EIR. A temporary role created for entrepreneurs at firms. EIR will assist with due diligence, engage with portfolio companies, etc. Usually a 6-12 month position filled while the EIR searches for a new opportunity. Unwritten understanding the EIR gives the VC firm priority during a raise once they pursue a new venture. Venture Studio. A firm which incubates, invests in, and operates startups. Three different financing structures:. Fund. The Venture Studio is setup as a typical VC fund. GPs, the Studio team, and the companies which are founded are financed through management fees. Fees are similar to that of a VC fund: 2-3% management fees and 20% carry. The Studio does not formally invest into startups; therefore, equity in the startup is owned by LPs (typically VCs) and the fund, not the Studio. Large fund size or high management fees required to have sufficient capital for operations and venture creation. Holding Entity. Studio is setup as a holding entity like a C-corp, so equity of all startups is recorded on the Studio's balance sheet. LPs invest into the Studio in exchange for equity in the Studio, similar to how a VC would invest in a startup. LPs then own the same proportion of equity in both the Studio and startups created within the Studio; therefore, an LP who owns 10% of the Studio will also own 10% equity in all startups created by it. Both Studio founders and LPs own equity in the Studio. Profits and exits are split according to equity, meaning GPs (Studio team) are not offered carry. Dual Entity. A mix of both the Fund and Holding Entity model: the studio is a holding entity and a GP of a fund. . Both the Fund and Holding entity own equity in startups created by the Studio.