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Syndication Formula, Asset 1 million, Find Deal - Coggle Diagram

- - - - General Partner manages Limited Partnership
        
        General Partner
      - Investors Buy in
      - LP
        
        LP
        
        LP
      - Buys Assets
        
        Assets Make Money
        
        Split Between GP/LP
      - PPM
        
        LPA
  - - - Investors
    - - Management
    - - Private Placement Morandum
        
        Operating Agreement
- - - - Pitch Investors
        
        Set Up Legal Docs
- - - - Lose on deal 100%
  - - - Majority holder gets paid out completely all 500k
        
        150k remaining
- - - - Investors Have 49-80% ownership available pro rata
        
        Investors take 49%
        
        Put in 50%
        
        24.5% equity
        
        You take 51%
        
        EX. at 60% investor inputs 50% of capital
        
        30% equity of LLC
        
        EX. at 80% investor inputs 50% of capital into
        
        40% equity of LLC
        
        20% Put Captial
    - - Operating Agreement
        
        Investors are full members of LLC knowledgeable and understand business operation and they are just as liable as I am.
        
        Equal Voting Rights and power Based off of equity in Business
        
        They essentially can get together and push us out
        
        Protect yourself through Operating Agreement Can say no person can be voted out unless you have 81% Vote.
        
        Hamster wheel of syndication great to make some money hard to scale you.
        
        1 more item...
        
        Fund You are manager and they are investors aka silent partners
        
        Easier to scale when investors are limited partners you dont have to raise money multiple times