Venture Capital
Successful long-term growth for most businesses is dependent upon the availability of equity capital. Lenders generally require some equity cushion or security (collateral) before they will lend to a small business. A lack of equity limits the debt financing available to businesses. Additionally, debt financing requires the ability to service the debt through current interest payments. These funds are then not available to grow the business.
Venture capital provides businesses a financial cushion. However, equity providers have the last call against the company’s assets. In view of this lower priority and the usual lack of a current pay requirement, equity providers require a higher rate of return/return on investment (ROI) than lenders receive.
Reference:
www.businesstown.com
Vocabulary
Purchase – покупка; закупка, купля.
En-Endefinition: Acquire (something) by paying for it; buy.
Example of usage: Mr Gill spotted the manuscript at a local auction and purchased it for £1,500.
Synonyms: acquisition.
Storefront – фасад магазина (включая витрину и входную дверь).
En-Endefinition: A storefront is the outside part of a shop which faces the street, including the door and windows.
Example of usage: Main Street in Great Barrington is lined with small storefronts and restaurants.
Purchase – покупка; закупка, купля.
En-Endefinition: Acquire (something) by paying for it; buy.
Example of usage: Mr Gill spotted the manuscript at a local auction and purchased it for £1,500.
Synonyms: acquisition.
To burst– лопаться; разрываться; взрываться (о снаряде); прорываться (о плотине, нарыве).
En-Endefinition: Break open or apart suddenly and violently, especially as a result of an impact or internal pressure.
Example of usage: The dam burst after days of torrential rain.
Synonyms: break.
Unused – неиспользованный; неиспользуемый.
En-Endefinition: Not being, or never having been, used.
Example of usage: Any unused equipment will be welcomed back.
Synonyms: unemployed.
To afford– давать, доставлять; приносить.
En-Endefinition: Have (a resource such as money or time) available or to spare.
Example of usage: The dam burst after days of torrential rain.
Synonyms: break.
Ownership – собственность; владение.
En-Endefinition: The act, state, or right of possessing something.
Example of usage: The rise in car ownership.
Rather – лучше, охотнее, предпочтительнее.
En-Endefinition: Used to indicate one's preference in a particular matter.
Example of usage: She'd rather die than cause a scene.
To commit– совершать.
En-Endefinition: Perpetrate or carry out (a mistake, crime, or immoral act).
Example of usage: He committed an uncharacteristic error.
To investigate– расследовать; собирать сведения, изучать.
En-Endefinition: Carry out a systematic or formal inquiry to discover and examine the facts of (an incident, allegation, etc.) so as to establish the truth.
Example of usage: Police are investigating a claim that the man was beaten unconscious by a gang.
Synonyms: examine.
Amount – величина, количество.
En-Endefinition: A quantity of something, especially the total of a thing or things in number, size, value, or extent.
Example of usage: The substance is harmless if taken in small amounts.
Synonyms: number, quantity.
To repay– отдавать, возвращать (долг и т.п.) ; погашать (заём и т.п.).
En-Endefinition: Pay back (a loan).
Example of usage: The loans were to be repaid over a 20-year period.
Synonyms: compensate.
To incur– вытекать, следовать из.
En-Endefinition: Become subject to (something unwelcome or unpleasant) as a result of one's own behaviour or actions.
Example of usage: I will pay any expenses incurred.
Synonyms: devolve, accrue, supervene.
To disperse – рассеивать, развеивать; разгонять.
En-Endefinition: Distribute or spread over a wide area.
Example of usage: Caravan sites could be dispersed among trees so as to be out of sight.
Synonyms: scatter, break up.
Additionally – дополнительно; кроме того, сверх того.
En-Endefinition: As an extra factor or circumstance.
Example of usage: Brokers finance themselves additionally by short-term borrowing.
Cushion – упругая прокладка, подушка.
En-Endefinition: Something providing support or protection against impact.
Example of usage: underlay forms a cushion between carpet and floor.