vc

Fred Wilson on Reserves

Fred Wilson has a spectacular post up on how VC funds should think about reserves. It’s even more valuable to entrepreneurs so they can understand how the best VCs think about reserves, giving the entrepreneurs ammunition to ask their investors how they are thinking about reserves. I only noticed one thing missing from Fred’s post…

Reid Hoffman – New VC Blogger (Essayist)

Reid Hoffman, founder / executive chairman of LinkedIn and partner at Greylock has started blogging. Well – he’s started writing long form essays on a blog that my understanding is will come out about once a month. The first post is If, Why, and How Founders Should Hire a “Professional” CEO. It is outstanding and I expect…

What Is The Appropriate Time Horizon Of A Financial Model for VC’s?

Q: When building a financial projection model for a pitch to VC’s, should you include future rounds of funding in the model or simply show what measurable goal you are trying to achieve with the current round you are seeking? A (Brad): It depends on the stage of the company. But first, it’s important to understand…

How Do I Get A Job In A Venture Capital Firm?

In 2008 my partner Seth Levine wrote what I think is the definitive post about how to get a job in venture capital. His post followed an insightful earlier post of his that he wrote in 2005 titled how to become a venture capitalist. Each post is required reading for anyone interested in a job at…

Wilson: Herky Jerky Investing

Fred Wilson (USV) has today’s VC Post of the day titled Herky Jerky Investing. In it he refers to a WSJ article where several very prominent VCs have recently said they are backing off investing at frothy valuations and now going and looking off the beaten path. Fred – as usual – has very a…

How Do VCs Mitigate Risk In Their Investment Portfolios?

Question: How do VCs mitigate risk in their investment portfolios? Are VCs simply looking to diversify the type and stage of companies in which they invest, or do they employ other financial hedging strategies? I’m not aware of VCs using classic financial hedging strategies. In many cases, they are prohibited from doing this by their LP agreements…

Are People Who Claim To Be “VC Brokers” Legit?

Question: We are looking early stage funding for our startup and came across some people claiming to be “VC Broker”. Is there such a concept in the investing world? It’s highly unlikely that they are legit. I’ve never heard the specific term “VC broker” before and generally don’t think much of people who represent to early…

Dale: All The Bad Things VCs Want To Do To You!

Today’s VC Post of the Day is from Richard Dale (Sigma Partners) titled All the Bad Things VCs want to do to You! I don’t think this particular post needs much of an explanation.