In real estate syndication deals, profit distribution between the general partner (GP) and limited partners (LPs) is a critical aspect of the investment structure. A GP catch-up is a provision that allows the GP to receive a disproportionate share of profits after the LPs receive their preferred return, effectively "catching up" to the agreed profit split. Some deals include this mechanism, while others do not. The inclusion or exclusion of a GP catch-up depends on various factors, including negotiation dynamics, market conditions, and the desired alignment of incentives between the GP and LPs.
Editable financial models to help validate the economics of your business. Now, anyone can create a financial projection. email me: jason@smarthelping.com
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Preferred Return Model with Optional Split During Preferred Return Phase
Financial Modeling for a New B2B SaaS startup
I've done many SaaS financial models in Excel over the past decade, with my own guidance and with the guidance of clients. Most of them were for startups, and a some were for existing operations. The main tenants are always true. That is a focus on retention modeling frameworks / customer pattern modeling, opex / burn, fundraising, capital management, pricing, customer acquisition, and churn.
Annual Churn Rate Calculator - Excel Template
Activity-Based Costing (ABC) Financial Model Template
One of the most accurate ways to determine what it costs a company to produce a given product or service is using an activity-based costing model. The below Excel template is a great starting framework for businesses to use in order to better understand their cost per unit. I had to delve back into my cost accounting days on this one.