For private equity professionals
Your compensation unfolds over a decade. Your prenup should account for that timeline.
Carried interest, GP commitments, and co-investments are not realized on a paycheck schedule. They span fund lifecycles of seven to twelve years, overlap across vintages, and carry contingent obligations like clawbacks. A prenup for PE professionals needs to address wealth that is measured in decades, not quarters.
$5,000 flat fee. Two independent attorneys.
Fund lifecycle and your prenup
A single fund spans a decade. Most PE professionals have several running in parallel.
Each phase of a private equity fund creates different prenup considerations. The timeline below shows why PE compensation cannot be treated like a salary or even like publicly traded equity.
Investment period
Years 1 through 5Capital is called from LPs and deployed into acquisitions. Your GP commitment is drawn down during this window. Carry is allocated but has no realized value yet.
Prenup considerations
Carry granted during the marriage but not yet realized raises questions about how to characterize an asset that may not produce income for years. Your attorney can help address capital calls made with marital funds versus pre-marital reserves.
Harvest period
Years 4 through 8Portfolio companies are improved operationally, recapitalized, or prepared for exit. Some early distributions may begin. The bulk of carry remains unrealized and subject to fund performance.
Prenup considerations
Partial distributions may begin arriving while other positions are still maturing. A prenup can address how early distributions are treated differently from the underlying carry position that generated them.
Distribution and wind-down
Years 7 through 12+Remaining portfolio companies exit. Final distributions flow to LPs and then to carry holders. Clawback calculations are finalized. The fund formally winds down.
Prenup considerations
Clawback provisions mean that carry distributed in earlier years could potentially be returned if the fund underperforms on a whole-fund basis. Your attorney can review how contingent obligations are addressed alongside realized distributions.
What a prenup can address
PE compensation has distinct components. Each one raises different questions.
Carried interest
Timing of carry grants
Carry allocated before the marriage may be treated differently from carry allocated during the marriage, even within the same fund. The grant date, not the distribution date, may be the relevant marker.
Unvested versus vested carry
Many firms vest carry over 3 to 5 years with forfeiture provisions. A prenup can distinguish between carry that has vested and carry that remains subject to continued employment.
Distributions versus underlying positions
Cash distributed from a fund is different from the right to receive future distributions. Your attorney can help you think through how realized and unrealized carry are addressed separately.
Other PE compensation
Management fees and salary
Annual management fees (typically 1.5% to 2% of committed capital) fund the firm and your salary. These are current income, distinct from the long-duration carry that represents the bulk of PE wealth creation.
Co-investment rights
PE professionals often co-invest personal capital alongside the fund, typically on a no-fee, no-carry basis. These positions are separate assets with their own liquidity timelines.
GP fund commitment
General partners typically commit 1% to 5% of fund capital personally. This commitment is locked up for the life of the fund and returned with gains or losses at wind-down. It may be funded from pre-marital or marital assets.
Your path forward
Three steps. No hourly billing.
Neptune handles the complexity of multi-fund structures so you can focus on the conversation with your partner rather than the logistics.
Complete the guided intake
Neptune asks about your fund positions, carry allocations, GP commitments, and co-investments. You describe the financial picture once, and both attorneys receive a clear summary.
Each partner consults their attorney
Two independent, licensed attorneys review your situation separately. Each partner gets a free consultation to discuss how PE compensation is addressed in the agreement.
Finalize and sign
Your attorneys negotiate terms, draft the agreement, and guide you through execution. The process accounts for multi-fund structures without requiring separate amendments for each vintage.
Transparent pricing
One flat fee covers everything
$5,000
per couple, regardless of complexity
No hourly billing. No per-fund surcharges. Rush pricing when the wedding is within 45 days.
Start your prenupCommon questions from PE professionals
How is carried interest valued before it produces distributions?
Unrealized carry is difficult to value because it depends on future fund performance, exit timing, and market conditions. A prenup does not necessarily need to assign a dollar value to unvested or unrealized carry. Instead, your attorney can help you describe a framework for how carry is characterized and addressed based on when it was granted, when it vests, and when distributions occur. Rules for how deferred compensation is treated differ by state.
What about carry across multiple fund vintages?
Senior PE professionals often have carry positions in three to five overlapping funds, each at a different stage of its lifecycle. A prenup can be structured to address current fund positions and establish a framework for future fund allocations granted during the marriage. This means the agreement does not need to be amended every time your firm raises a new vehicle.
How are clawback provisions handled?
Many PE fund agreements include clawback provisions that could require returning previously distributed carry if the fund underperforms on a whole-fund basis. A prenup can address the contingent nature of carry distributions and describe how potential clawback obligations are treated. Your attorney can review the specific clawback terms in your fund agreements.
Is my GP commitment treated as a marital or separate asset?
The characterization of a GP commitment may depend on when the capital was called and whether it was funded from pre-marital savings or marital income. Rules differ by state, and your attorney can review what applies where you live. A prenup can clarify how the commitment itself, and its eventual return with gains or losses, is addressed.
What does Neptune cost, and how long does it take?
Neptune charges a flat fee of $5,000 per couple, which covers two independent attorneys (one for each partner). No hourly billing regardless of how many fund positions or entity structures need to be addressed. When both partners use Neptune attorneys, turnaround is typically around 3 to 4 weeks. Rush pricing applies when the wedding is within 45 days.