there was a recent twitter meme about how some VC's require unanimous partner approval and some prefer a dissenting vote (good to have a skeptic in the mix? if everybody likes it is it too obvious?). I wonder how USV views this?
There are actually quite a few models for how VC firms make investment decisions. Our firm does things on a unanimous basis but we never vote. Other firms actually vote, usually by signing an investment memorandum. Some firms require a majority to approve. Other firms require a supermajority to approve. Some firms create deal teams that must be unanimous and then require a simple majority of all partners. And some firms have a managing partner who effectively has a veto over all investment decisions.
All of these models work and they are often a reflection of the firm; its size, the stage of investments they make, the level of involvement of all the partners in the investments, etc.
To read the full, original article click on this link: A VC: Venture Firm Investment Decisions: Unanimous or Majority Rules?
Author: Fred Wilson
