The process of forming and capitalizing private equity and venture capital funds is a foundational first step to an understanding of how private companies are financed globally. Over the course of the semester, students will develop an understanding of each player in the fund formation process (e.g. limited partners, general partners, lawyers, placement agents, etc.), each party’s leverage points, and how each party is necessary for a successful fundraise. We will also walk through all of the necessary documents in a fundraise (e.g. limited partnership agreements, private placement memorandum, side letters, etc.) and, through the use of example provisions, learn the various negotiation points that each party is focused on.
Cotton, Eliot C.