Question

Difference between venture capital and economic development

Answer 1

Answer:

One important difference between venture capital and other private equity deals, however, is that venture capital tends to focus on emerging companies seeking substantial funds for the first time, while private equity tends to fund larger, more established companies that are seeking an equity infusion or a chance for ..

Answer 2

Difference between venture capital and economic development are given below:

Venture capital:

• Venture capital is a method that provides the finances for transferring funds for their business.  

• It is an effective tool that is utilized for economic development.  

• Venture capital helps the business with the ‘financial risk’ in the case of a ‘failure of business’ to the venture capital firm.  

• It is also referred to as the risk capital and is used for funding a business.

Economic development:

• Economic development has a strong part to play in the sustainable development of various economies.  

• For the economic development of the country, it is necessary for the economy of the country to be on the growth path with the help of the growing industries.

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