The usual reason is **simplicity and LP-friendliness**.

- **0% recycling reduces admin complexity**:
- no per-LP recycling capacity tracking
- no extra capital account adjustments
- fewer edge cases around distributions and recalls
- It is often appropriate for:
- **first-time funds**
- **smaller funds** like a **$10 million** fund
- **seed/pre-seed** strategies with long exit timelines
- LP bases with less experience in fund mechanics
- It can also make fundraising easier because the economics are easier to explain.

A non-zero recycling provision is possible, but many first funds avoid it unless they have a clear need and operational support.

Reference:
- https://decilehub.com/base/1-general_questions/163618-how-do-managers-track-recycled-amount-capacity-per-lp-and-when-is-0-recycling-right-for-a-10m-fund