Financing With Venture Capital: Advances in Knowledge Over the Last Ten Years and Research Avenues

Description of Figures

Figure 1: Annual Distribution of Inventoried Documents (313 documents)
This is a horizontal bar graph showing the breakdown by year in which the inventoried documents were published, from 1992-2003. In 1992-1993, less than 5 documents were published, in 1994 approximately 20 were published, in 1995 and 1996, less than 10, in 1997 approximately 20, in 1998 approximately 15, in 1999, approximately 20, in 2000 a little over 40, in 2001 approximately 45, in 2002 almost 120, and as of April 2003 (the time of this report's publication), approximately 10.
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Figure 2a: Distribution of the Literature Before 2000 (171 occurrences)
This is a pie chart that represents the distribution of literature before 2000 according to topic. More than one-third of occurrences were Topic 1: the role of venture capital in economic development, legal structures and the provenance of investors, and more than one-third of occurrences were Topic 2: the functioning of the venture capital market: financing decisions, risk measurement, contractual aspects. The rest of the occurrences were distributed among the remaining four topics: Topic 3, Comparison of businesses that were financed with venture capital and those that were not; Topic 4, The impact of a venture capital company on the business that is financed; Topic 5, Impact and rate of survival of businesses that are financed with VC after divestiture by the VCC; and Topic 6, New trends.
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Figure 2b: Distribution of the Literature Since 2000 (393 occurrences)
This is a pie chart that represents the distribution of literature since 2000 according to topic. More than one-third of occurrences were Topic 1, the role of venture capital in economic development, legal structures and the provenance of investors, and more than one-third of occurrences were Topic 2, the functioning of the venture capital market: financing decisions, risk measurement, contractual aspects. The rest of the occurrences were distributed among the remaining four topics: Topic 3, Comparison of businesses that were financed with venture capital and those that were not; Topic 4, The impact of a venture capital company on the business that is financed; Topic 5, Impact and rate of survival of businesses that are financed with VC after divestiture by the VCC; and Topic 6, New trends.
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Figure 3: Type of Research Selected by the Authors (313 documents)
This vertical bar chart represents the percentage breakdown of research by type of selected research documents. Descriptive research was 15%, empirical research was 50%, professional research was almost 7%, and theoretical was almost 30%.
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Figure 4: Distribution of Topics by the Types of Research (564 occurrences)
This vertical bar chart divides the distribution of areas of research into types: statistical and theoretical. These types are then further broken down into main research topic by percentage. Statistical research encompasses more varied research topics, as opposed to theoretical research, where most of the research is concentrated on the role and functioning of the venture capital market (Topics 1, and 2).
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Figure 5: Count of Studies on Topic 1
This vertical bar chart presents the distribution of Topic 1 research subjects by occurrence (564 occurrences in total, 242 occurrences for Topic 1). Topic 1 is the role of venture capital in economic development, legal structures and the provenance of investors, which is then subdivided into more specific topics. Topic 1.1, impact on the economy, job creation, innovation and performance, occurred 39 times, topic 1.2, the structure of capital supply (including private and public markets, the influence and control of governments on venture capital supply), occurred 38 times, topic 1.3, legal structures: VCC objections and mission, occurred 34 times, and topic 1.4, the balance between venture capital (VC) supply and demand, occurred 31 times.
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Figure 6: Summary of Topic 2 Studies
This vertical bar chart presents the distribution of Topic 2 research subjects by occurrence (564 occurrences in total, 199 occurrences for Topic 2). Topic 2 is the functioning of the venture capital market: financing decisions, risk measurement, contractual aspects, which is then subdivided into more specific topics. Topic 2.1, the VCC criteria for investment and the decision-making process, occurred 66 times, topic 2.2, risk evaluation (identification, estimate and mitigation), occurred 7 times, topic 2.3, contractual aspects of VC and their repercussions on SME, occurred 55 times, topic 2.4, the deciding factors of involving a VCC in the SME, occurred 21 times, topic 2.5, control mechanisms (investment control from the point of view of the VCC), occurred 36 times, and topic 2.6, investing in an SME as a component of a securities portfolio occurred 14 times.
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Figure 7: Summary of Topic 4 Studies
This vertical bar chart presents the distribution of Topic 4 research subjects by occurrence (564 in total, 22 for Topic 4). Topic 4 is the impact of a venture capital company on the business that is financed, which is then subdivided into more specific topics. Topic 4.1, the 'professionalization' of SME after VC (introduction of business practices and procedures), occurred 9 times, and topic 4.2, VCC involvement and support, occurred 13 times.
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Figure 8: Summary of Topic 5 Studies
This vertical bar chart presents the distribution of Topic 5 research subjects by occurrence (564 in total, 54 for Topic 5). Topic 5 is the impact and rate of survival of businesses that are financed with VC after divestiture by the VCC, which is then subdivided into more specific topics. Topic 5.1, exit strategies, occurred 19 times, topic 5.2, the initial public offering, occurred 24 times, and topic 5.3, the performance of financed companies, occurred 11 times.
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Figure 9: Summary of Topic 6 Studies
This vertical bar chart presents the distribution of Topic 6 research subjects by occurrence (564 in total, 28 for Topic 6). Topic 6 is new trends, which is then subdivided into more specific topics. Topic 6.1, technological investment, occurred 21 times, and topic 6.2, the future of the stock market for rapidly growing SME, occurred 7 times.
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Figure 10: Distribution of Studies by their Area of Interest
This vertical bar chart is divided into occurrence of research by area of interest, out of a total of 564 occurrences. Studies on supply occurred 429 times, studies on supply and demand occurred 74 times, and studies on demand occurred 61 times.
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