What is Profit First for Real Estate Investors and how is it different from Mike Michalowicz’s Profit First system?
In today’s episode, we’re talking about what makes Profit First for Real Estate Investors different from the original Profit First system created by Mike Michalowicz. Learn more about the mindset, principles, and systems that were created to ensure the profitability of your business specifically for you, the real estate investor.
Key Talking Points in the Episode
[00:36] What is Profit First for REI for?
[01:00] Ups and downs of cash flow
[02:25] The emphasis on reserves
[04:20] The original Profit First formula
[05:18] What is real revenue in real estate?
[06:00] What is pass through revenue?
[07:53] Funding deals with OPM
[09:14] How to keep OPM separate from operational expenses and profit
[09:59] The big differentiators of Profit First for Real Estate Investors
[10:51] Grab a copy of Profit First for Real Estate Investors!
Quotables
“One of the key characteristics of being a real estate investor is the ups and downs of cash flow. You can be rolling in 7-figures one day and have less than 5-figures the next, and that can be very tiresome.”
“In Profit First for REI, we’re making it very clear that you need to have a reserve account as one of your main accounts.”
“If you’re running on E all the time, anything will wipe you out. You won’t be able to get to the gas station one of those times and then it will be game over.”
“The best people who live the best lives have choices. Reserves give you choices, that’s why you need them.”
“If you’re a real estate investor, you’re probably going to touch other people’s money at some point.”
Links
Book: Profit First for Real Estate Investors
http://profitfirstrei.com/amazon
Website: Simple CFO Solutions
https://www.simplecfosolutions.com
Private Facebook Group: Profit First for Real Estate Investors
https://www.facebook.com/groups/ProfitFirstREI/
Podcast: Profit First for REI Podcast
https://podcasts.apple.com/us/podcast/the-profit-first-rei-podcast/id1526029555
https://profitfirstrei.com/podcast/
https://open.spotify.com/show/4wB4qlImFs4MuCdgqyucIT
Instagram: David Richter
