Question
Venture capital is different from loan. How?

Answer

S.No.
Basis
Venture capital
Loan
1.
Meaning
Venture capital is a type of private equity capital as seed funding to high potential, high-risk companies.
With a loan, a lender gives a business money and the business has a contractual obligation to pay back that amount plus interest over some period of time.
2.
Form of returns
Dividends
Interest
3.
Security
No security is offered.
Security is generally offered.

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