- Home
- Private Equity Fund Accounting and Tax
Private Equity Fund Accounting and Tax
Fund and management company accounting, partnership tax compliance, waterfall modeling and deal support for private equity sponsors.
Private equity combines three layers of accounting: the fund, the general partner and management company, and the portfolio companies underneath. NexusWorks supports sponsors across all three, so investor reporting, carried interest and portfolio company numbers line up.
Our services for private equity funds
We provide the same core services we offer every client, tailored to how private equity funds operate:
- Tax Filing & Compliance: Form 1065 returns, investor K-1s, Schedules K-2 and K-3 and state filings for the fund and its entities.
- Tax Planning & Strategy: waterfall and carried interest planning, and blocker structuring with counsel for tax-exempt and non-US investors.
- Bookkeeping & Financial Management: fund and management company books, and monthly close for portfolio companies after the deal.
- Fractional CFO Services: portfolio company forecasts, budgets and board reporting.
- Financial Advisory & Optimization: reporting systems for new portfolio companies, plus quality of earnings and due diligence support on deals.
From acquisition to exit
Value in private equity is created between the deal and the exit, and the numbers have to support both. We help sponsors set up reporting at acquisition, track performance against the investment thesis, and prepare clean financials and tax history when it is time to sell.
Lower middle market focus
We work with independent sponsors and smaller funds buying founder-owned businesses. These deals often need more accounting cleanup than larger ones, which is where a CPA-led team adds the most value.
Private equity sits within our professional services work. Portfolio companies often use our fractional CFO services and bookkeeping. See also how we support venture capital funds and real estate funds.