Check size is the amount of capital a venture capital investor provides in one investment transaction. It helps indicate which investment stages a fund can support. section 9.2
A fund-size clue
A $250 million fund with four partners and five years to make initial investments might make roughly 20–40 investments. If one investor typically commits up to $5 million in a Series A, the firm could make about 25 such investments. section 9.2
Use check size as a quick diligence question:
- Ask whether the investor’s typical check fits the round you are raising. section 9.2
- Remember that a firm may operate overlapping funds to invest across multiple company stages. section 9.2
