Given the illiquid nature of private equity investments, private equity funds are governed by contribution, term, liquidity, performance fee, and valuation provisions very different from those governing hedge funds. Unlike hedge funds, private equity funds do not accept contributions on a on-going basis, have fixed life spans, preferred rates of return, limited investment periods and redemption provisions that are often restricted for at least five years. Our attorneys have substantial experience organizing and structuring private equity funds in pursuit of a variety of strategies, ranging from film finance and real estate to private company investments and wind power projects. We work closely with fund managers to optimize the structure of the fund by taking into account all relevant tax, securities law and ERISA considerations.
Among the strategies employed by our clients are:
Fund of Private Equity Funds
Renewal energy wind power project
Real Estate Tax Liens
Among the services we provide to private equity fund managers include:
- Advice on fund structure, including compensation provisions, fund duration, reinvestment considerations, liquidity provisions, valuation procedures, etc;
- Advice on optimal tax structure of fund, if needed in consultation with tax counsel;
- Prepare limited partnership agreement, private placement memoranda, subscription documents and management company operating agreement;
- Collaborate with fund manager to formulate investment goals and investment strategy description;
- Preparing SEC Form D and state “blue sky” filings on an on-going basis;
- Advice and state and federal laws governing investor qualifications and suitability;
- Implementing exit strategies;
- Introduction to administrators and auditors specialized in illiquid investments.