To Syndicate or Not to Syndicate (laugh)

Hello!

It's Saturday. I'm trying to force myself to not work today. I am so enthusiastic about this project I have a hard time "stopping". Stopping is important for concepts to settle in and new insights to come forward.

Peter came back from a seminar about Syndication and he us up for an advance seminar next month that will dig more into that and put our plan before a billionaire CREI investor and his legal and financial advisory team.

I reviewed Peter's seminar book and notes. My first reaction (Lawrence's too), wow - our approach is way better than that!!

It is what it is.

My voice is almost fully recovered so I will finish recording the audio clips and break our our Power Point Presentation into segments. I think we may do another webinar, but we can accomplish the same thing and make that information available 24x7.

I have to keep reminding myself and everyone that we are forming a team of about 20 people with 5 million capacity each, or 100,000,000 in team resource funds to prep for the deploying our acquisition strategy. It sounds like a lot but it really isn't. I could put a billion dollars to work just as easily and my expand the team by a fact of 10 next year to do just that.

There is a blood bath mess happening in all areas of the economy and real estate. There is also a stunning opportunity brewing during the next 36 months for those who see and understand it. Because our strategy is "dynamic" rather than "static", there is no need to wait on the sidelines and try to time entry. In our approach the market is always good. "Home Run" results are automatically captured as part of the business process. We don't need to rely on those.

If you've ever done "legitimate" pre-foreclosure investing you know you can make a ton of money. Finding the right types of deals and legitimate situations and cooperative distressed sellers and lenders willing to negotiate a short sale is a mixed bag of nuts (laugh). I created my own process 7 years ago. Peter and I tested it. We can hit home runs out of the park - WHEN - we find the right deals and situations. The problem is - you're lucky if you find those several times a year in any geography. Then your competing with all the scam people and the seminar junkies that just got motivated at some seminar, not to mention the high liability of dealing with distressed situations.

Everyone I know who's done those kinds of deals has amusing and stunning horror stories. I took a look at how things were done "back in the day", and I created my own legal documents and process (yes, I had them reviewed by attorneys), and solid. No lawsuits, no problems while everyone else faced a lot of headaches.

I've done the same thing with Commercial Real Estate. I've looked that existing paperwork and processes. I told Lawrence and Peter - this is a mess, we have to clean this up. We've been doing that for months creating quality paperwork, agreements and plans - literally from scratch that deploy our IQ Money Team Contexts to create the world we want to live in.

Most litigation is so unnecessary it is stunning to me what people fight over. One of the reasons why there is so much negative legal activity out there is because most legal contracts are written to "argue" successfully later. I have a different approach and method to legal paperwork. Legal professionals don't like me too much because I don't leave them any room to argue about in our agreements. The downside is any agreement we have has to meet my standards and that keeps me busy as we lay the foundational paperwork necessary for our business process.

I have to acknowledge Lawrence who's been a great editor and co-author for our paperwork. I'll brainstorm it, do a brain dump and the first revision, then he will do a revision, and then we'll do a revision together. Once we are done with that, we have our legal team review our creation for compliance. It is an exhaustive process. The good news is that for each foundational piece once it's done, it really is done and will work long term.

Peter has us setup to go to an advance Syndication seminar in Puerto Rico. (It was insanely expensive.) A lot of high net-worth people are facing some major tax situations coming up. Peter came back from last week with some knowledge that inspired me to make a strategy option change for some of our team members that will reduce the tax effect by about 20%!

We already had the formula and strategy in place (for non-tax reasons) and now we see that not only were we on track for risk reduction, but our method with a little change in context will benefit our team members tax liability in a positive way.

We've been promised that we will learn a tax strategy for high net-worth and income people that legitimately nullifies some of the new tax liabilities (and) it's been tested in IRS court rulings so it is no longer a "theory" but part of case law. I know its boring stuff. Until a strategy has been tested by an IRS court (as many wealthy people are discovering the hard way) a good theory can be very expensive if not proven and tested.

That stuff is our "management" world area. We don't want our Team Members to deal with those kinds of things which is why we have structured by design a method to isolate them from any of that.

From our perspective there is a lot of money to be made. There is no need to do exotic, and questionable strategies anyway. We don't mind paying "fair" taxes and deploying proven optimizing strategies that simply make sense. Since our approach isn't static in nature, what is important is the dynamic process being deployed.

You've probably noticed I enjoy solving problems and making things better. As a result of the insight we received last week I have to revamp and update my growing IQ Plan Analysis Spreadsheet. The challenge with a dynamic business process is that it is dynamic.

Most models are static. It's simple to say "You'll get xx return based on these assumptions", bam - PROFORMA. But the assumptions are usually blue sky and unreal. I don't like PROFORMA personally, it is a necessary though. Most people put a syndicate together around a deal, or do fund raising for a business idea. We have an anwesome acquision plan that is simple, uncomplicated and rooted in common sense. Our PROFORMA is rooted in our minimum criteria, which the current market we are able to profile better acquisitions than our PROFORMA numbers.

In our model we have two sides. The static side is a planned for return. 10% - we live in a changing environment - we can fix an end result return, what what we've made variable is a formula (thank you Lawrence) that normalizes our Team Members return to 10%, regardless of any ups/downs/interest deferrals that usually happen as part of the process. The insight we had was to put more deferred returns out after 12 months which eliminates short term capital gains. Sounds simple enough until you create the formula to track that, and then try to teach it to those who's funds are at work.

Then the 2nd side is our IQ Equity Effects (R) - this is a brilliant strategy for creating a long term compounding effect (AFTER) our team's principle funds have been exited from any acquisition. (i.e. principle funds are no longer at risk). Nobody is doing this that we are aware of because they are too greedy, either the management team is too greedy or the financial partner is too greedy. No need for that with our approach. Plenty of $$ for everyone to win and we do it rooted in a context of protecting principle.

Typical Syndicate -the financial partner(s) principle funds are at high risk. This is why Syndicates are only available to Qualified Investors. The general public isn't allowed to participate, though many ignore the laws. Everyone is happy until something goes wrong, and then you're on the hook criminally for not spending that $150 t $500k in a disclosure process that basically says your not liable for anything anyway. I.E. your money is at risk, your letting xyz company gamble with your money, and if you loose it all, sorry, we warned you in advance that could happen, don't blame us. (laugh).

The IQ Money Team approach can be used to bring together unqualified investors, but since our approach is new, there is no solid case law to stand on yet. I don't think we'd ever face an issue anyway because besides the legal risks and factors that we account for by "design", there is also the human factor that we take into account so that a lot of these weird litigation's is something we and our team simply will not deal with (by design). We are really big into building in solutions as a method of doing business, structuring and processes.

I know there are a lot of people looking at us right now. We are getting more and more inquiries. Visit our website: www.iqmoneyteam.com and introduce yourself. If you are not a qualified investor yet, introduce yourself anyway. Even if you are looking for options for an IRA - get my "Retirement Flaw" report.

I am really big into building teams. I received an inquiry yesterday from someone in NY, who has 25+ years of Commercial Real Estate Experience that is interested in hearing more about what we are doing. Peter presented (one - just one) of our core contexts to a Billionaire commercial real estate investor that got all jazzed up over our shift if approach.

When "we the people" come together to get things done - we not only have physical resources but our combined life experiences that we can draw from. People who want to turn up their lives to another level, stay in the game at a new level of personal and financial rewards have to join forces with like minded people who want to re-define what success and happiness looks like.

Money is a big part of the success and happiness equation. Our plan and approach puts a foundation in place for people to work together with a core foundation of "how" rooted in principles everyone knows but few actually design into their business plan. (Hense all the ruined businesses, friendships and relationships.) All unnecessary.

There - my inspiration has run its course for today. I'm going to turn off my computer for now and do some mindless/enjoy my family kind of activities for the rest of the day.

I just wanted to share with all of you. I can't seem to type or talk fast enough to get everything I want to get ready and available to you.

Step by step!

Namaste' & Blessings to you all!

- David