In this week’s video, I share a few tips on how to find private investors to fund your self storage acquisitions. Click to learn frequently asked questions and tips for turning a profit, staying within the law, and more.
The biggest question of all is usually “Where do we find money?” How do we find and prequalify those who may be interested in investing? The answer is easier than you may think; it’s the folks right under your nose. Ask family members, business associates, your CPA, real estate agents, your attorney – anyone who is already on your team. Chances are they may know people who are looking for alternate forms of investments, rather than the stock market or risky, low return forms of investment. Tell them you invest in self storage facilities and you use private investors to fund your growth.
Often the next big question next is “How much” and “what is my ROI” – how much to give them so they’ll be interested, while still making money for yourself. However, this isn’t something that should be worried about upfront. You just want to get to know the potential investor and get them to feel comfortable working with you and investing in self storage facilities.
There are also a few SEC laws that regulate what can and can’t be said in initial meetings; it’s important to get a good real estate attorney to avoid breaking any of these laws.
To learn more about working with private investors, check out the video below.