Venture capital funds and angel investors are proving to be a big boon for the Indian startup story. Indian startups such as Flipkart, Olacabs, Snapdeal, Hike, Shopclues, Freecharge, Inmobi etc. have received various rounds of follow-on financing recently. The funding has come both ways for the start-ups, from their existing investors and from many new investors. There is a growing trend among the youngsters to be part of startups. According to a poll by Inshorts and Ipsos, over 50% of the Read more [...]
In the first quarter of 2016, the reported size of the deals stood at US$25.5 billion with investment across 1,829 deals. Macro-economic concerns across large markets, rising skepticism regarding the actual growth potential of the highly valued start-ups, and uncertainty regarding the public offering remained the major drivers of the reported decline in the venture capital activities around the world. The decline was primarily led by lower seed funding across the world. Some of the major developments Read more [...]
Venture Capitals are showing great interest to invest on startups and established businesses around the globe. Worldwide, venture capitals had invested US$128.5 billion in 2015.
The figure comparison of venture investments for the years 2014 and 2015 clearly shows that the investment scenario is booming. We can see that there was 44% increase in the investments made from VCs, and VCs have raised US$89 billion in 2014, which was further increased to US$128 billion in 2015. The annual Read more [...]
Venture Capital firms, generally known as VCs are benefited by manner of tax exemptions. Internationally, VC Funds are treated as pass through vehicles which helps to eliminate income tax at the pool level. A pass through status is desirable for all funds because their IRR will be higher as the sale proceeds can be passed on to the investors without payment of any taxes. The final recipient needs to pay income tax and the intermediary body is exempted. This is to avoid double taxation of Read more [...]
A venture capital fund is a financial capital fund provided to early-stage, high growth potential startup companies by venture capital firms. Finance professionals manage the pool of venture capital funds on behalf of the investors. The venture capital fund is a pooled capital investment from institutions, corporates and individuals. Venture capital funding can also be provided to the startup companies by individuals directly. These professional investors are known as venture capitalists; Read more [...]