Why corporate venture capital is popular

CVCs typically invest with a strategic goal in mind. They want to tap into innovation across industries related to their current business and roadmap in addition to achieving a positive financial return. Furthermore, CVCs aim to build new revenue streams through strategic collaborations with portfolio companies.

 Looking at it from the startup’s perspective, the company gets not only funding, but they benefit from the advice and infrastructure of a corporation. This may help the startup learn how to expand their business, enter international markets, qualify for new products and manufacture at scale.