How is FEC compensated for services?
FEC clients generally have several methods to choose to compensate FEC for services. FEC may choose to offer an all or none fee based on a success performance fee (private treaty sale). The all or none success fee varies depending on the size of the acquisition, typically between 2% and 7%, which is due at closing or possession of an asset sale, or upon transfer of stock or promise to transfer. Alternative compensation may include expenses with a lower success fee with recapture of expenses included. Other compensation may be by a pre-agreed compensation dollar amount or barter amount. Projects could have an hourly fee plus expenses.
