Can I Co - Source With You ?
‘’I want to be a deal sourcer, but I’m not fully set up yet. Can I co-source with you and split the fee?’’.
I kid you not this query pings into my inbox at least three times a week and I know I sound blunt when I am writing this, but just hear me out…
When I see this type of proposition it does make me wonder and raise the obvious question to query ‘Why aren’t you fully set up?’.
I am 100% sure you can google on how to get yourself set up as a deal sourcer it only takes a week or two and costs about £1,500.00 and is a really good personal investment that will work in your favour. Why split the fee when you can reap the full profit?
Now I do know that not everyone has that kind of money available to them and I am conscious of sounding privileged but here is my disclaimer+ ‘I sold a lot of my possessions to pay for mine.’ You’ve read ‘Rich Dad Poor Dad’ by Robert T.Kiyosaki, and if you haven’t then can I recommend that you do. It will provide you with a deep insight into why acquiring and building assets can be important in your future.
It then leads me on to the next question that is playing on my mind, ‘If you have this fab deal that you can make money from, surely your set up costs will be covered by that one deal even on a fee split?’
Putting the cash aside for a moment, I can provide you this advice for free ‘You have to commit to the time it takes to become registered with all these bodies.’ The longevity of investing the time and money in yourself is a necessity and if you can find the time to be bothered in developing yourself then it shows me too that you are committed.
Be honest with yourself, and me for that matter, ask yourself ‘Are you serious enough to commit or does co sourcing seem less hassle? Because let us be truthful here, ‘If you’re not willing to take a punt on yourself, why are you asking someone else like me to?’
If we put ‘Cash’ and ‘Effort’ to one side we can look at the fact that you might have this deal but zero time on your side; or the possibility that you may have ‘unicorn deals’ coming out of your ears and not wanting to pass up the shiny cash opportunity that is coming your way. However, you still can’t legitimately co-source without being registered.
I hate to be the bearer of bad news but there are those in the industry who may take a risk and say yes to co-sourcing with you, but, I however will only work with those who are registered.
I want to feel comfortable with the knowledge that
· I know the past deals you have worked on.
· We know each other personally, and we have set out the parameters.
· We have got an NDA contract and Co-Sourcing Agreement in place.
This for me would be a win-win situation all around, we’re both professional and committed to the deal.
Now for the good news:
· You can take a pass on a lead.
· You can put the buyer in direct contact with a registered source, not acting as the agent.
· You can take a ‘Thank you’’ lead fee.
For those of you who aren’t at the crucial deal stage yet I suggest putting in time to doing some of the ground work, and if you think you can find a great deal then jump on it. Ping over the information if it will lead to a deal and you will get a ‘thank you’ back and if not then at the very least you will get is some quality feedback and practical knowledge.
On a positive note I do appreciate that people want to gain experience in the field, during my EA career I have employed so many people with fantastic drive and very little knowledge who want to pursue a strong career in property.
You can if you wish pay for a course if it suits you but have a look at the reasons why you want to source. If it is for the experience, don’t pay someone to train you, look at getting a job in the industry, even on weekends around other work (this will show dedication); you will get paid and get fully trained. I can tell you from personal experience that I wouldn’t have even considered starting my sourcing business if I didn’t have the practical knowledge and contacts from my employment days.