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Reg D 506(c) Syndication (Act as the GP)

Raise capital from accredited investors publicly — sponsor RE/business deals with LP money, keep 20–30% carry.

Overview

SEC Rule 506(c) allows general solicitation for private offerings LIMITED to verified accredited investors. Sponsor structures LLC (deal SPV), acts as GP/manager, raises 70–85% equity from LPs, contributes 5–15% co-invest, and takes a 1–2% acquisition fee + 8% pref hurdle + 20–30% promote above hurdle. Turns $100K co-invest into control of a $5M+ deal. Requires PPM, operating agreement, subscription docs, third-party accreditation verification (VerifyInvestor).

Best fit
Experienced deal sponsorsRE operators scaling beyond own capitalFund launchers
Estimated impact
5–15× capital leverage + 20–30% carry economics

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