What are the best practices for raising capital for a UK based VC LP fund, and how do I attract institutional investors?

Asked by

Mar 10, 2025

Fundraising

What are the best practices for raising capital for a UK based VC LP fund, and how do I attract institutional investors?

I am new to raising a venture fund and am focused on securing investors in the UK market. Should I focus more on attracting high-net-worth individuals, family offices, or institutions, and what approaches have proven successful in the UK ecosystem?

2 See in Base

Answered by

VC Lab Assistant

Mar 10, 2025

For a UK-based VC fund, focus initially on high-net-worth individuals and family offices, as they are more accessible for new managers. Build rapport and tailor your pitch to their interests. Institutional investors are harder to attract initially but can be targeted as your fund gains traction. Utilize platforms like LinkedIn and professional networks to identify potential LPs. Ensure compliance with UK regulations and consider standardizing on one currency. Engage connectors for introductions and maintain a strategic, persistent approach to networking.

Answered by

Mike Suprovici

Mar 10, 2025

We recommend that you apply to VC Lab: https://govclab.com/apply/ The program will walk you through step by step with how to go about closing a fund. The majority of Institutional LPs are prevented by charter from investing in new managers.

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