If you've been following any current events the past few weeks you can't help but hear what is ongoing in Egypt & Libya. Without going into the minutiae of the current failing government administrations suffice to say there has been a breakdown of the Infrastructure.
What happens first?
The first part of the infrastructure that crumbles is the rule of law. The military and civilian police forces become fractured and ineffective. As a result of a non unified ruling body petty crime erupts in isolated incidents and worsens as the infrastructure implodes further.
How does this apply to us?
A breakdown of infrastructure can happen in any organization of two or more people who work together as a team. Think of a marriage breakup where children are involved. This is a sad and tragic example of a family not having a unity base of support to draw from. Think of a work or sports situation where leadership in a certain area is challenged or somehow becomes ineffective. The truth is a strong infrastructure in an integral part of all of our lives.
Your own Real Estate Portfolio must have a Strong Infrastructure
Not surprisingly your Real Estate Portfolio must operate with a strong teamwork infrastructure. The infrastructure must be structured and maintained vigilantly to keep its integrity. Two of my fellow investors, friends, and fellow bloggers Neil Uttamsingh http://www.firstrentalproperty.com and Joey Ragona http://engagedinvestor.ca/ are examples of investors that have built up an infrastructure to support their business. They also share those steps and the many lessons learned along the way.
I have also seen where certain investors have not built a solid infrastructure to support their portfolio. Then we see what happens similarly to the current events in Egypt and Libya.
However the market acts much more swiftly and decisively and a portfolio can quickly become a row of dominoes falling into foreclosure.
Whether you are building your own portfolio or investing with another experienced investor ensure you or they have built a strong infrastructure based on prudent financing and professional affiliates to mention a few important points.
Contact us at www.cfiproperties.ca and don't be afraid to ask us about our infrastructure because as we now know it matters a lot!
As we grow our portfolios it becomes more important to implement great systems and infrastructure. At some point we'll all get stuck without it.
ReplyDelete