---
title: "What Is Write-Up?"
term: "Write-Up"
description: "A write-up increases the carrying value of an investment on the books — reflecting higher fair value from up rounds, strong performance, or favorable public market comparables."
date: 2026-07-25T00:00:00.000Z
updated: 2026-07-25T00:00:00.000Z
topics: ["venture-capital"]
source: https://venturecapitaltracker.com/glossary/write-up
---

# What Is Write-Up?

> A write-up increases the carrying value of an investment on the books — reflecting higher fair value from up rounds, strong performance, or favorable public market comparables.

**A write-up** raises the book value of a holding — marking the investment above its prior carrying amount when fair value increases.

### How it works

Common write-up triggers:

- **Priced up-round** — new third-party financing sets higher reference valuation
- **Secondary transaction** — arm's-length sale at higher price
- **Public comparables** — late-stage marks rise with public peer multiples
- **Operating outperformance** — revenue and retention beat plan materially

Funds apply valuation policies — last round, hybrid, option pricing — to avoid arbitrary marks. Auditors review large write-ups in fund financials.

Example: seed stake marked at cost $2M; Series B at 3x price implies write-up to $6M on fund books — a [paper gain](/glossary/paper-gain) until exit or secondary.

Write-ups can reverse via [write-downs](/glossary/write-down) if conditions worsen — marks are not permanent profit.

### Why it matters

- **Founders:** Strong write-ups help with recruiting and follow-on fundraising narratives — cite third-party rounds when possible.
- **Investors:** TVPI includes unrealized write-ups; LPs distinguish from DPI. Aggressive write-up policies inflate fundraising track records until exits prove marks.

### Common mistake

Equating write-ups with fund success. DPI and cash distributions matter; paper write-ups evaporate in down markets.

### Related ideas

See also [write-down](/glossary/write-down), [paper gain](/glossary/paper-gain), and fair value policy.

## FAQ

### What is a write-up in simple terms?

A write-up raises the reported value of a fund's stake — often after a new financing round at a higher price or when internal models show the company is worth more than the last mark.

### Why does a write-up matter?

For investors, write-ups boost TVPI on paper before exits. For founders, they signal investor confidence but do not put cash in the bank until liquidity events.


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Source: https://venturecapitaltracker.com/glossary/write-up