This is going to be BIG.

MAY 4, 2015

Will the experience of partnering with this individual be a positive one? I have a draft deck put together for a next Brooklyn Bridge Ventures fund. I pretty much hate it. Don't get me wrong--the numbers look great. That's not it. It just doesn't really get at what's really important. I wasn't sure exactly how it missed, so I went back to first principles. What *is* really important for a venture fund?

Limited Partner 116

Limited Partner Partner Deal Flow Valuation 116

This is going to be BIG.

FEBRUARY 23, 2016

Either way, VC funds aren't really built around creating much of an experience for their Limited Partners. Partnership investing is boring. You give someone your money and, once a quarter, they give you a report that says what they did with your money. That's because, for the most part, fund investors fall into two categories: institutions and individuals. If you're an institution, you basically care about returns and that's it.

Limited Partner 95

Limited Partner Venture Capital Partner LP 95

David Teten

MARCH 21, 2018

Similarly, our limited partner investors have their own due diligence standards, and we manage HOF Capital to keep in line with their standards and expectations. Ask on what KPIs each Partner is evaluated. As a VC, I have a standard due diligence list for companies I’m reviewing.

Due Diligence 78

Due Diligence Private Equity Limited Partner Venture Capital 78

David Teten

MARCH 21, 2018

Similarly, our limited partner investors have their own due diligence standards, and we manage HOF Capital to keep in line with their standards and expectations. Ask on what KPIs each Partner is evaluated. As a VC, I have a standard due diligence list for companies I’m reviewing.

Due Diligence 78

Due Diligence Private Equity Limited Partner Venture Capital 78

Pascal's View

MARCH 17, 2010

Answer: The options here are limited, and they are (1) the LP can try to sell their interest, including the obligation to fund future capital calls, to a fund that acquires secondary interests. It is far less disruptive to the GP and to the GP-LP relationship for the exiting partner to sell to a secondary buyer, but these buyers are totally financially driven and are going to get the best deal possible for themselves.

Limited Partner 28

Limited Partner LP Government Partner 28

Pascal's View

MARCH 19, 2010

This is the last in our series of 10 frequently asked questions from investors in venture capital partnerships. Susan Mangiero , CEO of Investment Governance’s Fiduciary X , asked me the following: Question: I’ve read that some GPs are suing LPs for not making capital calls.

Limited Partner 36

Limited Partner LP Government Capital Call 36

Pascal's View

MARCH 15, 2010

This is the sixth in our series of ten frequently asked questions from investors in venture capital partnerships. Susan Mangiero , CEO of Investment Governance’s Fiduciary X , asked me the following: Question: You had some thoughts about contract terms.

Clawback 36

Clawback Limited Partner Government LP 36

View from Seed

JULY 26, 2019

sometime back in 2010 or early 2011) one of the limited partners we met with asked us what our “favorite future” was for NextView. Another phrase we use internally at NextView pretty often is that of a “favorite future”. Early in NextView’s history, when we were raising our first fund (e.g. We were excited to talk about our vision and aspirations for the new VC firm we were building, but also intrigued by this as a general question.

Limited Partner 146

Limited Partner Founder Partner Startup 146

SiliconHills

MARCH 2, 2017

The fund was oversubscribed by $25 million and its limited partners include leading institutional investors, funds of funds and family offices. Next Coast Ventures announced Thursday that it has closed on its debut fund at $85 million. Next Coast Ventures is looking at investing in deals in Austin and in the middle part of the […] The post Austin-based Next Coast Ventures Raises $85 Million Fund appeared first on SiliconHills. Austin

Institutional Investors 76

Institutional Investors Limited Partner Austin Partner 76

Gust

MAY 7, 2014

The general partners of a venture capital fund make money… …by raising the bulk of the capital that the fund’s investable capital from “Limited Partners”, usually institutions such as university endowments, insurance companies and pension funds. Invested Interests capital company general partners investing IPO startup venture capital fund

Venture Capital 154

Venture Capital Limited Partner Carried Interest Salary 154

Steve Blank

MARCH 16, 2016

VC’s raise money from their investors (limited partners like pension funds) and then spread their risk by investing in a number of startups (called a portfolio). BTW, Angel investors do not have limited partners, and often invest for reasons other than just for financial gain (e.g.,

Liquidity Event 245

Liquidity Event Founder Liquidation Preference Acquisition 245

Babbling VC

NOVEMBER 2, 2018

The same goes for the LP's (limited partners) that invest in venture funds. We're so misled by what we often read in blogs and press stories or see on TV shows. One way or another, we tend to react to drama and they who produce content feed on this.

LP 181

LP Limited Partner Management Naming 181

Agile VC

JULY 26, 2019

sometime back in 2010 or early 2011) one of the limited partners we met with asked us what our “favorite future” was for NextView. Reading Time: 2 minutes. This post also appears at NextView’s blog. Another phrase we use internally at NextView pretty often is that of a “favorite future”. Early in NextView’s history, when we were raising our first fund (e.g.

Limited Partner 100

Limited Partner Founder Partner Startup 100

David Cohen

SEPTEMBER 13, 2019

She told me that most of her Limited Partners (investors in her fund) didn’t seem to care about the frequency of capital account statements. I’m a personal investor in about 20 micro-VC funds.

Management 98

Management .Net Limited Partner Finance 98

Mucker Lab

MARCH 8, 2016

Just as entrepreneurs should aspire to raise capital from value-added, “smart money” investors, we, too, have focused on partnering with committed, long-term, institutional limited partners (LPs). We are consumed with generating great returns for our limited partners. Four years after founding and bootstrapping Mucker Capital , we are pleased to announce the close of a new $45 million fund, Mucker III.

Burn Rate 95

Burn Rate Limited Partner Bootstrapping Portfolio 95

Both Sides of the Table

JULY 25, 2016

Venture capitalists raise money with a goal of returning 4x the amount they raise to their Limited Partners (LPs).

Venture Capital 311

Venture Capital San Francisco Startup Limited Partner 311

Both Sides of the Table

FEBRUARY 25, 2019

Here are some observations I have from this exposure: If a company moves from strength-to-strength with predictable outcomes, easy financings, low staff turn-over, limited competitive threats then the composition of the board probably doesn’t matter as much.

Startup 329

Startup LP Burn Rate Stock Options 329

Steve Blank

FEBRUARY 3, 2011

Their fiduciary responsibility was to manage a portfolio of investments for their limited partners. At the end of the day VC’s have to provide their limited partners with great returns or they aren’t going to be able to raise another fund.

San Francisco 332

San Francisco Venture Capital Silicon Valley Limited Partner 332

View from Seed

DECEMBER 4, 2019

The trends described above in VC performance have an upstream effect on Limited Partners which is somewhat counter-intuitive. One of my more popular posts in recent years was a long write-up on how VC’s get measured.

LP 208

LP IRR Distribution Portfolio 208

Version One Ventures

SEPTEMBER 12, 2017

Blockchain and ICOs are giving VCs new ways to run their own businesses – from changing agreements with limited partners to allow the fund to buy tokens and currencies directly to figuring out how to safely store token and currencies. These days not a single meeting with a fellow VC goes by without talking about Blockchain and how to invest in this space. We are all a bit puzzled by how quickly this market has evolved.

Venture Capital 129

Venture Capital LP Dilution IPO 129

David Teten

MAY 16, 2017

Historically, the process of winning capital from limited partners has been opaque. LIMITED PARTNERS’ PERSPECTIVE. Origins is a podcast about Limited Partners, created by VC Notation Capital. Denis Tse: Fund Management Craftsmanship: An LP’s Food for Thought for Emerging VC General Partners. GENERAL PARTNERS’ PERSPECTIVE. However, in the last few years a few have started to use social media and become more transparent.

Private Equity 60

Private Equity Venture Capital Equity LP 60

Haystack

JANUARY 2, 2020

And, the more funds that are raised, the more fees VCs can collect, which are contractually guaranteed in limited partner agreements.Only time will tell which approach is best or optimal. A topic that’s been on my mind a lot in 2019 is “time diversity” in venture capital funds.

Portfolio 71

Portfolio Vertical Limited Partner Global 71

Austin Startup

JULY 15, 2019

You will work closely with Joshua Baer, Gordon Daugherty, Bryan Chambers, the Ventures Team, limited partners, external venture capitalists, lawyers, accountants and startup CEO’s to review legal agreements, perform our diligence checklist, and make sure transactions close in a timely manner. You will coordinate and administer the most active venture capital fund in Texas and see an insane amount of dealflow. You’ll know the inside details about almost every deal that goes down.

Silicon Valley 75

Silicon Valley Texas Warrant Stock Options 75

Both Sides of the Table

FEBRUARY 6, 2019

Yes, VC / Startup Funding is up Massively If you look at how much VC firms have raised from Limited Partners (LPs) over the past 2 decades you’ll see that we’ve returned to a level that we haven’t seen since 1999.

Venture Capital 328

Venture Capital IPO Mezzanine LP 328

K9 Ventures

JULY 19, 2012

This new $40M fund is backed by several high quality institutional limited partners including university endowments, foundations, family offices and fund of funds and key individuals. I am pleased to announce the formation of K9 Ventures II, L.P.

Technology 134

Technology LP Seed Stage San Francisco 134

K9 Ventures

JULY 19, 2012

This new $40M fund is backed by several high quality institutional limited partners including university endowments, foundations, family offices and fund of funds and key individuals. I am pleased to announce the formation of K9 Ventures II, L.P.

Technology 134

Technology LP Seed Stage San Francisco 134

Gust

SEPTEMBER 10, 2014

Instead, they have a limited amount of money entrusted to them by limited partners, and they invest in a very, very few companies each year. The question is based on a misunderstanding of how venture capital investment works. First of all, VC funds do not invest in ideas. What VCs invest in are operating companies that are ready (or almost ready) to scale. There are many wonderful ideas, all of which are not fundable. Only companies get funded.

Limited Partner 123

Limited Partner Venture Capital Operations Partner 123

Steve Blank

JULY 9, 2013

And they have a fiduciary responsibility to their own limited partners.)

Advisory Board 327

Advisory Board Venture Capital Angel Investor Limited Partner 327

Both Sides of the Table

FEBRUARY 17, 2019

But I hate worse when I let down the people for whom I’ve totally committed my time to: the boards I set on, my limited partners, my colleagues at Upfront, companies that are pitching me and looking for feedback and my family.

Seattle 302

Seattle Email Mobile Limited Partner 302

Both Sides of the Table

JUNE 29, 2017

A huge thank you to all of the Limited Partners who have entrusted us with your capital, time and reputations. Upfront’s Base As you probably know we are based in Santa Monica and as my partner Greg Bettinelli coined, we’re #LongLA.

Las Vegas 329

Las Vegas Los Angeles Baltimore San Francisco 329

Both Sides of the Table

AUGUST 25, 2015

Long before the markets corrected my smartest professional trader friends and limited partners were telling me that many people in the market were telling me that all eyes were glued on Sept 16-17 when the FOMC meets to discuss interest rates.

Valuation 346

Valuation Stock Balance Sheet Burn Rate 346

Steve Blank

JULY 15, 2010

VC’s invested their limited partners’ “risk capital” in a portfolio of startups in exchange for illiquid stock. Suddenly there was a public market for companies with limited revenue and no profit.

IPO 306

IPO Entrepreneur Liquidity Event Venture Capital 306

Gust

MAY 10, 2014

If you mean someone investing mostly other people’s money through a seed fund, they are venture capitalists, and their days are spent like other VCs, meeting with prospective investments, mentoring portfolio companies, raising money from limited partners, negotiating deals, and so forth. There is no such thing as a full-time angel investor (or if there is, I’ve never met one.).

Angel Investor 144

Angel Investor Accredited Investor Limited Partner Metrics 144

Both Sides of the Table

MARCH 6, 2017

Every year Upfront Ventures surveys Limited Partners (LPs) who are the main source of capital that invests in VC funds and thus the main source of capital that goes to startups to get an early-warning sense of the year ahead, leaving aside any Black Swans.

LP 329

LP Silicon Valley Startup Venture Capital 329

This is going to be BIG.

FEBRUARY 21, 2019

A lot of VC fund pitches—and I know this because I used to vet VCs for a living as an institutional limited partner at a pension fund—sound the same. If you want to learn more about how VC funds get evaluated and you’re either an accredited investor, a non-partner at a VC fund, or work on behalf of a family office, check out this event tomorrow.

Accredited Investor 84

Accredited Investor .Net Term Sheet Deal Flow 84

David Teten

FEBRUARY 25, 2013

In addition, there will be 8 thematic panels: Leveraged Buyout, Real Estate, Energy, Distressed, Venture Capital & Growth, Media & Entertainment, Emerging Markets, and Limited Partners & Secondaries.

Private Equity 124

Private Equity Equity Leveraged Buyout Mezzanine 124

Both Sides of the Table

DECEMBER 16, 2014

Whereas we had four partners investing Fund IV we now have six partners actively looking at deals for Fund V. In recent years we’ve had big wins across all of our long term partners (Yves: Envestnet), (Steven: TrueCar), (Me: Maker Studios).

Las Vegas 424

Las Vegas St. Louis Southern California San Diego 424

YoungUpstarts

JANUARY 9, 2020

In a partnership, the partners share ownership of and responsibility for the financial well-being of the enterprise. When you are planning to file your taxes as a partnership, it is important to get on the same page with your business partners and co-founders.

Partner 141

Partner Private Equity Cofounder .Net 141

This is going to be BIG.

JANUARY 15, 2020

Barely 10% of the investing partners at VC firms are women and the number of investors of color is microscopic. Unfortunately, the way the Limited Partner landscape is setup and the nature of SEC rules, emerging managers are fundraising with their hands tied behind their back.

LP 92

LP SEC Venture Capital Accredited Investor 92

Berkonomics

JUNE 15, 2017

From the moment such an investor looks seriously at your company, the investor or VC partner is thinking of the end game, the ultimate sale of the company or even of an eventual initial public offering.

Liquidity Event 105

Liquidity Event Dividend Valuation Stock 105

ithacaVC

DECEMBER 22, 2012

One final thought – what about the VC’s fiduciary duties to its own investors (called limited partners). It is reasonable to think that the limited partners would expect their money managers (i.e., I think many limited partners would answer “yes” Love to hear your thoughts on this. I recently engaged in a conversation (over a few days) about the need for a seed stage company to have a board member other than the founder.

Seed Stage 68

Seed Stage Preferred Stock Limited Partner Angel Investor 68

Haystack

JULY 3, 2019

This isn’t the only example, of course, but it’s the most recent one and illustrates what the bar is for building a team of GPs and limited partners. Earlier this year, I reflected on the difference between “fund investing” vs “fund management.” ” It’s a useful post for emerging managers, I’d recommend reading it.

Chad 92

Chad Angel Groups Limited Partner Networking 92

Board Effect

MAY 10, 2019

At this stage, if business owners are fortunate enough to partner with a venture capitalist, they need to be prepared to take the money and make it grow quickly. Limited partners are usually comprised of large institutions that work with venture capitalists to get big returns on their money.

Elevator Pitch 56

Elevator Pitch Angel Investor Limited Partner IPO 56