A number of recent national and EU initiatives have sought explicitly to encourage innovative firms and venture capital finance. In keeping with the policy debate, this paper focuses explicitly on the role of law and lawyers in facilitating venture capital: that is, both supply by investors, and demand by entrepreneurs. It reviews existing literature in a way that seeks to clarify the links bet...

Federal Reserve Bank of Atlanta E C O N O M I C R E V I E W Fourth Quarter 2002 T he past year has seen a dramatic decline in venture capital activity. As Chart 1 shows, investment activity has fallen by more than half in the past few quarters. Fund-raising by venture capital organizations has similarly undergone a sharp fall, and few observers expect a revival anytime soon. Already voices have...

We address the question: do technology investors differ from traditional investors? Employing a conjoint methodology, we identified 28 technology investors from a sample of 68 European early stage investors. Comparing the two groups of investors we found that: (1) technology investors were not more likely to receive public funding than traditional investors; (2) technology investors had more in...

We estimate the impact of venture capital (VC) contract terms on startup outcomes and split value between entrepreneur investor, accounting for endogenous selection via a novel dynamic search-and-matching model. The estimation uses new, large data set first financing rounds companies. Consistent with efficient contracting theories, there is an optimal equity agents, which maximizes probability ...

OF DOCTORAL DISSERTATION HELSINKI UNIVERSITY OF TECHNOLOGY P.O. BOX 1000, FI-02015 TKK http://www.tkk.fi Author Mikko Samuel Jääskeläinen Name of the dissertation Syndication in venture capital Manuscript submitted 27.2.2009 Manuscript revised 13.5.2009 Date of the defence 9.6.2009 Monograph Article dissertation (summary + original articles) Faculty Information and Natural Sciences Department I...

Venture capital is an important vehicle for financing new and innovative high-risk ventures. While its size relative to the economy is typical for an OECD country, Australia’s total venture capital investment is relatively smaller than that of the United States. The US, however, has a number of regions or ‘clusters’ with very high levels of venture capital activity, such as Silicon Valley and B...

This paper argues that a large component of success in entrepreneurship and venture capital can be attributed to skill. We show that entrepreneurs with a track record of success are more likely to succeed than first time entrepreneurs and those who have previously failed. Funding by more experienced venture capital firms enhances the chance of success, but only for entrepreneurs without a succe...