Want to create an interactive transcript for this episode?
Podcast: Syndication Law & The Private Placement Memorandum Attorney
Episode: Choosing Between 506(b) vs 506(c) for Debt Funds: Real Estate Syndication Compliance
Description: Deciding between Rule 506(b) and Rule 506(c) under Regulation D is a fundamental step for fund managers launching a debt fund. Each exemption shapes how capital can be raised, who can be approached, and what compliance obligations must be met. Rule 506(b) is ideal for those with established relationships and allows inclusion of a limited number of non-accredited but sophisticated investors—making it more flexible in terms of verification, yet restrictive in how you market the offering. On the other hand, Rule 506(c) opens up the ability to publicly advertise, making it well-suited for those looking to scale quickly or...