co-GP models
Hi - new to this forum. I am starting my 2nd fund, and now former LPs are now asking to be co-GPs. My question is, what are the various models/options for this. For instance, if they put money into the GP:
- how do you figure out their share of the carry?
- are they also an LP? eg do they have GP and LP rights?
- what are the benefits/hazards? Seems like they get more carry for essentially doing the same thing as an LP, just because they are early. Not sure how to value that
Just looking for some standards/best practice here. Thanks SS
Hey Sandtiger Steve, I think you deserve a response...heck, everyone does. We're listening, sorry about the delay ...my best guess at places on WSO that could help:
Calling relevant professionals! @Jhkay11" Honeybadger DoctorWendy
I hope those threads give you a bit more insight.
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