🎰

Expense Allocation

OCV manages expenses for many entities. These include OCV (under the Management Company), OCV funds, and OCV companies (typically during the formation phase only).
As a default practice, we ask our vendors to bill the appropriate entity for which services/goods were rendered.

Company Pre-Launch Expenses

OCV has a designated payment method for standard pre-launch systems. These systems and accounts are expected to transfer to the company's own business credit card upon activation. As a general practice, OCV would minimize expenses incurred on behalf on the company during the formation phase.
For each company, OCV would not seek reimbursements for total expenses below $500. Once total expenses exceed $500 (potentially driven by domain purchases), OCV would invoice the company for all direct expenses incurred.
When founding team members need to purchase equipment or services before their company's financial systems are set up, the preferred method is to pay for these personally and later submit expense reimbursements to their company's accounting team. (See also Corporate Credit Card).

Reimbursements Across Entities

Occasionally, OCV may need to cover payments on behalf of another entity. These payments are recorded as receivables on OCV’s balance sheet. Once the entity can process invoices, OCV will request reimbursement at actual cost by submitting receipts to the entity's accounting department.
Table below highlights typical expense categories by entity type.
OCV (under Management Company)
OCV Funds
OCV Companies
Operating costs (i.e. payroll for OCV team, systems, etc.)
Deal-specific expenses (primarily legal, travel, etc.)
Company operating costs (payroll, fixed assets, systems subscriptions, etc.)
Content production for OCV blog posts including new company launch announcements
Fund admin fees
Company-specific legal fees (including entity formation)
OCV-specific legal & accounting needs and non-company specific work that benefit all OCV companies
Tax services for funds (GP and LP entities)
Outsourced HR & recruiting services
Catalyst program sponsorship payments
ã…¤
Marketing (including contract content writers, etc.)
ã…¤
ã…¤
Outsourced accounting & tax services
ã…¤
ã…¤
Corporate taxes and statutory filings
Â