The Investing Advantage Podcast

Discover the journey of a Shane who learned the hard way that investing in courses and coaches isn't enough to succeed. This episode delves into the practical aspects of investing in commercial real estate, including how to assess opportunities objectively, strip out the hype and fluff, and partner with experts for tangible results. Learn how to evaluate cap rates, understand the risks and opportunities, and make informed decisions. Tune in to hear from the expert and discover what it takes to succeed in commercial real estate investing!   [00:01 - 04:40] Detaching from Investing in Courses, Coaches, and Consultants  Over $150,000 invested in courses, coaches, consultants, and seminars in the past two years One-third of those helped purchased their first commercial property Suggested a minimum investment of $250,000 to attract those without emotional attachment to the idea Realized the danger of investing in the hope of a quick fix or magic formula and paid dearly for it    [04:41 - 08:46] The Power of Certainty  Recognized that people desire real solutions for their business needs, without gimmicks or hype Analogy drawn between a personal trainer and a cosmetic surgeon, emphasizing the importance of certainty and lower risk/investment Shifted focus from selling what people need to actually providing hands-on assistance Adopted a partnership approach with clients, offering practical help to achieve their business goals    [08:47 - 14:24] Assessing Commercial Real Estate Opportunities Commercial property value is determined by the cap rate Cap rate indicates the return on investment if the property was purchased all cash Brokers and sellers may overprice the property despite market conditions Investors should evaluate the risk and opportunity of a property before investing Seeking expert advice and asking difficult questions can help investors make informed decisions    You can connect with me on LinkedIn, follow me on Twitter, and watch my videos on YouTube. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money     LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.         Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.         Tweetable Quote:   “The worst thing you can do is rush a bad deal” - Shane Melanson

In this episode, Shane discusses the significance of practice, mentorship, and making sacrifices to acquire knowledge. He delves into the development of creativity, confidence, and success in business. Discover the three fundamental components for achieving success and learn how to become a confident investor or expert in any field. Join us for insights on personal growth and how to apply the right skills to unlock success!    [00:01 - 04:37] Lessons in Creativity and Confidence  Protecting and encouraging creativity and confidence are key to success, whether in soccer or business  Building skills requires hard work and dedication, just like my daughter's commitment to practicing six days a week  Getting enough practice and exposure is essential to gain confidence in investing or any other field  Finding a mentor or coach can help you learn the right skills and avoid wasting time on the wrong things    [04:37 - 08:12] Strategies for Improvement in Sports and Investing  Focus on a few skills to succeed in a game, which may change depending on the opponent and focus  A great coach is important to point out mistakes in a constructive way to improve performance  Offering to work for free in exchange for coaching is not a guaranteed way to get it, and it's important to invest in learning through payment or sacrifice  Finding a mentor or coach may require creativity and persistence, and it's essential to seek out knowledge from various sources, even if one potential coach is not available    [08:13 - 12:28] Developing Wisdom and Experience for Business Success  Wisdom and experience are crucial to avoid making mistakes and problems in business  Insights gained from experience are often not fully understood until after going through several cycles of trial and error  Learning through observation and doing is more valuable than traditional education in business  Developing skills and taking a long-term perspective is necessary to become a confident investor or entrepreneur     You can connect with me on LinkedIn, follow me on Twitter, and watch my videos on YouTube. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money     LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.         Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.         Tweetable Quote:   “There is like absolutely no shortcut to doing the work and developing the skills.” - Shane Melanson

Link to my Linkedin: https://www.linkedin.com/in/shanemelanson/   In this episode, Shane shares the story of experienced developer Chris and inexperienced developer Fred, highlighting the differences in their approaches to budgeting for a project. Chris offers invaluable advice on due diligence, engaging consultants, and identifying potential risks when interviewing contractors. They stress the importance of working with experienced developers to avoid costly delays and make informed decisions. Tune in to learn how to create a budget for due diligence and avoid losing money on development projects.   [00:01 - 05:00] What to Consider When Budgeting for a Project Differences between experienced (Chris) and inexperienced (Fred) developers Importance of engaging consultants and submitting plans to the city Focusing on price alone can lead to costly mistakes Reviewing drawings in advance can save time and money in the long run   [05:01 - 08:43] Questions to Ask Before Starting Your Project Importance of asking about contractor experience, project team, trades access, and price per square foot Testing contractors on their knowledge and ability to execute the project Walking away from a project that doesn't make financial sense is often the better option Identifying and mitigating project risks during contractor interviews can save time and money in the long run   [08:44 - 12:46] Tips to Avoid Costly Delays and Risks in Development Projects Obtain accurate information upfront to prevent delays and negative outcomes Avoid incorrect information that can cause delays and damage reputation Understand legal and civil issues related to the project beforehand Develop a budget for due diligence upfront and engage team members early to avoid costly mistakes   You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.    LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.       Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.       Tweetable Quote:  “t's almost better to just cut your losses and walk away than to try to force a bad deal.” - Shane Melanson

In this episode, Shane discusses how to avoid common mistakes when raising capital. Emphasizing the four key questions surrounding money flow, he also looks at Steve Jobs' ability to create a simple yet effective pitch deck. Shane explains how to simplify investment class explanations, warns against comparing real estate to other investments, and stresses the importance of explaining why a property is a safe investment. He cautions against making assumptions about investor motivations and highlights the need to create a concise, effective pitch deck. Tune in for tips on creating an engaging and informative pitch, in just 12-15 pages!    [00:01 – 06:34] Lessons on Clarity, Simplicity, and Understanding Your Audience  Don't over complicate your pitch deck. Keep it simple and easy to understand  Avoid positioning your investment against other vehicles but focus on explaining the value of your specific investment opportunity  Don't assume you understand the motivations of your investors. Ask questions and make sure you are aligned with their goals  Clearly explain the priority stack for different classes of shares, if applicable, so investors understand the potential returns and risks involved   [06:35 – 09:46] Lessons on Creating a Successful Investor Pitch Deck  Understand investors' motivations and timeframes to ensure alignment and transparency  Keep pitch decks simple and concise, ideally 12-15 pages, to respect investors' time and avoid confusion  Regularly practice and refine investor presentations to improve and raise money with more certainty  Seek out a mentor or coach to provide feedback and help improve presentation skills    You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.    LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.       Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.       Tweetable Quote:  “When you're putting your pitch deck together, make sure that it is as simplified as possible.” - Shane Melanson

Jim and Jamie Sheils, founders of 18 Summers, experienced challenges as a blended family and used Family Board Meetings to bridge the gap and connect. They now help families and organizations globally to discover the importance of quality time and relationships through 18 Summers.      [00:01 - 11:42] Building a Strong Family Life in Real Estate Family should come first, even in the pursuit of success in real estate  The need for practical and simple tools to help build a strong family life  The impact of a strong family on overall success in business and life  The importance of intentional time with family, as demonstrated through the concept of "board meetings" with children    [11:43 - 23:20] The Power of One-on-One Time and Intermittent Tech Fasting One-on-one time strengthens relationships and clarifies communication  Make the most of limited time - 85% of quality time with children by 18th summer  Technology breaks improve relationships by promoting presence and focus  Strong spouse relationship benefits entire family    [23:21 - 34:03] Improving Relationships through Consistency and Communication Respect, promises, and good behavior alone don't guarantee relationship success  Negative behavior leaves a lasting impact  Self-awareness and reminders improve relationships  Consistent schedules and "one-to-one principle" can reset and enhance relationships    [34:04 - 39:17] Closing Segment Focus on a mixture of homeowner and renter ratio for a stable neighborhood  Look for opportunities in median areas with a mix of homeowners and renters  Consider incorporating different types of rental properties, such as townhouses, duplexes, and quads  Utilize infill lots for concentrated building efforts and to maintain the integrity of the neighborhood    Connect with Jim:  Website: https://www.18summers.com , https://jjplaybook.com/     You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.   LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.      Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.        Tweetable Quote: “You have to breathe in and out with your family along the way. And I think you'll be more prepared for better growth even believe it or not.” - Jim Sheils

This episode focuses on the obstacles faced by individuals seeking to secure funding for their entrepreneurial ventures. Shane shares his personal experience of being approached by a friend with a vague plan to start a fund, despite lacking experience. He stresses the significance of establishing a proven track record, having a solid plan and demonstrating a solid concept before seeking capital. Shane highlights the key steps to success, such as starting small, having personal investment and building a network of investors.    [00:01 – 05:50] The Fund Raising Reality Check Have a clear track record and a well-organized business plan Consider the proof of concept and ensure you have answers to tough questions Start small and focus on adding value to one business or property first Be mindful of spending money on service providers without a clear plan in place   [05:51 – 09:44] Navigating the Fundraising Journey with Confidence Start small and build an audience of believers to increase the chances of success Adopt a long-term perspective instead of short-term thinking when it comes to fundraising Take the time to understand the language, terms, and common practices of raising funds Begin with one property or project and build upon that experience to grow your investment portfolio    You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.      LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.      Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.      Tweetable Quote:   “If you are thinking about raising a fund and you've never really raised your first million, I would say start with one property, one project.” - Shane Melanson

In this episode, Shane dives deep into the world of real estate development and shares the five biggest mistakes he has seen or made himself in the industry. He covers the topics of being overly optimistic, having too low of a margin of safety, having the wrong team, underestimating contingencies and having an incorrect underwriting model.     [00:01 – 05:49] Avoiding Million-Dollar Mistakes  Avoid being overly optimistic or "blue sky thinking" when it comes to interest rates and other variables  Have a margin of safety in your calculations and be prepared for unexpected delays and cost increases  Consider the impact of having the wrong consultants on your project, as they can have a significant impact on the outcome  Remember that having an outside perspective can be valuable in avoiding these mistakes      [05:50 – 10:18] The Intersection of Luck and Real Estate Investing  Don't be overly optimistic and instead have an accurate thinking approach.  Have a larger margin of safety to protect against potential losses  Choose the right team and ensure they have experience working together and with other consultants  Consider the size of your contingency fund and not just the percentage, especially on larger projects     You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.      LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.      Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.      Tweetable Quote:   “Don't be overly optimistic, but be like an accurate thinker.” - Shane Melanson 

In this episode, Shane explores the concept of luck in relation to investing in real estate.and concludes that understanding and researching the market can improve chances of luck and emphasizes the importance of timing and market knowledge in the industry.    [00:01 – 04:24]  Understanding the Role of Luck in Real Estate Investing Luck can play a role in real estate investing, but it doesn't have to be out of your control Researching the market and understanding the dynamics of the local area can improve your chances of success Timing is important in real estate investing, as market conditions and economic factors can greatly impact the value of a property Have humility and take responsibility for your mistakes   [04:25 – 10:18] The Intersection of Luck and Real Estate Investing Researching the market and having unique insights can improve your chances of luck in real estate investing Understanding the fundamentals of supply and demand in a specific asset class can make you an expert in that area Timing is crucial in real estate investing, and being aware of market conditions can help you make the right decisions Having the capital to take advantage of opportunities as they arise is a key aspect of successful real estate investing   You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.    LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.    Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.    Tweetable Quote:  “ So understanding and researching the market that you're in is going to improve your chances.” - Shane Melanson

In this episode, Shane reflects on the mistakes he has made in the past in real estate and highlights the challenges of constantly having to learn and adapt in different markets and verticals. He also talks about the importance of perseverance, focus, and saying no some opportunities in order to achieve success. He shares that his focus for the coming year is on multi-family and townhouses.    [00:01 – 04:52] Mistakes in Real Estate Investing   The importance of understanding and learning from others before tackling multiple projects  It can be hard to replicate past success in real estate due to market changes  Perseverance, focus, and saying no to  some opportunities are important for success in real estate   [04:53 – 10:24] The Focus for 2023  Focusing all efforts and energy in 2023 on multi-family and townhouses  Evaluating past performance to improve future investments in real estate  Focusing on areas that you want to achieve in the coming year    You can follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.    LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.    Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel.    Tweetable Quote:  “Perseverance, focus, and saying no to a lot of things are key to achieving success in real estate investing.” - Shane Melanson

In this episode, Shane shares his goals for 2023 of how he is focusing on one major business and one personal goal of buying 100 townhomes and how he is cutting time in coaching and focusing all his energy on his primary goals. [00:01 - 13:07]  Lessons Learned for Entrepreneurs and Professionals  Aiming to provide strategies and methods for building wealth in commercial real estate Doubling down on building townhomes and staying away from other projects Focusing on one major business and one personal goal  Focus for 2023 having more fun scheduling and discipline with time and energy [13:07 - 14:00] Closing Segment   If you are interested in my coaching and consulting program, please email me at  [email protected]. I want to make sure to cater to those interested, so please use the word “coaching” on the body or subject line.   You can also follow me on Linkedin and Twitter. If you want to go even deeper into the world of commercial real estate, head over to Shane Melanson, a roadmap to investing in commercial real estate! Get my book Club Syndication - How The Wealthy Invest Their Money.   LEAVE A REVIEW + help someone invest in commercial real estate with confidence by sharing this episode or clicking here to listen to our previous episodes.   Follow The Investing Podcast on all Streaming platforms. Deezer, Apple Podcasts, Google Podcasts, Spotify, or visit our YouTube Channel. Tweetable Quote:   “Sometimes just having that one big goal is really important” - Shane Melanson