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Inside the Venture Capital Model

Sheet-by-sheet reference: every input, formula, and output. Use this to scan the model before purchase, or as a cell-level reference when editing with AI.

16 sheets6 sections

How to read this

Cells are referenced by R<row>/<column><row> notation. R9/E9 means column E, row 9. R38–R45 is a block of inputs spanning those rows. Multi-column ranges like D39–J39 mean the same row across several columns. Types: INPUT = user-edited, FORMULA = calculated, DROPDOWN = select from list.

Venture Capital Model Sheet Map (Flagship)

Sheets (16)

README, License, Get Started, Scenario 2 Get Started, Scenario 2 Forecast, Scenario 3 Get Started, Scenario 3 Forecast, Forecast, Key Reports, Scenarios, Statements, Management Company, Resources, Model Comparison, Glossary, Changelog

Get Started (B1:L250): Core Input Sheet

Capital and Fund Assumptions (R5-R20)

Row Label Type Default Notes
R9/D9 Total Committed Capital INPUT ($) $25M All committed assumed called
R10/D10 GP Commit % INPUT (%) 2% Treated as LP interest for carry
R11/D11 Organizational Expenses INPUT ($) $100k One-time, first quarter
R12/D12 Operational Expenses (annual) INPUT ($) $75k In addition to mgmt fees
R13/D13 Management Fees % per year INPUT (%) 2% Based on committed or called capital
R14/D14 Carry % INPUT (%) 20%
R15/D15 Preferred Return INPUT (%) 0% Uncommon for US venture
R16/D16 GP Catchup % INPUT (%) 0% Only if preferred return
R17/D17 New Investment Period (quarters) INPUT (#) 16 (4 years)
R18/D18 Management Fees period (quarters) INPUT (#) 40 (10 years)
R19/D19 Fund Operations period (quarters) INPUT (#) 46 (11.5 years)
R20/D20 Extension Period (quarters) INPUT (#) 6 (1.5 years)

Recycling (R23-R31)

Row Label Type Default
R27/D27 Target recycling % INPUT (%) 0%
R28/D28 Based on (committed/mgmt fees) DROPDOWN "committed capital"
R29/D29 From exits ≤ N quarters post-invest INPUT (#) 24
R30/D30 Up to (invested capital/proceeds) DROPDOWN "invested capital"
R31/D31 Recycled through quarter INPUT (#) 16

Investment Strategy and Expectations (R34-R70): Unique to This Model

This section models multi-stage graduation, not just return tiers.

Row Label Type
R37 Column headers: New Investment, 2nd Round, 3rd, 4th, 5th, 6th, Exit
R39/D39-I39 % Allocation to entry at each stage INPUT (%)
R40 # First Checks FORMULA
R41 Capital allocated per strategy FORMULA
R42/D42-I42 Average invested per new investment INPUT ($)
R44/D44-I44 % Graduate to next round INPUT (%)
R45-R65 Graduation calculations (per entry stage) FORMULA
R66 % that exit after each stage FORMULA
R68/D68-I68 Average Initial Investment INPUT ($)
R69/D69-I69 Post-money Valuation per round INPUT ($)
R70/D70-I70 Dilution from round INPUT (%)

Portfolio Construction (R73-R95): Detailed per-round

Row Label Type
R76-R95 Per-round: check size, reserves, follow-on amounts FORMULA from Strategy section
R77 # of Checks (new + follow) FORMULA
R78 Total Capital Deployed FORMULA

Return Expectations (R98-R130)

All formula cells, calculated from the Investment Strategy inputs:

  • Exit multiples per round
  • Proceeds per investment
  • Ownership at exit (net of dilution)
  • Weighted average holding period
  • Return distribution (writeoffs/small/medium/large)

Fund Performance (R133-R170): all FORMULA

Row Metric
R137 Called Capital (LP + GP)
R138 Fund Expenses
R139 Management Fees
R140 Recycled Capital
R141 Invested Capital
R142 Proceeds
R143 Carried Interest (with preferred return waterfall)
R144 Distributions (Total / LP / GP)
R146 Gross Multiple
R147 Net Multiple (Total / LP / GP)
R148 Gross IRR
R149 Net IRR (Total / LP / GP)
R151-R153 PIC, DPI, RVPI

Fund Details (R155-R250)

Extended calculations: per-investment detail, capital deployment pacing, exit timing, carry waterfall mechanics.

Forecast: Quarterly Cash Flows

This is where the headline assumptions on Get Started turn into a quarter-by-quarter cash flow. It runs the full life of the fund, one column per quarter, and almost everything flows automatically from Get Started. A handful of cells on this sheet are editable, and they are the ones worth knowing.

How the sheet is laid out. Column B is the line label and column C holds inline notes (and, on a few rows, an optional manual override). Column D sets how that row aggregates over time (sum, final, initial, or max), and column E shows the resulting all-period total. The quarters themselves run left to right across columns G onward, one column per quarter, out to the end of fund operations plus any extension. Rows 4 and 5 are the column headers: relative quarter number and the date at the end of each period.

Triggers (R7-R11)

On/off flags, one value per quarter, that switch fund activities on and off as the fund ages. They are derived from the time periods on Get Started, so you normally leave them alone, but they are exposed here if you want to hand-tune when an activity stops.

Row Label Drives
R8 New investment period Quarters in which new (first-check) investments can be made
R9 Management fees period Quarters in which management fees are charged
R10 Fund operations period Quarters the fund is still operating
R11 Proceeds recycling period Quarters in which exit proceeds can be recycled into new investing

Inputs (R13-R20)

The editable assumptions that live on the Forecast sheet itself, separate from Get Started.

Row Label Type Notes
R14 Management Fees basis INPUT Charge on committed or called capital. Can be changed per quarter across the row.
R16 GP Commit excluded from LP capital TOGGLE By default the GP commit is treated as LP interest for carry.
R17 GP Commit excluded from management fees TOGGLE Default checked: the GP does not pay management fees on its own commit.
R18 GP Commit covered via cashless contributions TOGGLE If management fees are used to satisfy the GP commit.
R19 Committed Capital, % called per year INPUT (%) Pacing of capital calls across the call period.
R20 Called Capital, % of total committed INPUT (%) Optional manual override to the automatically calculated call schedule.

Capital roll-forward (R22-R28)

A simple beginning-to-end cash bridge for each quarter. Capital at the beginning of period (R22), plus called capital (R23), plus proceeds (R24), less distributions and carried interest (R25), less expenses (R26), less investments (R27), equals capital at the end of the period (R28). This is the running cash balance of the fund.

Detailed cash flows (R30-R58)

The line items that build up the roll-forward. Each is a quarterly series.

Row Line
R30-R31 Committed Capital, Called Capital
R32 Manual Investments (type a specific check into a specific quarter to override the paced schedule)
R33-R36 New Investments, Prorata Opportunities, Reserves for Follow-on, Follow-on Investments
R37-R38 Total Investments by cohort of new investments, Total Investments
R39-R41 Organizational Expenses, Operational Expenses, Management Fees
R42-R43 Recycled Capital, Proceeds
R44-R46 Preferred Return, GP Catchup, Carried Interest (the distribution waterfall, quarter by quarter)
R47 Distributions
R48-R53 Writeoffs, Invested Capital Exited, Change in Invested Capital, Change in Unrealized Gain (Loss), Change in Residual Value, Change in Undrawn Capital Commitments
R54-R58 The same flows split to LPs and GPs: Committed and Called Capital from LPs, change in invested capital from LPs, Distributions to LPs, Distributions to GPs

Cumulative versions (R59-R87)

Each detailed flow above repeated as a running cumulative total, so you can read the fund's position at any point in time rather than just the activity in a single quarter. Residual value at the end of a period is the cumulative change in residual value.

Multiples and exposure (R89-R93)

The standard fund ratios computed per quarter: Paid-in Capital (PIC, R89), Residual Value to Paid-in (RVPI, R90), Distributed Value to Paid-in (DVPI, R91), Total Value to Paid-in (TVPI, R92), and Exposure as a percent of total committed capital (R93).

Performance (R95-R103)

Gross and net return lines, realized only: Net (Investments) Proceeds and its cumulative (R95-R96), Gross Multiple and Gross IRR (R97-R98), Net (Called Capital) Distributions and its cumulative (R99-R100), Net Multiple and Net IRR (R101-R102), and an Interim Net IRR that includes unrealized value (R103).

IRR build grid (R104 onward)

One row per quarter, each building the dated cash-flow vector that feeds the IRR formulas above. This is what produces the J-curve: the interim IRR is negative early while capital is being called and invested, then climbs as exits land.

Statements: Consolidated Financial Statements

GAAP-style fund-level statements, built on the same quarterly grid as the Forecast (R4 and R5 pull the period headers straight from it). Three statements stacked on one sheet. Most lines are wired from the Forecast; a few income and expense lines are blank scaffolding you fill in if your fund has them.

Statement of Operations (R7-R46)

Section Rows Notes
Interest Income R9-R13 Bank, portfolio, and other interest, then Total. Not pulled from the Forecast by default; enter it if relevant.
Investment Income R15-R19 Operating income, dividend income, other income, then Total. Also manual by default.
Operating Expenses R21-R27 Fund administration, audit, tax prep, legal, professional fees, then Total. Operational expenses from the Forecast land here by default.
Management Fees R29-R32 Management Fees, Management Fees Offset, Net Management Fees
Organizational Fees R34 One-time organizational expense
Total Expenses R36
Net Investment Income (Expenses) R38 Income less expenses, before gains
Gain (loss) on investments R40-R44 Net realized gain (loss), net change in unrealized appreciation or depreciation, FX (not pre-built), then Net gain (loss)
Net Income (loss) R46 Net increase or decrease in partners' capital

Statement of Financial Condition, the balance sheet (R49-R90)

Section Rows Lines
Assets R51-R61 Cost of investments, unrealized gain (loss), investments at fair value, cash, accounts receivable, escrow proceeds receivable, capital contributions receivable, other assets, Total Assets
Liabilities R63-R70 Line of credit, distributions payable, accrued expenses, management fee payable, accounts payable, capital contributions received in advance, Total Liabilities
Investor's Capital R72-R88 LP and GP capital contributions, cashless and in-kind contributions, GP note receivable, contributions total; capital distributions, carried interest, GP distributions, tax withholding, distributions total; net income, net realized and unrealized gain (loss); Total Investor's Capital
Check R90 Assets must equal Liabilities plus Investor's Capital

Statement of Cash Flows (R93-R130)

Section Rows Notes
Operating activities R95-R115 Net income, then adjustments: realized and unrealized gains, purchases of investments, proceeds from sales, and changes in the operating assets and liabilities (R105-R114 mirror the balance sheet lines). Ends at Net cash from operating activities.
Financing activities R117-R126 Capital contributions and distributions from the Investor's Capital section, ending at Net cash from financing activities
Cash reconciliation R128-R130 Cash beginning of period, net change, cash end of period

Management Company

A separate profit and loss for the management entity, distinct from the fund itself:

  • Revenue from management fees
  • Operating and organizational expenses
  • GP commit obligations
  • Carried interest income
  • Net income to the GP

Scenarios: side-by-side comparison and sensitivity

The model carries three full scenarios. The base case is the main Get Started and Forecast pair. Scenarios 2 and 3 each have their own complete Get Started and Forecast sheets ("Scenario 2 Get Started" with "Scenario 2 Forecast", and the same for Scenario 3). The Scenarios sheet itself is the dashboard that compares all three and the place you drive the two alternates from.

What the Scenarios sheet shows (B2:N32)

Three columns, left to right: Conservative Case (Scenario 2), Base Case (Scenario 1), and High Case (Scenario 3).

Rows Content
R23-R26 Gross Multiple, Net Multiple, Gross IRR, and Net IRR for each of the three scenarios, pulled from each scenario's Get Started
R28 % Change in # of High Exits, the first sensitivity input (default -50% conservative, +50% high)
R29 % Change in Valuations of High Exits, the second sensitivity input (default -50% conservative, +50% high)
R31-R32 Notes: R28 changes how many of the portfolio's big winners land; R29 changes how large those winning exits are

How the two alternate scenarios are driven

Scenario 2 and Scenario 3 Get Started sheets reference the base Get Started for most assumptions, then apply the two sensitivity inputs from the Scenarios sheet to perturb the count and the valuation of high exits. So out of the box you tune two numbers per alternate scenario and the rest follows the base. If you want a fully independent scenario (different fund size, fees, or strategy), overwrite any cell directly on that scenario's Get Started sheet; it will stop tracking the base for that input.

Key differences from Fund Economics Tool

  • Quarterly cash flows vs aggregate
  • Investment Strategy section with graduation rates, multi-stage follow-ons, dilution tracking
  • Preferred return + GP catchup waterfall support
  • Recycling provisions with configurable limits
  • Fund Statements (operations, balance sheet, cash flows)
  • Management Company entity modeling
  • Per-investment ownership tracking through dilution across rounds

Ready to put this to work?

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