Membership Sale

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Membership Sale

Sometimes investors wish to sell their SPV membership interest to a third party for more or less (usually more) than the amount they originally contributed when they invested into the SPV. It is advised to consult legal counsel and the SPV fund documents in these matters. A membership sale requires legal documentation and cap table updates and be aware that a membership sale is considered a taxable event so a tax return and K1s will be needed.

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