Cap Table
A spreadsheet or table that details the ownership structure of a company, commonly used by portfolio companies or early-stage ventures. It lists the various equity interests, including common shares, preferred shares, options, promissory notes, warrants, SAFEs, and other securities, along with the prices paid by each holder. The table presents ownership on both an actual […]
Capital Account Statement
A document that details an investor’s capital contribution, their percentage ownership in the SPV, and the underlying assets of the SPV.
Capital Call
A request made by an SPV for additional capital from investors when the funds initially collected are insufficient to meet the obligations outlined in the asset acquisition or purchase document. If the required additional capital exceeds the current available funds but is still within the total subscribed capital, the SPV issues a capital call to […]
Carry (Carried Interest, Profits Interest)
A performance-based fee paid to the Organizer and other designated third parties as specified in the Operating Agreement, calculated as the net proceeds received by an SPV upon a liquidity event, minus the initial investment. Carry is typically paid after investors have received a return on their investment. Note: Under the Tax Cuts and Jobs […]