Since we first announced the “Gold Mine of Notes” booklet available on our On-Line bookstore, we have been bombarded with requests for a continuation and introduction to additional “synergy partners” as identified in the booklet.
“A Goldmine of Notes”, is simply a draft of the first chapter of a complete book (in process) written to assist note consultants and note broker in locating and ultimately purchasing notes by developing a long term relationships with likely sources of notes. The recommended methodology presented by Roberta is to develop long-term on-going relationships with “synergy partners” who have first hand knowledge of notes prior to recording. These “partners” either participating in the structuring of the note, the short-term custodian of the note or where the note is created, traded, manipulated or negotiated. Actually, any source where the “partner” or their client would either prefer cash rather than holding a note.
Because this e-zine newsletter is produced primarily to provide motivation, education and association with and for investors, note brokers and note finders. With this in mind, we have decided set aside a section of each newsletter to identify a series of strategic “synergy partners”, one at a time, and share ideas on how and why to contact each one. So, don’t miss this special section in this newsletter, with the introduction of Attorney’s as effective “synergy partners”.
In this newsletter we are featuring an article by Henry Dvorken, Founder and President of Courtman Mortgage Services. He has been in the real estate business for over 40 years and a cash flow specialist for more than 20 years. His article provokes food for thought as he draws a graphic comparison between two perspectives and how today’s business decisions seriously affect tomorrow’s lifestyle and environment in retirement. Great reading material, don’t pass it by! Also, look for his book on the NEW CASH FLOW presenting a clear and concise explanation of the Sale, Lease back and Option Back system. It is available on our web site.
For those of you looking for a funding source for notes secured by mobile homes in Mobile Home Parks, you will not want to miss an important announcement in our January 1, 2005 newsletter. There has been an enormous drought of funds available for dealers and individuals owning this class of note portfolio. But, help is on the way. We have a line on a new funding source just putting the finishing touches on their criteria and protocol for these notes. Industry studies, according to David Butler the mobile home guru, indicate that over approximately 800,000 to 900,000 manufactured homes are changing hand each year. What a whopping opportunity for the cash flow specialist!
For those interested in this kind of investment, you might want to take a look at David Butler’s book, “Tin Can Alley” – Making Money with Mobile Home Notes. The book includes a section on managing risk in Mobile Home Paper, how to broker the paper, negotiation and Structuring. This book is a great introduction to a profitable “niche” in the cash flow business. It is available on our web site www.sellerloans.com
There is a buzz abroad in the real estate industry about the benefits of using a “Land Trust” to avoid the lenders “due on sale clause”. This method is a “hot topic” on most creative financing discussion boards. Noteworthy publication will be scooping an article written by Tom Standen on the subject of the Land Trust. While the avoidance of the due on sale is an important aspect of this method, there are many other benefits to a land trust that you would be wise in learning about. I suggest you take a look at Tom’s article in the Noteworthy publication. If you are not familiar with the NoteWorthy Newsletter founded by Jon Richards, his books, publication or their conventions, workshops and educational opportunities, I suggest you pull up their website at www.noteworthyusa.com A great source we recommend for anyone in the cash flow business.
We are excited about the response to this, our first efforts in 2004 to publish this free On-line e-zine. We appreciate you kind remarks and your appreciation of our efforts to assist you in your quest for success. Roberta M. Standen, President
Attorneys certainly qualify as “synergy partners”. Think about it. They market a non-competitive valuable service to people with problems that often can be solved by note brokers, note finders and note investors. Their TARGET MARKET IS THE SAME AS YOURS. They have something of value to deliver to your target audience, and they I have something to offer them (how can I benefit them or their clients or provide a solution) Attorneys specialize in all sorts of areas, for example: Foreclosures, contract law, partnership issues, real estate, taxation, trusts and wills, estate planning, Divorce …and the list goes on.
Many new note brokers and investors are intimidated by Attorneys. Important thing is to realize and recognize, who you are also. You have the expertise and the means to solve problems for them and for their clients by magically turning pieces of paper into soft warm cash (not cold hard cash) you are available to assist them.
Attorneys come in all shapes and sizes. There are those who work out of a Home Office and Professional Partnerships occupying one to three floors of a high rise building and everything else in between. Here’s an example and how note professionals can help.
Partnership Attorneys deal in structuring and dissolution of partnership as well as disputes. Disputes and Dissolutions almost always result in balancing equity with one ore more notes as “in kind” property. These notes can be secured or unsecured. The important thing is, almost always the partners would rather have “cash”.
Divorce Attorneys Let’s see now. She gets the house; he gets a note secured by the house. Who has to make the payments on the note?? Do you really think she will make the payments when the kids need shoes or groceries? Do you think he would like to sell the note???
Probate Attorneys are continually faced with the difficult task of settling an estate requiring the division of assets between several survivors. It’s easy to divide cash, but not so easy to divide notes. A note broker and investors can solve this problem by providing cash often without the sale of the asset. You become more popular then the “tooth fairy”
Tax attorneys often have clients who cannot sell property for cash without a significant recognized tax impact? You ride to the rescue again by purchasing “part” of the installment sale note.
A quick perusal of the Telephone book will reveal a laundry list of Attorney Specialties including Real Estate, Family Law, Bankruptcy and Business Law. Regardless of the specialties, one thing almost all have in common. At one time or another they all have taken a note for all or part of a fee. Some, actually accept notes as part of their business practice and therefore have a portfolio of notes.
Marketing is a “Contact Sport” and marketing to Attorney’s is not different. You must be mentally prepared and practiced. Attorneys are “well insulated” and the profession requires an enormous ego to be successful. To initiate contacts with Attorneys you must be knowledgeable, be appropriately dressed in business attire for appointments. Produce a simple black and white embossed business card and perhaps a personal brochure featuring who you are and what you do.
Present yourself as a professional and know beyond a shadow of a doubt why you are there, what you can do for them and for their clients, what kind of problems you can solve, how you do it and how quickly you can do it…. in other words, have your act together.
Referrals My marketing “tool of choice” to use in marketing to Attorneys is to first make an appointment with our own personal and business attorney where he took the time to learn about how purchasing works. It wasn’t many days before we received a call to set up a luncheon appointment with an introduction to a business dissolution attorney, where we picked up some 50 notes to purchase for cash.
Social marketing is my next choice. What places do attorney’s frequent? How about golf clubs, service clubs, the gym, church, chamber of commerce. Social networking and introduction through mutual friends or acquaintances. Why not make a presentation at Rotary or other service clubs.
Direct Mail If you’re going to use it, you are faced with the likelihood your mailing piece will end up sorted as junk and land in the trash at the post office before it reaches the office, let alone the attorney’s desk. If you choose direct mail, Consistency, is the key and I would suggest a Newsletter produced by a professional Newsletter publishing company that appears to be “worthy” of the time it takes to open it.
Personal Visit Another favorite of mine. For attorneys in your immediate neighborhood, there is nothing quite like a nose to nose – toes to toes visit. Ask to see them for just 15 minutes. Be sure you stay only 15 minutes, when time is up, stand up and be prepared to leave. Why would they deal with you? Think about it. They are in the same kind of business that you are in. They find solutions to other peoples problems – and get paid to do this. You can help them do this.
No matter of how great and good you are and how much experience or education you have or how little you have, the important thing is: They have to know you exist. Your ship will not come in until you send it out. They just need to know you exist. And that is precisely why it is important to develop a strategic marketing plan to reach them. As my good friend David Butler says in “Growing Your Food Chain”, FOLLOW THRU OR DIE.