From Mediocre To Remarkable

[Ryan Wilkinson]

There is a lot of great info for new investors here but I haven't seen many posts about the issues veteran investors face. Getting started in the business is a life changing experience for most people who decide to "go for it". But what happens after they jump in? Conquering your fears and putting your money on the line is the ante to play, NOT a victory. The problems, challenges, lessons & adjustments don't stop there. In fact they get more numerous and complicated as your business grows.

Once you're "in" you've got to continue to make things happen. It's like that saying, "Its not enough to make the team, you've got to get in the game and contribute!"

The more success you have the more variables there are to account for and manage. Like: What kind of reinvestment plan do you have for all the money you make? What are the tax implications of the new & different investments you enter into? What is required in hiring employees? When do you grow and in which direction? Can you manage people? Is your business systematized to be run by other people? What is the proper use of technology, which ones are necessary and how much money should be invested in them? And when?

Building a business is one of the most rewarding, exciting, thought provoking, mind expanding things I've done. You must make wise decisions and get alot of them right to truly be successful and stay there.

I'd love to hear some stories, comments, experiences from those who have been in the game for awhile. What things did you have to overcome & how did you do it? What are some of the challenges these newbies are going to face in the future? How did you grow from a mediocre new investor to a remarkable one?

......I'm all ears!

[Rich Weese]

Ryan-I'm certainly not a new investor and don't know if I'm a remarkable investor, but I'm definitely a veteran investor! You asked a ton of questions and there are a ton of different answers to them .I think I have blogs, posts and threads with many of the answers. There is also a Meet The Investor section here on BP where I and others tell our history and answer a lot of these same questions. Here are some quickie answers to your questions and you may use the search feature to find lots more.

1.reinvestment plan- try and use a 1031 tax deferred provision as much as possible. Use capital gains in best way possible: to offset losses in same time frame, wait to outright sell until you don't have other job income, make them long term gains

2.tax implications- they are varied but there are a lot of things to do about them. Try to get the gains to the front page of your return, rather than schedule C income. Have a business or even a 2nd business to be able to turn many "expenses" into real deductions. Taxes are 1 of the 4 main obstacles to creating wealth. (all 4 are listed in a blog I wrote)

3.hiring employees is a pain in the butt. Others can tackle this one.

4.when to grow- You begin growing from day 1 if you do it correctly. All directions. You may start in sfrs and branch to multis, commercial, lots, land etc. I'll go wherever there appears to be profitable deals. I'll also go out of area , as I've done many times. Even out of country. I went to Texas and bought 26 homes in 35 days (other blog/thread describing process).FL to but 550 unit storage facility. I've moved to AZ, TX and FL to buy properties. Yes, I've branched out in all directions.

5. Manage people- yes I can. I can also manage properties and tenants. There are some pansy arse folks that should NOT manage their own properties, imo. Figure out which you are.

6. Yes. my properties are mostly managed by others. I have residential mgrs as well as professional mgmrs and accountants that do the work. I have a personal assistant that oversees the projects, etc.

7.technology- boy, everyone knows this is not my area. I use computers for e-mails and booking cruises! Others can have this one.

8. obstacle to overcome- in detail in the Meet the Investor section

9. newbie challenges- financing and being misled by all the so called mentors and gurus! The need for instant gratification that exists in younger generation, and lack of patience. The know it all mentality because they read a few books or went to some seminar .

10 mediocre to remarkable- time is the biggest plus. Experiences and mistakes you'll make will file off the rough edges. You need flexibility t o change when times change. I've seen many in my career and some will catch you by surprise. those are the ones that will determine if you reach remarkable, imo. Anyone can be successful when times are easy. The challenge is now, when times are more difficult.
Reserch old posts and threads for all the info on these subjects you asked about. There is no shortage to answers,. Some will actually be accurate!imo.
you now have answers in three posts from 3 of the best on BP. Take them to heart and go search for their other replies. Good luck. Rich