If you're willing, I'd like to ask you, Keaton Patel, what is the BIGGEST RISK?
It's a great question. So basically, for me, my business Mukhi Capital. I do underwrite deals, conservatively, a very, very conservative outlook. So for me, the biggest risk is not getting the variety of investments to my investors, I work with one or two sponsors, I really, really limit everything because I just don't see the quality deals out there in the market that meets the criteria I want them to meet. So for me, the biggest risk has been finding additional sponsors that are you know, giving a little bit more variety to the business and to to minimize it. I'm doing what I can and taking actions and changing the strategies.
Today, my guest is Mike Fried. Mike is the president of all American public adjusters licensed and appointed Insurance Claim consulting firm and Aftermath Consulting Group, a large loss consulting firm, he has extensive experience as an independent adjuster.
If you're willing, I'd like to ask you, Mike Fried. What is the BIGGEST RISK?
For me and our company, its liability. We don't have the ability to make a mistake. We have to be forensic. And we have to get everything right the first time, there's really no going back to the well for us, especially if we get something wrong. So we constantly educate ourselves with certifications with continuing education really means specifically, its liability against making mistakes. And the biggest mistake we have oftentimes is communication, where either we communicate too much, or occasionally we communicate not enough. And it's hard to meet the expectations of all the clients there. But for us to avoid risk professionally, it has to come down to being mistake free. It's your claim. And you're hiring somebody and frankly getting paying them a lot of money. We don't really get the luxury of making mistakes, because it's my bond you're going to come after if I screw it up. So oftentimes, to avoid risk, we have to be thorough, we have to be very expeditious and we have to avoid mistakes while doing both of that both of those. So avoiding risk for us is as simple as avoiding liabilities. And and really it's it's with industry education, it's with communication. And we do the best we can to be mistake free. But it happens
Today, my guest is Dave Beau Dave is a real estate entrepreneur, best selling author, speaker and investor attraction expert based in beautiful British Columbia, Canada.
I'd like to ask you, Dave Dubeau, what is the biggest risk?
Well, do you mind if I give you two answers? No, we will. So the biggest risk is staying stuck. That's the biggest risk, right? Just trying to sell finance your deals and not growing your portfolio because you're not going to achieve what you wanted to real estate in the first place. Okay? So beyond beyond the hoody, Flutie whoo, whoo, kind of big risks. The tangible risks, the biggest tangible risk I see with people when it comes to raising capital is crossing the line with the Securities and Exchange Commission or your your local authority. I see people making this mistake a lot. And sometimes they get away with it for a while, but eventually it catches up with them. And it can cause a whole world of hurt and expense that you don't want to go through. So the process I've walked through through here today is a very good one. And it also I also highly, highly recommend, talk to a real estate lawyer in your area, explain what you want to do, and see what do you need to have set up to do it properly, maybe you don't need anything, if you're bringing somebody on board, as not only a money partner, but actually a joint venture partner in a deal, you might not need to do anything, because they're your equity partner. And they're actively involved, not just with money, but they're actually doing something. So you might be exempt that way. But make sure that however it is that you're bringing your investor partners on board, you are compliant, and you're not crossing the line with the Securities Commission.
Today my guest is Shannon Robnett. And for the last 40 years, he lived in Boise, Idaho. He's been building and developing there for over 25 years. And two years ago, he moved to Puerto Rico for tax purposes, but still has three companies in Boise. And in just a minute, we're going to speak with Shannon about the benefits of new multifamily ground up construction.
Darrin: Shannon, Robnett, what is the biggest risk?
Shannon Robnett: I think in my business, the biggest risk is having the wrong people in the right places. You know, you talk about risk transfer. You know, I've always found that when I, when I'm looking for a property management solution, I need something that's customized to me that that is looking after my property like it's an asset. And so I could do that. And I could make that happen. And I could, I could become a pseudo property manager. But why not go find the best property manager in the valley that I've always admired and wanted to hire? And why don't I hire him and make him an offer, he can't refuse to make my mind machine run smoothly, and take that risk out of it. Now, I know that I have somebody that's tied to the bottom line that's financially responsible to me, for the well management of our assets, that's doing it in a phenomenal way. And I've done that in in several key places in my business. And I think that when you when you aren't taking care of your people, when you're not looking at the personnel you have, I think you're taking some pretty big risks. And so having great people that are in it, to win it that are part of your team, I think is the biggest way to mitigate that risk. And the biggest way to ensure that you're going to be successful is because you're partnered with the right people, you're working with the right people and you've hired the right people.
Today, my guest is Brent Bowers. Brent was an army officer spending way too much time away from home. And he knew he needed to make some changes. And that is when he found land and the ability to create a passive income with land. And in just a minute, we're going to speak with Brent about how to build passive income through land. That gives you a life that allows you to do what you actually want to do.
J. Darrin Gross:
Brent Bowers, what is the biggest risk?
Yeah, I want to talk about a property we buy. It was late 2017. It was the last vacant parcel of land in a mobile home park. And it was from a lady her husband had died. And he was a builder. And he pretty much he went bankrupt. So long story short, we had to reactivate his his LLC to be able to take ownership of that piece of land. And we went through all these steps and I had a buyer already lined up for $16,000 that I found on Craigslist. So I had about $900 into reactivating this LLC back tax his lawn service fee from the city and paying the seller so the seller really only made like 200 bucks off of this parcel land. Well, when I had sold this parcel for 16 grand to another builder that was going to put a brand new modular home on that title company found out that there was $157,000 IRS tax lein on it. So I did not do my due diligence in the beginning and run, like owners and encumbrances or O & E is what we call it, or even a title search at that point, you know, I was kind of just shooting in the dark. So I was just, I was so sad because I mean 2000 beginning of 2018 at this point like that, that was life changing, like I had just had I had a brand new baby, first first child. And actually, no, that was my second child by then let me let me back up that second child. But that would have been game changer, you know, a profit of 15 grand basically. So what I did was I waited a year I cried a bunch now, continue refining my system continue buying land, but I never took that deed into my name. Like, I never took ownership of that. And this poor lady would call me and never return a call. She's like, are you ever going to record that deed? Because I'm still receiving calls from the city and blah, blah, blah, I would just ignore because I was scared. I didn't know what to do. $157,000 IRS tax lien I didn't want to take on that I was like, Man that would bankrupt us from the very beginning. So long story short, I found a title company A year later, heritage title. They said, Listen, these things sometimes fall off, let's figure it out. So they cleaned everything up. I still did not take ownership of this. But it was good to go. So like go ahead and sell it, you're good. It's dropped off. The IRS drops these things off every so many years. I don't know how it works, just called dumb luck, or God blessed me I would say it was probably God, God's blessing, which we you know, you get lucky. The more you do that, the more God bless you. Um, so long story short, I found another buyer I think this time was on Facebook marketplace or buy sell groups, but found another buyer for 35,000. So one year later this I got confidence in myself in my process. So I doubled the price basically, I also got $5,000 down, I only had 980 into the property. So I got $5,000 down and it's a 52 and a half month term at 534 a month so I'm still getting $534 a month and I will be for another I think two two years two and a half years on this property but that's the biggest risk not checking the chain of title making sure that if J Darrin Gross leaves this property to Brent Bowers and you leave out Jay we just broke the chain of title so that's that's one risk and two is doing your background your due diligence and your title search and making sure there's no IRS tax liens or encumbrances or city liens. You name it. So there's my risk story.