What does a Private Equity balance sheet look like? What about their P&L?
I was doing some prep for an FoF interview, and while I was doing the technical prep I came across a question that was phrased like this, I tried to answer it myself aside from understanding they would have obligations to debt and equity holders I was having trouble coming up and finding an answer, so I was hoping someone could push me in the right direction or help me out thanks.
You probably want to distinguish between the different entities involved: GP, the fund, the management company.
The fund will have assets that it has acquired, liabilities might include a subscription / fund facility, accrued carry that is payable to the GP.
The GP and management company I think are both asset light. The financial services license probably sits in the management company and the equity value (for future monetization) is valuable in the management company.
Amazing thank you very much, if its not much to ask do you have like a write up of this or cheat sheet.
I don't sorry. That was off the top of my head.
Why don’t you look at any of the multiple publicly traded private equity firms? 10K. 10Q.
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