Private Lending with Multiple Investors

[Michelle Fortier]

We are in a position where we can potentially raise more money to do investment deals, but had a concern about some objections we may face. The main objection is if we have to use multiple investors on deals and what position each investor would take within the deal. We've done previous deals with only one investor, so we only had one mortgage and note to secure their interest in the asset. If you have more than one investor in the deal, don't you have to put them in second position where there is greater risk? How would we handle this objection when talking with friends and family about investing with us? Is this something we should talk to an SEC attorney about, even though we are just going to reach out to family and friends? Any input or willingness for anyone to share how they have structured deals with multiple private lenders would be greatly appreciated!