| Drive-By Deal |
 |
Slang referring to a deal in which a venture capitalist invests in a startup
with the goal of a quick exit strategy. The VC takes little to no role in the management and monitoring of the startup.
|
 |
A "drive-by VC" is a venture capitalist who does this
type of deal.
Critics say a drive-by deal results in companies which are pushed towards an IPO even though they aren't ready, just because the VC wants to get its money out. |
|
|
|
|
Dictionary
