We have 4 outside investors, all working out very well. So since we have found good results through certain deals I thought reaching out on here could help us expand.
Every deal is different, most of our investors want anywhere from 12%-14% on their money over 4-6 years. Some want equity which is a little tougher to structure but possible. But since the cash flow is high on these there's a lot of room for us to pay them monthly and still have left over for any operating expenses. You point out maintenance and reserves, we don't touch any money from the business. Everything gets reinvested. When I shared the success story that's all that was - maintenance of course you have to factor in but on the raw deal over 4 figures in net cash flow is very good (at least to me).
I appreciate you telling me your experiences with it, I understand there are different aspects of real estate. Some love equity some love cash flow some love both. I'm definitely more cash flow for now but as it adds up we are going to be investing in other opportunities. This is just the foundation.
Maybe I misinterpreted what you were saying - but it came across as you were saying it's impossible to scale a business like this. All I was saying was that it is not, it can be very profitable and lead into great opportunities down the line.
And like you said, success is relative. Your definition of success is probably very different then mine.
