Transcription
So, ladies and gentlemen, last month my land investment company made $264,330.51. And in this video, I'm going to break down our P&L and then show you some of the deals that we did. I have other videos. I have actually a slew of videos scheduled to do full deal breakdowns, but I'm just going to show you guys the system, really the overall system of how I'm able to do this consistently and how I've been able to do this for the last couple years. Actually, this really is just the system behind it all. I do a lot of deal breakdowns, but I never really show you guys the system, how much we actually have to spend, team, stuff like that. I never show you guys any of that. So, on this video, I'll show you guys that through our P&L.
So, first things first, you can see at the top line here, our land sales revenue. So, that was, you know, purchase price plus exit price. That's that's everything. So, that's topline. So top line was $820,895.51. Total land purchases last month were $514,240. Now this was over time. It wasn't just in one month. So it's 70k here, 67k here, 50k here, 40k here.
Now I do fund all of my deals. I'd say about 98-99% of my deals all in-house at this point. And so I'm actually able to take a lot more risk. I'm able to take a lot more chances on deals that I necessarily wouldn't have even done maybe 3-4 years ago and we do have an in-house credit line that I'm able to constantly tap. That, I mean, it's been a game changer and it's at a really low interest rate and so that's really been a a real a real game changer for me and for my business because I'm able to just kind of keep everything in-house. I don't have to use funders and I'm taking 100% of everything. Now, like if I used funders, I would have made probably about maybe about 60-70% of this. And so once you get yourself to where you have a track record, you're consistent, you have really good credit, you have really good cash flow, this is why all these things are extremely important. You want to make sure that you're well capitalizing yourself. It's not just about doing a deal here, doing a deal here. You want to build an empire. And so what I've been able to do is build an empire, essentially build a cash flow business that allows me to fund my own deals and be vertically integrated. That's the goal for you, for me, for anyone that I teach. You want to be vertically integrated. And of course, I still do a JV here, a JV there. I still fund other people's deals. And this is actually just the P&L from the main land flipping company, not including funding, not including anything else.
Uh, and so one thing I will say is that I I built I've really focused and honed in on the last several months of building a system that runs without me. So whether it be marketing, follow-ups, follow-up campaign, all of it, I've built the system so that it doesn't run without me. The other thing I will say as well is it's not necessarily, as you can see here, if you look at advertising and marketing, we spent $16,000 on advertising and marketing last month. And so I know people are going to say, "Well, how much mail was that? How much mail did you send?" I'll answer the question. About 24 or 25,000 mailers, that's around what we're sending. But I would say it's not even about the mail specifically. It is more about us squeezing the juice out of our leads. So I'm consistently squeezing the juice out of our leads. And so that is with lead scoring. That is with seller framing. That is with seller follow-up on a consistent basis. I don't let up on any leads. I don't let my team let up on any leads. We're constantly following up with our leads and we squeeze the juice out of every single lead. Now, when you would probably let someone just kind of fall off, we don't. There are people that we're following up with from two years ago. Still to this day, they're still on our seller friendly sequence still. We're still talking to them. We're still calling them. There, I can go on my CRM and I can see that we've made over 150 calls to just one person. And so, your 25,000 mailers and my 25,000 mailers are not going to be the same because you don't follow up the same way. You don't have the same systems that we that I have. You also don't have the same way to frame a seller. You don't you don't have the same way to build rapport. And so when people say this thing of like, "Oh, well, all I have to do is just send out the mail." Yeah, you do. But also, you have to realize that the system is not the same. You need a really good system on top of a really good marketing machine. So, what I've been able to do is build systems around marketing, talking to sellers, following up with sellers, and selling properties on a consistent basis.
Now, when you're able to do that, and you're able to do that in really good markets, this is the result. So you can see land purchases $514,240. So actually our gross profit was $36,655.51. So before our operating expenses actually into the bank, $36,655.51. And then that $514,000 that just went back to pay the credit line. And then as you can see, yeah, advertising and marketing, $16,000. Legal and accounting, $5,700. That is very worth it, especially at this level. If I didn't have someone keeping my books for me, if I didn't have someone helping me with tax strategy, have someone help me like set up, you know, all of my entities, which I'm not going to explain here, that's private stuff, but all of my entities as far as holding core, holding corp, trusts, everything like that. Uh, if I didn't have someone helping me with that, uh, my head would be spinning. So that has been great. Office expenses. So software and applications. So we also just data wise I have unlimited data with a few different companies and so that's been really helpful as well once you get to this level. Like I have over a million data points as well. So we use a lot of like we use a lot of markets. To reuse a lot of data points, but we're always doing market research, always pulling data still, but I do have a lot of data points and I also have unlimited data with with all these companies. So, that's been extremely worth it. So, essentially, is that it? Huh? I guess so. Okay. Yeah. So, that'll bring us to Oh, yeah. And then my my payroll. I was missing that line. I was like, where? There was something I wanted to explain. Payroll. So, on average right now, I'm paying anywhere from 15 to $22,000 a month for my team. And it ranges because of bonuses. So, I mean, these guys have been crushing it lately. And so, I do give bonuses to them all. And I'm not going to disclose what I pay them, how much I pay them because, you know, some of them may watch this. And so, that's private. But, yeah, about about anywhere from 15 to $22,000. And I do give bonuses as well. I pay my team very well. This is the thing. I don't look for cheap labor. I'm not looking to pay someone $5 an hour. I'm looking to pay you very well because I want you to do very well for me. I want you to be able to buy a house. I want you to be able to retire your family. That's what I want. If if you work with me in any of my companies, any of my companies at all. I want I don't want to just pay you cheaply. And so, I think people when they do this, you know, wholesale real estate stuff, when they do land acquisitions, when they do businesses like this, they're thinking like, "Oh, let me just go find some $6 an hour VA." And yes, I've gotten good quality from people like that. And I do have employees, you know, in my team that started out like that. But you should aim to pay people very well. And I mean, gosh, the company still made after all expenses, $264,000. And so, you have to be able to pay for really good talent. If you want good results, if you want great results, pay for great talent, too. That's what that takes, right? And so, yeah, happy to do that. And if you want to be top of the top, pay for top of the top talent. That's it.
So, when we go over to the deal tracker here, you can see, first of all, my average days held was 54 days for these deals. And that's on average what we're seeing. And I'm trying to figure out a way to to dip below 30 days held. It's just there's so many different data points. And so, it's kind of difficult to like dip below that. The only thing I can think is like if we can just have somehow better marketing or more of an immersive experience for a buyer. And I mean I still have deals where we're we're selling in 12 days and they're being sold in 15 days, 20 days, 25 days, so on and so forth. I mean I had a 19 right here. I would say this month was a little bit higher than I would have liked it to be as far as just days held days that we held the asset. I mean 121 days to me is just unacceptable. So, you know, I'm kind of disappointed in that. But it's okay. It's part of the business. Everything is not going to take two hours to sell. This is important to understand. It's not going to take two hours to sell. So, you have to be able to have really good marketing, use really good brokers, and be consistent with your marketing as well.
So, one thing that I will tell you is that we follow rules. The reason why I've been able to do this on a consistent basis is because I follow the rules. I follow my rules and I follow my strategy. I don't break that for anything. I don't say, "Okay, we're going to experiment with the subdivide. We're going to do this, we're going to do that." No, we say, "Okay, purchase prices that we need to be at anywhere from $40,000 to $200,000. And we need to be in these specific markets. We're not going to focus on subdividing. We're not going to be doing any owner finance. We're not going to do any of that. We're just going to make sure we follow our rules." So, that allows our marketing to be very consistent. That allows our conversations to be very consistent with sellers as well. Because the other thing too is when you follow a specific set of rules, what happens is you know exactly who you're talking to on a consistent basis. So we end up talking to the same kind of seller over and over and over again. And so we've mastered how to follow up with that seller, how to tell a story to that seller, how to build rapport to those specific kinds of sellers. And this makes the business actually a lot easier. I see a lot of people focus on this strategy, that different strategy. You're using 20 different vehicles to get to the same destination. And so if I have a G Wagon or Rolls-Royce or a Porsche, I'm using I can't drive all the vehicles at one time. I can only drive the G Wagon or I can only drive the Porsche. I can only drive the Rolls-Royce. I can only drive whatever vehicle it is that I need to drive to get to my destination. And so this is the problem that I actually see with a lot of people is that they are so busy with like ah like what's the strategy? What's the strategy that's going to make me rich tomorrow? What's strategy that's going to do it? What's like how how do I do this? How do I do this? You're so focused on that instead of just taking one strategy that you know works and being consistent on that strategy. This is all I've done.
And funny anecdote here. I used to have this deal tracker or similar deal tracker a few years ago as well. So I'd say maybe 2021, early 2021, I had a deal tracker before I sent out any mail. Uh, and I had this thing. I was like, "Hey, I'm going to start sending mail and I'm going to start getting, you know, my deal tracker." And it's funny because month after month, you know, at first it was like zero. Okay, no deals today. No deals on the board today. No deal. And then it was one and then it was two and then it was three and then it was four. Then it was five. Then it's six. Then one month is 15. And so this is how it goes when you just stay consistent on one strategy and you master it. And so this is something that I've been able to do and something that I've also been able to teach my clients at Lanverse to do. And so if you want a system like this licensed to you and implemented into your business, feel free to book a strategy call below and I'd be happy to help you.
The other thing that's important to note about this business model is leverage. I mean, I cannot tell you when I transferred from hustler to entrepreneur, how much that changed my business. And so having I talked about this a little bit earlier, but having really good employees and having a really good team is important. So my acquisition managers, transaction coordinators, disposition managers, even call color that I just hired, game-changing. It makes it so that I don't really have to do much in my business. And you have to transition your mind if you want to get to, let's say, 100k plus months in the land flipping business or $200,000 plus months. You have to transition your mind from hustler and just like guy who's just grinding for the next deal consistently, which is what I used to be before I realized leverage, before I realized how to actually get traction into your business, before I understood how to do that, before I understood how to actually build culture. And let me tell you this as well. I I'll do a separate video about this, but culture is not just putting up some credo about your company and saying, "Oh, this is what we're about. This is who we are." That's not culture. Who cares about that? Culture is you being living and embodying all the qualities that you set forth as well so that your team can see that. Cuz this is the other thing. When you are hungry, when you are driven, when you are ambitious, your team can feel that. Your team can feel your drive, your power, and work. Like we're here to work. And again, we also have a lot of fun with this. Like still have a lot of fun doing deals. Still have a lot of fun listening to call recordings, still have a lot of fun operating the business, but if you want to get to the point where you're making seven figures from land flipping, you need to make sure that you have systems in place. I mean, not just system, not no I mean like, okay, these things work. So, from the time a seller sees your mailer or your text or they get your call and they're now in your funnel, what happens? How many touch points do they get before the deal is closed or before you put them on a follow-up sequence before like what what is the next thing? And I work with a lot of clients in a lot of land investment companies as well. And I see that most people don't have touch points on anything. Most people have no follow-up process. Most people have no framing process. Most people have no process before either before they get on the phone with the seller or a call is booked. They don't have any process for a seller to see anything. We have several different resources. So by the time that a seller gets on the phone with an acquisition manager, the seller's already seen three or four or five different resources that we have. So whether it's an ebook, a story about someone we helped, whatever, we're already framing them and preframing them to make sure that they trust us more. So, if you're just like, "Okay, again, this is speed deleted. This happens in 10 minutes." We talk about it when we call them. Hey, I wanted to see if you saw that story on there. And maybe I'm giving a little bit too much up, but I want you guys to realize just how obsessed you have to be with this business to make sure that you're doing things like this on a consistent basis. You have to create an immersive experience for a seller if they're going to trust you, a trustworthy experience, cuz they never actually see you in person. It's all about trust. Like, all this is about trust through and through.
The reason why we consistently go with brokers is so that it's because they already have goodwill in the market. If I try to self-list a property, I don't have any goodwill in that area. Who am I? They don't know me, but they do know this broker in this specific area because he's also sold 100 properties in that exact area, which is why we do that on a consistent basis as well. So really, all of this has just been about learning, growing, iterating. On average, I try not to let our business dip below $120,000 in profit. And I'm still pushing for a million dollar month. We haven't hit it yet, and I'm I'm hopeful that it happens this year. I do think that there are some deals that are in the pipeline that that could push it over. Last year was very similar too to where I had some deals that were supposed to close and they didn't end up closing when I thought they would close. So, this is just what happens. This is the nature of the business. My real goals for the next year or so. I really want that million dollar month. I want to continue to make sure that we're printing numbers like this. I want to pay my team well, consistently, and just grow the business. My biggest priority as well, though, is to really pass down this knowledge to other people. People that need help, people that want to change their lives, people that are stuck at that 20 to 50k a month level. If you feel stuck, if you're like, man, I I know that I can get there, but I don't have the systems in place. I don't exactly know how to do it. I think I might need Femy's help. Feel free to book a call below. If you're tired of running your business like your life depends on it. If you're tired of running your business into the ground, stressed out all the time, going into all these forums, trying to find the right answer, and you need help, make sure to get the help. Don't just let another 3, four, 5, 6, 7 months go by without you getting help. I will tell you this from experience. I got help. I talked to so many different people about how they're running their business. And if you want to elevate that much faster and save yourself time and thereby make yourself money by saving yourself time, then get help. This has been Fe Lamers and I'll see you guys in the next.