Are late-stage venture funds missing the mark? [Video]

We’ve all been told that late-stage venture funds are where the smart money goes, right? But what if that’s not where the real opportunity lies? Michael Ashley Schulman drops a bombshell: the big funds are banking on IPO markets and interest rates to bail them out. But is that really why we invest in venture capital?

Here’s the kicker: Schulman argues that for taxable clients, early-stage venture offers a hidden gem – the Qualified Small Business Stock (QSBS) tax benefits. With federal capital gains tax at 25%, QSBS can save investors a whopping 25% now, and potentially even more if taxes rise in the future. We’re talking about protecting up to ten times an investor’s initial investment from long-term capital gains.

So, are we overlooking the tax benefits of early-stage investments while chasing the next big IPO? Maybe it’s time to rethink where the real value lies in venture capital.