I want to tell you a story about a syndication deal I put together, and how right at the very end, $5.2 million completely disappeared. I know: I still can’t believe it myself, but it happened, and it offers a very important lesson that every syndicator should know before they get into this line of work. Here’s how it went down.

Many have heard the term preferred return but I believe that it is often misunderstood.

Way back when I was trying to raise money for my first deal, a guy I barely knew told me he wanted to be my first investor…and he gave me twenty-five cents. If only all my fundraising had been so simple.

Let’s assume that you’ve decided to take the leap into syndication, and you want to sponsor (lead) a deal. That means you need to find a property, assemble a team to assist you with the many complex parts of the process, and meet investors who want to come on board.

As long as you expect to do another syndication or raise money for any other endeavor, you will always need to present yourself appropriately. Sure, one day, you may reach a point where you’re completely done doing deals—as in, you’re ready to hang on until your existing properties sell, put the money in the bank, and live off of it the rest of your life.