Sponsor and broker compensation includes a $732,450 acquisition fee, $1,464,900 in commissions, $488,300 dealer fee, and $488,300 O&O expenses.
Front-end fee composition
Acquisition Fee$0.73M3.00%
Dealer Fee$0.49M2.00%
Total front-end sponsor compensation$2,441,500 11.76% of acq. cost
Acquisition Fee
$732,450
3.00%
Dealer Fee
$488,300
2.00%
Total Front-end Fees
$2,441,500
11.76%
Strengths
- Fee structure is explicitly itemized across acquisition, dealer, and O&O categories
- Acquisition fee is capped at $732,450
Concerns
- Upfront fees and expenses equal 17.65% of acquisition cost
- Selling commissions total $1,464,900