By Jahn Karsybaev, Co-Founder and Managing Partner at Big Sky Capital.

At Big Sky Capital, we have various partners, team members and other roles that are part of our ecosystem. We thought it would be important to clear some air when it comes to some of these roles and areas of responsibilities.

A typical VC fund has a range of roles and responsibilities, including:

General Partners (GPs): These are the senior leaders of the fund who make investment decisions and oversee the overall strategy and operations of the fund. GPs are typically experienced investors or industry experts who have a deep understanding of the sectors in which the fund invests.

Limited Partners (LPs): These are the investors who provide the capital for the fund. LPs can include institutional investors, such as pension funds and endowments, as well as high net worth individuals.

Associates: These are typically junior members of the investment team who are responsible for sourcing potential investment opportunities, conducting due diligence, and providing support for the senior investment professionals. Associates often have strong analytical skills and experience in finance or a related field.

Venture Partners (VPs): These are typically industry experts or successful entrepreneurs who work with the fund on a part-time basis to help identify and evaluate potential investment opportunities. Venture Partners can bring valuable insights and networks to the fund, but may not have the same level of responsibility as full-time investment professionals.

Analysts: Similar to Associates, Analysts are also junior members of the investment team who support the senior investment professionals. Their responsibilities may include conducting research and analysis on potential investment opportunities, as well as helping to manage the fund’s portfolio.

Operations professionals: These individuals are responsible for managing the fund’s day-to-day operations, including financial reporting, investor relations, legal and regulatory compliance, and other administrative functions.

The hierarchy at a typical venture capital (VC) fund can vary depending on the size and structure of the firm, but typically includes the following roles, listed in order of seniority:

1. Managing Partner/General Partner: The top of the VC hierarchy is typically occupied by one or more managing partners or general partners (GPs). These individuals are responsible for overseeing the overall strategy and operations of the firm, including raising capital, making investment decisions, and managing the firm’s portfolio.

2. Principal: Principals are typically experienced investment professionals who work closely with the GPs to evaluate potential investments, manage the firm’s portfolio, and help drive the overall strategy of the firm.

3. Senior Associate: Senior associates are mid-level investment professionals who typically have several years of experience in venture capital or a related field. They may be responsible for sourcing potential investment opportunities, conducting due diligence, and managing the firm’s portfolio.

4. Associate: Associates are junior investment professionals who are typically responsible for supporting the senior members of the investment team in their work. Associates may be responsible for tasks such as conducting research, preparing reports, and assisting with due diligence.

5. Analyst: Analysts are entry-level members of the investment team who are typically responsible for tasks such as conducting research and analysis, building financial models, and preparing reports.

In addition to these investment-focused roles, a VC firm may also have operations, finance, and administrative staff who support the day-to-day operations of the firm.