Which of the following is not a stage in the private equity life cycle?

A) inception stage
B) angel stage
C) intermediate stage
D) none of the above

Question

Which of the following is not a stage in the private equity life cycle?

A) inception stage
B) angel stage
C) intermediate stage
D) none of the above

Quizplus · Accepted Answer

In the initial stages of the life cycle of a business,a capital contribution might be limited to a single investor in the form of angel investing.This intermediate stage of business financing is often associated with a dilution of ownership,which is provided as an incentive to attract external investors.A final point is that,once equity becomes public in nature,there are instances of it reverting back to private equity.Management buyouts are transactions whereby a small group of insiders,sometimes together with a few large investors,purchase the outstanding public equity and convert the firm into a private company.

Which of the Following Is Not a Stage in the Private