“We only needed $1,500,000 so we were oversubscribed by $200,000”
- From 2009 to 2011 all I did was self educated with the mindset that I would implement what I was learning.
- Since 2012, I have been building a track record by doing.
- I have promoted the track record the entire time.
For each property we raise funds for, the reason we raise funds successfully is because we have a track record. But the track record is pointless if no one can see it. Promotion is key. Many people have watched and paid attention over the years.
“To have the ability to raise those funds in a snap of a finger — was a testament to the last decade of work.”
From 2009 to 2011 it was important for me to learn. I read over 100 books on real estate investing, business and successful people. I had the intent and mindset that I would not just soak up knowledge but instead I would implement it one day. Since this time period was from my sophomore through senior years of college, often times I would go to football practice, workout and skip class to read and learn about the things I knew I was going to go after in life.
Upon graduation in 2012 I got involved in direct sales and within 18 months built my team to the top 0.5% of the company. I saved every dime. I wasn’t bashful to admit that I moved back home to save more and more as my income grew. I kept my expenses around $1,100 per month. And as my income went from $2,000 a month up to $4,000 and then up to $6,000 and $8,000 and beyond I kept saving the difference. I didn’t raise my expenses higher than $1,100 just because I made more. I lived at my parents until 2017 when I was 27 years old. I was a millionaire (in assets and on paper) before I moved out of my parents at 27. I had prioritized what I wanted to get straight early in life. I invested EVERYTHING — ALL IN.
(I realize not everyone has that option to live at home, but guess what!? Plenty people do. The key is to take advantage of every single opportunity you have to make it.)
In 2013 I was able to bite off a four unit and then another. I had success and I promoted the success and also showed the small micro failures/struggles I went through. I was transparent. People enjoyed seeing the good and bad. I would just tell the truth of what was going on any given day and post it to Instagram (@JustinSpaulding) and Facebook.
From there we went on to buy storage units and turned $0 into $1,000,000. We purchased 88 units, 64 units and more and more.
This entire thing was being documented on Facebook, YouTube and Instagram. More people started watching and following me.
It was tough to raise money at first. But now, since 2016, we have raised over $5,700,000 from a total of 14 investors. Spaulding Equity, my private investment company, has a waiting list of investors because this property that we raised $1,700,000 for was over subscribed by $200,000 as we only needed $1,500,000 to close the deal. My plan is for Spaulding Equity to have 1,000 investors in it so we can send out 1,000 distribution checks to our friends, partners, and investors monthly.
The fundraising for this deal never actually started once it was under contract. The fundraising of this deal was happened 3 or 4 years ago. The work I put in then was not paying me then, just like the work I put in today does not pay me today. As an entrepreneur and investor that’s how it works.
I know that the deals I raise money for today from private investors is off of the track record that I have consistently promoted along the way. And people don’t only want to see “perfection” — I know I love seeing the struggle. There is no story with no struggle. This was a lot of work throughout the last decade to then have the ability to raise those funds in a snap of a finger.