How Much Money
Will a Venture Capitalist Invest?
If you are considering a venture
capital route to finance your business, you are probably wondering just
how much venture capital you can possibly get.
Like other ways of getting
money for your business, there is a wide variety of how much money a venture
capitalist is willing to invest in a business. Factors that are considered
are probable rates of return, the turnaround time for the investor to
get his money and additional earnings from your business, as well as the
type of business and the market.
The typical institutional venture
capitalist will invest funds ranging anywhere from $500,000 to $10 million
or more. There is a lot of money on the table, which is why VCs are so
picky about what they will invest in. But if you manage to attract a venture
capitalist, the investment into your business can make a significant difference,
particularly if the regular business loan route fails.
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