Investing as a Group of colleagues

[Colin Murphy]

What would be the best way to form an Investment Group to purchase rental properties and do some investing?

If a group of colleagues, 8 or more, (let's say non-real estate professionals) want to pool their money and get started in Real Estate investing, how would it be best to form the business? Would this be some sort of fund, a partnership, joint venture or something bigger like a holding company? I am seeking general advice, I know that eventually a lawyer would need to structure this.

The idea would be to start with one property and grow gradually. Everyone would benefit by learning about investing. Certain people would have their strengths and a network of people know for repairs, etc. I am sure this would come with some pitfalls, but it also brings lower risk.

I would really appreciate some feedback from those who have done something similar.

Kind Regards,

Colin