I agree with Taz. It is the other way around.
Pooling money is a big no, no.
Quick tips for Allen:
There are primarily 4 sources of Private Money:
1. Money under the mattress.
2. IRA accounts. Good amount of information is at trustetc.com
3. Seller financing.
4. "Cash values" of life insurance.
75% of Private Money will come from friends and family. So start being VERY nice to them, if you have not been already. LOL!
It is easier to get equity partner compared to getting a debt partner.
Equity partner will take a bigger split. Debt partner would be fine with 8%-12% return.
You don't want to have too many investors in one deal. Most states have exemption rules if you are dealing with around 8-10 investors as long as you don't pool money.
If you pool money from even two people, you have to file all kinds of state and or SEC forms.
When you mix investors from two different states, things get complicated.
Since you have good credit, you may borrow up to $25,000 at great rates from LendingClub.com. Which is basically quick Private Money or a "sob-story" :) money source. Prosper.com is bigger but it is in quiet period right now. Loanio.com is getting compliant. Zopa.com is another source which may work for some borrowers.
I wrote a book on Private Money called " Private Money: The #1 Solution to Eliminate Booms and Busts in Real Estate Forever!". The book basically has two purposes, that is:
1. Mr. Real Estate Entrepreneur say hello to Ms. Private Money and get
to know her world, especially her pain points.
2. Ms. Private Money say hello to Mr. Real Estate Entrepreneur and get
to know his world, especially what he has to offer as the best asset
class for your portfolio.
I am estimating that 80%-90% of the buyers would be Real Estate
Entrepreneurs who will either make it available to their Private Money
lenders, or to use the information in the book as talking points when
communicating with their Private Lenders.