Discover a reinspired take on a Mortgage Note Investment Fund designed to prioritize steady, monthly returns. Passive income. Performance. Speed to market and flexibility. Enjoy passive income with top-tier performance, rapid market entry, and unparalleled flexibility. Invest in your future today.
Distribution Frequency
Monthly
Target Returns
8% -12%
Managemen Fee
0%
Target Distribution Rate
8%-12%
Distribution Frequency
Monthly
Minimum Investment
$25,000
Lockup Period
2 Years
Features
Highlights
No Management Fees
Incentivised For Performance
Fund managers are solely compensated through profit splits and incentivized through performance-based tiers, ensuring their interests are fully aligned with yours.
Progressive Tiers
Our fund employs a progressive tier system for profit sharing. The first threshold of performance is weighted heavily in investors’ favor. As the fund’s performance increases, higher tiers reward the fund manager for increased performance. This structure motivates our managers to maximize your profits, as their compensation increases with better fund performance.
No Preferred Return
Similar to Management Fees, Preferred Returns restrict fund managers from quickly capitalizing on overal great opportunities. With no Preferred Return, all investors participate in the profits from the start, enhancing overall returns, and allowing flexibility to jump on opportunities quickly and continuously improve holdings over time.
Learn more about why this structure benefits you with our in-depth article, which includes examples and comparisons to our previous fund, BCF Fund I. Here, investors will see how trading up and participating in overall fund performance can be more advantageous.
Monthly Distributions
BCF Fund II provides steady, monthly distributions. This regular income stream ensures that you see returns on your investment sooner and more consistently.
Investors also have the option to automatically reinvest all or part of distributions back into the Fund, accelerating returns at a compounding rate.
Fund Structure
Investments - What we seek
Performance Mix
Our investment mix includes a robust percentage of performing notes to ensure steady returns, supplemented by re-performing, and non-performing notes for higher yield potential.
Property Types
We invest in residential mortgage notes, focusing on 1-4 family housing. We focus on the United States and Puerto Rico and maintain required licensing in states where applicable.
Values
Note Values: $50,000 – $250,000
Property Values: $85,000 – to $500,000+
Quick Facts
Life of Fund
Evergreen
Management Fee
0% (profit splits)
Fund Type
Regulation D 506(c)
Investor Qualification
Accredited Investors
IRA Eligibility
Yes
Tax Document
Form 1065
Profit Source
Net Cash Flow
Legal Structure
Limited Liability Company
Target Returns
8% – 12% Annualized
Distribution Reinvestment
Optional – Full or Partial
Preferred Return
0%
Lockup Period
2 Years
Investing Schedule
Max Entry Waiting
6 Months
Minimum investment time without an early withdrawal penalty. No limit to investment time.
Lockup Period
2 Years
Early Withdrawal
5% Penalty
Withdrawal Time
90 Days
Investor Qualification
Accredited Investors
Distribution Reinvestment
Optional – Full or Partial
Max Entry Waiting Period
6 Months
Investor Classes
Class B
Class C
Deposit Maximum
10%
25%
Minimum investment time without an early withdrawal penalty. No limit to investment time.
Monthly IRR Cap
(annualized)
12%
10%
Minimum Investment
$250,000
$25,000
Distributions
Key Terms
Classes
Different based on different elligibility requirements. Future Classes may be added. Investors can elect to change Classes upon eligibility.
Deposits
Investors in BCF Fund II have the option to reinvest their monthly
Monthly IRR Cap
Investors in BCF Fund II have the option to reinvest their monthly
Monthly EDC
Investors in BCF Fund II have the option to reinvest their monthly
Annualized Rates
Investors in BCF Fund II have the option to reinvest their monthly
- Rates are annualized
- Monthly EDC
- Fund IRR
- Investor IRR
- Progressive
- Calulations
- IRR
- After Expenses
Investor Classes
Fund IRR
Investor
Manager
Tier 1
0% – 8%
80%
20%
Tier 2
8%+
50%
50%
Class B
Class C
Minimum Investment
$250,000
$25,000
Deposit Maximum
10%
25%
Minimum investment time without an early withdrawal penalty. No limit to investment time.
Monthly IRR Cap
(annualized)
12%
10%
Progressive Tiers
All EDC up to the first Tier is split at that rate first. If applicable, the remaining EDC is split at the next Tier.
Fund IRR
Investors in BCF Fund II have the option to reinvest their monthly
Distribution Splits
Investors in BCF Fund II have the option to reinvest their monthly
Annualized Rates
Investors in BCF Fund II have the option to reinvest their monthly
Distribution Splits
Fund IRR
Investor
Manager
Tier 1
0% – 8%
80%
20%
Tier 2
8%+
50%
50%
Investor Classes
Class B
Class C
Deposit Maximum
10%
25%
Minimum investment time without an early withdrawal penalty. No limit to investment time.
Monthly IRR Cap
(annualized)
12%
10%
Minimum Investment
$250,000
$25,000
Distribution Splits
Fund IRR
Investor
Manager
0% – 8%
80%
20%
8%+
50%
50%
Investor Classes
Class B
Class C
Deposit Maximum
10%
25%
Minimum investment time without an early withdrawal penalty. No limit to investment time.
Monthly IRR Cap
(annualized)
12%
10%
Minimum Investment
$250,000
$25,000
Distribution Examples
These figures are hypothetical to show the waterfall of distribution splits.
Fund Size: $40,000,000
Month Fund IRR (annualized): 7%
Month EDC: $333,333
Class B Investment: $250,000
Class C Investment: $25,000
Individual Investor Distribution Splits
Fund IRR
Class B $
Class B IRR
Class C $
Class C IRR
Tier 1 (80% | 20%)
0% – 8%
$1,166.67
5.6%
$116.67
5.6%
Tier 2 (50% | 50%)
–
–
–
–
–
Total
7% Fund IRR
$1,166.67
Inv. 5.6%
$116.67
Inv. 5.6%
Fund Size: $40,000,000
Month Fund IRR (annualized): 10%
Month EDC: $333,333
Class B Investment: $250,000
Class C Investment: $25,000
Individual Investor Distribution Splits
Fund IRR
Class B $
Class B IRR
Class C $
Class C IRR
Tier 1 (80% | 20%)
0% – 8%
$1,333.33
6.4%
$133.33
6.4%
Tier 2 (50% | 50%)
2%
$208.33
1%
$20.83
1%
Total
10% Fund IRR
$1,541.67
Inv. 7.4%
$185.42
Inv. 7.4%
Fund Size: $40,000,000
Month Fund IRR (annualized): 13%
Month EDC: $333,333
Class B Investment: $250,000
Class C Investment: $25,000
Individual Investor Distribution Splits
Fund IRR
Class B $
Class B IRR
Class C $
Class C IRR
Tier 1 (80% | 20%)
0% – 8%
$1,333.33
6.4%
$133.33
6.4%
Tier 2 (50% | 50%)
2%
$208.33
1%
$20.83
1%
Total
10% Fund IRR
$1,541.67
Inv. 7.4%
$185.42
Inv. 7.4%