Glossary:Venture capital investments (VCI)
Venture capital is a subset of private equity and refers to equity investment made for launch (seed), early development (start-up), or expansion (later stage venture) of businesses.
Private equity is an equity capital provided to enterprises not quoted on the stock market. Private equity includes the following investment stages: venture capital, growth capital, rescue/turnaround, replacement capital and buyouts.
Data on venture capital and private equity refer to the amount of money invested and to the number of companies that receive the investment. The number of companies represents a distinct list of entities receiving the investment throughout the reporting year. If a company receives two investments during the year, the number of companies will equal one.
Data on venture capital investments are provided by INVEST EUROPE (formerly named the European Private Equity and Venture Capital Association EVCA). 65 % of private equity firms are covered by the survey which represents almost 90 % of the capital under management. The framework of the survey is made up of fundraising, investment and divestment. The investment statistics are provided on the one hand by the country of the private equity firm – industry statistics, and on the other hand by the country of portfolio company – market statistics.
