Business Plan for G&S Homes LLC
Prepared by: Gavin Henry
Date: 03/11/2025
1. Executive Summary
G&S Homes LLC is a real estate investment company specializing in purchasing turnkey rental properties, generating immediate rental income, and scaling through a repeatable investment model. Our strategy involves securing 20% down payments from investors, leveraging traditional mortgages for the remaining 80%, and providing investors with monthly returns for five years at an agreed upon interest rate.
2. Business Description
Company Overview
• Business Name: G&S Homes LLC
• Owners/Managers: Gavin Henry & Stephanie Ortiz
• Legal Structure: Limited Liability Company (LLC)
• Business Model: Buy and hold rental properties
Mission Statement
G&S Homes LLC aims to build a sustainable and profitable real estate portfolio by acquiring high-quality turnkey rental properties, providing excellent housing for tenants, and delivering reliable returns to investors.
3. Market Analysis
Industry Overview
• The U.S. rental market remains strong due to high home prices and rising mortgage rates.
• Demand for turnkey rental properties is increasing as investors seek passive income opportunities.
• Real estate remains one of the most stable long-term investment assets.
Target Market
• Primary Tenants: Young professionals, small families, and long-term renters seeking stable housing.
• Investment Markets: Growing metropolitan areas with strong job markets, population growth, and rental demand.
Competitive Advantage
• Focus on turnkey properties that generate rental income immediately.
• Strong financial strategy leveraging investor capital for rapid portfolio growth.
• Commitment to property management efficiency to ensure stable rental income.
4. Business Model & Strategy
Acquisition Strategy
1. Identify and purchase turnkey rental properties with strong rental potential.
2. Use investor funds for 20% down payments and finance 80% with traditional mortgages.
3. Secure reliable property management for maintenance and tenant placement.
Revenue Model
• Rental income from tenants
• Property appreciation over time
• Potential refinancing opportunities for capital reinvestment
Investor Repayment Plan
• Investors provide capital for the 20% down payment.
• Monthly repayments over five years with a negotiated interest rate.
• After five years, investors are fully repaid, and G&S Homes LLC retains full ownership and cash flow.
5. Financial Plan
Funding Requirements
• 20% down payment per property sourced from investors.
• 80% mortgage financing from traditional lenders.
• Additional funds for closing costs, reserves, and property management.
Projected Returns
• Monthly rental income exceeding mortgage and operating expenses.
• Net cash flow directed towards investor repayment and reinvestment.
• Long-term equity growth through property appreciation.
Risk Management
• Thorough property vetting to ensure profitability.
• Contingency fund for maintenance and vacancies.
• Diversification across multiple properties to minimize risk.
6. Operations & Management
• Gavin Henry & Stephanie Ortiz: Oversee acquisitions, investor relations, and financial management.
• Property Management Partner: Handles tenant placement, rent collection, and maintenance.
• Legal & Financial Advisors: Ensure compliance with real estate laws and financial structuring.
7. Growth Plan
• Year 1: Acquire 1-2 properties and establish rental income.
• Year 2-3: Scale to 3-6 properties, optimizing investor repayment and cash flow.
• Year 4-5: Expand to 7-10+ properties, reinvesting profits for portfolio growth
Conclusion
G&S Homes LLC is committed to building a profitable real estate portfolio while delivering strong, structured returns to investors. By leveraging a proven investment strategy, we will grow sustainably, creating passive income for both investors and our company.