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Fund Economics

Carry for Principals and other firm members

If I hire someone at a Principal level at my VC firm what's the general carry I should offer? Is there a rough breakdown anywhere of what is market in terms of carry offered for various roles at a VC firm?
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Answered by

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We recommend that you review VC Lab's Venture Share agreement. Principal level can receive anywhere from strategic to executive level compensation based on the recommended chart.
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Answered by

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Mike thank you for your answer. Is there a way to evaluate how much a percentage of carry is worth before investments are made? I am trying to understand if there is a way to estimate $ value and pay someone who prefers to take cash now instead of carry as a VP.
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In theory, you could do the math on what the carry is worth at 3x fund and work backwards from there.

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