Venture-Capital-Backed IPO

Filed Under » , , , , , ,
Dictionary Says

Definition of 'Venture-Capital-Backed IPO'

The selling to the public of shares in a company that has previously been funded primarily by private investors. The alternative to an IPO for a venture-capital-backed company is an acquisition (getting purchased by another company). Both options are known as "exit strategies" because they allow venture capitalists and entrepreneurs to get money out of their investments.
Investopedia Says

Investopedia explains 'Venture-Capital-Backed IPO'

Multiple sources regularly report on both venture-backed IPOs and M&A volume. In lean economic times, there tend to be fewer venture-capital-backed IPOs because of low investor confidence. As a result of the financial crisis, 2008 and 2009 saw record low numbers of venture-capital-backed IPOs. Examples of companies that were once venture-capital-backed IPOs are Tesla Motors and Open Table.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Exit Strategy

    1. The method by ...

  2. Initial Public Offering - IPO

    The first sale ...

  3. Venture Capital

    Money provided ...

  4. Acquisition

    A corporate ...

  5. Angel Investor

    An investor who ...

  6. Alphabet Rounds

    The early rounds ...

  7. Diluted Founders

    A slang term ...

  8. Pre-Money Valuation

    A slang phrased ...

  9. Liquidator

    In the most ...

  10. Risk Capital

    Investment funds ...

Articles Of Interest

  1. 5 Tips For Investing In IPOs

    Thinking of investing in IPOs? Here are five things to remember before jumping into these murky waters.

  2. For Companies, Staying Private A Matter Of Choice

    Find out what firms have to gain by eschewing the windfall from a flashy IPO.

  3. Greenshoe Options: An IPO's Best Friend

    Find out how companies can save or boost their public offering price with these options.

  4. Who gets a copy of an IPO's greensheet and why?

  5. How does an IPO get valued?

  6. Investing In IPO ETFs

    Learn the history, rules and risks of investing in IPO exchange-traded funds.

  7. How To Invest In Private Equity

    Private Equity might be a pricey investment, but returns are on the rise and the payoff could be big.

  8. In Small Business, Success Is Spelled With 5 "C"s

    Incorporating these steps will help your business thrive in a competitive market.

  9. Famous Advice From Successful Entrepreneurs

    These famous quotes from some of the most successful entrepreneurs of all time can be used as inspiration for your entrepreneurial dreams.

  10. Are You An Entrepreneur?

    Many people want to start a business, but not everyone has what it takes to succeed.
Sponsored links

comments powered by Disqus
Hot Definitions

  1. Love Money

  2. Shark Watcher

  3. Judo Business Strategy

  4. Dogs Of The Dow

  5. Chinese Hedge

  6. X-Mark Signature

Recommended
Loading, please wait...
See More »
Trading Center