Funds like A16Z can demand a high management fee because they have shown that they can deliver reasonable exits. Most funds have management fees in the 1-2% ra

Funds like A16Z can demand a high management fee because they have shown that they can deliver reasonable exits. Most funds have management fees in the 1-2% range and a carry at around 20%. VC is a power curve, where a couple of large funds have an outsized impact. And if a fund or VC (from associate to partner) cannot deliver, your career in the space is basically over.