There is normally a hurdle rate (an annual required return of 7-10%) that general partners should accomplish before performance charges are enabled to be taken. The structure of these efficiency fees encourages the partners of private equity companies to produce large returns; they are meant to line up the interests of the general partner with the minimal partners - .
PE Firm Focus There are various types and tyler tysdal denver sizes of private equity companies and funds. . A private equity firm might have multiple funds that can specialize in either a specific industry or a specific geography. Private equity companies create funds to concentrate on locations where they think that can produce value for business. private equity tyler tysdal.