Fees

What each one covers

2%

A year, five years at mostManagement fee. Ten percent in total, held in escrow at closing and drawn once a year. If the partnership winds up early, the unused part comes back to you.

1%

Setup, onceFinding the company, due diligence, structuring and closing the deal. Paid at closing. Setup costs come out of this fee, not on top of it.

2%

Reserve, onceCovers the partnership’s running costs. If they run higher, the extra is paid from later payouts, and only after you have received 120% of what you put in.

20%

Of profit, up to 5×Paid only from money you get back above what you put in.

25%

Of profit above 5×On proceeds beyond five times your investment.

$1M

Minimum per companyNo upper limit.

What you keep