There aren't many business ideas that reach the level of sophistication and complexity to work as viable moneymaking organizations, as the number of variables at play can be staggering to the small businessperson. The majority of businesses need some amount of startup capital in order to lay down the framework for successful operation, and a venture capital firm associate is one of the people who tries to find businesses worthy of the infusion.
The venture capital associate is, in essence, tasked with making educated wagers. They examine applications from prospective entrepreneurs, looking for the propositions which display a firm set of ideas and a vision for expansion into production, distribution, and marketing. The model is scrutinized for the entrepreneur's grasp on business principles and the level of demand for such a product or service. The best are chosen to receive startup capital, with the hope that the business takes off and earns profit for both investor and entrepreneur.
Becoming an associate with a venture capital firm can be quite tricky. In many cases, associates are recruited according to highly subjective criteria that has much to do with the specific focus of the firm's investment strategy. The traditional method involves graduating with a bachelor's degree in business administration, economics, or a related discipline, followed by at least two years of experience working for an investment banking or consulting firm. This still applies for some firms, but others place a lot of emphasis on personal characteristics as well. For example, a venture capital firm that specializes in technology investment will prefer to recruit associates who have an understanding of technology or, better yet, experience working at a tech firm. It is also very important to know how to network, as entry into this position often involves getting to know and impressing the right people.