The EU Fund Setup Checklist No One Tells You About
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?
https://www.dorhyan.eu/our-blog/aifmd-ii-day-one-compliance-a-practical-ceo-guide
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
Link to our “Luxembourg SCSp” blog
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 advisor’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