Growth Capital
Growth capital is funding provided to expand an established business. This capital is typically used for new projects, acquisitions, or entering new markets to drive business growth. Unlike venture capital, growth capital is generally provided to businesses that are already profitable but need additional resources to scale operations. This funding helps businesses achieve new levels of success without significantly diluting existing ownership.
Key Takeaways
- Growth capital funds business expansion.
- Used for new projects, acquisitions, or market entry.
- Aims to accelerate growth.
- Minimizes ownership dilution.