6 Lessons From Barbara Corcoran That Can Boost Your Wealth
You might have seen Barbara Corcoran on ABC’s “Shark Tank,” which connects wealthy individuals with startups looking for funding. She is also a local legend in New York. She became one of the highest-paid female investors, climbing her way to the top from nothing.
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Corcoran is the epitome of an entrepreneur. She always finds ways to innovate and build a legacy while staying rooted in ethics and family values. In 2001, she sold her company, The Corcoran Group, a residential real estate brokerage, for $66 million.
Despite selling her company, she is still active in real estate, launching a syndicate on AngelList and holding a personal portfolio. Here are the top six wealth lessons we can take away from Barbara Corcoran.
The Importance of Networking
Networking is a core component of building any business, especially in real estate. Corcoran’s vast network of other real estate professionals undoubtedly helped pave her way to the top. Not only can networking give you access to pocket listings and off-market deals, but it can also save you time when looking for a reliable contractor or partner.
Also, networking is one of the top ways to build trust and reliability in your organization. Would you rather work with a complete stranger or an individual that someone knows and networks with? Probably the latter.
“Barbara Corcoran taught me that real estate is a people business,” says Joe Stance, founder of Stance Real Estate. “I’ve found that building genuine relationships and trust with clients leads to repeat business and referrals. Focusing on people over profits has been key.”
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The Benefits of Treating Your Employees Well
Did you know that employees are an extension of your business? A positive workplace can boost productivity and reduce turnover. Treating your employees with respect and dignity and minimizing negativity can lead to better organizational performance.
Corcoran believes in fostering a strong workplace culture by eliminating negative employees. She believes negativity is contagious and negative employees use up valuable resources. If you are constantly surrounded by employees who do the bare minimum each day, would you want to overachieve? Probably not.
The Power of Investing in Your Local Community
Real estate investors have a direct impact on their local community. Are you revitalizing a run-down property? How about converting it into a multi-use building with both residential and commercial units? Through her investing, Corcoran prioritizes encouraging small businesses to open in local communities using rehabbed units and spaces.
There doesn’t have to be a trade-off between running a successful real estate business and revitalizing your community. In fact, you’ll see the most success by investing in your local community and driving businesses and tenants to the area. Not to mention that you’ll give your real estate investing a greater purpose when you are empowering your local community.
“I sponsored events and donated my time and expertise,” says Stance. “Although revenue didn’t immediately increase, website traffic and sales soared within months. Supporting my community built goodwill and attracted new clients.”
Always Anticipate Problems and Find Solutions
Problems are bound to pop up no matter what project you’re working on. Corcoran is a strong proponent of embracing problems and rejection as learning opportunities to expand your skill set and resilience. By anticipating problems, you can uncover viable solutions to overcome challenges.
Maybe you allocate an extra $10,000 to reserves for your real estate project or brainstorm with another professional on what to do. Whatever the case, don’t get hung up on problems. Everything can be solved with the right resources and resilience.
“Being able to anticipate problems and find a solution quickly has always been important,” Stance added. “For example, when a client needed warehouse space on a tight budget, I used my network to find an affordable option with room for retail tenants. The client purchased the building, and I found tenants, generating income for the client and commissions for my firm. Foreseeing and solving challenges beyond a basic transaction built loyalty and success.”
Using Your Past To Fuel Your Future
Nobody has a perfect track record. Even Corcoran has made mistakes in her investment career. However, she believes that your past doesn’t define you. Growing up with nothing, she didn’t stay complacent where she was. Instead, she took action and didn’t let disadvantages get in the way of her success.
These same principles should apply to your wealth-building journey. Even if you haven’t made the best investment decisions in the past, that doesn’t mean you can’t change your ways going forward. Using your past as a learning lesson can pave the way to a new (and wealthier) future.
Struggles Make You Stronger
How does it feel when you finally overcome a challenge? Pretty good, right? Another wealth-building lesson that we can take from Corcoran is that having an enduring spirit is crucial. Her enduring spirit led her to create her own real estate firm and become an investor on “Shark Tank.”
The struggles she faced only made her stronger. The same goes for your situation. You will encounter a lot of struggles on your wealth-building journey, but in the end, they make you stronger.
These six wealth lessons are something that every investor can benefit from following, even those with decades of experience.
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This article originally appeared on GOBankingRates.com: 6 Lessons From Barbara Corcoran That Can Boost Your Wealth
