Mark My Words

How to Protect Yourself When Going Into a New JV Deal

Are you looking into working with a JV partner on a deal? Have you wondered what you need to do to make sure you are doing the right due diligence to protect yourself? In this episode of Mark My Words, your host Mark Homer, brings you everything you need to know as you go into a JV deal. Whether it’s making sure you drip feed money into the deal or checking your JV partners credit history Mark lets you know each step of the process. If you are looking to loan money or make a deal with a JV partner this episode has all the information you need to get the deal that’s right for you.   

KEY TAKEAWAYS

Get your JV partner to download their credit file. Get them to provide a credit file for you to have a look at before you go into the deal. If someone has a really bad credit history then you might want to question why you are going into business with them. Just ask them to redact any personal information if they are concerned with this.   

The land registry can be useful to see who owns buildings. You can apply for a previous version of the register to see who owned the property in the past. If the building is owned by a limited company you can check on the companies house website. You can check the amount of debt or charges on a property at any given time, as well as who owns the company. Make sure to check for any liquidated companies and who is owed money. This might be a reason to ask more questions or not work with them on this deal.  

It’s important to drip feed the money into the deal not send it all at once. If you are doing a development, send the money when the works are complete. Have a look on site before you pay and transfer any money, to make sure it’s all complete to the right level. If the transfers were done personally rather than through a limited company then they won’t show on companies house so ask for the documentation separately.  

Ask for three investor details that they have done deals with before. Have a look at their last three deals and ask them if they are happy for you to contact them. Check these individuals in companies house and on the land registry. Ask them how the deals went.  

View the properties. Even if the property has been sold you can look through the windows. Start small with the person and then move onto bigger things. Some people say that they want to see as much information as they would show to a bank so in this case, they want to see some of these documents: SA302 which will show their income, a full property list of all the properties they own.   

For the highest degree of security when you’re lending money only lend on a first charge basis, and up to 70% loan to value. You must find your own solicitor, and own RIC surveyor. They must have good local knowledge of those kinds of properties. If you are going to provide a loan then you want a solicitor to create and execute this for you. Make sure you have a partnership or shareholder agreement that is written by your own solicitor.   

Do the numbers add up? Speak to a builder about the costs? Are all the costs in the development appraisal? Check with the bank so you can refinance it to the value that it says. Make sure you understand the deal behind the joint venture.   

Do a search on Amazon with regard to people delivering training? Do a search on Google and on LinkedIn? How much coverage/reach they have? Is their website information-rich? Can you contact these people? Can you find a long history of content? What do other people say about them? What support do they offer? 

Best Moments 

‘Ask them for their credit history.’ 

‘I like to see a track record.’ 

‘As the person to supply documentation.’ 

‘Ask your accountant to help with this background work.’ 

‘Control the money.’ 

‘Ask for three investors details.’ 

‘Go with your gut.’ 

‘You need father time to show what this person is like.’ 

‘Investors can misuse the information compared with a bank so be careful what you share.’ 

‘Insist on a personal guarantee.’ 

‘Ask for copies for historical planning permission.’ 

‘If you don’t feel confident just walk away.’ 

‘If you are looking at someone training then do your due diligence.’ 

‘If the same things are coming from different people it’s more likely to be true.’ 

‘Making sure you are going to get out of it what you need.’ 

‘Be clear on your objectives.’ 

‘Training is an investment.’ 

‘Only listen to people who have real experience.’ 

‘Be careful from free advice.’ 

Valuable Resources
www.creditexperts.co.uk
www.eservices.landregistry.gov.uk
www.companieshouse.gov.uk
www.mygov.scot/basic-disclosure/apply
https://www.ricsfirms.com 

ABOUT THE HOST
Mark Homer

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined. 

CONTACT METHOD 

[email protected] 
https://www.linkedin.com/in/markhomer1 
https://www.facebook.com/markprogressive 
https://twitter.com/markprogressive 

 

 

 

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

‘Property’s great because you can leverage it, borrow it, create income streams

 and it’s solid’

In this intimate open question and answer session, Mark shares his expertise and experience with a small group of property entrepreneurs. The questions are wide-ranging and the answers detailed and comprehensive. This podcast provides invaluable information and advice for anyone who is a property entrepreneur wherever they are on their journey.

KEY TAKEAWAYS

• What is your vision for property moving forward?

We are going into other countries and now looking to grow in Ireland.

If we can take what we have here and move it into other countries we will be using a tried and tested business model.

• How do you see interest rates panning out in the future economy?

The US is ahead of us in this raising cycle and Brexit is almost entirely responsible for the faster growth rate in the US. Brexit is a domestic issue, as part of the global community countries now go into recession at the same time. If we were not involved with Brexit we would be growing at the same rate as other countries.

• How should I future proof my portfolio?

The best defence against higher interest rates is to have a really good cash flowing portfolio, you can get fixed rates over a number of years, balancing the times when rates are higher.

If interest rates are higher, the outlook for inflation is higher and the economy is probably moving forward strongly this, in turn, means the capital value of your properties is likely to be rising. The best way to deal with all things is to have plenty of cash around you.

• How leveraged is your portfolio?

Currently its around 6 out of 10. My attitude is to buy it convert it develop it, refurb it and try and get back as much money as I can. I don’t go beyond my purchase and refurbishment or development costs, I aim to get my money back and then hold the investment and let the loan to value drift down over time.

• Do you have money in banks that are unrelated?

I think that’s a good idea, Keep your savings account away from the where you hold your current account and any bank you have a mortgage with. Fraud is now the biggest concern the banks are under siege and its vital to always have it at the forefront of your mind when you are contacted, who-ever you think it may be as the scams are very sophisticated.

• What are your views on modular housing?

The fact that you can control all elements, as happens in the manufacture of cars means the outcome is predictable and running a building site can be very challenging. The time on site is less and you get a much more precise predictable product so I think it will become big in the next few years.

• What is the process when you see an abandoned property that you are interested in purchasing?

You can purchase and download the title deed from the land registry this will provide the name and address for the owner or you can knock on the neighbour's door as they may know.

Every council has an ‘empty homes officer’ who has a list of all empty houses and the owners. If owners do nothing and the property falls into disrepair the council will carry out repairs and make charges to the owner. After a period of time, the council is able to put the property to auction.

• BEST MOMENTS
• ‘You are better dealing with people who live in this country, they are not going anywhere they have to live in these houses so the market is there’
• ‘As commercial is converted to residential the supply is less and therefore demand is increased’
• ‘When you’ve built them and are letting them out you have to set the rent high just to pay for everything and it doesn’t really work’

VALUABLE RESOURCES

Intelligent Investor book by Benjamin Graham

Progressive Property

ABOUT THE HOST

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined.

CONTACT METHOD

[email protected]

 https://www.linkedin.com/in/markhomer1

https://www.facebook.com/markprogressive

https://twitter.com/markprogressive

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

ROB MOORE TAKEOVER!

In this episode, Rob explains how emotions can have a negative effect on your wealth and how to overcome this. He also discusses his new book “I’m worth more” as well as giving away some exciting bonuses for the first buyers of his book! Listen now for further details!  

KEY TAKEAWAYS 

• NOW LIVE ON AUDIBLE – I’m worth more - realise your value, unleash your potential. All audible book purchases come with a free chunk of one of my new books “Increase Your Fees With Ease”. 
• THE FIRST 200 PURCHASES of “I’m Worth More” will get access to the brand new Mind-set and Money event held at Progressive Property in Peterborough. 
• THE FIRST 257 PURCHASES of “I’m Worth More” will gain access to an accountability WhatsApp group with me. 
• Email your proof of purchase to [email protected] 
• Control your emotions to enhance your wealth.  

BEST MOMENTS 

• “Skillset without mind-set will leave you upset.” 
• “Manage your emotions around money” 
• “No one’s going to believe in you if you don’t believe in yourself” 
• “Emotion erodes wealth”  
• “Don’t spend money emotionally.” 

VALUABLE RESOURCES 

ABOUT THE HOST 

Rob Moore is an author of 9 business books, 5 UK bestsellers, holds 3 world records for public speaking, entrepreneur, property investor and property educator. Author of global bestseller “Life Leverage” Host of UK’s No.1 business podcast “The Disruptive Entrepreneur”  

“If you don't risk anything, you risk everything”  

CONTACT METHOD 

• Rob’s official website: https://robmoore.com/ 
• Facebook: https://www.facebook.com/robmooreprogressive/?ref=br_rs 

• LinkedIn: https://uk.linkedin.com/in/robmoore1979 

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

If you haven’t heard Mark talk about his favourite car, the top 3 things he’ll bring if he ever got stranded in an island, or his least favourite trait of his business partner, Rob Moore, then you’re in for a treat!

Today on the Mark My Words Podcast, Mark answers questions from his listeners and the community. It won’t just be about property or his businesses or the current political issues, he’ll be talking about his personal life also. This should be a nice peek at how Mark, a successful entrepreneur, lives and enjoys his life, so start tuning in!

KEY TAKEAWAYS

• Q: How do you manage a work-life balance?
  • It’s all about scheduling, according to Mark. When he has a meeting, he makes sure he adds 30 minutes before and after for travel time. During weekends, he’s mostly at home so there should be no work that butts in.
• Q: What’s your advice about landlords no longer being able to evict tenants on short notice without good reason and plans?
  • The abolishment of Section 21 is still under consultation. Everything still holds for now. Let’s wait for what’s going to be the decision.
• Q: How did you get your systems in place?
  • Mark started with Excel spreadsheets, tried other systems, and then had his business’ system custom-built to their needs.
• Q: Ferrari or Lamborghini?
  • It depends on what model. Mark explains more about their features in this episode.
• Q: What can I do to become your protégé?
  • Mark: “Bring me land for a great price that I can put 250 flats on… bring that deal to me, then we can do it together and learn together.
• Q: What’s your favourite cheese?
  • Halloumi, grilled on the barbecue on a Sunday afternoon.
• Q: What investments can you make outside property?
  • Tracker funds in the UK and other similar types of investments.
• Q: Would you and Progressive Property launch a software?
  • Mark says it’s not in his interest. He thinks he’ll make more money in what he knows more.
• Q: How do you go overcome procrastination and fear before a big deal?
  • It all comes with the experience since you got your first deal. Test and measure the numbers ever since the beginning so you won’t procrastinate.
• Q: If you get stuck on an island and you only get to choose 3 things to bring, what will they be?
  • A satellite telephone, knife, desalination tablets
• Q: What’s the effect of the attack on landlords by the government?
  • Mark: “I feel victimised. I feel discriminated against. I feel like a minority.”
• Q: Are you meeting with other investors to come up with a voice to challenge them?
  • Mark has a petition running on the parliamentary website to remove the 3% surcharge and remove Section 24.
• Q: What’s your most and least favourite trait of Rob?
  • Most favourite: Rob’s brilliant ability to engage with people
  • Least favourite: He’d do anything just to engage with people
• Q: What is the most important trait that a property investor should have?
  • Being tenacious, not giving up, keeping on going
• Q: If there was a movie made about you, whom actor would you choose to play you?
  • Tom Cruise

BEST MOMENTS

• "I like to focus on a few things and do them well rather than try new stuff and not do very well.”
• “Fear disappears with knowledge; risk reduces with knowledge.”
• “Rents are rising at an abnormal rate."

VALUABLE RESOURCES

• Annual Meetings | Warren Buffett and Charlie Munger
• Progressive Property
• Reintroduce full mortgage interest relief and drop the 3% stamp duty surcharge Petition

ABOUT THE HOST

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined.

Contact Method

• Email: [email protected]

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

Would you like to network with 12,000 like-minded property investors? Learn from some of the most experienced, and successful property entrepreneurs in the world? Then the 10x Superconference is for you. Kevin Mcdonnell, the host of Progressive Property Podcast, interviews Mark Homer. Listen in as Mark talks about being one of the speakers at this year's conference, which is all but sold out. Mark also talks about his journey into property, what are the best strategies at the moment and what he’s going to be talking about in his presentation at the conference.

KEY TAKEAWAYS

Most of my time is spent doing property deals, running our property business. I’ve bought, sold and refurbished over 800 properties. At the moment I'm doing a lot of commercial conversions into residency. I help oversee our letting agency and the numbers for the business.  

Why property? It’s all about the returns. When you’re talking about property things start and finish with return on capital invested. There are lots of leverage you can get on one single let, compared with other investment types. I’m doing more and more, larger buildings where you can get a return of 25-30% back on a property. Not many other investments would give the same returns as property.  

I started with small terrace houses. I was buying, refurbishing, and building up my portfolio. I graduated into bigger buildings, and HMO’s. It’s been a fifteen-year journey for me where I’ve ended up doing more and more commercial conversions from pubs and empty buildings.  

What's your preferred strategy? This is very much based on things that are of their time. I’ve recently gradually started doing more and more commercial conversions around putting a retailer on the ground floor and converting the higher floors into flats for example. Often the projects I do are opportunity-led and of its time.  

Whose has been your inspiration? In terms of residential and property, I would say Andreas Panayiotou. I think he ended up owning thousands of properties in London over the years. In terms of investors, I do think Warren Buffet is great. I love his long-term attitude to investing and he compounds his returns.  

Why do you think you should attend the Superconference? I’ve moved on in my journey because I’ve learnt from other people. I’ve learnt how to do the tax, contractors and others. At this conference, there will be 12,000 other property investors in the room and the speakers. Grant Cardone portfolio is nearly a billion dollars. We are all doing different things. 

What are you going to be talking about at the Superconference? Lots of things are changing in our economy at the moment and I'm going to be talking about how we can take advantage of the uncertainty. I’m going to go through a couple of case studies which I’m working on at the moment.  

Is there 'one' really exciting thing about the Super-conference? In terms of finding the right commercial buildings, finding the right partners and finance. I think people will hopefully get a lot of interesting different things. There will be a lot of different mindset of things there with Grant Cardone. I’ll be speaking and learning about different strategies.  

Top three benefits of attending the Super-conference? Property starts and finishes with income, and cash flow, replacing that income. Networking with other people and are like-minded. How inspiration is it to have all these speakers who are coming,  

What has property done to 10x your life? 10x is different to me than for others. For me, it’s around commitment but growing in stages and making mistakes at the right level. As soon as you know everything and you have the right data it's vital to scale up. If you know it works you need to make sure that you scale it up to make it work.  

BEST MOMENTS

‘Most of my time is spent doing property deals.’ 

‘The returns are really good.’ 

‘The stock market is harder to get right.’ 

‘I like turning older properties that haven’t got use into residential properties.’ 

‘Often the best time is now to get into property.’ 

‘Don’t extend yourself at the minute as we are in the second half of the cycle.’ 

‘Warren Buffet has been a big inspiration for me. He reads for hours everyday.’ 

‘The experience and knowledge is deep in lots of different niches.’ 

‘There are lots of different options even if you don’t have any money.’ 

‘I met lifelong friends at the last conference.’ 

‘Always invest locally.’ 

‘Try and avoid scattergun approach.’ 

‘Try and find the best letting agent.’ 

‘If you go to a new town you have to learn everything all over again.’ 

‘You can make millions of pounds in one deal.’ 

‘If you don’t know the detail, and start from the bottom you can lose out.’ 

‘Everyone is always learning.’ 

‘The inspiration you will get from all these people.’ 

‘You have to work hard and work smart.’ 

‘Get into your niche and be the best at whatever that is.’ 

‘I’ve moved on in my property journey by learning from others.’ 

VALUABLE RESOURCES

www.10xsuperconference.com  

ABOUT YOUR HOST

Mark Homer 

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined. 

CONTACT METHOD
[email protected] 
https://www.linkedin.com/in/markhomer1 
https://www.facebook.com/markprogressive 
https://twitter.com/markprogressive 

ABOUT THE GUEST

Kevin McDonnell is a Speaker, Author, Mentor & Professional Property Investor. He is an expert when it comes to creative property investment strategies. His book No Money Down: Property Invest talks about how to control and cash flow other people’s property to create financial freedom. 

Contact Method 

• Facebook: https://www.facebook.com/kevinMcDonnellProperty/ 

• Official Website: https://kevinmcdonnell.co.uk/ 
• No Money Down: Property Investing by Kevin McDonnell 

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

This episode is a must watch for anyone dealing in properties.

In today's episode of Mark My Words, Mark discusses the essential things you need to do if you want to be a success in property. Why having the right knowledge, skills and mentors around you are key components to successful property investing. If you’re looking to become a full-time property investor, this episode is for you.

KEY TAKEAWAYS

• For you to succeed in life, you always need to know the kind of people you surround yourself with. You should always surround yourself with people who have good intentions and always help you to succeed in life.
• No one can make it on his or her own. Always talk to people, they may have something that you could use and you may even succeed in life with someone’s idea. No man is an island in this world.
• Trial and error is the key to success because you do things and test them over time to see which one works well than the other and which one does not work at all. So if you find out that a thing you tried to do did not even work, that's the thing that you remove from your plan or don't do ever again. Then if you do something and you find out that that's the one that is working well over another thing, then that is the thing that you should always strive to perfect and be sure if you do this, you will become successful in life.
• Keep building the portfolio if you want to be successful in life and always try to build it in the best way possible for it to attract more customers to your business.
• Get into business, start sort of sourcing properties, create a business around it, if you can create a training business or some sort of trading business to generate an income stream, whether you sort of present, or maybe you're creating information products, or whether you're doing sort of online, whether it's training or marketing, loads of people create marketing businesses around this, and some people just go into sort of pure property, but they need a very high-income strategy, maybe be doing sort of high end HMO or service accommodation. You've got to get the income rolling. You can't be focusing on a capital strategy.
• Location is very important. In the city centre, that will be a lot, lot better. I've done stuff on the outskirts, service accommodation; it did not work so well. Smaller units, city centre. For your business to hit the roof, you need to be very keen around this point of location, where you locate your business.
• The marketing is very important how they're priced if the cleanings added on separately, all that is really, really important. If you are not good at this, you should always look for someone or hire someone in your company with marketing skills to do this business for you because marketing is very crucial.
• Always love what you do. Find something that you love doing in your life and do it with a lot of passion and you will find that you are succeeding in life because you are not doing something that you do not love, you always perfect what you love because you are not being told what to do.
• Knowledge is the other key to success. Always have the passion to learn and know more about what you are doing in life or in your business.
• Have mentors. Always have people who will advise on what you are planning to do before you go into it. This helps you from making hasty decisions on things that you want to do in life and this also protects you from huge losses.

BEST MOMENTS

• “Two hands are better than one.”
• “You should always learn from your mistakes.”
• “Education is the key to success.”
• “Old is gold.”
• “Licensing is key, have the right papers with you for you to make it.”

VALUABLE RESOURCES

• [email protected]%C2%A0

ABOUT THE HOST

Mark Homer

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined.

CONTACT METHOD

• [email protected]%C2%A0
• https://www.linkedin.com/in/markhomer1%C2%A0
• https://omny.fm/shows/mark-my-words/%EF%BF%BChttps:/www.facebook.com/markprogressive%C2%A0
• https://omny.fm/shows/mark-my-words/%EF%BF%BChttps:/twitter.com/markprogressive%C2%A0

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

How do you create a successful business and solve the housing crisis at the same time? Well, Alfie Best has one of the most innovative answers out there at the minute. The owner of Wildcrest, which is the biggest Mobile Park operator in the UK, soon to be the world. In this interview, Mark asks Alfie, how he started out in the industry, what the mechanics of the industry are and why Alfie believes they are the answer to the housing crisis in affordable houses currently? Listen to one of the most successful business people in the UK and what his advice is on creating a successful business in 2019.

Key Takeaways

Why did you get into the Mobile Park Industry? I was born and bred in a caravan as a Romani. Who better to run Mobile Parks than someone who has lived and breathed this world throughout my life. It was a natural progression for us from commercial conversions. I really believe in them, and I’m passionate about my business, I don’t really see it as work. 

How does the mechanics of the business work? It’s not complicated the customer actually purchases the mobile home often for 50% of what the same property would be if it was classed as a house. They get a 1983 mobile home act document drafted from the government which is an infinite lease on the property. It has no end date. It’s a simple but powerful document. You are in effect purchasing a bungalow at residential standards which are pre-fabricated. It’s like a timbre home from the states or modular homes which you see popping in different places. They have to be built on a chassis and have wheels, but they never get moved.

How does it benefit you to have a mobile home? Once it doesn’t have wheels and a chassis it becomes a house. If we have planning permission for a mobile home park then we can’t build houses. It’s classified as a caravan but it is never towed or moved anywhere else, it’s essentially static.

We all need to find our niche. I don’t regard this as a niche, we than 13,000 residents as a country and we have 5 parks in North Carolina. We are looking to expand our business in the US. Councils are still of the opinion to say no, it's not seen as a positive to support our kind of business. Sensible government is a friend often but councillors can be really difficult to work with and can go against what the government have set down.

How do you cope with working across different continents and countries? Have you found it challenging? When you start a business anywhere in the world, you have to pay an ‘idiot’ tax which is about learning to run your business. I always say that you should start small so your ‘idiot’ tax is a much smaller cost. When we first went to America we only bought one home. A business has to be like water, it has to flow and change but be strong enough to keep going forward.

Why is it that mobile home parks are the answer to affordable housing? It’s very simple. The government are trying to build their way out through social housing. As there is no cap on it and they have to compete on the open market it’s never going to solve the problem. We don’t offer houses for key workers like ambulance staff for example. Properties should only be able to be sold to key workers in key sectors. Whereas park homes only ever stay as affordable housing, always at 50% less than a house even when the price goes up it's always comparatively cheaper. That’s because there is a stigma to it.

Most of our customers are downsizing. A lot of our customers are buying a mobile home and then buying a second home in Spain or the US. Houses don’t have to be a ball and chain around their neck, it allows people freedom in older age. We are trying to lobby the government to explain this. There are some great councils and are some terrible councils.

We are bringing people who are semi-retired or retired people to an area. So we are actually bringing other families as well. We are helping social housing as well as contributing to communities. I hate the word social housing but I think of it as affordable housing.

What have been your biggest setbacks in business? The biggest set back was not questioning myself too much when I nearly went bust. Broke means that you are in negative equity, and verging on either going bankrupt which is where I found myself. I had a house with too big a mortgage invested in it. My biggest mistake was I didn’t see the recession coming because I wasn’t experienced enough. I thought I was better than I was.

How have you changed this ready for the next recession? We have stopped looking at profit and concentrated on cash flow. My board loves talking about profit, but I focus on cash flow. The cash flow could be in the red but your profits look great. It’s a balancing act. Making sure your business is sweating, and your wastage at minimum is essential. That could be down to the water bottles in the corner of your building.

How do you innovate? What do you do to get better incrementally? We regularly buy business which has gone into administration. Firstly, we set up a rudimentary cash flow system to see where the business is, see how much in the red they are. See what there is that is needed and what is extra. You have to be harsh, and be commercially viable when turning around a business. Then as you get bigger we constantly review what we are doing.

Best Moments

• ‘I don’t see my business as work, it’s a passion.’
• ‘The 1983 mobile home document is simple but powerful.’
• 'They are referred to as park-home bungalows.’
• ‘This is the real solution to an affordable housing crisis.’
• “It’s harder to get planning to build mobile homes than building a house in the states.’
• ‘It’s always an affordable model for housing.’
• ‘I usually find I make the most money in those quirks.’
• ‘This country are selling ourselves short.’
• ‘I love to see people trying to make a success.’
• ‘It takes a special person to start a business.’
• ‘Be brave when everyone else is going away.’
• ‘Residents at mobile parks can be like winning the lottery.’
• ‘We want to invest where we are welcomed and where we are making a difference.’
• ‘The biggest set back was not questioning myself too much when I nearly went bust.’
• ‘Every pound is a prisoner.’
• ‘If a business is not commercially viable you will hurt a lot of people.'

ABOUT THE HOST

Mark Homer

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined.

CONTACT METHOD

• [email protected]%C2%A0
• https://www.linkedin.com/in/markhomer1%C2%A0
• https://omny.fm/shows/mark-my-words/%EF%BF%BChttps://www.facebook.com/markprogressive%C2%A0
• https://omny.fm/shows/mark-my-words/%EF%BF%BChttps://twitter.com/markprogressive%C2%A0

About The Guest

Alfie Best a highly motivated business magnate, investor, speaker and philanthropist who serves as the chairman of Wyldecrest Parks. To achieve success is not easy and to maintain that success is even harder but Alfie Best has shown how it can be done, even when you have not been born with the proverbial silver spoon in the mouth.

Born of humble origins and raised in a Romany Gypsy family, this self-made man studied at “University of Life” and started his professional success story totally from scratch. However, coming from a struggling background and a minority group only gave him even more desire to succeed. As a gypsy, he had to face many obstacles and prejudices but he has never allowed those to ruin his dreams and ambitions or to disrupt his investments into the businesses he operates. Instead, he has taken those negative prejudices and turned them into positives by surrounding himself with a diverse and multicultural team. Alfie Best manages his businesses as a real leader, knows his employees by name and likes to meet all residents of his mobile home parks.

Contact Method

Website - http://alfiebest.co/story/

Twitter - @alfiebest33

Email - [email protected]

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

The 2019 10x Property Super Conference is going to be a very different Progressive event. Myself, Grant Cardone and a host of UK property investing experts will be sharing with you the new cutting edge property strategies, the quickest cashflow strategies and how to generate multiple streams of income. You will be shown strategies where you need no mortgage, no deposit and no money to be successful.

If you're thinking about going to a property event of any kind, get yourself to the 10x Property Super Conference, it's going to be the biggest and the best property event, it's going to be bigger and better than any event that progressive or probably any other property event the country has held before.

Come and learn from the experts who are not just talking the talk but, walking the walk.

If you’re interested in securing a ticket go here: www.bit.ly/mark10x  to join the VIP Notification List. 10X Property Super Conference 7th-8th June 2019

KEY TAKEAWAYS

BEST MOMENTS

• “Doing things differently doesn't mean to say it's right or wrong, it's a different approach.”
• “Always strive to get knowledge from people who walk the walk and talk the talk if you want to be the best.”

VALUABLE RESOURCES

• 10x.psc.com
• bit.ly/mark10x

ABOUT THE HOST

Mark Homer 

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined. 

CONTACT METHOD

• [email protected]%C2%A0
• https://www.linkedin.com/in/markhomer1%C2%A0
• https://omny.fm/shows/mark-my-words/%EF%BF%BChttps://www.facebook.com/markprogressive%C2%A0
• https://omny.fm/shows/mark-my-words/%EF%BF%BChttps://twitter.com/markprogressive%C2%A0

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

What drives you to keep going in property? One of the fascinating questions that serial entrepreneur, investor and philanthropist Jay Dhillon poses to Mark for The Business Mentor Podcast. They talk about Mark's childhood in Singapore, how he got into property and the rights and wrongs of politics and property in 2019. Listen here for a conversation on learning from two experts in property, and business.  

KEY TAKEAWAYS

What are you doing at the moment? I’ve got three projects on the go at the moment. Our biggest project is just under 100 flats. I’ve got another project, with a commercial tenant on the ground floor with some residencies above. I’m doing lots of different things, with various different projects. 

How was your childhood? I was born in Singapore and came back to England when I was around 12. I went to an international school in Jakarta in Indonesia. Jakarta is a crazy city, pollution, and people everywhere. I learnt the local dialect and played outside with the other kids in the area. I’ve found that to be a really useful experience in dealing with very different types of people.  

Private schools give you a bigger network and a bigger outcome. The difference between the mindset of the private school, and the local college in the area is massive. The people I met at college are all doing more vocational things like dentists, doctors, and solicitors. Whereas the private school went more into business, and are earning lots of money. There is no right and wrong, but if you have the opportunity to invest in your children you can.  

The academics are really useful. If my child wants to go to university, I’ll encourage them to but at the expense of life skills, I think that’s wrong. I think if you can have academic skills, and have business skills, rather than just what a textbook says then that’s even better.  

In 1997/98 it was like the gold rush, and the market was ripe. My father had worked across the globe and met a lot of business people. He knew that business and property was a good route to go down. My friend had made over £70,000 on property and even without planning permission added an extension. I got really into property books, videos, learning loads. I met a local letting agent who'd figured out which properties were good to buy in Peterborough, which is where I started really. 

I’d bought lots of properties abroad especially in Eastern Europe and Florida. So I thought that when they would enter into the EU there would be an increase in the middle class and the property values would go up. What I didn’t realise was that I didn’t know the local knowledge. It’s really exciting to have international property, but the yields are really low, and the maintenance will be very high. Everything that you’ve learnt in the UK is wrong abroad, and you have to learn it all again. There is lots of corruption in various different places around the world, and it’s really difficult to work out the local rules if you’re not from there. 

Treat your property as a business, so systemise it. The one guarantee in business is that it will change. If your systemising your business, doing monthly management accounts, and getting your viewings and inspections sorted then you are going to find it easier to adapt to the change. You’ll find it easier to grow your business because you are able to find out what is working and what isn’t.  

Do you think the middle class now are being hammered, so you need to grow all the time? You need to grow otherwise you are in decline. If you carry on doing what you’re doing and not grow, then you will fail. We’ve had various changes in the legislation, and it will all happen again. Make sure you get a really good accountant, who’ll be able to save loads of money for your tax bill. 

Let’s talk about Jeremy Corbyn if he did get into power what would happen? People were concerned about the Labour party before but Tony Blair turned out to be quite a light touch. He says he will introduce rent control, but hasn’t given out any specifics on that. Dependant on how that is introduced could be positive or negative. He says he is going to nationalise, water, and rail. With big companies, he says he will give 10% of the shareholders to the staff, but I don’t know how that is going to work in practice because they are so divested. I don’t think he will be a sustainable model. The debacle that is the EU is costing the country millions in decisions not taken, and uncertainty. 

Which property/business strategies will work in 2019, and why? In business and property it’s best to find what you love and what you’re good at. If you’re good at marketing then build a business that needs that skill. Build a team around you who are good at the things that you are not good at. It’s better to do what you love rather than what’s hot in the media at the minute.  

What drives you? What keeps you going? I like driving income, and rent roll, I like having a bigger and bigger wall of money to hit the back account every month. I find that very exciting, more than the value of the properties. I get a lot of pleasure in learning from others in the training business we have. We are able to have choices, travel and buy the right house that I want.  

Where would you start in property now? I would buy single lets, under £140,000, probably stuff that has been built in the 1970’s. West Midlands, and in the North are probably best rather than in the South. Cut your teeth, and make some mistakes before moving to HMO’s. You don’t have to move up, just do what you enjoy.  

What mentors have helped you? There have been loads of different people over the years. I have a lot of friendships who’ve done lots of different things, often in their 50’s and 60’s who have been there and done it all. I had more informal type mentors.  

Best Moments 

‘My background was really good for helping me deal with lots of different people.’ 

‘There were other people at boarding school whose family owned big businesses.’ 

‘Through those years I learn loads and loads about business.’ 

‘I think the network is worth everything.’ 

‘Private school kids all wanted to go into business.’ 

‘We are a reflection on what we have been taught.’ 

‘Network is your net-worth.’ 

‘You can’t learn everything in a textbook.’ 

‘Take the calculated risk.’ 

‘I got really really excited with property.’ 

‘Everything that you’ve learnt in the UK is wrong abroad, and you have to learn it all again.’ 

‘It’s really exciting to have international property, but the yields are really low, and the maintenance will be very high’ 

‘Investing in the UK works.’ 

‘You do end up making more money in markets that are more efficient.’ 

‘There is one guarantee in business is that it will change.’ 

‘Systemisation is key.’ 

‘You have to be growing otherwise your declining.’ 

‘The value of getting a good accountant is priceless.’ 

‘Accountants are not a consultant unless you pay them to.’ 

‘Do your own research, and take your questions to the accountant.’ 

‘I think Corbyn is going to go on a spending spree.’ 

‘I think it will be an unsustainable model.’ 

‘Politicians have been telling so many lies.’ 

‘Theresa May is like the school teacher keeping it all together.’ 

‘If you are making products, uncertainty on the price of your produce., is unacceptable.’ 

‘Uncertainty is affecting business everyday because of Brexit.’ 

‘I like driving income, and rent roll’ 

Valuable Resources 

E-Myth  

Life's Leverage  

ABOUT THE HOST 

Mark Homer 

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined. 

Jay Dhillon 

Jay Dhillon is a serial entrepreneur, investor and philanthropist based in the UK with a proven track record of growing businesses from start-up to success- and helping others do the same. From humble beginnings, Jay grew his first business from 0-500 employees and three locations, racking up sales of over £30 million – all without any investment other than a small amount of savings. The business went on to acquire major clients such as Landrover, Jaguar, Toyota and New Look, to name a few. 

Its huge success inevitably brought about outside interest and at the age 33 Jay eventually sold the company to a London investment firm in Doyen Resources. Today, Jay owns several businesses in different sectors and helps entrepreneurs achieve success. 

A calling to give back and help others led to Jay being chosen for the highly-coveted role as a Prince’s Trust mentor, where his achievements were marked by a personal invitation to Buckingham Palace to meet Prince Charles. 

After helping several young entrepreneurs to success as a mentor for the Trust, Jay’s burning desire to bring his wisdom and knowledge to a wider audience ultimately triggered the concept of The Business Mentor Podcast. 

Jay feels that anyone can achieve success in business with the right advice and mentoring and is now sharing his knowledge with his growing audience via his podcast. 

In the UK alone 95% of business fail within the first five years and Jay’s aim is to reduce that number. 

Backed with the hard-earned knowledge and experience from his time in business, The Business Mentor Podcast will share Jay’s personal business lessons as well those of other successful entrepreneur guests who share their wisdom and secrets on the show. 

CONTACT METHOD - Mark Homer 

[email protected] 

https://www.linkedin.com/in/markhomer1 

https://www.facebook.com/markprogressive 

https://twitter.com/markprogressive 

 

Contact Method - Jay Dhillon 

Podcast: https://itunes.apple.com/us/podcast/business-mentor-podcast/id1370793386  

Website: https://www.jay-dhillon.com  

TwitteR: https://twitter.com/jaydhillonuk  

‘Brought to you by Progressive Media’: https://progressivemedia.uk/

This is your chance to ask Mark anything, you’d like about property. Sourced from the progressive property facebook group Mark answers 24 of the most burning questions from how Brexit will affect property investors, to how to pick a good business partner and what’s his favourite doughnut. Hear the advice from one of the countries leading property analysts, on how to get your property business moving and growing.

Key Takeaways

If you were starting out in property today where would you start? I probably wouldn’t start in a much different place than I did. I would buy terrace houses, single let to get going, and then move into HMO’s and then commercial buildings after that. Finally, I would do commercial buildings which can give you better cash flow. I think there is a lot of power in not selling your property but buying and holding them because over the long-term cash-flow and yields will be greater.

What’s your prediction for interest rates over the next 2 years? I think they are going to stay relatively static. It depends on Europe, Brexit, and the US. Clearly, the world is slowing down, and the market is not going to be getting any better over the next two years. I think it’s more likely to be a slow down rather than a recession. In the UK there are lots of uncertainties and there are lots of investors who are not investing. I think the likelihood is that Brexit will be extended. We will see a wall of money going back into the system after they have been waiting for the outcome of Brexit. It’s important to focus on the things that you control rather than interest rates and GDP. There will be a lot of commercial buildings available when the downturn comes, at a cheap price.

How did you know that Rob Moore was going to be a good business partner? What makes a good business partner? I worked with Rob for six months before we went into business together. Rarely business partners work if they are friends. You should focus on adding value to each other, Rob and I were opposites. Rob is great at all the things that I’m not good at. Sales and marketing are not my bags, whereas Rob excels at those. Enter into some lose business arrangements first, and when we started our business we only put a few hundred pounds in. We got to learn what we were good at, and what we need to learn.

Would you prefer 10* BTL £2500 profit or 1 SA unit £2500 profit? I think if it was a binary choice I would go with the 10* BTL’s because if they were worth over a million in equity together. That’s something that you won’t have in the SA flat. It’s a balance, SA can be quite a defensive strategy, and you should be fine to battle recessions.

I want to learn the basics of business finance, where should I start? I’m very much for learning on the job. We run multiple streams of income training and the various books that we have at Progressive Property. I would do the first deals as soon as possible. You need to talk about a lot of banks and get a lot of mortgages. Learn from people actually doing the job, and learn on the job.

What is the best structure for a JV buy and hold? Getting to know someone over a period of time, so you get to know their circumstances. You are going to enter into a financial relationship, and you don’t want that to affect your credit rating. It’s probably better that you are not associated financially.

What is the mistake that you’ve made that’s been your most valuable lesson? I’ve made loads of mistakes. In the old days, it was buying overseas, buying things that I didn’t understand. Bringing in the right people and paying them well is really important. Over a period of time, paying for good people means you save money, and get a better job done. In the early days, I was trying to reduce costs on everything.

How would you approach trying to find an investor with the view of starting a JV? You want to be going to networking events, getting yourself out there. Doing smaller jobs with investors, and then you add value to buildings, then move onto the larger JV.

What would you expect to pay for a shareholders agreement in a JV? For my solicitor will charge around £1,500 for that. It will completely depend on the other party sending over their changes to the document in one go, so it doesn’t drag out. It’s a really good idea to use a solicitor so it’s correct and legal.

What is the best way to get the most value from a refurb whilst sticking to a budget? Get three quotations for everything, and speak to your letting agent and your builders about what needs spending money on, and what doesn’t. Be really clear about how you want things to be. I wouldn’t pay the builder up front but when it’s complete. Try and build a relationship with a builder who you can use again.

Do you ever get bored of working or fed up? Yes, I get stressed and fed up. I often just get in the hot-tub and home, and under the water so you can’t hear anything. After a good night’s sleep, I can work through my issues methodically the next day. I do sometimes think how much is enough property, and how long do we want to do this for but sometimes you can’t just stop doing it.

What was the deal that made you feel rich? I’m not sure I feel rich, and rich is a moving target. I used to think at this level I would feel rich but it’s a moving goalpost. There is always someone else who has more properties or has more income. Because it’s gradual, it’s incremental, and then you don’t notice it as much.

What's the best banking structures for separate companies? If you are doing big projects then it’s good to start companies per each project. I don’t like having loads of Limited Companies however as there is a lot of administrative burden such as accounting. My goal is to bring everything together eventually. They can, however, shield you from external factors. Every single company I have been involved in that has been dissolved has done so without any creditors, that’s really important to have that history.

What do you think of the longevity of deals sourcing/packaging as a business model? I don’t think there is a time limit on it. You need to be registered, and get experience with it. You need to get really good at it and find the best deals. I don’t do it as much anymore, because if I find a deal then I want to buy it myself, and get the income from them. It can help you grow your portfolio though, especially in the earlier days of the business.

Best Moments

‘I wouldn’t have started out in a much different place.’

‘I like to buy and then hold property.’

‘Internationally countries are trying to get interest rates up over the next few years.’

‘Keep an eye on interest rates, but it’s better to focus on the things you control.’

‘Downturns will inevitably come.’

‘I suspect we are in the second half of this cycle.’

‘Rarely do business partners work effectively if they are friends beforehand.’

‘Over time you build trust and confidence.’

‘Kissed a lot of frogs to find the right business partner?’

‘You need cash flow to look after today.’

‘Learn from people actually in the job.’

‘Learn by doing is always best.’

‘It’s probably better that you are not associated financially.’

‘I’ve made loads of mistakes.’

‘Pay the rate for good people and it will save you money.’

‘Find the right people, and pay them well.’

‘You need to network a lot to find your investors.’

‘There is a lot of value in getting a solicitor to help write your shareholder agreement?’

‘I just can’t help getting back into it, and buying property.’

‘I’m not sure I feel rich’

“I’m always driving for more.’

‘The buck always stops with you.’

‘Prepare for the worst.’

‘Lenders are more relaxed when properties in limited companies with your personal lending.’

‘The mortgages I have in limited companies don’t show up on my credit rating.’

‘The uncertainty around Brexit isn’t good for business.’

ABOUT THE HOST

Mark Homer

Mark Homer is an entrepreneur investor.  He has worked with investment since he was 15 years old using the laws of wealth! He is a spreadsheet analyst with an impressive following from major publications including BBC Radio, The Wall Street Journal, The Independent, as well as co-authoring the UK’s best-selling property books.  Mark has always looked for the best investment vehicle, and at the end of 2007 with Rob Moore the co-founder of Progressive Property his joint portfolio produced more profit than any of the other investments he’d tried in the last ten years, combined.

CONTACT METHOD

[email protected]

https://www.linkedin.com/in/markhomer1

https://www.facebook.com/markprogressive

https://twitter.com/markprogressive

‘Brought to you by Progressive Media’: https://progressivemedia.uk/