Time, Money, or Experience... Which one do you have?

[Rafael Norat]

Hey Newbies!!

So what do you have? Time, Money, or Experience??

You have to give a little to get a little…

When I started creating my investing mindset about 2 years ago, I was seeking to team up with people more knowledgeable than myself to help me achieve my investing goals. But what did I have to offer them that would serve as barter?

Along the way, I heard an experienced investment say: “You need at least 1 of 3 things… TIME, MONEY, or EXPERIENCE…

So I thought… What do I have in my toolbox?

Time: I don’t have much… I work 40 hours a week as an engineer. And then have plenty of family duties. So, time is definitely a limited factor.

Money: I was able to refinance about $20,000 out of my primary mortgage. So, that was my starting point.

Experience: As an engineer for the last 15 years, I have done plenty of statistical analysis as well as tracking cost, schedule, and performance as a program manager.

So I basically had Program Management & Data Collection experience, limited time, and a $20,000 budget to get started.

My General Goal: $3000/month passive income in the next 3 years.

With a $20,000 budget and limited experience in New Jersey, my investing options seemed limited to areas which I was a bit uncomfortable getting started in. So I looked out of state a bit and found an investor with plenty of TIME and EXPERIENCE, who had an area that fit within my budget. He would go on to help me acquire, rehab, rent, and manage my units.

I, in return, became a buyer and use my EXPERIENCE to organize his business profile to run more efficiently. Any investor can always use an extra set of eyes that provides added value through a difference point of view.

Once I had established that the product I was investing was sound, I was also able bring in more clientele for him who had similar situations to mine (low budget for their immediate area).

So, that’s how I used my strengths to get me started. I basically provided value to my partner by contributing where he needed help. In return, he fills my voids of time and real-estate experience.

As I continue to grow, each of these 3 factors continues to grow and offer new services to people. I have been able to grow my rental portfolio, use a portion of my initial funds to establish business credit, and branch out into wholesaling and rehabbing using the same principles.

Now, there’s plenty of other factors that go into the equation of course. But, beginning with these 3, it gives you a good sense of what you can offer to others that will be of significance to them.

Have a great weekend!