Organisational Expenses - the cost of setting up a Fund
The cost of establishing an offshore fund can vary widely and is dependant upon a number of factors, including:
a) The jurisdiction in which the fund company is incorporated;
b) The structure of the fund (for instance, whether it is a closed or open ended fund as a single manager or multi manager / umbrella fund);
c) The cost of establishing a subsidiary trading company if required, for asset protection or tax planning reasons;
d) The cost of establishing a management or investment management company if required;
e) The cost of primary and additional legal and professional advice, which may be required, for example, to enable the fund to be marketed in certain jurisdictions;
f) The cost of retaining US attorneys, if US Persons are to be accepted into the fund, which cost will also include "Blue Sky Law" registration fees, as required;
g) The Cost of establishing a Master-Feeder Fund, including an additional limited partnership as another Feeder Fund into the Master Fund.
h) Additional organisational costs to be considered include the promoter's own development and promotional costs, the printing and distribution of the offering documentation and investment (sales) memoranda and, if a listing on The Irish Stock Exchange is required, The Irish Stock Exchange and Sponsor's fees.
Ultimately, the cost of establishing a fund will depend on the attorney(s) retained and can vary from circa €20/30,000 for a single Carribean fund using a local lawyer, to €150,000 or more for a complex multi-feeder fund structure utilising two or more top line attorneys.
It must be understood that these fees are indications only. Custom House will provide a firm quotation upon completion of the Questionnaire, which is available upon request (see the Feedback Facility page).
Furthermore, the Custom House turnkey package fund organisation fee does not include, inter alia:
i. design or printing of any of the documentation, which is provided to 'word processor' finish; or
ii. any legal fees and other disbursements, such as Government Fees, or other out of pocket expenses, other than the agreed fees of the local attorney in the domicile of the Fund; or
iii. translation costs, if any; or
iv. any set up costs charged by other service providers.
Irish Stock Exchange Listing Expenses
The cost of applying for a listing of the fund's shares on the Irish Stock Exchange, which cannot be quantified in advance, are likely to range from between EUR10,000 and EUR15,000, depending on the complexity of the application and the problems faced in obtaining the Listing and, therefore, the number of submissions of the listing application to the Irish Stock Exchange. The fees include the Sponsor's fees, but exclude disbursements.
The cost of applying for a listing on any other Stock Exchange can be provided on request.