Do any of you place ads in the paper for private money or advertise in other ways? How do you do it and not break the law? Is an ad seeking “business partners” acceptable as opposed to “private money” or “investors needed”?
I have read many articles saying to put an ad in the paper, but the ads tehy suggest go against the SEC.
You can advertise to the general public so long as you comply with SEC regulations. It might be worthwhile to spend some time with a securities attorney to vet your ads. The best type of advertising for private money IMO is word of mouth.
Are you speaking of people who have money to lend or those who are in need of it? How is advertising either possibly illegal?
I am referring to advertising to find people with money to lend to fund the purchase/rehab of investment properties. From what I have read it is illegal to advertise for this unless you have gone thru the proper channels to do it legally. I was just wondering if there were any loop holes or creative ways to attract potential private money lenders without breaking the law.
You are correct. What you propose falls under the jurisdiction of the SEC. There are courses on private lending that detail how to advertise to the general public.