Question 2.
Required:
	(a)			If you could choose between a 100,000 non-refundable grant from a public authority and a 25,000 investment in exchange for equity from a serial entrepreneur (smart money), which one would you choose? Please give reasons for your answer. (5 marks)
		(b)	Describe the key features of the virtuous cycle of a venture capital fund. (25 marks)
		(c)	Investors in start-ups need to know what is going on in the companies they invest in. Explain why key metrics are needed for effective and efficient monitoring by investors. Next, for a specific business model of your choice (e.g. brick-and-mortar retail store) outline the type of information an entrepreneur should provide to the investor. (20 marks)
			(Total: 50 marks)

It's from Private Equity and Venture Capital