EP 355 – Simple Ways To Raise Private Capital

This is the no Closer show where you get the latest developments in distressed note investing and learn the secrets of how you can control millions of dollars worth of property for pennies on the dollar. Get educated and entertained by someone who has closed thousands of deals and lives to support you in achieving the same. Now here's your host CEO of We Close notes, Scott Carson. Good morning, good afternoon, good evening everybody. Welcome to this episode of the no Closure show. As always, Scott Carson. Excited to be here today. Today's Monday, Monday, Monday, Monday in the office and it is Happy Columbus Day. I know a lot of people have the day off. Banks are closed. This is one of the holidays that I would enjoy when I was a banker because we had basically a three day weekend. Couldn't really do something. Sometimes we go in, sometimes we wouldn't. You just get caught back up and work. But a lot of times people will take it as the, the bank holiday. We would be off. It was kind of nice. But it's working day for the entrepreneurs out there getting things done out there. But today it's gonna be back in Austin after being out of of Austin most of last week in San Diego for the Magnifier Wealth Summit and Aaron Young's inner circle and big shout out to Aaron Young, always excited to hang with him. Michelle, Megan Cole, Brett Busquet, Kevin Day and the whole troupe that runs the Laughlin Associates aspect of things. So just a great crew, really enjoy hanging with them. Great group of people. It was great to see Paul Cooper, Lynn Mitchell, just to name a few of our students that are out there at the event because it's such a powerful and magnifying event to really help you with your assets and help you with your asset protection on your asset. You know, Laughlin Associates is a, is a proud sponsor here of us and we are a proud sponsor of them. So just excited here when you leave the office for a couple of days, I always worry about okay, is it done? Fine. I may not be as fast on my emails or my voicemails, but things still get done and we are excited. It was nice to come back and spend a little time flying brainstorming some things and we've got some great things that we're working on that we're putting into place now for next year and we'll share some that in a minute here with you guys. But more importantly, I wanted to talk a little bit because I was talking with some people out there and it's amazing. You have so many great entrepreneurs and one of the things that Aaron does with his inner circle. His two day inner circle thing is he likes to get everybody in a couple round circles and go inside my personal what their biggest hurdles are, what their biggest difficulties are, what are they struggling with and trying to have everybody else in the group or in the circle help them out with it. I think it's really valuable to have a group like that where you can reach out to. It's. It's a safe situation where people are sharing some of their hurdles, some of their difficulties, and then also gaining insight and wisdom from those that are actually as entrepreneurs out there, give them ideas how to make something done. Some of the things are simple. One person was looking for some help finding the right type of employees for her trucking company. People that were owner operators and simple Google search boom. Here's a list. Get taken care of. Other people are dealing with hiring and firing. Other people are doing with raising capital. Other people are doing trying to launch a product. So they need help with marketing. And so that's kind of where I came in. Was the marketing expert out there and and some real estate savviness to everybody out there and their branding aspect of how to help them kind of brand themselves and stand out from the competition and do some right things. Because let's face it, if we, if you aren't used to marketing or used to branding yourself, when you leave a job to launch something yourself, it's difficult, downright difficult sometimes. And honestly the reason I bring up branding is that really ties into your ability to as a real estate entrepreneur to be able to raise capital to stand out from the audience. It really is important aspect of what you're doing in your branding and your marketing. Like we do here, pretty good. The green and the logo, of course, logo for the podcast and with a logo down here in the corner here. And then of course, if you're looking for more information, text the word notes to sunny2000 to learn more about note investing. And it helps you guys get branded into this. Our brand helps you get signed to get more information. And I crack up a little bit as people. I was starting to get text messages and people were getting text messages and emails from people like is God okay? Because I didn't do an episode. I did one episode when I was out in San Diego because I was really committed to being there with Aaron and really diving and sharing my wisdom and my knowledge and my counsel liberty that was there. So it's gonna be back. Great to see Aaron Young, Ingrid Wakas as well with the Quest IRA crew out There as well. Hang with them, visit with them a little bit and, and nice as well there. But I want to get at more so anything. If you're raising capital, you're looking to raise capital for your deals. I know so many people get excited about the deal aspect. Okay. And good deals raise capital. It's just, it's a truth, it's a fact out there. But there are some other ways to raise capital and literally that's the subject of tonight's Note Night in America as some of the ways to raise private capital. Right. And we'll go through more of that today. But I wanted to touch on this episode a little bit more and you can check that out. That episode if you're listening to this in itunes, Stitcher, Spotify, since we're now on Spotify, which is awesome. If you want to listen to that episode, just go on over to Night in America podcast. Be able to download that episode as well that we're doing tonight at 7pm Central. But we're getting at is there are some simple ways to really raise capital. And I was talking with investors about it and I know it seems like common sense to me because I do it on a regular basis and it seems like Greek or Latin to others because they've never done that before. Like I was talking with these two ladies that were raising, looking to raise some capital and I said, okay, what are you doing? They're like, well, we got a fund for just accredited investors only. And I said, okay, who have you raised capital from so far? Oh, friends and family. I'm like, okay, have you marketed? Oh, our partner says we can't do that because the SEC said, well, no, you can do it. But let's just talk about some of the easiest ways first and foremost for you to raise capital. And I shared with them, very simple way, just jumping on the county records and looking for people who have used their self directed IRA before. Many of you have heard me talk about that before. Previous coaching call. The easiest way to find IRA investors who have pulled the trigger in the county and use their ira. And often. What do you often have in common with them? Well, you're both real estate investors. They've got money and you know, they pull the trigger. They're also a little bit smarter because the fact is they have a self directed IRA with either Quest or some other custodian out there. Okay. But there are some sources out there. When I brought up a couple websites, they're like, I've never heard of that before, which I can understand. So I brought up this one, the easiest ways to raise capital. If you're listening to this, you're watching this. Let me. If you're watching this, give me now give me a thumbs up or hey, good morning, whatever, good afternoon, good evening, whatever it is. This is one of the most valuable ways to raise capital. Okay. Myself have done it. A couple of my guests and students like Adam Adams, Wayne Snell, few others have done it as well. And it's a very easy way to identify people. What you do is you go to biggerpockets.com you get signed up there. Yes. You pay for this website. You wouldn't get the membership to it, the 99 bucks because having the free version doesn't really help you in any form or fashion. Go to Bigger Pockets and type in the keywords sdra401k, SD or self directed IRA a variety there. It's going to ask you for some keywords. This is really simple. So if you go to Bigger Pockets and you put those keywords in there, you'll start getting notices of people who have responded to that. So people will put in their comments there and they'll post me, hey, I got 50k in IRA, a 401k, I'm rolling over, what should I do with it? And I laugh because I'm like, okay, you're just literally paying a big target on, on your chest, those investors. Okay, now that's just getting the alerts is the first thing, but it really doesn't help you unless you take it one step further. Right? So the biggest thing out there that I would tell you guys is to make sure that you put some sort of package together, some sort of due diligence package or some more information about your business. And there's some really good things that I'd highly recommend you do when you reach out to these individuals. Now, I wouldn't necessarily go on and reply to their comment and say, give them the whole idea of what you can do. What I would simply do to say, hey, you got some options for you. But thought about maybe not performing notes and. But then send them a private message. This is really a cool, cool thing that you'll like out there. Very easy to take a short video, talk about some of the projects you've worked on, some of the projects you've completed. It doesn't always have to be notes. It could be fixed flips, it could be some rentals that you've done. Put something together that's easy enough to talk about who you are as a real estate Investor. Okay. Morning. Stephanie Goodman. Pretty easy to do now what's that mean? Well, basically, you may be feeling short PowerPoint, but PowerPoint do a quick little 30 minute, hey, here's what we do. Here's what Good Journey Investments is all about. Here's what about Straight Arrow Investments is all about. Here's some of the projects that we've done that we're all about. Here's what we're doing with opm, with other people's money. Let's, let's help them put your money to work for you, okay? And the beautiful thing about that is it doesn't have to be complicated. You don't have to have a long discussion with them. What you, the idea is, hey, I, hey, maybe you might want to think about doing non performing notes or notes or something like that. I'm going to send you a private message talking about our business. And the reason I recommend this, because I've done this before, so I'll do it, is that some of our most successful students have done this and they've raised enough capital from doing this on a regular basis to really help them. Not really stop. I don't, I'll say this, they were not really marketing on the market for money anymore. They're comfortable, they've done enough deals. They're living gracefully off the deals they've got. They're not very aggressive on new deals because they've done such a great job raising capital and they've got cash flow coming in. They're at a really great comfort level, which is phenomenal. They're waiting for the right deals to come along, which whatever routes for. I guarantee if you do this, put a little zoom webinar, a BE Live or a Facebook Live even just talking about what you do, maybe not Facebook Live because they're not able to share a PowerPoint with it using like GoToWebinar or Zoom to record a quick little PowerPoint presentation. 10:20 Slides about smear deals and rock and roll. Now we had Sal buscemi on about 2 weeks ago talking about raising private capital for commercial lending. He provided a really great track, or I should say not track, but PowerPoint deck to help you with pitching. It was like a fill in the gap and you use it as a guide. I would use something very similar to that and use that to raise your capital and use that as your base point. Kind of 10 slide, 15, maybe 20 slides of the max about what your business is and some of the deals that you're doing and what you're doing in no business. And this is really simple. You film it once, film it once or twice, probably film it once to get the good thing, throw it out there. Second time you film it, you're recording, you'll be a lot better than you do the first time. What you don't want to do is be doing throughout your presentation. So film it once, go back and watch it, and you'll pick up a lot of great pointers about what you do and take notes on your presentation, because that's the only way you're going to get better. One reason I have been successful at raising a lot of capital for doing presentations and speaking, because I've done it hundreds of times. I think when I'm going on thousandth plus time of speaking, not only publicly, but also group setting, but also like webinars and podcasts. So thing is, more you get to talk about your business, the more comfortable you'll be, the better you'll be at it as well. And that only comes from experience and failing and bombing. Trust me, there have been times I have bombed speaking or bombed on webinars, but it was still great practice. There was times early on when I did a webinar and there might be five people on it. I said, okay, I gotta look at this as an opportunity to hone my craft. And so one of the things I did early on, I was actually at an event in San Francisco, big, supposed to be a big summit. There was like 20 people there. I was really disappointed. And so I was like, okay, there was four, basically four people in my workshop. I was the big workshop speaking that weekend at that expo, four people. I brought in some vendors and they sat down and heard me speak for the first time. So I had about eight to 10 people in the room. And then we did the smart thing and live streamed it as well. And that live stream got to 400 people. So. So I use that opportunity to spread it out. Well, I raise capital from that and I get some students from that. The thing I want to get at is I see people not doing a lot of this. I see some people doing it and they've done it well and they raise capital. Okay. What is frustrating is when people. I can't raise capital. I don't have to worry out sharing your messages, sharing your story, sharing who you are and what your message is, what your drive is, what your why is, why are you doing what you do? Why are you so passionate about it? It will drive traffic, it'll drive capital, it'll ultimately drive deals to you as well. From the people that surround you. So if you have any questions about now, I'll spend more time diving into this on Note Night in America tonight at 7:00pm Central. And you can register for Note Night in America by texting the word night to 72,000 as well. Okay, so Jenny asked the question here. Good morning Jenny. Writer from LO says. Hey Scott, can you clarify the programs you use to integrate slideshows with your live recorded video? I'm looking at Zoom website and don't see anything like that. So that's a great point there, Jenny. What you have to do is you get Zoom, you have to add the webinar feature towards the feature. What I would recommend that you do with Zoom us is just pick up the phone and calm, tell them what you're trying to do. Call them. You don't need the a huge version of Zoom because they have a lot of packages that can go from very being inexpensive to very expensive. You're doing like tens of thousands of single people. But just literally the webinar aspect of things, you're going to want to add that to your Zoom Us aspect as an add on to it. So just give them a phone call, Jenny. They can walk you through it. Great customer service over at Zoom. Alex asked the question. I'd like to partner with investors higher up the food chain, uh, that can buy larger pools from funds. What's the best ways to do it? Just talking with people, Alex, but also being. Actually, I'm glad you listen to that. Just talking to people and maybe not wanting too much. I know I've had some investors call me that. People have called and said oh, I want 15, 20 of their money, you know, return investing their money. Like that's fine. You're not for me then. Okay. It's also important to keep in mind what the market rate. Somebody's gonna do all the heavy lifting for you and you're just being a passive investor. You know, making 10 to 15, 10 to 12, maybe 15% is not that bad. But if that's the case, if you're gonna be a passive investor, you may just wanna look at performing notes at a 15 yield. Unless you're gonna do a lot of the work yourself, there's a lot of heavy lifting. If you're just basically a passive investor for the most part, 12%'s a pretty good return on investment that you're not gonna find in most places. Other places, yeah, you may have peaks and, but you're gonna often have a lot of valleys. I know a lot of people like oh, I'm, I'm, I'm making 30% return on my seconds. That's great. When was the last time you bought something? Six months ago. Okay, so that's the thing to keep in mind is where's the market at? I know what we've talked and we'll talk some more about some things, but I see that from other people out there, like, oh look, if you're not gonna do heavy lifting, a passive return. Cause money's really cheap out there. There's a lot of capital out there. So somebody comes to me says I want 20% return plus 20% of the profits. I'm like, there's no reason to even talk anymore. Cause you're too expensive. I can find a lot cheaper money in the market out there versus having to really kind of chain myself to a huge albatross in that aspect of things. Things. So hopefully that makes sense. Alex, best thing you do if you zoom or go to webinar, like I said, mentioned this before, take some time. Take a PowerPoint presentation, record it, throw it up on YouTube, throw it up on Vimeo. If you use Vimeo, throw it up on Facebook. But save it somewhere where you can share that video over and over and over again to people that mention that they're looking for something. Now you can use that same process on LinkedIn. There's a lot of LinkedIn groups that have some really large members commercial investing or note investing or distressed assets or private investors list take the time to go ahead and do the same thing, leave a comment there, maybe upload your video to it. LinkedIn groups are a little bit less aggressive, unlike bigger pockets. Bigger pockets, if you're promoting your business or anything like that, they're going to shut down or delete that message or delete that post. But if you share it as a private message, you'll be fine. You just can't share the same message with more than 12 people in one day. Otherwise they'll flag you for spamming and you don't want to do that. Now what's another thing to do as well is take that same presentation and go to some different media groups out there. Said, hey, I've got some deals I'm working on. Would love to talk with you guys if anybody's interested in putting their money to work on some some short term. And short term is 12 to 24 months. We're not talking 30 years. Like a lot of people initially think in the nut business, 12 to 24 months is a plenty of time to get some deals. Done. And also really make some great returns for you and your investors out there as well, whether it's passive or aggressive. Oh, Jeffrey Wolfe, you really shared a really good nugget there. I've had success posting in apartment investor groups. That is a golden nugget out there. The Wolf man comes to the table with a nugget there. Hang on, what's so great about apartment investment groups? Well, a lot of apartment investors understand that there's not a lot of value add stuff. A lot of people are overpaying for apartments right now and they don't want to do that. They still have capital to invest, still want to be in a passive investment. So great nugget there. Jeffrey Wolf Love it. Wolfman oh, for sharing in that, whether it's on Facebook or LinkedIn, that's a really great aspect of things out there to share it as well. That's really, really great idea. Love that idea. Jeff Wolf so that's a couple good ideas there for you. It all starts though with you sharing your message. Now I'm much more happier, Much more happier. I'm much happier, I should say, doing it one time and sharing it with a thousand people versus doing one and one and one and one. Now the idea is sharing it once to a thousand people and then leading to one on one conversations while they're interested. But versus going one to a thousand conversations and never getting having an effective time in finding investors out there that can really do something for you. But we are working on some stuff there for those of you that are interested. We've got some great deals that we have been working through the last couple weeks and are excited to announce some stuff here in the next few days on some things. Also, I want to give a big shout out to all our fans out there. Very surprising. We have found fans in other parts of the country. I had somebody on the plane on last Monday recognized me and they listened to the show, which was kind of funny from Austin to San Diego and so that was really kind of great. So we have decided to come up with an ambassador program for our brand ambassadors, those that love what we do, that want to be a bigger part and want to share their love and even make a little bit of dough along the way. We'll be announcing a new brand ambassador program here in the next couple of days. So stay tuned, check in your emails, check them out because we'll be able to announce you some cool stuff over the next couple of days as we finalize those things here relatively shortly. But once again, guys, if you're interested in getting more information on the webinar tonight, go just text the word night N I G h t to sunny 2000 or text notes to 72,000. You get registered that way as well. We'll send a link out. But tonight's all about raising private capital in some creative ways for you and pretty easy to do tonight at 7pm Central, so hopefully you guys have had a great day. Enjoy your Columbus Day. Go out, make something happen and we look forward to see seeing you all tonight at 7pM Otherwise we'll see you all. Stop. Everybody. Bye.