Assessment Criteria

The Development Equity Funds team assesses Talent Fund proposals on their ability to deliver strong commercial outcomes while helping develop the next generation of UK venture capital investors.

We recognise that not all information may be available at the earliest stage. Guidance on stage-specific requirements will be provided, with further information requested progressively as proposals move through the process (for further details, see the Application Process).

Strong proposals will demonstrate strength across multiple areas, balancing commercial rigour with a clear commitment to talent development, inclusion, and long-term impact.

Key Assessment Areas

Talent Pipeline

A pipeline of high‑potential individuals from non-traditional backgrounds is essential. This may include, but is not limited to:

• Your sourcing channels, networks, and partnerships;
• Evidence that these channels provide credible access to the target participants;
• The profile, characteristics, and experience of the target participants;
• Why you believe they represent an underrepresented pool of investment talent, including any evidence to support this view.

Team & Track Record

We look for experienced market participants who can develop emerging investment talent. This may include, but is not limited to:

• A proven track record in venture capital fund management;
• A proven track record of developing investment talent;
• Complementary skills and expertise across investment, fund management, and talent development;
• Evidence of working effectively together, with clear roles and decision-making structures;
• A clear time commitment dedicated to the proposed talent fund.

Investment Strategy

Your proposal should set out a clear and commercially robust strategy. This may include, but is not limited to:

• The specific market gap the fund is designed to address and why a talent fund is the right response to that gap;
• Proposed sector, stage, and geographical focus;
• Expected fund size and portfolio construction;
• How you will balance commercial discipline with talent development;
• How much autonomy participants will have and how risk will be managed

We look for strategies that are practical, feasible, and aligned with the fund’s developmental objectives.

Talent Assessment & Selection

Applicants should outline how they will assess and select high-potential participants. This may include, but is not limited to:

• The selection criteria and evidence you will consider;
• How you will assess investment judgement and future potential;
• Who will be responsible for making talent selection decisions?
• How the process will be fair, consistent, and repeatable;
• How you will evaluate whether the selection process is identifying participants with the potential to become successful investors.

Talent Development

Talent Fund proposals must outline how they will equip participants with the skills and experience required to operate as institutional-grade investors. This may include, but is not limited to:

• The practical investment experience and decision-making responsibility the participants will receive;
• How the model will help participants become credible investors and/or future fund managers;
• How participants will be financially supported, including any salary or stipend;
• The expected graduation or onward pathway for the participants;

Terms and Structure

Proposals should demonstrate commercially sound financial terms and governance. This may include, but is not limited to:

• A viable fund size and structure;
• Clear alignment of incentives with commercial performance and development objectives, including a meaningful GP commitment;
• Proposed incentivisation of the participants;
• Transparent LP reporting and risk management frameworks to demonstrate operational credibility

Talent Funds may wish to adopt the same structure as an Enterprise Capital Fund. Further details can be found on the Enterprise Capital Funds webpage.

ESG Considerations

A credible approach to environmental, social, and governance (ESG) factors should be evident. ESG considerations should be integrated into investment decisions, fund operations, and programme design.