Venture Capital

Venture Capital (VC) is a form of private equity financing provided by investors to early-stage, high-potential, and growth-focused startups and small businesses. Venture capital investments are typically made in exchange for equity, or an ownership stake, in the company. VC firms raise capital from institutional investors, high-net-worth individuals, and family offices, pooling this capital into funds which are then invested in carefully selected startups.

VC investments are considered high-risk because many early-stage businesses fail. However, the potential for outsized returns through successful exits — such as acquisitions, mergers, or initial public offerings (IPOs) — attracts investors to this asset class. Beyond capital, VC firms also provide strategic guidance, mentorship, network access, and operational support to help companies scale.