Getting Past the Investor-Ese: What Is a Private Money Investor?
Getting Past the Investor-Ese: What Is a Private Money Investor
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Let's sift through the big words of investment and ask the right question now- What is a private money investor? Where do you find one? What can they do for you?
First of all, a private money investor is someone who has the ready capital to provide investment funds to entrepreneurs, real estate investors, or even soccer moms who need a financial break until the alimony check clears. These funds are investments that require payment on interest, so you have to pay back more than you borrowed- but that is commonplace in the investment world. When asking the question, "What is a private money investor", you should know that the answer is a long one.
They usually invest in people and/or projects based on goals, potential and location. If you want to do business with one you need to create a detailed plan, this includes: the project (what, where, how, estimated date of pay back), the money needed, information on the person/company requesting funds, and why they should take a risk on you and your idea.
When asking the question, "What are they private money investors?" you need to realize that there are some who prey on people- placing high interest rates on loans that they know the borrower cannot pay back on time. These are known as 'loan sharks'. Loan sharks will give you the money with a smile on their faces, but once your back is turned, their rows of sharp serrated teeth appear.
Don't be alarmed- not all of them are out to steal your money. There are legitimate ones are those who truly want to invest in something that they can believe in with you. If you have a business idea, property you'd like to buy and flip, or you just need money to get buy, there are y investors waiting to give you the support and funds you need to succeed.
You can find them through online investor search sites, or you can ask around at your local bank or real estate office.
What is a private money investor? The answer is: someone who wants to see you succeed, and is willing to take a risk on you.
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