The evaluation of a real estate project is where the money is made. Despite what others say, the real estate transaction will be riddled in details. In this video we will go over the basics of an evaluation and what you should keep your eye out for.
There are only three real objects when it comes to commercial finance and real estate. Commercial real estate is a more sophisticated matrix for wealth creation in this country. What this means is that the common exit strategies are either to sale via a trade or to refinance. There is no other exit strategy.
In reference to performing a mode of action you are given three strategy options:
The most skilled professionals pride themselves on Capital Placement and Formation. You may of noticed that throughout the last few years lending has tightened increased the amount of equity that is needed for a traditional institution to fund a deal.
Although this is common in a lower market this gives others the ability to leverage this intellectual capital. The rave in 2010 became syndication. During 2009-2010 Warren Buffet paid frequent trips to Washington DC to have series of questions in reference to this very thing. By 2015 the process of Syndication has become less regulated allowing a slew of investors and speculators to aimlessly exchange or trade their hard earned money for potential earnings via equity.
What most are uneducated about is that equity is not all that it cracks up to be. Equity is the opportunity to obtain the highest gain, while not truly securing your investment.
Asset Arbitrage is typically performed is something is being traded at a low basis point for its existing market. This creates a win-win situation for both the operator and seller. 2017 is expected to have higher amounts for exit strategy meaning that value will be stiffed at lower returns due to others exiting on the height of the bell curve.
Capital Placement is the process of placing the proper debt on a property that will perform well especially if stabilized. With rates expecting to increase it is important to place capital on the proper groups of assets.
Capital Formation is also know as the debt stack this can often refer to having the capital organized in a way where either the institution, lenders, investors, equity partners and sponsor has priority or is protected.
If you are a web developer or a marketer looking for a great opportunity, look into joint ventures. Keywords: business
If you are a web developer or a marketer looking for a great opportunity, look into joint ventures. Joint ventures are a great way to combine talents and create a winning product. Many people who have been successful at joint ventures came to the plate with one strong talent, whether a winning product or a great network to sell products. By combining your forces, you can create synergy and a healthy profit. Here are some tips on joining joint ventures.
Joint ventures are very easy to create. There are plenty of web sites that offer people the opportunity to post their business propositions online for other to see and consider. Many developers and marketers check out JV opportunities weekly looking for the next big product. For instance, many web developers use affiliate sites to sell quality products to the masses that offer huge commissions. Affiliate sites such as Clickbank, Commission Junction and even Amazon help small web developers sell their merchant’s items. You can also look at web forums for vendors or marketers that are looking to team up and make a healthy profit. So if you only have one piece of the puzzle, but still want to be successful, look into joint ventures and create a relationship that will benefit both parties involved.
Build Up Your Business Credit It is very important to build up your business credit scores to be able to avail of financial loans to fund your small business. In truth, small enterprises are now clamoring about for loans to improve their business by using the money for improvements, or purchasing inventory to meet consumer demands. Building up your business credit takes a lot time and effort, and requires a paper works by the dozen. Here are some tips on how to get started in giving your business credit rating a healthy boost: Set a business identity first The first step in improving your business credit is to get one in the first place. This can be done by registering your business as an LLC or a corporation. Next you need to provide all the necessary paper works required by lenders such as legal document like business permits and licenses, financial statements, references, contracts, and so on. You need to keep in mind that when you register your business as an independent entity, you need to have a fixed address of your business, as well as open lines of communication. (Note that P.O. Box is not acceptable as a business address) You might also need to register your business in a credit agency so they can keep tabs on your credit ratings and scores.
These organizations will act as reference when you apply for a financial loan that requires a valid credit report. Building up your credit status will depend on the financial stability of your business as based on the financial documents during its operation. Also, prompt payments are a major issue when it comes to raising your credit status. Fail to pay on the date agreed; you get a negative score on your credit score if that happens. You might also need to keep monitor credit card reports when they are delivered to you. Try to check for transactions that you did, or did not, make. If you spot an error, report it immediately to the corresponding agency. This will result to a higher credit rating. Get a loan Before you can actually improve your credit scores, you need to have a credit to work with. Many small businesses are now opting for business credit cards to improve their ratings. One reason for this is that these plastics have reduced interest rates and APR, which is quite useful for making prompt and affordable payments. Also, since business credit cards have no principal amounts attached to them, you can easily control the interest expense you make every month. You can do some budget planning to minimize expenses and maximizing profit, without worrying about interests piling up. Another way to improve your credit status is through credit lines. Many financial institutions, like banks, are now offering short-term lines of credits (LOC) for small businesses, with easy payment terms.
Since interest expense on LOC is dependent on the principal amount, you can easily reduce it by paying the original debt until you reach zero. With this term in mind, you can easily make prompt payments according to the agreement between you and the lender. The gist to build up your business credit is to make prompt payments on your debts. Whether you have multiple loans or tons of credit cards at your disposal, you need to make sure that you pay each one on its designated date. If done right, you are well on your way to improve your credit scores, which in turn, will improve the financial future of your business.
Need to create a pool of quality clients? Try these five easy steps.
So, it is that time. You are a working designer who has built a solid portfolio. You are as experienced generating concepts as you are comfortable sending them to print. You have carefully weighed your options and are finally ready to begin working for yourself. Congratulations! Now what do you do? Assuming you are equipped to handle the administrative functions of trekking out on your own (which is another article in itself), the next step is to begin building a client base. However, if you want to be successful in this highly competitive profession, you must not only build a client base, but you must build a solid client base. To help you on your way, I have complied five tips for building and improving your client base that I have found useful in my own work:
1. Form Partnerships with Other Vendors: When I was first getting started, my company was able to secure a contract with four major print centers which referred all of their clients who needed graphic design and typesetting work to us. In turn, we would complete the project and send the job back to the center to be printed. Not only did this provide us with a steady workflow, but we also established valuable relationships with new clients who would trust us with work in the future. I highly recommend forming relationships with other vendors. Print shops often need designers who can provide them with print-ready files, small marketing and public relations firms often need a reliable designer they can send work to, and many designers get overloaded with work and would love to pass some on to others in need of it. Get out there, make friends, build relationships and you will find good work.
2. Network, Network, Network! As you grow your list of contacts, you will find that something good starts to happen; you will gain momentum. When you build relationships you will find that the best way to gain new clients is through your established ones. Be clear to all of your clients about the services you offer and they will remember you the next time they hear of someone with a need you can fulfill.
3. Charge What You Are Worth. This is one of the most difficult things for a designer when they first begin to freelance. Inevitably, the temptation to discount your work will always come. The most frequent phone call I get is one where the prospective client needs something “simple” but really means “cheap.” Resist temptation. While there are times when these phone calls can lead to valuable client relationships, the majority will often lead to more calls asking for discounted work. Run the numbers beforehand. Establish your pricing and be clear about it with your clients. If you find that you absolutely must accept discounted offers, clearly represent how much you would normally charge and mark the discounts on the final invoice. This way, your clients will at least know what you would usually charge when they recommend you to others.
4. Learn How to Say No. Learning how to decline projects is an integral part of working on your own. Bad projects eat your time, create frustration, and cost you money. Establish your criteria for accepting a project and stick to it. You are much better off seeking and planning for the right job, than you are accepting the wrong one. Accepting only the good jobs will help you network with the right kind of clients and produce better work for you in the future.
5. Stay Focused. Focus! Focus! Focus! This is more of a tip for internal use than it is to outwardly seek clients. However, it is the most important advice I can give. So many projects remain incomplete because designers lose focus and turn their attention elsewhere. Whatever your goals are, write them down, create a plan, and stay focused on achieving them. Designers who run a tight ship are almost always the ones who achieve success in this industry.