Moser Capital Management: Exploring Funding Options for a Real Estate Private Equity Firm

In early 2009 Don Moser, the co-founding partner of Moser Capital Management (MCM), a successful real estate investment manager, pondered the best growth strategy for his six-year-old business. The highly respected Global Equity Placement Group (GEPG), which was considered by most to be the industry's leading real estate private equity placement agent, was interested in taking MCM on as a potential client to raise what would be their first fund. While raising a discretionary private equity fund through GEPG was an enticing option for MCM it would require a substantial up-front capital outlay and a restructuring of both their business model and corporate culture that were already profitable and culturally appealing in their present form.