Bringing Down the Fund: How One VC Almost Made the Multi-Million Dollar Mistake of a Lifetime
It's not often that we hear about an event that could have crippled a venture capital fund, wiping out years of success and severely impacting the fund’s operations, returns and ability to raise future capital. We recently did, however, and we wanted to report on it so that other investors would gain a deeper understanding of the risks and responsibilities that are thrust upon the individual or firm that takes on the role of a shareholder representative following the closing of an M&A transaction. The following is based on a true story, but the names and other details have been changed to protect reputations. Be assured, the thrust of the story and its implications are completely true.
21 July 2009•7 mins read
