Syndication deal presented to me

[Marc S.]

Morning BP community.  

I was presented with a Syndication opportunity.  I am fairly "green" in this type of investments and I am still in the process of investing in my first owed RE property.  I have done a decent amount of research about the pros and cons of Syndication and being that it is being provided to me by a family friend,  I want to be able provide some valid and competent Q and A, so it appears like I know what I'm doing (haha).  My goal is to still obtain my first property of a multifamily, but I am thinking long term and the bigger picture and want to not limit myself to possible cash flow opportunities like this, especially since it's been coined "passive income".  

If anyone can help and provide some of the "most" asked questions I should have in mind, specific information I should be looking for, I've been given the Offering Circular, I would appreciate any help! I am doing my DD on the GP of the offering and the company that he is associated with so I feel that is a good start being that is the backbone of the deal, if the operator doesn't know what he is doing, what's the point of investing.  

I appreciate any feedback as I will probably post this in a couple of forums to get various opinions.  

Thank you! 

[Todd Dexheimer]

First off, make sure that you trust the GP and their track record. 

Some questions: 

How much will the GP be investing in the deal? 

What is your track record on previous deals similar to this one? 

How often will you communicate with investors and what is provided? 

Give me examples of some deals that didn't go well and what did you do (If they've all gone well, thats a huge red flag)

Describe your team and your past relationship with them

Here are some other things to think about: https://www.biggerpockets.com/...