Posts Tagged 'funding gap'

The Changing Exit Environment for Early Stage Companies

January 6 2012 No Commented

In the “good old days,” angels invested in seed-stage startups and teed up promising companies for subsequent venture capital financing.  If the company was successful, this quickly led to an IPO – a very happy ending for the entrepreneur, the angels and the venture capitalists.  My, my…how the world has changed. The two major differences […]

The Funding Gap

December 22 2011 No Commented

Here is some data on capital sources for entrepreneurs and the investment The Funding Gap – that I recently posted on  You will find the total available capital from friends and family, government sources, angel investors, super angels and venture capital.  You will also find new graphic showing round size by the number of […]

The Funding Gap

January 20 2011 2 Commented

Startup entrepreneurs need to be aware of The Funding Gap between angel investors and venture capitalists.  It is quite well-known that startup entrepreneurs first use their own capital and then seek funds from friends and family in the process of productizing their innovation.  Only when customers have been identified who have at least beta tested […]

The Funding Gap

November 16 2010 No Commented

Everyone who understands the capital food chain for entrepreneurs is aware of the huge capital gap that has appeared in the past decade.  Very little capital is available in the US for rounds of $1 million to $5 million.  Angel investors have for decades funded deals of $200K to $1 million.  Until the late ‘90s, VCs […]