A venture capitalist or VC invests in start-ups with high growth potential.
Nature of the jobDo you have the dream of discovering the next unicorn? Or work with the next Jack Ma? It is worth noting that like its namesake, discovering the next billion-dollar start-up is not easy. Investing in start-ups can be a risky venture, with more misses than hits. You can either exit a start-up with abnormal rates of return or you can lose all of your investments.
Although both VCs and Private Equity are similar in the way that they both invest in companies with the expectation of generating returns upon exit, VCs tend to finance smaller companies or start-ups rather than established companies. The investment lifecycle for VCs starts from the identification of companies with high growth potential, investing not only capital but also expertise and advice to entrepreneurs and exiting their venture within four to six years through either an IPO or M&A.
Bear in mind that this position is competitive and would require an ability to think and work independently. Graduates in this role tend to command higher salaries but the hours can be long. You must be able to work in a pressure cooker environment.
Career Progress: Analyst > Associate > Senior Associate > Principal > VP > Junior Partner > General Partner