Partnering to Invest in Syndications

[Christopher Nemlich]

Two of my colleagues and I (all accredited) are interested in combining our funds to gain greater diversity across more syndications than we could individually. Could anyone advise on the proper way to structure this based on their experience? 

[Spencer Gray]

You could also talk with the syndicators you are working with and explain what you want to do, they would probably make an exception to their minimum individualy ($50k typically) if the aggregate exceeds the minimum. Especially if you are working with say 3 different operators and you commit to $100k each over two deals. 

This way there are no co-mingled funds and it achieves your objectives of diversification. 

If this doesn't work then you could, as suggested, form a simple partnership LLC. You'll just need to decide how to make decisions, who has the final word, what if there are disagreements, etc.