Scaling Your Land Investment Business
If you look at some of the most successful companies, you will notice that they aren’t constantly changing their strategies and reinventing themselves with every market change. Instead, they relentlessly build a repeatable approach to every department within their business.
Compared to other business models, land investment may not strike you as being repeatable or scalable. But in fact, it is both! That is exactly what we have done with our land investing business model–and we can teach you how to do the same.
Scalability and Repeatability
In order to scale your land, you first have to understand the concept of land scalability and repeatability:
- Scalability is your business’s capacity to grow when faced with increased production without being limited by the availability of resources and/or structure.
- On the other hand, repeatability is the ability to perform the same sales processes over again and establish sustained growth.
These two terms go hand-in-hand: the true test of whether your business is scalable is if the processes you applied when scaling it can be repeated, and lead to growth.
A scalable business model yields more returns as more resources – capital and labor – are invested in it. When this can be repeated, the business model is said to be both scalable and repeatable.
Why are scalability and repeatability important?
From the buy-side to sell-side and everything in between, our land investing business model is built around repeatable systems and processes that are never changed, only improved upon. We simply alter the software we use as needed, and we adjust offer prices based on the current real estate market: those are the only things that change.
One of the foundational pillars of scalability is building a business on repeatable processes that don’t require you to be involved in every step as the owner. The result is simple: if you focus on a specific strategy with well-defined acquisition criteria, then build out repeatable processes for acquiring and reselling land at a profit, you will have a business you can be truly proud of. Not only that, but you’ll be able to step away for months at a time without seeing any dip in your bank balance!
How to Scale your Land Business
While life sounds so much better this way, scaling your land business doesn’t happen by itself. It takes conscious, intentional, and well-thought-out plans to achieve. In this article, we will be sharing with you some of the steps we took to scale our land business, and how you can do the same for an equally rewarding outcome.
Find your Niche
The very first step in building your land business is finding and developing your specific niche. Developing your niche promotes the positive budding of relationships; people love to work with whom they are comfortable. Niching also builds your credibility in the industry and helps your business reach household name status.
Have a Clear Strategy
Defining your goals and having a clear strategy on how to achieve them is absolutely essential. Not only do goals help in limiting redundancies, but they also improve productivity in areas that need focusing on. With a clear strategy, you will find it much easier to remain dogged in your journey of scaling your land business.
Having a clear strategy involves:
Building the right structure. Your business needs an adequate personnel structure to function properly. When structured well, members of your team will be better positioned to perform at their very best, as their roles will be properly defined.
Delegating tasks. Delegate responsibilities to members of your team; don’t try to do everything by yourself, as it won’t be sustainable in the long run. Delegating tasks boosts productivity and saves you time. It also fosters creativity in your business, as each member of the team will have a unique idea to contribute.
Delegating can be difficult, especially when you are someone who likes to control the quality of all aspects of the business–but if you can learn to trust the team you’ve built, delegating will help to grow and strengthen your business from within.
Commitment yields favorable results over time. One of the major impeders to success is the lack of commitment. If you don’t commit fully to your cause, you’ll never know how far you might have gotten if you’d dedicated more time and energy. The results you achieve by being committed to your goals and strategies will astound you.
Find the bottlenecks in your business
It is never easy to accept when things don’t go as well as you’d planned or envisioned. It may lower your morale and keep you down for a while, and that’s okay. The important thing is to bounce back as soon as possible. Instead of wallowing, identify the areas that need improvement, then take action to resolve the issues. Hire professionals to fill particular roles and responsibilities that need attention. Once you fix the pain points, you can sit back and watch your business flourish.
Hone in on Your Strengths
At this point in your career, you may already be aware of your personal strengths and weaknesses. If you aren’t sure, or you suspect they may have changed, it’s worth taking the time to explore your strong points and pitfalls.
Once you’ve identified your weaknesses, improving in those areas is obviously going to be your next step. But what of your strengths? Those need to be developed, too–you will be outperformed by others if you do not continue to hone your skills and talents. Ask yourself how you can perform better, find creative ways to do things, and use your identified strengths to boost productivity.
Stay on top of new efficiency software
The world is moving quickly, and things are changing all the time–especially in the tech world. You can’t afford to remain where you started, or you’ll be well and truly swept away. Staying up to date with the latest software and technologies helps you to:
- Stay abreast of trends as they come and go
- Make informed decisions on how to go forward with your business
- Boost efficiency
The latest software and technology will often provide you with more efficient ways of getting things done.
Measure your Growth
As other successful businesses do, you should take inventory of your process. Proper documentation of the steps and decisions being made in your journey will help define:
- The steps you are taking, both right and wrong
- Changes that need to be made to ensure more growth
- Areas that need to be worked on and redundancies that should be removed
This process also ensures that you take into account any changes that have occurred in the market, thereby allowing you to devise ways to implement them in your model. Not engaging in the periodic measurement of your processes reduces the pace at which you can scale your business.
Stay Connected to Other Land Investors
Get involved in mastermind groups and training groups that allow you to interact with others in the space, especially those who are performing better than you are–this is one of the best ways to learn. Be mentored by them, read their books, and watch their videos. Staying connected will speed up your learning curve tenfold.
Don’t be scared to send more mailers!
If you find a good deal, you’ll be able to find the capital to purchase. Do not limit yourself by the amount of money you have in your account. If you only mail counties or target properties based on how much money you have in your personal bank account, you’ll never scale as fast as you probably want to. Push your financial boundaries! With high risks come even higher rewards–and investing in land is one of the most high-risk investments you can make.
Use Funding Partners
Many businesses will provide financial contributions if you request funding from them. When choosing a funding partner, you’ll want to find one that aligns with your goals and needs. Your choice of funding partner greatly affects the scalability of your land business, so be intentional about your choice and make informed decisions. If you are looking to get a funding partner, reach out to Freedom Land Capital to find out how we can help.
When done properly, scaling a business will reduce your workload rather than increase it. The scaling process involves more work to begin with; however, you’ll need to sort through your internal systems and create a progressive dynamic that stimulates business growth. Following the steps outlined above will help you live the life you want to and build the successful business you always envisioned for yourself.
Don’t be afraid of failing–just take it one step at a time. We’ve done it, and you can too!