It definitely takes money to make money. If you are broke get a job, but J. O. B. stands for Just Over Broke. Take the risk.
I have worked with investors who are seasoned and have a trained eye. They scour and roam the Real Estate countrysides (and other places) looking for potential deals to PLANT or SEED their money in.....But it did not start out that way.....You see it takes years of saving money in some instances to even consider playing the INVESTMENT game. Then perhaps you may pool with others and venture out there to do investor. Money that you have worked hard for called "SWEAT" money cannot be just gambled away.
WHATS THE NEXT GIMMICK?
Just like you see all these neat little gadgets in Army/Navy stores, 99 cents stores, novelty shops, late night TV etc, they are nothing you really need, but the little kid in you wants it just the same. That is what the investor or venture capitalist is looking for....things that you would want. You would be surprised at how many things have been rejected by the U.S patent office but remain viable and attractive ideas....they just cannot be monetized.
WHERES THE NEXT $$$
My point is that investors look for things that have promise...both short term and long term and then analyze them. No one knows what will or wont be a success thus you have investors spreading out their risks. Some in Real Estate, stock market, different start-ups, technology, medicines and software to name a few.
MINDSET OF WORKING CAPITAL
When your money starts making money, then we enter the recapture or recoup stage. You want to reach the point where you get all your investment back and then play with the RETURN $$ or the "houses" money. Now, the money you made is making money and this allows you to take more risks knowing that if you lose or miss, you really only lost what you made. The original NEST EGG is ready to hatch and then lay again.
REAL ESTATE INVESTORS
Usually Real Estate investors have a team in place, but other investments require a team and support. So, the deal gets looked over, but so does the people who they are trusting their money with. Can these people perform? Can they score? The investor needs to know this. If they have to walk-it through, they will charge and then make it part of the return on their deal.
Start-up for anything is loaded up front with risks...uncertainties and untested waters...No one knows what will happen and when, but their best guess and analysis is out there working until they make that commitment.
If you ever read the story of how Walt Disney started Disneyland, it is fascinating to say the least. It was loaded with risk and his vision carried the concept as far as he could. When he finally was able to raise capital and put the idea into play, he ended up with just a small percentage of the company. I remember Walt taking his friend Art Linkletter to Anaheim and showing him these dirt fields. Walt told Art, to buy as much land as he could because he is building something that will change and transform the whole area. Of course Art didn't listen (most people don't), but others did. Their share of the investment is in the multi-billion by now.
I DID THE MATH
I recently bought a fixer upper and spent time and money on it. Many people passed on the deal. I saw something, a potential.... and put my money into play. When I was finished, my phone rang off the hook. In the beginning, you may hesitate like everyone else, but you then realize the famous statement that comes into play...which is:
YOU CANNOT MAKE A GAIN UNLESS YOU TAKE A RISK
Money makes money...if you let it....... It is start-up that you have to worry about.
As a Real Estate Professional and consumer advocate, I will always ensure that your best interests are protected. Call me any time (772-204-9965) to discuss what you are looking for in a property and how we can get you the best property for your investment.