- Chris & John
Ep 73: Raising Capital and Maintaining Investor Relationships with Logan Freeman
Raising capital is never easy and your relationship with investors can make or break a deal. Today’s guest is Logan Freeman, founder of LiveFree Investments, who has found success by cultivating key relationships with investors in Silicon Valley. We start the episode by exploring Logan’s history which includes a brief stint in the NFL. Logan explains how he went from cold-calling clients in the day and working on his Master’s degree at night to buying and flipping his first house. We talk about the benefits of investing in ‘your back-yard’, as Logan does in Kansas City. He shares his early failings and what he learned from trying to convert his list of single-family home investors into commercial investors. On the topic of investor relationships, we discuss how important it is to educate investors on who you are and what you stand for. Logan reflects on what you need to raise capital and that your personal values and qualities are more significant than learning any tips or tricks. When asked how Logan finds investors, he talks about how you need to identify your target investor group to first get your message in front of them. Once you have their attention, you can nurture that relationship by adding value to their lives. For Logan, this involves posting meaningful content on BiggerPockets and LinkedIn, speaking at events, and engaging with podcasts. Listen to the episode to learn more about how Logan raises capital and maintains investor relationships.
Key Points From This Episode:
Logan takes the time to tell listeners about his background.
How Logan learned to value the money and hard work from a young age.
Hear what ‘lightbulb moment’ led Logan into real estate investing.
The benefits of being able to ‘invest in your backyard’.
Logan’s first wrong assumption; thinking he could raise capital on commercial properties from single-family home investors.
How Logan’s sales background helped him find answers to his investor objections.
Using BiggerPockets to find investors and increase your presence.
Many of Logan’s early investors were investing in him, more than an asset.
Learn what qualities Logan thinks you need to raise capital.
The importance of nurturing the relationships you have with investors.
That there are no ‘quick-wins’ in real estate; first you need to become an expert.
Why you shouldn’t look for investments that are outside of your scope.
Why you should focus on your investment niche to do well in real estate.
Understanding who you are and building the correct structures around you.
Knowing your ‘avatar’ — the investors that you target — and how to get their attention.
How to keep your investor relationships warm; be consistent and add value.
Turning partners into experts to both empower them and build investor trust.
Tweetables
“Everyone wants to give you a tip or trick or skill. What you have to have is grit, persistence, discipline, authenticity, and honesty. That’s how you raise capital.” — @LiveFreemanBlog [0:15:48]
“If you try to do everything, you’re going to be really bad at anything.” — @LiveFreemanBlog [0:27:19]
“Find your avatar and go and play in their sandbox. It’s a waiting game. Don’t ask for anything. Jab, jab, jab, right hook. And finally, the day came when I right-hooked and they were waiting for me to bring them a project.” — @LiveFreemanBlog [0:37:38]
Links Mentioned in Today’s Episode:
Logan Freeman on BiggerPockets
University of Central Missouri
Sizing People Up: A Veteran FBI Agent's User Manual for Behavior Prediction
The Real Estate Investing Experience Facebook Group
Get in Touch
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The REI Experience YouTube - https://www.youtube.com/channel/UCjt6pmkA8ogACZ26oqhBM0g
The Real Estate Investing Experience Podcast - https://podcasts.apple.com/us/podcast/the-real-estate-investing-experience/id1481520260