Risk associated with going with a Private Lender?

[Akshay Vig]

I'm getting ready to do my first fix and flip and am currently seeking funding from Private lenders. I'm familiar with corporations and LLCs that pool the funds of several lenders and loan them out for a certain percentage and/or lender points. I'm highly considering going with this option. However, I've recently come across some private lenders willing to lend their own funds directly on their own, some with significantly lower interest rates. They have their own contracts, terms and conditions, etc.

If anyone could share their experience with these "solo" private lenders would be, that be great. I'm just not too sure how reliable/safe these lenders would be, especially with this being my first time seeking financing. Also, if there are any things I should look out for/pay close attention to when going over the terms and conditions, that would be very helpful.

Thanks!