Venture Capital Action Plan

Last updated

The Venture Capital Action Plan is created by the Government of Canada to facilitate a sustainable, private sector-led venture capital sector in Canada; as of 2015, it guides the distribution of $400 million in new capital to small- and medium-sized businesses. [1] [2] [3] [4]

The Government of Canada, officially Her Majesty's Government, is the corporation responsible for the federal administration of Canada. In Canadian English, the term can mean either the collective set of institutions or specifically the Queen-in-Council. In both senses, the current construct was established at Confederation through the Constitution Act, 1867—as a federal constitutional monarchy, wherein the Canadian Crown acts as the core, or "the most basic building block", of its Westminster-style parliamentary democracy. The Crown is thus the foundation of the executive, legislative, and judicial branches of the Canadian government. Further elements of governance are outlined in the rest of the Canadian Constitution, which includes written statutes, court rulings, and unwritten conventions developed over centuries.

Venture capital start-up investment

Venture capital (VC) is a type of private equity, a form of financing that is provided by firms or funds to small, early-stage, emerging firms that are deemed to have high growth potential, or which have demonstrated high growth. Venture capital firms or funds invest in these early-stage companies in exchange for equity, or an ownership stake, in the companies they invest in. Venture capitalists take on the risk of financing risky start-ups in the hopes that some of the firms they support will become successful. Because startups face high uncertainty, VC investments do have high rates of failure. The start-ups are usually based on an innovative technology or business model and they are usually from the high technology industries, such as information technology (IT), clean technology or biotechnology.

See also

Related Research Articles

Business Development Bank of Canada federal Crown corporation wholly owned by the Government of Canada

The Business Development Bank of Canada is a federal development bank structured as a Crown corporation wholly owned by the Government of Canada. Its mandate is to help create and develop Canadian businesses through financing, growth and transition capital, venture capital and advisory services, with a focus on small and medium-sized enterprises.

Growth capital is a type of private equity investment, usually a minority investment, in relatively mature companies that are looking for capital to expand or restructure operations, enter new markets or finance a significant acquisition without a change of control of the business.

Apax Partners company

Apax Partners LLP is a British private equity firm, headquartered in London, England. The company also operates out of six other offices in New York, Hong Kong, Mumbai, Tel Aviv, Munich and Shanghai. The firm, including its various predecessors, have raised approximately $51 billion (USD) since 1981. Apax Partners is one of the oldest and largest private equity firms operating on an international basis, ranked the fourteenth largest private equity firm globally.

An angel investor is an affluent individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity. Angel investors usually give support to start-ups at the initial moments and when most investors are not prepared to back them. A small but increasing number of angel investors invest online through equity crowdfunding or organize themselves into angel groups or angel networks to share investment capital, as well as to provide advice to their portfolio companies. In the last 50 years the number of angel investors has greatly increased.

A Business Development Company ("BDC") is a form of unregistered closed-end investment company in the United States that invests in small and mid-sized businesses. This form of company was created by Congress in 1980 as amendments to the Investment Company Act of 1940. Publicly filing firms may elect regulation as BDCs if they meet certain requirements of the Investment Company Act.

Private equity in the 2000s relates to one of the major periods in the history of private equity and venture capital. Within the broader private equity industry, two distinct sub-industries, leveraged buyouts and venture capital experienced growth along parallel although interrelated tracks.

Publicly traded private equity refers to an investment firm or investment vehicle, which makes investments conforming to one of the various private equity strategies, and is listed on a public stock exchange.

Corporate venture capital (CVC) is the investment of corporate funds directly in external startup companies. CVC is defined by the Business Dictionary as the "practice where a large firm takes an equity stake in a small but innovative or specialist firm, to which it may also provide management and marketing expertise; the objective is to gain a specific competitive advantage.

GrowthWorks Capital Ltd is a Canadian venture capital firm investing in early stage technology companies. Founded in 1992, the Working Opportunity Fund has invested $600 million in 130 BC technology companies.

China Media Capital

China Media Capital is a public equity and venture capital firm specializing in growth capital, mid venture, late venture, emerging growth, corporate restructuring, management buyouts, and mergers & acquisitions. The firm prefers to invest in the cultural, technology, media, entertainment, consumer, medical treatment, and telecommunication sectors. It invest both inside and outside China.

Prashant Shanker Pathak is an Indo-Canadian investor and businessman who lives in Toronto. He is managing partner of ReichmannHauer Capital Partners, a business building oriented principal investing and private equity firm based in Toronto. He along with Philip Reichmann and Frank Hauer launched the business in 2006. His partners were part of the leadership that built the original Olympia & York commercial real estate empire, which developed landmark properties such as Toronto's First Canadian Place and London's Canary Wharf. He led the successful investments and exit in several businesses including Minacs, a business he helped create through the combination of Minacs with TransWorks an Indian BPO company and Black Photo Corporation that has over 116 premium stores across Canada, the company was purchased from Fujifilm in 2007 and sold to Telus corp. in 2010. Previous to this, Pathak was elected as a partner at McKinsey & Company, where he was leader of the North American Telecom Practice, the Financial Services Practices and also a leader of the Canadian Strategy & Corporate Finance Practice.

LemonStand was a Canadian e-commerce company headquartered in Vancouver, British Columbia, that developed cloud-based computer software for online retailers. On March 5, 2019 LemonStand announced their intention to shut down on June 5th, 2019.

Canopy Labs company

Canopy Labs is a customer analytics company headquartered in Toronto, Ontario, Canada with offices in San Francisco. It was founded in 2012 and offers SaaS marketing analytics for businesses and organizations. The company is an alumnus of the Y Combinator accelerator program. Canopy Labs was acquired by Drop.

Procurify

Procurify is a cloud-based procurement software company located in Vancouver, British Columbia, Canada, founded in 2013 by CEO Aman Mann, CTO Eugene Dong, and COO Kenneth Loi. Procurify's main product offering is a cloud-based procurement solution which can be used to manage company spending. Companies that offer procurement solutions will typically focus on automation and of company spending in real-time. The current Procurify platform is considered horizontal, rather than industry specific.

Small finance banks are a type of niche banks in India. Banks with a small finance bank license can provide basic banking service of acceptance of deposits and lending. The aim behind these to provide financial inclusion to sections of the economy not being served by other banks, such as small business units, small and marginal farmers, micro and small industries and unorganised sector entities.

Women in venture capital or VC are investors who provide venture capital funding to startups. Women make up a small fraction of the venture capital private equity workforce. A widely used source for tracking the number of women in venture capital is the Midas List which has been published by Forbes since 2001.

The Global Markets Action Plan (GMAP) is Prime Minister Stephen Harper's government strategy to generate employment opportunities for Canadians by expanding Canadian businesses and investment in other countries in a highly competitive global environment.

Golub Capital is a U.S.-focused credit asset manager with over $25 billion of capital under management. The firm has primary business lines in middle market lending, late stage lending, and broadly syndicated loans. The firm is also affiliated with Golub Capital BDC, Inc., a business development company that trades on the NASDAQ under the stock ticker symbol, GBDC. Golub Capital is one of the largest non-bank middle market lenders and providers of senior debt. In 2016, the firm was named "Lender of the Year" by Private Debt Investor.

Frederick Ghahramani

Frederick Ghahramani is a Canadian technology entrepreneur, engineer, and privacy advocate. He studied electronics engineering at Simon Fraser University, and is based in Vancouver, British Columbia, Canada.

References

  1. "Venture Capital Action Plan". Canada’s Economic Action Plan. Retrieved May 16, 2015.
  2. "BDC Capital:About". BDC Capital. Retrieved May 16, 2015.
  3. "Harper announces plan to strengthen venture capital investment". Financial Post. January 14, 2013. Retrieved May 16, 2015.
  4. "Ottawa's venture capital plan: Picking winners and distorting markets". The Globe and Mail. February 7, 2014. Retrieved May 16, 2015.