Is it possible to draft an operating agreement where members invest in a project and receive profits for a set time period? ie, after 5 years the company will redeem the investors membership interest? (Assuming initial investments have been distributed) thoughts?

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Depending on jurisdiction, yes this certainly is possible. There are even multiple ways to do it, in order to avoid tax election issues. You could build in a call right vesting at the 5 year anniversary of the initial issuance, or a fixed redemption construct.

If the members will be investing in multiply discrete projects with individual maturity dates and the 5-year exit is a hard deadline, a better construct would be a series LLC with each series having a fixed 5 year duration. Proceeds of each series would be distributed in the dissolution of the series itself but the LLC could maintain perpetual existence.

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You'll want to be sure the LLC has not elected to be taxed as an S-corp, since this sounds like a second class of equity prohibited by the S-corp election rules. Also, are the members investing in discrete projects pursued by the LLC where they only get profits from a particular project, or do they get profits generated by the LLC as a whole? Just some initial, random thoughts.

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This sounds like a private equity fund

Talk to tax.

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