A $300,000 hard money loan will cost you about $100/day to carry. 

I see too many investors now, put a significant amount of money in rehab costs and over leverage themselves on hard money loans with low down payments, their properties are not selling and they are lucky to just payoff their current hard money loan via a DSCR refinance. 

You mean I have to spend money on the place after I buy it?

If you are raising money in a syndication raising less than $1M can be challenging due to the setup and ongoing costs to manage and run it.

The fund allows for money to come in and sometimes go out as needed.

I actually think you would be better offering $1.5M cash and use a hard money loan for six months and refinance into permanent debt. 

Currently there are a ton of buyers pouring money into finding deals off market and it's tight any where in the country.

Tell them you are losing money and can't afford to let it continue.

Quote from @Brandon Morgan: If you screw up a deal with a friend or relative, you will lose money and the relationship.

My deadline to back out of my real estate transaction and get my earnest money back was Dec. 12.