What Do Venture Capitalists Really Do, and Where Do They Learn to Do It?

Abstract

To many outside the venture capital industry, the job of a venture capitalist and the skills required to perform effectively are arcane. A venture capitalist's major activities are identifying investment opportunities, evaluating them, negotiating the terms of investments, helping to build successful companies, and finally, liquidating the investments. The function of managing a venture capital partnership calls into play a different set of proficiencies. Requisite skills for the venture capital arena can be learned best by pursuing a variety of career steps.