Disrupting disruption with disruptive disruptions since 2010.
The specific order in which investment proceeds are distributed among LPs and GPs based on the fund's legal agreements. It's the pecking order that determines who eats first at the exit feast.
The year a venture capital fund closes and begins making investments, used to compare fund performance across similar time periods. It's like birth year for wine or funds—context that matters for quality assessment.
The total value returned to investors divided by the total amount invested, ignoring time. It's the simple, honest metric that tells you whether you made or lost money, period.
Someone who attends board meetings but lacks voting rights, typically a junior investor or potential future investor. They're flies on the wall with NDAs and calendars full of meetings they can't influence.
The reduction in founders' ownership percentage that occurs each time the company raises money or issues new equity. It's the slow, inevitable erosion of ownership that founders signed up for when they took outside capital.
Raising capital by selling ownership stakes in the company rather than borrowing money. It's the fundamental bargain of venture capital: you get money now, investors get a piece of your future success (or failure).