by Lea Strickland | Jul 31, 2010 | Glossary
Venture capital (VC) is the term used for investments in small businesses. Venture capital worthy businesses are viewed as having significant growth potential. Venture capital is provided as equity debt provided by private investors (the venture capitalists) or...
by Lea Strickland | Jul 31, 2010 | Glossary
The first contribution by a venture capitalist toward the financing of a new business, often using a loan or purchase of convertible bonds or preferred stock.
by Lea Strickland | Jul 31, 2010 | Glossary
Regulation that allows for three exemptions from registration requirements for small businesses seeking to sell securities. These exemptions allow some smaller businesses to sell securities without have to register wit the SEC. Even with these exemptions some minimal...
by Lea Strickland | Jul 31, 2010 | Glossary
Preferred stock is a class of stock, which includes certain economic, control rights, and protections not given to common stockholders. Those provisions give the preferred stockholders special right which may include a liquidation preference, anti-dilution protection,...
by Lea Strickland | Jul 31, 2010 | Glossary
Large organizations (such as banks, finance companies, insurance companies, mutual funds or unit trusts, pension funds) which have considerable cash reserves that need to be invested. Institutional investors are by far the biggest participants in securities trading...