ventures

Ventures are business undertakings characterized by novelty, uncertain outcomes, and the potential for significant growth. In economics and entrepreneurship, a venture refers to a project or enterprise pursued with the aim of creating new products, services, or markets, often requiring substantial resources and tolerance for risk. Ventures can range from independent startups to strategic initiatives within larger organizations, including joint ventures and social ventures that pursue social impact alongside financial returns.

Many ventures rely on specialized sources of funding such as angel investors and venture capital. Venture capital funds typically provide equity in exchange for ownership and participate in stages from seed and early-stage to expansion, with investors seeking an exit through an acquisition or an initial public offering.

Success depends on multiple factors, including the business model, market size, team capability, and traction. Common metrics include burn rate, runway, revenue growth, and projected return on investment. Ventures carry high risk of failure, but also the potential for outsized returns, which explains the risk capital market and the emphasis on due diligence, governance, and clear milestones.

Ventures drive innovation by funding new technologies and business models. The modern venture capital industry emerged in the 20th century to support startups with scalable growth, particularly in technology sectors, and has since become a global ecosystem supporting entrepreneurship, research, and economic development.