Venture capital is a type of private equity and financing that investors can give to startup companies or solo entrepreneurs with long-term growth potential. This investment typically comes from successful investors, investment banks, and other types of financial institutions. Venture capital can be given out as technical expertise, managerial expertise, and monetary form.
Venture Capital funding for new companies or ventures with an operating history of under two years has become extremely popular in recent years. Some would even consider it an essential source for an increase in profit, especially if there is a lack of access to other types of bank loans. Typically, investors will get equity in the company, which can influence the decisions being made.
Alvarez & Diaz-Silveira works with entrepreneurs consistently, at every stage of the idea life-cycle, from the initial formation to the final financing and liquidity events. Our firm acts as an “outside General Counsel” for these new ventures and their owners when capital constraints may pose more restrictions on these companies and their efforts to have adequate legal counseling.
Maintaining strong relationships is the critical source of venture capital. They allow us to assist our clients in developing their business plans and financial strategy, and make room for introductions to potential partners who can help grow and protect their business.
We also provide legal counsel to investors in early-stage companies and provide expertise in initial terms sheets and in the negotiation process. We have represented family offices, a medical device technology company, serial entrepreneurs in the beauty product, music merchandising, and film production industries, and many more.
Alvarez & Diaz-Silveira LLP is a Miami-based corporate boutique law firm focusing on international and domestic M&A, finance, real estate, and corporate immigration. Should you have questions about venture capital, please call us at 305.740.1940.