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How’s Venture Capital Changing in 2023

VC Cafe

By contrast, they backed 620 funds in the last three months of 2021 First time fund managers hit hard: In 2022, limited partners backed 141 funds run by first-time managers, a 59% decline from the prior year and the lowest number since 2013 How does the constrained LP environment manifest for funds and startups?

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What’s Really Going on in the VC Industry? What Does it Mean for Startups?

Both Sides of the Table

The VC industry grew dramatically as a result of the Internet bubble - Before the Internet bubble the people who invested in VC funds (called LPs or Limited Partners) put about $50 billion into the industry and by 2001 this had grown precipitously to around $250 billion. Partners leave the industry. Here’s my take: 1.

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Is Going for Rapid Growth Always Good? Aren’t Startups So Much More?

Both Sides of the Table

Lean” is great in the early days but if you discover an attractive market opportunity you need to get “fat” really quickly or somebody else will. Instant growth = huge valuation from follow-on investors = big VC mark-up on our quarterly reports = LP interest. Grow or die. It is VC math, like it or not.

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Off to the Races with Team Nextview

View from Seed

I made over a dozen angel investments and a few investments in VC funds as an LP, expanding my focus to new geographies, sectors, and stages. I became certified as a professional coach through the Hudson Institute of Coaching to be a more mindful and effective partner on a founder’s journey.

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Investors Updating Their Investors: Inside Homebrew’s First Annual LP Meeting

Hunter Walker

Last week we held our first annual LP meeting, when venture funds get their investors together with updates on operations and results. I wrote about the two we lost last year to firms that have been around longer and proud to say that since that time, we’ve been able to beat out and/or partner with many great funds.

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As Populist as it May Feel, 98% of VCs Aren’t Dumb

Both Sides of the Table

But as an LP you can’t count on that any more than VCs can. The goal of an LP is to get into the top decile. When it went to raise its fund 10 years ago the rumor was that many LPs were disappointed with recent returns and did not re-up. In 2000 our industry had more than $100 billion in LP money. hours / day.

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Planning Your Fund Raising — “Measure Twice, Cut Once”

Both Sides of the Table

Next up you need to now find which partners in which firms have led deals that look like yours. Investment professionals tend to fall into the following categories: Not an investment partner. Partner on the way out. Super busy partner. This can be somebody on 15 boards or maybe the managing partner. New partner.

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