Venture Capital


The concept provides a comprehensive review of venture capital and explores the benefits of this type of venture and how venture capital can be attracted.

Technique Overview

Venture Capital Definition

Venture capital (VC) is financial capital provided to early-stage, high-growth potential, high risk, young companies. It is a subset of private equity involving shares, not quoted on a public stock exchange. All venture capital is private equity but not all private equity is venture capital. Corporate venture capital (CVC), a subset of venture capital, is the investment of corporate funds directly in external start-up companies. CVC involves a large firm buying an equity stake in a small, innovative or specialist venture to which it might also provide managerial know-how (BVCA).

Venture Capital Description *

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Business Evidence

Strengths, weaknesses and examples of Venture Capital *

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Business Application

Implementation, success factors and measures of Venture Capital *

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Professional Tools

Venture Capital videos and downloads *

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Further Reading

Venture Capital web and print resources *

Venture Capital references (4 of up to 20) *

  • Baum, J.A.C. and Silverman, B.S. (2004) Picking Winners or Building them? Alliance, Intellectual, and Human Capital as Selection Criteria in Venture Financing and Performance of Biotechnology Startups. Journal of Business Venturing, Vol. 19(3), May, pp. 411-436.
  • Brealey, R.A and Myers, S.C. (1996) Principles of Corporate Finance. (Fifth Ed.) McGraw-Hill.
  • British Venture Capital Association www.bvca.co.uk/home
  • Bygrave, W.D. (1987) Syndicated Investments by Venture Capital Firms: A Networking Perspective. Journal of Business Venturing, 2(2), pp. 139–154.

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