Small Business Capital
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- Videojug
- 3:20
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- 900kbps
Small Business Capital
William A. Cohen (Author & Founder, Institute of Leader Arts) gives expert video advice on: How do I search for business capital?; How do I find venture capital?; How can I get a venture capitalist to finance my company? and more...
What is "business capital"?
Business capital is money that you use for your business. I mean, it's just money. That's all, it's all just money. Now, you need to know exactly how much you need and what you're going to do with it, and for that you need a business plan.
What is "venture capital"?
Venture capital is where you get your actual venture capital companies. They invest and start up, but are also companies that have been running for a little or a long time so they have a track record. They acutally buy some of your company and probably a controlling interest. In other words, 51%, and that is one of the disadvantages. In other words, you just have to understand that. It may be very beneficial for you to have this because at that point in your company's life, you want to grow and you need the money to do this. But if they invest, the venture capital countries want to own your company. They want to make sure they own enough venture capital to make the decisions. Now they rarely exercise that. But still, they do have the right to do that, as they do have controlling interest in your company.
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