ITEM 5: FEES AND COMPENSATION
Description
Garelick Capital is typically paid a management fee based on a percentage of net
assets under management of the applicable Portfolio. Our standard fee schedule
includes an annual management fee rate generally ranging from 1.5% to 2.0% per
annum of net assets under management, depending on the applicable class of
shares/interests. Notwithstanding the foregoing, we may agree to other fee schedules
for any Advisory Client or Portfolio from time to time, and in addition, we have the
right to waive or reduce the management fees in any instance (including for a
particular investor or group of investors in a pooled vehicle), in our discretion.
In addition Garelick Capital, or its affiliate Garelick Capital GP, LLC (“General
Partner”), receives, as general partner of the Master Fund, will incentive
compensation from the Master Fund, which may be in the form of an incentive fee, or
in the form of a special allocation of profit of the Master Fund (with each of the
Delaware Feeder and the Cayman Feeder Assessed their respective pro rata share of
such allocation based on their respective capital accounts in the Master Fund). The
incentive fee/allocation from the Master Fund will generally calculated and made as
of each fiscal year‐end based on the (realized and unrealized) appreciation in the net
asset value of each capital subaccount (a separate book entry capital subaccount is
maintained for each capital subscription to the Fund), subject to a high water mark.
An incentive fee or allocation will also be assessed prior to year end with respect to
capital withdrawn from any capital subaccount prior to year end. The general rate of
the incentive fee/allocation will be twenty percent (20%) of the value of a capital
subaccount in excess of the relevant high water mark, provided that we expect to
offer a reduced allocation to early investors in the Fund who make a substantial
investment and we reserve the right to agree to differing terms with any particular
investor. Once made, an incentive fee/allocation will not be subject to return or
reallocation in the event of losses incurred in later periods.
In addition, we and/or our affiliates receive management fees and incentive
compensation (performance fees or incentive allocations) from other Advisory Clients
in connection with the management of their Portfolios, which differ from the fee
Garelick Capital Firm Brochure
Part 2A of Form ADV 6 March 27, 2019
B4811701.1
schedule set forth above, which relates to the Master Fund. Fees may be determined
and negotiated separately per Advisory Client and are as set forth on the definitive
agreements entered into by such Advisory Client with us.
Fee Billing
Our typical schedule charges management fees, which are deducted from Advisory
Client’s assets, on a monthly basis, in advance. However, Advisory Clients may differ
as to both the payment interval (monthly, quarterly, etc.) and calculation (advance,
arrears). Incentive compensation, where applicable, is generally payable at fiscal year‐
end, or on an earlier withdrawal of capital (with respect to the amount withdrawn).
Other Fees or Expenses
All administration, custody, brokerage, resident agent, outside director or advisory
board member and similar fees, and all other operating, organizational and offering
expenses of a Fund or other Advisory Client paid directly by the Fund or other Advisory
Client, as further detailed in the definitive documents governing the applicable
Advisory Client’s relationship with Garelick Capital.
Participation or Interest in Client Transaction
Neither Garelick Capital nor any of our related persons engage in the purchase or sale of
securities to or from customer accounts (principal transactions), nor do they act as agent
or broker for any other person in transactions in which customer securities are bought or
sold.