Venture Capital / Private equity Final
Exam
The single most important criterion for selection investors - correct answer ✔✔what they can contribute
to the value of the venture beyond just financing
a venture should look for capital only when there is a serious cash shortage - correct answer ✔✔false
What will a typical informal investor (angel) will invest from $$-$$ in any one deal - correct answer
✔✔$10,000-$250,000
when pushed by a potential investor to discuss what other firms or angels you are talking to, you should:
- correct answer ✔✔Respectfully decline
most venture capital investments are in the range of - correct answer ✔✔$500,000 - $1.5 million
the rate of return (ROR) required by the investor can affect the investors required share of ownership -
correct answer ✔✔true
by staging their capital contributions, venture capitalists will lose the rights to abandon a project-- even if
the prospects look dim. - correct answer ✔✔false
how long is a typical expected holding period for a first stage venture capital investment? - correct
answer ✔✔5 - 10 years
characteristics of a successful deal: - correct answer ✔✔- simple
- robust
- improve chances of success for the venture
The benefits of buying summaries with Stuvia:
Guaranteed quality through customer reviews
Stuvia customers have reviewed more than 700,000 summaries. This how you know that you are buying the best documents.
Quick and easy check-out
You can quickly pay through credit card or Stuvia-credit for the summaries. There is no membership needed.
Focus on what matters
Your fellow students write the study notes themselves, which is why the documents are always reliable and up-to-date. This ensures you quickly get to the core!
Frequently asked questions
What do I get when I buy this document?
You get a PDF, available immediately after your purchase. The purchased document is accessible anytime, anywhere and indefinitely through your profile.
Satisfaction guarantee: how does it work?
Our satisfaction guarantee ensures that you always find a study document that suits you well. You fill out a form, and our customer service team takes care of the rest.
Who am I buying these notes from?
Stuvia is a marketplace, so you are not buying this document from us, but from seller BravelRadon. Stuvia facilitates payment to the seller.
Will I be stuck with a subscription?
No, you only buy these notes for $10.19. You're not tied to anything after your purchase.