Every hurdle your LPA specifies.
No brittle spreadsheet.
Preferred return, IRR hurdles, return of capital, catch-up, pro-rata, carry. Five day-count conventions. DRIP and withholding handled. Every distribution routes through an explicit human-approval gate before a dollar moves.
Hurdle types
Your LPA, modeled faithfully
No "contact sales to enable catch-up." Every hurdle type supported at every tier.
Multi-class. Compounding (daily/monthly/quarterly/annual). Cumulative or non-cumulative. Separate rates per class.
Annualized IRR targets — 8/12/20 stacks, or custom. XIRR-compatible with LP statements.
Per-class basis tracking. Returns reduce basis before pref accrual resumes.
Straight-pro-rata splits on common equity. Handles late-admitted LPs with correct share calc.
Annualized yield target per period. Useful for cash-flowing operating assets.
50/50, 80/20, 100/0 catch-up structures. GP catches up after LP pref is paid.
AUM-based or commitment-based. Subtract from distribution or invoice separately.
Carry triggers after hurdles clear. Co-sponsor splits on the GP side supported natively.
Back-end clawback modeling for closed-end funds. Shipping 2026.
Day-count conventions
Compound pref correctly, per your LPA
Preferred return accrual is sensitive to day-count. A 30/360 pref compounded monthly against an 8% hurdle produces different numbers than Act/365 compounded quarterly. FundClose supports all five common conventions and the calculation is versioned — you can audit which convention was used on any historical distribution.
Other essentials
Withholding, DRIP, banking — handled
Foreign LPs (FIRPTA, 1446), non-resident state withholding, backup withholding on missing W-9s. Deduction happens in the distribution line so the distribution notice and K-1 line up.
LPs can opt into reinvesting distributions on a per-fund basis. DRIP rolls into their basis and capital account automatically.
ACH routing + account captured during the subscription workflow, encrypted at rest (Lockbox), verified with micro-deposit or Plaid before the first distribution.
Human-in-the-loop
No dollar moves without your signoff.
The AI agent drafts a distribution: which LPs, how much, which tax character, which bank account, which class tier. It presents the proposal with citations back to the source capital account entries. The state machine blocks execution until a human with the right role clicks "Approve."
Architecturally enforced via AASM. Every distribution has `:drafted → :reviewed → :approved → :disbursed` states. Transitions are audited.
Run your next distribution without the spreadsheet.
We'll model your waterfall on the demo call. Bring your LPA — or just describe the tiers. Fifteen minutes.
Book a Demo