What is Corporate Venture Capital?
Corporate venture capital is understood to be an arm or subsidiary of a corporation that is charged with the responsibility of managing venture capital as it relates to the investment activity of the company. Sometimes referred to as corporate risk capital, the purpose of corporate venture capital is to allow corporations to invest in business enterprises that are outside the immediate scope of the core business, but are still of some interest to the corporation. Venture capital in general is understood to be resources that are made available to aid in the establishment of a new business, or to assist companies that exhibit the potential for growth to expand and existing operation. In the case of corporate venture capital, the source of these funds is another well-established company that wishes to invest in that potential. By making the venture capital investment through the mechanism of a corporate venture capital subsidiary, the investment can be managed through a specific corporate
