The decision to enter the capital of a company shall be taken after studying a business plan on at least 3 years. The submissions presented are atypical and relevant generally having high potential. The criteria requested will be different than those found in banks. For example, the investors will be attentive to the quality of the documents; the experience and the ability of the creators to be complementary; the available space on the market for the product or service offered; the truly innovative character of the offer, etc.

Venture capital interventions have great levels of sophistication compared to other types of investments. An investor will give venture capital in exchange for ordinary or preferred shares of the company. Sometime, other kinds of agreements can be achieved as to how to compensate the investor.

The main objective of venture capital funds is never to be kept in the company for the long run. It is usually present only during the early stages of development of the business. Investors would receive their benefits after selling their shares to other companies, or to the company itself. Additionally, a company may choose to do it though the amortization of capital.

Venture capital gives the investors their moneys' worth after the resale of the shares they bought hoping to get a better price in the future. However, they are taking the risk of losing money if they sell it at lower price or not being able to sell them at all.

Venture capital comes from different sources. The most common ones are called angel investors, venture capital companies, or venture capital funds that provide funding to small innovative companies.

The question is now how to choose your investor. The choice of the investor depends on several criteria:

Venture capital investors will first want to know what the company does: whether it produces, creates, develops or recovers.

Investors will be interested in knowing what kind of business it will be, whether it will pay services to the public, privately or a mixture of both.

The minimum and maximum amounts to be given as venture capital by the investors will also determine what kind of people will be interested in the proposal.

The areas of funding are particularly important to venture capitalists because some may look for specific areas: technology, innovation, etc. As well, as if coverage is requested for a small or large geographic area.