My company – REALTY POINT LIMITED (www.realtypointlimited.com, www.primeestatesng.com) is just about 3years old and the 2 of the 3 banks we have had to ask for loans at different stages of our business considered us too young to be given what we requested for. They gave some flimsy reasons. If you operate in Nigeria, am sure this won’t be strange to you, our banks hardly support young, up and coming companies without godfathers. It’s either they give you insurmountable conditions or an outright NO! They would rather collect your money and past it on to the bigger corporations. We thought the 25billion Naira thing should make it better, but I’m not sure what is happening now. May be things will get better, but for now they are still joking with all sought of advances for consumer goods. I’m waiting to see how they would sustain this trend with over 100billion share capital per bank.
I worry less about Nigerian banks these days. Like one of my Rules for Life says : Make a way to where you are going if you must get there and there exist no way yet. I have devised ways of raising money from the surplus side of the economy to fund my business requirements, thus becoming my own banker legitimately. A senior friend of mine once said, “you can be your own banker”, and that’s exactly what I do mostly now.
Ask yourself, what do banks do? They collect money with a promise of interest/service from the surplus side of the economic population through their various products – Savings, Current and other special accounts and treasury products. And supply the deficit side, that is, industries, companies and individuals needing loans at a premium. Although an individual can not by law go about doing this exactly, there are legitimate versions of these activities that an individual can creatively use to raise money for his/her project.
“Most people think there is only one way for the average person to finance a real estate purchase—that is, go to an institutional lender, like a bank, mortgage company, or savings and loan, and obtain a mortgage. If that were the only way to buy real estate, it would be very difficult to make money as a real estate investor. Fortunately, it’s not the only way!
To be successful as an investor, you must think creatively and consider the wide range of possibilities that are open to you, such as borrowing money for a down payment from the real estate investment enthusiasts or people I call partners or private lenders (yes, you really can do that).”
The fact is that there are far more creative techniques than there are conventional techniques for financing a real estate investment transaction. However, to make use of them you have to know what information to look for and what to do with the information when you find it. In short, you have to know how to develop your own technique.
People always say real estate investment requires a lot of money and I say, all the money those not have to come from one person. Heard about real estate investment clubbing before? I administer some, where we contribute 20,ooo Nigerian Naira monthly and invest the pulled resources in real estate opportunities making money for all. Send a mail to me at realtypointceo@gmail.com for more info on that.
Merry Xmas and a very Happy 2008 in advance.
Regards!
i’d sure want to be a part of this club.
It is a quite interesting post but quite difficult to understand for me -