How Jill and I take on Other Partners for Specific Deals (LA 1830)

Transcript:

Steven Jack Butala:

Steven and Jill here.

Jill K DeWit:

Hi.

Steven Jack Butala:

Welcome to the Land Academy Show, entertaining land investment talk. I'm Steven Jack Butala.

Jill K DeWit:

And I'm Jill DeWit broadcasting from the valley of the sun.

Steven Jack Butala:

Today, Jill and I talk about how she and I take on other partners for very specific deals and real specific reasons.

Jill K DeWit:

Yep.

Steven Jack Butala:

It's not just Jill and I anymore.

Jill K DeWit:

Right.

Steven Jack Butala:

We have a huge network. One of the big advantages for us and for you, if you're a Land Academy member, is other members in the community and we didn't start this as a money-making venture.

Jill K DeWit:

Right.

Steven Jack Butala:

We started it to get other partners for ourselves, and what we found out over the years of getting partners, maybe for funding, maybe for a bunch of other stuff, it worked out great. There are very serious little micro experts in our group about all kinds of different things, and when we run across these scenarios in our own mailers, we contact them and we do the deal together. I'll get into it in detail in a minute.

Before we get into it, let's take a question posted by one of our members on the landinvestors.com online community. It's free, and I hope you know by now that Jill and I have a company called offers the number two owners.com. It's a full-blown commercial printing company. We literally send out a million or so mailers on behalf of our members and other people in the industry to send out blind offers to owners. We were very frustrated with other commercial real estate, commercial printing companies, and-

Jill K DeWit:

They didn't get us.

Steven Jack Butala:

Exactly.

Jill K DeWit:

They didn't get us and they wouldn't do a mail merge. So, we solved it.

Steven Jack Butala:

We get you. We know what you want and need.

Jill K DeWit:

Yep.

Steven Jack Butala:

Check it out. Offers the number two owners.com.

Jill K DeWit:

Everything we do, everything we create, is because you asked and we needed to, so here we are. Michael wrote, "Has anyone had a funding partner instruct the listing agent to not speak to you ..." What?

Steven Jack Butala:

Yeah, this is pretty funny.

Jill K DeWit:

Okay. I got to read this again. "Has anyone had a funding partner instruct the listing agent to not speak with you about the transaction and tell the title agency to not provide you with a settlement statement listing in your share of the proceeds?" What the heck? "This seems a bit odd, but this is my first transaction with a funding partner so some feedback would be helpful. Thanks." Oh, you know what, Michael? Don't do a deal with this person again.

Steven Jack Butala:

I mean, let's take a couple of steps back.

Jill K DeWit:

Well, I'm a little pissed, but okay. Go for it.

Steven Jack Butala:

This sends up a lot of red flags for me.

Jill K DeWit:

Yeah.

Steven Jack Butala:

There's a lot of different ways to do a deal with somebody. The traditional way that we do it is this. Someone brings a deal to us. We love the deal and we love the person who brings it to us.

Jill K DeWit:

Right.

Steven Jack Butala:

We write a check for most or all of it and then they go do the deal and they let us know when it's done and they send us a check. We split the money, whether it's 50-50, 60-40, or whatever.

Jill K DeWit:

We're all involved together. We even have like Mike off. This was me. I'm the funding partner. I'd be making you look over the hood one before it gets to me so you make sure it's right.

Steven Jack Butala:

So, this ends up a red flag to me about the personality type who's a control freak and needs to, "Well, it's my money. I'm going to do the deal. Thanks. And you're going to get your money at the end. I'll let you know how much." That's just a formula for mistrust and all of the basic stuff that you need in a good relationship...