What is Venture Capital investing? 

Firms need to be funded from start-up to profitability. But young firms may find it difficult to access conventional sources of finance, given their unproven nature and low visibility.

Instead, Venture Capital (VC) investing can provide funds in exchange for an equity stake in the business, with the Venture Capitalist hoping that the investment will yield a high potential return.

Venture Capital firms mostly invest in start-ups with high growth potential – in contrast to private equity firms that usually buy into more mature companies.

Venture Capital can be set up by “angel” investors, i.e. high net worth individual investors, or can be private capital organized as a…