Which of the following is the most suitable source of finance for high- growth- potential unquoted firms, who require amounts of around £5m?

Question

Quizplus · Accepted Answer

Venture capital firms are the most suitable source of finance for high-growth-potential unquoted firms that require significant amounts of capital. Venture capital firms typically invest in start-ups, early-stage companies, or established companies with significant potential for growth, providing capital in exchange for equity in the company. The amount required by the company (around £5m) is also a typical investment range for venture capital firms. The other options (Enterprise Trust, Alternative Investment Market, Business Angel) may not be suitable options for such a high amount of capital needed or for a high-growth-potential unquoted firm.

Which of the Following Is the Most Suitable Source of Finance