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Why LP’s Passed on Seed Funds 10 Years Ago (And What’s Happened Since)

View from Seed

The objection goes something like this: “yes, I can see rookie founders turning to you for a seed round. But won’t all good founders go to established firms that raise series A’s out of the gate?”. And quite a few founders make the choice to do YC first rather than raise a traditional seed or pre-seed round.

Dilution 399
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Top 29 Startup Posts May 2010

SoCal CTO

But founders need to know how to ask for their advice and when to ignore it. Startup Insights From Paul English, Co-Founder of Kayak - OnStartups , May 10, 2010 I’m just wrapping up several weeks of attending conferences across both coasts. Why Entrepreneurs Hate Lawyers. was having coffee with a friend who teaches at the U.C.

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What Makes an Entrepreneur? Cojones (7/11)

Both Sides of the Table

So we as VCs search for entrepreneurs/founders who have the whole package or as much of it as possible. I didn’t negotiate hard on carried interest. Having street smarts with no inspirational ability to build teams can yield a great small business but will be difficult to scale into a large VC-backed business.

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What’s the Difference? Venture Capitalist vs. Angel Investor

The Startup Magazine

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). Investor Involvement. Choosing the Right Type of Investor.

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The Rise & Fall of Great Venture Firms [Part 1] ? AGILEVC

Agile VC

What’s a “fair” split of fee income and carried interest when a partner joins several years/funds after others? Should there be a notion of “founder equity” for those individuals who put in the hard work to start a firm and build the brand? But it’s not quite that simple.

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How to Negotiate a Partner Role at a Venture Capital or Private Equity Firm

David Teten

We believe the best founders and companies are polarizing. An opposite extreme: Techcrunch asked Jeff Clavier, Founder of SoftTech VC, “With three full partners, what will the voting structure be at SoftTech? Senior partners take home a lower 15 percent of the carried interest….Summarizing

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Pari Passu or F.U.little guy

Professor VC

I''m a strong believer in fairness (although my daughters may not agree) and investors and entrepreneurs working together as a team to create something valuable to all stakeholders (customers, employees, founders, investors). Startup outcomes tend to be very binary.