The ﬁnancing provided for start-up, often high-risk, private business enterprises is called:

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Venture capital is specifically designed for providing funding to start-up businesses where the risk of losing money is high. Junk bonds are high-risk debt securities, but not a form of equity financing for private businesses. Flotation costs are the expenses associated with issuing new securities. Initial public offerings (IPOs) are when a private company goes public and issues shares to the public. Financial futures are contracts for the future delivery of a financial instrument or commodity.

The ﬁNancing Provided for Start-Up, Often High-Risk, Private Business Enterprises