Syndicates are transforming how individuals and institutions invest in high-potential opportunities. Whether you’re a first-time investor or a seasoned fund manager, understanding how Syndicates work—and how to use them effectively—can unlock unique access and attractive returns.
Watch: What Is a Syndicate?
Get a quick, visual breakdown of Syndicates in this explainer video:
What Is a Syndicate?
A Syndicate is a type of SPV (Special Purpose Vehicle) created to invest in a single asset with a unique structure. Unlike a traditional SPV, a Syndicate is led by a specific person or team—the Syndicate Lead—who manages the investment process and invites others to co-invest.
The Lead usually brings distinct advantages, such as:
- Access to exclusive deals
- Deep sector expertise
- A strong investor network
In return, the Lead often earns a performance fee (or “carry”), a share of profits if the investment succeeds.
Example: Startup Investment via a Syndicate
Sarah, an experienced angel investor in Southeast Asia, discovers a promising fintech startup. Using the Auptimate platform, she creates a syndicate and invests $50,000 of her capital.
She invites 10 others to invest $10,000 each. As the Lead, Sarah:
- Performs due diligence
- Negotiates the investment terms
- Oversees progress
She charges a 15% carry, earning only if the investment performs well. When the startup is acquired at a 5x return, her co-investors receive their gains, and Sarah earns 15% of the profits, rewarding her efforts and insight.
Who Uses Syndicates and Why?
- Access exclusive startup deals
- Diversify by investing in multiple Syndicates
- Pool capital to improve deal leverage
- Earn performance fees by leading Syndicates
- Build a public investment track record
- Offer actual deals to potential LPS
- Earn carry without the complexity of managing a full fund
- Co-invest in deals beyond fund mandates
- Share access with trusted networks
- Lead niche investments
- Maximise returns through co-investment opportunities
- Retain deal-by-deal decision-making
- Co-invest with experienced Leads
What Is a Syndicate?
The Angel Syndicate is a digital-first Syndicate platform built by Auptimate to streamline deal structuring and investor onboarding.
Key Features
- Customisable: Tailor structure, fees, and terms
- Fast: Launch in minutes, not weeks
- Fully Digital: Incorporation, compliance, documents—all online
- International: Commonly based in Singapore, with support for global structures
Introducing Comet: The Syndicate Lite Solution
For deals under $100K, Auptimate offers Comet, a streamlined version of the Angel Syndicate built specifically for leaner investments.
Why Use Comet?
- Simplified Setup: Optimised for fast execution and lower costs
- Same Digital Infrastructure: Built on Auptimate’s secure, fully digital platform
- Ideal for:
- Small syndicates
- First-time Leads
- Experimental or early-stage deals
Angel Syndicate vs. Comet: Key Differences
|
Feature
|
Angel Syndicate
|
Comet (Syndicate Lite)
|
|---|---|---|
|
Target Deal Size
|
$100K+
|
<$100K
|
|
Structure Customization
|
Highly customisable
|
Streamlined preset options
|
|
Incorporation Time
|
Minutes
|
Minutes
|
|
Carry Structure
|
Lead-defined (typically ~15%)
|
Simplified/Optional
|
|
Suitable For
|
Experienced Leads, institutional co-investors
|
Emerging Leads, micro-deals
|
|
Up to 20 (typical for smaller deals)
|
Suitable For
|
Suitable For
|
Syndicates are transforming investing by making high-quality opportunities more accessible and collaborative. Whether using Comet for smaller deals or a whole Angel Syndicate, platforms like Auptimate empower investors with flexible, digital tools to invest smarter and more efficiently.
Ready to Launch Your Syndicate?
Start your Syndicate today. Click here to schedule a call or contact info@auptimate.com to connect with our experts.
