Who are venture capitalists? A. investors who see growth of a company but invest using other people's money B. buyer who converts bonds on matu rity into a specific amount of shares of the company's stock. C. investors who see growth of company and invest their own money D. SBA

Question

Stella Riddle

Business

25 February, 14:53

Who are venture capitalists? A. investors who see growth of a company but invest using other people's money B. buyer who converts bonds on matu rity into a specific amount of shares of the company's stock. C. investors who see growth of company and invest their own money D. SBA

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Answers (1)

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Sharon Delgado · Answer 1

A. investors who see growth of a company but invest using other people's money

Explanation:

A venture capitalist is an employees of a venture capital firm. These capitalists are private equity investors who provide capital to business startups and small businesses using other people's money held in a fund. Even though these businesses have the potential for exponential growth, they usually have a high risk. Additionally, if the startup goes under, they are not obligated to pay back these venture capitalists.