Wednesday, December 29, 2010

What is Venture Capital?

Venture capital is the term used when investors buy part of a company or organization. A venture capitalist or an investor invests money in a company that is high risk and has a high growth. The investment is not for very long time. It’s usually for a period of five to seven years. The investor will expect a return on his money either by the sale of the company or by offering to sell shares in the company to the public.

When anyone investing venture capital, the investor may get a percentage of the company’s share and may be take a position on the director’s board. An venture capitalist in a company is looking to make a good return.

No comments:

Post a Comment