Frequently Asked Questions
What is your relationship to Gaingels?
We’re an affiliate of Gaingels focused exclusively on secondaries. We are a separate company, but we share an operations team with Gaingels and lean on its network and connections for deal sourcing and member recruitment.
Would I appear directly on the cap table?
The SPV would acquire shares directly from the seller, and the underlying shares would be recorded on the company’s cap table in the name of the SPV. Individual LPs would hold interests in the SPV rather than appearing directly on the company cap table.
What type of companies are you focused on?
We focus on late-stage, venture-backed tech companies where we have strong work relationships and see clear paths to liquidity over a 12–36 month horizon. We typically look at companies that have reached meaningful scale (e.g., $100M+ revenue or equivalent traction) that are backed by top-tier venture firms.
Where are you sourcing opportunities from?
Second Wave sources deals from across our network and also benefits from warm introductions from the Gaingels Network where partners have built relationships with founders, brokers, and syndicates. We are especially keen on company-facilitated opportunities, which comes in handy for getting past ROFR quickly and maximizing company cooperation.
How do you handle investments? Do you use a fund or an SPV?
How are Second Wave's fees structured?
We invest on a deal-by-deal basis through special purpose vehicles (SPVs), rather than a blind pool fund. Each SPV is formed for a single transaction, allowing investors to evaluate and opt into individual opportunities rather than committing capital upfront.This structure provides transparency into each deal and flexibility in participation, while keeping the cap table streamlined at the company level with the SPV acting as the single shareholder.
- Generally, management fees are net 6% upfront earned by Second Wave over 3 years (2% per year)
- Generally, the platform fee is an approximately 2% one-time fee charged by Sydecar
- Carry ranges by check size and deal specifics