Norada Capital Management suspending payments

[Paula Impala]

I invested in Norada Capital Management and was coming here to connect with others who have invested. Did not receive my payment from Norada this month (June) and just received the following notification in my email.

Any thoughts or recommendations from fellow investors.  Thank you in advance for any advice or insight.

Dear Valued Investor,

I hope you are well. As a lender (aka “Maker”) to Norada, you are a valued member of the Norada family.
The purpose of this correspondence is to provide you with an update on the repayment under the terms of the promissory note (“Note”) as an obligation of Norada Capital Management, LLC (“Norada”).
As with all businesses, Norada is subject to market factors that could impact its ability to make payments. Due to current market conditions and unforeseen financial challenges, we have decided to temporarily suspend distribution payments. This decision was not made lightly and comes after thorough deliberation and analysis of our current financial position.
This requires us to exercise our right to convert your Note and issue equity (aka membership interests) in Norada. You will recall that your Note allows Norada to convert the outstanding balance owed into equity and that it can redeem that equity in the future by repayment of the Note principal in full. There is nothing required by you related to your Note being converted. It happens automatically upon notice being sent.
As such, this email will provide you notice that Norada has chosen to exercise its right under the Note §6 to issue equity to you in Norada. Your equity is valued at the unpaid face value of the Note plus any accrued but unpaid interest. We expect to be in a position to redeem your interests in short order, and we will keep you posted, as always, on any developments in this regard.

We understand the importance of distributions to our investors and recognize the impact this decision may have on your financial planning. Please be assured that this suspension is temporary. We are committed to resuming regular distributions as soon as our financial situation stabilizes and improves.

Our primary goal is to ensure the long-term stability and sustainability of our business. By temporarily halting distributions, we can preserve capital, manage our resources more effectively, and invest in key areas that will drive future growth and profitability.

In the interim, we are taking strategic steps to strengthen our financial health, including cost-reduction measures, revenue-generating initiatives, and debt restructuring options. Our management team is dedicated to navigating through these challenges and emerging stronger.
We greatly appreciate your understanding and patience during this time. We remain committed to transparency and will keep you informed of any significant developments. If you have any questions or need further clarification, please feel free to contact me directly. (I will do my best to reply to your email in a timely manner.)
Thank you for your continued trust and support.
Sincerely,

Marco SantarelliFounder & CEONorada Capital Management

[Carlos Ptriawan]

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

[James Hamling]

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

[Carlos Ptriawan]

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

[Michael P.]

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

This thread has gone off the rails. Just like the business model of every syndicator/note maker.

[James Hamling]

Quote from @Michael P.:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

This thread has gone off the rails. Just like the business model of every syndicator/note maker.

[Carlos Ptriawan]

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

This thread has gone off the rails. Just like the business model of every syndicator/note maker.

 Just hour ago Omni the company that used to own REV ( well including some of you ) , appointed Mrs. Sharon as the CEO of Omni , where she used to work for Pier1.

Some of you guys may want to talk to their investor relation and ask what the hell actually happened after REV ceased operation.

[Chris Seveney]

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

This thread has gone off the rails. Just like the business model of every syndicator/note maker.

 Just hour ago Omni the company that used to own REV ( well including some of you ) , appointed Mrs. Sharon as the CEO of Omni , where she used to work for Pier1.

Some of you guys may want to talk to their investor relation and ask what the hell actually happened after REV ceased operation.

 So going back to more on the original post - the way I read this was the manager was not really operating a fund, but basically just investing in other opportunities (more like a mutual fund). One of the things I look for when I invest is I look at what the operator is doing, if they are a fund of funds or just investing in other operating businesses, to me that is very different than a MF operator.

I am curious why someone in this instance would invest in a private company vs. a public entity like a mutual fund which of course has a lot more scrutiny.? My guess is the juiced returns. But I was curious to understand those that invested - why did they invest?

[Calvin Thomas]

Quote from @Carlos Ptriawan:

Quote from @Engelo Rumora:

Quote from @Jay Hinrichs:

Quote from @Don Konipol:

I am not a debt investor, a bond investor nor am I an investor in corporate debt, private equity debt, peer to peer lending, etc.  I am an investor in debt DIRECTLY secured by REAL ESTATE.  

I have enough problems correctly underwriting real estate debt; I can’t imagine the problems I’d have trying to CORRECTLY analyze risk in private equity corporate deals based on the revitalization of bankrupt brands. 

Even wall st guys miss  these things  right .  I know anytime I have gotten away from my core (RE) its not ended well for me.. 

So true and 100% agreed with you both

Lost my A$$ almost every time I touched something not RE related lol

what really happened here is beyond typical "RE guys" investing into "non RE".

This is outright investment on unregistered private placement that' usually can only be done to certain highly accredited investor because it's super high risk in its nature.

Here's more information on REV's financial position :

1. Financial Challenges:
   • As of early 2023, REV was reportedly exploring restructuring options, including potentially filing for bankruptcy.
   • The company had allegedly paused payments on its debts, estimated to total around $200 million.
2. Revenue and Losses:
   • In 2022, REV reportedly had revenues of about $60 million but losses of around the same amount.
   • This was a significant decline from 2021, when the company had revenues of $150 million and losses of $90 million.
3. Recent Developments:
   • In May 2023, REV's backers acquired its IP portfolio, allowing it to avoid bankruptcy.
   • The assets are now owned by a new company called Omni Retail Enterprises, which acquired most of REV's assets in a transaction that closed within the last 90 days of the report date.
4. Portfolio Changes:
   • REV sold its stake in Tuesday Morning in May 2023, which it had acquired through a $32 million investment in September 2022.

Usually with unregistered private placement, the advertisement of such product should not be made public by LAW.

Now knowing there could be potential so much fraud/illegal transaction here, I would suspect if Norada may receive commision for such scheme.

Some of you guys that invest may want to unionized together and file lawsuit, there're few attorney that's working on this case the way I see it.

 Love their new website - https://omniretailenterprises.com/#brands

[Calvin Thomas]

Quote from @Judy Foster:
as an investor in the notes, I can say that yes we knew what it was and that it was risky, but wanted to try something a little different.  Marco's team told us he was using the funds to fund his ecommerce businesses as well as the mastermind and training/speaking programs.  Also funding broadway play prodctions and other irons he had in the fire.  Now that he has converted the notes to "stock" in the "company", I do not expect the payments to be resumed at all and am just hoping we will get the remainder of the principal back out...but not holding my breath!  Put it down in the stupid tax column and the cost of learning about the different types of alternative invesements that are out there.  As I said, we knew it was pushing the envelope, but thought we would try and see!  Please keep the comments coming on what folks find out....I too got Marco to send a follow up email that didn't really clarify anything.  Then a few days later got another email asking if we wanted to invest in another note program!!  

 Was this like him saying I am throwing a lot of crap against the wall, and hoping something would stick?

[Michael P.]

Quote from @Chris Seveney:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

This thread has gone off the rails. Just like the business model of every syndicator/note maker.

 Just hour ago Omni the company that used to own REV ( well including some of you ) , appointed Mrs. Sharon as the CEO of Omni , where she used to work for Pier1.

Some of you guys may want to talk to their investor relation and ask what the hell actually happened after REV ceased operation.

 So going back to more on the original post - the way I read this was the manager was not really operating a fund, but basically just investing in other opportunities (more like a mutual fund). One of the things I look for when I invest is I look at what the operator is doing, if they are a fund of funds or just investing in other operating businesses, to me that is very different than a MF operator.

I am curious why someone in this instance would invest in a private company vs. a public entity like a mutual fund which of course has a lot more scrutiny.? My guess is the juiced returns. But I was curious to understand those that invested - why did they invest?

They have been listening to his podcast for many years he comes off as extremely knowledgeable, trustworthy, and informative. Well spoken and a great marketer. Likely they have done business with his turnkey marketing company and had decent results buying a turnkey rental in a B class area with decent returns maybe 7%. Then when the same trustworthy individual that guided them through the world of real estate offered them simpler note investing option at an even higher return, it seemed like an easy win and his podcast listeners jumped on it.

[Carlos Ptriawan]

Quote from @Michael P.:

Quote from @Chris Seveney:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

And when you do dig deep dive into kochara enterprise, you know their management and boards are consist of :
- chairman of Enron
- SBF of FTX
- some name from Panama Paper
- all actors in Netflix’s Dirty Money

On this very particular business scheme , there are just too many bad actors involved. I am pretty sure internal Wells Fargo has more information and analysis about this business. 

 I am sure each of them has possessed one way ticket to Portugal or to Kenya or to some Caribbean island already LOL LOL

This thread has gone off the rails. Just like the business model of every syndicator/note maker.

 Just hour ago Omni the company that used to own REV ( well including some of you ) , appointed Mrs. Sharon as the CEO of Omni , where she used to work for Pier1.

Some of you guys may want to talk to their investor relation and ask what the hell actually happened after REV ceased operation.

 So going back to more on the original post - the way I read this was the manager was not really operating a fund, but basically just investing in other opportunities (more like a mutual fund). One of the things I look for when I invest is I look at what the operator is doing, if they are a fund of funds or just investing in other operating businesses, to me that is very different than a MF operator.

I am curious why someone in this instance would invest in a private company vs. a public entity like a mutual fund which of course has a lot more scrutiny.? My guess is the juiced returns. But I was curious to understand those that invested - why did they invest?

They have been listening to his podcast for many years he comes off as extremely knowledgeable, trustworthy, and informative. Well spoken and a great marketer. Likely they have done business with his turnkey marketing company and had decent results buying a turnkey rental in a B class area with decent returns maybe 7%. Then when the same trustworthy individual that guided them through the world of real estate offered them simpler note investing option at an even higher return, it seemed like an easy win and his podcast listeners jumped on it.

The actual net return for real estate multi family equity investment Core-Based Class A in "kosher way" may be around 1-3% these days annualized, a conservative private note return should be between 7-8% these days. So not so much different with CD or a bond ETF (6-7%).

What we don't understand is why ; such real estate note issuer should collaborate with infamous-and-well-known serial-scammer ( that's very transparent and well documented that they are a fraudulent ).

Usually in this circumstance, there may be some additional kickback / commision system that's we don't understood.

But a business tha's promising 25% is 100% guaranteed to fail.

[Jon P.]

How in the world is anyone being optimistic about this situation?  I'm guessing because most newbies have never gone through a situation where they invest in unsecured notes (if we can even call these notes) and they stop receiving payments.  This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested.  This is a real estate company that doesn't even hold these funds in real estate?  How does that make sense?  They invested in declining businesses with unrealistic returns.  Radio Shack?  Come on!  Shouldn't they be recommending people invest in real estate?

If they talk about "halting distributions" to investors to focus on future business growth and profitability, what is their actual business plan?  If you now have equity in the business, shouldn't you be entitled to see that?  I would be pressing the owner for that!  Shouldn't you be entitled to actual reports for the business seeing transparent financials along with understanding exactly what your equity position is?  Doesn't sound like any of this has been provided.  Seems like the "equity" you get is just a cop-out excuse to not pay you.  Who's to say this company doesn't just file bankruptcy or the founder disappears with everyone's capital.  I've seen that before time and time again.  My two cents, anyone that invested in this needs to kiss their money goodbye.  In an unsecured investment, you literally have no recourse to get your money back.  I would be hiring an attorney to be first in line for any distributions that do come as it's literally first come first serve for people that file suits and obtain judgement first.  If you don't do that in time or are way down on the list, the likelihood of receiving any capital back is slim to none...

Here are the key takeaways here that appear to be the most concerning.  I have been on their email list for years now and seen these offering, so I am familiar with them, but I did not invest once I learned what the money was actually invested in, which seemed ridiculous!

-Proper SEC guidelines/filings were not followed to raise capital from a large group of unaccredited investors.  This is a big legal issue that may weigh in favor of the investor.  Probably some predatory or fraudulent activity here that should be investigated.

-Most importantly, this are unsecured investments.  Note to new investors, stick to actual RE investing, and never lend money to someone that is not secured.

-These investments were not even invested in real estate by a real estate company, things like failing companies, crypto, etc.  Did people not know what they were actually investing in?  Dress Barn & Radio Shack...what??

-No concrete business plan, financials or actual equity shares are being disclosed to investors, which need to be.  "Equity" seems pretty worthless in a private company that can't make payments.

-This is the strangest investment opportunity I have seen offered.  In true syndications, a sponsor shares all financials and will do a capital call if market conditions dictate more capital is needed.

-Basically it appears they have run out of money to pay investors back.  Nothing has changed or will change soon economically, so I have no idea how they are going to pay anyone back.  Get a judgement as quickly as you can.  This may turn into a class action suit, but I think it's better to even be first to the punch before that.

My recommendation is that you be first in line to hire an attorney to attempt to get part of your funds back.  Otherwise you are left sitting on the sidelines waiting and hoping, which I have never seen do good for anyone.

Strange how I keep getting their emails to still invest in these funds.  How are they still advertising this?  Additionally, last week I received this email from them as well...seems like a rob Peter to pay Paul scenario...none of which sounds good...

Secured Note | 17% Interest | 12 Month Term

My partners and I are raising $5 million of short-term expansion capital for the Money Is Mastermind, our exciting and profitable growing business. We have roughly 1,900 paying members with a current valuation of $43 million. We are cash flow positive and project a profit of over $6 million this year. We are only looking for a small number of investors. Here are the terms: 12-month term 17% Interest (Annual) Quarterly interest payments Secured by equity (not real estate-based) $250k minimum investment First-come basis Feel free to book a short 10-15-minute call if you're interested in learning more. Marco Santarelli Partner, Money Is Mastermind

Here is their marketing email about the original fund I am still receiving:

In today’s volatile market, I want to discuss inflation and some ways you can beat inflation to help you grow your wealth and boost your passive income with a focus on our investment fund, Norada Capital Management.

I'm hosting a live webinar this Thursday, April 11th at 11 am PST (2 pm EST).

In this live webinar we will discuss:

• How does Norada Capital mitigate risk in this environment?
• How can Norada Capital pay a fixed 15% yield to investors?
• How long has Norada Capital been offering notes?
  
• What businesses does Norada Capital invest in?
• How does the fund work?

I will send out the live webinar link one hour before the live event so keep an eye out on your inbox!

[V.G Jason]

Quote from @Jon P.:

This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested. 

Ponzi.

Any victim heard back yet or any update, at all?

[Michael P.]

Quote from @Jon P.:

How in the world is anyone being optimistic about this situation?  I'm guessing because most newbies have never gone through a situation where they invest in unsecured notes (if we can even call these notes) and they stop receiving payments.  This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested.  This is a real estate company that doesn't even hold these funds in real estate?  How does that make sense?  They invested in declining businesses with unrealistic returns.  Radio Shack?  Come on!  Shouldn't they be recommending people invest in real estate?

If they talk about "halting distributions" to investors to focus on future business growth and profitability, what is their actual business plan?  If you now have equity in the business, shouldn't you be entitled to see that?  I would be pressing the owner for that!  Shouldn't you be entitled to actual reports for the business seeing transparent financials along with understanding exactly what your equity position is?  Doesn't sound like any of this has been provided.  Seems like the "equity" you get is just a cop-out excuse to not pay you.  Who's to say this company doesn't just file bankruptcy or the founder disappears with everyone's capital.  I've seen that before time and time again.  My two cents, anyone that invested in this needs to kiss their money goodbye.  In an unsecured investment, you literally have no recourse to get your money back.  I would be hiring an attorney to be first in line for any distributions that do come as it's literally first come first serve for people that file suits and obtain judgement first.  If you don't do that in time or are way down on the list, the likelihood of receiving any capital back is slim to none...

Here are the key takeaways here that appear to be the most concerning.  I have been on their email list for years now and seen these offering, so I am familiar with them, but I did not invest once I learned what the money was actually invested in, which seemed ridiculous!

-Proper SEC guidelines/filings were not followed to raise capital from a large group of unaccredited investors.  This is a big legal issue that may weigh in favor of the investor.  Probably some predatory or fraudulent activity here that should be investigated.

-Most importantly, this are unsecured investments.  Note to new investors, stick to actual RE investing, and never lend money to someone that is not secured.

-These investments were not even invested in real estate by a real estate company, things like failing companies, crypto, etc.  Did people not know what they were actually investing in?  Dress Barn & Radio Shack...what??

-No concrete business plan, financials or actual equity shares are being disclosed to investors, which need to be.  "Equity" seems pretty worthless in a private company that can't make payments.

-This is the strangest investment opportunity I have seen offered.  In true syndications, a sponsor shares all financials and will do a capital call if market conditions dictate more capital is needed.

-Basically it appears they have run out of money to pay investors back.  Nothing has changed or will change soon economically, so I have no idea how they are going to pay anyone back.  Get a judgement as quickly as you can.  This may turn into a class action suit, but I think it's better to even be first to the punch before that.

My recommendation is that you be first in line to hire an attorney to attempt to get part of your funds back.  Otherwise you are left sitting on the sidelines waiting and hoping, which I have never seen do good for anyone.

Strange how I keep getting their emails to still invest in these funds.  How are they still advertising this?  Additionally, last week I received this email from them as well...seems like a rob Peter to pay Paul scenario...none of which sounds good...

Secured Note | 17% Interest | 12 Month Term

My partners and I are raising $5 million of short-term expansion capital for the Money Is Mastermind, our exciting and profitable growing business. We have roughly 1,900 paying members with a current valuation of $43 million. We are cash flow positive and project a profit of over $6 million this year. We are only looking for a small number of investors. Here are the terms: 12-month term 17% Interest (Annual) Quarterly interest payments Secured by equity (not real estate-based) $250k minimum investment First-come basis Feel free to book a short 10-15-minute call if you're interested in learning more. Marco Santarelli Partner, Money Is Mastermind

Here is their marketing email about the original fund I am still receiving:

In today’s volatile market, I want to discuss inflation and some ways you can beat inflation to help you grow your wealth and boost your passive income with a focus on our investment fund, Norada Capital Management.

I'm hosting a live webinar this Thursday, April 11th at 11 am PST (2 pm EST).

In this live webinar we will discuss:

• How does Norada Capital mitigate risk in this environment?
• How can Norada Capital pay a fixed 15% yield to investors?
• How long has Norada Capital been offering notes?
  
• What businesses does Norada Capital invest in?
• How does the fund work?

I will send out the live webinar link one hour before the live event so keep an eye out on your inbox!

 Can u plz forward to me. Interested in the 17% on 250k investment.  

[Jay Hinrichs]

@Jon P.

"-Proper SEC guidelines/filings were not followed to raise capital from a
large group of unaccredited investors. This is a big legal issue that
may weigh in favor of the investor. Probably some predatory or
fraudulent activity here that should be investigated."

John I am in no way defending this company.. However I  do want to know why you think the statement above is true.. How do you know the SEC guidelines were not followed?  I am a firm believer that if companies just send a simple Are you accredited sign here form that many investors simply fib.. And then invest and the company does no other verification of their status. The few syndication I have done over the years I had to provide a letter from my CPA stating our accredited status.  Unless of course they were using a SEC vehicle that allowed a certain amount of non accredited. 

I can see how this happened though.. Monster data base  tons of credibility with your RE clients one has sold to over the years.. RE sales slows a LOT to generate revenue find a new investment.

[Engelo Rumora]

Quote from @Carlos Ptriawan:

Quote from @James Wise:

Quote from @Carlos Ptriawan:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

 This company operates several business :
- life/wealth coaching/guru/whatever
- day trading crypto
- ecommerce aggregator

What they do basically they buy bankrupt or very young product company that sell real physical product like fashion, and resell their biz. This is a very very difficult business because you have to buy company with higher valuation without knowing their product (doing DD/financial audit to young company or bankrupt company is extremely difficult) and then establish supply-chain-model (establish partnership with amazon/ups/fedex) and such. One of the biggest aggregator was bankrupt last year.

For day trading crypto I don't even need to give a comment.

The typical biz of these guys is they try to build a highly credential because they work/started company a,b,c,y,z but if you dig deep it's only one or two guy operations.

Even this company is only having virtual colo office for $70 a month LOL

 This thread wild dawg

 fixing someone 1920s home in ohio is way kosher dawg 

1920's is "new" build for us mate

More like 1899 hehe

[Engelo Rumora]

Quote from @James Hamling:

Quote from @Michael P.:

Quote from @James Hamling:

Quote from @Carlos Ptriawan:

 Were looking at this all wrong Carlos. 

We need to get out there, team up and open our shop: Kachara Enterprises

We will take NOTES, following same plan. $50k = 12%, $100k = 15% etc.. 

With the $ we are buying taco stands, and "optimizing them with ai"..... Anyone asks how or why, we just explain it's ai, it's the future, they can't get-it, it's too high level for them. lol. 

And we also diversify buying the brand "Bum-Fight's", and were gonna bring back the defunct brand, again with ai...... 

We will also be working on habitation units for Mars..... with ai. Lol. 

And taking on defunct K-mart brand to, you guessed it, integrate ai for an online only relaunch..... 

And pellet smokers...... with ai, lol......... 

OH! And our flagship development US item, Japanese style toilets in the USA..... ai powered! Lol. 

Aaaand if things don't work out, well heck I guess we will just have to convert there notes to equity and walk away..... 

I would be interested in a one year note that I can exit before it all collapses. 

 However I am disappointed you are not reviving Blockbuster video. 

Kachara Enterprises is proud to announce for all our suckers.... er, marks.... er, Note Investors, yeah "investors"..... That we are always growing, adapting and evolving to new schemes... er scams.... er "opportunities" in the market and with that were proud to announce the exciting BlockBuster 2.0 "ai enhanced"!!!! 

And for this limited time you too can be took... er "invest" in this exciting next chapter of video-less video..... Yes, with a simple 47 step approval setup for the ai "Entertainment Genie" we will go through your social media, your posts, e-mails, cc and bank accounts to let the ai decide for you! Now you can put that bothersome brain to rest, sit back and.... well just sit back because it may be a while until anything actually happens but someday, maybe, probably, possibly it will... maybe come to market.... maybe. Invest now! 

"This is a once in a lifetime opportunity to capitalize on the new "industrial revolution" of the universe changing technology that AI is"

"Join now or miss out on our artificially intelligent, augmented reality, virtually based, digitally integrated and blockchain based revolutionary technology"

"This is the next NVIDIA" - John McAfee

[Chris Seveney]

Quote from @Michael P.:

Quote from @Jon P.:

How in the world is anyone being optimistic about this situation?  I'm guessing because most newbies have never gone through a situation where they invest in unsecured notes (if we can even call these notes) and they stop receiving payments.  This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested.  This is a real estate company that doesn't even hold these funds in real estate?  How does that make sense?  They invested in declining businesses with unrealistic returns.  Radio Shack?  Come on!  Shouldn't they be recommending people invest in real estate?

If they talk about "halting distributions" to investors to focus on future business growth and profitability, what is their actual business plan?  If you now have equity in the business, shouldn't you be entitled to see that?  I would be pressing the owner for that!  Shouldn't you be entitled to actual reports for the business seeing transparent financials along with understanding exactly what your equity position is?  Doesn't sound like any of this has been provided.  Seems like the "equity" you get is just a cop-out excuse to not pay you.  Who's to say this company doesn't just file bankruptcy or the founder disappears with everyone's capital.  I've seen that before time and time again.  My two cents, anyone that invested in this needs to kiss their money goodbye.  In an unsecured investment, you literally have no recourse to get your money back.  I would be hiring an attorney to be first in line for any distributions that do come as it's literally first come first serve for people that file suits and obtain judgement first.  If you don't do that in time or are way down on the list, the likelihood of receiving any capital back is slim to none...

Here are the key takeaways here that appear to be the most concerning.  I have been on their email list for years now and seen these offering, so I am familiar with them, but I did not invest once I learned what the money was actually invested in, which seemed ridiculous!

-Proper SEC guidelines/filings were not followed to raise capital from a large group of unaccredited investors.  This is a big legal issue that may weigh in favor of the investor.  Probably some predatory or fraudulent activity here that should be investigated.

-Most importantly, this are unsecured investments.  Note to new investors, stick to actual RE investing, and never lend money to someone that is not secured.

-These investments were not even invested in real estate by a real estate company, things like failing companies, crypto, etc.  Did people not know what they were actually investing in?  Dress Barn & Radio Shack...what??

-No concrete business plan, financials or actual equity shares are being disclosed to investors, which need to be.  "Equity" seems pretty worthless in a private company that can't make payments.

-This is the strangest investment opportunity I have seen offered.  In true syndications, a sponsor shares all financials and will do a capital call if market conditions dictate more capital is needed.

-Basically it appears they have run out of money to pay investors back.  Nothing has changed or will change soon economically, so I have no idea how they are going to pay anyone back.  Get a judgement as quickly as you can.  This may turn into a class action suit, but I think it's better to even be first to the punch before that.

My recommendation is that you be first in line to hire an attorney to attempt to get part of your funds back.  Otherwise you are left sitting on the sidelines waiting and hoping, which I have never seen do good for anyone.

Strange how I keep getting their emails to still invest in these funds.  How are they still advertising this?  Additionally, last week I received this email from them as well...seems like a rob Peter to pay Paul scenario...none of which sounds good...

Secured Note | 17% Interest | 12 Month Term

My partners and I are raising $5 million of short-term expansion capital for the Money Is Mastermind, our exciting and profitable growing business. We have roughly 1,900 paying members with a current valuation of $43 million. We are cash flow positive and project a profit of over $6 million this year. We are only looking for a small number of investors. Here are the terms: 12-month term 17% Interest (Annual) Quarterly interest payments Secured by equity (not real estate-based) $250k minimum investment First-come basis Feel free to book a short 10-15-minute call if you're interested in learning more. Marco Santarelli Partner, Money Is Mastermind

Here is their marketing email about the original fund I am still receiving:

In today’s volatile market, I want to discuss inflation and some ways you can beat inflation to help you grow your wealth and boost your passive income with a focus on our investment fund, Norada Capital Management.

I'm hosting a live webinar this Thursday, April 11th at 11 am PST (2 pm EST).

In this live webinar we will discuss:

• How does Norada Capital mitigate risk in this environment?
• How can Norada Capital pay a fixed 15% yield to investors?
• How long has Norada Capital been offering notes?
  
• What businesses does Norada Capital invest in?
• How does the fund work?

I will send out the live webinar link one hour before the live event so keep an eye out on your inbox!

 Can u plz forward to me. Interested in the 17% on 250k investment.  

 if you have a mastermind worth $43M and its cash flowing $6M why do you need more investor money? There is very little operating cost for a mastermind group so why the money is what I am wondering?

[Engelo Rumora]

Quote from @Michael P.:

Quote from @Jon P.:

How in the world is anyone being optimistic about this situation?  I'm guessing because most newbies have never gone through a situation where they invest in unsecured notes (if we can even call these notes) and they stop receiving payments.  This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested.  This is a real estate company that doesn't even hold these funds in real estate?  How does that make sense?  They invested in declining businesses with unrealistic returns.  Radio Shack?  Come on!  Shouldn't they be recommending people invest in real estate?

If they talk about "halting distributions" to investors to focus on future business growth and profitability, what is their actual business plan?  If you now have equity in the business, shouldn't you be entitled to see that?  I would be pressing the owner for that!  Shouldn't you be entitled to actual reports for the business seeing transparent financials along with understanding exactly what your equity position is?  Doesn't sound like any of this has been provided.  Seems like the "equity" you get is just a cop-out excuse to not pay you.  Who's to say this company doesn't just file bankruptcy or the founder disappears with everyone's capital.  I've seen that before time and time again.  My two cents, anyone that invested in this needs to kiss their money goodbye.  In an unsecured investment, you literally have no recourse to get your money back.  I would be hiring an attorney to be first in line for any distributions that do come as it's literally first come first serve for people that file suits and obtain judgement first.  If you don't do that in time or are way down on the list, the likelihood of receiving any capital back is slim to none...

Here are the key takeaways here that appear to be the most concerning.  I have been on their email list for years now and seen these offering, so I am familiar with them, but I did not invest once I learned what the money was actually invested in, which seemed ridiculous!

-Proper SEC guidelines/filings were not followed to raise capital from a large group of unaccredited investors.  This is a big legal issue that may weigh in favor of the investor.  Probably some predatory or fraudulent activity here that should be investigated.

-Most importantly, this are unsecured investments.  Note to new investors, stick to actual RE investing, and never lend money to someone that is not secured.

-These investments were not even invested in real estate by a real estate company, things like failing companies, crypto, etc.  Did people not know what they were actually investing in?  Dress Barn & Radio Shack...what??

-No concrete business plan, financials or actual equity shares are being disclosed to investors, which need to be.  "Equity" seems pretty worthless in a private company that can't make payments.

-This is the strangest investment opportunity I have seen offered.  In true syndications, a sponsor shares all financials and will do a capital call if market conditions dictate more capital is needed.

-Basically it appears they have run out of money to pay investors back.  Nothing has changed or will change soon economically, so I have no idea how they are going to pay anyone back.  Get a judgement as quickly as you can.  This may turn into a class action suit, but I think it's better to even be first to the punch before that.

My recommendation is that you be first in line to hire an attorney to attempt to get part of your funds back.  Otherwise you are left sitting on the sidelines waiting and hoping, which I have never seen do good for anyone.

Strange how I keep getting their emails to still invest in these funds.  How are they still advertising this?  Additionally, last week I received this email from them as well...seems like a rob Peter to pay Paul scenario...none of which sounds good...

Secured Note | 17% Interest | 12 Month Term

My partners and I are raising $5 million of short-term expansion capital for the Money Is Mastermind, our exciting and profitable growing business. We have roughly 1,900 paying members with a current valuation of $43 million. We are cash flow positive and project a profit of over $6 million this year. We are only looking for a small number of investors. Here are the terms: 12-month term 17% Interest (Annual) Quarterly interest payments Secured by equity (not real estate-based) $250k minimum investment First-come basis Feel free to book a short 10-15-minute call if you're interested in learning more. Marco Santarelli Partner, Money Is Mastermind

Here is their marketing email about the original fund I am still receiving:

In today’s volatile market, I want to discuss inflation and some ways you can beat inflation to help you grow your wealth and boost your passive income with a focus on our investment fund, Norada Capital Management.

I'm hosting a live webinar this Thursday, April 11th at 11 am PST (2 pm EST).

In this live webinar we will discuss:

• How does Norada Capital mitigate risk in this environment?
• How can Norada Capital pay a fixed 15% yield to investors?
• How long has Norada Capital been offering notes?
  
• What businesses does Norada Capital invest in?
• How does the fund work?

I will send out the live webinar link one hour before the live event so keep an eye out on your inbox!

 Can u plz forward to me. Interested in the 17% on 250k investment.  

I'm interested also. 17 percent of the time you are right 100% of the time for a 17% return on $250,000 invested at 100% of the time

[Jay Hinrichs]

Quote from @Chris Seveney:

Quote from @Michael P.:

Quote from @Jon P.:

How in the world is anyone being optimistic about this situation?  I'm guessing because most newbies have never gone through a situation where they invest in unsecured notes (if we can even call these notes) and they stop receiving payments.  This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested.  This is a real estate company that doesn't even hold these funds in real estate?  How does that make sense?  They invested in declining businesses with unrealistic returns.  Radio Shack?  Come on!  Shouldn't they be recommending people invest in real estate?

If they talk about "halting distributions" to investors to focus on future business growth and profitability, what is their actual business plan?  If you now have equity in the business, shouldn't you be entitled to see that?  I would be pressing the owner for that!  Shouldn't you be entitled to actual reports for the business seeing transparent financials along with understanding exactly what your equity position is?  Doesn't sound like any of this has been provided.  Seems like the "equity" you get is just a cop-out excuse to not pay you.  Who's to say this company doesn't just file bankruptcy or the founder disappears with everyone's capital.  I've seen that before time and time again.  My two cents, anyone that invested in this needs to kiss their money goodbye.  In an unsecured investment, you literally have no recourse to get your money back.  I would be hiring an attorney to be first in line for any distributions that do come as it's literally first come first serve for people that file suits and obtain judgement first.  If you don't do that in time or are way down on the list, the likelihood of receiving any capital back is slim to none...

Here are the key takeaways here that appear to be the most concerning.  I have been on their email list for years now and seen these offering, so I am familiar with them, but I did not invest once I learned what the money was actually invested in, which seemed ridiculous!

-Proper SEC guidelines/filings were not followed to raise capital from a large group of unaccredited investors.  This is a big legal issue that may weigh in favor of the investor.  Probably some predatory or fraudulent activity here that should be investigated.

-Most importantly, this are unsecured investments.  Note to new investors, stick to actual RE investing, and never lend money to someone that is not secured.

-These investments were not even invested in real estate by a real estate company, things like failing companies, crypto, etc.  Did people not know what they were actually investing in?  Dress Barn & Radio Shack...what??

-No concrete business plan, financials or actual equity shares are being disclosed to investors, which need to be.  "Equity" seems pretty worthless in a private company that can't make payments.

-This is the strangest investment opportunity I have seen offered.  In true syndications, a sponsor shares all financials and will do a capital call if market conditions dictate more capital is needed.

-Basically it appears they have run out of money to pay investors back.  Nothing has changed or will change soon economically, so I have no idea how they are going to pay anyone back.  Get a judgement as quickly as you can.  This may turn into a class action suit, but I think it's better to even be first to the punch before that.

My recommendation is that you be first in line to hire an attorney to attempt to get part of your funds back.  Otherwise you are left sitting on the sidelines waiting and hoping, which I have never seen do good for anyone.

Strange how I keep getting their emails to still invest in these funds.  How are they still advertising this?  Additionally, last week I received this email from them as well...seems like a rob Peter to pay Paul scenario...none of which sounds good...

Secured Note | 17% Interest | 12 Month Term

My partners and I are raising $5 million of short-term expansion capital for the Money Is Mastermind, our exciting and profitable growing business. We have roughly 1,900 paying members with a current valuation of $43 million. We are cash flow positive and project a profit of over $6 million this year. We are only looking for a small number of investors. Here are the terms: 12-month term 17% Interest (Annual) Quarterly interest payments Secured by equity (not real estate-based) $250k minimum investment First-come basis Feel free to book a short 10-15-minute call if you're interested in learning more. Marco Santarelli Partner, Money Is Mastermind

Here is their marketing email about the original fund I am still receiving:

In today’s volatile market, I want to discuss inflation and some ways you can beat inflation to help you grow your wealth and boost your passive income with a focus on our investment fund, Norada Capital Management.

I'm hosting a live webinar this Thursday, April 11th at 11 am PST (2 pm EST).

In this live webinar we will discuss:

• How does Norada Capital mitigate risk in this environment?
• How can Norada Capital pay a fixed 15% yield to investors?
• How long has Norada Capital been offering notes?
  
• What businesses does Norada Capital invest in?
• How does the fund work?

I will send out the live webinar link one hour before the live event so keep an eye out on your inbox!

 Can u plz forward to me. Interested in the 17% on 250k investment.  

 if you have a mastermind worth $43M and its cash flowing $6M why do you need more investor money? There is very little operating cost for a mastermind group so why the money is what I am wondering?

Chris is the mastermind is more of an education type bizz.. then overhead to market can be pretty high at least 50% of gross revenue.

[James Hamling]

Quote from @Michael P.:

Quote from @Jon P.:

How in the world is anyone being optimistic about this situation?  I'm guessing because most newbies have never gone through a situation where they invest in unsecured notes (if we can even call these notes) and they stop receiving payments.  This has disaster written all over it.  This is just the start of a larger decline in a company raising money from investors without proper SEC fillings that is starting to not pay investors back.  It's crazy to me that people don't even know where their funds were invested.  This is a real estate company that doesn't even hold these funds in real estate?  How does that make sense?  They invested in declining businesses with unrealistic returns.  Radio Shack?  Come on!  Shouldn't they be recommending people invest in real estate?

If they talk about "halting distributions" to investors to focus on future business growth and profitability, what is their actual business plan?  If you now have equity in the business, shouldn't you be entitled to see that?  I would be pressing the owner for that!  Shouldn't you be entitled to actual reports for the business seeing transparent financials along with understanding exactly what your equity position is?  Doesn't sound like any of this has been provided.  Seems like the "equity" you get is just a cop-out excuse to not pay you.  Who's to say this company doesn't just file bankruptcy or the founder disappears with everyone's capital.  I've seen that before time and time again.  My two cents, anyone that invested in this needs to kiss their money goodbye.  In an unsecured investment, you literally have no recourse to get your money back.  I would be hiring an attorney to be first in line for any distributions that do come as it's literally first come first serve for people that file suits and obtain judgement first.  If you don't do that in time or are way down on the list, the likelihood of receiving any capital back is slim to none...

Here are the key takeaways here that appear to be the most concerning.  I have been on their email list for years now and seen these offering, so I am familiar with them, but I did not invest once I learned what the money was actually invested in, which seemed ridiculous!

-Proper SEC guidelines/filings were not followed to raise capital from a large group of unaccredited investors.  This is a big legal issue that may weigh in favor of the investor.  Probably some predatory or fraudulent activity here that should be investigated.

-Most importantly, this are unsecured investments.  Note to new investors, stick to actual RE investing, and never lend money to someone that is not secured.

-These investments were not even invested in real estate by a real estate company, things like failing companies, crypto, etc.  Did people not know what they were actually investing in?  Dress Barn & Radio Shack...what??

-No concrete business plan, financials or actual equity shares are being disclosed to investors, which need to be.  "Equity" seems pretty worthless in a private company that can't make payments.

-This is the strangest investment opportunity I have seen offered.  In true syndications, a sponsor shares all financials and will do a capital call if market conditions dictate more capital is needed.

-Basically it appears they have run out of money to pay investors back.  Nothing has changed or will change soon economically, so I have no idea how they are going to pay anyone back.  Get a judgement as quickly as you can.  This may turn into a class action suit, but I think it's better to even be first to the punch before that.

My recommendation is that you be first in line to hire an attorney to attempt to get part of your funds back.  Otherwise you are left sitting on the sidelines waiting and hoping, which I have never seen do good for anyone.

Strange how I keep getting their emails to still invest in these funds.  How are they still advertising this?  Additionally, last week I received this email from them as well...seems like a rob Peter to pay Paul scenario...none of which sounds good...

Secured Note | 17% Interest | 12 Month Term

My partners and I are raising $5 million of short-term expansion capital for the Money Is Mastermind, our exciting and profitable growing business. We have roughly 1,900 paying members with a current valuation of $43 million. We are cash flow positive and project a profit of over $6 million this year. We are only looking for a small number of investors. Here are the terms: 12-month term 17% Interest (Annual) Quarterly interest payments Secured by equity (not real estate-based) $250k minimum investment First-come basis Feel free to book a short 10-15-minute call if you're interested in learning more. Marco Santarelli Partner, Money Is Mastermind

Here is their marketing email about the original fund I am still receiving:

In today’s volatile market, I want to discuss inflation and some ways you can beat inflation to help you grow your wealth and boost your passive income with a focus on our investment fund, Norada Capital Management.

I'm hosting a live webinar this Thursday, April 11th at 11 am PST (2 pm EST).

In this live webinar we will discuss:

• How does Norada Capital mitigate risk in this environment?
• How can Norada Capital pay a fixed 15% yield to investors?
• How long has Norada Capital been offering notes?
  
• What businesses does Norada Capital invest in?
• How does the fund work?

I will send out the live webinar link one hour before the live event so keep an eye out on your inbox!

 Can u plz forward to me. Interested in the 17% on 250k investment.  

I'd be curious how many on BP comprehend just how outlandish such a notion is of "safe" "certain" 17% "div". 

For example, let's take Realty income Corp. the #1 passive "div" return not just in the space, but of all, OF ALL, it is literally THE #1 passive income fund in existence, 30+yr rock-solid track record.     And what's the #1 pace at <6%...... 

So what's 17% "passive" income look like? YMAX. It's a kind of ETF but it's packed with funds that do various gymnastics of options trading, and YMAX, in theory, creates "risk mitigation" via a basket of these vs any 1 individually. And this is just a hair UNDER 17%. A gamble on gambles of volatility moving certain ways in certain time windows..... 

Ok, maybe this is still too technical for many so i will simplify: 

To get "passive" 17% on wall street means betting on a team of people who juggle chainsaws while unicycling on a tight-rope strung between two trotting elephants, while humming star spangled banner on a kazoo. Sure, there spunky, well trained, and when pull it off it's something awesome to behold. But when it goes wrong..... oh it can get grizzly so fast..... 

So yeah, I call BS to the fantasy being sold on the oh-so-simple 17%. 

[Terra Padgett]

Quote from @Paula Impala:

I invested in Norada Capital Management and was coming here to connect with others who have invested. Did not receive my payment from Norada this month (June) and just received the following notification in my email.

Any thoughts or recommendations from fellow investors.  Thank you in advance for any advice or insight.

Dear Valued Investor,

I hope you are well. As a lender (aka “Maker”) to Norada, you are a valued member of the Norada family.
The purpose of this correspondence is to provide you with an update on the repayment under the terms of the promissory note (“Note”) as an obligation of Norada Capital Management, LLC (“Norada”).
As with all businesses, Norada is subject to market factors that could impact its ability to make payments. Due to current market conditions and unforeseen financial challenges, we have decided to temporarily suspend distribution payments. This decision was not made lightly and comes after thorough deliberation and analysis of our current financial position.
This requires us to exercise our right to convert your Note and issue equity (aka membership interests) in Norada. You will recall that your Note allows Norada to convert the outstanding balance owed into equity and that it can redeem that equity in the future by repayment of the Note principal in full. There is nothing required by you related to your Note being converted. It happens automatically upon notice being sent.
As such, this email will provide you notice that Norada has chosen to exercise its right under the Note §6 to issue equity to you in Norada. Your equity is valued at the unpaid face value of the Note plus any accrued but unpaid interest. We expect to be in a position to redeem your interests in short order, and we will keep you posted, as always, on any developments in this regard.

We understand the importance of distributions to our investors and recognize the impact this decision may have on your financial planning. Please be assured that this suspension is temporary. We are committed to resuming regular distributions as soon as our financial situation stabilizes and improves.

Our primary goal is to ensure the long-term stability and sustainability of our business. By temporarily halting distributions, we can preserve capital, manage our resources more effectively, and invest in key areas that will drive future growth and profitability.

In the interim, we are taking strategic steps to strengthen our financial health, including cost-reduction measures, revenue-generating initiatives, and debt restructuring options. Our management team is dedicated to navigating through these challenges and emerging stronger.
We greatly appreciate your understanding and patience during this time. We remain committed to transparency and will keep you informed of any significant developments. If you have any questions or need further clarification, please feel free to contact me directly. (I will do my best to reply to your email in a timely manner.)
Thank you for your continued trust and support.
Sincerely,

Marco SantarelliFounder & CEONorada Capital Management

I hate to see/hear this. We looked at investing in the Norada Notes last year with my Investment Club. It was an unsecured note NOT backed by any real estate or hard asset. But rather how we understood it, the note was tied to the performance of previous Brick & Mortar stores that Norada said were performing well as online e-commerce stores now. We requested to see financials as part of our due diligence (numerous times), however they declined to provide anything saying that since they were a private company they didn’t provide financials. They offered to provide projections or a pro-forma. That was not acceptable to us as projections wouldn’t tell us how the company or portfolio of companies have been performing to date or give us any confidence in the degree of certainty with their ability to repay the note. We didn’t believe those old online retailers were performing well and didn’t even know they were still around. We decided to pass on investing.
I hope this works out well for all in the end, but I would certainly be concerned with them converting a Debt Position to an Equity Position at discretion. Especially if it was just in the fine print. That should have been highlighted. You’re just bumping investors down to the very bottom of the capital stack. I’d rather they just pause distributions and pick back up once the “economic conditions” are sorted out. But they wouldn’t want to accrue that kind of interest with those 12-15% notes. Again, I hope it works out well for all once all is said and done. 

[Paul Azad]

Quote from @Terra Padgett:

Quote from @Paula Impala:

I invested in Norada Capital Management and was coming here to connect with others who have invested. Did not receive my payment from Norada this month (June) and just received the following notification in my email.

Any thoughts or recommendations from fellow investors.  Thank you in advance for any advice or insight.

Dear Valued Investor,

I hope you are well. As a lender (aka “Maker”) to Norada, you are a valued member of the Norada family.
The purpose of this correspondence is to provide you with an update on the repayment under the terms of the promissory note (“Note”) as an obligation of Norada Capital Management, LLC (“Norada”).
As with all businesses, Norada is subject to market factors that could impact its ability to make payments. Due to current market conditions and unforeseen financial challenges, we have decided to temporarily suspend distribution payments. This decision was not made lightly and comes after thorough deliberation and analysis of our current financial position.
This requires us to exercise our right to convert your Note and issue equity (aka membership interests) in Norada. You will recall that your Note allows Norada to convert the outstanding balance owed into equity and that it can redeem that equity in the future by repayment of the Note principal in full. There is nothing required by you related to your Note being converted. It happens automatically upon notice being sent.
As such, this email will provide you notice that Norada has chosen to exercise its right under the Note §6 to issue equity to you in Norada. Your equity is valued at the unpaid face value of the Note plus any accrued but unpaid interest. We expect to be in a position to redeem your interests in short order, and we will keep you posted, as always, on any developments in this regard.

We understand the importance of distributions to our investors and recognize the impact this decision may have on your financial planning. Please be assured that this suspension is temporary. We are committed to resuming regular distributions as soon as our financial situation stabilizes and improves.

Our primary goal is to ensure the long-term stability and sustainability of our business. By temporarily halting distributions, we can preserve capital, manage our resources more effectively, and invest in key areas that will drive future growth and profitability.

In the interim, we are taking strategic steps to strengthen our financial health, including cost-reduction measures, revenue-generating initiatives, and debt restructuring options. Our management team is dedicated to navigating through these challenges and emerging stronger.
We greatly appreciate your understanding and patience during this time. We remain committed to transparency and will keep you informed of any significant developments. If you have any questions or need further clarification, please feel free to contact me directly. (I will do my best to reply to your email in a timely manner.)
Thank you for your continued trust and support.
Sincerely,

Marco SantarelliFounder & CEONorada Capital Management

I hate to see/hear this. We looked at investing in the Norada Notes last year with my Investment Club. It was an unsecured note NOT backed by any real estate or hard asset. But rather how we understood it, the note was tied to the performance of previous Brick & Mortar stores that Norada said were performing well as online e-commerce stores now. We requested to see financials as part of our due diligence (numerous times), however they declined to provide anything saying that since they were a private company they didn’t provide financials. They offered to provide projections or a pro-forma. That was not acceptable to us as projections wouldn’t tell us how the company or portfolio of companies have been performing to date or give us any confidence in the degree of certainty with their ability to repay the note. We didn’t believe those old online retailers were performing well and didn’t even know they were still around. We decided to pass on investing.
I hope this works out well for all in the end, but I would certainly be concerned with them converting a Debt Position to an Equity Position at discretion. Especially if it was just in the fine print. That should have been highlighted. You’re just bumping investors down to the very bottom of the capital stack. I’d rather they just pause distributions and pick back up once the “economic conditions” are sorted out. But they wouldn’t want to accrue that kind of interest with those 12-15% notes. Again, I hope it works out well for all once all is said and done. 

They were offering up to 23% on their notes, and I've heard from a guy named Madoff that it's kinda hard to Pause distributions in the middle of a Ponzi scheme as SEC doesn't approve of irregular theft , sorry, distributions :)

Next time you come across a suspect investment or just poor quality or even just one with high fees, please POST to the BP Forum dedicated to this "Syndications and Passive Real Estate Investing.", may help some less savvy investors. 

[Carlos Ptriawan]

Quote from @Terra Padgett:

Quote from @Paula Impala:

I invested in Norada Capital Management and was coming here to connect with others who have invested. Did not receive my payment from Norada this month (June) and just received the following notification in my email.

Any thoughts or recommendations from fellow investors.  Thank you in advance for any advice or insight.

Dear Valued Investor,

I hope you are well. As a lender (aka “Maker”) to Norada, you are a valued member of the Norada family.
The purpose of this correspondence is to provide you with an update on the repayment under the terms of the promissory note (“Note”) as an obligation of Norada Capital Management, LLC (“Norada”).
As with all businesses, Norada is subject to market factors that could impact its ability to make payments. Due to current market conditions and unforeseen financial challenges, we have decided to temporarily suspend distribution payments. This decision was not made lightly and comes after thorough deliberation and analysis of our current financial position.
This requires us to exercise our right to convert your Note and issue equity (aka membership interests) in Norada. You will recall that your Note allows Norada to convert the outstanding balance owed into equity and that it can redeem that equity in the future by repayment of the Note principal in full. There is nothing required by you related to your Note being converted. It happens automatically upon notice being sent.
As such, this email will provide you notice that Norada has chosen to exercise its right under the Note §6 to issue equity to you in Norada. Your equity is valued at the unpaid face value of the Note plus any accrued but unpaid interest. We expect to be in a position to redeem your interests in short order, and we will keep you posted, as always, on any developments in this regard.

We understand the importance of distributions to our investors and recognize the impact this decision may have on your financial planning. Please be assured that this suspension is temporary. We are committed to resuming regular distributions as soon as our financial situation stabilizes and improves.

Our primary goal is to ensure the long-term stability and sustainability of our business. By temporarily halting distributions, we can preserve capital, manage our resources more effectively, and invest in key areas that will drive future growth and profitability.

In the interim, we are taking strategic steps to strengthen our financial health, including cost-reduction measures, revenue-generating initiatives, and debt restructuring options. Our management team is dedicated to navigating through these challenges and emerging stronger.
We greatly appreciate your understanding and patience during this time. We remain committed to transparency and will keep you informed of any significant developments. If you have any questions or need further clarification, please feel free to contact me directly. (I will do my best to reply to your email in a timely manner.)
Thank you for your continued trust and support.
Sincerely,

Marco SantarelliFounder & CEONorada Capital Management

I hate to see/hear this. We looked at investing in the Norada Notes last year with my Investment Club. It was an unsecured note NOT backed by any real estate or hard asset. But rather how we understood it, the note was tied to the performance of previous Brick & Mortar stores that Norada said were performing well as online e-commerce stores now. We requested to see financials as part of our due diligence (numerous times), however they declined to provide anything saying that since they were a private company they didn’t provide financials. They offered to provide projections or a pro-forma. That was not acceptable to us as projections wouldn’t tell us how the company or portfolio of companies have been performing to date or give us any confidence in the degree of certainty with their ability to repay the note. We didn’t believe those old online retailers were performing well and didn’t even know they were still around. We decided to pass on investing.
I hope this works out well for all in the end, but I would certainly be concerned with them converting a Debt Position to an Equity Position at discretion. Especially if it was just in the fine print. That should have been highlighted. You’re just bumping investors down to the very bottom of the capital stack. I’d rather they just pause distributions and pick back up once the “economic conditions” are sorted out. But they wouldn’t want to accrue that kind of interest with those 12-15% notes. Again, I hope it works out well for all once all is said and done. 

 Even if they provided audited financial I would not believe it LoL

The ponzi syndicatation that I was invested has audited financial, actual very good high asset valuation and some name with Rocke**** as one of their backer/ consultant …. But SEC has decided it is a ponzi

Sometimes the easiest way to find out it is scam or not is just by checking their website and office address

[Carlos Ptriawan]

Quote from @Paul Azad:

Quote from @Terra Padgett:

Quote from @Paula Impala:

I invested in Norada Capital Management and was coming here to connect with others who have invested. Did not receive my payment from Norada this month (June) and just received the following notification in my email.

Any thoughts or recommendations from fellow investors.  Thank you in advance for any advice or insight.

Dear Valued Investor,

I hope you are well. As a lender (aka “Maker”) to Norada, you are a valued member of the Norada family.
The purpose of this correspondence is to provide you with an update on the repayment under the terms of the promissory note (“Note”) as an obligation of Norada Capital Management, LLC (“Norada”).
As with all businesses, Norada is subject to market factors that could impact its ability to make payments. Due to current market conditions and unforeseen financial challenges, we have decided to temporarily suspend distribution payments. This decision was not made lightly and comes after thorough deliberation and analysis of our current financial position.
This requires us to exercise our right to convert your Note and issue equity (aka membership interests) in Norada. You will recall that your Note allows Norada to convert the outstanding balance owed into equity and that it can redeem that equity in the future by repayment of the Note principal in full. There is nothing required by you related to your Note being converted. It happens automatically upon notice being sent.
As such, this email will provide you notice that Norada has chosen to exercise its right under the Note §6 to issue equity to you in Norada. Your equity is valued at the unpaid face value of the Note plus any accrued but unpaid interest. We expect to be in a position to redeem your interests in short order, and we will keep you posted, as always, on any developments in this regard.

We understand the importance of distributions to our investors and recognize the impact this decision may have on your financial planning. Please be assured that this suspension is temporary. We are committed to resuming regular distributions as soon as our financial situation stabilizes and improves.

Our primary goal is to ensure the long-term stability and sustainability of our business. By temporarily halting distributions, we can preserve capital, manage our resources more effectively, and invest in key areas that will drive future growth and profitability.

In the interim, we are taking strategic steps to strengthen our financial health, including cost-reduction measures, revenue-generating initiatives, and debt restructuring options. Our management team is dedicated to navigating through these challenges and emerging stronger.
We greatly appreciate your understanding and patience during this time. We remain committed to transparency and will keep you informed of any significant developments. If you have any questions or need further clarification, please feel free to contact me directly. (I will do my best to reply to your email in a timely manner.)
Thank you for your continued trust and support.
Sincerely,

Marco SantarelliFounder & CEONorada Capital Management

I hate to see/hear this. We looked at investing in the Norada Notes last year with my Investment Club. It was an unsecured note NOT backed by any real estate or hard asset. But rather how we understood it, the note was tied to the performance of previous Brick & Mortar stores that Norada said were performing well as online e-commerce stores now. We requested to see financials as part of our due diligence (numerous times), however they declined to provide anything saying that since they were a private company they didn’t provide financials. They offered to provide projections or a pro-forma. That was not acceptable to us as projections wouldn’t tell us how the company or portfolio of companies have been performing to date or give us any confidence in the degree of certainty with their ability to repay the note. We didn’t believe those old online retailers were performing well and didn’t even know they were still around. We decided to pass on investing.
I hope this works out well for all in the end, but I would certainly be concerned with them converting a Debt Position to an Equity Position at discretion. Especially if it was just in the fine print. That should have been highlighted. You’re just bumping investors down to the very bottom of the capital stack. I’d rather they just pause distributions and pick back up once the “economic conditions” are sorted out. But they wouldn’t want to accrue that kind of interest with those 12-15% notes. Again, I hope it works out well for all once all is said and done. 

They were offering up to 23% on their notes, and I've heard from a guy named Madoff that it's kinda hard to Pause distributions in the middle of a Ponzi scheme as SEC doesn't approve of irregular theft , sorry, distributions :)

Next time you come across a suspect investment or just poor quality or even just one with high fees, please POST to the BP Forum dedicated to this "Syndications and Passive Real Estate Investing.", may help some less savvy investors. 

 I also suspect some of the fund syndication and REiT that people privately talked about is a mini ponzi given how disribution is being made.

think even if we look at many PE firm, since asset was self assessed and being sold between themselves and between fund investor, it is a “almost legal” ponzi