Highway 12 Ventures – Important Firm News

Raising, managing, investing and harvesting a venture capital portfolio is a massive commitment. Average time to liquidity for venture-backed companies is now approaching eight years and we’re aware of many firms that are extending legacy funds well past their ten-year limited partnership lifetimes. We’re seeing this in our first Fund, which is approaching ten years old and still has three healthy and growing portfolio companies remaining. These conditions are contributing to larger-than-ever active portfolios in early-stage venture capital firms. Early-stage investing is a hands-on business that demands a good deal of time and care devoted to each portfolio company. The venture business on the other hand, demands successive funds be raised to keep a firm "in the game" as it relates to quality deal flow and reputation. This creates a tension between growth and bandwidth as a firm progresses.

by: Mark Solon

Full Story: http://www.highway12ventures.com/2011/07/26/important-firm-news/?utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+Highway12Ventures+%28Highway+12+Ventures%29