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Everything You Need To Know About Venture Capital (VC) Funding

Teresa Fric
7 min readAug 30, 2023

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VC funding, or venture capital funding, is a type of financing provided to early-stage and late-stage companies by investors looking to earn high returns on their investments (ROI). It is a pivotal part of the startup ecosystem.

Here’s everything you need to know about VC funding:

1. What is Venture Capital (VC) funding?

Venture Capital funding is a type of financing provided to early-stage and late-stage companies by investors looking for high returns on their investments (ROI). It is traditionally associated with equity financing, where capital is exchanged for shares or ownership in the company, aka equity stake. However, VC funding can also involve debt instruments, though these are less common. We’ll look at them in more detail in a separate article that is coming out soon. Subscribe and never miss my article. :)

2. Who Are the Investors in VC Funding?

The investors in VC funding are typically Venture Capital (VC) firms, Corporate Venture Capital (CVC), Family Offices (FO), Private Equity (PE), or individual investors known as Angel Investors (HNWI, UHNWI). These investors are looking to invest in companies with high growth potential and substantial returns on investments (ROI)…

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Teresa Fric
Teresa Fric

Written by Teresa Fric

Startup Advisor | Angel Investor | Here to share my knowledge and experiences and spark ideas ✨

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