A Balanced Ecosystem

Transforming the world One Household at the time®By

Victor H CertucheCEO The Investment Property Club

Agenda• Personal Challenge• The Plenty Mindset• Behind the 99%

• The ones that can invest 83.9%• The ones under the Poverty Line 15.1%

• The Investment Property Club• Property Owners• Investors• Tenants

• Cycle of Poverty• Breaking the Cycle of Poverty

• How the Investment Property Club works• Q&A

Personal Challenge

• Always able to generate income• Love the good life• Full of ideas• Always thinking on how to make life better for others• Unconsciously uncomfortable with wealth• Always sabotaging my own excessive wealth

Breakthrough and The Plenty Mindset• While reading one time I came across the following paragraph that changed

my life forever:• “You see, you have to feel that you deserve good things, or else your subconscious might

very well sabotage all your best efforts. If you don't truly feel that you deserve great financial success, then you are battling an almost insurmountable obstacle—your subconscious. Giving regular gifts from your income to charity is one excellent way of, once and for all, persuading your subconscious that you deserve what lies ahead. In this way it will not only end its sabotage, it will begin actively to assist you in your quest.” – Thou shall Prosper – Rabbi Daniel Lapin

• The definition of Plenty: “a large or sufficient amount or quantity; more than enough”• Most people focus on “large”• I focus on the “sufficient”• Distinguish between Need and Want• Once I reach Plenty, we need to help others achieve it

The Plenty Mindset and a Balance Ecosystem

•With a Plenty Mindset• Distributed wealth is empowering• A small percentage of distributed wealth beats a

large percentage of centralized wealth• Increase in wealth is tied to improvement for the

99%• Allow the 83.9% access to the 1% ROI• Allow the 15.1% to break out of poverty and move over

the line of poverty

What is behind the 99%• Consumerism drives the economy• Do not understand Bad Debt vs. Good Debt• Believe that Owning is Real• Cannot obtain loans• Do not have enough cash• Receive very little ROI• Some are consumed in the poverty cycle

A Solution - The Investment Property Club

Property Owners (1%)

Register with the Club

Register with the Club

Register with the Club

Invest (AR)Invest(VR)Invest(AR)

Rent (invest)

Rent(Invest)Invest(SR)

Invest(VR)

Rent (invest)

Investors (83.9%)

Investors (83.9%)

Tenants (15.1%)Tenants (15.1%)

Tenants (15.1%)

Investor (83.9%) - Incentives

• Investment Subscription Notes Value tied to Property Appraisal• Second Lien to protect Subscription Notes• Investment on Neighborhood Improvements to increase Note

Value• Social Transformation

The Club for Tenants (15.1%)

• Break the Cycle of Poverty• Commit Tenants to Improve Neighborhoods• Commit Investors to Invest in Neighborhoods• Commit Property Owners to share ownership of

Neighborhoods

Tenants (15.1%) - Cycle of Poverty

Cannot

1. Plan

2. Predict

3. Identify Cause and

Effect4. Identify

Consequences

5. Control Impulse

s

8. Stay out of

Trouble

Adapted from Framework for Understanding Poverty by Dr Ruby Payne

Chaotic world, violence, drugs,

prostitution

The Club for Tenants (15.1%) - Breaking the Cycle of Poverty

Cannot

Plan

Predict

Identify Cause and

EffectIdentify

Consequences

Control Impulse

s

Stay out of Trouble

IPC offers Monthly Rental 5% incentives tied to Property and

Personal upkeep

IPC offers 5% of Yearly Rental as

Property Subscription Note for Property and Personal upkeep

IPC offers matching Subscription Note value for College

Expenses

Tenants (15.1%) - Incentives• Monthly Incentive (5% of Monthly Rental)• 5% is very considerable amount• Avoids the Gambler’s Syndrome• Delaying gratification lowers the intent

• Targeted to Reduce Maintenance and Vacancy Expenses• Yearly Subscription Note (5% of Total Yearly Rent)• Provide co-ownership to tenants• Provide investment opportunity to Tenants• Longer Term Rental Agreements• Stability• Lower Maintenance Costs

Tenants (15.1%) - Incentives

• IPC Investment in Neighborhoods• Each neighborhood to become a Tribe• Tribes will have improvements backlogs• IPC will allocate funds for Tribe backlogs• Tribes will decide fund used based on backlog

priority

How IPC Works• Cash Access for Property Owners• Property Owner registers property• Property Owner receives investment money

from Investors

• Crowdfunding model for Investors• Investors look at Rental Property ROI and

Risks• Investors Invest• Investors monitor and invest on

Neighborhood improvement opportunities

• IPC Charges transaction Fees• Setup of Texas based company($500)• Property Owner Registration ($300)• Property Registration ($500)• Property Management Fees (10%)• Investor Subscription Note (1.5%)• Investor Redemption Note(1.5%)

• IPC Invests in Neighborhoods• Tenants work with Neighbors to identify

backlog of improvements• IPC provides funding to address

improvements

Summary• It is Ok to have a good life if in the process we

improve everybody else’s life•We can close the inequality gap by• Allowing the 83.9% to have an opportunity to invest in

good and stable ROI• Allowing the 15.1% to break out of the Cycle of Poverty

• IPC will be profitable and invest heavily in the same communities

Questions