Case Study – Waterfalls Structure Explanation

In this case study, Fernando Angelucci looks at preferred returns.

First, it is important to understand what a preferred return is. Basically, what this means is that whoever puts in money in the deal, they are gonna get their income first as the preferred return party.

In dealing with this, it is important to know if it is an absolute preferred return or an annual one. And there is a big difference between the two.

Learn more about what a Preferred Return is and how it can relate to your business in this 5-minute video.