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What Did I Learn From the First VC Check I Ever Wrote?

Both Sides of the Table

Invoca is now doing 10s of millions in recurring revenue and is growing > 75% year-over-year but it took the first 3 years to really build out the technology and acquire our initial enterprise clients. I mentioned that we sold our position in Kyriba for > $1 billion but when we invested it had virtually no revenue.

IP 223
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High Returns On A Small Fund Challenge Low Returns On A Big Fund

David Teten

Moreover, VC funds on average earn approximately 2/3 of their revenue from fixed fees. Firstly, “fund size” can be misleading as some firms prefer to raise a large aggregate amount split between several concurrent funds. Secondly, none of the VC return studies to date, including the ones we discuss here, are definitive.

LP 114