Venture capital and private equity fund sponsors frequently ask “how much money do I actually have to contribute to a partnership as the general partner (or “GP”)?” Unfortunately, the answer is that old tax lawyer chestnut: “It’s not entirely clear, and largely...

Pretend you have a preferred equity investment in a company, entitling you to a 2x return before common holders participate in deal or liquidation proceeds. A buyout term sheet arrives, and while the valuation would only get you a 1.8x return, that’s more than enough,...

How do you pay zero federal tax on up to $10,000,000? Invest in a qualified small business. General speaking, a qualified small business is: A domestic C corporation; Which, at all times up to the time immediately following the issuance of your stock, had less than...