MANAGEMENT

BUISENESS MANAGEMENT

BUSINESS PLANNING

Question [CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
Money invested in a business by investors who form partnerships or groups to pool investments
A
equity financing
B
debt financing
C
venture capital
D
business loan
Explanation: 

Detailed explanation-1: -Venture capital funds are pooled investment funds that manage the money of investors who seek private equity stakes in startups and small-to medium-sized enterprises with strong growth potential. These investments are generally characterized as very high-risk/high-return opportunities.

Detailed explanation-2: -Startup capital is the money raised by an entrepreneur to underwrite the costs of a venture until it begins to turn a profit. Venture capitalists, angel investors, and traditional banks are among the sources of startup capital.

Detailed explanation-3: -Investors in venture capital funds are typically very large institutions such as pension funds, financial firms, insurance companies, and university endowments-all of which put a small percentage of their total funds into high-risk investments.

Detailed explanation-4: -A venture capital (VC) fund is a sum of money investors commit for investment in early-stage companies. The investors who supply the fund with money are designated as limited partners. The person who manages the fund is called the general partner.

Detailed explanation-5: -"An investment club is formed when a group of friends, neighbors, business associates, or others pool their money to invest in stock or other securities.

There is 1 question to complete.