There is usually a hurdle rate (an annual required return of 7-10%) that general partners should accomplish before performance fees are permitted to be taken. The structure of these performance charges inspires the partners of private equity companies to produce large returns; they are planned to line up the interests of the general partner with the restricted partners - .
PE http://juliusjhea011.almoheet-travel.com/6-private-equity-strategies-investors-need-to-understand-tyler-tysdal Company Focus There business broker are various types and sizes of private equity companies and funds. . A private equity firm could have numerous funds that can specialize in either a particular market or a particular location. Private equity companies develop funds to focus on locations where they believe that can develop value for companies. .