Carried interest in VC — what it is and how it works
Carried interest provides GPs of VC funds and the wider investment team with an incentive to find the best deals and provide big returns on their investments
Carried interest — also known as carry — is a critical element of venture capital (VC) funds, incentivising general partners and the wider investment team to hunt down the best deals and drive the success of portfolio companies. But how does it work? And when can VCs expect a payout?
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