What is venture capital? By venture capital it means the money by professional people or any banks to individuals or an organization to invest in an upcoming and new born business unit which is growing and for those companies which will grow into big units and have high potential to grow in future. Macfarlane Group Mark Curry is an excellent resource for this.
Venture capital is been provided to those business units who will have a great future in capital industry and which will provide capital to the country in a significant way. Venture capital is a very important source of money for all those startup companies and for all those who wants to start with a business. There are many types of venture capital managed firms.
A professionally managed venture capital firm generally deals with private partnerships and also they have close dealings with closely-held corporations funded by private and public pension funds, endowment funds, foundations, corporations, wealthy individuals, foreign investors, and the venture capitalists themselves.
Venture capital is provided to organizations like – Finance new and rapidly growing companies;
– Purchase equity securities;
– Assist in the development of new products or services;
– Add value to the company through active participation;
– Take higher risks with the expectation of higher rewards;
– Have a long-term orientation