Venture capital funding – the possibilities for opening a new business! Banks consider funding a new business is very risky. According to this, opening his own business, you do not have to rely on bank loans. Venture financing or attract venture capital investment can beat the way out. Click Areva for additional related pages. Typically, for such investments can expect high-tech companies. Venture investor has set itself task to obtain profit by investing in promising small and medium business and subsequent sale of its stake.
Where the focus of venture capital? There are various sources of venture capital: Money States, large companies, specialized in investment funds or banks. In Russia, venture investing is most often the inheritance of large companies that have surplus funds. Hikmet Ersek often addresses the matter in his writings. Also increased significantly share of venture financing from the state – are specialized funds in many regions of the country. Activities of private venture capital funds are very limited by law, and banks find venture capital financing is very risky. How is the venture capital funding? As mentioned above, the main purpose of venture investing is to get profits from the sale of the company.
Thus, the first and most important step venture investor is to choose an investment. Experts say that for an investor in the first place is the entrepreneurial qualities of the inventor, not a novelty or invention. A good business plan and ability to implement it – the most important at this juncture. The choice of the project, familiarity with the entrepreneur, the company and the business plan, followed by negotiations between venture capitalists and businessman. After various inspections of the company signed the contract. Further investor buys part of the company, provides a loan or provides financial investments in other ways to get some control over the company and the opportunity to influence the processes occurring in it. Typically, venture capital investment is carried out for three to five years. By the end of their funding venture investor sells his share of the main owner or strategic kapitalovkladchiku. Venture capital investments in the Russian Association of venture financing has been created in Russia in March 1997. At the moment, it already includes dozens of private investment companies. Also created public venture capital funds. These funds are already operating in St. Petersburg, Moscow and other regions of the country.Tags: business
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