Syndication refers to a group of individuals or business entities working together to achieve a set goal(s). In business, the goals vary. The most common goal is to acquire capital and use the combined power of the group in exercising that capital for a better than average rate of return.
This gets back to a basic business principle of the ‘whole’ is greater than the sum of its parts (members). Working together, the group is capable of greater success.
The following sections identify the five most common industries of syndication in business and illustrate how effective the syndication process works in that respective industry.
The syndication process in real estate is effective in building large multi-unit complexes especially in housing. Typically,