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Venture Quotient Definition

Venture Quotient TM – n : abbreviated VQ, the venture quotient measures the overall likelihood of success of a new venture (i.e., a startup business) by accounting for the four categories of venture risk (market, technology/product, management, and financial risks).

The VQ is calculated as follows:
VQ = (1 – RK) x (1 – RP) x (1 – RM) x (1 – RF) Where: RK = Market Risk
RP = Technology/Product Risk
RM = Management Risk
RF = Financial Risk

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Adapted from "The CompanyCrafters Entrepreneur's Dictionary"
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