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- This topic has 3 replies, 2 voices, and was last updated 5 years ago by John Moffat.
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- March 23, 2019 at 4:13 pm #510168
May I know what are the practical considerations and implications for private equity and venture capital?
Thanks
March 23, 2019 at 4:38 pm #510180Well here are a few off the top of my head:
Considerations:
Finding the people to invest in the first place.
Being able to offer them enough to persuade them to invest (e.g. potential for future growth)Implications:
Problem: The existing shareholders will have less control (because the new investors will have a vote, and therefore a say in how the company is run).
Benefit: The extra finance will enable the company to grow which is potentially good for both existing and new investors.March 24, 2019 at 6:12 am #510257is tht means basically practical considerations refers to factors (i.e before I use venture capital and private equity -like whether my company gt the ability to use this source of finance or not) , while practical implications refers to advantage and disadvantage (after I use venture capital and private equity will be how like is it good or bad to my company) ?
ThanksMarch 24, 2019 at 10:19 am #510270Correct 🙂
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