50% OFF Blowout ENDS AT MIDNIGHT! Plus Article "5 Things A Successful Note Buyer Must Have"
Published: Wed, 11/30/11
,
The PAPER SOURCE 50% off sale ends at midnight tonight --
HALF OFF on most of the store!
http://store.papersourceonline.com
Use the coupon code:
savings
at check-out. Almost every product is on sale.
If you prefer not to shop over the Internet, just call
us with your order: 800-542-2270.
Enjoy!
Bill
P. S. I will never send you an email that is just an ad,
so I've included the excellent article, "5 Things A Successful
Note Buyer Must Have."
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W. J. Mencarow
President, The Paper Source, Inc.
Check my blog for news of the note business and more at
www.PaperSourceOnline.com
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5 THINGS A SUCCESSFUL NOTE BUYER MUST HAVE
by Jon Richards
I think there are five things that a successful note buyer must
have. I define successful as making over $100,000 net per year. How
does he or she do it? Here are my observations.
1. Money
First you must invest money in your business. The good thing about
our industry is that you can truly start without laying out huge
sums, unlike, for example, a franchise. However, unless you devote
a substantial amount of money to marketing your note business, you
simply will not break into the ranks of the high-income note
buyers. We get too many calls from people who cannot even afford
a $20.00 book. These people will never make it.
My observations are you need somewhere between $5,000 and $10,000
to invest in your business. This will allow you to develop
professional marketing materials and to buy minimal office
equipment. In my case, we spent $5,000 developing a brochure to
give to Realtors. It has returned many times that amount, but I had
to make the initial investment. I'm afraid that too many novices
think that if they pay for the training they are ready to begin the
business.
It is not unreasonable to expect new buyers to make this kind of
investment in their new businesses. Above all, you must commit many
thousands of dollars to a marketing program. You also need to
commit money to an office, a fax machine, a separate telephone
line, a computer and minimal software. After all, note buyering can
be very lucrative, and can be one of the most effective ways to
achieve early retirement in the world.
2. Amazing Marketing Plan
You need to develop a powerful, if not incredible marketing plan to
find notes. The good news is that there are more notes in the world
than any of us could ever hope to buy -- the bad news is they are
damn hard to find in large enough numbers to make you wealthy.
You need a well-thought-out marketing plan to which you commit
money, time and most of your efforts. If you are not spending
at least 80% of your time finding notes you have your priorities
wrong.
I have found that no one way of finding notes works for everyone.
You need a marketing plan that fits your skills, budget and your
abilities. There is no magic secret. There is no hidden secret for
success in the note business. In short, you must build on your
marketing strengths and spend most of your time finding notes.
3. Credibility
Whether dealing with note sellers or professional referral sources
you must appear credible. I think we are seen sort of like bankers.
This means dressing the part, acting like you can perform and doing
what you say you will do.
You need to know the vocabulary of the industry and you need to be
comfortable when talking to a note seller.
You will need some computer expertise. At a minimum, you must be
able to write good-looking letters on a laser printer.
Credibility means not being too cute in your business name,
your logo or your stationery. Remember, we are seen as
bankers, and it is to our advantage to maintain that look.
Some of the best logos use, in small amounts, marble motifs
and steel-looking logos They imply strength and
integrity, your most important assets. Flaunt them.
I tell people I work with (major national investment firms)
that don't advertise locally. I flaunt my associations.
I tell people I have access to an unlimited amount of cash with
which to buy their notes. This is true. I don't think I'll spend
all of my investor's money. Flaunt your associations.
It just enhances your credibility.
4. Technical Knowledge
To be credible you must understand at least some of the
math in this note business. If you don't know what a "reverse
partial" is, or if you must leave the financial calculations to the
people you sell the notes to, you will find it hard to look
credible and believable. So become comfortable with the calculator
and you can certainly close more deals. Buy a few books on note
buyering. The more you know the more deals you can close, the more
respect you will get from the sellers and the more money you will
make. It is true. Knowledge equals income.
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"I could not work without TValue software, as it is the most
important tool of my business. I use it for note quotes several
times a day. And, of course, I use it for amortizations of
past and future cash flows on every note I buy."
- Lorelei Stevens, President of Wall Street Brokers, Inc.
and author of numerous articles and books on cash flows.
For more information: http://store.papersourceonline.com/tvalue/
Use the code:
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5. Staff
The fifth thing I think you need to become a successful buyer may
surprise you and you will probably resist it. But you should think
seriously about hiring some minimal staff. Once you have done one
or two deals and feel this business is for you, it becomes a major
burden to do the paperwork.
I think it is too easy to get bogged down in the minutiae
of this business and fail to see that marketing is everything.
A part-time helper is not that expensive, and I have found that
they can repay much more than their salary. I know it's a big step
for many of you, but hire a neighbor on an hourly basis and I'll
bet you'll quickly find that person is more than worth what you are
paying. This business can easily bog you down in details so that
you can't keep your eye on the 20% of what you do that earns you
80% of your income.
-- Jon Richards (d. 2003) was the editor of Noteworthy
Newsletter. His advice has stood the test of time.
Don't forget The PAPER SOURCE 50% OFF sale ends at midnight
tonight, Nov. 30.
http://store.papersourceonline.com
Use the coupon code:
savings
at check-out. Almost every product is on sale.
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