Category Archives: venture capital

The VC Money Pump: NAV

May 31, 2009 – 1:15 pm

TweetThe acronym stands for Net Asset Values. Be forewarned: this is the more boring installment in the VC Money Pump series of columns (see part 1 and part 2 ). Worse than spreadsheets and compound interest calculations, today’s topic forces us to deal with FASB (Federal Accounting Standard Board) regulations. Expensive futility as far as [...]

Edited by Jean-Louis Gassée | Comments (2)

Inside a Venture Capital fund: Reserves

May 24, 2009 – 9:43 am

TweetLast week, with Excel’s help, we looked at the “simple” computation of a VC fund’s rate of return. This week: Reserves, a most important sets of numbers. As a rule, for every dollar initially invested in a company, we immediately set aside an additional $2 or even $3 as a reserve for future rounds, future [...]

Edited by Jean-Louis Gassée | Comments (3)

The Venture Capital Money Pump

May 17, 2009 – 6:11 pm

TweetThis week, I intend to take you through the pipes of a VC fund’s “money pump”. It starts with dollars coming in from our investors, our Limited Partners, LP, to be invested in entrepreneurs’ big ideas. Later, sometimes much later, money comes back to be shared between the LP and us, the General Partners, the [...]

Edited by Frédéric Filloux | Comments (10)