FundersClub won’t take a management fee for the investment funds its management entity will operate; it will charge only the backend carry, which, depending on each case, could go as high as 30%. Carleton points out, though, that FundersClub has raised $7 million in angel and venture capital. “It might be fair to think of that money as the FundersClub management fee, pre-paid, if indirectly, on investment funds to be specified later,” he said.
AngelList differs from FundersClub in that an experienced “lead angel” will select a given startup company, possibly structuring and negotiating the terms of the deal and even providing post-investment, hands-on assistance. Like FundersClub, it will be compensated only by a backend carry fee, which will be shared between an affiliated RIA, AngelList advisors, and the lead angel.