Priming a Promote?
Hey guys, in private equity, what does it mean for an operating partner to priming their promote? I've heard this used with regards to a GP partner who is entitled to a promote under the JVA. The phrase was used when talking about the GP making a lower cost member loan to the venture, or with regards to restructuring the equity in such a way that hurts the LP (ie not according to the original pro-rata split).
The context was "we don't want to structure it this way, because then they will prime their promote" - any help is appreciated!