Tilden Moschetti: If your
syndication team or investment

fund team has more than just you
working in it, it's probably

helpful to think about roles and
responsibilities, who should be

doing what to make sure that
there's not some problem down

the road that ultimately is
probably going to impact your

investors. If you guys can't get
along the sponsors, and the

managers can't figure it out,
then it's going to trickle down.

And there's going to be problems
for your investors, which could

make your whole situation a lot
worse. So why not deal with

those things upfront? In this
video, we're going to go through

the seven different main
categories of roles and the

responsibilities of them to site
give gives you a place to start

thinking about them, to give you
a place to say okay, well, maybe

this person should be
responsible for this or this

person should be responsible for
that.

My name is Tilden Moschetti. I
am a syndication attorney. I

help a bunch of syndicators,
investment funds, put together

their legal documents and form
their investments, right. So put

together those syndications and
those funds. as I go along the

way, I see a lot of different
teams come together teams of two

teams of five teams of 10. When
I see that one thing, I'm not

immediately think if it's more
than one person is we might have

some sort of thing where we want
to identify the roles and

responsibilities early so that
the syndicators can do their job

better to make them so more
confident in what they're

supposed to be doing. So that
neither, nobody gets mad at

them, right. I mean, at the end
of the day, we just all want to

do the best we can we want to
make the most amount of money

for ourselves certainly make the
most amount of money for our

investors, so we keep getting
investments from them, so we

make more money for ourselves.
We can help that process by

identifying what the roles and
responsibilities are between the

team members. And I've also done
a number of syndications for

myself, I've worked with a
number of teams myself, let me

tell you, the teams that I've
been in where we did not define

a clear set of roles and
responsibilities, something

always happened, something where
people felt like they were being

taken advantage of or people
were not doing the right job, or

whatever it was. Setting those
things up early, is what I do

now all the time, if I'm going
to be in a team, and you should

think about that, too. So let's
go through exactly what kind of

categories I think are useful
for you. When you're setting up

a team, there are seven of them.
One such role and responsibility

that I think is useful to go
through is investment and

finance. This is a syndication
or investment fund. So

obviously, finance investments
are very closely coupled with

exactly what you're doing. So
this in this category, what

we're thinking about are things
like acquisitions, how are you

going to determine if something
is a good buy or not? Due

Diligence? How are we going to
make sure that it's a good buys

so that something doesn't fall
through the cracks, something

that we're buying is actually
what we're buying, looking at

the portfolio as a whole, if
you're buying an investment

fund, and everything's
identical, you're not getting

the benefits of diversity,
you're not getting the benefits

of different kinds of assets,
which could lead to better

results with lower risk. Acting
as the Chief Financial Officer,

the one who really is in control
of the money also goes into this

category. Also, in this category
is risk manager, like

identifying what risks there are
to the investment. It's not

always things that come out of
due diligence, it might be

governmental, it might be things
that are just happening locally.

If it's a real estate deal,
maybe it's something that's

happening in the property
itself, and you need to get

insurance for it to cover that,
that risk. And lastly, is that

Exit Planning. So who was going
to make the kind of

determination that really, maybe
it's time for us to make the

sale, maybe it's time this is
when we can make the maximum

amount of profit for our
investors and ultimately for

ourselves. The second category
is investor our Investor

Relations, investor relations,
not only is the talking to

investor bit, but it's acting as
a point person for investors to

come to. Now, most of the time,
this person is also involved in

the sales process. They're the
ones who's actually raising the

capital. They're going out to
the market, they're making sure

that those investors are there,
and they might have multiple

people on your team who do this
role. At the end of the day, I

would recommend that you also
have one person who's the key

contact. This is the key person
who investors can ask questions

to if they have them. They may
be responsible for also the

communications to investors
writing out those quarterly

emails to update them. And that
will invite more people to

communicate back in, I think
it's helpful for investors to

know, okay, if there's a
problem, I talked to this

person. So the investor
relations role is pretty wide.

But it also is a critical part.
So not only is it the capital

raising, that's absolutely
fundamentally critical. But it's

also those other things, making
sure that you have that key

contact person. Another key role
that's in a lot of syndication

and investment fund teams, is
that operational and project

management. So if you're doing
anything more than just buying

specific properties and selling
specific properties, there's

probably something that's going
on, on their assets that need

some sort of coordination and
some sort of work. If not,

there's definitely still some
things that happen with your

team. Right. So there's multiple
pieces to this. So part of your

operations might be the portal
software that you're using, you

know, making sure that every
investor can log in making sure

that all those things are there.
But also on is this Project

Management site. Now, long ago,
I had a project management

background, I was a certified
project manager. And actually,

it is a fundamental way to make
sure that projects follow

through very specific steps, I
would suggest that you adopt

that same kind of methodology
that's built into into project

management, to make sure that
your projects go the way they're

going. Now, that project might
look something like rehab on a

building, or the m&a on on the
purchase of a of a of a business

or something like that. Or it
might be just as simple of, Hey,

how are we going to make sure
that the marketing communication

for the sale goes out because we
decided we want to do a vote. So

there's multiple pieces,
different kinds of ways this

comes in. But the focus of this
kind of role, or these kinds of

roles is that operational and
project management side, another

function that's useful, and it
may not be just, it may not be a

whole person, it might be just
delegated to one of the other

people within your team is
compliance and legal. So

obviously, as a lawyer, that's
what I care about a good luck,

great deal. But it's also making
sure that those blue sky filings

are getting served, making sure
that the documents being

prepared by your syndication
attorney are are prepared

correctly and in the right way.
And in a way that's useful,

making sure that everything
looks right and that all the

kinds of reporting that needs to
go on for your syndication

happens in the timely manner.
They may also be interested in

well, when is when are tax
filings due? And when is the k

one Do they may work with the
finance person in order to

ensure the taxes are done on
time or as best as you can? So

that compliance piece really
make sure Okay, as a team, are

we doing everything that we need
to do in order to be compliant.

A lot of times you'll bring in
outside counsel like a

syndication attorney like
myself, in order to make sure

that all those things happen. In
my I also coordinate with an

accountant who specializes in
syndications or investment funds

or real estate or what have you.
Another key role is accounting

and bookkeeping. Now, this to
many of us is not the most

glamorous role, but a lot of
times that has fallen on me. So

I do recognize that it is there.
And I recognize it's a lot of

work. So the accountant and
bookkeeping role is very

critical to a syndication, I
mean, picture this, you have an

investor who gave you a really
large amount of money

100 200 300 A million 1000 A
million dollars. I

mean, that's, that's not
uncommon, by me saying 100 200 I

mean, 100,000 200,000 300,000
million dollars, it's a lot of

cash, they need to know that
their money is being treated

properly, you need to know that
the books are being kept in the

right way. I have investors in
every single deal that I do for

myself, there is going to be one
or two people that want a lot of

detail on those books. And they
should have it you should be

able to get a call from from an
investor requesting a copy of

the general ledger and send it
to them right away. What does

that do? It builds trust, which
means that they're likely to be

investors again in the future
because they see not only are

you doing everything by the
book, but you're so responsive

that you can provide those at a
heartbeat because you care about

their money and the and the
custody of it. One role that's

oftentimes overlooked is a
tenant relations and you can

think of it as a Human Resources
role. So human resources role

would be something like as is
everybody on the team working in

The best way possible, if we
have contractors or if we have

other employees, are they being
treated in the right way? Are

they on boarded properly or off
boarded properly? Are we making

sure money is happening in the
right way for them? Those sorts

of things. But also one thing
that is oftentimes overlooked is

tenant relations. Now, if you're
doing a real estate syndication,

more likely than not and lessons
development, you have tenants,

the tenant role the care of
tenants is different than the

care of investors, the person
who cares about the the feelings

in the business, and all those
things at the tenant are

probably not the same as the
investor relations person. Yes,

you can combine them, but it's
oftentimes not, oftentimes, it's

not the best place. Because if
you have tenants who are looking

up, you know who you are, and
what you do, if you have

somebody who's just in the
investment relations section,

doing tenant management, the
tenants not going to feel that

you've got their best interest
at heart. Now, granted, you

don't actually have their total
best interests at heart.

Ultimately, you care mostly
about your investors. But good

tenant relations is also very
fundamental. We want them to

know that you're there and that
you're listening to them. And

not just whatever for the sake
of investors, right. That builds

trust and loyalty amongst those
tenant, which really is the

lifeblood of your fund. If
you're doing a real estate fund,

that's not development. So those
are the seven key different

roles and responsibility
hierarchy that I see those seven

different categories, apply in
every syndication, you should

think through those and decide
whether or not they make sense

for you, and how you're going to
solve the specific problems

within them. Who's going to be
responsible for them? Now,

obviously, if you're working for
yourself, you're doing all of

those. If you're not working for
yourself, they have it's not

just one of you, if you've got
two people, or you've got 100

people, well, 100 would be very
big. But if you've got more than

one, it would be it's you need
to have this conversation about

exactly who's going to be doing
what the reason is to make sure

that feelings are happening
properly, that roles are getting

taken care of that nothing is
getting missed, and making sure

that everybody also feels good
about it. I've been talking a

lot about feelings in this
video. And I understand that the

some of you may be why is he
talking about feelings, this is

a very logical thing. And it is.
But at the end of the day, we

are emotional creatures. If you
feel like you're getting

slighted, you're not going to be
happy and that not feeling

happy, is going to translate to
not making as much money for

your investors, which is going
to translate to not making as

much money for you. My name is
Tilden Moschetti. I am a

syndication attorney. And I know
these things because I've also

got the experience of having
done deals myself, having put

these things together, working
with teams myself in the

trenches, having the arguments
over roles and responsibilities.

Now I'm sure I can help you if
you're putting a Regulation D

offering together under Rule 506
B or 506 C I welcome your call.

Let's talk about your project
and see what I can do for you