You can launch a fund in 12 weeks. Or 12 months. It all depends on how ready you are, not just on paper, but in strategy, story, and structure. Here’s the only checklist you need to avoid “launch stall.”
Let’s Be Honest: Most Fund Setups Are Botched
- GPs start structuring before they've defined LP type or domicile
- They rely on legal teams who've never closed a cross-border fund
- They underestimate how long approvals and banking setups take
- They skip pre-mapping of marketing permissions and reverse solicitation risks
“A fund can be legally compliant and still commercially dead-on-arrival.”
The LP-Ready EU Fund Setup Checklist
1. Define Your LP Persona
- Are they retail, professional, institutional, or quasi-sovereign?
- What are their domiciles? (affects marketing regime)
- What reporting do they expect (ESG, SFDR, etc.)?
2. Choose Jurisdiction Based on Exit Horizon + Passporting
- Luxembourg, Ireland, France, Malta: pros and cons depend on fundraising zone
- How fast do you need to market?
- Will you need a marketing passport (AIFMD) or will NPPR suffice?
Read: AIFMD 2.0, what non-European fund managers need to know
3. Pre-Validate Substance Requirements
- Who are your directors, and where are they resident?
- Where will portfolio management be exercised?
- Do you have a compliant depositary and risk manager?
4. Align Legal Form with Strategy
- SCSp, SLP, SICAV, RAIF: different levels of protection, cost, flexibility
- Avoid unnecessary complexity unless LPs demand it
Read: what a Luxembourg SCSp is and how it works (FAQ)
5. Map Marketing Permissions
- Are you allowed to market to German LPs? (hint: BaFin will want advance notice)
- France? You'll need AMF signoff, even under NPPR
- UK? Temporary permissions regime (TPR) doesn't cover AIFs anymore
6. Build ESG and DEI Readiness
- LPs now check for ESG integration, even pre-SFDR
- DEI policies are no longer "nice to have" in many LP questionnaires
7. Simulate Timelines Realistically
- Structuring docs: 3–5 weeks
- Bank account opening: 6–10 weeks
- ManCo onboarding: 4–6 weeks
- CSSF or Central Bank approval: 6–14 weeks
“Add 30% buffer to every adviser’s ‘estimate.’ It’s not pessimism, it’s pattern recognition.”
What GPs Forget, But LPs Never Do
- Not registering the fund for cross-border marketing
- Assuming LPs are OK with delayed ESG disclosures
- No pro forma reporting pack at pitch stage
- Sloppy or unclear carry waterfall
The Dorhyan View: Setup ≠ Structure
At Dorhyan, we guide GPs through both:
- Setup: jurisdictions, legal form, timeline, compliance design
- Structure: investor readiness, LP narrative, risk articulation, reporting UX