Pre-funded capital is capital sent in advance of it being called. LPs who qualify for capital calls have the option to fund their entire commitment upfront if they prefer. This can be done directly from their AngelList funding accounts, allowing them to simplify their investment process and avoid future capital calls. Some LPs may choose this route for ease of financial planning or to streamline their commitments across multiple investments. However, their decision to pre-fund does not impact the capital call structure for the fund as a whole.
Even when an LP funds their full commitment upfront, Fund Leads will still only have access to the capital that has been officially called. The remaining funds remain in reserve and are not available for use until they are called according to the predetermined schedule. This ensures that the fund operates in alignment with its intended capital deployment strategy, maintaining consistency in cash flow management while giving LPs the flexibility to manage their contributions in a way that suits them best.