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.
To create a Capital Call, navigate to the Project Summary page of the applicable project. Select the Capital Calls tab. Select Add Capital Call:
Select Get Started:
Add your Capital Call name. Choose to associate the Capital Call to an open Commitment, if applicable.
Add your Call Amount and any other required fields. If your Capital Call is tied to an open Commitment, there will be a Funds Outstanding balance (under the Call Amount field) that shows the available funds associated with 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.
Before requesting funds, make sure to enter escrow instructions for the entity from which you are running the Capital Call. For step-by-step instructions, select the following link: How to add escrow instructions for Capital Call. You can change the requested amount for each contact if you need to; just make sure the total requested amount is not over the Call Amount. Many of the prompts are similar to the commitment page (trash icon to delete, etc.). Choose the desired contacts, and then select the Request Funds button. If you would like to request funds for all contacts on the list, click Request Now in the yellow banner. Please Note: If you do not need to send the Request Funds notification you can select Save to skip to the tracking of each transaction in the Transactions tab.
When all the information is accurate, select Yes, Send to send the Request Funds portal notification to your investors. If needed, this can be edited beforehand by going to Investor Settings > Portal Notifications > Request Funds
The investor will receive an email similar to the image below, pulling in the escrow instructions you entered for the entity prior to requesting funds.
Navigate back to the Project Summary to see a rollup of the Commitments Requested, the Committed amount, Contributed amount, and the total Being Called. Note the dropdown defaults to All Capital Calls. Select the dropdown to drill into a particular Capital Call (if you have more than one capital call in the system). To update payments, select the Transactions tab above the list of investors.
As you receive checks, wires, etc., this information is tracked in the Transactions tab. If someone paid the funds you requested in full, simply click the blue right 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 under the Status column 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, from the All Capital Calls drop-down, select the Capital Call and select the checkbox to close the capital call.
Select Confirm to close the Capital Call.
All Closed Capital Calls will be in the Closed tab.
Select View Details to see a summary of the closed Capital Call. Select Reopen Capital Call if you wish to reopen at any time.