96.1k views
2 votes
Ventuer capital manegement fees are paid no matter what the returns of the fund are. true or false

User FerranB
by
8.3k points

1 Answer

1 vote

Answer:

Venture capital firms get paid through two revenue streams: management fees and carried interest. Management fees are an annual payment made by investors to the venture capital firm to cover its operational expenses. The fee is usually around 2%. Carried interest is a performance incentive paid to the venture capital.

Therefore, the answer is True.

User Liviu Mandras
by
8.2k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.