Startup Costs of Creating a Syndication Fund

[Thomas Lebens]

Hey everyone!

I am having trouble finding reputable sources of information regarding the costs associated with forming a 506(b) or 506(c) fund. 

If you have done this before, or know someone who has, what costs are associated with the formation of a syndication?

Book recommendations? YouTube video recommendations? Podcast recommendations?

Thank you!

[Chris Seveney]

@Thomas Lebens

Attorney fees -$15-$25k

This includes a PPM, subscription agreement and operating agreement.

Does not include LLC formation

506b- add $10-$15k per year for audited financials

Website - assume you have one

Investor portal - $7-15k per year

Tax returns -$5k yearly

Fundraising - if you don’t have connections and need to market to raise money assume an client acquisition cost of around $5-6k for every raise of $50,000. (10-12%).