What are the crucial differences between a venture and a start-up?

2024/07/28 16:44 (Updated 2025/04/04 14:30)
Editors of Iolite
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ベンチャーとスタートアップの決定的な違いとは?

What you need to know now about the differences between ventures and start-ups.

In 2023, the word ‘start-up’ is a trending word that is often seen in the media, etc. It is a trending word that began to be used in Silicon Valley in San Francisco, USA, where many IT companies are concentrated, and has now entered Japan.

What is a start-up?

A start-up is an up-and-coming company or project that uses advanced technology and ideas to build and develop a market and business model from scratch, growing both the market and the company. They aim to achieve rapid growth in a short period of time by creating innovations that create unprecedented social value.

Typical examples of start-ups are companies such as Google, Amazon, Facebook and Uber. On the other hand, a trendy word that became popular a long time ago is the word ‘venture’. Companies that are now classified as start-ups were also spoken of as representative of ‘venture companies’ back then.

In Japan, the words ‘start-up’ and ‘venture’ are often thought of as having the same meaning, but in fact they are two very different things.

The trendy word ‘venture’ was coined a decade ago as a Japanese word based on the word ‘adventure’. The words ‘venture business’ and ‘venture company’ are derived from this word ‘venture’. In other words, it is a word that is used only in Japan, where it was originally introduced by the Japanese.

There is a fundamental difference between the business models of ‘start-up’ and ‘venture’. First of all, let us understand what a ‘venture’ is again, recognise the difference between it and a ‘start-up’ and learn what a ‘start-up’ is.

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MAGAZINE

Iolite Vol.15

September 2025 issueReleased on 2025/07/30
Interview Iolite FACE vol.15 Avery Chin, co-founder and CEO of Aptos Labs PHOTO & INTERVIEW Tester Special feature: "How to master workplace relationships! Using MBTI", "Riding the waves of the 'first year of AI agents'!", "Is Bitcoin the savior of companies? The forefront of treasury strategies", "Management strategies learned from villains" Crypto Journey: "The intersection of Web 3.0 and social contribution" Interview with Gracie Chen, CEO of Bitget Series: "Expert perspectives on interpreting the fluctuating cryptocurrency market" Virtual NISHI Series: Tech and Future Toshinao Sasaki, etc.