What share of the companies that apply do most venture capitalists actually finance?

1. Venture capital is most often used by small and growing firms that are not big enough to sell securities to the public. 2. Getting it is difficult even though there are hundreds of private venture-capital firms. 3. Most venture capitalists finance only about 1 to 5 percent of the companies that apply. 4. Investors burned by failed dot-coms have grown less willing to back very early-stage companies with unproven technology. 5. That gap is why other sources have stepped in, including private foundations, states and wealthy individuals called angel investors. 6. Those private investors are motivated by the same prospect of a high return on their investment. _Source: OpenStax Introduction to Business (CC BY 4.0), Ch 16 "Understanding Financial Management and Securities Markets", section 16.5 Equity Financing_