How the Fund Works

See how a deal comes together — capital in, cash flow out.

An illustrative walk-through of the Belus Equity thesis, built around one hypothetical deal. It shows how raised capital acquires a business outright, and how its EBITDA is split each year between investors and the operator. Conceptual and educational only — not a specific offering.

Purchase Price$3.0M
Yearly Profit (EBITDA)$750K
Price ÷ Profit4.0x
  • Raised capital (of purchase price)100%
  • Debt / financingNone
  • Investor preferred return8% / yr
  • Fee when bought (acquisition)2.0%
  • Yearly management fee2% of business value / yr
  • Fee when sold (exit)2.0%
  • Profit split after preferred (LP / GP)70% / 30%
  • Profit growth per year6%
  • Sale price multiple at exit4.5x

A single hypothetical deal, sized to the thesis. Figures are illustrative only — not an offer, projection, or promise of any result.

Buy
Earn
Payout

The business is bought outright with raised capital. Investors (the "LPs") fund the entire purchase — there's no loan and no lender. That capital owns the whole business directly: the whole asset, its intellectual property, and every growth channel.

Structural Control Whole asset · IP · growth channels
Raised Capital (LP Equity)
Raised Capital
$3.0M
Debt
$0
Owned Outright
100%
Total Purchase Price $3.0M

The black frame is the point: raised capital grants structural control over the entire business, owned free and clear — the whole asset, its intellectual property, and every growth channel. No lender, no debt.

Buy
Earn
Payout

Every year the business earns profit (called "EBITDA"). It's distributed in a set order: the operator's management fee first, then investors' preferred return, then a catch-up for the operator, and finally the remaining profit is split between investors and the operator. Each row below shows where the money goes.

Investor payments are marked in green; operator payments in grey. The totals at the bottom show what each side receives from the year's profit.

The investor's position Two ways your capital compounds
Cash Distribution
$483K
Paid to investors this year — preferred return plus their 70% share of the leftover profit.
+
Equity Appreciation
building
The business is made more valuable each year — realized as a larger payout when it's sold.
Passive capital, two engines of return — cash in hand now, and a growing stake for later.
Buy
Earn
Payout

Investors make money two ways. First, steady cash payments each year the business is owned. Second, a larger payout when the business is eventually sold — ideally for more than it was bought for, because it was made stronger. The table shows how those stack up over 1, 3, and 5 years.

16.1%
Yearly cash return in Year 1How much cash comes back each year, as a share of what was invested — before any sale
Cash along the wayRegular payments while the business is owned.
A payday at saleThe big return when a stronger business is sold.
What you'd seeYear 1Year 3Year 5
Cash paid out so far
Extra value if sold now
Total value to investor
Total return on money in
Annualized return (IRR)
Average yearly cash yield

"Total return on money in" is everything received divided by what was invested. "Annualized return (IRR)" expresses that as a yearly rate. All figures are illustrative and depend on actual performance — not a promise or projection.

How each number is calculated
Total return on money in
Total money received÷Money invested
Everything you got back — yearly cash plus your share of the sale — divided by what you put in. 2.0x means you doubled your money.
Average yearly cash yield
Cash received in a year÷Money invested
The steady cash you get back in a typical year, before any sale — the "income" part of the return.
Annualized return (IRR)
Your total gainas ayearly % rate
Your whole return — yearly cash plus the sale — boiled down to one yearly percentage. It rewards getting money back sooner, since a dollar today is worth more than the same dollar years from now.
Total return tells you how much. Cash yield tells you how steady. IRR tells you how fast.
$0Liability
An investor's downside is capped at zero liability.
As a limited partner, an investor can never owe more than the money they put in. Every obligation sits with the deal entity — never with the investor personally. Their home, savings, and other assets are never on the hook. The most they can lose is their investment; they can never be asked for a dollar more.
The details

The operator (Belus Equity) earns a modest management fee each year, a small one-time fee when a business is bought and when it's sold, and a share of the profit — but only after investors get their preferred return first. The idea is simple: the operator wins when investors win.

$267K
Operator earns · Year 1
Management fee, catch-up, and profit share combined
16.1%
Investor Cash Return · Year 1
Yearly cash back on money invested
One-time fees
Fee when a business is bought2% of purchase price, at close — paid from raised capital
Fee when a business is sold2% of sale price, at exit
Ongoing fees
Management fee (AUM)2% of business value / yr, divided & paid monthly
Catch-upPaid to operator after investors hit their preferred return
30% profit shareOperator's 30% of what's left, after the catch-up (investors keep 70%)

Everything is on this page.
No hidden layer, no fine print. Every fee and every split that governs a deal is shown here in plain terms — you can trace each dollar from the business's profit all the way to an investor's pocket.
Total Funds Raised To Date
$2,450,000.00
Cumulative capital committed across Belus Equity acquisitions since inception.