RT Journal Article
SR Electronic
T1 The Lower-Risk Startup: <em>How Venture</em>
	       <br/>
               <em>Capitalists Increase the Odds of Startup Success</em>
JF The Journal of Private Equity
FD Institutional Investor Journals
SP 7
OP 19
DO 10.3905/jpe.2013.16.2.007
VO 16
IS 2
A1 David Teten
A1 Adham AbdelFattah
A1 Koen Bremer
A1 Gyorgy Buslig
YR 2013
UL https://pm-research.com/content/16/2/7.abstract
AB The authors recently completed the first-ever study of how venture capitalists systematically help their portfolio companies grow. They found that certain VCs are aggressively building out a focused portfolio operations skillset and recruiting more people with operational backgrounds. Based on a range of sources, the authors believe that most funds with well-developed “portfolio operator” models have top-quartile returns (above 20% internal rate of return in the relevant time periods). The authors detail the resources that operationally focused VCs have to leverage and how exactly they assist their portfolio companies.TOPICS: Private equity, manager selection, quantitative methods, performance measurement