How long would it take you to save 100, 200, 300k? Exactly… A pretty long time. Being so, to me knowing how to raise money is like having the ability to time travel. This being said, what does it take to raise?
First of all, raising is very easy. When you go to a real estate networking event typically half of the room is full of money. Its just, no one is going around asking you to take their money. Instead, what they are there looking for deals they can buy for themselves. This being said, how do you get them to invest in you?
You don’t… What you do instead is ask them exactly what they are looking for and if you were to find such a thing would they be interested in partnering with you to take advantage of the opportunity. Its that simple!
This is one of the ways to raise. Literally everyone that is at an event that is a rehabber is potential a money partner! I mean what is raising anyway? Its getting access to money to do what you want to do right? What is the difference if its through a partnership? NO DIFFERENCE at all!
Now.. you don’t have to do this for your very first real estate deal. I highly recommend you don’t as getting paid is way more important then making more money because at times getting paid an assignment fee is actually more valuable. Get paid, once, twice, 3 times and then slowly transition over to doing partnerships that way you can make larger spreads. Then slowly transition to real raising where you pay people base on cost of capital vs.. giving up 50% partnership.. Point is.. it all starts here so do it up.
Like my write-up? Want to learn more? I invite you to get my 101 raising money video.