yellow letters for raising private funds?

[Dusty Bowling]

Hey everyone was wondering if anyone has every tried mailing hand written letters as an elevator pitch to potential private investors. I'm from a small town where everyone knows everyone, I work for the local sheriff dept., have done 12 flips in the past 4 years and would only be sending out to people I know and referrals. Do you think it would be a good idea to send out a small elevator pitch letter to start up interest and then give them the option of calling, texting, or email if they would like to sit down for lunch and discuss or if they would like to have a credibility packet sent out for some further no obligations info, or maybe set up a company website or face book page. Was wondering whether doing this would ruin your first impression and take away the option of meeting face to face and giving elevator pitch.

[Jeff Greenberg]

@Jackie Lange it would depend on what the arrangement was with the private lender. A straight interest loan with no equity would keep you away from the sec. Interest is not considered profit according to Trowbridge and therefore does not qualify as a security. If you are offering anything else and are in full control, you are In deep water.

Now if you file as a reg D 506c offering you can advertise and have general solicitations for accredited investors only.