How to Make Corporate Venture Capital the Solution to Your Funding Needs

When we think of venture capital, what comes to mind are traditional venture capital firms like a16z or Sequoia.

We don’t usually think of large corporations like Verizon, Pfizer, or Salesforce as venture capitalists. But they are.

In fact, GV (Google Ventures) is an $8 billion fund that’s made 472 investments in startups.

Salesforce has allocated $5 billion and made 459 investments to date.

The venture arms of large companies are known as Corporate Venture Capital or CVCs.

More than 4,000 companies have set up CVs, a number that’s multiplying rapidly.

Of course, few are nearly as big as the Google or Salesforce monsters. Half of CVC funds are under $100M, with most of the rest between $100M and $1B. But that’s still a huge source of investment dollars.

Together, CVs invested $170B in startups in 2021, making them quietly responsible for a third of all venture investment.

CVCs participated in 8,254 deals in 2022, writing checks that averaged $10M.

CCs can be an important source of funding that offers unique advantages to startups. Think of them as friends with benefits. But those benefits also come with complications.

SOURCE: https://entrepreneurshandbook.co/how-to-make-corporate-venture-capital-the-solution-to-your-funding-needs-bc7855f82c91?source=rss—-7adf33e44ae3—4 https://entrepreneurshandbook.co?source=rss—-7adf33e44ae3—4