Section Partners Management is a venture capital firm that manages private investment funds. These funds provide financing to stockholders and option holders of high-growth, late-stage, venture-backed companies. Investments are made based on the strategy outlined in each fund's documents. The firm's services are tailored to meet the investment objectives of the funds, and Section Partners has the authority to select investments without consulting the fund's investors.
Fee Structure
Section Partners manages investments for private funds, not individual investors. The firm receives a quarterly management fee based on a percentage of each investor's capital account, typically between 1.75% and 2%. The firm also receives a carried interest equal to 20% of realized profits. These fees are deducted from the fund's assets.