What is the Request Allocation process?
The Request Allocation process allows you to provide a non-binding indication of interest for one of Allocate’s investment opportunities.
We will walk you through the steps in the process:
Creating a new allocation
Modifying or canceling an allocation
Reviewing and signing your investment documents
Completing your first capital call
Post investment
Creating a new allocation
Creating a new allocation is simple and straightforward and should only take you a few seconds to complete.
Once you have navigated to one of Allocate’s offering pages:
Click the “Request Allocation” button
Choose the amount you would like to invest:
Remember that allocations are non-binding and may be canceled up to the date of confirmation (see below for more details)
Each offering has their own minimum allocation requirement amount
Read and consent to the legal statements presented
Click “Request Allocation”
Congratulations - it’s that easy! Your allocation request has been submitted and you will receive an e-mail confirming its receipt.
Please keep in mind that this request for an allocation is non-binding and may be subject to change or cancellation at any time. Your allocation is subject to final review and total allocations received, and it is possible that we may reduce, delay or cancel your allocation request at our sole discretion, including where a vehicle is never formed or we determine that there is no sufficient interest to meet the minimum investment amount required to close on the opportunity.
If you have any questions about requesting an allocation, please do not hesitate to reach out to our sales team (investments@allocate.co) who will be happy to answer any questions you might have.
Modifying or canceling an allocation
Once you’ve created an allocation, what happens if you want to change it?
If you would like to change your allocation amount, please take the following steps:
From either the offering page you made the original allocation or your Allocations page, click either the “Modify Allocation” button or “Modify” link respectively.
Choose your new allocation amount
Read and agree with the legal statements presented
Click “Modify Allocation”
Your allocation request modification has been submitted and you will receive a confirmation to your email.
If you would like to cancel your allocation completely, please take the following steps:
From your Allocations page, click the “Cancel” link
Review that you are canceling the correct allocation
Click the “Cancel My Allocation Request” button
Your allocation has been canceled and you will receive a confirmation in your email.
Please be aware that allocations cannot be modified or canceled two (2) weeks prior to the offering close date. Please see your specific offering for any additional restrictions or conditions. If you would like to modify or cancel your allocation and you are in this window of time please contact us (investments@allocate.co) immediately to discuss options.
Reviewing and signing your investment documents
Once you have made your allocation and it has been approved by Allocate, the last step to finalize your investment is to review and sign your investment documents.
Once the documents are ready, you will have two (2) ways to access them:
You will receive an email with a link to our subscription document provider (“SDP:)
On your Allocations page, the Allocation tile status will have changed from “Requested” -> “Pending” and there will be a link to our subscription document provider’s platform
Once on the SDP’s platform, there will be an easy step-by-step form to complete your documents, review them, and then digitally sign them.
If you have any questions or issues please feel free to contact our IR Support team at irsupport@allocate.co
Once you’ve completed and signed your documents, they will be reviewed by the Allocate legal team for compliance and completeness. If they have any questions they will reach out to you directly to make any adjustments.
Once our legal team has approved your documents, Allocate will counter-sign the documents and your allocation will be finalized. Congratulations on making your investment with Allocate!!
On your Allocations page, the Allocation tile status will have changed from “Pending” -> “Completed” and there will be a link to your Documents page where you will find a copy of your fully executed legal documents.
This is also where you will find all your future documents related to your investment including but not limited to tax documents, quarterly reporting, capital call notices, and distribution notices.
Please note that for security reasons you must enable Multi-Factor Authentication (MFA) on your Allocate account to view and download your documents
Completing your first capital call
After your allocation is finalized, we now refer to this as a commitment. The commitment represents the legal obligation to provide that amount of capital over the life of the investment. This capital is ‘called’ from you, the investor, as needed to fund underlying investments. Capital is typically called or requested by the underlying fund managers in tranches over time. For example, if you made a commitment of $400,000 and there is a 25% capital call due, you would need to transfer $100,000 to Allocate by the designated date. In most cases, your first capital call for your investment typically takes place two (2) weeks after the offering closes. However, each investment is different; while capital is usually called incrementally over time, it is also possible that 100% of capital is requested upfront. Please see your specific investment offering information for more details on the projected capital call schedule.
When capital is ready to be called, you will receive an email with instructions for how much is being called, when it is due, and wire instructions for transferring funds. You can also find this capital call notice on your Documents page on the Allocate site. If you have any questions please contact us at irsupport@allocate.co.
Please note that as is the case of private funds, any failure to make a capital call on a timely basis (noted in the capital call request) may result in a total loss of position. If you are not 100% certain of your ability to make capital calls as they come due, it is important not to subscribe to an offering.
Post investment
So you’ve created an allocation, completed all your legal paperwork, had your commitment approved, and funded your first capital call. Now, what happens?
Over the life of your commitment, you will receive various documents providing updates on your investment and tax forms required when filing your annual tax returns. All of your documents will be available on your Documents page and you will also receive email notifications when such documents are available.
Here is a list (but not exhaustive) of documents you can expect to receive:
Legal documents
These are the fully executed legal documents you signed at the time you made your commitment
Capital call notices
Each time capital is called for your investment you will receive instructions for how much, by when, and where to wire the funds
Distribution notices
This will let you know when your investment is returning funds back to you, how much, by when, and to which of your financial accounts
Capital account statements
This is a statement of your investment balance (also known as net asset value) noting changes in valuation and any applicable fees
Financial reporting
These include financial statements (including annual audited statements) and quarterly reports for your underlying investments
Tax documents
Typically in the form of K-1s that will be provided to you to be filed with your annual taxes. Please note that these cannot always be provided by the IRS April deadline, and in some cases, estimates may not be available for April filing purposes. As such, you will likely need to file for an extension.