Venture Capital Firm
Venture Capital Firm Meaning:
In venture capital terminology, the term Venture Capital Firm refers to a firm that specializes in providing venture capital to start-ups and small businesses. A Venture Capital Firm can provide large sums of money, business and managerial expertise, and a prestigious name to small businesses in the process of growing. The types of funding provided by these firms include seed capital, startup capital early stage capital, expansion capital and late stage capital, otherwise knowns as rounds that include seed, series A. series B, series C and D.
In venture capital terminology, the term Venture Capital Firm refers to a firm that specializes in providing venture capital to start-ups and small businesses. A Venture Capital Firm can provide large sums of money, business and managerial expertise, and a prestigious name to small businesses in the process of growing. The types of funding provided by these firms include seed capital, startup capital early stage capital, expansion capital and late stage capital, otherwise knowns as rounds that include seed, series A. series B, series C and D.
For example, a Venture Capital Firm might offer their services to companies which they select on the basis of the company enjoying steady rapid growth, increasing profitability, a dominant position in a new market or a proprietary technology or invention which they intend to market. In addition, the Venture Capital Firm might look for a strong management team and the possibility of recovering their investment through an Initial Public Offering or an acquisition of the start-up company by a larger company. On average, a Venture Capital Firm will expect an annualized return of anywhere from 30% to 50% on their investment.
Examples of angel and seed funding in the US include Plug and Play Tech Center ,early stage would be GGV Capital and late stage include Accel Partners and Tiger Global.