Venture Capital

Venture capital refers to a professionally managed pool of capital that is invested in privately held firms that have a high potential for growth. Venture capitalists earn a fee for their services as well as a percentage of the gain. Some of the most successful companies have been funded by venture capital. These include well-recognized firms such as Microsoft, Apple, Intel, Federal Express, Staples, Compaq, and Genentech. Indeed, it is surprising to know that these large corporations initially started as small and unknown entrepreneurial firms that were in need of capital for their growth and development. Venture capitalists provide financial resources as well as professional management expertise to help such companies achieve their potential for growth. In return for their investment of capital into the ...