When your firm is raising capital, you can employ strategies to include accepting investments from self-directed IRAs. Your firm might be a great fit if you are a private fund manager, a crowdfunding platform, a privately held company issuing stock and/or debt, a hedge fund, or venture capital firm.
The Midland family of companies is a leading custodial services provider in the United States focused on self-directed IRA accounts, custody solutions, and 1031 exchanges for real estate investors. Since 1994, Midland has prided itself on being the most responsive company in its industry by providing personal service representatives to each client and driving efficient operations across the firm.
The culmination of your efforts is the launch of your offering. Here are some resources that can help support you in this stage:
CAPITAL RAISE GUIDE
Our Capital Raise Guide is the industry standard that investment advisors, fund managers, and real estate investment firms rely on to understand exactly how to increase their investor base through self-direction. In 12 pages, it explains how anyone with a retirement account could use these IRA funds to invest in your offering.
INTERVIEW WITH LAURA SAVINO
We spent time talking with a leading expert in creating your fund's brand, finding ways to target high net-worth investors (HNWIs).
Onboarding acclimates your investors to your offering. What does your current process say about you?
Use this 3-step process to evaluate your systems:
STEP 1: Draw out your onboarding process.
Your onboarding process has a workflow, whether intentional or not. The first step is to draw it out on a piece of paper or a whiteboard starting with the phrase “Investor is ready to sign.”
STEP 2: Define where there are handoffs.
Take a new color and mark big lines when the process leaves one person (if you are a small shop) or department (if you are larger) and goes to another.
STEP 3: Identify what is mandatory and what is secondary.
Use your diagram of what happens in each step of the process and define what is mandatory to get your investors on board. These all go in the bucket called “Mandatory.” Then, create a path to allow for follow-up on the non-critical items in a second-level process.
Click here to view more information for improving your investor onboarding process.
ONEPATH FOR INVESTMENT SPONSORS
Investment sponsors supply Midland with their investment documents. Midland will then create a personalized OnePath link specific to their investment offering. As Investment Sponsors direct their clients to this link, clients are rewarded with a simple, turn-key solution to completing all requirements at the same time! No more back-and-forth communication as to the “next steps” in the process.
SET UP A NEW INVESTMENT WITH MIDLAND
To set up a new investment, simply fill this Midland form out before onboarding IRA investors. This form helps us better understand the nature and expectations of your investment.
Visit our cornerstone page to see all that goes on after your investors are on-board with Midland. We use world-class systems and balance our technology with the best representatives in the self-directed service industry.
In the course of supporting hundreds of investment advisors each year, we have heard some of the other areas where you would like support. Click the links to learn about the services we offer.
PRIVATE FUND CUSTODY & DOCUMENT CUSTODY
Midland Trust Company is a qualified custodian that offers private fund custody solutions, adding both transparency for investor confidence and separation per the Custody Rule.
Midland also provides custody of documents such as stock certificates, preventing you from having to re-register assets and maintain cash custody or payment processing.
Our recording-keeping and administrative solution for private fund managers.
(and the solutions we offer)
Midland Solution: By using just Midland for all of your self-directed IRA clients, you give your staff a consistent and familiar process and custodial staff to work with who they will get to know and trust.
Midland Solution: We give you one deadline, track down investors, and ensure all paperwork is completed, thereby eliminating your hassle of tracking down FMVs for each client. If you would like to submit them on behalf of your investor, we work directly with you, and we have one point of contact for you who can handle all investors within your holding.
Midland Solution: We do not use a call center, so you will speak directly to your contact or a member of their team. Your firm will be handled by staff that knows you, your investment and your client. Our process is transparent and we make sure you always know where your clients are in the funding process, enabling you to gauge cashflow.
Midland Solution: For some investments, clients can apply using Midland OnePath - the most powerful online investment tool in the industry. You send us your paperwork, we then set up your asset on our platform, and clients complete the application and investment packet at the same time, thus simplifying the process for you and your clients.
Midland Solution: We allocate any distributions with just one wire and instructions from you.
You can provide an Asset Information Form to use before any investor even comes on board. It allows us to pre-fill your fund information on our end. When your first (or 100th!) investor goes through the online application, they will provide your name to us and we will connect them to the records we have already set up with your information at the ready.
"I do business with Midland because they make it easy. I don't have to worry about anything ever."- Ben H., Manager at Venture Capital Firm
"Midland lets us send the equity distributions in one lump sum. We send one wire a month with a spreadsheet and they do the work."- Paula L., Partner at Private Equity Firm
"Midland understands how to deliver a positive customer experience by being problem solvers for both the fund manager and our clients."- Julian S., Fund Sponsor
"Midland makes it all seamless. They do darn near all the work and they are easy to work with."- Libby G., Manager of Hedge Fund
"My clients and I both use IRAs for investing because we're looking for assets that are high yielding, more income-generating or have better returns than the standard investment options, and Midland can custody those alternatives."- Thoms C., Director at Private Operating Company
"Allowing investors to use their IRAs was one of the smartest things I did because out of the gate, we raised more capital. IRAs allowed me to get the fund launched."- Ted P., Real Estate Fund Manager
"Midland understands how to deliver a positive customer service experience by being problem solvers for both the fund manager and our clients."- Don L., Partner of Real Estate Investment Firm
"Midland really differentiates itself in how it interacts with investment sponsors. They do an amazing job interacting and communicating with me as the head of the capital raise so I recommend Midland because they make my life easier."- Todd F., Investment Sponsor
Please let us know if you have any questions.
Feel free to contact us.