Now that you have piqued the interest of the debt partner, you want to introduce them to the type of opportunities that you could offer them. This does not have to be a formal powerpoint presentation, although it could be. This could simply be a three ring one inch binder that contains your credibility kit, which you flip through while discussing it with your prospect. Your presentation would get them to buy into the concept of being a debt partner, if they are interested – then you would provide them with more details with a specific deal.
Parts of the Binder
Along with anticipating and solving common questions that potential debt partners will have, there are a few components that you should include in your binder. You will be able to reutilize this binder in the future fir equity partnerships as well.
- Opening Who You Are, What you do, What Makes You Unique. (Incude pictures, you, your company, your team)
- What is your investment criteria? What type of amounts do you look for?
- Include testimonials from whoever you can about you – partners, friends, sellers, buyers, realtors, bankers
- Overview of the market where the property or potential property will be located.
- News Articles and Stories that Reiterate the strength and positioning of this market
- What are you looking for from the investor?
- What kind of returns can be expected? What are the benefits to the partner?
- What is your Plan B? Plan C?
- What is your exit strategy? What happens if they need the money back before the end of the term?
- How are you going to mitigate the risks associated with this real estate investment?
- What kind of references do you have? Awards? Stories in CREW magazine?
- What are the next steps? Give them a call to action.
This is the time to pickup a 3 ring binder and get started creating your credibility binder. You can use the information in this section to get started. I have included a Credibility Binder SAMPLE to get you started. This is for equity partnership but you get the idea.