The venture partner role has become increasingly coveted as the VC industry has matured, but compensation remains shrouded in mystery. After speaking with venture partners across Europe and analysing compensation data, here's what these professionals actually earn — and how to position yourself for the right type of role.
Venture partner compensation
The compensation landscape for venture partners varies dramatically based on geography, fund size and specific role. According to John Gannon's VC Compensation Benchmark, US-based operating partners earn significantly more than their European counterparts — €195k versus €162k in average salary. This gap appears consistently across the industry.
"European funds typically compensate venture partners through carry rather than substantial salaries," one European venture partner tells me. "This represents commitment and belief in the fund's success — most venture partners I know aren't on the payroll but have alignments through fund carry or deal-specific incentives."
The Four Components of Venture Partner Compensation
The typical venture partner compensation package consists of four elements:
- Base salary: Ranges from nothing to substantial figures depending on role and geography
- Annual cash bonus: Often tied to a firm's performance metrics
- Fund carry: A percentage of overall fund performance, usually much smaller than GP allocations
- Deal carry: Performance-based compensation tied to specific investments
My anonymous survey of European venture partners reveals that carry-based compensation dominates in Europe, with most receiving either modest fund carry (typically around 0.25% vested over five years) or deal-specific carry. Some European venture partners receive minimal monthly cash compensation (around €1,000) alongside these carry allocations.
This European model contrasts sharply with Gannon's US data, where institutional VCs pay operating partners an average salary of €202k with bonuses averaging €43k, while crossover VCs offer around €191k in salary and €56k in bonuses.
Advisor compensation models
For advisors — a step removed from venture partners — compensation typically follows a transactional model. Most receive a cash day rate (ranging from €800-4,000) paid directly by portfolio companies rather than the fund itself. Equity-based compensation for advisors remains rare.
Per my anonymous survey, advisors in European funds often receive a percentage of invested capital rather than fixed compensation. This approach creates alignment between the advisor's input and the fund's investment decisions without requiring a permanent financial commitment from the fund itself.
The five types of venture partners decoded
While individual venture partner roles often blend multiple functions, understanding the core archetypes helps clarify how VC firms utilise these positions — and which might align with your background and compensation expectations.
Operating partners
These specialists create value within portfolio companies through hands-on execution in specific domains like growth marketing, strategic finance or product design. They work directly with portfolio companies post-investment to accelerate growth and prepare for future milestones.
Operating partners typically command the highest compensation among venture partner types, especially in the US market, where their salaries can reach well into six figures. In Europe, they're more likely to receive meaningful carry allocations given their direct impact on portfolio company performance.
Board partners
Focusing on governance and strategy rather than functional expertise, board partners serve as non-executive directors (NEDs) in portfolio companies. They're deployed either when investment partners lack bandwidth or when specific senior-level industry networks are needed, particularly in later-stage companies.
Nikolas Samios, managing partner at PT1, says: "In some European countries, funds are not allowed to send their own investment professionals into boards for regulatory reasons. This is less a regulatory question and more a tax issue. The concern is regularly that purely asset-managing (non-commercial) funds might have to pay trade tax if they become too involved in an executive body." This challenge primarily affects German funds, where tax authorities only tolerate a clear separation between supervisory and executive boards.
Fundraising partners
These individuals join VC firms temporarily to assist with raising new funds, leveraging their networks of limited partners or bringing expertise aligned with the fund's next generation. Most agreements for these partners are based on finder's fees, typically 2-4% of capital raised. Fundraising partners who’ve been overall successful often transition to full general partner roles upon fund closing.
However, the market contraction since 2021 has significantly impacted this category. The venture industry globally contracted, and with it the interest and opportunity for people to work in associated roles. Since very few funds were raised, being a part-time fundraising partner was no longer seen as an interesting career path.
Sourcing partners
Directing quality deal flow to their firms, sourcing partners represent the fund within specific geographies or communities. While they may not always participate in investment evaluation, their deep networks among founders, operators or angel investors help identify promising opportunities.
Lucia Paskert from Picus Capital describes its approach to sourcing partners: "These are the people who we believe are moving in the right communities and bring us the right deals. They are compensated with equity in the end or participation in the investment... In the best case, of course, this participation is worth something in the end, but we're well aware that this is also work."
It seems that 'venture partner' is no longer being used as a general title but refers specifically to people who are involved in deal sourcing and transactions. On the sourcing side, funds now employ venture partners, and some more community-oriented funds run a network of venture scouts. The latter are often unpaid but get the opportunity to participate in the fund network through events.
Business development partners
These partners help funds develop visibility and credibility with new audiences — whether organised around regions, verticals, technologies or communities. They introduce the fund at industry events, connect general partners with key ecosystem players, and educate the investment team about emerging sectors. Compensation tends to be structured around retainers and expenses.
As one managing partner says: "for some funds, the wide network of venture partners is often a strategy for further developing their own ecosystem and expanding their own sphere of influence."
What this means for 2025
The market contraction since 2021 has transformed the venture partner landscape from an attractive entry point into VC to a transitional role for those moving between positions. Compensation structures have become more formalised, but they remain highly variable, depending on the firm's type, geography and investment stage.
For those considering venture partner roles in 2025, the key is understanding exactly what the position entails at each specific firm, as the title continues to encompass widely different responsibilities, commitment levels and compensation structures. The most successful venture partners today bring highly specialised expertise or networks that meaningfully differentiate a fund's offering in an increasingly competitive landscape.
As the venture industry continues to mature, we can expect further evolution of the venture partner role, potentially leading to more standardised titles and compensation structures that better reflect the specific value these professionals bring to venture capital firms and their portfolio companies. Personally, I expect a more hands-off network approach with professional advisors to take hold. After all, we are talking about venture capitalists — they might be inclined to let market forces figure out who is the most value-add advisor to their funds and portfolio companies.
"Being associated with a fund as a venture partner creates value for both sides," one industry veteran says. "The fund gains expertise and representation without hiring someone full-time at a senior level. For the venture partner, there's personal satisfaction too. This arrangement allows meaningful contribution while maintaining other professional interests. It's a structure that benefits everyone when there's genuine alignment."
