Ledger
A listing of investors at a specific point in time invested in an SPV. The ledger should include the investor’s name, amount invested, date of
SPV Dictionary
This Special Purpose Vehicle (SPV) Dictionary serves as a comprehensive resource for understanding the terminology associated with these financial instruments. SPVs, by their nature, can involve a complex interplay of legal, accounting, banking, tax, compliance, and administrative considerations. This dictionary aims to provide clear and concise definitions for the key terms encountered in the context of SPVs.
Limited Partner (LP)
A non-managing owner of a Limited Partnership structure, whose liability is limited to the amount of its investment. A limited partner is the technical name
Limited Partnership (LP)
See Regular LLC/LP
Liquidation Preferences
Liquidation preference establishes that certain investors receive their investment money back first before other investors and/or company owners in the event the company is sold,
Liquidity event
A distribution event that results from either the sale of an investment portfolio company or some of its assets or another type of event which
LLC (limited liability company)
See Master LLC, Regular LLC/LP, and Series LLC
LLC-12
California Statement of Information form required for every California and registered foreign LLC within 90 days of registration and every two years thereafter.
Major Investor
A term used to describe investors that contribute large amounts to an investment round. The required minimum amount for an investor to be considered a
Management Fee
A fee paid to SPV Organizers for their time and effort in managing the investment relationship between the SPV and the investment portfolio. Some of
Manager
An individual or entity that is responsible for the SPV entity (LLC or LP). A common term for Manager is GP because in the LP/GP