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Venture Capital

Related terms: accredited investor, due diligence, venture capital, private equity, liquidity

What is Venture Capital in the context of Family Offices

Venture Capital (VC) refers to the funding provided by family offices to startups and small businesses that exhibit long-term growth potential. In exchange for this financing, family offices receive equity in the companies, allowing them to participate in the potential upside of successful ventures.

Role of Family Offices in Venture Capital

Family offices often engage in venture capital to diversify their investment portfolios, support innovation, and leverage their networks and expertise to help startups grow. They may invest directly in companies or through venture capital funds, aligning their investment strategies with their long-term financial and philanthropic goals.