how would you spend your money to expand your busines?

Question

i am hopefully about to close on my first wholesale deal for $5,000.  how do you suggest i spend it to expand the business?  i want to be able to capitalize on every lead that i get, but t dont know how much i would typically need for all of that?

Andrew Syrios · Answer

You always need to be willing to spend money on marketing, but the big dilemma for investors is usually regarding money to close deals. I think using the profits to help with the next acquisition is probably the best way to use it.

Eric Moore · Answer

Congrats Derek! I know you feel pretty awesome after closing your first deal. It all depends on how rapidly you want to expand your business. It also depends on how feasible it is to do so.  Are you working another job or doing wholesaling full time? If you're doing this part time and have no help, you have to be cautious on how much money you dump into marketing because you don't want to be flooded with phone calls and you can't return them all. That would be wasted money.

A good rule of thumb is to reinvest 15% of your proceeds back into marketing. Just depends on what your business infrastructure is set up to handle.

Philip Williams · Answer

Congrats on your first wholesale deal! It really depends on your business plan, how did you find this deal? If it was through direct mail marketing perhaps you should work on expanding your campaign. Send out twice as many post cards as before, buy a bigger list of names. Or if you have never done a direct mail campaign put the pieces in place to start one! Hope this was helpful.

how would you spend your money to expand your busines?

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