- As soon as you want to raise money from who ever you do not know, if now from private persons/investors or from any kind of institutions and
even want to bring your HF officially in the market with a specific ticker symbol which identifies your HF/s, there is no way around this.
- If you just want to raise some money from your friends and partners and want to manage that as HF,
but nothing more, you will need a bank, a broker and the power of attorney from each single one you raised money from (in case they do not act as whole group). As you will have to declare by the broker from where the money comes from (If bigger amounts you even will be confronted with "Money laundry" laws), you will have to inform them that you do trade this money from second or even third party peoples. If you plan to do it this way, then ask your broker and bank what papers they ask for, so that you can move on with your plan.
Take care / Dan