What is General Partner?
General Partner
A General Partner (GP) is the managing partner of a venture capital firm who makes investment decisions, manages the fund, and takes on legal liability.
Why It Matters for Startups
Directly dictates the cap table and dilution structure during fundraising; understanding General Partner helps founders model equity distributions when structuring rounds for vc fund management and decision making.
Detailed Deep Dive
A General Partner (GP) is the managing partner of a venture capital firm who makes investment decisions, manages the fund operations, and takes on legal liability. GPs are compensated via management fees and performance fees (carried interest).
Frequently Asked Questions
Q:What does a GP do?
GPs source deals, represent the fund on startup boards, direct investment decisions, and report to Limited Partners.
Q:What is carried interest for a GP?
GPs typically receive a performance fee of 20% of the fund's profits (carried interest) after LPs get their capital back.
Quick Facts
- CategoryFunding
- Key ApplicationVC fund management and decision making
Coverage Trend12 Weeks
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General Partner Media Coverage & Intelligence
Insight Partners' Deven Parekh on Why the Firm Is Diversifying While Everyone Else Bets the Farm on OpenAI and Anthropic
Insight Partners' Devin Parekh opens up about losing Legora to General Catalyst, why he's fine holding stakes in rival AI labs, and why - even as everyone.