All Questions

To update the "fund_details.close_at" variable in Decile Hub, you need to navigate to the Fund Admin section called "Entity Management" in the Back Office. However, this section is only available to Decile Partners customers. Lastly, to ...

To update the "fund_details.close_at" variable in Decile Hub, you need to navigate to the Fund Admin section called "Entity Management" in the Back Office. However, this section is only available to Decile Partners customers. Lastly, to clarify, the "fund_details.close_at" variable normally does not get shown in the PACT email template, unless one adds that variable manually to it.

Recruiting CEOs is one of the biggest challenges for venture studios. An effective way to solve this is for the Venture Studio to be narrowly specialized in one vertical. This way, the studio can build the expertise, systems, and strateg...

Recruiting CEOs is one of the biggest challenges for venture studios. An effective way to solve this is for the Venture Studio to be narrowly specialized in one vertical. This way, the studio can build the expertise, systems, and strategies to accelerate getting the company to a Series-A. If a studio executes on this strategy well with a few companies, then they can make a pretty compelling case to future experienced startup CEOs & founders in that vertical that by partnering with the studio they can get to scale much faster. 

LPs are most familiar with the 2/20 model. If you deviate from this, you will struggle to raise money, especially as an emerging manager. There are many areas to innovate as an emerging manager. Innovating on the standard fee model is no...

LPs are most familiar with the 2/20 model. If you deviate from this, you will struggle to raise money, especially as an emerging manager. There are many areas to innovate as an emerging manager. Innovating on the standard fee model is not one of them because it will create a lot friction with LPs. 

There is nothing contractually in the LPA that prohibits a GP to call capital as needed and a GP shouldn't make promises or capital call schedules since they have no definite way of knowing how their deal flow and investment needs will b...

There is nothing contractually in the LPA that prohibits a GP to call capital as needed and a GP shouldn't make promises or capital call schedules since they have no definite way of knowing how their deal flow and investment needs will be over the entire investment period. Furthermore, a GP shouldn't call all of the capital over the investment period as money will be needed after the investment period for on going management fees and fund expenses. In summary, an LP needs to have trust in the GP as a steward of their money and that they have the best interests of the fund.

The best connectors are already 'supporters' of you or your fund or both. As a result, they naturally want to help you on your missions without anticipating something in return. To better help you triangulate on the right archetype, try ...

The best connectors are already 'supporters' of you or your fund or both. As a result, they naturally want to help you on your missions without anticipating something in return. To better help you triangulate on the right archetype, try our connector GPT: https://vcl.to/gpt-connector (Note, you will need GPT-4)  Here are some additional resources: • Read: https://govclab.com/2023/05/13/leveraging-Connectors/   • Read: https://govclab.com/2023/08/16/sourcing-and-closing-limited-partners/ • Watch this Webinar: https://vimeo.com/857620742/165b519c1e?share=copy   

Not necessarily. Typically public benefit corporations (PBC) are taxed as a corporation like a C-Corp.  That being said, a PBC status may make it more difficult for the company to secure capital. This is because the founder has to expla...

Not necessarily. Typically public benefit corporations (PBC) are taxed as a corporation like a C-Corp.  That being said, a PBC status may make it more difficult for the company to secure capital. This is because the founder has to explain to investors why they are doing this, which increases friction. You need to make sure to DD the underlying structure of the company if there are additional reporting requirements for the company and what the impact is on their business. 

Fund managers often show various scenarios for how the fund may perform relative to the investment strategy. As an LP, it’s critical to understand the assumptions behind those projections, because models are rarely 100% accurate. For exa...

Fund managers often show various scenarios for how the fund may perform relative to the investment strategy. As an LP, it’s critical to understand the assumptions behind those projections, because models are rarely 100% accurate. For example, if the fund is pre-seed, the risk of the individual portfolio company failure is high. Therefore, to counter the risk, the manager often has to make more investments with lower check sizes and at lower valuations. The calculus for the LP is: Are the assumptions that are the basis of this manager’s strategy realistic and do they generate a high probability that the fund will make several investments that can return the fund individually?  In a Montecarlo simulation, LPs can use these assumptions as levers. For example, a lever could be the ownership % of the investment and its effect on performance. The next level in the DD process can be to think critically if the manager can realistically get that level of ownership based on their strategy, brand, deal flow, etc... Great companies command big valuations and therefore it’s hard for investors to command great ownership. On the other hand, if the company sells too much of the cap table too early, it will struggle to raise additional capital and therefore the investment will perform poorly. A Montecarlo simulation allows for a greater level of fidelity to test various assumptions and to test if the manager's strategy is grounded in reality. 

Here is a list of top GP - LP events: https://govclab.com/top-gp-lp-events-in-2024/ Most conferences are a mixed bag both for LPs and GPs. We are working to fix this, and are planning to host a new Decile Summit this year. Typically, th...

Here is a list of top GP - LP events: https://govclab.com/top-gp-lp-events-in-2024/ Most conferences are a mixed bag both for LPs and GPs. We are working to fix this, and are planning to host a new Decile Summit this year. Typically, the best events for both LPs and GPs, are small events that are hosted by GPs. If you are a GP, I encourage you to host your own events and invite your LPs and their friends. If you're an LP, I recommend that you attend GP events for the funds you're invested in because you will meet a lot of great individuals and learn some really unique insights. 

When LPs request a reference, they typically want the name and email rather than a reference letter. However, if you do plan on having a formal reference letter, ideally you want a founder and a co-investor documenting how you helped a ...

When LPs request a reference, they typically want the name and email rather than a reference letter. However, if you do plan on having a formal reference letter, ideally you want a founder and a co-investor documenting how you helped a startup be successful.  

Decile Hub API keys are available from Hub Settings > API > API Tokens Not all Hub users have access to the API. If you are on a free Hub plan and want to upgrade to be able to use the API, contact your account rep or support.

Decile Hub API keys are available from Hub Settings > API > API Tokens Not all Hub users have access to the API. If you are on a free Hub plan and want to upgrade to be able to use the API, contact your account rep or support.

There are a lot of factors at play here. For example, if the company raised an additional SAFE after your investment, the dilution scenario will be different. It also depends on the terms of the Series A. Consider using this Cap Table an...

There are a lot of factors at play here. For example, if the company raised an additional SAFE after your investment, the dilution scenario will be different. It also depends on the terms of the Series A. Consider using this Cap Table and Waterfall tool to runs some scenarios: https://foresight.is/cap-table/

Thank you for sharing your feedback with us! We'll definitely keep it in mind for future updates to improve the directory. If you have any more suggestions or questions, feel free to reach out anytime.

Thank you for sharing your feedback with us! We'll definitely keep it in mind for future updates to improve the directory. If you have any more suggestions or questions, feel free to reach out anytime.

There is no standard amount or numbers. What you're referring to here is having someone invest in the GP entity. First, you need to set a valuation on the GP entity. A good place to start is by trying to pencil out the value of the carry...

There is no standard amount or numbers. What you're referring to here is having someone invest in the GP entity. First, you need to set a valuation on the GP entity. A good place to start is by trying to pencil out the value of the carry if you 3x the fund. Then, you can work backward to determine how much $ a % of the GP is worth.  This transaction is typically not contingent on fundraising targets. Instead, an investor will buy a portion of your carry for a set amount, similar to how you would invest in a startup. If the fund fails, the investment in the GP goes to 0.  It is not very advantageous for investors to invest in the GP because they get paid last. The best place for investors to invest is the LP entity, because there they get paid first. Therefore, those who chose to invest in the GP vs the LP entity often do so because a) they want to help the manager and b) they want to get better economics on their initial LP investment. 

No. Instead, send LPs a PACT. The standard PACT has NDA language prebuilt into the legal template and it's designed for this purpose. Once they sign the PACT, you can disclose more information about the fund. 

No. Instead, send LPs a PACT. The standard PACT has NDA language prebuilt into the legal template and it's designed for this purpose. Once they sign the PACT, you can disclose more information about the fund. 

Always avoid giving tax advice to your LPs. If you do, you incur enormous liability. Your answer should always be: "Please speak with your tax advisor." For your info only, there are usually tax benefits. But these are different dependi...

Always avoid giving tax advice to your LPs. If you do, you incur enormous liability. Your answer should always be: "Please speak with your tax advisor." For your info only, there are usually tax benefits. But these are different depending on jurisdiction. For example, in the US, there is QSBS. But never EVER suggest these to LPs. 

Currently, external users cannot directly upload files to a Decile Hub data room. If you need an external user to contribute a file, they would need to send it to an internal user who could then upload it to the Data Room. However, your ...

Currently, external users cannot directly upload files to a Decile Hub data room. If you need an external user to contribute a file, they would need to send it to an internal user who could then upload it to the Data Room. However, your suggestion for allowing external users to upload files directly to a data room is valuable and has been noted for potential future enhancements. For now, sensitive information should be securely shared via email, or other secure methods, before being uploaded to the data room.

The max file size for uploading a file to a data room / folder is 20MB.

The max file size for uploading a file to a data room / folder is 20MB.