Bill is known as “a consummate developer of strategic relationships“. He is an Accredited Business Intermediary, veteran broadcast executive, public relations consultant and historian.
June 27, 2012 by Coastal Consultants Financing the Deal 0 comments
Venture Financing: The Hard Facts
Government financing and venture capital financing account for less than one percent of all new business financing. Sixty-seven percent of all small to mid-sized businesses are financed by personal savings or friends; thirty-three percent are financed by lending institutions. The facts about venture capital financing are especially cold and hard…
- Venture capital is limited to high-growth potential, high capital-absorbing businesses.
- Venture capital benefits as few as 1000 businesses a year, and then…
- The average investment is $2.3 million, divided between 3-4 venture capital funds, which take 40-50-60 percent or more of the business’s equity.
- Venture capital investors expect the business to grow to $25-50 million within 5 years–at which time the business will go public or be sold.