LP lead generation Fundraising support Carry allocation Venture partner

Venture Partner Carry percentage

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Community Member

Apr 07, 2024

A potential Venture Partner, tells me they can help me raise 30% of my target.
I know I cannot give them cash or an earning proportional to the amount they raised. Is a percentage of carry the only compensation option?
How much would be a reasonable percentage of the carry for leads to raise 30% of the total fund?
Thanks

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2 answers

Community Member

Accepted Answer

Apr 08, 2024

Venture Partner claims and reality often do not match up to reality. As a result, most Venture Partners are terminated by Managing Partners. So, use the Venture Share agreement and place a six month cliff on the Carried Interest venting. If they do not reach 15% of the fund size after 6 months, then terminate them.

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Community Member

Apr 08, 2024

Thank you.
I am still trying to understand, in the best case scenario, what is the share of the carry that I can allocate?
Even though most of the venture partners do not deliver, it is a fair question for Venture Partners to ask, and I do not have an answer to it.

Venture Partner Carry percentage

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