Crowdsourcing/Syndicate Developments

Discussion in 'Development' started by Jonril, 21st Aug, 2015.

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  1. Jonril

    Jonril New Member

    Joined:
    23rd Jul, 2015
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    Location:
    Frankston
    http://citiniche.com.au/

    Has anyone looked into crowdsourced developments? Can this be a thing that will work in the future?

    I guess it operates similar to a syndicate, but with a level of anonymity?

    Is there value here for investors or is it a spruik/pipedream?

    Happy to hear opinions/experience.

    Cheers,
     
    Jonril, 21st Aug, 2015
    #1
  2. Simon Hampel

    Simon Hampel Founder Staff Member

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    Sydney
    Depending on how it is structured, you do run the risk of such a venture being classed as a "managed investment scheme" and thus falling under the regulation of ASIC.

    If this were the case, you certainly couldn't advertise it online - not without a full PDS being made available and all the usual disclaimers required by ASIC being in place.
     
    Simon Hampel, 21st Aug, 2015
    #2
    ARC and Terry_w like this.
  3. Jeffb

    Jeffb Well-Known Member

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    13th Jul, 2015
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    Location:
    Melbourne
    Yeah, looked into this a while back. From what I know, syndicate is maximum 20 investors. Whereas crowd funding can have heaps more. I found a lot of information on estatebaron website.

    Seems a lot of development companies offer investment opportunities as funding
     
    Jeffb, 21st Aug, 2015
    #3