The Business of Venture Capital. Mahendra Ramsinghani
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Table of Contents
1 Cover
5 Foreword
6 Preface WHY SHOULD YOU READ THIS BOOK? AND WHO AM I TO WRITE THIS BOOK? WHAT SHOULD YOU KNOW ABOUT THIS BUSINESS OF VENTURE CAPITAL? NOTES
8 Part One: The Making of a VC 1 The Business of Cash and Carry INTRODUCTION: AN OPERATIONAL PRIMER ROLES, RESPONSIBILITIES, AND COMPENSATION NOTE 2 Why Choose a Career in VC CREATIVE CONSTRUCTION INTELLECTUAL STIMULATION MENTOR CAPITALISTS ASYMMETRICAL REWARDS NOTES 3 Attributes of Successful VCs STRONG AWARENESS OF TECH TRENDS ABILITY TO PICK WINNERS OPTIMISM, PATIENCE, AND STABILITY ABILITY TO LEARN AND GROW AN INHERENT BIAS FOR ACTION 4 Welcome to the Land of Ad-Venture ROLES AND RESPONSIBILITIES OF A VC INTERNSHIPS AND CAMPUS RECRUITMENT THE FELLOWSHIP OF INVESTORS ADJACENT ENTRY POINTS GETTING LUCKY — WHEN OPPORTUNITY MEETS A PREPARED MIND NOTES 5 Developing Your Investment Career BUILDING YOUR STRENGTHS BEWARE: BIAS AND PSYCHOLOGY NOTES 6 A Business Where Enemies Accumulate CHALLENGES OF A VC CAREER VC CAREER AS A CALLING NOTES 7 Generational Transfer and Succession MANAGING SUCCESSION - NOW MY WORK IS DONE THE ART OF LETTING GO NOTE
9
Part Two: Raising Your Venture Fund
8 LP Universe
PENSION FUNDS
ENDOWMENTS AND FOUNDATIONS
SOVEREIGN WEALTH FUNDS
FINANCE AND INSURANCE COMPANIES
FAMILY OFFICES AND HIGH-NET-WORTH INDIVIDUALS
CORPORATE OPERATING FUNDS
COMPARISON OF LIMITED PARTNERSHIPS
NOTES
9 LPs of Choice: Fund of Funds
ADVANTAGES OF A FUND OF FUNDS
FUND OF FUNDS INVESTMENT STRATEGIES
10 How LPs Conduct Fund Due Diligence
PRIMARY AND SECONDARY INVESTMENT CRITERIA
FUND SELECTION CRITERIA
NOTES
11 Defining Your Fund's Investment Strategy
MARKET OPPORTUNITY
COMPETITIVE ADVANTAGES
CASE STUDY: SOLO GP GOES INSTITUTIONAL
CASE STUDY: OVERSUBSCRIBED FIRST FUND — HOW A $30M FUND ENDED UP WITH OVER $100M IN COMMITMENTS
CASE STUDY: STARTING ALL OVER…
CASE STUDY: WHO HAS TIME FOR THIS? I DON'T NEED NO LPS ANYMORE…
NOTES
12 Investment Team Diligence
EVALUATING FUND MANAGERS
TEAM DYNAMICS: STABILITY, SKILL SET, AND ALIGNMENT
NOTES