RTBL 06 | How to Survive When Real Estate Deals Fail with Ruben Kanya

In this episode, Seth Bradley, a securities attorney and real estate investor, and Ruben Kanya discuss the complexities of capital raising, the importance of experimentation in finding one’s niche, and the critical role of networking and trust in the investment landscape. Seth Bradley shares insights from his journey in real estate and tech, emphasizing the need for grit, perseverance, and public speaking skills to succeed in raising capital. He highlights the challenges of the first capital raise and the key lessons learned along the way, while Ruben Kanya adds perspective from his own experiences in the industry. The discussion also explores the multifaceted benefits of hosting a podcast, with Seth Bradley and Ruben Kanya emphasizing the importance of listening, building connections, and establishing authority in your niche. They delve into the intricacies of real estate capital raising, including leveraging other people’s money, compliance with securities laws, and structuring compensation in syndications. The conversation also covers emerging trends such as fund-to-fund structures, and introduces Tribevest as a tool to simplify fund management and ensure compliance in capital raising efforts. Links to listen and subscribe: https://podcasts.apple.com/ph/podcast/raising-capital-the-right-way-compliance-funds-and/id1341895972?i=1000688593916 Links to watch and subscribe: https://www.youtube.com/watch?v=UyF9Z72m2R0 Bullet Point Highlights: You need a license to raise capital legally.Experimenting with different models helps identify what works for you.Building authority and trust is essential in capital raising.Networking with high net worth individuals is crucial.The first capital raise is often the hardest.Grit and determination are key to success in entrepreneurship.Public speaking skills can enhance your ability to communicate effectively.Learning from clients can provide valuable insights for your own journey.You can leverage your existing skills to add value in capital raises.Building a strong network can facilitate easier capital raising. Having a podcast enhances listening skills and fosters connections.Capital raising requires grit, a strong network, and resources.Leveraging other people's money accelerates business growth.Compliance with securities laws is crucial in capital raising.Compensation structures in syndication vary based on deal size and type.Fund to fund structures are becoming more prevalent in real estate.Effective communication is key to successful networking.Tribevest simplifies the process of raising capital compliantly.Understanding the legalities of capital raising is essential for success.Building a community can expedite personal and professional growth. Transcript: Ruben Kanya (00:00.142) whole idea here is you're actually not allowed to raise capital without a license. So just like being a doctor or a dentist or an attorney, you have to have a license to be able to raise capital and it's called a broker dealer or potentially an RIA, registered investment advisor. So if you're not one of those people, if you don't have a license, you need to have an exemption from having that license. if it's your, this is speaking in generalities, but if it's your own deal, if it's your own fund, If it's your own syndication, if you're the one buying the property, that's an exemption. You're exempted. You can raise capital for your own deal and that's okay. And that's kind of the co-GP concept that we talk about sometimes. I actually don't like to say co-GP because to me it's a fallacy. There's no such thing as a co-GP. You're either a GP and an active partner. Who's this? you're an entrepreneur? you're a real estate investor? you're trying to learn from those who did it? Well, come into the lab then. Put your white coat on, gloves on, notepad, and let's go, Joe. Experiment nation this episode was a really fun one with Seth Bradley who is a fun manager Invest in entrepreneurs. He's an attorney he as a startup founders of software as a service and Really what I loved about What he's built is Everything that he's built, it's vertically integrated, which I love, but he really embodies the principles of experimenting. Right. And what I mean by that is he has tried multiple models in real estate, which allowed him to get exposure, which I think is really important when I talk about having a well-rounded experiment in your lab, LabAK being your life, so that you can at least identify (Seth Bradley) (02:10.529) what you like, what you don't like, what gives you return on energy, what drains you. I think those are all important things for us to then be able to niche down. A lot of times we talk about niching down, but we haven't even gotten a taste of what's on the menu to even understand what it is that we want to niche down in. And so part of what I created here at Experimentation in the lab is to bring you folks who can present the menu of the different options that ...