How To Gain The Trust Of Private LendersFast Action Finance
We have read many articles on how to build up your business from nothing to something incredible. Here in this article we are going to take you to the next step of how to get some money rolling in to develop your business. A key source of income would be from private lenders. Before you get the money coming in from various private lenders, you first need to build a good rapport with them and earn their trust on giving you money so that they always have your back when it comes to financial matters.
The thing about private lenders is, everyone seeks for people who have lots of money in their pockets. But what we fail to realize is that these are the people who are most sought for by different people who need money. These people include those who are financially savvy and who know this business really well. What works with such a competitive market is building good bonds with private lenders. When you are their friend, they are sure to help you in need. In this article, we are going to go through how you can land yourself in a trusted position amongst your private lender market.
Get to the right people to lend you money
The most important thing about seeking private lenders to lend you money is to first find the right people to help you out. The first thing to do is to get hold of your entire private lender market and then narrow down to a group of people whom you are closely linked to in your circle and then get to know them better. It is possible to narrow down your list of possible private money lenders to a very concise and small list to then work with them.
In order to do this, you can get the whole list of money brokers from a common phonebook, from people you know or simply from the internet. What information you want about these brokers can be customized by yourself. You can ask for their name, their contact number and even their house address. You can also get more information about them about their borrowing limits and their borrowing requirements on your part.
You can also find more detailed information about them, and this includes if they have owned their own house, if they have bought items through their mail, if they have owned bank certificates of deposit, also known as CDs, and if they were located in the same place as you. Knowing these details can give you more assurance about the private money lender you are looking for before you start to let them have the confidence and trust in you. It helps the process of narrowing down your concise list of money lenders to something even shorter and easier to work with.
Hike up your chances with your credibility
Once you have narrowed down your list, get them to come over to meet you over a meal. You don’t need a large crowd to come and visit you, but you need a small group of most probable money lenders to help you out in your business. The actual numbers of people who turn up for your meal do not matter, but it is important to work closely with those who actually come down. Those who respect your interest and come down usually have a good intention in lending you money, so do not let that go.
One of the better ways to get them to trust you is to give them something physical to look through and to know more about you. Some people take up the strategy of coming up with a book which has more information about their business and their assets. Some people even put photographs and information about the number of houses they have bought and used. Photographs work wonders and even before they head on to reading the information you have written about yourself, they are usually already convinced about your capacity to pay them back the money they are about to lend you.
Become a guy next door
Sometimes giving them a book with your assets and business plans and achievements is not enough. To have your business grow and to have private lenders approaching you instead of the other way round, you need your prospective money lenders to tell you that they have heard of you before and that they are convinced of your work to trust you and lend you the money. These are unsaid credibility which you can add into your statement as well, as it gives a great impression that you are well-known and well-trusted amongst many other money lenders.
At Fast Action Finance, we believe that private lenders can be more flexible and possess the right amount of entrepreneurial spirit to understand a borrower’s needs. Talk to us and learn more!