Benefits for VCs

VCs are welcome sell some of their stock to create distributions ahead of a fund raising effort. If a VC has 5 later stage companies in its portfolio where the VC invested at valuations under $10m it makes sense to sell some stock when the valuations reach $100m to show LP investors that the fund is doing well. Selling 10% of the VC's position and returning cash to LPs from 5 different investments will encourage LPs to invest in the next fund.

VCs do not need to wait for an IPO or M&A transaction if they own stock in an attractive later stage company. Associating with The Founders Club helps VCs generate more high quality highly filtered deal flow on a global basis. Network with VCs, angels, family offices, entrepreneurs and prospective LPs around the world.

Aligning the interests of CEOs with VCs

VCs advise The Founders Club nominating entrepreneurs to join, vetting applicants and participating as active members of the Club.

Some VCs have invested their own personal cash buying part of the management company of The Founders Club.

VCs that advise the club see deal flow from the other VCs in our club and the extensive deal flow sourced by FC management, CEO and founder members and cash investors in the club.

We talk to CEOs every day and they tell us when their next financing round will happen.

Liquidity provided from The Club enables entrepreneurs to hold out to sell their company at the optimal time aligning entrepreneur and VC interests. Keep entrepreneurs hungry, but not starving or going through a divorce.

Entrepreneurs only diversify a small percentage of their holdings which does not deteriorate any of their ambition to succeed with their own company.

The club provides CEOs and founders with a peer group where they can share and discuss problems that cannot otherwise be discussed with their VCs.

We are a silent partner without any voting rights or corporate governance. The Club does not seek a board seat.

Become a Venture Advisor and join our selection committee and increase your personal deal flow and global VC, CEO and angel network.

Access early stage deal flow from our pre-VC exchange funds as well as later stage deals.

 

Under no circumstances should any material at this site be used or considered as an offer to sell or a solicitation of any offer to buy an interest in any individual company or investment fund managed by The Founders Club.  Any such offer or solicitation will be separately made only by means of the Confidential Private Offering Memorandum relating to the particular fund to persons who, among other requirements, meet certain qualifications under federal securities laws and generally are sophisticated in financial matters, such that they are capable of evaluating the merits and risks of prospective investments. Copyright © 2013 All rights Reserved http://www.founders-club.com