Admin fee loads on Rolling Fund LP commitments vary based on a series of factors, including:
- The pricing terms that each quarterly fund falls under (legacy vs. current)
- The tenure of each Rolling Fund
- The size of each quarterly fund
Note that quarterly fund sizes vary from quarter to quarter, so each quarterly fund’s admin fee load could vary throughout your subscription. Quarterly fund sizes (and therefore, admin fee loads) are only finalized once that quarterly fund is completes fundraising (on the last day of that quarter’s second month.)
This article provides guidance to estimate a quarterly rolling fund’s overall admin fee load. Rolling Funds incur other fees and expenses (i.e. management fees and fund expenses) that should be assessed in addition to admin fees.
Quarterly funds under current pricing terms
In order to support Rolling Funds that are ramping up, AngelList waives a portion of it’s admin fees for each Rolling Fund’s first two quarterly funds. These quarterly funds will pay an annualized rate of $800 + 0.2% of contributed capital per year throughout their 10-year lifetime.
AngelList will identify if a Rolling Fund is within its first two quarters and provide LPs with an average fund size for Rolling Funds of that tenure. For more granular information on the quarterly fund’s projected size, we recommend reaching out to the fund lead.
- Let’s say a quarterly fund is estimated to raise $600k. The estimated admin fee and fee load for that quarterly fund will be:
- ($800 + 0.2% * $600,000) * 10 = $20,000
- $20,000 / $600,000 = 3.33%
Quarterly funds in their 3rd quarter an onwards will pay an annualized rate of $2,500 + 0.2% of contributed capital per year throughout their 10-year lifetime.
- For Rolling Fund Programs in their 3rd quarter and onwards, AngelList shares details on the size of that Rolling Fund’s last quarterly fund as a proxy for future fund sizes. For more granular information on the quarterly fund’s projected size, we recommend reaching out to the fund lead.
- Let’s say a quarterly fund is estimated to raise $3M. The estimated admin fee and fee load for the fund will be:
- ($2,500 + 0.2% * $3,000,000) * 10 = $85,000
- $85,000 / $3,000,000 = 2.83%
Rolling Funds under legacy pricing terms
In order to support Rolling Funds that are ramping up, AngelList waives it’s $20k admin fee minimum for each Rolling Fund’s first two quarterly funds. These quarterly funds will pay a total of 1.5% of contributed capital, throughout their 10-year lifetime.
- The fee load on commitments to such quarterly funds will be 1.5%
Quarterly funds in their 3rd quarter and onwards will pay the same 1.5% fee per quarterly fund, subject to a $20k minimum.
- For Rolling Funds in their 3rd quarter and onwards, AngelList shares details on the size of that Rolling Fund’s last quarterly fund as a proxy for future fund sizes. For more granular information on the quarterly fund’s projected size, we recommend reaching out to the fund lead.
- Estimate upcoming admin fee loads by multiplying 1.5% by the estimated quarterly fund size.
- If the resulting fee amount is over $20,000, the estimated admin fee load will be 1.5%
- If the resulting fee amount is under $20,000, divide $20,000 by the estimated fund size to find the estimated admin fee load
For more information on how fees and returns are calculated, please view our Rolling Fund pricing calculator, as well as our Rolling Fund returns calculator.