Apartment syndication is a process with many aspects to address and learning how to go through each step of the process in detail is extremely helpful. What if you had a manual containing this valuable information for anyone interested in how to increase their effectiveness and network during conferences and multifamily meetups? The value added to any investor is instantly made clear.
There are different approaches that can be used to break into the industry of apartment syndication. Getting a mentor or investor is a huge hurdle, so this needs to be addressed directly. The goal is to build relationships that create opportunities, add value, and lead to developing partnerships over time.
Start with the prospect of improving your positioning within any situation. Going to a conference requires a strategy. Even if you have the right attitude and outlook going into the conference room, you still need to get yourself in a position to earn the trust of the potential partner or investor. This can require practice, so you have to be prepared to do this again and again.
The issue of how and where to find investors, file legal documents, and complete other forms of paperwork are compounded by the need to properly raise funds. In addition, the structure of the partnership with the investor is important. Communication style also has an impact.
Prepare to meet investors, podcasters, or others who are doing things that you hope to be doing in the future. The mindset should reflect your preparations. Ask yourself how you can add value to each and every interaction. The perception of adding value goes a long way in building your first impression in the eyes of others.
Be aware that getting an investor isn’t the only goal. It’s also important to build up a kind of infrastructure of solutions, so you can be in a position to refer people to others who can help them to meet their most pressing needs. This strategy is more effective than the direct approach because you build value during each interaction and generate a reputation in circles connected to the investors.
High-quality referrals can get you noticed: This is the strategy, in a nutshell.
Instead of angling for direct attention as you network, as so many do at these conferences, seek to connect the target person with someone else who has the skill set or network that they need. Providing value in this way does require a long-term outlook, but that’s exactly why it’s so advantageous. If you’re capable of playing the long game, this is a winning hand to play.
This strategy shows the potential investor your ability to perceive the problem and design an effective solution. Target a specific person with the skill set necessary to solve a particular real estate issue. If the issue requires a specific type of knowledge, outsource the work to someone who has a solid background in this area.
This approach is simple, effective, and requires little extra time. Think about how it can be applied at real estate conferences, meetups, or in casual settings in general. First, don’t think about setting an arbitrary goal like the number of business cards you can get passed out to people. Quantitative goals often eat up time that can be better spent in crafting valuable relationships.
Building one relationship each day might be a feasible goal for a conference that lasts several days. However, the focus should remain on quality instead of quantity. Get past the surface of the conversation and create value in any way that you can think of at the time. At the very least, communicate your understanding of the issues your clients are facing inside their business.
Apartment syndication is often pursued after an initial period of activity. During this time, the potential partner might have done fix-and-flip deals before transitioning into multifamily units. Once they reach this stage, they might become interested in apartment syndication, but they often lack the ability to raise the necessary capital to close the deals.
Just imagine meeting someone at a conference at this stage of the process and being able to instantly produce a manual that comprehensively outlines the apartment syndication process from start to finish. Now, that makes quite an impression!
The idea is the same: Add value to the person’s life in an immediate way that addresses their major pain points.
If this isn’t possible, the next best thing is to schedule a follow-up meeting or connect them with someone else who can help. Make sure to get enough information to conduct these activities while maintaining your presence in the mind of your new contact. This could be a small piece of relevant personal information, for example. Use it to remind them of how you helped them to solve a problem.
Finally, don’t be dissuaded if you meet someone at a conference who is new to making these deals. The person might control considerable resources or have a net worth that they’re interested in using as leverage. They came to the conference seeking information, so be the person to provide them with relevant answers.
Use this strategy to network with everyone you meet. Don’t reserve it just for people who you think are likely prospects; this can blind you to the presence of a real gem in the room. Find out how you can add value to the lives of the people you meet. Let it lead to the opportunities you seek. This can help you to find a new partner, investor, or even a friend. You never know what the results will be until you go through the process of actually doing it.
Disclaimer: The views and opinions expressed in this blog post are provided for informational purposes only, and should not be construed as an offer to buy or sell any securities or to make or consider any investment or course of action.