Venture capital and private equity investments are made by funds, or other investors, typically in the form of equity in companies with good development prospects.
“Private equity and venture capital investors build growth in start-ups and in larger Finnish companies. This generates jobs, exports and innovation.” FVCA
The aim is to create added value for the company through active ownership, and to enhance the company’s value according to an agreed plan and schedule.
The involvement of a private equity or venture capital investor boosts a company’s credibility with its other stakeholders and also enhances the opportunities for obtaining other financing. Portfolio companies also have access to the investor’s network of contacts, both in Finland and abroad.