The Regional Supply of Venture Capital - Can
نویسندگان
چکیده
We investigate whether the supply of venture capital (VC) is driven by spatial proximity between a VC company and the portfolio firm. Our analysis is based on information about VC investments in Germany between 2004 and 2009. We find that possible problems caused by the geographic distance to a portfolio firm seem to be overcome by syndication of investments with one of the VC firms located close to the investment. Our analysis does, however, suggest that short geographic distance between an investor and the investment has an increasing effect on the probability for syndication as well as on the number of firms that join the syndicate. Hence, local VC suppliers may assume a role of an ‘anchor’ connecting the regional economy to more distant parts of the industry. JEL-classification: G24, O16, D21, M13, R12
منابع مشابه
Venture capital in regional Australia: attitudes toward venture capital requirements among SME principals and their advisors
This paper provides results from exploratory research examining attitudes of regional SME principals and their professional advisors toward venture capital and postulates how this may affect regional SME use of venture capital. The research was conducted as part of a larger project investigating relationships between venture capital, venture capitalists and regional SME development. Analysis us...
متن کاملVenture Capital Investment Patterns : Implications for Regional Economic Development
This thesis investigates the role of venture capital in regional economic development and presents results from a national survey of venture capital firms concerning the existence of capital gaps in the venture capital markets. In order to explore these issues, the author lays out the theoretical underpinnings of venture capital-oriented indigenous growth strategies and assesses the relationshi...
متن کاملDesigning Native Decision-Making Model for Selecting Venture Capital Investment in Emerging Companies
Venture capital companies play an important role in the economy of countries and greatly influences economic and employment growth. VC is the provision of capital for companies and entrepreneurs that is prone to leaping and growing value and, of course, a lot of risk. However, the volume of venture capital in our country is far less than the economic capacity. Many of analysts consider having n...
متن کاملDisclosure, Venture Capital and Entrepreneurial Spawning
Venture capital funds have been facing increasing regulatory scrutiny since the 2007 financial crisis, particularly in respect of calls for increased disclosure requirements. In this paper, we examine whether more stringent securities regulation helps or hinders the supply and performance of venture capital as well as new business creation (i.e., entrepreneurial spawning). Based on data from 34...
متن کاملWhat Lures Cross-Border Venture Capital Inflows?
The change in the business model of venture capitalists from investing locally towards investing across borders started to intensify in the late 1990s. According to a dataset of European and NorthAmerican countries, we find that countries with higher expected growth and higher lagged stock market returns receive larger net cross-border venture capital inflows. Thus, portfolio companies located ...
متن کاملذخیره در منابع من
با ذخیره ی این منبع در منابع من، دسترسی به آن را برای استفاده های بعدی آسان تر کنید
عنوان ژورنال:
دوره شماره
صفحات -
تاریخ انتشار 2010