California investors in a syndication outside of CA

[Tom McDermott]

I have the potential to raise money from investors that live in California. The asset is not in CA, the LLC will not be formed in CA, I am not in CA nor a CA resident.

Does the state of California require or necessitate anything additional from the LLC that has an investor that does reside in CA?

Is it the investor's responsibility to deal with the CA dept of Revenue?

[Bryan Hancock]

California is notorious for trying to extract franchise taxes for syndications like this even though there are federal exemptions.  A knowledgeable securities attorney should be able to help you select the right exemption for what you're trying to achieve.