Venture Capitalists

I have been reading about why venture capitalists don’t just start their own companies, run the company themselves and keep 100% of the profit.  

It seems some people believe that they don’t have the skills to make these companies profitable, so they need the people who are willing to run these companies to make it work.

I have another idea, I think that venture capitalists don’t start and run these companies because they don’t have to – they have money.

So they make their money work for them.  I think a lot of people would rather have their money working for them than actually doing all the work themselves, venture capitalists have just figured this out.

Even if you’re not rich, you can be a venture capitalist.  I have had several people want to borrow money from me to start a business.  Some have wanted as little as $500 to start their business, and I can remember several who wanted $1000.

It does not always take millions to start a business, it does take knowledge and a set of skills that will improve the odds of these businesses.  Then it’s just a matter of working out what percentage you get for putting up the money and advice.