Learn / Venture capital foundations Go to Overview 1. How a venture fund works 2. Stages: pre-seed to growth, Pro 3. Evaluating a startup, Pro 4. Sizing a startup's market, Pro 5. Pre money, post money, and price per share, Pro 6. What VC internship interviews ask, Pro 7. Cap tables and dilution across rounds, Pro 8. SAFEs and priced rounds, Pro 9. Liquidation preferences, Pro 10. The investment memo, Pro Flashcards, 0 of 20 reviewed Basic quiz Advanced quiz Terms Venture capital foundations
0 of 10 lessons
0 of 20 cards How a venture fund makes money, how to judge a startup and size its market, and the round math (pre and post money, dilution, SAFEs, preferences) every VC interview tests.
B Basic6 lessons 1 How a venture fund works A venture firm raises a fund from outside investors, backs young companies with it, and earns a fee plus a share of the profits. Nearly all of those profits come from a few companies. 9 min 2 Stages: pre-seed to growth Each round funds the next set of proof points. Early rounds bet on the team and the idea; later rounds pay for growth that is already visible in the numbers. 7 min 3 Evaluating a startup Every evaluation comes back to four things: the team, the market, the product, and traction. Unit economics tell you whether growth makes money or burns it. 10 min 4 Sizing a startup's market A startup's market is sized bottom up: count the customers who could buy, multiply by what each would pay. Top down percentages of giant industries convince nobody. 8 min 5 Pre money, post money, and price per share Pre money is what the company is worth before new cash goes in. Post money is pre money plus the cash. The investor's ownership is the cash divided by post money. 8 min 6 What VC internship interviews ask VC interviews are conversations more than tests. Expect why venture, a startup you would back, how you would find deals, and real depth on one sector you claim to know. 7 min Q Basic quiz 11 questions, 80% passes