I am uploading this for the beginners those who can watch and learn how to make an presentation This can be also helpful for those who wants to know the concept of venture capital

1. AGENDA
 Introduction
 What is venture capital
 Features of venture capital
 Advantage of venture capital
 Method of venture capital financing
 Process of venture capital
 Types of venture capitalists

2. INTRODUCTION
 Venture Capital is significant innovation of 20th century. It
is generally consider as synonym of risky capital.
 Venture capital is a new financial services, the emergence
of which wants towards developing strategies to help a
new class of new entrepreneurs to translate their
business ideas into realities

3. What is Venture Capital ?
 Venture Capital is “equity support to fund a new concepts
that involve a higher risk and at the same time, have a
high growth and profit.”
 “Venture Capital is broadly implies an investment of long
term, equity finance in high risk projects with high
rewards possibilities.”

4. FEATURES OF VENTURE
CAPITAL
The main features of venture capital are
 Long-time horizon: In general, venture capital undertakings take a longer time
say, 5-10 years at a minimum to come out commercially successful; one
should, thus, be able to wait patiently for the outcome of the venture.
 Lack of liquidity: Since the project is expected to run at start-up stage for
several years, liquidity may be a greater problem.
 High risk: The risk of the project is associated with management, product and
operations.
 High-tech: However, a venture capitalist looks not only for high-technology
but the innovativeness through which the project can succeed.
 Equity participation and capital gains: A venture capitalist invests his money in
terms of equity. He does not look for any dividend or other benefits, but when
the project commercially succeeds, then he can enjoy the capital gain which is
his main benefit.
 Participation in management: Unlike the traditional financier or banker, the
venture capitalist can provide managerial expertise to entrepreneurs besides
money

5. Advantages of Venture Capital
Economy
Oriented
Entrepreneur
Oriented
Investors
Oriented

6. 1. Economy Oriented-
i) Helps in industrialization of the country
ii) Helps in the technological development of the
country
iii) Generates employment
iv) Helps in developing entrepreneurial skills
2. Investor oriented-
i) Benefit to the investor is that they are invited to
invest only after company starts earning profit,
so the risk is less and healthy growth of capital
market is entrusted.
ii) Profit to venture capital companies.
Iii)Helps them to employ their idle funds into
productive avenues.

7. 3. Entrepreneur oriented-
i) Finance - The venture capitalist injects long-
term equity finance, which provides a solid
capital base for future growth.
ii) Business Partner - The venture capitalist is a
business partner, sharing the risks and
rewards.
iii) Alliances - The venture capitalist also has a
network of contacts in many areas that can
add value to the company Facilitation of Exit –
The venture capitalist is experienced in the
process of preparing a company for an initial
public offering (IPO) and facilitating in trade sales.

8. Methods of venture capital
Financing
 Equity : Generally not exceeds 49% retained till the
projects make profit
 Conditional loan: Lower interest till the unit makes profit.
Paid Back as per predetermined schedule
 Income note : Both interest and royalty
 Participating Debenture : The security carries charges in
three phase

9. Process of venture capital
1
• Deal origination
• Screening
2
• Evaluation(due diligence)
• Deal structuring
3
• Post investment activity
• Exist plan

10. Types of Venture capitalists :
 Venture capital funds set up by angle investors
(angels)
 Venture capital subsidiaries of Corporations
 Private capital firms / funds

11. Top 10 venture capital firms in
INDIA
 500 Startups.
 Blume Ventures
 Accel Partners.
 Kalaari Capital.
 Tiger Global Management.
 Nexus Venture Partners.
 IDG Ventures India.
 Helion Venture Partners.
 Intel Capital
 Kae Capital

12. Pepperfry.com
 India’s largest furniture e-marketplace, has
raised USD100 million in a fresh round of
funding led by goldman sachs and zodius
technology fund. Pepperfry will use the
fundsto expand its footprint in tier III and
tier IV cities by adding to its growing fleet of
delivery vehicles. It will also open new
distribution centres and expand its
carpenter and assembly service network.
This is the largest quantum of investment
raised by a sector focused e-commerce
player in India.

13. The End