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2025 Audit Now © ALL RIGHTS RESERVED

LP Commitment Evaluation Checklist

A comprehensive checklist for evaluating and vetting potential limited partners (LPs) in venture capital and private equity funds, ensuring alignment, compliance, and long-term partnership potential.

LP Commitment Evaluation Checklist

by: audit-now
4.7

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About This Checklist

The LP Commitment Evaluation Checklist is a crucial tool for venture capital and private equity firms to assess potential limited partners (LPs) before accepting their commitments. This comprehensive checklist ensures thorough vetting of prospective investors, helping maintain fund integrity and compliance with regulatory requirements. By systematically evaluating LP credentials, financial capacity, investment history, and alignment with fund strategy, VC and PE firms can build a strong, reliable investor base and foster long-term partnerships that drive mutual success.

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Industry

Financial Services

Standard

ILPA Principles

Workspaces

Investment Firm Offices

Occupations

Fund Manager
Investor Relations Specialist
Compliance Officer
Legal Counsel
Managing Partner
Does the potential LP's investment strategy align with our fund's focus?
What is the LP's committed capital amount?
​
Min: 1
Target: 10
Max: 100
Has the LP completed all required due diligence documentation?
Is the LP classified as an institutional investor?
How has the LP performed in previous fund investments?

FAQs

The checklist covers LP financial capacity, investment history, regulatory compliance, alignment with fund strategy, and commitment to long-term partnership.

The checklist should be reviewed and updated annually or when there are significant changes in regulatory requirements or industry best practices.

Yes, the checklist can be customized to address specific requirements of various fund types, such as venture capital, growth equity, or buyout funds.

Fund managers, investor relations professionals, compliance officers, and legal teams in VC and PE firms use this checklist during the LP onboarding process.

By ensuring a high-quality LP base, the checklist helps create a stable funding environment, potentially leading to better fund performance and easier future fundraising.

Benefits of LP Commitment Evaluation Checklist

Enhances investor quality and fund stability through rigorous LP screening

Mitigates risks associated with non-compliant or unreliable investors

Improves fund governance and regulatory compliance

Facilitates better alignment between LP expectations and fund strategy

Strengthens long-term relationships with high-quality institutional investors