Investment Capital, An Introduction to Private Equity & Venture Capital
Access to capital is indispensable for growth and has been a barrier for new and existing entrepreneurs. For those SMEs (small & medium sized enterprises) seeking smaller amounts (less than $1 million) of investment capital, the availability of venture capital in Saskatchewan is limited.
While working with entrepreneurs and interacting with the business community over the past two years it has become apparent that there is a lack of knowledge and understanding about venture capital and private equity by virtually all groups. It is largely due to this lack of knowledge that SME owners are either unprepared when they approach a private equity firm or they are not aware of this potential source of investment capital and how it could assist them in reaching their business objectives.
The following document takes a look at such items as what private equity is, the stages and types of investment, the process, the benefits and requirements. After reading this document we hope that you will have a better understanding of what private equity is and the potential benefits it can bring to a business, its owners and its lenders.
The information in this article was current at 06 Dec 2011