0
Fundraising

Higher Volume of Deals vs. Higher Ownership Percentage: What Matters More to LPs in Portfolio Construction?

Asked by:
Community Member
1
0
0
May 03, 2023
Hi! Is it better to have a higher volume of deals or a higher percentage of ownership per deal. I'm working on portfolio construction and deciding on reserve capital percentage and how many deals the fund will do. What's more important to LPs?
1 answer
Mike Suprovici
Accepted Answer
May 03, 2023
Focus on the thesis first. Once you get the thesis right, then focus on the story, then focus on portfolio construction. There is no right answer to your question, because this is dependent on your stage, and thesis. The vast majority of Fund 1s will not have follow-on because they funds are too small for example.

Log In

Please Log In with your Decile Hub credentials.

Log In

Apply to VC Lab Cohort 13

Get full access to Decile Base and the Decile Hub venture platform for free by joining the VC Lab program.

Apply to VC Lab Cohort 13