Venture Capital

Definition

  • Financial capital provided to high-risk, high-reward start-up companies. Some startups find themselves in need of funding in order to grow, so venture capitalists provide them funding in exchange for equity (ownership) in the company. Venture capital (VC) is a form of private equity.

Synonyms
cash injection, financial assistance, financial capital

Acronyms
VC

Related Terms and Acronyms

  • Angel Investors Definition,
    • Private individuals with capital to invest in business enterprises.
  • Closely Held Definition,
    • Schedule II banks may be closely held, i.e., one party (owner) may hold more than 10% of the outstanding shares. Schedule I banks are prohibited from this type of ownership.
  • Equity Definition,
    • The value of a property minus outstanding mortgage debt and other liens.
    • Ownership in an asset.
  • Initial Public Offering (IPO) Acronym,
    • When shares of a corporation become available to the public for the first time.
  • Joint Venture Definition,
    • A partnership between two or more parties for the purpose of purchasing, owning, and/or developing real estate for a specific purpose and duration.
  • Private Equity Definition,
    • Equity not traded on a stock exchange.
  • Seed Funding Definition,
    • Money used to start a business.
  • Startup Company Definition,
    • A recently founded company that works on new products and services.
Compare. Calculate. Apply today.
Compare Mortgage RatesMortgage CalculatorsApply for a Mortgage