Introduction Fee Means Form

Instructions and help about Introduction Fee Means

so if you're trying to raise capital for your  investment project generally you want to get it   done as quickly as possible and oftentimes you're  wanting to work with your friends, relatives,   but not just for them to invest but for them  to be able to refer their friends and their   network to help you fund your  project. And we are always asked  'well— can we pay them?'  And the short answer is 'no, unless...' There are restrictions on paying a commission,  a percentage of what gets invested,   that's really limited to broker-dealers. However, you can work with people to be 'finders.' What a finder means is they can deliver to  you prospective investors but they don't   participate in the investment presentations;  they're also not receiving a commission. However, you can pay a finder's fee   for an introduction and that's generally a  flat fee based on the introduction alone. And regardless of whether or not that investor  actually contributes funds and i