Venture Capital
What is Venture Capital?
Venture capital (VC) is a form of private equity financing that investors provide to startups and small businesses with high growth potential. Venture capitalists invest in early-stage companies in exchange for equity, aiming to generate significant returns if the company succeeds. VC funding is typically used for scaling operations, developing products, or entering new markets.
Stages of Venture Capital Funding
- Seed Stage: The initial investment to help a startup get off the ground.
- Series A, B, C: Successive funding rounds aimed at scaling the business and achieving growth milestones.
- Exit: Venture capitalists may exit through an IPO or acquisition, realizing returns on their investment.