I would love some clarification on VCs. I'm trying to "follow the money", if you will. A few questions answered on this subject would help me greatly.
- How does someone "become" a VC? It's not like there's a corporate ladder to climb.
- What is the VC's relationship to the money? I know that sometimes they put in their own money, but I've heard more often than not they just manage the funding of the portfolio of companies. I'm curious though, what the relationship and path is to the actual source of the cash that funds their portfolio.
- What's their relationship to the startup itself? Many times they get a board seat, but I'm sure there is more to it than just that.
I'm most interested in #1 and #2, so any insight into the VC world relating to those questions would be fantastic.
Thanks in advance.