VC's make money, even if you don't. Their fee structure is much like hedge funds: They make 2% of all assets committed PER YEAR (how much is actually invested)

VC's make money, even if you don't. Their fee structure is much like hedge funds: They make 2% of all assets committed PER YEAR (how much is actually invested) and 20% of any monetized gains, as they close. That 2% is a lot of money, and makes a lot of self interest around investing a lot of money as soon as possible after the fund has been raised. I'd even go as far as to say that most VC funds only make money off the 2%. So remember that when you are talking to them. They make money even when you and the LP's don't.