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Home Definitions

What is Venture Capital? Definition or Meaning

Posted by Bizversity

Isn’t it great when someone believes in your idea so much that they are willing to invest money in it to make it a reality? This money invested is known as venture capital and is what many startups rely on if they don’t have access to capital markets.

For example…

When teenager Zack had an idea for a set of gaming device and games that would guarantee you would do the recommended level of physical activity for children while playing games, he sought out venture capital in order to develop the various devices. It is quite hard to get your hands on waterproof virtual reality glasses, let alone normal virtual reality glasses required to make his idea a reality, so he received venture capital from an a wealthy gaming technology investor to further develop the idea.

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