Author Archives: Ken Freeman

Where Venture Capital Investment Is Heading Over the Next Decade

If the world of venture capital were to be set to music, Bob Dylan’s “The Times They Are a Changin’” might be chosen. The venture capital industry has changed in important ways over the past few years. We believe change will continue over the next decade. We expect venture capital investment over the next decade […]

Would You Like Some HONEST Investment Advice?

To be clear, neither of your authors is suggesting that you should invest a large share of your net worth in venture capital. It is inherently a high risk/high reward potential proposition. You shouldn’t invest more in venture capital than you can afford to lose without meaningfully changing your life. If you are an accredited […]

Why Returns from Hedge Funds and Private Equity Lag Behind Venture Capital

By the way, if you think you can out-fox the market by hitching your wagon to the hedge fund and activist investor icons, think twice. So much has been written about activist hedge funds and their wealthy leaders – like Carl Icahn, William Ackman, and Barry Rosenstein – that you may have assumed these guys […]

Why Institutions Love Venture Capital

On average (venture capital) returns are terrific. That’s why most sophisticated pensions and endowments have come to the conclusion that allocating a portion of their total portfolio to venture capital (and other private equity investments, particularly when private equity funds were doing better) makes sense. Yale University’s endowment, often held up as a standard of […]

How Venture Capital’s Riches Are Becoming Available to More of Us

Changes in the venture capital playing field will also contribute to making the coming years good ones for venture capital investors and great ones for entrepreneurs. As we mentioned earlier, the accessibility of venture capital investment opportunities is becoming democratized. Today there are roughly a half million individual venture capital investors in the US alone, […]

Even More Opportunities to Win with Venture Capital

Ironically, more traditional venture capital firms like ours, which only allow investments from accredited investors and, even though accessible online, set a higher minimum investment requirement (our new firm VCapital has a minimum individual investment requirement of $25,000), welcome these new (online crowdfunding) firms that are democratizing the industry. Frankly, they are so new relative […]

When Crisis Management Is Required, the VC Can Be Very Important

In the case of seriously distressed situations, the venture capitalist can be expected to take a very active role, particularly if acting as the lead or co-lead investor. In these cases, the VC will become involved in operating decisions and will likely press for management changes, and those with operating skills may even take an […]

When Crisis Management Is Required, the VC Can Be Very Important

In the case of seriously distressed situations, the venture capitalist can be expected to take a very active role, particularly if acting as the lead or co-lead investor. In these cases, the VC will become involved in operating decisions and will likely press for management changes, and those with operating skills may even take an […]

Accessibility to Individuals Finally Here through New Online Firms

Accessibility to individuals is finally here, though, through the establishment over the past few years of several online venture capital firms, including Angel List, Our Crowd, Funder’s Club, Circle Up, and VCapital, founded by one of the authors (Len), with the other (Ken) serving in an advisory capacity. These online firms generally offer both individual […]

Prospecting for Gold, or, Better Yet, Drilling for Oil

Prospecting for venture capital gold can be as challenging as was prospecting for actual gold back in the gold rush. Many other miners are also searching for the mother lode. You will need a competitive advantage—all the known art plus some entrepreneurial inventiveness—to prevail. Part of the known art is recognizing that there are far […]