Can We Use a Loan Equivalent to Management Fees to Invest 100% of Committed Capital in Our LPA?

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Asked by

Community Member

May 03, 2023

Fund Operations

Can We Use a Loan Equivalent to Management Fees to Invest 100% of Committed Capital in Our LPA?

Our LPA allows the partnership to borrow money — if our bank were to give us a loan equivalent to the management fees would we be able to use it to invest 100% of the committed capital?

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