Precursor VenturesA classic pre-seed and seed stage venture capital firm

The Divergence in VC Deal Types #entrepreneur #stitch #podcast #venturecapital

18 Mar 2025 · 0 min

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0:22

A short podcast-style conversation (Precursor Ventures) about divergence in venture-capital deal types: larger multistage firms can competitively pursue higher-priced deals, while emerging managers (early funders) face painful swings when they enter at high prices. The clip highlights split incentives and firm-size-driven deal selection.

I think that those are the outcomes that they need, so it makes sense for them to jump into those companies. Whereas I think of, I don't know, emerging managers were on fund one, fund two. Those swings and misses are very painful because you come in at such a high price. We're seeing this divergence and this split out in types of deals that folks are looking at just given how big their firms are. There are deals that come in at prices that larger multistage firms are best positioned to.