Capital Raising and Building Wealth in Real Estate: Fuquan Bilal’s Strategies for Success
Real estate investing is all about making the right moves at the right time. But what truly sets successful investors apart is their ability to raise capital and structure deals in a way that benefits both the investor and the community.
Fuquan Bilal, the founder and CEO of NNG Capital Fund, knows this better than anyone. Over the years, he’s mastered the art of raising capital and investing strategically in real estate.
I recently had the pleasure of speaking with Fuquan on my podcast. He shared insights from his journey, shedding light on how he built wealth through innovative strategies, like note investing, multifamily properties, and luxury homes.
In this blog post, I’ll walk you through the key takeaways from our conversation.
Insights into Fuquan’s Approach to Real Estate Investing
Fuquan has been in the real estate investing game for decades, starting with fix-and-flips before transitioning into multifamily investments and note buying. His story is a perfect example of how an investor can evolve and adapt to changing markets.
Navigating the Real Estate Landscape
Fuquan’s real estate journey started in 1999 with fix-and-flips. But after the 2008 financial crisis, he realized he needed to pivot. The banks were foreclosing on properties and selling distressed mortgage notes at a discount.
So, Fuquan shifted his focus to buying notes. This strategy allowed him to help homeowners stay in their homes while still generating profits.
In 2013, Fuquan created NNG Capital Fund, dedicated to buying distressed notes. By 2017, Fuquan expanded his strategy to include multifamily investments.
His approach combines financial success with positive community impact—a balance that many investors strive for.
Mastering Capital Raising: The Art of Building Trust and Relationships
According to Fuquan, capital raising starts with trust. Investors need to know, like, and trust you before they’re willing to part with their money. And that trust is built over time.
Fuquan emphasized that raising capital is a relationship business. He said that people typically won’t invest with you right away unless they come through a referral.
Over time, as you prove your ability to deliver on promises, they’ll invest more. It’s all about showing up, being consistent, and always delivering results.
Structuring Deals: Risk-Adjusted Returns and Investor Payouts
When it comes to structuring deals, Fuquan stresses the importance of understanding risk and reward. In real estate, there are different layers of capital, which form what’s known as the capital stack.
In a typical multifamily deal, you have senior debt in first position, mezzanine debt in second, and then equity in the form of preferred or common equity. Each position offers different returns based on the level of risk involved.
Understanding how to structure these deals is key to attracting investors and ensuring that everyone gets a fair return based on the risk they’re taking on.
Impact Investing: Balancing Profits with Community Development
While many investors are solely focused on maximizing profits, Fuquan integrates social good into his business model.
For instance, in his multifamily investments, he ensures that a portion of units are reserved for low-income families and seniors who can’t afford market-rate rents. This allows Fuquan to make a meaningful impact on communities while still achieving strong returns.
Fuquan’s philosophy shows that you don’t have to sacrifice financial success to do good in the world. You can create wealth while contributing positively to your community.
Building a Scalable Real Estate Business
Fuquan has built a solid team and system to support his growing business. He has a 15-person team, with nine virtual team members based in the Philippines. These virtual assistants handle administrative tasks, like procurement, permits, and contractor coordination.
His in-house team manages the operations of the business, from asset management to investor relations.
This efficient structure allows Fuquan to stay on top of his investments and ensure that his investors are always in the loop.
Exploring Single-Family Investments
While Fuquan’s focus has shifted largely to multifamily, he hasn’t forgotten about single-family homes. He still runs a fix-and-flip fund where investors can earn returns on single-family projects.
Fuquan also takes on ground-up construction projects, which require a bit more time and investment. However, they offer greater profits and come with the added value of providing warranties on new construction homes. This warranty gives buyers peace of mind, which Fuquan says is one of the main reasons they sell quickly.
Staying on Top of Industry Trends
To stay ahead in the competitive world of real estate investing, it’s crucial to stay informed. We encourage investors to attend industry events or tune into real estate podcasts.
Fuquan also hosts his own podcast, Intelligent Accredited Investor, where he shares tips and strategies for navigating the world of real estate investments.
Listening to podcasts like these can keep you informed on the latest trends and best practices in the industry.
Want to hear my entire conversation with Fuquan? Listen to the podcast episode!
Tune Into The Whole Enchilada of Real Estate Investing for More Tips and Insights from Industry Experts!
Fuquan’s insights offer so much value for investors who want to raise capital, structure strong deals, and grow their real estate portfolios. His approach blends financial returns with community impact—a winning combination in today’s market.
For more actionable tips from industry experts, like Fuquan, tune into The Whole Enchilada of Real Estate Investing.
And, if you’re looking to scale your real estate investments or need help structuring your next deal, connect with me for expert advice and guidance. Let’s work together to make your goals a reality!
Marigona Gllarevaa – Jan 01, 1970