Question
Total investment of a VC firm into portfolio companies reached $80 million. The VC firm charged management fees of 3 percent per year (on committed
Total investment of a VC firm into portfolio companies reached $80 million. The VC firm charged management fees of 3 percent per year (on committed capital) for all ten years. The fund would receive a 30 percent carry with a basis of all investment capital. Total exit value from its investments in portfolio companies reached $400 million.
What is the GP percent in percentage?
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Finance Applications and Theory
Authors: Marcia Cornett, Troy Adair
3rd edition
1259252221, 007786168X, 9781259252228, 978-0077861681
