The economic translation of the Golden Rule "He who has the gold makes the rules." If you have risk capital, then you need financing. They have the more you need it, the control will be less at the end of Day typical business scenario I see is:
I have a great idea or product, and I plan to start a business, even though I have the financial resources to put into it.
I can scrounge one or two hundred thousand dollars in loans, grants, loansMaps, some initial sales, etc.
I worked on this for a year and can really see the potential, if only I had the money to hire vendor was to build a factory, hiring production staff for the purchase of server ...
I worked for a year and a half and I'm tired of being poor, but I will not give up my idea. Hey, I raise venture capital.
At this point, the entrepreneur is very close to despair and give up is ready, just to get out of control a decent, stableSalary. Another scenario is increased, the company has already a certain amount of money, no friends and family or angel, and money is tight.







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Video (2min 29sec): LinkedIn is a business-oriented social networking site. Founded in December 2002 and launched in May 2003, it is mainly used for professional networking.
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In the next few years, venture capital funds will find themselves squeezed from four directions. They're already stuck with a seller's market, because of the huge amounts they raised at the end of the Bubble and still haven't invested. This by itself is not the end of the world. In fact, it's just a more extreme version of the norm in the VC business: too much money chasing too few deals.