Glossary

Short definitions for operators. The in-modeler glossary has 68 terms with more depth.

MOIC

Multiple on invested capital — proceeds divided by capital invested.

DPI

Distributions to paid-in — cash returned to LPs relative to paid-in capital.

TVPI

Total value to paid-in — DPI plus remaining NAV over paid-in.

Carry

GP share of profits after hurdle, typically 20%.

Hurdle

Preferred return LPs receive before carry, often 8%.

Liquidation preference

Senior claim on exit proceeds, often 1x invested capital.

Participating preferred

Takes preference then shares leftover with common.

Conversion

Preferred converts to common when that yields more than preference.

SAFE

Simple agreement for future equity; modeled as converting at exit.

FD shares

Fully diluted share count including options and convertibles per assumptions.