Jody K. Thelander, President and CEO of J.Thelander Consulting & Surveys presents the results of the findings of the annual THELANDER CVC Surveys.
Corporate venture firms are on the move! According to PitchBook, worldwide there are 1,127 active venture investing corporates and corporates have been involved in 8,432 venture deals since the beginning of 2010.
How does this impact compensation?
The THELANDER CVC Surveys, including both the compensation and bonus surveys, consistently find that the typical comp packages include base pay, bonus and stock. The surveys also find that many CVC units would like to include carried interest or shadow/phantom carry.
So how do YOU begin to approach all of this within your organization?
First, assess whether the compensation structure for the team is competitive. Look at the individual factors – base pay and bonus – and add them up to get an annual cash compensation number for each position.
Second, look at market data for both corporate venture and venture, to get a sense of the marketplace. Venture is a worthy comparison group because it is important to understand the competitive landscape. While CVC is not traditional venture, it is still the recruiting pool for talent.
The Thelander 2015 CVC Compensation Report shows the median and 75th percentile total cash for a Senior Investment Professional to be $270-$340k. The Thelander 2015 Investment Firm Report shows the median and 75th percentile total cash for an Investment Professional III at a venture capital firm (one comparable position to Senior Investment Professional) to be $327-$414k.
Finally, factor in the CVC unit charter and responsibilities and the structure of the corporate venture fund to determine the compensation philosophy of the CVC and the parent company.
In order for corporate venture firms to effectively compete for talent and retain their current employees, compensation must be a key factor. Make sure you know what the market knows!
Would you like more information about the Thelander 2015 CVC Compensation Report? Reach Jody Thelander at