How to find investors for your properties?

Question

I started a syndication business with a friend from college a couple years ago. We have secured and currently operate 72 units in Florida. All of these properties have been acquired with our own capital and with capital from friends and family; We have also got a few referrals from our same friends that have invested in our properties.

It’s been a long way with lots of learnings, successes and failures.

We now have our own management and repairs team, SOPs and we feel we are ready to take the business to the next level. However, we don’t know how to start in terms of funding.

We feel we have exceeded our investment potential through friends and family and would like to start searching for other sources of funding such are touching base with funds, family offices or sophisticated investors.

Any advice on how to reach out to these people and be taken serious? Or any suggestions on how to get investors in general?

Todd Dexheimer · Answer

If you have 72 unit and have built a solid company people will take you seriously. First step is to confidently talk to people about what you do. Meeting with potential investors for a coffee/lunch to discuss their investing desires and talk about where your business is heading is a great way to connect with serious investors. Always approach it with the mindset of you are offering them an opportunity to invest in safe/secure real estate with great returns. Leverage your current property returns as examples.

Other ways of finding new investors is talking at conferences and meet ups (you have a lot of experience - so tell your story. Ask to be on RE and business podcasts, start your own podcast, start a blog, start a youtube channel.

I would also suggest getting a website formed that has a free give away - like an ebook or how to

Lastly, get educated and formulate your business plan, so you know what you are doing and sound competent.

Marc Rice · Answer

@Alberto Mazatan Trevino

Well if they’re really large they would have an SEC filing which I believe is public. Start to look for commonalities in names of the LLCs who owns these large buildings and reach out to them via skiptracing the owners.

You can also look on LinkedIn for owners of the businesses. It’s definitely not as simple as others, but I’m sure you can find some if you dig. I’m sure there’s plenty here on BP.

Markesha Ramirez · Answer

@Alberto Mazatan Trevino I would suggest you start by joint your local REI Club and network with other investors 😁 join different investor network sites and market your services to other investors

Marc Rice · Answer

@Alberto Mazatan Trevino

Network and learn from others who are where you want to be. Have you reached out to any syndicators/operators with over 500 units to see how they got there ?

Amy Heitner · Answer

@Alberto Mazatan Trevino

Hey Alberto,

It's interesting that Joe Fairless shared that he noticed that even though most of his investors didn't come from Cincinnati and he had only lived there for a few years at the time. 13 percent of all the equity invested in his apartment deals was coming from that city.

The reason was that he had become actively involved in the local community. And…

That activity included hosting a local meet-up.

It’s incredible that such a high percentage of his investment dollars were coming from that one city and it shows the power of being active in the local community and the power of hosting a regular meet-up.

Have you thought about hosting your own meetup?

Feel free to reach out to me and I'll share some information on how to go about doing that.

Wishing you success!

Bryan Hancock · Answer

You locate investors the same way anyone in business locates anything. You develop a marketing plan, funnel, define target channels, etc. Then you advertise and your marketing system should deliver you highly qualified leads in line with your business goals. You invest your limited time and resources with the best leads and let the marketing system handle the other leads.

To avail yourself of these systems you need the proper legal apparatus and software system(s). Most sponsors are not great at marketing so it also helps to work with a professional who understands this part of the business well and can help you along the way.

Todd Dexheimer · Answer

It's all about networking. Attending charity events, business groups, RE conferences, entrepreneur conferences, Volunteer. As for presenting at a meet up - ask. Let them know your story and that you would enjoy speaking.

Alberto M. · Answer

@Markesha Ramirez

Thank you Markesha! Will follow your advice

Alberto M. · Answer

@Marc Rice

Hi Marc, I have not. How do I find who they are and information on syndicators?

Alberto M. · Answer

@Markesha Ramirez

Like what? Can you be a little more specific ?

Thanks!

How to find investors for your properties?

How to find investors for your properties?

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