due diligence before investing (series: pe, vc, and hedge funds demystified)

Due Diligence Before InvestingSERIES: PE, VC, AND HEDGE FUNDS DE-

MYSTIFIED 2017

Premiere Date: 11/7/2017This webinar is sponsored by: EisnerAmper

1

2

3

4

5

MODERATOR

Jonathan Friedland Sugar Felsenthal Grais & Hammer

PANELISTS

David Lorry Versa Capital Management LLC

John M. Muno Kirkland & Ellis LLP

Nabil Sabki Latham & Watkins LLP

Steven Schwab Thoma Bravo

MEET THE FACULTY

6

SERIES SPONSOR

7

ABOUT THIS WEBINAR

Private funds face strong challenges even before deploying their capital,

but knowing when and where to source new investments requires an

entirely different set of problem-solving skills. Professionals at private

funds have to scrutinize target assets with quantitative and qualitative

research and other due diligence.

In this webinar, we discuss the performing due diligence from the

perspective of private equity, venture capital and hedge fund

professionals. This webinar also touches on the due diligence a potential

investor in a private fund should do on the fund.

8

ABOUT THIS SERIESMany people are familiar with the terms private equity, venture capital and hedge fund, but few can actually define how each investment vehicle operates or makes money. Thanks to their seemingly complicated nature and lucrative reputations, the PE, VC and hedge fund industries occupy an almost mythic (and sometimes infamous) status for Americans. The combination of mystery and wealth creates a vacuum for misinformation and mistrust.

This webinar series de-mystifies these private funds, explaining their similarities and differences from other investment vehicles and from each other- from the legal, financial, and investment mandate perspectives.Each episode is delivered in Plain English understandable to business owners and executives without much background in these areas. Yet, each episode is proven to be valuable to seasoned professionals. As with all Financial Poise Webinars, each episode in the series brings you into engaging, sometimes humorous, conversations designed to entertain as it teaches.

And, as with all Financial Poise Webinars, each episode in the series is designed to be viewed independently of the other episodes, so that participants will enhance their knowledge of this area whether they attend one, some, or all of the episodes.

9

EPISODES IN THIS SERIES

EPISODE #1 What is a “Private Fund?”9/19/2017

EPISODE #2 Basics of Fund Formation10/10/2017

EPISODE #3 Capital Raising10/24/2017

EPISODE #4 Due Diligence- An Overview of 11/7/2017

What Investors Should Consider in Picking a Fund and What a Fund Should Consider in Investing its Capital

Dates shown are premiere dates; all webinars will be available on demand after premiere date

10

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

11

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

12

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

13

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

14

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

15

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

16

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

17

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

18

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

19

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

20

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

21

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

22

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

23

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

24

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

25

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

26

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

27

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

28

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

29

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

30

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

31

INSERT SLIDE TITLE

• Insert content

• This is a standard content slide. To add more of this slide, select it in the left sidebar, right click it, and click “duplicate slide”.

32

ABOUT THE FACULTY

33

JONATHAN FRIEDLANDjfriedland@sfgh.com

Jonathan Friedland is a partner with Sugar Felsenthal Grais & Hammer, LLP, with offices in Chicago and New York. Jonathan regularly advises private funds in their M&A activity and private companies in their day-to-day affairs. Jonathan has extensive experience in guiding companies and their boards through a variety of challenging situations, including in Chapter 11 and other insolvency regimes.

Jonathan graduated from the SUNY Albany, magna cum laude, in 1991 (after three years of study) and from the University of Pennsylvania Law School in 1994. He clerked for a federal judge before entering private practice. He was an Adjunct Professor of Strategic Management at the University of Chicago’s Graduate School of Business for several years and was the 2006 Clayton Center for Entrepreneurial Law Visiting Professor of Business Law at the University of Tennessee College of Law. Jonathan has been profiled, interviewed, and/or quoted in numerous publications, including Buyouts Magazine; Smart Business Magazine; The M&A Journal; Inside Counsel; LAW360; BusinessWeek.com; The Bankruptcy Strategist; Dow Jones Daily Bankruptcy Review; Bankruptcy Court Decisions; Dow Jones LBO Wire; and The Daily Deal. Jonathan is also lead author and editor of several significant treatises, several chapters in other treatises, and hundreds of articles on law and business. Jonathan holds the highest possible rating from Martindale-Hubbell (AV® Preeminent™) and AVVO (10/10), has been repeatedly recognized as an Illinois “superlawyer” in multiple areas of practice, including Business/Corporate Law and Bankruptcy & Creditor/Debtor Rights, has been named several times as a “Leading Lawyer” by Leading Lawyers Magazine, and has received several other similar distinctions. He is also the founder ofDailyDAC/Financial Poise.

ABOUT THE FACULTY

34

DAVID LORRYdlorry@versa.com

David S. Lorry is a Managing Director & Senior Counsel at Versa Capital Management, LLC in Philadelphia. Mr. Lorry has more than 20 years of business and legal experience advising clients in a range of industries, helping them solve a variety of business issues and execute business transactions. Mr. Lorry began his professional career as an attorney, practicing corporate, insolvency and commercial law for 7 years, after which he became an investment banker.

Mr. Lorry has experience with bankruptcy, mergers and acquisitions, capital raising, commercial lending, general corporate transactions, and related matters. He received his undergraduate degree in from Duke University, cum laude, and earned his law degree from George Washington University National Law Center, with Honors.

ABOUT THE FACULTY

35

JOHN M. MUNO

john.muno@kirkland.com

John Muno is a partner in the Investment Funds Group at Kirkland & Ellis. He focuses on advising private equity fund sponsors in connection with structuring, forming and operating private equity funds and related management companies. John has represented sponsors in numerous private equity fund formations across a wide range of strategies, including leveraged buyouts, distressed investments and secondary investments. He also advises clients on a variety of general corporate counseling matters, including operations, deal-structuring and regulatory compliance. John has been recognized for his work in private equity funds by The Legal 500 U.S.

John’s practice has an emphasis on representing fund sponsors in forming private equity funds with fund sizes ranging from approximately $50 million to over $1 billion. Representative clients include: Brockway Moran & Partners, CIVC Partners, LaSalle Capital Group, Monomoy Capital Partners, Nautic Partners, Paul Capital Partners, Peak Rock Capital, Pfingsten Partners, Prospect Partners, Thoma Bravo, Thompson Street Capital Partners and Wind Point Partners.

ABOUT THE FACULTY

36

NABIL SABKInabil.sabki@lw.com

Nabil Sabki is a Partner of Latham & Watkins in Chicago whose practice focuses on the representation of financial service companies, such as registered investment advisers, private equity and hedge fund managers, private investment funds, registered mutual funds and business development companies. He has significant experience forming and representing various private funds and their sponsors, including both domestic and offshore hedge funds.

In addition, Mr. Sabki advises clients in connection with complex financial services related transactions, including mergers and acquisitions, joint ventures and private securities offerings. Mr. Sabki represents numerous registered investment advisers in connection with ongoing regulatory and compliance matters arising under both the Investment Advisers Act of 1940 and the Investment Company Act of 1940. He also frequently advises clients with respect to SEC and SRO inspections and inquiries as well as advises companies with respect to investment company status issues under the Investment Company Act of 1940.

ABOUT THE FACULTY

37

STEVEN SCHWABsschwab@thomabravo.com

Steven Schwab joined Thoma Bravo as its Director of Compliance and Legal in 2015 and is based in Chicago. In his role, Steven is responsible legal, compliance and regulatory matters at Thoma Bravo including the design, implementation and operation of its compliance program. Prior to joining ThomaBravo, Steven has held senior legal and compliance positions, including General Counsel and Chief Compliance Officer, at investment managers and broker-dealers. Before moving in-house, he practiced law in the Financial Services Groups at Winston & Strawn and Katten Muchin Rosenmanin Chicago where he advised clients across the spectrum of regulated financial services firm.

Steven earned a JD degree, cum laude, from Loyola University School of Law in Chicago and a BA degree from Miami University in Oxford, Ohio. Steven has also held FINRA Series 7, 24 and 56 registrations.

38

39

40