How to Add Money to a Hard Money Fund
When someone gets into a Hard Money, they often wonder how the system works.
Lenders have a separate subscription account. They deposit money there. It is like a holding account.
If someone put money in the fund and it isn’t working, it dilutes the yield for everyone. Bill and Wendy use the money and pay 8% when they use it. Then on the quarter, that money goes into the regular fund.
When you join a Fund, you become a member in an LLC.
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