Do you ever feel like you have to constantly TEACH potential real estate JV partners about what you’re doing?
For the moment, let’s ignore ALL the proper sophisticated ‘steps’ and procedures it takes to buy a property because…
…if you need to CONVINCE a real estate jv partner why they should invest
you are doing something wrong .
In other words, if you have to sell … you’ve already lost
Let me explain using another type of business:
I had a quick conversation with a business-owner (not in real estate) and he told me he needed to spend time re-educating his staff & salespeople to go out into the field to re-educate the customer on why they needed HIS service.
I felt a twinge in my stomach. Because it TOTALLY relates to what you and me are facing with real estate jv partners.
So listen closely 🙂
My simple question to him was “do you know what your customers want?”
His answer was “they think they know what they want, but we know what they need.”
I then asked: “so where’s the problem in that?”
He replied “First, we have to explain the reason that what they want, won’t work and then show them what they really need.”
That…is the REAL the problem
Unfortunately, he’s like so many entrepreneurs; ignoring his customers.
They WANT something “irrational” and he’s immediately ‘telling’ them they’re wrong.
Even if his solution is PERFECT, he’s overlooking their IMMEDIATE need.
Trying to persuade or convince anyone is VERY hard work.
At this point you might be thinking “what’s wrong with that?”
It all depends on how much ‘selling’ energy you want to put into your business.
I don’t know about you, but it’s a LOT easier to sell someone something they WANT rather than something they DON’T want.
That’s why every week there are tons of real estate investors meeting at coffee shops going through PowerPoint decks explaining “why real estate” and “why me”.
I agree how significant credibility is, but if you don’t focus on the prospect’s WANTS first, you could be trying to “sell” them what they ‘don’t want’ right now.
Secret Revealed: Ask Your Real Estate JV Partners What They Want!
For years I’ve taught the ONE simple technique of ‘asking your real estate JV partners two main questions:
- What they want
- What they’re afraid of
Now thousands of real estate investors have investor presentations, real estate marketing messages and conversations that connect with their prospective jv partners.
Best thing is, these real estate jv partners are coming to THEM!
It’s because their NEW communication ‘solves’ a problem or ‘answers’ the questions already going on in the jv’s mind. The investors KNOW their what their jv partners are thinking…and they are saying the RIGHT things at the RIGHT time.
Here’s An Example:
When you ask the right questions and find that your potential real estate jv partner WANTS more time with his family and DOESN’T want to work overtime for the extra money to pay off his credit card bills…. that’s pretty specific, don’t you think?
Imagine re-framing your JV investor pitch to include that point:
“…and the cash flow you get every month could go toward paying down some debt like a credit card so you don’t need to work overtime anymore…” .
Much better than non-specific “you’ll get monthly cash flow”
What I’ve described here is just the tip of the iceberg. Because In ANY business, it is CRITICAL to understand what your customer WANTS and deliver that BEFORE you deliver what they need.
It is really a simple solution that so many entrepreneurs overlook. They waste time trying to figure out what the market wants and how to TELL the market about their product so they’ll buy it.
When all it takes is to ASK the market first!
I hope this tip from the ‘business world’ helps you re-frame your thinking when it comes to raising capital for your real estate investments.
– Joey