Finance LP Technical Review 
Both Sides of the Table
MAY 23, 2012
I have been close to the tech & startup sectors for more than 20 years and I can’t think of a period in which I felt more optimistic about the innovation and value creation I see in front of us. Thomson Reuters data shows that around $10 billion of LP money went into VCs per year pre bubble. The Funding Problem. The Exit Problem.
Both Sides of the Table
JULY 16, 2010
But VC is an “illiquid asset&# so funds didn’t disappear quickly - In 2000/01 the stock market quickly adjusted punishing investors in the NASDAQ and in individual public technology stocks. So as of 2008 total LP commitments were still at nearly $250 billion. So the people who invest in VC funds have two problems.
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Both Sides of the Table
JULY 23, 2014
At the other end of the spectrum large funds have gotten even larger in the past few years which has massively increased the amount of consolidation in our industry as 66% of LP money into venture is now concentrated in late-stage or full-cycle VCs. The “big boom” in startup financing started around March 2009?—?more Why is this?
Both Sides of the Table
SEPTEMBER 22, 2012
Growth will slow, partly due to internal limits and partly because the company is starting to bump up against the limits of the markets it serves.” Instant growth = huge valuation from follow-on investors = big VC mark-up on our quarterly reports = LP interest. That leverage technology or drive change. Grow or die.
Both Sides of the Table
OCTOBER 12, 2014
Prorata rights are one of the most important rights of a private market technology investors and yet are seldom fully understood. In the old days there weren’t many fights about whether angels would take their prorata rights in financing rounds. Because tech companies are getting bigger more quickly than at any time in history.
Both Sides of the Table
SEPTEMBER 29, 2013
I had a chance to discuss AngelList Syndicates with Naval at Michael Kim’s Cendana LP/VC conference on a panel with Naval, Roger Ehrenberg (IA Ventures) and Mike Brown, Jr. AngelList 101 : As you know, AngelList is a platform where angels can invest in semi-screened tech deals. Must be doing something right! Bowery Capital).
View from Seed
DECEMBER 4, 2019
If you aren’t familiar with these metrics, I recommend reading the original post to get a sense of the numbers that I’ll be reviewing here. One way to think about this is how quickly LPs expect to get their capital back from a VC commitment. LP Constraints. Most LPs are trying to manage some targeted asset allocation.
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