Start a Hedge Fund for 30k (Serious)

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newwurldmn said:
Buying this is a stupid idea.

You can set up your own hedgefund for <10k and if you want to start an institutional grade fund, you will need institutional grade lawyers and accountants (which I doubt this guy used).

Further, you take on all his hidden liabilities. What if, years ago, the fund employed a lady and sexually harassed her? Its your liability if she decides to sue now. What if the fund defrauded investors in the past? That's your liability too.
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But people do buy other people's businesses. How do they deal with "hidden liabilities"?
 
I can also setup a fresh LLC and get all the paperwork done new in the name of owner from the start, All the annual costs is just $1000 for maintaining the setup, if you onboard clients then there would be administrative fees and custodian, accountants and stuff.
But till there are no clients then just around $1k a year and that includes tax filling.
 
Scataphagos said:
Years ago I queried the SEC about starting a hedge fund for myself.

They told me, "If you can't raise $50 Million quickly, the costs and regulatory requirements would likely make it a no-go".

FWIW...
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Setup for a ex-fund manager 2 months ago, he is very happy and wants to work again.
 
I have thought about buying some funds as opposed to building another new one because it's not as easy as it use to be. But I never thought about buying a upstart service, the downside would be the name already in place. Where when your buying an established fund with clients that's far different and has more value.
 
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