All Questions

This is likely in reference to General Solicitation under SEC Rule 506(c) - you can learn more about it here: https://www.decilehub.com/base/17-fund-operations/1782-what-is-this-506-c-thing-i-keep-hearing-about-should-i-do-it

This is likely in reference to General Solicitation under SEC Rule 506(c) - you can learn more about it here: https://www.decilehub.com/base/17-fund-operations/1782-what-is-this-506-c-thing-i-keep-hearing-about-should-i-do-it

Yikes! There is little need to do this. People that are trying to do stuff like this do so because they are desperate. First, "receive incentives for raising capital" is a MAJOR broker dealer violation. Second, a $5k investment is not wo...

Yikes! There is little need to do this. People that are trying to do stuff like this do so because they are desperate. First, "receive incentives for raising capital" is a MAJOR broker dealer violation. Second, a $5k investment is not worth your time (do the math of 2% for $5k). Third, the kind of people that can only invest $5k in a fund typically will struggle to help GPs because their networks rarely contain people that can invest $500k in a fund or that would use their investment as a 'signal' for quality.

Your fund's thesis appears well-defined and focused. Here are some points to consider: 1. **Geographic Focus**: Concentrating on Latam, particularly Costa Rica, can be advantageous due to potentially lower valuations and untapped opport...

Your fund's thesis appears well-defined and focused. Here are some points to consider: 1. **Geographic Focus**: Concentrating on Latam, particularly Costa Rica, can be advantageous due to potentially lower valuations and untapped opportunities. 2. **Sector Focus**: Agri-tech is a promising sector with significant growth potential, especially in regions with strong agricultural industries. 3. **Network Leverage**: Leveraging a network of 50 VCs for co-investment and 30 large U.S. corporations for exit opportunities is a strong strategy, enhancing both funding and exit prospects. Ensure your thesis clearly articulates how these elements will drive superior returns.

For SAFE (or convertible note) portfolio investments 1. managers should track progress of the company, and potentially help the team negotiate to ensure fair terms for investors, founders and employees. 2. carefully review the docs and c...

For SAFE (or convertible note) portfolio investments 1. managers should track progress of the company, and potentially help the team negotiate to ensure fair terms for investors, founders and employees. 2. carefully review the docs and confirm conversion calculations. 3. participate in pro rata investment - if available - potentially offering this to LPs - potentially creating an SPV as a rollup vehicle and taking carry. Following conversion, the manager enters the updated holding information into Hub as a new Funding Round.

By definition, a studio will have a lot more ownership then most investors. Because of the complicated cap-tables of studio companies, many, if not most VCs avoid investing in such companies. Rather then attempting to figure out how to m...

By definition, a studio will have a lot more ownership then most investors. Because of the complicated cap-tables of studio companies, many, if not most VCs avoid investing in such companies. Rather then attempting to figure out how to minimize dilution, it's better for studios to focus on spinning out venture scale businesses addressing large markets that can attract follow on financings from downstream VCs despite their cap-tables. 

If an LP (Limited Partner) passes away, the LP's partnership interest is handled according to the arrangements made with respect to the LP's heirs, executors/administrators of the estate, successors, etc. The LP is responsible for settin...

If an LP (Limited Partner) passes away, the LP's partnership interest is handled according to the arrangements made with respect to the LP's heirs, executors/administrators of the estate, successors, etc. The LP is responsible for setting these arrangements up. These arrangements can vary and are subject to different regulations and requirements depending on the country or state. Therefore, agreements like the Limited Partner Agreement (LPA) generally remain silent on any specifics.

Interest collected on called capital is typically not subject to management fees and is not recognized by the carried interest provision as another source of fees. The interest earned on called capital is usually credited back to the Lim...

Interest collected on called capital is typically not subject to management fees and is not recognized by the carried interest provision as another source of fees. The interest earned on called capital is usually credited back to the Limited Partners (LPs) and is not considered part of the General Partner's (GP's) compensation. The management fee is generally calculated based on committed capital, and carried interest is based on the profits from investments, not on interest earned from deposits.

Asian investors often prefer to invest in US-domiciled funds due to the favorable regulatory environment and established legal framework. Delaware is a popular choice for fund domicile due to its well-developed corporate laws and investo...

Asian investors often prefer to invest in US-domiciled funds due to the favorable regulatory environment and established legal framework. Delaware is a popular choice for fund domicile due to its well-developed corporate laws and investor protections. Given your investor demographic, a US domicile, particularly Delaware, would likely be the most favorable regulatory regime. This choice balances the interests of both US and Southeast Asian investors, providing a familiar and trusted legal environment. Having said that, the manager and the investors should consider the tax implications of any fund structure.

Decile Hub currently supports a variety of template agreements for members of Decile Partners, including the Cornerstone LPA, Venture Share for venture partners, and others. Members of Decile Partners have built-in digital signing in a p...

Decile Hub currently supports a variety of template agreements for members of Decile Partners, including the Cornerstone LPA, Venture Share for venture partners, and others. Members of Decile Partners have built-in digital signing in a powerful form builder for agreements.

Yes. LPs can see various metrics, including historicals via Decile Pro. 

Yes. LPs can see various metrics, including historicals via Decile Pro. 

Decile Hub has the capability to calculate and showcase how much capital is called and which investors have fulfilled their capital call. For non-compliance, fund managers can send reminders and contact directly with their investors to r...

Decile Hub has the capability to calculate and showcase how much capital is called and which investors have fulfilled their capital call. For non-compliance, fund managers can send reminders and contact directly with their investors to remind them to satisfy their contribution to the fund.

Don't promise anything specific. This is a high-risk asset class. Instead, keep it high level and say something like: "It’s not uncommon for venture funds to target a 3-4x return in a medium scenario and 8x+ in a high scenario." This app...

Don't promise anything specific. This is a high-risk asset class. Instead, keep it high level and say something like: "It’s not uncommon for venture funds to target a 3-4x return in a medium scenario and 8x+ in a high scenario." This approach sets realistic expectations without overpromising.