Typically, the EIR has led or currently leads a small, early-stage, emerging company with perceived high-growth potential or has demonstrated significant growth in terms of employees, annual revenue, or both.
Additionally, they are tasked with evaluating new investment opportunities for the venture capital or private equity fund, particularly within their domain of expertise.
The venture capital firm usually benefits from significant access to the new company initiated by the EIR.
The type of nurturing an EIR can provide to a business school environment helps students and professors by sharing their industry experience and expertise.
Law firms may offer the advisory service to entrepreneurs in order to gain clients by helping them with venture decisions and networks.