Scenario: Business Exit to Real Estate, How To Invest $1 Million?

[Rob Barry]

Let's say you're just starting out in real estate and have one SFH rental free and clear with no mortgage borrowing history. Then let's say you get so eager, you want to sell your small business and move all your working assets to R.E. To keep things simple, let's say the business cashflows about $350k, but is in a high-risk industry, and could sell for $1million after commissions and closing fees (not accounting for capital gains tax).

Would you sell out and invest as fast as you can find good deals, knowing you'll have to stop and wait when you hit the "seasoning" wall? Or would proceed slower and wait until you've got the initial borrowing speed bumps out of the way? And, most importantly, what would you invest in?