Strategic Partners

20/20 HealthCare Partners LLC is a Global Investment Group that invests primarily at the earliest stage of technology & life science innovation.

What Differentiates 20/20 HCP

20/20 HCP’s investments are not structured as a typical fund; rather we invite our investors (high net worth individuals and family offices) to invest on a transaction-by-transaction basis, depending on their individual interest and/or conviction. We do not have to put funds to work and are not constrained by the timing provisions of a typical fund and, accordingly, can be more selective on identifying targets that meet our objectives.

We do not charge management fees; rather we structure each deal with a 6% preferred dividend for
limited partners with a 20% carry to 20/20 HCP after the preferred has been paid. No management fees
are paid. The only expenses are for legal and accounting expenses which range between 2-3%
depending on the deal and timing.

As lead investor, we can control structure and documentation process.
We structure each investment as a special purpose entity as follows:

  • Special Purpose Limited Liability Company (“LLC”)
  •  Managing Member: 20/20 HCP managed vehicle 
  • Limited Members’ minimum investment $100K up to $2.5MM (Managing Member will invest at
    least minimum amount); primarily A round preferred equity investment with possible follow-on
    investment dependent on risk/return analytics
  • Investment will cause conversion of any early round seed debt, to ensure mutuality of interests
    across capital structure
  • Commitments: None; each investor will decide on a transaction-by-transaction basis
  • Fees: 6% preferred distributions; 20% carry to 20/20 HCP vehicle after preferred return
  • Expenses, only legal and accounting fees (expected over the life of the deal to be around 2-3% of investment amount)
  • No management fee; only fees to 20/20 HCP vehicle will be the carry

20/20 HCP as lead investor will provide active management of the target company; in part, supported by
its documentation protections to include, but not limited to:

  • Liquidating preferences
  • Anti-dilutive provisions
  • Board level veto rights with other independent directors, with regard to re-structurings and re-
  • Super-majority requirements, of the A round investors, for any decisions that would impact the
    20/20 HCP investment position
  • Rights of first refusal provisions on any subsequent round financings
  • Voting rights on an as converted basis
  • Optional conversion provisions