve lived my life this way and don’t plan on changing now. That is in part, why although I rarely agree with your tactics, I appreciate you trying to cut through some of the bullshit “noise” that is out there in this market.
With that said, I’m not a hard guy to find. I make myself available to just about anyone and would have easily discussed my agreement with Nouvea Riche at length with you.
So here are the facts…
I did enter into an agreement at the beginning of the year to control some of the assets of Nouvea Riche in an effort to take advantage of the massive library of audio and video trainings that they had created that was second to none. In addition, I began to nurture any remaining people that were left in their database that were interested in learning about real estate investing. Both were good and strong business decisions that most smart business owners would execute on as well.
As far as MemphisInvest is concerned, MemphisInvest is a separate entity that owns no part of these assets. It is strictly a real estate investment company that is held in the highest regard by hundreds of our clients. I have no idea where you have gotten your information about MemphisInvest, but it is no doubt second or third hand at best. I know that my brother Chris extended the invitation to you in the past to come visit our operation and see for yourself, but I will do it again. Come and see our operation and meet our team.
It is extremely unfair to the 40+ people and their families that work tirelessly in Memphis to take care of almost 500 very happy clients from around the world, when you negate their efforts and their commitment without even the a shred of investigative work or due diligence. These are real people, working very hard, and you simply negate their efforts with little or no thought. We now manage over 1,300 properties for our clients, 65% of our sales are to existing clients, and we will crossover the 500 client mark within the next few days.
I do know that you had a “guest” blogger by the name of Andrew Waite decide to write a creative piece a few months back to continue a smear campaign on our company for the simple reason that after spending over $50,000 in advertising with his company, we no longer wanted to continue.
IF this is your “source”, then I would highly recommend that you actually talk to a customer and not a disgruntled vendor. I will be happy to supply you with as many clients as you feel necessary to get a good feel for our business.
To say that we are proud of all of our businesses, especially MemphisInvest, would be a severe understatement. You don’t get to where we are for as long as we have by doing bad things and treating people poorly. We are an open open book and welcome you to Memphis to see for yourself.
Again, I will happily send you a plane ticket and arrange for you to not only come to see our Memphis operation, but our operations in Florida and Arizona as well.
Now back to my agreement with Nouvea Riche. Again, I am unapologetic for stepping in to pick up some of the pieces of a company that had fallen on hard times. It was a good move for me, our company, and ultimately our clients. It has allowed me the opportunity to meet new people, gain new customers, and to expand our training base like never before.
With our Find Cash Buyers Now and Find Private Lenders Now tools and trainings, our students have had enormous success over the years and again our clients from around the country will line up with their own testimonials. REWW is simply a new way for us to get these tools to an even bigger audience. We know the tools work and it is our intent to help anyone that is interested in real estate investing in a full or part time capacity to have the right tools to be successful.
And lastly, as far as Jim Piccolo is concerned. I met Jim a while back and went through a pretty exhaustive due diligence process. Trust me, I pride myself on my integrity, character, and transparency. It’s the only things I have and it is the only reason I am where I am.
This guy came to me with his hat in his hand after Nouvea had collapsed under the pressure of the recession and collapse of real estate and explained to me every nuance of what had happened. No holds barred. He explained how he started Bizzibiz and then got quite ill and literally died twice on the operating table from his body going septic. How after having so much success and then having a business collapse, a business partner disappear and leave him holding the bag, and then becoming deathly ill and having to walk around with a colostomy bag for 6 months…..he was humbled.
The guy was exhausted, beat up, and wanted to focus on his little girl and his wife. And who could blame him? So rather than fight the government for two years and spend God knows what, he pleaded out. So he could try to move on and focus on his family.
Now with that said, I met his wife, his family, his friends, his associates, his business partners, and spoke to everyone I could to find out who the “real” guy was. And based on all that, he is a personal advisor to me. I admire that he has not given up. I admire that rather than close down Bizzibiz, he is reworking the company to get it back on top. I admire that he is taking any and all issues in front of him head on. What else would you want the guy to do?
So, Jim is absolutely an advisor to me. I am the CEO of Real Estate Worldwide. I feel strongly that our tools and our education are second to none. I am proud of MemphisInvest and the people that we help everyday to invest passively in real estate. I am extremely proud of our friendship and partnership with Fortune Builders and all of our partners for that matter. I am honored to surround myself with so many great people in Memphis, Florida, and Arizona. And I am excited to see what Real Estate Worldwide can become because I know that it is deeply rooted in the highest levels of integrity, trust, transparency.
I am fully aware of the challenges that we will have to overcome, but I feel like this is an important step to help get Find Cash Buyers Now and Find Private Lenders Now into the hands of people that can really use it. We deserve a chance to get REWW off the ground and operating in the true way that all of our companies operate without being slandered by Andrew Waite or anyone else for that matter. Our products, services, and reputation have earned us that.
Duncan, I have nothing to hide.
CEO and Founder
Real Estate Worldwide