How AI is Shaping the Future of Venture Capital
RSVP for April 30th
1

Asked by

Community Member

on

in

General VC Questions

How do I prepare for a family office meeting?

We're raising fund II, and we got our first family office interest. I've been regularly pitching to HNWIs, but this is the first FO meeting. What are the main differences in their requirements ?

What I've got until now:
- Knowing their thesis and showing how we fall in theirs.
- Presenting our track record with examples of our top startups.
- Being extremely clear on the fee/carried structure.
- Get ready to send our materials because I know that with FOs DD is going to be more extensive. 
1 See in Base
1

Answered by

Mike Suprovici

on

Family Offices typically require a substantial diligence process. They want to ensure that your firm will be in business for a long time and has a major edge over the 100s of mangers they diligence every year. In general, Family Offices like to invest in VC funds for direct follow on and co-investment opportunities. Be prepared to answer a litany of sourcing related questions such as:

What channels do you use to source besides traditional accelerator demo days?
How do you win competitive deals?
What is your process for narrowing opportunities? Note: they are trying to identify that you have logical approach that you can scale. 
What signal do you communicate to the market after you invest in a company?
What is your co-investment strategy/policy? 

Then, be prepared to share a robust data room that includes the following: Presentation, Deal Memos, References, Research, Models, Bios and Legal Agreements.


Join the Leaders of Venture 2.0

Our graduates are creating disruptive capital with exceptional expertise, ethical investing practices, and exceptional returns. Whether you're launching your first fund or scaling an established firm, VC Lab provides the tools, network, and support needed to succeed in today's venture landscape.

Apply Now
How do I start raising my first venture fund? What are the key considerations for becoming a Limited Partner?
How can I improve my emerging manager firm's deal flow? What strategies help attract institutional LPs?
How do I build a compelling investment thesis? What are best practices for portfolio management?
How can I differentiate my VC firm in a crowded market? What are the typical fund terms for emerging managers?