Transcription
This is a video for all of my brothers and sisters across the world who are Muslims. Now, I love the Muslim people. I'm Christian myself, but I've got hundreds of people that I've worked with, I've met, I've partnered with. We've done deal sourcing, rent to rents. Every single Muslim I've ever met has been honorable, has had integrity, has been a peaceful, sweet person. And that's why I'm super excited to announce that we now officially have launched Samuel Leeds Islamic Finance.
So how does this work and what is this? Well, I've got Muslim students that have got money, they've got equity in their property, but they they can't refinance it, they can't borrow because it's against their religion. And they want to have integrity, they want to be honorable to their core beliefs rooted in the Quran and Sharia law. And that is hindering people being able to scale their businesses and buy multiple properties as a result. With that, from all the people that I've met, that's why we started Islamic Finance.
There was a guy called El who was a recent convert to Islam, became Muslim. He found a property he really wanted to buy it for himself, but he couldn't because he didn't have the money to buy it. He didn't want to package it and sell it because he he wanted to buy it. But he was able to buy the property and he was able to use the finance through Samuel Leeds Finance, Sharia compliant. It has changed his life. He's now on the property ladder.
So if you're a Muslim, or if you have an issue with interest on debt, then I've got good news news for you. There is such a thing as Islamic Finance. There's very few people that are doing it, but Samuel Leeds Finance now offers it. So what's Samuel Leeds Finance and how does Islamic Finance work and how is it compliant with Sharia law? Is this even legit? I'm a Christian, how can I offer Islamic Finance?
Let me start by talking about Samuel Leeds Finance. Unlike most people that teach property, I've got a property business. I've got an education company as well. So I teach property, my students that learn from me about property. Unlike most people, I don't sell them anything. I'm not trying to sell them on partnering with me in deals. I'm not selling them a training program or a membership to be part of a community and then saying to them, "Hey, put your money into my deals." I don't need to do that. I've gotten enough money, I've got enough wealth, I've got enough property. I wanted to do the opposite of that.
So a couple years ago, what I did was I built up a little pot with £1 million of my own money. I set up a finance company called Samuel Leeds Finance, which offered bridging finance for people to buy properties that were run down, do them up, sell them, flips, or buy properties that are run down, do them up, refinance them. I set up my company and I started loaning out my money to my students, which meant people that didn't have the experience to get loans from other bridging companies. They're my students, I can give the money, we can cut the red tape. There was people that were able to get money and tap into Sam Leeds Finance from auction properties. So they're bidding auction properties, they need the money fast, they can get it from Samuel Leeds Finance. There's people that didn't have the experience because no lender would touch them, not because they had bad credit, because of a lack of experience. So we've been able to finance millions of pounds worth of deals directly from my Academy members that are students of mine, people that I know, and it's massively changed their life.
I wanted to be able to help everybody, but there was many people that were Muslim that were saying to me, "Ah, we can't tap into the finances, it's against our religion." So I did a lot of research. I sat down with solicitors and lawyers that were Muslims. I sat down with scholars and after about six months of research, we were able to launch the Islamic string to the finance.
The way I was able to finance Elijah's deal was through something called Murabaha. Apologies if I'm not pronouncing this in the correct Arabic phrase, but let me explain what it is and how it works. So Elijah found a property that he was able to buy at £54,000. It was worth a lot more than that, but the seller was super motivated. Instead of him buying it for £54,000, Samuel Leeds Finance buys it for £54,000 and then immediately resells it to Elijah at £59,000, making a £5,000 profit. The payment by Elijah is postponed for an agreed period of time and would be made by regular installments. Samuel Leeds Finance are protected by having a legal charge over the property until the final payment was made, using no interest, completely legit according to Sharia law.
The second way that we're able to assist with Islamic Finance is Musharaka. Again, apologize if I pronounced it wrong. This is basically like a joint venture. So let's say you find a house, it's run down and you've agreed to buy it for £100,000, but you don't have the £100,000 and you don't want to get a mortgage. So what happens is Samuel Leeds Finance buys it with you and we do it as a joint venture. So we might put in 65%, you put in 35%. We then restore the property, we sell it for a profit, and we take a profit share, meaning that you've not paid any interest, you're paying a profit share, completely legit according to Sharia law.
And the third way, I'm not even going to try and pronounce this one because I'm going to make myself look silly. So it's called Ijarah, and here's how it works. This is an arrangement whereby Samuel Leeds Finance buys the house you find it, it's a good opportunity, don't have the money for it, don't have all the money for it, don't want to get into any debt. So Samuel Leeds Finance will buy the asset and then what we'll do is we will lease the property to you at an agreed price. You, the customer, will then pay a rent to Samuel Leeds Finance, which would include an element of payment for acquisition of the freehold interest. The paperwork would include an undertaking from the financer to sell the reversionary interest in the property to you, the customer, once the full payments were made or the balance were obtained on the sale.
Now, you might be a little bit confused now thinking, "How does this all work?" But here's here's the real key couple things. Number one, you need to learn to just find good deals. There is ways where you can get these deals financed without having to work really hard on jobs and have the full cash to go yourself, whether that be one of the three different methods. So get good at finding the deals. Number two, maybe show this video to your local Imam and ask them to check that what I'm saying is legit. And if it is legit, and if you know how to find deals, if you're connected with me, this is of course, you know, only people that I know, people within the academy that I'm working with. But get in the community, know that there's hope because we can potentially work with you and finance your deals.
So that's what I'm working on. This is all new to me. I'm learning absolutely loads. We've had our first customer just last month, and it's worked really, really, really well. But this is something that I think could really equal the playing field, meaning that people aren't hindered on their strategies because of their religious faith. So let me know your thoughts in the comments. I can't wait to get to know you and work with you. God bless you and thank you for watching.