A key requirement for all VCs will be a firm focus on the growth potential of the venture and how that trajectory matches up against the fund’s target returns. A judgement on the team is very important, as it’s the only real asset an early-stage company has. Further to this, VCs assess key metrics such as the market size, dynamics, and the competitive landscape.
Key learning objectives:
Identify and explain the lifecycle of a venture fund
How do venture capital investments perform generally?
Discuss the measures and factors VCs consider when funding a company