ZBS Partners LLC

ITEM 5: FEES AND COMPENSATION

For certain Clients, ZBS generally charges management fees of up to 1.5% of Client assets annually.
Management fees are payable quarterly in arrears, deducted directly from Client Accounts. Investors are
generally not eligible for partial refunds in the case of early withdrawals or redemptions, but specific details
are set forth in each respective Client’s limited partnership agreement, limited liability company operating
agreement and/or private placement memoranda (collectively, “Offering Documents”).

ZBS’ Investors may also be charged performance-based fees. Performance-based fees are drawn from
Client Accounts either in the form of an incentive fee or a profit allocation (sometimes referred to as “carry”
or “carried interest”) and are generally paid either to a ZBS affiliate or subsidiary. Specific details regarding
any performance-based fees are set forth in each respective Client’s Offering Documents.

Fees for advisory services are negotiable. The Adviser, in its sole discretion, may waive or modify the
management fee and the performance fees for Investors that are members, employees or affiliates of the
Adviser, relatives of such persons, and for certain large, strategic or other Investors.

In addition, the Adviser or its affiliates does not currently, but may in the future receive transaction fees,
structuring fees, consulting fees, commitment fees, monitoring fees (including termination fees), directors’
fees (including fees derived from a position with similar status or function in respect of a limited liability
company), break-up fees, success fees, advisory fees, syndication fees or similar fees, or salaries, which
generally are paid for by portfolio companies. Certain of these aforementioned fees, to the extent existent,
may offset future management fees paid by the Clients.

Other Costs

Clients also generally incur organizational costs, as well as all costs and expenses with respect to the actual
or proposed acquisition, financing, holding, monitoring, or disposition of investments in portfolio
investments, whether such investments are ultimately consummated or not, including due diligence costs,

broken deal expenses, brokerage commissions, bank service fees, fees and expenses of custodians,
consultants, experts, travel and entertainment expenses incurred for investment-related purposes, outside
legal counsel, consultants and accountants, financing costs (including interest expenses), costs of insurance
(including liability insurance). Further, Clients generally bear the costs of accounting, valuation,
administration, tax and reporting functions for the Client and any litigation. To the extent applicable,
Clients may incur third-party brokerage commission and other transaction costs, as explained in further
detail in the Brokerage Practices section below.

In all cases, details concerning applicable fees and expenses are set forth in each respective Client’s
Offering Documents.

ITEM 7: TYPES OF CLIENTS

As discussed in the Advisory Business section above, ZBS provides investment management services to
private fund Clients, which in turn are offered exclusively to sophisticated investors.

Generally, the Clients have a stated minimum investment amount. ZBS has the discretion to waive
minimum investment requirements for investment in the Clients and has done so in the past.