WHY HAVING A TEAM IN MULTI-FAMILY IS IMPORTANT
Did you know the definition of teamwork is the collaborative effort of a group to achieve a common goal or to complete a task in the most effective and efficient way? This concept is seen within the greater framework of a team, which is a group of interdependent individuals who work together towards a common goal.
I just wanted to start off by mentioning how important your team actually is, because your team is going to be the one that’s going to be helping you implement the business plan. Between all of our partners here at Demetrius Investments, and the partners we have a Strategic Alliance with at Value Capital Partners (VCP) we have well over 25+ years of experience of knowing how to invest in real estate and have gathered resources over time to help insure our and our partners success. We help busy professionals create passive income and offset their main source of income, by investing in apartment communities through what we call a real estate syndication.
This is where a group of individuals, collectively pool their resources together to take down a medium to large size asset, they normally wouldn’t be able to take down on their own. We use this vehicle to create, build and preserve wealth.
With that being said, who is on the apartment syndication team? I’ve broken it into two different categories. The first is the core team members – these are people that you are essentially working with on a daily or weekly basis, and are pretty heavily involved in the process… Whereas the other team members are more deal-specific, or maybe you have meetings with them once every quarter or once a year; those are your secondary team members.
The four core team members are going to be a business partner, a mentor, a property management company, and a real estate broker, or brokers. Those are going to be the four most important members of your team.
The secondary team members are going to be the attorneys, the real estate and securities attorneys, as well as a mortgage broker or a lender, and then finally, an accountant. Essentially, there are a set of companies that you’re going to need to bring onto your team. We’re going to talk about the first two, the partner and the mentor. You will want to create a spreadsheet to log the contact information of all the various team members that you need… Kind of like a checklist to make sure that you’ve got all of your bases covered. Both Joe Fairless and Theo Hicks created a document – you can find in this link: SyndicationSchool.com.
Before we dive into the process for hiring a partner and a mentor, I wanted to discuss how you actually find these team members. Again, for some of them it’s going to be a very specific way to find them, or you might have a different strategy in mind, or have heard of ways to be able to find people in the past… But generally, you’re gonna find all of these team members through one of six ways.
The first way to find potential team members is through your interview-based thought leadership platform. In the past we discussed the thought leadership platform, and the importance of building a brand as an apartment syndicator… And one of those benefits was the networking capabilities of having an interview-based thought leadership platform. You are having a conversation with one real estate professional every week, bi-weekly or once a month, and that person in particular could be a potential team member, or maybe they know someone who could be a potential team member.
For example, you could make it your goal to try to interview at least one person from each of these four team member categories a month. Maybe one month you’ll interview a potential partner, and the next month a potential mentor, and the next month a potential property management company, and so on and so forth…You have the opportunity to meet with them, talk with them, get to know them, and see if they would be a good fit for your business.
Again, I’m just talking about how to find these people. We will go into particulars on what to do once you’ve found them in the later sections for the partner and the mentor.
Another way to find potential team members is through other interview-based thought leadership platforms. For example, you could listen to a daily podcast, there’s several different real estate professionals every week, 365 every single year, so maybe one of those people could be your property management company, or a mortgage broker.
That’s the perfect example of a way to find a potential team member. Watching the real estate YouTube channels, reading blogs…
The third way is to attend local apartment meetup groups; go there, network, talk to people, figure out who is doing what, and see if they could be a potential team member. I know at Value Capital Partners meetup group, for example, there is a section of the meetup where people get to ask a question, or have an ask… So if you’re at this point in the process, your ask could be “Hey, I’m looking for a mortgage broker. I’m looking for a real estate broker. Do you have any recommendations?” and build a list.
The fourth way is through Bigger Pockets. There’s millions of active real estate professionals on Bigger Pockets. You can use the search function… For example, me in Tampa, I’d say “Tampa Bay property managers”, compile a list of all the profiles, and reach out to them and ask them to set up a phone call to discuss a conversation about potentially bringing them on as a team member. Now, for the Bigger Pockets strategy, I recommend only contacting people that are actually active on Bigger Pockets. If their profile has been inactive for multiple years, or if they don’t have any posts, then that’s not as good as someone who’s actively posting multiple times per day, because that’s the indication of that person’s business acumen and work effort, and things like that.
Another way is simply just to use the internet. You can google the top property management companies in your market, top real estate brokerages in your market, compile a list of those, and reach out, give them a call. That’s actually how I found my real estate brokers and property management company – I use Google.
And then lastly, but most importantly, the best way to find prospective team members is through referrals. The main source of your referrals could be a mentor – we’ll get to that person here later. Once you’ve found a mentor who’s an active apartment syndicator, who has a track record of success, obviously they’re tapped into the market, they’re tapped into the industry, and they should be able to provide you with connections to the various team members that you need.
Another approach is to bring on a property management company first, or a real estate broker, or a mortgage broker, and all three of those people will work with all the team members that you would need to bring on, so you can ask all of them for referrals as well.
Really, the best way to find these people is through referrals, and those first six steps, except for maybe with the exception of the internet, are kind of essentially referral-based. So that’s how you find these team members.
Again, there’s particular ways to find a certain team member that might not work for a different team member, but in general, those are going to be the top six ways to find your team members.
P.S. If you haven’t yet already scheduled your free 30 min conference call on how we can help you achieve your financial goals.
Have a great day