Dani Lynn Robison uses a simple pay structure for syndications instead of complex waterfalls and hurdle rates. Investors understand exactly when and how they get paid, which builds trust and cuts through the confusion that makes people suspicious of hidden fees.
I think that's just a better model overall because it's simple and easy to understand because usually you're looking at a syndication and you're looking at hurdles and waterfalls and the normal person is going, what? How do I— if this happens? Yes.
And by the end they're like, I don't—
I'm not sure if I got paid what I was supposed to get paid, but it certainly wasn't what I thought I was going to get paid. And they're just so confused. And so we just make it really, really simple and understand, hey, if we win, you win, but you're getting paid first. And I think a model like that is I don't know. It's just a better way to go.
The more simple something is, the more trusting it is. You know, people think you're not trying to screw them. It's like, no, you get paid this. This is what it is.
Yes.
This is what you're buying. If you're buying a product like— yes, that's it.
Physicians and High Earners — What Real Estate Can and Can't Do for Your Taxes
