All Topics / General Property / 20/2/12 on the Central Coast

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  • Profile photo of Rouquin_2Rouquin_2
    Member
    @rouquin_2
    Join Date: 1969
    Post Count: 16

    Hi Everyone,

    I have recently been introduced to the 20/2/12 rule of raising investment capital or investing with a group of people in high yielding investments. Has anyone else been actively using this principle to raise funds or invest as part of a group if so how did it go.

    I am having a number of legal requirement docuaments done for me with a view to organising a number of investors in such a way. I find myself in a position of having a lot of high yielding deals pass by me as I cant be involved in all of them I would love get a group of like minded people who want to be a part of learning and working together and have access to a broad range of investments.

    I live on the Central Coast of NSW and would imagine that it might make it a little easier if everyone lived in close proximity although I would like this to expand in time.

    I look forward to your input

    Cheers

    Rouquin

    [party]

    Profile photo of yackyack
    Member
    @yack
    Join Date: 2003
    Post Count: 1,206

    Good luck. I am a control freak. I prefer to have control over my money and properties. Even if it means for going so called high yielding opportunities.

    Tread warily those on the central coast of NSW.

    Profile photo of GiovanniGiovanni
    Participant
    @giovanni
    Join Date: 2004
    Post Count: 27

    Sorry for my ignorance, but I am sure will be a short one.
    Can you explain what is 20/2/12 technique?

    Gio

    Profile photo of Rouquin_2Rouquin_2
    Member
    @rouquin_2
    Join Date: 1969
    Post Count: 16

    No worries Giovanni, nice to have a contructive response rather than oppinionated ( that is another section of the forum).

    Very brief explanation is that this system of raising capital for any form of investing is used to avoid the requirement for the person raising the captial to be a licensed individual or entity ie managed fund etc or the need to provide a prospectus for the investment.

    It is used by investment clubs/groups to be able to raise funds from a number of people with a common interest or goal.

    The guide lines are a maximum of 20 people can raise up to $2 million in any 12 month period. Now I do say that you should consult your accountant etc for full details and any other requlations involved but that is the basic template used.

    Any more information on how we apply this to our investing send me a PM or email me on [email protected]

    Cheers

    Rouquin[party]

    Profile photo of thecrestthecrest
    Participant
    @thecrest
    Join Date: 2004
    Post Count: 992

    Hi Rouquin
    Care to flesh out your basic member details a tad more ? what do you call a deal of high yield in your field ? info is good, it all helps.
    cheers
    thecrest

    thecrest | Tony Neale - Statewide Motel Brokers
    http://www.statewidemotelbrokers.com.au
    Email Me | Phone Me

    selling motels in NSW

    Profile photo of Rouquin_2Rouquin_2
    Member
    @rouquin_2
    Join Date: 1969
    Post Count: 16

    Hi Crest,

    On the returns I am getting on investments they range from 20-50%pa with developments and secured seed funding. This means name on title of property or unit trust.

    Also a number of returns using equity in current property to create cash flow, turn negative geared property into positive. This system is used mainly to pay down the loans on the property which result in massive interest savings over 5 years. When you compare over this period you can save well over $200,000 in interest and open up access to more equity to invest it is very powerful.

    Also some short term funding 1-2 years with returns that could exceed 100% but would need a little more explaination then could be put in writing here.

    My back ground has been in real estate and hospitality management, I have over the past 2 years or so sought council with people with significant skills and results in certain areas of property investing and have been fortunate to work with them on some deals and be educated in the process, I am still in this position.

    I would not consider myself an expert in any area but am well on my way to living the life I choose and doing this full time for myself.

    My main focus is to help anyone who would like to learn more have access to the mentors that I have had contact with and let them decide for themselves if there is any merit in what we are doing.

    Would be happy to speak with anyone further on this.

    Cheers

    Rod[party]

    0418257176

    Profile photo of yackyack
    Member
    @yack
    Join Date: 2003
    Post Count: 1,206

    So are you talking about property development or something like that.

    Profile photo of Rouquin_2Rouquin_2
    Member
    @rouquin_2
    Join Date: 1969
    Post Count: 16

    Some of these are in developments, some lead into reduction on selling price for capital up front. We combine a couple of stratagies to get these types of return.

    Can also be short term lending as our contacts dont require any futher funding to complete they have no holding costs thus it is in their interests to offer good returns for quick cash.

    All these are structured with great security for the investor. Stereo type would say that higher the return higher the risk, I believe that the risk can be reduced to an exceptable level with proper structure and due dilligence.

    It has also come to a point where I have delt directly with these people on a number of funding opportunities and have had no reason to doubt their actions and have been given great recomendations from my fellow investors.

    hoope this is helpful

    Rod

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