Major Investor
A term used to describe investors that contribute large amounts to an investment round. The required minimum amount for an investor to be considered a major investor is specifically stated in the purchase agreement. Major Investors receive rights and benefits that non-major investors (smaller investors) do not receive. Some examples of major investor benefits are […]
Management Fee
A fee paid to SPV Organizers for their time and effort in managing the investment relationship between the SPV and the investment portfolio. Some of the activities an Organizer may engage in are tracking the progress of the asset, reviewing investment portfolio reports and materials, administration tasks of the SPV like post close activities and […]
Manager
An individual or entity that is responsible for the SPV entity (LLC or LP). A common term for Manager is GP because in the LP/GP structure the GP is the manager of the LP structure. When an LLC structure is used an LLC can be managed by a “Manager” or by its members and SPVs […]
Master LLC
Master LLC is the entity registered with the state of Delaware or another state that recognizes series. Part of the series LLC structure (see series LLC definition). It is required to have a Master LLC registered with Delaware before creating any Series LLCs associated with it. The Master LLC is like a parent, or “mothership” […]
Maturity Date
Maturity date is the date on which the principal amount of a note, draft, acceptance bond or another debt instrument becomes due and is repaid to the investor and interest payments stop. It is also the termination or due date on which an installment loan must be paid in full. Maturity dates can be extended. […]