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{{BlogPost
|TitleHas title=Defining Venture Capital (Blog Post)|AuthorHas author=Dylan Dickens|StatusPart of series=ActiveEntrepreneurship 101|DeliverableHas content status=Blog Post|Audience=General Public|Keywords=BusinessPeer Edit, Venture capital, Start-upsRevision|Primary BillingHas Graphics status=AccMcNair01None|PriorityHas processing notes=3|Due Date=NA|Stage=DRAFTEDAnne comments to Dylan 11/1/16. Dylan to revise and show to peer editor.
}}
Venture Capital, as defined by Investopedia(1), is "financing that investors provide to startup companies and small businesses that are believed to have long-term growth potential". It acknowledges that "risk is typically high for investors," and that venture capital is an "essential source of money." Finally, Investopedia qualifies VC by reminding the reader that in exchange for the funds, venture capitalists usually get a say in startup company decisions. Despite this seemingly clear cut definition, a variety of different and institutions fall under this description in a strict sense, but differ greatly in practice.
After only the briefest survey of the variety in venture capital, it is clear where confusion may arise. From the differences in venture capital, private equity, and angel investment, to the differences between traditional and strategic VC, the definition from Investopedia is shown to be accurate in covering all of these, but not specific enough to detail each nuance. In the highly volatile and ever changing world of venture capital, this blog post is likely to fall to the challenge of time as the traits of the various types of venture capital change yet again.
Google Doc Link: https://docs.google.com/a/rice.edu/document/d/1QNcMWSpbXX6aHSCL6hKKj_ZCpnUv3-O0mWIPS8sRtA4/edit?usp=sharing
(1) http://www.investopedia.com/terms/v/venturecapital.asp#ixzz4D651qAAt
(3) http://venture-spring.com/news/?p=97
(4) http://www.fastcompany.com/1392582/strategic-vs-traditional-investors-lowdown-venture-capital-vet<!-- flush flush --><!-- flush flush -->
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