Previous research on entrepreneurship as well as goal, social-cognitive, and leadership theories has guided hypotheses regarding the relationship between entrepreneurial traits and skill (passion, tenacity, and new resource skill) and situationally specific motivation (communicated vision, self-efficacy, and goals) to subsequent venture growth. Data from 229 entrepreneur-chief executive officer...

Recent years have seen an upsurge of novel sources of new venture financing through crowdfunding (CF). We draw on 54,943 successfully crowdfunded projects and 3,313 venture capital (VC) investments throughout the period 04/2012-06/2015 to investigate, on the aggregate level, how crowdfunding is related to a more traditional source of entrepreneurial finance, venture capital. Granger causality t...

Venture capitalists and the entrepreneurs they fund are observed to be co-located in order to enable both parties to extract value from their respective investments. This co-location may be relaxed in different conditions. In this paper, we explore conditions under which entrepreneurs not co-located with venture capitalists are still funded. Using the mechanisms of legitimacy and efficiency, we...

We develop a model of informed finance that explains the key qualitative and quantitative features of informed venture capital finance in the United States. We show that the two key features of our model— potential investors are better judges than entrepreneurs of a project’s economic viability and projects require both significant external funding and entrepreneurial inputs—give rise to under-...

Abstract This research provides an improved understanding of how ventures successfully organize via resource allocations. Conceptually, we apply elements action theory to account for trade-offs that occur as entrepreneurs make decisions about adding staff members boundary spanning, technical core, and management functions. We then model these allocation differentially impact nascent venture per...