Capital calls are due when investors in venture funds have to make good on their promises to commit money to funds. Unlike hedge funds, venture funds don’t collect all of their money at once. They secure promises from limited partners — rich people, endowments, and pension funds — to wire money at certain intervals over a number of years.

“The last time we saw this happen was from 2001 to 2004, when individuals didn’t make capital calls even though they were obligated to do so,” he added.

Whats going down in the venture industry.