Basics of Entrepreneurship: Dealing with Venture Capitalists

A critical step in the creation of a new venture is raising the capital to bring the new business to life. What sources of capital can an entrepreneur tap and what factors must she or he keep in mind while going through the process? According to Stephen Sammut a senior fellow and lecturer at Wharton so-called angel investors represent one possible option. Another source is venture capitalists (VCs) who may fund start-ups or invest at a later stage in a company’s growth. In this podcast for the Wharton-CERT Business Plan Competition Sammut explains the promises and pitfalls of dealing with venture capitalists.

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