How to Raise 10 Million Dollars - EP.30

How to Raise 10 Million Dollars - EP.30

Author: Brad Johnson January 3, 2019 Duration: 35:44

In today’s episode we answer one of the questions that we probably get most frequently from people looking to break into the industry, and that is: ‘Once I’ve found the deal, how do I make it happen?’ 


Using the example of discovering a $10 million deal and looking at it from both the private equity side and real estate side, we take you through the steps on how to secure it, raise the necessary funds, as well as some additional tips to ensure you’re as prepared as possible!


Key Takeaways:

[:11] About today’s topic.

[1:35] The first step you should take after finding that $10 million deal: get all your materials in order (a teaser, financial model, and a deck)!

[6:15] What should be in your deck.

[8:09] Documents you definitely will want to have (especially when going to people you don’t know): a PPM and subscription agreement.

[12:14] How to initially raise funds to afford your deal — and the pros and cons of going to your friends and family first.

[16:58] How to raise funds outside of your personal network.

[28:38] Some more additional tips for securing deals.

[30:48] What to expect and be prepared to answer when asking for money.


Mentioned in this Episode:

Upwork

Private Placement Memorandum (PPM)


For More on The Alternative Investor, Check Out:

TheAlternativeInvestorShow.com



Hosted on Acast. See acast.com/privacy for more information.


For those looking beyond the ticker symbols, The Alternative Investor explores the tangible and often complex world of assets that don't trade on a public exchange. Host Brad Johnson, drawing from his experience at Evergreen Capital, believes a well-rounded portfolio often exists outside the daily noise of the stock market. This podcast digs into the practicalities of private equity, real estate, venture capital, and other non-traditional avenues. While these opportunities can offer different paths to growth, they come with their own unique set of questions and due diligence. Each conversation is geared towards demystifying that process. You'll hear detailed discussions on how these investments actually work, the structures involved, and the long-term mindset they require. The aim isn't to offer quick tips, but to provide a clearer framework for evaluation. Johnson breaks down real-world cases and strategies, focusing on the critical factors that can influence an outcome. It’s a resource for anyone considering how to allocate capital towards assets that aren’t as easily quoted or sold, with the understanding that higher potential returns often walk hand-in-hand with increased complexity. Tune in for a straightforward take on building resilience and potential through alternative holdings.
Author: Language: English Episodes: 50

The Alternative Investor
Podcast Episodes
How to Hire a Broker [not-audio_url] [/not-audio_url]

Duration: 22:16
et’s say you find yourself in the fortunate position to have a wonderful asset that you’ve operated for a number of years — whether it’s real estate or an operating business — and you’re ready to sell it. And now, you’re…
We Talk about a Purchase Agreement [not-audio_url] [/not-audio_url]

Duration: 28:52
After 2 ½ years of looking for a software business to buy with my partner, I think we’re finally getting towards the end! And at the end of the due diligence process when you’re going to buy a company… you’ve got to sign…
What is a Cap Rate? [not-audio_url] [/not-audio_url]

Duration: 18:31
Today is going to be our all-encompassing, definitive episode all about on cap rates! What are they? How they are used? What’s the whole deal here? Tune in to find out!We discuss how they relate to interest rates, what t…
Investors Need Love Too [not-audio_url] [/not-audio_url]

Duration: 19:06
In this episode we’re going to be talking about investor relations — i.e. staying in touch with your investors and maintaining good relationships with them. Investors are people too, y’know! Just like your friends or spo…
How to Read a K-1 [not-audio_url] [/not-audio_url]

Duration: 20:28
Today’s episode is all about taxes! Specifically, we’re going to be talking about K-1s. A K-1 is a tax form that you get from private investment (typically an LLC.) on an investment you’ve made. This is the tax form you’…
Productivity Porn [not-audio_url] [/not-audio_url]

Duration: 27:45
Productivity and how you get things done on a day-to-day basis is an ever-present issue for most everyone — including those in investing and alternative investing. There’s lots to do on a daily basis and you’ve got lots…
How to Raise Debt for a Real Estate Project [not-audio_url] [/not-audio_url]

Duration: 26:43
We’ve talked about finding deals, sourcing deals, putting a pitch deck together, raising money, and all that stuff — but we haven’t yet talked about how to go about raising debt for a real estate project.So today, we’re…
The Three Most Important Investment Metrics [not-audio_url] [/not-audio_url]

Duration: 15:39
We’re getting technical today — so fasten your seatbelts, buckle up, take an extra sip of coffee and get ready for today’s show. We’re going to be diving into the topic of the three most important investment metric:; NPV…
What Should Go In Your Private Equity Pitch Deck [not-audio_url] [/not-audio_url]

Duration: 24:05
We’ve talked about sourcing and analyzing deals — but, we’ve yet to really get into the details of what goes into the pitch deck. The pitch deck is the document you’re going to send out to your investors to let them know…
We Talk To A Guy With An Innovative Apartment Investment Strategy [not-audio_url] [/not-audio_url]

Duration: 1:07:08
This week on the show, we’ve invite on a real estate expert: Moses Kagan! Moses is a partner of Adaptive Realty — a property management company in Los Angeles.Adaptive Realty has a unique strategy with apartment building…