Will I be receiving reports on my investment on a regular basis?
You will receive monthly financial reports and quarterly summaries
Can I choose the kind of hotel to invest in?
When Equitable Investments, LLC and/or other members of our expanded group find a suitable hotel, it is put under contract and thoroughly inspected. A prospectus is created describing the condition of the hotel as it stands. Inaddition the changes that will be made are also described and the costs attached to the changes are explained. As in all contracts dealing with construction we are not able to see what is hidden (like what is in the walls). Some issues may be discovered after possession has been taken. We pride ourselves on keeping issues like these to a minimum. You will be given a chance to become involved with that investment opportunity or wait for the next one we acquire.
If I invest now, will the funds be immediately used to purchase a hotel?
You cannot invest now. When we find a suitable hotel that fits our model and put it under contract you will receive a prospectus describing the property and the improvements we will make. The amount of the funds needed to complete the acquisition will be spelled out in the prospectus. You will have a set period of time to decide if you want to take advantage of that particular investment opportunity. Should you choose to invest we will send you the documents needed to complete the transaction.
Can I visit the property after the acquisition?
As an investor at any level you will be welcome to visit the hotel any time. We ask you observe only and save comments, observations and/or suggestions for your contact with Equitable Investments, LLC when you return.
How long will my return on investment(ROI) run? What is your guaranteed ROI?
Our normal note length is for three to five years. Our guarantee is based on our experience at finding hotels that fit our model program. We acquire all hotels but only a special niche in the hotel industry, the extend a suite hotel. This is one of the fastest growing segments of the hotel business. We have a group of companies that specialize in the following: construction, hotel management, accounting, our restoration model, ability to spot prime properties that need little repair work( only of a non-major way ie no foundation damage…), finding the special suitable hotels, retraining the entire staff in our successful methods and most of all our unique marketing system. You are getting all of this experience and expertise putting your investment to good use increasing your security, the hotel. We do not guarantee any investments for there is always risk but we will make you aware of those risks before you become happily involved.
What is the minimum investment to become involved in one of your hotel opportunities?
The minimum investment is $50,000.
What are the factors and criteria for one of your hotel project investments?
An investor in one of our newly purchased hotels must be classified as a sophisticated/Accredited Investor. This means they must have either a net worth of $2.5 million or have earned more than $250,000 in the past two years to qualify.Getting to know you on a personal level is also extremely important. If we know what your goals are we both agree to work together we can create a great and rewarding experience for you. That is our goal and when we succeed we will feel we have been successful. If you are an investors that understands business and how to gauge the return on investment we are off to a good start. Contact us and let us introduce ourselves personally. Some investors like to be hands-on and take an active part in the management of the hotel. We have a program designed for you if that sounds like you.
How do I become a VIP member? What benefit will I get if I become a VIP member?
To become a VIP member you will have to get to know us on a personal basis and we will need to know you on the same level. We only allow individuals to become happily involved in our investment opportunities when we are sure you have gotten adequate advice from your attorney, accountant and/or any financial adviser you normally use. We want to talk to each of them, personally, if you approve, so all concerns and fears are put to rest. When we have a hotel we are acquiring we can’t have second guessing due to our restraints on time. That has to be all handled up-front. We hope you understand, it is all for the best. When the prospectus is sent to you we will welcome questions about the property. That is to be expected. Once you have analyzed the hotel deal it is highly advised that you put in you bid to become involved.
Can I pull out my investments before the agreed upon time of the loan?
If you wish to withdraw there will be a waiting time and forfeitures of accrued earnings. We will need time to try to find another investor to replace your position. We will try to help you as much as we can.
How often do you pay dividends and how much do you pay?
Investors that are involved as an Entry Level Investor – Investing $50,000 to $125,000 or as Secondary Level Investor – Investing $125,001 to $225,000.Each will be paid a rate to be determined at the time of the investment opportunity offering. If you choose to become involved as a Primary Level Investor – Investing $250,000 or more you will receive our highest interest per annum and be entitled to the following: a percentage of any profit distribution(s) and a percentage of the profits from the sale of the hotel so long as the loan held by the investor has not been repaid in full. Distribution(s) and sale of the hotel will be at the sole discretion of managing member of the LLC which owns and/or holds title to the property.
As a major investor, do I have a hand in making major decisions?
The running of the entire project from acquisition, improvements/repairs to management and an exit strategy is run by the LLC that owns the property. If you want to participate as an “Active” member of the LLC we gladly welcome your participation. See our “Learn While You Earn” program.
What do you do to make me feel my investment is safe and secure?
You will be able to contact the Asset Manager inside Equitable Investments, LLC when you have a question. On a monthly basis you will receive a hotel P&L along with occupation rates, marketing reviews and summaries on how the hotel is doing. We are a small family run business and very accessible. You will know what is going on with the hotel on a regular basis. If you are an “Active” member you will be involved with duties that allow you to maintain your “Active” status for tax purposes(see your Accountant). You will be given duties to perform and be able to see more of what goes on in the day-to-day routines. No matter your investment level you can visit the hotel any time you choose after we have completed the acquisition or before acquisition upon special request.
Can I choose to invest in Hotels or Residences?
We only invest in areas if there is a volume of investments to be had and there is little competition. We feel that residential investment is not up to the standards we demand in terms of ROI. Hotel investments are.
Is your company a sole proprietor or corporation? Who are the major shareholders?
Each hotel is owned by an LLC (Limited Liability Corporation ) which is formed in the state where the hotel exists. The LLC is owned by the majority membership of Equitable Investments, LLC. Equitable Investments, LLC consists of members Thomas Scott and his wife Maria Jenina Scott.
What makes your business unique? Why should I invest in your company?
We only buy hotels that are under performing and do not need major construction done to the buildings and/or property. We buy the property at a wholesale price so we can make a profit. We have such a unique and successful marketing system. Parts of that system I have not yet seen being used by any other hotels in the business. It is our most guarded secret but it is the most effective element that sets us apart from all other hotel companies.
What was the most recent purchase of the company? How many investors took part in it?
One of our latest acquisition occurred in Phoenix AZ. There are six investors participating in the acquisition.
How do I know you are a reliable company?
We partner, informally, with several companies that we rely on heavily. We could never do what we do if we tried to do everything on our own. There are five companies we work closely with to make the great hotel turn-a-rounds happen. We often refer to these companies as partners in an informal and not a legal way. Equitable Investments, LLC finds under producing properties, manages them, retrains staff members and supervises construction projects. Each of the other partners in our group fill in their special niches. As a team we turn a property around very quickly, efficiently and with quality in mind. Of course we are subject to normal “Acts of God”, ordering and receiving our supplies etc. which can disrupt our best laid plans, like all businesses. Our major Consultant has been involved in buying, managing and/or selling 50 hotels in the last 7 years. He is the chief inspector of our hotels due to his experience and accuracy in evaluating costs and market worthiness. You can view several group hotel closings via the videos on this site. Furthermore we will gladly arrange an introduction to our senior Consultant should you wish it. None of the companies in our group are super large companies. we are all very approachable and simple folks who have a series of skills that make us outstanding in what we do.
How can I track the trends in your company?
As a family owned and run business we are not subject to public disclosure. That is why we insist on a private investor getting to know us by way of talking to us over a period of time. We will be glad to talk to you and explain what and how our business runs. If you live away from our headquarters and we are in your general area inspecting a hotel we would like to stop by and take you to lunch. We will keep you posted when we are buying a new hotel so you can track our progress. There are some things we do keep under lock and key because they are our trade secrets.
What proof can you offer that shows your company is sound?
You can talk to our senior Consultant who has created the very successful framework which Equitable Investments. LLC has built their Hotel Investment Division around. Our senior Consultant has been instrumental in 50 hotels being bought, renovated, re-positioned in their local market over the last 7 years. Our main focus is the finding of hotels that meet the standards required that fit the model we follow. We are also excellent with managing and marketing hotels. For more information see several hotel closings with our senior Consultant and members of our group. The front page has a link near the bottom.