How to Automate Capital Raise for a Real Estate Syndication

Updated: Mar 7

automation for real estate investing

Many of the people I know and work with are surprised to learn that when I moved to the U.S. 5 years ago, I didn’t know anyone. Nonetheless, that didn’t stop me from raising tens of millions of dollars in capital for my real estate syndications. Today, as founder and CEO of Blue Lake Capital, I have over 2,000 units across the country.

There is something else that most people don’t realize about me: I absolutely hate sales! Some people are born to sell, and love selling to others. I don’t fall into that category. What I did to help me raise capital was to build a system that allowed me to act as a salesperson without having to go through the rigorous selling process. Thanks to the system I developed, investors now reach out to me from across the globe on a regular basis. My system automates the process of raising capital, and if you implement it, you’ll have investors reaching out to you as well.

Managing Your Time

Before developing my automated system, I would make individual phone calls, send out individual emails, and wait until I had an actual deal before engaging in communication with investors. Those tactics are a prime example of how NOT to raise money as a syndicator. The issue is time, and there’s never enough of it during the day. Reaching out individually takes an inordinate amount of time from my day, and your day as well.

Instead, you should always be automating the selling process. Before you ever have a deal, you should be engaging with investors. You should also be engaging when collecting soft commitments from investors, once the deal is in place, and after the deal closes. I do this every minute of every day, because the more contact you have with investors, the more visible you will become and the more capital you will raise. It helps not only build a group of potential investors, it helps you manage your time more efficiently.

3-Step Plan to Automate Capital Raise

The automated process I’ve developed is a 3-step plan designed to automate raising capital. I’m happy to share it with you, with the hope it will help you manage your time and build your syndication business.

Step 1: Create a Thought Leadership Platform

Investors who don’t know you want to be sure that you have the experience and knowledge to successfully syndicate a real estate deal and provide a competitive return on their investment. A thought leadership platform helps you demonstrate that knowledge and expertise about real estate investing. Even if you’re just starting out, the fact is you know more about investing than the average person does. It also opens and expands your network beyond the people you know. Using a thought leadership platform, investors reach out to me from all over the U.S., Saudi Arabia, Spain, Germany, etc.

Start an Investing Blog

I recommend creating a blog, that will not only be informational, but educational as well. The key to success with a blog is to be consistent. I have a new blog on my website each and every week, without fail. That way content is fresh, timely, and shows you’re at the top of your game. When writing your blog, start by finding your voice in order to show that you are unique and set apart from other syndicators who publish blogs.