Post number 2 where I introduce my team, in the # Entrepreneur corner in the sentences I sometimes hear:…
Post number 2 where I introduce my team, in the corner # Initiated week
Sentences I sometimes hear:
"It takes courage to do real estate in the US when it's so far away, I dare not think about it because I'm not there"
or:
"What I can not see and monitor, I do not invest"
or:
"How do I know everything's going well there?"
And more priest and priestess in this style…
My immediate answer is that it all starts and ends with management. When I ran Sonny, I did not exactly sit all day next to each of the 300 employees of the company, and check what they were doing. In the end, every manager should develop for himself a tool of supervision and control through which he can manage an unlimited amount of people, regardless of their whereabouts. What does it matter if the employee is in another city compared to another country or another continent?
True, technically, our team members in the US are not really company employees, but I treat them as such. It means they have tasks and I keep track of the tasks, those who do a good job get reinforcements (not just money), and those who do a bad job are replaced. We have a long-term relationship, each of which needs to connect to our business vision, and want to be there for the long term.Types of the "Zebang and we're done" type do not stay.
What is meant by?
In every company I ran, I built a small management team, something like 4-5 people, and they were the "kitchenette". Those who knew everything. Each came with his own area of expertise (sales, finance, operations, etc.), and was a partner, each in his own field, to all a decision. In every deliberation I used to gather them, present the problem, and hear their opinion. I did not always follow their advice, but no doubt what I heard from them guided me and helped me make an optimal decision.
What did it give?
Lee - a broad picture that allowed me to make more accurate decisions. For them - a sense of partnership, organizational belonging and tremendous motivation to make the business successful. Win-Win Situation.
In Ohio, we have a small management team that includes a mediator and inspector. Both with me from day one. I met them by chance, the chemistry worked, and like any employee who survived with me in previous incarnations, they connected to vision and goals. From day one I felt it was important for them to see the business succeed, because it meant that in the long run, they too would succeed. Absolute identity of interests. True, it took me and them a while to reach a level of openness where everyone says what they think. It is not always popular to have your say, and in addition there are cultural gaps and it takes time to build a coaching relationship. But there were a few things that helped it happen.
The main and important thing to me is my presence there. I make sure to come at least once every two months. On the first day of the visit we are going to see all the properties. In each property, the operating contractor meets us, and together we discuss renovation, plans, and of course the most effective problems and solutions. Everyone voices their professional opinion, and progress. We end this long day at a restaurant I order for the three of us, and there over a good meal, we are updated on developments, goals and objectives for the near future. Today as a company, we will not enter into a transaction that my inspector will warn against due to a structural problem, nor will we enter into a transaction that the broker will think will be difficult to support the planned sale price.
Quite at first I also added to the ranks a small, family-owned Teitel company, which keeps us from other kinds of problems. The owner of the company and I have connected personally, and I also usually meet with her every time I come to town, for lunch or dinner. One of the things this essay solves is for example a notarized signature. The holder of the title of notary is certified online, and saves me in any sale transaction or loan, which requires a physical notarized signature. For those who do not know, the substitute is the notary at the US Embassy or an apostille (about $ 50 per signature, time, FedEx).
And how is it possible without saying a word about the contractors?
I probably had my share of crappy contractors…. There were 3 more and you will hear about them this week. Everyone had their own particular problem, but the bottom line with none of it worked. Today we have 4 teams, and if I have to define what I think makes a contractor one that is considered successful, these are the following main things:
- Quality - an excellent and expensive contractor is better than "Khafer" who no one wants to live in the houses he renovated and the municipality thinks he is the worst thing since the civil war.
- Competition - Even if you have the most cannon contractor in the world, he should know that there are a thousand more like him, and everyone is busy.
Supervision - Big Brother. Someone independent who always samples every step of the renovation work and through whom the path to the next payment passes. For us, it's the inspector.
There is no substitute for humanity, as one bank said, and the wall is built together, on every visit, with many meetings, many conversations, and as you have already understood between the lines, much food ????
In the pictures some really great renovations and my picture follows, not related at all, flying on a turtle… ??
I loved the post and also the level of renovation. Your professional approach is exactly what is needed in any business, real estate is just another business.
thanks for sharing
A true champion !!
Well done. Keep up the good work!
Beautiful, great post !!
Thanks! Depending on the location. Those in the Cleveland area will be in the 70-80 range, and those in Columbus in the 90-110 area
Sounds like a real professional,
Waiting for the next posts
What are the asset price ranges for rentals you purchase?
Every word carved in stone!
Really interesting thanks!
What to do with the taxes of the sale? Is it still worth it?
The smart way for Israelis who live in the country and want to enjoy real estate in the US is by investing in Knots. That is, entering the property as a lender and not as the owner of the property - this is the only way you will really be protected from unreliable management companies and all kinds of other ways that you can get a coupon when you are sitting so far from your property. That's why it's called REAL estate...
What a professional !! Identifies with every word, especially in dealing with contractors, an important and sensitive link in the chain. How have you been coping in the last 3 months when it's hard to fly there?
Anat, wow!
A true professional!
But I just asked…
How did you get started?
The question is correct. Why invest without a good and close acquaintance with the investment manager in the US, which leads to the responsibility that your money will not leave the world without you seeing it.
I only invest in someone I know close to and he guarantees my money. Too many Israelis stung Israelis who thought everything was fine. Smooth. The Israelis who deal with the issue bring to the United States the rules of the Middle East, and they must be careful
Fun to get up in the morning and first of all read to you!
Amazing
Professional ♥ ️? ️