Follow-on Investment
Content
Definition
Follow-on Investment refers to additional funding provided by investors who have previously invested in the company, typically to support continued growth.
Usage and Context
Follow-on investments happen when a business is growing. Investors who already put money in decide to invest more. This helps the business expand or enter new markets.
Frequently asked questions
- What is a follow-on investor? A follow-on investor is someone who adds more money to their initial investment in a company. They do this to support the company`s growth.
- What is a friendly follower investor type? A friendly follower investor type is an investor who continues to support a company by making additional investments after their initial one. They believe in the company`s future success.
- What is a follow-on investment in private equity? In private equity, a follow-on investment is extra funding given to a company. This money comes after the initial investment and aims to boost the company`s growth.
Benefits
Follow-on investments give companies more money to grow. They also show that investors believe in the company`s future.
Conclusion
Follow-on investments are crucial for a company`s growth. They offer extra funds and show strong investor confidence.
