Agile VC

OCTOBER 29, 2014

Most of the dollars a VC firm invests come from outside limited partner investors (LPs). The actual partners of a VC firm (GPs) will typically invest a minimum of 1% of the total size of their fund,* though frequently this percentage is substantially higher (especially in many of the best funds).

Venture Capital 279

Venture Capital LP Private Equity Institutional Investors 279

Seeing Both Sides

MAY 31, 2010

I read the article in The New York Times on the carried interest debate and was shocked to see my name and a reference to me that read: " As the Senate Democrats sent signs that they were open to a tax increase, investors and their lobbyists mobilized quickly, warning that the proposal could stifle investments that create jobs.

Carried Interest 35

Carried Interest New York Massachusetts Greece 35

ithacaVC

JANUARY 10, 2012

One of my students just asked me what a “Venture Partner” is in the context of a venture capital firm. I quickly typed in “venture partner” into the Wikipedia query box. So, then I typed “venture partner definition” into the Google search box. It carries cache. No results.

Partner 49

Partner Carried Interest Caching Harvest 49

The Startup Magazine

MARCH 22, 2019

Investment firms are staffed with analysts, partners, and others to ensure deals are soundly vetted. An article in Forbes explains that a venture capital firm makes its money through management fees (a percentage of the amount of capital that they have under management) and carried interest (a percentage of the profits of the business).

Angel Investor 153

Angel Investor Venture Capital Accredited Investor Equity 153

David Teten

MARCH 2, 2013

See the Techcrunch posts by my Partner John Frankel and Professor Robert Wiltbank , my recent post on the quality of angel returns data , as well as reports from the Silicon Valley Bank and Kauffman Foundation. Partners at smaller funds, by contrast, have to hustle before they can cover their mortgage.

LP 114

LP Securities and Exchange Commission Silicon Valley Venture Capital 114

This is going to be BIG.

FEBRUARY 25, 2019

A similar problem happens at venture firms—where no longer are you seeing clear cut terms like analyst, associate, and general partner. Now, everyone’s a partner, blurring the line around who can actually lead an investment and get a deal done. I feel the same way about someone who calls themselves a “VC”.

Syndicate 103

Syndicate Syndication Angel Investor Cap Table 103

Agile VC

JULY 11, 2012

Some disgruntled younger partners left to go start a new firm in 1965 called Greylock. Some disgruntled younger partners left in the 90s to form what is now Redpoint Ventures (IT team) and Versant Ventures (healthcare team). Big success was Digital Equipment Corporation (DEC), in which ARD invested about $2.1M

Silicon Valley 240

Silicon Valley Carried Interest Cofounder Boston 240

VC Adventure

MAY 19, 2010

My partner Jason has an impassioned post up about the carried interest debate currently taking place in Congress. I have many of the same concerns that Jason outlines in his blog post about the move to change the tax treatment on carried interest. Obviously this issue is important to me and to all VCs.

Carried Interest 74

Carried Interest India Capital Gains China 74

ithacaVC

MAY 10, 2011

First, VCs get capital commitments from limited partners (i.e., Second, the General Partner of VC1 is the entity that runs the fund (let’s call it GP1). So, in this respect, you can think of GP1 as a limited partner. It literally has an investment share in the fund just like any other limited partner. investors).

Carried Interest 51

Carried Interest Ratchet Limited Partner Due Diligence 51

Hunter Walker

MARCH 30, 2023

You’re a big enough advertiser or business partner to have an account manager. When she asked what would I recommend my response wasn’t about getting rid of carried interest or breaking up the big companies but about customer support. You went to grad school with the COO.

United States 92

United States Carried Interest Engineer Viral 92

BeyondVC

JUNE 29, 2005

I am not sure how many entrepreneurs understand the structure of venture capital funds but the bottom line is that while VCs manage funds, we ultimately report to our investors or Limited Partners (LPs). It is not our money, and we have a fiduciary responsibility to manage it properly and generate the returns our LPs expect of us.

LP 78

LP Private Equity Due Diligence Venture Capital 78

VC Adventure

MAY 19, 2016

Things such as our “no a s” rule, what we (along with our friends at Techstars) now call #givefirst , putting entrepreneurs first and including all of our employees (and Pledge 1%) in our carried interest all came out of these discussions.

Colorado 58

Colorado Belgium Carried Interest Community 58

BeyondVC

JUNE 29, 2005

I am not sure how many entrepreneurs understand the structure of venture capital funds but the bottom line is that while VCs manage funds, we ultimately report to our investors or Limited Partners (LPs). It is not our money, and we have a fiduciary responsibility to manage it properly and generate the returns our LPs expect of us.

LP 60

LP Private Equity Due Diligence Venture Capital 60

SoCal CTO

JUNE 9, 2010

VCs in seed clothing: Chris Dixon, Mark Suster, and Naval Ravikant interviewed - Venture Hacks , May 5, 2010 I recently got on the phone for a cross-continent conference call with Chris Dixon from Founder Collective , Mark Suster from GRP Partners , and our own Naval Ravikant. SlideShare: VC signaling in seed rounds.

Fractional CTO 248

Fractional CTO Startup Venture Capital Cofounder 248

Professor VC

JULY 25, 2013

Funders Club ( which I''ve written about previously ) recently launched a referral program where angels can receive 10% of the carried interest in a deal they refer that ultimately gets investment from an FC fund. They did get the partners on board on the condition that the term sheet is renegotiated at a lower valuation.

Term Sheet 46

Term Sheet Silicon Valley Syndicate Syndication 46

K9 Ventures

NOVEMBER 30, 2008

The General Partners (GPs) are the operating guys. The money that the GPs and other employees of the firm invest comes from Limited Partners (LPs) — typically the big university endowments, retirement funds, charitable organizations, family offices and high net-worth individuals. of the size of the fund.

IRR 48

IRR Venture Capital LP Early Stage 48

Women Entrepreneurs Can

MAY 9, 2019

VCs tend to gain most of their returns through carried interest- a percentage received as compensation from the profits of a hedge fund or private equity. These are crucial players in your space- they typically invest a substantial amount of money to organizations (averaging around $10 million).

Programming 40

Programming Sweat Equity Startup Private Equity 40

Hippoland

JULY 24, 2018

It’s been about a year since I started working on Hustle Fund with my business partner Eric Bahn. 3c) You also will make General Partner contributions to your fund. Using a standard 20% carry formula, and after returning most of the gains to the fund’s investors, it means that the team will receive $8m.

Salary 48

Salary Capital Call Bootstrapping Cofounder 48

Hippoland

JULY 24, 2018

It’s been about a year since I started working on Hustle Fund with my business partner Eric Bahn. 3c) You also will make General Partner contributions to your fund. Using a standard 20% carry formula, and after returning most of the gains to the fund’s investors, it means that the team will receive $8m.

Salary 48

Salary Capital Call Bootstrapping Cofounder 48

Steve Blank

OCTOBER 29, 2009

The Group is worth noting for: Investing their own private money, Reid Dennis would found Institutional Venture Partners in 1974 First group specifically investing in the valley’s electronics industry SBIC Act of 1958 During the cold war the launch of Sputnik-1 by the Soviet Union in 1957 both traumatized and galvanized the United States.

Silicon Valley 130

Silicon Valley SBIC San Francisco RSS 130

David Teten

SEPTEMBER 2, 2017

It’s hard enough to get a job at a venture capital or private equity firm; it’s even more complex to join as a Partner. Sean Seton-Rogers, Partner, Profounders Capital, breaks the conversation into three areas: Control: voting/veto for new deals, share of management company. In theory, carry correlates with decision-making power.

Private Equity 60

Private Equity Venture Capital Equity Partner 60

Agile VC

NOVEMBER 13, 2012

Some of the firm’s partners may move on to new jobs during this phase but at least some are usually still around. a VC fund’s entire portfolio in aggregate, net of management fees and carried interest) a good return from an LP’s perspective would be 2.5-3.0x So at a fund level (e.g.

LP 154

LP Portfolio Venture Capital IRR 154