Why are some people able to launch their own fund while others are stuck syndicating their deals on a one-off basis?

My name is Lance Pederson, creator of the Fund Launch Accelerator. I’ve helped over 200 real estate operators and private lenders over the past 12 years architect and form their real estate funds and was the Founder of a real estate fund administration firm that administered funds that constituted over $3B worth of high-net-worth investor capital.

I want to share with you a path for going from “not having a fund” to “having a fund up and running” in just over two months’ time. Once your fund is operational, you’ll be in a much stronger position to take advantage of the investment opportunities in front of you rather than having to try and raise the capital after you’ve committed to funding the deal.

A couple of days ago I sent out an email asking for your top questions about launching your own real estate fund and I was completely overwhelmed by the response. I wanted to shoot a quick video and teach you a little about the correct sequence of steps you must take to architect and launch your own fund or what I call the Fund Launch Blueprint.

Launching your own real estate fund isn’t as simple as people sometimes make it seem. It comes with its challenges. That’s why I’m going to demystify the process of launching a fund, which is going to save you a lot of time and the outrageous legal bills that tend to come along with it.

When I launched my first fund back in 2008, I didn’t know what to do… I hated the feeling of not knowing where to begin and then going round and round with a $750 an hour securities attorney who was more interested in waxing poetic about esoteric securities laws rather than helping me come up with a fund structure suited to my business needs.

What I discovered was after launching my own fund and consequently helping over 200 other real estate sponsors across the country launch theirs is that there is a specific sequence of steps one must take to ensure that the fund is structured properly so that it’s appealing to prospective high net worth individuals. This process was unexpected but worked really well, and that opened the door to laying the groundwork to tapping into other sources of capital such as registered investment advisors and family offices.

Imagine if you were able to launch your own discretionary fund with ease and without all the false starts and failed fund launches that are so common amongst real estate entrepreneurs.

This isn’t just my experience. I have a really powerful story to share about Ben Reinberg with Alliance. He paid a significant amount of money to become a Black Card member of a program offered by a well-known fund guru that promised to navigate him through the fund formation process.

After wasting months going round and round and getting nowhere, Ben was referred to me. I took him and his team through my proven step-by-step process and eight weeks later the fund was up and running and they acquired their first deal in the fund several weeks later.

After following this process, their life is much simpler as they no longer worry about whether or not they can raise the capital fast enough to take down a deal as the investor commitments are already in place. This strengthens their offers when competing with other buyers in the extremely competitive space of medical office buildings.

There are ten key steps to achieving this transformation using the Fund Launch Blueprint:

1. Nailing down your Unique Asset Acquisition Strategy
2. Defining the exact Target Investor Profiles
3. Choosing the appropriate Fund Structure for your strategy and target investors
4. Conducting Financial Modeling to determine the appropriate waterfall and fees
5. Drafting a Term Sheet that includes all of the salient business points
6. Drafting the remaining Offering Documents (PPM, OA, SA)
7. Finalizing your Management Structure and Compensation so that your splitting the pie fairly and equitably with your partners
8. Completing the Capital Raise Canvas exercise to shape your go-to-market strategy
9. Creating a Hero’s Journey Pitch Deck that will captivate prospective investors and get them to “yes” more quickly.
10. Crafting and executing your 90-day Fund Launch Plan that enables you to hit the ground running with a laser focus on the tactics that will truly move-the-needle

In this video, I want to dive deep into the various fund structures so that you can immediately discern which type of fund is right for you based upon where you are at in the evolution of your business. I call this Your Fund Flywheel. Much like most of us start riding a bike with training wheels and progress from there into bikes with larger frames, tires and an expanding number of gears, launching your first fund is no different. Your first fund will help you get your bearings and will propel you into launching larger and more complex and sophisticated fund offerings as your business grows.

More importantly, however, is that you will open yourself up to learning the other steps so that you can finally break through and build a platform that allows you to continually raise capital to take seize the opportunities in front of you.

So imagine for a second what it would feel like to have the discretion to do all of the great deals you dig up without having pitch them one at a time to investors. How much time would you save? What kind of impact would that have on your business not to mention your personal net worth?

Getting from syndicating your deals one-at-a-time to launching your own discretionary fund is absolutely possible for you. When you are able to act quickly to take advantage opportunities then you can grow your real estate empire exponentially.

As you can tell, I just love teaching others how to launch their own funds. I’ve been working with real estate sponsors, such as yourself, for over 12 years now and have received so much positive feedback along the way. Lately, I’ve gotten so many questions that I've decided to offer an in-depth training to share my insights and insider secrets with a much larger audience.

This training is going to be specifically on what I call the Fund Launch Accelerator. It's going to go deep on each of the steps I talked about above.

There will be 10 live weekly calls where we will cover one module a week. For each call, I’m going to provide you with in-depth training on the material, walk you through a simple process for how to execute the specific tasks required for each step and respond to your questions in the moment. You’re also going to get access to the recordings, downloads and additional resources to support your progress.

All of this so you can educate yourself about what is required to build your real estate empire using discretionary outside capital while putting yourself in position to architect, form and launch your fund efficiently and cost effectively on your own terms and when the timing is right.

Now, one important note… You don’t have to have raised millions of dollars and done dozens of individual deals before you start your own fund. The mistake many real estate entrepreneurs make is waiting too long to contemplate going the fund route and by that time their investors have become to accustomed to picking and choosing their own deals. They also miss out in tapping into other sources of capital such as registered investment advisors and multi-family offices that prefer pooled funds over syndicated deals due to the diversification they provide.

So join me. There’s going to be a limited number of spots in order to really serve each person who joins me.

It’s going to be coming out very, very soon. Watch your inbox for an email in the next few days when I open up registration for the Fund Launch Accelerator. I don’t know when I’ll be teaching this again, if ever but I can tell you that this is an opportunity for you to get more of my attention than anyone will ever get in this program.