Portfolio company

A portfolio company is a business in which an investment firm or individual has invested money, typically as part of a larger collection or "portfolio" of investments. These companies are often part of private equity, venture capital, or other investment strategies. The goal is to support their growth or development, with the hope that the value of the company will increase over time, allowing the investor to eventually sell their stake for a profit. In essence, a portfolio company is one of the businesses that an investor owns or is financially involved with as part of their broader investment strategy.