FC Capital Management LLC

Item 5 - Fees and Compensation

Management Fees
The Funds generally pay the Adviser an annualized management fee of up to 2.0%, as set forth
below, and as further described in each the Fund Governing Documents (the “Management Fee”).
The Management Fee is typically paid quarterly in advance and is deducted from the applicable Fund.
Initially, each Fund pays the Management Fee on each investor’s committed capital. After the
investment period and upon the happening of certain other events, as described in detail in the Fund
Governing Documents, the percentage fee of the Management Fee may be reduced.

Other Fees
The Adviser may also receive additional compensation directly from portfolio companies,
including director fees, consulting fees, monitoring fees, transaction fees, advisory fees, and
break-up fees. All such amounts are applied as an offset against the Management Fee.

Expenses
In addition, each Fund is also responsible for certain of its operating expenses including, without
limitation, legal, accounting, tax, auditing and administrative fees, as outlined in its Fund Governing
Documents. The Funds will bear, or reimburse the General Partner, the Adviser, and their Affiliates for,
all expenses incurred in operating the Funds and managing their current and prospective Portfolio
Investments, including organizational and placement costs; all expenses related to sourcing, evaluating,

diligencing, negotiating, acquiring, managing, monitoring, financing, and disposing of Portfolio
Investments (whether or not consummated); professional service fees such as legal, accounting, audit,
tax, valuation, administration, custodial, banking, consulting, and outsourced fund administration; fees
and expenses associated with unconsummated transactions and forfeited deposits; costs of maintaining,
winding up, and liquidating the Funds and the General Partner; taxes and governmental charges;
brokerage and trading-related commissions; Advisory Committee fees and expenses; costs of investor
meetings; all borrowing-related interest, fees, and expenses; litigation, indemnification, and
dispute-related costs; fees of Frontier Growth Partners, operating partners, and other consultants;
regulatory, compliance, registration, and filing costs; liability insurance premiums for covered persons;
distribution-related expenses; costs incurred by the General Partner as Partnership Representative;
investor communication and reporting costs; expenses related to amendments, waivers, and consents for
the governing documents of the Funds, the General Partner, the Adviser, and their Affiliates;
Management Fees; Transfer Expenses; and all other authorized expenses relating to the Funds and their
Portfolio Companies, including those incurred on behalf of any Alternative Investment Vehicle. These
expenses may be paid from income, reserves, borrowings, or capital calls. The Funds are also responsible
for “broken-deal” expenses for abandoned transactions, except where co-investing entities are required
to bear their pro rata share. Each Fund is also responsible for brokerage commissions and custodial
fees paid to third parties.

Miscellaneous Information about Fees and Compensation
To the extent an Advisory Agreement is terminated, management fees will be charged on a pro rata
basis through the date of termination, and any fees paid in advance but not earned will be refunded.
Notwithstanding the foregoing, the Adviser may negotiate or set a management fee different from the
foregoing with respect to any Fund it manages.

Additional information related to the foregoing fee discussion is set forth below under Item 6
“Performance-Based Fees and Side-By-Side Management” and Item 12 “Brokerage Practices”.

Item 7 - Types of Clients

The Adviser currently provides investment advisory services exclusively to the Funds which are the
Adviser’s clients, subject to the direction and control of the General Partner of each Fund, and not
individually to the limited partners of a Fund.

Minimum Investment Requirement for the Funds
The minimum investment requirement for the Funds generally ranges between $100,000 to
$5,000,000. However, the General Partner of each Fund, in its sole discretion, may permit investments
that are less than the required minimum investment commitment set forth in the applicable Fund’s
Governing Documents.