What Footwear Should Be Buy That Look Stylish As Well As Comfortable ECommerce Articles | November 21 Wholesale Jerseys Cheap , 2018
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Expand Your Business using Venture Capital
By Abe Cherian
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Expand Your Business using Venture Capital By Abe Cherian Copyright ? 2005
Venture capital is a possible source of funding for new, relatively unproven enterprises that appear to have promising futures. However, such money is often hard to come by.
Be realistic in your quest for venture capital. Venture capital firms expect a business to be able to return their investment not only with interest, but with a large profit.
Many venture capital firms are affiliated with banks Wholesale Soccer Jerseys Cheap , insurance companies, other financial institutions and large corporations. Some are owned by individuals or private groups of investors and a few are publicly held.
Once you accept venture capital, you have relinquished some of your autonomy and accepted the understanding that the venture capital firm will take a large share of the profits you earn.
As an entrepreneur, you should understand the nature of a vendor firm Wholesale Soccer Jerseys China , before pursuing this as a financing source. This type of investor expects a projected return on Investment that is directly related to risk.
The greater the risk, the greater the return expected. Typically however, an investment firm will not be interested in getting involved with a new firm until the business has established itself in some way, so the risk factor can be determined.
The venture capital firm and its interest usually depends upon the stage of the new firm's development. Once the new firm has established itself and has a working organizational structure Wholesale Soccer Jerseys , a viable business plan and start up arrangement a venture capital firm may be interested.
However, some firms prefer a later stage of new business development, perhaps when the new company is in its second or third round growth state and needs more capital either to carry out expansion plans or to tide it over until a merger or public offering carries it to the next stage of corporate growth.
A company's business plan serves as the primary analytical tool for the venture capitalist. In analyzing the plan, a venture capital firm would most likely focus on three features.