5.4 KiB
| title | TARGET DECK | FILE TAGS | tags | |
|---|---|---|---|---|
| Venture Capitalist | Obsidian::H&SS | startups::vc |
|
Overview
A venture capitalist (VC) is an investor who provides capital to companies in exchange for an equity stake on behalf of a firm. A firm comprises of the following roles (in order of seniority):
- Managing director (MD) or general partner (GP). The VCs that make the final investment decisions and sit on the boards of directors of the companies they invest in.
- Principal or director. Junior deal professionals looking to become managing directors.
- Associate. Work for one or more deal partners, usually a managing director.
- Analyst. Individuals with similar responsibilites as the associate, though usually less deal-centric.
%%ANKI Basic What is VC short for? Back: Venture capitalist. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic What ambiguity does the term "VC" introduce? Back: It may refer to a VC firm or an individual of said firm. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Cloze Typically VCs provide {capital} in exchange for {equity}. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic How is a "venture capitalist" defined? Back: An investor who provides capital to companies, on behalf of a firm, in exchange for equity. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic What form of capital does a VC typically work in? Back: Cash flow. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic Within a VC firm, what does MD stand for? Back: Managing director. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic Within a VC firm, what does GP stand for? Back: General partner. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic With respect to a VC firm, what does a "managing director" refer to? Back: A senior VC, generally responsible for making final investment decisions. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic With respect to a VC firm, what does a "general partner" refer to? Back: A senior VC, generally responsible for making final investment decisions. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Cloze A {general partner} is also known as a {managing director}. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Cloze The {principal/director} role follows the {MD/GP} role in seniority. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic With respect to a VC firm, what does a "principal" refer to? Back: A VC working their way up to becoming a GP. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic With respect to a VC firm, what does a "director" refer to? Back: A VC working their way up to becoming an MD. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Cloze A {principal} is also known as a {director}. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic What types of VCs are grouped under term "deal partner"? Back: GPs and principals. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic What distinguishes VCs from angel investors? Back: The former use a pool of investors' money. The latter uses their own money. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Cloze The {associate} role follows the {principal/director} role in seniority. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Cloze The {analyst} role follows the {associate} role in seniority. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic How are analysts and associates typically distinguished? Back: The latter are usually more deal-centric than the former. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic What role is a recent college graduate likely given at a VC firm? Back: Analyst. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic With respect to a VC firm, what does an "associate" refer to? Back: An employee usually working directly for one or more deal managers. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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%%ANKI Basic With respect to a VC firm, what does an "analyst" refer to? Back: An employee working on general functions for the firm. Reference: Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.
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Bibliography
- Brad Feld and Jason Mendelson, Venture Deals, 3rd ed., n.d.