Do You Work With First-Time Fund Managers?
Direct answer
We selectively work with first-time fund managers who meet our engagement criteria. Being a first-time fund manager does not automatically qualify or disqualify someone from working with Capital Sourcing Partners. Before accepting an engagement, we evaluate the manager, team, strategy, relevant experience, performance history, operating capabilities, market credibility, and readiness to build and manage an accredited investor acquisition program.
Expanded explanation
Not every first-time fund manager is at the same stage of experience, credibility, or organizational readiness.
A newly formed fund may be led by an experienced investment team with a meaningful history of operating, investing, acquiring assets, managing capital, producing results, or participating in previous funds and investment programs. In other situations, a manager may be attempting to raise outside capital for the first time without sufficient experience, performance history, operating infrastructure, investor-facing capabilities, or evidence that the organization is prepared to responsibly pursue accredited investor acquisition at scale.
We evaluate these situations differently.
Capital Sourcing Partners does not accept first-time fund managers simply because they have launched a fund and need investors. Before entering an engagement, we seek to understand the experience of the principals, relevant performance history, investment strategy, organizational capabilities, existing investor relationships, capital formation objectives, investor-facing materials, operating readiness, and the ability of the organization to support the investor relationships that may be created through AIAS.
A first-time fund may be considered when the principals or investment team can demonstrate a relevant history of activity, execution, experience, and performance that meets our engagement standards. For example, the fund vehicle may be new while the people responsible for managing the strategy have substantial prior experience investing, operating businesses, acquiring assets, managing portfolios, raising capital, or participating in previous investment programs.
Our evaluation is intended to determine whether there is a credible foundation upon which Investor Acquisition Infrastructure can be built.
AIAS can help an organization improve how it identifies, attracts, educates, develops, and learns from prospective investor relationships. It can help create more disciplined systems for Digital Investor Acquisition, Investor Journey Design, investor education, paid advertising, CRM management, persistent follow-up, Relationship Capital development, Data Capital accumulation, Intelligence Capital creation, and investor acquisition measurement.
However, AIAS is not a substitute for investment experience, operating competence, organizational readiness, a credible strategy, or the ability to responsibly manage investor capital and relationships.
For that reason, all first-time fund managers are evaluated individually, and Capital Sourcing Partners reserves the right to decline engagements that do not meet our standards or where we do not believe our services and methodology are appropriate for the manager's current stage of development.