Investor Reports

You will likely have several investors in your development deal - everyone from different general partner individuals, friends and family, and limited partners. It is important to keep those investors up to date on the project status periodically. Many of them want to hear how the project is going, where we stand with the budget, and if the project is going to deliver on time. A monthly or quarterly investor report is a great way to get that information out to several people efficiently. Not only is keeping your investors updated the right thing to do, if you keep your investors informed of the project periodically, that enhances their experience investing in your project, and they will be more likely to invest in your other projects in the future.

Most developers usually created and distributed reports quarterly or monthly.

Investor reports do not need to be complex or long. Just give the investors a snap shot of:

How the construction effort is progressing. Be sure to include pictures. Investor’s love seeing pictures of the project coming out of the ground and being finished out. Pictures make it tangible for them - much more than words alone can.
How much of the budget you have spent.
When the project will complete and if you are on schedule.
Any other information that would describe to investors the future success of the development. For example, if you are developing a multi-family or senior living facility, include the status of the marketing effort to pre-lease the building.

Here is a link to an example investor report.

Next Page: Punch List