Relationships or Results — What Matters Most Early On?

Question

When building your deal pipeline, what matters more in the beginning — the relationship with your deal sourcer (bird-dog) or the quality of the leads they bring? I’d love to hear from investors who’ve experienced both sides of this.

Stuart Udis · Answer

Neither. Being financially qualified to execute is the most important factor, followed by understanding how to properly underwrite a deal. I put financial qualifications first because even the best opportunity can become a disaster when paired with an owner who lacks the financial capacity to navigate challenges, delays, cost overruns, or unexpected market conditions. A great deal in the hands of an undercapitalized sponsor is often far riskier than an average deal backed by someone with the resources to execute the business plan and withstand adversity.

Steven Osborne · Answer

I would build buyers first. thats when you don't need a huge lead pipeline because your deals get closed quickly. I disagree with @Stuart Udis process. More information about your buyers the better. The more information you have about your market and investors buying patterns and how they do deals you minimize the buyers errors. Alot of cash out there. If anyone disagree I'm willing to go into more detail. Relationships doesn't matter. Relationships matter if you have less understanding of your market and contacts. Let me give you an example, if I have 5 buyers relationships, when i get good deals I would have to throw them away because it doesn't fit those 5 buyers. I expect almost every good lead to close. From farm land to a infill lot.

Stuart Udis · Answer

In reading your initial post I assumed you were an investor but its no longer clear based on your more recent response. I suggest creating an account with a bio and name you will receive better engagement and advice.

Travis Goodwin · Answer

I'd say both matter, but if I had to choose early on, I'd pick results.

A great relationship is important, but relationships tend to grow stronger when both people are bringing value to the table. If someone consistently brings quality leads, I'll invest more time into building that relationship. If the leads aren't there, the relationship alone won't keep the business moving.

That said, I also don't expect every lead to be a deal. I'd rather work with someone who is honest, coachable, communicates well, and keeps improving than someone who disappears after one bad lead.

In the long run, the best partnerships are built on both trust and results. Neither one is enough by itself.

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@Steven Osborne

Steven this is a perspective shift I really appreciate. Building the buyer side first so deals have a clear home before you even source them changes the whole approach entirely. Instead of finding a deal and then hunting for someone to take it, you know your investors so well that you already know who the right fit is before you even make the call. When you’re getting to know a new investor, what are the key questions you ask to really understand what they’re looking for and how they actually make decisions on a deal?

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@Travis Goodwin

The coachability and communication pieces really resonate with me. Those same qualities that strengthen any long term partnership, whether personal or professional, show up here too. Humility, honest communication, and showing up consistently go a long way. It makes sense that an investor would value someone who’s open to feedback and keeps improving over someone who brings one great lead and vanishes. In your experience, how do the best partnerships usually establish that feedback loop early on?

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@Arman Ahmed

That point about understanding the buy box stands out to me. It sounds like doing the homework upfront; knowing exactly what an investor is looking for before sending anything; matters more than volume. Is that something you typically define at the start of a new partnership or does it evolve over time?

Relationships or Results — What Matters Most Early On?

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