ENTREPRENEURSHIP

INTRODUCTION TO ENTREPRENEURSHIP

TYPES OF ENTREPRENEURSHIP

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
What type of financing is venture capital funding
A
equity
B
long term debt
C
preferred stock
D
short term debt
Explanation: 

Detailed explanation-1: -Venture capital (VC) is a form of private equity and a type of financing that investors provide to startup companies and small businesses that are believed to have long-term growth potential. Venture capital generally comes from well-off investors, investment banks, and any other financial institutions.

Detailed explanation-2: -Venture equity is an investment strategy that includes a hybrid of venture capital and private equity approaches. Firms or individuals involved in venture equity acquire struggling startups, make improvements to the companies to help spur growth, and resell them for a profit.

Detailed explanation-3: -Private equity firms can buy companies from any industry while venture capital firms tend to focus on startups in technology, biotechnology, and clean technology-although not necessarily. Private equity firms also use both cash and debt in their investment, whereas venture capital firms deal with equity only.

There is 1 question to complete.