Fund managers can pitch investment clubs directly to warm leads but must use generic ads for cold outreach. Catherine, Tommy, and Michelle learn how to funnel unqualified prospects into investment clubs while protecting their main funds from compliance issues.
Did you see the deals today in the deal room?
Deal kind of have is one, we want to definitely protect the fact that, you know, Catherine and Tommy and all of those who are holding that fund want to make sure that if they're doing fractional, that with the way we talked about advertising it and stuff, that they don't get in trouble with the fact that they have this other fund that's actively running. And so we wanted to ask more, I think, about— I sent them examples of how I've seen some people post on Facebook and different social media platforms about what they're doing. I don't know if you can share a little bit around the rules around that, and like if you have anyone who has ever done that before. I actually did— I shared this with you too, Kyle, that I set up a meeting with Michelle because I know that she's also been a fund manager as well as doing these 3 raises, or that she just did on Fractional last year. So I don't know if you can share a little bit more about that and then they can ask any other questions.
So yes, as far as marketing goes, as long as it's a warm lead, so anyone on social media, anyone that's in your sphere of influence, you can talk to them about the club. When it comes to cold outreach, that's where you do have to be a little bit limited. But because you already have a fund and if you're going to plan on running ads for that, that can be a huge advantage. So when it comes to cold ads, you can't direct them directly to the club. They would have to be directed towards the brand or a website or a Discord, somewhere where they can agree to communication from you. At that point, they're a warm lead. But if you're already planning on running ads for the fund, they're becoming warm leads because they're reaching out to you to talk to you. And at that point, that's where you can funnel them into the whatever direction is invest. If they're a better fit for the fund, you can funnel them into that. If they don't meet the qualifications for the fund, you can say, hey, well, I have this investment club as well that, you know, you, you don't qualify for the fund, but you can join my investment club. So we have a lot of fund managers that are doing that as well in supplement of them running a fund.
