Everyone dreams of a $ 1 million deal. Type of overnight property deal. A simple idea for you to gain the vision to follow with it. These happen every day, but unfortunately are rarely done by ordinary people who would benefit from such a deal. It is usually done by professionals who know what they are doing.
The mind is an amazing device and can provide all kinds of amazing answers to the most difficult questions. Like a computer, start with a question for which you want an answer, then feed the mind with the data it needs to formulate a quality answer with a high probability of success.
Many would be happy with a million dollars in a few years even, but some are ambitious, and consider it a waste of effort for anything under a million dollars. One way to make a million dollar deal is to use other people’s capital.
The most likely answer to the question, “how can I earn a million dollars by next Thursday” would seem something like this. You will find a valuable investment object. To invest a million dollars before you actually own a million dollars, you will have to deal with assets worth from 5 to 10 million dollars. A residential waterfront residence, a quality business, a small hotel in the city, a luxury yacht, it does not matter what the investment is, because there are other much more important considerations.
The most important considerations are numbers. Let’s say we found a seller of a luxury yacht who was quite urgent about finding a buyer. The yacht is a masterpiece of craftsmanship and the asking price is $ 12 million. You do not have $ 12 million dollars, you do not even have $ 1200 dollars in your bank account. But this is not important. If this seller sells his boat. If the new buyer you find to complete the deal is filthy rich and not price-sensitive, but rather service-savvy (more on that at some point) then it does not matter that you are really poor, I assure you that this is but a condition
Your first step, once you have inspected the ship and taken extensive digital photographs, is to assess the real value of the boats. If you know nothing about shipping, you may need to become a quick expert. Because you need to familiarize yourself with all the possible features and understand the market quickly. The point of your research is to set a realistic price on the boat. A price you know will sell the boat.
You are after $ 1 million, so the ship should have about 8% excess of domestic value. In other words, you will have to find that capital somewhere. You can find it from the seller, offering him $ 11 million for the ship. Either you can get it from the buyer’s charging $ 13 million for the boat, or you can do a combination of both to achieve that $ 8 million profit.
Maybe you can do some research on what the new buyer might need and supply to give you more of what you need to take advantage of. For example, the new buyer may not have even thought about anchoring and maintenance, so you find a good quality marina and set prices for it and present it. This simple afternoon of work can be the turning point that will seal the deal in the minds of new buyers.
You need to understand the usefulness of the new buyer, the reasons why he wants to buy a luxury cruiser and what it should take for him to be happy with your deal. Then secure it as best you can.
Let’s say you find a buyer and you made him happy and wants to continue with the purchase. Great Now What. You do not own the boat and it is quite illegal to sell something you do not rightfully own. The only exception to this law is in the stock market where you can sell for a short time and “place” shares on people even though you do not own the shares.
But here is the thing. If you gain commitment from that buyer and millions of dollars are in the deal. If you approach a loan officer, I do not think there would be a bank in place that would not consider lending you the capital required for a short period of time because you have a million dollars in capital and you have the boat. They would independently evaluate the boat and place your contract as capital. The vessel and the contract would serve as collateral in their borrowing procedures. It all depends on the strength of the commitment you have gained from the buyer. If he signed a contract, that’s a piece of paper worth a million dollars.
Once you have secured the funds, it is a simple matter of taking the boat from the seller and delivering it to the buyer. His check goes directly to the lending bank, with over millions remaining left in your account. I’m sure the borrowing bank would get a pretty good one in your million in the form of interest, but that ‘s okay, their help was worth a million dollars to you. It takes knowledge and a little finesse. This is not about anyone.