What does venture capital mean?
A short-term capital provided to industries
A long-term start-up capital provided to new entrepreneurs
Funds provided to industries at times of incurring losses
Funds provided for replacement and renovation of industries
Answer is Right!
Answer is Wrong!
This question was previously asked in
UPSC IAS – 2014
The correct option is B. Venture capital means a long-term start-up capital provided to new entrepreneurs.
Venture capital is a form of private equity financing that is provided by venture capital firms or funds to start-ups, early-stage, and emerging companies that have been deemed to have high growth potential or which have demonstrated high growth. It is characterized by being a long-term investment, usually in equity, and is provided to fund initial operations or expansions of new ventures.