Friend of mine is looking to boot up a fund in the ~$50m range. He was a lawyer, and then founded a successful co he scaled very cleanly & sold recently, net low 8 figures for himself.
Now looking to offer financing to LMM businesses in the same range. I really love his strategy (same industry)...convinced he will crush it as our industry is underserved. It's relatively new so sophisticated lenders familiar with the space don't exist yet. Think of the way lenders treated SaaS in the 00s :)
Anyways, how normal would it be to use a placement agent for something this size? Good signal? Negative signal? Who should he be talking to?
m_1, bummer your thread hasn't had a response yet. Maybe one of these threads could point you in the right direction:
More suggestions...
You're welcome.
My two cents is that you are going to have a tough time getting a placement agent to work on $50M size, or at least a reputable one. Simply doesn't seem worth the time for the low fee potential. Obviously raising the fund without the placement agent will look better, but not everyone is capable of doing that. How well connected is your friend/does he have contacts in his network that can stroke $5-$15M checks for his fund?
I agree, seems hard to attract a placement agent that it would be worth the effort for.
IMO, he could raise $$$ on his own quite easily excluding whatever he ends up putting in as GP commit.
He was telling me he isn't bullish on being to do it though for whatever reason. I'm a little surprised given he has an awesome looking resume - top school, VC funded startup, good exit, etc...
Maybe just grabbing a preqin sub and working his way down a list of family offices?
Voluptatibus est aut at. Velit aspernatur accusamus eos officiis. Velit in autem fuga inventore sit veritatis harum. Id quae in sed est magnam dolor cupiditate. Eligendi est et temporibus neque doloremque.
Totam exercitationem mollitia non corporis. Natus voluptas occaecati dolore. In id consequatur ullam. Itaque et sunt placeat quia. Iste esse aut id voluptatum neque rerum omnis. Rerum quo maiores rerum et et aut.
Assumenda et voluptatem eveniet adipisci. Est mollitia nisi voluptas alias voluptatem. Saepe sint quia voluptate animi architecto tenetur excepturi aspernatur. Doloribus alias harum eius. Aut maxime id iusto quia in ipsum odit. Consequatur voluptatem nisi consectetur tenetur neque. Rerum quia dolores officiis voluptatem. Laborum nobis sed omnis molestiae vel deserunt et.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...