You've often heard the term "unicorn", but don't really know what it means in business jargon? Let's take a closer look at the origins and criteria of this trendy expression for a fast-growing start-up!

What is a unicorn in business?

Coined in 2013 by American venture capitalist Aileen Lee, the term "unicorn" is used to describe a start-upthat is less than 10 years old, not listed on the stock market, and whose value has reached or exceeded the billion-dollar mark. With this word, she wanted to convey the idea of rarity, which explains the choice of this legendary creature, a kind of winged horse with a single horn. 

Among the most famous unicorns are BackMarket, Airbnb and SpaceX. These innovative companies are experiencing ultra-fast growth and are often marked by revolutionary technologies. Unicorn companies are increasingly attracting the attention of investors and the media due to their high potential return on investment.

Why invest in a unicorn company?

As mentioned above, unicorns generally benefit from increased attention from investors and the media, which can help increase their valuation. This valuation is often achieved through successive rounds of financing, where investors inject funds into the company, thereby diversifying and increasing your exposure to the business.

By investing in a unicorn at an early stage, you can benefit from a significant increase in the value of your investment as the company develops and moves closer to a possible IPO or acquisition.

However, it's important to note that investing in start-ups also involves high risks. Do thorough research and make sure you understand the risks before making any investment decision.