MANAGEMENT

Detailed explanation-1: -Venture capital is capital that is invested in a business with a high risk of failure but with the potential for high returns. It is typically provided by investors, such as venture capitalists, private equity firms, or angel investors, and is usually used to fund early-stage companies and startups.

Detailed explanation-2: -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-3: -Venture capital refers rather to investments in projects with high growth potential, high risk and return and/or in which there is a dominant innovative and technological aspect. The concept of venture capital does not usually include the entrepreneur’s personal contribution.

Detailed explanation-4: -VCs face the risks that the company managers won’t be able to pull off the planned exit strategy. They may not produce enough revenue to offer the company to the public and sell shares. Smaller companies looking for a big buyer may not be successful enough to make the grade, leaving VCs stuck.