b'For example, your fund objective could be, We expect to acquire up to 4 properties, each of which will require investment of $2M-$3M, so our maximum fund goal is $12M.Its better to fully subscribe your fund; close it to new investors and start another than it is to aim too high and never reach the maximum. If you build each successive fund larger than the one before, you will be building a track record that will boost your credibility as a fund manager. When investors ask, Have you done this before? Youll be able to say, This is our second fund; the previous one is fully deployed. That sounds a lot better than saying, We have a $50M fund, but weve only raised $5M so far. Another strategy is to do a smaller fund, but retain the option to extend it. For instance, you could create a $2M fund with the option to extend the maximum offering amount to $5M. That way, if you only raise $2M, and decide not to extend it, you still have a successful $2M fund. But a fund with a $5M stated maximum that only raises $2M looks like a failure.Dont Raise More at One Time Than the Fund Can Deploy Within 3-4 Months Even with a fund, you will only raise money when you have a place to invest it. Its dangerous for a fund to have too much cash in the bank that isnt generating a return as it dilutes the returns to all investors. Investors will typically allow a fund manager 90-120 days to put their funds to work before they expect a return on their investment, or a refund. If you havent invested their money by then, you may have to give their capital contributions back without deduction. One way to mitigate this is to 128'