Office Hours is a podcast hosted by Vela Wood venture attorneys Kevin Vela and Aaron Terwey covering general issues related to small businesses and startups. Venture Deals Review is a series of Office Hours episodes discussing the book Venture Deals: Be Smarter Than Your Lawyer and Venture Capitalist by Brad Feld and Jason Mendelson.

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In this episode, Kevin and Aaron review Chapter 10: “How Venture Capital Funds Work” and discuss typical management fees and carried interest structures, clawback provisions, the difference between capital calls and blind pools, and the difference between corporate VC arms and strategic investors.

Related Content:

• VW Venture Deals Audit 2016
• Ask a VC Panel Video
• VDR Ch. 5: Control Terms of the Term Sheet
• VDR Ch. 1: The Players
• SVR S4, Ep31: Types of Investors, Seed Funding & Collaborative VCs
• Learning from “No”
• Lending Alternatives for Startups and Small Businesses

Venture Glossary:

You can find definitions and examples of terms found in the book and this podcast in our Venture Glossary.

• Blind Pool
• Board Observer
• Capital Call
• Carried Interest
• Catch-Up
• Clawback
• Commitment Period
• Corporate VC
• Dry Powder
• Family Office
• Fiduciary Duty
• Follow-On Financing
• General Partner
• Harvest Period
• Investment Advisor
• Investment Thesis
• Limited Partners
• Management Fee
• Portfolio Company
• Preferred Return
• Right of First Refusal (ROFR)
• Secondary Market
• Strategic Investor
• Tranche

What Now?

You’ll want to bookmark Venture Glossary as a quick reference for navigating the venture world. We love talking about startups, so follow us on Twitter. And feel free to email us at podcasts@velawoodlaw.com with any comments or suggestions!

Posted in Podcasts, Venture Deals Review

Vela Wood is a boutique corporate law firm that focuses our practice on M&A, emerging businesses, and venture transactions. As a one-time startup and now a small business ourselves, we are proud to represent the businesses and ideas that are fueling tomorrow's growth.