Decision Authority
Decision authority is who has the final power to approve, reject, or allocate capital within an organization.
Allocator relevance: Determines the true buyer and the real path to “yes,” reducing wasted outreach and shortening fundraising cycles.
Expanded Definition
Titles do not reliably indicate authority. Decision authority may sit with a CIO, an investment committee, a principal, a board, or a small subset of stakeholders depending on governance structure. In family offices, authority is often concentrated but not always visible; in institutions, authority is formal but layered.
For allocator intelligence, “decision authority” is a core field because it drives how decisions are made, how long they take, and how to route inbound opportunities accurately.
How It Works in Practice
Teams map authority through role validation, organizational governance structures, observed decision behavior, and confirmed decision chains. Authority can vary by asset class, ticket size, and investment type (fund commitment vs co-invest vs direct investment).
Decision Authority and Governance
Governance defines where authority lives (IC charter, investment policy, principal control). Accurate data systems separate “influencer,” “gatekeeper,” and “final approver” rather than collapsing them into one label.
Common Misconceptions
- The most senior title always has final authority.
- Gatekeepers have no influence.
- Authority is consistent across all investment types.
Key Takeaways
- Authority is a function of governance, not title.
- Mapping authority improves targeting efficiency dramatically.
- Authority can shift by ticket size and mandate.