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    Venture Capital for financing

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    If my e-commerce site is successful in the first year and I would like for additional financing to expand, would venture capital be a good financing source for a small e-business?

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    As per investopedia, venture capital is "Money provided by investors to startup firms and small businesses with perceived long-term growth potential. This is a very important source of funding for startups that do not have access to capital markets. It typically entails high risk for the investor, but it has the potential for above-average returns." Venture capital is mainly in form of equity. The term equity refers to the investment done by the shareholders in the ...

    Solution Summary

    This solution discusses the concept of venture capital as a good financing source, and discusses its advantages and disadvantages for a small e-business.