InvestNext has the ability to send Custom distributions that don't typically fall into a traditional distribution waterfall. There could be various reasons for using the "Other" Custom distribution but in this article, we will focus on how you can use this option.

Additionally, this "Other" distribution will have no impact on project-level metrics. So it will not change things like, Equity Multiple, IRR, etc.

Now let's get started: Navigate to the Project where you need to send the distribution from and follow the steps below.

Step 1: Navigate to the Distributions section of that particular project > click the + New Distribution button.

Step 2: Switch from Distribution Plan to Custom by selecting the "Custom" button.

Step 3: Fill out the appropriate fields but make sure to select the "Other" option from the Classification dropdown.

Step 4: In the Classification Custom Label section, you now have the ability to title how this distribution will look on the Investor Portal for your investor. The name you enter here will show up on the Investor Portal. Select the date > Create Distribution.

Step 5: Manually enter the amount for any investor that is supposed to receive this distribution. For this example, I am only paying Sophia Anderson. I go to the Amount column, double-click the cell for Sophia Anderson, and manually enter the desired amount.

If there are more investors, I would do the same for them. Once the information is correct, click Confirm and finish the normal distribution steps.

The next time the investor logs in to the Investor Portal, they will see the $500 transaction with the appropriate label. Keep in mind, that this is a one-off distribution and will not be part of any investor metrics; it is not a preferred return, interest, dividend, or return of capital. This will not impact any project-level metrics.