Crowdfunding Lawyers

A Recipe for Syndication Success

July 24, 2019
A Recipe for Syndication Success

Your Recipe For Success

It’s always good to get a recipe from a friend that you KNOW is good. You trust that you can follow it and recreate that same, delicious meal in your own kitchen.

Like a coveted recipe, we have something we can share. It’s our knowledge.

INGREDIENTS for a Successful Syndication

  • Understand that it takes time to raise money.
  • Have an articulable plan for investors so they understand what it is they are investing in and why they’re investing.
  • Have an attorney draft your legal documents.
  • Be vigilant about communicating and reporting to your investors and providing proper updates.
  • Manage expectations appropriately.
  • Make sure your investors know when you are going to report to them, when they can expect to receive distributions, & when you plan to sell the property/asset.
  • Give reasonable expectations including timelines.
  • Follow up on all expectations.


There may be no oven to preheat, but we can say getting yourself ready for doing a syndication successfully is like getting the oven to that perfect temperature before you place your carefully prepared ingredients in to bake.

Having a plan that you can express to your investors can be likened to greasing a baking dish before you use it to bake. Make sure you have a plan and your investors know exactly what they are putting their money towards. Knowing how long something needs to cook is equally as important as knowing what to put in the recipe.
Pulverize the beans in a food processor. OK, wait. We’re not really pulverizing any beans here, but you do want to make sure you have your legal documents prepared as if you were adding the perfect combination, cut, and measurement of ingredients that allow for a “stir well” next step. Having that perfect combination, which includes a clear plan for distributions and advisement of all risk factors will ensure you’ve created the exact consistency you need to for your deal to “cook” perfectly.

Stir well and roll the mixture into balls, adding extra breadcrumbs if they don’t stick together well. Again, not really baking here, but you can think of this step where you are making sure your investors are given proper expectations so they know what to expect and when to expect it. Knowing how long the deal will cook, and when it needs to be “turned over or stirred” will really allow for your investors to know what timelines and expectations are reasonable and to expect. You want the fine details, the “breadcrumbs” of the deal, to be the right consistency to make sure it works and matches expectations from all parties.

Serve with communication, timelines, and follow up. It’s kind of like adding salt and pepper to taste. We all like a little seasoning in our food, and good follow up and communication with your investors will go a long way and make everything taste just right and keep them coming back for extra helpings!

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