Page 219 - Trump University Commercial Real Estate 101

Y ou’ll Never Get Rich by Y ourself

prefer commercial properties because they lubricate my business with
large amounts of fresh cash on a monthly basis.
When my mortgage broker presents me with a couple of fi nancing
opportunities on a deal, I ’ ll usually take the one that requires less of
my cash, even if it means somewhat less ultimate profi t.
When investing in a commercial property, you increase cash fl ow
mainly through your selection of the right property management com-

pany. Your manager in turn increases cash flow by raising rents, market-
ing the property effectively in order to increase occupancy, and all the
other activities aimed at keeping happy, paying tenants at your property.
Your manager is of course central to the expense - control side of
the equation, too. For instance, by jumping on maintenance issues
instead of ignoring them, they are guarding your cash.

Cash Checks

This is the fun part, and it ’ s why we ’ re in business. When you ’ ve been
investing for a while, you can afford to have less - frequent but bigger
paydays. I recommend that early on, you try to arrange a series of
smaller checks that come in regularly. By small , I mean they can still be

nice, fi ve - figure or maybe six - figure checks. Just make sure you ’ re see-

ing them regularly. That way, your brain will closely connect the
reward with all the effort you ’ re expending to learn the business, dele-
gate, negotiate, and be creative in a hundred different ways.

Your Skill Multipliers

In an earlier chapter I discussed how you can get money multiplier s into
your life. Instead of being limited by your own funds, you can use con-
ventional and unconventional lenders to provide all the money you

need to finance your deals.
You ’ ll give another major boost to your investing career when you
assemble a team of specialists. They are your skill multipliers .

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