Investing with Friends: How to Find Your Next Investment Partner
We hear from a lot of women that when ti comes to learning about money and investing they feel lonely, confused, isolated, and overwhelmed. That’s why at Factora, it’s not just about education, but about community.
Learning as a community helps us hold each other accountable to our goals and push each other to dream bigger. The Wealth Circle helps foster new friendships between female investors that are too rare in this world and creates a unique opportunity to start investing with friends.
Factora women have started investing together so much that we realized we needed a word that describes these special relationships. So we’d like to officially submit to Merriam-Webster: Investies.
Figuring out how to find your next investment partner may feel like a daunting and unfamiliar task…but that's where the Wealth Circle comes in.
We’re here to make it easy for women to find their Investies, by providing a platform and community of like-minded women investors who can learn together, hold each other accountable, build relationships, and work towards their biggest goals.
Women supporting women: Like besties…but for investors.
To prove how powerful these relationships are, we’re highlighting 4 Factora Investie partnerships to show you it's more than possible. We’re breaking down how these women met, what their partnership looks like, and of course, the numbers behind it all.
How to become an angel investor: Maggie & Pam 🥂
These women helped each other kick imposter syndrome to the curb and make their goal of becoming Angel Investors a reality. Now they chat through investment opportunities together and have invested in 2 of the same companies.
How they met: “Maggie reached out to me after listening to my Coffee & Coin Podcast episode where I mentioned how I thought angel investing wasn’t accessible to me—until I found out that you could start with $1 - 5K. I recommended the angel investment network I was a part of and she ended up joining!” - Pam
Their deal: “After we both joined BEAM, we decided to meet via Zoom and walk through our thinking about a few deals. I mentioned that I was really excited about one deal and invited her to join the pitch.” - Pam
“A month later, the angel network we’re a part of had another pitch for another company and we both got really excited about it and decided to invest as well.” - Maggie
Share the numbers: Each woman invested $10,000 in the first angel investment and $5,000 in the second investment.
Their Takeaway: “The Wealth Circle showed me the power of community and of sharing your goals with other people. It was easy for impostor syndrome to kick in when I thought about becoming an angel investor, but by us both supporting each other in our angel journey, it’s been really great.” - Pam
How to create a real estate partnership based on time, talent, and money: Celeste and Christine 🏘️
Celeste and Christine met in the very first Wealth Circle. They have been holding each other accountable to their goals ever since by forming a real estate partnership. Celeste had some cash she was interested in buying investment property and Christine was looking to build her garage out into a cash-flowing Airbnb space.
How they met: “We met through the very first Wealth Circle! We decided to become accountability partners and through that experience decided to become Investies.” - Celeste
Their deal: “Celeste loaned me $18K to convert our garage into an Airbnb space. (The full project was about $40k.)” - Christine
Share the numbers:
Total interest Celeste will collect: $4,500
While the initial loan is being paid off: Celeste receives 50% of the net Airbnb profits per month
After the initial loan is paid off: Celeste receives 20% of the net profits per month until the total interest is paid
Their Takeaway: “We knew that the Wealth Circle gave us a strong base to come as equals to the deal. The knowledge from the WC helped us remove our uncertainty about what the other person knew about money. We also knew that this would be a learning edge for both of us and we were up for the challenge!” - Christine
How to create a cash-flowing Airbnb partnership: Lisa & Alison 💸
Lisa had been long-term renting her property but she knew that a short-term rental could be much more profitable. Alison had recently moved away from her corporate job and had a talent for designing and curating unique spaces. They thought purchasing a rental property together could be a good opportunity.
How they met: “We met in the Wealth Circle Slack community! Lisa was looking to chat about launching her first Airbnb and it ended up being a partnership that grew to be perfect for both of us.” - Alison
Their deal: “Alison designed, furnished, and launched the Airbnb (3bd/2ba/1,919 sqft) in 1.5 months. She has gotten it off to a great start with beautiful decor, 5-star reviews, automated check-in, wifi and TV streaming, a guidebook, and toiletries and local drinks and snacks.” - Lisa
The numbers:
Alison’s property management fee: 25%: Alison takes a 25% property management fee
Alison’s flat fee set up cost: $15,500
Other start-up costs: $4,778
Total monthly expenses: $1,792
Average net monthly payout: $2,229.50
Their Takeaway: “After you finish the Wealth Circle, get and stay active in the Slack community — it's a goldmine of resources! I love reading all the #money-wins, offers, and other questions/answers. I learn so much from the conversations we have with each other. And you can find amazing partners!” - Lisa
How to be accountability partners: Allison, Jessica, and Whitney 📱
These Investies “talk all day every day about every single money decision in our lives. Everything from 529s to which cryptos we're going to invest in and every other thing in between.” That’s the kind of group chat we are here for 🤑
How they met: “I met Allison in college and we were roommates shortly after graduation. She brought Whitney and I together a few years ago.” - Jessica
Their deal: “Our deal is constant communication, accountability and laughs. We frequently bounce side hustle ideas off of each other so I imagine it’s only a matter of time that we get a passive business started together!” - Jessica
“We talk all day every day about every single money decision in our lives. Everything from 529 accounts, the stock market, Custodial accounts for our kids, and everything in between.” - Allison
Their numbers:
ALISON
My husband and I close on a triplex that already has 3 tenants in place.
Price: $149,000
Monthly payment: $839
Monthly net profit: $1,850/month
Property management fee: 10%
Monthly cash flow: $826/month
WHITNEY
Price: $300,000
Appraisal price: $325,000
“I looked for about 8 months and stayed patient until the house worked for my numbers and not the other way around. Plus, Allison and Jess would have never let me buy anything out of my budget.”
JESSICA
I purchased a primary residence in a private sale.
Price: $400,000
Value increase since purchase: $99,000
“I represented myself so there was no agent’s fee!”
Their takeaway: “The networking in Factora is worth the cost of the course. I've been exposed to so many different types of women with different goals. But everyone is so encouraging and smart. Factora is the personification of women supporting women.” - Whitney