ABSTRACT
Our original motivation for writing this book had been the observed increase in interest in backing high-technology ventures by UK venture capitalists. On the one hand, this might have been more driven by a desire for long-term commitment in funding, such as would arise from a setting in which exit markets were illiquid, and therefore VC investors would display a relative preference for high-technology and early-stage investees, as they help to postpone exit, (Cumming et al., 2005). Clearly there could be a cycle in enthusiasm for such investment involvements, with, for example, VC investors’ preference for later-stage involvements like MBOs emerging as exit markets become more liquid.
