Glossary entry

German term or phrase:

Sprunginvestition

English translation:

expansion investment/financing

Nov 25, 2000 14:31
23 yrs ago
3 viewers *
German term

Sprunginvestition

German to English Bus/Financial Finance (general)
This has to do with sources of financing for a start-up company. Another expression is "Wachstumsspruengen."

Proposed translations

56 mins
Selected

expansion investment / expansion financing / growth financing

See if "expansion investment" will work within your context - it's the best I can come up. I'm not sure that there is a direct equivalent (if there is, I didn't find it, not even the IMF lists Sprunginvestition in its database).

Judging from the German sources, Sprunginvestition is an investment to finance a company's growth spurts (there's your Wachstumssprünge).

See below:
Investitionshilfen für den Mittelstand
Wichtige Finanzierungshilfen werden durch die Kreditanstalt für Wiederaufbau (KfW) bereitgestellt. Aber auch die Investitionsbank NRW bietet Unternehmen, die über die sog. Existenzfestigungsphase hinaus gewachsen sind, aber nun vor einer besonderen finanziellen Herausforderung stehen (Sprunginvestition), die Möglichkeit einer Finanzierung über das Programm Gründungs- und Wachstumsfinanzierung an. Investitionszuschüsse sind besonders willkommene Hilfen. Sie werden für arbeitsplatzschaffende Investitionen in besonderen Fördergebieten gewährt
http://www.wfg-hagen.de/wf/foeder/finvest.htm

Das Wachstum junger Unternehmen vollzieht sich in aller Regel diskontinuierlich. Die damit verbundenen Sprunginvestitionen betragen oft ein Vielfaches der Gründungsinvestitionen oder der Bilanzsumme vor Beginn der Investitionsphase. Die Deutsche Ausgleichsbank fördert diese Wachstumsinvestitionen mit Eigenkapitalhilfe-Darlehen, mit dem das vorhandene niedrige Eigenkapital auf bis zu 40 % der Sprunginvestition aufgestockt werden kann.
http://www.nwb.de/zeitschr/bfup/1999/heft3.htm

See the following and related links for expansion investment:
Ad hoc-Service: Röhrig High-Tech Plastics Röhrig HTP - Expansion investment doubles high tech capacities
http://de.news.yahoo.com/001013/27/14e1l.html
http://www.sndnews.com/news/1999/107/amec.html

Also check out "growth financing" or "expansion financing" at these and many related sites:

Growth Financing
American Capital Strategies is prepared to fund the growth of small and medium sized companies. This includes funding internal growth, acquisitions, project finance, expansion to new facilities, targeting new markets or developing new products.
American Capital is prepared to fund the senior debt, subordinated debt and equity that will make it possible for such growth. We typically do not have to source other capital to fund growth, so we can dramatically increase the certainty of our proposed financing.
Since American Capital is not a bank, we do not have to require immediate principal payments. We are prepared to fund growth over long periods with balloon payments on senior and subordinated debt extending as far as 10 years.
http://www.finance-company.com/financing_services/growth_fin...

Growth Financing - Basics
Many companies reach a point in their growth where they need outside financing to expand to meet their potential. Growth or expansion financing is the subject of this article. For the following discussion, we assume that the current owners of the business are not seeking to liquidate some or all of their stake in the business, but rather are looking for financing to augment the cash flows of the company during a period of anticipated rapid growth. This growth can result from an expansion of the company's physical plant or through sales growth that requires additional working capital. Growth can also come in the form of strategic acquisitions, which are discussed elsewhere on Capital.com.
http://www.capital.com/index.cfm?inputUrl=http://www.capital...

Wachstumssprünge - growth spurts, growing by leaps and bounds - whatever fits best into your context.

HTH!


Reference:

see above

Peer comment(s):

Tim Drayton
Something went wrong...
4 KudoZ points awarded for this answer. Comment: "I have to go with growth financing/expansion investment because the term venture/start-up capital is also used in another context. "
1 hr

Start-up capital. "Wachstumsprüngen" would have to do with

rapid growth (no allusion to investment in the example).
Peer comment(s):

Ulrike Lieder (X)
Something went wrong...
1 hr

venture capital/start-up capital/venture capital financing/start-up capital financing

I like uel's long explanation, but I must agree with parrot in this case. Sprunginvestition means giving start-up capital or also called
"venture capital," which in turn means lending. Thus, the
Sprunginvestition itself is translated as venture capital financing, start-up capital
financing, investing in new ventures etc. Your other expression
"growth spurts" depends really on more context. It could mean
anything from a faster expansion for an already existing/established company to a faster start for a new company--this all from my vast
business experience in the US/Canada.

Here is your "google" search confirmation:earched the web for venture financing.
Results 1 - 10 of about 342,000. Search took 0.05 seconds.


Category: Business > Venture Capital > ... > Capital Access - Financing


VenturCom - Venture Capital Financing
... VenturCom, Inc. Raises $9.0 Million in Venture Financing. New Funding
to Enable Major Expansion of Staff and Product Line. ...
www.vci.com/news_events/pressroom/press_releases/9805/finan... - 11k - Cached - Similar
pages

Venture Capital Resource Library | Directory of Venture ...
... AviGenics, Inc. Raises Over $10 Million in Private Financing. OpenTable Secures
$42 Million in Financing. . Submit your venture capital news. BUSINESS RESOURCES. ...
Description: Directory of venture capital resources and related services
Category: Business > Venture Capital > ... > Capital Access - Financing
www.vfinance.com/ - 35k - Cached - Similar pages

BREAKTHROUGH BROADBAND SERVICE MANAGEMENT TECHNOLOGY
ATTRACTS ...
BREAKTHROUGH BROADBAND SERVICE MANAGEMENT TECHNOLOGY ATTRACTS
INDUSTRY-LEADING
VENTURE FINANCING FOR COMANAGE. ...
www.comanage.net/pressreleases/pr102300.htm - 15k - Cached - Similar pages

NeuroVasx receives $3M in venture financing - 2000-10-23 - ...
sponsored by: AIG Insurance, sponsored by: Office Depot. ... Breaking News. 18:38 EDT
Monday NeuroVasx receives $3M in venture financing. ...
www.amcity.com/twincities/stories/2000/10/23/daily4.html - 22k - Cached - Similar pages

Vividon completes $15 million second-round venture financing - ...
sponsored by: AIG Insurance, sponsored by: Office Depot. ... 13:26 EDT Monday
Vividon
completes $15 million second-round venture financing. ...
www.amcity.com/boston/stories/2000/10/23/daily1.html - 20k - Cached - Similar pages
[ More results from www.amcity.com ]

AC Ventures
AC Ventures Partners Login. 1996-2000 Andersen Consulting
All Rights Reserved Terms of Use | Privacy Statement.
www.ac-ventures.com/ - 3k - Cached - Similar pages

Saskatchewan Agriculture and Food - Finance - Business ...
... Agri-Food Equity Fund(AFEF) is a great place to start. This venture capital financing
arm of Saskatchewan Agriculture and Food can supplement your enterprise ...
www.agr.gov.sk.ca/Finance/Business_Venture_Financing.asp?fi...
- 24k - Cached - Similar pages

Club Photo Network - Receives $2 Million in First Round ...
... Club Photo Receives $2 Million in First Round Venture Financing from Indosuez
Ventures Industry's Only Comprehensive Online Photo Sharing and Finishing ...
www.clubphoto.com/about/press_cp/first_round.php - 15k - Cached - Similar pages

Emerald Venture - Venture Capital Financing from Private ...
Home, ... In, the past year, more than 2,000 businesses
nationwide received some form of equity ...
Description: Provides equity capital for various stages of business development.
Category: Business > Venture Capital
www.emeraldventure.com/ - 7k - Cached - Similar pages

Silicon Alley News: Knoa.com Captures $2 Million in Venture ...
... AtNewYork. Knoa.com Captures $2 Million in Venture Financing By @NY Staff. Knoa.com,
a Silicon Alley developer of customer relationship technology management ...
www.atnewyork.com/news/article/0,1471,8471_303411,00.html - 16k - Cached - Similar pages
Reference:

Internet

Something went wrong...
2 hrs

A note on start-up capital and venture capital

Start-up capital is the initial funding for a company (often provided by venture capitalists). A Sprunginvestition is, as is apparent from the sources quoted, an investment that is made AFTER the company has been established; it is used to finance growth. Two sites I did not quote refer to Sprunginvestitionen that were used for an airport runway expansion and for the town's water treatment (see links below). Quite obviously, both the airport and the town were in existence before the necessity for a Sprunginvestition arose.

So, while Sprunginvestitionen could quite clearly be made in start-up companies, they do not constitute the start-up capital itself, but rather the capital that is required a ways down the road as the company (or town or airport...) is growing.

Also see Schäfer on start-up/venture capital and funding:
start-up funding
(Fin) Anfangskapital n (syn, initial capital)
start-up investment
(Fin) Erstinvestition f (syn, initial investment)
venture capital
(Fin) Spekulationskapital n
(Fin) Risikokapital n, Wagniskapital n
(ie, capital to provide funds for start-up situations – seed capital – and for existing high-risk businesses having a profit potential, esp in high technology; syn, risk capital)
venture financing
(Fin) Wagnisfinanzierung f
[Schäfer]
Something went wrong...
Term search
  • All of ProZ.com
  • Term search
  • Jobs
  • Forums
  • Multiple search