How VCs make money
nAmount raised $100m
nLess management fees (2% p.a.) $ 20m
nCapital available for investment $ 80m
nProfit (20% p.a for 5 years) $199m
nNet profit $ 99m
n20% for GPs $ 20m
n
   $ Billions   Deals
1995   7868   1771
1996   11020   2474
1997   14600   3083
1998   20860   3556
1999   53480   5391
2000   105000   7814
2001   40700   4455
2002   21720   3057
2003   19510   2852
2004   21450   2925