How does a venture capital firm work
How does a Venture Capital firm work? Category: UNDERSTANDING STARTUP INVESTMENT investors Venture Capital There’s more money than ever in the startup funding market across all funding stages. In previous articles we discussed the financing options available to startups and also the criteria used by investors when deciding which startups to back . Now it’s time to get a little bit closer to the elephant in the room: Venture Capital firms . As we’ve previously mentioned, Venture Capital is a form of a financing that’s self-explained: it consists of funds or firms that provide ‘venture capital’, meaning high risk capital that supports companies and organizations with the hope that these provide a great return on investment (ROI). There are many terms associated to the Venture Capital industry that might not be known to other investors and entrepreneurs, and in this article we’ll try to explain the main ones. How does a Venture Capital firm work? There are two key elements within