دانلود رایگان مقاله سرمایه گذاری و بازده در فروش موفق کل سهام به صورت کارآفرینانه

abstract

This paper examines returns to capital invested in new ventures. Across theoretical lines of inquiry, outcomes of new venture growth, valuation, and consequent return to entrepreneurs are generally assumed to be a function of access to equity capital. Drawing on a hand-gathered dataset comprising the universe of 3160 private firms acquired by U.S. publicly-traded firms during the years 1996–2006, we analyze a population of heterogeneous investment profiles with clear terminal valuations, lifespans, and distributions to entrepreneurs. The results paint a picture of steeply diminishing returns to invested capital, where the primary benefit of equity investment is accelerated liquidity, not terminal value of the venture or entrepreneur returns.

7. Conclusion

Our main limitation forms the basis of conclusion. We acknowledge that analyses of private ventures that successfully sold out to public acquirers may not generalize outside that class of ventures. However, given the level of conjecture, assumption and real economic activity around equity capital and entrepreneurial ventures, combined with the dearth of data on entrepreneurial exit and the great difficulty in gathering a substantial dataset, our data add much to the current state of the conversation. Specifically, our data point to areas where future research might focus on a more detailed understanding of the financing strategies of ventures, in particular the trade-off between speed to exit and return on equity invested, and the instrumental relationship between financing strategy and the objectives of entrepreneurs. The implications of these findings therefore touch entrepreneurs seeking to optimize the return on their equity invested, new venture investors, policy makers seeking to influence venture growth, and researchers working at the intersection of startups and finance.