Practical Law Glossary Item 8-382-3901 (Approx. 2 pages)
Glossary
Venture Capital
A type of private equity specializing in investments in startup companies. Venture capital funds usually provide investment capital, industry connections, and operational and strategic guidance to startups throughout their rapid stages of growth. The goal of venture capital investors is to eventually exit each investment through an initial public offering or private sale of a portfolio company at a substantial profit. For more on venture capital and startups, see Practice Note, Startup Venture Finance: Overview.