This is the first post in a Friday series on “raising VC money”. For the list of topics we are covering, click here. In this post, we’ll focus on the first topic: which VCs to target? I think it’s a critical step in the fundraising process. You have a new business idea, you’ve spent a
Category: Technology and VC
Raising VC money: topics
Raising venture capital money sounds like something from the Dark Arts, but it really isn’t all that complicated. Different approaches and different styles work, but there are some rules of thumb that seem to work well over and over. I thought I’d write a Friday series on raising money from VCs. I am thinking of
Thank you, Kepha investors
One day, our investors did something unusual. Let me explain. Our first fund was $50 million and closed in 2007. A year later, we were thinking of raising more money. One of our investors quickly offered a big check. Other existing investors did the same, and so, our fund was slated to grow to $100 million (we decided to
How are VCs paid?
[4.7.12 Addendum: Many of the management company details are now available on a SEC web site. More details here.] Here’s how VC firms are paid. When VCs raise funds, they are paid in two ways. First, they get a commission on gains they produce for the fund, which is usually 20 percent and is called