Venture Capital

What is Venture Capital?

Venture Capital is equity financing from investors seeking high-growth outcomes and large potential exits.

Also known as: VC

Common Mistakes with Venture Capital

• Raising too much venture capital before the company can deploy it effectively.
• Using repeated infusions of venture capital to fund continuing losses, which postpones the critical market test and can keep management pursuing the wrong strategy for years.

Venture Capital vs Related Metrics

• Venture Capital vs Revenue-Based Financing — how the two differ and when each matters.
• Venture Capital vs Valuation — how the two differ and when each matters.