Venture Capital

[Eugine]

Venture capital is the term used when investors buy part of a company. A venture capitalist places money in a company that is high risk and has a high growth. The investment is usually for a period of five to seven years. The investor will expect a return on his money either by the sale of the company or by offering to sell shares in the company to the public. When investing venture capital, the investor may want receive a percentage of the company’s equity, and may also wish to have a position on the director’s board.