Apr 1, 2021
When capital is the barrier to our ability to scale, and we’re tapped out on our own resources, partnering with investors is the best path to more deals.
Whether we borrow money from family or private investors, people want to work with us because they know they can trust us.
Integrity and good stewardship of other people’s money is the key to a good reputation in this business, and it’s the secret weapon to continuing to raise money. Making our investors whole should always be our top priority - even if it means walking away from a deal that doesn’t serve them.
How do we build a foundation of honesty and integrity in our investing business? What are some of the biggest mistakes investors make with syndication deals?
In this episode, entrepreneur, author, investor and founder of Holman Homes, Dave Holman talks about his entrepreneurship journey, and why integrity is so important in the investing game.
Three Things You’ll Learn In This Episode
Why integrity is more important than the
Sometimes investors get so emotionally invested in a deal they overlook the risk and end up losing people’s money. A return of capital is a lot more important than an uncertain return on investment. Be willing to walk away from a deal that’s too risky - investors will trust us and want to keep working with us because of it.
The importance of trusting the people we partner
The deal, the location, the asset class and the capital don’t matter as much as the integrity of the people involved in the deal. Too many people blindly leap into deals without doing their own due diligence, and making sure the people they are going into the deal with have a good track record of putting their investors first.
How to find the opportunity in this
There are hard times on the horizon for our economy, but that doesn’t mean we should bury our heads in the sand. The people who prepare and position themselves to scale will catapult their lives, their finances, and their wealth. Many things are changing in the commercial real estate space, but the real opportunity is in the ability to repurpose assets and reframe them to meet an existing need.
Dave Holman is an entrepreneur, author, investor and founder of Holman Homes. Dave leads a team of experts in acquiring and managing residential and commercial properties that benefit residents, investors, and the planet. Dave grew up in North Yarmouth, Maine before attending Carleton College. His Latin American Studies major took him to Bolivia where he co-founded The Spitting Llama Bookstore and Outfitter- a chain of retail stores. Dave has written three books: Youth Renewing the Countryside, Coffee Smuggler, and Cyber Fire.
After earning his MBA at the University of Maine, Portland, he worked as Outreach and Communications Coordinator for Safe Passage and then as Assistant Director of Annual Giving for Bowdoin College. Dave has been a real estate investor since 2011 and is a broker for Remax Riverside specializing in commercial and investment property. He co-owns rental 94 units in Southern Maine and enjoys working with owners, residents and contractors to solve problems and improve communities. Dave has served on the board of the Ecology School in Saco and his local Budget Committee and Parks & Rec committee.