Business Pitch Dictionary by pitch.dog
Exits, liquidity & investor returns · Core

Management fee

Also called: fund management fee

ELI5

Money paid to the fund manager for running the fund.

Used in conversation

“The management fee steps down after the investment period.”

Definition

A recurring fee paid to a fund manager to operate the fund.

Here “Management fee” means: A recurring fee paid to a fund manager to operate the fund.

Pitch context

You will see “Management fee” in fundraising decks, data rooms, term sheets and investor conversations when the discussion reaches exits, liquidity & investor returns.

Why it matters: In exits, liquidity & investor returns, a loose definition can change rights, obligations, approval, disclosure or enforceability.

Caution

Meaning, enforceability and required process vary by jurisdiction and agreement; this definition is not legal advice.

Sources & evidence · 6

Direct term-level sources and supporting source families.