Kim Kardashian’s $1B Fund – How She Did It Exposed – Investment Banking – Capital Raises

I’m going to explain how Kim Kardashian’s 1 billion private equity fund is structured. And if you wait till the end, you’ll be able to take notes to see how you can build one for yourself, mainly to buy real estate or to purchase businesses. So the way that she structured it, if you pay really close attention, generally.


For billion dollar funds and looking at our co founder who works at Carlyle, the largest private equity fund conglomerate in the world. It’s likely that they’re going to purchase revenue generating e commerce businesses in those niches. The way that many private equity funds are structured, usually have a general partnership and a limited partnership.

But because this is more institutional, you also have something called the investment manager. Sky Partners is the name of the firm, and it’s likely that Sky Partners is going to create multiple funds. Their first fund, they say that they’re going to raise one billion dollars. Kardashian’s interview in New York, when it launched, it was revealed that she’s not really going to quote unquote do much of the financial stuff.

She’s going to focus more on building and growing the companies. So it’s likely that she’s going to use her giant brand. To pump and promote the companies that they acquire and it makes sense that she made a big shift to go into private equity Because as she was working on cryptocurrency, she was fined over 1 million dollars for getting 250, 000 for not Notifying people that she was actually paid to promote a token So Jay Sammons her co founder works at Carlyle Group and assisted in raising multiple billions of dollars in managing Almost a 400 billion in private equity deals.

So, it’s likely that he’s going to be the one focused on capital raising. And he’s going to be the one focused on the creation of the entities and the setup and everything. Kim Kardashian and Jay Sammons are partners in the general partnerships that they create. If they create investment managers, which are underneath the general partners, it’s likely that That would be shared by them both as well.

And the limited partnership, that’s where the billion dollars would go for the limited partners who want to invest. So those people that want to invest, they’re going to put money into that limited partnership. And Jay Sammons would likely be the one selling and promoting it to his buddies from Carrel Group, and the ones that he made friends with, as long as it fits within his contracts.

And after they acquire the deals, it’s likely that the general partner would put some of their money in. But the idea is that Kim Kardashian would likely… Reach out to different companies like makeup companies and simply promote using the makeup, for example, and pump up the sales of the companies. And this will also bump up the valuations of the companies.

And so the reason why this is really likely going to be companies that are already existing and are already generating money because if you just look at the business partner, Jay Sammons, he works at several private equity funds at Carlyle Group. That’s what he used to do. And These funds usually are for companies that are already existing, already have track record, and already have money.

In general, it’s easier to raise money for deals that already have made money, rather than deals that haven’t made money. Venture capital funds, it’s likely that a billion dollar fund wouldn’t be a venture capital fund. And then that’s it. And then all that happens is that the general partners Kim and Jay Sammons are going to get, and obviously the investment manager, they’re going to get a percentage of all the money that they manage.

And usually there’s a 2 percent management fee and they’re also going to get a performance fee. Now this performance fee would be negotiated, but if there’s a number called an internal rate of return, and this in plain English is just going to be the amounts that the deal generates compound. The higher this number goes, the more the general partners would take.

For example, if there’s, let’s say a 12 percent IRR, General partners may charge a 20 percent fee on the profits from the internal rate of return. But if it’s higher, they may charge like 30 percent on that internal rate of return. It really depends on how much they make for their investors. And that’s pretty much it.

And then the fund may have a term of five years. That’s usually what they have, but it’s usually based on plan that Kim Kardashian is going to make with these companies. For example, if she buys, if the fund wants to acquire like a bikini company or something and Kim Kardashian wears the bikini company wears the bikini on her and then promotes it all over the place and talks about in the news and on social media then it’s really clear home run because the sales are going to increase like crazy and that is going to increase the value and then the returns of the entire fund and then they’re going to probably get multiple deals like this so that it can diversify their portfolio.

Chris Jenner is also working with them on this. And so her billion dollar brand is also going to help. And that’s about, that’s pretty much how it usually is structured in a nutshell. And it’s likely that they’re going to do something called the 506C Regulation D. It’s likely that they’re going to do something called the Regulation D 506C Exemption, which allows them to raise an unlimited amount of capital from accredited investors only.

And the key takeaway that you have to learn from this is that if you’re creating a private equity fund, you need to have a strong way to grow. The private equity fund, and you have to have a strong way to get eyeballs on a private equity fund. Kim Kardashian said it herself. She’s not really going to focus on finance.

She’ll focus more on growing the businesses. In the businesses that you acquire, whether it be in real estate or mergers and acquisitions, it really makes sense to partner with somebody who can get eyeballs on your deals, not just for the investor side, but more for the side to actually grow the business.

Because if you have deals that have a strong business plan and they make money, In theory, it really shouldn’t be hard to find the right investors. Most people struggle because they have, they don’t have investors, but it’s partly because some of the deals that they work on are deals that can’t make enough money for them.

So with this, go get it done, copy the strategy, make a general partnership, an investment manager, a limited partnership, partner with somebody that can get a lot of growth in the businesses that you acquire that are revenue generating businesses, and then have somebody else who focuses on the capital raising and growing that team.

So with this, make sure that you head to

Kim Kardashian’s $1B Fund – How She Did It Exposed – Investment Banking – Capital Raises

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