Creating a Successful Mastermind Group

How to put together and use a group to accelerate your business:

I have been part of several mastermind groups, with nothing but positive results. Sure it can be a hassle to structure it and it does take time, but my experience is you will make a significant amount of money that can be directly attributed to participating in your group. The first mastermind group I was part of pushed me to buy a 4-plex and two du-plexes, which I still own today. I have made thousands on the rents and hundreds of thousands equity from appreciation. These were deals that I put together with no down payments, and I would not have pulled the trigger or structured them the way I did without the help of my group. A support group is especially important in this industry. Real estate investing can be a lonely business, and it is important to have the social aspect from like-minded people.

Here are some tips to a successful mastermind group:

People matter: Picking the right people, or forming a group with the right people is the single most important part of a successful mastermind. You also need to be willing to make a change if you don't have the right group. I have had the best results with groups between five and eight people. I also had better success when each member played a different role in the industry. For example: an attorney, a lender, a rehabber, a landlord, a Realtor, and an accountant. This way there is no competition and people are more open to refer each other and support each other. There is less of a chance of one member holding back. It also helps because members will be looking at issues from different perspectives.

Leave your ego at the door: To get the most out of a group, you will want to speak less and listen more. The more others talk, the more you benefit. You do need to chime in to support your group, but you need to be humble enough to listen to what others say to get the most value. I have always tried to be in groups that I felt privileged to be part of. I wanted the best of the best and was not afraid to ask. I was rejected a lot, but was also able to put together some real powerhouse groups. If you feel that you know more than everyone in the group, which may be true, you need to find another group.

Come prepared: The best group is an organized one. I believe a group should be run where everyone gets a chance to speak about the time from the last meeting to the current one. Go over any goals they made for themselves and what results they experienced. This is also a great time to share any success. From there, give anyone in the group that wants the floor a chance to discuss a question, problem, or opportunity in front of them. Let the group come together to focus on the issue at hand. This might need to be timed as each issue could go on for a while and everyone needs a chance to work on themselves and their business. After that, I like to have each member set goals or tasks for themselves that must be accomplished before the next meeting.

You must be accountable: This could be the biggest benefit you get from a mastermind group. This is also why I am such a big fan of coaches. Business coaching works so well because of accountability, not from what you learn. The value in someone holding you accountable is literally priceless. An example of this for me was a mastermind group I was a member in. We met twice a month for breakfast. In this group, if you did not accomplish your tasks that you set for yourself, you had to buy the breakfast. It was great in the beginning, as everyone did what they said and we all experienced phenomenal results. Actually, I started Pine Financial while I was in this group. The problem came when a few members started to get lazy, and the breakfast bill was not enough to hold them accountable. I enjoyed the free breakfast, but eventually dissolved the group because we were not all benefiting.

It's not all business: You have to like each other and want to help each other for this to work. It is important to have a personal relationship with the members as well as a strong business relationship. I would suggest doing things like happy hours, BBQs, or other social activities where the goal is to enjoy each other and not necessarily talk only about business.

Creating or joining a mastermind group is extremely rewarding, but it takes effort like anything else. You will likely try several groups or several members in a single group before you get all the right people together. Believe me... it is worth the effort!