Base10 Partners is offering its limited partners direct access to investing in unicorn startups in order to compete against VC firms with much bigger funds. Here's how.

Base10 Partners is offering its limited partners direct access to investing in unicorn startups in order to compete against VC firms with much bigger funds. Here’s how.

April 1, 2023

in Stocks

Reading Time: 3 mins read

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Limited partners, the investors that back VC firms, are seeking out more direct deals in startups.
But often LPs don’t get in until long after the VC firms have invested, so they get smaller returns.
VC firm Base10 Partners has launched a program to give LPs earlier access and more upside.

As the exuberance in venture capital has crashed to a halt, the institutions that back VC firms, known as limited partners, have had plenty to grouse about. Among those gripes: being able to coinvest in deals only after the firms they back have gotten in at relative bargains.

The VC firm Base10 Partners seeks to offer its own limited partners a remedy to this dilemma. Through what it calls its Preferred Access Program, the firm allows its backers to invest in growth-stage companies at the same time it makes its initial deals.