3.3 Deal Memos
Listen to Key Entities as a
deep dive podcast!
What Is a VC Deal Memo?
A deal memo is an internal document that summarizes a startup investment opportunity. It’s where venture capitalists make their case — for or against investing — based on research, diligence, and conviction.
​
It typically includes sections on the team, product, market, traction, risks, deal terms, and the overall recommendation.
Deal memos guide investment decisions and serve as institutional memory for the fund.
Writing great memos is a hallmark of disciplined investors.
What a deal memo usually includes:
While formats vary by firm, a strong deal memo typically includes:
Company Overview
What the company does, in one or two clear sentences. Market, product, business model.
​
Team Assessment
Bios, prior experience, what makes the founders special. Execution ability and coachability.
​
Market Opportunity
Size, growth rate, tailwinds. Why now? Who are the competitors?
​
Product Overview
What is being built, and for whom? Tech stack if relevant. Product maturity.
​
Traction & Metrics
Revenue (if any), users, growth rate, churn, pipeline, waitlist, etc.
​
Deal Terms
Round size, valuation, lead investor (if any), your proposed check size, and target ownership.
​
Risks
Market, team, regulatory, dilution risk, competitive dynamics, execution hurdles.
​
Recommendation
A concise “yes” or “no,” often with optionality. Some firms include deal scores or risk tiers.
Deal Memo Templates and Resources
Here are some high-quality, publicly available resources featuring deal memo examples and templates—ideal for emerging GPs, analysts, or anyone curious how VCs structure these key documents:
Bessemer Venture Partners - Public Memos Collection
Bessemer publishes investment memos from early-stage investments in companies such as Twitch, Shopify, Twilio, and Pinterest. These real-world documents offer insight into how venture firms evaluate early decisions and articulate conviction.
VC Memo Collection by Alexander Jarvis
A curated library of 38 memos from firms like Sequoia, Benchmark, Bessemer, Greylock, and more. Includes investments in LinkedIn, Yelp, Doordash, ZOOX, and others—searchable by deal stage or firm.
​
VC Lab Template Deal Memo (PDF)
A structured example memo from VC Lab showing categories like defect ratings, velocity, market, competition, and milestones. Useful for building your own memo framework.
Point Nine Capital Deal Memo Template and Breakdown
Covers modern VC sourcing strategies, including how to manage inbound, track outbound, build visibility, and combine tech tools with personal networks to boost pipeline quality.
Carta Guide: How to Write an Investment Memo
A step-by-step overview of how deals flow through a VC firm — from sourcing to screening, due diligence, and closing. Useful for contextualizing where sourcing fits in the broader investment process.
