Over the past 6 years, Jimmy Atkinson and Andy Hagans accidentally became fund launching experts. Here’s our story.
Listen Now
About Fund Playbook
Learn how to launch your own private fund or real estate syndication with Fund Playbook. In each episode, Jimmy Atkinson shares insights on syndicating deals, raising capital, and entrepreneurship.
Subscribe To The Show
Episode Transcript Summary
Jimmy Atkinson and Andy Hagans, long-time business partners and friends, introduce Fund Playbook, a new show aimed at helping entrepreneurs launch and raise capital for private funds and real estate syndications. The show is not only a podcast but also a community where fund managers and investors can interact, ask questions, and learn from industry veterans.
Atkinson and Hagans describe how they “accidentally” became experts in fund launching and capital raising. Over the past six years, their experiences in the Opportunity Zone (OZ) space led them to build a deep understanding of fund formation, investor relations, SEC compliance, and fundraising strategies.
How It All Started
Atkinson shares a pivotal moment in his career that occurred in January 2019 at the first-ever Opportunity Zone Expo in Los Angeles. At the time, he had recently launched OpportunityDB, which later evolved into OpportunityZones.com. The platform aimed to connect investors with fund sponsors raising capital through the OZ tax incentive.
Atkinson initially worked alone, building the website and publishing content about the OZ program’s tax benefits and investment potential. However, he was unsure of the scale of the opportunity until he attended the Opportunity Zone Expo. The sheer number of attendees and the palpable excitement at the event convinced him that the OZ industry was poised for significant growth.
From there, OpportunityZones.com rapidly expanded. The company hosted virtual events, launched a podcast, and developed OZ Pitch Day, a platform where fund managers presented their investment opportunities to investors. Atkinson also created OZ Insiders, a mastermind group, and later expanded into the broader alternative investments industry with Alts Expo.
Our Move Into Real Estate
Andy Hagans, Atkinson’s long-time business partner, recalls how Atkinson’s deep dive into OZs initially surprised him. Hagans had spent his career in financial media and private equity but had not previously considered the alternative investment and real estate spaces. Over time, however, he saw the massive potential in the OZ market and joined Atkinson to scale OpportunityZones.com and Alts Expo.
Hagans’ passion for alternative investments eventually led him to launch Mastiff Equity Partners, a private equity firm focused on retail real estate assets. He credits his exposure to the industry—via interviews, events, and interactions with fund managers—with helping him gain the expertise needed to start his own firm.
Lessons from Alternative Investment Fund Managers
Through hosting events and producing content, Atkinson and Hagans interacted with hundreds of fund managers. They noticed recurring challenges that fund managers and syndicators faced, particularly when it came to:
- Structuring a fund legally and filing it with the SEC.
- Marketing their fund effectively to attract investors.
- Understanding how to properly set up fees and compensation structures.
- Navigating investor relations and compliance requirements.
The duo realized that while many fund managers were experts in their specific asset classes, they often struggled with the business and operational aspects of launching and running a fund.
Key Takeaways for Fund Managers and Syndicators
1. Picking the Right Asset Class and Investment Niche
The alternative investment universe is vast, encompassing real estate (multifamily, office, retail, industrial, etc.), private equity, infrastructure, and more. Even within real estate, there are multiple strategies—value-add, core, core-plus, student housing, senior housing, etc. Fund managers need to define their niche and focus on their competitive advantage.
2. Assembling the Right Team
Launching a fund is a multidisciplinary endeavor requiring expertise in:
- Fund structuring and legal compliance.
- Capital raising and investor relations.
- Financial modeling and underwriting.
- Marketing and storytelling.
The best fund managers don’t try to do everything themselves; they assemble teams with specialized skills.
3. Understanding How Fund Sponsors Make Money
Atkinson and Hagans emphasize the importance of structuring fees, carried interest (sponsor promote), and investor incentives properly. Fund sponsors typically generate revenue through:
- Management fees.
- Performance-based promote structures.
- Asset acquisition or disposition fees.
Understanding these structures is crucial for long-term success and attracting investors.
4. SEC Compliance and Filing Considerations
Many fund managers don’t fully understand the legal implications of their SEC filings. One of the most common mistakes is not knowing whether their fund is structured under Regulation D 506(b) or 506(c):
- 506(b) allows sponsors to raise money from an unlimited number of accredited investors (and up to 35 non-accredited investors) but prohibits general solicitation.
- 506(c) allows sponsors to advertise their offering but only permits investments from accredited investors.
Failing to file correctly can result in regulatory penalties, making legal compliance a crucial first step.
5. Raising Capital and Closing Investors
Many fund managers struggle with finding and closing their first investor. Atkinson and Hagans emphasize the importance of:
- Crafting a compelling pitch deck and investment thesis.
- Understanding investor psychology and risk tolerance.
- Leveraging existing relationships and building trust.
- Using platforms like OZ Pitch Day and Alts Expo to connect with investors.
6. Ongoing Investor Relations
Attracting investors is only the beginning. Maintaining strong relationships through transparent reporting, consistent communication, and strategic updates is key to long-term success. A well-run fund prioritizes investor confidence and engagement.
Fund Playbook: A Community for Fund Managers
The Fund Playbook show aims to provide aspiring and current fund managers with the tools, knowledge, and community support needed to succeed. The format includes:
- Live weekly episodes where viewers can ask questions in real-time.
- Community interaction to address real-world challenges fund managers face.
- Expert insights from Atkinson, Hagans, and industry professionals.
The show will cover topics such as:
- Selecting the right asset class.
- Structuring a fund legally and filing with the SEC.
- Crafting a compelling investment pitch.
- Raising capital and closing investors.
- Managing ongoing investor relations.
- Scaling a fund and developing long-term investment strategies.
Why We Livestream
Unlike pre-recorded podcasts, Fund Playbook is designed to be interactive. Viewers can participate in real time via YouTube, ask questions, and receive immediate feedback. The goal is to create an engaged community where fund managers and investors share insights and support each other.
For those who can’t attend live, episodes will be available on platforms like Apple Podcasts, Spotify, and YouTube. Additionally, an email address ([email protected]) has been set up for listeners to submit questions in advance.
Conclusion: A New Era for Private Fund Launching
Atkinson and Hagans wrap up the first episode by reinforcing their commitment to helping fund managers navigate the complexities of launching and scaling private funds and real estate syndications. They invite listeners to join the Fund Playbook community, participate in live discussions, and leverage their experience to streamline their fund-raising journey.
With a growing audience, deep industry expertise, and a passion for alternative investments, Fund Playbook is poised to become an essential resource for fund managers, syndicators, and investors looking to succeed in the private capital markets.
Next Steps:
- Join the live show every Thursday at 3 p.m. Eastern.
- Subscribe on YouTube and podcast platforms.
- Engage with the community and ask questions.
With an industry that is constantly evolving, Fund Playbook aims to be the go-to resource for fund managers at every stage of their journey.