Question

What is Capital, Risk Capital and Venture Capital? As an entrepreneur where do you obtain Working Capital,  Risk Capital and Venture Capital? Where, how and why do your use these various form of capital? BE SPECIFIC with examples.

Answer 1

Capital is a fund that has been introduced in business by the owner to run its business.It can also be said The amount that has been raised from different sources by owner to run its business.

Risk capital: risk capital is the risk which has been created by investing in the diversify portion to make its portfolio highly effective To earn High award with high-riskIn other words risk capital is that kind of investment in which owner invest in a diversified portion and make its investment in different sources to earn a excellent returns.

venture capital: Venture capital is that kind of firms which provide Fundings to New start-ups early-stage business that have high potential growth venture capitallist due to the wider scope provide technical professional expertise to new start-ups

Working capital venture capital risk capital can be obtain from different sources firstly it can be obtain from bank loan, From Venture capitalist, Loan from relatives unsecured loans,etc

Ultimately the capital is the money that has been raised to enhance the business operation to run the business