IMS allows you to plan, request, and collect commitments for new capital raises. This tool can be very helpful when exploring new markets or trying new asset classes. When investors commit to contributing capital, Sponsors choose when and how much of the capital will actually be called. When Sponsors are ready to call capital, IMS allows you to notify investors of current capital needs, track incoming capital, and easily calculate outstanding capital.
Step by Step
For our Capital Calls and Commitments feature, it is recommended to create a new Project. Click here to learn how to create a new project.
Once you have your project built out, navigate into the desired class to create a sales offering. Click the … at the top right. Click Edit Sales Offering. Add the Offering information, Escrow, Tile, and Offering Details. Publish your project.
Navigate to the Project Summary section of your project. Click the Commitments tab. Click Create Commitment.
Click Get Started. Add your Commitment name. Click Next.
Add your Goal Amount and any other required fields.Note the option to Equally distribute on the goal amount. This will equally distribute the total goal amount amongst the contacts that you have chosen. Click Add Investors.
Select the applicable class. Select the desired investors from the left column and click >> to add them to the right column who will be included in the commitment. Note the option to Select All Investors and Add Additional Class. Click Apply. All of the contacts that were added to the right column will appear in the commitment table at the bottom.
You have the option to add more investors to your commitment list with the Add Investors button. You also have the ability to tweak the numbers for each contact (make sure the total commitment amount is not over the goal amount). Click the trash button on the right to delete a contact from the commitment list. If you receive a commitment amount from a contact (a verbal commitment, for example), type the amount for the applicable contact on the right. To choose specific contact to send a Request Commitment email, click those contacts’ checkboxes. After that, click Request Commitments.
You’ll receive a notice of the commitment requests. If this is what you choose to do, click Yes, Send.
Investors will receive an email similar to the one below. Here, an investor will click Confirm Commitment and proceed to login to their investor dashboard, go through the investment wizard, sign the DocuSign document to complete the commitment.
You can click into that Commitment to send more commitment requests and update the committed amount if need be (in the case that you receive a verbal or hard copy commitment).
To create a capital call, navigate to the Project Summary page of the applicable project. Click the Capital Calls tab. Click Add Capital Call.
Click Get Started.
Add your Capital Call name. Choose the Associated Commitment if applicable. Note that you do not need to associate a Capital Call to a Commitment. Click Next.
Add your Call Amount and any other required fields. If your Capital Call is tied to a Commitment, there will be a Funds Outstanding balance (under Call Amount) that shows the available funds associated to the Commitment. The option to Equally call based on the Commitments Outstanding will allocate the Capital Call per investor based on the outstanding Commitment amount.
Feel free to tweak the requested amount for each contact (make sure the total requested amount is not over the call amount). Many of the prompts are similar as the commitment page (trash icon to delete, etc.). Choose the desired contacts to request funds by clicking the checkboxes and clicking Request Funds. If you would like to request funds for all contacts on the list, click Request Now in the yellow bar.
When all the information is accurate, send the request to the desired contacts. Click Yes, Send.
Navigate back to the project summary to see a rollup of all the commitments requested, the committed amount, contributed amount, and the total being called. Note the dropdown defaults to All Capital Calls. Click the dropdown to drill into a particular capital call (if you have more than one capital call in the system). To update payments, click the Transactions tab above the list of investors.
As you receive checks, wires, etc., track this information in the Transactions tab. If someone paid the funds you requested in full, simply click the blue dropdown arrow to add the total in the Amount Received column. Choose the applicable Investment Date, Received On Date, and Payment Type. The Status will automatically update. Completed means the payment was paid in full, Incomplete means the payment has not been paid in full yet, and Pending means that no payment has been received yet.
When you have received all funds for the capital call, click the checkbox to close the capital call.
Click Confirm to close the capital call.
All Closed Capital Calls will be in the Closed tab.