The GPs of small venture funds tend to have more skin in the game than the GPs of large funds. How else do the fund economics of small and large VC funds compare?

While today’s picture may mirror what happened when the Fed dropped rates four years ago, there are also several significant ways in which the current environment differs for VCs.

These days, nearly every company that could be described as a SaaS startup is also an AI startup. The result: a surge in total SaaS fundraising and new highs for early-stage valuations.

The top-tier funds from 2017 and 2018 are on track to provide LPs with the sort of return they likely expected, outpacing the gains they might have achieved in the public markets. Yet most recent funds currently sit well below this mark.

Carta partnered with Solo Founders to provide a comprehensive understanding of the state of solo founders in 2025, based on data from tens of thousands of U.S. companies plus qualitative interviews with founders.