Venture Captalist

Overview

Who is Venture Captalist?

Venture capital (VC) is a sort of private equity and a form of funding given by investors to startups and small businesses with long-term development potential. A venture capitalist makes money by investing in extremely risky projects. A large number of venture capitalists are investing in software and networking companies. In the traditional approach, the venture investor is engaged in the startup's management and mentorship.

A venture capitalist can work for himself, but they are more likely to work for a venture capital business that pools money from members. Venture capitalists take enormous risks by investing in innovative firms, technology, and sectors in the hopes of generating exponential returns. IT, biopharmaceuticals, and clean technology are some of the most common sectors in which venture capitalists invest.

Typical day at work

What does Venture Captalist do?

A Venture Capitalist (VC) is a private equity investor who invests in high-growth firms in return for a share of the company's ownership. Sponsoring new projects or assisting small businesses that want to expand but don't have access to the stock market are examples of this. Early-stage venture capital companies undertake a lot more sourcing and very little due diligence and modelling.

• Sourcing – Finding new startups to invest in and making the initial outreach.
• Deal Execution – Conducting due diligence on potential startup investments, analyzing their markets and financial projections, and negotiating deal terms.
• Portfolio Company Support – Helping portfolio companies with everything from recruiting to sales & marketing to engineering to fundraising and administrative and financial issues.
• Networking and Brand-Building – Attending events and conferences, publishing content online, and speaking with others in the industry, such as lawyers and bankers who work with startups.
• Fundraising and LP Relations – Helping the firm raise new funds, reporting to existing Limited Partners (LPs), and finding new investors for future funds.
• Internal Operations and Other Tasks – These include administrative tasks, such as hiring for jobs in investor relations, accounting/legal, and IT, and improving internal reporting and deal tracking.

Abilities & aptitude needed

What are the skills, abilities & aptitude needed to become Venture Captalist?

• Temperament — calm and experienced, good perspective
• Independent thinker — questions and pushes back
• Proactive — involved by initiating regular interaction with CEO
• Committed — willing to put in the time
• Networked — offers help and support by leveraging their personal network
• Strategic — focuses on strategy, not tactics
• Thoughtful & Observant — first to spot issues or notice what is missing
• Informed — insists on good practices and knows the rules of the road
• Supportive — provides mentorship, skill development, and the opportunity to lead.

Courses

Which course I can pursue?