Venture Capital Titles

Roles and Tiltes in Venture Capital Firms

Whether you are a founder, entrepreneur, or budding fund manager, navigating the copious number of titles in venture capital firms can be tricky. Though venture firms manage a lot of capital, venture teams are very small and talking to the right person could make the difference in getting your company funded. Additionally it is equally important to comprehensively know the functions of venture roles as new fund managers and venture capitalists. 

Investment teams in venture firms are hierarchical and are made up of partners, who have a stake in the fund, and everyone else. There are varying partner roles in VCs but they’re mostly interchangeable. Speaking to a partner is crucial if you are seeking funding. 

Though associates and principals are valued members of the investment team and can sponsor deals, they do not have the authority to fully influence the outcomes of deals. It is vital to be in communication with a partner at the firm who can champion your deal. So even if you’ve met with an associate multiple times, it is not a guarantee that the fund is seriously considering investing in your startup.

Investment roles in Venture Capital:

• Managing Partner

• Partner

• Principal

• Associate

• Analyst

• Venture Partner

All investments in a venture capital firm must be submitted to the 'Investment Committee'. The investment committee is made up of the partners in the fund. Though each fund has a different committee approval process, what is not different is that the committee will vote on each investment. Junior members of the investment team are typically not able to vote in these meetings so it is important to know what each venture role encapsulates. 

Click here for a comprehensive guide on Venture Capital Roles.

Check out more of VC Lab’s content below: 

• The Basics of VC Funds

• The Venture Industry Explained

• Venture Capital Fund Mechanics

• How to Invest in Venture Capital

• How to Build a Venture Team