In the previous chapter, the financing function was defined as an exchange of business interests between those entities searching for outside capital in order to sustain and/or grow their operations, and those in the business of selling money. It is only natural to continue this train of thought and conclude that the availability of one or another financial resource to a particular enterprise depends on a very simple notion: what exactly does it have to offer in exchange for money? In other words, what is attractive about my business that will induce someone to lend my company capital or make an equity investment?
KeywordsCash Flow Venture Capital Private Equity Venture Capital Investor Venture Capital Firm
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