Venture company: definition, features, registration rules in Russia

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

Nowadays almost any business is associated with certain risks. It's no secret that the likelihood of burnout these days is greater than ever before. Nevertheless, there are daredevils who create structures, firms that invest in the development of various new trends. It is about such an organization, whose name is "venture company", that will be discussed in this article.

Definition

First of all, let's deal with the concept itself, which, in principle, has recently entered our colloquial speech. So, a venture company is a specially created enterprise, the end product of which is various innovations (that is, innovations) associated with risk. These innovations can be in a variety of industries: in the organization of production, scientific research, technology, marketing, etc.

Such a company is, in fact, the initial stage of development of the required product, which is engaged in:

• selection and development of a technical, scientific idea, its implementation;
• creating the required models or samples for later transfer to the industrial production stage.

As a rule, in the vast majority of cases, afterafter the venture project ends, the firm itself also ceases to exist.

Features

Venture capital business in its modern form was formed in the well-known Silicon Valley, located in the United States of America, and from there this activity began to spread to all dynamically developing powers, but with its own national differences. Venture activity is developed in China, India, Brazil and other major countries of the world.

Technologies developed on the basis of venture capital enable a state with a developing economy to catch up with developed countries in terms of per capita income after a certain period of time. For example: New Zealand is the country with the most developed agriculture on the planet, but at the same time it is located at the bottom of the list of developed countries in terms of GDP. At the same time, Singapore has brought its GDP to the level of the world's leading countries due to the fact that it has a very developed venture capital market.

Development conditions

It is important to note that in those states in which venture activity is widespread, the following were used:

• investments from the state in the company;
• country investment in a variety of private venture funds;
• mixed investment option.

A venture company will only develop successfully if:

• has a long-term innovative public policy and a refined co-financing programsimilar activities;
• there is significant investment in the dynamic development of the professional qualities of people, which, in fact, are the basis of effective venture work;
• there are venture capitalists and venture managers;
• developed applied and fundamental sciences, thanks to which new discoveries, innovations and inventions are produced;
• there is a developed, modern educational system available;
• there is a competitive environment.

Favourable Industries

The best directions for the activity of any venture company are those where the life cycle of the formed product, product or service is small. For example, in US microelectronics, this period is on average four to five years. Back in the 1980s, the total capital that accounted for all US venture capital organizations was almost $15 billion.

Registration in Russia

Any Russian venture company must be organized on the basis of the following requirements set by Russian law:

• Mandatory presence of the founder. It can be both an individual and a legal entity that is a citizen of Russia or another state. An exception can only be military personnel, employees of the state apparatus.
• The number of shareholders should not exceed 50 people. The authorized capital of the organization is distributed between them.
• Venture company must have an open bank account. Moreover, it is allowed to open an account both within the RussianFederation and beyond.
• The minimum amount of the authorized capital must be at least ten thousand Russian rubles.
• The charter of the company, which is the founding document, must be formed.
• The organization must have a round seal with its full name in Russian and an indication of its location.

Staff and office

A Russian venture company, like many other firms, must have staff and an office. Given the specifics of venture organizations, their office belongs to the representative class. Since there is also a board of directors and investors, space for a conference room is mandatory.

The staff of such a company is often very small - about 20 people. It goes without saying that it will necessarily include an accountant, a lawyer, secretaries, consultants, a general partner.

Some subtleties

It is worth mentioning by all means: a venture company (what it is, we discussed above) gives investments only to those persons who submit a really worthwhile and promising project for consideration. In addition, such a company invests its money in the development of exceptionally advanced technologies in a wide variety of scientific fields.

As a rule, a venture project begins to make a profit after about six years from the moment it was launched.