IIARD International Institute of Academic Research and Development

INTERNATIONAL JOURNAL OF ECONOMICS AND FINANCIAL MANAGEMENT (IJEFM )

E-ISSN 2545-5966
P-ISSN 2695-1932
VOL. 9 NO. 6 2024
DOI: 10.56201/ijefm.v9.no6.2024.pg145.152

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Navigating the Venture Capital Landscape: A Deep Dive into Funding, Usage, and Investment Drivers

Ashish Kumar Tiwari and A.K. Das Mohapatra

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Abstract

Venture capital financing plays a crucial role in supporting the formation and growth of innovative startups and emerging businesses. Among many factors venture capital in recent times have emerged as large providers of finance. Using literature review this research paper aims to provide an in-depth understanding of the venture capital financing process, the factors that influence venture capital investments, and the opportunities and challenges associated with this form of funding. Selection of venture capital firms, arrangement for proposals, pitching ideas, and negotiation are the common steps for getting VC deals. Both macro and firm level factors influence VC investments. To name few GDP growth, government policies, industrial production, owner characteristics, management team, revenue growth mainly affect the nature of financing.

keywords:

Startup, Venture Capital, Valuation, Finance Mechanism, Investments

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