GK
BUSINESS MANAGEMENT
|
Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
|
|
|
start-up financing
|
|
|
venture capital
|
|
|
short-term financing
|
|
|
long-term financing
|
Detailed explanation-1: -Venture capital refers to money that is invested in a company during the early stages of its development. Such funds may come from wealthy individuals, government-backed small business investment companies, or professionally managed venture capital firms.
Detailed explanation-2: -Venture capital provides funding to new businesses that do not have access to stock markets and do not have enough cash flow to take debts. This arrangement can be mutually beneficial: businesses get the capital they need to bootstrap their operations, and investors gain equity in promising companies.
Detailed explanation-3: -Startup capital is the money a business owner needs to start up a new company. This funding helps the business meet its initial costs, such as office space or equipment. Raising startup capital is an important step in the process of launching a new business.