What do you bring to an investor presentation?

Question

I have been working on an investor presentation lately and I was wondering how everyone else does it?

Do you go in naked or do you tote a suitcase full of comps, presentations, and references?

Even better:  If you are or have been a private money investor, what types presentations have you been given? Do you prefer to talk numbers over a beer or the PowerPoint and portfolio method?

Brian Burke · Answer

Brian,

In my experience, each investor is different.  You need to size them up quickly to find out what interests them, and give them that, and not too much more.

Some people are really interested in numbers. They will want to see spreadsheets, projections, past performance, and the sources and uses of funds.  They don't care about you, it's all about the deal.

Some people are visual, they want to see before and after pictures of previous flips, pictures of the property you are seeking funding for, and perhaps a page showing a bunch of pictures of the exterior of a bunch of different flips so they can get a feel for the type of property you typically flip, or the variety of your experience in different property types.

Some people are less about the numbers and pictures, and more interested in YOU as an operator. Your core values, your approach, your history (real estate related, or not), your opinions about the market, etc.

The one thing they all want to know is how they will get their money back, and when.  The one thing they all don't want is to be "sold", pressured, receive unrealistic or overenthusiastic projections, lied to, or bored to death with PowerPoint presentations and flashy graphics.

Some people will want to spend a lot of time with you, asking a lot of questions, etc.  Others will have little time for you and will want you to respect their time and get to the point.

In your first conversation (probably by a phone call expressing interest) size them up.  Bring along exhibits that appeal to all of the above personality types so that you are prepared to give them whatever will help them make a decision.  And most importantly, just be yourself.  Good luck!

Ibrahim Hughes · Answer

I went in prepared for anything that occurred. If the electronic version of the proposal failed, I carried a hard copy. If Investor would rather not discuss the details and read them later yet would like me to give a narrative (informal) presentation on why I thought it was a great project I was prepared for that (you should know the details of the proposal like the back of your hand and have them committed to memory). If he/she didn't want to discuss the proposal at all and instead wondered where I stood on my farm area's long term outlook for real estate, I could go there as well.

And if business never really came up or dominated the conversation and instead community and politics were the topic of the day, I gave a refreshing perspective (helps that I'm charitably involved in my farm area).

The point is to come off knowledgeable, prepared and resourceful.

And if business never really came up or dominated the conversation and instead community and politics were the topic of the day, I gave a refreshing perspective (helps that I'm charitably involved in my farm area).

The point is to come off knowledgeable, prepared and resourceful.

Brian Beadle · Answer

@Bill Gulley    The post is in regards to an initial business meeting with a private money investor( not hard $)  with the intent to obtain funding for (in my case) SFHs for f&f.  It could be to obtain full or partial funding for a deal.

It's not a seminar or product, but in my mind, I have to sell myself and my business plan like a product.  Not often does a private lender hand out funds without vast info about the property, your past results, your plan, and your goals. In my experience there are many more RE "investors" than there are private money investors.  If I come in and am unprepared or ill  informed, I will be treated likewise and accomplish nothing.

I am an extremely visual learner and have found that a well put together presentaion such as a Powerpoint or Prezi presentaion really help you demonstrate your goals or objectives much clearer and easier.  It may seem too formal, but I would rather be over prepared than under.  As Ibrahim said, if the need for a PowerPoint doesn't come up during a presentaion, then I don't have to use it. But at least I came prepared.
Also I feel a presentaion would be extremely helpful to explain the workings of RE to a investor that doesn't primarily invest in real estate but is curious about investing. (doctors,lawyers, so on)

Bill Gulley · Answer

An investor presentation? Is this a seminar?

So, are we now presenting real estate as some product like an insurance salesman? Amway?

Powerpoint, to one person? No one has ever come to my office and set up stuff......

Investor for what? To buy a property or are you asking them for money to work with?

Al Williamson · Answer

I supplied maps that showed features like grocery stories, transit, etc. and superimpose them around my target area.

Also, it is helpful to play with some monte carlo simulations to show investors the odds of your profit estimates being correct.

What do you bring to an investor presentation?

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