Skip to content
×
Try PRO Free Today!
BiggerPockets Pro offers you a comprehensive suite of tools and resources
Market and Deal Finder Tools
Deal Analysis Calculators
Property Management Software
Exclusive discounts to Home Depot, RentRedi, and more
$0
7 days free
$828/yr or $69/mo when billed monthly.
$390/yr or $32.5/mo when billed annually.
7 days free. Cancel anytime.
Already a Pro Member? Sign in here

Join Over 3 Million Real Estate Investors

Create a free BiggerPockets account to comment, participate, and connect with over 3 million real estate investors.
Use your real name
By signing up, you indicate that you agree to the BiggerPockets Terms & Conditions.
The community here is like my own little personal real estate army that I can depend upon to help me through ANY problems I come across.
Commercial Real Estate Investing
All Forum Categories
Followed Discussions
Followed Categories
Followed People
Followed Locations
Market News & Data
General Info
Real Estate Strategies
Landlording & Rental Properties
Real Estate Professionals
Financial, Tax, & Legal
Real Estate Classifieds
Reviews & Feedback

Updated about 8 years ago on . Most recent reply

User Stats

8,794
Posts
4,382
Votes
Bryan Hancock#4 Off Topic Contributor
  • Investor
  • Round Rock, TX
4,382
Votes |
8,794
Posts

Cost Of Capital - What Are Investor Relationships Worth?

Bryan Hancock#4 Off Topic Contributor
  • Investor
  • Round Rock, TX
Posted

We're working on some marketing features for our crowdfunding platform and I was hoping some of the syndicators and deal sponsors could help out a bit.  

Sourcing investors costs money in the real world.  There are two primary ways to do this painting with a very large brush:

1.  Do digital ads and more traditional local networking/meetings to find investors

2.  Hire a professional to raise money for your projects that is licensed

Item 2 is really more suitable for "bursty" capital supply needs when your existing investors can't or won't fund your project.  

Questions:

-How much of a premium would you pay for controlling your investor relationships such that they can be used for future deals?  For instance, if you would pay a broker-dealer or RIA to source equity for 3% would you be willing to pay 5% to control the investor leads yourself?

-How much is the lifetime value of the investor relationships worth to you?

-How would you work investor leads as they come in when you're busy working deal flow?  

Thanks for any insight you can provide.  I have my own opinions, but socializing this with BP should help us build better products to help out more.  

Loading replies...