Venture capital is a form of private equity and a type of financing that investors provide to startups and small businesses with strong long-term growth potential.

This funding is typically offered by venture capital firms or individual investors in exchange for equity, or partial ownership, in the company.

Startups often seek venture capital when they lack access to traditional financing, such as bank loans.

While risky, venture capital investments can offer high returns if the business succeeds. In addition to funding, venture capitalists often provide strategic guidance, industry connections, and operational support to help companies grow and succeed in competitive markets.