Which of the following most accurately defines venture

Solution

• Venture Capital (VC) is a type of private equity financing provided to startups, early-stage, or expanding businesses that are perceived to have high growth potential. • Unlike traditional debt, VC involves equity participation, meaning investors share ownership and potential profits. • Venture capital carries a high degree of risk, since new ventures often face uncertainties, but also offers the chance of high returns if the business succeeds. • It is typically long-term funding, often coupled with strategic guidance and mentoring by the investors.