Helping You Define Your Lifestyle

The Differences between Debt, Equity, and Venture Capital

You may have heard of financial terms like “private equity”, “debt capital”, and “venture capital”. Those are all terms that managers like Sun Capital Partner’s Marc Leder deal with on a daily basis. All of those terms refer to investments, and there are some key differences between them. It is important to understand those differences if you are an entrepreneur, so that you know which one will be most applicable to you.

Debt Capital

Debt capital is very closely related to a bank loan, which is one that is repaid with interest. Debt financing is common with new entrepreneurs who need startup capital. This is why most will go to a regular bank, although investment banks exist for those who require very large sums of money. The investor who provides debt capital does so because this is a low risk type of financing, particularly when compared to private equity. This is because the money is borrowed to you, in the same way as a mortgage or car finance. The interest rates vary, although an investor will usually want to see at least a 10% return on the money they received. There are usually stringent time limits attached to this as well.

Private Equity

Private equity is very different because you don’t have to pay it back to an investor. Rather, it looks at the money that is in a business, collected through growth. Usually, it comes from an equity fund owned by high net worth individuals who look at ways to grow not just their own capital, but the economy as a whole as well.

Venture Capital and Private Equity

Private equity comes from private individuals or institutions owned by private individuals. Usually, these individuals are people who have a great deal of financial experience, including institutional investors. Venture capital is very similar to this, but it is generally only provided to companies that they can prove they have high growth potential. Venture capital, in a way, is less risky than private equity, in other words.

Anyone who approaches people like Marc Leder, or firms like Sun Capital Partners, must do so with a well-thought through plan. While debt capital is usually the easiest to obtain, it is also the most expensive and generally in the lowest amounts. Venture capital and private equity will give you far more chances of really experiencing growth because, firstly, the money involved can easily reach millions of dollars and, secondly, because you will have the financial expertise of people like Marc Leder behind you. However, because these financial investments are more high risk than debt capital, they are also more difficult to obtain and competition is fierce.

In order to be considered for venture or private equity capital, you have to be able to demonstrate that you are better than anyone else. You must be able to show that you have an excellent management team and a clear strategic direction. Essentially, you have to be a profitable, established company that is looking at a way to grow even bigger.

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Can You Predict Ovulation?

If you’re trying to get pregnant, then this question has to be at the forefront of your mind. You can only conceive during your ‘fertile window’ – a period of a few days in each cycle anchored in place by when you ovulate.

For conception to occur, active sperm have to encounter a fertile egg (usually in the fallopian tubes, sometimes in the uterus), which means that you opportunity to get pregnant each month is dictated by how long both sperm and egg can survive! As healthy sperm can survive in the body for four to five days, and an egg remains fertile for between twelve and twenty four hours, this gives you a period of four to five days in each menstrual cycle when you can get pregnant.

Predicting this window of time is really important, especially if you have a plan for the ideal time you want to get pregnant and give birth. It’s absolutely vital if you’re trying to counter the fertility effects of conditions like Polycystic Ovary Syndrome, which makes ovulation rarer and less regular – identifying and anticipating that key moment is the key tool you have available to help you get pregnant.

Is there an answer, though? Plenty of products promise to be an ovulation predictor but do they work?

Ovulation Calculators

These are perhaps the most convenient, lowest effort solution available, which makes them inherently attractive to some. All you need to do is enter the date your last period started, and the length of your menstrual cycle, and it can place where you are in yours, and tell you when you’re due to menstruate.

These work well – for women with extremely regular cycles. If yours works like clockwork every month, this is a good option, but even then tools like this simply can’t pick up health issues that might cause a disruption to your cycle.

Ovulation Predictor Kits

Known as OPKs, these kits work like pregnancy test: they check your urine for a spike in a particular hormone, the Luteinising Hormone that prompts your ovaries to release an egg, in this case. If the test detects you’re experiencing a surge in this hormone it tells you’re ovulating!

The weakness of these tests is that they’re not good at picking up results if you have a disrupted hormonal background – if you have a naturally low surge of LH it may never pick it up even if you ovulate regularly!

Basal Body Temperature

This is one of the best measures, with real predictive power: your basal body temperature (the minimum it sinks to while you sleep) responds to your menstrual cycle, so taking your temperature with an accurate digital thermometer can predict when you’re due to be at your most fertile.

It can be hard work to get good readings, but with specialised products available to take some of the pain out of taking readings and turning data into predictions, it’s the best option for the majority of people!

Could You Be the Next Crime Victim?

Being a victim of crime is something no one wants to be a part of.

That said are you doing everything within your power to lower the chances of being the next victim? If you are not, you could be setting yourself up for trouble.

With that in mind, what steps can you take to steer clear of being a crime victim?

Don’t Think It Can’t Happen to You

In your quest to steer clear of ending up a victim, your first step should be to understand that it can happen to anyone.

That said you want to avoid having the notion that you are immune to it. Even when you think you’ve taken all the right steps to avoid crime, it can still surprise you.

Among some of the crimes and how you can avoid them:

1. Identity theft – One of the more troublesome crimes, identity theft can strike at any time. With that being the case, you want to have an identity protection plan backing you up. Whether you look into LifeLock identity protection service or another brand, protect yourself. Such coverage will alert you to any red flags as you look to protect your finances. The most notable is someone without authority has tried to access your finances. Remember, one successful identity theft caper can have dire consequences for your finances.

2. Property theft – No matter the items involved, property theft is another crime you want to be aware of. With that in mind, you should make sure all your property has protection at all times. An example of this would be your vehicle. Are you someone who leaves their vehicle unlocked all or most of the times? If so, you are asking for trouble. Even if you lock your car or truck on a regular basis, do not leave valuables in it. Items like laptops, phones and significant money should never be in your vehicle. If you need to leave something of value in your vehicle for only a brief period of time, lock it in the trunk. At least this way it is out of the public view should someone come upon your vehicle.

3. Home invasion – Another crime to stay on top of would be a homeinvasion. In such a scenario, a criminal would break into your home whether you are there or not at the time. If you are, things could be even worse. To best protect your home, having a security system in place is a good start. If you do not have one now, go online and see which companies offer the best systems. You can check with friends to see which home security systems they recommend. Even with a security system in place, use some commonsense too. This means not leaving doors unlocked to start with. If you are going to be away for any extended period of time, be sure to have your mail/newspapers picked up. Also make sure your grass is trimmed and any snow is shoveled. Never give off signs that your home is sitting there without you around.

In your efforts to avoid being a crime victim, will you come out on top?