Venture capital financing and the growth of new technology-based firms: What comes first?

Entrepreneurship, Competitiveness and Local Development: Frontiers in European Entrepreneurship Research

Volumn , Issue , 2007, Pages 25-43

  Bertoni, Fabio ^a   Colombo, Massimo G ^a   Grilli, Luca ^a  

^a POLITECNICO DI MILANO   (Italy)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 77956932963     PISSN: None     EISSN: None     Source Type: Book    
DOI: None     Document Type: Chapter

References (40)

1. Aldrich, H.E., A. Kallenberg, P. Marsden and J. Cassell (1989), 'In pursuit of evidence: sampling procedures for locating new businesses', Journal of Business Venturing, 4, 367-86.
2. Arellano, M. and S. Bond (1991), 'Some tests of specification for panel data: Monte Carlo evidence and an application to employment equations', Review of Economic Studies, 58, 277-97.
3. Audretsch, D.B. (1995), Innovation and Industry Evolution, Cambridge, MA: MIT Press.
4. Audretsch, D.B. and E.E. Lehmann (2004), 'Financing high-tech growth: the role of debt and equity', Schmalenbach Business Review, 56, 340-57.
5. Balboa, M., J. Martì and N. Zieling (2006), 'Does venture capital really improve portfolio companies' growth? Evidence from growth companies in Continental Europe', Proceedings of the European Financial Management Conference, Madrid, 28 June-1 July.
6. Becker, G.S. (1975), Human Capital, New York: National Bureau of Economic Research.
7. Bertoni, F., M.G. Colombo, A. Croce and E. Piva (2006), 'A review of the venture capital industry in Italy', in G.N. Gregoriou, M. Kooli and R. Kraeussl (eds), Venture Capital in Europe, Amsterdam: Elsevier, pp. 129-43.
8. Birley, S. (1987), 'Finding the new firm', S.M Working Paper, Cranfield, UK.
9. Bottazzi, L. and M. Da Rin (2002), 'Venture capital in Europe and the financing of innovative companies', Economic Policy, 17, 229-70.
10. Bottazzi, L., M. Da Rin and T. Hellmann (2004), 'Active financial intermediation: evidence on the role of organizational specialization and human capital', IGIER Working Paper 266, Innocenzo Gasparini Institute for Economic Research, Milan.
11. Carpenter, R.E. and B.C. Petersen (2002a), 'Capital market imperfections, high-tech investment, and new equity financing', Economic Journal, 112, F54-F72.
12. Carpenter, R.E. and B.C. Petersen (2002b), 'Is the growth of small firms constrained by internal finance?', Review of Economics and Statistics, 84, 298-309.
13. Casamatta, C. (2003), 'Financing and advising: optimal financial contracts with venture capitalists', Journal of Finance, 58, 2059-86.
14. Chan, Y.S. (1983), 'On the positive role of financial intermediation in allocation of venture capital in market with imperfect information', Journal of Finance, 35, 1543-68.
15. Colombo, M.G., M. Delmastro and L. Grilli (2004), 'Entrepreneurs' human capital and the start-up size of new technology-based firms', International Journal of Industrial Organization, 22, 1183-211.
16. Colombo, M.G. and L. Grilli (2005), 'Founders' human capital and the growth of new technology-based firms: a competence-based view', Research Policy, 34, 795-816.
17. Davila, A., G. Foster and M. Gupta (2003), 'Venture capital financing and the growth of startup firms', Journal of Business Venturing, 18, 689-708.
18. Engel, D. (2002), 'The impact of venture capital on firm growth: an empirical investigation', Discussion Paper 02-02, Centre for European Economic Research (Zentrum für Europäische Wirtschaftsforschung - ZEW), Mannheim, Germany.
19. Engel, D. and M. Keilbach (2007), 'Firm level implications of early stage venture capital investment: an empirical investigation', Journal of Empirical Finance, 14, 150-67.
20. Evans, D.S. (1987), 'The relationship between firm growth, size and firm age: estimates for 100 manufacturing industries', Journal of Industrial Economics, 35, 567-82.
21. Fazzari, S.M., R.G. Hubbard and B.C. Petersen (1988), 'Financing constraints and corporate investment', Brooking Papers on Economic Activity, 1, 141-205.
22. Fried, V.H. and R.D. Hisrich (1994), 'Towards a model of venture capitalinvestment decision-making', Financial Management, 23, 28-37.
23. Gimeno, J., T. Folta, A. Cooper and C. Woo (1997), 'Survival of the fittest? Entrepreneurial human capital and the persistence of underperforming firms', Administrative Science Quarterly, 42, 750-83.
24. Hellmann, T. and M. Puri (2000), 'The interaction between product market and financing strategy: the role of venture capital', Review of Financial Study, 13, 959-84.
25. Hellmann, T. and M. Puri (2002), 'Venture capital and the professionalization of start-up firms: empirical evidence', Journal of Finance, 57, 169-97.
26. Jain, B.A. and O. Kini (1995), 'Venture capitalist participation and the post-issue operating performance of IPO firms', Managerial and Decision Economics, 6, 593-606.
27. Jovanovic, B. (1982), 'Selection and the evolution of industry', Econometrica, 50, 649-70.
28. Keifer, N. (1988), 'Economic duration data and hazard functions', Journal of Economic Literature, 26, 646-79.
29. Kortum, S. and J. Lerner (2000), 'Assessing the contribution of venture capital to innovation', Rand Journal of Economics, 31 (4), 674-92.
30. Lawless, J.F. (1982), Statistical Models and Methods for Lifetime Data, Toronto:Wiley.
31. Manigart, S. and W. Van Hyfte (1999), 'Post-investment evolution of Belgian venture capital backed companies: an empirical study', in P. Reynolds, W. Bygrave, S. Manigart, C. Mason, G. Meyer, H.J. Sapienza and K. Shaver (eds), Frontiers of Entrepreneurship Research, Wellesley, MA: Babson College.
32. Manigart, S., K. Baeyens and W. Van Hyfte (2002), 'The survival of venture capital backed companies', Venture Capital, 4, 103-24.
33. Nickell, S. (1981), 'Biases in dynamic models with fixed effects', Econometrica, 49, 1417-26.
34. Rajan, R. and L. Zingales (2003), 'The great reversals: the politics of financial development in the twentieth century', Journal of Financial Economics, 69, 5-50.
35. Sapienza, H.J. (1992), 'When do venture capitalists add value?', Journal of Business Venturing, 7, 9-27.
36. Sapienza, H.J., S. Manigart and W.Vermeir (1996), 'Venture capital governance and value added in four countries', Journal of Business Venturing, 11, 439-69.
37. Shanmugam, K.R. and S.N. Bhaduri (2002), 'Size, age and firm growth in the Indian manufacturing sector', Applied Economics Letters, 9, 607-13.
38. Ueda, M. and M. Hirukawa (2003), 'Venture capital and productivity', Working Paper, University of Wisconsin, USA, September.
39. Zacharakis, A.L. and G.D. Meyer (1998), 'A lack of insight: do venture capitalists really understand their own decision process?', Journal of Business Venturing, 13, 57-76.
40. Zacharakis, A.L. and G.D. Meyer (2000), 'The potential of actuarial decision models: can they improve the venture capital investment decision?', Journal of Business Venturing, 15, 323-46.