Question 7.A.21: Can you think of at least two possible disadvantages of synd...

Can you think of at least two possible disadvantages of syndication for a business angel?

The blue check mark means that this solution has been answered and checked by an expert. This guarantees that the final answer is accurate.
Learn more on how we answer questions.

The possible disadvantages are:

■ greater complexity of deal structures
■ peer pressure
■ disputes within the syndicate
■ domination of the group by a single individual
■ the need to comply with group decisions.

You may have thought of others.

Related Answered Questions

Question: 7.RQ.4

Verified Answer:

A business should have owners who are: ■ committed...
Question: 7.RQ.3

Verified Answer:

An offer for sale involves an issuing house buying...
Question: 7.RQ.2

Verified Answer:

A listed business may wish to revert to unlisted s...
Question: 7.A.22

Verified Answer:

The most likely opportunities are where a business...
Question: 7.A.20

Verified Answer:

The advantages include: ■ sharing of risk ■ poolin...
Question: 7.A.19

Verified Answer:

By having a greater understanding of what is going...