Item 5: Fees and Compensation
The Firm typically charges each Fund an annual management fee of 2%, paid annually in advance
as set forth in the relevant Governing Documents. Investors in the Funds typically pay a 2%
management fee (“Management Fee”) based on capital commitments, which steps down to 1% after
five years. The Firm also may receive performance-based compensation of approximately 20%,
which is a carried interest of profits on distributions upon the disposition of investments (“Carried
Interest”).
While the fees for the Funds are generally not negotiable, the Firm reserves the right to waive or
reduce its fees for certain investors, including employees and affiliates. All potential investors
should review the Governing Documents for complete information on fees and compensation.
Additionally, the Firm and its affiliates in certain circumstances elect to waive or reduce such fees
for the benefit of one or more Co-Investors without offering such reduction or waiver to the other
Co-Investors.
In addition to Management Fees and Carried Interest, if applicable, each Fund shall be responsible
for bearing its own offering and organizational expenses, subject to a maximum amount as set forth
in each Fund’s Governing Documents, including without limitation: costs and expenses related to
investing in a portfolio company; liquidation expenses of the Fund; any sales or other taxes, fees or
government charges which will be assessed against the Fund; commissions or brokerage fees or
similar charges incurred in connection with the purchase or sale of securities (including any merger
fees payable to third parties and whether or not any such purchase or sale is consummated); fees (if
any) and expenses of members of the advisory board if organized (including travel-related cost and
expenses); the costs and expenses (including travel-related expenses) of hosting annual or special
meetings for the investors of the respective Fund, or otherwise holding meetings or conferences
with investors of the Fund, whether individually or in a group; all expenses relating to litigation and
threatened litigation involving the Fund, including indemnification expenses; expenses attributable
to normal and extraordinary investment banking, commercial banking, accounting, appraisal, legal,
custodial and registration services provided to the Fund and any expenses attributable to consulting
services; all extraordinary expenses of the Fund; reasonable premiums for liability insurance to
protect the Fund, the Fund’s General Partner (as defined in Item 10), other covered persons and the
members of the advisory board (if applicable) in connection with the activities of the Fund.
Form ADV Part 2A Brochure | Dock Square Capital LLC November 17, 2022
Generally, the Funds also pay all investment expenses and costs incurred in connection with
transactions not consummated (i.e., “broken deal expenses”). Potential Co-Investors (as defined in
Item 8) who co-invest alongside a Fund generally will share broken deal expenses only if they have
a contractual obligation to co-invest in the particular transaction and/or bear such expenses
regarding the particular investment.
The Firm will receive additional fees, expense reimbursements and other amounts directly from a
portfolio company or its affiliates in connection with the operation of any portfolio company
(including without limitation any director’s fees, advisory fees or consulting fees) or the acquisition,
termination or abandonment of any Fund investment (collectively, “Portfolio Fees”). The Funds
will not be entitled to any economic benefit from any Portfolio Fees, and the Firm and/or their
respective affiliates will be entitled to retain such amounts for their own benefit, and such amounts
will not reduce the Management Fee or otherwise be credited to, or shared with, its investors. While
such fees and expenses will be determined by the Fund on a basis it believes to be reasonable and
generally at market rates for the relevant services provided, exclusive arrangements or other factors
may result in fees and expenses paid to the Firm that are not always comparable to costs, fees and
expenses charged by other third parties. In addition, the Firm in certain circumstances receive other
cash and non-cash compensation from current and potential portfolio companies and other entities
as well as from activities related or unrelated to the affairs of, or investments made by, the Fund.
The Fund will not be entitled to any economic benefit from such amounts, which will be for the
sole benefit of the Firm, as applicable.