Startup Funding Espresso -- Purpose of Corporate Venture Capital

Published: June 3, 2021, 11 a.m.

b'Hello, this is Hall T. Martin with the Startup Funding Espresso -- your daily shot of startup funding and investing. Corporate venture capital is venture funding from a company, rather than a fund raised from limited partners. Most corporate venture capital invests for strategic reasons rather than financial ones. Reasons for corporations to invest in startups include the following: - Gain market insight through their startup portfolio companies - many companies want a front-row seat on how an emerging market is developing.\\xa0 - Access to new research and business models - this can support research and development as well as business development. - Provide a flow of new customers for the corporate investor - investing in companies gives the corporate VC leverage for selling their products. - Identify new talent for future projects in the space - as the market matures, the corporate VC may want to enter the market with their own products, and having the talent to build and sell those products can be quite valuable.\\xa0 - Build a relationship with potential acquisition targets - some corporations use M&A to gain access to a market and investing in early-stage companies is one path to acquisition. \\xa0 Thank you for joining us for the Startup Funding Espresso where we help startups and investors connect for funding.Let\\u2019s go startup something today.___________________________________ For more episodes from Investor Connect, please visit the site at: \\xa0 Check out our other podcasts here: \\xa0 For Investors check out: \\xa0 For Startups check out: \\xa0 For eGuides check out: \\xa0 For upcoming Events, check out \\xa0 For Feedback please contact info@tencapital.group\\xa0\\xa0 Music courtesy of'