Venture capital

849d...F75T
2 Jun 2022
24

Venture capital (VC) is a form of private equity financing that is provided by venture capital firms or funds to startups, early-stage, and emerging companies that have been deemed to have high growth potential or which have demonstrated high growth (in terms of number of employees, annual revenue, scale of operations, etc). Venture capital firms or funds invest in these early-stage companies in exchange for equity, or an ownership stake. Venture capitalists take on the risk of financing risky start-ups in the hopes that some of the firms they support will become successful. Because startups face high uncertainty,[1] VC investments have high rates of failure. The start-ups are usually based on an innovative technology or business model and they are usually from high technology industries, such as information technology (IT), clean technology or biotechnology.



The typical venture capital investment occurs after an initial "seed funding" round. The first round of 

Write & Read to Earn with BULB

Learn More

Enjoy this blog? Subscribe to Rah000

2 Comments

B
south coast surfer
Great way for start-ups to get some much needed funding behind them. This then leads to the ability to expand, purchase stock and get the business moving forward. Nice article
Most relevant comments are displayed, so some may have been filtered out.