View from Seed

DECEMBER 4, 2019

One or two of the best companies may continue to appreciate, but most of a VC’s portfolio has probably been realized, written off, or has maxed out its value. The longer the portfolio maintains the same value without distributing back cash, the worse the fund’s ultimate IRR. The top quartile DPI for the 2012 vintage is 0.62.

LP 256

LP IRR Distribution Portfolio 256

View from Seed

APRIL 2, 2024

When we started NextView back in 2012, we often used the metaphor of the beer industry to describe the evolution of the VC business. VC’s across the board have generally upped their game and are much more involved in the startup ecosystem and with their portfolios. AB Inbev was huge back in 2012 but is only larger today.

Merger 343

Merger Non-Compete Early Stage Venture Capital 343

View from Seed

SEPTEMBER 14, 2021

That’s a bit of a cautionary tale to VC investors today who might think it’s inevitable that the private value they are enjoying in their portfolios will certainly translate to distributions in the near future. Note : not including vintages > 2012 because they have not been fully baked and there is some noise.

Valuation 319

Valuation Pre-Money Valuation Distribution Early Stage 319

View from Seed

DECEMBER 6, 2018

This was back in January 2012, a simpler time… when there was only one kind of seed round, when Series A firms invested pre-revenue, etc. Some Series A are very active at the seed stage, with a lot of Series A rounds they lead coming from their seed portfolio (True Ventures and Accomplice are good examples of this).

Seed Stage 120

Seed Stage Early Stage Differentiation Lead Investor 120

View from Seed

SEPTEMBER 14, 2021

That’s a bit of a cautionary tale to VC investors today who might think it’s inevitable that the private value they are enjoying in their portfolios will certainly translate to distributions in the near future. Note : not including vintages > 2012 because they have not been fully baked and there is some noise.

Valuation 295

Valuation Pre-Money Valuation Distribution Early Stage 295

View from Seed

SEPTEMBER 14, 2021

That’s a bit of a cautionary tale to VC investors today who might think it’s inevitable that the private value they are enjoying in their portfolios will certainly translate to distributions in the near future. Note : not including vintages > 2012 because they have not been fully baked and there is some noise.

Valuation 156

Valuation Pre-Money Valuation Distribution Early Stage 156

View from Seed

NOVEMBER 7, 2019

2012-2016: The Era of Blitzscaling. Facebook goes public in 2012 and Twitter in 2013. On paper, VC portfolios perform well. But there is also opportunity in lean times. Uber is founded and AirBnB goes through YC in 2009. Seed investing, as a distinct and truly enduring segment of the VC ecosystem, emerges during this period.

IPO 202

IPO Early Stage Cofounder B2C 202