What is the Ideal Amount of Information to Share with LPs Without Compromising Fund Strategy?
Fund strategy: what’s the right amount of information to share with LP (who could of course forward it to their friends and partners)?
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28 PostsUnlocking the potential of venture capital
Would You Consider Selling GP Stake or Offering AUM Discount to Attract an Anchor Investor?
All had the following from a potential anchor LP (willing to do 25%+) who is keen to invest 'Would you consider a sale of any part of the GP or a price concession on aum to a possible anchor?' From all I've read this seems to be a polite but firm no. Any counterpoints or counterarguments?
How to Respond to PitchBook Queries About My Investment Firm and Its Benefits After Fund Formation?
How should I respond to questions sent to me by PitchBook about the specifics of my investment firm and certain investments I made? Can PitchBook be useful once the fund is formed?
Is it worthwhile to speak with a broker dealer that a connection wants to introduce me to?
Is it worthwhile to speak with a broker dealer that a connection wants to introduce me to?
Should We Maintain Spacetech Metrics or Discuss Similar Market Deals in Different Segments?
Should we stick with the metrics from the spacetech deals we’ve done or can we talk about the deals we have done in the same market and stage but another segment?
Can we use crowdfunding solutions made for VCs and LPs such as Palico or Seedrs?
Can we use crowdfunding solutions made for VCs and LPs such as Palico or Seedrs?
Can I accept crypto as an investment in my fund? One of my LP is interested.
Can I accept crypto as an investment in my fund? One of my LP is interested.
How to Manage a $5m Investment Offer from an LP Prospect Seeking to Become a GP in My $10m Venture Studio Fund?
How do I handle a $5m investment offer from an LP prospect who wants to become an institutional GP in my $10m venture studio fund?
Q: Is the Fund Overview a More Detailed Version of the Deck, and Does it Replace the PPM?
Q: 1) Do I understand correctly that the Overview of the fund completely duplicates the Deck with the difference that the Overview has more text description and explanations? Should the deck structure be completely duplicated in Overview? 2) What is the purpose of Overview? Does it replace PPM?
Is Forwarding Our Newsletter URL to Potential Investors/Connectors Problematic?
Is there a problem with forwarding the URL of our newsletter to potential investors/connectors to share? Giving them the option to sign up for future newsletters if they choose.
Is it still generally expected to fully deploy a fund before starting the next one?
Is it still generally expected to fully deploy a fund before starting the next one?
What questions should be asked to a fund of funds who is interested in being an anchor investor?
What questions should be asked to a fund of funds who is interested in being an anchor investor?
Should I avoid raising my fund in multiple currencies (ex CAD & USD)?
Should I avoid raising my fund in multiple currencies (ex CAD & USD)?
How Can a Commitment Letter Template Be Used if the Legal Entity/Structure Is Not Yet Established?
For the commitment letter template how can it be used if the legal entity/structure is still not set?
Can We Mention Our Prominent LP's Name to Attract More Investors in This Unique Situation?
We got one new LP that is the most respected name in our niche space. Multiple potential LPs have asked if he endorses us. He would allow us to use his name when fundraising with others. Is that an edge case where we can mention the LP's name to others?
Should We Provide a Local Investor with Delaware Fund Structure and Document Details for Review?
One of our prospective investor want to know about the domicile jurisdiction fund structure and review the LPA & other agreements before he sign the PACT he is local. shall we provide the Delaware structure and documents?
Do You Recommend Attending Fundraising-Focused Meetups for Building a Network of Potential LPs?
While building our network of potential LPs do you recommend meetups that seem to be designed for fundraising?
What are the basics of LP term sheets and investor qualifications for first-time fundraisers?
I'm a first time fundraiser and I have some super basic questions: Is there a standard or basic term sheet for a LP? Is anyone who wants to invest considered an LP?
Do LPs ask for a deck before the first meeting?
Do LPs ask for a deck before the first meeting?
Can venture partners also be LPs?
Can venture partners also be LPs?
Is Establishing a C-Corp Accelerator with $3M/yr Funding from a Japanese City a Viable Long-Term Ecosystem Strategy?
We are building an accelerator backed by a city in Japan. Because of their budgetary process they will be putting about $3M/yr in 3 consecutive years. We currently are planning to establish a c-corp for the accelerator and operate it for a few years before adding funds. So the accelerator c-corp works as a vehicle for investments. We are designing it in this way for the longer-term ecosystem creation perspective - i.e. getting longer and more active commitments from Japanese CVC's. After sitting on two AMAs I got a feeling this is not such a good idea. Would you give us your thoughts on this? (Note that as we need to present it for the city council's budgetary approval in a week or so we would like to see good bad ugly of this premature idea...)
What is the difference between an SPV and a fund, and why can't we operate as an SPV structure?
I got a question from a potential LP: what's the difference between SPV and a fund and why we can't work as an SPV structure? I'm confused what to answer :slightly_smiling_face:
Is it realistic for LPs to invest in part-time GPs managing funds under $15M for pre-seed/seed investments?
Looking at the pre-curriculum in the there is a table which helps to relate team size to fund size (attached). My question is how likely is it that an LP would be willing to put in an investment into a GP who is doing this part time i.e. what is shown for funds under $15M? Is it realistic to raise a pre-seed/seed fund with only a part-time commitment?
What Type of Equity Kickers are LPs Entitled to in Small Funds: VC or PE Standard Agreements?
Hi all - I sent my thesis to a friend who happens to be an institutional investor. He asked me what type of equity kickers they might be entitled to as an LP. I'm tempted to state that the standard agreement is 2/20 again because its such a small fund I don't think I should be building any complexity into the LPA's. What are your thoughts? I'm not sure if this is a VC thing or it is something more common in PE.
Is it better to target a $5M fund and potentially oversubscribe to $10M, allowing room for failure?
If I'm targeting $10M fund 1 but could reasonably carry out my investment thesis with a $5M fund, does it make more sense to state I'm raising a $5M fund and try to oversubscribe to ~$10M giving myself some room for failure?
What is Decile Capital?
What is Decile Capital?
Should you form a fund with LLCs?
Is it a good idea to form a fund with LLCs instead of an Incorporation?
PACT Domicile & Management Company
Since at this stage, legal hasn't been engaged, the management company and the fund have not been established. What format of names should be used in the PACT for the management company and fund?
What if the domicile hasn't been decided. Might be US, might be Israel. How do we appropriately amend the PACT where the inserts [ ] are to make sure it is all encompassing?