How do I share carry?

How do I share carry?

AngelList allows General Partners (GPs) and fund leads to share a portion of their carried interest with individuals who actively contribute to deal-related activities.

Responsibilities of a Deal Partner

A Deal Partner should perform at least two of the following tasks:

• Identify the portfolio company.
• Assist in investment evaluation, including understanding the business model, assessing risks, and evaluating share prices.
• Help negotiate investment terms.
• Support post-closing actions.
• Monitor the investment, including follow-on investments.

Restrictions on Carry Sharing

GPs should not use carry sharing to:

• Compensate individuals solely for introductions to founders or sourcing LPs.
• Pay for services unrelated to investing (e.g., accountants, lawyers, or personal services).
• Offer gifts to friends or family members.

How to Share Carry Through an SPV

Sharing carry with a Deal Partner in an SPV can be done directly through your GP dashboard on AngelList.

Steps to Share Carry in an SPV:

1. Go to your GP dashboard.
2. Navigate to the “Vehicles” section in the left-hand menu.
3. Select the SPV where you’d like to share carry.
4. Locate the “Deal Partners” section under the “Overview” tab.

5. Click “Add Deal Partner” and complete the required fields.

Your Deal Partner will receive an email invitation to accept the carry share. Once accepted, they will immediately be added as a Deal Partner sharing in the Lead’s carry.

Understanding Carry Splits

For example, if LPs pay 20% carry to a Lead and the Lead sets the Carry-Share amount to 50%, the Lead will receive 10%, and the Carry-Share recipient will receive 10%.

Your Deal Partner must have an AngelList account to view and accept the carry share. The invitation link will direct them to a page displaying details about the deal, their carry share, and an option to accept or reject.

Verification & Confirmation

• After accepting, the Deal Partner must select or create an investing entity and may need to undergo identity verification, including providing a government ID if required.
• You will receive an email notification when the Deal Partner accepts or rejects your invitation.

Canceling a Carry Share Agreement

• Before finalizing, you can cancel the carry share by clicking the garbage can icon and selecting "Cancel Carry Share."
• Once finalized, carry share agreements cannot be canceled without consent from all parties. If you need to cancel a finalized agreement, email lead@angellist.com for assistance.

How to Share Carry Through a Venture Fund or Rolling Fund

If your AngelList-advised fund uses standard fund documents, you can typically share deal-level carry self-serve through your GP dashboard.

Steps to Share Carry in a Fund

1. Go to your fund’s GP dashboard.
2. Navigate to the “Investing” tab.
3. Find the investment and click the three dots on the right-hand side.
4. Select “Add Deal Partner” and complete the required fields.

The process from here mirrors the SPV process outlined above.

If Deal-Level Carry Sharing Isn't Available

If your Venture Fund or Rolling Fund doesn’t have a self-serve carry-sharing option, or if you’re looking to carry-share option at the fund level, contact your account manager or email lead@angellist.com for next steps.