Venture capital is the ideal alternative to financing startups in Algeria SOFINANCE as a model

Kelthoum Ferhat , Moufid Abdallaoui

Abstract

The study aims to define venture capital technology as a modern global trend in financing emerging enterprises, considering financing as one of the foundations for establishing, operating and expanding small and medium emerging enterprises, by covering all its financial needs to carry out its usual activities and functions and ensuring its continuity, Therefore, the development of financing instruments has taken great interest from the financiers and investors. The financial company for investment, contribution and employment (SOFINANCE) was selected among the venture capital companies in Algeria to study its activity by following the descriptive approach. The study reached several results, the most important of which are: the existence of a positive impact of this technology of financing on emerging enterprises; in addition to being financed above the budget, it also provides advice and follow-up to institutions through its activity in the field of financial engineering.