Not all borrowers are created equal. Some will make you consistent, predictable returns, and others could cost you everything. The difference often comes down to understanding exactly who you’re lending to.

In this episode of Growing the Money, Rich Lennon breaks down the two main types of private lending clients you’ll encounter: real estate investors and lazy money clients. He dives deep into the subtypes of investors, from first-time flippers to experienced operators to those scaling aggressively, and reveals which ones can help you grow your wealth safely, and which ones carry red flags you can’t ignore. Want the exact blueprint Rich uses to lend safely and profitably? 

You’ll Learn How To:

• Spot the difference between safe borrowers and risky ones
• Understand why newbie flippers can sometimes be better clients than veterans
• Structure deals so borrowers always have skin in the game
  Recognize the warning signs of scaling investors who may be overleveraged
• Protect yourself with strategies like reverse draws and life insurance policies

Who This Episode Is For:

• New private lenders looking to understand who they should and shouldn’t lend to
• Investors who want to grow their lending business without unnecessary risk
• Anyone seeking a clear framework to protect capital while earning strong returns

Why You Should Listen:
Your money is only as safe as the borrower you trust it with. This episode gives you the clarity to choose clients wisely, protect your capital, and build a lending business that lasts. Instead of guessing who’s a good borrower, you’ll walk away knowing exactly what to look for, and what to avoid.

What You’ll Learn in This Episode:
[00:00] Why scaling investors can be both your best and riskiest clients
[01:00] The two main types of private lending clients you’ll encounter
[02:00] How real estate investors create opportunities through distressed properties
[04:00] The three types of fix-and-flip borrowers: newbie, experienced, and scaling
[06:00] Why skin in the game is non-negotiable for any borrower
[08:00] Red flags that scaling investors may be running on shaky numbers
[09:00] How to protect yourself with clear terms and smart safeguards

Follow Rich Lennon here:
Website: https://richlennon.com/
Facebook: https://www.facebook.com/rich.lennon.121
Instagram: https://www.instagram.com/richlennon92/