Venture Capital Funds Essential to Startup Growth

Praising venture capital funds, Iran's Vice President for Science and Technology believes that old-school means of financing are of no use to startups, as the creative and dynamic nature of such firms requires equally innovative funding methods. 
"Providing financial support for startups and knowledge-based firms is a vital component of the entrepreneurship ecosystem," Sorena Sattari was quoted as saying by CITNA. 
He noted that bank loans do more harm than good to burgeoning startups, adding that other sources of finance namely venture capital funds should be used to help expand the startup ecosystem. 
Nonetheless, he acknowledged the constructive role of bank loans in development of large knowledge-based firms capable of paying back their debts in a timely manner.