Venture capital (VC) is a form of [[🔎 Private Equity (PE)]] and a type of financing that investors provide to [[🔎 Startup]] companies and [[small businesses]] that are believed to have long-term [[growth]] potential. VCs are typically funds that invest in these [[early-stage]] companies in exchange for equity, or an [[ownership]] stake, aiming to achieve high returns when the companies grow and either go public or are sold to a larger entity. Venture capitalists not only provide capital but often offer strategic advice, introductions to potential customers, partners, and employees, and assist with operational and management decisions. The [[investment risk]] is typically high for venture capitalists, but the potential for outsized returns on successful investments motivates the funding of innovative startups. VC is crucial for startups without access to capital markets and is often a pivotal force behind technological [[innovation]] and economic growth. Examples: 1. **[[Sequoia Capital]]** - Renowned for backing companies like Apple, Google, and WhatsApp, shaping the tech landscape. 2. **[[🏦 Andreessen Horowitz (a16z)]]** - A tech-focused firm with a portfolio including Airbnb, Facebook, and Lyft, known for its comprehensive support services to portfolio companies. 3. **[[Benchmark Capital]]** - Has made pivotal early-stage investments in companies such as Twitter, Uber, and Snapchat, with a strong focus on tech startups. 4. **[[Accel Partners]]** - Early investors in Facebook, Slack, and Dropbox, Accel has a global presence and a keen eye for emerging tech trends. 5. **[[Kleiner Perkins]]** - With investments in Amazon, Twitter, and Google, it's one of the oldest and most respected firms in the VC industry. 6. **[[Greylock Partners]]** - A key investor in LinkedIn, Airbnb, and Facebook, Greylock supports companies from the seed phase through the entire journey of growth. 7. **[[GV (formerly Google Ventures)]]** - Alphabet's venture capital arm invests across a wide range of industries including technology, life sciences, and healthcare, with notable investments in Uber, Nest, and Flatiron Health. 8. **[[Founders Fund]]** - Known for a contrarian investment philosophy, it has backed SpaceX, Palantir, and Facebook, among others. 9. **[[Sequoia Capital China]]** - An affiliate of Sequoia Capital, focusing on the Chinese market with investments in Alibaba, JD.com, and ByteDance, playing a pivotal role 🔎in the growth of China's tech ecosystem. 10. **SoftBank [[Vision Fund]]** - One of the largest technology-focused venture capital funds globally, investing in a wide range of sectors including AI, robotics, and biotech, with notable investments in Uber, WeWork, and DoorDash.