Tilden Moschetti: Okay, so now
you have your syndication put

together, you've got your PPM
your operating agreement, the

subscription escrows underway,
you've marketed the investment

and have those conversations.
You've pitched it. And now you

have some interest. So what
next? How do you get the money

from the investor who's
interested into into the bank

accounts so that it can be ready
to close? In this module, we are

going to show you how to do that
step by step. And we call that

latching investors. So latching
them into your syndication.

All right, so let's talk about
latching your investors to

syndication. Now, in this
discussion, I'm going to assume

that you are doing a 506c, the
only difference between a 506c

and a 506b is a 506b doesn't
have the third party

verification of accredited
investors. And so it's a little

more, there's a few more steps
with five or six seats. So

that's why we're going to use
that as our model. So let's go

ahead and switch to our
whiteboard. All right, so what

is the first step? So we have an
investor who has now said to you

that they are in it for $200k.

So investors interested in
investing $200,000. With you,

this could either be a soft
commit or a firm commit, I would

probably it depends how you want
to categorize it. I like to

categorize this as a soft
commit. Because I've gotten just

sort of a verbal word, we
haven't gone through the

accreditation process. I don't
like firm commits, until it's

much more like we're setting up
getting ready to wire that

money. What amount I should put
on the subscription agreement.

So I like that being the firm
commitment. Your mileage may

vary. So to me, this is a soft
commit, I'm in it for $200,000

The next step is to get them
accredited.

Now, we do this with AWS, we
discussed almost always it's

it's a smart move a third party
verifier. We do that through a

third party verifier. So what
they will have at the end of the

day is someone else's taking
their own independent objective

view of this person and decide
whether or not they believe it's

a, they are an accredited
investor. So if it ever becomes

an issue of well, did you do
your due diligence on your

investor to see if their third
party use it can say yes, I have

I used a third party, which is
what will matter. So they're

going to look at them in one of
four different mechanisms. So

they are going to let's just
move this

they are going to look at them
under the income test. So

they're going to see Do they
have the right amount of income?

$200,000 of income, or $300,000?
If it's joint, if it's the

husband and wife doing it? Do
they have the ink? Do they meet

the income requirements? Or do
they meet the net worth

requirements? Is that $1 million
of net worth? Is that what they

have not counting their house or
primary residence except are not

counting any of asset of it,
except if it's underwater, then

we have negative equity. We've
discussed that before. So do

they have the net worth that
meets that? Or do they have this

is the way I like to do it
because it's the easiest. So I

like to make sure that they know
that they can do this almost any

third party verifier will let
them do this a letter from a

professional. Now that's to be a
professional with knowledge

about their financial situation.
So we're talking their tax

accountant, their CPA, their
lawyer, their money manager,

things like that somebody who
has actual knowledge of whether

or not eight would be a third ay
ay, ay, accredited investor or

number four. And because of new
legislation, do they have a

securities license

which is now allowed to qualify
people to be a credit investor.

So under one of those four
things, hopefully one of those

is true. If it is true, the
third party will come back and

they will issue a certificate.
Normally, these certificates are

only good for like 90 days. So
you want to do it, you know,

within a reasonable timeframe of
taking their money

right. So they issue a
certificate, now you have a real

accredited investor. So, the
next step after that is now it

is time to go to the
subscription agreement. Now

you've already prepared it. And
they should have already told

you whether or not they their
attorney has reviewed it, or

however they want to review
should review it before you go

through the accreditation stage.

So now, there's this the the
subscription agreement, alright,

so they, they review it, they
sign it. And now they the next

step is very simple. They sign
it first, the subscription

agreement first. Now they wire
you the money to your bank.

And, and now the money's there
you verify it's there. And then

you send them, you sign the
subscription agreement. saying

you've verified that it's there.
All is good. Now let's talk real

quick about, about whether it's
your bank or an escrow, this is

up to you, I haven't found a
need in deals that I've done to

have investors wire money into
an escrow account in order not

just they just send it to me,
you may find that it in some

areas, it may just be easier to
give that money to an escrow

company and have them hold on to
it. I haven't found that to be

an issue. But I have a good
reputation and the people who

invest with me they either have
known me or they come in by

referral or something they're
not strangers so they know who I

am. So I haven't had that
problem before. I also have a

license so I have a lot to lose
if I was to do anything bad. So,

but you may find that it's
easier or it's more marketable

to not have them put it into
your bank account, but have them

send it to an escrow that is for
you know, really whatever you

think is going to work the best.
So, that is how we do those next

steps. So, in the next module,
we are going to walk through

those very last steps of now
taking that money and closing

the escrow and those things that
still need to get done in order

to to finish off this part of
the the syndication, the whole

launching of the syndication and
then basically move it into

orbit and that will that will be
after this next module.