Real Estate Disruptors

Home of the #100Millionaires Movement

Make Networking Easy

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Networking — that elusive, difficult, tedious, formal process of discussing what you do with other professionals and asking for referrals. Yuck, right?


Then you may be doing it wrong.

People commonly associate networking with going to organized events:  Chamber of Commerce, Real Estate Investor Associations (REIA), Business Networking International (BNI), etc. While all are good places to network, they are only a few drops in the bucket of opportunities available.

But Steve, networking is hard!

I don’t want to feel like I’m begging for business.

I hate those big meetings.

Hold on tight, I’m about to change your mindset…

What is Networking?

Networking is the lifeblood of every business. No matter what you do, you need to interact with other people, whether that is for finding customers, vendors, properties, resources, employees, anything. 

The ultimate goal of networking is to have people know you and bring ready, willing and able customers to your business. It’s not a one-time action; it’s continuous and really should be considered a form of marketing or advertising (I can hear the groans already!).

Most people have this idea that networking is convincing others to do your marketing for you. While that would be great, it’s really not how networking works. What you want is people who know you telling other people about how great you are; that they should contact you because you can help them.

At its essence, networking is communicating what you do to other people. In other words, having a conversation. Talking to people who don’t know you very well and educating them, however briefly, about what you do.

Mindset Shift

What if you changed your definition of networking? 

What if “networking” was simply talking to people?

What if “networking” became “chatting” or “small talk”? 

Hmmm. That’s not so scary. Now networking is nothing more than being friendly.

Saying “Hello” to someone in line at the grocery store and asking how they like that item they just put in their cart.

Asking someone at the coffee shop if they like the caramel macchiato. Little ice breakers.

If you strike up a brief conversation with someone, as they’re ready to leave, you could ask them if they know of any properties for sale. Tell them you buy houses, and if they know of any for sale or that look run down, please let you know so you can help the seller. Maybe offer a referral bonus, or send gift cards, or whatever works for you.

Does This Really Work?

The best networkers I know simply talk to people. That’s it. Eventually they say what they do, or the person asks them what they do. Isn’t that brilliant? Get strangers to ask you what you do for a living, when you’re waiting to tell them exactly that.

People like to talk about themselves, even with a stranger. This won’t work every time. You occasionally may get a grumpy person who doesn’t want to engage. That’s OK, apologize for bothering them and let them go. Hey, everyone can have a bad day, right?

Most people will respond out of politeness. And the reality is a smile and friendly attitude brightens anyone’s day, so most people will talk to you. The important thing is to be interested in them. You have to develop some affinity with the person before you tell them what you do. Don’t come on like a bull in a china shop by explaining details of your business right away. Or at all. Less is more.

Just talk to them out of a genuine interest in them, or the weather, or a question about a grocery item they’re buying, or the shoes they’re wearing. Something about them. Then as you’re parting, it’s a quick ask and hand them a business card.

Check out my Real Estate Developers podcast with Mike Fitzgerald. His superpower is networking, and he tells you exactly how easy it can be: Find it on YouTube, and watch my podcast on Facebook LIVE every Wednesday at 2 pm Arizona time at RealEstateDisruptors.net

You Did It!

You just networked with someone you didn’t know five minutes ago. No high-pressure meeting, no having to drive across town for a lunch event, and no time commitment. And if you picked a person who doesn’t want to talk to you or fall flat on your face? So what, it’s over in a matter of minutes. No harm, no foul, move on.

Think about how many people you cross paths with every day in your daily routine: Pumping gas into your car — There’s someone at the pump next to you, how do they like their truck? Grabbing lunch out — The person behind you, what do they recommend? 

Networking isn’t being all professional, sitting at nice restaurants and listening to speakers (there are those opportunities, and take them, too). Networking is talking to people out of interest in them. Eventually you get to what you do and ask them to help you if they can.

Just talk to people. Be curious about them and their things. Be observant so you can find a subject to discuss. (“Hey, how about this weather?” gets old pretty fast.) Be interested in them, and you will enjoy it too. The first few times may be tough to make yourself start a conversation, but soon you will find it second nature. Be genuinely curious about other people, and before you know it, you will be a master networker.

All without “networking.”

Just Start

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The most common question I get is “How do I start a real estate business”, or “I don’t know where to start.”

My answer is always the same:  Just start.

Paralysis by Analysis

Many, many new real estate investors suffer from paralysis by analysis. Many of us have a burning desire to know every detail before we do something. They always feel like there is something else to learn, or something they’re unsure about.

Real estate has too much information for you to know it all.

The ironic thing here is that real estate transactions really aren’t that complicated. In wholesaling, you find a seller, get the property under contract, find a buyer, close the deal. Everyone’s happy, everyone makes money.

But Steve, what do I say to the seller? What if he asks about XYZ and I don’t know about XYZ? What contract do I use? Do I need money? How do I find buyers? What title company do I use? What? What? What?

You don’t need to know all the answers now. You’ll figure it out while you’re working through your first deal. Why? Because you have to then. Besides, you could learn “the answer” only to discover it is wrong for your deal. Then you have to figure it out anyway.

Successful Investors Just Do

The stories abound about super successful real estate investors who started with nothing. And yet they made it. Now they have money, time, freedom. 

Why? Because they started.

You will never reach your destination until you take the first step. 

Don’t know which contact to use? Ask someone for one, or Google it.

Not sure what to say to a seller? Contact one and talk to him — don’t be a robot, talk to him. 

Don’t know which title company to use? Make some phone calls.

Need money for a fix and flip? Ask people; you might be surprised.

Dreams Don’t Start Themselves

Most people who never realize their dreams get stuck in the start phase. They talk about wanting a real estate business, but they never do anything to get one.

Real estate, like any business, isn’t do one or two things and then the money truck backs up to your house.

Consistent action brings results. You’re going to mess up. You’re going to make a mistake. You’re going to be turned down by a seller who really needs to sell his house. But you learn, and you move to the next one.

Let’s Go!

Just start. The single most important piece of advice I can give you is just start. Take action today. Get a list, make some calls, drive some neighborhoods and knock on doors. Do something.

Once you start, each step becomes easier, and you learn a little more, and do a little better. Pretty soon you have your first deal, then three, 10, and suddenly you’re a real estate investor.

Find Success Where Others Run Away

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Doing the work the way successful people work.

Doing what everyone else says you should do is easy. Focusing on that is tough.

Well, it’s not always easy, but it’s the easier way to work. If this is how people are successful, why be different?

There’s nothing wrong with doing what works. In fact, we teach other people how to wholesale the same way we sell precisely because it works. And it works extremely well, thank you very much! (shameless plug intended — visit Real Estate Disruptors to see what we offer). Focus on the right things, and success will follow.

Yet there is always something else out there. One of the fun and maddening aspects of real estate is the ever-changing nature of this business. Techniques that worked a couple of months ago may become ineffective due to a change in market conditions. That also means there are always new opportunities.

Most large, successful companies were not built on fantastic, completely new inventions. Apple built computers from existing components. Heinz developed ketchup based off of other sauces people were using to make rancid meat edible. Henry Ford didn’t invent the automobile or the assembly line, but he married the two to make affordable cars.

New opportunities present themselves all the time. The question is, should you take it? And if you do, what will you sacrifice to build the Next Big Thing? Where should your focus be?

A Perfect Example

Sandy Cesaire of the Bellaire Investment Group was on my podcast recently. She had made it big in real estate, lost it all in the crash ($800,000 CASH!), and rebuilt her life and her business. Sandy took her past experiences and found a new market — mobile homes with land. Most REIs won’t touch mobile homes, mainly because we don’t know what to do with them.

Now Sandy didn’t know much about mobile homes. She knew how to buy and sell properties though, and she took that knowledge and shifted it to this new market. Sandy had to learn about the peculiarities of mobile homes along the way, but she didn’t reinvent the wheel. She took what she had already been successful with and plugged her systems into a new market that other real estate investors were avoiding. Then she added a wrinkle:  instead of selling to other investors (who always want a low price), she sells directly to the general public. They save money, Sandy makes money, and everyone is happy.

Sandy expanded her business to other states and has plans to take it nationwide. All because she saw an opportunity and folded it into what she already knew worked. She stepped into an area others ran from and made it work. Sandy didn’t discover a new market — mobile homes are bought and sold every day — she applied her knowledge with a new twist to create a new opportunity.

Don’t Squirrel Around

People get into trouble when they get excited about something new and put all their energies into it. Classic Visionary problem — have a new idea and drop all your “boring” existing projects for the thrill of the new challenge.

The danger is that while you’re figuring out the bright shiny car, your old ones break down, and stop winning races for you. Pretty soon, you’re sitting in a Lamborghini but you don’t have any gas to put in it. And a garage full of supercars is useless if you can’t drive them.

Be careful of the shiny object, but don’t be afraid of it either. Remember, new doesn’t have to mean brand new, as in something completely different. It could be as simple as moving into a new market using your same systems.

Focus

Focus is key — Sandy admits in my podcast that she is constantly fighting to maintain her focus on the important things. It’s not that she doesn’t have big dreams or new ideas, but she knows if she chases them all, she won’t catch any.

Definitely dream and keep developing new ideas. After all, you don’t want to miss a golden opportunity, right? Then critically evaluate them, bounce them off other people, and let them simmer before adopting them. And don’t be afraid to put them on the back burner, or throw them out altogether. 

You also don’t want to see every idea as a sure-fire winner. Looking at your own ”brilliance” with a skeptical eye might be the most difficult skill to master. And yet it’s essential to your success. While the idea may seem unbeatable during conception, upon reflection it may have more flaws and holes than the Titanic.

Evaluation

So keep dreaming and coming up with the Next Big Thing. Then throw darts at it, have others poke holes in it, blast it with dynamite, search for all the ways it could blow up in your face. Ask yourself, “How does this fit into the rest of my business and my life?” Be real, and then take those answers, even the ones you don’t like, and make your decision.

Even following this advice, the new idea could flop. Or it could be wildly successful. You won’t know until you take it through the process. Hopefully this method can help you avoid the new ideas that should remain ideas only and not put into reality.

You may find that only one in 20 ideas have any real chance of success. Don’t be discouraged; you saved yourself from 19 bad ideas! Don’t let discarded ideas get you down. Give yourself the freedom to dream, the discipline to evaluate, and the honesty to listen to the results. 

Do with a Purpose

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So you want to be in real estate? Wouldn’t it be nice to have those big profits off each house like they get on HGTV every time?

Here’s the thing:  those profits do exist, and you can get them for yourself.

It’s just not quite as easy as that hour long HGTV episodes make it seem. Yes, even the ones where they had all the unforeseen problems.

Money TruckReal estate is hard work. It is not something you dip your toe into and suddenly the Money Truck backs up to your door.

Purpose

Being a real estate investor requires having a definite purpose. You have to want it. You have to work at it. The rewards are many, and are definitely obtainable. But they don’t fall into your lap.

In fact, almost everyone fails when they start out — deals fall apart, fix and flips lose money (yes, it happens), sellers ghost you. Many of us call that The Learning Process. Well, that’s the rated-G term. Think of it as the weeding out process, because those who lack true purpose will quit when they discover just how unforgiving real estate can be.

Keep in mind, needing a big purpose in order to succeed isn’t exclusive to real estate. If you want to be highly successful in any field, you need a big purpose driving your actions. Otherwise, you squirrel, get distracted by shiny objects, and ultimately quit or limp along being just OK at what you do.

Please don’t confuse purpose with a big bank account. While you can build a big account balance doing what you love with purpose, if you think your purpose IS a big bank account, you’ll never get there in real estate. Or at least if you do, you will be run ragged and hate every minute of what you do. Go be a banker; at least you will be able to see big bank accounts. 

Why?

Don’t people get into real estate to have that big bank account?

For some people, sure. But that’s really an end result or side benefit. You could be just as successful doing all kinds of other work if you tackled it with purpose, poured your efforts into it, learned the industry, and loved working in it.

This doesn’t mean you have to like all aspects of wholesaling, fix and flip, or any niche. Maybe you love sitting in someone’s living room showing them how you can help solve their problems by buying their house for cash, but you hate cold calling. And that’s fine. You can focus your time in sales and hire people to do your cold calling.

But you have to build to that point.

It’s All You

When starting out, you need to do it all. Because you’re the business, but also you will need to know how to train people as you grow and bring them on. This also lets you discover what you really love about the process, what you don’t like to do, and where you can focus your passion and purpose.

Once you have your purpose identified, you need to put all your energies into only activities which further that purpose. This may mean you need to hire people to do those things which are not directly related to your purpose, but that’s a good thing. You can hire people who love doing paperwork, for example, when that is not part of your purpose. Hire Virtual Assistants (VAs) or acquisition agents to do your cold calling. 

You may have to do these things until you can grow enough to bring on good people, and that’s part of building a business, moving from solopreneur to entrepreneur. Then you can train them on how to do it the right way.

Purpose is the Reason

Real estate is a fantastic business to own, but in the end it is just a vehicle for your purpose. The fire within you to run a business, the vision of where you want to be, the thing you love to do, THAT is your purpose. Sometimes finding your purpose is difficult. You might need a mentor to help you sift through everything in your life that distracts you so you can see your purpose.

Trying to build a business without knowing your purpose is like trying to navigate to Triumphville without knowing where it is. You can drive all over the place and never come close to finding it, wasting time and missing opportunities along the way.

If you don’t know your purpose, it’s time to find it. Get a map and plan a route. Discovering your purpose is critical to building your business. It may be easy; it may take some looking. You may have to dig deep to pull it out. 

Find your purpose and focus everything in your business to further that purpose. Then you will truly start on your path to success, wherever that path may lead.

So You Want to Own Many Businesses….

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Sounds like a great idea — start a bunch of businesses, hire people to do the work, and rake in the money. I might have to do that.

Only there’s a catch (of course there is):  you still have to run them, put out all the fires across multiple organizations, hire the right people, and not go insane in the process.

That’s actually a whole bunch of catches. You threw your net kinda wide and caught the motherload.

It Looks Simple, but…

That view from 30,000 feet looks pretty simple and serene. Running multiple businesses can exponentially increase the demands on your time. Not to mention the plethora of headaches when a problem in one business actually causes problems in the other ones. Nothing like one problem becoming five, right?

Obviously running multiple businesses can be done. After all, we have all seen people who manage it and make it look easy (at least in public): Elon Musk, Richard Branson, Warren Buffett, just to name a few. 

So how do they do it?

Organization

They have learned to organize their businesses. They have developed systems which they can plug into any business and get it running smoothly. They have systems and standards for evaluating talent and hiring people.

But first they learned how to organize. Delegate. Develop a method so they can offload the work that they don’t like or aren’t good at, specifically so they can spend time doing their genius work.

Organize. Some of us don’t like that word, or the structure it carries. Yet this is the key to growth; the key to expansion. It is the only way to remain sane when you start adding companies like pairs of shoes or cats. If you leave the shoes lying around everywhere, you’re going to trip all over them and ruin them. Same thing with cats.

How to Start

As the business owner, you have a vital purpose — that thing which you are really good at and which is most valuable to your company. Now in the beginning, you may have to do everything. That’s not a bad thing, because you need to know HOW to do everything. That’s necessary, because initially you will be the person who trains new hires. 

As you grow (and growth can occur fast), you must hire the right people who can do the job and who like doing the job. This is where systems come into play. Don’t just hire willy-nilly. Get a hiring procedure which does a proper evaluation of your applicants so you can weed out those who don’t fit your culture or have the work ethic/qualifications/abilities you want. You will save time in the hiring process, and you will have far fewer mis-hires that you have to fire later on.

Put other systems in place to handle other areas:  customer acquisition, marketing, HR, etc. And the more you can both automate and delegate these systems to other people, the more you can shed those work items that aren’t your vital purpose. 

Use Tried and True Systems

Don’t start from scratch trying to design your own system. You don’t have time for trial and error management. Find proven systems and install them. They may cost you some money up front, but they will save you many multiples of that amount down the road. Wasting time and hiring the wrong people are the most expensive mistakes you can make.

As you add businesses, you implement the same systems in each company. This way everything operates the same in each organization, and you don’t have to worry about it. Spend your time doing top-level activities and hire employees to run the other parts of your companies.

New business? Rinse, repeat. You may need some tweaks to the system depending on the specific requirements of that business (such as licensing, permitting, etc.), but the main form of the system should be the same.

This is where scalability comes in. Implementing repeatable systems creates time. You can’t scale up without time to do the work.

As your businesses grow, delegate more to other people. Then your time is spent on high value activities. And the more you can do that, the more you can grow.

So get organized NOW. Implement proven systems to your company, and you will be amazed at the time you save.

Need help? We have many programs to help you get organized, including exact systems to run your business. Check it out here.