Multiple Choice Questions on What does venture capital mean ........ for HCS Exam Preparation

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Indian Economic System(HCS)

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    What does venture capital mean?

    A short-term capital provided to industries

    Incorrect Answer

    A long-term start-up capital provided to new entrepreneurs

    Correct Answer

    Funds provided to industries at times of incurring losses

    Incorrect Answer

    Funds provided for replacement and renovation of industries

    Incorrect Answer
    Explanation:
    A venture capital means a long-term start-up capital provided to new entrepreneurs.
    Venture capital is financing that investors provide to startup companies and small businesses that are believed to have long-term growth potential. For startups without access to capital markets, venture capital is an essential source of money. Risk is typically high for investors, but the downside for the startup is that these venture capitalists usually get a say in company decisions.
     

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