Palico calculated in December 2017 that there were 770 debut funds seeking capital, a 50% increase, year-over-year. However, as noted in a recent article published by Real Deals, the amount of first-time fund capital raised in 2017 fell by 27.8%, compared to 2016, to $26 billion. In other words, a smaller percentage of first-time fund managers are clearing the bar.
In today’s ultra-competitive fundraising world, institutional investors typically give new management teams only one meeting in which to sell their strategy and team. When given that opportunity, it’s important that managers present a complete team – the team responsible for building the track record and ready to execute the team’s strategy.
If you are looking to spin-out from an existing private equity firm, and need start-up capital for your team’s compensation and other development costs, please reach out to Meteor5. We’ll do our best to help you build your franchise and raise your fundraising game.