Conflicts are typically handled with a simple framework:

- **Disclose early and fully** to LPs
- **Document the conflict** and the proposed resolution
- **Get approval** if the fund documents require it

Common conflict areas:
- GP or affiliates running another fund, SPV, or syndicate
- GP receiving compensation from a portfolio company
- Investment allocation across the fund, affiliates, personal vehicles, or successor funds
- Outside roles that create time, loyalty, or information conflicts

Best practice:
- Put a clear **conflict and allocation policy** in the **LPA** and operations manual
- Avoid personal compensation for standard portfolio support
- Follow the LPA’s approval mechanics, which may require a **Majority in Interest of LPs**

Reference:
- https://decilehub.com/base/1-general_questions/163682-how-are-conflicts-of-interest-handled