Venture Capital

• Venture Capital

  • Provides loans to businesses that a bank or other lender consider to be risky. In return for lending money they usually acquire a share in the business.
• Advantages:

  Businesses with a risky credit rating can secure finance from a reputable source.
• Advantages:

  Large amounts of finance can be raised.
• Disadvantages:

  Not suitable for short term financial requirements.
• Disadvantages:

  Part-ownership of business could be requested to secure the finance.