Parapet

Parapet automates the legal and operational steps required to form a private investment fund — entity structuring, subscription document execution, investor accreditation verification, KYC/AML checks, and ongoing compliance tracking. The platform generates limited partnership agreements from templates, processes capital calls and distributions, and maintains audit trails for regulatory filings. This replaces manual workflows that traditionally required coordination between external law firms, fund administrators, and in-house operations teams.

Parapet is an SEC-registered entity, which distinguishes it from generic software providers serving the financial industry. Its own regulatory status means the compliance infrastructure it sells is built by a firm operating under the same oversight framework as its asset manager clients. This structure embeds regulatory accountability into the product itself, rather than outsourcing compliance design to software engineers without fiduciary obligations.

Parapet targets mid-market and emerging managers across venture capital, private equity, and hedge funds — firms that typically lack the in-house legal and operational teams of multi-billion-dollar platforms. The product is designed for managers who need to form funds, onboard limited partners, and maintain compliance without building custom infrastructure or paying per-deal legal fees for every vehicle launch.

Parapet operates on a software fee model — typically subscription or per-fund pricing — rather than earning carried interest or management fees tied to asset flows. The firm does not publicly disclose its pricing tiers, but its revenue structure aligns with SaaS economics, not asset-based compensation. This means client costs scale with platform usage rather than fund size.

The platform collects and verifies investor accreditation status, runs KYC and AML checks, and stores documentation in a centralized compliance repository accessible to both the fund manager and their legal counsel. Because Parapet itself is SEC-registered, the firm's own compliance obligations depend on the accuracy of these workflows — creating a structural incentive to maintain data integrity that exceeds what a non-regulated vendor would face.