For the project of installing Realistic Speech Perception Device, this paper picks on the venture capital. Abbreviated as VC, venture capital would be a great funding option for the project. This is because the project may not be able to raise money in the conventional ways such as taking bank loans. Ideally, the investors usually take the risk of loss in return for the high potential of future growth as well as control over the decisions made by the company and part of the ownership of the company. The founders of the project will first start by seeding money around. The entrepreneur should be able to convince the capitalist about the vision of the business. The Venture capital firm looks for different qualities such as good business plan, management team which is effective potential of business growth as well as high return (Kortum & Lerner, 2001) . The VC firm would then examine the economic feasibility and technical ability of the presented idea. If the investor sees the potential, the investor may decide to seed money for further examination. The VC firm would then give capital to the project for product development and marketing. After that, the project would come up with organization or leadership systems that help in propelling the project forward.
It is in the interest of the venture capitalist to nurture the project. This would help in increasing the likelihood of the project reaching an IPO stage when the project gives high returns. Thus apart from the initial financial funding, the VC Company would give expertise, time and business connections that may be valuable to the project (Manigart & Sapienza, 2017) . As the investment is illiquid and needs about 6 years to get full benefit, the VC firm would carry out due diligence and conduct detailed investigations into the company before the investment.
Delegate your assignment to our experts and they will do the rest.
References
Kortum, S., & Lerner, J. (2001). Does venture capital spur innovation?. In Entrepreneurial inputs and outcomes: New studies of entrepreneurship in the United States (pp. 1-44). Emerald Group Publishing Limited.
Manigart, S., & Sapienza, H. (2017). Venture capital and growth. The Blackwell handbook of entrepreneurship , 240-258.
