Effective Approaches For Networking With Investors?

Question

Greetings to each and all :)

I'm just starting out, so naturally I have tons of questions.

What approaches have you found to be effective in networking and connecting with investors ?

I've  been studying my local market here in Tallahassee and using  techniques  I learned through Bigger Pockets to evaluate rental properties and cash  flow. I focus on multi-family properties because that's what I have a  desire to invest in, but I'm not in a position to buy as of yet.  I've somewhat gotten a feel for connecting with agents who are working on the seller side, but what's missing in my current skill set is connecting with investors on the buyer side.

What strategies have you used to help facilitate transactions for your investor friends?

How can I best make myself a resource for investors?  I'm open to suggestions. Hoping to learn from you and in turn be a resource :)Peace & love and many thanks.

Adam Schneider · Answer

@Dexter Bryant -- I agree with the strategy that @Chris Martin shared and also wish you Goo Luck (sorry Chris...had to poke at you). Taking a humble, professional approach where the investor believes you are serious about your craft and able to help her or him in the future is the way to go. Keeping it short is very helpful. I had a recent coffee meeting with a new investor looking for advice. I shared information on a property that I was looking to buy that had some functional complexities to it. Later that day, the person contacted me to share more information that he had discovered about the property that I had not discovered. It could have been a toxic transaction for me. I sent him a large gift basket as a token of gratitude. The irony is that, while I expected that I was going to be the "giver" of experience and information, I gained way more than I gave!

Chris Martin · Answer

Welcome to BP.

What most investors will want from you is something that they perceive has value. Buying an investor lunch may be a nice gesture, but they really want to see what true value you bring to the table. When I first started full time in 2001, I met with some local Raleigh investors who showed me their operations. I kept it at 30 minutes. I was prepared with questions. I didn't want to waste their time. I tried to listen, not talk, and that worked well because they mostly liked to show (not really bragging, but close;) the successes. An introduction to an investor from a broker would be a good path... I think that's what I did, but I can't recall since it was so long ago.

Goo luck.

Dexter Bryant · Answer

Adam Schneider great tips! Thank you so much. Being a resource is the role I want to be in. Providing additional info on a potential property purchase is a great way to do that. I really appreciate the suggestions :) The humble, professional approach is definitely the way to go.

Only a few days into my membership and I'm already feeling Bigger Pockets is the most valuable and useful social network I could ever be apart of!

Dexter Bryant · Answer

Great tips Chris Martin, thank you! Definitely gonna take you up on that advice. I've heard from a number of people that the out to lunch approach is very effective and useful.

Down the line, I'm hoping that I can add value by bringing opportunities to the table whenever I'm speaking with investors who are actively seeking places to invest in. But, when I present a property my idea is to do so with a numbers report from the outset, where I calculate estimated initial investment (in all the relevant categories laid out for easy consumption) as well as calculate return on investment, cash flow, expenses, etc. I figure that since that's what I've gotten fairly good at I'll be able to provide a quick snap shot that makes the decision making process very straightforward and simple. My goal is to help people save time, since time is money.

Are there any other suggestions you may have for bringing value in that initial lunch meeting? Aside from keeping it short, listening and asking questions (and taking notes of course!) ? How can I position and prove myself to be a resource from that initial contact to leave the best possible first impression?

I truly appreciate your help and the suggestions! Excellent advice man!