Syndicates

A syndicate is a temporary alliance of people that joins together to manage a large transaction, which would be difficult, or impossible. The so-called SPV (Special Purpose Vehicle) is composed of private investors or funds that invest in one project under one entity. This method is well-established in the world, but it is not yet widely practiced in Greece. Someone must take care of the syndicate legally and procedurally. We do this within Bien Syndicate and offer our investors complete syndication, including property development, management and reporting.

It is necessary to realize that the syndicate allows for minority investor to join, but it is not possible to do it without the so-called Lead Investor. He invests the highest amount and is committed to do due diligence, project management and monetize the strategy.

Syndication allows you to create a diversified portfolio of investments. E.g. let's say you have € 100,000 at your disposal. If you invest individually, the money would cover your investment in one property. If you syndicate, you can invest 10K in 10 different projects with different strategies, which is a sufficiently diversified portfolio to spread your risk and have a better chance that you will not lose money.

The syndicate simplifies the financing process, so you can spend less time on administration. It is also beneficial for sellers because it simplifies their financing process. Bien help create the syndicate procedurally and legally, thus simplifying your life and saving you time.

Another benefit that syndicates bring is, in addition to mitigating risks, is peace of mind. These "smaller investors" don't have to worry about their investments at all, because Lead investors have proven results and are accredited in exactly this type of process. This helps to invest as easily as possible.

The syndicate is a great opportunity to establish contacts with other successful investors who have a passion for investing, and you can learn from their experience. You will also see a lot of business deals, and you will start learning what a great opportunity looks like (versus a riskier), what a development process is exactly and what actions are needed to source great deals etc. You can also review the due diligence. This will give you a great overview of why some projects are better than others.

In order to create a syndicate, an SPV (Special Purpose Vehicle) usually needs to be created as well. Usually this has costs of processing, establishment, legal services, administration, transaction documentation, administration etc. Bien has managed to minimize these costs and thus made the syndicate process available to smaller investors.

In case of interest of more minority investors or we find an investment opportunity that can be interesting for us and our investors, we launch a Bien Syndicate. We establish intended exclusively for the investment project. The onset of syndication depends on how quickly members agree. These syndicates are accessible to members of our Bien Investor network.

The syndicate can be exciting and it's a great way to invest. But it's not a walk in the park. That's why we cover the whole process legally and procedurally, thus minimizing your risk. Syndication itself has more advantages than disadvantages, but it depends on what type of investor you are and what suits you. In any case, it is important that you carefully consider your goals and decide accordingly which type of investment is best for you