If you're seeking passive income from your investment portfolio, Hercules Capital (NYSE: HTGC) is one stock that may have caught your attention. Hercules Capital invests in venture-backed start-ups, and offers an ultra-high dividend payout of over 10% annually.

However, if you're considering adding Hercules Capital for its passive income potential, there are some things you should know first.

Hercules Capital is a specialty non-bank lender that invests in fast-growing start-ups in technology, life sciences, and renewable energy. The company is a business development corporation (BDC), meaning it provides companies with funding in their early stages of growth.

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Source Fool.com