Financing High-Tech Growth: The Role of Debt or Equity

Arbeitspapier

Using a data set of the firms listed on the Neuer Markt in Germany, this paper demonstrates that venture backed firms differ from firms with other financial resources, especially debt. Thus, the results of this study provide evidence for the hypothesis that small and innovative firms are more likely to be financed by venture capitalists instead of banks. We also provide evidence that the presence of venture capitalists enhance the growth rates of firms positively.

Object Details

• Language: Englisch

References and Relationships

• Bibliographic citation: Series: Papers on Entrepreneurship, Growth and Public Policy ; No. 1904

Classification and Topics

• Classification: Wirtschaft ; Production, Pricing, and Market Structure; Size Distribution of Firms ; Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill ; New Firms; Startups
• Subject: Venture Capital ; New Economy ; Entrepreneurship ; Corporate Governance ; Unternehmensgründung ; Risikokapital ; Unternehmenswachstum ; Corporate Governance ; Hochtechnologiesektor ; Neuer Markt ; New Economy ; Deutschland

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Audretsch, David B. ; Lehmann, Erik E.
• Event: Veröffentlichung
• (who): Max Planck Institute for Research into Economic Systems
• (where): Jena
• (when): 2004

Further information

• Handle: http://hdl.handle.net/10419/19964
• Last update: 10.03.2025, 11:44 AM CET