Exit Strategies For Private Equity Investors

[Leonida Cory]

There is usually a hurdle rate (an annual required return of 7-10%) that basic partners must achieve prior to performance charges are permitted to be taken. The structure of these performance fees https://diigo.com/0n8w3p motivates the partners of private equity firms to create large returns; they are meant to align the interests of the basic partner with the minimal partners - .

PE Company Focus There are numerous various types and sizes of private equity companies and funds. . A private equity company might have several funds that can focus on either a specific industry or a specific location. Private equity firms produce funds businessden to focus on locations where they believe that can develop worth for companies. .