Micro VC Firms
topic on 1 show · 7 statements across 2 episodes
7 statements about Micro VC Firms, every show
Kaji: Micro VC firms should not hire placement agents
“I'm generally not in favor of a placement agent with respect to micro VC firms. I think managers should be able to sell their own story. The fundraising element of running a firm is probably one of the most important. Getting the feedback, pitching the story. …”
Kaji: Over 450 micro VC firms exist in US and 700 globally
“Today, we have over 450 micro VC firms in the U.S. Alone. If you look globally, that number is close to 700.”
Kaji: 48% of micro VC funds are $25 million or less
“Most of the micro VC firms, and about 48% are 25 and under in, in size. Those are, those typically have no endowments, very, have no pension funds, very rarely have any sort of institutional backing, but are primarily family office High net worth backed.”
Kaji: Only 10% to 20% of micro VCs will deliver expected returns
“I think a very few percentage of these micro firms are going to produce the type of returns expected. And I think it's going to hit sort of the normal distribution of which, you know, 10 to 20%, you know, have a nice return model. The rest are going to, you kn…”
Kaji: Nearly 300 micro VC firms exist globally in 2015
“Today there's close to 300 you know, globally, of which 225 are here in the U.S. And there's another 50 to a hundred that are fundraising.”
Kaji: Micro VCs will shift toward 1% management fees and 30% carry
“I do think we will start to see some that are more carry focused . I don't know if we'll get to zero percent, but I think we will see some firms raise funds where it's more of like a one in 25, a one in 30. A one And perhaps even higher carry based on hitting …”