Operations
Distribution Notice
A formal notice from a GP that capital is being returned to LPs, typically with detail on source and tax character.
Distributions can be cash or in-kind (stock). Notices specify the amount per LP, the source transaction, and the tax classification (return of capital, capital gain, dividend).
LPs need to capture the notice, allocate cash on receipt, and feed the data into both performance tracking and the tax workflow. Recyclable distributions add another layer of complexity because they may be recalled within a defined window.