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Updated 3 months ago, 10/04/2024
Will pay you to bring me investors!
Looking for accredited investors for syndication deals ranging from 24-29% annual returns. If these deals aren't right for you or you're not accredited, I'd be happy to pay a commission for every investor you send my way.
- Investor
- Santa Rosa, CA
- 6,855
- Votes |
- 2,269
- Posts
That’s a great way to land you and your capital raisers in jail. Paying a commission for raising capital is illegal unless the person bringing the investor is a licensed securities broker/dealer.
@Zach Stevenson
As mentioned don’t recommend that game plan
Also what type of business plan do you have that can consistently pay investors 24%+
Do you have a track record on this?
- Chris Seveney
Quote from @Brian Burke:
That’s a great way to land you and your capital raisers in jail. Paying a commission for raising capital is illegal unless the person bringing the investor is a licensed securities broker/dealer.
Quote from @Chris Seveney:
@Zach Stevenson
As mentioned don’t recommend that game plan
Also what type of business plan do you have that can consistently pay investors 24%+
Do you have a track record on this?
We do have a track record, our recent exits total $285M with an average IRR of 46.3%
Quote from @Zach S.:
Quote from @Chris Seveney:
@Zach Stevenson
As mentioned don’t recommend that game plan
Also what type of business plan do you have that can consistently pay investors 24%+
Do you have a track record on this?
We do have a track record, our recent exits total $285M with an average IRR of 46.3%
I am going to go with my gut and guess you did not provide $46% IRR because if you were you would not need to pay people to bring you money institutional money would be flocking you.
Secondly, a registered rep would absolutely know they cannot pay an unlicensed person money, does not matter if you are licensed.
Lastly, your website is 3 months old....
Curious what is your CIK code for your 506c's?
What is your CRD #?
- Chris Seveney
@Zach S., based on your response, it further exemplifies your lack of understanding of SEC rules.
506(c) does not allow you pay commissions. It does allow you to advertise, but that's an apples and oranges conversation.
Your license, which based on your LinkedIn profile makes me think your real estate license, is not securities broker license and is irrelevant. You are not transacting real estate. You are transacting securities. So, back to Brian and Chris's posts, IF you start raising capital and IF you pay people a commission for your investor leads, I would do some research on disgorgement, securities violations and the various other punishments that come along with it.
Quote from @Chris Seveney:
Quote from @Zach S.:
Quote from @Chris Seveney:
@Zach Stevenson
As mentioned don’t recommend that game plan
Also what type of business plan do you have that can consistently pay investors 24%+
Do you have a track record on this?
We do have a track record, our recent exits total $285M with an average IRR of 46.3%
I am going to go with my gut and guess you did not provide $46% IRR because if you were you would not need to pay people to bring you money institutional money would be flocking you.
Secondly, a registered rep would absolutely know they cannot pay an unlicensed person money, does not matter if you are licensed.
Lastly, your website is 3 months old....
Curious what is your CIK code for your 506c's?
What is your CRD #?
Quote from @Evan Polaski:
@Zach S., based on your response, it further exemplifies your lack of understanding of SEC rules.
506(c) does not allow you pay commissions. It does allow you to advertise, but that's an apples and oranges conversation.
Your license, which based on your LinkedIn profile makes me think your real estate license, is not securities broker license and is irrelevant. You are not transacting real estate. You are transacting securities. So, back to Brian and Chris's posts, IF you start raising capital and IF you pay people a commission for your investor leads, I would do some research on disgorgement, securities violations and the various other punishments that come along with it.
Cheers.
@Zach S., I know this may be belaboring the point, but you, as an advisor, does not give you, or the groups you are advising for, any leeway.
Given there are very upset investors, on these forums, from the group your LinkedIn profile says you are advising for, I would be extremely cautious.
I could see this playing out as: Investors complain to SEC about a sour investment > SEC decides to poke around > they come to these VERY GOOGLE FRIENDLY forums > they see you offering commissions as an unlicensed "advisor" > they link you back to the original group, who also may or may not, based on some posts here, have handled their filings accurately > You and the group you "advise" for are in SEC depositions, spending 10s, if not over $100, of thousands of dollars on legal bills to try to defend yourself against securities violations (which based on quick google search could lead to up to 25 yrs in prison).
I mention all of this not only for your benefit, but for the protection of many of the syndicators out there that adhere to rules.
Quote from @Evan Polaski:
@Zach S., I know this may be belaboring the point, but you, as an advisor, does not give you, or the groups you are advising for, any leeway.
Given there are very upset investors, on these forums, from the group your LinkedIn profile says you are advising for, I would be extremely cautious.
I could see this playing out as: Investors complain to SEC about a sour investment > SEC decides to poke around > they come to these VERY GOOGLE FRIENDLY forums > they see you offering commissions as an unlicensed "advisor" > they link you back to the original group, who also may or may not, based on some posts here, have handled their filings accurately > You and the group you "advise" for are in SEC depositions, spending 10s, if not over $100, of thousands of dollars on legal bills to try to defend yourself against securities violations (which based on quick google search could lead to up to 25 yrs in prison).
I mention all of this not only for your benefit, but for the protection of many of the syndicators out there that adhere to rules.
Definitely not a good day at all, I do understand.
Quote from @Zach S.:
Looking for accredited investors for syndication deals ranging from 24-29% annual returns. If these deals aren't right for you or you're not accredited, I'd be happy to pay a commission for every investor you send my way.
An issuance of a corporate bond or REIT would probably be your best path. I don’t know your targeted capital but if your find is at least in the 7 figure range and you’re looking to offer medium yield returns,
then issuing the instruments stated above, then feeding it to the open market would be the best legit method
The target capital and ROI would be based on the underwriting of course
Its been so hard raising capital but thats what ive been doing. would love to connect