Venture Capital and the Finance of Innovation

Greatest text to understand venture capital. Beginner friendly while still a university-level text.

Probably the most comprehensive and rigorous overview of all aspects of financing innovation.It's essential to get comfortable with "the VC method" to be a sophisticated participant in the private markets – this text is my favorite treatment of both DCF and Comparables in context of the VC method. Also includes coverage of all relevant financial instruments used in financing innovation and several sources of market data, which is helpful to understand the dynamics of VC as an asset class, particularly in light of secular shifts in both monetary policy and market structure.Compared with Ramsinghani's "The Business of Venture Capital," Metrick and Yasuda's textbook focuses more on financial material such as market data and models, and industry commentary from practitioners. I would recommend picking up both titles.