Venture Capital Firms and Funds in the Middle East Key Terms
Learn more about how venture capital firms operate in the Middle EastVenture capital (VC) funds are designed to build up businesses, and in recent years they have begun to do just that in the Middle East. For years, as fledgling companies in the United States and Europe drew big investors, the Middle Eastern market was largely untouched. Today, venture capital firms from around the globe are making up for lost time, investing in promising new technologies the region has to offer.
Golf Corporation Council (GCC) countries
Middle East and North Africa (MENA)MENA countries include all the countries under the GCC and many others, including Iraq, Yemen, Morocco, Syria and Algeria.
Islamic Sharia or Sharia Islamic lawSome VC firms operating in the Middle East are sensitive to Islamic Sharia, a code drawn from the Koran and the teachings of Mohammad. Among other things, Sharia sets guidelines for finance. It prohibits making money from lending money, instead encouraging trade and investment.
Golf Venture Capital Association (GCVA)The GCVA is a non-profit trade group that represents venture capital firms in Golf Countries. It's ultimate mission is to encourage risk-taking business ventures in the region.
Private equity (PE) and venture capital (VC)Venture Capital is a pool of money available for investment in new companies that want to take a risk on a developing technology. Private Equity refers to securities that are privately traded, rather than publicly held.
Limited partners (LPs) and general partners (GPs)General partners are fully liable for a business they invest in, and are often involved in running everyday affairs. Limited partners are somewhat shielded from liability.
Copyright © 2013 Business.com, Inc. All Rights Reserved.