Venture capital unveiled: What is VC?

Venture capital focuses on investing in young companies that are still developing their products, business models, and commercial pathways. This masterclass explains the fundamentals of VC, including how capital is deployed, how value may be created, and the distinct characteristics that differentiate VC from other private equity strategies.

You’ll explore:

• What VC invests in — minority stakes in early-stage or high-growth companies, often centred around emerging technologies or disruptive business models.

• How VC approaches value creation — by backing many companies at small ticket sizes, providing active support, and helping founders scale through expertise, networks, and strategic guidance. Only a limited number of investments typically generate the majority of returns.

• When returns may occur — primarily at exit events such as trade sales or IPOs, usually years after the initial investment once the company has matured.

This module provides a clear overview of how VC works and the considerations involved when investing in early-stage innovation.