So if working with investors is the key where are you going to find them? The fastest, most effective, cheapest (it’s free), and foolproof way of attracting investors into your Deal Packaging business is to use social media. Social media gives you the opportunity to present yourself to the world. The world can see you, who you are, can get a good idea of your values and qualities, and then they will decide if they want to work with you going forward. The value in this is enormous. My Deal Packaging business has grown as my social media profile has grown. Potential investors will watch what you post and take a view on your business over time. They will contact you. That makes it sound easy doesn’t it? But that is the truth of it. Potential investors will contact you. Now it may take a little more time with some investors than it does with others. I have had some investors that I am dealing with now watch me over a period of sometimes up to 18 months before making contact. Some may contact you almost as soon as they discover you. Every investor is different.
The first thing I would advise anyone to do if they plan to promote their business in social media, is to prepare a content diary. Preferably for a month at a time, at the very least on a weekly basis, you should plan exactly what you’re going to post, where you’re going to post it, and when you intend to put your post out. Then you can relax a bit because you have a plan.
If you’re looking for ideas of what to say that there are various ways you can get started. Talk about your journey. Even if you are just starting out and you think that you don’t have a lot to say, I promise you people who see your posts will enjoy watching you start your journey on the way to becoming a property professional. If you are going on a property viewing then talk about that and take a picture or two of the property. If you’re going to visit an estate agent make a post about that visit, maybe with a photo of you outside of the estate agent, and explain how the meeting went. Have a look in the news. There’s always news in the media about investing in property, being a landlord, changing regulations, changing finance products, the go to strategies for investors in the current market, and so much more.
You have to become a content creator, and I find the most challenging thing about that is just to get started. When I know that I have to sit down and create some content to social media, it seems like I will do anything, just to put off the task. However, I promise you, that when you actually sit down and start generating content, you will find the inspiration within. I personally find it helpful to focus on the task for 30 minutes with no distractions or interruptions allowed. By the end of that time I have a series of ideas for posts and I’m ready to go. If you’re really struggling at the start then just go into one of the property Facebook communities and just comment on other people’s posts. Just a kind word of congratulations or a generous “Well done” will allow you to get your face seen in that community as someone who is positive and contributes. And make sure that you do actually use your own face as your profile picture. People need to see who you are, not a picture of your pets, your pony, or something weird. As your confidence grows then start to use video. The great thing about video on your phone is that you need no other equipment, and if you don’t like the look of the final result you can just delete it and no-one will ever know. The first 90 second video I ever posted took me 90 minutes to prepare. I move a bit quicker than that now. As your confidence builds you will start to post live videos into various property groups. You should absolutely steel yourself to attempt that as live videos, in my experience, gain much more reach.
So let’s say you have gained some traction and potential investors are reaching out to you. What is the next step? You have to speak with them. So let’s consider your first conversation with the potential investor. Initially, after exchanging pleasantries, they will ask you what you do. That is the time to share your “elevator pitch”. Your elevator pitch explains in just a few words the service you offer to your investors. I will share my elevator pitch with you now. You are most welcome to use it. I normally say “I increase the wealth of my investors.” That will encourage the question “How do you do that David?” Then that allows you to give a short (and I do mean short) explanation of the returns that you can source for your investors. You could explain that most of your investors are concerned about having money in the bank or building society getting very low returns. Some of them are even concerned about the security of that hard earned cash. They are speaking to you because they already know that you can secure them a higher return with the security of a bricks and mortar asset which we believe, and history shows us, will grow over time.
Make sure that the meeting is about them and their needs not about yours. The most important question that you can ask your investor at that meeting is ”How can I help”? If at that point you pause and wait and listen, your potential investor will tell you exactly what it is that they’re looking for and then you can decide if you can help them or not.
The information that you need gather from your investor is both general and specific.
You need to know what their goals are, the dreams, the aspirations, the exit strategy and the time line to that exit, are they in it for the long-term or do they want to get in and out quickly?
Are they looking for cash flow deals or capital growth over time? If it is cash flow they are seeking are they trying to replace the income from their employment? If they are looking for capital growth over time what are their timescales? These are vital questions to which you need the answers.
You need to know if they have funds available. What are their financial criteria? What financial returns do you need to find for them to proceed and buy your deal? You need to know if they are prepared to work with you, and you need to explain that you are a business and you offer your services in return for a fee. I would ask them directly as to whether they are happy to pay your fee, if you can find them the property that matches their criteria. If you follow this process properly then you will have investors who want to work with you and from there you can build your investor list and your business.Give our friendly office staff a call to discuss how our courses can help – we are available during normal office hours on; 01733 898 557. If you want to to start earning life changing sums of money from property whilst knowing your are avoiding all the common mistakes beginners make when investing in property join us find out how.