{"id":116,"date":"2008-08-03T17:18:29","date_gmt":"2008-08-03T21:18:29","guid":{"rendered":"http:\/\/blog.payne.org\/2008\/08\/03\/understanding-what-makes-venture-critters-tick-how-they-make-money\/"},"modified":"2008-08-03T17:18:29","modified_gmt":"2008-08-03T21:18:29","slug":"understanding-what-makes-venture-critters-tick-how-they-make-money","status":"publish","type":"post","link":"https:\/\/payne.org\/blog\/understanding-what-makes-venture-critters-tick-how-they-make-money\/","title":{"rendered":"Understanding what makes venture critters tick:  how they make money"},"content":{"rendered":"<p>Every entrepreneur should read Fred Wilson&#8217;s <a href=\"http:\/\/avc.blogs.com\/a_vc\/2008\/08\/venture-fund--1.html\">recent post on the economics of venture funds.<\/a><\/p>\n<p>Understanding how VCs make money goes a long way to explaining VC behavior.\u00a0 Fred&#8217;s post clearly shows the two mechanisms (management fees and carried interest) in the context of showing the gap between gross and net venture fund returns.<\/p>\n<p>Also see my related post:\u00a0 <a href=\"http:\/\/blog.payne.org\/2007\/10\/21\/how-venture-capitalists-make-money\/\">How Venture Capitalists Make Money<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Every entrepreneur should read Fred Wilson&#8217;s recent post on the economics of venture funds. Understanding how VCs make money goes a long way to explaining VC behavior.\u00a0 Fred&#8217;s post clearly shows the two mechanisms (management fees and carried interest) in &hellip; <a href=\"https:\/\/payne.org\/blog\/understanding-what-makes-venture-critters-tick-how-they-make-money\/\">Continue reading <span class=\"meta-nav\">&rarr;<\/span><\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-116","post","type-post","status-publish","format-standard","hentry","category-entrepreneurship"],"_links":{"self":[{"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/posts\/116","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/comments?post=116"}],"version-history":[{"count":0,"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/posts\/116\/revisions"}],"wp:attachment":[{"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/media?parent=116"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/categories?post=116"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/payne.org\/blog\/wp-json\/wp\/v2\/tags?post=116"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}