I was just watching an IG live by millennial influencer and VC John Henry, in it he was discussing a variety of bullets in the real game. But something he said made me really think and stirred in my spirit so I decided to share it here. And when you read it I want you to know that no more of your excuses will ever sit the same with you again.The statement is “You need to make sure if you’re the brokest partner in the deal that you’re the smartest partner in the deal”. This was a very profound narrative while being so simple and I’ll explain why.
So often in the culture I hear the narrative pushed that people don’t have enough money to invest, whether that be in real estate or that be the stock market. That because of our hinderances and the discrimination that we endure that we lack the financial capital means to fund deals. And until we gain that capital we can’t move and no one will take us seriously. That is completely FALSE!!! If there’s one thing I know for sure and two things for certain about the financial markets is that, CAPITAL FOLLOWS VALUE! One things trumps a lot of people discrimination and prejudice toward something and someone, there’s greed or obsession with money.
The key is to leverage the asset that you have if you lack capital, KNOWLEDGE! You need to know the your numbers, you need to know your industry terms, you need to know your STUFF!! All investment opportunity need one key and fundamental member, THE DEALMAKER! If you are the lowest capital possessing partner in this investment you need to become that DEALMAKER. If you don’t know the industry that well LEARN IT. Learn how to navigate the requirements, the permits that maybe needed, how to handle contracts, how to find contractor, in this grand age of technical, you can literally learn anything with a great level of commitment. Capital is one asset class knowledge is another. You perception of your value to a deal just need to change.
Stop just think if you don’t have the financial means to add into a deal then you don’t belong at the table at all. You just need to display to your partners where your value lays in this opportunity. And trust me just because an investor or partner put their capital into a doesn’t mean they wanna deal with the daily operations, the legal headaches, the nuts and bolts of it all. There is HUGE value in the knowledgable, DEALMAKING partner who might not have financial skin in the game but earns their keep by managing the deal thru infancy thru completion.
Stop merely seeing your only value to a table or a deal in dollars and cents and start using you other tangible asset value!!!