Venture capital firms identify promising start-ups and fund them in an)_____ offering until the start-up has developed its technology to a commercially feasible stage.

Question

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Private placement is a type of funding round in which private investors, including venture capital firms, provide capital to a start-up in exchange for equity or ownership. This type of funding is typically done before an initial public offering or merger and acquisition, and is often used to help start-ups develop their technology to a commercially feasible stage, making it the best choice for this scenario.

Venture Capital Firms Identify Promising Start-Ups and Fund Them in An)_____