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Clarus Ventures: Avoid This VC. Your Ethics Will Be Compromised, or You Will Be Booted.

Reported by Thefunded
May 20, 2018· 2 min read
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Key Takeaways
  • • Clarus Ventures has received a low fund rating of 1.9, indicating serious concerns from investors or stakeholders regarding fund operations and management practices.
  • • Anonymous investor feedback raises ethical concerns about the firm's treatment of portfolio companies and investors, with allegations that participants face compromised ethics or potential removal from the fund.
  • • The posting appears on a third-party rating or review platform, suggesting Clarus Ventures operates in the venture capital space but faces reputational challenges in the institutional investment community.
Summary
Clarus Ventures has attracted negative investor feedback on a public rating platform, with an anonymous submission assigning the fund a 1.9 rating. The posting, which spans approximately 2,862 characters in private feedback, raises concerns about the firm's operational ethics and treatment of investors and portfolio companies.

The anonymous reviewer's headline—"Avoid This VC. Your Ethics Will Be Compromised, or You Will Be Booted"—suggests fundamental concerns about governance and investor relations. The low numerical rating reflects dissatisfaction with either fund performance, management conduct, or both, though the platform's specific rating methodology is not detailed in available source material.

The feedback appears to target venture capital practices at Clarus Ventures specifically, positioning the firm as problematic for institutional investors and alternative asset managers seeking to maintain ethical standards. The specificity of the warning language—referencing both ethical compromise and investor removal—indicates either direct experience from the reviewer or consolidation of multiple investor concerns.

As of May 2018, this public criticism represents a meaningful reputational challenge for a venture capital firm, particularly among sophisticated institutional investors who rely on peer networks and public forums to evaluate fund quality and management integrity. The posting's presence on a third-party platform accessible to the investment community reflects growing investor demand for transparency around VC firm governance and ethical standards.

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Sources

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AlphaMaven summarised this story from the reporting below. Each link opens the original article.

Thefunded Clarus Ventures: Avoid This VC. Your Ethics Will Be Compromised, or You Will Be Booted.