I see that the way it was worded might make it look like the dividends would be taxed before being reinvested, which is not what I was implying.  

I missed mentioned one implied point, that is there are alternative ways to create initial cash flow if that is what ones REI needs.

If you were to take some of the best physical trainers for helping people get in shape and they were to post on a health website that they could help people get results by coaching them, there would still be a majority of people that wouldn't hire them to coach them, even when they help their clients get results.  

You may have had a great experience with figure.com but implying you got a “good” appraisal from them is fundamentally wrong.  

I have had people that work on cell towers, insurance adjuster, and cooperate trainers in recent memory.

But our electrician is telling us there's usually only 2 separate cable drops to the house, which implies it may be difficult to have a 3rd provider.2.

Former Lifestyles trainer Steve Davis has started this and has some Dallas trainings and meetings periodically.

This will consume multiple years of cash flow to recover the initial negative position.As you indicated, the issue is not only that the initial negative position consumes years of cash flow, but it also implies the ADU investment cannot be extracted until appreciation has been high enough to make it possible (this could also take years).My initial protege had a 1 BR garage conversion ADU that hands off would have been ~$100K (value just before COVID, it would cost more to build today). 

Former Lifestyles trainer Steve Davis has started this and has some Dallas trainings and meetings periodically.

Alan implied he had access to money that may be with more investors, loaning money to his business, which, as I said way up there, can be an SEC issue and a disclosure is just the tip of the matter.