Private Money Partnering

Evaluating Opportunities

Chapter I Evaluating Debbie Or Dan Has-A-Deal

Important Factors to Consider

Quality Of The Deal

How good is the deal? How can they show you? Who else can verity it if necessary?

Complexity Of What They’re Offering

How many components of the deal are they handling? Are they asking just for a bird-dog or referral fee, or a rental management fee, or will they be managing the deal from start to finish? Have the various phases been outlined?

Level Of Commitment To The Deal

Are they committed to the deal? What will they do if you say no? If you say no, will the deal fall apart? You don't want to be their last resort.

Level Of Commitment To You

How committed are they to help you make money? How willing are they to work on your behalf? If you get a sense of somebody that’s out to take everything you can give and they can get, don't participate. However, if you have the sense that they'll do everything they can to make sure it works, both from their presentation and the way they conduct themselves, then you may be looking at a greater partner.

Professional Review

Their willingness to have your attorney or CPA review the paperwork. If they’re not willing to let your attorney look at it, what’s wrong with this picture? However, be very careful that your attorney is rendering only legal advice, not business advice. Attorneys are deal killers, we all know, and even real estate attorneys will admit that. They’re trained to be cautious, and that’s okay because you know their perspective.

Spending Habits

Do they talk cost-effective, but wear and drive very flashy? What are they going to do with your money?

Evaluating The Opportunities - Chapter I (continued)