Syndicates are SECURITIES and MUST BE either registered or exempt from
registration under Federal and state law. GET A LAWYER and NOR a
finder
to help you.
SteelVEST
I believe that under "Regulation D" of the Securities Act of 1933, as
well as under other legislation, arrangements like these can be
exempted.
>From the research I have done, bringing investors together for a
venture of such does not constitute an offering of securities if:
1. the offering is limited to a single state or territory
2. residence of syndicate entity is within a single state
3. partners are residents of that state
4. the entity is established for one purpose (investing in a single
property in this case)
Not to mention the fact that I was only talking about 5 to 10 investors
who share a common interest, as opposed to some syndicates and joint
ventures that have over 100+.
Aside from this, state rules and regulations can still apply in some
jurisdictions. I first plan to consult with an attorney in this field
before doing anything, so don't worry.
Thanks to anyone who has replied.