We've created a launchpad for emerging fund managers: the easiest & fastest way to launch a VC fund in Europe.
By plugging into our registered platform in Luxembourg, you can start a European fund for a fraction of the usual cost & 10x faster. We have removed the 12 month waiting period and heavy legal bills required to register an investment manager and brought a streamlined solution to your Vauban dashboard. We hope this will help fill the funding gap and make it easier for first-time managers to get started in Europe.
Why Luxembourg?
Luxembourg is an exceptional fund domicile offering a ‘one-stop shop’ to the European market. Reputation, neutrality, and familiarity. Luxembourg is highly rated for its brilliant and stable regulatory conditions, overseen by its financial supervisory authority, the Commission de Surveillance du Secteur Financier (the “CSSF”). The CSSF is the one of the most regarded investment funds’ regulators in the world.Luxembourg provides an exhaustive and highly sophisticated toolbox for alternative investments, and an ecosystem that guarantees a structure which suits the needs of alternative investment funds – not least of course, the special limited partnership, or SCSp.
What is an SCSp?
The Lux SCSp is a structure inspired by the Limited Partnership and has gained popularity in Luxembourg as the go to vehicle for venture capital funds for many years.
Who is the SCSp best suited for?
The Lux SCSp is considered to be best suited for emerging fund managers. With no minimum or maximum capital requirements and structuring flexibility. The SCSp also has the advantage of investor familiarity and works best for international investors whether they are a high net worth individual, family office, or institutional investor.
Why choose the LUX SCSp ?
Limited partnerships are a tried and true structure. They offer structuring flexibility, where parties are free to contract on whatever terms suit them best from a commercial perspective and limit liability for the limited partners (investors). Lux SCSps are also quick to incorporate and are confidential vehicles.The SCSp was introduced specifically to encourage alternative investment funds and grants a number of advantages:
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Can be either a regulated or unregulated fund vehicle.
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A SCSp can be a co-investment vehicle to invest on a deal-by-deal basis.
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SCSp can even be used as special purpose vehicles (SPV) and carry vehicles.
What are the benefits of the Vauban Luxembourg platform?
Structuring a venture capital fund in Europe has historically been known to take a long period of time to get the regulatory and legal framework and to be extremely high in costs (the Rolls Royce of fund structuring). As a result, Luxembourg as a jurisdiction was highly attractive to larger investment managers with high AUMs to justify the expense. By using Vauban’s investment management infrastructure, funds can be set up cost effectively and faster than ever before.
Do I need to be a regulated investment manager?
Lux SCSps are subject to Alternative Investment Fund Managers Directive (“AIFMD”) and require a regulated investment fund manager. Our launchpad for emerging managers covers the AIFM requirement to overcome this hurdle and expedite the process of starting a fund. Alternatively, your fund can use your existing regulatory infrastructure as well.
What are the tax implications?
The Lux SCSps are tax transparent vehicles meaning investors are taxed based in their home jurisdiction. This is not tax advice.
How do I invite my limited partner investors to the platform?
Vauban’s dashboard allows you to digitally enroll your LP investors to your fund. An additional favourite feature of the dashboard among GPs is the ability to customize capital calls automatically: when, what currency, and call capital by either % committed or by specific capital amount.