MANAGEMENT

Detailed explanation-1: -Equity financing is the process of raising capital through the sale of shares. Companies raise money because they might have a short-term need to pay bills or need funds for a long-term project that promotes growth. By selling shares, a business effectively sells ownership in its company in return for cash.

Detailed explanation-2: -Venture capital is a form of equity financing designed specially for funding high risk and high reward projects. It not only plays an important role in financing hi-technology projects, but also helps to turn research and development projects into commercial production.

Detailed explanation-3: -Simply put, equity financing is a means of financing a venture through giving away equity or shares in your company in return for funding. This means that an outside investor will own a part of your company.

Detailed explanation-4: -This is the most popular way for startup companies to raise money, as it offers investors a chance to become part of the company and receive shares at a discount compared to later rounds of fundraising.