Venture capitalism provides financial capital to early-stage startup companies focused on high growth potential industries like biotech and IT. Venture capital funds earn money by owning equity in the companies they invest in, which typically have novel technologies or business models. Angel investors are affluent individuals who also provide startups with capital, mentorship and support in exchange for ownership equity or convertible debt. Crowdfunding allows founders to sell their idea directly to the public through platforms to build reputation and obtain funding.