oday’s episode is about Covered Land Plays!  A Covered Land Play is when you buy a property based on the existing use of that asset… but, what you’re really buying for is the land (in the hopes that someday it’s going to be redeveloped by you, or, perhaps the next buyer.) It has limited downside, because of the current cash flow, with big upside — so it makes for a very interesting investment strategy. In this episode, we’ll cover everything you need to do about Covered Land Plays; what they...

How to make sure a company is truly profitable and isn't "cooking the books".

In this week’s episode, Brad and I discuss search funds! We explain what a search fund is (and who’s funding them), the four main steps, how they originally got started, who they’re great for, and why you should use one. We also talk about how my partner and I founded our firm, Stables Partners; the process of acquiring companies through search funds; and the general, broader community around search funds. We hope you join us for today’s episode!  Key Takeaways: [:11] About our topic today:...

In today’s episode we answer one of the questions that we probably get most frequently from people looking to break into the industry, and that is: ‘Once I’ve found the deal, how do I make it happen?’  Using the example of discovering a $10 million deal and looking at it from both the private equity side and real estate side, we take you through the steps on how to secure it, raise the necessary funds, as well as some additional tips to ensure you’re as prepared as possible! Key...

Today’s episode may not be about the happiest of topics — but it’s definitely a necessity. So today, we’re discussing all things retrade. We’re going to explain the ins and outs, give some examples, explain how we handle them, and give you some advice and key takeaways with negotiating. At the end of the day, we hope you don’t have to have these types of conversations too often — but when you do, we want to make sure you’re well equipped going into them and have a successful outcome! Key...

When I was on the other side of private equity (i.e. operating businesses), I always thought those in investing were out there counting money, doing deals, and going home at 4 p.m. … but now that I’m doing deals, I realize the reality is a lot different. So in today’s episode, Brad and I are talking about some of the surprising and counterintuitive aspects of being in private equity and real estate private equity. There’s some misconceptions out there about how “unsexy” it can really...

In today’s episode we thought it would be fun if we did something a little bit different! We want to share with you some of our favorite tools that we use in our jobs everyday — from software and technology, to resources and newsletters. A lot of these tools can be used in many different industries and we hope we can help streamline some of what you do everyday by sharing a few of our most-used tools and giving you the inside deets on how much they cost per month, our favorite attributes and...

Today’s show is going to be all about asset prices and what we’ve been seeing lately. Don’t lose hope — it’s not all bad! Things may seem expensive right now (and are expensive!) but there are some things you can do to to ensure you’re investing in worthwhile assets!  In this episode, Brad and I go over what we’re seeing right now in terms of pricing in both the real estate and private equity side of things, how sometimes a deal may look really expensive when it is actually an incredible...

In today’s episode we’re talking all about qualified opportunity zones — these things are amazing. They’re portions of the country that are economically disadvantaged, and if you invest in those areas you get incredibly favorable tax treatment. First, we take you through the history of qualified opportunity zones (which has a pretty interesting history in itself!) — then we get to the really exciting part: the incredible tax breaks to be had by investing in these zones and how to go about it....

In this episode, Brad takes us through some of the different types of real estate asset classes and gives us the pros and the cons of each! He also gives us some ideas on what we should think about when investing in each of the types, why some people choose to invest in them (or not), and the risks vs. the rewards.  From multi-family real estate investing and affordable housing to office buildings, industrial, retail, and hotels — Brad gives us the insider scoop and breaks down what we all...

Today we’re talking about how to source off-market deals! It’s easy enough to go on LoopNet or MLS Deal Finder but anybody can get those deals, so we want to share some solid trade secrets with you all today and help you find those sweet, sweet off-market deals. In a prior episode, we’ve gone into the differences between off-market and on-market deals, but today we want you to join us to get right into the nitty-gritty of how you can actually find these off-market deals. Key Takeaways: [:12]...

Just in case you were wondering if you have what it takes to be an alternative investor, today we thought we’d share with you all of the things — the behaviours, the attitudes, and the skills — that go into sourcing and doing diligence on closing a deal! There’s a lot of aspects that go into shaping an excellent alternative investor — from qualitative to quantitative skills. You need to be an expert generalist, while also having strong project management skills, lots of optimism, and most...

Today we’re going to talk about Adjusted EBITDA — or in Brad’s world, Adjusted NOI; Net Operating Income. So what is it? First off, it depends who the player is. Are they legit?  It’s a super critical number and important to get right — so tune in for today’s short and sweet episode all about Adjusted EBITDA! Key Takeaways: [:13] About our topic today: Adjusted EBITDA! [:22] What is Adjusted EBITDA? [2:42] A simple example of Adjusted EBITDA. [3:32] Non-valid Adjustments in the real estate...

Today on The Alternative Investor we have our first guest on the show: Brent Beshore! Brent is the CEO and founder of Adventur.es — a private equity firm in Columbia, Missouri. Adventur.es has a unique investment approach: they seek boring businesses. They explain this perfectly themselves:  “Boring businesses endure because they consistently solve a meaningful problem and were patiently built over decades,” “Truth be told, our responsibility is not just to seek and sustain boring...

Today’s an exciting show — we’re talking about business quality. Who doesn’t want to buy a quality business? Business quality is a little bit of an amorphous term, but today we focus on thoroughly explaining what it is and why you should care about it as investor. We also put together a framework of categories for high quality businesses, such as: the organic grower, the mergers and acquisition machine, and the ATM machine (yes, we know that the M in ATM is machine.) And of course, since we...

Today we’re talking about debt! It’s an investor’s best friend … or enemy.  We answer all the questions you may have about debt, such as: what is debt? When do you get debt? How much debt do you put on an investment? We also address the various restrictions that come with debt, why you should get debt (and some of the great — and not so great — reasons that can come with it), how much debt to put on your deals, and some examples of how debt can change the return on a deal. Debt can reduce...

In today’s episode, we address a recent listener’s question on how to identify or pick out an investment theme. We think of investment themes as something that can help you narrow down (what seems like) an infinite list of opportunities into something more manageable and actionable. Not only does a theme help narrow down your own list of investment opportunities — it helps differentiate you in the minds of brokers and bankers when they see deals. A theme can be an asset class, a business...

Today on The Alternative Investor we have our first guest on the show: Brent Beshore! Brent is the CEO and founder of Adventur.es — a private equity firm in Columbia, Missouri. Adventur.es has a unique investment approach: they seek boring businesses. They explain this perfectly themselves:  “Boring businesses endure because they consistently solve a meaningful problem and were patiently built over decades,” “Truth be told, our responsibility is not just to seek and sustain boring...

Risk is an often misunderstood and poorly communicated concept. Even professional investors can be afraid of risk.  However, risk is going to be a part of every single investment decision that is ever made and there’s no such thing as a risk-free investment. So hopefully, in this episode, we can provide some tools and a framework to help you think about risk and overcome any hesitance you may have. Brad and I discuss risk from the academics’ perspective, real estate, and private equity side;...

Today we’re going to talk about how to figure out how much to pay for an asset. When you’re buying an asset, price is the most important variable you’ll be looking at — probably not the only variable — but definitely the most important! Arguably, you should be spending 90% of your time answering the question: what is this asset worth? So today Brad and I cover — from real estate to private equity — how to know how much to pay and which factors you should consider. Listen in to learn how to...

Today we’re talking about accredited investors. To become an accredited investor you have to meet the SCC’s income and net worth requirements (such as needing to have $200k of income in the last 2 years if you’re single, $300k if you’re married, or $1 million in net worth not including your home.) So why would you want to become an accredited investor? Or how? And if you became an accredited investor, what opportunities open up to you? How do you verify that you’re accredited? Brad and I...

Today’s episode is all about preferred equity — so we’re going to try and keep it light and fun.  Firstly, we talk about what equity is and how preferred equity differs from it — then, we get into common reasons for using preferred equity in a real estate or private equity deal. We also give some examples of the differences between it and common equity and explain why, more and more, we’re seeing preferred equity in deals. Preferred equity may not be sexy — but it can be sexy when the...

It’s finally here — the day we talk about blockchain. Blockchain is a new technology — providing a global marketplace, allowing you to transact with a click of a button. Blockchain is a highly evolving area and not a day goes by without some new, interesting developments. So don’t worry if you don’t understand what the blockchain is — we’re here to give you a basic understanding so you can go forth and use the technology! Key Takeaways: [:13] About our topic for today: blockchain! [2:27]...

Broker deals and off-market deals are night and day. Everybody thinks that an off-market deal is the holy grail and that you’ll score a way better price. At least that’s what most people think — but it’s not necessarily true. So today, we’re going to go through the key differences between broker deals and off-market deals and break everything down so that you can make an informed decision as a buyer or investor. Key Takeaways: [:14] The difference between broker deals and off-market...

You find a real estate property you like, you sign it, you wrap up the deal under LOI, sign the purchase agreement, and then you get into diligence — which is what we’re going to be talking about on today’s show. Diligence is that 30-60 day period after you sign the purchase agreement and before you get into the official closing documents. In this episode, we highlight everything that happens during that period, such as; the title, zoning analysis, building permits, surveying the property,...