July 29th, 2013 22:40 EST
Advertising for Investors: Who's Fishing in Your Pond?
I am used to fishing for investors one at a time with my little fishing pole, in a little boat on a remote lake. Likewise, other small promoters tend to fish in their own lake or stream all minding their own business while getting the job done of raising capital to do deals.
But the lifting of the advertising ban is going to make our lakes pretty busy.
Before, you might have been the only fisherman on the lake with fish that knew you without much if any exposure to other fishermen. But with the new rules, there are going to be more fishermen. These will be well-equipped fishermen in big boats using sonar and nets to scoop up the investors.
Before the ban on SEC Private Placement Advertising was lifted, it was pretty quiet out there. Investors probably didn`t know about many choices for alternative investments.
If I were the only person who could fax and send email at the speed of light, I would have a real advantage. But since we all have the same tools, time compression affects us all in the same way and the result: the treadmill moves faster for all of us.
Similarly, if I were the only person who could advertise " it would be a real windfall.
Unfortunately, that`s not the case.
Laws signed by the president are not designed to help entrepreneurs. That`s not me being cynical. It is realistic. Entrepreneurs don`t lobby and we aren`t major campaign contributors so our agenda is ignored.
The big boys wanted the advertising ban lifted and we little guys felt like this would be a windfall for us. And it might be for a few of us. But for most, raising money will get harder " the small promoters just don`t know it yet.
Instead of one or two opportunities on the investor`s table, soon they may have 10. And whereas before you were in the top 2, now you may be in the top 10.
Did the odds just get worse? How will you compete?
Always remember, the investor only has one simple question:
If I give you my money, what do I get?
The answer has to be crystal clear about two points and must articulate the following:
1. Give the investor a deal he/she can say yes to; and
2. Create a deal that you, the promoter, are satisfied with.
If you want to be a player in this new world of fundraising, then you need to be with us in Las Vegas at our upcoming Deal Making Symposium. Learn how to strategize your deal, articulate your deal, document your deal and close your deal.
We have helped hundreds of syndicators to get up and running and we can help you.
There aren`t many ways to learn how this business works, but learning from and networking with our group of high-quality professionals is certainly the best way for you to do it.
We hope to see you in Las Vegas, October 27 to 30, 2013.
* * *If you have an opinion or thought on this topic, please write a comment in the form below. Share this blog with your friends. Thank you for being one of our loyal readers. We appreciate you and are rooting for your success. Often dubbed a "Growth Architect" by his clients, Joel Block advises companies on explosive growth strategies by driving revenues and sales. Well known in the capital markets, Joel is a successful entrepreneur, speaker, advisor and is an astute investor.
Joel is CEO of Bullseye Capital , a full-service real estate company supporting owners and buyers of real estate assets with brokerage, leasing, property management, and mortgage services. Joel is also the founder of the Bullseye Capital Real Property Opportunity Fund, LLC which is an investment company that acquires distressed real estate by working with accredited investors.
A leader in real estate syndication, we offer seminars to assist others in acquiring the skills needed to raise syndicate capital to acquire properties. Imagine knowing how to pool funds to purchase any real estate investment, whether single family, multi-family, commercial, or anything else. For more information and complete details, please go to http://www.syndicatefast.com/.