scholarly journals Skill vs. Luck in Entrepreneurship and Venture Capital: Evidence from Serial Entrepreneurs

2006 ◽  
Author(s):  
Paul A. Gompers ◽  
Anna Kovner ◽  
Josh Lerner ◽  
David S. Scharfstein
Keyword(s):  
Venture Capital ◽  
Serial Entrepreneurs

Founders Matter! Serial Entrepreneurs and Venture Capital Syndicate Formation

2018 ◽  
Vol 43 (5) ◽  
pp. 974-998 ◽  
Author(s):  
Lei Zhang
Keyword(s):  
Quantitative Analysis ◽  
Venture Capital ◽  
Information Asymmetry ◽  
Loss Of Control ◽  
Extant Literature ◽  
Qualitative Evidence ◽  
General Support ◽  
Novice Entrepreneurs ◽  
Serial Entrepreneurs

Although founders are responsible for soliciting venture capital (VC) funding, their influence over VC syndicate formation has largely been neglected in the extant literature. This article fills this gap by comparing serial and novice entrepreneurs. Using the information asymmetry argument as our guiding framework, we argue that when potential investors face diminished information asymmetry, entrepreneurs are more likely to form VC syndicates that are more beneficial to ventures—providing entrepreneurs with greater and more diverse resources and to some extent reducing entrepreneurs’ loss of control. Enriched by qualitative evidence from fieldwork, a quantitative analysis of 351 ventures shows general support for our argument and reveals unexpected nuances.

scholarly journals To the problem of rational search for investors by ukranian scientists, in particular among cor­porate venture funds in the biomedical field

2020 ◽  
pp. 41-46
Author(s):  
P.G. Melnik-Melnikov ◽  
T.V. Piatchanina ◽  
A.N. Ohorodnyk
Keyword(s):  
Venture Capital ◽  
Biomedical Science ◽  
Rational Approach ◽  
Business Managers ◽  
Business Angels ◽  
Professional Advice ◽  
Bargaining Position ◽  
Professional Business ◽  
Serial Entrepreneurs ◽  
Corporate Venture

The article deals with the issues of the rational approach for attracting investments in the process of commercialization of R&D results in the field of biomedical science by Ukrainian scientists. Some differences between business angels, venture capital (VC), and corporate venture capital (CVC) funds have been investigated. It has been found that engagement with CVC can have several important advantages over other types of investors. Maximizing profits is not the most important task for CVC. This leads to the fact that innovators can expect better financial results when evaluating a startup by CVC comparing with a conventional VC. Corporate venture fund experts are well aware of the situation in the profile market and are able to evaluate professionally the proposed technology immediately, despite possible mistakes in the pitch presentation or business plan. An analysis of all three investor groups (business angels, VCs and CVCs) showed that CVC are equally important to Ukrainian innovators, because unlike the first two groups of potential investors, they may consider the proposed technology despite the lack of professional business managers, or successful serial entrepreneurs in a team that often happens in Ukraine. In this context, obtaining professional advice, assistance in the formation of a company team, or potential licensing are extremely important. Also, quite relevant is the increased likelihood of a better financial result when assessing by CVC and the fact that the CVC brand of a large multinational company will increase the bargaining position with other funds in subsequent rounds of investment.

scholarly journals Skill vs. Luck in Entrepreneurship and Venture Capital: Evidence from Serial Entrepreneurs

2006 ◽  
Author(s):  
Paul Gompers ◽  
Anna Kovner ◽  
Josh Lerner ◽  
David Scharfstein
Keyword(s):  
Venture Capital ◽  
Serial Entrepreneurs
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