What is Venture Capital

[Moon Walker]

Hello, I am here to gain some information about the Venture Capital, which is my project title of my MBA course, which I have to complete within the next two weeks. I am looking forward some books and the internet, searched everywhere for the information about this topic. And think that these are not sufficient for the project. So I also post here, if there is any having any information regarding this topic input freely, which will definitely help me very much. Thank you on advance.

[Mr. Boo Bear]

I will be very gald if I am able to give you some information about the “Venture Capital”. Though I am not from the management field but some of the basic information about this term and going to share with you. The Venture Capital is the part of financial capital which provides in the early stage, high potential and startup companies. This capital is gain from the investment which is making by the company by owing the equity of the whole investment. In the technological industries this is termed as the popular business model, also in some other places it works same like the biotechnology, IT, Software etc. the typical method of Venture Capital is starts to work while the company is in growth funding position. In addition to angel investing and seed funding mode the Venture Capital is plays a very vital role to make that company with the limited growth level, though that have no much sufficient capital to make place in the capital market.

[robodude]

The Venture Capital is also known as "risk capital", in other words it is also defined as, a capital which is invest in a project of a business organization. Where a substantial element is termed as the risk for future trends of profit and the cash flows of the organization. Risk capital is used to invest in the equity shares, rather than for a loan and for the investors those are looking for return of high amount from their investment, which will help them to compress his risk on the investment. In UK , the venture capital is used for the main sources they are termed it as "business angels".

[Mario2]

Venture capital offers long term shares investment, Committed with the share capital. Which is very much useful for the companies those are in the low level of market trend or in the startup position. This investment is works for while any entrepreneur is in looking for expand money, start-up business at sell and buy a business. Venture capital is different from sustainable the debt or a loan which is take from a lender. Where the lender is able to invest the money in the as the repayment of the capital and for the interest of loan. Venture capital is used for a business to making the growth in order to equity stake. As a shareholder the Venture capital is acts as the growth and profitability of the business or the investment for that. It is introduced in UK first time in the 18th century, by that the entrepreneurs are enjoyed regarding the wealthy fund of the individuals to get back the return for the investment which they made. At present there are more than 100 firms in UK; those are for offering the venture capital.

[SaleemJI]

In the investment process of venture capital, there are some of entities are look for before going to invest on that. These are like the product and the service where you are investing should be viable commercially. Is the investment is making by any company then that company have the potential growth for the investment, along with that the management of that organization has the ability to exploit this potential growth and to control the company while in the growth process. For the review of the business plan after the investment, a venture capitalist can do the payment for that within the short time interval like 3 or 6 months. This depends on the quality of the organization according to the capital investment. Venture capital loans are typically entitled to interest, though there is no necessity of repayment if there any mistake made during the payment process for the loan. A loan can be converting into the equity share with the help of venture capital investment process, but it will take a high amount of interest for loan.

[WilliamJohson]

Venture capital is the term used when investors buy part of a company. Venture capital provides long-term, committed share capital, This is a very important source of funding, to help unquoted companies grow and succeed.