I wrote a little bit ago about how VCs get paid (more here).
In particular, I wrote about the “management company” that exists at venture firms and which controls the money and power at those firms. A management company is essentially a “firm within a firm” and it’s details are often kept secret from partners at that very same venture firm.
Entrepreneurs need to know about management companies, as it can affect a venture firm’s behavior and stability, as well as how you may want to think about your fundraising efforts with that firm (more in the above hyperlink).
Well, many VC firms now have to register with the SEC, and the details of who is in the management company are available at this part of the SEC site. Just click on the Investment Adviser search button on the left. You can then search by firm name or individual. You have to scroll a few pages before you get to the good stuff. Keep hitting “next” at the bottom of the pages until you arrive at “Schedule A: Direct Owners and Executive Officers.”
The site also shows who has “control” of their management companies. These are the Chief Partners.
I am shocked as I look at how tightly-controlled these entities are, and how many great VCs are excluded from the inner circles of their firms.
Many thanks to Bijan Salehizadeh for tweeting about this SEC site. This site is a huge step forward in transparency.