Info Feed Weblog
Jun 17, 2003
That Thing Venture Capitalists Do
While doing research for my thesis, I came across about a good introductory article called "That Thing Venture Capitalists Do" by the Research Department of the Philadelphia Federal Reserve Bank. It is already from 1998, so some of its data is not up-to-date, but it explains very well the whole venture capital model: Who needs a venture capitalist? How does a venture capital firm work? The Levers of Control the venture capitalist has (staging of finance, convertible securities). Taking firms public is the venture capitalist's main goal. Does the focus on taking firms public promote a short time horizon?
Posted by Stefan Smalla on Jun 17, 2003 at 9:30 | Permalink