scholarly journals Private or Public Equity? The Evolving Entrepreneurial Finance Landscape

2021 ◽  
Author(s):  
Michael Ewens ◽  
Joan Farre-Mensa
2021 ◽  
Author(s):  
Michael Ewens ◽  
Joan Farre-Mensa

The U.S. entrepreneurial finance market has changed dramatically over the last two decades. Entrepreneurs raising their first round of venture capital retain 30% more equity in their firm and are more likely to control their board of directors. Late-stage startups are raising larger amounts of capital in the private markets from a growing pool of traditional and new investors. These private market changes have coincided with a sharp decline in the number of firms going public--and when firms do go public, they are older and have raised more private capital. To understand these facts, we provide a systematic description of the differences between private and public firms. Next, we review several regulatory, technological, and competitive changes affecting both startups and investors that reveal how the trade-offs between going public and staying private have changed. We conclude by listing several open research questions.


2012 ◽  
Author(s):  
Bahaaeldin S. Allam ◽  
Tareq Moqbel

Author(s):  
Vincenzo Butticè ◽  
Silvio Vismara

AbstractNowadays equity crowdfunding plays an important role in the entrepreneurial finance markets. To better understand the functioning of the industry, it is important to consider the entire equity crowdfunding process and all the actors involved. Equity crowdfunding platforms match indeed the demand of capital from entrepreneurial ventures with the supply of capital by investors. This manuscript is a first step in this direction, by (1) comparing equity crowdfunding with traditional sources of entrepreneurial finance; (2) discussing the potential and the perils of equity crowdfunding for inclusivity and democratization; (3) highlighting the role of visual information in digital finance; and (4) providing first insights on the industrial dynamics in equity crowdfunding. The paper gives researchers and practitioners orientation about recent developments in equity crowdfunding literature and provides relevant research directions.


2021 ◽  
Vol 14 (1) ◽  
pp. 18
Author(s):  
Siri Terjesen

This issue comprises nine highly downloaded and cited articles in the Journal of Risk and Financial Management [...]


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