Practical Venture Capital

High-Level Overview

Practical Venture Capital (PVC) is a Silicon Valley-based investment firm specializing in secondary venture capital deals. Its mission is to provide investors with discounted access to top-performing early-stage VC funds and breakout portfolio companies, bypassing the riskiest phase of startup growth. PVC’s investment philosophy centers on the “Skip the J-Curve” strategy—buying stakes in mature funds and companies after winners have emerged, reducing risk and accelerating liquidity. The firm targets sectors where early-stage venture capital has already proven successful, focusing on high-growth tech startups and funds with established unicorns. By unlocking liquidity for LPs and GPs, PVC plays a vital role in modernizing the venture capital ecosystem, making it more accessible and efficient for a broader range of investors.

Origin Story

Founded in 2019, Practical Venture Capital was co-founded by Aman Verjee and Dave McClure, both seasoned investors and startup veterans with deep roots in Silicon Valley. Verjee brings experience from PayPal, eBay, and 500 Startups, where he managed global fundraising and investment strategies. McClure is known for his work at Founders Fund and 500 Startups, having backed over 30 unicorns and 8 IPOs. The firm emerged in response to a growing need for liquidity in the venture capital market, as traditional VC funds extended their holding periods beyond 10 years, leaving investors eager for faster returns. PVC’s focus on secondary deals—buying LP and GP interests in mature funds and direct stakes in breakout companies—was shaped by the founders’ firsthand experience navigating the complexities of venture portfolios and their desire to create a more liquid, transparent marketplace for VC assets.

Core Differentiators

• Unique Investment Model: PVC’s “Skip the J-Curve” approach allows investors to enter top-performing VC funds and companies after the initial high-risk phase, typically at a 20–40% discount to NAV. This strategy targets funds and companies with proven traction, aiming for distributions in under five years.
• Network Strength: The partners have launched 20 VC funds globally and maintain one of the broadest GP networks in Silicon Valley and beyond, giving PVC access to exclusive secondary opportunities.
• Track Record: PVC’s team has been early investors in 30+ unicorns and 8 IPOs, including Credit Karma, Twilio, SendGrid, Lyft, and Canva, generating 50–100x+ returns.
• Global Reach: The firm invests across 75+ countries, spanning Europe, Asia, Africa, and Latin America, diversifying its portfolio and capturing global growth trends.
• Operating Support: PVC leverages its founders’ operational expertise to evaluate and price complex multi-asset portfolios, identifying opportunities others may overlook.

Role in the Broader Tech Landscape

Practical Venture Capital is riding the wave of the growing VC secondary market, a trend fueled by longer fund lifecycles and investor demand for faster liquidity. As the venture capital ecosystem evolves, PVC’s model addresses a critical pain point: the mismatch between traditional VC’s long holding periods and investors’ need for timely returns. By creating a more liquid marketplace for VC assets, PVC helps sustain venture capital as a viable asset class, especially as large companies delay IPOs and funds extend their terms. The firm’s success also reflects broader shifts toward portfolio diversification, transparency, and global investment, positioning PVC as a key player in shaping the future of venture capital.

Quick Take & Future Outlook

Practical Venture Capital is poised to continue expanding its influence as the secondary VC market matures. With the rise of global tech hubs and increasing demand for liquidity, PVC’s model is likely to attract more institutional and retail investors seeking exposure to top-tier venture portfolios without the long wait. The firm’s ability to efficiently price and acquire complex secondary stakes, combined with its deep network and proven track record, will be crucial as the market grows. Looking ahead, PVC may further innovate with new fund structures and expand into emerging markets, solidifying its role as a catalyst for a more dynamic and accessible venture capital ecosystem. Just as halftime bets can yield outsized returns, PVC’s strategy of stepping in when the winners are clear could redefine how investors engage with venture capital.