[Webinar Recording] VC Fund Performance Metrics to Share When it’s ‘Early’ with Preface Ventures
It’s common for venture firms to start raising their next fund in the last year of capital deployment, typically years 3-4 of a fund’s life. This poses a sort of chicken-and-egg problem because many of the common fund performance metrics that Limited Partners use to drive allocation decisions only become reliable, and therefore more meaningful, around year six (Source: Cambridge Associates).
Farooq Abbasi, founder and General Partner of Preface Ventures, created a Seed Stage Enterprise VC Funding Napkin to help GPS think through alternative fund metrics that help communicate performance outside the traditional indicators that LPs use to measure success for more mature funds. The Seed Stage Enterprise VC Funding Napkin helps answer the question "What is good enough to raise a subsequent fund in the current market conditions".
Farooq from Preface Ventures joined us on Tuesday, February 27th for a discussion about the fund performance metrics GPs can use to benchmark and communicate fund performance when it's still 'early'.
View the recording below.
Webinar Topics
- The issue with ‘typical’ fund performance metrics for ‘early’ funds
- Overview of Preface Venture’s Seed Stage Enterprise VC Funding Napkin
- Deep dive into alternative early performance benchmarks
- How to keep track of alternative fund performance metrics
- How to leverage alternative fund performance indicators into your fundraising narrative
- Inside look into how Preface Ventures keeps LPs up to date
- Q&A
Resources From the Webinar
- Christoph Janz's What does it take to raise capital, in SaaS, in 2023?
- Preface Ventures' A GP's View on VC Fund Performance When It's Early
- Diversity VC
About Preface Ventures
Preface Ventures is a New York City-based firm started in 2020 led by Farooq Abbasi. Preface invests $500-$2M at the pre-seed and seed stage into startups who are building the Frontier Enterprise structure. Preface has 20 active positions in Fund II and 7 active positions in Fund III. (Learn more)
