Other People’s Money speech by Danny DeVito

Approaching wealthy people as potential investors for your real estate business takes a good deal of thought and planning. You don’t want to come off as a “pushy salesman” or an individual that only care when it comes to humans because they have money. You likewise don’t want to break any regulatings or securities laws and I’ll tell you flat that in that area you need specialized counsel (and it ain’t me, because I’m a merchandising consultant not an attorney).

Approaching wealthy people and presenting your investment probability to them legally is kind of like, if you were a guy who was attempting to attract women into your life. You wouldn’t want to just walk up to beautiful women (our comparison in this analogy to wealthy potential investors) and say, “I’d like to sleep with you, what do you say?” Likewise, you don’t want to go to rich people and say “Give me 100,000 dollars to invest for you, cool daddio?” Would you get a one in a couple hundred response? Sure. You in all likelihood could. How do I know that? That’s neither here nor there. However, what you may do is much better than that, and you will have a much higher percentage of persons responding to you favorably– not beginning to walk the other way when they see you coming down the hall.

Please do not forget that I’m a syndication consultant. I’m not here to give you all the legal pieces because I don’t recognise them. Other people do that for my own businesses, and I’m very thankful that they keep our activenesses on the right side of the law and out of the ignorant masses who try to do this and oftentimes, break the law without even knowing they’re doing it. Again, this is retail counsel not legal advice.

That being said, the firstborn thing I would do when approaching wealthy humans as potential investors for a real estate business would be to have various elevator pitches already designed and in mind for the types of humans that you’re likely to run into.

Secondly, you’d want to tailor your conversations toward the person each time. If you have a former kinship with them, if you’ve already talked to them, if you’ve already bumped into them, if you’ve counterchanged chit chat with them with regards to their job, keep a file on particulars and info you know in regards to them. It’s not Machiavellian; it’s smart selling and salesmanship to recognise these things.

If these are humans that may put $100,000 into your pocket or into one of your deals, would it not make sense to know: their childrens’ names, where they live, what type of sparetime activity they have, that they’re fascinated in fishing, that they are a University of Georgia fan, that they grew up in Harlem and now they’re proud of the fact that they’re a first-generation white-collar worker, or anything similar? Sure it would.

These things are necessary to know regarding humans that you want to approach and ask for money, because they are important things you want to know regarding ANYONE you’re looking to connect with at a higher level in your business (or even in making friends for that matter).

What is it that they do for a living? Are they a CPA? Are you going to appeal to the CPA the same way that you would a doctor? No. So you gotta recognise those things.

Third, find persons who are employed to dealing with that kind of person already. For example, let’s say you come all over doctors and you want to know how to talk to them in regards to your investment opportunity. Would it not make sense to talk to assorted pharmaceutical salesmen who do that for a living? It just so happens that I recognise of at least four persons who already do that, and chances are you do too. I’m sure they could give you wealth of tips in regards to how to approach doctors. Same goes for whatsoever kind of wealthy person you want to approach-find an individual else in your sphere of influence that deals with persons like that in the course of their each day life (usually not for real estate purposes, or they might be a competitor!) and pick their brain with regards to how to talk to the kinds of humans they know well.

They might not have neared those same doctors to get them to invest in a project, but they’ve talked to them regularly. They know how their existent approach works. They recognise how to fly in underneath the radar. They’re competent to work with those people, or they’d end up getting kicked out of that business because to extend our doctor and pharmaceutical sales rep metaphor, pharmaceutical sales is a very unrewarding business if you don’t have the capacity and the assertiveness to take control of a speech with a busy doctor who has lives on the line and you’re taking up his time to try to trade him a widget. I mean, timid salespeople have skinny kids, ya dig?!

But to proceed our line of reasoning with doctors as an example group of wealthy people and pharmaceutical sales reps as people who make a living talking to and syndication to that market, you will see that these guys and gals who trade to doctors are sharp and have very good conversational skills. They know what works and what doesn’t with doctors. It’s the same with CPAs. CPAs are a sure type of breed. We all recognise we don’t like being stereotyped, but we still all do it. If you all want to learn more with regards to that, one of my bestloved books is Marketing Influence: Science and Practice, by Robert Cialdini. I tell everyone with regards to that book. It’s great. It tells you all in regards to humane influence, how to find what motivates people, what persons are fascinated in, and the principles of influence causing persons to make one decision over another.

While no one likes being stereotyped, it may be helpful at times. You don’t want to price people out of your information, your market or whatsoever it is and say because that person is this or that they wouldn’t be mesmerized in it. You could talk to people who trade cars, for example, and they’ll tell you that if a black person walks in, they aren’t going to buy a car. Then, there are others who will tell you, if a Jewish person comes in, they’re not going to compensate full syndication for a car. Or, if an Italian person comes in, they’re only fascinated in being macho and having a big red convertible car. If that type of person walks in and they don’t have that type of car in inventory, or they don’t like dealing with people who won’t compensate full retail, or they think that they’re broke, they won’t even try to trade them a car.

Yet, those humans have proven just by walking into the car dealership that they’re fascinated in buying a car. What if that same car salesperson had someone walk in who was Black, Jewish, Italian, and a woman who smoked cigars? How would he trade to that person? Think regarding it. Someone could be in all of those groups, which means most of those stereotypes wouldn’t hold true, so don’t get too caught up in stereotypes, but use them to find out what persons have in common.

Let’s get back to the subject at hand: approaching wealthy persons as potential investors for your real estate business. As I was saying earlier, it’s necessary to have a number of dissimilar elevator pitches already prepared to give to these people who you just bump into. You have a quick chit-chat. Keep things very low key, and then say something like, “Oh, by the way, I don’t recognise if I ever told you this but…” It’s not a sales pitch. It’s merely throwing out a net and seeing if they step into it. This is the best way to fish.

I in truth don’t have the goodnatured tolerance for fishing, but if I did, I would look for a way that I could throw a net out and just let the fish hop into it because they wanted to. Do this for your doctor, your CPA, your attorney, and the affluent professional that you run into in the building where you work, where you’re going, where you spend time, or at a conference. Keep it low-key. Let them step into your marketing net, if you will, and then give them more information. You don’t want to overload them with too much.

A good example elevator pitch you may use for approaching wealthy persons as potential investors in your real estate business might be something like this: “By the way, I don’t know if you ever knew this or not, Dr. Smith, but I work with a number of affluent individuals, both myself and through capitalist groups, numerous of whom have seen the intelligence of placing cash in secure projects that are backed by real estate, receiving a very healthful and generous return that presently outperforms what you’re probably already getting on your existent savings or retirement accounts.”

I have used something similar to that for years, and it works for me and for my personality. Your occupation is to invent what works for you and your personality, but those are the points that you want to hit: others have seen the intelligence of doing this- that’s social proof- safe, secure, and backed by real estate.

You may ask why say “Healthy and generous return” and that’s a legal question. Do you want to give it a number? In my experience, no not at primary you don’t want to talk percentages. Not unless you want to go to jail. You’ll give that later-after you’ve established a kinship with these people. Remember, my counsel is not legal advice; it’s retail advice. You’re having a speech with somebody you bumped into in the café of where you work or in an elevator. You want to let them recognise that it’s safe and secure, backed by real estate-healthy and generous return that surpasses what they’re presently getting in their savings or retirement accounts. That’s all you need to say, and let them tell you if they want to learn more. Then and only then may you qualify them per suitable legal regulatings and then share with them more particulars and specifics in regards to returns they may suppose as one of your private investors or lenders for your real estate business.

I like saying “others have seen the intelligence of doing so” in a circumstance like this because every one (especially those with huge egos) wants to be seen as and to feel ‘intelligent’. It’s a loaded word that in our culture is highly priced-even by mute people. I mean think with regards to it, how is it that in blind surveys over 80 percent of respondents consider themselves “Above average” when staged with a range of choices with regards to their intelligence? I mean, just 3rd grade math tells us that 80% of people CANNOT be ‘average’ yet again and again people’s sensing (or mystery hope) with regards to themselves is that they are ‘smarter than the intermediate bear’ as Yogi would say. You’re hitting that social proof button likewise when you say something like “others have seen the intelligence of investing”.

Here’s one last thing that you want to throw in there that I like to call the upper-cut. You may not have a project right now to put them into but you still have your feelers out looking to raise cash for your real estate business. You may not have a property right now that you’re raising cash for, but you want to be capable to get them to discern themselves if they’d be mesmerized in that, so that you may follow up with them later.

By the way, these are not persons that you send a whole bunch of emails or whatever. These are primary humans who raised their hands and said I’ve got the capacity to give you $100,000 or $500,000. You follow up with them one-on-one because they is worthy of it. Not that everyone doesn’t is worthy of it, but we’re talking in regards to leveraging your time. If you’re like me and you’ve got 25,000 or more humans on your buyers list, you might only find 80 people who are more than willing and competent to give you $100,000 or $500,000 and those persons will have to listen from you regularly, whether you have a project to put them into or not. That doesn’t mean the rest of the tens of thousands are unimportant, it just means you have to prioritize your time if you are looking to approach wealthy people as potential investors in your real estate proejects.

That being said, the next thing that you want to do is let them know, “Sometimes I have a project that’s available for investing. Other times, I’m exclusively oversubscribed, meaning other humans invested. However, I’d like to have your permission, Dr. Smith, to keep you in mind for the probability to invest with me when I come throughout things that meet your criteria. Is that okay?”

It’s very simple. That whole speech may be had in less than 2-3 minutes and touch on each of those terms I mentioned. That’s why those things are called elevator speeches. You’re among levels 14 and level 1 heading down in the lobby, they’re getting ready to go to the pool, you’re getting ready to go to lunch, whatever; you just had a 60-second to 180-second quick conversation.

You threw the net out, and they jumped in and said “Yes. I do have a lot of funds that I think I could in all likelihood get a heap of better returns on. How to I find out more?” Bam! You interchange cards with them and say “I’ll follow up with you Dr. Smith, Dr. John, CPA Tony”, or whoever it is. That is how simple approaching wealthy people as potential investors for your real estate business may be.

Other Peoples Money Speech By Danny Devito

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Other Peoples Money Speech By Danny Devito Pic

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16 of 16 humans found the following review helpful.
Bankers, but with thoughts and feelings
By Deuterium
This is an exceedingly well crafted novel and a very good read. To a heap of extent I was expecting it to be a banker-bashing exercise, but this is not the case. It’s a well-paced Zeitgeist novel, very well constructed and easy to read, both perceptive and humourous.

2 of 3 people found the following review helpful.
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I confess to an occasional voyeuristic interest in the doings of the rich and privileged, particularly if my reading likewise gives me an clear or deep perception into their lives as humane beings, as this new novel surely does. Sir Harry Trevelyan-Tubal, expensively dapper as ever, but his mind damaged by a stroke, is dying at his villa in Antibes. He is the titular head of Tubals’ Bank, the last family-owned bank in London, founded by his ancestor Moses Tubal over three centuries before. His family has long since been assimilated into the establishment, generations of English gentlemen invented by “years of evolution, fostered by rugby, cold showers, beating, poor feed and study of the classics,” as Cartwright wittily remarks. The guest-list for Sir Harry’s memorial service, with which the book opens in a leap-ahead prologue, is nearly the cream of British society, including such fantasti titles as “the Earl and Countess of Wendover, the Macallan of that Ilk and Lady Macallan, the Malcolm, Lord of the Western Isles,” and so on for two pages.

But all is not well at the bank. Julian Trevelyan-Tubal, Sir Harry’s son and the present CEO, has been caught by the hedge fund and derivatives market, and now will have to divert funds from other origins to incorporate the harm long sufficient for him to trade Tubals’ and get out, keeping this a mystery from the financial world and even his own relatives. But as the family gather to pay their farewells and regroup after the funeral, stresses commence to appear. Julian’s elder brother Simon returns from abroad and wants a share in things. Fleur, the former actress who became Sir Harry’s second wife, is having an affair which may not without apparent effort be hushed up. Sir Harry’s devoted secretary, Estelle, has an agenda of her own, and knows things that the others would not want told. But the most dangerous threat of all is almost trivial: the quarterly allowance paid by the bank to Fleur’s primary husband, an aging provincial theater conductor named Artair MacCleod, of a sudden dries up, and a young reporter at the local newspaper wants to know the reason why.

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