An effective cover letter is essential to creating a successful private lending transaction. Discover tips on how to create a cover letter that will capture a private lender's attention.
A cover letter is extremely important. You may be sending this to somebody you've had little interaction with. Maybe they've inquired from a postcard or a friend or somebody. Maybe they called you once or twice. They're not going to know you very well. You may have mentioned your company name, but they may not remember that name so a cover letter of some sort is extremely important, again to introduce yourself, introduce why they're getting the materials, and to a certain extent to invite them to do something once they've read the materials.
The whole point of this is to get them to keep coming back to you and wanting more and more information.
Introduce Yourself, Your Company, and Define Your Purpose
You're going to introduce yourself, your company, why you're sending the materials to them, why they've asked for them or maybe where they've asked for them if it was at a seminar of some sort, and again what to do when they're done. After they've read the materials, should they call you? Should they email you? What is the next step?
Again, all marketing is part of this process. You need to tell people what the next step is. Make sure, make it pretty clear. I'm sure some of you have seen in some of my emails and whatnot, I try to be as clear as possible. I don't try to leave the next step up to guessing. I know I'm not perfect but I think you'll see in some my email it is "Click here," it is "Go there," "Do this." I try to be fairly straightforward in terms of what the next step is, and you need to do the same thing.
Well Thought Out Cover Letter
A well thought out cover letter is very important. Do not get very verbose on the cover letter. Certainly, keep it to one page. Do not go over one page and it should be fairly succinct and fairly tight in terms of the text. Do not go into a long-winded story about your background and all that. That's really not what you want to do in the cover letter. The cover letter is fairly brief. The next step, the bio or the resume is where you can start to go into a little bit more about who you are and why you're a real estate expert.
Use Quality Paper with Letterhead
The cover letter should be fairly succinct and tight. If you've got company letterhead, that's extremely important. Use that, obviously. Again, if you're going to be handing them out a physical hard copy, certainly don't get cheap here with paper.
If you could afford a little bit better quality paper, it's very acceptable to use your cover letter with very high quality paper and the rest of your report on just copy paper. The first page you may want to upgrade in terms of the quality of the paper and I would certainly recommend that. If you've got a company logo or any sort of thing like that, obviously you use your company letterhead for that.
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