Hello my name is Jamie Sweet with PhixNPhlip a real estate crowdfunding source.
I’ll be presenting PhixNPhlip on behalf of Shane Cook and Joe Cook owners of PhixNPhlip. I’ve known in work with Shane and Joe since 1992, I’ve been involved in other real estate projects
with them in the past. If you have any questions about crowdfunding or would like to know more about how to invest in a PhixNPhlip project you can contact me at PhixNPhlip@gmail.com.
We do have a disclaimer here it is;
Although there are many benefits as we’ll discuss there are risks associated in the crowdfunding investment as there are in any real estate investment opportunity. Pease be sure to do your due diligence before investing. PhixNPhlip will provide an offering addendum that details the project for your review. In addition we have over 30 videos on our YouTube channel. To see all the videos visit PhixNPhlip.com. Here’s a quick video overview of PhixNPhlip.
You want to have a prosperous future in retirement, however slowly having a savings account won’t get you there.
With less than 1% return and the stock market has been pretty volatile lately real estate is a preferred investment of the rich. Like Robert Kiyosaki and Warren Buffett who have made some of their money through real estate. Although, to get started and be successful in real estate it can take a lot of time money and skills. That’s where a PhixNPhlip
can help you, our crowdfunding platform will allow you to choose from a variety of different real estate projects. Where everything will be taken care of by us the sponsor. As sponsors we use our own money to fund a project, even if the funding campaign doesn’t reach its goal.
I’ve been a real estate investor in Arizona since 1991, participating in transactions over 380 million dollars.
Shane has been a trusted partner of mine since 1998 together we understand the time money and skills necessary for these type of real estate projects. Since 1998 I have purchased and sold and been a realtor on many types of transactions totaling over 250 million dollars. I’m dedicated to serving my buyers sellers and investors here in Arizona. With our PhixNPhlip platform we’re dedicated to helping people regardless of their level of real estate experience to profit from investing in real estate. So if you’re ready to invest choose your project click the invest now button and we’ll connect you with our third-party escrow service. If you’re still not sure, listen to what people who work with us have to say.
“What I like most about working with Joe and Shane is that they understand the Arizona market and they’re very approachable and they understand business. They know how to make a deal”
“Shane has been assisting me with some of my commercial clients and I’m continually referring those clients to him because he has a high level of professionalism”
“What I feel it makes Joe and Shane such a good team is their communication because they do
their homework they definitely do their due diligence on each property that they’re gonna select”
“so far everything that we’ve done since 2010 has been precisely what we set, which is great”
This is a presentation on capital investment not a Kickstarter a donation and no rewards like others some other type of crowdfunding.
This is regulated capital investment by the Arizona Corporations Commission Securities Division. Joe and Shane don’t just broker deals they’re personally invested in every project that they do. The goal is to reach 12% to 18% annualized Return. Have periodic liquidity and have a number of projects for you to choose from.
The next project #2 is Earll Drive PHX, is open until July 26th.
Currently, we have closed offerings on project number one for Arcadia light the. Project is starting construction right no. The next project number two is Earll Drive PHX, is open until July 26th so you can invest it till then. Has raised 259 of the 400 shares available. Then we have Tremaine Drive coming up in its launch date is July 29th so to keep up on all the PhixNPhlip projects. Please like our Facebook page PhixNPhlip you can also visit Instagram if you use that.
So talk a little bit about capital and investment regulation so as I said that’s regulated by the Arizona Corporation Commission the Securities Division.
They have a real estate part within that division and the Securities Exchange Act was written in 1933 says any offer to sell securities must be registered with the Securities Exchange Commission. Meaning exemption so these rules basically favored the rich and only 8 to 10% of the population qualified and was out of reach for accountable investment. Then in 2012 the JOBS Act JumpStart our business startups. The most significant deregulation of securities exchange laws in 80 years the JOBS Act basically it’s big complex but if you want to learn more about the security Exchange regulations we’ve recommended contacting a professional. For the purposes of this presentation I want to be sure to outline the regulations is they have created this opportunity for you to invest.
There are five types of crowdfunding models.
Real estate crowdfunding has been around for quite some time but has recently gained more popularity as the internet has progressed and online security has become more trustworthy. Most types of credit funding that you’re seeing on the media, they’re looking for a donatio. But there’s actually five types of grant funding. Their donation based where they’re looking for funders to know donate money to campaign. Rewards based looking for funders to donate money for an exchange of some type of rewards where they’re it’s still the funders in this and expect some type of revenue from the transaction. A debt based where funders lend money to in visual individuals or business and expect a repayment with principal. Then there’s equity based funders invest in a project and receive equity or equity like shares in return for their investment. All crowdfunding offers are not the same as I said Joe and Shane are personally invested in every project they do. Then they’re offered equity interests and profit participation to qualified investors. So to be clear our model is an equity based real estate crowdfunding offer. We’re not looking to fund this project it’s already funded.
A little bit about the crowdfunding activity.
As you can see crowdfunding is evolved as the internet with new rules and regulations that I mentioned the market has grown exponentially. From 2009 to 2015 it’s grown from 530 million globally to 1.7 Billion. Although debt crowdfunding is the most common you can see in the graph the equity crowdfunding noted in the purple is gaining popularity as more investors seek to diversify their investments in real estate.
Joe gets asked a question all the time—
We’re asked a question all the time about why are you doing the crowdfunding?
My background comes from the whole SEC terminology accredited investor and reg D offering and those kinds of things and we want to move away from that confuses most people and it’s it’s highly legal jargon. Well and it’s the big guys we would like it to be the more everyday investor participate and the crowdfunding legislation in 2015 and social media if I can uh knowledgeably put that in in the realm of discussion and out those network people with 1K to 10K dollars can invest just as easily and just as participatory as the old accredited investor so what’s the benefit to that person who puts in a thousand or ten thousand dollars. To the way we’re trying to do it now versus just paying them 9% to 15%. I mean we’re trying to get the same type of return maybe a little bit better if things go great but we’re doing it in a different structure. Yah so there’s a benefit to them and a benefit to us. We’re not paying 9 to 15 percent all the time. We’re no undue pressure again why new pressure no we put them on the we put them on the same side of the coin as us and that is you know here’s a flat rate of 6%. We don’t make our money until there’s a there’s a profit and when there’s a profit. We after you get your preferred we get paid and then there’s a profit split so either we don’t make money and you don’t make money or we both make money and it’s in the timing is flexible and the interest rate clock is diminished a great a great deal.
The second thing is a set of benefits for the investor first of all at a one to ten thousand dollar investment you can diversify a great deal
and in most different projects or time frames or sponsors. I mean we you know we’ve talked a lot about other sponsors as well well there’s a lot of sponsors coming in the marketplace because this is a new kind of thing. So you can diversify across sponsors but another benefit is you can participate in things that you would have participated in before for the everyday people. 1K to 10K dollars or if you’ve got 20K dollars to invest to have it all in one house or one project is quite a lot you know, there’s a lot of stress involved with that a lot of different things involved with that and so to be able to tickle your feet into a couple of projects or just watch through video or drive by a few times. You know we’re we’re pretty much open books if you want to comment on stuff or send us questions I think there’s not only an opportunity to invest or participate vicariously but there’s also an opportunity to learn. I just I think not having the pressure on us to keep a certain rate going all of the time but to bring truly well underwritten projects to the table and allow accredited and and regular people around the state to invest across a few different projects is just a safer way to approach a very similar thing we’ve done before. Exactly and in closing it doesn’t take away the risk I mean there’s still risk in the project but you’re participating in that project at a level that allows you to tolerate that risk learn from that risk get a reward from that risk and then if you choose to go on and do it yourself you can. If you don’t then you find another sponsor or you continue to invest with us.
Joe talked a little bit about the benefits of crowdfunding.
Is a hundred and seventy billion dollars to small business. Average American can invest. Does not require US government spending. Benefits to the sponsor: does allow businesses access to unaccredited investors and equity crowdfunding can be used in conjunction with traditional bank debt. Allows to the investor diversification of investments in multiple projects. It is available for self-directed IRA and it’s an
opportunity to invest in local real estate projects.
We will review our website and how it works I just want to walk you through how to choose a project and invest.
But I would like to also point out a few things on our website. One thing is testimonial section. Here where you can hear what other investors have had to say and we also have several blogs. Including a FAQ why do invest with us details about the projects and the Arizona laws allowing this opportunity. Here’s how to invest in one of our projects just simply go to PhixNPhlip.com click on start investing and it will bring you to the available projects. Click on more details and now you can review all the details on the projects. There’s an E-book to download videos 3d drawings a video with our contractor and valuation report lots of details. When you ready invest you Click Invest Now and then you will be directly routed to our third-party escrow company. Here you will be able to establish your Arizona resident, see and then the investments detail. Investments are held in the single escrow account until minimum thresholds are met. You can access your investment online 24/7. Again this is Jamie sweet with PhixNPhlip, if you have any questions please send them to PhixNPhlip@gmail.com or you can give me a call 602-694-3677 Thank you!