Venture capitalists engage in post-investment monitoring and provide value-added services to nurture growth. They assist in strategic planning, leadership recruitment, and may leverage their networks to forge pivotal partnerships or customer relationships. More information financial-equity.com Tyzoon T. Tyebjee and Albert V. Bruno Additional contact information Tyzoon T. Tyebjee: School of Business, University of Santa Clara, Santa Clara, California 95053 Albert V. Bruno: School of Business, University of Santa Clara, Santa Clara, California 95053. VCs are willing to risk investing in such companies because they can earn a massive return on their investments if they are successful. However, VCs have high rates of failure because of the uncertainty involved with new and unproven companies. Below are the company stages and a chart of recent American VC funding. Base Pay. The average age of Robinhood users is 30. Flickr / Adam Fagen. When you invest in venture capital, you should understand that it represents a high-risk investment. The majority of startups fail, which means that the potential for losing your entire investment is significantly higher compared to traditional investments like stocks and bonds. However, if a startup succeeds, your return on investment can be substantial.