Adding Value...is the secret to success.
Adding Value...is the secret to success.
This article is all about adding value.
For those of you who don’t know, I am the owner of a property company called Dapatchi Group and we are absolutely values driven. In fact, everything around our business is based around this concept of adding value. I think that this concept is something that we should all recognise because I want you to be as successful as you possibly can be.
To add value, you need to create situations where you can provide value, not only to properties but also to people.
So, if we begin to think about the different property strategies within this space there is a large variety. However, if I was to be completely honest with you, I believe that there is one overall property strategy that you need to be focused on and that strategy is to generally add value to properties. There are many different types of ways that you can add value to properties, but the underlying fact is that you want to add value.
A simple example is a property renovation which is run down and has old décor. If you then take it and bring it up to a nice modern standard, then what you are actually doing is adding value to that property. The key to doing this is making sure that the value you add out ways the amount you spend. But the main key is to add value, and this can be employed to every single one of the property strategies.
With this in mind, I think that it is important that we are thinking about what it is that we can do to really deliver value. Nothing in property is ever going to give you 100% of the facts. These blogs will give you some incredible overviews and insight, but they will not give you definitive clarity on every single property.
So, when we look at the different fundamentals and the different strategies available to us and how we can add value to them, we need to start actually thinking about how we can combine various strategies.
For example, take a property that is in a lucrative London market. This might feel challenging to add value and it might be that you have to add value on several different layers. For example, the first thing that you may think about is the basement because it could be that the commodity for this property is space, being situation in a busy city. People want a bit more space. Then you may do an extension to the rear of the building. So already you have two different strategies working side by side. You have a basement conversion and an extension to deliver and add value to the current building. But it doesn’t just have to stop there. This property will more than likely need a refurbishment because you bought it with the intention to add value. So, you have now refurbished, extended, and dug into the basement of this building. You can still add value! Maybe you could split it into separate flats. For example, you could create the basement into one flat and one flat above that splitting the property into two. And then you might think that you can actually go up into the ceiling space as well. So, you can see how easy it is to add layers of value. Now, I am not saying that this is going to be a model that exactly works for your desired building, but this demonstrates the different types of layers of value that you can add.
So, think about all the different property strategies that you know and then think about how you may be able to mix and match them and bring them together to create one unique strategy which ultimately adds value.
Its important that you understand that great profits and great property strategies come through adding value. Which is why this forms such a large part of my company’s core and our focus whilst working in the property space.
But it doesn’t stop here. This is just the key piece of information. Adding value needs to be part of your inner core and culture because its not just properties that we can add value to and there are other ways you can add value other than through property strategies.
When it comes to thinking about how to add value, there are some other ways. For example, it may be that you have a lease property which has a short lease and by extending that lease it gives a stronger exit which ultimately adds value. It may be that you find an old commercial agent who is not using the modern technologies to market properties and therefore they are not getting in front of potential buyers. So, by creating better marketing strategies for that agent, you will be ultimately adding value.
So, remember when you are thinking about adding value, it is not just about the strategy. Sometimes is about identifying the hurdles, the problems and the issues and putting yourself in a place where you are thinking how you can be part of that solution. Because by doing this, you are adding value.
In fact, moving away from property entirely. You could begin to think about the people. By adding value to people, you are doing your network a huge service. And by doing your network a huge service, you are going to be able to get to quite important places within that network.
When we start to think about property owners, who really don’t understand or have much knowledge about what it is that they want to achieve with their property or the potential of what their property might have. Potentially you could go in as a consultant, friend, or colleague to help them and through doing this you will ultimately be adding value to them.
It could be that you are looking at a strategy that involves retaining products on completion, so therefore you will be dealing with tenants and when you have tenants you become a landlord. There is an energy between landlords and tenants which often involves a bit of negative culture because the tenants complain to the landlords and the landlords think the tenants aren’t looking after the property. So, if you are looking to become a landlord you could aim to provide a much more positive experience for these tenants. You could look to provide something more than what everybody else is doing and add value to these people.
If you are working with investors, find how you can add most value to them. You need to find what it is that you can do for them that is really going to make a difference.
I say all of this because this is the fundamental, backbone to my business Dapatchi Group. We look to add value wherever we can and this in fact sits above every other value we have. Adding value is the secret to our success.
You might set of on your career to make money and you may or may not succeed. But if you begin your journey where your primary goal is to add value to others then 100% of the time you will win.
So, I deeply recommend taking this language and make it part of your future and continue to add value and improve wherever you can, and this will then lead to tremendous opportunities.
I am writing this article with energy and passion because it’s something that I know is going to make the biggest difference to your success.
I hope that through writing this article I have ultimately added value to you and I hope that this is something that you are going to take forward with you.