Thinking about asking someone to invest with you?
Ask yourself “how will this ultimately make them FEEL?”
That’s the most important question.
Not “what’s the best way to show them how much money they’ll make so they’re convinced to invest with me?”
Wrong path.
Money is a feature of investing in real estate.
It’s NOT the benefit.
At the end of the day, your joint venture partners want to FEEL different about their situation – whatever that is.
They want to know HOW this investment is going to make their lives better. How will it make THEM better?
Take an example of someone who may feel like they’re not “smart” because they’ve invested in mutual funds and lost a lot of money.
When their real estate investment ends with you, not only will it give them “money”, it may also give them a sense of accomplishment – a boost to their own ego. And that gives them more confidence in life.
I know that sounds pretty deep, but there’s a lot of “stuff” going on behind the scenes that will truly help if you know what they are, don’t you think?
Wouldn’t you agree that if you knew how your JV prospects thought and felt about their current lives and situation, you could “present” to them better?
FOCUS ON FEELINGS
When you’re talking to prospective joint venture partners, focus on the feeling they’ll get from investing with you.
AFTER they’ve gotten that big fat cheque, HOW will they feel?
“Great” is not the answer 🙂
There’s something deeper we need to understand about our prospective jv partners.
If we don’t know WHY our joint venture partners want to make “more money” or a “better than average return”, then we can’t position our real estate deals to BENEFIT their lives.
Here’s why:
ANY Joe-blow can put together a “presentation package” with great numbers.
ANYONE can make something LOOK good on paper…
But you and me, we want to take it a step further…we want to introduce emotional experiences.
We want to let them know how they’re lives will change & improve.
We want to let them know what we’ll be REMOVING from their lives – stress, anxiety, worry, doubt, debt, etc.
Check this out:
For a LOT of my joint venture partners, they LOVE the “arm’s-length” on their projects.
In other words, they don’t have to lift a finger – they go about enjoying their lives – and every few months they get a really cool update from me telling them how great their investment is doing.
How do you think that makes them feel?
I would guess – “great” 🙂 , and satisfied and smart and relieved and so on…
You with me?
Probably at the beginning of the investment, just like anyone else, they might have been a bit hesitant…afraid of making another mistake.
But here they are every few months getting a reminder of how SMART they were to invest.
A little “virtual pat on the back” if you will.
And it’s not condescending or anything like that – it’s just a way of keeping your “customers” happy and providing them with an emotional experience by investing with you.
Do you think they’ll have good things to say about you?
Do you think the ONLY thing they’ll tell their friends is how much “money” they’re making?
I highly doubt it.
I think it will be something more like “it’s incredible, I’m making 10% on my money and I don’t even have to deal with tenants or paperwork or change a toilet.” Notice the “benefit” to their lives. Money is there, but it’s not the main thing … because they STILL have their life to live.
So WHAT are the benefits of someone joint venturing with you?
Really – it comes down to this:
People won’t buy from you unless they know how you’ll make them feel.
BTW, if you’re looking to finally present to joint venture partners with influence and create a presentation that really works…check out the Joint Venture Presentation Formula. It’s all the best practices working for today’s overly-cautious JV prospect.