The NVCA, the US association of venture capital funds, is stepping in this election year's communications arena to clearly define the difference between Venture Capital and Private Equity.
As the race for the Republican Presidential nomination moves into high gear, we have all seen both the media and the competing campaigns turning their focus to Mitt Romney and the time he spent at Bain Capital. Unfortunately, much of the coverage has created significant confusion regarding the difference between venture capital and private equity.
While NVCA does not endorse presidential candidates, and we have not and will not comment on Mr. Romney or any other presidential candidate's credentials, we must and will engage the media in the discussion about what venture capital is and is not.
Of particular importance is accurately communicating venture capital's unwavering commitment to job creation and innovation - and the fact that we work with entrepreneurs to create and grow new companies, characteristics that distinguish our asset class from all others.
To that end, you can expect to see NVCA focusing in the coming weeks and months on educating the press, campaign staff, and Capitol Hill on these notable differences and encouraging our members to take every opportunity to talk about what they do each day to help grow their promising portfolio companies.