FAQ

Our deal-by-deal process is something new.

Send us questions at contact@nextvest.com.

    Most frequently asked

    Learn how we're opening access to private equity.

  • What is Nextvest?

    A marketplace for deal-by-deal private equity, Nextvest provides a single access point for private equity deals.
    Investors see deal flow and can personally invest into sponsor-led transactions; Sponsors tap our diversified capital base of sophisticated investors.

  • Who are deal sponsors?

    Sponsors are experienced investors that originate, structure, and negotiate private equity deals. At Nextvest, our Sponsor partners have developed deep financial experience at the largest investment banks and private equity firms.
    After completing a transaction, Sponsors often sit on the board to provide capital market expertise, key industry contacts, and financial analysis of operating decisions. Additionally, Sponsors provide reporting through the Nextvest platform to investors.

  • Why invest deal-by-deal?

    Deal-by-deal investments deliver the best economics, control, and transparency. PE funds, the most common private equity investment today, lack all three.
    With Nextvest, there are no ticking management fees on undrawn capital. Every deal you select is 100% your option, and you can understand everything you need to know before investing. We believe in putting the ball into your hands.

  • What is the minimum investment size?

    Our minimums start at $15K per deal, ranging up to $25K or $50K.

    How it works

    Deal mechanics, information distribution, investor rights, and post-close expectations.

  • How much does it cost?

    Investors pay carry: usually 20% although this may vary from deal to deal. There is only one layer of carry, which is allocated to the Sponsor and to Nextvest.
    Investors also cover the direct expenses for each deal — generally $8-15k. These expenses cover regulatory filing fees, payment processing, and accounting — Nextvest does not profit from these fees.
    No carry is paid until the investors’ total investment amount (including expenses) are returned.

  • What is the legal structure for the investment?

    Investors don't invest directly in a company / deal: they invest in a special purpose vehicle that invests in the company. Each deal will have a unique SPV created specifically for that investment.
    The corporate form of the fund is an LLC. The fund is managed by Assure Fund Management and advised by Nextvest Advisors, a wholly-owned subsidiary of Nextvest. The Sponsor also serves as a contractor of Nextvest Advisors.
    The Sponsor does not invest through the fund but is required to disclose to Nextvest Advisors if they vote, or if they buy or sell shares.

  • How do I get more information on a deal?

    Deals are announced through email and interested investors click a link to request the deal pack. There is no cost to our investors to receive all of the diligence materials.

  • How do I send money into a transaction?

    You send a wire into the account for the investment fund. Wiring instructings will vary and are available for each deal.

  • What happens during closing?

    Prior to closing, all investors through Nextvest will have wired their investments into the SPV account managed by Assure Fund Management.
    On the closing date, Assure will accept all of the subscription agreements and execute the financing documents. Shortly thereafter, investors will receive confirmation of closing.
    Fully-executed documents and any further information about the deal will be distributed to investors post-close for their records.

  • How does reporting post-close work?

    Investors have indirect information rights through the SPV, which owns a security (with a description of information rights) issued by the company.
    Nextvest reporting to investors will include: (i) fund formation documents (operating agreement, PPM, and subscription agreement); (ii) form of underlying deal documents; (iii) quarterly reports including high-level financials and qualitative company status; and, (iv) tax reporting information, such as an annual Form K-1.
    You will receive notifications of these updates via email. Documents will be accessible through the Nextvest platform.

  • How are governance and voting issues managed?

    Assure Fund Management acts as manager for each fund. Nextvest Advisors provides investment advice and engages the Sponsor as a contractor.
    The Sponsor is required to disclose to Nextvest Advisors if they vote, or if they buy or sell shares.
    The fund will generally vote with the Sponsor unless the Sponsor has a conflict of interest or there are other unusual circumstances. In those unusual circumstances (including the dissolution of the Sponsor), the fund will act in accordance with the wishes of the majority of investors..

  • What happens if I want to sell my position?

    In general, transfers of your interest are restricted. If want to transfer your interest to an affiliate or a relative for estate planning purposes, a notice to Assure Fund Management is required.
    In all other cases, you will need approval from Assure.

    Investors

    Investors must be accredited and sophisticated. Because each investment decision is up to the investor, it's important that investors understand how to evaluate financial research and investment risk.

  • Are there any requirements to be an investor?

    Yes: investors must be accredited. You will fill out a questionnaire to establish your accreditation before investing.
    Nextvest additionally requires sophistication: you should be familiar with private equity investing and understand how to review a deal for merits and risks.

  • What information rights do I have?

    Investors have indirect information rights through the SPV, which owns a security (with a description of information rights) issued by the company.
    Nextvest reporting to investors will include: (i) fund formation documents (operating agreement, PPM, and subscription agreement); (ii) form of underlying deal documents; (iii) quarterly reports including high-level financials and qualitative company status; and, (iv) tax reporting information, such as an annual Form K-1.
    You will receive notifications of these updates via email. Documents will be accessible through the Nextvest platform.

  • I'm a family office.

    We work closely with our family office partners to understand their ideal relationship with Nextvest.
    Many groups like to view the deal flow and participate directly; others have strong investment team infrastructure and can lead transactions as well.

  • I'm a private bank.

    We have built several close relationships with private banks to offer clients a high-touch point of differentiation, contrasting sharply with the robo-advisors.
    In some cases, our deals are further reviewed and shown as an exciting off-platform service with curation standards investors can trust.

    Legal & regulatory

    Our fit in the regulatory environment.

  • Is this legal? What regulations and laws permit this?

    Yes. We operate within the framework of Regulation D.
    Several no-action letters (Citizen VC, AngelList, and FundersClub) and legal opinions (AngelList) discuss salient legal issues.
    Feel free to reach out and learn more.

  • What are the the tax implications of a deal?

    This will vary deal to deal. We cannot provide tax advice, but investors will receive relevant detail for each deal, typically Form K-1s, for each tax year.

  • What is the legal structure for the investment?

    Investors don't invest directly in a company / deal: they invest in a special purpose vehicle that invests in the company. Each deal will have a unique SPV created specifically for that investment.
    The corporate form of the fund is an LLC. The fund is managed by Assure Fund Management and advised by Nextvest Advisors, a wholly-owned subsidiary of Nextvest. The Sponsor also serves as a contractor of Nextvest Advisors.
    The Sponsor does not invest through the fund but is required to disclose to Nextvest Advisors if they vote, or if they buy or sell shares.

  • What happens if regulations change?

    We don't expect fundamental changes: Regulation D was initially established in 1933.
    Staying on top of new regulations is part of our day-to-day, and we keep a close watch on developments that may impact our business.

  • What happens if the carried interest rules change?

    Then Congress will have rewritten partnership tax law, and we'll have some homework to do. This change would be incorporated into future deals.

  • I live in another country. Can I use Nextvest to invest?

    Under U.S. law, yes. And, obtaining a Tax Identification Number (or "TIN") is preferable (though not required).
    You should also check the laws in your country and get tax advice specific to your situation.

  • What happens if something happens to Nextvest and/or a sponsor?

    We set up our SPVs to withstand adversity. In all cases, the fund is managed and administered by Assure Fund Management.
    In general, SPVs act at the direction of Nextvest Advisors, which is supported by the Sponsor as a contractor.
    If the Sponsor goes away, the SPV will follow the directives of the majority of investors.

    For sponsors

    Nextvest can offer immediate access to a diversified base of sophisticated investors, packaged in passive institutional-style SPVs.

  • How do I start working with Nextvest?

    Email us and let's talk.

  • How does Nextvest protect my deal information?

    Nextvest regards the control of diligence information as a key component of our relationship with sponsors.
    Only high-level deal information is initially distributed to individuals, who can then request teaser-style materials (all approved by you first).
    If significantly interested, an investor with an NDA in place would then receive access to the full diligence package. This access is tracked by us.

  • Who handles tax documentation?

    The company will provide a single Form K-1 to the fund, managed by Assure Fund Management. Assure will then distribute individual Form K-1s to investors.

  • When should I screen a transaction with Nextvest?

    We like to learn about transactions relatively early in the process, even before signed documents or exclusivity are established.
    Our investor base understands how a deal pipeline works - they're sophisticated individuals with industry expertise and professional private equity investors.

  • How is the relationship between Nextvest and myself formalized?

    Sponsors act as a contractor to Nextvest Advisors, which provides the investment advice to the fund by Assure Fund Management.
    This relationship is governed by a side letter that additionally includes economic terms.

  • What obligations do I have to Nextvest investors post-close?

    Sponsors provide quarterly updates on transactions that include high-level company financials and qualitative commentary for distribution.