1
Fundraising

What are some glaring qualitative, interpersonal, or behavioural alarm bells or red flags when attempting to raise money from a limited partner?

Asked by:
Community Member
1
0
0
Jul 20, 2023
1 answer
Mike Suprovici
Accepted Answer
Jul 20, 2023
Here are some potential causes of LP concerns during diligencing on GPs:

  • Size of fund too large for new manager
  • Large # of deals per person
  • Poor updates 
  • Small network
  • Bad references from portfolio founders 
  • Bad references from co-investors 
  • Unfamiliar sector
  • GP is unable to openly discuss previous investment mistakes
  • GPs track record doesn't match the thesis


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